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Is a verbal agreement to split legal costs binding in Ontario or just a handshake?
I'm in a bit of a weird spot and wanted to get other opinions. My buddy and I got into a minor fender bender in Mississauga last month, not our fault. The other guy's insurance is fighting us. My buddy said we'd split the cost of a lawyer 50/50 if it went that far, all verbal, no text or email. Now we're looking at a $2,000 retainer and he's acting like he doesn't remember saying that. I think a verbal deal should hold up if you both agreed face to face, but he's saying without a written thing it's nothing. Which side is right here? Has anyone ever gotten a friend to pay up on a verbal promise in small claims?
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parkerl333mo ago
Verbal deal should hold up" is a nice idea but Ontario law doesn't really care about handshakes. For anything over $50 usually you need it in writing to be binding in small claims. Your buddy's a jerk for bailing but honestly you're probably stuck unless you got a witness.
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