Outline v5 - first 2 pg

Outline v5 - first 2 pg - After Acceptance Ways to not...

This preview shows page 1 - 3 out of 12 pages.

After Acceptance : Ways to not enforce Duress: §175 o There elements: 1) wrongful or improper threat, 2) Lack of reasonable alternative, 3) actual inducement o Wrongful or improper threat §175 What’s improper? List at §176 Includes economic duress. SPLIT COURTS o Some courts say economic duress must be caused by threatening party. Selmer co v. Blakeslee (Posner) o Other courts say still improper even if the party under duress caused the problem. EX: Threat of bankruptcy from withholding payment was was increased by D’s prior unfair dealings (delaying payments, bringing more materials than were bargained ofr, etc) in Totem Marine v. Alyeska Pipe Line Co o Lack of Reasonable Alternative An alternative or remedy would cause irreparable loss to economic or business interest. EX: See Austin Instruments, where subcontracor threatened to refuse further delivery under a K unless K agreed to modify existing K. o Actual Inducement: Comment C of Rest: All attendant circumstances must be considered, incuding age, background, relationship, of parties. EX: In Totem Marien v. Alyeska Pipe Line , o Remedy Voidable: Gives harmed party an option to end the K (recession) or enforce the K. Undue Influence: Rarely Used Rest. §177 o Involve a dominant party inducing a subservient (it’s patronizing) party to consent to an agreement to which the other party would not otherwise have consented. o No elements, courts just look for “pattern” to distinguish legitimate persuasion from excessive pressure Discussion of transaction at unusual time Consummation of the transaction in an unusual place Insistent demand that business be fine
Image of page 1

Subscribe to view the full document.

Extreme emphasis on untoward consequences of delay Use of multiple persuaders by dominant side against a single party Statements that there is no time to consult advisors or attorneys o Example Ororizzi v. Bloomfield School District, P arrested for being gay, D principal, etc, convinced P at his house to resign using almost all of the above elements, including threatening they would publish his suspension. o Remedy Voidable Misrepresentation: 3 types 1. Fraud, 2.execution, 3. disclosure o Remedy? voidable o Fradulent Misrepresentation Rest. §165(1) LMTS: A false representation The representation was material It was made knowingly With the intent to deceive/or defraud The victim believed and relied upon the representation The representation caused the victim to enter the K The victim was damaged Example Syster v. Banta (old lady told that she could become a professional dancer). D had intent to deceave. o Fraud in the execution RS §166 General rule: parties are bound to the terms of the agreement they sign Ray v. Eustice Bros Fraud in the execution occurs when one party has deliberately (and in bad faith) misrepresented the nature of the doc the V has signed.
Image of page 2
Image of page 3

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern