But I think that a gentleman`agreement is rather not to put in place a legal settlement, but that both parties agree amicably and comply with an agreement. And that`s expressed here. For an agreement to be binding in English contract law, one must intend to create legal relationships; but in trade (i.e. agreements that are not concluded between family members or friends), there is a legal presumption of “willingness to create legal relationships”. In the 1925 case of Rose & Frank Co v. JR Crompton & Bros Ltd, however, the House of Lords found that the phrase “This agreement is not. a formal or legal agreement. The debtor is expected to behave like a gentleman that should not be legally enforceable.  The grounds for a gentlemen`s agreement may lie in a legally inadmissible object of the agreement, i.e. a violation of legal prohibitions.
In antitrust law, gentlemen`s agreements are concerted practices of companies that are based on deliberate coordination but not on a legal obligation. .