1. MCA Contents
  2. TITLE 28
  3. CHAPTER 2
  4. Part 4
  5. 28-2-406 What constitutes constructive fraud

TITLE 28. CONTRACTS AND OTHER OBLIGATIONS

CHAPTER 2. CONTRACTS

Part 4. Circumstances Which Affect Validity of Apparent Consent

What Constitutes Constructive Fraud

28-2-406. What constitutes constructive fraud. Constructive fraud consists of:

(1) any breach of duty that, without an actually fraudulent intent, gains an advantage to the person in fault or anyone claiming under the person in fault by misleading another person to that person's prejudice or to the prejudice of anyone claiming under that person; or

(2) any act or omission that the law especially declares to be fraudulent, without respect to actual fraud.

History: En. Sec. 2118, Civ. C. 1895; re-en. Sec. 4979, Rev. C. 1907; re-en. Sec. 7481, R.C.M. 1921; Cal. Civ. C. Sec. 1573; Field Civ. C. Sec. 758; re-en. Sec. 7481, R.C.M. 1935; R.C.M. 1947, 13-309; amd. Sec. 775, Ch. 56, L. 2009.