Legally Binding Contracts

Author: Garry Crystal

Although it is usually the wisest option, legally binding contracts do not just apply to contracts set out in writing. Under the eyes of the law verbal contracts are just as legally binding as written contracts. A contract is basically an agreement between two parties, for example, one party supplies a service and the other pays for it. Regardless of whether this contract is set down in writing or verbally it is still a binding contract under law.

Formation of a Contract

There are two basic rules to the formation of a legal contract; offer and acceptance. One party makes an offer or agreement to provide a service and the other party accepts the offer. By setting out the terms and conditions of offer and acceptance a legally binding contract has been made. If the contract is broken, or breached, then the law can used to enforce the contract.

Consideration and Intention

Consideration and intention are two other factors that make up a legally binding contract. Consideration is usually the exchange of something, such as wages for work with an employment contract. Intention is where both parties make a contract with the intention of that contract to be legally binding. These terms are used more in common law and may not hold any weight if a dispute reaches the law courts. If a dispute does reach the law courts then a judge will be looking closely at the terms and conditions of the contract in practice.

Contract Red Flag Checker

Describe a contract you are about to sign and get a plain English summary of the clauses that could hurt you. Takes about 2 minutes.

Try our Contract Red Flag Checker free, here on this site →

Legally Binding Contracts

Many people are unaware of the various ways that legally binding contracts can be set down. By far the best way of making a contract is for both parties to sit down and draft up a contract in writing with all the terms and conditions laid out. In today’s world there are many different forms of communication options, and emails, faxes, and telephone call agreements for exchange of services are all considered legally binding contracts. As long as an offer and acceptance is made or implied then any breach of contract can be legally disputed.

Unfair Terms of Contract

Although the contracts described above are legally binding, it does not mean that there is absolutely no way out of a legally binding contract. The terms and conditions set out in a contract are of paramount importance when disputes reach the legal courts. Where consumers are concerned, unfair contract terms and a lack of good faith on behalf of the trader may mean that the contract is not legally binding.

The basic rule as to what constitutes an unfair contract term is that there is a significant imbalance in the terms towards one of the parties’ rights and obligations. This imbalance will usually be detrimental to the consumer, and the trader will usually have shown a lack of good faith and will not have acted openly or fairly towards the consumer.

Your situation may be slightly different. ask a question below ↓ and our editorial team will reply with our advice.

Types of Legally Binding Contracts

Many of us are unaware that we enter into legally binding contracts every day. The simple act of purchasing food from a shop is a legally binding contract between shop owner and consumer. Having dental work undertaken is a legally binding contract, a simple agreement to have someone cut the grass in your garden for some form of payment is a legally binding contract. Disputes usually occur when one person decides not to honour one or more of the terms of the agreement. There are certain contracts that under the law do need to be set out in writing; these will include contracts such as the sale of property, shares, and intellectual property rights.

Certainty of a Contract

If a contract issue does reach the law courts then there must be a certainty of contract. This means that for the contract to be legally binding it cannot be vague or ambiguous. The terms and conditions must have been clearly set out in fact and not just in principle. A judge may look at unclear terms and then try and clarify them but this will be dependant on the individual case appearing before the court.

Legally binding contracts are used by people every day. There are laws set out regarding legally binding contracts in order to protect both parties involved in the contract. Legal disputes can be long and costly, and breaching a contract is a serious matter that should never be taken lightly.

One interesting question is 'does a text message create a legally binding contract?'. Richard Brittle of Brittle Motors based in Stoke-on-Trent believes that it does. Over the coming weeks our leading in-house barrister will report on her findings which should make for interesting reading.

The Next Step

Now that you have read through the advice above, you might want to put it into practice. Our Contract Red Flag Checker lets you describe a contract you are about to sign and get a plain English summary of the clauses that could hurt you. Takes about 2 minutes. Try it now →

93 questions

Ask Contracts and Agreements a Question

Zero63 21/10/2020 at 12:44 pm

We purchased a property in 2019, our neighbour purchased their property in 2017.
2 months after moving in we were embroiled in a boundary dispute even though our plans and that of our neighbour match.
They suggest that a row of 4 bricks laid in the grass is the boundary and that they have been in place since around 1999, we have since found that the bricks were laid there innocently by the original owner to edge the grass and did not in anyway denote the boundary.
I have had a CPR35 report carried out by an expert witness and a land surveyor report which also confirms that the boundary is correct as per the conveyancing plan, our neighbour will still not back down.
Am I right in thinking that as we are both relatively new owners of these properties, that on exchange we agreed to the title deeds and plans as issued on during exchange, the bricks are a mere distraction and mean nothing?
I would add that the area is open plan, crosses a shared accessway which is further protected by covenants within the deeds of both properties.

abdul 26/08/2020 at 5:57 pm

I purchased a house in 1992 and made sales agreement and took mortgage for the house. It was bought from distant relative who were living before in this property. Later he became my tenant and went into tenancy agreement. I used to pay him monthly basis for some amount to repair my house, This amount used to be from housing benefit paid to my tenant. After paying my mortagage, the rest of amount left I used to give half of that amount to my tenant to maintain the house. One time I wrote a letter to him saying y are taking care of my house and y are my equal partner in this property before and after sale without any agreement. Just informal. Does it make a legal binding to me?

Art 28/01/2020 at 4:40 pm

I took admission for one of the beauty course in private beauty salon in London and paid half fees at the beaning and after a month remaining fees. When i started the person in charge who was salon owner was not teaching anything at all every time she will say just practice and do the submission. when it was time to give exam she transfers all students to some other lady's salon so we went there, they both had some finical problems and we did not know what to do.so after not giving exam we are asking for refund but she refused.We tried so many times to reach her she sold her salon and block all of us, we have no contact and do not know what to do it is already been year now. And we all paid huge amount to her. please help.

