What is the test for determining whether a delegation provision in a contract is procedurally unconscionable?

MultiRegion, United States of America

The following excerpt is from Appel v. Concierge Auctions, LLC, Case No. 17-cv-02263-BAS-MDD (S.D. Cal. 2018):

A "[p]rocedural unconscionability analysis focuses on oppression or surprise." Nagrampa v. MailCoups, Inc., 469 F.3d 1257, 1280 (9th Cir. 2006) (internal quotations omitted). "Oppression arises from an inequality of bargaining power that results in no real negotiation and an absence of meaningful choice, while surprise involves the extent to which the supposedly agreed-upon terms are hidden in a prolix printed form drafted by the party seeking to enforce them." Id. (internal quotations omitted). Here, Plaintiffs raise three arguments why the delegation provision is procedurally unconscionable.

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