Multiple choice

The contract of sale is a/an

  1. executory contract

  2. executed contract

  3. executory contract or executed contract

  4. none of these

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A contract of sale can be either executory (parties still owe performance) or executed (both parties have fulfilled obligations). If price isn't paid and goods aren't delivered, it's executory. If both have performed, it's executed. A single contract can shift from executory to executed over time. The classification depends on performance status.