🗣️ Can You Enforce a Verbal Agreement in Arizona?

You shook hands. You had a conversation. Maybe you even exchanged a few emails. But now the other party isn’t holding up their end—and you’re wondering:

Is a verbal agreement legally binding in Arizona?

The short answer: Sometimes.
The long answer: It depends on what the agreement is about, and whether you can prove it.

Here’s what Arizona business owners and professionals need to know about enforcing oral contracts, when they’re valid, and when you absolutely need it in writing.

✅ Are Verbal Agreements Legally Binding in Arizona?

Yes—Arizona recognizes verbal (oral) contracts as legally enforceable in many situations, as long as they meet the standard elements of a contract:

1. Offer

2. Acceptance

3. Consideration (something of value exchanged)

4. Mutual intent to be bound

If all four elements are present, a verbal agreement can be just as valid as a written one—but harder to prove.

⚠️ When Verbal Contracts Aren’t Enforceable

Certain types of contracts must be in writing under Arizona’s Statute of Frauds (A.R.S. § 44-101). These include:

🚫 Contracts that cannot be performed within one year
🚫 Agreements for the sale of real estate
🚫 Promises to pay someone else’s debt (guarantees)
🚫 Contracts for goods over $500 (under the UCC)
🚫 Marriage or prenuptial agreements
🚫 Contracts involving commissions on oil, gas, or minerals

If your agreement falls into one of these categories and it’s not in writing, it likely won’t be enforceable.

🧾 What If You Only Have a Verbal Agreement?

To enforce a verbal contract in Arizona, you’ll need to prove:

• That a valid agreement existed

• The specific terms of the agreement

• That the other party breached those terms

• That you suffered damages as a result

Acceptable evidence might include:

• Emails, texts, or voicemails referencing the deal

• Witness testimony

• Payment records or bank statements

• Past behavior (course of dealing) that shows an ongoing relationship

The more documentation you have, the stronger your case—even if the original agreement was verbal.

🤔 Is It Worth Pursuing a Verbal Agreement Dispute?

Maybe. But keep in mind:

• These cases often come down to “he said, she said”

• Legal costs may outweigh your recovery

• The outcome is more unpredictable than with a clear written contract

Best Practice: Use a written contract for any agreement involving money, services, or deadlines—no matter how simple it seems.

✍️ When to Put It in Writing (Hint: Always)

Even if Arizona law allows a verbal agreement, here’s when you should insist on a written contract:

• The deal involves more than $500

• You’re hiring or paying someone for services

• You’re working with vendors, clients, or subcontractors

• Intellectual property, confidentiality, or non-competes are involved

• You want to reduce risk of misunderstandings or lawsuits

A written agreement is your best defense—and the cheapest form of business insurance.

🧠 Final Thoughts

Verbal agreements in Arizona can be legally binding—but they’re also legally risky.

If you’re entering into any business relationship involving money, time, or liability, get it in writing. And if you’re already stuck in a verbal deal gone wrong, get legal advice early to protect your rights.

Need help drafting a contract—or enforcing an agreement that’s gone sideways? Let’s talk before things escalate.

Hurley Law Group
Business Contracts & Legal Protection for Arizona Entrepreneurs
📞 308-383-1867
🌐 hurleylawgroup.com
✉️ eric@hurleylawgroup.com