16-118. Same; requirements; failure to comply.
16-118
16-118. Same; requirements; failure to
comply.
(a) A debtor or a creditor may not maintain an action for legal or equitable
relief or a defense, based in either case upon a failure to perform on
an alleged
credit agreement,
unless the material terms and conditions of the agreement are in
writing and signed by the creditor and the
debtor.
(b) All credit agreements shall contain a clear, conspicuous and
printed notice to the debtor that states that the written credit agreement is a
final expression of the credit agreement between the creditor and
debtor and such written credit agreement may not be contradicted by
evidence of any prior oral credit agreement or of a contemporaneous
oral credit agreement between the creditor and
debtor. A written credit agreement shall contain a sufficient space for the
placement of nonstandard terms, including the reduction to writing of a
previous oral credit agreement and an affirmation, signed or initialed
by the debtor and the creditor, that no unwritten oral credit agreement
between the parties exists.
(c) Failure to comply with provisions of subsections (a) and (b) shall
preclude an action or defense based on any of the following legal or equitable
theories: (1) An implied agreement based on course of dealing or performance or
on a fiduciary relationship; (2) promissory or equitable estoppel; (3) part
performance; or (4) negligent representation.
History: L. 1988, ch. 55, § 2;
L. 1989, ch. 70, § 2;
L. 1998, ch. 56, § 2; July 1.