Complete Home & Office Legal Guide/Complete Home and Office Legal Guide (Chestnut) (1993).ISO/tut/sfraud.tut

Text File | 1993-09-13 | 19KB | 379 lines

#help.tut Extra help for tutorials
#define.stb On line glossary- definitions of legal terms
#2201.stb Uniform Commercial Code-- Statute of Frauds
                        STATUTE OF FRAUDS


     At good old "common law" a statute, called the "Statute of
Frauds", or better yet really a "Statute to Prevent Frauds"
required that certain deals had to be in writing to be valid-
and, typically--

1. A contract regarding real estate;
2. A promise to pay the debt or obligation of another;
3. A contract that couldn't be performed within one year.

At common law, such contracts had to be in writing and signed
(maybe even sealed) to be valid by both parties. The "Statute"
has had a number of changes. The major change engrafted on it is
that full performance of a contract, for example, if the money
has changed hands on a real estate deal, and, the buyer has
moved in, well, the contract just might be good. Don't count on
it though. If a contract is within the statute of frauds then
unless it is written- it is best to forget it! The purpose of
this tutorial is to heighten your awareness of the need to do
things in writing!

A special statute of frauds applies to "merchants" under the
Uniform Commercial Code. That is discussed elsewhere in this
program.

We follow with a list of the types of agreements that need to be
in writing, state by state.

This should be self-explanatory, but, the phrase, "agreement made
where consideration is marriage" refers to any agreement in which
some sort of money, property or gift is to be given to someone in
exchange for marriage, and also can be interpreted to refer to
prenuptial agreements.

What if you have entered into a deal that is within the state law
requiring a deal to be in writing and it wasn't in writing? See
an attorney- there may be a way to enforce the contract anyway.
First of all, Judges may make exceptions to the law, or, there
may be another way (another cause of action, that is to say,
another legal hypothesis that does not require a written
contract) to get around the statute of frauds. On the other hand,
don't count on it! Finally, if the list of agreements in the
State in question does not list the type of contract that you are
interested in, you nevertheless are always advised to do it in
writing!

GENERAL- The Uniform Commercial Code (U.C.C.) contains two
statutes of frauds regarding the sales of goods between
merchants. These parts of the U.C.C. are available by pressing
"S" and selecting the U.C.C.- Statute of Frauds; to toggle back
and forth between the full text of the statutes and the tutorial,
please press "O." "Merchants" are those who deal regularly in a
business. A contract for sale of goods of a value of more than $
500 must be in writing, and signed by the purchaser.

    The U.C.C. specifically provides that between merchants if a
confirmation is sent by one side to the other (usually by the
seller to the buyer) the deal is good even without a signature-
there is an obligation of a businessman to object to a
confirmation within ten days when it is sent to another merchant.

    The U.C.C. also provides that a sale of securities must be in
writing to be valid, or, a confirmation must be sent a reasonable
amount of time after a deal is made, and then the deal is good,
unless an objection is made within ten days.

ALABAMA- Contracts for the sale of real estate; agreements to
make wills; promises to pay debts in decedent's debts; agreements
not performable within a year.

ALASKA- Promise to pay the debt of another; agreement by executor
of estate to pay claim against the state; real estate agreements;
except leases of less than on year; agreement to make a trust;
agreement with real estate broker to sell property.

ARIZONA- Promise to pay debt of another; agreement not to be
performed within one year or within a lifetime; agreement to
transfer to someone property as a result of marriage; sale of
real estate; lease of real estate for over one year.

ARKANSAS- Promise to pay debt of another; convey real estate;
agreement that cannot be performed in one year; promise to pay
debt in an estate.

CALIFORNIA- ***** WARNING ******* California provides that any
agreement to modify a written contract must be in writing! READ
AND HEED! Agreement to pay the debt of another; sale of real
estate; lease of real property for more than one year; agreement
for real estate brokerage listing; agreement that will not be
performed within the lifetime of maker; agreement that cannot be
performed within a year; agreement to honor claim in estate.

COLORADO- real estate agreement; or lease for more than one year;
promise to pay a debt of another; agreement that is based on
promise of marriage.

CONNECTICUT- Agreement that cannot be performed in one year;
agreement for real estate transaction; leases for more than one
year; or a lease where the person is not put in possession;
agreement made where consideration is marriage.

DELAWARE- Agreement where consideration is marriage; agreement
for the sale of land; agreement to answer for obligation of
another; agreements to make a will; lease for more than one year;
agreement that cannot be performed in one year.

DISTRICT OF COLUMBIA- Agreement to answer for the debt of
another; agreement that may not be performed within one year;
lease of more than one year; agreement for real estate sale.

FLORIDA- Agreement to pay the debt of another; agreement made
where the consideration is marriage; contract for sale or other
conveyance of interest in real estate; agreement that cannot be
performed within a year; warranty agreement that is to be
enforced against a doctor; agreement to pay a debt in an estate.

GEORGIA- Promise to pay the debt of another; agreement that is
made where the consideration is marriage; agreement that cannot
be performed within a year; "landlord- tenant" agreement that is
for more than one year; contract for sale of land or other
interest in land; promise of an executor to pay a claim in an
estate.

HAWAII- Promise to answer the debt or obligation of another;
promise that is made where consideration is marriage; real estate
brokerage agreement; sale of land or interest in land; executor's
promise to pay a debt in an estate; agreement to list real
estate.

IDAHO- Agreement that is not performable within a year; agreement
to answer for the debt of another; agreement made where
consideration is marriage; agreement for lease of more than one
year; agreement for listing of real estate with broker; real
estate sales agreement.

ILLINOIS- Sale of real estate; agreement that cannot be performed
within one year; agreement to pay the debt of another; trust
agreements; promise of an executor to pay claim in estate;
agreement made on the promise of marriage.

INDIANA- Contract for selling real estate or interest in real
estate; warranties regarding medical treatment; agreement for
real estate brokerage; promise to pay the debt of another;
contract made where consideration is marriage; agreement to pay
claim in an estate; agreement to sell trees or timber; agreement
for sale of securities.

IOWA- Agreement for transfer of real estate; leases in excess of
one year; contracts that cannot be performed in a year; promises
made where consideration is marriage; promise to pay the debt of
another.

KANSAS- Agreement to pay the debt of another; lease of real
estate for more than one year; agreement to pay a debt in an
estate; sale or transfer of an interest in real estate; marriage
contracts (other than the marriage itself.)

KENTUCKY- Ratification of a contract after a person reaches his
majority; agreement made on the consideration of marriage;
transfer of any interest in real estate; lease for more than one
year; agreement for real estate brokerage; promise to pay the
debt of another; promise to pay claim in an estate; agreement
that cannot be performed within one year.

LOUISIANA- Louisiana is a civil law rather than common law state,
so, this gets tricky. Generally, the t