Generally, ´unconscionable conduct´ is a statement or action so unreasonable it defies good conscience.
It is illegal to use undue pressure, influence or unfair tactics to force a consumer into an unreasonable contract. This is unconscionable conduct, and involves situations where the relative bargaining strengths of the customer and the trader are unequal.
If you´re supplying goods and services to a person who is vulnerable for a particular reason, be careful not to take advantage of the situation.
Examples of unconscionable conduct by a business might include:
- not properly explaining the conditions of a contract to a person they know does not speak English or has a learning disability
- not allowing sufficient time to read an agreement, ask questions or get advice
- using a friend or relative of the customer to influence the customer´s decision
- inducing a person to sign a blank or one-sided contract
- taking advantage of a low-income consumer by making false statements about the real cost of a loan
- failing to disclose key contractual terms
- using high pressure tactics, such as refusing to take ´no´ for an answer.
Last reviewed 28/11/2011