As far as the law is concerned, fraud is defined as any deceitful practice or willful action that aims to deprive another party or cause them harm. The critical characteristic – and what separates fraud from something like negligence – is that it is always intentional.
The most critical questions to ask when exploring cases of potential business fraud are:
- Did a person or corporation make a false representation of facts?
- Did that person or corporation know that representation was not true when it was made?
- Was there an intent to persuade the plaintiff to act (or not act) based on that false representation?
- Did the plaintiff suffer harm because he or she relied on that representation?
If you need legal help to navigate the complexities of a business fraud case, the civil suit lawyers at Burg Simpson Arizona are here to help. Reach out to our Arizona office now to set up a meeting with a civil defense attorney. Call 602-777-7000 today or complete our Free Case Evaluation form now.
Smaller businesses, those with fewer than 100 employees, suffer the most from corporate fraud. There are several types of fraud you could experience in business, the most frequent of which are:
- Embezzlement – Often referred to as larceny, this is the illegal use of funds by someone in charge of company funds. This could be the chief financial officer or an entry-level person in the accounting department using corporate cash for themselves.
- Internal theft – This is the theft of company assets by employees. This can be as trivial as a worker taking home legal pads or boxes of paper clips or as costly as an employee taking home actual inventory.
- Payoffs and kickbacks – This occurs when employees take cash in exchange for illicit access to part of the company. This type of bribery occurs either before (payoff) or after (kickback) a transaction.
- Skimming – This takes place when employees sneak cash from receipts without properly recording the revenue.
If your company has been the victim of any of these types of fraud, reach out to a civil litigation attorney in Arizona today. Call our Burg Simpson Arizona office at 602-777-7000.
Commercial fraud refers to fraud violations committed by company executives. These can include:
- Making false financial statements to shareholders or regulators. This is often done in a bid to boost share prices.
- Hiding income, which seeks to avoid paying proper taxes.
- Colluding. This is when two or more executives reach a covert agreement to defraud a third party. Examples include price fixing and bid rigging.
- Self-dealing. This happens when an executive buys securities based on insider information unavailable to the public.
These are just a few types of commercial fraud that plague businesses large and small. An Arizona business lawyer can help if you are involved in a commercial fraud dispute. Contact Burg Simpson today at 602-777-7000 so we can help.
A BURG SIMPSON PHOENIX ATTORNEY CAN HELP
If business or commercial fraud is costing your company money, do not wait to call for help. Let a skilled commercial litigation lawyer fight for you. Call Burg Simpson Arizona before it’s too late at 602-777-7000 or fill out a Free Case Evaluation form HERE.