Case studies

Real contracts that broke down in court or enforcement.

Learn the patterns behind unconscionable terms, subscription traps, illegal lease clauses, penalty provisions, and high-pressure sales tactics.

Close-up of a vintage 1950s automobile steering wheel, representing a defective-vehicle warranty dispute
1960Public Policy / Warranty Disclaimer

The Fine-Print Disclaimer That Couldn't Survive a Car Crash

Ten days after buying a new car, the steering failed and the car crashed. The maker pointed to a fine-print clause limiting its liability to replacing parts. The court refused to let a buried disclaimer erase basic safety protections.

5 min read

Vintage 1960s living room furniture and a console stereo set, representing a retail installment purchase
1965Unconscionability

The Furniture Store That Tried to Take Everything Back

A contract clause can be perfectly legal on paper and still be thrown out if it's so one-sided that enforcing it shocks the conscience. This 1965 case created the modern doctrine that lets ordinary people fight back against fine-print traps.

5 min read

An empty courtroom with judge's bench and scales, representing the right of access to courts
2000Unconscionability / Forced Arbitration

The Arbitration Clause That Only Bound One Side

A health company's arbitration clause forced employees to arbitrate their claims while leaving the employer free to sue in court. California's Supreme Court set the standard for striking down one-sided arbitration.

6 min read

A resort sales office desk with brochures and a contract, representing a high-pressure timeshare presentation
2015Fraud / Fraudulent Inducement

The Eight-Hour Pitch and the Promise That Didn't Exist

After an eight-hour high-pressure pitch, a couple bought a timeshare based on a promise of 'unlimited owners' nights.' The company had trained its salespeople to make that promise while knowing it wasn't in any document. The court rescinded the contract and refunded everything.

6 min read

Neon storefront sign reading payday loans and cash advance at night, representing high-interest consumer lending
2016Unconscionability + Truth in Lending Act

The $200 Loan That Cost $1,820

A finance company loaned a hotel housekeeper $200 at an 838% APR, structured so she'd pay $1,820 total. A Delaware court rescinded the entire loan as unconscionable — even though Delaware has no interest-rate cap.

6 min read

A fast-food worker preparing a sandwich behind a counter, representing low-wage employment
2016Restraint of Trade / Overbroad Non-Compete

The Sandwich Makers Locked Out of the Sandwich Industry

A national sandwich chain forced delivery drivers and sandwich makers to promise not to work at any competing sub shop for two years. Regulators called it absurd — and made the company void every agreement.

5 min read

A contract document with a calculator and pen, representing disputed financial penalties
2020Unenforceable Penalty / Liquidated Damages

The $16,000 Miss That Triggered a $1 Million Bill

A tenant paid almost all of a settlement, then missed one final payment of about $16,000. The contract said that triggered over $1 million in damages. New York's highest court refused to enforce it.

5 min read

A laptop showing a subscription sign-up screen with a credit card, representing recurring billing
2025Deceptive Auto-Renewal / Negative Option

The Subscription You Couldn't Escape

A free trial that quietly converts to recurring charges, and a cancellation maze designed to keep you paying. California's Automatic Renewal Law turns those tactics into refunds — and a $7.5M penalty for HelloFresh.

6 min read

A person reading a residential lease document at a kitchen table, representing tenant rights
2026Illegal / Void Lease Terms

The Lease Clause You Signed That Was Never Worth the Paper

Landlords routinely slip clauses into leases that try to make tenants waive the right to a livable home or to sue. In nearly every state, those clauses are void the moment they're written — your signature doesn't save them.

6 min read