Toggle contract
A toggle contract is the colloquial term for a contract that aims to keep a contracting party in an unbalanced contractual relationship for as long as possible. This is usually achieved through the creation of notice periods or conditions, exploitation of apparent advantages for the “gagged” party or monopoly positions .
Based on this, individual paragraphs of a contract are sometimes referred to as toggle paragraphs if they contain disproportionately favorable conditions for one of the contracting parties.
Such contracts can be legally void in whole or in part. In Germany, violations of the law of the general terms and conditions are possible, insofar as these are applicable. Furthermore, there may be an immoral legal transaction under Section 138 (1) or usury under Section 138 (2) BGB .
Web links
Individual evidence
- ↑ The gag contract. In: Learn German. Deutsche Welle , accessed on August 3, 2018 .
- ↑ toggle contract. In: Knowledge database for building technology. Retrieved August 3, 2018 .
