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Unfair contract term
Practical Law ANZ Glossary w-013-1088 (Approx. 3 pages)
Glossary
Unfair contract term
A term of a consumer contract or small business contract that:
- Would cause a significant imbalance in the parties' rights and obligations arising under the contract.
- Is not reasonably necessary in order to protect the legitimate interests of the party who would be advantaged by the term.
- Would cause detriment (whether financial or otherwise) to a party if it were to be applied or relied on.
For more information, see Practice notes, Unfair or unjust contract claims and Unfair contract terms and protections for small businesses.