Final answer:
An agreement where the sale of property is accepted but not yet finalized is known as an executory contract. This is because the essential terms of the contract, such as the transfer of property and payment, have not yet been completed.
Step-by-step explanation:
Linda's offer to buy David's property has been accepted, and their written sales contract is in place, but the actual sale of the property will not take place for three months. During this intermediary period, the contract between Linda and David is best characterized as executory. An executory contract is one in which some future act or obligation remains to be performed according to its terms. The term "executory" pertains to contracts where the essential obligations have not yet been fulfilled by one or both parties. In this case, the property has not yet changed hands, and the full payment for the property has likely not been made, hence the contract remains executory until all the terms are satisfied and the transaction is finalized.