X wished to purchase a motor vehicle from Y on credit, but X was unemployed, and Y was hesitant to sell to him for that reason. Z, who was quite wealthy, said to Y: "Sell X the automobile on credit, and if X does not pay you, I will." The contract of guarantee is subject to the Statute of Frauds.

Question

Quizplus · Accepted Answer

The contract of guarantee is subject to the Statute of Frauds because it is a promise to answer for the debt, default, or miscarriage of another person, which requires a written agreement to be enforceable.

X Wished to Purchase a Motor Vehicle from Y on Credit