Combo Mortuary Law

JR contracted to renovate an historic home for June for $50,000. The renovations were completed as required, except JR unintentionally failed to refinish one oak banister. It will cost $250 to have the banister refinished. Under these facts, JR can recover:

$49,750. JR substantially performed his duties. Thus, JR can enforce the contract, and June must pay for the contract price, less damages caused by JR's imperfect performance.

Point-of-sale systems

- EFTs begun at retailers when customers pay for goods or services

Voidable contract

- a contract which would be an enforceable agreement, but due to circumstances, may be set aside by one of the parties

Environmental Protection Agency (E.P.A.)

- a governmental agency with environmental protection regulatory and enforcement authority

Municipal ordinances

- a law enacted by a local municipal governing body (e.g., zoning, building, safety, etc.)

Third party beneficiary

- a person not party to a contract, but whom parties intend to benefit Creditor beneficiary -•the person to whom the promisee of a contract owes an obligation or duty which will be discharged to the extent that the promisor performs the promise•a person who is not a party to a contract to whom the promisor of a contract owes an obligation or duty

Fiduciary

- a relationship of trust and confidence, such as that which exists between partners in a partnership

Donee beneficiary

- a third party beneficiary to whom no legal duty is owed and for whom performance is a gift

Drafts

- 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

Gambling contracts

- agreement in which the parties win or lose, based on chance

Preauthorized credit

- automatic deposit of funds to an account

Parol Evidence Rule

- complete, written contract may not be modified by oral testimony unless upon evidence of fraud, accident, or mistake

Innocent Misrepresentation

- false statement made in belief it is true

Embezzlement

- fraudulent appropriation of property by a person to whom it has been entrusted

State supreme court

- highest court in most states

Pledge

- intangible property serving as a security for a debt

Antitrust

- laws which seek to promote competition among businesses

Firm offer

- merchant's signed, written offer to sell or purchase goods saying it will be held open

- Uncured default

- not all payments on an instrument fully made and not all made by due date

Communication

- telling something to a third person

Novation

- the change of one of the parties to a contract at the mutual agreement of the original parties•termination of a contract and substitution of new contract with same terms but a new party•the substitution of a new party for one of the original parties to a contract, such that the prior contract terminates and a new one substitutes for it

Joint and several contracts

- two or more people bound jointly and individually by contract and who are entitled to recover individually and as a unit

Limited warranties

- written warranty that is not a full warranty

Punitive damages

-•an award paid to the plaintiff in order to punish the defendant, not to compensate the plaintiff•amount paid to one party to

Promissory estoppel

-•an equitable doctrine that prevents the promisor from revoking the promise when the promisee justifiably acts in reliance upon the promise to his detriment •substitute for consideration when another acts in reliance on promisor=s promise

Appellate courts

-•courts hearing cases appealed from a lower court•court that reviews the decision of another court, usually of a lower court

Intangible personal property

-•evidences of ownership of personal property, such as stock of corporations, checks, and copyrights •evidences of ownership of rights or values

Air Inc. (a common carrier) contracted to transport equipment for Shipper. Shipper requested Air Inc. to hold the equipment for one week prior to shipment. During this time, the equipment was damaged. Is Air Inc. liable for the damage to the equipment? *Yes, if equipment was damaged due to the negligence of Air Inc.

...

When a contract has been written in a form other than what the law requires...

...the contract is unenforceable

A contact is an agreement, but an agreement...

..need not be a contract.

Action Level

.5 ppm over 8 hour workday

General Price List 16 items

1 basic services 2 embalming 3 other preparation (dress, casketing, refrigeration) 4 services for facilities viewing 5 svc and facilities for funeral svc 6 svcs and facilities for mem svc 7 svc and equip for graveside svc 8 transfer of remains to FH 9 hearse 10 limo 11 casket price range (separate PL) 12 outer burial container price range (separate PL) 13 fwd remains 14 receive remains 15 direct cremation 16 immediate burial

Mandatory Disclosures (6)

1 choice of goods and svcs 2 nondeclinable service fee 3 embalming disclosure 4 availability of casket PL 5 availability of OBC PL 6 alt containers for direct cremation

FTC compliance Regulations

1 cognovit or a confession of judgment (can't waive right to be heard in a suit) 2 executory waiver from attachment to property 3 assignment of wages 4 security interest in household goods 5 cosignor practices 6 late charges

Magnuson-Moss Warranty Act

1. A Federal Statute which applies to written and implied warranties. 2. It applies only to purchases by consumers of tangible personal property

Disclaimers of Express Warranties

1. A disclaimer is a denial or repudiation in an express warranty that places specific limitations in the warranty. 2. Such a denial or repudiation in an express warranty is known as a DISCLAIMER and serves to limit the effectiveness of the warranty. 3. It is important to remember the application of the PAROL EVIDENCE RULE. So pursuant to the Parol Evidence Rule a court would be prohibited from considering oral warranties or disclaimers that are inconsistent with the written document.

Cremation

1. Although the book states "that _____________ is not technically a method of disposition, but that it is actually one step in a mode of disposition." I totally and absolutely disagree with this statement. In the laws of many of the States with which am familiar, the ______________ is the final disposition and requires the presence of the Funeral Director at the Crematory to sign in the Human Remains. 2. The burial or spreading of the Cremated Remains (Cremains) does not require the presence of the Funeral Director.

Express Warranty by Descripition, Sample or Model

1. Any ________________ of goods which is made part of the basis of the bargain creates an express warranty that the goods shall conform to the _________________. 2. Pursuant to the UCC (Uniform Commercial Code) a buyer may refuse delivered goods if the goods are not the same as described by the seller or do not conform to the __________ or __________ used by the seller to effect the sale.

Magnuson-Moss Applies to

1. Any written statement of fact made by a seller to a purchaser relating to the quality or performance of a product and stating that the product is free of defects or that it will meet a specified level of performance over a period of time, or 2. A written promise to "refund, repair, replace or take other action" if a product fails to meet written specifications. 3. Implied Warranties of Merchantibility.

After resending a contract you may

1. Bring suit to recover money, goods and damages 2. You may refuse to perform a duty 3. You may sue to have the contract judicially declared "void." 4. You may sue for reformation, or correction of the contract.

3 Types of Computer Criminal Activity

1. Computer Trespass 2. Rogue Program 3. Fraud

Police Powers

1. Enables the state legislatures to enact laws for the protection of the general welfare, health & safety. 2. Allows the states to set licensing standards

Two Manners of Contract Formation:

1. Express 2. Implies

Express Warranty by Promise

1. Express Warranties are explicit, definite __________ by the seller of goods that the goods will have certain characteristics. 2. The warranty is made by the seller to the buyer and becomes part of the basis of the agreement and it creates an explicit warranty that the goods will be as _________________.