Thank you

Lulu 12/11/2019 at 8:27 pm

We have a person who wishes to renovate an old property that we own, but is not mortgageable yet. They can afford to carry out the renovation and then when it's up to mortgageable standard they wish to purchase it. Both parties are happy with this set-up, finances agreed, timing of project all conditions agreed.
Can we set out an agreement ourselves, all sign it and it would be legally binding if anything happened to either party during the renovation period.
We want the agreement really so both parties feel protected in the transaction.

Flower 12/06/2019 at 9:23 pm

My buissnes partner made me sighn a 50 50 joint ownership when I was majority shareholder how do I stand?

M 01/10/2018 at 7:38 pm

Hi. My ex partner took out finance on a car, at the time I agreed by text that I will help pay for this. Now we aren't together am I still liable to pay for this? To add she's denying me access to my son if I don't pay which I have in writing via text.

KB 18/09/2018 at 7:32 pm

My employee verbally acknowledge a service over the phone from an advertising agency, knowing nothing about it they are now saying I have to pay for the service and the charges for not paying on time. This employee has no access to business money and does not pay the bills, the agency called the pubs landline. Do I have to pay this?

Coops 23/08/2018 at 5:33 pm

I have a predicament with a past customer which I performed a job on there leather 3 piece suite, a colour change! The job was compromised when the gentleman sat on his chair earlier than advised and it peeled. They refused me to correct the issue and insisted if I gave them a full refund there would be no further action. This was printed out and both parties signed, they have now brought a new suite and want half the value or threatening small claims court? Any help be great... Thanks

tiger 15/08/2018 at 9:51 am

hi me and my partner are going through the process of dividing our house.she has told me by text message she would accept 50k ..would this be a law abiding ??

ContractsAndAgreements Editor 07/08/2018 at 12:56 pm

As long as your partner can prove the money was a loan and the car was not a gift, he should have a case.

Barbara 06/08/2018 at 9:22 pm

So my partner had went and got his ex partner a car out in his name for her (well call her shiela) because she had bad credit they broke up and sheila was to pay so they set up a joint account sheila lodged money into that and the company withdrew it from that, sheila started missing payments and then stopped paying shiela was then caught drink driving, band and then driving whilst band etc the car was took from her , my partner had been sent a letter about the payments as off course the car still needed paying for, the company sold the car and there was an outstanding payment of a round £3000 still to be paid which was agreed to be paid by Sheila , she now refuses to pay anything. There is txts to prove the car was for her, that she was insured on it, she had been lodging payments into the joint account so it could be paid etc b ur she's saying there's no proof and that she won't hav to pay, if he takes her to court has he enough evidence indicating that the car was in fact for her and that sheila is infact due to pay for it?

ContractsAndAgreements Editor 23/07/2018 at 11:10 am

If the settlement money has changed hands and you wish to go back on your promise you can change your mind and/or ask your ex to reconsider. However, his option would be to apply to court if you refuse to sign the transfer of sale documentation. If it goes to court, please be aware that court and court representation will cost.

Sarah 21/07/2018 at 10:15 pm

My ex boyfriend and I own a house together, it is his intention to say in the house and buy my share. we agreed through text message late at night about figures. Which were then transferred. I feel I settled foolishly and would like to sell the house. Is the interaction and money transfer enough of a contact that I can’t change my mind?

Robb Editor 14/06/2018 at 10:37 am

@EO - you are trying to claim on a fragile technicality, I don't think you have much in the way of rights in this instance. They'll just say the cut-off point was midnight.

ContractsAndAgreements Editor 18/05/2018 at 2:21 pm

It is not legally binding, your father is entitled to change his mind.

Tori 17/05/2018 at 3:20 pm

Hi. I am 17. My parents are divorced and I have little contact with my father. He was asked by my mother in text message if he would contribute half of cost if my driving lessons. He declined but replied he would give me £240 towards cost which would be my birthday and christmas money. He now refuses to give me anything. Is it legally binding as it was all in text.

ContractsAndAgreements Editor 10/04/2018 at 12:35 pm

I am sorry to hear this. Unfortunately, there is little you can do with regards to this matter unless the lease was signed and exchanged. These are UK laws. However, if you live elsewhere in the world the laws may be different. In which case, as we are a UK-based site you may wish to seek further advice.

Gazza 09/04/2018 at 10:43 pm

After a longer-than-normal negotiation to let a house that was concurrently listed for rent and for sale, the owner of the property we were pursuing sent us a text message: "Hi, could not get hold of Hamptons towards end of day, but we are in agreement to move forwards i believe, have instructed house to come off market asap. Many thanks." The following day the letting agent followed up with paperwork and a request for a holding deposit, which we paid immediately. Based upon that chain of events, we started buying basic furnishings that were scheduled to be delivered starting one day after the agreed upon date to begin our tenancy. Two days prior to the start of the rental term, we were sent the lease to be executed electronically. But before all parties had signed signed it, the agent informed us that the owner had actually not withdrawn the property from the market as promised and had since agreed to sell it to another party. Do we have any redress to either (a) enforce the owner's promise to let to us or (b) receive compensatory damages beyond the return of our holding deposit?

