diff --git a/crates/lang/src/format.rs b/crates/lang/src/format.rs
index 59fd21bf..eaf2fa2d 100644
--- a/crates/lang/src/format.rs
+++ b/crates/lang/src/format.rs
@@ -839,17 +839,34 @@ impl<'comments> Formatter<'comments> {
     }
 
     fn call<'a>(&mut self, fun: &'a UntypedExpr, args: &'a [CallArg<UntypedExpr>]) -> Document<'a> {
+        let is_constr = match fun {
+            UntypedExpr::Var { name, .. } => name[0..1].chars().all(|c| c.is_uppercase()),
+            UntypedExpr::FieldAccess { container, .. } => {
+                matches!(&**container, UntypedExpr::Var { name, .. } if name[0..1].chars().all(|c| c.is_uppercase()))
+            }
+            _ => false,
+        };
+
+        let needs_curly = if is_constr {
+            args.iter().all(|arg| arg.label.is_some())
+        } else {
+            false
+        };
+
         match args {
             [arg] if is_breakable_expr(&arg.value) => self
                 .expr(fun)
-                .append("(")
-                .append(self.call_arg(arg))
-                .append(")")
+                .append(if needs_curly { "{" } else { "(" })
+                .append(self.call_arg(arg, needs_curly))
+                .append(if needs_curly { "}" } else { ")" })
                 .group(),
 
             _ => self
                 .expr(fun)
-                .append(wrap_args(args.iter().map(|a| (self.call_arg(a), false))))
+                .append(wrap_args(
+                    args.iter()
+                        .map(|a| (self.call_arg(a, needs_curly), needs_curly)),
+                ))
                 .group(),
         }
     }
@@ -978,12 +995,18 @@ impl<'comments> Formatter<'comments> {
             self.expr(fun)
         } else if hole_in_first_position {
             // x |> fun(_, 2, 3)
-            self.expr(fun)
-                .append(wrap_args(args.iter().skip(1).map(|a| (self.call_arg(a), false))).group())
+            self.expr(fun).append(
+                wrap_args(
+                    args.iter()
+                        .skip(1)
+                        .map(|a| (self.call_arg(a, false), false)),
+                )
+                .group(),
+            )
         } else {
             // x |> fun(1, _, 3)
             self.expr(fun)
-                .append(wrap_args(args.iter().map(|a| (self.call_arg(a), false))).group())
+                .append(wrap_args(args.iter().map(|a| (self.call_arg(a, false), false))).group())
         }
     }
 
@@ -997,14 +1020,14 @@ impl<'comments> Formatter<'comments> {
                 [first, second] if is_breakable_expr(&second.value) && first.is_capture_hole() => {
                     self.expr(fun)
                         .append("(_, ")
-                        .append(self.call_arg(second))
+                        .append(self.call_arg(second, false))
                         .append(")")
                         .group()
                 }
 
-                _ => self
-                    .expr(fun)
-                    .append(wrap_args(args.iter().map(|a| (self.call_arg(a), false))).group()),
+                _ => self.expr(fun).append(
+                    wrap_args(args.iter().map(|a| (self.call_arg(a, false), false))).group(),
+                ),
             },
 
             // The body of a capture being not a fn shouldn't be possible...
@@ -1188,12 +1211,18 @@ impl<'comments> Formatter<'comments> {
         }
     }
 
