In one line
Coercion is prohibited pressure used with the intention of causing any person to enter an agreement.
After this note, you should be able to
- Recognize both branches of coercion under Section 15.
- Apply the intention and causation requirements.
- Explain voidability and restoration after rescission.
The Section 15 ingredients
Pressure is coercion only when it fits the statutory language.
- Forbidden act
- Committing or threatening to commit an act forbidden by the penal law referred to in Section 15 can amount to coercion.
- Property pressure
- Unlawfully detaining or threatening to detain property can also qualify.
- Purpose
- The act must be intended to cause a person to enter the agreement.
- Who and where
- The pressure may be directed at any person, and the statutory explanation makes the place of coercion immaterial.
Effect and remedy
A contract caused by coercion is voidable at the option of the coerced party.
The protected party may affirm or rescind the contract. On rescission, any benefit received under the voidable contract must generally be restored under Section 64.
Commercial pressure, a hard bargain or a lawful warning is not automatically coercion. The facts must satisfy Section 15.
Work through the facts
Illustration
Facts
A warehouse refuses to release B's lawfully owned goods unless B signs an unrelated guarantee for A's debt.
Likely result
The unlawful detention of B's property, used to procure the guarantee, can amount to coercion. B may avoid the guarantee.
What to learn
Do not look only for physical threats. Section 15 expressly includes unlawful pressure involving property.
Cases with a purpose
Landmark judgments
Learn the rule and where to use it. A case name without its legal function adds very little to an answer.
Chikkam Ammiraju v. Chikkam Seshamma
Further reading(1918) ILR 41 Mad 33
Principle: A threat to commit suicide was treated as coercion when used to procure execution of a document.
Use in an answer: Use it to show that the threat need not be directed at the contracting party and may operate through mental pressure.
Ranganayakamma v. Alwar Setti
Further reading(1889) ILR 13 Mad 214
Principle: Preventing removal of a husband's body until the widow agreed to an adoption was treated as unlawful pressure destroying free consent.
Use in an answer: Use it where an unlawful act is timed to exploit acute personal distress.
For a 10-mark answer
Answer structure
- State the two branches of Section 15.
- Identify the act, target, intention and causal link.
- Distinguish coercion from lawful commercial pressure.
- Apply Section 19 and discuss restoration under Section 64.
Common mistakes
- Restricting coercion to threats of physical violence.
- Assuming every threat to use a lawful remedy is coercion.
- Forgetting restoration after rescission.
Before you close the tab
Quick revision
- Coercion covers forbidden acts and unlawful detention of property.
- Pressure can be directed at any person.
- It must be intended to cause entry into the agreement.
- The resulting contract is voidable, not automatically void.
Test yourself
- Can detention of property amount to coercion?
- Must the threat come from the other contracting party?
- What follows when the coerced party rescinds?
Short answers
Frequently asked questions
Must coercion involve physical violence?
No. Section 15 also covers threats of forbidden acts and unlawful detention or threatened detention of property.
Is a contract formed by coercion void?
It is ordinarily voidable at the option of the party whose consent was caused by coercion.
Primary sources
This is an educational study note. Always read the bare provision and the full judgment before relying on a proposition in research or practice.