An agreement based on uncertain event outcomes is called what?

An agreement based on uncertain event outcomes is referred to as a wagering agreement. This type of agreement involves two parties betting on the occurrence or non-occurrence of an event, where the outcome is uncertain. In a wagering agreement, neither party has control over the event, and the agreement typically centers around the gamble, rather than a mutual benefit or exchange of value.

This is distinct from conditional contracts, which are agreements that hinge on specific conditions being met before they can be enforced. In a conditional contract, the parties are usually aware of those conditions and agree upon them prior to entering the contract, drawing upon a sense of mutuality.

A contingent agreement involves future uncertain events, but typically it refers to situations where the parties may have a vested interest or conditions that lead to an obligation once certain events occur. The key distinction between this and a wagering agreement is that in contingent agreements, there is usually an underlying business purpose or value exchange rather than just a bet on an uncertain outcome.

Binding contracts are enforceable agreements that have met all legal requirements and do not generally involve uncertain outcomes; instead, they are straightforward obligations defined by the terms agreed upon.

Thus, a wagering agreement is the most accurate term for an arrangement hinging specifically on uncertain event outcomes, as