Contracts - Statute of Fraud

Question 1

Categories covered by SOF

Answer 1

Marriage, Year (Performance more than a year after formation); Land sales; Exceutors; Goods over $500; Surities

Question 2

When can a seller of land enforce an oral contract against a buyer?

Answer 2

If a seller conveys property to the buyer (that is, they fully perform), the seller can enforce the buyer’s oral promise to pay.

Question 3

When can a buyer enforce an oral contract for land against a seller?

Answer 3

Likewise, the buyer may seek to specifically enforce an oral land sale contract under the doctrine of part performance.
b. Most jurisdictions require at least two of the following: payment (in whole or in part), possession, and/or valuable improvements.

Question 4

Specific Performance only for land contracts

Answer 4

A purchaser of an interest in land may enforce an oral contract in this manner only in equity (meaning, they may sue only for specific performance, not damages).

Question 5

Past Performance for sale of goods contracts

Answer 5

a. Part performance takes a sale of goods contract out of the Statute of Frauds when:
i. (1) the goods have been specially manufactured, or
ii. (2) the goods have been either paid for or accepted.

Question 6

How can a service contract that falls within the one year rule be enforceable?

Answer 6

an oral contract that cannot be completed within one year but has been fully performed by one party is enforceable.

Question 7

What happens if a sales contract is only partially paid for or accepted?

Answer 7

the contract is enforceable only to the extent of the partial payment or acceptance.

Question 8

What happens If goods are either received and accepted or paid for?

Answer 8

the contract is enforceable;
d. However, the contract is not enforceable beyond the quantity of goods accepted or paid for. Thus, if only some of the goods called for in the oral contract are accepted or paid for, the contract is only partially enforceable.

Question 9

What are the three situations in which contracts are enforceable without the writing described above

Answer 9

1. Specially Manufactured Goods - If goods are to be specially manufactured for the buyer and are not suitable for sale to others by the seller in the ordinary course of their business, the contract is enforceable if the seller has, under circumstances that reasonably indicate that the goods are for the buyer, made a substantial beginning in their manufacture or commitments for their purchase before notice of repudiation is received.
2. Admissions in Pleadings or Court - If the party against whom enforcement is sought admits in pleadings, testimony, or otherwise in court that the contract for sale was made, the contract is enforceable without a writing (but in such a case the contract is not enforced beyond the quantity of goods admitted).
3. Merchants—Confirmatory Memo Rule - In contracts between merchants, if one party, within a reasonable time after an oral agreement has been made, sends to the other party a written confirmation of the understanding that is sufficient under the Statute of Frauds to bind the sender, it will also bind the recipient if: (1) they have reason to know of the confirmation’s contents; and (2) they do not object to it in writing within 10 days of receipt

Question 10

Mandatory terms for a land contract?

Answer 10

1. Writings evidencing land sale contracts must contain a description of the land and the price

Question 11

Mandatory terms for employment contract?

Answer 11

2. Writings for employment contracts must state the length of employment

Question 12

Mandatory terms for the sale of goods over $500?

Answer 12

3. Writings evidencing sales of goods contracts (UCC) must indicate that a contract has been made and specify the quantity term