Page v Gulf Coast Motors Essay Example

is put in writing, therefore since GulfCoast failed in providing the evidence of a signed note by Mary promising to pay Glenn’s debts, the agreement stays within the statute of frauds. In this case the allegedly promises made by Mary were not enforceable. Case Questions What is a guaranty contract? A guaranty contract is a document made during an issuance of a loan in which a third party agrees to become liable to make required payments if the main person responsible for the loan fails to make payments.

Did Glenn Act ethically in this case? Glenn did not act ethically in this case. First of all the money that Glenn borrowed from his friend was used for gambling, this was absolutely unethical and unacceptable. In addition Glenn signed a ledger note agreeing to pay the loan and he failed to do so. Would Mary have acted unethically if she had actually orally guaranteed to repay her husband's debts and then raised the Statute of Frauds to prevent enforcement of the oral promises?Mary did not act unethically since she had not raised the Statute of Fraud to stop any enforcement of her oral promises; she indeed made oral promises however never appealed to the statute of fraud for them to be enforced.

Conclusions My conclusion is that even though the Statute of Fraud applies in cases of guarantee agreements a guaranty should never be accepted unless it is put in writing, this is a good practice to follow to avoid ending up in a case like the one discussed here.