Davis owes a $5 million debt to C Bank. He also owes $2 million to Samuel. However right now, Davis is having trouble paying either loan. C Bank is willing to finance Davis's debt, but only if Samuel co-signs. Samuel, who fears that he will get nothing on his $2 million loan if Davis does not get some help from the bank, is willing to do so. Thus, C Bank, Samuel, and Davis complete a three-party agreement in which the bank agrees to finance the $5 million debt, Davis agrees to pay it back at a certain rate over a certain term, and Samuel agrees to pay the debt "in the event that Davis first defaults." Is this agreement covered by the statute of frauds? Why or why not?