b) How can you differentiate 'Active concealment from 'Passive concealment'?
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Answer:
INTRODUCTION: A contract made through fraud is void at the option of the party whose consent was obtained through fraud. Most of the cases of fraud are related to misrepresentation of facts. When such misrepresentation is done on purpose it is known as fraud according section 17 of the Indian Contract Act. This should no be mistaken with unintended and innocent misrepresentation which is covered under Section 18 of ICA. When a party makes any untrue statements with the purpose of deceiving the other party to ultimately obtain his/her consent, it is known as fraud. To the contrary, if the person makes a false statement believing that it is true and does not have an intention of deceiving the other party, it cannot be fraud. Such cases fall under misrepresentation
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