What is an agreement that is not in writing called?

An agreement that is not in writing is referred to as a parol contract. This term describes oral agreements or contracts that are established through spoken communication rather than written documentation. Parol contracts are legally binding, but they can be more challenging to enforce in a court of law due to difficulties in proving their existence and terms compared to written agreements.

In many legal systems, a parol contract can still hold validity if both parties agree to the terms, but it often relies heavily on witnesses and evidence of the agreement being made. This contrasts with other types of contracts, such as written agreements, which are explicitly documented, or express contracts, which require clear terms and mutual consent but can also be written. Implied contracts, on the other hand, arise from the conduct of the parties rather than verbal or written communication.

Understanding parol contracts is essential for recognizing the various forms of agreements that exist in legal contexts, particularly when examining enforceability and the challenges that may arise with oral agreements.