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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 doctrine that immunizes foreign nations from the jurisdiction of U.S. courts when certain conditions are satisfied.






2. 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.






3. Under the Uniform Commercial Code Section 2-403(2) - a rule stating that if goods are entrusted to a merchant who deals in goods of that kind - the merchant has the power to transfer those goods and all rights to them to a buyer in the ordinary cours






4. The pleading made by a plaintiff alleging wrongdoing on the part of the defendant; the document that - when filed with a court - initiates a lawsuit.






5. A union's refusal to work for - purchase from - or handle the products of a secondary employer - with whom the union has no dispute - in order to force that employer to stop doing business with the primary employer - with whom the union has a labor d






6. 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.






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






8. A doctrine under which a party may be excused from performing a contract when (1) a contingency occurs - (2) the contingency's occurrence makes performance impracticable - and (3) the nonoccurrence of the contingency was a basic assumption on which t






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






10. A provision in a contract designating the court - jurisdiction - or tribunal that will decide any disputes arising under the contract.






11. A network that can be used by persons located (distributed) around the country or the globe to share computer files.






12. A person who makes an offer.






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. The mixing together of goods belonging to two or more owners so that the separately owned goods cannot be identified.






15. Barred - impeded - or precluded.






16. The process of transferring land out of one's possession (thus 'alienating' the land from oneself).






17. Prior conduct between the parties to a contract that establishes a common basis for their understanding.






18. In partnership law - a doctrine under which a plaintiff may sue - and collect a judgment from - all of the partners together (jointly) or one or more of the partners separately (severally - or individually). This is true even if one of the partners s






19. An old French phrase meaning 'to speak the truth.' In legal terms - it refers to the process in which the attorneys question prospective jurors to learn about their backgrounds - attitudes - biases - and other characteristics that may affect their ab






20. A pleading in which a defendant asserts that the plaintiff's claim fails to state a cause of action (that is - has no basis in law) or that there are other grounds on which a suit should be dismissed. Although the defendant normally is the party requ






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






22. A card containing a microprocessor that permits storage of funds via security programming - can communicate with other computers - and does not require online authorization for fund transfers.






23. A crime






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






25. Falsely reporting income that has been obtained through criminal activity as income obtained through a legitimate business enterprise






26. A written - temporary insurance policy.






27. The act of accepting and giving legal force to an obligation that previously was not enforceable.






28. The simplest form of business organization - in which the owner is the business. The owner reports business income on his or her personal income tax return and is legally responsible for all debts and obligations incurred by the business.






29. A party who transfers (delegates) her or his obligations under a contract to another party (called the delegatee).






30. 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.






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. An implied trust arising from the conduct of the parties. A trust in which a party holds the actual legal title to another's property but only for that person's benefit.






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






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






35. The relationship that exists between the promisor and the promisee of a contract.






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






37. An agreement made before marriage that defines each partner's ownership rights in the other partner's property. Prenuptial agreements must be in writing to be enforceable.






38. A purchaser who buys without notice of any circumstance that would cause a person of ordinary prudence to inquire as to whether the seller has valid title to the goods being sold.






39. A certificate that evidences a corporate (or government) debt. It is a security that involves no ownership interest in the issuing entity.






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






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






42. In a limited partnership - a partner who contributes capital to the partnership but has no right to participate in the management and operation of the business. The limited partner assumes no liability for partnership debts beyond the capital contrib






43. A written contract that constitutes the final expression of the parties' agreement. If a contract is integrated - evidence extraneous to the contract that contradicts or alters the meaning of the contract in any way is inadmissible.






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






45. 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.






46. An act equivalent to the actual - physical delivery of property that cannot be physically delivered because of difficulty or impossibility. For example - the transfer of a key to a safe constructively delivers the contents of the safe.






47. Under the UCC - a term describing a person who ceases to pay "his [or her] debts in the ordinary course of business or cannot pay his [or her] debts as they become due or is insolvent within the meaning of federal bankruptcy law" [UCC 1-201






48. A process in which parties attempt to settle their dispute informally - with or without attorneys to represent them. In the context of negotiable instruments - the transfer of an instrument in such form that the transferee (the person to whom the ins






49. 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.






50. The threshold mental capacity required by law for a party who enters into a contract to be bound by that contract.