Can a Contract Signed Under Duress Be Voided in NY or NJ?

“Signed Under Pressure”: When Contracts Signed in Duress or Coercion May Be Unenforceable

By Jesse David Eisenberg, Esq. | JDE Law Firm, PLLC

Every contract lawyer hears this story at some point:

“I didn’t really have a choice. They told me to sign it or lose everything.”

Maybe it was a commercial lease you had to accept — or a service agreement rewritten at the last minute — or a contract change during a crisis. You signed under pressure. But does that make the contract invalid?

What the Law Says About Duress

In New York and New Jersey, a contract can be voided if it was signed under duress — meaning the signature wasn’t truly voluntary. But not every kind of pressure qualifies.

Here’s what courts actually look for:

  • 🚩 Wrongful threat — not just hard bargaining
  • ⚖️ Lack of meaningful choice — such as facing financial ruin or retaliation
  • 📉 Immediate pressure — not a slow or strategic negotiation

In business law, this standard is high — but not impossible.

Real-World Examples of Duress

  • 🧾 A landlord threatens to evict unless you sign a new lease doubling rent overnight
  • 💼 A partner demands a buyout agreement while withholding funds or approvals
  • 📉 A vendor says “sign or we walk” when your operations depend on them

Each case turns on facts — and proof.

How to Prove Duress in a Business Setting

Courts are skeptical of parties who claim duress after-the-fact — especially if the complaining party benefited from the contract for a period of time.

To succeed, you typically need:

  • 📂 Written threats or coercive language
  • 📅 A short time window between threat and signature
  • 📉 Evidence you objected or protested — not just complied

What You Can Do Right Now

If you believe you signed a contract under unfair pressure, you have options:

  1. 🕵️ Document the circumstances around signing — who said what, and when
  2. 📑 Preserve emails, texts, and any notes that show the threat or imbalance
  3. ⚖️ Speak with a litigation attorney before taking action — including stopping performance

A Signature Isn’t Always the End of the Story

📞 If you were pressured into signing a contract that now threatens your business, let’s talk before it’s too late:
www.jdelaw.nyc | NY: 718-966-0877 | NJ: 732-490-7120

My business is to protect your business.

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