Assessment:
Essay will be designed to test the student's research skills and deal with a practical real lifescenario in a Business Law context. The student will need to be aware of and have a good knowledgeof the business regulatory environment.
The Question
Unconscionability and how it may mean a contract cannot be enforced.
Unconscionability can mean many things and may arise from a number of circumstances. In youressay you are to explain and comment on the following as a result of your reading:
The concept of unconscionability and why it may mean that a contract is not enforceable.
What are the leading cases on this? Why do we have such principles in our commercialworld?
What are the characteristics of an unequal bargain that must or might be demonstrated toindicate unconscionability? Refer to appropriate cases.
Is there any legislation which similarly supports the principle that a contract may be so unfairthat it is unenforceable?
What has been the effect on Banks and some larger institutions regarding the courtsreluctance to enforce agreements that appear to be unfair or unequal?
From your reading is there any interesting commentary on unfair agreements and theattitude of courts when deciding on the enforceability of a contract?
What is the role of consumer advocate groups regarding unfair agreements, eg the Financialand Consumer Rights Council (FCRC) - Victoria? Did your research reveal any similar bodiesor advocacy groups? Have there been any particular issues within Australia that you wouldcharacterise as unconscionable behaviour by vendors, companies or any other institutions?