Adhesion Contract Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Adhesion Contract, written in plain English, along with examples of how it is used.

What is Adhesion Contract?

n. a term used in contract law adhesion contract is a contract between two unequal bargaining partners and does not allow for negotiation. It can be thought of as take it or leave it kind of contract where one party is tied down to accept whatever terms of conditions are put forth by the other powerful party. For example, suppose an individual has a contract thrust into his/her hands by the salesperson of a MNC. Now the consumer is in no position to negotiate the standard terms of such contracts and the company’s representative often does not have the authority to do so. It is also called standard form contract or boilerplate contract.