Narelle 03/02/2018 at 10:38 pm

Hi, I booked a holiday through a well known site and paid a deposit, at the same time my friend booked the cottage next door. I then got a promotion at work which doesn’t entitle me to any holidays in the month I had booked the holiday. I have spent days now emailing the company that are trying to charge me a bigger deposit for a holiday that is 9 months away! I haven’t signed anything but because my friend isn’t cancelling they are saying they are now liable for the deposit! Please help, do I have to pay the larger amount? They keep saying it says it on the website but we didn’t use the website we rang an this was never explained to us (they also said they lost the recording of that call) thanks

ContractsAndAgreements Editor 12/12/2017 at 12:25 pm

Unless an agreement has been awarded through a court, then it is not legally binding and either party can renege on such an agreement. However, you can use it as evidence in court of how your ex is obstructing access.

Bryan 11/12/2017 at 8:59 pm

It said i can see my kids on these days and weekends and nothing else

Bryan 11/12/2017 at 8:57 pm

3 years ago i caught a felony assualt and misdemeoder assult . family violence... They were bogus charges from the ex and we got back together and she filed affidavit of non prosecution and they are now dropped... My question is we broke up 2 months ago and she wrote up a agreement on the days i can get my kids and we both signed it...so now last weel she tell me i cant see them till court... So is the agreement binding till then?

Nik 16/11/2017 at 12:27 am

My husband made an agreement that she would pay her money each month on what was owed him from his mom’s death. She agreed on an email that the balance would be paid off in Sept 2016. This was not stated on the promissory note so she says that she can just continue to pay each month. Is this right?

Bec 05/11/2017 at 12:02 am

I have worked as a cleaner for 6 yrs on a wkend 6hrs total and i work the bar every weds eve 4.5hrs (same place) i dnt hav a written contact only a verbal. Can they just get rid of me for no reason? I need help and advice of what to do as i hav heard on grapevine this is going to happen.

ContractsAndAgreements Editor 07/09/2017 at 11:46 am

No, this is not legally binding as his solicitor is correct. Your ex may have agreed to pay you a lump sum in principle, but this does not stop you from applying for child maintenance in the future. You may feel positive towards the agreement now, but say for instance your circumstances change and you lose your job, or you become less well off for some reason. Or the cost of living goes up and a decade down the line you feel you have been short-changed, it means you would be able to claim from CMS and this would override any previous solicitor's agreement made. So, your ex just actually being sensible here and adhering to the advice of his solicitor. A solicitor's agreement would not stand up in court, so despite your promises, circumstances can and do change and your ex is obviously erring on the side of caution that he could end up paying twice. I'm afraid, no solicitor would ever encourage him to pay a lump sum now in order to offset future child maintenance. It sounds as though this seemed like a good idea drawn up in principle and without too much forethought, but a practical one that should be avoided.

annoyed 06/09/2017 at 6:35 pm

My ex-partner recently contacted me by email offering a lump sum in full and final settlement of maintenance for our son. I accepted this and requested he pay within 7 days. He told me that he would have the necessary documents drawn up by his solicitor and they would pay the lump sum on receipt of the papers signed by me. I agreed. He is now saying he can't pay it because his solicitor has told him that he can only pay a lump sum once a year and a signed document by me would not stand up in court and I could request further money in a year's time. I told him that I would sign a document stating that I would not ask for more money but he is now refusing to pay the lump sum. Is the offer by him and acceptance by me via email legal binding?

Stewart 05/09/2017 at 11:34 am

I received a letter containing details of a pension payout with the following wording “I’ve arranged for your Pension Commencement Lump Sum (PCLS) of £15,463.14 to be credited to your bank account. The payment should reach your account within 5 working days. Your first pension payment will be paid to your bank account on 7 September 2017 and will include the arrears due from your retirement date.” My retirement date was September 2013. The pension company are now claiming that they used September 2017 as my retirement date and that the PCLS was calculated up to that date and that no arrears are due. I would contest that apart from them making an offer and me accepting it they have used the same lump sum in both calculations which cannot be correct. Can you please advise?

ContractsAndAgreements Editor 07/08/2017 at 2:02 pm

It's difficult to know as much depends upon what they are stating the 'error' is. Insurance firms will refuse to pay out of there has been a mistake on the form, or if circumstances haven't been updated, or the person claiming has mislead the insurance company. They will always try to find a way not to pay if and where they possibly can. Therefore, you may wish to seek independent advice.

Fred 05/08/2017 at 1:12 pm

I have signed a letter of acceptance from an insurance company for the payout after a fire, they now tell me they made an error and wont pay out, is the legal? What do I do? Thankyou

ContractsAndAgreements Editor 10/07/2017 at 3:31 pm

Much depends upon the reasons why he has gone back on his word and whether those reasons are seen to be justifiable.

Tasha 07/07/2017 at 5:26 pm

I have emails to both myself and a mortgage company staying my ed husband does not want to fight over the house or want anything from the house. He has now gone back on this 2 years later and is trying to get 50% will the emails hold up in court?

NN Editor 13/08/2018 at 10:12 am

@J - Someone has to be accountable for the agreement and that would be you or your employer.

J 01/03/2017 at 1:38 pm

I broke up with an ex 10 years ago but he owed me money. He's recently been in touch and he agreed over facebook messages that he would repay this debt. Now he's saying he won't and that I gave the money to him. Can I pursue this debt? Is it worthwhile in terms of court and legal fees as he owes £2,000

HughS Editor 08/12/2016 at 12:16 pm

@Ceebee I would send him another letter telling him he is not to plaster and if he does he will not be paid for the job and also you will take him to court for damages if he goes ahead.

