An Analysis on Standard Form of Contracts: Different Measures and Current Status in India

  • Kaushiki
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  • Kaushiki

    Ph.D. Research Scholar at Shobhit University, Meerut, India

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The law of contract differs from all the other branches of law in the respect, that an obligation under it is a creation of parties themselves and no one else. The technique of an agreement essentially includes the offer at one side and its acceptance by the other side. The rapid commercial growth and the activities of mass production have attributed to the development of standard-form contracts, which are typically known as adhesive contracts. The word adhesive is used only to give the idea that one party merely adheres to the terms and conditions that are imposed by the other. The truth of mass production, which is impossible without the standardisation of technology, also requires the standardisation of mass contracts. The basic idea of the law of contract lies in the freedom of contract and equality of bargaining power which has undoubtedly been hampered by the growth of the standard form of contract. A contract of adhesion means that an individual does not have any option other than accepting the contract terms. Even if he sat to avail, it is possible that he might miss the opportunity. The individual can hardly bargain with massive organisations, and therefore he has to accept the offer, whatsoever, irrespective of the fact whether the terms of the contract suit him or not. Although the number of individuals who separately deal with monopolistic concerns is very large but another truth is that they are not united, while such big concerns enjoy the benefit of having legal expertise and are in a better position to circumvent the law in their own favour. Therefore, the freedom of contract, which is one of the sacrosanct ideas of individual liberty in actions, is greatly attacked and annihilated by the so-called standardszation of contracts. This paper tries to analyse this issue.


Research Paper


International Journal of Law Management and Humanities, Volume 6, Issue 1, Page 538 - 550


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