Bilateralism – In the area of Law of Contracts, this legal term describes the mutual benefits, involved in contractual relations between parties who sign them. The term relates to the term “bilateral agreement”. It refers to an agreement with mutual obligations between the parties who signed it. I.e. both parties have to perform, to give something to each other, in order to reach their goals with the agreement. For example, you pay the sale price to the vendor when purchasing a car. And you receive the vehicle as an exchange of your money.