Contract Defined - Parol Contracts

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Parol contracts shall include only contracts in words as remembered by witnesses.

(Orig. Code 1863, § 2681; Code 1868, § 2677; Code 1873, § 2719; Code 1882, § 2719; Civil Code 1895, § 3636; Civil Code 1910, § 4221; Code 1933, § 20-106.)

Cross references.

- Parol evidence generally, T. 24, C. 3.

JUDICIAL DECISIONS

An oral contract is legal and may be enforced by an action at law. Venable v. Block, 138 Ga. App. 215, 225 S.E.2d 755 (1976).

For oral contracts to be enforceable, there must be meeting of minds of contracting parties i.e., mutuality as to every essential element of oral agreement. Super Valu Stores, Inc. v. First Nat'l Bank, 463 F. Supp. 1183 (M.D. Ga. 1979).

Oral promises cannot be enforced where underlying employment contract, being terminable at will, is unenforceable. Walker v. GMC, 152 Ga. App. 526, 263 S.E.2d 266 (1979).

Contract partly in writing and partly in parol is considered parol contract.

- When contract is not wholly in writing, but is partly in writing and partly in parol, entire contract is considered as one in parol. Jankowski v. Taylor, 154 Ga. App. 752, 269 S.E.2d 871, aff'd, 246 Ga. 804, 273 S.E.2d 16 (1980).

Effect of parol evidence rule generally.

- The parol evidence rule fixes the finality of a written contract which is unmixed with fraud respecting the subject matter. It is, moreover, a rule of substantive law, and though parol evidence be admitted without objection or over objection, it is without probative value to vary terms of a written contract. Crooks v. Crim, 159 Ga. App. 745, 285 S.E.2d 84 (1981).

Effect of oral agreement relating to condition not expressed in note.

- An oral agreement between the parties, made contemporaneously with the execution of a note or prior thereto, relating to a condition not expressed in the note, is incompetent to change the contract as represented on the face of the note. Curtis v. First Nat'l Bank, 158 Ga. App. 379, 280 S.E.2d 404 (1981).

Contracts for insurance must be in writing and may not be partially parol. Atlanta Metro Taxicab Group, Inc. v. Bekele, 154 Ga. App. 831, 269 S.E.2d 902 (1980).

Georgia law does not require real estate listings to be reduced to writing and oral contracts are enforceable. Thomas v. Memory, 154 Ga. App. 756, 270 S.E.2d 24 (1980).

Breach of oral contract proven.

- Evidence was sufficient to support a jury's verdict finding a breach of contract in a real estate development dispute, as there was no requirement for the agreement to be in writing where the agreement did not directly involve the sale or conveyance of an interest in land; plaintiff proved all of the essential elements of the breach of contract claim through plaintiff's testimony and that of another person. Cline v. Lee, 260 Ga. App. 164, 581 S.E.2d 558 (2003).

Cited in Security Dev. & Inv. Co. v. Ben O'Callaghan Co., 125 Ga. App. 526, 188 S.E.2d 238 (1972); Nodvin v. Krabe, 160 Ga. App. 310, 287 S.E.2d 236 (1981); Cheeley Invs., L.P. v. Zambetti, 332 Ga. App. 115, 770 S.E.2d 350 (2015).

RESEARCH REFERENCES

Am. Jur. 2d.

- 17 Am. Jur. 2d, Contracts, §§ 67, 68, 262, 265.

C.J.S.

- 17 C.J.S., Contracts, §§ 9, 10.

ALR.

- Admissibility of parol evidence to vary or explain the contract implied from the regular endorsement of a bill or note, 22 A.L.R. 527; 35 A.L.R. 1120; 54 A.L.R. 999; 92 A.L.R. 721.

Rights of parties under oral agreement to buy land or bid it in at judicial sale for another, 42 A.L.R. 10; 135 A.L.R. 232; 27 A.L.R.2d 1285.

Modification of sealed instrument by subsequent parol agreement, 55 A.L.R. 685.

Waiver by parol of provision in sealed instrument, 55 A.L.R. 700.

Oral contracts of insurance, 69 A.L.R. 559; 92 A.L.R. 232.

Formal or written instrument as essential to completed contract where the making of such instrument is contemplated by parties to verbal or informal agreement, 122 A.L.R. 1217; 165 A.L.R. 756.

Oral agreement restricting use of real property as within statute of frauds, 5 A.L.R.2d 1316.

Rights of parties under oral agreement to buy or bid in land for another, 27 A.L.R.2d 1285.

Oral contract for personal services so long as employee is able to continue in work, to do satisfactory work, or the like, as within statute of frauds relating to contracts not to be performed within year, 28 A.L.R.2d 878.

Recovery for services rendered by persons living in apparent relation of husband and wife without express agreement for compensation, 94 A.L.R.3d 552.

Liability to pay for allegedly unauthorized repairs on motor vehicle, 5 A.L.R.4th 311.


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