Legal Question in Business Law in California

Re: Oral agreement to purchase business

You can sue him for specific performance!!! As other attorneys said...you will have problem proving a contract. You should have done everything in writing and should have gotten a first right of refusal from him!!!!

Re: Oral agreement to purchase business

Your case raises several fairly complex legal principles. Your case does appear to have some problems as it may be violative of the statute of frauds. Generally, the statute of frauds requires a contract for the sale of land or for services to be performed beyond one year to be in writing. However, you may be able to enforce the contract depending upon what has occurred, as an example, if you have "partially-performed". You may also be able to recover your out-of-pocket expenses based upon the doctrine of promissory estoppel. Your case is very fact specific, and so it might make sense to talk to an experienced attorney.

Re: Oral agreement to purchase business

I agree with the first poster that you case is somewhat complex. Oral contracts often result in several problems, the most serious of which is evidentiary -- I am quite certain that the other party will claim that there was never an agreement, just oral discussions. But their argument can be overcome with the proper evidence. I would also suggest you contact an attorney to help you determine your next steps.

Matthew Mickelson

Mickelson & Mickelson

16055 Ventura Blvd., Suite 1230

Encino, CA 91436

818-382-3360