Many people assume that a contract must be in writing to be enforceable, but that’s not always the case—especially in Texas. Verbal agreements can carry the same legal weight as written ones under Texas law. However, pursuing a lawsuit for breach of a verbal contract comes with its own challenges.

Are Verbal Contracts Legally Binding in Texas?

Yes, verbal contracts are generally enforceable in Texas as long as they meet the essential elements of a contract:

• Offer: One party makes a clear proposal.
• Acceptance: The other party agrees to the terms.
• Consideration: Something of value is exchanged.
• Mutual intent to be bound: Both parties intend to create a binding agreement.
• Legal purpose: The contract is for a lawful purpose.

If these elements are present, a verbal agreement can be just as valid as a written one—unless it falls under the “Statute of Frauds.”

What Is the Statute of Frauds?

The Statute of Frauds is a legal principle that requires certain types of contracts to be in writing to be enforceable. In Texas, contracts that typically must be in writing include:

• Agreements that cannot be performed within one year
• Contracts involving real estate
• Agreements to pay someone else’s debt
• Marriage or prenuptial agreements
• Contracts for the sale of goods over $500 (under the Texas Business & Commerce Code)

If your verbal agreement falls into one of these categories, it may not be enforceable without a written contract.

Challenges of Proving a Verbal Contract

Even if your verbal contract is legally binding, proving it in court can be difficult. Without a written document, the case may rely on:

• Witness testimony
• Emails or text messages referencing the agreement
• Proof of performance or payment
• Behavior that shows both parties intended to form a contract

Courts will evaluate all available evidence to determine whether a contract existed and whether a breach occurred.

What To Do If You Believe a Verbal Contract Was Breached

If someone broke a verbal agreement with you, it’s important to act quickly:

1. Gather evidence – Collect communications, receipts, and any other proof.
2. Document the breach – Write down what happened, when, and how the other party failed to uphold their end.
3. Consult with an attorney – Legal guidance can help you understand your rights and whether you have a viable case.

Legal Support for Contract Disputes in Houston

At Manfred Sternberg & Associates, we assist individuals and businesses in Houston with contract disputes—including those involving verbal agreements. We understand the nuances of Texas contract law and can help you determine the best course of action.