Legal Definitions - fraudulent conversion

Definition: Fraudulent conversion is a type of conversion, which is the wrongful possession or disposition of another's property as if it were one's own. It involves an act or series of acts of willful interference, without lawful justification, with an item of property in a manner inconsistent with another's right, whereby that other person is deprived of the use and possession of the property. Fraudulent conversion is committed by the use of fraud, either in obtaining the property or in withholding it.

Examples: An example of fraudulent conversion is when a person sells a car to someone else, but fails to transfer the title to the new owner. The seller then uses the title to obtain a loan, knowing that they no longer own the car. Another example is when a person takes money from someone else under false pretenses, promising to invest it, but instead uses it for personal expenses.

These examples illustrate how fraudulent conversion involves intentionally deceiving someone in order to wrongfully obtain their property or withhold it from them. It is a form of theft that can result in legal consequences for the perpetrator.