Contracts: Defenses: [D] Duress (economic duress)
- Duress [economic duress]
- Can’t threaten someone with physical harm.
- Economic duress – look for
- Threat to break existing contract, unless person gets a better deal
- Other party agrees only because he needs to get 1st deal done.
- There are no reasonable alternatives.
- S contracts to sell B 100 gizmos for $1,000. S later refuses to deliver gizmos unless B also agrees to buy 50 doodads for $800. S is the only source for the gizmos, which B needs right away. B agrees to buy the doodads. The agreement to buy the doodads is not enforceable. The only reason B agreed is because of economic duress.