In law,fraud is deliberate deception to secure unfair or unlawful gain, or to deprivea victim of a legal right. Fraud can be a civil wrong. There are total 9elements of fraud.
Thefirst element is the representation of a fact. The meaning is anything short ofa warranty, which proceeds from the action of the party charged which issufficient to create upon the mind a distinct impression of fact conducive to action. Ifa plaintiff report that a office “made fraudulent representations inadvertisements and publicity,” a courtwill hold the complaint to be not sufficiency and dismiss the claim because itdid not “state, which, if any, of the plaintiffs heard these representationsand relied on them. Arepresentation can include a party’s failure to disclose certain facts. Ingeneral rule, speculation of hope for the future doesn’t constitute reasonablerepresentations of fact.
Thesecond common law fraud element is the fakeness of the representation.it is themost important to an action in fraud. A presenter’s “state of mind or intent”can reveal the falsity of the representation Thethird common law fraud element is the materiality of the representation. Arepresentation of a fact is material if it operates as an attraction to theother party to enter into the contract. Let’s say, the false statement doesnot have to actually contribute to a loss within the parties. Thenext common law fraud element needs the represented to either have knowledge ofthe representation’s fakeness or else be careless in his ignorance of itstruth.
The fifth common law fraud element is the presenter’s intention toinduce the other party to act in order with the representation Thiselement of fraud don’t require a straight relationship between the allegedfraudfeasor and a specific known person; it is enough if the fraudfeasor got”reason to expect” the person to act or to refrain from action in reliance uponthe misrepresentation, “in the type of transaction in which he intends or hasreason to expect the person’s conduct to be affect. The6th fraud element is the injured party’s ignorance of the representation’s fakeness.If a plaintiff knows a representation is false, a cause of action for commonlaw fraud will not exist Letssay the plaintiff only knows the falsity of some of the elements of arepresentation, which that knowledge will not prevent a searching of fraudbased on the concealment of other elements. But,if, under the circumstances, the injured person should have reasonably researchedmore into the representation, a court will not consider the person to beignorant buyer Theseventh common law fraud element is the injured party’s actual dependencies onthe truth of the representation.
Aninjured party’s actual reliance on a representation is normally the hardest partof common law fraud to prove. To be honest, many states have rejected the”fraud on the market” doctrine which made it not necessary for buyers orsellers of stock to prove they relied on a defendant’s misrepresentations. Theeighth common law fraud element is the injured party’s right to rely on therepresentation.
A person must not haves a right to rely on a representation if heis known the representation is fake.. Theninth and final common law fraud element is evidence of the injured party’sconsequent and acctual injury.
Inthe fraud text,,to be actionable the alleged misrepresentation must not onlyhave induced the recipient’s reliance, but must also have caused therecipient’s loss Forexample, a plaintiff is not harmed if she is “in exactly the same situation”before and after the representation.. Conclusion,a plaintiff take a common law fraud claim should plead with specificity andparticularity that the opposite party intentionally or recklessly represented amaterial and false with the intent to create the plaintiff to act in accordancewith the representation and that the plaintiff ignorantly and reasonably reliedupon the representation to her injury.