Which of the Following Is True of Undue Influence

question 20

Multiple Choice

Which of the following is true of undue influence?

• A)It occurs when one party threatens to cause physical harm to another.
• B)It refers to one party injuring another financially to influence him to enter into a contract.
• C)It takes place between people who are not known to each another.
• D)It refers to a person in a special relationship causing another's action contrary to free will.

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Definitions:

Simple Interest

Interest calculated only on the original amount of money borrowed or invested, without compounding.

GIC

A Guaranteed Investment Certificate (GIC) is a Canadian investment that offers a guaranteed rate of return over a fixed period of time, typically issued by banks or trust companies.

Maturity Value

The amount payable to the investor at the end of a security's maturity period; this includes the principal plus interest.

Treasury Bill

Short-term government securities issued at a discount from the face value and mature in a year or less, representing a secure investment.