Iowa Code ch. 562B § 562B.8
Unconscionability
Operative Text
1. If the court, as a matter of law, finds that: a. A rental agreement or any provision thereof was unconscionable when made, the court may refuse to enforce the agreement, enforce the remainder of the agreement without the unconscionable provision, or limit the application of any unconscionable provision to avoid an unconscionable result. b. A settlement in which a party waives or agrees to forego a claim or right under this chapter or under a rental agreement was unconscionable at the time it was made, the court may refuse to enforce the settlement, enforce the remainder of the settlement without the unconscionable provision, or limit the application of any unconscionable provision to avoid any unconscionable result. 2. If unconscionability is put into issue by a party or by the court upon its own motion the parties shall be afforded a reasonable opportunity to present evidence as to the setting, purpose and effect of the rental agreement or settlement to aid the court in making the determination.
Iowa Code § 562B.8 addresses situations where a manufactured or mobile home rental agreement, or a settlement waiving rights under such an agreement, is found to be grossly unfair at the time it was entered into. When a court determines as a matter of law that such unconscionability exists, it has the flexibility to throw out the entire agreement, remove only the offending provision, or narrow that provision's reach to prevent an unjust outcome. Either party—or the court itself—may raise the issue, and when it is raised, all parties must be given a fair chance to present evidence about the context, intent, and effect of the agreement or settlement.
Plain English — not legal advice.
Under Iowa Code § 562B.8, rental agreements and any related settlements that waive tenant rights are subject to judicial review for unconscionability as of the date they were signed. Operators who use standardized lease forms generally review those documents to ensure that terms are balanced, clearly written, and not structured in ways that could be characterized as oppressively one-sided. Keeping records of the circumstances under which agreements were negotiated and signed can help demonstrate that the setting and purpose of any given provision were reasonable.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Iowa Code § 562B.8 gives courts the authority to refuse to enforce, or to modify, a rental agreement or settlement that was unconscionably unfair when it was made—including settlements in which you may have given up rights under Iowa's manufactured housing tenancy law. If you believe a lease term or a settlement you signed was grossly one-sided at the time of signing, this provision allows that issue to be raised in court, either by you or by the court on its own initiative, with an opportunity to present evidence about the circumstances. Tenant-rights organizations in Iowa can help you understand whether this doctrine may be relevant to your situation and what general options exist for raising it.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 18, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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