Fraus Est Celare Fraudem: The Legal Principle of Concealing Fraud

Q: What does fraus est celare fraudem mean?

It means &quot;it is fraud to conceal a fraud,&quot; emphasizing the importance of transparency in legal matters.

Q: How can I prove fraud in a legal case?

You must demonstrate intent to deceive, concealment of material facts, and resulting harm.

Q: Does this principle apply to verbal agreements?

Yes, it applies to both written and verbal agreements.

Definition & Meaning

Fraus est celare fraudem is a Latin phrase that translates to "it is fraud to conceal a fraud." This legal principle emphasizes that a person cannot hide fraudulent actions or information to deceive others, especially in legal matters. The essence of this maxim is that if someone misleads another party about a significant fact, they cannot later defend themselves by claiming that the concealed information would have changed the outcome.

Table of content

Legal Use & context

This term is commonly used in civil law, particularly in cases involving fraud, contracts, and property disputes. It serves as a reminder that transparency is crucial in legal transactions. For instance, if a party to a contract hides important information that affects the agreement, they may be held accountable for any resulting damages. Users may find legal templates on US Legal Forms that can help them navigate situations where this principle applies.

Key legal elements

Real-world examples

Here are a couple of examples of abatement:

In the case of Lee v. Kirkpatrick, a mortgagor concealed their equitable defense regarding the amount owed on a mortgage. The court ruled that since the mortgagor misled the other party, they could not later assert their defense against the mortgagee's claim for full payment.

(Hypothetical example): A seller of a property fails to disclose a significant defect in the building's structure. The buyer, unaware of this defect, completes the purchase. If the buyer later discovers the defect, they may have grounds to claim fraud against the seller based on the principle of fraus est celare fraudem.

State-by-state differences

Examples of state differences (not exhaustive):

State	Legal Context
California	Fraud claims often require proof of intent to deceive.
New York	Concealment must be proven as a significant factor in the transaction.

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term	Definition	Key Differences
Fraud	Deceptive practice intended to secure unfair or unlawful gain.	Fraus est celare fraudem specifically addresses concealment of fraud.
Misrepresentation	False statement that induces another to enter a contract.	Misrepresentation does not necessarily involve concealment.

Common misunderstandings

What to do if this term applies to you

If you believe you have been misled in a transaction, consider the following steps:

Gather evidence of the concealment and its impact on your situation.
Consult with a legal professional to evaluate your options.
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Quick facts

Common legal areas: Civil law, contracts, property disputes
Key element: Intent to deceive
Potential outcomes: Legal claims for damages

Key takeaways

Frequently asked questions

What does fraus est celare fraudem mean?

It means "it is fraud to conceal a fraud," emphasizing the importance of transparency in legal matters.