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Factual Application75) Which of the following scenarios makes Tim liable for undue influence?A) Tim uses a false identity, borrows $10,000 from Kelly, and disappears with the money.B) Tim threatens to kill Carlos if Carlos does not sign a contract that transfers all his property toTim.C) Tim takes advantage of his grandmother's illness and persuades her to sign a will leaving allher property to him.D) Tim threatens to bring a lawsuit against David if David does not make him a partner in hisfirm.

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Factual Application15Copyright © 2013 Pearson Education, Inc.69) Which of the following constitutes duress?A) a plaintiff threatening the defendant that he will not drop the lawsuit until the defendant payshim a certain amount of moneyB) a teacher threatening a student that he will be expelled if he is found with cigarettes againC) a wife threatening to commit suicide if her abusive husband does not stop beating herD) a father using his dominant and fiduciary position to unduly influence his son into committinga crime

Legal Concepts16Copyright © 2013 Pearson Education, Inc.73) Which of the following is true of undue influence in entering contracts?A) Undue influence need not require the overcoming of the innocent party's free will.B) Undue influence is not grounds for prosecution, as the innocent party has complete freedomto evaluate the terms of the contract.C) A contract that is entered into because of undue influence is not voidable.D) A fiduciary or confidential relationship must have existed between the parties for undueinfluence to be proven.

Factual Application11Copyright © 2013 Pearson Education, Inc.55) ________ occurs when the party knows what he or she is signing but has been fraudulentlybeen led into the contract.A) Fraud in the factumB) Fraud in the inducementC) Fraud by concealmentD) Misrepresentation of law

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