Such a Provision Within the Credit Card Contract Is

question 41

Multiple Choice

Such a provision within the credit card contract is:
Fact Pattern 40-1
John purchased $600 worth of clothes from Clothing Mart.He paid for the clothes with a credit card.When he received his statement,he sent the credit card company a check for $600.The credit card company mistakenly recorded his payment as $60.When John received his next statement,he noticed the $540 error and contacted the credit card company.
A few days later when he attempted to use his card to buy gasoline,he was told by the cashier that the card had been canceled and she was instructed to take his card.John was shocked,embarrassed,and angry.When he contacted the credit card company,it pointed out a provision in his initial contract for the card that stated the company could revoke his card privileges at any time with or without cause.

• A)unconscionable.
• B)an illegal contract of adhesion.
• C)not binding,as a person cannot waive the statutory rights granted to him by federal credit card legislation.
• D)valid unless state legislation prohibits such clauses.

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