Executed Contract

In one sentence

A contract where both parties have fully performed all their obligations.

Plain English

An executed contract is one where everything promised has been completed. Once you buy a coffee and pay for it, that's an executed contract—the seller gave you the coffee, and you gave them money. Both sides are done with their duties. It's different from a contract that's still in progress.

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Example

You sign a real estate closing document, receive the keys to your house, and the seller receives the full purchase price. At that moment, the purchase contract becomes executed because both parties have completed their obligations.

Used in a sentence

“After the painter finished the job and received payment, the service contract became executed.”

Related terms

Executory Contract

A contract where one or both parties still have obligations to perform in the future.

Performance

The act of doing what a contract requires, such as delivering goods or paying money.

Implied Contract

A contract where the parties' intent to be bound is shown by conduct rather than explicit words.

Entire Agreement Clause

A contract provision stating that the written agreement is the complete and final deal between parties.

Integrated Agreement

A written contract that the parties intend as the complete and final statement of their deal.

Frustration of Contract

An unforeseen event makes contract performance impossible or radically different from what was intended.

Offer

A proposal to enter into a binding agreement on specific terms.

Acceptance

Agreeing to the exact terms of an offer, creating a binding contract.

This page is a plain-English reference and is not legal advice. Laws vary by jurisdiction and change over time. For specific situations consult a licensed attorney.