ch.15 duress & undue influence

Question 1

types of duress

Answer 1

• physical
• economic

Question 2

duress

Answer 2

1. improper threat
2. induces a promise
3. victim has no reasonable alternative

Question 3

improper threats

Answer 3

• crime or threat
• threat of criminal prosecution
• bad faith threat to use the civil process
• breach of the duty of good faith

Question 4

improper threat but-for test

Answer 4

but for the improper threat, they wouldn’t have assented

Question 5

physical duress

Answer 5

• contract VOID from the beginning
• can never be ratified

Question 6

economic duress

Answer 6

• contract voidable by the victim at any time
• may be ratified – then longer voidable
• implied obligation of good faith and fair dealing (once K is formed)

Question 7

common law

Answer 7

objective subjective

Question 8

modern trend

Answer 8

subjective standard

Question 9

undue influence

Answer 9

1. inducement
   - substantially contribute to victims decision
2. unfair persuasion
   - sliding scale test
3. undue susceptibility to domination by another
4. an inequitable results

Question 10

undue susceptibility

Answer 10

1. some weakness in the mind
2. bc the parties are in a relationship of trust

Question 11

weakness of mind

Answer 11

1. total incapacity, where a party does not understand the transaction
2. a lesser weakness which destroys the capacity of a person to make a contract