General Rule for Right of Disposition

1. Generally speaking each state has provided a list of persons who are in charge of the funeral. For purposes of this course you must memorize the following list of family members and the order in which they would gain control of the funeral. a. Spouse b. Children c. Parents d. Siblings e. By blood meaning how closely cousins are related to the deceased. This is usually set forth by the individual states in a statute. 2. Many states, in their statutes, have modified this list, but for our purposes in this course this is the order of persons in line who have the right of disposition.

Exception to mistakes on unilateral contract:

1. If the unilateral mistake is a mistake of fact, not opinion. 2. If the other party knew of the mistake or caused it. 3. If the mistaken party exercised ordinary care.

Methods of Disposition

1. In-Ground Burial 2. Entombment 3. At-Sea - Must take place in the Ocean and be a distance of at least of 3 Nautical miles from the shore line. 4. Cremation 5. Anatomical Gift

Warranties

1. Is a guarantee or a promise made by the manufacturer or seller that the goods or services offered really are what they claim to be, or that goods or services are what a reasonable person has a right to expect. 2. Generally speaking ____________are divided into types - Express and Implied 3. It is important to understand when studying __________________ that in most situations they also limit the liability of the manufacturer. (i.e. Time or what is covered)

Dead Body

1. Is defined as the body of a human being that has been deprived of life, but not yet entirely disintegrated. 2. Bones of a skeleton DO NOT CONSTITUTE a _______.

Necessity of Disposition

1. It is within the police powers of the government to require the orderly disposition of the dead in order to promote public health. 2. States do not mandate a specific method of disposition.

Case Law

1. Many of the principles that govern funeral law have their roots in court decisions 2. If an administrative regulation exceeds the authority of the regulatory body which promulgated it, it is DECLARED VOID.

Sources of Mortuary Law

1. STATES are the principal regulators of the Funeral Profession. 2. Although the FTC does regulate certain segments of the Funeral business, the Federal regulations are the MINIMUM regulations that The Funeral professional must comply with. 3. Any regulations that the State would impose would be over and above the minimum regulations that Federal government has enacted. 4. Each state has an inherent authority known as POLICE POWER. 5. Prior to 1980, funeral law and regulations was solely governed by the States, since 1984 the FTC began to promulgate minimum rules and regulations.

Special Relationships

1. Sometimes there are no blood relatives and then it is left to the Courts to decide who will be charge of making decisions concerning the final disposition. 2. Some of the factors that will be considered would be if the parties were living under the same roof, financial support, mixing of finances, special intimacy between the decedent and the other person.

Exceptions to General Rule of Priority

1. States are not consistent on who should prevail in the case of a dispute between the surviving spouse and the contrary wishes of the decedent. 2. For example, in Kansas and Illinois the law allows the individual's agent for health care to make final funeral arrangements - here the agent's authority survives the death and the agent has disposition authority. 3. The State of New Jersey, however, has reaffirmed that the surviving spouse has the paramount right of disposition. The law recognizes that the decedent may provide other directions which will override the surviving spouse. The law specifically provides that a pre- need contract entered into by the decedent does not constitute "other directions" for the purposes of overriding the spouse's wishes.

Legal Status of a Dead Body

1. The courts have developed the principle that NO individual has property a right in the dead body. 2. Thus, it was said that a dead body is the property of no one and there is no property in a DEAD BODY. 3. Courts have stopped short of declaring that a dead body was the "PROPERTY" of the surviving family members, it recognized that survivors had QUASI PROPERTY rights to the dead body. 4. It is not property in the commercial sense, but the law does provide a bundle of rights to the next of kin in relation to that body.

Right of Custody

1. The person exercising the right of disposition is granted the right to take possession (remember not actual possession) and control of the body. 2. Custody of the dead body may be had ONLY for the purposes of disposing of it in the proper manner.

Right to Choose Disposition

1. The person in charge of the funeral has the right to choose the method of disposition. That means that he or she has the authority to choose how the body will be disposed of, for example cremation, burial or anatomical gift. 2. This authority is unfettered. 3. For example, if a man was widowed and then remarries someone who is substantially younger than his children and then dies the surviving wife is in charge of the funeral.

Right of Control of Funeral

1. The person in control of the funeral has FULL AUTHORITY to make funeral arrangements. 2. This authority gives the person the right to make all decisions concerning the funeral arrangements. 3. This would include, visitation, location of the funeral, type of funeral service, and choice of merchandise to name a few. 4. Also gives the person in charge the right to limit or exclude people from the funeral service. *** Many people are under the misconception that a Funeral Home is public building and therefore a funeral is open to the general public. This is incorrect. When a family utilizes your funeral home they are renting it and they have the authority to control who is allowed in. You do not, however, have any control over the cemetery.***

Types of Business Crimes:

1. Theft 2. Embezzlement 3. Larceny

Anatomical Gift Act

1. This act has been enacted in all 50 States. Although it has been enacted in all states there may be some variations from State to State. 2. Any individual of sound mind may donate his/her body to science. 3. The gift is effective upon death without waiting for probate. Of course this makes perfect sense since the person's Last Will & Testament may not be opened or found until long after the burial or cremation.

DISCLAIMERS OF WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE

1. To be valid these disclaimers MUST be in writing and must also be conspicuous. 1. Such expresses as "as is" or "with all faults" will be enough for the seller to have disclaimed the warranty.

A mutual mistake will not make a contract invalid if it involves:

1. Value, quality, price 2. Terms of the contract 3. The law --- the Law is fully binding 4. Expectations.

A promise must be supported by consideration except under the following exceptions:

1. Voluntary Subscriptions - When a charitable organization is financed by voluntary subscription, the promise of each person is held to be enforceable. 2. Consideration (payment) is not necessary to support a judgment on the basis that an obligation is enforceable as a matter of public policy. 3. Promissory estoppels - If one person promises to pay another and the other person acts as a result of the promise, the promiser has to uphold his end of the "contract."

Implied Warranties of Merchantability

1. Warranties of merchantability which are given solely by merchants 2. Warranties of fitness for a particular purpose, which apply more generally, to merchants as well as to others. 3. Comes into play because the law assumes that the goods sold by a merchant/seller are fit to be sold or resold, and therefore they carry an ___________________________.

Duty of FD in case of conflict

1. Where the right of disposition is in conflict the FD should hold the body until the proper party authorizes disposition. 2. There will be situations where the final resolution of the disposition will be the result of litigation, where the court will decide the issue.

Three examples of Insufficient or Invalid Consideration:

1.Promising to do what one is already obligated to do. 2. Promise to refrain from doing what one has no right to do. 3. Past Performance - An act done prior to the promise does not constitute consideration. If you tell a friend that you will mow his lawn for free, you cannot later collect money for the work after it is completed.

