Question

Jackson offers to pay Casey $50 for his used business law textbook. Casey agrees to sell it for that amount. They agree to meet one week later to exchange the money for the book. Casey and Jackson have formed:_______.a. a bilateral contract.b. a unilateral contract.c. no contract.d. a formal contract.

Answer 1

Answer: A bilateral contract. Option A.

Explanation: A bilateral contract is one in which both parties are bound by their promise to fulfill their side of the bargain.

Therefore by Jackson and Casey agreeing to meet to exchange book for money, they have formed a bilateral contract, because each of them has agreed to fulfill his end of the bargain.