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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 offeree's response to an offer in which the offeree rejects the original offer and at the same time makes a new offer.






2. Goods that are alike by physical nature - by agreement - or by trade usage (for example - wheat - oil - and wine that are identical in type and quality). When owners of fungible goods hold the goods as tenants in common - title and risk can pass with






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






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






5. An agreement between a debtor and a creditor in which the debtor voluntarily agrees to pay - or reaffirm - a debt dischargeable in bankruptcy. To be enforceable - the agreement must be made before the debtor is granted a discharge.






6. An employer's termination of an employee's employment in violation of the law.






7. A will written entirely in the signer's handwriting and usually not witnessed.






8. In bankruptcy proceedings - property transfers or payments made by the debtor that favor (give preference to) one creditor over others. The bankruptcy trustee is allowed to recover payments made both voluntarily and involuntarily to one creditor in p






9. 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).






10. 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






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






12. A court's grant of assistance to a complainant. In bankruptcy proceedings - the order relieves the debtor of the immediate obligation to pay the debts listed in the bankruptcy petition.






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






14. A method of settling disputes - used in many federal courts - in which a trial is held - but the jury's verdict is not binding. The verdict acts only as a guide to both sides in reaching an agreement during the mandatory negotiations that immediately






15. 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






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






17. A type of conditional sale in which the buyer may take the goods on a trial basis. The sale becomes absolute only when the buyer approves of (or is satisfied with) the goods being sold.






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






19. 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






20. The legal right of a person to be restored - repaid - or indemnified for costs - expenses - or losses incurred or expended on behalf of another.






21. An individual whose debts are primarily consumer debts (debts for purchases made primarily for personal - family - or household use).






22. According to the Uniform Electronic Transactions Act - information that is either inscribed on a tangible medium or stored in an electronic or other medium and is retrievable.






23. A contractual promise of one party to refrain from conducting business similar to that of another party for a certain period of time and within a specified geographic area. Courts commonly enforce such covenants if they are reasonable in terms of tim






24. A contractual and statutory process in which one corporation (the surviving corporation) acquires all of the assets and liabilities of another corporation (the merged corporation). The shareholders of the merged corporation either are paid for their






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






26. A payee on a negotiable instrument whom the maker or drawer does not intend to have an interest in the instrument. Indorsements by fictitious payees are treated as authorized indorsements under Article 3 of the UCC.






27. A question that pertains to the U.S. Constitution - acts of Congress - or treaties. A federal question provides a basis for federal jurisdiction.






28. A system or place where banks exchange checks and drafts drawn on each other and settle daily balances.






29. A type of conditional sale in which title and possession pass from the seller to the buyer - but the buyer retains the option to return the goods during a specified period even though the goods conform to the contract.






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






31. A hacker whose purpose is to exploit a target computer for a serious impact - such as corrupting a program to sabotage a business.






32. Under Article 9 of the UCC - the property subject to a security interest - including accounts and chattel paper that have been sold.






33. A business entity that has no tax liability. The entity's income is passed through to the owners - and the owners pay taxes on the income.






34. 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.






35. A check that is payable on demand - drawn on or payable through a financial institution (bank) - and designated as a traveler's check.

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36. Under Article 9 of the UCC - whatever is received when collateral is sold or otherwise disposed of - such as by exchange.






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






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






39. Information or processes that give a business an advantage over competitors that do not know the information or processes.






40. 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.






41. A contract in which one party forfeits the right to pursue a legal claim against the other party.






42. A phase in the litigation process during which the opposing parties may obtain information from each other and from third parties prior to trial.






43. In a given state - a corporation that does business in the state without being incorporated therein.






44. 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.






45. The goods and services that domestic firms sell to buyers located in other countries.






46. A government grant that gives an inventor the exclusive right or privilege to make - use - or sell his or her invention for a limited time period.






47. In a sale of goods - the express designation of the goods provided for in the contract.






48. 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






49. A worldwide system in which foreign currencies are bought and sold.






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