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Library: Policy

340:2-7-2. Definitions

Revised 7-1-11

     The following words and terms, when used in this Subchapter, shall have the following meanings, unless the text clearly indicates otherwise:

     "Abuse" means to make excessive or improper use of a thing, or to employ it in a manner contrary to the material or legal rules for its use; to make an extravagant or excessive use, as to abuse one's authority.  Abuse may also occur through expressive carelessness in following written instructions or policy or in failing to take proper action that results in improper payments for public assistance, food benefits, vendor payments, or claims processing.  Abuse through expressive carelessness may occur in eligibility determination, supervision review, data processing, claims processing, or program interpretation.

     "Fraud" means the willful use of a deceitful practice or willful device with the intent to deprive another of his or her rights or to do the individual injury in some manner.  As distinguished from negligence, fraud is always intentional.  Fraud applied to contracts is the cause of an error on a material part of the contract designed to obtain some unjust advantage to one party or cause an inconvenience or loss to the other.  Fraud, in the sense of a court of equity, properly includes all acts, omissions, and concealments that involve a breach of legal or equitable duty, trust, or confidence justly reposed, and are injurious to another, or by which an undue and unscrupulous advantage is taken of another.

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