Fraud
Intentional deception or misrepresentation made to gain something of value, such as money or property, from another person.
Fraud is a broad term for any intentional deception used to gain something of value from another person or to cause them financial harm. In Minnesota, fraud can be prosecuted as a crime and also pursued as a civil lawsuit. Common types include identity theft, insurance fraud, credit card fraud, check fraud, and investment scams. The core element is that someone knowingly made false statements or concealed important facts to trick another person.
Criminal fraud charges in Minnesota are often prosecuted as “theft by swindle” under the general theft statute, with penalties based on the amount of money involved. Civil fraud allows a victim to sue the person who defrauded them to recover their losses, and in some cases, additional damages as a penalty. Minnesota’s consumer protection laws also address deceptive business practices.
Why it matters: Fraud can cause devastating financial harm to individuals and businesses. Victims of fraud can pursue both criminal charges (through the county attorney) and civil remedies (through a private lawsuit) to recover their losses.
Example: A contractor takes a $10,000 deposit to remodel a kitchen, knowing they have no intention of doing the work. The homeowner reports the fraud to police, and the contractor is charged with theft by swindle, a felony because the amount exceeds $5,000.
Criminal charges, civil lawsuits, insurance claims, business disputes, identity theft cases