Difference / Distinction between Contract and Agreement

No	Contract	Agreement
1)	Contract emerges from an agreement	Agreement emerges from consent of the parties.
2)	Definition : Section 2(h) of the Indian Contract Act 1872 defines Contract as – “An agreement enforceable by law is a Contract” According to Section 10 of the Indian Contract Act, 1872 – All agreements are contracts if they are made by the free consent of the parties competent to the contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void.	Definition : Section 2(e) of the Indian Contract Act Defines agreement as – “Every promise and every set of promises, forming the consideration for each other is an agreement”
3)	Contract = Agreement + Enforceability.	Agreement = Offer + Acceptance
4)	For the formation of a contract there must be – i) An agreement and ii) The agreement should be enforceable by law.	To constitute an agreement there must be – i) Two or more parties ii) A proposal/ offer from one party / Person and acceptance from the other person / Party.
5)	Contract is always legal and is enforceable by law	Agreement may be moral and may not be enforceable by law.
6)	Every contract is an agreement	Every agreement is not a contract

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