2 Types of Administrative Agencies:

1.Regulatory- govern economic activity of businesses 2.Non-Regulatory: in charge of benefits for social and economic welfare. Example- Railroad Retirement Board.

FTC Funeral real enacted in

1984

ADA accommodations

1992; if built after 1993 must be compliant older than 1993: improvements made or attempted if reasonable based on resources and structural viability

FTC Cooling off regulation

3 day right of recision in cases where FD contacted buyer in home; exception if buyer contacted FD at FH.

A reasonable time to make a presentment for drawers on uncertified checks is

30 DAYS.

A reasonable time to make a presentment for drawers on uncertified checks is

30 days

Grace period -

30- or 31-day period in which late premium may be paid without policy lapsing

A contract consisting of a mutual exchange of promises to perform future acts is

A BILATERAL CONTRACT

A contract that is contrary to public policy would be

A CONTRACT TO LIMIT THE FREEDOM OF MARRIAGE

A contract that is contrary to public policy would be

A CONTRACT TO LIMIT THE FREEDOM OF MARRIAGE.

Compu Co. and Gina entered into an illegal contract whereby Gina agreed to sabotage a competitor's business. The sabatoge is a crime. Gina failed to perform. Under these facts

A COURT WILL NOT REQUIRE GINA TO PERFORM THE AGREEMENT

A judicial admission

A FACT ACKNOWLEDGED IN A COURSE OF LEGAL PROCEEDING

Which of the following can be called valid consideration?

A PROIMSE TO DO SOMETHING IN EXCHANGE FOR ANOTHER PROMISE

Consideration can include

A PROMISE THAT IS CONDITIONAL

Which of the following can be called valid consideration

A PROMISE TO DO SOMETHING IN EXCHANGE FOR ANOTHER PROMISE.

Consideration can include:

A PROMISE TO GIVE AWAY ONE'S CAR.

An appeal is

A REQUEST TO A HIGHER COURT TO REVIEW A LOWER COURTS DECISION

Maker issued her negotiable promissory note to Barry Mills. Barry transferred the note to Hans for value. Barry indorsed the note" without recourse, Barry Mills." Under these facts:

A and B. - Barry's indorsement is a qualified indorsement. - Barry does not have secondary liability to pay the note if Maker fails t pay.

In which case did Holder have notice that the note was overdue or had been dishonored?

A and B. - Maker issued a note that was due June 1. Payee negotiated the note to Holder on June 2. - Maker issued a note due May 1, 2014. The note was negotiated to Holder on April 1, 2012. At time of negotiation, Holder knew that time for payment of the note had been accelerated.

Juan can obtain specific performance of which contract?

A and B. - Seller contracted to sell Juan a ranch. Seller wrongfully refuses to convey title. - Juan bought a hybrid bull to be used for breeding. Seller wrongfully refuses to perform. The bull is unique and cannot be replaced. Damages cannot be measured.

Chemco and Glen entered into an agreement whereby Glen agreed to wrongfully acquire a sample of a competitor's new fertilizer product in consideration for $10,000. Performance of the agreement would be both a crime and tort. Under these facts:

A and B. - The agreement is an illegal contract to sell. - A court would not enforce this agreement.

On May 1, John contracted to buy an existing, identified cabinet from Seller, a merchant. Documents of title were not involved. Delivery is required at Seller's business. On June 1, Seller tendered delivery of the cabinet to John, but John failed to take it. On July 1, John took physical delivery of the cabinet. Under these facts:

A and C. - John had an insurable interest in the cabinet on May 1. - Risk of loss passed to John on July 1.

In which situation may Nick Ames have secondary liability top pay the face amount of the check?

A and C. - Nick indorsed a check "Nick Ames," and negotiated it to a holder. - Nick signed and issued a check payable to cash.

Which contract is voidable?

A and C. - Robin and her son, Bob, have a confidential relationship; Robin does whatever Bob says. Robin sold some stock to Bob for an unfairly low price because he demanded that she do so. - Jan threatens to injure Carl's children and to burn Carl's home unless he lends Jan $10,000. As a result of these threats, Carl feels compelled to agree to the loan and he does so.

Which of the following statements is true?

A bailment arises when property is left for repair even though when returned it is repaired and therefore not identical to the property left

Warranty of Fitness of Purpose

A buyer must prove that... 1. The seller knew or had reason to know the buyer's purpose or intended use of the merchandise. 2. The seller knew or had reason to know that the buyer was relying on the seller's skill or judgment, and 3. The buyer did rely on the seller's skill or judgment.

Lien

A claim or charge against property for payment of some debt

Lien

A claim or charge against property for payment of some debt. (Does not apply against a dead human body for it is not property.)

Unsecured Claim

A claim which is not supported by a pledge of other assets belonging to the debtor.

Secured Claim

A claim which is supported by a pledge of assets belonging to the debtor.

Compu. Co. and Gina entered into an illegal contract whereby Gina agreed to sabotage a competitor's business. The sabotage is a crime. Gina failed to perform. Under these facts:

A court will not require Gina to perform the agreement.

Cadaver

A dead human body used for medical purposes including transplantation and anatomical dissection and study

Precedent

A decision of a court which is thereafter followed as an example in subsequent cases

All of the following statements are false, accept

A drawee is liable for payment of a draft only after accepting it

Palenski v. Bruning

A funeral director who assisted in an unauthorized autopsy was held jointly liable. Similar to Myers v. Clarke.

Morgan v. Richmond

A funeral director who withheld the body of a plaintiff's deceased mother until payment was made was liable for damages resulting from the humiliation, embarrassment and mental distress suffered by the plaintiff.

Gift Causa Mortis

A gift of personal property in contemplation of death. The donor must die for the gift to be effected.

Bequest

A gift of personal property in general by will.

Legacy

A gift of personal property, usually money, by Will.

Devise

A gift of real estate made by will.

Administrative Agency

A governmental body created by legislation empowered to regulate an industry and issue rules and regulations

Which of the following statements is not true?

A hotel keeper may not refuse accommodations to anyone who can pay for them

Guardian

A judicial appointment of a person to administer the affairs of another person who is incompetent by virtue of age or legal disability.

Statute

A law enacted by a federal or state legislative body

Ordinance

A law passed by a local municipal governing body

Creditor's Claim

A legal process used by one wishing to collect a debt from an estate.

Executor

A man appointed by the will of a deceased person to carry out the provisions thereof and settle the estate

Executor

A man appointed by the will of a deceased person to carry out the provisions thereof and settle the estate.

Administrator

A man who has been appointed by the court to settle an estate

Administrator

A man who has been appointed by the court to settle an estate.

Testator

A man who makes a valid will

Testator

A man who makes a valid will.

