Implied Agreement Real Estate

The Fraud Act serves at least two important public policy purposes. First, the written abandonment of real estate contracts allows contracting parties to think more carefully about what they are doing. The writing of an agreement makes the parties more cautious and conscious, which leads to more thoughtful negotiations than in the case of an oral contract. Second, the status of fraud provides practical evidence of the agreement between the parties. A written contract protects against memory loss and minimizes differences of opinion between the parties on their agreement. So what makes a promise a legally enforceable contract? We will talk later in this chapter about the essential elements of a treaty. For now, it is sufficient to know that two people enter into a contract when they agree to take action for each other and intend to make their agreement legally enforceable. Since unspoken contracts are usually only a problem if there is no written contract, they are rare in real estate, as the statutes of fraud impose in writing almost all real estate contracts. Suppose Bob plowed Sally`s trip after the snowfall for many years, and each time, Sally Bob paid a certain amount, even though Bob never sent her a bill. If another snowstorm hit and Bob plowed Sally`s engine, but she refused to pay, a court could find a tacit contract based on Bob and Sally`s long-standing behavior. If so, the court would require Sally to pay Bob to plow it. Let`s take a look at the types of contracts you`re probably dealing with as a real estate agent. As you will see, most real estate contracts involve a person who gives money to another person in exchange for a transfer of some interest in real estate, from a simple option to the full purchase.

Many real estate contracts can be confusing with any legal in them. If you have questions or are not sure if a particular requirement is made in a contract, you should ask the person presenting the contract to explain the language to you. If the answer does not resolve your questions or concerns, then you need to seek outside help from a specialist real estate lawyer. It is better to move away from a contract than to sign something that binds you to conditions or requirements that you never intended to make.