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"Fraud as defined in the Contract Act means actual fraud. But in equity the Courts have also developed the doctrine of "constructive fraud". The following extract Part II, Page 55 on the concept of "constructive fraud" is being quoted :--

In the equity, the term "fraud" embraces not only actual fraud, in the sense just defined, but also certain other conduct which falls below the standards demanded by equity. Courts of equity did not even stop at "moral fraud in the ordinary sense" but took account of any "breach of the sort of obligation which is enforced by a Court that from the beginning regarded itself as a Court of conscience" Nocton v. Lord Ashburton. The Courts have refused to define this extended, or constructive, fraud; for, in the words of Lord Hardwsicke, "fraud is infinite, and were a Court of equity once to lay down rules, how far they would go, and no further, in extending their relief against it, or to definite strictly the species of evidence of it, the jurisdiction would be cramped, and perpetually eluded by new schemes which the fertility of man's invention would contrive."