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Difference between coercion and undue influence

Undue Influence
It is defined in Sec. 15 of Indian Contract Act
It is defined in Sec. 16 of Indian Contract Act
It involves physical pressure
It involves moral pressure
Parties to a contract may or may not be related to each other
Parties to a contact are related to each other under some sort of relationship
It can be exercised even by a stranger to the contract
It can be exercised only by a party to a contract and not by a stranger
It has to be proved by the aggrieved party alleging it in. It is not presumed by the law
It may be presumed by the law under certain circumstances. The party against whom such presumption lies must disprove it
It involves doing or threating to do an illegal act
It means inducing a person to enter into an agreement by moral or mental threat.
In case of coercion not only the agreement is voidable but also involves criminal breach of law and thus the party may be punished.
Undue influence does not involve criminal breach of law. There is no penal action on the party but it only makes the agreement voidable at the option of the aggrieved party.

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