Being Influenced
It is an instance of undue influence when one party to the agreement forces the other party to provide his permission against his will because he is in a position to exert pressure on the other party to do so. When two parties have a particular type of relationship, it is argued that there is undue influence.
The Indian Contract Act, Section 16, states that "A contract is said to be induced by 'undue influence' where circumstances between the parties are such that one party is in a position to dominate the will of the other and utilise that position to acquire an unfair advantage over the other.
In some relationships, such as that between a teacher and a student, a father and a son, a doctor and a patient, a lawyer and a client, etc., one person may be able to influence the desires of the other side. The individual who was subjected to the undue influence in these transactions bears the burden of proving that such influence was used.
Few Examples;
(A) Bharat gave his son Rohit financial assistance while he was still a minor. Upon Rohit winning the majority, Bharat obtained a bond from Mohan for a larger amount than the actual amount advanced by abusing the parental power. Narendra is accused of abusing his position of power.
(B) Ram, Amit's medical attendant, convinces Amit, who is ill, to pay him an excessive amount for his medical services. It is believed that as a medical attendant, Ram improperly influenced his patient, Amit.
Effect of Undue Influence: An agreement is voidable at the choice of the party whose consent was obtained by undue influence when the parties' consent is obtained through such means. Such a contract may be completely thrown out. If the party with the right to breach the contract has benefited in any way from it, the court may validate it on the terms and conditions it deems just and equitable.
