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Business Law Fundamentals

Subjects : law, business-law
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Procedurally - a plaintiff's response to a defendant's answer.






2. An out-of-court agreement between a debtor and creditors in which the parties work out a payment plan or schedule under which the debtor's debts can be discharged.






3. A type of conditional sale in which the buyer may take the goods on a trial basis. The sale becomes absolute only when the buyer approves of (or is satisfied with) the goods being sold.






4. A bank in which another bank has an account (and vice versa) for the purpose of facilitating fund transfers.






5. Rights held by shareholders that entitle them to purchase newly issued shares of a corporation's stock - equal in percentage to shares already held - before the stock is offered to any outside buyers. Preemptive rights enable shareholders to maintain






6. In a given state - a corporation that does business in - and is organized under the law of - that state.






7. A trust in which the property held by the trustee must be used for a charitable purpose - such as the advancement of health - education - or religion.






8. A revocable right or privilege of a person to come onto another person's land.






9. One who owes an obligation to another.






10. A warranty that arises by law because of the circumstances of a sale - rather than by the seller's express promise.






11. A state statute that permits a state to obtain personal jurisdiction over nonresident defendants. A defendant must have certain 'minimum contacts' with that state for the statute to apply.






12. The intentional burning of another's dwelling. Some statutes have expanded this to include any real property regardless of ownership and the destruction of property by other means






13. A third party for whose benefit a contract is formed. An intended beneficiary can sue the promisor if such a contract is breached.






14. The last part of an Internet address - such as 'westlaw.edu.' The top level (the part of the name to the right of the period) indicates the type of entity that operates the site ('edu' is an abbreviation for 'educational'). The second level (the part






15. An unconditional offer to perform an obligation by a person who is ready - willing - and able to do so.






16. A form of employment discrimination that results when an employer intentionally discriminates against employees who are members of protected classes.






17. Co-ownership of property in which each party owns an undivided interest that passes to her or his heirs at death.






18. An act that takes place before the contract is made and that ordinarily - by itself - cannot be consideration for a later promise to pay for the act.






19. A written agreement that sets forth each partner's rights and obligations with respect to the partnership.






20. A guilty (prohibited) act. The commission of a prohibited act is one of the two essential elements required for criminal liability - the other element being the intent to commit a crime.






21. A person who agrees to satisfy the debt of another (the debtor) only after the principal debtor defaults. Thus - a guarantor's liability is secondary.






22. The mixing together of goods belonging to two or more owners so that the separately owned goods cannot be identified.






23. A transfer of funds with the use of an electronic terminal - a telephone - a computer - or magnetic tape.






24. A required standard of care that certain professionals - such as accountants - must meet to avoid liability for securities violations.






25. One who makes and executes a will.






26. A system of law derived from that of the Roman Empire and based on a code rather than case law; the predominant system of law in the nations of continental Europe and the nations that were once their colonies.






27. An agreement between a seller and a buyer who frequently do business with each other concerning the terms and conditions that will apply to all subsequently formed electronic contracts.






28. A trademark in cyberspace.






29. A check - other than a certified check - that is presented for payment more than six months after its date.






30. As a noun - one who has died without having created a valid will; as an adjective - the state of having died without a will.






31. The failure - without legal excuse - of a promisor to perform the obligations of a contract.






32. A set of policies or procedures affecting the way a corporation is directed or controlled.






33. A certificate that grants the owner the option to buy a given number of shares of stock - usually within a set time period.






34. A rule under which a court will not receive into evidence the parties' prior negotiations - prior agreements - or contemporaneous oral agreements if that evidence contradicts or varies the terms of the parties' written contract.






35. The principle that the holder of a negotiable instrument who cannot qualify as a holder in due course (HDC) - but who derives his or her title through an HDC - acquires the rights of an HDC.






36. The lowest wage - either by government regulation or union contract - that an employer may pay an hourly worker.






37. A type of limited partnership in which the liability of all of the partners - including general partners - is limited to the amount of their investments.






38. A crime committed on the Internet.






39. The termination of an obligation. In contract law - discharge occurs when the parties have fully performed their contractual obligations or when other events occur that release the parties from performance. In bankruptcy proceedings - discharge is th






40. As defined by the Uniform Electronic Transactions Act - 'an electronic sound - symbol - or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record.'






41. Under the Uniform Commercial Code - a seller's or lessor's act of placing conforming goods at the disposal of the buyer or lessee and giving the buyer or lessor whatever notification is reasonably necessary to enable the buyer or lessee to take deliv






42. Commonly referred to as a 'green card -' the I-551 Alien Registration Receipt is proof that a foreign-born individual is lawfully admitted for permanent residence in the United States. Persons seeking employment can prove to prospective employers tha






43. A contract or clause that is void on the basis of public policy because one party - as a result of disproportionate bargaining power - is forced to accept terms that are unfairly burdensome and that unfairly benefit the dominating party.






44. Goods that conform to contract specifications.






45. The act of transferring to another all or part of one's duties arising under a contract.






46. The right of a party who tenders nonconforming performance to correct that performance within the contract period [UCC 2-508(1)].






47. Any membership group that operates across national borders. These organizations can be governmental organizations - such as the United Nations - or nongovernmental organizations (NGOs) - such as the Red Cross.






48. Shares of stock issued by a corporation for which the corporation receives - as payment - less than the stated value of the shares.






49. An approach to ethical reasoning that evaluates behavior in light of the consequences of that behavior for those who will be affected by it - rather than on the basis of any absolute ethical or moral values. In utilitarian reasoning - a 'good' decisi






50. In a limited partnership - a partner who assumes responsibility for the management of the partnership and liability for all partnership debts.