Summary

Portrait of John Paul Stevens John Paul Stevens Carnival Cruise Lines Inc. v. Shute…

Ordinarily, one who signs an agreement without full knowledge of its terms might be held to assume the risk that he has entered a one-sided bargain. But when a party of little bargaining power, and hence little real choice, signs a commercially unreasonable contract with little or no knowledge of its terms, it is hardly likely that his consent, or even an objective manifestation of his consent, was ever given to all of the terms.
Source: Wikisource

Portrait of John Paul Stevens John Paul Stevens Carnival Cruise Lines Inc. v. Shute…

Clauses limiting a carrier's liability or weakening the passenger's right to recover for the negligence of the carrier's employees come in a variety of forms. Complete exemptions from liability for negligence or limitations on the amount of the potential damage recovery, [1] requirements that notice of claims be filed within an unreasonably short period of time, [2] provisions mandating a choice of law that is favorable to the defendant in negligence cases, [3] and forum-selection clauses are all similarly designed to put a thumb on the carrier's side of the scale of justice.
Source: Wikisource

Portrait of John Paul Stevens John Paul Stevens Carnival Cruise Lines Inc. v. Shute…

Forum-selection clauses in passenger tickets involve the intersection of two strands of traditional contract law that qualify the general rule that courts will enforce the terms of a contract as written. Pursuant to the first strand, courts traditionally have reviewed with heightened scrutiny the terms of contracts of adhesion, form contracts offered on a take-or-leave basis by a party with stronger bargaining power to a party with weaker power.
Source: Wikisource

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