Uniform Probate Code

A model of law to achieve uniformity in probate proceedings throughout the U.S.

Soldiers And Sailors Will

A nuncupative will, informal in nature, in which a soldier in the field or sailor at sea may dispose of personal property only

Soldiers and Sailors Will

A nuncupative will, informal in nature, in which a soldier in the field or sailor at sea may dispose of personal property only.

Beneficiary

A person to whom property is left by will.

Stare Decisis

A policy of courts to stand by a precedent and apply it to all future cases where the facts are substantially the same

Abatement

A proportional reduction of a legacy under a will when assets out of which such legacy are payable are not sufficient to pay it in full.

Law

A rule of action prescribed by an authority able to enforce its will

Ethics

A set of moral principles or values governing individuals or groups; conforming to accepted professional standards of conduct.

Appendix A-The right to control funeral arrangements

A three-fold problem that confronts funeral directors: 1. The duty of final disposition 2. The right to control the funeral and burial 3. The duty to pay for the funeral and final disposition The right to control has a definite order: 1. The wishes of the deceased 2. The spouse as long as the decedent has not expressed contrary wishes, and those wishes are in accord with the public morality and policy. This right is absolute no matter how many ex-spouses or children 3.

Jackie offered to pay Glenn $500 in consideration for Glenn's actual, complete trimming of all trees located on Jackie's property. With the intent to accept Jackie's offer, Glenn completely trimmed the trees in question. Under these facts, Jackie and Glenn's agreement is:

A unilateral contract

Contesting A Will

A will can be set aside on the ground that it is not the free expression of the testator. Reasons include: lack of mental capacity, undue influence, and forgery.

Conditional Will

A will that is only effective upon the occurrence or satisfaction of a condition.

Holographic Will

A will written entirely by the testator with his own hand

Holographic Will

A will written entirely by the testator with his own hand.

Executrix

A woman appointed by the will of a deceased person to carry out the provisions thereof and settle the estate

Executrix

A woman appointed by the will of a deceased person to carry out the provisions thereof and settle the estate.

Administatrix

A woman who has been appointed by the court to settle an estate

Administratrix

A woman who has been appointed by the court to settle an estate.

Testatrix

A woman who makes a valid will

Testatrix

A woman who makes a valid will.

Limited Warranty

A written warranty that does not meet the minimum requirements of a full warranty.

Beth agreed to service a computer for AAA Tax Service. Beth unintentionally breached the contract. As a result, the computer suffered $250 damage. As could be anticipated, AAA also lost profits of $500 because it could not complete certain tax returns without the computer. Under these facts, what damages, if any, can AAA recover from Beth?

AAA can only recover compensatory damages of $750.

Which of the following is sufficient and valid consideration?

ACCEPTING A SECURED NOTE IN DISCHARGE OF AN UNSECURED NOTE FOR A GREATER AMOUNT

To recover for an intentional tort, the injured person must show

ACT, INTENT AND CASUATION

A party who actually does something or takes steps to cause a fraud commits

ACTIVE FRAUD

The maker of a promissory note

ADMITS THE EXISTENCE OF THE PAYEE

A written offer can be accepted by the offeree:

AFTER THE OFFEROR HAS COMMUNICATED IT TO THE OFFEREE.

A written offer can be accepted y the offeree

AFTER THE OFFEROR HAS COMMUNICATED TO THE OFFEREE

Corpse

AKA - Dead Body

In which case was Al legally entitled to revoke the offer in question?

AL OFFERED TO SELL HIS CONDO TO BEN. BEFORE BEN ACCEPTED, AL GAVE BEN WRITTEN NOTICE THAT SAID, "I TERMINATE MY OFFER."

In which case is the creditor entitled to sue for the unpaid balance of the debt?

ALICE OWED OTIS $500. THE DEBT WAS UNDISPUTED. ALICE AND OTIS AGREED THAT SHE WOULD PAY $200 IN CONSIDERATION FOR HIS PROMISE TO RELEASE ALICE FROM THE BALANCE OF THE DEBT

The unauthorized change in an instrument that modifies in any respect the obligation of a party to incomplete instrument is called .

ALTERATION

Which of the following statements is not true?

AN APPELLATE COURT HEARS TESTIMONY FROM WITNESSES

A judgment against a person's car would be

AN OBLIGATION OF RECORD

A judgment against a person's car would be:

AN OBLIGATION OF RECORD.

In order to have a valid contract there must be

AN OFFER AND AN ACCEPTANCE

The liability of a carrier for the passengers' safety begins:

AS SOON AS A PASSENGER ENTERS THE TERMINAL OR WAITING PLATFORM.

The party making the assignment is the ASSIGNOR; the one to whom the right in transferred is the

ASSIGNEE

An implied warranty arises;

AUTOMATICALLY WHEN A SALE IS MADE

An implied warranty arises:

AUTOMATICALLY WHEN A SALE IS MADE AND IS IMPOESED BY VIRTURE OF THE LAW.

Offeree's assent that an offer can be a contract is called:

Acceptance

A party does something that causes fraud by either misrepresentation or concealment of material facts.

Active Fraud

Boards and commissions with authority to regulate and implement laws are known as:

Administrative Agencies

ADEA

Age Discrimination Employment Act: no discrimination based on age (40+) if co is 20+ employees

When 2 or more persons' minds meet on any subject, no matter how trivial this is an:

Agreement. When the parties intend to become legally obligated by the terms of agreement a contract is made.

In which case was Al legally entitled to revoke the offer in question?

Al offered to sell his condo to Ben. Before Ben accepted, Al gave Ben written notice that said "I terminate my offer".

In which case is the creditor entitled to sue for the unpaid balance of the debt?

Alice owed Otis $500. The debt was undisputed. Alice and Otis agreed that she would pay $200 in consideration for his promise to release Alice from the balance of the debt.

Eva, age sixteen, contracted to buy a motor scooter from Seller. Seller told Eva the scooter after she told him that she was 21 years old. After using the scooter for one year, Eva attempted to disaffirm the contract. The scooter was worth $300 less due to its use by Eva. In this case:

All of the above - Eva committed a tort by misrepresenting her age to Seller. - In some states, Eva would not be permitted to disaffirm the contract. - In some states, Eva can disaffirm, but she must pay $300 damages to seller.

Which oral contract is unenforceable because it violates the Statute of Frauds?

All of the above. - Biff orally contracts to sell his ranch to Marty. - Sue orally leases her home to Larry for two years. - Lin orally grants Kelly a right-of-way (easement) to cross over Lin's land.

Dave issued a check to Payee. Payee indorsed the check and delivered it to Harold. At Harold's request, the First Bank of Fruita (drawee bank) certified the check. Under these facts:

All of the above. - Certification discharged Dave from his liability to pay the check. - Certification binds First Bank of Fruita to the admissions made by an acceptor. - Certification caused First Bank of Fruita to become liable to pay the check.

