What is one of the requirements for a contract that cannot be performed within a year?

For a contract that cannot be performed within a year, the requirement for it to be in writing to be enforceable is rooted in the Statute of Frauds. This legal principle mandates that certain types of contracts, including those that cannot be completed within one year, must be documented in writing and signed by the parties involved to prevent misunderstandings and ensure accountability.

The rationale behind this requirement is that oral agreements can lead to disputes due to a lack of evidence regarding the terms and intentions of the parties. By requiring such contracts to be in writing, the law ensures that there is clear documentation that can serve as a reference should disagreements arise. This protects the interests of all parties involved by providing a tangible record of the agreement.

In contrast, options that involve being a verbal contract, being unverified, or requiring no signature do not align with the legal standards set by the Statute of Frauds for contracts with performance timelines extending beyond a year. These elements could potentially lead to enforceability issues rather than providing the necessary legal structure to protect the terms of the contract.