Managing Associate
Projects, Infrastructure & Construction | Developer | Building Safety
Plymouth
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If the recent case of Jaevee Homes v Fincham [2025] EWHC 942 (TCC) is anything to go by then it wouldn’t be a bad idea.
In this latest case the Technology and Construction Court (TCC) reaffirmed that legally binding contracts can be formed via informal electronic platforms such as WhatsApp provided the language and context support it.
It also established that a construction contract can be valid even without agreement on key details like the project duration, start date, or payment terms as these terms can be implied by law.
Fincham provided a quotation for demolition works which was followed by an exchange of WhatsApp messages. Jaevee then sent Fincham a formal sub-contract document along with its standard terms of business, but Fincham never responded.
A dispute later arose in relation to four unpaid invoices and Fincham commenced a smash and grab adjudication on the basis that the outstanding sums had become notified sums under the Scheme for Construction Contracts. In that adjudication Fincham successfully argued that the sub-contract document sent by Jaevee did not apply.
In Part 8 proceedings commenced by Jaevee, the TCC held that the exchange of WhatsApp messages evidenced and constituted a construction contract and that Jaevee's formal sub-contract document was sent too late and was not accepted by Fincham.
In reaching its decision the TCC decided what whilst the WhatsApp exchange did not include detail as to the duration, that fact, and even an absence of a start date or payment terms, were not essential terms which would prevent a construction contract being formed.
The decision in Jaevee has prompted us to consider what every contractor needs to know about contract formation.
A construction contract is a legally binding agreement between a contractor and the client (or employer), where a contractor agrees to carry out construction work in exchange for payment.
Taking things back to basics, ther e are essentially four legal elements that must be present for a contract to be formed:
As a contractor, you face pressure to get started and keep clients happy but protecting your business starts with getting the contract right. A clear, properly formed construction contract ensures you know what you're delivering, how you’ll be paid, and how to deal with changes or disputes. Taking the time to lock in the details before starting work can save you time, money, and stress later.
Our specialist construction legal disputes and dispute avoidance legal team are well placed to provide advice in relation to construction contracts. For more information please contact Lee Ward or Chloe Wood.