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Construction contracts are agreements between two parties, typically involving an exchange of money for services like building a house. The most basic contract can be a verbal agreement, which is legally binding but difficult to prove in case of disputes. Therefore, it’s crucial to get everything in writing to avoid complications. The speaker shares a personal experience from their first six months in business, where the lack of a written contract led to a loss of about three thousand dollars, highlighting the importance of written agreements to prevent financial losses and misunderstandings.
