[…] freedom as a relation between individuals as defined by private property. For Hayek, liberty has nothing to do with social individuals being able to define the conditions of their interaction. Freedom is defined negatively, as the state of ‘independence of the arbitrary will of another’ (Hayek 1960: 12). Freedom is taken away from an individual when ‘in order to avoid greater evil, he is forced to act not according to a coherent plan of his own but to serve the ends of another’ (ibid.: 12). In this sense, freedom is to be free to choose from a given menu, in which the emphasis is not so much on the range of choices listed on the menu, but on the ‘given character’ of the menu:
"‘freedom’ refers solely to a relation of men to other men, and the only infringement on it is coercion by men. This means, in particular, that the range of physical possibilities from which a person can choose at a given moment has no relevance to freedom.” (Ibid.: 12)
Coercion exists in Hayek when a specific individual bends another to his will; when it is done by impersonal market forces, it is not coercion, by definition.
De Angelis, The Beginning of History, Chapter 14: Market freedom and the prison: Hayek and Bentham: Market and Panopticism: Two Overlapping Orders