Billy entered into an oral agreement to sell a parcel of real estate to Reggie for $20,000. Reggie paid Billy $500 as earnest money and Billy signed and gave Reggie the following receipt: "For $20,000.1 agree to sell the property at 120 Oak Lane. Received as earnest money $500 to Billy Jones" A month later, Reggie offered the remaining $19,500 to Billy but he refused to convey the property. What arguments, if any, should Billy raise in claiming the contract is not enforceable?

Assume that the contract is valid. Answer the following questions assuming that the contract is silent on each matter: (1) Must Billy deliver marketable title at the closing? (2) Must he deliver a warranty deed at the closing? (3) What type of estate must Billy deed at the closing? (4) Who must bear the cost of proving title?

Assume that before closing the sale, Reggie discovers that Billy's property is subject to a right of way easement, that Billy's property is zoned for residential use, that a brick building on Billy's property encroaches 10 feet onto a neighbor's land, and that the building violates a local building code. The contract of sale did not mention any of the foregoing. Do any of these discoveries make the title unmarketable? If so, which ones?