Jonas enters into an oral contract with Chelsea to lease his house to her for $100,000. Chelsea pays him $100,000 and moves in. A month later, Jonas learns that his state requires contracts for the lease of goods with payments of $1,000 or more to be in writing. Which of the following options does either party have?

Question

Quizplus · Accepted Answer

The contract between Jonas and Chelsea has already been executed, with Chelsea paying the $100,000 and moving into the house. This execution makes the contract enforceable despite the lack of a written agreement, as actions taken by both parties demonstrate their commitment to the terms of the contract. The Statute of Frauds requires certain contracts to be in writing, but once a contract is fully executed, it generally cannot be rescinded simply because it was not in writing.

Jonas Enters into an Oral Contract with Chelsea to Lease