A signed writing that contains an unconditional promise or order to pay an exact amount, either on demand or at a specific time.
What is a negotiable instrument.
100
An encumbrance on property to satisfy a debt or protect a claim for the payment of a debt.
What is a lien.
100
An arrangement in which eh owner of a trademark, a trade name, or a copyright licenses others to use the trademark, trade name or copyright in the selling of goods or services.
What is a franchise
100
A distribution of corporate profits or income ordered by the directors and paid to the shareholders in proportion to their respective shares in the corporation.
What is a dividend.
100
A type of property ownership formed by the delivery of personal property without transfer of title.
What is a bailment.
200
A written promise made by one person, the maker, to pay another, the payee, a specified sum.
What is a promissory note
200
An order that permits a creditor to collect a debt by seizing property of the debtor that is held by a third party.
What is a garnishment.
200
An association of two or more persons to carry on as co-owners a business for profit.
What is a partnership.
200
A mechanism by which company officers may purchase shares of a corporation's stock at a set price.
What are stock options.
200
An owner with the greatest aggregation of rights, privileges, and power possible.
What is a fee simple absolute.
300
An instrument that is payable "to the order of an identified person" or to an identified person.
What is an order instrument.
300
Interest in collateral that secures payment or performance of an obligation.
What is a security interest.
300
A hybrid form that combines the limited liability aspects of the corporation and the tax advantages of a partnership.
What is a limited liability company.
300
An outsider who contributes funds in exchange for an ownership interest in a company.
What is a venture capitalist.
300
Each of two or more person own an undivided interest in the property, but a deceased join tenant's interest passes to the surviving joint tenant or tenants.
What is joint tenancy.
400
A signature with or without additional words or statements.
What is an indorsement.
400
When a person buys goods primarily for personal, family, or household purposes, and the seller or lender agrees to extend credit for part or all of the purchase price of the goods.
What is a purchase money security interest.
400
When the owners use a corporate entity to perpetrate a fraud, circumvent the law, or in some other way accomplish an illegitimate objective, exposing the shareholders to personal liability.
What is piercing the corporate veil
400
A provision of the Securities Exchange Act of 1934 which prohibits the use of any manipulative or deceptive mechanism in violation of SEC rules and regulations.
What is SEC rule 10b-5.
400
Offers the greatest number of warranties and thus provides the most extensive protection against defects of title.
What is a warranty deed.
500
A holder who, by meeting certain acquisition requirements, takes an instrument free of most of the defenses and claims that could be asserted against the transferor.
What is a holder in due course.
500
A suspension of almost all actions by creditors against the debtor or the debtor's property once a bankruptcy petition has been filed.
What is an automatic stay.
500
A corporate director or officer will not be held liable to the corporation or its shareholders for honest mistakes of judgment and bad business decisions.
What is the business judgment rule.
500
The minimum number of members of a body or officials or other group that must be present for business to be validly transacted.
What is a quorum.
500
A person appointed in a will or by a court to settle the affairs of a decedent.