Can a Verbal Agreement After a Car Accident Hold Up in Louisiana?
- Taylor Burnham
- Sep 4
- 6 min read
After a car accident, tensions run high and decisions are often made on the spot. Maybe you and the other driver came to a quick verbal agreement — “You pay for my bumper, and I won’t call the insurance company.” It might feel like a simple way to avoid paperwork, phone calls, and drawn-out disputes. But when the dust settles, the big question is: will that handshake deal actually stand up in a Louisiana court?
Car accident disputes in Louisiana aren’t just about who was at fault — they also involve contract law, insurance rules, and sometimes the fine print in state statutes. Insurance companies may be eager to close the case quickly, but acting too fast can cost you. Without knowing your legal rights, you risk walking away with less than you deserve for medical bills, vehicle repairs, lost income, and other damages.
In Louisiana, a verbal agreement can be legally binding under certain circumstances, but proving it in court is a whole different challenge. Understanding how state law treats these types of agreements can mean the difference between keeping your deal — or watching it fall apart.
Understanding Louisiana Laws
If you’re wondering, “Can a verbal agreement after a car accident hold up in Louisiana?” the short answer is yes — but only if certain legal requirements are met. Under Louisiana law, a verbal contract (also called an oral contract) can be enforceable if the parties involved reach a valid agreement. That means there must be an offer, acceptance, consideration (something of value exchanged), and both parties must be of sound mind when making the deal.
Example: If one party agrees to pay for the other’s medical expenses after a collision, and both consent without coercion, a verbal agreement could technically be valid. However, proving that the contract existed — and the exact terms — is the real challenge.
Some agreements must be in writing under Louisiana’s statute of frauds (for example, contracts involving real estate or certain high-value transactions). Car accident settlements generally don’t fall into that category, but without a written contract, the court relies on witness testimony, evidence, and other documentation to decide if the agreement is enforceable.
Insurance companies and other parties may try to dispute the terms or even deny that an agreement was made. This is where having an experienced attorney can make the difference. A licensed attorney can review your claim, determine your legal options, and help you prove the full extent of your damages. In many cases, they can secure more compensation than the first settlement offer from insurers — without you paying any upfront fees. Many law firms even offer a free consultation so you can discuss your case before taking legal action.
In short, while an oral contract after a car accident in Louisiana can be legally binding, the safer route is to get it in writing and have a lawyer handle the terms on your behalf.
Legally Binding Agreements
A verbal agreement after a car accident can be legally binding in Louisiana if it meets the basic requirements of contract law. According to Louisiana Civil Code Articles 1927 and 1967, that means:
Offer: One party proposes specific terms (example: “I’ll pay for your bumper damage and medical expenses”).
Acceptance: The other party agrees to those terms.
Cause (Consideration): Something of value is exchanged, such as money or services.
Consent: Both parties must be of sound mind and agree voluntarily.
If these elements are present, the court may find the oral contract enforceable. But if the agreement is worth $500 or more, Article 1846 requires at least one witness plus other supporting evidence to prove it in court.
The main risk? If one party denies the agreement, you’re left in a position where proving it becomes an uphill battle. Insurance companies and other parties may claim there was no valid contract or that the terms were unclear. This can lead to litigation, especially if the dispute involves high medical expenses or contested liability.
A licensed attorney can help you determine if your oral agreement is enforceable, decide whether to accept a settlement offer, and, if needed, file a lawsuit on your behalf. Most personal injury lawyers work without upfront fees and only collect if they win, so pursuing more compensation is often low-risk for the injured person.
While a verbal contract can hold up in a Louisiana court, a written contract offers far more protection and reduces the risk of disputes that could affect your claim.
Common Problems with Verbal Agreements After a Car Accident
Even though a verbal agreement can be legally binding under Louisiana law, it’s often a recipe for disputes. The biggest issue is proof — without a written contract, each party may remember the agreement differently. One party might claim they agreed to pay for all medical expenses, while the other insists it was only for vehicle repairs.
Insurance companies rarely rely on oral agreements because they know misunderstandings can lead to litigation. If an other party changes their story, you could end up in court with nothing more than your word against theirs. Even witness testimony may not be enough if there’s no supporting evidence like texts, emails, or receipts.
Example: A driver promises to cover your injury treatment out of pocket. Weeks later, they refuse to pay, claiming they never consented to the full bill. Without documentation, you might have to sue to prove the contract existed — and the court could decide there’s not enough evidence.
Evidence That Can Help Prove a Verbal Contract in Louisiana
Under Louisiana Civil Code Article 1846, if a contract worth $500 or more isn’t in writing, you must prove it with at least one witness and other corroborating evidence. For a verbal contract after a car accident, this could include:
Witness testimony from passengers, bystanders, or even first responders.
Text messages, emails, or handwritten notes confirming the agreement.
Proof of partial payment for damages or medical expenses.
Recorded phone calls or video footage where the parties involved discuss the terms.
Repair invoices or receipts that match what was discussed.
A licensed attorney can help gather and present this evidence in a way that strengthens your claim. If the insurance company disputes liability, this type of proof can be the difference between getting compensation and walking away with nothing.
How Insurance Companies Handle Verbal Settlements
While a verbal agreement between the parties involved might seem straightforward, most insurers will not honor it without a written contract or signed release. An insurance company generally requires a documented settlement offer before they’ll pay any money.
If you accept a first offer verbally from an insurer, it may not be enforceable unless it’s documented in writing. Worse, accepting a settlement without knowing the full extent of your injury could affect your ability to seek more compensation later.
An experienced attorney can discuss your legal options, determine if the settlement offer is in your best interest, and handle communications with the other party or insurer on your behalf.
When a Verbal Agreement is Not Enforceable in Louisiana
Even though an oral contract can be valid under Louisiana law, there are times when it’s not enforceable in court. A verbal agreement may fail if:
One party was under duress, intoxicated, or not of sound mind at the time of consent.
The terms are illegal or against public policy.
The agreement involves a type of contract that must be in writing (e.g., sale of real estate under Article 1839).
There’s no consideration — meaning nothing of value was exchanged.
If you’re unsure whether your agreement is enforceable, a licensed attorney can review the laws that apply to your case and determine whether to proceed with legal action.
What to Do if You Have a Verbal Agreement After a Car Accident in Louisiana
If you’ve made a verbal agreement with the other party after a car accident, you should take steps immediately to protect your rights under Louisiana law. Acting quickly can help you prove the contract existed and pursue the full extent of your compensation.
Here’s what to do:
Write everything down: Record the details of the agreement, including what was promised, when, and by whom.
Gather evidence: Collect witness testimony, receipts, texts, emails, and any proof of payment or communication about the settlement offer.
Notify your insurance company: Even if you reached an oral contract, insurers may still need to investigate liability.
Avoid accepting the first offer: A quick settlement might not cover your medical expenses or other damages.
Talk to a licensed attorney: A free consultation can help you determine whether your verbal contract is enforceable and if you should take legal action.
A lawyer can handle communications with the insurance company, assess your legal options, and, if necessary, sue on your behalf to get more compensation than what the first offer provides. Since most personal injury attorneys work on contingency, there are typically no upfront fees — meaning you only pay attorney fees if they win your case.
When You’re Unsure, Get the Right Help
Dealing with a personal injury claim in Louisiana isn’t just about paperwork and legal rules — it’s about your health, your time, and your future. If you’re unsure about the strength of your claim or how to handle an insurance company, having someone who understands the process can make a huge difference. Burnham Law Firm is here to listen, answer your questions, and help you see the path forward.
One right conversation can change the entire outcome of your case.
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