Unconscionable Contract
A contract that is extremely unfair or one-sided and may not be enforced by a court.
What is Unconscionable Contract?
An Unconscionable Contract is an agreement so unfair or one-sided that it shocks the conscience, often resulting from unequal bargaining power, and may be deemed unenforceable by courts.
Why It Matters?
It protects parties from exploitation, prevents unjust enrichment, and ensures fairness in contractual obligations.
Example
A court invalidates a contract requiring a consumer to pay exorbitant fees without meaningful negotiation.
Related Terms
Mediation
Litigation