Duress and Undue Influence

Question 1

What is the definition of duress in Subsea?

Answer 1

“The exercise of illegitimate pressure, compelling or restricting the choice for the victim, which is a significant cause in inducing the victim to enter the contract”

Question 2

What elements are there to establish for duress to take place?

Answer 2

1. Illegitimate pressure
2. Compelling or restricting the choice for the victim
3. The pressure was a significant cause in inducing the party to enter the contract

Question 3

What factors are established in Carillion v Felix for establishing whether illegitimate pressure has taken place?

Answer 3

1. Actual or threatened breach of contract2
2. Whether the breaching party was acting in good faith
3. Whether the victim had a realistic practical alternative
4. Whether the victim protested at the time
5. Whether the victim affirmed and sought to rely on the contract

Question 4

Is physical pressure enough to establish duress?

Answer 4

Yes. Barton v Armstrong

Question 5

Duress makes the contract voidable not void. Which case?

Answer 5

Opel v Mitras

Question 6

What are the four bars to rescission in duress?

Answer 6

1. Affirmation
2. Delay
   3 An innocent party has acquired an interest
3. It is impossible to restore the goods or property.