Statute of Frauds(redirected from Statutes of fraud)
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Statute of Frauds
A statute setting out certain contracts that are not enforceable within the state. The most significant provisions for real estate purposes are those that require almost all contracts and transfers related to real estate to be in writing and all guarantee agreements to be in writing.This does not mean there must be a formal “contract”or “agreement”signed by all parties.The Statute is usually satisfied if there is some writing signed by the party sought to be held liable.
Example: A letter from Sam Seller to Betty Buyer says, “Dear Betty, I'm glad you like the home so much. Your offer of $150,000 was more than I was expecting, so I'll be out shopping for a new home while you get ready for closing. I'm looking forward to seeing you again at the end of the month; do you mind terribly if I don't move out until a day or two afterward? Warmest regards, Sam.” This might be sufficient to allow Betty to enforce a sale contract. Even a combination of e-mails, read together, could suffice for Statute of Frauds purposes in some states. See also Uniform Electronic Transactions Act.