Ceebee 08/12/2016 at 2:02 am

November 20 the tenant renting my hse decides he can plaster a dining room he is renovating.
He is not a trained plaster and has limited experience. I texted him I would pay him $1200.
To plaster. It is now December 7 and he will soon beready to plaster. I texted him today and told him I would rather bring in a professional plaster . Based on his limited experience and it is a LG room. He responded with he is going to plaster. I asked him not to proceed and responded he is still going to plaster. So if he plasters am I on the hook for 1200 even though I told him not to proceed.

bozer55 09/11/2016 at 7:38 pm

After being in building business for 28 yrs. i would says not a chance in hell, mark it down as a learning experince, and yuor taxes. Don't waste good time when you could be using that time to create some else better.

satnav padrone 19/10/2016 at 4:26 pm

In February a land developer approached me regarding developing spare land in my back garden. I was interested providing I did not incur any expense upfront. I stated this in writing and the developer agreed in writing to this request. We then agreed basic terms end April to prepare an option agreement - to allow him to submit a planning application and exercise the option if approval was obtained. When the heads of terms were formally issued though it stated my legal fees would not be paid for the option agreement until after it had been signed. I queried the developer on this (in writing) saying it exposed me to costs. The develop assured me – unfortunately by phone – that it was written like this because I might unilaterally walk away before the agreement was signed (in which case they would not want to pay for my fees). I asked about the converse ie the developer unilaterally walking away. They assured me this wasn’t going to happen since they wanted the agreement to progress the planning without full commitment to land purchase. Since the agreement was already half-way finished I accepted that verbal feedback. From June until September though the developer slowed down the completion of the option agreement –for reasons known only to the developer. At the end of September with the agreement in final draft form (ie all the legal expenses having occurred - £1800) the developer unilaterally walked away, and has since refused to pay my legal fees. Do you think there is any possibility of winning a claim against the developer due to prior commitments and intentions made - both written and verbal?

Bamboo 06/09/2016 at 8:47 pm

The individual agreed to invest £250,000 in my company if he is granted Tier 1 Entrepreneur visa based on the investment in the company and business. Based on that, a business plan and agreement was prepared and the investor submitted it and was granted an entrepreneur visa based on it. After he was granted entrepreneur visa he did not invest any money coming up with various excuses although he has full funds readily available in their bank account. After about 8 months the investor applied for ILR and was granted IRL and then frankly told me "I have no intention of investing in the business".

Can I enforce the agreement for the £250,000 investment to be made?

The investor is a resident in the UK.

rachel 16/06/2016 at 10:05 am

I have recently lost £6000 via unauthorised transactions from my bank account. I followed all the correct procedures, reporting to police etc etc. The money was for a deposit on a house that I was in the process of purchasing. The fraud department informed me they would investigate which could take up to 5 days and then my money would be refunded. I felt this was unfair as I was the victim and I had concerns as I an agreement had been made to pay the deposit and complete the purchase on the property etc. As I was unhappy with the information I was given by the fraud team I decided to go into my local branch and ask for the manager. I discussed my situation in depth and the manager spoke to various departments looked into my account, confirmed it was clearly fraud and that the money would definatly be refunded into my account. The Branch manager provided me with this information in writing stating £6000 would be refunded within 5 days, apologising for my inconvenience and offering sympathy to me. The letter clearly details that this is a clear case of fraud etc etc. After the 5 days no money was refunded and I contacted the fraud team who advised me they were not refunding the money, no clear explanation provided. I explained I had the information relating to the refund in writing from the Branch Manager. I was told the branch manager did not have the authority to give me this information and that the letter meant nothing. Is there any legal rights if a bank agrees to refund in writing, can they then refuse to adhere the agreement they made in writing

Kev 03/06/2016 at 8:43 pm

Hi
I am a limited company. Just employing myself. I was working offshore through an agency. The agency sent me an agreement which mentioned a covenants agreement in one of the sections. They asked me to sign and return to them asap. Without explaining the contract to me. I asked them exactly what it meant. When they explained what it was I decided not to sign it and ignored it. I thought at the time it was very underhanded of them in the way they sent it.
Now I have decided to work through a different agency and sent an email explaining this.
They replied by saying that I was bound by the covenants section in the contract and that I couldn't work for anyone else for 3 months.
This is ridiculous.

ContractsAndAgreements Editor 02/06/2016 at 12:14 pm

Your solicitors office will have an in-house complaint procedure. You should in the first instance attempt to resolve your issue this way.

nat 01/06/2016 at 6:29 pm

A firm of solicitors wont do the work as advised.
Contract was signed by both myself and the firm.
They say that the consultant that signed the contract with me was not qualified, or legally an expert.
can you please give me some feed back on my rights.

ContractsAndAgreements Editor 01/06/2016 at 10:24 am

Solicitors prices vary, therefore you would have to contact a solicitor directly. However, please be aware that any loan agreement fundamentally isn't worth the paper it's written on, whether it is through a solicitor or on an online template. If you default on the payment, the only option for your lender is to take you to court. All the piece of paper will prove is that the money has been lent and you have agreed to pay it back over a specific length of time. Any piece of paper can prove that, if it is signed by you.

Tezza 31/05/2016 at 12:33 pm

Hi, my friend is offering to loan me £3000 but is wanting a legal binding contract from a solicitor first.. have you any idea how much a solicitor would charge for 1 of these doing??

JTM 23/04/2016 at 1:54 pm

Hello. I worked for a guesthouse for just over 4 years. During my time with them they had us sign a confidentitality agreement that we would not discuss the company, fananicials, staff, etc in a negative way. Well, I was terminated from this company in January. I was offered a six weeks severance if I announced to everyone that I resigned (as opposed to having been terminated). I was reminded that I had signed this confidentialty agreement. Mind you, I signed this agreement 2 years ago and never recieved a copy of the agreement. Is it still binding? The company is threatening legal action against me as they are accusing me of speaking negatively about the company and the staff. I did tell the truth to some people (that I was back stabbed and terminated), but I never posted anything online. Does this company have a case against me?