In which case does Jeanne commit a computer crime?

All of the above. - Jeanne works for a federal agency. To protest the US foreign policy, Jeanne sabotaged the agency's computer system, causing substantial damage to the system. - Jeanne is employed by Motorworks, an exclusive car dealer in Beverly Hills. Secret customer data that cannot be obtained elsewhere is maintained on the company's computer. Jeanne secretly prints out the information and sells it to a competitor of Motorworks. - Jeanne wrongfully obtains access to IBM's computerized payroll system, and she causes IBM to issue her ten checks for a total of $50,000. Jeanne cashes the checks.

What is Quasi-Property?

Almost property. Rights to possess, use, exclude, profit, and dispose.

ADA

Americans with Disabilities Act: Prohibits employers from discriminating against disabled employees requires funeral homes to make accessible to disabled public 15 or less employees: exempt from ADA

Outrageous Act

An act with complete disregard for proper conduct which transcends the bounds of common decency

Replevin

An action to recover possession of wrongfully withheld personal property

Codicil

An addition or amendment of a last will and testament executed with the same formality as the will.

Abatement

An addition or amendment of a last will and testament executed with the same formality of the will

Federal Trade Commission (FTC)

An agency of federal government created in 1914 to promote free and fair competition by prevention of trade restraints, price fixing, false advertising and other unfair methods of competition

Solvent Estate

An estate in which the assets exceed the liabilities

Solvent Estate

An estate in which the assets exceed the liabilities.

Will

An instrument executed with required formality by a person making disposition of his/her property to take effect upon his/her death.

Which of the following statements correctly describes the type of property involved?

Animals, furniture, clothing, and jewelry are types of tangible personal property.

Regulation of a business seeking to promote competition are the purpose of:

Anti-Trust Laws

Maker signed a note for $10,000 which is payable May 1, 2013. Maker delivered the note to Paul. On June 1, 2012, Paul negotiated the note to Antonio. Antonio would NOT be acting in good faith in which situation?

Antonio bought the note from Paul for $1,000 (an unreasonably large discount). Under the circumstances, a reasonable person would have known that something was improper.

Constitutional Law

Any Fundamental or important law or edict

Common Carrier

Any carrier required by law to carry passengers or freight without refusal if the approved fare or charges is paid

Test of Death

Any procedure used to prove a sign of death

Expert Test of Death

Any procedure used to prove a sign of death, usually performed by medical personnel

Residuary Bequest

Anything remaining after the rest of an estate has been distributed.

Case Law

Appellate court decisions that establish preceding principles

FTC Credit Practices Regulation

Applies whenever FH allows payment over time through note, account, or similar debt instrument

Implied Warranties

Are guarantees that are suggested or inferred from known facts and circumstances.

Express Warranties

Are those warranties that are explicit and specifically stated promises.

The liability of a carrier for the passengers' safety begins

As soon as a passenger enters the terminal or waiting platform

The party making the assignment is the _______The party making the assignment is the _______

Assignor;assignee

Livery

Automotive equipment made available for hire

Bob has filed a civil lawsuit against Acme Corp. Bob is suing Acme for physical injuries that he suffered due to Acme's negligence. All pleadings have been filed. Select the correct answer regarding Acme's right to discover information from Bob.

B and C. - Acme can request Bob to submit to a reasonable physical examination by a doctor. - Acme can take Bob's deposition regarding the accident.

Nicole sold her FAX to Jasper. Jasper paid Nicole with a bad check. Jasper's bank refused to pay the check due to insufficient funds. Prior to Nicole's rescinding the sale, Jasper sold the FAX to Gary for value. Gary was unaware of the transaction between Nicole and Jasper. Under these facts:

B and C. - Gary received valid (good) title to the FAX. - Nicole cannot recover the FAX from Gary.

Which third party is a third-party beneficiary who can enforce the contract in question?

B and C. - Ned contracted with Rock Insurance Co. whereby the insurance company agreed to pay $10,000 to Ned's sister (third party) upon Ned's death. - Sara contracted to sell her car to Tom for $1,000. The contract requires Tom to pay the $1,000 directly to Last Chance Bank (third party) to whom Sara owes $1,000.

Select the correct statement:

B and C. - On a commodity exchange, Seller contracted to sell John a quantity of oil at a fixed price in one year. Seller intends to perform the contract. The contract is legal and enforceable. - Cap and Sue bet one another $100 on who would win the Super Bowl. They gave the money to Leslie to hold. If requested, a court would make Leslie return the money to Cap and Sue.

In which situation is the Downtowner Hotel entitled to refuse accommodation to Paula?

B and C. - Paula is denied a room because the hotel does not have any available rooms. - Paula is denied a room because she is intoxicated and she is insulting hotel guests.

B&K Inc. authorized its president, Tim Blue, to borrow $50,000 from Bank. Tim negotiated a loan and he signed a note in the manner indicated below. In this case, select the correct answer.

B&K Inc. is liable to pay the promissory note.

A check drawn by one bank on another is called a

BANK DRAFT.

In which situation does Wescott make a valid offer?

BART SIGNED A WRITTEN OFFER TO BUY LAND. THE OFFER APPEARS TO BE A SINCERE OFFER. UNKNOWN TO THE SELLER, BART DECIDES NOT TO BUY THE LAND UNLESS HE CAN FIRST SELL SOME OTHER PROPERTY

A written contract obligation, usually under seal, generally issued by a corporation, municipality, or government, that contains a promise to pay a sum at a fixed date is called a .

BOND

The administrative steps taken after the arrested person is brought to a police station, which involved entry of the persons name, the crime for which the arrest was made, and other relevant facts on the policy "blotter": and which may also include photographing, fingerprinting, and the like is termed

BOOKING

Statutes can be characterized as:

BY GROUPS OF PERSONS ELECTED BY THE VOTERS.

In which situation does Bart make a valid offer?

Bart signs a written offer to buy land. The offer appears to be a sincere offer. Unknown to the seller, Bart decides not to buy the land unless he can first sell some other property.

Batesville casket company, located in Batesville, Indiana, contracted to sell a shipment of caskets to Morningstar Pet Memorial and Cremation Service, located in Monterey Park, Ca. The caskets were sold "F.O.B. Monterey Park." Batesville Casket Co duly delivered the caskets to a carrier in Indiana for shipment to Morningstar Pet Memorial and cremation Service in California. The caskets were damages during shipment. Under these facts

Batesville Casket Company bears the loss of the caskets that occurred during shipment

Interstate

Between two or more states

A contract where promises are required for both parties.

