What is the difference between civil fraud and breach of contract?

Civil fraud and breach of contract are similar legal terms but have different meanings. In Pennsylvania, civil fraud is the act of intentionally deceiving someone through false statements or other means, for the purpose of getting them to give up something of value. Breach of contract, on the other hand, occurs when one party fails to fulfill a contractual obligation outlined in the agreement. The main differences between civil fraud and breach of contract is the severity of the consequences. While breach of contract may result in the party being required to pay damages to the other party, civil fraud is considered a far more serious offense and can lead to criminal prosecution. The penalties for civil fraud vary depending on the severity of the offense but can include fines, restitution, or even jail time. Another difference between civil fraud and breach of contract is the burden of proof. To prove a breach of contract, all that needs to be shown is that one party failed to fulfill their promise. To prove civil fraud, however, the plaintiff must show that the defendant made false and misleading statements or misrepresentations, with the intention of causing harm. In conclusion, civil fraud and breach of contract are different in several ways, the most notable being the severity of the consequences and the burden of proof. Civil fraud can result in fines, restitution, or even jail time, while breach of contract is typically resolved through compensatory damages. Therefore, it is important to understand the difference between these two legal concepts in order to protect yourself from costly legal repercussions.

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