The statute of frauds.

Plaintiffs stated various causes of action based on an alleged unwritten contract for them to perform services and provide proprietary materials in order to secure clients seeking defendants' services. The First Department dismissed the complaint in its entirety, in Stanwich Consulting v. Etkin, which was decided on January 3, 2008.

The court said it was undisputed that plaintiffs' compensation was contingent on their finding paying clients for defendants. However, the complaint did not allege that plaintiffs ever found any such clients. In any event, the court said that the alleged oral contract was too indefinite to be enforceable, and was barred by the statute of frauds, pursuant to General Obligations Law § 5-701(10).