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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. A claim made by a defendant in a civil lawsuit against the plaintiff. In effect - the defendant is suing the plaintiff.






2. A document prepared by a secured creditor and filed with the appropriate state or local official - to give notice to the public that the creditor has a security interest in collateral belonging to the debtor named in the statement. Financing statemen






3. An offer to purchase made by one company directly to the shareholders of another (target) company; sometimes referred to as a takeover bid.






4. A gift made in contemplation of death. If the donor does not die of that ailment - the gift is revoked.






5. An agreement in which employers voluntarily agree with unions not to handle - use - or deal in other employers' goods that were not produced by union employees; a type of secondary boycott explicitly prohibited by the Labor-Management Reporting and D






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






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






8. In international law - a formal written agreement negotiated between two nations or among several nations. In the United States - all treaties must be approved by the Senate.






9. Property with which the owner has involuntarily parted and then cannot find or recover.






10. Generally - the value given in return for a promise; involves two elements






11. Authority that is only apparent - not real. In agency law - a person may be deemed to have had the power to act as an agent for another party if the other party's manifestations to a third party led the third party to believe that an agency existed w






12. A provision in a contract stipulating that certain unforeseen events






13. A tax return submitted by a partnership that only reports the income and losses earned by the business. The partnership as an entity does not pay taxes on the income received by the partnership. A partner's profit from the partnership (whether distri






14. A partnership consisting of one or more general partners (who manage the business and are liable to the full extent of their personal assets for debts of the partnership) and one or more limited partners (who contribute only assets and are liable onl






15. A type of contract that arises when a promise is given in exchange for a return promise.






16. The principle by which one nation defers to and gives effect to the laws and judicial decrees of another nation. This recognition is based primarily on respect.






17. A contract that has been completely performed by both parties.






18. To put funds or goods together into one mass so that they are so mixed that they no longer have separate identities. In corporate law - if personal and corporate interests are commingled to the extent that the corporation has no separate identity - a






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






20. 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.






21. An express contract in which a third party to a debtor-creditor relationship (the surety) promises to be primarily responsible for the debtor's obligation.






22. One receiving a license to use another's (the franchisor's) trademark - trade name - or copyright in the sale of goods and services.






23. A deed in which the grantor warrants only that the grantor or seller held good title during his or her ownership of the property and does not warrant that there were no defects of title when the property was held by previous owners.






24. Legally protected rights and interests in anything with an ascertainable value that is subject to ownership.






25. The act of stealing another's identifying information






26. The fraudulent making or altering of any writing in a way that changes the legal rights and liabilities of another.






27. The various documents used and developed by an accountant during an audit - such as notes and computations - that make up the work product of an accountant's services to a client.






28. A purchaser who buys without notice of any circumstance that would cause a person of ordinary prudence to inquire as to whether the seller has valid title to the goods being sold.






29. The exclusive right of an author or originator of a literary or artistic production (including computer programs) to publish - print - or sell that production for a statutory period of time.






30. An agreement between a debtor and a creditor in which the debtor voluntarily agrees to pay - or reaffirm - a debt dischargeable in bankruptcy. To be enforceable - the agreement must be made before the debtor is granted a discharge.






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






32. Generally - a stock certificate - bond - note - debenture - warrant - or other document or record evidencing an ownership interest in a corporation or a promise to repay a corporation's debt.






33. The party that initiates a draft (such as a check) - thereby ordering the drawee to pay.






34. A situation occurring when a person is tried twice for the same criminal offense; prohibited by the Fifth Amendment to the Constitution.






35. A contract for the sale of goods in which the seller is required or authorized to ship the goods by carrier and tender delivery of the goods at a particular destination. The seller assumes liability for any losses or damage to the goods until they ar






36. A clause in a contract that provides that - in the event of a dispute - the parties will submit the dispute to arbitration rather than litigate the dispute in court.






37. A motion by either party to a lawsuit at the close of the pleadings requesting the court to decide the issue solely on the pleadings without proceeding to trial. The motion will be granted only if no facts are in dispute.






38. A set of rules issued by the Federal Reserve System's Board of Governors to protect users of electronic fund transfer systems.






39. A debt for which the amount has been ascertained - fixed - agreed on - settled - or exactly determined. If the amount of the debt is in dispute - the debt is considered unliquidated.






40. 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






41. A mark used by one or more persons - other than the owner - to certify the region - materials - mode of manufacture - quality - or other characteristic of specific goods or services.






42. The list of cases entered on a court's calendar and thus scheduled to be heard by the court.






43. Ownership rights in property - including the right to possess and control the property.






44. An agreement that creates or provides for a security interest between the debtor and a secured party.






45. A process in which parties attempt to settle their dispute informally - with or without attorneys to represent them. In the context of negotiable instruments - the transfer of an instrument in such form that the transferee (the person to whom the ins






46. State or local laws that prohibit the performance of certain types of commercial activities on Sunday.






47. Statements made by the plaintiff and the defendant in a lawsuit that detail the facts - charges - and defenses involved in the litigation. The complaint and answer are part of the pleadings.






48. Any bank handling an item for collection - except the payor bank.






49. All costs resulting from a breach of contract - including all reasonable expenses incurred because of the breach.






50. The purchase or sale of securities on the basis of information that has not been made available to the public.