Adhesion Contract Legal Meaning and Definition

Here is a simplified definition of the legal term Adhesion Contract.

Adhesion Contract (noun): An adhesion contract is a type of agreement made between two parties where one party has substantially more power or leverage than the other, resulting in an imbalanced "take it or leave it" deal. The terms are set by the dominant party and the weaker party has no option to negotiate these conditions. These contracts are common in dealings with big corporations where the consumer cannot negotiate the standardized terms of the agreement. Also known as a "standard form contract" or "boilerplate contract."