Fraud by failing to disclose information

• What section mentions Fraud by failing to disclose info?

  section 3
• How does s3 define Fraud by failing to disclose info?

  S.3 A person is in breach of this section if he-

  • (a) dishonestly fails to disclose to another person information which he is under a legal duty to disclose, and
  • (b) intends, by failing to disclose the information-

  (i) to make a gain for himself or another, or

  (ii) to cause loss to another or to expose another to a risk of loss.
• What is the AR of Fraud by failing to disclose information?

  AR: failure to disclose information where there is a legal duty to disclose
• What is the MR of Fraud by failing to disclose information?

  MR: dishonesty (Ivey test) and intention to make a gain or cause a loss
• For dishonesty, what does not apply to Fraud?

  The three circumstances in s2 of the Theft Act 1968 DOES not apply to the Fraud Act 2006: only use the Ivey Test & do not mention the 3 ways that a person can not be dishonest
• For the 1st AR element, what are the three common ways for D to fail to disclose information?

  1. D says nothing
  2. D says something but says that there is nothing to disclose
  3. D partially discloses information
• What is the meaning of Legal duty for the second AR element?

  • ‘Legal duty’ is not defined BUT
  • Possibly: duties arising under statute, from contractual terms, from a fiduciary relationship etc.
• What is not required for the 2nd MR element: Intention to make a gain or cause a loss (same as section 2)

  No requirement of knowledge of the duty