Obtaining Credit by Deception (liability)

Question 1

Obtaining by Deception or Causing Loss by Deception - Section 240 (1) (b) *

Answer 1

Obtaining by Deception or Causing Loss by Deception
Section 240 (1) (b) - Crimes Act 1961 

by any deception
and without claim of right
in incurring any debt OR liability
obtains credit

Question 2

DEFINE DEBT AND LIABILITY

Answer 2

Debt - money owing from one person to another.

Liability - a legally enforceable financial obligation to pay eg cost of meal

Both must be legally enforceable

Question 3

DEFINITION OF CREDIT CASE LAW

Answer 3

FISHER V RAVEN

‘Credit’ refers to the obligation on the debtor to pay or repay, and the time given for them to do so by the creditor. Credit does not extend to an obligation to supply services or goods:

Question 4

Examples of where credit may be obtained

Answer 4

• obtaining money on loan
• extending existing overdraft facilities
• renting or leasing a dwelling

Question 5

Timing of intention to deceive

Answer 5

Must exist at the time when the deception is carried out.

In order to convict an offender you must prove they had intent to deceive when they entered eg. A restaurant or started a meal

Question 6

CREDIT OBTAINED CASE LAW

Answer 6

R V MCKAY

On appeal it was held that the credit had been obtained on booking in but at that time the accused did not possess an intent to deceive.

Question 7

When is an intent to deceive NOT disclosed to Police?

Answer 7

• delay or non-payment of the debt, or

* an inability to perform a bona fide intention

Question 8

Where a payment is withheld

Answer 8

An intention to deceive does not exist if a person withholds a payment for a genuine dissatisfaction with a service

Question 9

HIRE PURCHASES

Answer 9

Hire purchase goods obtained by a false representation is deception.

However, if the offender later sells the goods to another, the offender commits theft by conversion.

The offender never receives title only possession.