Legal Question in Investment Law in California

Re: Theft/fraud

Hire an attorney to demand the difference and then sue.

Best,

Daniel Bakondi, Esq.

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Re: Theft/fraud

I don't think there is a theft here. A case for fraud depends upon showing (1) misrepresentation of a material fact; (2) intent on the part of the person making the misrepresentation that the other party rely upon the misrepresentation (sometimes referred to as "scienter"); (3) actual reliance by the victim; (4) that the reliance was reasonable; and (5) damages (6) resulting from (1) through (4).

If you sued, the dealer would probably defend on the basis that it never said the coins were worth the asking price. Overpricing an investment is sometimes, but not always, a misrepresentation. A grocery store isn't committing fraud when it asks $1 apiece for lemons, when other stores are selling them for 15c.

In order to give you solid advice, a lawyer would have to study all the advertising and sales material to see whether, as a matter of law, there were a misrepresentation or only overpricing.

Finally, gold fluctuates in value daily, and can be worth much more or much less on any given day than on any other. The fairness of the deal must be judged on a "when made" basis, not in retrospect.