What is one feature of a contract of adhesion?

Prepare for the Rhode Island Property Producer Exam with targeted study materials. Utilize flashcards and multiple choice questions, each providing hints and explanations, to maximize your readiness and confidence for the exam!

A contract of adhesion is characterized by its take-it-or-leave-it nature. This means that one party, typically the stronger party, presents the contract with terms that are non-negotiable. The weaker party, often the consumer, must either accept the terms as they are or forgo the agreement altogether. This type of contract is common in scenarios where businesses or service providers offer standardized agreements that are not open to negotiation, which is particularly prevalent in consumer contracts for services such as insurance or cell phone agreements.

The other options highlight elements that may be present in different types of contracts or negotiations. For example, negotiable terms imply that both parties have the ability to discuss and amend the contract, which is contrary to the nature of a contract of adhesion. Similarly, mutual agreement on terms suggests a collaborative process that is not typical of such contracts. Conditional provisions might exist in various agreements but do not embody the defining element of a contract of adhesion. Therefore, the key feature that sets these contracts apart is indeed their take-it-or-leave-it basis.

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