Fraud in a nutshell: lying, cheating, and stealing. There are a full range of frauds committed by both individuals and businesses. Actions in fraud can arise out of several situations:
To prevail on a fraud action, you must be harmed or damaged. Without damages, there may still be a fraud, but you may not have a recoverable claim. In other words, the law takes a “no harm, no foul” approach to actions in fraud. Typically, however, if someone has defrauded you, it was to your a financial detriment.
Today’s fraud schemes are more sophisticated than ever, thus many people do not discover they have been wronged right away. As in many states, Alabama law follows the principle of the “discovery rule,” which allows you to pursue a claim from the date the fraud was actually discovered, or the date the fraud should have reasonably been discovered.
From that point in time, the statutory limitation period begins to run in which you must commence a lawsuit, otherwise your claim could be barred forever. In Alabama, the statute of limitations period for a fraud claim is two years from the date of discovery.
In a general sense, fraud encompasses any other instance in which an individual or business tries to cheat you financially for their personal gain. Some specific examples of fraud include:
If you discover you are a victim of fraud, call me to discuss your options.