Formalities in UK IT Contracts - Signatures Not Always Necessary


In today’s fast-paced world, particularly in the IT field, parties may not always realise when they have entered into a binding contract. The advent of e-mail and Internet-based commercial relationships has only made the problem of the “inadvertent” contract more common.

The problem is highlighted in a recent decision of the UK High Court, which shows that a signature on a piece of paper is not always required for a contract – or a contract variation – to come into existence. Contracts can arise where the parties reach agreement in correspondence and / or start performing the terms of the contract.

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