The argument that the Agreement may be viewed as a 'contract of adhesion
' because Defendants 'deemed employees to have accepted irrespective of whether they viewed the Agreement or were aware of its terms,' even if true, does not render the Agreement procedurally unconscionable.
Procedural unconscionability may exist when, as here, the enrollment contract is a contract of adhesion
. As previously mentioned, that a contract is one of adhesion is not in itself enough to establish procedural unconscionability.
a contract of adhesion
if it manages to prove that disputable terms were
(24) Even though these experiments may not have focused specifically on contracts of adhesion, it would seem the same principle applies, as a contract of adhesion
is basically a ready-made deal.
It rejected his claim that the MoA was a pre-drafted document akin to a contract of adhesion
, saying this assertion 'does not override the clear text of the MoA, which he admittedly signed.'
(34) The Court granted certiorari after the Supreme Court of California held that the class arbitration waiver provision was "unconscionable because it disallowed classwide proceedings." (35) The Supreme Court of California applied its Discover Bank rule, which declared a class action waiver provision unconscionable when: (1) the waiver is "found in a consumer contract of adhesion
," (2) the class action would involve a "predictably" small amount of money, and (3) it is alleged that the party with "superior bargaining power has carried out a scheme to deliberately cheat large numbers of consumers out of individually small sums of money." (36)
generally takes the form of a contract of adhesion
, which, imposed and
Gogo, which found an online contract of adhesion
unenforceable -- it is increasingly important to stay abreast of developments in this area of the law.
The majority viewpoint is rooted in a pro-insured principle that an insurance contract is a contract of adhesion
, and the only way for the insured to get the benefit of its bargain is to have the insurer examine all known facts to determine if the duty to defend has been triggered.
What constitutes a contract of adhesion
was described in some detail in Kristian v.
In most states, if a contract of adhesion
(meaning a "take-it-or-leave-it" contract drafted by the more powerful party) would serve as an exculpatory clause (meaning a contract term that would deny the weaker party any effective means of vindicating its legal rights), then the contract (or at least the term that renders it exculpatory) is unconscionable.