Normal 26/02/2016 at 2:04 pm

Following our marraige breakdown, my future ex-wife offered me via a solicitors letter a settlement of £8000, I replied in writing to the same solicitor accepting the offer of £8000 (I still have copies of both letters). When the payment was paid into my bank account, she only paid £7000. She wrote on a piece of notepaper that I will receive the £7000 as final payment, I did sign this as I was in need of the payout so I could attend and contribute to my Daughters wedding. The only signatures on the note was my own and that of her new boyfriend, no other person was present or even saw the note. All I wish to know is, do i have any claim to the remaining £1000 balance, or was this note legally binding ?

ContractsAndAgreements Editor 24/02/2016 at 2:38 pm

Mediation may be the best way forward in this case, which is where two or more parties meet to resolve problems before the matter reaches court. It is most often used in family proceedings, contact orders, residence agreements and divorce. It is a formal negotiation and courts can accept the agreement of the mediation instead of having to go through the court process, although it is subject to final court approval. It takes place in front of a neutral third party who will assist the two parties to reach an agreement they are happy with. If, as you say, you are both in agreement, then this will make the process much simpler. The mediator will also be able to point out issues you may have both overlooked which can be helpful in situations such as yours.

ShireyV 23/02/2016 at 6:41 pm

Hi I need a contract drawn up between me and my ex for out of court settlement re our financials.
I want it simple but thorough is this ok and does it need to be witnessed if so by how many signatures?
Thank s .. We both agree to the values and terms

Brian 25/01/2016 at 1:58 pm

Hi there,

My recent ex signed a contract saying she would pay me back for loans that i recently took out for her to pay her staff. This has happened 3 times and she has agreed to pay the amount of R10,000.00 per month until the loans are paid off (The current loan\s amount is R175,000.00 including interest as per her contract). She is receiving a lump sum of money in about 2 weeks hence me helping out with the loans.

She owns 4 businesses and the agreed payment on the contract and on one of her letterheads was for the 25th of each month. She is now telling me she is not paying even though i do know her companies now make sufficient money to pay my loans

Please could you assist and tell me how i go about recovering my money as i cannot afford these loans and only took them out as she agreed to pay them back in full hence doing the contract.

Kindest Regards

BB 25/01/2016 at 9:21 am

If I ask someone via e-mail how much they would charge for a service, then they send me their terms and conditions via email (just an unsigned word document attached to the email) and I accept their offer and pay for the service, are they legally bound by the terms and conditions they sent me according to English law?

ContractsAndAgreements Editor 20/01/2016 at 11:05 am

Please see the ADR Motorcodes site, link here which tells you: 'Once a deposit has been paid the parties are contractually bound to go though with the contract. The terms and conditions of the contract i.e. the price cannot be altered without the agreement of both parties. E.g. A dealer cannot attempt to increase the price of a vehicle once the deposit has been paid. A dealer cannot pass on this increase, as this would alter the terms of the contract. If the dealer relies on a statement in their terms and conditions that they reserve the right to pass on price increases this can be challenged as an unfair contract term under the Unfair Contract Terms Act 1973 and the Unfair Terms in Consumer Contract Regulations 1999.'

potter 19/01/2016 at 11:06 am

I signed a contract yesterday to purchase a pre registered car from Arnold Clark. The salesman signed it too on behalf of the company. They are now saying the car price we were given(and is detailed on the contract) was wrong and if we wish to go ahead with the purchase they want £2000 more! Is this contract binding on their side. They have offered to return our deposit if we decide not to go ahead.

ALEX 06/01/2016 at 4:55 pm

Hi, I took a phone contract out with EE last year and they told me it would be £40 a month. However every month it's in the region of £70 because of the added VAT. I am desperate to get out of it because I have lost my job and I have no income. Today I hunted out my phone contract and I haven't actually signed my signature on any of the contract documents. Is this contract still not void? Or am I able to get out of it?

nunchuk 06/01/2016 at 2:45 pm

hi, I wanted to terminate a contract what is the maximum notice period allowed in UK.? The reason I asked was because I was not given a copy of my contract and therefore I have no reference for future purposes. This contract was signed on behalf of my kids for them to attend and train in kung fu classes but they got bored in the process leaving me no choice but to cancel the direct debit. The tutor, upon presenting me the contract, says that I have to make a notice of 90 days before the contract can be terminated but I am refusing to pay on the grounds that for me to pay I have to have something in return in this case the training classes for my kids but unfortunately my kids got bored and refused to attend furthermore. Am I in the right lawfully? do I have to pay? am I breaching the contract which I have no copy? thanks!

Ryan 30/12/2015 at 7:49 pm

Hi I have Registered on an app called Shpock I have agreed for an item but I didn't know it was binding at the time and know iv changed my mind but can not cancel? Isit a serious matter?

Nathan13 18/12/2015 at 11:42 am

Hi I wondered if anyone can help me my son cancelled his wedding venue in July this year which was 14 months before the actual day and had a conformation email accepting this cancellation his now ex partner unbeknown to him rebooked the venue and the company are now chasing my son for his half of the venue cost as his now ex partner has been receiving emails from the company for the last six weeks and not responding to the regarding payment for the venue They are now threatening court action if he doesn't pay by the 2nd Jan 2016
Is he liable for this even though he has the cancellation email
Many thanks

Andre 13/12/2015 at 12:37 am

Hey there. I have made on Shpock app an agreement for buying a phone. There was said that its a legally binding and I accepted. After that I didn't wanted anymore to buy that product because of personal reasons. The seller said that he will take a lawyer. It's that anything legal he can do against me ?

