Determining what is and what is not gambling does not always lend itself to an easy answer.
buy a mutual fund that consists of a broad array of stocks and your purpose is to enhance your
standard of living during your retirement, no one considers that gambling.
In contrast, if you are
a day trader—buying and selling stocks during a one-day period—you are clearly “betting” that
the stocks you buy in the morning and then sell in the evening will have gone up in value.
day trading be deemed gambling and therefore illegal?
Where do you draw the line between what
is and what is not gambling in our society?
According to the text, gambling is any scheme that
involves a distribution of property by chance among persons who have paid a valuable
consideration for the opportunity (chance) to receive the property. Gambling is the creation
of risk for the purpose of assuming it. Stock trading does not fit this definition—it is not a
distribution of property by chance, at least not in theory, nor is it the creation of risk for the
purpose of assuming it. It should be deemed illegal due to its possible negative effect on
investors’ funds and its potential addictive nature. It should not be deemed illegal due to
that course’s possible inhibiting effect on investment. The line between what is and what is
not legal gambling in our society should likely be drawn where the ill effects (addiction,
crime, etc.) outweigh the benefits (state revenues, entertainment, etc.).
What might have happened in future cases if the court had held that there was no implied-in-law
contract between Fountain and Yale Diagnostic Radiology?
The court stated that “[t]he present
case illustrates the inequity that would arise if no implied in law contract arose between