-    fn call_arg<'a>(&mut self, arg: &'a CallArg<UntypedExpr>) -> Document<'a> {
+    fn call_arg<'a>(&mut self, arg: &'a CallArg<UntypedExpr>, can_pun: bool) -> Document<'a> {
         match &arg.label {
-            Some(s) => commented(
-                s.to_doc().append(": "),
-                self.pop_comments(arg.location.start),
-            ),
+            Some(s) => {
+                if can_pun && matches!(&arg.value, UntypedExpr::Var {  name, .. } if name == s) {
+                    nil()
+                } else {
+                    commented(
+                        s.to_doc().append(": "),
+                        self.pop_comments(arg.location.start),
+                    )
+                }
+            }
             None => nil(),
         }
         .append(self.wrap_expr(&arg.value))
diff --git a/crates/lang/src/parser.rs b/crates/lang/src/parser.rs
index ad18fd24..6bb7626e 100644
--- a/crates/lang/src/parser.rs
+++ b/crates/lang/src/parser.rs
@@ -650,21 +650,60 @@ pub fn expr_parser(
                     choice((
                         select! {Token::Name {name} => name}
                             .then_ignore(just(Token::Colon))
-                            .then(r.clone())
+                            .then(choice((
+                                r.clone(),
+                                select! {Token::DiscardName {name} => name }.validate(
+                                    |_name, span, emit| {
+                                        emit(ParseError::expected_input_found(
+                                            span,
+                                            None,
+                                            Some(error::Pattern::Discard),
+                                        ));
+
+                                        expr::UntypedExpr::Var {
+                                            location: span,
+                                            name: CAPTURE_VARIABLE.to_string(),
+                                        }
+                                    },
+                                ),
+                            )))
                             .map_with_span(|(label, value), span| ast::CallArg {
                                 location: span,
                                 value,
                                 label: Some(label),
                             }),
-                        select! {Token::Name {name} => name}.map_with_span(|name, span| {
-                            ast::CallArg {
-                                location: span,
-                                value: expr::UntypedExpr::Var {
-                                    name: name.clone(),
-                                    location: span,
+                        choice((
+                            select! {Token::Name {name} => name}.map_with_span(|name, span| {
+                                (
+                                    expr::UntypedExpr::Var {
+                                        name: name.clone(),
+                                        location: span,
+                                    },
+                                    name,
+                                )
+                            }),
+                            select! {Token::DiscardName {name} => name }.validate(
+                                |name, span, emit| {
+                                    emit(ParseError::expected_input_found(
+                                        span,
+                                        None,
+                                        Some(error::Pattern::Discard),
+                                    ));
+
+                                    (
+                                        expr::UntypedExpr::Var {
+                                            location: span,
+                                            name: CAPTURE_VARIABLE.to_string(),
+                                        },
+                                        name,
+                                    )
                                 },
-                                label: Some(name),
-                            }
+                            ),
+                        ))
+                        .map(|(value, name)| ast::CallArg {
+                            location: value.location(),
+                            value,
+                            label: Some(name),
                         }),
                     ))
                     .separated_by(just(Token::Comma))
@@ -680,9 +719,36 @@ pub fn expr_parser(
                         .map_with_span(|name, span| (name, span)),
                 )
                 .then(
-                    r.clone()
-                        .map_with_span(|value, span| ast::CallArg {
-                            location: span,
+                    select! {Token::Name {name} => name}
+                        .ignored()
+                        .then_ignore(just(Token::Colon))
+                        .validate(|_label, span, emit| {
+                            emit(ParseError::expected_input_found(
+                                span,
+                                None,
+                                Some(error::Pattern::Label),
+                            ))
+                        })
+                        .or_not()
+                        .then(choice((
+                            r.clone(),
+                            select! {Token::DiscardName {name} => name }.validate(
+                                |_name, span, emit| {
+                                    emit(ParseError::expected_input_found(
+                                        span,
+                                        None,
+                                        Some(error::Pattern::Discard),
+                                    ));
+
+                                    expr::UntypedExpr::Var {
+                                        location: span,
+                                        name: CAPTURE_VARIABLE.to_string(),
+                                    }
+                                },
+                            ),
+                        )))
+                        .map(|(_label, value)| ast::CallArg {
+                            location: value.location(),
                             value,
                             label: None,
                         })
@@ -1340,8 +1406,8 @@ pub fn pattern_parser() -> impl Parser<Token, ast::UntypedPattern, Error = Parse
 
         let tuple_constructor_pattern_arg_parser = r
             .clone()
-            .map_with_span(|pattern, span| ast::CallArg {
-                location: span,
+            .map(|pattern| ast::CallArg {
+                location: pattern.location(),
                 value: pattern,
                 label: None,
             })
diff --git a/crates/lang/src/parser/error.rs b/crates/lang/src/parser/error.rs
index 5c9acd07..f9da4c52 100644
--- a/crates/lang/src/parser/error.rs
+++ b/crates/lang/src/parser/error.rs
@@ -115,6 +115,12 @@ pub enum Pattern {
         "If no label is provided then only variables\nmatching a field name are allowed"
     ))]
     RecordPunning,
+    #[error("Unexpected label")]
+    #[diagnostic(help("You can only use labels with curly braces"))]
+    Label,
+    #[error("Unexpected hole")]
+    #[diagnostic(help("You can only use capture syntax with functions not constructors"))]
+    Discard,
 }
 
 impl From<char> for Pattern {
diff --git a/examples/sample/lib/sample.ak b/examples/sample/lib/sample.ak
index dedde05b..d9a51364 100644
--- a/examples/sample/lib/sample.ak
+++ b/examples/sample/lib/sample.ak
@@ -46,4 +46,4 @@ pub fn incrementor(counter: Int, target: Int) -> Int {
   }
 }
 
-pub const big_a = 5
\ No newline at end of file
+pub const big_a = 5
diff --git a/examples/sample/validators/swap.ak b/examples/sample/validators/swap.ak
index 49a1a5d9..2409c40c 100644
--- a/examples/sample/validators/swap.ak
+++ b/examples/sample/validators/swap.ak
@@ -50,7 +50,8 @@ pub type Datum {
 }
 
 pub fn spend(datum: Datum, _rdmr: Nil, _ctx: Nil) -> Bool {
-  let x = Buy1 { signer: #[4, 4, 255], amount: 1000 }
+  let amount = 1000
+  let x = Buy1 { signer: #[4, 4, 255], amount }
   when x is {
     Buy1 { signer, .. } -> signer == #[3, 3, 255]
     Stuff(signer, _) -> signer == #[3, 3, 255]