Title: Distinguish between a bilateral contract and a unilateral contract.
Course: Real Estate (12154) > Section: Understanding Contracts

Distinction should include legal definition of these contracts as provided by the Real Estate Commission or Commission-approved textbooks:

- Bilateral contract: a contract in which each party promises to perform an act for the other party (a sales contract is the most common form of bilateral contract)
- Unilateral contract: a contract in which one party makes an obligation to perform without receiving in return any express promise of performance from the other party (a listing agreement is the most common form of unilateral contract used)
  - Exclusive listings vs. nonexclusive
  - General requirements for a valid listing

DPOR correlation: 18VAC135-20-400. 4 (Contracts)

Process/Skill Questions:

- What is a bilateral contract? What is a unilateral contract? What is an example of a bilateral contract? What is an example of a unilateral contract?
- Under what circumstances would a bilateral contract and a unilateral contract be used?
- What is an exclusive/nonexclusive listing?
- What is the difference between an exclusive and a nonexclusive listing agreement?
- What is a listing agreement? What is generally included in a valid listing agreement?