Civil Fraud Claims: How to Take Legal Action Against Deception

Deception in business or personal transactions can leave individuals feeling betrayed and financially vulnerable. Whether you've been misled in a contract, tricked into a bad investment, or lied to in a sales transaction, it’s important to know that the law provides a pathway to justice. As an Alberta-based lawyer, I understand how damaging fraudulent misrepresentation can be—both emotionally and financially. In this blog, I’ll walk you through the key steps to take if you believe you’ve been a victim of civil fraud.

1. Understand What Constitutes Fraudulent Misrepresentation

Fraudulent misrepresentation occurs when one party intentionally deceives another by making false statements or concealing important information, leading the other party to enter into a contract or transaction they otherwise wouldn’t have agreed to. In Alberta, civil fraud is not just about broken promises—it’s about deliberate deception. To pursue a claim, you generally need to prove:

A false representation was made
The person making the statement knew it was false or was reckless as to its truth
The false representation was made with the intent to deceive
You relied on that false statement
You suffered a loss as a result

2. Gather and Preserve Evidence

The success of a civil fraud claim depends heavily on the strength of your evidence. Start by collecting any documentation that supports your claim, including:

Contracts, invoices, or financial statements
Emails, texts, or written correspondence
Witness statements, if applicable
Bank records, receipts, or proof of payment

This evidence will help establish a clear timeline and show how the deception occurred.

3. Confront the Other Party (When Safe to Do So)

In some cases, addressing the issue directly with the individual or business involved may result in a resolution. Be cautious and measured—especially if the fraud involves significant financial loss or if you're unsure of the other party’s intentions. If you do choose to reach out, be sure to:

Remain calm and professional
Clearly outline your concerns
Provide supporting evidence
Request a specific remedy, such as reimbursement or cancellation of the contract

If the fraud involves an employee or involves a significant amount and there is a risk that the other party may dissipate assets or move the fraudulent funds out of your reach, you may consider not confronting them until you obtain a mareva injunction or attachment order freezing their assets

Keep detailed records of all communications in case further legal action is necessary.

4. File a Complaint with Regulatory Authorities

If the fraud involves a licensed professional, business, or financial institution, consider filing a complaint with the relevant regulatory body. Examples include:

Service Alberta (for consumer-related fraud)
The Alberta Securities Commission (for investment fraud)
Industry-specific regulators (such as Real Estate Council of Alberta or Law Society of Alberta)

These agencies can investigate and may take disciplinary action or help resolve the dispute.

5. Consider Civil Legal Action

If informal resolution efforts fail, you may choose to take legal action against the individual or business responsible for the fraud. Legal remedies may include:

Rescission: Cancelling the contract and returning both parties to their pre-contract position
Damages: Financial compensation for the losses you’ve suffered
Injunctions: Court orders to prevent further fraudulent activity

If the value of your claim is under $100,000, you may be able to proceed through Alberta’s Court of Justice (Civil Division), commonly known as small claims court. For more complex or higher-value claims, the Court of King’s Bench may be appropriate.

6. Seek Legal Advice

Navigating a civil fraud claim can be complex. Every case is different, and success depends on the facts and the quality of your evidence. An experienced civil litigation lawyer can help you:

Evaluate the strength of your case
Gather and present evidence effectively
Negotiate a settlement
Represent you in court, if necessary

Don’t let deception go unchallenged—legal help is available.

Final Thoughts

Being the victim of fraud is a deeply frustrating experience, but you don’t have to face it alone. Alberta’s legal system offers avenues for accountability and compensation. By taking the right steps—understanding your rights, gathering evidence, and seeking professional advice—you can protect your interests and hold wrongdoers responsible.

If you believe you’ve been deceived in a business or personal transaction, don’t hesitate to reach out to me, Joshua Williams, JW The Lawyer. I’m here to help you pursue justice and recover what you’ve lost.