There are various forms of getting people induced into a contract. One of the illegal ways in which a person can be induced into a Contract is to exert undue influence on the other party. Whenever a contract is entered through exerting pressure on the other party to sign the contract, there is existence of undue influence (Anon, 2013).
Whenever one party sees that the other party can be exploited, it makes use of undue influence as a tool in inducing the other party to enter into a contract. When one party uses the relationship as a tool to gain unfair advantage of the other party, it's tantamount to using undue influence (Jr, 2008).
Law states that it is illegal to use another party for one's own unfair motives. Thus it asserts that a contract should be free from Undue Influence. Exploitation is paramount in the existence of undue influence. If it is proved that the contract was based on undue influence, Courts have the right to render the court null and void (Piazza, 2010).
Force
Many Contracts are applied with the aspect of Force inherent in them. If one party makes use of threats, false notions and judgements to get the other party in acting against their wishes, it is liable of using force in Contracts (Wishart, 2013).
If one party is forced to sign the agreement or execute a will, Courts have the right to make them null and void. It has been observed in many criminal cases that the defendants point out to reasons of force which led to their criminal activities.
The Court has a legal right to make the contract null and void if it is proved that the contract was a result of force by one of the parties. It is possible that the contract may be rescinded since it has become voidable.
Fear
A number of contracts are initiated with the aspect of fear behind them. There is a high prevalence of one party exerting fear on the other so that a contract could be established. If a contract is applied by taking advantage of fear exerted on the other party, court has the right to make such a contract null and void. Any Contract made by exerting fear on the other party is bound to be rescinded since it is against law to take advantage of a person because he/she fears you.
Application
There is a high prevalence of undue influence in the case of Jess & Nick. Jess is resorting to threatening Jack in case he does not sign the contract. Jess wants to induce Nick into signing the contract even after knowing that he does not enjoy a stable financial condition. By forcing him to sign the contract and threatening to finish her friendship with Jack if he does not sign, Jess is making use of Undue Influence in order to initiate the contract.
The contract of furniture between Jess & Nick cannot be enforced due to ...