Explanation of Article 406
The article establishes a general rule and a comprehensive principle regarding the nullity of any agreement on gambling; the difference between a competition and gambling is clear. A competition involves benefit, renewal of activity, and motivation, as winning depends on the participant's work and effort. In contrast, gambling is entertainment that relies on luck and necessarily leads to one party's loss and the other's gain, including bets based on luck, where bettors compete to predict something that may or may not happen, and whoever's prediction is correct wins the bet. If an agreement on gambling is made, it is void, and anyone with an interest can invoke the nullity, and the court can rule on it on its own initiative.
Related To
Article 406
Any agreement entailing gambling shall be deemed null and void.