Bilateral contract

First 10 Amendments to the US constitution are known as the:

Bill of Rights (1791)

Lineals

Blood descendants. Children and grandchildren, including legally adopted children.

Define Mortuary Law

Branch of law which relates to matters concerned with disposal of the dead Rules and principles that society has established for handling and disposition of the dead.

Failure of one of the parties to perform the obligations assumed under the contract.

Breach of Contract

Brenda applied to Lender for credit to buy a car. Brenda was denied credit because of an inaccurate credit report that was negligently prepared for Lender by Reliable Credit Agency. Under these facts:

Brenda can sue Reliable for ordinary damages she suffered due to the inaccurate report.

In a typical state court system, which answer would be correct?

Bruce is suing a manufacturer for $60,000 for breach of contract under state law. A state court of original general jurisdiction would have jurisdiction to try this case for the first time.

A class of laws dealing with the rules of conduct prescribed by government for business transactions.

Business Law

Select the promise, agreement, or debt of record that is not legally binding.

Buyer and Seller agreed to modify a land sale contract by reducing the price from $15,000 to $10,000. Buyer did not give anything in return for Seller's promise to lower the price.

Duress:

CAN BE CLAIMED AS A HYBRID DEFENSE.

The exclusion of warranties:

CAN BE MADE BY UNCONSCIONABLE PROVISIONS.

When an offer is made, it

CAN BE REVOKED EVEN IF THE OFFEROR HAS PROMISED TO KEEP IT OPEN

When an offer is made:

CAN BE REVOKED EVEN IF THE OFFEROR HAS PROMISED TO KEEP IT OPEN.

A contract not to compete

CAN BE VALID WHEN BUYING A BUSINESS OR MAKING AN EMPLOYMENT CONTRACT

A contract not to compete

CAN BE VALID WHEN BUYING A BUSINESS OR MAKING AN EMPLOYMENT CONTRACT.

If any term in a negotiable instrument is left blank and the drawer then delivers the instrument to another person for completion, the drawer:

CANNOT RAISE THE DEFENSE OF IMPROPER COMPLETION AGAINST THE HOLDER IN DUE COURSE

Appellate court decisions that establish precedent principles are collectively termed

CASE LAW

Which of the following writings may be a negotiable instrument?

CASTELLO-CHASE SIGNED A NOTE PROMISING TO PAY $900 ON DEMAND TO BEARER. THE NOTE STATES THAT THE NOTE IF GIVEN IN CONSIDERATION FOR AN EMBALMING MACHINE THAT CASTELLO-CHASE PURCHASED FORM SINCERE MEMORIES AND EVERLASTING LEGACIES MORTUARY

Chemco manufactures and distributes chemical products. Chemco is concerned that its production, distribution, and disposal of chemical products may be subject to federal environmental laws. Which federal act most directly regulates Chemco's business activities?

CERCLA

Cindy saw Carl's Lawn Service mowing a neighbor's lawn. Cindy pointed to her lawn, gesturing that she wanted it mowed. In response, Carl mowed Cindy's lawn. Under these facts

CINDY AND CARL MADE AN IMPLIED CONTRACT, AND CINDY IS OBLIGATED TO PAY FOR CARL'S SERVICES

The first national environmental piece of legislation was the

CLEAN AIR ACT

A/n _______ carrier transports goods or persons, without discrimination, for all who apply for that service.

COMMON

An agent that denotes property is possessed for the purpose of sale by someone who does not own it is called

CONSIGNMENT

Which contract is defective due to a mistake?

CONTRACTOR SUBMITTED A BID TO OWNER THAT OWNER ACCEPTED. DUE TO A MATH ERROR THE BID WAS $20,000, INSTEAD OF $30,000 AS INTENDED. OWNER WAS AWARE OFF CONTRACTOR'S MISTAKE

The unauthorized exercise of ownership rights over another's property is called

CONVERSION.

A person to whom the promissee owes an obligation or duty that will be discharged to the extent that the promisor performs the promise is called the

CREDITOR beneficiary.

Duress

Can be claimed as a hybrid defense

Package Funerals

Can be on GPL, not in lieu of may be offered at discount

What is another name for the "Laws of the Church?"

Cannon

if any term in a negotiable instrument is left blank and the drawer then delivers the instrument to another person for completion, the drawer

Cannot raise the defense of improper completion against the holder in due course

Cindy saw Carl's Law Service mowing a neighbor's lawn. Cindy pointed to her lawn, gesturing that she wanted it mowed. In response, Carl mowed Cindy's Lawn. Under these facts:

Cindy and Carl made an implied contract, and Cindy is obligated to pay for Carl's services.

Law dealing with enforcement or protection of private rights.

Civil Law

The first national environmental piece of legislation was the:

Clean Air Act

This act regulates air quality and pollutants.

Clean Air Act

Related to codes of professional responsibility. Ex. American Bar Association, American Medical Association.

Codes of Ethics

Customs recognized by courts as binding on the community. They began in England.

Common Law

Custom which has come to be recognized as binding by the court is

Common law

This Act seeks the cleanup of wastes from previous activities and requires notification of the release of hazardous wastes. Is referred to as the "superfund" law.

Comprehensive Environmental Response - Compensation and Liability Act

Compu Co. is one of the two largest manufacturers of computers in the US. Which action or agreement does NOT violate federal antitrust laws?

Compu sells its Y computer in one market for $1,000, and it sells the same computer in other markets for $950. The pricing difference is due to a difference in transportation costs.

Crimes committed with the aid or involvement of a computer.

Computer Crimes

The unauthorized use of or access to a computer.

Computer Trespass

One hides facts so they will not be discovered by the other party is known as:

Concealment

Representation of goods and services as those of another leading to customer confusion. This tort occurs from trademark or trademark infringement or unfair competition.

Confusion of source

Markham's Emporium has been in business for thirty years, and it has an excellent reputation. John wants his new store to be a success, so he erects a large sign over his business reading "Markham's Emporium". Under these facts, John is probably liable for the tort of:

Confusion of source.

What one demands or receives as the price for a promise. It may be of monetary value or a particular action.

Consideration

Define Common Law

Consists of principals, maxms, and decisions that have been passed down for hundreds of years. Incorrectly called "unwritten laws". Fills in the gaps of our legal system.

Document defining relationships of the parts of government to each other and to its citizens. It is not easily amended or repealed.

Constitution

A(n)_________ bailment arises when someone finds and takes possession of lost property

Constructive

A legally enforceable agreement between 2 or more competent persons. (Does not require written documentation.)

Contract

Copying software illegally (pirated software) is an example of:

Copyright infringement

Allen v. Jones

Court added (to Lamm v. Shingleton) the award of damages for mental distress against the funeral director serves as a useful & necessary means to maintain professional standards in the funeral industry. Added that damage for mental anguish is often the only method to compensate victims of wrongful acts by funeral directors.

