What is a contract of adhesion?
A contract of adhesion is a type of contract which one party (known as the agreeing party) has very little bargaining power or negotiation power over. This type of contract is common in Washington, where one party – sometimes a consumer or a business – is presented with a standard contract that cannot be changed or negotiated. It is important to understand that although there are different types of contracts, a contract of adhesion is one where one party has very little power over the terms and conditions of the contract. The most common example of a contract of adhesion is when a consumer purchases a product or service from a company. The company will present the consumer with a take-it-or-leave-it contract, meaning that none of the terms of the contract can be negotiated or changed. This is a contract of adhesion because the consumer has very little negotiating power because they simply have to either accept the contract as is or not purchase the product or service. The legal requirements of a contract of adhesion are that the contract must be fair and reasonable and must not be overly one-sided in favor of the other party. Both parties must be informed of the terms and conditions of the contract, and all parties must be of legal age to enter into the contract. Because of this, contracts of adhesion are extremely common in Washington and should always be read through carefully before a consumer agrees to them.
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