Directions: Each question consists of legal propositions/principles and facts. These principles have to be applied to the given facts to arrive at the most reasonable conclusion. Principle: Mere silence as to facts likely to aff ect the decision of a person to enter into a contract does not amount to fraud - unless his silence is in itself equivalent to Speech. Facts: A sells to B a horse which A knows to be of unsound mind. B says to A that if A does not say anything about the State of mind of horse - then B shall presume that the horse is of sound mind. A says nothing to B about the mental condition of horse.