Economic Duress Flashcards
(13 cards)
What is ED ?
a threat(or pressure) of financial damage to Cs business or them which forces them to enter a contract
What are the elements of ED ?
must b PRESSURE
must b ILLEGITIMATE
must have a LACK OF CHOICE
loss must b SUBSTANTIAL
What must the pressure be & cases ?
to such a degree of coercion the other part is deprived of free will (Simeon & the sibotre)
What did Interfoto V stiletto visual add to pressure ?
b more than ‘normal commercial pressure’ and beyond usual rough and tumble of business dealings
What does an illegitimate pressure mean and case ?
not just acceptable business negation (atlantic baron)
When is pressure legitimate and case ?
when action threatened is lawful (CTN cash & carry v gallagher) seller had right to withdraw at any time
When can pressure be illegitimate when action is lawful (case) ?
Progress Bulk Carriers V Tube City
What did Lord Hodge say in Pakistan International Airlines V Times Travel about lawful pressure ?
lawful pressure on its own isn’t enough for ED, D must b ‘morally reprehensible’
What case set out lack of choice ?
universe tankships V international workers federation
What is lack of choice ?
C HAS to enter the contract as no alternative
What are the 4 things that help us determine if loss was substantial as set out in Pao on V Lau Yiu Long ?
1) protested ?
2)alternative ?
3) avoided ?
4)advice ?
How does lapse of time affect ED & case ?
atlantic petroleum geo services- may no longer be ED
What is the only remedy to ED ?
restitution- court order to put C in pre contract position
