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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 approach to ethical reasoning that evaluates behavior in light of the consequences of that behavior for those who will be affected by it - rather than on the basis of any absolute ethical or moral values. In utilitarian reasoning - a 'good' decisi






2. 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.






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






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 common law rule that requires that the terms of the offeree's acceptance adhere exactly to the terms of the offeror's offer for a valid contract to be formed.






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






7. A person to whom an offer is made.






8. A method of settling disputes outside of court by using the services of a neutral third party - who acts as a communicating agent between the parties and assists them in negotiating a settlement.






9. The fraudulent making or altering of any writing in a way that changes the legal rights and liabilities of another.






10. A negotiable instrument that is payable 'to the order of an identified person' or 'to an identified person or order.'






11. Under Article III - Section 2 - of the U.S. Constitution - a basis for federal district court jurisdiction over a lawsuit between (1) citizens of different states - (2) a foreign country and citizens of a state or of different states - or (3) citizen






12. The act of transferring to another all or part of one's rights arising under a contract.






13. 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.






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






15. Damages awarded to compensate for reasonable expenses that are directly incurred because of a breach of contract






16. A contract in which - for a stipulated consideration - one party agrees to compensate the other for loss on a specific subject by a specified peril.






17. Under the UCC - a contract that requires or authorizes delivery in two or more separate lots to be accepted and paid for separately.






18. Co-ownership of property in which each party owns an undivided interest that passes to her or his heirs at death.






19. One receiving a license to use another's (the franchisor's) trademark - trade name - or copyright in the sale of goods and services.






20. A court's order - issued after a judgment has been entered against a debtor - directing the sheriff to seize (levy) and sell any of the debtor's nonexempt real or personal property. The proceeds of the sale are used to pay off the judgment - accrued






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






22. One who promises to pay a fixed amount of money to the holder of a promissory note or a certificate of deposit (CD).






23. The document filed with a designated state official by which a limited liability company is formed.






24. A court-ordered correction of a written contract so that it reflects the true intentions of the parties.






25. A rule of the United States Supreme Court under which the Court will not issue a writ of certiorari unless at least four justices approve of the decision to issue the writ.






26. A contract that has not as yet been fully performed.






27. 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






28. 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






29. The principle by which one nation defers to and gives effect to the laws and judicial decrees of another nation. This recognition is based primarily on respect.






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






31. In a lawsuit - an issue involving the application or interpretation of a law. Only a judge - not a jury - can rule on questions of law.






32. Any arrangement in which the owner of a trademark - trade name - or copyright licenses another to use that trademark - trade name - or copyright in the selling of goods or services.






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






34. A distribution to corporate shareholders of corporate profits or income - disbursed in proportion to the number of shares held.






35. All costs resulting from a breach of contract - including all reasonable expenses incurred because of the breach.






36. 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.






37. The act of transferring to another all or part of one's duties arising under a contract.






38. In the context of real property - an interest in land that does not include any right to possess the property.






39. 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.






40. 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






41. The party that initiates a draft (such as a check) - thereby ordering the drawee to pay.






42. A trust created by the deposit of a person's own funds in his or her own name as a trustee for another. It is a tentative trust - revocable at will until the depositor dies or completes the gift in his or her lifetime by some unequivocal act or decla






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






44. A person on the board of directors who is also an officer of the corporation.






45. A doctrine that applies when a promisor makes a clear and definite promise on which the promisee justifiably relies. Such a promise is binding if justice will be better served by the enforcement of the promise.






46. In a jury trial - a motion for the judge to take the decision out of the hands of the jury and to direct a verdict for the party who filed the motion on the ground that the other party has not produced sufficient evidence to support her or his claim.






47. An oral will (often called a deathbed will ) made before witnesses; usually limited to transfers of personal property.






48. A type of limited liability partnership owned by family members or fiduciaries of family members.






49. A termination of employment brought about by making the employee's working conditions so intolerable that the employee reasonably feels compelled to leave.






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