Whether it is borrowing money, doing freelance work, renting a room or even helping someone start a business, too many people rely on verbal agreements.
But when things go wrong, and memory fails, there is only one rule that holds true: If it is not in writing, it did not happen.
According to Legal Advisor Mavi Mkhatjwa, one of the most common issues he deals with is the fallout from undocumented agreements.
“People underestimate the importance of a written agreement,” he explains.
“They think a handshake and a witness is enough until there is a dispute. Then they come to us expecting legal recourse, but if nothing is in writing, it becomes a case of one word against another.”
Ask Nomsa Dlamini, a small business owner from Matsapha and she will tell you firsthand the cost of skipping paperwork.
“A friend asked me to provide tiffany chairs for her wedding. She had promised to pay me the day before the big day, but never did. We did not write anything down because we had known each other for years. When I followed up, she claimed we had agreed it would be a donation, I would be lending her the chairs as a gift” Dlamini shared. “I lost E4 000 that day.” She did not even pursue legal action because there was no contract to enforce. And she is not the only one.
Thami Mabuza, a freelance graphic designer in, recalls working for a corporate client who promised to pay ‘after the work was delivered.’
“I created a full brand package for the client; logo, letterheads, social media designs. When I sent everything, they stopped responding. When I pushed, they said they had found someone cheaper,” he said. “There was no written contract, just emails that did not clearly mention payment terms. I could not prove anything.” Mkhatjwa said even a simple signed note can go a long way.
“It does not need to be complicated. A basic agreement with names, dates, obligations and signatures can protect both parties. Even WhatsApp messages can count, but they need to be clear and unambiguous,” he added.
The names and contact details of both parties
What is being exchanged (goods, services, money)
Deadlines and timelines
Payment terms
Signatures or confirmation of consent
In most situations, some people feel that asking for something in writing shows distrust or undermines relationships. But that mindset needs to shift, said Dr Sifiso Mkhonta, a sociologist and educator.
“Many people fear seeming ‘too formal’ in personal or family dealings. But when things go wrong, even relatives turn against each other. Protecting yourself legally does not mean you do not trust the person; it means you respect the agreement,” he said.
He also pointed to an increase in disputes over umhlaba/tindzawo (land), soft loans and inheritance where the absence of written records leaves people vulnerable.
There are some scenarios where a written agreement should never be skipped:
Borrowing or lending money
Offering a service (e.g., photography, catering, transport)
Buying/selling items of value
Renting property or rooms
Business partnerships or profit-sharing
Employment agreements (even part-time or informal work)
Even within families or close friendships, writing things down can help prevent resentment and misunderstandings later on.
Ayanda Gwebu, an entrepreneur running a small cleaning service in Ezulwini, shared that she now insists on written contracts after a hard lesson early in her business.
“My very first client delayed payment for two months. I had no contract and I was too shy to push. Now, I use a simple service agreement template and I do not start a job without a signature,” she said.
Gwebu also mentioned that she thinks that financial literacy including understanding contracts should be taught in schools to prepare young people for real-world scenarios, especially because a lot of people are now considering starting their own businesses or entrepreneurship to earn a living.
Verbal agreements may feel convenient, friendly, or quick but they are risky. Whether you are dealing with strangers, friends or family, protect yourself and your finances.
As Mkhatjwa puts it: “If you care enough to make the deal, care enough to write it down. Because in the eyes of the law, if it is not in writing, it did not happen.”
