Question

Which of the following is an obligation established by agreement of the parties?

choices:

Unilateral obligation

Bilateral obligation

Conventional

Statutory

Answer 1

Which of the following is an obligation established by agreement of the parties?

Answer: Bilateral obligation.

A bilateral obligation is in which both the parties promisor and promisee voluntarily enter into an agreement where both make a promise and each is obligated to fulfill the promise. Every sales agreement is a bilateral contact or obligation.

Ina unilateral obligation the promisor makes a promise to provide something in exchange for the performance of required action. Reward for finding lost thing is an unilateral obligation.

Conventional obligations are obligation arised out of contracts. Statutory obligations are obligations imposed by law not out of contract.