What is the difference between civil fraud and misrepresentation?

Civil fraud and misrepresentation are both deceptive and illegal practices that can often overlap and be used interchangeably. However, they are not the same. The main difference between civil fraud and misrepresentation is the type of relief each delivers. Civil fraud applies when a person knowingly and intentionally deceives another person to gain something of value. This could be money, property, or any other asset. In Washington, a court may award money damages or punitive damages for civil fraud. Punitive damages are intended to punish the wrongdoer for their deceptive behavior, as well as compensate the victim for their losses. Misrepresentation occurs when a person makes a false or misleading statement, either inadvertently or on purpose, to induce the other party to enter an agreement. It must be proven that the person making the misrepresentation had knowledge of the false or misleading statement and intended to deceive the other party. In Washington, a court may award money damages or rescission of the agreement, depending on the seriousness of the misrepresentation. Rescission is the legal term for cancelling the agreement so that it is as if it never happened. In summary, civil fraud is a knowingly intentional deception to gain something of value and usually results in money damages or punitive damages. Misrepresentation is a false or misleading statement that was either inadvertent or intentional and usually results in money damages or rescission of the agreement.

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What is the difference between civil fraud and misrepresentation?

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