Allen promises Betty that he will pay her $2,000 if Betty will paint a portrait of Allen's mother and give the portrait to Allen's mother on her birthday.  Betty paints the portrait and gives it to Allen's mother on her birthday, as promised.  Allen refuses to pay Betty anything.  Allen argues that he is not contractually obligated to pay Betty because he did not receive any benefit from Betty. Choose the best answer. 

Allen is correct. No consideration was exchanged between Betty and Allen, so no contract was formed between them.

Allen is correct. A party only has to keep a promise if they receive a direct benefit from the return promise.

Allen is incorrect because there there is consideration between Allen and Betty and a contract was formed.

Allen is correct because all promises to provide services are enforceable under law.

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