Executory Contract means:

Executory Contract means:

• A. Fully performed
• B. Not yet performed
• C. Based on actions
• D. Based on explicit terms

Answer: (B)

An executory contract is one where some obligations still must be performed. In real estate, that means the contract has been signed, but actions like delivering the deed or issuing payment haven’t happened yet, so the agreement is still in progress. It becomes fully performed (executed) only when all duties are completed. So the best fit is not yet performed because it captures the current status that some promises remain to be fulfilled. The other ideas aren’t about whether performance is complete: fully performed would describe a finished deal, while “based on actions” or “based on explicit terms” refer to how the contract is framed or executed, not whether performance is outstanding.

An executory contract is one where some obligations still must be performed. In real estate, that means the contract has been signed, but actions like delivering the deed or issuing payment haven’t happened yet, so the agreement is still in progress. It becomes fully performed (executed) only when all duties are completed.

So the best fit is not yet performed because it captures the current status that some promises remain to be fulfilled. The other ideas aren’t about whether performance is complete: fully performed would describe a finished deal, while “based on actions” or “based on explicit terms” refer to how the contract is framed or executed, not whether performance is outstanding.