Is a business liable for a service agreed to over the phone with no written contract?

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Is a business liable for a service agreed to over the phone with no written contract?

A yellow pages advertising company called to say it was time to renew for another year of advertising. The agreement was then taped. An invoice was sent, and in the interim it was learned that the service was not a renewal but a new service. No written contract for the service was made.

Asked on June 20, 2012 under Bankruptcy Law, California

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Under the laws of all states in this country, if the services charged exceed $500 for the yellow pages advertising that you have written about, your state's "statute of frauds" requires a written agreement dated and signed by you for the advertising in the yellow pages to make the agreement binding.


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