Everything about Unenforceable totally explained
An
unenforceable contract or transaction is one that's valid, but which the court won't enforce. Unenforceable is usually used in contradistinction to
void (or
void ab initio) and
voidable. If the parties perform the agreement, it'll be valid, but the court won't compel them if they do not.
An example of a transaction which is an unenforceable contract is a contract for
prostitution under
English law. Prostitution isn't actually a
crime under English law, Although both soliciting a prostitute and living off the earnings of a prostitute are criminal offences but so long as the contract is fully performed, it remains valid. However, if either refuses to complete the bargain (either the prostitute after being paid, or the payor after receiving the service) then the court won't assist the disappointed party. Similarly under English law, a
gambling contract is valid, but unenforceable (gambling contracts are sometimes said to be "binding in honour only"). If a bookmaker refuses to pay out on a bet, then the punter has no
legal recourse. Not even for a return of his original stake.
Footnotes
Further Information
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