Multiple choice

A master asks his servant to sell his cycle to him at less than the market price. This contract can be avoided by the servant on the grounds of

  1. coercion

  2. fraud

  3. undue influence

  4. mistake

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

This contract can be avoided by the servant on the grounds of undue influence. A contract may be seen as undue influence when one party uses undue influence to persuade another party into entering into a contract or the transfer of property which is disadvantageous to the influenced party.