ContractsAndAgreements Editor 07/12/2015 at 2:06 pm

You may have to apply for a variation of the court order - you will need to seek legal advice.

Cs 05/12/2015 at 10:41 pm

Hi there,

I'm in a process of divorsong my husband...I do owe him 22k but the won't the first 10k now and the rest later.But just because I can't afford to give him the rest we verbally agreed that instead of paying me child maintenance £250 a month I will be supporting my son?

Can you tell me what document to sign that I did have him 10k...because this will be way before the concent order is done? And is that a way of putting down the agreement for the rest of the money?
Thank you
C

ks 28/11/2015 at 2:27 pm

hello i need help to know that i had taken a gym membership with a special offer but my account was debited for the full membership . the reason they give was that they processed the form the next date when the offer was over . so i am looking for a way to get refund and continue using the gym

Frustrated 17/11/2015 at 4:39 pm

I am employed by an agency as an LGV Driver. They received a PCN (on my behalf) for parking in a restricted area in a vehicle I was driving/responsible for. I had previously signed an agreement with the agency to pay any incurred parking fines etc. My plight is the following. I felt I had a strong case for appeal on the grounds of poor/non-exsistent signage and the agency accepted that I could appeal the PCN with relevant council authority and subsequent independent tribunal should the first appeal fail. However, after the first appeal was rejected the agency paid the PCN/fine thus removing my ability to progress the appeal to an independent tribunal, in paying the fine it is an admittance of liability so no further action on the appeal. The agency have now deducted the PCN/fine from my wages. Do I have any recourse from them not sticking to the initial agreement?

ContractsAndAgreements Editor 10/11/2015 at 10:14 am

You would have to look at the terms and conditions for refunds when you first signed up and paid for the course. You don't say what reasons the course provider gave when denying your request, so it makes it a bit difficult to advise you further on this.

Kir 09/11/2015 at 7:02 am

Please give your advice. I booked and payed for short training course from one of the training providers in England. By the time when course should start i didn't attend it because of the visa refusal (I am a foreigner). I informed training provider about this fact well before the start day of the course and asked for two options: 1) to reschedule my training course for a latter date, or 2) refund money in case the first scenario is not succeeded. The course provider denied my request. Can i refund my money for unattended course? Which legal source (Act, precedent) shall be applied in my case?Thank you.

LuLuJay 02/11/2015 at 10:40 pm

I have received an email mail with an offer to purchase my caravan. I verbally accepted this offer only to receive a lower verbal offer 2 days later. Can the company do this or am I still entitled to the original higher offer.

Sam Editor 30/10/2015 at 10:14 am

@Terry - if you have signed the contract, then yes the company can hold you to it. If they have not done the work they have set out to do, then you may be able to question the contract over their own breach.

Terry 29/10/2015 at 1:50 am

I got into a contract by overlooking the length. I thought it said I could quit at anytime because it reads "month to month." I over looked the 6 month obligation part. It's been less than 30 days and I notified them by telephone that I would like to quit. They are wanting to hold me for another 5 months. Can they enforce it and how would they? This is for online marketing services of which very little has been done.

T 02/10/2015 at 1:02 pm

I borrowed 7k from a family member and said I would give the person 2.5k for a short term loan but with solicitors costs that have been a lot
I can only pay the 7k back to the person

Nothing is in writing but they want the 2.5 I said

Advise needed please

Nikki 18/09/2015 at 8:09 pm

I advertised a car, someone viewed then offered a low offer by email. We then agreed a higher price on the condition I put 2 new tyres on which I did. The buyer has now emailed me again and offered me the original much lower offer, I am obviously declining the lower offer. Everything is on email, offer and agreement. My question is do I have any rights as the seller?

Angie Editor 16/09/2015 at 11:42 am

@stevej - I really feel for you here, how annoying and frustrating for you. I'd write to the theatre group specifying the previous arrangement and the preparation you have had to make listing costs etc, stating that if they don't adhere to the arrangements, you will have to take legal action. You could take this through the small claims courts. While you can apply for a re-imbursement of the costs and possibly the prep, you wont be able to claim for time lost, or stress compensation etc.

stevej 15/09/2015 at 11:51 am

Back in June 2015 I negotiated the hire of a local theatre for a concert in January 2016. I accepted the hire fee of £360 from the assistant manager and wrote him an e-mail asking for confirmation of the agreed date and fee. He replied by return to say that's all fine. Three months later, the new manager of the venue has contacted me to say the date is not suitable because it clashes with another booking. I suspect they have been offered a more lucrative arrangement i.e. a high-profile celebrity for that evening and are trying to wriggle out of their commitment to me. The point is that I have made arrangements for my event, involving printing of posters and flyers and arrangements with an agent/manager. Is my e-mail from the venue a valid contract? Do I have to accept the cancellation of my booking, which has already cost me some effort and money in working towards? Thanks in advance.

AJ Editor 13/08/2015 at 10:18 am

if it has been distributed to you and you have a copy, then it would be legally binding. Not all contracts have to be signed.

HLM88 10/08/2015 at 8:12 pm

Hello,
I was wondering if I could get an answer on a quick question regarding employment laws please?
A contract has been written up by an employer for a full time position, yet it has not been signed by the employer and myself. If it is not signed, is it still legally binding and would it stand up in the eyes of the law?
Ty, H

LT 23/07/2015 at 9:20 pm

Hello, Can you advise please?
I recently emailed a famous large event regarding having a position there as I am a new business, after the event organisers read the email they emailed me to say they'd like to have my brand at the event, I emailed them back and was positive about attending.
The person from the organisers emailed and said, could I immediately 'sign the attached form to secure my place' this was written and implied as if to say, sign this and at least we can reserve a place and then we can discuss detail afterwards .... It was all very quick and I am a new business so I was at that time keen to 'fill my diary'.
I did print off the booking form as asked, signed it and sent it back by return.

