Clay offers to pay Dot $50 for a golf lesson for Eula. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have
A)a bilateral contract.
B)a trilateral contract.
C)a unilateral contract.
D)no contract.

Question

Quizplus · Accepted Answer

A bilateral contract is an agreement in which both parties make promises to each other, and in this case, both Clay and Dot have agreed to exchange $50 for a golf lesson. A trilateral contract would involve a third party, which is not present here. A unilateral contract involves only one party making a promise, but in this scenario, both parties have made promises to each other. Therefore, there is a bilateral contract between Clay and Dot.

Clay Offers to Pay Dot $50 for a Golf Lesson