Thursday, April 21, 2011

The Truth About Contracts Is Painful

A tough lesson that many refuse to understand: Hard bargaining, by itself, cannot support a duress defense. One may not void a contract on the grounds of duress merely because he entered into it with reluctance, the contract was very disadvantageous to him, the bargaining power of the parties was unequal, or there was some unfairness in the negotiations preceding the agreement. As the Court of Appeals in Georgia recently stated, the defense that someone entered into a contract under duress has little practical relevance. The truth is painful.

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