John owns a software company. During contract negotiations, his potential client insists that John reduce the price significantly and agree to the new terms within a very short timeframe. Concerned about losing the client and the associated revenue, John complies and signs the contract. A few weeks later, John wishes to void the agreement. Did John enter into the contract under duress?
Yes, John overlooked certain elements of the new contract terms.
Yes, the client's demands constrained John's ability to negotiate the new terms.
No, John accepted the price reduction as part of the agreement.
No, the client requested a lower price and John agreed to the new terms.
John entered into the contract under duress because the client's insistence on significantly reducing the price within an unreasonably short timeframe left him with constrained ability to negotiate the new terms. This pressure compromised his free will, making the contract voidable. The other options are incorrect because the client did exert pressure (contrary to the second option), John's oversight of certain contract elements does not constitute duress (contrary to the third option), and accepting the price reduction as part of the agreement does not address the coercive circumstances (contrary to the fourth option).
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