Economic duress - sustany/dvg GitHub Wiki

In�contract�law, economic duress also called business compulsion, refers to one party�s improper or illegal conduct that causes the other party�s fear of economic hardship and the fear prevents the party from engaging in a commercial agreement with free will.

Economic duress is a defense that can be used by a party to argue against the formation of a binding contract between two parties. To prove economic duress, a party must show that:

1. A continuous contract exists between the plaintiff and the defendant;
2. The defendant threatens to terminate the pre-existing contract; and
3. The plaintiff under this duress accepts the defendant�s terms and enters the contract.