Glossary: Business Law Flashcards
An agreement to an offer resulting in a contract
Acceptance
An agreement made and executed in satisfaction of the rights one has from a previous contract
Accord and Satisfaction
The party appointed by the principal to enter into a contract with a third party on behalf of the principal
Agent
One that is incorporated in a foreign country
Alien Corporation
Official document detailing a defendant’s defense
Answer
Laws which seek to promote competition among businesses
Antitrust
The authority an agent is believed by third parties to have because of the behavior of the principal
Apparent Authority
Request to a higher court to review a lower court’s decision
Appeal
Courts hearing cases appealed from a lower court
Appellate Courts
Charging a person with a crime and asking for that person’s plea
Arraignment
To take into police custody
Arrest
The party to whom the assignment is made
Assignee
The party making the assignment
Assignor
Power to act for someone else
Authority
The party who acquires possession, but not the title, of personal property by one party to another, under agreement
Bailee
The transfer of possession, but not the title of personal property by one party to another, under agreement
Bailment
The party who gives up possession, but not the title, of personal property in a bailment
Bailor
A person in possession of an instrument
Bear
Commercial paper payable to bearer; i.e. to the person having possession of such
Bearer paper
Recipient of the proceeds of a life insurance policy: one who inherits property as specified in a will
Beneficiary
A contract which consists of mutual promises to perform some future 9 acts
Bilateral contract
The contract existing between the consignor and the carrier
Bill of lading
A document of conveyance which provides written evidence of one’s title to tangible personal property
Bill of sale
Having no words other than the signature of the endorser
Blank endorsement
A body of persons elected by the stockholders to define and establish corporate policy
Board of directors
Administrative step taken after an arrested person is brought to police station, which involves entry of the person’s name, the crime for which the arrest was made, and other relevant facts on the police “blotter”, and which may also include photographing, fingerprinting and the like
Booking
A situation in which one of the parties to a contract fails or otherwise refuses to perform the obligations established in that contract
Breach of contract
Those rules of conduct prescribed by government and its agencies in regulating business transactions
Business law
A check drawn on a bank’s own funds and signed by a responsible bank official
Cashier’s check
The acknowledgement by a bank of a receipt of money with an agreement of repayment
Certificate of deposit
A check for which the bank assures that the drawer has sufficient funds to make payment
Certified check
An order by a depositor on the bank to pay a sum of money to a payee
Check
The body of law concerned with private or purely personal rights
Civil law
A designation which applies to a corporation in which outstanding share of stock and managerial control are held by a limited number of 2 people (often members of the same family)
Close (closely held) corporation
A writing drawn in a special form which can be transferred from person to person as a substitute for money or as an instrument of credit
Commercial paper (negotiable instrument)
Customs which have become recognized by the courts as binding on the community
Common law
An award paid to the injured party to cover the exact amount of their loss, but no more
Compensatory damages
The written request which initiates a civil law suit
Complaint (petition)
That which the promisor demands and receives as the price for a promise
Consideration
One to whom goods are shipped by common carrier
Consignee
One who ships goods by common carrier
Consignor
An agreement between two or more competent persons which is enforceable by law
Contract
A seller agrees to transfer title to goods for a consideration (price) at a future time
Contract to sell
The necessity that the parties desiring to enter into contracts meet all requirements
Contractual capacity
A business entity created by statutory law and owned by individuals known as stockholders
Corporation
An intended acceptance which changes or qualifies an original offer and in effect, rejects that offer and becomes a new offer
Counteroffer
A person who is not a party to a contract to whom the promisor of a contract owes an obligation or duty
Creditor beneficiary
An offense which is injurious to society as a whole
Crime
Laws dealing with crimes and the punishment of wrongdoers
Criminal law
The person against whom legal action is brought
Defendant
The repudiation of, or election to avoid, a voidable contract
Disaffirmance
Termination of a contract by performance, agreement, impossibility, acceptance of breach, or operation of law
Discharge
Pretrial steps taken to learn the details of the case
Discovery
Operates in the state that granted the charter
Domestic corporation
A third party beneficiary to whom no legal duty is owed and performance is a gift
Donee beneficiary
A written order signed by one person requiring the person to whom addressed to pay a particular sum of money, to order or to bearer, on demand or at a certain time
Draft
The person, company or financial institution ordered to pay a draft
Drawee
The person who executes any draft
Drawer
A means of removing one’s free will, obtaining consent by means of a threat to do harm to the person, his family, his property, or his earning power
Duress
The person hired to perform work and who is obligated both as to the work to be done and as to the manner in which it is to be done
Employee
The party who employs employees to do certain work
Employer
Those contracts in which the terms have been fulfilled
Executed contract
The carrying out or completion of some task
Execution