BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -An agreement wherein two parties in which one of the parties agrees to pay money if some unknown event occurs, with the understanding that if the event does not happen, the other party must pay the same amount back, is called an agreement of Wager.

Detailed explanation-2: -1. Promise to pay money (or) money’s worth: The wagering agreement must be certain and there must be a promise to pay money (or) money’s worth between the parties. 2. Uncertain event: The promise made between the parties must be a conditional and uncertain event (i.e.., happening (or) non-happening).

Detailed explanation-3: -A wagering agreement is a promise to give money or money’s worth upon the determination or ascertainment of an uncertain event. A contingent contract, on the other hand, is a contract to do or not to do something if some event, collateral to such contract does or does not happen.

Detailed explanation-4: -In a contingent contract, there is an interest in the contract, as an act will be done depending on the uncertain future event. In a wagering agreement, the only interest is in whether I have gained profit or incurred loss, depending upon the outcome of an event.

Detailed explanation-5: -The contracts of insurance are not wagering at all because these are contracts of Indemnity. These contracts are entered upon to safeguard and protect the interest of one party from any damage hence it is not a wager.