What is the test for determining whether there has been economic duress in a contract where a party entered into the contract at the time of execution?

Ontario, Canada


The following excerpt is from Winick v. Equitable Trust Company, 2005 CanLII 56225 (ON SC):

Mandel J. cites Pao On in Bozzo v. Giampaolo, [2003] O.J. No. 1592 (Sup. Ct.) and notes at para. 88 that, to determine whether there has been economic duress, the court should consider the following four factors: 1. Did the party protest at the time? 2. Was there an alternative course open to the party? 3. Was the party independently advised? 4. After entering the contract did he take steps to avoid it within a reasonable time after his execution?

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