Business Law Midterm review – Flashcards
Unlock all answers in this set
Unlock answersquestion
Sources of law
answer
laws in this country are created at all three levels of government- federal, state, and local. The forms that these laws can take include statutes, case law, and administrative law.
question
Civil law
answer
a group of laws that allows individuals to seek legal remedies for wrong done to them
question
Criminal law
answer
the citizens' right to live in peace is violated by a crime
question
6 essential elements of a contract
answer
1) Offer and acceptance 2) Genuine assent 3) Legality 4) Consideration 5) Capacity 6) In writing
question
Types of contract
answer
bilateral contract and unilateral contact
question
Bilateral contract
answer
requires the offeree to accept by communicating the requested promise to the offeror
question
Unilateral contract
answer
the offeror requires that the offeree indicate acceptance by performing his or her obligations under the contract
question
Breach of a contract
answer
failure to provide complete performance of contractual obligations
question
Types of insurance
answer
life, fire, casualty, social, marine, inland marine, and fidelity insurance
question
Life insurance
answer
insurance that pays the beneficiary a set amount upon the death of a specified person
question
Term insurance
answer
A type of life insurance that is written for a certain number of years (one, five, or ten); relatively inexpensive type of life insurance
question
Whole life insurance
answer
a type of life insurance that requires the insured to pay premiums for as long as the insured lives or until the age 100
question
Endowment life insurance
answer
type of life insurance that requires the insurer to pay the beneficiary the policy's face amount if the insured dies within the period of coverage
question
Fire Insurance
answer
insurance that idemnifies for loss or damage due to fire (an usually smoke as well); may be increased to cover loses due to perils such as rain, hail, earthquake, and windstorm
question
Casualty Insurance
answer
provides coverage for a variety of specific situations in which intentional, negligent or accidental acts of others or mere chance may result in loss
question
Social Insurance
answer
under the provisions of the Social Security Act and related acts, millions of Americans insure themselves against unemployment, disability, poverty, and medical expense problems
question
Marine Insurance
answer
indemnifies loss of or damage to vessels, cargo, and other property exposed to the perils of the sea
question
Inland Marinie Insurance
answer
type of insurance that indemnifies for loss to most personal property while it is being transported across land or inland waterways
question
Fidelity Insurance
answer
provides coverage for financial loss caused by dishonesety, such as embezlement or failure to perform a legal obligation
question
Liability Insurance
answer
insurance that provides protection from claims arising from injuries or damage to other people or property
question
Automobile Insurance
answer
insurance against loss due to theft or traffic accidents; pays med bills, lost wages, even pain and suffering for personal injury in auto accident
question
Collision Insurance
answer
protects against direct and accidental damage to the whicile caused by colliding with another object, such as a tree or bridge abutment and overturning (upset)
question
Comprehensive Insurance
answer
coverage idemnifying insureds for damage to their own vehicle
question
No- fault Insurance
answer
requires they parties of an automobile accident be idemnified by theur own insurance company regardless of whose fault it is
question
Benificiary
answer
the recipient of the amount to be paid
question
Policy
answer
the written contract of insurance
question
Premium
answer
the consideration for a contract of insurance
question
Bailment
answer
the transfer of possession and control of personal property subject to an agreement to return the property or deliver it to a thrid party
question
Real Property
answer
defined as rights and interests in land, buildings, and fixtures
question
Personal property
answer
defined as rights and interests in anything that is not real property, can be tangible (physical) or intangible
question
Intellectual Property
answer
intangiable property created by the intellect and includes copyrights, service marks, trademarks, patents, and trade secrets
question
Crime
answer
punishable offence against society
question
Felony
answer
a crime punishable by confinement for mote than a year in a state prision or by a fine of more than $1,000 or both; can even be death
question
Misdemeanor
answer
a crime punishable by up to one year in jail, a fine less than $1,000 or both
question
tort law
answer
Private or civil wrong for which the law grants a remedy
question
Assult
answer
intentional threat to physically or offensively injure another
question
Battery
answer
harmful or offesive touching
