The "Statute" word is taken from the Latin word "statutum". "Statutum" means law, or decree.
A statute is a written law or rule, which has been formally approved and enacted by a legislative body of a country or a state. Such a legislative body has been granted the power to enact laws under the constitution of the country.
There are different types of statutes. Examples: statute of conveyances, statute of repose, statute of praemunire, statute of frauds, statute of limitations, etc.
Statute of Frauds
● In 1677, the Statute of Frauds was adopted in England as a law. The statute continues to be in force in most American states. It was done to prevent frauds and perjuries.
● The statute of frauds has vital importance in contract law of a country.
● In contract law, oral agreements are considered valid and enforceable. However, certain types of oral agreements are not allowed under the statute of frauds. Hence, they are unenforceable.
● The statute of frauds stipulates that certain types of contracts must be in writing to be valid and enforceable on all parties. Such contracts must be signed by all the parties concerned.
● Following types of contracts need to be in writing to be valid and enforceable:
a) Contracts for the sale of goods for a price of US$500 and above.
b) Contracts for the sale of real-estate or transferring of an interest in land.
c) Bilateral contracts that cannot be completed within one year of contract's execution.
d) Collateral contracts wherein one party promises act as a guarantor for another party's debt or to perform the obligation of another party.
e) Contracts for marriage between two persons, and prenuptial agreements.
f) Contracts where an executor of a will uses his own money to pay a debt of the estate.
Statute of Limitations
● Statute of limitations is a law that limits the time duration within which legal proceedings may be brought/initiated whether under civil or criminal law.
● In other words, it is a statute that bars/restricts any claims by the parties after the completion of a certain period from the cause of action. Once the statute of limitations expires, the legal claim becomes no longer valid.
● The intention behind the statute of limitations is to protect the defendants from false claims by the plaintiffs. A plaintiff with a valid cause of action should pursue his legal claim in a court of law within a reasonable time prescribed under the statute of limitations.
● The reason why such limitations are imposed is because after a certain period, due to delay from the plaintiff side in making his claims — the evidence may be lost, the witnesses may become untraceable, the memories relating to the case may fade or become vague, the disputes may become stale, etc.
● The statute of limitations applies to the suits relating to different types of contracts, decrees, instruments, movable and immovable property, trusts, torts, etc.
● The cases relating to malicious misdemeanors viz. murder, rape, aggravated kidnapping, child abuse, manslaughter, etc. have no time limits. That is to say, the statute of limitations does not apply here.
● Under the international law — war crimes, genocide and crimes against humanity have no statute of limitations.
Statute of Repose
● Statute of repose is a law that prescribes the time within which a legal claim can be initiated even if a cause of action has not occurred.
● The time period in this case starts on the date when the defendant completes a certain action, viz. selling a product, completing construction of a house, etc. Here, the role of the statute comes into play when the defects in the product/house cause damage or injury.
● Example: James sold a product to Harry on 1st January, 2024. The product caused injury to Harry on 5th January, 2034. Here, a ten-year statute of repose is applicable that started on the date of purchase i.e. 1st Jan 2024 and expired 31st Dec 2033. Hence, the statute bars a claim by Harry against James.
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