What Contracts Must Be in Writing?
Under what is called the “statute of frauds” in all states, certain contracts have to be in writing to be valid. Legislatures require these contracts to be in writing because they do not want parties taking advantage of each other. The following is a list of contracts that are required to be in writing to be valid: - Surety and guaranty contracts – These are contracts where one party agrees to be responsible for another party’s debts. A student loan co-signed by a parent is a good example.
- A contract, for consideration, to marry – Modernly, this rule has been eliminated in many states for policy reasons
- A contract that cannot be fulfilled within one year of the start of the contract – This generally means long terms contracts
- A contract for the sale of goods over $500 or a lease of goods over $1000
- Contract involving the exchange of land or real property, or an interest in real property (such as a lease)
- A contract to give property on or after death
- A contract to sell stocks and bonds
What Are the Rules Regarding Signatures on Written Contracts?Handwritten, stamped, engraved, electronic pen, and photocopied signatures are all generally adequate to validate a contract unless the circumstances of the contract indicate otherwise. Some states indicate a simple mark or “x” is sufficient as a signature, but if this is an issue in a case, courts will look at all the facts to determine whether both parties intended to enter into the contract. Electronic and email signatures are now valid, but the exact requirements of electronic signatures vary from state to state. Should I Contract a Lawyer Regarding My Contract Issues?An Attorney can help you sort out whether your contract needs to be in writing. On the other side of the coin if you believe a contract you have signed or will sign violates the writing and/or signature requirements you should also contact a lawyer to help you sort that out. |
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