Fraudulent Misrepresentation and Illegal Business Practices

The law in California prohibits certain types of practices that attempt to defraud or mislead consumers and others. False advertising, employing methods of price discrimination, predatory lending, amongst other violations can cause companies to be liable for punitive damages and other penalties. Since anyone can allege that they were the victim of a “fraud,” California law places a heightened pleading standard. “In California, fraud must be pled specifically; general and conclusory allegations do not suffice.” Lazar v. Superior Court (1996) 12 Cal.4th 631, 645. This means that it is “[a] plaintiff’s burden in asserting a fraud claim…[to] ‘allege the names of the persons who made the allegedly fraudulent representations, their authority to speak, to whom they spoke, what they said