Tag: Unemployment Misrepresentation

Unemployment misrepresentation is the new unemployment fraud.  If you are new to either of these phrases, let me explain.

Prior to the year 2017, the unemployment office made a distinction between fraud and non fraud overpayments.  As of the date of this post, the unemployment office (or DEED) is now using the phrase “misrepresentation” to impose scare tactics and crazy monetary penalties.

Luckily, people are seeking help to identify how they should proceed with an overpayment, audit, or accused of unemployment misrepresentation.

New Law for Unemployment Misrepresentation

Really, the law is edited versus new.  Minnesota’s unemployment office has been using the rules to attach ridiculous penalties for a long time.  Here is what Minnesota statute 268.18 says right now:

An applicant has committed misrepresentation if the applicant is overpaid unemployment benefits by making a false statement or representation without a good faith belief as to the correctness of the statement or representation

In my experience, I found the 2016 law more advantageous for Applicants.  Really, the issue for the majority of people impacted by this law will be figuring out when a decision (whether from DEED or an unemployment law judge) became final.

For some, the old rule still applies.  For many others, the new law will be more impactful.  Thus, it is worth the effort to have a case reviewed.

Unemployment Misrepresentation Penalties

For those who have dealt with unemployment misrepresentation or fraud before, one can quickly see that Minnesota still charges a 40% penalty.  In other words, if DEED claims a person was overpaid $100 dollars in benefits, they will be charged $140 dollars.

To make matters even worse, Applicants are at risk of criminal penalties, administrative penalties, additional interest, and levies.

I agree their 40% penalty is unfair and it might even breach usury laws outlined in the Christian Bible.  But, focusing one’s time on finding a way to remove the misrepresentation claim is going to be more productive.

Where Do Most Misrepresentation Cases Start?

There isn’t one specific area.  But, a lot of unemployment misrepresentation claims start from an audit or overpayment case.  Usually, these types of issues being with a questionnaire.

Unfortunately, everybody is at risk of being audited.  Here are a few popular issues:

• Medical issues
• Job searching
• Eligibility claims
• Work through a temp agency

Proving Unemployment Misrepresentation

When an applicant or worker is unprepared, the State of Minnesota has the upper hand.  Luckily, if an Applicant understands what they are trying to accomplish, I believe a lot of people can turn a bad outcome into a good outcome.

For those willing to take the time, literally, every detail needs to be explored.  This means scrutinizing why a job ended, the application for benefits process, and each week of benefits sought.

For those needing help, please contact me directly.

When a person is accused of Minnesota unemployment fraud, the first two feelings generally felt is stress and fear.  I believe every Applicant seeking benefits has the power to clear their name.

Generally, most Applicants are tripped up when answering their weekly benefit questions.  Unfortunately, reflecting on past application questions can be difficult.

For this reason, I encourage Workers to consider the following when engaging unemployment fraud:

• Make a notebook of job search activities,
• Print out monthly calendars,
• Map hours worked (if any) on a weekly basis,
• Map wages (if any) received on a weekly basis, and
• Make a list of every job sought or applied too.

Minnesota Unemployment Fraud – Statute 268.18

Next, I encourage Workers to review the laws and rules.  I believe:

• Everybody’s situation is different, and
• Fraud can be limited to one week of benefits or many months of benefits.

One of the main rules that applies to an unemployment case is Minnesota statute 268.18.

Legalese of Minnesota Unemployment Fraud

The rule for fraud says a person has committed unemployment fraud in Minnesota if they received unemployment benefits by:

• Knowingly misrepresenting, misstating, or failing to disclose any material fact, or
• A Person making a false statement or representation without a good faith belief as to the correctness of the statement or representation.

Yes, that is a mouth full.  Not to worry.  I would like to briefly introduce this topic in my video below:

Criminal Rule for Unemployment Fraud – Statute 609.52

Yes, sometimes an Applicant can be impacted by a criminal law too.  The criminal rule for unemployment fraud in Minnesota is rule Minnesota statute 609.52.  Rule 609.52 is a criminal rule and different from the rule stated above.

Overlap of both rules

Yes, there is overlap between unemployment rules and criminal rules.  The overlap is seen here:  Minnesota statute 268.182.

What should you do if you are accused of Minnesota Unemployment Fraud?

Every person reacts differently.  In my experience, it is easier to access a process by pinpointing where the issue may have started.

If you do not know where it may have started, then I encourage Applicants to practice good judgment in their preparation.

