Deck 28 Flashcards Preview

Regulation > Deck 28 > Flashcards

Flashcards in Deck 28 Deck (20):
1

Anticipatory repudiation

When either buyer or seller indicates in advance of performance that he will not perform (other party can sue now, sue later, or cancel contract)

2

Replevin

The right of the buyer to recover goods wrongfully in the hands of the seller

3

For a patent to issue, the applicant must show that the invention is:

Useful, novel, and not obvious

4

Copyright =

Author's life + 70 years

5

Patent =

20 years

6

Remedies for copyrights and patents:

Patents: civil only; copyrights: civil and criminal

7

Under common law, to make a case out of negligence, the plaintiff must show: (4 things)

Breach of duty, causation, damages, and duty of care

8

7 year property rules

Furniture, half-year convention

9

5 year property rules

Computers, use half- year convention unless more than 40% of the assets were purchased in the 4th quarter (use mid-quarter

10

39 year property

Nonresidential real property; mid-month convention

11

27 year property

Residential real property, mid-month convention

12

To be negotiable, the instrument must meet all of the following:

1) Be in writing; 2) be signed by the maker or drawer; 3) contain an unconditional promise or order; 4) Fixed amount of money; 5) payable on demand or at a definite time; 6) payable to order or bearer; 7) no additional undertaking/instruction

13

What would prevent a promissory note from being negotiable?

A note that allows the maker to pay by performing services

14

Two real defenses available against a holder in due course:

1) material alteration and 2) discharge in bankruptcy

15

Negotiable instruments subject to the commercial paper article include:

Drafts and notes

16

An endorsement is restrictive if it includes the words:

"For collection" or "for deposit only"

17

Failure to date an instrument will not destroy:

Negotiability

18

What party has secondary liability on an instrument?

A drawer of a draft

19

What defenses can be raised against a holder in due course?

Real defenses

20

Two characteristics of a check:

Drawn on a bank and payable on demand