Test your basic knowledge |

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 government grant that gives an inventor the exclusive right or privilege to make - use - or sell his or her invention for a limited time period.






2. The taking of private property by the government for public use. The government may not take private property for public use without 'just compensation.'






3. A court-ordered correction of a written contract so that it reflects the true intentions of the parties.






4. The bank on which a check is drawn (the drawee bank).






5. A merger between a subsidiary corporation and a parent corporation that owns at least 90 percent of the outstanding shares of each class of stock issued by the subsidiary corporation. Short-form mergers can be accomplished without the approval of the






6. A doctrine under which a party to a contract is relieved of her or his duty to perform when performance becomes objectively impossible or totally impracticable (through no fault of either party).






7. A contract in which the terms of the agreement are stated in words - oral or written.






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






9. In a jury trial - a motion for the judge to take the decision out of the hands of the jury and to direct a verdict for the party who filed the motion on the ground that the other party has not produced sufficient evidence to support her or his claim.






10. A rule requiring a plaintiff to do whatever is reasonable to minimize the damages caused by the defendant.






11. A special court in which parties may litigate small claims (such as $5 -000 or less). Attorneys are not required in small claims courts and - in some states - are not allowed to represent the parties.






12. The portion of a corporation's profits that has not been paid out as dividends to shareholders.






13. The act of forcefully and unlawfully taking personal property of any value from another. Force or intimidation is usually necessary for an act of theft to be considered robbery.






14. A theory under which the intent to form a contract will be judged by outward - objective facts (what the party said when entering into the contract - how the party acted or appeared - and the circumstances surrounding the transaction) as interpreted






15. 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






16. As a noun - a gift of real property by will; as a verb - to make a gift of real property by will.






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






18. The document filed with a designated state official by which a limited liability company is formed.






19. In regard to employment relationships - a system in which those who have worked longest for the employer are first in line for promotions - salary increases - and other benefits. They are also the last to be laid off if the workforce must be reduced.






20. Barred - impeded - or precluded.






21. A legally recognized authority that can certify the validity of digital signatures.






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






23. A condition in a contract that - if not fulfilled - operates to terminate a party's absolute promise to perform.






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






25. A person to whom an offer is made.






26. Terms and conditions of use that are presented to an Internet user at the time certain products - such as software - are being downloaded but that need not be agreed to (by clicking 'I agree -' for example) before the user is able to install or use t






27. A possessory lien given to a person who has made improvements and added value to another person's personal property as security for payment for services performed.

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183


28. In a secured transaction - the process by which a secured creditor's interest 'attaches' to the property of another (collateral) and the creditor's security interest becomes enforceable. In the context of judicial liens - a court-ordered seizure and






29. A negotiable instrument is dishonored when payment or acceptance of the instrument - whichever is required - is refused even though the instrument is presented in a timely and proper manner.






30. A wrong against society proclaimed in a statute and - if committed - punishable by society through fines and/or imprisonment






31. 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






32. Any interest in personal property or fixtures that secures payment or performance of an obligation.






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






34. 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






35. A signed writing (record) that contains an unconditional promise or order to pay an exact sum on demand or at an exact future time to a specific person or order - or to bearer.






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






37. 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.






38. An offer (by a merchant) that is irrevocable without the necessity of consideration for a stated period of time or - if no definite period is stated - for a reasonable time (neither period to exceed three months). A firm offer by a merchant must be i






39. Standards concerning an auditor's professional qualities and the judgment exercised by him or her in the performance of an audit and report. The source of the standards is the American Institute of Certified Public Accountants.






40. 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.






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






42. Property with which the owner has voluntarily parted - with no intention of recovering it.






43. A person - such as a cosigner on a note - who agrees to be primarily responsible for the debt of another.






44. A provision of the Bankruptcy Code that allows a court to confirm a debtor's Chapter 11 reorganization plan even though only one class of creditors has accepted it.






45. In a lawsuit - an issue involving the application or interpretation of a law. Only a judge - not a jury - can rule on questions of law.






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






47. A written promise made by one person (the maker) to pay a fixed amount of money to another person (the payee or a subsequent holder) on demand or on a specified date.






48. In real property law - the right to enter onto and remove things from the property of another (for example - the right to enter onto a person's land and remove sand and gravel).






49. The right of a co-surety who pays more than her or his proportionate share on a debtor's default to recover the excess paid from other co-sureties.






50. A lease interest in land for an indefinite period involving payment of rent at fixed intervals - such as week to week - month to month - or year to year.