question
Defamation
answer
false statement that injures one's reputation
question
Negligence
answer
most common tort based on carelessness
question
Product liability
answer
the fixing of responsibility to compensate buyers, users, and bystanders for injuries caused by a defective property
question
Will
answer
legal epression by which a person directs how his or her property is to be distributed after death
question
Trusts
answer
legal document used to transfer the immediate contriol of property to another party
question
Living will
answer
a term used for a document directed to attending physicians regarding a person's choices about the use of life- support systems in treatement for terminal illness or vegetative state
question
Power of attorney
answer
any writing that appoints someone as an agent
question
Marriage
answer
a legal union of a man and a woman as husband and wife; at least 18 without parental consent
question
Common-law marriagaes
answer
occured when a single woman and a single man lived together, shared common property and held themselves as husband and wife over a prolonged period of time (usually 10 years or longer)
question
Civil union
answer
offers the same rights, duties and benefits as marriage; often refered to as same-sex marriage
question
Marital consortium
answer
the law recognizes procreation, raising children, and filling sexual, economic and companionship needs as marital duties of husband and wife
question
Adoption
answer
legal process that creates a parent- child agreement
question
Prenuptual agreement
answer
legal contract resolving property and other claims that might result from a marriage
question
Annulment
answer
court order that cancels a marriage because of a problem rhat existed from the beginning of the marriage
question
Voidable Marriage
answer
valid marriage that can be terminated by one or both parties due to improper grounds
question
Void Marriage
answer
marriage considered invalid from the beginning
question
Bigamist
answer
a person who marries a second spouce while still married to the first
question
Divorce
answer
court action terminating a marriage
question
Dissolution
answer
step in termination of a partnership that precedes the winding-up process; also, term for divorce or the ending of a marriage in some states
question
No-fault Divorce
answer
a marriage ended by no fault by either spouse
question
Seperation
answer
stage of divorce process in which the spouses maintain thier marital rights and obligations but do not live together
question
Child Custody
answer
care and control of a minor
question
Child Support
answer
money paid by a parent to provide a child with economic maintenance
question
Alimony
answer
the support paid by the wage earner of the family to the other spouse
question
Sole- proprietorship
answer
form of business owned by one person who has total unlimited control and liability
question
Partnership
answer
association of two or more persons, as co- owners, to carry on a buisness for profit
question
Corporation
answer
legal emtity treated as an artificial person by the law and created by authority of federal or state law
question
Garnishment of Wages
answer
court- ordered procedure by which a prortion of the deliquent debtor's wages are paid to satisfy the debt
question
Finance Charge
answer
total added cost when one pays in installments for goods or services
question
Credit rating
answer
evaluation of a party's ability to pay debts
question
Bankrupcy
answer
legal proceedings discharging debts and distributing assets
question
Creditor
answer
party to whom a debt is owed
question
Debtor
answer
person or business that owes money, goods, or service to another
question
Employment
answer
contractual relationship in which one party engages another to work for pay under the supervision of the party paying
question
Employer
answer
party who engages another to work for pay
question
Employee
answer
party who works under the supervision of another for pay
question
Independent Contractor
answer
one who contracts to do something for another but is free of the latter's direction and control
question
Doctrine of Employment at will
answer
employment relationship whereby employment may be discharged at any time because no agreement was made about length of employment' alternately, employee may quit the job at any time without liability for breach of contract
question
Wrongful Discharge
answer
firing an employee in retaliation for reporting violations of law by the company
question
Law vs. ethics
answer
rules of conduct needed to keep order in society vs. the was to determine values of society (not always legally right)
question
Landlords
answer
one, who though a lease, transfers to another exclusive possessions and control of real property
question
Tenants
answer
one who, through a lease, is given possession of real property
question
Lease
answer
agreement in which one party receives temporary possession of another's real property in exchange for rent
