Legal Memorandum: Damages Recoverable for Emotional Distress

Issue: Are damages for emotional distress recoverable in a fraud action?

Area of Law: Business Organizations & Contracts, Criminal Law, Litigation & Procedure
Keywords: Damages; Intentional infliction of emotional distress; Fraud action
Jurisdiction: Federal
Cited Cases: None
Cited Statutes: Restatement (Second) of Torts § 46
Date: 07/01/2001

Restatement (Second) of Torts § 46 indicates that the tort of intentional infliction of emotional distress where “one who by extreme and outrageous conduct intentionally or recklessly causes severe emotional distress to another.”  It is clear that harm from emotional distress has a place in a fraud case.  If not, why then does federal law allow the number of years a person may be sentenced to prison for criminal fraud to be increased for emotional trauma?  See United States v. Jarvis, 258 F.3d 235 (3d Cir. 2002). 

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