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Jones v - as well as the value of the item compared to the...

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Jones v. Star Credit Corp. NY Sup Ct (1969) p. 409 J. Wachtler FACTS: P’s (who are on welfare)agreed to purchase a freezer for $900 from a salesman from Your Shop At Home Service, Inc. After taxes, and other charges the price was over $1,400. The value of the freezer was determined to be $300. The P filed suit claiming the sale was unconscionable. ISSUE: Whether the meaning of § 2-302 of the UCC protects consumers against overpricing by unconscionable merchants. HELD: Yes. The very limited financial situation of the P. was considered,
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Unformatted text preview: as well as the value of the item compared to the price charged. “the value disparity itself leads to the felt conclusion that knowing advantage was taken of the plaintiffs. RULE: Where there is evidence that a merchant has taken advantage of a consumer through overpricing, it is unconscionable as a matter of law and is governed by the UCC § 2-302. The ct ruled out the unconscionable provisions in the contract (the price)....
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