When it comes to ripping you off, tricksters are more sophisticated than ever. It’s no secret that online predators scheme to steal your money, your identity, and anything else they can get their hands on. But sometimes, consumer fraud is not just cybercrooks on the dark web who perpetrate crimes against consumers. Companies and businesses that you once trusted and relied on can cost you money by misrepresenting their products or services.
What is Consumer Fraud?
Unfortunately for many New Jersey consumers, it is not uncommon for insurance companies, banks, and other financial institutions to violate state law. By definition, consumer fraud typically involves common business practices like advising, lending, and sales.
If a business commits consumer fraud, some of its actions may be considered criminal. Those companies can face penalties under New Jersey or federal judicial systems.
Some common instances of consumer fraud include:
Automobile fraud: A car dealership can misrepresent or fail to reveal the true condition of a used vehicle, including if it was in a flood or an accident and sustained significant damage. A dealership can also manipulate the odometer to give a false reading. Lemon Laws protect both the owners of new and used cars.
Insurance fraud: If a policyholder is hurt, or their home or car is damaged, insurance companies are expected to pay. However, sometimes in the face of a natural disaster, like a major hurricane, an insurance company will say that the claims are unwarranted, or not covered, and will not pay policyholders what they are owed.
Investment fraud: There are various types of stockbroker misconduct that constitute consumer fraud. Some of these include unauthorized trading, misrepresentations and omissions, and recommending improper investments.
Mortgage foreclosure scams: This is when clients have been deceived or coerced into mortgage modification schemes and other foreclosure prevention scams.
Other areas of fraud and misconduct include:
- Construction disputes
- Bait and switch
- Truth-In-Lending Act violations
- Deceptive and Unfair Trade Practices Act violations
- Defective Products
- False Advertising
- Breach of contract
Consumer fraud and its deceptive practices can adversely impact a consumer, resulting in significant financial losses. When a company lies or purposely misleads you with descriptions or advertisements about their services or product, they deserve to be held responsible. Many people mistakenly assume they don’t stand a chance of waging a legal battle against a bank, insurance company, or retail store. But those assumptions are wrong. Everyone is considered equal before the law. It is common for consumer fraud litigation lawsuits to be combined to form one big case, resulting in a class action lawsuit.
How Can Consumer Fraud Litigation Help?
If you experience fraud or wrongdoing by a corporation, organization or business, you need an experienced legal team on your side. The Law Office of James C. DeZao has years of experience handling personal injury law and consumer fraud litigation cases. Our team can advise you about any potential claims that you might have under New Jersey’s consumer fraud act. Contact us today at (973) 358-6134 or fill out our online contact form to get started. We provide free consultations in order to evaluate your situation and answer any questions or concerns you might have.