Extortionate credit transaction: terms demanding exorbitant payments or unconscionable provisions are treated as extortionate under insolvency rules. A transaction is an extortionate credit transaction if its terms require the corporate debtor to make exorbitant payments for the credit provided, or if the terms are unconscionable under contract law principles.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Extortionate credit transaction: terms demanding exorbitant payments or unconscionable provisions are treated as extortionate under insolvency rules.
A transaction is an extortionate credit transaction if its terms require the corporate debtor to make exorbitant payments for the credit provided, or if the terms are unconscionable under contract law principles.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.