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a contract is a legally binding agreement between two or more parties it is not enough to state that a contract is an agreement it is important to point out that a contract is illegally binding agreement this is because all contracts are agreements but not all Agreements are contracts it is illegally binding aspect of an agreement which makes it a contract in English law so what do I mean by legally binding I mean that if an agreement is legally binding if one party fails to do what they promise to do Under the agreement the other party has the right to ask the court to enforce that promise whereas with a non-legally binding agreement just an ordinary agreement because it is not a contract in English law if one party fails to do what they promise to do we donamp;#39;t have a right to ask the court to enforce that agreement letamp;#39;s have a look at two examples of agreements one will be a non-legally binding agreement and one will be illegally binding agreement or contract