
Contents
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I. Introduction I. Introduction
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II. Times Travel v PIAC II. Times Travel v PIAC
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A. Facts A. Facts
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B. High Court Finds Lawful Act Duress B. High Court Finds Lawful Act Duress
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C. Court of Appeal Finds No Duress C. Court of Appeal Finds No Duress
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D. The Decision of the Supreme Court D. The Decision of the Supreme Court
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1. First category of lawful act duress 1. First category of lawful act duress
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a) Category 1 is really undue influence a) Category 1 is really undue influence
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b) Category 1 is really duress to the person or illegality b) Category 1 is really duress to the person or illegality
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c) Conclusions on first category c) Conclusions on first category
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2. Second category of lawful act duress 2. Second category of lawful act duress
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a) First move—redefining the ‘nature of demand’ a) First move—redefining the ‘nature of demand’
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b) Second move—requirement of reprehensible means b) Second move—requirement of reprehensible means
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c) Third move—equating with unconscionability c) Third move—equating with unconscionability
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d) Conclusions on second category d) Conclusions on second category
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3. Lord Burrows’ test of bad faith demand 3. Lord Burrows’ test of bad faith demand
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a) Majority’s criticisms of bad faith demand a) Majority’s criticisms of bad faith demand
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b) The scope and application of Lord Burrows’ bad faith demand approach b) The scope and application of Lord Burrows’ bad faith demand approach
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III. Concluding Thoughts: Resurrecting Lawful Act Duress III. Concluding Thoughts: Resurrecting Lawful Act Duress
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14 Damage to ‘Other Property’: Exploring the Boundary Between Property Damage and Pure Economic Loss
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5 Schrödinger’s Lawful Act Duress: Dead or Alive?
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Published:November 2023
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Abstract
This chapter explores the uncertain content of the category of lawful act duress within English contract law. It references the Times Travel v Pakistan International Airline Corporation (PIAC) case wherein Lord Hodge delivers the majority, while Lord Burrows the minority, judgements. Despite the Supreme Court’s unanimous recognition of the importance of the doctrine of lawful act duress to English common law of contract, neither the majority nor minority judgments yield substantive content beyond that covered by the existing doctrines. The chapter also challenges the negative outcome of the case by questioning the reasoning in both judgements and proposing a test of the bad faith which would give independent content to lawful act duress.
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