Q:

Are verbal agreements binding?

A:

Quick Answer

Chron.com notes that verbal agreements are often binding, although they are more difficult to enforce than written agreements due to the lack of documentation. However, the statute of frauds requires that certain types of agreements be in writing and signed by all involved parties.

Know More
Are verbal agreements binding?
Credit: Tom Merton OJO IMages Getty Images

Full Answer

According to Cornell University, when an agreement involves marriage, real estate, goods worth more than $500 or contracts lasting more than one year, the statute of frauds requires that the agreement be in writing. However, Lawnix points out that even verbal agreements that fall into one of the aforementioned categories can be enforced in court if one of the parties reasonably relied on promises made in the agreement to his detriment.


Is this answer helpful?

Similar Questions

  • Q:

    Is a verbal agreement legally binding?

    A:

    According to FindLaw.com, verbal agreements are binding. However, they are difficult to prove. As with any legal dispute, the enforceability of the verbal contract depends on the existing evidence.

    Full Answer >
    Filed Under:
  • Q:

    What makes a verbal agreement legally binding?

    A:

    There must be an offer and acceptance to create a legally binding contract, according to Nolo. In addition, because of the verbal nature of a contract, the agreement must fall outside of the statute of frauds, notes Professor Richard Warner for the Chicago-Kent College of Law.

    Full Answer >
    Filed Under:
  • Q:

    What is a binding precedent?

    A:

    Also referred to as mandatory precedent, binding precedent is an existing law to which a court is expected to adhere. All inferior or lower courts are expected to follow the laws of a superior court in a particular jurisdiction.

    Full Answer >
    Filed Under:
  • Q:

    What is a binding offer?

    A:

    A binding offer, according to Nolo, is any type of action that legally binds separate parties together under a contractual agreement. Contracts with offers take many forms, from simple to complex. For example, a simple binding offer is initiated by a cab driver who stops to pick up a passenger. The passenger accepts the offer of a ride and pays the driver, which creates a legally binding contract.

    Full Answer >
    Filed Under:

Explore