(b)That's wrong. On the given facts A does not suffer from any disadvantage that would have been obvious to the salesman. Furthermore, A has actually read the contract before signing it. It would probably be difficult to establish unconscionable dealing under the general law or s 20 of the ACL.
But the key facts in this case are that goods were supplied to a person in the course of trade or commerce. This brings the provisions of section 21 of the ACL into operation. That section says a person must not, in trade or commerce, and in connection with the supply or acquisition of goods or services to or from a person (other than a listed public company) engage in conduct that is, in all the circumstances, unconscionable.
This section is of wide application. It does not distinguish between 'consumer' and 'commercial' transactions. Nor does it make any distinctions on the basis of the type of goods or services being acquired or supplied, or the purpose for which they are acquired or supplied, or their price. Section 21(1) simply prohibits unconscionable conduct that may occur in trade or commerce in connection with the supply or acquisition of goods or services.
Importantly, what constitutes unconscionable conduct for the purposes of s 21 is wider than the general law of unconsionable dealing. We will learn more about this later. But for now, it is sufficient to say that using undue influence or pressure, or using unfair tactics against a customer, is likely to be unconscionable conduct in breach of s 21 of the ACL.