The statute of frauds is the general name for each state’s statute (law) that requires certain contracts to be in writing—or to have a written memorandum that records the essential elements of the agreement—in order to be enforceable. Statutes of fraud are an exception to the general rule that verbal or oral contracts are just as enforceable as written contracts. Statutes of fraud are designed to prevent fraud and perjury (lying under oath) in transactions that are especially susceptible to fraud.

Statutes of fraud vary from state to state, but generally include (1) contracts for the sale or lease of real estate (land); (2) contracts that cannot be performed within one year from the date of the contract’s formation—such as a two-year employment contract; (3) loan agreements in excess of a certain amount; (4) contracts involving engagement promises (return of engagement rings), marriage (prenuptial agreements), or cohabitation (support, responsibilities) and post-cohabitation support (palimony); (5) contracts for the sale of goods above a certain amount (often $500); (6) promises to pay an estate’s debt from the personal funds of the executor; and (7) contracts in which one person agrees to pay the debt of another person.

In Vermont, the statute of frauds requires certain types of contracts to be in writing to be enforceable. These typically include agreements for the sale or lease of real estate, contracts that cannot be completed within one year, and loan agreements above a specified amount. Additionally, Vermont law may require written contracts for promises related to marriage, such as prenuptial agreements, and for the sale of goods over a certain value, which is commonly $500. The statute also applies to situations where an individual agrees to pay another person's debt and when an executor of an estate promises to use personal funds to pay the estate's debts. These requirements are designed to prevent fraudulent claims and misunderstandings in transactions that are particularly prone to such issues. It's important to note that while these are general guidelines, the specific thresholds and types of contracts covered by the statute of frauds can vary, and an attorney can provide detailed advice on how the statute applies to particular circumstances in Vermont.