The law of contract is, to a large extent, based on the barter model. The guiding principle

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The law of contract is, to a large extent, based on the barter model. The guiding principle of this model is that the parties are in an equal bargaining position negotiating balanced terms with which the courts shouldn’t interfere. However, in recent years the courts are showing an increasing willingness to overturn terms such as exculpatory clauses, or they are stepping in to protect individuals on the basis of good faith or unconscionability. Consider whether, in the process of attempting to ensure fairness in contract law, the courts and legislatures have unduly interfered with the underlying principle of the parties’ freedom to contract as they wish. Should the guiding principle or the assumption that the parties are in an equal bargaining position be abandoned and the courts take on more of a protective role?

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