Key Difference – Coercion vs Undue Influence
Coercion and undue influence are two distinct terms used in the context of contracts or agreements. They both involve the use of power, threats, or authority to persuade another party to agree to specific terms. The key difference between coercion and undue influence lies in their methods: coercion involves persuading through threats, while undue influence involves using a position of power to make a person agree to a contract. It is important to note that coercion is considered an illegal activity and is punishable by law, while undue influence is not, although the agreement becomes voidable.
What is Coercion?
Coercion refers to the act of persuading someone through threats, which is considered unlawful because it forces a person to enter into an agreement against their will. Coercion typically involves physical threats, leaving the individual with no choice but to enter the agreement. Some examples of coercion include threatening to kill the individual, blackmailing, harming family members or loved ones, and torturing the person. In cases of coercion, the agreement becomes voidable and the individual can be punished by law. It is important to note that a special relationship is not required between the parties involved in coercion.
What is Undue Influence?
Undue influence involves using a position of power or authority to mentally pressure an individual into agreeing to a contract, typically against their free will. This can occur in various power relationships, such as employer and employee, trustee and beneficiary, solicitor and client, and even teacher and student. In these situations, the more powerful individual uses their authority to control the weaker individual and benefit from the agreement. For example, an employer may make unethical demands on an employee, threatening to fire them if they do not comply.
What is the difference between Coercion and Undue Influence?
- Coercion refers to persuading through threats, while undue influence involves using a position of power to make a person agree to a contract.
- Coercion uses physical pressure, while undue influence uses mental pressure.
- Coercion is punishable by law, whereas undue influence is not, although the agreement becomes voidable.
