‘When Is a Contract of Adhesion Unconscionable?’

“Vendors of goods and services utilize standard form contracts to reduce or minimize transaction costs and to ensure consistency in the terms applied to similar transactions. Since such contracts are offered on a ‘take it or leave it’ basis there is no ability to negotiate terms and they are described as contracts of adhesion. There is a tendency in contracts of adhesion for the vendor using the standard form to use terms that benefit the vendor and disadvantage the other party. That trend has increased in electronic commerce transactions especially at the business to consumer level as terms have become ever more protective of the drafter …” (more)

[Martin Kratz, Slaw, 5 August]

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