Chapter 9 Multiple Choice Questions

Duress, undue influence and unconscionable bargains

Quiz Content

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. One category of voidable contracts is those contracts that can be rescinded or affirmed by a party subjected to undue influence.

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. The relationship between husband and wife is an automatic relationship of trust and confidence.

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. ……… notice applies when a party did not have actual notice of a third party's actions, but he ought to have been aware of it.

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. The courts give relief against unconscionable bargains in order to prevent ……… of a party's weakness

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. Match the event to the legal analysis or case.

Too much pressure.

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Too much influence.

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Too much exploitation.

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Notice of an induced mistake (misrepresentation).

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. Which of the following are required to establish an unconscionable bargain? Please select all that apply.

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. Garry is a painter and decorator, and Alex employs him to decorate his dining room at a time when Garry is the only available decorator in the area. The room must be completed by 20 June, when Alex is giving a lavish dinner to his business contacts. Garry completes three out of four walls and then gets a better offer to work on a different house further down the street. A day before the business dinner, Garry tells Alex that he must pay 25% extra or he will not finish the work. Alex pays the extra – can he recover it?

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. The Privy Council advised, in Barton v Armstrong, that the threat against Barton must:

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. A threat to do something that is lawful may amount to duress.

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. Is it true today to say that a contract may be voidable for duress if one party threatens to seize (or does seize) possession of another party's goods?

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. A party who claims that actual undue influence made a contract voidable must prove that the transaction was manifestly disadvantageous.

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. Match the requirement to the legal doctrine.

Relationship of trust and confidence and a transaction calling for an explanation.

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Proof of one party exercising too much influence over another.

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Threat to breach a contract, which causes (on a 'but for' test) a party to enter into a contract when he has no other reasonable alternative.

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An unfair bargain, a disadvantaged party and unconscionable conduct.

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. Which of the following is likely to give rise to duress? Please select all that apply.

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. The rescuers in The Port Caledonia (1903) could not recover any money for the rescue because the captain's promise to pay £1,000 was made under duress.

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. In order to establish presumed undue influence, the claimant must show that the there was a transaction calling for an ……….

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. O'Sullivan v Management Agency and Music Ltd is an example of a case in which a contract can be rescinded even if the specific benefits cannot be returned precisely and exactly.

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