Comment by Frieren
1 hour ago
Fraud is a crime. When a crime is committed citizens inform the police to investigate.
If someone punches you in the street or steals your wallet will you file a lawsuit or call the police? Maybe in America is different, but the normal thing to do is to go to the police. Fraud is not different, the police will investigate.
> If someone punches you in the street or steals your wallet will you file a lawsuit or call the police?
In the USA, probably both. You (or your insurance company) might sue them to recover your financial losses, the police would investigate the crime of assault and/or robbery and pass any evidence along to the prosecutor.
Of course if they have no money or other assets, suing them is a bit pointless.
In the US, you might wait for criminal action if it was progressing to initiate civil action because (1) a criminal conviction can be used as evidence (and it is asymmetrical, because an actual doesn't have the same weight), and (2) criminal process can result in a restitution order which makes civil action unnecessary (and in some jurisdictions may allow recovery from a dedicated fund for victims of crime even if no recovery is possible from the perpetrator, and in that sense may be better than winning a civil action), and (3) criminal prosecution doesn't cost the victim money, civil prosecution generally does.
Yeah point 3 is why you generally don’t bother with civil claims unless they actually have the means to pay.
In the US you can do both (and often that's what happens - parallel criminal and civil cases)
US legal system is kinda weird