The courts have reviewed the terms of the contract with respect to the bargaining power of the parties and have intervened in cases where the negotiating power of the parties is not the same. In Life Insurance Corporation of India v. Consumer Education and Research Centre et al., the Supreme Court held that “if a contract or clause in a contract is found to be inappropriate, unfair or irrational, attention must be paid to the relative bargaining power of the parties. In the case of contracts with dotted lines, there would be no reason for a weaker party to negotiate or assume that it has the same bargaining power. He must accept or leave the services or goods within the meaning of the dotted contract. His choice would be either to accept unreasonable or abusive conditions, or to give up service forever. In order to use the services of the goods, the party enters into a contract with unreasonable or unfair terms contained therein and would have no choice but to sign the contract. Example 2: – Railway authorities can print various conditions in the schedule, which can be considered the basis of the contract with thousands of passengers who can travel by train every day. In July 2013, Russia`s Dmitry Agarkov won a lawsuit against Tinkoff Bank after changing the standard contract he had received by mail. The bank, which did not notice the changes, accepted the request and gave him an account based on the amended contract.

The judge ruled that the bank was legally bound by the contract it had signed. Agarkov is also suing the bank for failing to comply with the terms he added to the contract, which she unknowingly accepted by signing the contract. Agarkov`s lawyer, Dmitry Mihalevich, said: “They signed the documents without looking. They said what their borrowers usually say in court: “We haven`t read it.” [13] [14] The Indian contract system does not make a specific distinction between SFC and General Contract, as the SFC is a type of contract governed by the laws provided for general contracts in the Indian Contract Act 1872. Due to the development of heavy industry, this type of contract has become common and is now executed in large numbers. This had led to the request to formulate new rules for the standard contract form to protect the rights of the weaker party in the standard contract form. Another factor that could mitigate the impact of competition on the content of liability contracts is that, in practice, model contracts are usually drafted by lawyers who are responsible for constructing them in such a way as to minimise the firm`s liability and not necessarily to implement the competitive decisions of managers. Sometimes contracts are drafted by an industry association and distributed to companies in that industry, which increases the homogeneity of contracts and reduces consumers` ability to look around. In the case of a contract with the government, certain points must be respected in order to prevent the exploitation of the other party. Since the government`s decision was made in bad faith. The decision is based on irrational or irrelevant considerations. The decision was taken without following the procedure prescribed in the system.

If these things are not followed carefully, the contract will be considered irrelevant by the court and the party will be protected by certain clauses against exploitation by the contracting party. Misrepresentation, fraud, mischief and other elements that invalidate a contract must not be included in the contract to make an agreement legally enforceable. In Food Corporation of India v. Laxmi Cattle Feed Industries MANU/SC/8041/2006, the Supreme Court ruled that in the event of a breach of contract, the plaintiff must prove all the essential conditions of a breach of contract. If the applicant is unable to prove this, this will not be considered a breach of contract. Devices developed by the courts to protect the individual in the form of a standardized contract The concept of the accession treaty originated in French civil law, but only entered American jurisprudence when the Harvard Law Review published an influential article by Edwin W. Patterson in 1919. [6] It was then passed by the majority of U.S. courts, particularly after the California Supreme Court approved the membership analysis in 1962. See Steven v.

Fidelity & Casualty Co., 58 Cal. 2d 862, 882 n.10 (1962) (Explanation of the history of the concept). [7] Notification of the terms must be made before or at the time of signing the contract. As Lord Denning has made clear, it is the duty of the party invoking a clause in his favour to make the other party understand the terms of the contract in the famous case of Thornton v. Shoe Lan Parking Ltd. Such protection is also afforded against state actions, in which the courts have held that state action in the area of the contract must also be fair and proportionate. The requirement of article 14 of the Constitution should also extend to the area of contractual matters governing the exercise of State activity. Applicability of article 14 to all State enforcement measures contained in the Regulation, the State may renounce its personality and exercise unbridled powers limited by the requirements of Article 14 in the field of contractual matters and claim to be governed there only by principles of private law applicable to individuals whose rights derive only from the terms of the contract; without anything more..

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