In the Indian Contract Act, fraud is understood as?

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In the context of the Indian Contract Act, fraud is understood as the act of deliberately providing false information with the intention of deceiving another party. This definition highlights the intentional aspect of fraud, where the person committing the fraud knowingly makes false representations or conceals material facts to manipulate the other party into entering a contract.

Fraud is a significant factor in determining the validity of a contract, as it can undermine the mutual consent that is essential for a legally binding agreement. The law aims to protect parties from deceitful practices that could lead to unfair advantages or unjust outcomes in contractual relationships.

The other options describe scenarios that do not meet the legal definition of fraud. Misleading someone unintentionally pertains more to a mistake rather than a deliberate act to deceive. Failing to disclose important contract terms may relate to misrepresentation but does not inherently qualify as fraud unless it involves intentional concealment. Lastly, using aggressive negotiation tactics, while potentially unethical, does not fall under the legal definition of fraud unless accompanied by deceitful falsehoods.

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