In re Fleet v. Consumer Council
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| In re Fleet v. Consumer Council | |
| Court | Eastern District of Pennsylvania |
|---|---|
| Citation | 95 B.R. 319 |
| Date decided | January 11, 1989 |
Facts
- United States Consumer Council = "Council" = USCC = defendant = council advising people to avoid bankruptcy
- The Council collected a fee of about $200 & referred clients to a bankruptcy attorney
- Mr. Fleet sought assistance from the Council
- Mr. Fleet = "Fleet" = plaintiff
Procedural History
Fleet & others filed a class-action lawsuit complaining about the fee charged for attorney referrals.
Issues
Is commercial conduct un-conscionable if the price charged is excessive in relation
- to the seller's costs, &
- the value is low relative to the price paid?
Arguments
Fleet argued that the Council's referral practice for a fee was unconscionable.
Holding
Yes. Commercial conduct is unconscionable if the price charged is excessive in relation to the seller's costs, & the value is low relative to the price paid.
Resources
