Abusive clauses are those provisions or terms included in a contract that grant the seller, lender, or provider an unfair advantage to the detriment of the consumer. These clauses are considered illegal and non-binding as they violate the rights and guarantees provided by law to consumers.

“These clauses can be found in different types of contracts, such as loan agreements, insurance contracts, sales contracts, among others,” mentioned our partner, Luis R. Domínguez, in the “Legal Insights in 5 Minutes” segment on Radio Femenina.

Our lawyer explains that there are many ways to detect an abusive clause, some of the most common include:

1. Clauses that allow the seller to unilaterally modify the price or terms of the contract.
2. Clauses that establish abusive interest rates or disproportionate commissions.
3. Clauses that impose on the consumer the waiver of their rights or the limitation of these rights.
4. Clauses that compel the consumer to accept the jurisdiction or competence of a distant or unknown court or arbitrator.
5. Clauses that establish the impossibility or difficulty of terminating the contract.

“It’s important to note that abusive clauses are illegal and have no binding effect on the consumer, so they can be challenged in court and removed from the contract. Additionally, consumers have the right to receive clear and complete information about the contract terms and to be protected against deceptive or unfair business practices,” Domínguez stated.

If a consumer encounters an abusive clause in a contract, Domínguez recommends informing themselves about their rights and the laws that protect consumers against these practices: “In general, consumers have the right to challenge abusive clauses and demand their removal from the contract.”

The next step is to contact the seller, lender, or provider and let them know that the clause is abusive and, therefore, illegal. Our expert advises doing this in writing and requesting a written response as well. In some cases, the seller may be willing to negotiate and remove the abusive clause from the contract.

If an agreement cannot be reached with the seller, the consumer can turn to the Consumer Protection Agency or the Financial System Superintendence of El Salvador, which are state entities that oversee the actions of businesses and establishments concerning their customers.

“You can seek advice from a lawyer specialized in Consumer Law for guidance and assistance in the process of challenging the clause,” our legal specialist noted.

Ultimately, Domínguez said that if the consumer decides to take the matter to court, they will need to file a lawsuit before a judge to declare the nullity of the abusive clause and restore the rights that belong to them as consumers.

If you have more questions about this or other topics, you can contact us through our social media or by visiting our offices located at Cuscatlán Street, #4312, Escalón District, San Salvador, El Salvador.