Principle Mere silence as to facts lakely to affect the decision of a person to enter into a contrac...........

Indian Contract Act (ICA)1872 Others

Principle: Mere silence as to facts lakely to affect the decision of a person to enter into a contract is not fraud.

Facts: 'A' sells to 'B' (A's daughter who is minor) a horse which 'A' knows to be unsound. 'A' says nothing to 'B' about the unsoundness of the horse.

'B' can take plea of fraud because she is minor.

There can not be a contract between a father and daughter.

'A' has not committed fraud.

'A' has committed fraud.

Explanation:

A has not committed fraud because A had sold the horse to B which he intended to do B should have checked each and every thing about the same before entering the contract. Hence, option 3 is the correct answer.