Question

Yvonne finds a carpenter to do some repairs for her house and tells him that if he finishes the job within Saturday, she would pay him $1,000. This offer creates a(n) ________ contract.

Answer 1

Answer:

Unilateral contract

Explanation:

A unilateral contract is one which is agreed to based on the performance of one party.

Simply put, a unilateral contract in one in which there is agreement based on performance.

From the above question, the carpenters performance determines the contract. If he fixes the job within Saturday, he gets $1,000. If he doesn't finish within saturday, the carpenter doesn't get $1,000. The 'saturday' is the conditon for the payment of $1,000.