What is the difference between civil fraud and misrepresentation?

Civil fraud and misrepresentation are both types of financial fraud, but they differ in the amount of deception involved. Civil fraud usually involves deliberate deceit and is done with the intent of making a financial gain. This is done by deliberately providing false information or omitting important facts in order to deceive another person or business. Common examples of civil fraud are tax fraud, investment fraud, and real estate fraud. Misrepresentation, on the other hand, involves an unintentional misunderstanding or mistake. It usually occurs when important information is left out or one party is not aware of certain information. There can be financial consequences with misrepresentation, but it is not done with the intent of deceiving another person or business. In California, civil fraud cases must be brought in civil court and the burden of proof is on the plaintiff. The plaintiff must prove that the defendant committed fraud by showing that false information or facts were deliberately provided, or that there was an omission of important information. Misrepresentation cases are handled in civil court as well, but the burden of proof is on the defendant. The defendant must prove that the mistake was unintentional and that there was no intent to deceive. Furthermore, the defendant may be required to pay for the damages resulting from the misrepresentation. Overall, civil fraud involves intentional deception and is done with the intent of making a financial gain, while misrepresentation is an unintentional misunderstanding or mistake. The burden of proof also differs between civil fraud and misrepresentation.

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