Business fraud is, very simply, fraud in any business activity that resorts to deceitful practices to cause economic injury. Business fraud and consumer fraud are very closely related. The legal definition of consumer fraud is as follows:
“Consumer fraud occurs when, in the context of a business transaction, false statements of fact are made, the person making false statements knew that the statements were false when they were made, and that the other party in the transaction relied on the false statements to their detriment.”
The elements of business fraud are:
- False representation of fact
- Made by another
- Knowledge that the representation was false when it was made
- An intention to get or induce the plaintiff to act or refrain from acting in reliance on the representation
- Damage occurred to the plaintiff as a result of the reliance
Sadly, business and consumer fraud have become epidemic in our society. Not a day goes by that we don’t hear something about identity theft, credit card numbers being stolen, investors being defrauded, CEO’s being accused of embezzling, and average Joe’s being swindled at the local car dealership. One of the most shameful types of consumer fraud is the one that steals money from our retired Americans, living on a fixed income for which they have planned and saved for years, if not decades or even a lifetime.
If you have been hurt economically by consumer or business fraud, there is legal action to take. The experienced consumer and business fraud attorneys at The Cochran Firm, with over 25 offices nationwide, have the resources and experience necessary to fight your case and win.