What legal concept is violated when a seller knowingly hides important information from a buyer?

The legal concept that is violated when a seller knowingly hides important information from a buyer is fraud. Fraud entails intentional deception to secure unfair or unlawful gain. When a seller conceals key facts that could influence a buyer's decision, they are engaging in fraudulent behavior. The act of hiding information can lead the buyer to make a decision they otherwise wouldn’t have made if they had been fully informed.

While non-disclosure refers to the failure to disclose information, it is typically not as severe as fraud, which specifically involves the intention to deceive. Misleading advertising pertains to false information presented in marketing materials rather than directly withholding information in a one-on-one transaction. Negligent representation usually involves a failure to exercise reasonable care in providing information, but it does not carry the intent of deception that fraud does. Therefore, in the scenario presented, the act of knowingly hiding crucial information is clearly an act of fraud.