An agreement and a contract share similarities, but they differ in legal implications. Here are key distinctions:

1. Definition:

   Agreement: An agreement is a mutual understanding between two or more parties, leading to a meeting of minds but might not necessarily have legal enforceability.

   Contract: A contract is a legally binding agreement between two or more parties, with specific terms and conditions that can be enforced by law.

2. Enforceability: 

   Agreement: Not all agreements are legally enforceable. Some may lack the necessary elements to be considered binding in a court of law.

   Contract: Contracts are enforceable by law, and a breach of contract can lead to legal remedies.

3. Components:

   Agreement: It may or may not involve all the essential elements required for a contract, such as consideration, lawful object, and competency of parties.

   Contract: Must contain all the essential elements, including an offer, acceptance, lawful consideration, competency of parties, and a lawful object.

4. Intention to Create Legal Relations:

   Agreement: The parties may or may not have the intention to create legal relations, depending on the nature of the agreement.

   Contract: There is a presumption that the parties intend to create legal relations, making it legally binding.

5. Legal Consequences:

   Agreement: Not all agreements have legal consequences. Some are social or domestic in nature.

   Contract: Legally binding, and breaching the terms can result in legal consequences.

6. Void and Voidable:

   Agreement: It may be void or voidable based on legal principles.

   Contract: It can be void or voidable, but specific legal criteria determine this status.

7. Nature:

   Agreement: Can be oral or written, formal or informal.

   Contract: Generally requires a certain formality, and some contracts must be in writing to be enforceable.

In summary, while all contracts are agreements, not all agreements qualify as contracts due to the legal requirements.