What does aleatory contract mean?

aleatory contract meaning in Law Dictionary

mutual arrangement, that the consequences, with value both towards advantages and losings, whether to most of the parties or even to a few of them, be determined by an uncertain event. Civil Code Los Angeles. art. 29S2; Moore v. Johnston, 8 La. Ann. 488; Losecco v. Gregory, 10S Los Angeles. 048, 32 Southern. 9S5. A coutract, the obligation and gratification which rely on an uncertain event, eg insurance coverage, engagements to pay for annuities, and the like. A contract is aleatory or dangerous once the performance of this which can be one of its things is dependent upon an uncertain event its particular whenever t lie thing becoming done is meant to be determined by the will associated with celebration, or whenever when you look at the typical length of events it must take place in the way stipulated. Civil Code Los Angeles. art. 177G.

aleatory contract meaning in Business Dictionary

variety of contract (1) whose execution or overall performance is determined by a contingency or an uncertain (random) occasion beyond the control of either party, and/or (2) under which the sums paid by the functions together tend to be unequal. Most insurance coverages are aleatory agreements considering that the guaranteed may gather a large amount or nothing in return for the premiums compensated. From French 'alea,' a-game of dice. See additionally unilateral contract.

aleatory contract meaning in General Dictionary

a contract whoever overall performance by one-party is based on the incident of an uncertain contingent event (but if it's contingent on the upshot of a bet it is really not enforceable)

aleatory contract meaning in Insurance Dictionary

an understanding worried about an uncertain occasion providing you with for unequal transfer of value amongst the functions. Plans tend to be aleatory contracts because an insured pays premiums for several years without sustaining a covered loss. Conversely, insureds often spend reasonably tiny premiums for a quick period then accept protection for an amazing reduction.