A bilateral contract is formed by

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A bilateral contract is formed by

Bilateral contracts arise from a mutual exchange of promises. When the offer invites a return promise, acceptance is by promising to perform, which creates a promise-for-promise agreement and binds both parties. If acceptance were by performing the requested act, that would typically describe a unilateral contract, where performance, not a promise, forms the contract. Silence is not acceptance in this context, and a rejection ends the deal.

Bilateral contracts arise from a mutual exchange of promises. When the offer invites a return promise, acceptance is by promising to perform, which creates a promise-for-promise agreement and binds both parties. If acceptance were by performing the requested act, that would typically describe a unilateral contract, where performance, not a promise, forms the contract. Silence is not acceptance in this context, and a rejection ends the deal.

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