In 1995, Oli Bonli was 88 years old. He owned some land that he agreed to lease

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In 1995, Oli Bonli was 88 years old. He owned some land that he agreed to lease to Mr Turner for five years with an option to purchase the land when the lease expired. The purchase price for the land at the end of the five-year lease term was set at $100 000, payable over 20 years at $5000 per year. No interest was payable under the agreement. In fact, the value of the land in 1995 was $167 000, much higher than the purchase price. Land prices in the area were skyrocketing at this time and Mr Turner knew it. At that time, Mr Turner was 47 years old and he personally drafted a written contract on the terms agreed to. He had Mr Bonli come to his office to sign the contract at 7:00 am, when no one was likely to be around. Mr Bonli did not obtain independent legal advice before entering into the contract. Despite being a long-time farmer on the same piece of land, Mr Bonli made two errors in the legal description of his land on the contract. At that time, age was catching up to Mr Bonli—he had good days and bad days when he was very confused. Very shortly after signing the contract, Mr Bonli denied that he had sold his land and told someone that he thought he had actually bought land from Mr Turner. In 1996, Mr Bonli was taken to a nursing home as he could no longer care for himself properly. By the end of the lease term in 2000, the value of Mr Bonli’s land had risen to $418 000. Mr Turner then sought to exercise his option to purchase the land for $100 000 pursuant to the payment terms of the contract. Mr Bonli’s estate refused to sell the land to Mr Turner, claiming that the contract was unconscionable. If you were the judge deciding this case, would you find the contract to be unconscionable? Why or why not?

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Related Book For  answer-question

Managing the Law The Legal Aspects of Doing Business

ISBN: 978-0132164429

4th edition

Authors: Mitchell McInnes, Ian R. Kerr, J. Anthony VanDuzer

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