Simple contract
From Wikipedia, the free encyclopedia
In contract law,[1] a simple contract is a contract made orally or in writing or both of them rather than a contract made under seal.[2] Simple contracts require consideration to be valid,[3] but simple contracts may be implied from the conduct of parties bound by the contract.[4] William Blackstone observed in his Commentaries on the Laws of England that in the seventeenth century, debtors used simple contracts as one of three accepted forms of unsecured debt instruments.[5] In 1828, the Parliament of the United Kingdom amended the statute of frauds so that oral acknowledgments or promises could not be used as evidence to prove the existence of a simple contract.[6] Today, some American jurisdictions have established that a security interest is perfected "when a creditor on a simple contract cannot acquire a judicial lien that is superior to the interest" of the secured party.[7]