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Test your basic knowledge |
Business Law Fundamentals
Start Test
Study First
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. One to whom an obligation is owed.
tender of delivery
obligee
promissory note
generally accepted accounting principles (GAAP)
2. Any act that is directed against computers and computer parts - that uses computers as instruments of crime - or that involves computers and constitutes abuse.
computer crime
backdating
after-acquired property
bond indenture
3. A form of eviction that occurs when a landlord fails to perform adequately any of the duties (such as providing heat in the winter) required by the lease - thereby making the tenant's further use and enjoyment of the property exceedingly difficult or
domestic corporation
motion to dismiss
concurrent conditions
constructive eviction
4. In insurance law - the price paid by the insured for insurance protection for a specified period of time.
assignee
exclusive jurisdiction
premium
brief
5. The legally recognized privilege to protect oneself or one's property against injury by another. The privilege of self-defense usually applies only to acts that are reasonably necessary to protect oneself - one's property - or another person.
accredited investors
liquidation
self-defense
intangible property
6. Generally - a stock certificate - bond - note - debenture - warrant - or other document or record evidencing an ownership interest in a corporation or a promise to repay a corporation's debt.
sale
security
Statute of Frauds
assignee
7. A gift of personal property by will (from the verb to bequeath).
motion for a new trial
penalty
prima facie case
bequest
8. A meeting of two or more minds in regard to the terms of a contract; usually broken down into two events
agreement
sole proprietorship
backdating
sublease
9. Job-hiring policies that give special consideration to members of protected classes in an effort to overcome present effects of past discrimination.
affirmative action
preemptive rights
self-defense
employment at will
10. Unlawful pressure brought to bear on a person - causing the person to perform an act that she or he would not otherwise perform.
limited liability company (LLC)
duress
contract
U.S. trustee
11. A network that can be used by persons located (distributed) around the country or the globe to share computer files.
distributed network
long arm statute
gift causa mortis
cyber mark
12. The obtaining of funds by legal process through the seizure and sale of nonsecured property - usually done after a writ of execution has been issued.
constructive delivery
writ of execution
attachment
levy
13. Necessities required for life - such as food - shelter - clothing - and medical attention; may include whatever is believed to be necessary to maintain a person's standard of living or financial and social status.
sovereign immunity
necessaries
piercing the corporate veil
corporation
14. The fraudulent appropriation of funds or other property by a person to whom the funds or property has been entrusted.
shareholder's derivative suit
embezzlement
recording statutes
limited partner
15. Drawee that is legally obligated to pay an instrument when it is presented later for payment.
parol evidence rule
joint tenancy
articles of organization
acceptor
16. A situation in which the personal property of one person (a bailor) is entrusted to another (a bailee) - who is obligated to return the bailed property to the bailor or dispose of it as directed.
bailment
S corporation
predominant-factor test
disaffirmance
17. 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).
specific performance
taking
profit
mortgage
18. The authority of a court to hear and decide a specific case.
concurrent ownership
jurisdiction
operating agreement
perfection
19. 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.
voidable contract
robbery
choice-of-law clause
docket
20. One receiving a license to use another's (the franchisor's) trademark - trade name - or copyright in the sale of goods and services.
periodic tenancy
testator
franchisee
generally accepted accounting principles (GAAP)
21. 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.
writ of execution
contract
requirements contract
acceleration clause
22. Goods that conform to contract specifications.
necessaries
financing statement
right of contribution
conforming goods
23. A person who is engaged in the purchase and sale of goods. Under the UCC - a person who deals in goods of the kind involved in the sales contract or who holds herself or himself out as having skill or knowledge peculiar to the practices or goods bein
merchant
deficiency judgment
ethics
recording statutes
24. A motion requesting the court to enter a judgment without proceeding to trial. The motion can be based on evidence outside the pleadings and will be granted only if no facts are in dispute.
motion for summary judgment
risk management
S corporation
mitigation of damages
25. 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.
delegator
quota
arbitration
joint tenancy
26. In regard to the lease of goods - an agreement in which one person (the lessor) agrees to transfer the right to the possession and use of property to another person (the lessee) in exchange for rental payments.
