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

Civil fraud and breach of contract are two distinct legal terms used in litigation in California. Civil fraud is a broad legal concept that is generally defined as a deliberate attempt to deceive another person or entity for the purpose of financial or other personal gain. This can be done through the use of false or misleading statements. Breach of contract is a more specific legal concept that focuses solely on the legal relationship between two parties. Breach of contract occurs when one party fails to fulfill their part of the agreement and their actions directly harm the other party. The primary difference between civil fraud and breach of contract is that the former requires an intentional act to deceive, while the latter requires only a breach of agreement. In order to prove civil fraud, a plaintiff must show that the defendant made a false statement or misrepresentation with the intention to deceive and that the defendant actually caused harm by doing so. In a breach of contract case, the plaintiff must demonstrate that there was a valid agreement between the two parties that was breached by one party and that the other party suffered damages as a result. Consequently, the legal remedies for civil fraud are more severe than for breach of contract. A plaintiff who has been the victim of civil fraud may be able to collect punitive damages in addition to compensatory damages, whereas a plaintiff who has suffered a breach of contract may only receive the latter. Furthermore, the statute of limitations for civil fraud cases is longer than for breach of contract cases, providing more time for a plaintiff to file a lawsuit.

Related FAQs

What is the difference between civil fraud and fraud in the inducement?
What is the difference between civil fraud and insider trading?
How can I identify potential civil fraud?
What are the defenses to civil fraud claims?
What is the difference between civil fraud and fraud by false representations?
What is the difference between civil fraud and tax fraud?
What are the defenses to a civil fraud claim?
What is the difference between civil fraud and fraudulent transfer?
What is the difference between civil fraud and racketeering?
What is the difference between civil fraud and mail fraud?

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

Related FAQs

Related Blog Posts