Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Unconscionable Terms Prevent Enforceability of e-Commerce Contract Clauses

By Jonathan Bick
June 26, 2008

e-Commerce, like traditional commerce, relies on contracts. But unlike traditional commerce, e-commerce typically relies utterly on agreements drafted and presented by one party on a 'take-it-or-leave-it' basis. The validity of such contracts arises from the recipient's 'adherence' to the terms given. These so-called adhesion contracts are enforceable, except to the extent that a court finds a term unconscionable.

Of an increasing degree of comfort to consumers, but an increasing degree of discomfort to e-commerce entrepreneurs and their counsel, however, is that courts are discovering unconscionable e-commerce contract clauses and refusing to enforce them.

Read These Next
New York's Latest Cybersecurity Commitment Image

On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.

The Bankruptcy Hotline Image

Recent cases of importance to your practice.

Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office Image

A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.

How AI Has Affected PR Image

When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.

The DOJ's Corporate Enforcement Policy: One Year Later Image

The DOJ's Criminal Division issued three declinations since the issuance of the revised CEP a year ago. Review of these cases gives insight into DOJ's implementation of the new policy in practice.