§ 25-2A-108. Unconscionability. - North Carolina Statutes

§25‑2A‑108.  Unconscionability.

(1)        If the court as amatter of law finds a lease contract or any clause of a lease contract to havebeen unconscionable at the time it was made, the court may refuse to enforcethe lease contract, or it may enforce the remainder of the lease contractwithout the unconscionable clause, or it may so limit the application of anyunconscionable clause as to avoid any unconscionable result.

(2)        With respect to aconsumer lease, if the court as a matter of law finds that a lease contract orany clause of a lease contract has been induced by unconscionable conduct orthat unconscionable conduct has occurred in the collection of a claim arisingfrom a lease contract, the court may grant appropriate relief.

(3)        Before making afinding of unconscionability under subsection (1) or (2) of this section, thecourt, on its own motion or that of a party, shall afford the parties areasonable opportunity to present evidence as to the setting, purpose, andeffect of the lease contract or clause thereof, or of the conduct.

(4)        In an action inwhich the lessee claims unconscionability with respect to a consumer lease:

(a)        if the court findsunconscionability under subsection (1) or (2) of this section, the court shallaward reasonable attorneys' fees to the lessee.

(b)        if the court doesnot find unconscionability and the lessee claiming unconscionability hasbrought or maintained an action he knew to be groundless, the court shall awardreasonable attorneys' fees to the party against whom the claim is made.

(c)        in determiningattorneys' fees, the amount of the recovery on behalf of the claimant undersubsections (1) and (2) of this section is not controlling. (1993,c. 463, s. 1.)