ContractsQuestion 53 of 120
An 'executory' contract is one in which:
a.Something remains to be done by one or both parties
b.All obligations have already been fully performed
c.The contract has been declared void by a court
d.No consideration was ever exchanged
Explanation
An executory contract is one that has been formed but not yet fully performed, such as a signed purchase agreement before closing. Once all parties complete their obligations, it becomes an executed contract. This distinction matters for determining remaining duties.
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