Maine Real Estate Sales Agent Practice Test

A completed or fully performed contract is known as an executed contract. This type of contract has fulfilled all its terms and conditions by all the parties involved, meaning that both sides have completed their obligations as agreed. In real estate, for instance, an executed contract would be one where the buyer has paid the seller the agreed-upon price for a property, and the seller has transferred the title to the buyer.

In contrast, an executory contract refers to a contract that has not yet been fully performed – some obligations remain to be fulfilled. An implied contract is formed by actions or conduct rather than explicit words, and is not necessarily completed, as it depends on the conditions being met. A bilateral contract involves mutual promises between parties, which may still be in the process of being executed, meaning that both sides have obligations yet to be fulfilled. In summary, an executed contract is fully realized and represents the completion of all terms and commitments agreed upon by the parties.