Oral contracts in the construction industry
Previously, a construction contract had to be in writing (under what was section 107 of the Act). But with effect from 1 October 2011 in England and Wales, section 107 was repealed (by the Local Democracy, Economic Development and Construction Act 2009), meaning oral contracts were brought, for the first time, within the ambit of Part II of the The Construction Act will now apply to oral as well as written construction contracts in England, Wales and Scotland The change will affect the use of letters of intent and contracts based on standard terms and conditions which are supplemented by oral agreements.