I get why your staff would be pissed because dealing with a crappy printer/scanner is the bane of a lot of office workers' existence... but they must have been able to find a better vendor or something off the shelf which supported the features they needed right? What special feature could they possibly offer to make them brave enough to put all those terms in their contract?
They count on potential customers not reading the contracts, or being able to do math or research themselves.
Typical customers for these types of scams are small offices with no technical person in the loop.