diff --git a/src/commands/contract.js b/src/commands/contract.js
index c004761e..63523ecc 100644
--- a/src/commands/contract.js
+++ b/src/commands/contract.js
@@ -28,7 +28,12 @@ import { nodeOption, jsonOption, gasOption } from '../arguments';
 
 const callArgs = new Argument('[args]', 'JSON-encoded arguments array of contract call')
   .argParser((argsText) => {
-    const args = JSON.parse(argsText);
+    let args;
+    try {
+      args = JSON.parse(argsText);
+    } catch (error) {
+      throw new CliError(`Can't parse contract arguments: ${error.message}`);
+    }
     if (!Array.isArray(args)) throw new CliError(`Call arguments should be an array, got ${argsText} instead`);
     return args;
   })
diff --git a/test/contract.js b/test/contract.js
index 5898daa0..5dc1036f 100644
--- a/test/contract.js
+++ b/test/contract.js
@@ -23,6 +23,7 @@ import { expect } from 'chai';
 import { decode } from '@aeternity/aepp-sdk';
 import { executeProgram, getSdk, WALLET_NAME } from './index';
 import contractProgram from '../src/commands/contract';
+import CliError from '../src/utils/CliError';
 
 const executeContract = (args) => executeProgram(contractProgram, args);
 
@@ -117,6 +118,16 @@ describe('CLI Contract Module', function contractTests() {
       fs.unlinkSync(descrPath);
       fs.unlinkSync(contractBytecodeFile);
     });
+
+    it('throws error if arguments invalid', async () => {
+      await expect(executeContract([
+        'deploy',
+        WALLET_NAME, '--password', 'test',
+        '--contractSource', contractSourceFile,
+        '[3',
+        '--json',
+      ])).to.be.rejectedWith(CliError, 'Can\'t parse contract arguments: Unexpected end of JSON input');
+    });
   });
 
   describe('Call', () => {