Legal Question in Business Law in Louisiana
is an oral agreement legal?
Is an oral agreement legal in louisiana?
1 Answer from Attorneys
Re: is an oral agreement legal?
It depends on the type of agreement. Certain agreements (such as agreements to buy or sell immovable property, i.e. land) must be in writing to be effective. Most service agreements do not need to be in writing.
Contracts for things or services the value of which is under $500 do not need to be in writing. Contracts for more than that need "at least one witness and other corroborating circumstances." (See La. Civ. Code art. 1846).
That last passage does not mean that agreements for things valued above $500 need to be in writing. Bottom line: you don't need a written agreement even if the agreement is for more than $500, but it helps prove your case. No one is required to believe you if you say you had a contract and you don't have written proof.
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