Disadvantages Of Unconscionable Contract

791 Words 4 Pages
Amy entered into a contract to rent to own a home theater setup and later while window shopping she found the same system to buy for $1000. After unsuccessfully trying to cancel her contract with High Note, she alleges that the contract is unconscionable because it calls for a sales price several times greater than the prevailing market price of the Alpo XL2. Unconscionable contract simply means one party of the contract benefits substantially over the other one (Cheeseman H. R., 2012, pp. 218,338). This type of contract leaves one party no real, meaningful choice, usually do to major differences in bargaining power between the parties. A contract is made unconscionable due to, undue influence, duress, unequal bargaining power, unfair surprise, …show more content…
Duress is where one party uses dangers with a specific outcome to get the other to consent to the contract terms (Cheeseman H. R., 2012, p. 228). This can take the type of physical dangers, or different sorts of dangers. Unequal bargaining power happens where one party has a significant amount of leverage over the other (Cheeseman H. R., 2012, p. 191). This is normally demonstrated if one party is mindful that the other clearly did not comprehend the contract terms. Unfair surprise when the party who makes the contract incorporates a term in the contract without the other party is awareness and not and is not information and is not inside the other parties of alternate gatherings desires (Cheeseman H. R., 2012, pp. 747-748). Limiting Warranty would be unconscionable if one party tries to decrease their risk to a breach of contract or to any damages that they may bring about on other party (Cheeseman H. R., 2012, p. 351). For Amy’s case to be considered an unconscionable case one of the reasons mentioned above would have to be mentioned, which was not evident in this case. Consideration must be given to the fact the contract is a rent to own and not a buy out …show more content…
An infant is defined as a minor child from the age of 18 and below or 21, contingent upon the specific jurisdiction (Cheeseman H. R., 2012, p. 207). A contract made by an infant is voidable however is legitimate and enforceable until or unless they disaffirms it. They may avoid the legal obligations needed to perform the contract’s terms with no risk for a breach of contract. Infants are treated in such a way because public policy deems it desirable to protect the immature and naive infant from liability for unfair contracts that he or she is too inexperienced to negotiate on equal terms with the other

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