Under the Statute of Frauds, which type of contract must be in writing?

The correct answer is that contracts for the sale of goods over $500 must be in writing under the Statute of Frauds. This legal principle aims to prevent fraud and misunderstandings in certain types of contracts by requiring them to be documented in writing when they meet specific criteria.

For sales of goods, the UCC (Uniform Commercial Code) stipulates that any contract for goods priced at $500 or more is enforceable only if there is a written contract or some other evidence of the agreement. This requirement helps clarify the terms and conditions of the sale, thus protecting both parties involved.

Other types of contracts, such as those for personal services or those that can be completed within a year, do not fall under the Statute of Frauds’ written requirement, as they can often be enforced based on verbal agreements, provided they don’t meet the conditions that trigger the Statute. Additionally, contracts for non-exclusive licenses may also not require a written form depending on the context and jurisdiction, as they typically do not involve significant financial commitments that would necessitate written documentation. Thus, the specific threshold of $500 in goods sales is critical in determining when a written contract is necessary.