Which of the following is an example of a unilateral contract?
2 Answers
A **unilateral contract** is a type of agreement where only one party makes a promise in exchange for an act by the other party. The contract is only binding on the party who made the promise, and the other party is not obligated to act, but if they do, the contract becomes enforceable.
### Example of a Unilateral Contract:
An **offer of a reward** is a classic example of a unilateral contract. For instance, if someone offers a reward for the return of a lost pet, the person who made the offer is legally obligated to pay the reward once the pet is returned. However, the person searching for the pet is under no obligation to do so but may claim the reward if they find it.
#### Common Example:
- **Lost Dog Reward:** "I will give $500 to anyone who finds and returns my lost dog."
In this example, the person offering the reward is the only one bound by the contract once someone finds and returns the dog. The other party has no obligation to act unless they choose to.
### Example of a Unilateral Contract:
An **offer of a reward** is a classic example of a unilateral contract. For instance, if someone offers a reward for the return of a lost pet, the person who made the offer is legally obligated to pay the reward once the pet is returned. However, the person searching for the pet is under no obligation to do so but may claim the reward if they find it.
#### Common Example:
- **Lost Dog Reward:** "I will give $500 to anyone who finds and returns my lost dog."
In this example, the person offering the reward is the only one bound by the contract once someone finds and returns the dog. The other party has no obligation to act unless they choose to.