<html xmlns="http://www.w3.org/1999/xhtml" lang="en-US"><head><meta charset="UTF-8"><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 57A-2A-201 - Statute of frauds.</title><meta name="Generator" content="PowerTools for Open XML"><style>span { white-space: pre-wrap; } p.s9c37210ee659416b93f7dd923c6e3399Normal { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s9c37210ee659416b93f7dd923c6e3399SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s9c37210ee659416b93f7dd923c6e3399CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s9c37210ee659416b93f7dd923c6e3399StatuteNumber1 { margin-left: 0.75in; text-indent: -0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; 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font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s9c37210ee659416b93f7dd923c6e3399SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style><meta name="viewport" content="width=device-width, initial-scale=1"><meta name="twitter:card" content="summary"><meta property="og:title" content="SD 57A-2A-201 - Statute of frauds."><meta property="og:description" content="SDLRC Codified Law 57A-2A-201 - Statute of frauds."><meta property="og:type" content="website"><meta property="og:url" content="https://sdlegislature.gov/Statutes/57A-2A-201"><meta property="og:image" content="https://lawmakerdocuments.blob.core.usgovcloudapi.net/photos/logoshape.webp"><meta property="og:site_name" content="South Dakota Legislature"></head><body><div><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399Normal"><a href="https://sdlegislature.gov/Statutes?Statute=57A-2A-201" rel="noopener"><span class="s9c37210ee659416b93f7dd923c6e3399SENU">57A-2A-201</span></a><span xml:space="preserve" class="s9c37210ee659416b93f7dd923c6e3399SENU">. </span><span class="s9c37210ee659416b93f7dd923c6e3399CL">Statute of frauds.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber1"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(1) A lease contract is not enforceable by way of action or defense unless:</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(a)    In a lease contract that is not a consumer lease, the total payments to be made under the lease contract, excluding payments for options to renew or buy, are less than one thousand dollars; or</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(b)    There is a record, signed by the party against whom enforcement is sought or by that party's authorized agent, sufficient to indicate that a lease contract has been made between the parties and to describe the goods leased and the lease term.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber1"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(2)    Any description of leased goods or of the lease term is sufficient and satisfies subsection (1)(b) of this section, whether or not it is specific, if it reasonably identifies what is described.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber1"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(3)    A record is not insufficient because it omits or incorrectly states a term agreed upon, but the lease contract is not enforceable under subsection (1)(b) of this section beyond the lease term and the quantity of goods shown in the record.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber1"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(4)    A lease contract that does not satisfy the requirements of subsection (1) of this section, but which is valid in other respects, is enforceable:</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(a)    If the goods are to be specially manufactured or obtained for the lessee and are not suitable for lease or sale to others in the ordinary course of the lessor's business, and the lessor, before notice of repudiation is received and under circumstances that reasonably indicate that the goods are for the lessee, has made either a substantial beginning of their manufacture or commitments for their procurement;</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(b)    If the party against whom enforcement is sought admits in that party's pleading, testimony or otherwise in court that a lease contract was made, but the lease contract is not enforceable under this provision beyond the quantity of goods admitted; or</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(c)    With respect to goods that have been received and accepted by the lessee.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber1"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(5)    The lease term under a lease contract referred to in subsection (4) of this section is:</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(a)    If there is a record signed by the party against whom enforcement is sought or by that party's authorized agent specifying the lease term, the term so specified;</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(b)    If the party against whom enforcement is sought admits in that party's pleading, testimony, or otherwise in court a lease term, the term so admitted; or</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399StatuteNumber2"><span class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont">(c)    A reasonable lease term.</span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399Normal"><span xml:space="preserve" class="s9c37210ee659416b93f7dd923c6e3399000000"> </span></p><p dir="ltr" class="s9c37210ee659416b93f7dd923c6e3399NoIndent"><span xml:space="preserve" class="s9c37210ee659416b93f7dd923c6e3399DefaultParagraphFont-000001">Source: </span><span class="s9c37210ee659416b93f7dd923c6e3399SCL">SL 1989, ch 419, § 1; SL 1990, ch 390, § 5; SL 2024, ch 198, § 16.</span></p></div></body></html>