However after serious consideration of the implications and the cost of this event (Just under £3,000) I feel it is far too expensive and at this stage of my business I can't afford this event as they want the money up front.
I have not given an address or anything and have not received an invoice but when I emailed them politely to explain my position they have acknowledged that I can't now attend bit they are insisting I pay the full price to them as when I signed the booking form it stated in the T&C's that cancelling the event 6mths prior to the date of the event will mean paying the full amount still.

I have emailed them in a pleasant manner to ask them to understand my position and to also state that the way this was done has felt very 'rushed' and the original email did not say it was a signed contract?

Is there anything I can do here?

Regards
Lesley

lucky 09/07/2015 at 7:25 am

Question about a verbal agreement concerning property(house). I and husband Assumed mortgage of house for 7 years and then gave back to said person with understanding that upon sale of house we would get one third of value. Said person is now divorcing so house must be sold. Where do we stand in this verbal agreement that we are entitle to one third of house.
Thank-you

Laura 30/06/2015 at 3:10 pm

I need a few examples of legally-binding contract terms. Are there general ones that anyone could let me know of?

Foxy 25/06/2015 at 10:59 am

hi,I am enquiring with regards to my son, he is at college. Just finished his course has been offered a place with conditions attached,we have accepted this offer as the conditions have been met ,ie. He completed the course,attendance satisfactoryHe has just had an interview for the next level which is the offer he accepted and has now been told he is not going through to the next level even though he has met the conditions. Has a contract been broken between him/college? If so, what can I do about it?

egyshecy 03/06/2015 at 7:42 pm

Hi,

Our previous head teacher apparently had a verbal agreement to use a cleaning contractor for the school. No details of this can be found to back it up. The school has since changed office staff and head and want to get new quotes for other contractors as well to compare. It seems that the company we are currently using are have an automatic rolling contract now that binds us for another two years without any prior notification that the contract period was due to end. Is there anything we can do about this? Thanks

hugo 27/05/2015 at 8:32 pm

Does an agreement written during email correspondence constitute a contract? I emailed a company I saying that I would be charging x amount for a service I would be performing for them. They emailed back saying simply 'That is fine'. Does this email exchange constitute a legally binding contract for payment of services at the rate stated in the email? Are the company legally obliged to pay the amount we agreed in the email? They seem to be claiming no contract exists

Rach 15/05/2015 at 11:31 am

When a written contract for an amount paid to one party (for an annual payment) is made can it include a non harassment clause and is it legally binding if the payee is harassed for funds within that year?
What action would be taken if the payee receives harassment?
Thanks

ContractsAndAgreements Editor 18/05/2015 at 2:19 pm

@spdermnky - you would have to give a little more detail than this, in order for me to be able to answer your question fully, such as who the person was, what the reasons were. However, it is unlikely that by just giving these two details, any contract could be drawn up on the back of it.

spdermnky 15/05/2015 at 12:53 am

I just gave a person my email, first and last name along with birthday date. I didn't sign anything is this a binding contract?

ContractsAndAgreements Editor 06/05/2015 at 2:40 pm

@eyes blue - I'm sorry to hear this. If you feel that your solicitor has dealt with you unfairly then you need to complain either directly to your solicitor, or the details of your solicitors' designated complaints handler can be obtained from the Solicitors Regulation Authority Contact Centre on 0370 606 2555 or email: contactcentre@sra.org.uk. If you complain and do not get the result you think you deserve then you will need to contact the Legal Ombudsman.

eyesblue 05/05/2015 at 1:37 pm

I have been in a long legal batter over a right of way. we frist had a Barrister which cost over 33,ooo.oop, and near to the end told us to employ a soilotor as their were things he did not do. I had an intermit payment for19,500,00p. I contacted a film of soilotors and made it perfectly that that was all i had as i am now disable after a RTC. When i had a meeting with the soilotor i again kept saying that was all i had and would he be able to help me with that mouth. it must be said that the barrister only needed them to put the case together, for a three day court hearing. I paid them the whole nineteen thousands and five hundred pounds. The court case, there was a soilotor who just sat and wrote away. she could not find vital papers for the case, vival evident, i asked her to try and let me talk with my barrister and she did not know what to do, she left without brifting me. they are now asking for another nine thousands pound which there know i do not have, with not sent the complain papers, hold all my documents which were given to them not what they got. They will not go over the bill and i believe some of my payment have not been included, there's far more. I told them how much i had and no more, why didn't they stop when all the money had gone. It was from the beginning a verbal agreement. They took on the case knowing i had no more money

Jones 24/09/2014 at 5:40 pm

i signed up to a van rental company which stated that i had fully comp insurance. the excess was £750 but i paid £7.99 which reduces the excess to £150. unfortunately i had a minor accident in which i reversed into the back of someone (who was in my blindspot)
the company have quite rightly taken the £150 excess but are now saying that i am liable to pay for any damages to the 3rd parties vehicle as it arrived from reversing.. Taking a closer look a their terms and conditions and it states that:

"you are liable for all costs incurred for loss or damage to the vehicle, its accessories, Third Party vehicle(s) and property when :
The vehicle was being reversed unattended (i.e.a qualified banksman) and or reversed carelessly"

there was no careless element to the driving. no police or collision investigators were called..

Given that in the UK the minimum insurance you need to drive on the roads is 3rd party.. are these terms and conditions lawful? if the answer is yes, why have they taken the excess?

doddy 21/09/2014 at 10:49 pm

I have been verbally offered a job in the NHS - is this legally binding or do I need it in writing?

