Document ID: chunk:federal_register_of_legislation:C2010A00044:clause:3_12bg
Version: federal_register_of_legislation:C2010A00044
Segment Type: clause
Provision Reference: sch 3 cl 12BG
Character Range: 73859–75051

12BG  Meaning of unfair
 (1) A term of a consumer contract referred to in subsection 12BF(1) is unfair if:
 (a) it would cause a significant imbalance in the parties' rights and obligations arising under the contract; and
 (b) it is not reasonably necessary in order to protect the legitimate interests of the party who would be advantaged by the term; and
 (c) it would cause detriment (whether financial or otherwise) to a party if it were to be applied or relied on.
 (2) In determining whether a term of a consumer contract is unfair under subsection (1), a court may take into account such matters as it thinks relevant, but must take into account the following:
 (b) the extent to which the term is transparent;
 (c) the contract as a whole.
 (3) A term is transparent if the term is:
 (a) expressed in reasonably plain language; and
 (b) legible; and
 (c) presented clearly; and
 (d) readily available to any party affected by the term.
 (4) For the purposes of paragraph (1)(b), a term of a consumer contract is presumed not to be reasonably necessary in order to protect the legitimate interests of the party who would be advantaged by the term, unless that party proves otherwise.