Statute of Frauds

News & Analysis as of

Court Enforces Trust Even Though The Trust Document Was Missing

In Gause v. Gause, a son brought suit to affirm the existence of a trust established by his father. No. 03-13-00768-CV, 2016 Tex. App. LEXIS 8138 (Tex. App.—Austin June 29, 2016, no pet. history). ...more

Text on the Dotted Line: A Text Message Can Create a Binding Contract

Here’s another story in the “It never gets easier” file. The Massachusetts Land Court recently decided a case that perhaps we should have all guessed was coming. This is the above the fold headline: Text...more

Beware: Sending A Text Message Can Be Just as Binding as Signing a Document By Hand!

We have all heard stories about the dangers of social media, whether it be an inappropriate tweet, a regrettable Facebook posting or a misdirected “sexting.” The decision issued by the Massachusetts Land Court in St. John’s...more

LOL! OMG. HUH? Court Finds That Text Message Can Form Binding Contract

In the world of Twitter, Facebook and LinkedIn, it is no secret that individuals are communicating regularly on their smartphones about their business affairs. Recently, a court addressed the question about whether a text...more

Text Messages Add New Layer of Risk to Deal-Making in the Modern Age

Texting is becoming ubiquitous in this era of 24/7 connectivity, but a recent court decision stands as a strong reminder that those quickly composed texts can be held up as a “writing” sufficient to seal a multi-million...more

Traps for the Unwary: Text Messages, Authorized Agents, and Binding Letters of Intent

A recent Land Court decision strongly suggests that sellers should proceed with caution when negotiating real estate transactions via email and text messages. In determining whether a contract was formed between two companies...more

Texts that Bind: Text Messages May Form Binding Real Property Contract

Last month, in St. John’s Holdings, LLC v. Two Electronics, LLC (No. 16 MISC 000090 (RBF)), a Massachusetts Land Court judge held that text messages exchanged between two real estate brokers may be sufficient to constitute...more

Florida Appellate Court Rejects Defense of Oral Loan Modification Defense on Statute of Frauds Grounds

In Cowen Loan Servicing, LLC v. Jean Marie Delvar, 4D14-763, 2015 WL 8347300 (Fla. 4th DCA Dec. 9, 2015) the borrower alleged that he had been offered a loan modification and accepted and relied on that offer by making loan...more

Oral Modification of Mortgage Not Permitted by Florida Court of Appeals

This week, the Florida Fourth District Court of Appeals held that Florida’s Statute of Frauds precludes oral modification of a mortgage and that the judicial doctrine of promissory estoppel may not be used to circumvent the...more

Statute of Frauds: (1) Email as “Writing” and (2) Email Signature as “Signature”

Arizona, like most states, has a Statute of Frauds that essentially requires real estate related contracts to be both (1) in writing and (2) signed by the party to be charged. A.R.S. § 44-101. Questions often arise as to...more

ABA California Lending Law- Section X

A. Loan Commitments - Under California law, a loan commitment, which is commonly set forth in a commitment letter, is binding on a lender only if the commitment letter contains all of the material terms of the loan and...more

Lost But Not Forgotten: Overcoming the Statute of Frauds in Tennessee With A Lost Contract

A prospective client comes to you for an initial consultation regarding a possible breach of contract. This individual describes a deal they made years ago with a large out-of-state company where the individual agreed to do X...more

E-signatures – Do They Change Ontario Real Estate Deals?

Over the last 20 years, since the introduction of the electronic land registry system, real estate in Ontario has slowly been making its way into the electronic age. On July 1st, 2015 another step was taken. All real estate...more

Kentucky Supreme Court Reinforces Importance of Properly Incorporated Arbitration Provisions to Larger Agreements

The Kentucky Supreme Court recently held that an arbitration provision signed by a class of students upon their application and acceptance to a for-profit college was unenforceable because the enrollment agreement did not...more

Money, Dirt & Steel: Spring 2015 NC Real Property Litigation Update

MONEY: GUARANTORS CAN NOW RELY ON G.S. §45-21.36 VALUE DEFENSES - By statute in North Carolina, G.S. §45-21.36, certain obligors may defend a deficiency action where the bank is the successful bidder by arguing...more

N.C. Court of Appeals Addresses Common Affirmative Defenses In Commercial Foreclosure Context

A recent opinion from the North Carolina Court of Appeals addresses some common borrower defenses within the context of foreclosure and statute of frauds issues: compromise and settlement, accord and satisfaction, the...more

No Change Of Position, No Estoppel

Under California Law, a party seeking to defeat the statute of frauds based on promissory estoppel must allege an actual change in position. In Jones v. Wachovia Bank, 230 Cal.App.4th 935 (2014), the California Court of...more

Second Circuit: Oral Agreement to Pay Commissions Not Barred by Statute of Frauds

A recent opinion from the Second Circuit Court of Appeals reaffirms that the Statute of Frauds will not void an oral agreement to pay commissions if the agreement lacks a fixed duration. In Kroshnyi v. U.S. Pack...more

NJ Supreme Court Rules Pre-2010 Oral Palimony Agreements Enforceable

The New Jersey Supreme Court declared yesterday in Maeker v. Ross that any oral promises to provide lifetime support that were made prior to 2010 are actionable. In 2010, the New Jersey Legislature amended the Statute of...more

Florida High Court to Decide Whether Statute of Frauds Applies to Oral Agreement to Split Lottery Winnings

On June 20, 2014, the Florida Supreme Court accepted review of a Fifth District decision that certified the following question of great public importance...more

“2 Sign or Not 2 Sign:” Which Statute of Frauds Governs Oil & Gas Leases?

In a recent decision, the Pennsylvania Superior Court resolved an open question of state law regarding which one of two alternative statutes of frauds apply to oil and gas leases, in the process making clear that for an oil...more

Appellate Court Notes

SC19047 - Commissioner of Public Safety v. Freedom of Information Commission - 1994 legislation that expanded the disclosure requirements of law enforcement agencies beyond just the name, rank & serial number of the...more

Legislature Enacts “5 Second Rule” For Electronic Contracts To Sell Real Property

The Statute of Frauds has been a part of Anglo-American jurisprudence for centuries. It made its first appearance in the wake of the English Civil War (yes, they had one too but for very different reasons) when King Charles...more

Ohio Supreme Court Holds Statute of Frauds Applies To Defenses, Too

On March 6, 2014, the Supreme Court of Ohio held that the statute of frauds barred a group of guarantors from raising, as a defense to a collection suit, a claim that the bank’s right to enforce the guaranties was barred by...more

Real Property, Financial Services & Title Insurance Case Law Update: November 2013

I. FLORIDA STATE CASES – SASHA GRANAI FUNK - Foreclosure: final judgment of foreclosure without amounts due and owing invalid and precludes foreclosure sale - King v. US Bank, No. 1D13-3109 (Fla. 1st DCA Nov. 6, 2013)...more

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