Those tales, creatures and people considered as “legends” in the land of Folkloren, are those things that passed out bounds, faded from records or even the great creator’s design.
In the Starwars fandom, the term “legends,” refers stories with a status of being non-canonical (non-canon). Sometimes they are given this status by new additions to the lore, but on rare occasion, a character or event can be resurrected, either explicitly or by implication.