Contract Law

Question 3:

Joe purchased a small cafe from Simone. Joe was induced to buy that business by a statement by Simone who said the average takings were $2,500 per week. Two weeks after taking over the business it became apparent to Joe that the shop took no more than $750 per week. Simone's statement must have been made knowing it to be false. Joe wants to return the business and recover the purchase price. Is Joe likely to be successful.Explain your answer fully.

Question 4:

In the course of an internal audit the inhouse accountant discovered that a senior employee's daughter had misappropriated (stolen) nearly $500,000 from the company. The managing director of the company spoke with the senior employee and threatened to report the matter to the police unless the senior employee agreed to repay the money. The senior employee signed a document acknowledging the debt and a schedule of repayments. She failed to comply with this schedule. The company now wishes to sue her for the amount owing. Will the senior employee succeed in defending the action relying upon duress?