The English High Court ruled in Jaevee Homes Limited v. Mr Steven Fincham that WhatsApp messages constituted a binding contract between a property developer and a demolition contractor. The case arose from a dispute over the agreement's terms, particularly regarding payment. The Claimant believed the formal subcontract dominated despite being unsigned, while the Defendant argued a contract was created via prior WhatsApp exchanges. The judgment reaffirmed that contracts need not be written or formally accepted but can form through clear mutual agreement and intention in communications, underscoring the relevance of informal discussions in contractual obligations.
In this case, the English High Court emphasized that an exchange of WhatsApp messages created a basic but legally binding contract between the parties, enforcing caution in pre-contract discussions.
The Judge's decision highlighted that legally binding agreements can form even without formal signatures, relying instead on the contextual understanding of the parties' communications.
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