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Contracts come in various types and it is crucial to differentiate between them as specific rules apply to each type in terms of formation and enforceability. There are six main types of contracts: unilateral and bilateral. In a unilateral contract, one party makes a promise while the other party performs an act, for example, Jose promising to pay George for cleaning his driveway. In a bilateral contract, both parties promise something, such as Jose promising to pay George for cleaning the driveway and George promising to clean it in return.
