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      Question

      According to the Contract Act under what circumstances

      is a person deemed to be in a position to dominate the will of another?
      A When the person holds real or apparent authority over another and when making a contract with someone whose mental capacity is affected due to age or illness Correct Answer Incorrect Answer
      B When the person stands in a fiduciary relation to another and when making a contract with someone regardless of their mental or bodily condition Correct Answer Incorrect Answer
      C When the person has general authority and stands in a fiduciary relationship, or when making a contract with someone whose mental capacity is impaired Correct Answer Incorrect Answer
      D When the person holds authority and the other party is aware of their mental or bodily distress Correct Answer Incorrect Answer
      E When the person does not have the authority or stands in a fiduciary relationship Correct Answer Incorrect Answer

      Solution

      Section 16.“Undue influence” defined (2) In particular and without prejudice to the generality of the foregoing principle, a person is deemed to be in a position to dominate the will of another— (a) where he holds a real or apparent authority over the other, or where he stands in a fiduciary relation to the other; or (b) where he makes a contract with a person whose mental capacity is temporarily or permanently affected by reason of age, illness, or mental or bodily distress.

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