CHAPTER 189

FORMERLY

HOUSE SUBSTITUTE NO. 1

TO

HOUSE BILL NO. 134

AN ACT TO AMEND CHAPTER 27 OF TITLE 6 OF THE DELAWARE CODE RELATING TO THE NECESSITY OF WRITING FOR CONTRACTS.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend subsection (a) of Section 2714 of Title 6, Del. C. by the insertion

after the words "sold and delivered," and before the words "and other matters" the following:

"money loaned"

Section 2. Amend subsection (a) of Section 2714 of Title 6, Del. C. by the substitution of the word "record" for the word "book."

Section 3. Renumber the current subparagraph (b) of Section 2714 of Title 6 Delaware Code, to (c) and insert the following new paragraph (b).

(b) A contract, promise, undertaking, or commitment to loan money or to grant or extend credit, or any modification thereof, in an amount greater than $100,000, not primarily for personal, family, or household purposes, made by a person engaged in the business of lending or arranging for the lending of money or the extending of credit shall be invalid unless It or some note or memorandum thereof, is in writing and subscribed by the party to be charged or by the party's agent. For purposes of this section, a contract, promise, undertaking, or commitment to loan money secured solely by residential property consisting of one to four dwelling units shall be deemed to be for personal, family or household purposes.

Approved March 29, 1990.