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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 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






2. A person in possession of an instrument payable to bearer or indorsed in blank.






3. A contract that results when an offer can be accepted only by the offeree's performance.






4. 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.






5. Statutes that allow deeds - mortgages - and other real property transactions to be recorded so as to provide notice to future purchasers or creditors of an existing claim on the property.






6. A clause in a contract designating the law (such as the law of a particular state or nation) that will govern the contract.






7. A nonpossessory right to use another's property in a manner established by either express or implied agreement.






8. A federal court of limited jurisdiction that handles only bankruptcy proceedings - which are governed by federal bankruptcy law.






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






10. A person who acquires the right to the possession and use of another's goods in exchange for rental payments.






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






12. A type of conditional sale in which title and possession pass from the seller to the buyer - but the buyer retains the option to return the goods during a specified period even though the goods conform to the contract.






13. 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.






14. The joint ownership of property by two or more co-owners in which each co-owner owns an undivided portion of the property. On the death of one of the joint tenants - his or her interest automatically passes to the surviving joint tenant(s).






15. A person appointed by a testator in a will to see that her or his will is administered appropriately.






16. The settling of a dispute by submitting it to a disinterested third party (other than a court) - who renders a decision that is (most often) legally binding.






17. Unlawful pressure brought to bear on a person - causing the person to perform an act that she or he would not otherwise perform.






18. One who works for - and receives payment from - an employer but whose working conditions and methods are not controlled by the employer. An independent contractor is not an employee but may be an agent.






19. In criminal law - the least serious kind of criminal offense - such as a traffic or building-code violation.






20. An action to carry into effect the directions in a court decree or judgment.






21. The idea that corporations can and should act ethically and be accountable to society for their actions.






22. A charge by a grand jury that a named person has committed a crime.






23. In securities law - a transaction in which a person invests in a common enterprise with the reasonable expectation that profits will be derived primarily from the efforts of others.






24. A contractual and statutory process in which two or more corporations join to become a completely new corporation. The original corporations cease to exist - and the new corporation acquires all their assets and liabilities.






25. A person to whom an offer is made.






26. A motion requesting the court to grant judgment in favor of the party making the motion on the ground that the jury's verdict against him or her was unreasonable and erroneous.






27. An equitable trust that is imposed in the interests of fairness and justice when someone wrongfully holds legal title to property. A court may require the owner to hold the property in trust for the person or persons who should rightfully own the pro






28. A government's taking of a privately owned business or personal property without a proper public purpose or an award of just compensation.






29. 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






30. A payee on a negotiable instrument whom the maker or drawer does not intend to have an interest in the instrument. Indorsements by fictitious payees are treated as authorized indorsements under Article 3 of the UCC.






31. The act of refraining from an action that one has a legal right to undertake.






32. The resolution of disputes with the assistance of organizations that offer dispute-resolution services via the Internet.






33. Nonviolent crime committed by individuals or corporations to obtain a personal or business advantage.






34. 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.






35. A contract formed in whole or in part from the conduct of the parties (as opposed to an express contract).






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






37. Having left a will at death.






38. Property resulting from intellectual - creative processes.






39. 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.






40. A contract between the issuer of a bond and the bondholder.






41. 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.






42. 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






43. A certificate issued by a corporation evidencing the ownership of a specified number of shares in the corporation.






44. The use of an asset that is not the subject of a loan to collateralize that loan.






45. The severance of the relationship between a partner and a partnership when the partner ceases to be associated with the carrying on of the partnership business.






46. 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.






47. 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






48. Under a mortgage agreement - the debtor who gives the creditor a security interest in the debtor's property in return for a mortgage loan.






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






50. A question that pertains to the U.S. Constitution - acts of Congress - or treaties. A federal question provides a basis for federal jurisdiction.