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Yes, it is as valid as written contracts?because any agreement, whether written or not, shall be considered a contract. The mutual understanding will now put both parties responsible for fulfilling the terms of the contract.
Technically, the answer is yes. Although the agreement is not in writing, you may be able to file a lawsuit if another party breaches a verbal contract. However, many oral contract cases turn into ?he said, she said? situations, which can be more challenging to prove than cases with clearly defined terms on paper.
A contract, whether written or oral, is only enforceable if the essential terms of the contract are clear and certain. The contract must be sufficiently definite and detailed as to what actions all parties are obligated to perform.
All contracts may be oral except such as are specially required by statute to be in writing. Source: CivC 1877, § 918; CL 1887, § 3542; RCivC 1903, § 1236; RC 1919, § 853; SDC 1939, § 10.0602. 53-8-2.
Thus, to legally break a verbal contract, you should do so in writing. In that correspondence, outline the terms that had been agreed upon and why you are not able to fulfill them.