Dre 17/09/2014 at 8:38 pm

Hi my problem is, I was called in bye a construction company and ask if I could set up a burger van on site as they had builders working and no kitchen facility available so I went out of my way to purchase a very expensive mobile food trailer and set up on site the same night. I have been providing a service for about 3 months now and all of a sudden they are asking me to leave because they have set up cabins in which a kitchen will be set up. I was under the impression that the kitchen was going to be awarded to me and so I have purchased a lot of expensive equipment in order to set that up, they have now awarded the kitchen to some one else. Where do I stand? Do I have the right to stand my ground and keep at least my food trailer on site or can they kick me out?

Calmly 04/08/2014 at 5:46 pm

My son in law was offered a job position verbally and was told to give his notice in and start in Janyary. He is in the RAF. He gave his notice in and is leaving in December. Ready to start the new job in January. He has been working part time for the person doing risk assessments and other things. These where not up to date and he has got everything up to date. Yesterday he received a letter from the new boss stating that there is no position for him now in January and thanking him for all the work he has done. How does he llegally stand about this as in December he will be out if a job.

JOE 06/10/2012 at 12:17 am

I RECENTLEY ENTERED A VERBAL COMMITMENT OVER THE PHONE WITH A LADY SELLING A RV TRAILER FOR 5K IN CALIF, THAT WAS ONSITE AT HEMET LAKE. I CALLED HER RIGHT AFTER I HAD LOOKED AT HER TRAILER, AND ASKED IF SHE HAD RECENTLY RECEIVED ANY INQUIRES: SHE SAID NO. I EXPLAINED TO HER THAT I WAS HEADED HOME FROM THE LAKE & HAD TO SPEAK WITH MY SPOUSE, & THE BANK TO SEE IF I COULD GET A DIRECT DEPOSIT LOAN FOR THE ASKING PRICE OF THE TRAILER. I TOLD THE LADY IT WOULD PROBABLY TAKE A DAY, AND SHE SAID IF IT TOOK TWO THAT WOULD BE FINE. I TOLD HER I WOULD CALL 7 LET HER KNOW THE FOLLOWING DAY 9 /2/12, AND THAT I WAS SERIOUS ABOUT PURCHASING HER TRAILER. SHE ASSURED ME THAT IT WOULD'NT BE A PROBLEM. I INFORMED THAT THE THE MAX DAYS IT WOULD TAKE WOULD BE TWO, & IF I FAILED TO GET THE LOAN: SHE COULD SELL THE TRAILER TO THE NEXT CALLER WHO MADE THE SAME OFFER OF 5K. SHE AGREED TO MY VERBAL TERMS! ON 9/1/12 AT 11:00 AM I CALLED THE LADY TO TELL HER MY OFFER WAS IN THE WORKS WITH THE BANK. BEFORE I COULD GET THE WORDS OUT; SHE INTERRUPTED ME TO INFORM ME THAT SHE HAD SOLD IT ALREADY TO ANOTHER PERSON WHO HAD CALLED HER AFTER OUR AGREEMENT WAS AGREED TO. SHE DID'NT EVEN HAVE THE COURTESY TO CALL ME THE DAY SHE " BROKE OUR DEAL THE AFTERNOON OF 9/1. I NATURALLY WAS LIVID THAT SHE WOULD DO SUCH A THING, 7 THAT OUR DEAL WAS MADE IN A GOOD FAITH VERBAL PHONE CONVERSATION. BOTTOMLINE QUISTION IS DO I HAVE A SMALL CLAIMS COURT CASE THAT IF I COOSE TO PURSUE A SMALL CLAIMS COURT CASE IN CALIFORNIA: DO I HAVE AN ACCEPTABLE CASE TO MOVE FORWARD WITH?

frog 09/09/2012 at 9:08 am

I Have been moved another site about 9 months doing pretty much the same type of work.although the job is ongoing 'they have now decided they want me to go back to the cite I worked at previously worked some time soon 'they are now in the process of training up agency worker to fit in to my position with the intention of employing this chap to work for the company.
..q .have I got any wright to try and stay where I am. As I am happy here .

Luke 28/06/2012 at 12:05 pm

I was unfairly dismissed from work in Scotland, I was offered £1000 so it would not go to court. At first i did not except it, then I called them to accept.

i'm finding it hard to get regular work, I have been on anti-depressants for months and just cant think straight and regret making that phone call. I called the lawyer back to say i made a mistake, he said its legally binding.

is there anything i can do?

rob 15/05/2012 at 8:53 pm

I was phoned by advertising sales company to advertise my name on a webside, as much as I wasn't interested they pestered me over and over until I said I would need to think about it and 'some how agreed to reserve which has now led to purchase, once I realised the costing I rang 15 mins later to ensuree I did not want to purchase this but to find that 'it was 'verbal legal agreement I cant get out of and have to pay for it' or else legal team etc get involved???????help

jan 29/11/2011 at 1:05 pm

After interview, I was telephoned and was given a verbal offer of a post with the NHS in Scotland (whom I already work for). I accepted verbally, there and then, but the post has been given to someone else.Who, if anyone, is in the wrong in this situation?

Joe 26/09/2011 at 11:35 pm

I signed A COT 3 agreement under pressure,under depression, compel with consequences or else. I do not considered this to be a Binding agreement. DO YOU?

Ask Contracts and Agreements a question

Ask our editorial team a question and we will reply with our advice. Tell us as much about your situation as you can: the more detail you give, the more useful our answer can be.

You do not need to use your real name. Please do not include your full address, phone number, email address, or the names of other people. We may edit or remove identifying details for privacy and legal reasons.

Comments are moderated before publication.