Duress In Common Law Case Study

1747 Words4 Pages

A person should not be held to a contract if he or she entered such contract due to a threat or pressure that was put on them. The doctrine of duress in common law covers this issue while in equity it is dealt with by the doctrine of undue influence. Economic duress has had, as McKendrick says, a ‘’somewhat chequered career’’ and being ‘’bedevilled by conceptual confusion’’ . Previously, actual physical violence or threats of physical violence must have been imposed on the individual themselves and the courts recognised such acts to the weaker party as an excuse for avoiding a contract however, the doctrine of duress has become much more expansive throughout the years. A series of English cases from as early as 1731 established the common law doctrine of duress of goods and introduced that money paid under economic compulsion could be recoverable, but the idea of actually setting aside a …show more content…

This test applies to cases of misrepresentation and mistake so the contention for a higher test seems to be unjust in cases of economic duress. Mance J said ‘’The illegitimate pressure must have been such as actually caused the making of the agreement, in the sense that it would not otherwise have been made either at all or, at least, in the terms in which it was made. In that sense, the pressure must have been decisive or clinching’’ . This alters for reason of public policy in cases duress to the person as the burden of proof is reversed . This is shown in the case of Barton v Armstrong in which a managing director was threatened by the company chairman of the same company with death if he did not agree to purchase some shares. Even though there was evidence that showed that the managing director might have been willing to buy shares without any threat being issued, the agreement was still set

Open Document