Fraud and Negligent Misrepresentation in Los Angeles 

Retain Our Lawyer in Los Angeles for Your Fraud Case

Cases involving negligent misrepresentation and fraud can often involve other issues such as breach of contract and business fraud. These are all crucial issues that can jeopardize the success and prosperity of a business. Swift and aggressive legal action should be taken to arrest further harm and seek restitution for any damages that resulted from the actions of the other party. Our Los Angeles business litigation attorneys are ready to assist you and pursue justice and a fair resolution.

Difference Between Fraud and Misrepresentation

There is a difference between negligent misrepresentation and fraudulent misrepresentation.

Any form of fraud is much more serious than dealings involving negligence. Fraudulent falsification occurs when the instigator shows a reckless disregard for the truth of the matter. They purposefully provide information that is false with intent to deceive and harm either their business or another company.

Negligent misrepresentation involves businesses and individuals that claim to provide certain skills, but cannot fully follow through on their end. The company at fault often is careless in how they represent the business. Misrepresentation is not as intentional as fraud.

What Constitutes Misrepresentation?

Under any form of contract, there are certain promises that are made and when they are not followed through with, it can create significant turmoil. Many different situations and issues can result in falsely representing the truth, but there are five factors that can be involved with each, including:

  1. Someone falsely represented a current or past fact
  2. The person who falsely represented has no basis in fact for believing in its truth
  3. The false representation was intentionally made to convince another of its "truth"
  4. The other party believed the misrepresentation
  5. The other party who relied on the misrepresentation suffered harm as a result

Many cases of misrepresentation can be found as "innocent" in that they had reasonable grounds to believe what they had presented before the public. These situations are fairly simple matters to resolve in many cases.

When fraud is involved, however, the matter becomes much more serious and the legal actions taken must be more severe. The lawyer you want representing your interests in this type of case should be skilled, knowledgeable and a proven litigator.

Examples of Fraudulent Activity

When it comes to fraudulent activity, it can happen through a variety of mediums and affect a wide range of individuals and corporations. Perhaps the most common is internet fraud.

Due to the accessibility of the internet and all of its facets, deceptive users can easily discover ways to steal people's credit card information, take over identities or divert innocent people to misleading websites. They can do all of this with clicks of a button, all while keeping their own identity a secret.

Other instances may occur where fraud is much more blatant, especially in relation to business contracts. When a business partner performs a breach of contract, they are breaking a binding agreement that was set forth by both partners before entering into business with one another.

If certain actions were promised that resulted in causing another business or individual to join into a contract and then they never followed through, it could be a matter of fraudulent inducement. In such cases, it may be difficult to prove that the other had set forth certain promises unless they were in writing. A qualified attorney may be able to help create a solid case to defend businesses that have been wronged by dishonest businesses breaching their formal contracts.

What Are Some Common Examples of Negligent Misrepresentation in Business?

Some common examples of negligent misrepresentation in business include:

  • Exaggerating the qualities or features of a product or service beyond its actual capabilities.
  • Providing inaccurate financial information or misleading projections to investors or stakeholders.
  • Falsely claiming to have certain certifications, qualifications, or affiliations.
  • Misrepresenting the terms and conditions of a contract or agreement.
  • Concealing known defects or issues in a product or property during a sale.
  • Giving incorrect advice or guidance that leads to financial loss or harm.
  • Failing to disclose important information that could impact a business transaction.
  • Misrepresenting one's experience, expertise, or track record in order to secure clients or contracts.
  • Making false statements about competitors or their products/services to gain a competitive advantage.
  • Providing false testimonials or endorsements to promote a product or service.

Achieving Necessary Resolution in Fraud and Misrepresentation Cases

Mr. Mehrshad Mirkhan, lead attorney at our firm, has the experience you need to address these critical matters professionally. During his time in law school, he was named as the Most Patient Advocate and as Committed to Clients. For many years, he and his legal team have fought against injustice in the business realm, not relinquishing victory to high-profile opponents. While other firms may classify certain cases as too difficult to win, Attorney Mirkhan does not let labels stop him.

Let us help you successfully navigate your fraud case. Contact our Los Angeles law office today at (310) 504-1884.