Constructive Fraud

From Florida Legal Wiki

Constructive fraud occurs when a duty under a confidential or fiduciary relationship has been abused or where an unconscionable advantage has been taken. Constructive fraud may be based on a misrepresentation or concealment, or the fraud may consist of taking an improper advantage of the fiduciary relationship at the expense of the confiding party.” Levy v. Levy, 862 So.2d 48, 53 (Fla. 3d DCA 2003) (citations omitted). “A constructive fraud is deemed to exist where a duty under a confidential or fiduciary relationship has been abused.” Allie v. Ionata, 466 So.2d 1108, 1110 (Fla. 5th DCA 1985). Florida courts have recognized that constructive fraud may exist independently of an intent to defraud. Allie, 466 So.2d at 1110; Linville v. Ginn Real Estate Co., LLC, 697 F.Supp.2d 1302, 1309 (M.D.Fla.2010) (“Constructive fraud, unlike actual fraud, does not require a showing of intent or of a misrepresentation or concealment and thus a claim for constructive fraud need only meet the liberal pleading requirements of Rule 8.”).

Tardif v. People for the Ethical Treatment of Animals, 160 Lab.Cas. P 61065, (M.D. Fla. 2010) (Case No. 2:09-cv-537-FtM-29SPC).