Does an Ontario contract for the sale of goods need to be in writing?

In Ontario, most contracts for the sale of goods do not need to be in writing to be legally enforceable. A verbal deal to buy and sell goods is generally valid. This reflects the modern commercial reality that many transactions happen quickly and informally.

There are some qualifications. The old Statute of Frauds historically required written evidence for contracts of sale above a certain value, but its application in Ontario has evolved. The Sale of Goods Act governs implied terms (such as fitness for purpose and merchantable quality) and applies to contracts for the sale of goods whether written or oral.

For high-value commercial transactions, businesses typically insist on written agreements (purchase orders, supply contracts) not because the law requires it but because of the evidentiary risk. If a dispute arises over the price, specifications, delivery terms, or remedies, a written contract prevents costly arguments about who said what.

Consumer purchases are generally governed by the Consumer Protection Act, 2002, which provides additional protections (including rights of return and implied warranties) that apply regardless of what any written contract says, and may impose disclosure and writing requirements for certain types of consumer transactions.