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6 Cards in this Set

  • Front
  • Back
Physical threats in part causing claimant to enter contract
Barton v Armstrong (1975)
- Defendant threatened to kill Barton if he didn’t buy his shares in a company.
- Barton did so, but would have in any case.
- Held that Barton was entitled to remedy because it was sufficient that the threat was one factor among other factors.
Case of illegitimate economic pressure
Atlas Express v Kafco (1989)
- Kafco were a small business whose wares were being distributed to Woolworths by Atlas
- Contract specified £1.10 per box but not how many boxes. Atlas said they would not transport for less than £400 per load.
- Kafco agreed to the extra but then didn’t pay.
- Held that the promise was extracted under duress and Atlas gave no consideration for the extra promise (Stilk v Myrick)
Existing contractual obligation can be good consideration for more money
Williams v Roffey (1991)
- If not extracted by duress
- Other party obtains some benefit
Ingredients of actionable duress
Carillion Construction Ltd v Felix (UK) Ltd (2001), Ingredients of actionable duress:
- There must be pressure whose effect is compulsion or lack of practical choice for the victim
- Pressure must be illegitimate
- Must be a significant cause inducing claimant to enter the contract
Factors to consider in Carillion
- Has there been an actual or threatened breach of contract?
- Has person allegedly exerting pressure acted in good or bad faith?
- Did victim have realistic practical alternative?
- Did the victim protest at the time?
- Did the victim affirm or seek to rely on the contract?
Case of duress where rescission was barred
North Ocean Shipping v Hyundai Construction Co (The Atlantic Baron) (1979)
- Shipbuilders threatened to stop work if customer didn’t pay more money
- Customer had to, because another contract relied on completion
- Took delivery, paid and claimed for rescission eight months later
- Rescission was barred due to affirmation (the payment) and delay