Mona is induced by her guardian Newt to sign a contract to invest her student loan funds in Overseas Bank through Newt's investment firm.Unknown to Mona,Newt realizes ongoing commissions from the investment.Most likely,Mona may
A)not rescind the contract.
B)rescind the contract on the basis of undue influence.
C)rescind the contract on the basis of mistake.
D)rescind the contract on the basis of unconscionability.

Question

Quizplus · Accepted Answer

Newt is using undue influence to induce Mona to sign the contract, as he is her legal guardian and is taking advantage of his position to benefit himself. Mona can rescind the contract on the basis of undue influence.

Mona Is Induced by Her Guardian Newt to Sign a Contract