Contract 11 - Duress Flashcards
1
Q
What are the 3 types of duress?
A
- Duress to the Person π§ π€: actual or threatened violence; one factor influencing decision to enter contract (need not be decisive)
- Duress to Property π π: seizure or damage to ownerβs property (or threat) - but for duress, agreement would not have been entered into
- Economic Duress π°:
2
Q
What is the effect of Duress
π°
A
Makes contract
- Voidable ποΈ
- Rescission π (not available if contract has been affirmedππ€).
3
Q
What is required for economic duress?
π°
A
- Pressure π
- lack of practical choice for victimπ€·
- which is illegitimate π
- is a significant cause inducing C to enter contract (but for test) π
4
Q
What considerations are there to determine if pressure is illegitimate for economic duress?
π°
A
- Has there been actual or threatened breach of contract? π₯
- Has person exerting pressure acted in bad faith? π
- Did victim protest at time? πͺ§
- Has victim affirmed or sought to rely on it? ππ€
5
Q
What cases are there for Duress?
A
- Cladding company gouged client who had other contracts riding on the cladding being in place π’ - ED
- Dβs sole carrier contract was less lucrative than the carried expected, demanded price increase π- ED
- exhibition due to open forced to pay builder whose members were on strike more cash π·ββοΈ- ED no practical choice.
- diving company reused to dive for safety reasons without more pay/terms π€Ώ- legitimate pressure so not illegitimate.
- supplier of boat demanded 10% more at last minute π³οΈ. Buyer didnβt complain until 10 months later - no ED as did not protest & 10 months meant affirmed contract.