Themostcommonstandardformcontractsareinsurancecompanycontracts,contractsassociatedwiththepurchaseofawashingmachine,signingupfore-mail, ...
Introduction to Standard Form Contracts
In layman language, a standard form of contract is a take it or
leave it kind of contract. Here one party formulates all the
terms and conditions, thereby reducing the complexity and number
of procedures associated with drafting individual agreements
every single time. The other party is not given an opportunity to
negotiate. The party can either enter into the contract or
opt-out of it. With a rise in business activities and trade
worldwide, there is a need to enter into a contract more than
ever. The most common standard form contracts are insurance
company contracts, contracts associated with the purchase of a
washing machine, signing up for e-mail, websites, etc.
Nature of Standard Form Contracts A standard form contract does not provide room for any negotiations. It is entered into between partners with unequal bargaining powers. Strictly speaking, these are legally binding agreements entere...
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