§ 34-41-1.05 - Unconscionable agreement or term of contract.
SECTION 34-41-1.05
§ 34-41-1.05 Unconscionable agreement orterm of contract. – (a) The court, upon finding as a matter of law that a contract or contractclause was unconscionable at the time the contract was made, may refuse toenforce the contract, enforce the remainder of the contract without theunconscionable clause, or limit the application of any unconscionable clause inorder to avoid an unconscionable result.
(b) Whenever it is claimed, or appears to the court, that acontract or any contract clause is or may be unconscionable, the court, inorder to aid the court in making the determination, shall afford the parties areasonable opportunity to present evidence as to:
(1) The commercial setting of the negotiations;
(2) Whether a party has knowingly taken advantage of theinability of the other party reasonably to protect his or her interests byreason of physical or mental infirmity, illiteracy, or inability to understandthe language of the agreement or similar factors;
(3) The effect and purpose of the contract or clause; and
(4) If a sale, any gross disparity, at the time ofcontracting, between the amount charged for the time share and the value of thetime share measured by the price at which similar time shares were readilyobtainable, but a disparity between the contract price and the value of thetime share measured by the price at which a similar time share was readilyobtainable in similar transactions does not, of itself, render the contractunconscionable.