Fraudulent Misrepresentation In Australia

1076 Words3 Pages
bulb-icon

Recommended: Case study of intentional misrepresentation

This essay will go through imperative elements for implementing fraudulent misrepresentation and to provide innocent party to recover civil damages, gain an injunction or other remedies from the other party. Business law is very broad concept of law which covers all the legal issues that include many commercial and domestic cases which make up most of the civil cases and there are only few criminal cases where there has been serious breach of law. With the help of reference to relevant case law, this essay will argue that Bob Wheelie suffered loss due to fraudulent misrepresentation of historical figures of business by Mr Spoke as Bob anticipated that the business was in good financial position whereas the business was struggling and he ended …show more content…

In the given scenario one party (Bob Wheelie) suffered economic loss due to fraudulent misrepresentation of important business figures before buying business from other party( Mr Spoke). Fraud is sense of deceit which may be defined as a false representation of fact made by representor which is Mr Spoke .The case of Alati v Kruger (1995) 94 CLR provided the bottom line of fraudulent misrepresentation but there are more cases which gave more clarification on fraudulent misrepresentation which are listed …show more content…

As in Krakowski v Eurolynx Properties Ltd (1995) 183 CLR. IRAC analysis is the best option to justify whether these elements are right or wrong the issue here is that, are the figures false and Mr Spoke knew that he is inflating the figures? The rule is that person doing the presentation should have done misrepresentation knowingly and the figures should be false. Application is that figures were inflated by 55% which have been checked by his fellow enthusiast who studied accounting with him at University and Mr Spoke knew that those figures are untrue as he is literate, was not intoxicated and didn’t suffered mental health problems such as dementia so he knowingly did that for his travel plans after retirement. So there are enough reasons to prove that that these two elements also apply in this

Show More
Related

  • Case Analysis: The Unscrupulous Partner: Ethics Case

    704 Words  | 2 Pages

    Andrea may decide not to inform the limited partners about the misrepresentation of Skyline Views’s financial statements; to avoid conflict, this decision permits Ed to deceive the company and limited partners. In addition, by deciding not to inform the limited partners of Ed’s deceit, Andrea would be disregarding the American Institute of Certified Public Accountants Code of Professional Conduct in her being unreliable, dishonest and deceitful. Andrea has the responsibility of protecting her client, which involves encouraging the correction of financial statements in order to prevent suspicion during audits that could lead to fines and imprisonment. Andrea’s second option is to inform the limited partners about how misrepresentations of Skyline Views’s financial statements are permitting Ed to claim a higher management fee; this decision will fulfill her due diligence obligation to the limited partners while maintaining her integrity as a certified public accountant in supporting the American Institute of Certified Public Accountants Code of Professional Conduct.

    Read More

  • Scott Welch and the Defrauding of Wachovia

    1074 Words  | 3 Pages

    In recent years, it seems as if there is a new financial fraud being reported any given day. One could even say that fraud has become almost a much a surety as taxes. Given the opportunities and pressures, many will businesses will fall victim to human natures and suffer losses through fraudulent activities. This case study will follow one such fraud, following the crimes of Terry Scott Welch in his pursuit for happiness by indulging his passion of landscaping.

    Read More

  • Kevin Trudeau's Fraud Case

    324 Words  | 1 Pages

    host, He had other roles such as a radio personality and author number of books he

    Read More

  • Ethical Practices In Nursing Homes: Fraud In The Nursing Home

    1410 Words  | 3 Pages

    A fraud is a wrong action, which is basically deprivation of the legal rights from an individual. Fraud is seen at various instances of life. There are a number of frauds that occur and every case has different rights being deprived from an individual. When frauds take place, some legal authority has to intervene and take the necessary action. The legal authority is granted with the power to decide the right that has been taken from the victim and identify the compensation to be given to the individual on behalf of the party, which has made the fraud. In this report, I will discuss some cases in which fraud caused some issues and deprivation of the basic legal rights of an individual thus resulting in

    Read More

  • Examples Of Deception And Scams

    1006 Words  | 3 Pages

    Trust is a two way street. Trusting people is somewhat second nature to some. Unfortunately, trust is very hard to come by these days with all of the deception and scams that people are using. A person may think that they could easily spot a scam or detect deception but it is not as easy as it seems. Deception and scams are important tools for illicit actors to use in order to gain the upper hand on whatever the situation may be.

    Read More

  • The False Claims Act

    787 Words  | 2 Pages

    Proprietary education dates back to the late nineteenth century where institutions focused on professional training in teaching, medicine, and law (Breneman, Pusser, & Turner, S., 2000). The 1972 Higher Education Reauthorization Act included for-profit institutions in federal financial aid programs and changed the vernacular of higher education to postsecondary education (2000). This piece of legislation along with new technologies along with increased demand for higher education and prompted a resurgence of for-profit institutions in the latter half of the twentieth century (2000). From these changes, a new era of postsecondary education was born

    Read More

  • What Is Identity Theft?

