A applies to a banker for a loan at a time when there is stringency in the money market. The banker declines to make the loan except at an unusually high rate of interest. A accepts the loan on these terms.
A. The contract is valid and not induced by the undue influence
B. The contract is voidable because it is induced by undue influence
C. The contract is void because it is induced by undue influence
D. None of the above
Answer: Option A

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