Employment Fraud and Misrepresentation
Most people have heard of fraud, but few are aware that they may have a viable claim under state law for employment fraud or misrepresentation. Employment fraud occurs when an employer lures a potential employee to the company based on promises and representations that turn out to be untrue. Fraud in this context can have severe consequences for the victim.
Employers sometimes make promises to potential employees that the employer cannot keep or has no intention of keeping. Commonly this takes the form of misrepresentations regarding salary, commissions, bonuses or other pay; promises of specific authority or management of other employees; and promises regarding the duties of the position. Sometimes the promised position does not even exist. In certain circumstances, often involving high-level managerial employees or smaller companies, the potential employee is lured in by false representations regarding the viability and potential for success of the company.
The consequences of these false representations can be devastating. Fulfilling current employment is given up based on unrealistic promises made by the new employer. The employee and his or her family may be uprooted and move long distances, even from another country, only to find out that the job or the compensation is not as it was represented. The financial consequences can be far-reaching, resulting in lost pay, moving costs, and other costs to the employee.
Employment misrepresentation cases are slightly different from employment fraud cases. Fraud involves a malicious intent to deceive. Misrepresentation occurs where no such malicious intent is present. A misrepresentation may be made intentionally, recklessly, or negligently, but if made intentionally, the law requires intent only to make a false statement – not intent to cause harm to the other person. Fraud can be more difficult to prove, depending on the circumstances, because it depends upon the state of mind of the speaker. In limited circumstances, because of the malicious nature of fraud, it may expose the defendant to punitive damages.
If you have been the victim of a misrepresentation by a potential employer and acted in reliance on that misrepresentation, you may have a claim for employment fraud or misrepresentation. The greater the financial cost, impact on your career, and emotional distress caused by the false statement, the stronger your claim. Fraud and misrepresentation cases are very fact-specific, and issues of credibility and documentary evidence are often very important.
Resnick Law Group has represented employees in a wide range of employment cases, including employment fraud and misrepresentation cases. We are experienced New Jersey and New York employment fraud attorneys who understand the dramatic impact these false statements can have on your livelihood, and how powerless you may feel as a result. When you contact us, we will give you a realistic assessment of your case. As your attorneys, we will pursue your claims thoroughly and efficiently through trial and any subsequent appeal. For a confidential consultation, call our New Jersey office at (973) 781-1204, or our New York office at (646) 867-7997.