Dolus Dans Locum Contractui Law and Legal Definition

Dolus Dans Locum Contractui is a Latin phrase for fraud or deceit giving rise to the contract. For example, it can refer to a fraudulent misrepresentation made by one of the parties to the contract and relied on by the other, which was actually instrumental in inducing the latter to enter into the contract. A party induced by another's fraud to enter into a contract, may elect either to rescind the bargain, or may sue the offending party for damages. For injury or damage to be the result of fraud, it must be shown that, except for the fraud, the injury or damage would not have occurred.