Sunday, July 8, 2012

What is "Bad Faith"?

Bad faith - Free Dictionary
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The fraudulent deception of another person; the intentional or malicious refusal to perform some duty or contractual obligation.

Bad faith is not the same as prior judgment or Negligence. One can make an honest mistake about one's own rights and duties, but when the rights of someone else are intentionally or maliciously infringed upon, such conduct demonstrates bad faith.

The existence of bad faith can minimize or nullify any claims that a person alleges in a lawsuit. Punitive Damages, attorney's fees, or both, may be awarded to a party who must defend himself or herself in an action brought in bad faith.

Bad faith is a term commonly used in the law of contracts and other commercial dealings, such as Commercial Paper, and in Secured Transactions. It is the opposite of Good Faith, the observance of reasonable standards of fair dealings in trade that is required of every merchant.

A government official who selectively enforces a nondiscriminatory law against the members of a particular group or race, thereby violating the Civil Rights of those individuals, is acting in bad faith.
West's Encyclopedia of American Law, edition 2. Copyright 2008 The Gale Group, Inc. All rights reserved.

bad faith 1) n. intentional dishonest act by not fulfilling legal or contractual obligations, misleading another, entering into an agreement without the intention or means to fulfill it, or violating basic standards of honesty in dealing with others. Most states recognize what is called "implied covenant of good faith and fair dealing" which is breached by acts of bad faith, for which a lawsuit may be brought (filed) for the breach (just as one might sue for breach of contract). The question of bad faith may be raised as a defense to a suit on a contract. 2) adj. when there is bad faith then a transaction is called a "bad faith" contract or "bad faith" offer. (See: good faith, fraud, clean hands doctrine)
Copyright © 1981-2005 by Gerald N. Hill and Kathleen T. Hill. All Right reserved.

bad faith noun abjection, abjectness, abscondence, apostasy, artifice, base conduct, betrayal, betrayment, breach of faith, broken faith, broken promise, collaboration, complicity, connivance, cozenage, debasement, deceit, deceitfulness, deception, defalcation, defection, delusion, delusiveness, dereliction, dereliction of duty, deviation from rectitude, deviousness, disaffection, disavowal, dishonesty, dishonor, disingenuousness, disloyalty, disobedience, double-dealing, duplicity, fallaciousness, false preeenses, false pretension, false swearing, falseheartedness, falseness, forswearing, fraud, fraudulency, furtiveness, guile, hypocrisy, ignominy, improbity, indiscretion, infidelity, insidiousness, insincerity, inveracity, lack of conncience, lack of fidelity, lack of principle, lack of probity, mala fides, malversation, mendaciousness, mendacity, misfeasance, misrepresentation, obliquity, perfidiousness, perfidy, pettifoggery, pretense, pretext, punic faith, recantation, recreancy, reprobacy, sedition, spuriousness, subterfuge, subversion, subversive activity, suppression of truth, surreptitiousness, traitorousness, treacherousness, treachery, turpitude, unauthenticity, unconscientiousness, underrand dealing, unfairness, unfaith, unfaithfulness, unfaithworthiness, ungenuineness, unloyalty, unsteadfastness, untrueness, untrustiness, untruthfulness, unveraciousness, unveracity, venality, violation of allegiance, violation of duty
Associated concepts: fraud
Burton's Legal Thesaurus, 4E. Copyright © 2007 by William C. Burton. Used with permission of The McGraw-Hill Companies, Inc.

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