Architectural Designs

Business Law Question?

1) Matt, an attorney, had a client who was injured in the automobile accident and was being treated by DR. Smith. Matt orally promised to pay Smith his medical fees out of proceeds of any award made to his client as the result of a lawsuit based on the accident if the client did not the fees.When the client was awarded 15,000 Matt refused to pay Smith , invoking the statue of frauds. Can Smith legally hold Matt liable for his oral promise to pay ? 2)Mike, an architect , signed a contract with Mary to designed an office building.Nothing was said in the contract about size, style , or maximum cost, only an estimated cost.When the bids for the building came in , they were so much more than the estimated cost that Mary decided not to build a building..She also refused to pay Mike for his services.In court, Mary tried to introduce evidence that there had been conversations about maximum costs.Mike claimed that this was not possible under the parol evidence rule . Is Mike correct ?

Public Comments

1. 1. Statute of frauds generally (most states) is just for sale of goods. Since this is a service (medical care) the statute of frauds does not apply. Smith can hold Matt liable for his oral promise. 2. This contract seems partially integrated (matter of opinion) but if so, then parol evidence is allowed so long as it does not contradict the express words in the contract. If the court says that it was not completely integrated, then the parol evidence would most likely be allowed in.