This music was designed to function as background material. Its purpose is to establish a court ambiance in Jabba's palace. It is intended to be diegetic music (a sound whose source is visible on the screen). Despite the name of the track, this sounds more like classical (à la Mozart) than baroque music.
Jabba's Baroque Recital consists of a traverso, chamber organ, and harpsichord, complete with an alberti bass motion. It is presented in 3/4 time, much like a minuet, and is in A-B-A-C-A (ornamented) form.