What are deceptive acts intended to do?

Prepare for the CA Foundation Business Law Exam with our comprehensive quiz. Utilize flashcards and multiple-choice questions, each complete with hints and explanations. Ace your exam confidently!

Deceptive acts are specifically designed to mislead or cheat another party. This can occur in various forms, such as providing false information, concealing critical facts, or using misleading language in a contract or business transaction. The intention behind these acts is to create a false impression that can lead the other party to make decisions they otherwise would not have made, often resulting in harm or disadvantage to the misled party. Understanding the nature of deceptive acts is crucial for recognizing and addressing potential fraud in business law.

The other options—enhancing transparency, clarifying terms, and fostering trust in business dealings—reflect positive intentions that stand in stark contrast to the true nature of deceptive acts. These objectives aim to create clear and honest communication and reliable interactions in the business environment, highlighting the misconduct encapsulated in deceptive acts.

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