Estate of Harper v. Orlando Funeral Homes

Court held that absent a physical impact, mental anguish for negligent funeral directing could not be recovered unless plaintiff allege that defendant's conduct exceeded all bounds reasonably tolerated by society such as to suggest malice or the entire want of care or great indifference.

Myers v. Clarke

Court held that funeral directors who, w/o permission of the next of kin, permitted autopsies to be jointly liable w/ the person performing the autopsy.

Lamm v. Shingleton

Court, noting the personal nature of the funeral contract & the fact that the contract itself puts the funeral director on notice that a breach of contract would probably result in mental anguish, held the damages from mental anguish could be awarded in cases involving breaches of funeral contract.

Konecny v. Hohenschuh

Courts are in an apparent agreement that funeral directors are not required to challenge the coroner's authority to conduct the autopsy in order to avoid possible liability for participating or consenting to an unauthorized autopsy. (Similar to Gurganious v. Simpson.)

Gurganious v. Simpson

Courts are in an apparent agreement that funeral directors are not required to challenge the coroner's authority to conduct the autopsy in order to avoid possible liability for participating or consenting to an unauthorized autopsy. (Similar to Konecny v. Hohenschuh.)

Zoning

Creates laws for orderly development of geographical area; protects citizens' property, health, safety, welfare

An offense that tends to injure society.

Crime

A law dealing with crimes and punishment.

Criminal Law

Comman Law

Customs which have become recognized by the courts a binding on the community

The penalty for breaching a rule that is a civil wrong is

DAMAGES

Regarding the duration of an offer

DEATH OR INSANITY OF OFFEROR TERMINATES THE OFFER

Regarding the duration of an offer:

DEATH OR INSANITY OF OFFEROR TERMINATES THE OFFER

An unsecured bond or note issued by a business firm is called a .

DEBENTURE

A breach of contractual obligations other than money, such as a contract to build a house, is referred to as

DEFAULT

To recover for an intentional tort, the injured person must show:

DEFENDANT'S ACT ALONE, AN INTENTION TO CAUSE THE CONSEQUENCES OF THE ACT ALONE AND CAUSATION AND INTENT.

The intentional transfer of possession and control of something is called:

DELIVERY

A contract involves specific subject matter, the destruction of the matter without the fault of the parties

DISCHARGES THE CONTRACT BECAUSE OF IMPOSSIBILITY OF PERFORMANCE

If a contract involves specific subject matter, the destruction of the matter without the fault of the parties:

DISCHARGES THE CONTRACT BECAUSE OF IMPOSSIBILITY OF PERFORMANCE.

Use of goods by a buyer for the purpose of trial;

DOES NOT MEAN APPROVAL

Use of goods by a buyer for the purpose of trial:

DOES NOT MEAN APPROVAL.

Uniform Commercial Code provides that the parties' modification of a contract for the sale of goods:

DOES NOT REQUIRE CONSIDERATION.

Most administrative agency regulation is

DUE TO THE COMPLEX NATURE OF THE AREA OF REGULATION

Which oral promise or contract violates the Statute of Frauds?

Dad and Jose made an oral contract whereby Dad promised to make Jose general manager of a company in consideration of Jose's promise to marry Dad's daughter.

Cameron has filed a civil suit against Ann regarding a car accident. Cameron is suing Ann for money to compensate him for the destruction of his car. What remedy should Cameron request?

Damages

Money a wrongdoer must pay to an injured party. Injured party refers to a person or estate against which a wrong was committed.

Damages

In most states, which right can be assigned without statutory restriction and without the consent of the party whose obligation is being assigned?

Danna contracted to pay $100 to Bret. Bret wants to assign the right to receive this money.

Cellular Death

Death of the individual cells of the body

Somatic Death

Death of the organism as a whole

Merchant

Defined as anyone who deals in goods of the kind being sold in the ordinary course of business or someone who presents himself or herself as having the skills or knowledge relating to the goods

Denise issued three checks to various payees. In which case does Denise have a limited defense?

Denise issued a check to Contractor in payment for certain remodeling work. Contractor performed the work improperly, a breach of contract.

Phrase that means to "set it aside."

Disaffirmance

The repudiation or setting aside pf a contract is called:

Disaffirmance

A/n __________beneficiary is one to whom the promise owes no legal duty but to whom performance is a gift, such as the beneficiary named in a life insurance contract.

Donee

In which case did Holder take the check with notice of a defense or adverse claim?

Drawer issued a check for Payee's services. At the time Payee negotiated the check to Holder, Holder knew that Drawer claimed that Payee had improperly performed the services.

Obtaining consent by means of a threat.

Duress

When a person destroys another's free will by obtaining contractual consent as a result of a wrongful threat, it is called

Duress

Which contract(s) is required to be evidenced by a writing to be enforceable?

During on shopping trip to a nursery, Mercedes selected six trees from different parts of the nursery. Each tree cost $200. One purchase agreement was prepared for the six trees.

which of the following contract(s) is/are required to be evidenced by a writing to be enforceable?

During one shopping trip to Nordstrom, wescott with the help of a personal shopper, selected six suits from different area of the store. Each suit cost $200. One purchase agreement was prepared for the six suits

In which case is Conn Carrier (a common carrier) liable for the damage or loss in question?

During shipment, goods are stolen by a thief.

Professional

Duties consist of performance of learned, artistic, or education matters; work requires consistent exercise of discretion and judgment; work is predominantly intellectual and output can't be standardized in relationship to time.

According to the Statute of Frauds

ELECTRONIC SIGNATURES ARE NOT PERMISSIBLE AND LEGALLY ENFORECEABLE

Government regulated business to

ELIMINATE ABUSES AND MINIMIZE UNDESIREABLE CONDUCT

Government regulates business to:

ELIMINATE ABUSES AND MINIMIZE UNDESIREABLE CONDUCT.

No administrative agencies has the power to

ENACT RULES THAT CANNOT BE APPEALED

Statutes can be characterized as

ENACTED BY GROUPS OF PERSONS ELECTED BY THE VOTERS

Most of American law has its roots in

ENGLISH COMMON LAW

Which of the following provides relief other than merely money damages?

EQUITY

A party who actually does something or takes steps to cause a fraud commits:

EXACT REPRESENTATION

The Statute of Frauds applies only to

EXECUTORY CONTRACTS

The Statute of Frauds applies only to:

EXECUTORY CONTRACTS.

A contract in which parties indicate their intentions by written or spoken words is a/n

EXPRESS contract.

What are five forms of accepted methods of disposition?

Earth burial, Cremation, Burial at Sea, Entombment, Anatomical donation.

