How does the Statute of Frauds relate to contracts?

The Statute of Frauds plays a crucial role in contract law by stipulating that certain types of contracts must be in writing to be legally enforceable. This means that while many agreements can be made verbally, the Statute of Frauds identifies specific categories, such as contracts involving the sale of real estate, contracts that cannot be performed within one year, or those involving significant sums of money, that require written documentation to ensure clarity and accountability. By requiring a written format for these agreements, the statute aims to prevent fraud and misunderstandings that can arise from verbal contracts. This understanding is essential for anyone navigating contract law, particularly in a paralegal context, to ensure that parties are aware of the requirements for enforceability.