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First Principles of Business Law |
| Circumstances that may invalidate a legal transaction |
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3. Undue Influence |
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3.4. Situations where there is proof of an 'occasional' controlling influence |
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Read the facts and the question and then choose the best answer. A says to his wife B: "You are not capable of properly looking after the house your father gave you. You should transfer ownership of the house to me and I will look after it for you." B replies that she does not think this is a good idea, but A is insistent, saying it will avoid 'problems' that she will be unable to deal with on her own. B is a reasonably strong-minded and independent person who normally has no difficulty making her own decisions independently of A. But she has never owned a house and has no idea of what is involved. She feels that, on this occasion, she must trust her husband and do as he suggests. She transfers the house to A, but later regrets it. In these circumstances could B have the transfer set aside on grounds of undue influence? |
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