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Must a Contract be in Writing to be Enforceable?

No, not all contracts must in writing to be enforceable.  In general, oral contracts are just as valid as written contracts (except in certain instances as discussed below).  However, the party alleging the existence of an oral contract must be able to prove with reasonable certainty that both parties intended to enter into a contract and must be able to prove the substance of the terms of the contract.  If proven, a court may enforce a valid oral contract, including any damages for breach of contract, to the same extent as a written contract. 

Despite the general enforceability of oral contracts, Kentucky, like most jurisdictions, has adopted the "Statute of Frauds."  The Statute of Frauds is a statutory requirement stating that certain kinds of contracts must be memorialized in a signed writing.  Traditionally, the statute of frauds requires a writing signed by the defendant in the following circumstances:

• Contracts in consideration of marriage (not marriage itself)
• Contracts which cannot be performed within one year
• Contracts for the transfer of an interest in land (real estate contracts)
• Contracts by the executor of a will to pay a debt of the estate with his own money
• Contracts for the sale of goods above a certain value (usually $500 under the Uniform Commercial Code)
• Contracts in which one party becomes a surety (acts as guarantor) for another party's debt or other obligation

Unless the alleged oral contract falls into one of the defined categories of the Statute of Frauds, the oral contract is enforceable if its terms can be reasonable proven.