Adhesion Contracts

From Critiques Of Libertarianism
Jump to: navigation, search

Almost all consumer contracts nowadays are adhesion contracts, standard forms which you can accept or not accept. No negotiation. They are used to remove rights of consumers to judicial remedies (through enforced arbitration and prohibition of class-action lawsuits) and entrap employees through non-compete and non-disclosure clauses. This is a case where restricting freedom of contract (to contract away rights) retains other freedoms for the consumer.

Links

Economism and Arbitration Clauses [More...]
"It’s unlikely that anyone actually believes that consumers understand arbitration clauses and take them into account when making buying choices. These arguments aren’t meant to be taken seriously. They are air cover for banking executives who like taking advantage of customers and politicians who want to do favors for the financial lobby. That’s the purpose of economism, and why it continues to be so influential." They are just parts of adhesion contracts.

Quotations

No quotations found in this category.