Economic duress

Question 1

What is the definition of economic duress

Answer 1

When someone enters into a contract as a result of financial threats

Question 2

What case states that commercial pressure is not enough there must be significant threat

Answer 2

Atlas Express v Kafco

Question 3

What are the 3 things the pressure must be

Answer 3

Takes away the victims choice, its illegitimate and is a significant cause for inducing the victim to enter into the contract

Question 4

What case states that if money is extracted as a result it must therefore be repaid

Answer 4

Universe Tankships of Monrovia v Intl.
Transport Workers Federation

Question 5

What case sets of the 4 questions that need answering

Answer 5

Pao on v Lau Yiu Long

Question 6

What are the 4 questions in Pao on v Lau Yiu Long

Answer 6

● Did the person claiming to be coerced protest about the pressure?
● Did that person have any other available course of action that was reasonable?
● Was he/she independently advised before taking the action?
● After entering into the contract, did he/she take steps to make the contract void?

Question 7

When can a threat be lawful

Answer 7

When the party genuinely believes the money to be wed to them

Question 8

What aces would you use for lawful threat

Answer 8

CTN Cash and Carry v Gallagher

Question 9

Can damages be given

Answer 9

No

Question 10

What can the courts do as a remedy

Answer 10

■ Make an order for the restitution of property or
money extracted under such duress
■ Declare the contract void