Wager

Wager, in English law, means a promise to give money or money's worth on the happening of an uncertain event. Every contract of insurance is in the nature of a wager, but such contracts are permitted, because they serve useful purposes. Sporting wagers were enforceable at common law, unless they were of an indecent or otherwise improper character: thus, a wager on the life of Napoleon was held void, as tending to weaken the patriotism of an Englishman, and to encourage the assassination of a foreign sovereign. By an Act of 1845 all agreements by way of wagering are rendered null and void as between the parties; but the enactment does not apply to any subscription for a prize to be awarded to the winner in any lawful sport. Where a person employs an agent to bet for him, or to enter into transactions contrary to Leeman's act (passed to prevent gambling in shares), no action can be brought on the bet or bargain made by the agent; but if the agent pays, the principal remains liable to indemnify him. These rules apply to all wagers; but there are certain forms of agreement which are not only void but illegal. Acts were passed in 1665 and 1710 to discourage betting on games, and an Act of 1835 provides that any security given for a gambling debt shall be void, and that money paid to the holder of such security may be recovered by action. As the loser of a bet cannot be legally compelled to pay, the debt is only what is called a debt of honour; but sporting men are usually more scrupulous in paying such debts than in meeting the claims of their lawful creditors. By the criminal law penalties are imposed on persons who keep or use houses for betting purposes, and magistrates may authorise the police to break into such houses and arrest persons found therein. Persons who win money by cheating at cards, &c. are liable to be indicted for obtaining money by false pretences; persons playing or betting in the street may be punished as rogues and vagabonds. See Anson, Law of Contract, for a clear statement of the law relating to wagers. In the law of Scotland wagers are treated as pacta illicita, and debts incurred by wager are not enforced. In the United States gaming contracts are in most states void, and money paid or property delivered on such considerations may generally be recovered back. In 1892 an act was passed rendering it penal to incite infants (below the age of 21), by means of circulars, advertisements, letters, telegrams, or otherwise, to bet, wager, or borrow money—the penalty being fine or imprisonment with or without hard labour. See BETTING.—For Wager of Battle, see BATTLE.