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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 interest in land that exists only for the duration of the life of some person - usually the holder of the estate.






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






3. 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.






4. In contract law - a voluntary act by the offeree that shows assent - or agreement - to the terms of an offer; may consist of words or conduct. In negotiable instruments law - the drawee's signed agreement to pay a draft when it is presented.






5. A draft drawn by a drawer ordering the drawee bank or financial institution to pay a certain amount of money to the holder on demand.






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






7. A holder who acquires a negotiable instrument for value; in good faith; and without notice that the instrument is overdue - that it has been dishonored - that any person has a defense against it or a claim to it - or that the instrument contains unau






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






9. In bankruptcy proceedings - all of the debtor's interests in property currently held - wherever located - together with certain jointly owned property - property transferred in transactions voidable by the trustee - proceeds and profits from the prop






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






11. A security interest that arises when a seller or lender extends credit for part or all of the purchase price of goods purchased by a buyer.






12. Charging an illegal rate of interest.






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






14. A contract that results when the elements necessary for contract formation (agreement - consideration - legal purpose - and contractual capacity) are present.






15. Property that has physical existence and can be distinguished by the senses of touch or sight. A car is tangible property; a patent right is intangible property.






16. A type of tenancy under which property is leased for a specified period of time - such as a month - a year - or a period of years; also called a tenancy for years.






17. A revocable right or privilege of a person to come onto another person's land. In the context of intellectual property law - an agreement permitting the use of a trademark - copyright - patent - or trade secret for certain limited purposes.






18. A deed in which the grantor assures (warrants to) the grantee that the grantor has title to the property conveyed in the deed - that there are no encumbrances on the property other than what the grantor has represented - and that the grantee will enj






19. A contract that by law requires a specific form - such as being executed under seal - for its validity.






20. A contract under which the offeror cannot revoke the offer for a stipulated time period. During this period - the offeree can accept or reject the offer without fear that the offer will be made to another person. The offeree must give consideration f






21. A trust that is created by will and therefore does not take effect until the death of the testator.






22. Generally - stock certificates - bonds - notes - debentures - warrants - or other documents given as evidence of an ownership interest in a corporation or as a promise of repayment by a corporation.






23. Conditions that must occur or be performed at the same time; they are mutually dependent. No obligations arise until these conditions are simultaneously performed.






24. A relationship between two parties in which one party (the agent) agrees to represent or act for the other (the principal).






25. An equitable remedy under which a person is restored to his or her original position prior to loss or injury - or placed in the position he or she would have been in had the breach not occurred.






26. Commonly referred to as a 'green card -' the I-551 Alien Registration Receipt is proof that a foreign-born individual is lawfully admitted for permanent residence in the United States. Persons seeking employment can prove to prospective employers tha






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






28. Goods that conform to contract specifications.






29. A formal accusation or complaint (without an indictment) issued in certain types of actions (usually criminal actions involving lesser crimes) by a government prosecutor.






30. An absolute form of property ownership entitling the property owner to use - possess - or dispose of the property as he or she chooses during his or her lifetime. On death - the interest in the property descends to the owner's heirs.






31. 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).






32. The joint ownership of property by a husband and wife. Neither party can transfer her or his interest in the property without the consent of the other.






33. A contract that may be legally avoided (canceled - or annulled) at the option of one or both of the parties.






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






35. A gift of personal property by will (from the verb to bequeath).






36. A set of governing rules adopted by a corporation or other association.






37. 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.






38. A person who makes an offer.






39. 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.






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






41. A secondary promise that is ancillary (subsidiary) to a principal transaction or primary contractual relationship - such as a promise made by one person to pay the debts of another if the latter fails to perform. A collateral promise normally must be






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






43. Property resulting from intellectual - creative processes.






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






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






46. The act of registering a domain name that is the same as - or confusingly similar to - the trademark of another and then offering to sell that domain name back to the trademark owner.






47. The conventions - rules - and procedures that define accepted accounting practices at a particular time. The source of the principles is the Financial Accounting Standards Board.






48. A lease executed by the lessee of real estate to a third person - conveying the same interest that the lessee enjoys but for a shorter term than that held by the lessee.






49. An assertion or action by a party indicating that he or she will not perform an obligation that the party is contractually obligated to perform at a future time.






50. The power of a government to take land from private citizens for public use on the payment of just compensation.