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CHANAKYA NATIONAL LAW

UNIVERSITY,PATNA

ROUGHT DRAFT: CONTRACTS-I

TOPIC: DIFFERENCE BETWEEN COERSION


AND UNDUE INFLUENCE

SUBMITTED TO:-

MRS. SUSHMITA SINGH


FACULTY OF LAW OF TORTS

SUBMITTED BY:

AKASH KUMAR

ROLL NO – 1707

BA LLB, 2ND SEMESTER


INTRODUCTION
Coercion is a practice of unlawfully intimidating a person or property, employed
to induce a person to enter into an agreement without his independent will. This
involves physical pressure. It is an act of compelling a person in such a manner
that he doesn’t have any choice rather than entering into an agreement with the
other party.
Coercion includes blackmailing, threatening to kill or beat any person, torture,
harming the family of a person, detaining property. Moreover, it includes the
actual committing or threatening to commit an offence which is strictly
prohibited, or forbidden by the Indian Penal Code (IPC), 1860. The acts
influenced by coercion are voidable, not void i.e. if the other party whose will is
influenced by coercion seems any benefit in the contract, then it can be
enforceable.

Undue Influence is a situation in which one person, influences the free will of
someone else by using his position and authority over the other person, which
forces the other person to enter into an agreement. Mental pressure and moral
force are involved in it.
The parties to the contract are in fiduciary relation to each other like a master –
servant, teacher – student, trustee – beneficiary, doctor – patient, parent – child,
solicitor – client, employer – employee, etc. The dominant party tries to
persuade the decisions of the weaker party, to take unfair advantage of his
position. The contract between the parties is voidable, i.e. the weaker party can
enforce it if he seems some benefit in it.
Differences Between Coercion and Undue Influence

The major differences between coercion and undue influence are as


under:

1 The act of threatening a person in order to induce him to


enter into an agreement is known as coercion. The act of persuading the
free will of another individual, by taking advantage of position over the
weaker party, is known as undue influence.

2 Coercion is defined in section 15 while Undue Influence is


defined in section 16 of the Indian Contract Act, 1872.

3 Any benefit received under coercion is to be restored back to


the other party. Conversely, any benefit received under the undue
influence is to be returned to the party as per the directions given by the
court.

4 The party who employs coercion is criminally liable under


IPC. On the other hand, the party who exercises undue influence is not
criminally liable under IPC.

5 Coercion involves physical force, whereas Undue Influence


involves mental pressure.

6 The parties under coercion need not be in any relationship


with each other. As opposed to undue influence, the parties must be in a
fiduciary relationship with each other.
AIMS AND OBJECTIVE

i. To discuss (in brief) the difference between


coercion and undue influence
ii. To study the case law related coercion and undue
influence

RESEARCH METHODOLOGY

For the purpose of project research, Researcher will rely upon the Doctrinal
Method of Research.

TENTATIVE CHAPTERISATION
• INTRODUCTION
• Concept of coercion and undue influence
• Difference between coversion and undue influence
• Landmark cases
• Exception if any
• CONCLUSION
BIBLIOGRAPHY
• The modern law of contract-Richard stone

• Law of contracts- avatar singh

• Contract I -Dr. R.K. Bangia

• Law of contracts by pollock & mulla