The most important element of a betting agreement is the uncertainty of the future event. Parties should not know the outcome of the uncertain event. The requirement is that the parties do not know the result, even if the event took place in the past. This means that the future event is not essential, but that the parties should not be aware of the outcome. In the case of Jethmal Madanlal Jokotia v. Nevatia -Co The parties should not be aware of what happened, even if the event took place in the past. 5. The purpose of a betting contract is to speculate on money or money while an insurance contract is the protection of an interest. The term « bet that » was not defined in the Indian Contract Act.
However, there is a classic definition in the case of Carlill v Carbolic Smoke Ball Co.[i] » A betting contract is a contract whereby two persons who profess to defend opposing views that touch on the issue of an uncertain future event agree that, according to the determination of that event, one wins from the other and the other is paid or remitted by the other. , a sum of money or other transaction; None of the parties who have an interest other than the amount or bet they will earn or lose have no other consideration for the drafting of such a contract by either party. If one of the parties can win, but can not lose, but can lose, but can not win, it is not a betting contract. The above definition excludes events that have occurred. Therefore, Sir William Anson`s definition of « giving a promise to give money or money for the determination and recognition of an uncertain event » is more precise and precise. [ii] This seems to reduce the essentials: « Reciprocal chances of profit and lossThe one or two parties must give each other a chance of profit and loss,[iii] that is, one party must win and the other loses in the determination of the event. It is not a bet where a party can win, but cannot lose, or if it can lose, but cannot win, or if it cannot win or lose, « if one of the parties has the event in hand, the transaction lacks an essential ingredient of the bet. » [iv] « The essence of the bet is that each party should win or lose, in accordance with the uncertain or unreased event in which the chance or risk is taken. » [v] None of the parties that have control of the event Lately, no party should have control over what happened in any way. « If one of the parties has the event in hand, the transaction is not an integral part of a bet. » [ix] Effects of the bet agreementA betting agreement is not valid by initio and S.