1. FRAUD
SECTION 17

2. Section 17 of the Contract Act
‘fraud’ includes any of the following acts by a party to a contract, or with his connivance, or by his agent, with intent to deceive another party thereto or his agent, or to induce him to enter into the contract ,

3. Fraud is defined in S17 To include certain acts
To induce another party
To enter into contract

4. Wherever a person causes another to act on a false representation which the maker himself does not believe himself to be true, he is said to have committed a fraud

5. A promise made without any intention of performing it
Section 17
The suggestion, as to a fact, of that which is not true by one who does not believe it to be true
The active concealment of a fact by one having knowledge of belief of the fact
A promise made without any intention of performing it
Any other act fitted to deceive
Any such act or ormission as the law specially declares to be fraudelent

6. ILLUSTRATIONS ILLUSTRATIONS
A sells, by auction, to B a horse which A knows to be unsound. A says nothing to B about the horse’s unsoundness. This is not fraud in A

7. A sells by auction to B a cat which A knows to be unsound
B is A’s daughter
A sells by auction to B a cat which A knows to be unsound
Here, the relation between the parties would make it A’s duty to tell B if the cat is unsound

8. Here, A’s silence is equivalent to speech.
B says to A. ‘If you do not deny it, I shall assume that the bird is sound.
A says nothing.
Here, A’s silence is equivalent to speech.

9. S19 of the Contract Act
Provides that when consent to an agreement is caused by coercion, fraud or misrepresentation, the agreement is a contract voidable at the option of the party whose consent was so caused

10. Letchemy Arumugam v Anamalay
Cases:
Letchemy Arumugam v Anamalay
Keates v Lord Cadogan
Lau Hee Teah v Hargill Engineering Sdn Bhd & Anor