Statute of Fruads

Question 1

Statute of Frauds “SoF”

Answer 1

Oral contracts are unenforceable unless they are:
(1) In Writing and signed by the party to be charged OR
(2) An exception applies

Question 2

What are the types of oral contracts that trigger SoF?

Answer 2

(1) Marriage: Contracts in consideration of marriage

(2) Year Provision: Cannot be performed within a year

(3) Land: Land sale

(4) Executorship: A person who oversees a directive set out in a will

(5) Goods: Sale of goods greater than OR equal to $500

(6)Suretyship: Take on the debt of someone else

Question 3

Is there writing sufficient?

Answer 3

It could be a memo/ informal written contract but MUST include:

1. Identity of the parties (Ex. Names/ Identifications as the buyer or seller)
2. Adequate Description that POSITIVELY identifies the property (Ex. Address or a description)
3. Terms of Payment and Conditions of Title Transfer (Ex. When is settlement day, Price of Property, Financing plan)

4.Signature of the party to be charged. (MUST be signed by the party who is being sued)

Question 4

BLACK LETTER LAW

Answer 4

(1) Multiple documents can satisfy SoF if the parties’ intent is obvious.

(2) When one spouse signs, the indication is that they are signing for the benefit of the other.

Question 5

BLACK LETTER LAW (Informal Agreement)

Answer 5

*An informal agreement is **NOT **binding if there is evidence shows the parties intent to create a formal written K later or further negotiate the terms.

(1)Terms can be left out! so long as its are implied OR mutually agreed to be left out.

(2)Any ambiguities will always be resolved against the drafting party.

Question 6

Exceptions to SoF

Answer 6

(1) Doctrine of Part Performance

(2) Doctrine of Equitable Estoppel

Question 7

Doctrine of Part Performance

Answer 7

This is an Equitable Remedy-Must have possession

(1) Needs Unequivocable Referability
(P did what they did only because they believed they had a valid contract and NOT for any other reason.)

(2)There are 5 views/ approached on the use of this exception.

Question 8

What are the 5 views for Doctrine of Part Performance?

Answer 8

(1)Possession alone

(2)Possession + at least partial payment
(Deposit/ Down Payment is not a partial payment)

(3) Possession + valuable, lasting improvements to the property

(4)Possession + a change in position that causes detrimental reliance.
(Buyer will amount to irreparable harm if the contract is not enforced/ Buyer reasonable relief)

(5) No acts are sufficient and part performance will NOT be recognized

Question 9

Doctrine of Equitable Estoppel

Answer 9

(1)Needs Unequivocable Referability/ No possession required

(2)Buyer Reasonably Relied on K and irreparable harm will occur is K is voided. Specific performance