Abstract

This paper examines the regulation of unfair terms in consumer contracts, as reported by consumer law experts in more than a dozen Asian countries. The comparative analysis proceeds in four parts and draws some comparisons to the regulation of unfair terms in the United States. The first part examines the role of general doctrines of unfairness, specifically the unconscionability and good faith doctrines, as a check on unfair contract terms. The second part looks at the various ways in which the reporting countries address procedural unfairness in consumer contract formation. The third part is a partial taxonomy of the wide variety of substantive terms that are deemed to be unfair in countries across the region. The fourth part discusses the available remedies when a trader includes unfair terms in consumer contracts, ranging from nullifying the unfair term to possible criminal penalties.

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