What is the defense of unconscionability in an adhesion contract?

California, United States of America


The following excerpt is from Sabia v. Orange Cnty. Metro Realty, Inc., 173 Cal.Rptr.3d 485 (Cal. App. 2014):

The defense of unconscionability has two componentsprocedural unconscionability and substantive unconscionability. The procedural component generally occurs in adhesion contracts that were drafted by the party with superior bargaining strength and are presented on a take it or leave it basis. This inquiry focuses on oppression or surprise due to unequal bargaining power. The substantive component turns on whether the terms are overly harsh or one-sided. ( Gentry v. Superior Court (2007) 42 Cal.4th 443, 468469, 64 Cal.Rptr.3d 773, 165 P.3d 556 ( Gentry ).) Both must be present, but not in the same degree. Instead, a sliding scale is employed, and the greater the presence of one component of

[173 Cal.Rptr.3d 496]

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