If a business promises to pay all of its employees $500 to quit smoking, such an arrangement is a(n)
A) valid, binding contract.
B) obligation.
C) commitment.
D) gratuitous promise.
E) quantum meruit.

Question

Quizplus · Accepted Answer

This is a valid, binding contract because it involves an offer (the promise of $500), acceptance (the employee's agreement to quit smoking), and consideration (the act of quitting smoking in exchange for the money).

If a Business Promises to Pay All of Its Employees