Comment on 'When and Why Individuals Obey Form-Adhesive Contracts: Experimental Evidence of Consent, Compliance, Promise and Performance'
3 Pages Posted: 22 Oct 2014 Last revised: 16 Sep 2015
Date Written: December 30, 2011
The assumption that “form-adhesive” contracts offered by organizations to their customers, without opportunity to negotiate the terms, are inherently exploitative does not have theoretical or empirical support. Ruling such contracts out will raise the cost of operating organizations of non-trivial size to the point of eliminating them.
Keywords: Form-adhesive contracts, organizations, power, exploitation
JEL Classification: J41, K12, L14, M55
Suggested Citation: Suggested Citation