Duress

Contract context: A contract (or modification) is voidable when a party’s assent was induced by an improper threat that left no reasonable alternative.

Criminal context: An excuse defense when a defendant committed a crime because of a coercive threat of unlawful force that a person of reasonable firmness could not resist.

Elements / Test

Contract — Economic Duress (Austin Instrument v. Loral):

  1. Improper threat: Threat to do something the party has no right to do — wrongful threat (not merely hard bargaining)
    • Always improper: threat to commit crime or tort, threat of criminal prosecution, bad faith threat to breach
    • May be improper: threat to breach if party has no legitimate reason
  2. No reasonable alternative: Victim had no practical choice but to agree
  3. Threat induced assent: Causation required

Consideration: Improper threat can render even a modification unenforceable even if supported by consideration. Pre-existing duty rule and duress often overlap.

Criminal — MPC § 2.09:

  1. Coerced by use or threatened use of unlawful force against person (or another)
  2. Force/threat is such that a person of reasonable firmness in the actor’s situation would have been unable to resist
  3. Affirmative defense (defendant bears burden of production)

Common law criminal duress (stricter):

  • Threat of imminent death or serious bodily harm
  • Fear must be reasonable
  • Threat must be present (not past or future)
  • Defendant must not have recklessly placed themselves in situation

Exceptions and Edge Cases

  • Duress by third party: Contract with B entered under duress by C — generally voidable but BFP who takes without notice cuts off the claim
  • Not available for homicide: Most jurisdictions; MPC controversial on this
  • Economic circumstances: Market pressure, hard bargaining, not duress — defendant must create the difficult choice
  • Necessity vs. duress: Necessity involves natural forces; duress involves human threats

Key Cases

CaseRule
Austin Instrument, Inc. v. Loral Corp. (N.Y. 1971)Economic duress — subcontractor’s threat to withhold parts was improper; no reasonable alternative
Post v. JonesDistress sale under emergency conditions may not be duress if price is fair
United States v. Contento-Pachon (9th Cir. 1984)Criminal duress — threat to kill family if defendant didn’t swallow cocaine; imminence and no escape evaluated

Covered In