One should not rely heavily upon a verbal agreement unless it were physically recorded. Although some projects may be started based on a verbal contract, it is always better to have it written and signed. Oral agreements can be hard to prove without them being placed into a written agreement. Individuals can go back on their agreement and say that those were not the original agreements. However, with it signed on the paper, agreement there's better security.
I believe there is a huge different in a written agreement and verbal agreement. In a verbal agreement anything could be said and there is really no true follow-up or verification for the agreement that occurred. In a written agreement there is documentation of what occurred and what the different parties discussed. For legal terms as well in court a written agreement will help support an argument because there is written documentation. However, with verbal agreement it is a he say, she say and either side may/may not lie about what was discussed, or one party may not remember everything that was discussed during the agreement.
In most situations, a written agreement is enforceable in court for a longer period of time than an oral agreement. In some states, a written contract can be enforced for up to six years, while an oral agreement is only enforceable and legally binding for up to three years. A verbal agreement is enforceable just as if it were in writing. As a result, even though a verbal agreement in some cases may override a written lease, it is best to put all agreements and amendments to agreements in writing, in case any disagreements arise that end up in the courtroom.
Hi all,
In the video lecture Dr.Simon mentioned about two terms of contract,Written & Verbal agreement. He said that verbal contract can be legal but what if the due to dispute or other reason the verbal agreement turns to failure. Is there any significant difference between Verbal Agreement & Oral Agreement? How much one should rely on verbal agreement? Is it good to start working on a project just based on verbal Agreement? What are the importance of Written agreement?
If anyone of you had an experience regarding to those questions please share.
I think both play a large role in having proof and validation. Written is important because it guarantees that every one of the particulars of your understanding are reported. In the event that a conflict emerges, there will be a report that the gatherings can allude back to get the relationship in the groove again. ... The privileges and obligations of each party ought to be characterized unmistakably, with no place for understanding. A verbal agreement is okay if you have a witness but they tend to mean less than written agreements because you can not change what is already on the paper and signed.
I would think that it would be difficult to prove a verbal contract. Since they are not written down, its existence has to be proven by memories of other parties or other acceptable evidence. The authority of these agreements can create gray areas for those who are not familiar with contracts. It is always acceptable to have a written agreement to avoid confusion and disputes.
Hi all,
In the video lecture Dr.Simon mentioned about two terms of contract,Written & Verbal agreement. He said that verbal contract can be legal but what if the due to dispute or other reason the verbal agreement turns to failure. Is there any significant difference between Verbal Agreement & Oral Agreement? How much one should rely on verbal agreement? Is it good to start working on a project just based on verbal Agreement? What are the importance of Written agreement?
If anyone of you had an experience regarding to those questions please share.
No, there is no significance difference between verbal and oral agreement. I personally would not start working on a project based on verbal agreement because I do not truly rely on verbal agreement. I would only rely on verbal agreement in the moment as long as it is followed with an email to solidify what we discussed and agreed upon to have a paper trail. People are greedy and conniving a lot of the time in business so if you make a verbal agreement between you and another party, the other party could not honor their part of the agreement and leave you stuck out. They could possibly get away with this because you both have nothing written down, so you can not technically prove what you are owed or own if they're saying one thing and you're saying another.
Hi all,
In the video lecture Dr.Simon mentioned about two terms of contract,Written & Verbal agreement. He said that verbal contract can be legal but what if the due to dispute or other reason the verbal agreement turns to failure. Is there any significant difference between Verbal Agreement & Oral Agreement? How much one should rely on verbal agreement? Is it good to start working on a project just based on verbal Agreement? What are the importance of Written agreement?
If anyone of you had an experience regarding to those questions please share.
Although both an oral contract and written contract can be legally binding, the process to prove the validity of a verbal contract is much more complicated. When considering protection and security from a legal standpoint, a written contract is always best. Although there are still ways to be released from a written contract, the terms and conditions that were agreed to are more clearly outlined, and there is much less room for dispute. When disagreements arise concerning a verbal contract, and there is no proof of the specific agreement, details in the legal realm become extremely complicated.
Hi all,
In the video lecture Dr.Simon mentioned about two terms of contract,Written & Verbal agreement. He said that verbal contract can be legal but what if the due to dispute or other reason the verbal agreement turns to failure. Is there any significant difference between Verbal Agreement & Oral Agreement? How much one should rely on verbal agreement? Is it good to start working on a project just based on verbal Agreement? What are the importance of Written agreement?
If anyone of you had an experience regarding to those questions please share.
Although both an oral contract and written contract can be legally binding, the process to prove the validity of a verbal contract is much more complicated. When considering protection and security from a legal standpoint, a written contract is always best. Although there are still ways to be released from a written contract, the terms and conditions that were agreed to are more clearly outlined, and there is much less room for dispute. When disagreements arise concerning a verbal contract, and there is no proof of the specific agreement, details in the legal realm become extremely complicated.
@samscott there are even further complications with validating a verbal contract when we consider laws associated with memory and recall. The entire process to verify an oral contract is full of loop holes.
@dwhite0224 This is an interesting point. It seems that what is written an signed would always take priority. In which instances does a verbal agreement override a written lease?
A verbal agreement is typically done between the parties by speaking about it then it is sealed with a handshake. On the other hand, a written agreement is done between the parties by writing it on paper, then it is signed by both parties while having a witness. One shouldn’t rely on a verbal agreement too much, because just as the other posts mentioned, verbal agreements are very hard to defend in court if anything goes wrong. It’s always better to have a written agreement. A written agreement has several advantages. It makes disputes easier to navigate and prevents any misunderstandings that may occur in the future. It ensures that all the terms of the agreement are documented; it offers tangible proof of detail and clarity to the contract. Moreover, it also shows how either party can put an end to the contract before the work is done.
Verbal and Written contracts are two main terms. However, verbal contracts are extremely unreliable and not used by professionals. They can result in a lot of disputes and would be he says she said. They don’t represent any legal stance If it were to go to court. But written agreements are legal documents used by all companies and even schools. They contain detailed information from the job description to the number of sick days you have. Written agreements are always more reliable while verbal agreements cannot be relied on at all. A written contract should be signed no matter the project, you are basically covering your grounds in case anything goes south.
Nuran Kavakli
I think a verbal agreement can be a very weak foundation for any contract as it relies heavily on people's memory and interpretation of what was said at a specific period in time. Since we have so much technology available to help us record things, it is best to have it in some form of writing that can be easily documented and stored so there are no future discrepancies in who said what. Oftentimes the 'he said' 'she said' argument can be cyclical and futile leading to no proper resolution as each party wishes to preserve their own end that gives value to them at the expense of the other party.
As others have mentioned, the biggest difference is the ability of a written contract being the "law" of the land that has little to no gray area to dispute. However, verbal contracts are often the first step when negotiating between two businesses or partners. Terms are first decided on and "agreed" upon during a face to face conversation before lawyers and applicable parties draw up an agreement. Of course there are instances where a story changes after a verbal contract has been made, but I know there are many instances where things are considered settled after the face to face conversation and the subsequent paperwork is just a formality.
Verbal agreements seem fishy to me because there is no paper trail. If one would have to rely on verbal agreement, it may be good practice to have several witnesses rather than it be between two people. I would prefer to use a written agreement because it may do a better job of keeping the legality of what information was presented. In written documents, there is a greater chance for everything to be black and white. Words or phrases cannot be twisted, if presented properly, because it is what it is. If I had to use a verbal agreement, I would request a recording of the discussion to take place so there is at least some form of documentation.
