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Construction contracts are agreements between two parties where one party is usually exchanging money for services such as building a house. Verbal agreements are legally binding, but difficult to prove in case of disputes. It is crucial to put everything in writing to avoid costly mistakes. The speaker learned the hard lesson of writing contracts after losing $3,000 in his first six months of business due to not having a written agreement. Stick to the rule of getting everything in writing, no matter what.
