What type of contract is not explicitly stated but is formed by the actions of the parties?

An implied contract is formed when the actions, conduct, or circumstances of the parties involved indicate that an agreement exists, even though it has not been explicitly stated in written or verbal form. This type of contract is derived from the assumption that both parties intended to enter into an agreement based on their behavior or the context of their interactions.

For instance, if a person goes to a restaurant and orders food, it is understood that they will pay for the meal upon consumption. While there may not be a formal agreement outlining the price or payment terms before the act, the actions of ordering and consuming the food create an implied contract based on mutual intent and the norms of such an exchange.

In contrast, an express contract involves clear, definitive terms that are specifically articulated, either in writing or verbally. Unilateral contracts involve a promise made by one party in exchange for a performance by another party, while bilateral contracts entail a mutual exchange of promises that constitute an agreement between two parties. However, these do not pertain to the nature of a contract formed by silent agreement through actions, making implied contracts distinct and relevant in this context.