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Fred and Zuma contacted a carpet installation company and obtained a price quote that included providing and installing new carpeting and tiling in their home a certain price per square foot of material, including labor. The total was in excess of $500. The proposal was never accepted in writing by the Palermos, and the parties disagreed over how much of the proposal had been agreed to orally. After the installation of the carpet and tiling had begun, Zuma became dissatisfied and sought the services of another contractor. The carpet installation company then sued Fred and Zuma for breach of the oral contract.
As you may recall, the Statute of Frauds requires contracts for the sale of goods for the price of $500 or more to be in writing. If the contract is for the sale of services, the Statute of Frauds does not apply, which means that an oral contract can be enforced.
Is the contract between Fred and Zuma and the carpet installation company one for services or goods? Does the Statute of Frauds apply?
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