The morphologies and mechanical properties of thermoplastic-modified epoxy networks generated through the reaction-induced phase separation procedure were studied as a function of isothermal cure conditions. The selected model system was diglycidyl ether of bisphenol A cured with 4,4’-methylenebis [3-chloro,2,6-diethylaniline] in the presence of a nonfunctionalized polyetherimide. Appropriate precuring and postcuring schedules were selected. The precure temperature had a strong effect on final morphologies because it affected the viscosity of the system at the cloud point and the extent of the separation process. The morphologies generated are discussed in connection with phase separation mechanisms. The ratio of the height of the loss peaks corresponding to each phase was an appropriate parameter to qualitatively predict the shape of morphology and to determine if the system was phase-inverted or not. The fracture toughness, K-Ic was significantly improved only when bicontinuous or inverted structures were generated, resulting from the plastic drawing of the thermoplastic-rich phase. Before phase inversion, K-Ic was hardly higher than that of the neat matrix due to poor interfacial adhesion. Nevertheless, the thermoplastic-rich particles constitute obstacles to the propagation of the crack and contribute to the toughening of the material, measured through impact resistance measurements. The observation of fracture surfaces revealed the occurrence of microcracking and crack-pinning. Strain recovery experiments showed that particle-induced shear yielding of the matrix was present as well.