COERCION

by • 29/05/2012 • B.com part 2 Business LawComments (0)693

 

Coercion means compelling a person to enter into a contract under a pressure or a threat. A contract is said to be caused by coercion when it is obtained by:

a-      Committing any act which is forbidden by the Pakistani Penal Code.

b-     Threatening to commit any act which is forbidden by the Pakistani Penal Code.

c-      Unlawful detaining of any property.

d-     Threatening to detain any property.

Example:

X beats Y and compels him to sell his car for Rs. 50,000. Here Y’s consent has been obtained by coercion because beating someone is an offence under the Pakistani Penal Code.

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