Inadequacy of consideration may be evidence of:

Question

Quizplus · Accepted Answer

Inadequacy of consideration, which means that the value of what is being given in exchange is less than what is being received, can be a sign of several issues. It may be evidence of the exercise of undue influence, where one party coerces or manipulates the other party into an agreement. It may also be evidence of taking advantage of the economic circumstances of the other party, such as in a situation where one party is in desperate need of the transaction and the other party exploits that need. Finally, inadequacy of consideration may be evidence of unconscionability, where the terms of the agreement are so one-sided that they are not fair to one of the parties. Therefore, all of the above options are correct.

Inadequacy of Consideration May Be Evidence Of