- An intentionally or recklessly false statement of fact. Not every false statement is a false statement of “fact.” Statements of opinion generally are not actionable. Sales talk, or “puffing” (“This is the best location in the county!”), is generally not actionable. However, if the defendant claims to be an expert or there are other reasons to expect that the victim would rely upon the defendant’s opinion as a statement of “fact,” an opinion may be treated by the court as a statement of fact.
- Intention to defraud. If a representation of fact was intentionally false and a material part of the transaction.
- Reasonable reliance upon the false statement. The victim must have actually relied upon the statement to change his or her position.
- Resulting in damages. There must be measurable damages that were
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caused by the fraud. It is not enough that the victim was told a lie.