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If someone buys lottery tickets for themself and 5 friends and they orally agree to split the winnings. Although, the winner cashes in the ticket and decides that she doesn’t want to share the proceeds with her co-workers. Is the original agreement to share any winning proceeds enforceable?

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If someone buys lottery tickets for themself and 5 friends and they orally agree to split the winnings. Although, the winner cashes in the ticket and decides that she doesn’t want to share the proceeds with her co-workers. Is the original agreement to share any winning proceeds enforceable?

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  • The original agreement to share the winnings is not enforceable because of unlawful purpose for the agreement. However, if the case happened in a state that considers gaming legal, the agreement would be enforceable.

Explanation:

Consider the following as the basic requirements to determine whether the agreement was enforceable or not.

    • Offer and acceptance
    • Lawful purpose
    • Lawful consideration
    • Certainty and completeness of terms
    • Free consent of the parties
    • Capacity

First, if the case was in some states that consider gambling contracts or transactions as illegal, such a contract/agreement cannot be enforced so the co-worker will win and keep the winnings. An example of states that would consider the contract unenforceable for an illegal activity is Alabama.

Secondly, assuming this happened in a state where gaming is legal, the offer would be considered the split winnings, and acceptance was there as well. None of the parties was forced to enter into the agreement and terms were complete and certain. Lastly, the co-worker had capacity to keep the terms of the agreement which means the agreement would be enforceable under these conditions ( Only if gaming was legal in that state).

Refer to this case as an example

http://humanity.thechive.com/lifestyle/lottery-winners-lost/

 

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Answered on June 25, 2020 10:25 pm

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