Summary of Jones v. Star Credit Corp.
Facts: Plaintiffs were welfare recipients with little education. D sold them a home freezer that had the retail price value of $300 for $1,234.80. P had already paid $619.88 towards the purchase.
Issue: Can this transaction and the resulting contract be considered unconscionable within the meaning of UCC § 2-302 based on the price that was charged from the P?
Rationale: According to the court, the concern for the protection of the poor uneducated consumers against overreaching by the small bury hardy breed of merchants who would prey on them is not novel. The law is beginning to fight back against those who once took advantage of the poor and illiterate without risk of either exposure or interference. According to the court, UCC § 2-302 enact the moral sense of the community into the law of commercial transactions. Also, nothing in this code states that price of items being charged cannot be considered in the process of determining whether a K should be unenforceable for being unconscionable. Therefore, the court ruled that P will have to make no more payments on the purchase.