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In the fast-paced world of business, many agreements start with a handshake or a phone call rather than a formal written contract. While this may feel efficient at the time, when disputes arise, the question becomes: is a verbal contract enforceable? At Boatman Ricci, we help Florida businesses and individuals understand their legal rights and obligations when a verbal agreement falls apart.
Here’s what you need to know about enforcing verbal contracts under Florida law—and how to respond if a business breaches one.
Are Verbal Contracts Legally Enforceable in Florida?
Yes. Florida law recognizes verbal (oral) contracts as legally enforceable, provided they meet specific criteria. Like written agreements, verbal contracts must include:
- An offer;
- Acceptance of that offer;
- Consideration (i.e., something of value exchanged by both parties); and
- Mutual intent to enter into a binding agreement.
However, some contracts must be in writing to be valid under Florida’s Statute of Frauds (Florida Statutes § 672.201). These include agreements:
- Involving the sale of real estate;
- That cannot be performed within one year;
- For the sale of goods over $500 (as governed by Florida’s adoption of the UCC);
- Promises to pay another person’s debt; or
- Prenuptial agreements or marriage-related promises.
If a verbal contract falls outside those categories and meets the basic elements of a contract, it may be enforceable in court.
Common Disputes Involving Verbal Contracts
Even if a verbal contract is legally valid, proving its existence can be a challenge. That’s why these types of contracts are often at the center of heated disputes, including:
- Unpaid services: One party claims they were hired and completed work, but never received payment.
- Partnership disagreements: Business owners may verbally agree on profit-sharing or duties, but later disagree on the terms.
- Sales of goods or equipment: If terms such as delivery deadlines or prices weren’t clearly discussed, either side may claim a breach.
- Non-performance: One party may fail to deliver on their promise, leading to financial losses for the other.
How Do You Prove a Verbal Contract?
The biggest hurdle in enforcing a verbal contract is evidence. You’ll need to show that the agreement existed and what its terms were. This can include:
- Emails, texts, or messages referencing the agreement
- Witnesses who were present when the deal was made
- Invoices, receipts, or payment records
- Course of conduct, such as a party performing work and receiving payment multiple times under the same verbal terms
While this evidence may not spell out every detail, it can help show the court that a contractual relationship existed.
What Are Your Legal Options After a Breach?
If a business breaks a verbal contract, you may be entitled to compensation for:
- Direct financial losses (e.g., unpaid wages or services)
- Consequential damages (e.g., lost business opportunities)
- Restitution or reimbursement for expenses incurred under the agreement
In some cases, specific performance (forcing the other party to fulfill their obligation) may be appropriate, though courts prefer monetary compensation when possible.
Before taking legal action, consider the following steps:
- Document everything: Save communications, make notes of dates and conversations, and gather proof of performance or payment.
- Send a formal demand letter: This puts the breaching party on notice and may lead to a resolution without the need for litigation.
- Consult an attorney: A Florida business lawyer can evaluate whether the contract is enforceable and help negotiate a settlement or represent you in court.
How Boatman Ricci Can Help
At Boatman Ricci, we understand how frustrating it can be to hold someone accountable for a handshake deal gone wrong. Our business litigation team has extensive experience helping clients navigate verbal contract disputes throughout Florida, especially when substantial financial interests are at stake.
Whether you’re seeking to enforce a verbal agreement or defend against an unfounded claim, we’ll provide the strategic guidance you need to protect your business and your rights.
Don’t Let a Broken Promise Derail Your Business
Verbal contracts may seem casual, but their consequences are real. If you’re facing a dispute over a handshake deal or informal business agreement, contact Boatman Ricci today to schedule a confidential consultation with our business litigation team.
We’re here to help you turn uncertainty into clarity—and to ensure that broken promises don’t become costly legal mistakes.