What is the difference between civil fraud and securities fraud?
Civil fraud and securities fraud are two distinct offenses, but they both involve instances of deceit and have similar elements in common. In Florida, civil fraud is a civil offense which occurs when someone deliberately deceives another to obtain money or property. For example, if someone lies to another person in a contract to get them to purchase a product, that would be considered civil fraud. On the other hand, securities fraud is a criminal offense which involves deceiving investors in the stock market or other investments to unlawfully obtain money. This could include insider trading, stock manipulation, or other unlawful activities. Civil fraud usually involves two or more private individuals or entities, whereas securities fraud involves the investment market and the investors in it. For instance, a person or entity may be charged with civil fraud if they were to lie to another in a contract to obtain something, whereas a person or entity would be charged with securities fraud if they were to lie to investors in order to make a profit from the stock market. Both civil fraud and securities fraud are considered serious offenses in Florida and can come with significant consequences. For example, a person convicted of civil fraud in Florida may face a civil lawsuit with the potential of paying punitive damages. As for securities fraud, a person convicted could face hefty fines and even imprisonment.
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