Literary is hard to define, but I think we can say it goes back to the purpose of a piece of writing. Something that aims at not just being a story with a moral like a fable (or like I think Twilight tries to be... isn't it supposed to be about abstinence of something?). It's something that attempts to inform our perception of society in someway. Wherein it's making a commentary on that society or on that characteristic in a person or something. It can be a critique. It can be a model. It can be a statement of protest. But it's trying to get people's attention and make them listen. Make them realize something about themselves and about the world they live in.

However, I also take literary as being clever honestly. I have a broader definition of literature and literary value than most people in my field. It's taking your readers, viewers, listeners, whatever through so many twists and turns that they can't follow. It's taking an old story and reinventing it in a new way and in some way commenting on both the original story and the world that you've created with this new story.

Literary is structured writing. Writing that aims to explain. To explore. To question. It's not there just to be enjoyed and be cliche like a romance novel. It's not there to beat a moral into people's heads.