Definitions for fraud in the factum
fraud in the fac·tum

Princeton's WordNetRate this definition:5.0 / 1 vote

1. fraud in the factumnoun

   fraud that arises from a disparity between the instrument intended to be executed and the instrument actually executed; e.g., leading someone to sign the wrong contract

WikipediaRate this definition:0.0 / 0 votes

1. Fraud in the factum

   Fraud in the factum is a type of fraud where misrepresentation causes one to enter a transaction without accurately realizing the risks, duties, or obligations incurred. This can be when the maker or drawer of a negotiable instrument, such as a promissory note or check, is induced to sign the instrument without a reasonable opportunity to learn of its fraudulent character or essential terms. Determination of whether an act constitutes fraud in the factum depends upon consideration of "all relevant factors". Fraud in the factum usually voids the instrument under state law and is a real defense against even a holder in due course. Contrast this with the situation where a trusted employee signs a check without permission. The employer must still honor the check despite the fact that the check was a fraudulent negotiable instrument. Here, the employer had a reasonable opportunity to avoid the obligation by restricting access to the checks. Fraud in the factum is often contrasted with fraud in the inducement. Fraud in the factum is a legal defense, and occurs where A makes/signs an agreement, but either does not realize that it is supposed to be a contract, or does not understand the nature/content of the agreement, because of some false information that B gave to A. For example, suppose John tells his mother that he is taking a college course on Handwriting Analysis, and for his homework he needs her to read and sign a pretend deed. If Mom signs the deed believing what he told her, and John tries to enforce the deed, Mom can plead "fraud in the factum". Fraud in the inducement is an equitable defense, and occurs when A enters into an agreement, knowing that it is supposed to be a contract and (at least having a rough idea) what the agreement is about, but the reason A signed/made the agreement was because of some false information that B gave to A. For example, suppose John tells his mother to sign a deed giving him her property, Mom refuses at first, but then John falsely tells her that the bank will foreclose on the property unless she signs it over to him. If Mom signs the deed because of this statement from John, and John tries to enforce the deed, Mom can plead "fraud in the inducement".

ChatGPTRate this definition:0.0 / 0 votes

1. fraud in the factum

   Fraud in the factum is a type of fraud where a person is deceived about what they are signing or the true nature of the agreement. It occurs when a person is tricked into signing a document not realizing that it is a contract or not understanding its fundamental terms, conditions or obligations. This kind of fraud results in a deception regarding the very substance of the contract itself and may cause the contract to be invalid or void.

WikidataRate this definition:5.0 / 1 vote

1. Fraud in the factum

   Fraud in the Factum is a type of fraud where misrepresentation causes one to enter a transaction without accurately realizing the risks, duties, or obligations incurred. This can be when the maker or drawer of a negotiable instrument, such as a promissory note or check, is induced to sign the instrument without a reasonable opportunity to learn of its fraudulent character or essential terms. Determination of whether an act constitutes fraud in the factum depends upon consideration of “all relevant factors.” Fraud in the factum usually voids the instrument under state law and is a real defense against even an holder in due course. Contrast this with the situation where a trusted employee signs a check without permission. The employer must still honor the check despite the fact that the check was a fraudulent negotiable instrument. Here, the employer had a reasonable opportunity to avoid the obligation by restricting access to the checks. Fraud in the factum is often contrasted with fraud in the inducement. ⁕Fraud in the factum is a legal defense, and occurs where A makes/signs an agreement, but either does not realize that it is supposed to be a contract, or does not understand the nature/content of the agreement, because of some false information that B gave to A. For example, suppose John tells his mother that he is taking a college course on handwriting analysis, and for his homework he needs her to read and sign a pretend deed. If Mom signs the deed believing what he told her, and John tries to enforce the deed, Mom can plead "fraud in the factum."

Matched Categories

1. • Fraud

How to pronounce fraud in the factum?

1. Alex

   US English

   David

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   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

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   Karen

   Australian

   Hayley

   Australian

   Natasha

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   Indian

   Priya

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   Neerja

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   Zira

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   Oliver

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   Wendy

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   Fred

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   Tessa

   South African

How to say fraud in the factum in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of fraud in the factum in Chaldean Numerology is: 4

2. Pythagorean Numerology

   The numerical value of fraud in the factum in Pythagorean Numerology is: 8

References

1. ^ Princeton's WordNet
   http://wordnetweb.princeton.edu/perl/webwn?s=fraud in the factum
2. ^ Wikipedia
   https://en.wikipedia.org/wiki/Fraud_in_the_Factum
3. ^ ChatGPT
   https://chat.openai.com
4. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=fraud in the factum