For many years, AutoZone, a Nevada corporation, was an official sponsor of the Bud Light Professional Bull Rider Series organized and conducted by Professional Bull Riders (PBR), a Colorado corporation. In late 2000, AutoZone verbally agreed to sponsor PBR events for a period of two additional years, from December 29, 2000, to December 31, 2002. At the same time, AutoZone and PBR agreed that AutoZone could terminate its sponsorship by giving notice in writing to PBR by August 15, 2001. In January 2002, AutoZone notified PBR that it would not sponsor any PBR events in 2002. PBR then sued AutoZone for breach of contract.

CASE QUESTIONS 1. Could AutoZone use the statute of frauds as a defense in this case? Explain.

2. In your opinion, should the writing requirement set forth in the statute of frauds apply to all commercial agreements as a matter of sound public policy? Explain why or why not.