  We explore the deliberate infusion of ambiguity into the design of contracts.
We show that when the agent is ambiguity-averse and hence chooses an action
that maximizes their minimum utility, the principal can strictly gain from
using an ambiguous contract, and this gain can be arbitrarily high. We
characterize the structure of optimal ambiguous contracts, showing that
ambiguity drives optimal contracts towards simplicity. We also provide a
characterization of ambiguity-proof classes of contracts, where the principal
cannot gain by infusing ambiguity. Finally, we show that when the agent can
engage in mixed actions, the advantages of ambiguous contracts disappear.
