As per Indian Contract Act coercion is __________.

it is threat from one person to another

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a threat made to a person and a contract is made on the basis of this threat

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always three people should be involved in threat

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None of the above

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Solution

The correct option is C a threat made to a person and a contract is made on the basis of this threat
When there is threat made to a person and a contract is made on basis of that threat then this falls under coercion as explained in the Indian Contract Act.

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Similar questions

Q. The nation in which people faced a threat to their lives and personal liberty is _____________.

Q. As per Section 124 of Indian Contract Act, 1872, a contract of _______ is a contract by which one party promises to save the other party from loss caused to him by the conduct of the promisor himself, or by the conduct of any other person.

Q. Legal Priinciples
Rules:
A. The act of using threat to enter into a contract is called coercion.
B. The act of using influence on another and taking undue advantage of that person is called undue influence.
C In order to prove coercion, the existence of the use of threat, in any form and manner, is necessary. If coercion is proved, the person who has been so threatened can refuse to abide by the contract.
D In order to prove undue influence, there has to be a pre-existing relationship between the parties to a contract. The relationship has to be of such a nature that one is in position to influence the other. If it is proven that there has been undue influence, the party who has been so influenced need not enforce the contract or perform his obligation, under the contract.

Facts:

Aadil and Baalu are best friends. Aadil is the son of a multi-millionaire businessman, Chullbul, who owns Maakhan pharmaceuticals. Baalu is the son of a bank employee , Dhanraj . One day, Aadil is abducted from his office by Baalu. Chulbul receives a phone call from Dhanraj telling him that if he does not make Baalu the CEO of Maakhan Pharmaceutical, Aadil will be killed. Chulbul reluctantly agrees to make Baalu the CEO. Subsequently, Chulbul and Baalu sign an employment contract. However , as soon as Aadil is released and safely returns home, Chulbul tells Baalu that he shall not enforce the employment contract. Baalu and Dhanraj are not sure to what is to be done next.
Baalu will succeed in getting the employment contract enforced if he can show that ____________________.

Q. Rules
A. The act of using threats to force another person to enter into a contract is called coercion.
B. The act of using influence on another and taking undue advantage of that person is called undue influence.
C. In order to prove coercion, the existence of the use of threat, in any form and manner, is necessary. If coercion is proved, the person who has been so threatened can refuse to abide by the contract.
D. In order to prove undue-influence, there has to be a pre-existing relationship between the parties to a contract. The relationship has to be of such a nature that one is in a position to influence the other. If it is proven that there has been undue influence, the party who has been so influenced need not enforce the contract or perform his obligations under the contract.
Facts
Aadil and Baalu are best friends. Aadil is the son of multi millionaire business person, Chulbul who owns Maakhan Pharmaceuticals. Baalu is the son of a bank employee, Dhanraj. One day, Aadil is abducted from his office by Baalu. Chulbul receives a phone call from Dhanraj telling him that if he does not make Baalu the CEO of Maakhan Pharmaceuticals, Aadil will be killed. Chulbul reluctantly agrees to make the Baalu the CEO.
Subsequently Chulbul and Baalu sign an employment contract. However as soon as Aadil is released and safely returns home, Chulbul tells Baalu that he shall not enforce the employment contract. Baalu and Dhanraj are not sure as to what is to be done next.
Baalu will succeed in getting the employment contract enforced if he can show that

Q. A contract of ______ is a contract to perform the promise made or discharge liability incurred by a third person in case of his default.

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As per Indian Contract Act coercion is __________.

The correct option is C a threat made to a person and a contract is made on the basis of this threatWhen there is threat made to a person and a contract is made on basis of that threat then this falls under coercion as explained in the Indian Contract Act.

The correct option is C a threat made to a person and a contract is made on the basis of this threat
When there is threat made to a person and a contract is made on basis of that threat then this falls under coercion as explained in the Indian Contract Act.