Undue Influence Flashcards
What defines undue influence in legal terms?
Exploiting a relationship of trust to gain an unfair advantage, often where there’s a significant power imbalance.
What landmark case established the principle against retaining advantages obtained by undue influence?
Tate v Williamson (1866-67), emphasizing the abuse of a position of confidence.
What are the key elements in proving undue influence?
Establishing a trust relationship, a questionable transaction, and shifting the burden of proof to the defendant.
Name significant cases related to undue influence.(1887) (1990) (2002)
Allcard v Skinner (1887), Bank of Credit and Commerce International SA v Aboody (1990), Royal Bank of Scotland Plc v Etridge (No. 2) (2002).
What characterises actual undue influence (Old Class 1)?
Direct evidence of relational pressure and a manifest disadvantage, requiring the influencer’s explicit use of their position.
What is required for causation in actual undue influence cases?
The influence must significantly factor into the victim’s contract decision.
How is presumed undue influence (Old Class 2) proven?
By showing trust and confidence in the defendant and a questionable transaction.
What distinguishes Automatic Presumption (Class 2A) from Proved Relationship of Influence (Class 2B)?
Class 2A involves automatic presumption in certain relationships, while Class 2B requires evidence of an influence-capable relationship.
What role do non-commercial guarantees play in undue influence?
They focus on personal guarantees, often needing independent advice to ensure the guarantor’s understanding.
Key case for actual undue influence as a form of fraud?
CIBC Mortgages v Pitt (1993).
Landmark case outlining protective measures in presumed undue influence?
Royal Bank of Scotland Plc v Etridge (No. 2) (2002).