In an article surfacing major concerns in the Japanese economy, instances of overwhelming penalty clauses, reaching billions in stipulations, are increasing in contracts. The practice, dubbed as "Owahara", is raising eyebrows due to its alleged exploitation to discourage the termination of contracts. While not unlawful, this practice has stirred up heated debates among industry experts, legal professionals, and the public. Calls for enhanced regulation and business ethics are growing as this practice spreads across multiple sectors in Japan.

In Japan, there is a high value placed on harmony, commitment, and longevity in business relationships. Owing to this, such heavy penalty clauses can be particularly influential and controversial. The term "Owahara" comes from "Owarase Harassment", which translates to "forced to end harassment". The issue is not only economic but also societal - the cultural expectation of long-term employment and high commitment often pressures individuals into accepting such conditions, spurring debates on workplace ethics and coercion.

In comparison, the US and EU have more strict regulations on penalty clauses in contracts. While penalties can be included to discourage contract termination, the amount must not be punitive and must reasonably reflect the potential damage it would cause the other party. Excessive penalties are seen as unethical and are often challenged in court.