Duress & Undue Influence

Question 1

Durress

Answer 1

–> wrongful act or threat by one of the contracting parties that coerces the other parties to enter into a transaction against her will
- Threat leaves the victim with “no reasonable alternative”
- Duress occurs when one party is forced or threatened into entering a contract against their will.

Question 2

Assent must be

Answer 2

free and voluntarily given

Question 3

Durress by threat

Answer 3

Threatened ≠ contract
Pressure from 3rd party ≠ contract
Durres w/ physical compulsion → no contract = void

Question 4

Requirements of Duress:

Answer 4

1. there must be a threat;
   2.the threat must be improper;
2. the threat must induce the victim’s assent to the agreement;
3. the threat must be such that it leaves the victim with no reasonable alternative

Question 5

Undue Influence

Answer 5

–> Undue influence occurs when one party uses their power or trust over another party to manipulate or control their decisions in an unfair way, but without direct threats or force.
- Easier to satisfy than duress
- High pressure works on the mental morale of the other party on their weakness
– Usually based on a relationship

Question 6

2 major components of undue influence

Answer 6

A stronger party uses unfair persuasion
Weaker party’s assent