concealment


Also found in: Dictionary, Thesaurus, Medical, Idioms, Encyclopedia, Wikipedia.

concealment

n. fraudulent failure to reveal information which someone knows and is aware that in good faith he/she should communicate to another. Examples include failure to disclose defects in goods sold (the horse has been sick, the car has been in an accident), leaving out significant liabilities in a credit application, or omitting assets from a bankruptcy schedule to keep them from being available for distribution to creditors. Such concealment at minimum can be a cause for rescission (cancellation) of a contract by the misled party or a civil lawsuit for fraud. (See: fraud)

concealment

noun camouflage, confinement, cover, deceitfulness, disappearance, disguise, duplicity, evasion, furtiveness, hiding, incognito, invisibility, nonappearance, obfuscation, obscurity, obsuration, privacy, seclusion, secrecy, secretion, secretiveness, silence, stealthiness, subterfuge, suppression, suppression of the truth
Associated concepts: concealment of assets, concealment of information, concealment of material fact, concealment voiding an insurance policy, concealment with intent to deeraud creditors, evasive contempt
Foreign phrases: Aliud est celare, aliud tacere.To conceal is one thing; to be silent is another. Suppressio veri, suggestio falsi. The suppression of truth is equivalent to the suggestion of what is false.
See also: artifice, color, confidence, disguise, evasion, mystery, nonappearance, obscuration, privacy, subterfuge, veil

CONCEALMENT, contracts. The unlawful suppression of any fact or circumstance, by one of the parties to a contract, from the other, which in justice ought to be made known. 1 Bro. Ch. R. 420; 1 Fonbl. Eq. B. 1, c. 3, Sec. 4, note (n); 1 Story, Eq. Jur. Sec. 207.
     2. Fraud occurs when one person substantially misrepresents or conceals a material fact peculiarly within his own knowledge, in consequence of which a delusion exists; or uses a device naturally calculated to lull the suspicions of a careful man, and induce him to forego inquiry into a matter upon which the other party has information, although such information be not exclusively within his reach. 2 Bl. Com. 451; 3 Id. 166; Sugd. Vend. 1 to 10; 1 Com. Contr. 38; 3 B. & C. 623; 5 D. & R. 490; 2 Wheat. 183; 11 Id. 59; 1 Pet. Sup. C. R. 15, 16. The party is not bound, however, to disclose patent defects. Sugd. Vend. 2.
     3. A distinction has been made between the concealment of latent defects in real and personal property. For example, the concealment by an agent that a nuisance existed in connexion with a house the owner had to hire, did not render the lease void. 6 IV. & M. 358. 1 Smith, 400. The rule with regard to personalty is different. 3 Camp. 508; 3 T. R. 759.
     4. In insurances, where fairness is so essential to, the contract, a concealment which is only the effect of accident, negligence, inadvertence, or mistake, if material, is equally fatal to the contract as if it were intentional and fraudulent. 1 Bl. R. 594; 3 Burr. 1909. The insured is required to disclose all the circumstances within his own knowledge only, which increase the risk. He is not, however, bound to disclose general circumstances which apply to all policies of a particular description, notwithstanding they may greatly increase the risk. Under this rule, it has been decided that a policy is void, which was obtained by the concealment by the assured of the fact that he had heard that a vessel like his was taken. 2 P. Wms. 170. And in a case where the assured had information of "a violent storm" about eleven hours after his vessel had sailed, and had stated only that "there had been blowing weather and severe storms on the coast after the vessel had sailed" but without any reference to the particular storm it was decided that this was a concealment, which vitiated the policy. 2 Caines R. 57. Vide 1 Marsh. Ins: 468; Park, Ins. 276; 14 East, R. 494; 1 John. R. 522; 2 Cowen, 56; 1 Caines, 276; 3 Wash. C. C. Rep. 138; 2 Gallis. 353; 12 John. 128.
     5. Fraudulent concealment avoids the contract. See, generally, Verpl. on Contr. passim; Bouv. Inst. Index, h.t.; Marsh. Ins. B. 1, c. 9; 1 Bell's Com. B. 2, pt. 3, c. 15 s. 3, Sec. 1; 1 M. & S. 517; 2 Marsh. R. 336.

References in periodicals archive ?
We are very excited to be partnering with a trailblazing company like Ascent Solar, and proud to help supply their products to the US marketplace," said Michael Goerlich, owner, Raven Concealment Systems.
He observed that concealment of an asset from the public eye that was acquired after entering upon office, for which the member was unable to give a judicially acceptable explanation, was to be treated as an act of concealment with dishonest intentions.
In the food risk trial, we examined the rabbits' choice of feeding stations (ceramic bowls) containing PSM-free food versus PSM-containing food, both under constant high level of concealment.
Through the concealment of its agency the state is able to maintain its existence unchallenged as it presents itself as being incapable of controlling or constraining globalisation or the free market, while creating an illusion of freedom and autonomy for its citizens.
Over the course of the season, the researchers observed that the use of concealments became the chimpanzees preferred strategy.
Michelow for fraudulent concealment based on his failure to fully disclose the cause of the fire and the extent of her injuries.
2 second slower than from his regular concealment rig and a hair faster than with his duty rig, which has a slightly more complicated security device.
Self-concealment, the active concealment of personal, distressing, or negative information from others (Larson & Chastain, 1990), has recently become a focus of research on help-seeking attitudes and behaviors.
In connection with legislative changes in the Czech Republic (CR), especially approval of the population protection concept by the year 2013 until the year 2020, several new issues arose in the area of the population protection by the concealment in the CR.
What he came up with is, I feel, the best concealment holster on the market today.
2001), perhaps less associated with negative attitudes toward mental health problems or concealment of personal distress per se.
1 : to place in the ground and cover over for concealment <The pirates buried their treasure.