Short notes on Coercion of free consent

Coercion simply means forcing a person to enter into a contract. Under English law, it is called Duress. Example:

A, at pistol-point asks B to sell his car (worth Rs. 15,000) for Rs. 1,000 only. Here A has obtained B’s consent by coercion. Had A not threatened B, B would not have agreed to sell his car.

Definition :

Sec. 15 defines coercion as follows:

“Committing or threatening to commit, any act forbidden by the Indian Penal Code, or unlawful detaining or threatening to detain, any property, to the prejudice of any person whatever with the intention of causing any person to enter into an agreement.”

Thus coercion means compelling a person to enter into a contract by committing or threatening to commit an unlawful act or by unlawful detaining or threatening to detain. The properties of coercion are as under:

1. Committing or threatening to commit any act forbidden by the Indian Penal Code:

If a person commits an act or threatens to commit an act which is forbidden by the Indian Penal Code, 1860 he is applying coercion. Examples:

(1) A threatens to shoot B if he does not sell his scooter. The consent of B has been obtained by coercion.

(2) A young widow (girl) of 13 years was compelled to adopt a boy by the relatives of her husband. The relatives prevented the removal of the dead body of her husband unless she agreed to adopt the body. Later on, she refused to adopt the boy. The Court held that her consent was not free but was vitiated by coercion and, therefore, set aside the adoption. Obstructing a dead body from being removed is an offence under the Indian Penal Code. [Ranganayakamma v. Alwar Setti]

2. Unlawful detaining or threatening to detain any property:

If a person unlawfully detains or threatens to detain any property he is applying coercion.

Example:

A railway company refused to deliver the goods unless unlawful charges were paid. A paid the charges to obtain the goods. A can recover the unlawful charges paid by him as his consent was not given freely.

3. The act of coercion may be directed at any person and not necessarily at the other party to the agreement:

The Act of coercion may be directed against any person, and not necessarily against the other party to the contract. Similarly, it need not necessarily proceed from a party to the contract. It may proceed even from a stranger to the contract.

Examples:

(1) A threatens to shoot B if he does not sell his car to A. B agrees to sell the car.

(2) A threatens to shoot B if C does not sell his car to A. C agrees to sell the car.

4. The act of coercion must be done with the object of inducing or compelling any person to enter into an agreement:

It should be noted that it is not necessary that the Indian Penal Code should be applicable at the place where coercion was employed.

Example:

A and B were returning to India from England by a ship. When the ship was passing through the Suez Canal. A threatened B to throw him into the canal if he (B) did not sign a promissory Note for Rs. 1,000. B signed and gave a Promissory Note to A. B on reaching Mumbai refused to pay the amount of the Promissory Note. A filed a suit against B to recover the amount. A will not succeed as he had obtained the Promissory Note by coercion.

It should be noted that although Indian Penal Code is not applicable in Suez Canal area (as it is applicable only in Indian Territory), yet A has employed coercion.

Whether Threat to Commit Suicide Amounts To Coercion :

In India, an attempt to commit suicide is an offence. However, in a landmark judgement, the Supreme Court has held that attempt to commit suicide is not an offence.

Consequences of Coercion

When an agreement is made under coercion, the consent is not free. Hence it is voidable at the option of the party whose consent was not free.

Example:

A threatened to shoot B if he did not sell his car. B agreed to sell. Now, B can refuse to sell the car as his consent is not free.

Duress :

Under English Law for coercion, a similar term is used which is called ‘Duress’. Duress means threat to the person (body of another or his near and dear) with the object of compelling him to enter into an agreement.

The scope of the word duress is narrow. Duress is limited to threat to the person (body) while coercion includes threat to property and person both. Thus threat to property or goods does not amount to duress.