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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. The process by which a criminal defendant and the prosecutor in a criminal case work out a mutually satisfactory disposition of the case - subject to court approval; usually involves the defendant's pleading guilty to a lesser offense in return for a






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






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






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






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






6. Occurs when an individual adds value to personal property by the use of either labor or materials. In some situations - a person may acquire ownership rights in another's property through accession.






7. Property that is movable; any property that is not real property.






8. In corporate law - a written agreement between a stockholder and another party in which the stockholder authorizes the other party to vote the stockholder's shares in a certain manner.






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






10. A party who transfers (assigns) his or her rights under a contract to another party (called the assignee).






11. A promise or commitment to perform or refrain from performing some specified act in the future.






12. A paper exchanged in the regular course of business that evidences the right to possession of goods (for example - a bill of lading or a warehouse receipt).






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






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






15. A rule that immunizes corporate management from liability for actions that result in corporate losses or damages if the actions are undertaken in good faith and are within both the power of the corporation and the authority of management to make.






16. A state law providing that employees may not be required to join a union as a condition of retaining employment.






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






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






19. The acquisition of control over a corporation through the purchase of a substantial number of the voting shares of the corporation.






20. Evidence that consists of computer-generated or electronically recorded information - including e-mail - voice mail - spreadsheets - word-processing documents - and other data.






21. Professional misconduct or unreasonable lack of skill; the failure of a professional to use the skills and learning common to the average reputable members of the profession or the skills and learning the professional claims to possess - resulting in






22. A significant change in employment status - such as a change brought about by firing or failing to promote an employee - reassigning the employee to a position with significantly different responsibilities - or effecting a significant change in emplo






23. A court's order - issued prior to a trial to collect a debt - directing the sheriff or other public officer to seize nonexempt property of the debtor. If the creditor prevails at trial - the seized property can be sold to satisfy the judgment.






24. A party to whom contractual obligations are transferred - or delegated.






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






26. The purchase or sale of securities on the basis of inside information (information that has not been made available to the public).






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






28. A contractual clause that states that a certain amount of monetary damages will be paid in the event of a future default or breach of contract. The damages are a punishment for a default and not a measure of compensation for the contract's breach. Th






29. One who entrusts goods to a bailee.






30. Special damages that compensate for a loss that does not directly or immediately result from the breach (for example - lost profits). For the plaintiff to collect consequential damages - they must have been reasonably foreseeable at the time the brea






31. The image and overall appearance of a product






32. A check that has been accepted in writing by the bank on which it is drawn. Essentially - the bank - by certifying (accepting) the check - promises to pay the check at the time the check is presented.






33. One licensing another (the franchisee) to use the owner's trademark - trade name - or copyright in the selling of goods or services.






34. A deed intended to pass any title - interest - or claim that the grantor may have in the property without warranting that such title is valid. A quitclaim deed offers the least amount of protection against defects in the title.






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






36. A writ from a higher court asking the lower court for the record of a case.






37. A motion asserting that the trial was so fundamentally flawed (because of error - newly discovered evidence - prejudice - or another reason) that a new trial is necessary to prevent a miscarriage of justice.






38. A designation in the United States for a corporation formed in another country but doing business in the United States.






39. In criminal law - a defense in which the defendant claims that he or she was induced by a public official






40. A person on the board of directors who is also an officer of the corporation.






41. A doctrine that applies when a promisor makes a clear and definite promise on which the promisee justifiably relies. Such a promise is binding if justice will be better served by the enforcement of the promise.






42. Shares of ownership in a corporation that give the owner of the stock a proportionate interest in the corporation with regard to control - earnings - and net assets. Shares of common stock are lowest in priority with respect to payment of dividends a






43. 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.






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






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






46. A 'standard-form' contract - such as that between a large retailer and a consumer - in which the stronger party dictates the terms.






47. 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.






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






49. 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.






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