Business Law Learning Activity 5

Overview: Statute of Frauds: Writing Requirements and Electronic Records; Performance, Discharge; Remedies

Read/Watch:

Law for Entrepreneurs, Saylor Academy, 2012

Read only the assigned chapters on the embedded links below:

Statute of Frauds
Performance and Discharge of Contract Duties
Damages for Breach of Contract

Scenario: Buyer purchased $1200 worth of paint from PI. Buyer paid in cash; PI gave Buyer a cash register receipt for the purchase.

The PI owners are having difficulty understanding the application of the Statute of Frauds to their business and have several questions about the doctrine. With Pat’s and Gale’s approval, you email the PI owners answering their questions in paragraph format.

A. What is the meaning of “Contracts not to be performed within 1 year”?

B. What is an example of a contract not to be performed within 1 year that could arise in the context of the PI business?

C. Is the following hypothetical scenario a valid sales contract under the Statue of Frauds – why or why not?