Written Contracts

• When a contract needs to be in writing, it needs to (Common, not UCC):
  1. Identify parties involved.
  2. State main terms.
  3. State material subject manner.
  4. Have the signature of the person the contract is being enforced against.

Statute of Frauds

• Statute that states certain things need to be in writing in order for the contract to be enforceable.
  • For situations with verbal contracts: Does the statute of frauds apply?
• The contract needs to be in writing in these instances:
  • Promise to answer for debt/default/miscarriage of another (CA).
  • Lease for period longer than 1 year/sale of property (CA).
  • Agreement authorizing another to purchase/sell real estate or to lease real estate for more than 1 year (CA).
  • Agreement not to be performed in the lifetime of the promisor (CA).
  • Agreement by a purchaser of real property to pay debt secured by mortgage or deed of trust on the real property (CA).
  • Contract made by a person in the business of money lending to loan more than $100,000 – Not for personal, family, or household purposes (CA).
  • Interest in Land
  • Consideration of Marriage – dowry
  • Sale of goods over $500
  • Contract that cannot be completed in a year
  • Suretyship
    • Promise by one party to assume responsibility for a borrower’s debts if that borrower defaults.
      • Ex. I will pay you the money if George does not.
  • Ratification of voidable contract.
    • Ex. We had an agreement before I turned 18. I turned 18 and I want to ratify this contract.