In Oklahoma, a verbal contract, also called an oral agreement, can be enforceable if it meets certain requirements. However, proving and enforcing them can be more challenging than written agreements. Our Oklahoma City business attorneys are here to walk you through the requirements and your options.
What Makes a Contract Valid?
Whether written or oral, a valid contract must have four essential elements:
- Offer and Acceptance – One party must make an offer, and the other must agree to it.
- Consideration – Each party must exchange something of value, such as money, goods, or services.
- Mutual Consent – Both parties must agree to the same terms and intend to form a binding agreement.
- Capacity and Legality – The parties must be legally able to contract, and the agreement must involve a lawful purpose.
If these elements are present, an oral contract can be valid and enforceable in Oklahoma.
The Statute of Frauds
Oklahoma follows the Statute of Frauds, which requires certain contracts to be in writing to be enforceable. These include:
- Contracts for the sale of real estate.
- Leases longer than one year.
- Agreements that cannot be completed within one year.
- Promises to pay another person’s debt.
- Marriage-related contracts, such as prenuptial agreements.
If a verbal agreement falls into one of these categories, it generally will not hold up in court unless there is written documentation.
Proving a Verbal Contract
The biggest challenge with an oral agreement is proving its terms. Without a written document, disputes often come down to one person’s word against another’s. Courts may consider:
- Witness testimony from people who heard the agreement.
- Emails, text messages, or notes confirming the arrangement.
- Proof of partial performance, such as payment receipts or delivery of goods.
This evidence is especially useful if there is a breach of contract case later on.
Risks of Relying on Verbal Agreements
Even when enforceable, verbal agreements carry risks:
- Details may be misunderstood or forgotten.
- Proving the terms in court can be expensive and difficult.
- Disputes often take longer to resolve without clear documentation.
Whenever possible, it’s best to put agreements in writing to avoid confusion and protect all parties.
Oklahoma City Business Law Attorneys
Verbal contracts in Oklahoma can be legally enforceable if they meet basic contract requirements and do not fall under the Statute of Frauds. However, proving them can be difficult, and relying on oral agreements can lead to costly disputes. Our business law team at OKC Attorneys can help. Call us today at 405-367-8710 or ask a question online.