Other issues to be aware of:

I believe the office managing unemployment benefits prefer charging a person with unemployment fraud because:

• The monetary penalties can be up to 40% (which is really high), and
• Yes, there are ways the unemployment office can create an infinite period of time to collect their money.

Does Minnesota Unemployment Fraud happen a lot?

As requests for unemployment benefits becomes more difficult, unintentional Minnesota Unemployment Fraud is happening too.

Based on various articles I have reviewed and dating back to the year 2009, an unemployment overpayment has become twice as likely.

As you can see, Minnesota’s unemployment office overpaid Applicants millions and millions of dollars in benefits.

What is the process for Minnesota Unemployment Fraud?

Specific to unemployment fraud under rule 268.105, an Applicant can appeal an unemployment overpayment claiming fraud.

The process for unemployment fraud under Minnesota statute 609.52 depends on the County, the amount owed, and whether or not you are seeking an appeal through the unemployment process.

What is the difference between Non-Fraud and Minnesota Unemployment Fraud?

A Minnesota Unemployment overpayment is classified under two categories: nonfraud and fraudulent.

Unemployment fraud can impact your credit history, professional licensing, and the monetary penalties.

Although rule 268.105 identifies a standard procedure, your rights and the burden of proof is different.

Thus, every case is different too.

What should you do about being accused of Minnesota Unemployment Fraud?

Yes, Applicants seeking benefits have rights.  However, judicial decisions are important and need your attention.  Otherwise, a Worker might inadvertently waive their rights.

Should you hire a lawyer for Minnesota Unemployment Fraud?

Fraud is way to series to mess around with.  Please consider contacting me if you want to discuss your specific situation.

Unemployment fraud MN is defined in two areas under Minnesota law.

First, unemployment fraud MN is is defined under Minnesota statute 268.18 as any person who receives unemployment benefits by knowingly misrepresenting, misstating, or failing to disclose any material fact, or who makes a false statement or representation without a good faith belief as to the correctness of the statement or representation, has committed fraud.

Second, unemployment fraud can turn into theft under Minnesota statute 609.52.  This is in addition to potential criminal penalties and or administrative penalties supported under Minnesota statute 268.182.

What should you do if you are accused of Unemployment Fraud MN?

Although the unemployment office sometimes miss-classifies unemployment fraud issues, approach an accusation like this with extreme care and diligence.  This is true because time is not on your side.  In other words, Minnesota law has time restrictions that requires you to file an appeal by a certain date.  If you don’t file an appeal accordingly, it could bring forth unintended consequences and bar your rights.

Does Unemployment Fraud MN happen a lot?

As the request for unemployment benefits becomes increasingly more complicated, unemployment fraud MN is occurring more and more frequently.  Although not exclusive to unemployment fraud, in the year 2012, the Minnesota unemployment office overpaid applicants more than eighty-five million dollars ( $85,000,000) in unemployment benefits.  Since the year 2009, an unemployment overpayment has become twice as likely to occur as it did in previous years.

What is the process for Unemployment Fraud MN?

Specific to unemployment fraud under rule 268.105, you can appeal an unemployment overpayment.  Generally, an appeal related to an MN Unemployment Overpayment follows the same procedures and steps as that required during other levels of the unemployment appeal process.

The process for unemployment fraud under Minnesota statute 609.52 depends on the County, the amount owed, and whether or not you are seeking an appeal through the unemployment process.

What is the difference between Non-Fraud and Unemployment Fraud MN?

A Minnesota Unemployment Overpayment is classified under two categories: a nonfraud unemployment overpayment or a fraudulent unemployment overpayment.  Other than the criminal component, the biggest different is an a fraudulent claim can affect your credit history, professional licensing, and the monetary penalties and interest are more significant than those imposed for a nonfraud unemployment overpayment

Although the process for a fraud and non fraud under rule 268.105 is the same, your rights are different and the burden of proof is different.

What should you do about Unemployment Fraud MN?

Yes, you have rights when accused of unemployment fraud MN, but you need to act fast.  If to much time expires and you do not properly file an appeal, you will automatically waive your right to reduce or negate your unemployment overpayment.

Should you hire a lawyer for Unemployment Fraud MN?

Unfortunately, yes, this is likely an issue that you will need help from a lawyer.  Of course, you have the right to proceed without a lawyer.  However, the consequences specific to fraud can be severe.  As a result, you should consider proceeding with care.

If you want to review your rights or need help understanding the process, please consider contacting this law office for help