Fraud in the inducement


n. the use of deceit or trick to cause someone to act to his/her disadvantage, such as signing an agreement or deeding away real property. the heart of this type of fraud is misleading the other party as to the facts upon which he/she will base his/her decision to act. . a person is induced to enter into a transaction with a false impression of the risks, duties, or obligations involved. there is intentional misrepresentation of a material risk or duty reasonably relied on, thereby injuring the other party without vitiating the contract itself. examples: there will be advantages to you if you let me sign the contract in my name and take t-tle to your property. you don’t have to read the rest of the contract – it is just routine legal mumbo-jumbo your ear doesn’t hear as a lay person .
he pretended to represent my interest but over time it was clear that his trick was clearly fraud in the inducement and he went to jail for it.

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