A contract where one of the parties has performed and the performance ...
Correct answer is Option C) unilateral contract
Explanation:
Unilateral Contracts
As the name itself denotes, these are one-sided contracts. In such contracts, only one party vows to perform a duty. The agreement is then open to anyone who wishes to vow the same and enter into the contract. A unilateral agreement is, however, complete only when one of the parties fulfills the promise.
A unilateral contract is a one-sided agreement in which one party promises to do something while the other does not follow through immediately. The opposing party, on the other hand, will act in the future. Contests are one example of unilateral contracts.
Furthermore, after the acting party fulfills the agreement's promise, the other party is obligated to follow suit because the promise is now enforceable. The unilateral contract will be breached if the side does not behave as promised.
Suppose, a person has announced a reward of Rs.1000 for anyone who finds him his lost puppy. Here, a unilateral offer is formed where only this person is in the contract initially. When someone finds the puppy and hands it over to that person, he is bound to pay him the reward. Once this is done, the unilateral contract is fulfilled.
**Examples of unilateral contracts:**
- A reward offer: A person offers a reward for finding their lost dog. The person who finds the dog and returns it has completed the requested action, thereby accepting the offer and triggering the offeror's obligation to pay the reward.
- A contest or competition: A company offers a cash prize for the best entry in a design competition. The participants submit their designs, and the winner's submission is considered acceptance, triggering the company's obligation to pay the cash prize.
In contrast, a **bilateral contract** involves mutual promises made by both parties, where each party's performance is contingent upon the other party's performance. An **executed contract** refers to a contract where both parties have fulfilled their respective obligations.