Fraud (Deceit)

Category: legal

An intentional misrepresentation of a material fact made to induce someone to act, resulting in injury.

Fraud requires five elements: (1) a false representation, (2) knowledge of its falsity, (3) intent to induce reliance, (4) justifiable reliance by the victim, and (5) resulting damages. It is a powerful tort often used in business disputes and contract negotiations.

Common Examples

• The seller committed fraud by concealing the known termite infestation during the home’s purchase agreement disclosures.
• Proving fraud requires showing that the victim reasonably relied on the false statements, not just that the statements were untrue.