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Jeffrey S. Weiner, P.A. Jeffrey S. Weiner, P.A.
Available 24/7 305-985-6640

Can Lying Be Considered Fraud?

person with fingers crossed behind their back

It’s highly unlikely that you know someone who has never told a lie. Some lies, of course, are bigger than others. Let’s discuss if lying will ever put you at risk of criminal charges.

A Lie v.s. Fraud

Telling a lie and committing fraud are differentiated by two key components. The first is intent. When someone tells a lie, they may not intend to benefit from it in any way other than to deceive or keep a secret. When someone commits fraud, however, they tend to have the intent to benefit from the lies they tell. Typically, the benefits of fraud are financial.

The second key component is harm. If the lie that the individual told results in harm being done, it may be a fraud crime. For example, a lie leads to someone suffering a major financial loss.

Much of the difference is situational. For example, lying in a business negotiation is much more likely to result in a fraud charge than lying to your friend about something in your personal life. If the liar intended to benefit by telling lies, or their lies caused harm, they could be criminally liable.

Fraudulent Inducement

Fraudulent inducement is a criminal offense that occurs due to lying and deception. This is when someone tricks someone into signing a contract, making a transaction, or entering a legal agreement based on lies.

While fraud in the inducement will not result in jail time, the defendant may be ordered to pay fines and punitive damages if they are found guilty of this offense.

For more detailed information on fraud in the inducement, click here.

Miami Fraud Defense Attorney

In general, you don’t have to worry about a lie being considered a fraud crime. However, if you are benefitting financially due to a lie, you may end up being charged with fraud. Our team at Jeffrey S. Weiner, P.A. has handled numerous fraud cases for our clients, and we can help you too. If you have been contacted by law enforcement in relation to a fraud crime, or have recently been arrested, give us a call: (305) 985-6640.