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Pages:
4 pages/β‰ˆ1100 words
Sources:
3 Sources
Style:
APA
Subject:
Mathematics & Economics
Type:
Research Paper
Language:
English (U.S.)
Document:
MS Word
Date:
Total cost:
$ 20.74
Topic:

Oral Contracts: Are they Ever Enforceable? What are Implied Contracts

Research Paper Instructions:

- Research the concept of oral contracts in the United States. - Are they ever enforceable? - What are implied contracts?

Research Paper Sample Content Preview:

Oral Contracts
Name
Institution
Oral Contracts
In the current society of emailing, texting, and even instant global communication, entering into a contract can easily occur in as simple as making a phone call. Despite the fact that many prefer written contracts, oral contracts are also common. An oral contract refers to a contract in which the terms and conditions have been reached upon through spoken communication. This is the opposite of written contract where the terms and conditions are written in a document. In an oral contract, there may be some writing or any other physical evidence in place (Blum, 2007). For example, in a case where parties jolt down the things they have agreed upon but the contract itself is not done in writing.
In the United States, oral contracts are enforceable or binding. Oral contracts are enforceable as long as the essential terms within the contract are clear and certain. This means that the contract should be able to adequately define, as well as detailed on what specific actions all the parties were obligated to perform. The idea is that the contract has to be adequate enough in a way that the court is able to determine the resolve and intention of the involved parties to make it enforceable. In essence, verbal agreements become binding if an agreement has been reached about the services to be performed and even an agreement on the compensation that would be remitted for this service (Madhukar, 2010). For instance, if a plumber goes to a home and agrees to fix the bathtub at a fee of 10,000 dollars, and both the owner and plumber agree on the terms of the plumbing, then they have entered into a contract. According to Blum (2007), for an oral contract to be legally enforceable, the agreement made must be reached in completeness. Incomplete agreements that require further terms and conditions to be set are not considered enforceable in a court of law.
In law, a fundamental principle is that one who assert must also prove. In oral contracts, when a dispute occurs, it is essential for the one alleging to be able to prove to the satisfaction of the court. This means the person begins providing the oral evidence of what occurred in regards to the understanding reached between the involved parties. In so doing, the terms and conditions have to be provided and also highlight the ingredients that make the understanding between the parties legally binding in a contract. In most cases, oral evidence in itself has its shortcomings and so there is a need to support such evidence with some proof. In this way, oral contracts become more binding if a witness can be called upon to support the claim (Madhukar, 2010). However, the witness must not rely on hearsay but instead having been present during the agreement or has some form of evidence to show the agreement occurred such as an email. In this way, an oral contract can be furnished with emails, memos, letters, receipts, cheques, photographs, and even recording among others to show proof of the agreement.
However, Blum (2007) notes that oral contracts become unenforceable if they fall under the Statute of Frauds. The Statute of frauds is a law that is designed to eliminate cases of deceitful conduct when it comes to m...
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