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28 February, 20:13

A woman who can neither speak nor read English purchases a stereo system from a local electronics store. Although the stereo is advertised for $450, the store owners charge the woman $10,000. A court would most likely consider this transaction:

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  1. 28 February, 20:16
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    an unconscionable contract

    Explanation:

    Unconscionable contracts are contracts that are considered so unjust, unfair and one-sided that they shock the conscience. This type of contracts are usually voidable and not enforceable.

    In this case, the seller had the superior bargaining power, because the other party didn't speak English, and took advantage of that position to make an extremely unfair deal. A court would void this transaction.
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