Under the Statue of Frauds, certain contracts are required to be in writing. This statue is intended to make certain that every important detail of the contract are not misinterpreted, fraudulent, or overlooked. Below are some of the contracts that are required to be in writing.
• Contracts involving interests in real property
• Contracts that by their own terms cannot possibly be performed within one year
• Collateral contracts in which a person promises to answer for the debt or duty of another
• Promises made in consideration of marriage
• Contracts for the sale of goods for $500 or more
• Contracts for the lease of goods with payments of $1,000 or more
• Real estate agents’ contracts
• Agents’ contracts where the underlying …show more content…
Tony’s Toy Company agreed to hire Wombat as general manager of their company for three years. The Statue of Frauds has a one-year rule that states any contract that cannot possibly be performed within one year has to be in writing. Tony’s and Wombat only had a verbal agreement, which makes it invalid. It wasn’t possible for Wombat to complete his part of the agreement within a year. Assuming that Tony’s Toy Company didn’t have a valid reason for the termination, Wombat may try to recover damages by way of fraud. A misrepresentation of a material fact by the wrongdoer may occur by words (oral or written) or by the conduct of a party. In order for it to be fraud, the misrepresentation must have been a major factor in inducing the innocent party into a contract. Wombat thought he would have an assured job for at least three years. In doing so, he quit his job, sold his house, and moved his family to another state in order to start his new job. This may be considered an executory contract. This is a contract that had not been fully performed by either or both sides. Wombat completed part of the contract, which was to move and become district manager for three years. He was terminated three months later. This prevented him from completing his end of the contract. Tony’s Toy Company has failed to fulfill their duties outlined in the
• Contracts involving interests in real property
• Contracts that by their own terms cannot possibly be performed within one year
• Collateral contracts in which a person promises to answer for the debt or duty of another
• Promises made in consideration of marriage
• Contracts for the sale of goods for $500 or more
• Contracts for the lease of goods with payments of $1,000 or more
• Real estate agents’ contracts
• Agents’ contracts where the underlying …show more content…
Tony’s Toy Company agreed to hire Wombat as general manager of their company for three years. The Statue of Frauds has a one-year rule that states any contract that cannot possibly be performed within one year has to be in writing. Tony’s and Wombat only had a verbal agreement, which makes it invalid. It wasn’t possible for Wombat to complete his part of the agreement within a year. Assuming that Tony’s Toy Company didn’t have a valid reason for the termination, Wombat may try to recover damages by way of fraud. A misrepresentation of a material fact by the wrongdoer may occur by words (oral or written) or by the conduct of a party. In order for it to be fraud, the misrepresentation must have been a major factor in inducing the innocent party into a contract. Wombat thought he would have an assured job for at least three years. In doing so, he quit his job, sold his house, and moved his family to another state in order to start his new job. This may be considered an executory contract. This is a contract that had not been fully performed by either or both sides. Wombat completed part of the contract, which was to move and become district manager for three years. He was terminated three months later. This prevented him from completing his end of the contract. Tony’s Toy Company has failed to fulfill their duties outlined in the