    1631 Words  | 4 Pages

    must ensure the victim is able to recover the damage caused by the fraudster. The Fraud

    Read More

  • Phar-Mor: Case Study

    1415 Words  | 3 Pages

    Phar-Mor was known as one of the major discount chain retailers in the late 1980’s - early 1990’s. It was founded by Mickey Monus, a gambler in nature, who with the help of senior management was “cooking the books” for years to cover up his loses. The reason why senior management agreed to do this fraud is the belief in unique ability of their leader to fix everything later on. This case is known as one of the biggest accounting frauds in the corporate history of the U.S. This paper will analyze who was affected by this fraud, the motives behind it and what systems of control failed to prevent it.

    Read More

  • The Statute of Frauds and the Uniform Commercial Code

    820 Words  | 2 Pages

    The primary purpose of the “Statute of Frauds” (SOF) is to protect the interests of parties once they are involved in litigating a contract dispute (Spagnola, 2008). The relevant statutes are reliant upon state jurisdictions to determine whether the contract falls under the SOF, and whether the writing of the contract satisfies the requirements of the statute of frauds (Spagnola, 2008). However, all contracts are not covered under the SOF. In essence, for a contract to be deemed as legal by definition of the SOF, there must be verification of the following requirements for formation of the contract, which are as follows: (1) There must be least two parties to the contract, (2) There must be a mutual agreement and acceptance on the price to pay for goods and services offered, (3) The subject matter or reason for entering the contract, must be clearly understood by all parties to the contract, (4) and there must be a stipulated time for performance of duties under the contractual obligations (Spagnola, 2008). Lastly, there are five categories of contracts that are covered under the SOF, which are as follows: (1) The transfer of real property interests, (2) Contracts that are not performable within one year, (3) Contracts in consideration of marriage, (4) Surtees and guarantees (answering to the debt of another), and (5) Uniform Commercial Code (U.C.C.) provisions regarding the sale of goods or services, legally valued over five hundred dollars ($500.00) (Spagnola, 2008).

    Read More

  • False Claims Act

    1846 Words  | 4 Pages

    Health care fraud cases continue to be problematic for health care systems and providers across the United States. According to Pozgar (2012), these cases not only pose financial burdens on the accused, but may also lead to unnecessary risks to patients. A violation against the Federal False Claims Act, 31 U.S.C. §§ 3729-33, is one example of health care fraud that often enters into a settlement agreement. It is important to mention violations against the Federal False Claims Act, 31 U.S.C. §§ 3729-33, often allude to physician kickbacks as well (a violation against the Anti-Kickback Statute).

    Read More

  • Richard Scrushy and HealthSouth

    2166 Words  | 5 Pages

    Weld, L. G., Bergevin, P. M., & Magrath, L. (2004). Anatomy of a financial fraud. The CPA

    Read More

  • Manipulation And Manipulation

    985 Words  | 2 Pages

    Manipulation, deception, and lying all happen in everyday lives. This paper will distinguish between manipulation, deception, and lying and why these ethical wrongs depend on the intention and not on the consequences. To outline the paper, the first section will distinguish between manipulation, deception, and lying. This section will also show how the three work together in order to formulate an ethical wrong. The next section will discuss how manipulation, deception, and lying work together to gain some type of benefit. The main goal of the section is to show how manipulation, deception, and lying depend on the individual’s intentions to benefit or get the desired outcome.

    Read More

  • Deceptive Advertising

    2485 Words  | 5 Pages

    Deceptive advertising can be described as "advertising which is misleading in a material aspect.'; (Simon 256) This definition would include all the false and misleading advertisements that would appear in print, television, radio, outdoor and direct mailings. As well as more non-traditional forms of advertising like transportation ads along with the use of pictures, trade names, display materials, labels, sales talks, sales letters, price lists and catalogs. As any consumer can see, advertisers have many means by which they can "trick'; or deceive us consumers into buying products not planned for.

    Read More

  • Essay On Misrepresentation

    811 Words  | 2 Pages

    Of all the topics as discussed in the class, the topic Misrepresentation has greatly drawn my interest and I got eager to find the appropriate meaning of Misrepresentation by analysing the facts of Misrepresentation under its clause 1, different in accordance to the Indian Contact Act (1872). The term Misrepresentation is defined in Section 18 of the Act is somewhat different from ‘Misrepresentation’ are understood in ordinary parlance. In this response paper, I seek to explore the specific manner in which the Contract Act defines that the Positive Assertion of facts leads to Misrepresentation and how such a definition fits in with the general scheme of the Contract Act, with the hope of responding to some of the difficulties the definition of Misrepresentation raises for contract law.

    Read More

  • Cendant Case Study

    778 Words  | 2 Pages

    The fraudulent financial reporting is the information in financial statement that will misleading, omission, and misrepresenting the users in order to attract potential investors and fulfil the shareholder’s expectation wealth. The company may has intended to use wrongly the accounting principle which related to classification, method of depreciation,

    Read More

More about Fraudulent Misrepresentation In Australia

Open Document