Fraud

Posted on September 28, 2023 in Fraud

What is fraud?

Fraud is a legal term that refers to any act of deception that is intended to gain something of value from another person. It can be committed in a variety of ways, including:

• Lying: This includes making false statements or representations to another person in order to gain their trust or confidence.
• Omitting information: This includes failing to disclose important information to another person that could affect their decision-making.
• Forging documents: This includes creating or altering documents without the authorization of the person whose signature or name appears on the document.
• Breach of fiduciary duty: This occurs when a person in a position of trust, such as a trustee or lawyer, betrays that trust for their own personal gain.

What are the different types of fraud?

There are many different types of fraud, but some of the most common include:

• Identity theft: This occurs when someone steals another person’s personal information, such as their name, Social Security number, or credit card number, and uses it without their permission.
• Investment fraud: This occurs when someone scams investors into investing in a fraudulent investment scheme.
• Insurance fraud: This occurs when someone files a false insurance claim or exaggerates the extent of a loss in order to receive insurance benefits.
• Healthcare fraud: This occurs when someone bills for medical services that were never provided or bills for services that are more expensive than the services that were actually provided.
• Bankruptcy fraud: This occurs when someone files for bankruptcy while concealing assets or income.

What are the consequences of fraud?

Fraud can have serious consequences for both the victim and the perpetrator. Victims of fraud may suffer financial losses, emotional distress, and damage to their credit rating. Perpetrators of fraud can be charged with criminal offenses, which can result in fines, jail time, or both.

What can you do to protect yourself from fraud?

There are a number of things you can do to protect yourself from fraud, including:

• Be suspicious of unsolicited offers. If you receive an offer that seems too good to be true, it probably is.
• Do your research before investing in anything. Before you invest in anything, research the company and the investment opportunity thoroughly.
• Be careful about sharing your personal information. Only share your personal information with trusted individuals and businesses.
• Monitor your credit report regularly. Review your credit report regularly for any unauthorized activity.
• Report fraud to the authorities. If you suspect that you have been the victim of fraud, report it to the authorities immediately.

How can a Phoenix litigation firm help you if you have been the victim of fraud?

If you have been the victim of fraud, a Phoenix litigation firm can help you recover your losses and hold the perpetrator accountable. A skilled fraud attorney can investigate your case, gather evidence, and file a lawsuit on your behalf. They can also represent you in negotiations with the perpetrator or their insurance company.

If you are looking for a Phoenix litigation firm to help you with a fraud case, contact us today. We have a team of experienced fraud attorneys who are ready to fight for your rights. Bill Miller can help you navigate the legal system and protect your rights. Contact Bill by calling 602-319-6899 to ensure your legal needs are conducted with confidence and legal clarity. Some of the issues covered under trial work and business law that our firm regularly handles involve:

Breach of contract, Non-compete agreements, Non-disclosure agreements, Employee theft and embezzlement, Insurance purchases and enforcement of policy coverage, Negotiation and/or enforcement of commercial leases, Negligence and gross negligence resulting in losses, Intentional acts causing a company to suffer damages, Tortious interference with contractual relationships, Unjust enrichment, Real Estate fraud, Consumer fraud, Conversion/Theft, Intentional and/or negligent misrepresentation, Business torts and Real estate title & escrow.

Resources:

• Arizona Attorney General’s Office: Fraud and Scams
• Maricopa County Attorney’s Office: Scams and Fraud
• Arizona Department of Economic Security: Report Suspected Fraud
• Arizona Better Business Bureau
• Arizona Securities Division

How Much is my Company Worth? Fraud?

Posted on July 12, 2021 in Arizona Law Regarding Business Disputes

World Egg Bank, Inc. v. Nesco Inv., LLC

Our Appeals Court rules that where a minority shareholder dissents from the sale of a corporation, the fair value of those shares is determined at the date of the sale.

A 50% plus owner in a corporation wanted to sell his stock and dissolve a corporation objection of the minority owner.  The majority owner sent a demand to the minority owner that said the stock would be sold to his partner. Great! The minority owner proclaimed she did not plan to vote for such a nutty proposal. She demanded money for her shares.  At the meeting, the majority owner approved the sale and dissolution with his white-shoe law firm.  Yet the closing of the corporation did not occur until six months later when it was valuated and its assets were conveyed to another company through an asset purchase agreement. Say what?

This litigation was whether the date of the shareholder meeting or the date of the valuation and subsequent conveyance/sale should be used to value her shares.  The trial court concluded that the shares should be valued at the shareholder meeting (a wait-and-see game & inviting fraud) when the corporation authorized the sale.  The Court of Appeals disagreed. So do we.

The Arizona statute defining dissenting shareholders’ rights is pretty clear.  Under the statute, a shareholder may “dissent from and obtain payment of the fair value of the shareholder’s shares in the event of . . . consummation of a sale or exchange. . . .”  A.R.S. § 10-1302(A)(3).  And the statute also provided that the fair value is “the value of the shares immediately before the effectuation of the corporate action.”  A.R.S. § 10-1301(4).  Reading these provisions together, the Court concluded that the later date should be used to value her shares.

We have said for over 34 years, there are four times when litigations occur in a closely held business: Fraud, divorce, when it makes a bunch of money, or when it loses a bunch of money. If any of the big three here (not divorce) apply to your business or investments, give us a call at 602.319.6899. We can help you!

We also handle, Breach of contract, Non-compete agreements, Non-disclosure agreements, Employee theft and embezzlement, Insurance purchases and enforcement of policy coverage, Negotiation and/or enforcement of commercial leases, Negligence and gross negligence resulting in losses, Intentional acts causing a company to suffer damages, Tortious interference with contractual relationships, Unjust enrichment, Real Estate fraud, Consumer fraud, Conversion/Theft, Intentional and/or negligent misrepresentation, Business torts and Real estate title and escrow.

Arizona Fraud

Posted on July 16, 2020 in Arizona Law Regarding Business and Real Estate

Over the last 32 years, we have filed scores of claims for common law fraud, RICO, AZRAC, and fraudulent schemes. Common law fraud involves a dispute between two people or business entities. It almost always comes from a contractual relationship that went bad or an investment scheme. Unlike criminal fraud cases in which the defendant…

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Attorney Fees in Arizona Courts

Posted on October 10, 2018 in Arizona Real Estate

At the real estate, contract, commercial and fraud recovery law firm of William A. Miller, located in in Scottsdale Arizona, we are often asked: “may I get my attorney fees back”? This is a big issue to ponder for folks about to file a lawsuit. We have heard it for 30 plus years. In fact,…

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Arizona Statute of Limitations

Posted on February 8, 2017 in Arizona Law Regarding Business and Real Estate

Based on the advice of their CPA, an Arizona auto dealership ‘thought’ they reduced their tax liabilities through stock ownership plans devised by their CPA. Much later the IRS disapproved of these plans. The IRS sent past due tax demands to the owners. Eventually, the IRS settled the claims against the owners. The owners paid…

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