A voluntary agreement between two parties in which specific promises are made for consideration is called?

A voluntary agreement between two parties in which specific promises are made for consideration is called?

• A. Agreement
• B. Contract
• C. Covenant
• D. Bargain

Answer: (B)

A contract is a voluntary agreement between two parties in which each side makes promises in exchange for something of value (consideration) and the parties intend the agreement to be legally binding. The description here—a voluntary agreement with specific promises for consideration—fits this definition, making it a contract. An agreement, by contrast, may exist without the element of enforceable promises or consideration. A covenant is a particular promise or obligation within a contract, not the whole arranged instrument. A bargain is a casual way to describe a deal and does not carry the formal legal sense of a contract.

A contract is a voluntary agreement between two parties in which each side makes promises in exchange for something of value (consideration) and the parties intend the agreement to be legally binding. The description here—a voluntary agreement with specific promises for consideration—fits this definition, making it a contract. An agreement, by contrast, may exist without the element of enforceable promises or consideration. A covenant is a particular promise or obligation within a contract, not the whole arranged instrument. A bargain is a casual way to describe a deal and does not carry the formal legal sense of a contract.