Contracts
In Tennessee, a 'unilateral contract' is one in which:
ABoth parties make promises to each other
BOnly one party makes a promise, in exchange for an act by the other party✓ Correct
CA third party is required to perform
DThe contract is automatically void after 30 days
Explanation
A unilateral contract involves one party making a promise in exchange for an act (not a promise) by the other party. An option contract is an example — the seller promises to keep the offer open in exchange for the option consideration paid.
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