An executory contract is a legal term that refers to a type of contract that has been agreed upon by two parties but has not been fully performed yet. In other words, the parties involved have agreed to the terms of the contract, but one or both parties have not yet fulfilled their obligations under the contract.

Executory contracts can be found in a wide range of industries and areas of business, including real estate, finance, employment, and more. These types of contracts are often used in situations where there is a significant amount of uncertainty or risk involved, and both parties want to ensure that their interests are protected.

To better understand what an executory contract is, let`s take a look at a few examples. In the world of real estate, an executory contract might be used in a situation where a buyer and seller have agreed to a purchase price for a property, but the sale has not yet been completed due to a delay in financing or other issues.

In the world of employment, an executory contract might be used in a situation where an employee has signed a contract with their employer, agreeing to certain terms and conditions of employment, but has not yet started working for the company.

Regardless of the industry or situation, an executory contract is an important legal concept that helps to clarify the rights and obligations of the parties involved in a contract. If you`re interested in learning more about executory contracts and how they work, there are many resources available online, including Quizlet flashcards and other educational materials.