What does the Statute of Frauds require regarding certain contracts?

The Statute of Frauds is a legal principle that requires specific types of contracts to be in writing to be enforceable. This requirement is designed to prevent misunderstandings and fraudulent claims about the terms of a contract. For example, contracts involving real estate transactions, contracts that cannot be performed within one year, and contracts for the sale of goods exceeding a certain value generally must adhere to this written requirement.

The rationale behind this statute is to provide clear evidence of the contract's existence and terms, thereby offering protection to all parties involved. A written contract ensures that the obligations and rights of each party are clearly delineated, reducing the risk of disputes over oral agreements that can be difficult to prove.

In contrast, the other options do not align with the fundamental tenets of the Statute of Frauds. While verbal contracts can be valid in many instances, they do not meet the requirements of the Statute of Frauds for the specified contract types. Notarization is not a requirement of the Statute of Frauds, although certain situations might benefit from this additional verification. Auditing is unrelated to the formation or enforceability of contracts under this statute. Therefore, the correct understanding of the Statute of Frauds is that it mandates that certain contracts must