Sec. 5. (a) If the court as a matter of law finds the rental purchase agreement or any clause of a rental purchase agreement to have been unconscionable at the time it was made the court may:

(1) refuse to enforce the rental purchase agreement;

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Terms Used In Indiana Code 24-7-6-5

  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
(2) enforce the remainder of the rental purchase agreement without the unconscionable clause; or

(3) limit the application of any unconscionable clause to avoid an unconscionable result.

     (b) If it is claimed or appears to the court that a rental purchase agreement or any clause of the rental purchase agreement may be unconscionable, the parties shall be afforded a reasonable opportunity to present evidence as to its setting, purpose, and effect to aid the court in making the determination.

     (c) For the purposes of this section, a rental payment, charge, or practice expressly permitted by this article is not in itself unconscionable.

As added by P.L.254-1987, SEC.1.