BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -An unconscionable contract is outrightly advantageous to one and is disadvantageous to the other party. Therefore, such a contract that is not only disadvantageous to one party but is also against the constitutional provisions of the country should be liable to be struck down by the court.

Detailed explanation-2: -Unconscionable is an adjective that means without a conscience; unscrupulous; so unfair or unjust that it shocks the conscience. The adjective is frequently used in the context of contract law for contracts that have grossly oppressive and unfair terms. When a court finds a contract unconscionable, it is unenforceable.

Detailed explanation-3: -A contract can be unconscionable in any one of the following circumstances: Undue influence. Duress. Unequal bargaining power.

Detailed explanation-4: -6 Therefore, the doctrine of unconscionability evolved as an equitable remedy to prevent the enforcement of contracts which were grossly unfair and oppressive to one side. It was not meant to disturb contracts solely because the parties were unequal in bargaining power.

Detailed explanation-5: -’Unconscionable’ Contract Under Section 16 of the Indian Contract Act, 1872: One of the relevant provisions of the Indian Contract Act, 1872 which refers to the inequality of bargaining power between parties and of unfair advantage of one party over the other, is contained in section 16 dealing with ‘undue influence’.