concurrent ownership
proxy
partnership
lease agreement
27. A court-ordered correction of a written contract so that it reflects the true intentions of the parties.
consideration
identity theft
reformation
short-form merger
28. Any transaction in which the payment of a debt is guaranteed - or secured - by personal property owned by the debtor or in which the debtor has a legal interest.
secured transaction
bond indenture
alternative dispute resolution (ADR)
wrongful discharge
29. The principle that the holder of a negotiable instrument who cannot qualify as a holder in due course (HDC) - but who derives his or her title through an HDC - acquires the rights of an HDC.
ethics
cyber mark
bilateral contract
shelter principle
30. A type of tenancy that either party can terminate without notice; usually arises when a tenant who has been under a tenancy for years retains possession - with the landlord's consent - after the tenancy for years has terminated.
anticipatory repudiation
express contract
binder
tenancy at will
31. 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
confiscation
objective theory of contracts
security agreement
collective mark
32. The legal avoidance - or setting aside - of a contractual obligation.
disaffirmance
complaint
international organization
due diligence
33. Latin for 'let the master respond.' A doctrine under which a principal or an employer is held liable for the wrongful acts committed by agents or employees while acting within the course and scope of their agency or employment.
holographic will
respondeat superior
discharge
will
34. An ownership interest in land in which the owner has the greatest possible aggregation of rights - privileges - and power. Ownership in fee simple absolute is limited absolutely to a person and her or his heirs.
lost property
contractual capacity
check
fee simple absolute
35. An interest in land that exists only for the duration of the life of some person - usually the holder of the estate.
click-on agreement
security agreement
obligee
life estate
36. A charge by a grand jury that a named person has committed a crime.
policy
investment company
indictment
question of fact
37. A rule providing that an acceptance of an offer becomes effective on dispatch (on being placed in an official mailbox) - if mail is - expressly or impliedly - an authorized means of communication of acceptance to the offeror.
mailbox rule
confiscation
beyond a reasonable doubt
tariff
38. A group of citizens called to decide - after hearing the state's evidence - whether a reasonable basis (probable cause) exists for believing that a crime has been committed and that a trial ought to be held.
estopped
grand jury
I-9 verification
presentment
39. The wrongful taking and carrying away of another person's personal property with the intent to permanently deprive the owner of the property. Some states classify larceny as either grand or petit - depending on the property's value.
choice-of-language clause
respondeat superior
larceny
SEC Rule 10b-5
40. All costs resulting from a breach of contract - including all reasonable expenses incurred because of the breach.
incidental damages
certificate of limited partnership
identity theft
emancipation
41. A termination of employment brought about by making the employee's working conditions so intolerable that the employee reasonably feels compelled to leave.
specific performance
partnership
defalcation
constructive discharge
42. A Latin term meaning 'per person.' In the law governing estate distribution - a method of distributing the property of an intestate's estate so that each heir in a certain class (such as grandchildren) receives an equal share.
continuation statement
license
exculpatory clause
per capita
43. A firm that requires union membership by its workers as a condition of employment. The closed shop was made illegal by the Labor-Management Relations Act of 1947.
seasonably
closed shop
disclosed principal
execution
44. Any voluntary transfer of property made without consideration - past or present.
gift
nuncupative will
bailee
tender
45. Under a mortgage agreement - the debtor who gives the creditor a security interest in the debtor's property in return for a mortgage loan.
mortgagor
attachment
fictitious payee
online dispute resolution (ODR)
46. In criminal law - a defense in which the defendant claims that he or she was induced by a public official
e-money
venture capital
general partner
entrapment
47. 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.
double jeopardy
moral minimum
articles of incorporation
generally accepted auditing standards (GAAS)
48. A company that acts on behalf of many smaller shareholders/owners by buying a large portfolio of securities and professionally managing that portfolio.
collateral promise
investment company
litigation
dissolution
49. In a limited partnership - a partner who assumes responsibility for the management of the partnership and liability for all partnership debts.
standing to sue
discharge
counteroffer
general partner
50. The act of accepting and giving legal force to an obligation that previously was not enforceable.
ratification
easement
wrongful discharge
policy