One of the laws that dates back to England’s King Charles II is the Statute of Frauds. Generally, this law requires, among other things, that contracts that pertain to real property be in writing signed by the parties. Recently, the California Court of Appeals in Jacobs v. Locatelli, Cal. Ct. of Appeal Case No. H042292 (Feb. 8, 2017) had the opportunity to consider whether the Statute of Frauds barred enforcement of a real estate brokerage agreement signed by the broker and one of several owners of the property.

In Jacobs, the “owner” was defined in the agreement as “John B. Locatelli, Trustee of the John B. Locatelli Trust, et al.” Only Mr. Locatelli signed the agreement even though there were signature lines for five other owners. The owners argued that the Statute of Frauds operated to bar an action by the broker against them under the agreement. The Court of Appeals found the “real issue” to be the sufficiency of the broker’s allegation that Mr. Locatelli signed on behalf of the other owners, who formed a joint venture. The reference in the signature designation to “et al”, according to the reviewing Court, clearly meant “and others” in the context in which it appeared. Thus, the Court of Appeals remanded the case in order for the broker to introduce extrinsic evidence as to how Mr. Locatelli signed the agreement.

Imagine if you are one of the other owners who did not want to go forward with the deal and did not sign it only to find that Mr. Locatelli may be found to have signed it for you.

Pay attention to the signature lines on your agreements, even the designations for people and entities other than you who are designated to sign the agreement. If you have any doubt as to those designations or are concerned you could be bound by another’s signature, get legal counsel immediately. It is better to document your disapproval than rely on the lack of your signature on the agreement.

The information presented is not intended to be, and does not constitute, “legal advice.” Because each situation varies, and only brief summary information is provided here, you should not use this information as a basis for action unless you have independently verified with your own counsel that it applies to your particular situation.