Contracts & ExecutionQuestion 804 of 1605
The main purpose of the Statute of Frauds is to:
a.Prevent fraudulent claims by requiring certain important contracts to be evidenced by a signed writing
b.Set maximum prices for construction work
c.Punish contractors who commit fraud
d.Require all contracts to be notarized
Explanation
Despite its name, the Statute of Frauds does not punish fraud; it prevents fraudulent or mistaken claims by requiring that certain categories of important contracts be evidenced by a signed writing before they can be enforced. It does not require notarization, does not regulate prices, and is not a criminal statute. Its function is evidentiary: to reduce disputes over whether and on what terms a significant contract was made.
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Related questions on this topic
- Under the Statute of Frauds, which type of agreement generally must be in writing to be enforceable?
- Which of the following contracts is LEAST likely to be required in writing under the Statute of Frauds?
- A landowner orally promises to sell a vacant lot to a contractor, and both shake hands. When the landowner backs out, the contractor sues to enforce the oral sale. The strongest defense the landowner has is:
- A material breach of contract is best described as a failure to perform that:
- The primary goal of compensatory ('expectation') damages for breach of a construction contract is to:
- After a contractor breaches, the owner has a legal 'duty to mitigate' damages, which means the owner must:
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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)