TITLE XVII

COMPROMISE

 

Section 850.- A compromise is a contract whereby the parties settle a dispute, whether actual or contemplated by mutual concessions.

 

Section 851.- A contract of compromise is not enforceable by action unless there is some written evidence signed by the party liable or his agent.

 

Section 852.- The effect of the compromise is to extinguish the claims abandoned by each party and to secure to each party the rights which are declared to belong to him.

 

TITLE XVII

GAMBLING AND BETTING

 

Section 853.- No obligation is created by gambling or betting. What has been given by reason of the gambling or betting may not be demanded back on the ground that no obligation existed.

These provisions apply also to an agreement whereby the losing party, for the purpose of satisfying a gambling debt or a bet, incurs an obligation towards the other party.

 

Section 854.- A lottery contract or a raffle contract is binding if the lottery or the raffle is specially authorised or ratified by the Government. In all other cases the provisions of Section 853 shall apply.

 

Section 855.- Subject to the provisions of Section 312 and Section 916, every bill or other document given in whole or in part for any money won by gambling or betting, or for repaying any money lent for such gambling or betting shall be invalid.

For the purpose of this provision, any money lent to a person while gambling or betting at the time or place of such play shall be presumed to have been lent for such gambling or betting.

 

TITLE XIX

CURRENT ACCOUNT

 

Section 856.- A contract of current account is one in which two persons agree that henceforth or for a determinate period the amount of all or some only of the obligation arising from transactions between them shall be set off and that the balance only shall be paid.

 

Section 857.- The entry of a bill in a current account is presumed to be made on condition that the bill will be paid. If the bill is not paid, the entry may be cancelled.

 

Section 858.- If the parties have not fixed the period for striking the balance, such period shall be six months.