If ambiguity is detected while determining the type of a contract, it is presumed to be a bilateral contract.

Question

Quizplus · Accepted Answer

This is because in a bilateral contract, both parties make promises to each other, while in a unilateral contract, only one party makes a promise and the other party must perform an action in order to accept the offer. Therefore, if it is unclear whether both parties are making promises, it is safer to assume that it is a bilateral contract.

If Ambiguity Is Detected While Determining the Type of a Contract