Chapter 18 - Contracts in writing. After reading this chapter, you will be able to answer the following questions: What is the purpose of the statute of frauds? Which kinds of contracts require a writing to satisfy the statute of frauds? What must a writing contain to be sufficient to satisfy the statute of frauds? What is the purpose of the parol evidence rule? | Chapter 18 Contracts in Writing Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Chapter 18: Contracts in Writing Statute of Frauds (Definition): Rule of state law requiring certain types of contract to be in writing in order to be enforceable 18- The “statute of frauds” is a rule of state law requiring certain types of contract to be in writing in order to be enforceable. 18- Purposes of Statute of Frauds Ease contractual negotiations by requiring sufficient, reliable evidence to prove existence and specific terms of contract Prevent unreliable, oral evidence from interfering with contractual relationship Prevent parties from entering into contracts with which they do not agree The statute of frauds eases contractual negotiations by requiring sufficient, reliable evidence to prove the existence and specific terms of a contract. The statute of frauds prevents unreliable, oral evidence from interfering with a contractual relationship, and prevents parties from entering into contracts with which they do not agree. 18- Contracts Subject to Statute of Frauds Contracts that cannot be performed within one year from the date of their making Promises made in consideration of marriage (Prenuptial agreements) Contracts to pay the debt/default of another party Real estate contracts Contracts for the sale of goods valued at $500 or more Contracts subject to the statute of frauds include agreements that cannot be performed within one year from the date of their making, prenuptial agreements, contracts to pay for the debt or default of another party, real estate contracts, and contracts for the sale of goods valued at $500 or more. These contracts must be in writing in order to be enforceable. 18- Statute of Frauds Writing Requirements Common Law--Written contract must clearly indicate: Parties to contract Subject matter/purpose of agreement . | Chapter 18 Contracts in Writing Copyright © 2015 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Chapter 18: Contracts in Writing Statute of Frauds (Definition): Rule of state law requiring certain types of contract to be in writing in order to be enforceable 18- The “statute of frauds” is a rule of state law requiring certain types of contract to be in writing in order to be enforceable. 18- Purposes of Statute of Frauds Ease contractual negotiations by requiring sufficient, reliable evidence to prove existence and specific terms of contract Prevent unreliable, oral evidence from interfering with contractual relationship Prevent parties from entering into contracts with which they do not agree The statute of frauds eases contractual negotiations by requiring sufficient, reliable evidence to prove the existence and specific terms of a contract. The statute of frauds prevents .
