duress and undue influence Flashcards
what is duress
- illegitimate threat or pressure
- which leaves the claimant with a lack of practical choice or complusion
- and is a significant cause for them to enter the contract
Carillion Construction LTD v Felix
economic duress
Atlas Express v kafco
physical duress
Barton v Armstrong
bars to rescission
affirmation
undue delay
an inncocent purchaser has already acquired an interest in the contract
impossible to restore goods or property
Define Undue Influence
no precise definition, influence which goes beyond what is regarded as acceptable or; when one party isnin a position to influence another and takes an unfair advantage of that position.
Actual Undue Influence
whne the unfair advantage is used to force the other into contract which they felt compelled to enter.
Daniel v Drew
Presumed Undue Influence
presumed undue influence - Royal Bank of Scotland v Etridge
- relationship of trust and confidence is presumed in professional relationships - O’Sullivan v Management Agency Ltd
husband and wife relationships are not presumed unless facts indicate otherwise - the transaction calls for explanation
further undue influence
can the lender be tainted with that undue influence?
actual/constructive notice - when the influenced individual has brought up that they feel coerced
non-commercial relationships - automatically put on inquiry - Royal Bank of Scotland v Etridge
reasonable steps - private meeting or written and signed solicitor’s letter - Barclays Bank v O’Brien