A contract of adhesion is a type of contract in which one party, typically a large corporation, presents the contract to the other party, who must either accept the terms or walk away. These contracts are often used in standard-form transactions, such as purchasing a cell phone plan or renting a car.
One of the main features of a contract of adhesion is that the terms are not negotiable. The party presenting the contract, typically the corporation, has already decided on the terms, and the other party must either accept them or not enter into the contract at all. This puts the other party at a disadvantage, as they have little power to change the terms of the contract to their benefit.
Another feature of a contract of adhesion is that the terms are often written in complex, legal language that may be difficult for the average person to understand. This can make it difficult for the other party to understand their rights and obligations under the contract fully.
Despite these drawbacks, contract of adhesion are a common part of modern life. They are often used in situations where it would be impractical for the parties to negotiate the terms of the contract individually, such as when purchasing a product or service from a large corporation.
In some cases, courts have held that contract of adhesion may be unenforceable if they are deemed unconscionable, overly harsh, or one-sided. However, in general, these contracts are considered to be legally binding.
Overall, contract of adhesion are a common feature of modern life and are used in many standard-form transactions. While they can be disadvantageous for the party accepting the terms, they are generally considered to be legally enforceable.
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