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A reference book for civilian law enforcement professionals
Contract Law
Vitiating Factors
Abuse of Power
Economic duress
An important area of abuse of power is economic duress. Economic duress typically arises where one party threatens to breach a contract unless the other party enters a varied or new contract with terms more favourable to the first party. It also can arise where there is very strong economic pressure to enter a contract. Ordinary economic needs frequently lead to contracts being formed, but vitiation does not arise even if such a contract turns out to be unfair...
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Undue Influence
A presumption exists that contracts formed in relationships of strong influence were not freely agreed to. This is especially where something of substantial value is transferred. Examples include a personal carer and an intellectually handicapped person, or a professional and a client totally reliant on their expertise.
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[1] Universe Tankships of Monrovia v International Transport Workers Federation [1983] 1 AC 366.