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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 that has not as yet been fully performed.






2. A judgment entered by a court against a defendant who has failed to appear in court to answer or defend against the plaintiff's claim.






3. A law permitting a debtor to retain the family home - either in its entirety or up to a specified dollar amount - free from the claims of unsecured creditors or trustees in bankruptcy.






4. A seller's or lessor's oral or written promise or affirmation of fact - ancillary to an underlying sales or lease agreement - as to the quality - description - or performance of the goods being sold or leased.






5. One who entrusts goods to a bailee.






6. 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.






7. 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.






8. In criminal procedure - a rule under which any evidence that is obtained in violation of the accused's constitutional rights guaranteed by the Fourth - Fifth - and Sixth Amendments - as well as any evidence derived from illegally obtained evidence -






9. A contract that does not require a specified form or formality to be valid.






10. The basic document filed with a designated state official by which a limited partnership is formed.






11. A document by which title to property (usually real property) is passed.






12. The process by which a court decides on the constitutionality of legislative enactments and actions of the executive branch.






13. Ownership rights in property - including the right to possess and control the property.






14. Any practice or method of dealing having such regularity of observance in a place - vocation - or trade as to justify an expectation that it will be observed with respect to the transaction in question.






15. A joint surety; a person who assumes liability jointly with another surety for the payment of an obligation.






16. A person to whom an instrument is made payable.






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






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






19. A written agreement that sets forth each partner's rights and obligations with respect to the partnership.






20. 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.






21. 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






22. 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.






23. The acquisition of title to real property by occupying it openly - without the consent of the owner - for a period of time specified by a state statute. The occupation must be actual - open - notorious - exclusive - and in opposition to all others -






24. A reward (payment) given to a person or persons who perform a certain service - such as informing legal authorities of illegal actions.






25. The number of members of a decision-making body that must be present before business may be transacted.






26. The taking of private property by the government for public use. The government may not take private property for public use without 'just compensation.'






27. In contract law - the withdrawal of an offer by an offeror. Unless the offer is irrevocable - it can be revoked at any time prior to acceptance without liability.






28. A written instrument giving a creditor an interest in (lien on) the debtor's real property as security for payment of a debt.






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






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






31. A state statute that permits a state to obtain personal jurisdiction over nonresident defendants. A defendant must have certain 'minimum contacts' with that state for the statute to apply.






32. Implied warranties - made by any person who transfers an instrument for consideration to subsequent transferees and holders who take the instrument in good faith - that (1) the transferor is entitled to enforce the instrument; (2) all signatures are






33. A fictional contract imposed on the parties by a court in the interests of fairness and justice; usually imposed to avoid the unjust enrichment of one party at the expense of another.






34. 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.






35. 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.






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






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






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






39. Any interest in personal property or fixtures that secures payment or performance of an obligation.






40. Classes of stock that have priority over common stock as to both payment of dividends and distribution of assets on the corporation's dissolution.






41. The transfer of title to land from one person to another by deed; a document (such as a deed) by which an interest in land is transferred from one person to another.






42. 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.






43. A mark used by members of a cooperative - association - union - or other organization to certify the region - materials - mode of manufacture - quality - or other characteristic of specific goods or services.






44. In contract law - the fulfillment of one's duties arising under a contract with another; the normal way of discharging one's contractual obligations.






45. 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.






46. 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






47. Property with which the owner has voluntarily parted and then cannot find or recover.






48. Shares of stock issued by a corporation for which the corporation receives - as payment - less than the stated value of the shares.






49. Mistake that occurs when one party to a contract is mistaken as to a material fact; the contract normally is enforceable.






50. Any type of written - electronic - or graphic offer that describes the issuing corporation or its securities and includes a legend indicating that the investor can obtain the prospectus at the SEC's Web site.