Business Law Chapter 11,12 – Flashcards
Unlock all answers in this set
Unlock answersquestion
Electronic commerce (e-commerce)
answer
The sale of goods and services by computer over the Internet
question
Internet
answer
A collection of millions of computers that provide a network of electronic connections between the computers.
question
World Wide Web (Web)
answer
An electronic connection of millions of computers that support a standard set of rules for the exchange of information.
question
Electronic mail (e-mail)
answer
Electronic written communication between individuals using computers connected to the internet.
question
Electronic mail contract (e-mail contract)
answer
A contract entered into by the parties by use of e-mail.
question
Controlling the Assault of Non-Solicited Pornography and Marketing Act (CAN-SPAM Act)
answer
A federal statute that places certain restrictions on persons and businesses that send unsolicited commercial advertising (spam) to e-mail accounts, prohibits falsified headers, prohibits deceptive subject lines, and requires spammers to label sexually oriented e-mail as such.
question
Communications Decency Act
answer
A federal statute stating that Internet service providers are not liable for the content transmitted over their networks by e-mail users and websites.
question
Web contract
answer
A contract entered into by purchasing, leasing, or licensing goods, services, software, or other intellectual property from websites operated by sellers, lessors, and licensors.
question
Electronic Signatures in Global and National Commerce Act (E-SIGN Act)
answer
A federal statute that (1) recognizes electronic contracts as meeting the writing requirement of the statute of Frauds and (2) recognizes and gives electronic signatures-e-signatures-the same force and effect as handwritten, pen-inscribed signatures on paper.
question
Uniform Computer Information Transactions Act (UCITA)
answer
A model act that creates contract law for the licensing of information technology rights.
question
License
answer
A contract that transfers limited rights intellectual property and information rights.
question
Licensor
answer
An owner of intellectual property or information rights who transfers rights in the property or information to the licensee.
question
Licensee
answer
A party who is granted limited rights in or access to intellectual property or information rights owned by a licensor.
question
Exclusive license
answer
A license that grants the licensee exclusive rights to use information rights for a specified duration.
question
Electronic license (e-license)
answer
A contract whereby the owner of a software or a digital application grants limited rights to the owner of a computer or digital device to use the software or digital application for a limited period and under specified conditions.
question
Licensing agreement
answer
A detailed and comprehensive written agreement between a licensor and a licensee that sets forth the express terms of their agreement.
question
Electronic Communications Privacy Act (ECPA)
answer
A federal statute that makes it a crime to intercept an electronic communication at the point of transmission, while in transit, when stored by a router or server, or after receipt by intended recipient. There are some exceptions to this law.
question
Domain name
answer
A unique name that identifies and individual's or a company's website.
question
Anti-cybersquatting Consumer Protection Act (ACPA)
answer
A federal statute that permits trademark owners and famous persons to recover domain names that use their names where the domain name has been registered by another person or business in bad faith.
question
Uniform Commercial Code
answer
A model act that includes comprehensive laws that cover most aspects of commercial transactions. All the states have enacted all or part of the UCC as statutes.
question
Article 2 (Sales)
answer
An article of the UCC that governs sale of goods.
question
Sale
answer
The passing of title of goods from a seller to a buyer for a price.
question
Goods
answer
Tangible items that are moveable at the time of their identification to a contract.
question
Mixed sale
answer
A sale that involves the provision of a service and a good in the same transaction.
question
Article 2A (Leases)
answer
Article of the UCC that governs leases of goods.
question
Lease
answer
A transfer of the right to the possession and use of named goods for a set term in return for certain consideration.
question
Lessor
answer
A person who transfers the right of possession and use of goods under a lease.
question
Lessee
answer
A person who acquires the right to possession and use of goods under a lease.
question
Gap-filling rule
answer
A rule that says an open term can be "read into" a contract.
question
Firm offer rule
answer
A UCC rule that says that a merchant who (1) makes an offer to buy, sell, or lease goods and (2) assures the other party in a separate writing that the offer will be held open cannot revoke the offer for the time stated or, if no time is stated, for reasonable time.
question
Additional terms
answer
In certain circumstances, the UCC permits an acceptance of a sales contract to contain additional terms and to act still as an acceptance rather than a counteroffer.
question
Battle of the forms
answer
A UCC rule stating, if both parties are merchants, then additional terms contained in the acceptance may become part of the sales contract if certain requirements are met.
question
Statute of Frauds
answer
A rule in the UCC that requires all contracts for the sale of goods costing $500 or more and lease contracts involving payments of $1,000 or more to be in writing.
question
Written conformation rule
answer
A rule stating that, if both parties to an oral sales or lease contract are merchants, the Statute of Frauds writing requirement can be satisfied if (1) one of the parties to an oral agreement sends a written confirmation of the sale or lease within a reasonable time after contracting and (2) the other merchant does not give written notice of an objection to the contract within ten days after receiving the confirmation.
question
Title
answer
Legal, tangible evidence of ownership of goods.
question
Electronic record (e-record)
answer
A record created, generated, sent, communicated, received or stored by electronic means.
question
Shipping terms
answer
Terms in sales contracts that stipulate which party bears the risk of loss of the goods during shipment.
question
Void title
answer
A situation in which a thief acquires no title to goods he or she steals.
question
Voidable title
answer
A title that a purchaser has on goods obtained by (1) fraud, (2) a check that is later dishonored, or (3) impersonation of another person.
question
Good faith purchaser for value
answer
A person to whom good title can be transferred from a person with voidable title. The real owner cannot reclaim goods from a good faith purchaser for value.
question
Entrustment rule
answer
A rule stating that, when an owner entrusts the possession of his or her goods to a merchant who deals in goods of the kind, the merchant has the power to transfer all rights (including title) in the goods to a buyer in the ordinary course of business.
question
Warranty
answer
A seller's or lessor's express or implied assurance to a buyer or lessee that the goods sold or leased meet certain quality standards
question
Express warranty
answer
A warranty created when a seller or lessor makes an affirmation that leasing meet certain standards of quality, description, performance, or condition.
question
Implied warranty of merchantability
answer
Unless properly disclosed, a warranty that is implied that sold or leased goods are fit for the ordinary purpose for which they are sold or leased, as well as other assurances.
question
Implied warranty of fitness for a particular purpose
answer
A warranty that arises when a seller or lessor warrants that the goods will meet the buyer's or lessee's expressed needs.
question
Warranty disclaimer
answer
A statement that negates express and implied warranties
question
Magnuson-Moss Warranty Act
answer
A federal statute that regulates written warranties on consumer products.
question
United Nations Convention on Contracts for the International Sale of Goods (CISG)
answer
A model act for international sales contracts that provides legal rules that govern the formation, performance, and enforcement of international sales contracts entered into between international businesses.
