Duress and Undue Influence Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved.  Copyright and Terms of Service Copyright © Texas Education Agency. The materials found on this website are copyrighted © and trademarked ™ as the property of the Texas Education Agency and may not be reproduced without the express written permission of the Texas Education Agency, except under the following conditions: Texas public school districts, charter schools, and Education Service Centers may reproduce and use copies of the Materials and Related Materials for the districts’ and schools’ educational use without obtaining permission from the Texas Education Agency; 2) Residents of the state of Texas may reproduce and use copies of the Materials and Related Materials for individual personal use only without obtaining written permission of the Texas Education Agency; 3) Any portion reproduced must be reproduced in its entirety and remain unedited, unaltered and unchanged in any way; 4) No monetary charge can be made for the reproduced materials or any document containing them; however, a reasonable charge to cover only the cost of reproduction and distribution may be charged. Private entities or persons located in Texas that are not Texas public school districts or Texas charter schools or any entity, whether public or private, educational or non-educational, located outside the state of Texas MUST obtain written approval from the Texas Education Agency and will be required to enter into a license agreement that may involve the payment of a licensing fee or a royalty fee. Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved. Genuine Assent True and complete agreement exists. Genuine assent means no strings are tied to the agreement. No strings attached! Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved. No Genuine Assent Voidable Agreements Duress Undue influence Mistake Misrepresentation Fraud Any individual who is misled by an agreement or encounters duress or undue influence has the right to legally get out of the contract. Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved. No Genuine Assent Rescission There is an injured party. Injured party can cancel the contractual obligation. Injured party has the legal right to get back what has already been put into the contract. When one party is injured by an agreement, they have the right to rescind or get out of the unfair situation Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved. No Genuine Assent Duress One person uses illegal apprehension and pressure when negotiating a contract Threats of illegal or tortious conduct Threats to report crimes which you have a commitment to report Threats to sue Economic threats Threats are not legal when entering into agreements. Duress will make an agreement void. Copyright © Texas Education Agency, 2013. All rights reserved.

Undue Influence and Assent Relationship of trust, confidence, or authority must exist between the parties to the contract. Undue influence means that total trust exists between the offeror and offered. Copyright © Texas Education Agency, 2013. All rights reserved.

Undue Influence and Assent Unfair Persuasion Undue Influence- occurs when one party to the contract is in a position of trust and wrongfully dominates the other party Unfair persuasion or undue influence occurs when an individual takes advantage of the elderly, lonely, or the weak. Undue influence involves taking unfair advantage of someone when they are vulnerable. Copyright © Texas Education Agency, 2013. All rights reserved.

Copyright © Texas Education Agency, 2013. All rights reserved. Assignments Independent Practice Assignments Review Cards Assignment: Give students legal terms and flash cards. The student must clearly write the correct definition of the term on the back of the card. Now you are ready to play the review game “Flash Word.” Each team has an equal amount of cards. The team can flash a term or definition for a legal term and the opposing team must either give the correct definition for the term or the term for the definition presented. Teams will earn one point for each correct answer. 2. What’s Your Verdict?: Janice and Becky both work at a popular department store. Janice found out that Becky was stealing clothing and selling it at a discount rate to her friends. Janice approaches Becky and threatens to go to the police unless Becky shares the profits with Janice. Becky agrees, but after two months of cooperating with Janice, Becky refuses to pay Janice any more money. Janice threatens to sue Becky for breaking the contract. Does Janice have a defense? 3. Fraud Alert Assignment: Design a brochure that will serve as a guide for individuals to avoid fraud, undue influence, and duress. The booklet must define each of these terms, give examples, and explain ways for individuals to protect themselves from becoming victims. The booklets should be helpful for senior citizens and others who are frequently targeted. This assignment will be evaluated using the associated rubric. Copyright © Texas Education Agency, 2013. All rights reserved.