Question

Mona is induced by her guardian Newt to sign a contract to invest her student loan funds in OptiBank through Newt's investment firm. Unknown to Mona, Newt realizes a commission from the investment. Most likely, Mona may rescind the contract on the basis of____________.

a. ​undue influence.
b. ​fraud.
c. ​mistake.
d. ​duress.

Answer 1

a. ​undue influence.

Step-by-step explanation:

Undue influence -

It the case , when the person is capable to persuade some other person's decision because of the link between the two parties , is known as undue influence .

In most of the case , one of the party is in power with respect to the other party , which can be due to more education , elevated status , emotional connections .

And , due to this advantage , the more powerful person uses this advantage .

Hence , from the question , Mona may rescind the contract due to undue influence .