Final answer:
A reward, contest, or prize generally constitutes a unilateral contract, where one party makes a promise that is fulfilled by another party's performance of a certain task, without any requirement of a reciprocal promise.
Step-by-step explanation:
A reward, contest, or prize typically involves a unilateral contract. A unilateral contract is one where a promise is made by one party in return for the performance of an act by another party. In these scenarios, the issuer of the reward, contest, or prize makes a promise that they will give a reward to anyone who performs a certain task, like finding a lost dog or winning a race.
In contrast, a bilateral contract involves a promise for a promise. For example, when one person agrees to sell their car and the other person agrees to buy it for a certain price, both have made promises to the other.
The key difference is that in unilateral contracts, there is no requirement for the offeree to actually commit or promise to undertaking the action. It only requires that the person fulfill the condition (such as creating the best app or writing the winning essay) to claim the prize. The person who issues the challenge is not expecting a promise in return; the contract is completed when the task is performed.