Legal Definitions - omission

An omission in a legal context refers to the failure to do something that one was legally required or expected to do, or the act of leaving out information that should have been disclosed. It signifies a lack of action or disclosure, rather than a direct, affirmative act.

• Example 1: Negligence and Duty to Act

  Imagine a construction company working on a building site. They are legally required to place safety barriers around deep excavations to prevent accidents. However, one evening, a crew leaves a large trench uncovered and unmarked. A pedestrian, walking near the site in the dark, falls into the trench and sustains injuries.

  The construction company's omission was their failure to install the necessary safety barriers or warnings around the excavation. They neglected a specific duty of care, and this inaction led to the pedestrian's injury, potentially making them liable for negligence.

• Example 2: Disclosure in Contracts or Sales

  Consider a homeowner selling their house. They are aware that the basement frequently floods during heavy rains, a problem they've tried to conceal. During the sale process, they deliberately do not mention this recurring issue to potential buyers, even when asked about water damage history.

  The homeowner's omission was their failure to disclose a material defect (the flooding basement) that would likely influence a buyer's decision. If the buyers discover the issue after purchase, this omission could form the basis for a legal claim, such as misrepresentation or fraud, depending on the jurisdiction's disclosure laws.

• Example 3: Regulatory Compliance

  A financial advisory firm is legally mandated by securities regulations to provide its clients with a detailed annual statement outlining all fees charged and investment performance. For a particular client, the firm accidentally fails to include a significant management fee that was indeed charged, making the client's reported returns appear higher than they actually were.

  The firm's accidental failure to include the management fee in the client's statement constitutes an omission. Even if unintentional, this oversight means they did not fulfill a specific regulatory requirement, which could lead to penalties from regulatory bodies or legal action from the client.