Agreement vs Contract

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Aspect	Agreement	Contract
Enforceability	May or may not be enforceable	Must be enforceable by law
Legal obligation	May create only social/moral duty	Creates legal rights and obligations
Statutory definition	S. 2(e), ICA	S. 2(h), ICA
Validity requirements	Can exist even if essentials are missing	Must satisfy S. 10 (free consent, competence, lawful consideration/object, not expressly void)
Competency of parties	May be between incompetent parties (then unenforceable)	Parties must be competent (S. 11)
Effect of unlawfulness	Can be unlawful understanding (not enforceable)	Cannot be enforced if unlawful (S. 23)
Consideration	May exist without consideration (generally unenforceable)	Without consideration generally void (S. 25)
Result of breach	If not enforceable → no legal remedy	Breach gives remedies (S. 73–75)
Scope	Wider concept	Narrower concept (only enforceable agreements)