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Common Questions » Commercial Litigation FAQs » Verbal Breach of Contract

Can I Sue for Breach of Contract?

Agreements That Aren't In Writing

Breach of contract is a legal action that can be pursued if an agreement is not honored by one or more parties that were involved in the contract. Contracts are usually written so as to ensure that all parties understand the contract was legal and binding, however, some contracts are agreed upon verbally. If a person does not fulfill their part of the verbal contract, you may be able to sue, but the answer depends on the nature of the agreement. Generally speaking, a contract can be enforceable under Texas law and numerous other states regardless of whether it was made orally or in writing as long as you can prove the existence of four basic elements:

  • Offer
  • Acceptance of the offer's terms
  • Meeting of the minds between the parties
  • Exchange of consideration as a result of the agreement.

This may be difficult to prove without a paper trail, but it is certainly possible. If an individual was never aware that a verbal agreement was legal and binding, then they should not be held liable for breach of contract, but every case has different factors that must be analyzed individually to determine the legality of it. Although our contract attorneys strongly advise our clients to put all business agreements in writing, an oral contract can still be enforced, and the law allows you to file a breach-of-contract lawsuit that can force a party to live up to its contractual obligations. However, in Texas and many other jurisdictions, the "statute of frauds" requires certain contracts to be in writing. Under the Texas Business Code, for instance, those contracts include real estate sales and leases and other transactions involving commissions for oil and gas drilling.

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