Product Update

E-mail Contracts Discussed in Contractual Risk Transfer

Most businesses and individuals do not realize that an e-mail or an exchange of e-mails can form a legally binding contract. Therefore, the risk of inadvertently forming a contract by e-mail is prevalent each and every day. Further complicating matters, in Khoury v. Tomlinson, 518 S.W.3d 568 (Tex. App. 2017), the Texas Court of Appeals held that the "from" line in an e-mail was sufficient to satisfy the statute of frauds' signature requirement under Texas law. In other words, the name or e-mail address in a "from" field was sufficient to identify the sender of the e-mail and authenticate the e-mail as the sender's act, and consequently, a binding contract was formed. Fortunately, businesses and individuals can take steps to ensure that they do not mistakenly enter into a contract by e-mail. Learn more about the Khoury case, formation of contracts by e-mail, and steps you can take to avoid inadvertently forming contracts by e-mail in this release of Contractual Risk Transfer.

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