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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. An action to recover identified goods in the hands of a party who is wrongfully withholding them from the other party. Under the UCC - this remedy is usually available only if the buyer or lessee is unable to cover.






2. A joint surety; a person who assumes liability jointly with another surety for the payment of an obligation.






3. The legal liability of manufacturers - sellers - and lessors of goods to consumers - users - and bystanders for injuries or damages that are caused by the goods.






4. Within a specified time period or - if no period is specified - within a reasonable time.






5. A reasoning process in which an individual links his or her moral convictions or ethical standards to the particular situation at hand.






6. A rule of the United States Supreme Court under which the Court will not issue a writ of certiorari unless at least four justices approve of the decision to issue the writ.






7. 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






8. Any type of written - electronic - or graphic offer that describes the issuing corporation or its securities and includes a legend indicating that the investor can obtain the prospectus at the SEC's Web site.






9. Procedurally - a defendant's response to the plaintiff's complaint.






10. A document informing a defendant that a legal action has been commenced against him or her and that the defendant must appear in court on a certain date to answer the plaintiff's complaint.






11. An encumbrance on a property to satisfy a debt or protect a claim for payment of a debt.






12. A hybrid form of business organization that is used mainly by professionals who normally do business in a partnership. Like a partnership - an LLP is a pass-through entity for tax purposes - but the personal liability of the partners is limited.






13. An agreement in which a buyer agrees to purchase and the seller agrees to sell all or up to a stated amount of what the buyer needs or requires.






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






15. The pleading made by a plaintiff alleging wrongdoing on the part of the defendant; the document that - when filed with a court - initiates a lawsuit.






16. A contractual promise of one party to refrain from conducting business similar to that of another party for a certain period of time and within a specified geographic area. Courts commonly enforce such covenants if they are reasonable in terms of tim






17. Any instrument that is not payable to a specific person - including instruments payable to the bearer or to 'cash.'






18. A state statute under which certain types of contracts must be in writing to be enforceable.






19. A type of tenancy under which a tenant who - after rightfully being in possession of leased premises - continues (wrongfully) to occupy the property after the lease has terminated. The tenant has no rights to possess the property and occupies it only






20. The first bank to receive a check for payment.






21. In regard to the sale or lease of goods - a property interest in the goods that is sufficiently substantial to permit a party to insure against damage to the goods. In the context of insurance - an interest either in a person's life or well-being tha






22. A common law rule that requires that the terms of the offeree's acceptance adhere exactly to the terms of the offeror's offer for a valid contract to be formed.






23. A party that holds a lien that is subordinate to one or more other liens on the same property.






24. Property resulting from intellectual - creative processes.






25. A series of written questions for which written answers are prepared by a party to a lawsuit - usually with the assistance of the party's attorney - and then signed under oath.






26. A seller's or lessor's oral or written promise or affirmation of fact - ancillary to an underlying sales or lease agreement - as to the quality - description - or performance of the goods being sold or leased.






27. In bankruptcy proceedings - the suspension of virtually all litigation and other action by creditors against the debtor or the debtor's property. The stay is effective the moment the debtor files a petition in bankruptcy.






28. A specific type of investment company that continually buys or sells to investors shares of ownership in a portfolio.






29. A contract having no legal force or binding effect.






30. A business entity that has no tax liability. The entity's income is passed through to the owners - and the owners pay taxes on the income.






31. A will written entirely in the signer's handwriting and usually not witnessed.






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






33. Mistake that occurs when one party to a contract is mistaken as to a material fact; the contract normally is enforceable.






34. A gift made during one's lifetime and not in contemplation of imminent death - in contrast to a gift causa mortis.






35. A note issued by a bank in which the bank acknowledges the receipt of funds from a party and promises to repay that amount - with interest - to the party on a certain date.






36. The authority of a court to hear and decide a specific case.






37. The act of presenting an instrument to the party liable on the instrument to collect payment. Presentment also occurs when a person presents an instrument to a drawee for a required acceptance.






38. A company that acts on behalf of many smaller shareholders/owners by buying a large portfolio of securities and professionally managing that portfolio.






39. Private equity capital is a financing method by which a company sells equity in an existing business to a private or institutional investor.






40. A party who transfers (delegates) her or his obligations under a contract to another party (called the delegatee).






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






42. A thing that was once personal property but has become attached to real property in such a way that it takes on the characteristics of real property and becomes part of that real property.






43. One designated in a will to receive a gift of real property.






44. 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.






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






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






47. Failure to observe a promise or discharge an obligation; commonly used to refer to failure to pay a debt when it is due.






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






49. A clause in a time instrument that allows the instrument's date of maturity to be extended into the future.






50. Property with which the owner has voluntarily parted and then cannot find or recover.