but in reality, you are already very familiar with contracts and how they are used in every day life and in business. as the title of this article suggests, there are two types of contracts, bilateral and unilateral. let’s break down the words here… definition: a bilateral contract is an agreement between two (or more) people. example: did you buy gas or groceries this week? you are vastly experienced in bilateral contracts. just think of this, “if i do this, the other person will do that” it’s the type of contract you take part in almost every day of your life. you frantically make a flyer and start posting the flyer all over town. as we just went over, the only difference between these types of contracts is the number of people making promises to do something.