Multiple choice

A business promises to donate money to a charity

  1. unilateral contract

  2. not an enforceable contract

  3. not a contract

  4. enforceable contract even without consideration

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Promises to make charitable donations (charitable subscriptions) are generally enforceable by courts as a matter of public policy, even though they lack mutual consideration. This is a well-known exception to the rule that contracts must have consideration to be legally binding.