Material Fact

Fact that is germane to a particular situation; one that participants in the situation, such as a trial, may reasonably be expected to consider.

Falsification of a material fact in such a manner that, had the insurance company known the truth, it would not have insured the risk. A material misrepresentation gives an insurance company grounds to rescind a contract. See also Concealment.

A fact that is germane to a particular situation; one that participants in the situation such as a trial, may reasonably be expected to consider.
Example: If material facts about the investment property lying in a Floodplain had been communicated to the buyer, he would not have bought. He is now charging Misrepresentation against the seller and the Broker.