Sandra verbally agrees to sell her Hilton Head Island home to Kevin for $750,000. Both parties shake hands and agree on all terms, but nothing is put in writing. Kevin later claims they have an enforceable contract and demands Sandra proceed with the sale. Under South Carolina law, which statement is correct?
Correct Answer
C) The oral agreement is unenforceable because South Carolina's Statute of Frauds requires real estate contracts to be in writing
South Carolina's Statute of Frauds requires that contracts for the sale of real property — regardless of price — must be in writing and signed by the party to be charged in order to be enforceable. An oral agreement to sell real estate, no matter how clearly the parties understood the terms, does not satisfy this requirement. Kevin cannot enforce the oral agreement against Sandra in a South Carolina court.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An assignment of contract transfers one party's rights and obligations under a contract to a third party called the assignee. The original party, known as the assignor, transfers their contractual position to someone who was not originally part of the agreement.
A bilateral contract is an agreement in which both parties exchange promises and are both obligated to perform, while a unilateral contract is one in which only one party makes a promise and the other party is not obligated to act.
A breach of contract occurs when one party fails to perform their obligations under the contract without a legal excuse. The non-breaching party is entitled to legal remedies including damages, specific performance, or contract rescission.
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