Ellen bought an economy ticket for a short commute on R&R Railroad, a common carrier. Ellen did not buy a reserved seat that was available. In which case would R&R be liable to Ellen?

Ellen was injured when an R&R employee negligently dropped a suitcase on her foot.

Fraudulent conversion of another's property by someone is lawful possession of the property is called:

Embezzlement

Property is handled inconsistently with the arrangement by which he or she has possession of it.

Embezzlement

Equal pay act

Employer may not discriminate on basis of sex unequal pay based on seniority, merit, or other factors

Rules and Regulations

Enactments by an administrative body within the jurisdiction of that agency

Most of American law has its roots in

English Common Law

Uniformity among the legal system and courts based on fairness.

Equity

Principles closely related to morals are:

Ethics

When all duties of a contract have been performed it becomes an:

Executed contract

Classification of FT employees (4)/white collar exemptions

Executive (directs 2+ employees) administrator (office/personnel director; uses own jdg) professional (output cannot be quantified) Commissioned outside sales person (self expl)

Bloodborne pathogen standard

Exp control plan to cite safe work practices hep b vaccs PPE training exposure incidents recordkeeping

When both parties express intentions by words, writing or orally, where the terms are by words, writing or oral, where the terms are expressly stated or written.

Express contract

Creditor

Extends credit 25x or more/year *Disclosures not required if credit extended less than 25x/year

A mistake as to the terms of the contract usually result from

FAILURE TO READY THE WRITTEN CONTRACT

A mistake as to the terms of the contract usually result from

FAILURE TO READY THE WRITTEN CONTRACT.

The law that requires creditors to notify potential recipients of credit whenever any adverse action was based on a credit report is the

FAIR CREDIT REPORTING ACT.

A carrier of goods is a bailor

FALSE

A check is a type of note.

FALSE

A check on which additional space is provided for the drawer to make a notation for which the check is issued is referred to as a trailing edge check. .

FALSE

A contract to sell has the same legal effect as a contract of sale.

FALSE

A draft is also called a bill of lading.

FALSE

A negotiable instrument may be oral or written.

FALSE

A not must be payable to "bearer."

FALSE

A peel-away is a claim by a party being sued against the party suing.

FALSE

A person can still be liable on instruments if debts have been discharged by bankruptcy.

FALSE

A person who accepts a draft is called the drawer.

FALSE

A preauthorized credit done electronically still requires the payee to deposit a check.

FALSE

A returnable goods transaction is not considered a sale if the goods are purchased for resale.

FALSE

A standardized bill of sale form is required for all sales.

FALSE

A stop-payment order must be in writing.

FALSE

All contracts for the sale of goods must be in writing when the sale prices is $1000 or more.

FALSE

All promissory notes are negotiable.

FALSE

Although a bank has many responsibilities to its customers, customers have no responsibilities themselves. .

FALSE

An auction contract is made when a bidder calls out a bid.

FALSE

An instrument transferred on the date of maturity is past due.

FALSE

Article 2 of the UCC is effective in all states except Montana.

FALSE

Forgery is considered a hybrid defense.

FALSE

Generally, the defenses available in a dispute over a contract may be raised against holders who qualify as holders in due course.

FALSE

If Last National Bank negotiated a variable interest loan to Keston, Keston could come back and say the variable rate destroys negotiability.

FALSE

If a maker cannot write his or her name, someone else must forget the name.

FALSE

If a separate sales slip is written for each purchase as an individual goes through a store, the series is considered one sale.

FALSE

If the name of the payee or indorsee of an instrument in misspelled, it renders the check void.

FALSE

In the vast majority of sales transactions, either the buyer or the seller experiences some type of problem.

FALSE

Loss or destruction or a negotiable instrument automatically discharges its obligation.

FALSE

Negotiable instruments are rarely made payable to more than one person.

FALSE

One who has received a negotiable instrument as a present can be a holder in due coarse. .

FALSE

References to bills of exchange and instruments of credit appeared as early as 6000BC.

FALSE

Risk of loss to unidentified goods falls on the buyer.

FALSE

The UCC classifies a certificate of deposit as a draft.

FALSE

The annual percentage rate (APR) is the same thing as finance charges.

FALSE

The assurance that the seller has ownership of goods an the transfer to a buyer is lawul is called warranty of encumbrances.

FALSE

The number s at the bottom of a check identifies the type of check it is.

FALSE

The only way an instrument can be made payment is on demand.

FALSE

Two essential elements of a contract are offer and counteroffer

FALSE

When a person knows a commercial paper is being executed and knows its essential terms but is persuaded to execute it because of false statements, this is a defense against a holder in due coarse.

FALSE

A carrier is liable for damage due to the inherent nature of goods, such as rotting of fruits.

FALSE.

A check or promissory note tendered as payment but refused by the seller still constitutes a payment under the Statute of Frauds.

FALSE.

A thief may legally transfer title to property.

FALSE.

If existing goods require transporting, title passes at the time and place of contracting.

FALSE.

The relationship of guest and hotelkeeper continues even if the guest arranges for permanent residence at the hotel.

FALSE.

Whenever canned peas are sold, no breach of warranty exists if ground glass is found in the can.

FALSE.

Regarding shipments, which piece of legislation governs interstate shipments?

FEDERAL BILLS OF LADING ACT

Magnusson Moss Warranty Act

FH provides warranties on merch they sell, even if they don't manufacture it selling a casket implies it is structurally sound

A person in relationship of trust and confidence is called .

FIDUCIARY

The first step in bringing the legal action is

FILING SUIT

Vision of paradise mortuary plans to advertise a prearranged funeral plan for sale on credit. The ad wills ate the credit price for the prearranged funeral plan. What other information must this ad disclose in order to comply with the truth-in-lending act?

FINANCE CHARGE, APR, AND THE NUMBER, AMOUNT, AND DUE DATES OF PAYMENTS

Fair Labor Standards Act

FLSA: Covers co's with gross annual sales <$500k $362k (prior to 1990) to $500k: still subject to OT, child labor laws, and recordkeeping

The letters "F.O.B." stand for

FREE ON BOARD.

Goods of like nature that may be sold by weight or measure are _______ goods.

FUNGIBLE

Negligence

Failure to exercise ordinary care

A contract involves right but not necessarily obligations.

False

A contract that is set aside because of illegality always involves the commission of a crime.

False

A debt that has been outlawed by the statute of limitations can never be revived.

False

A delegation relieves the delegating party of all liability under the contract.

False

A mistake of opinion can render the contract void.

False

A mutual mistake occurs when only one party makes a mistake

False

A normal way a case gets to the Supreme Court is by application for a writ of habeas corpus.

False

A valid contract can be set aside by one of the parties.

False

Adequacy of consideration is a major factor of a promise.

False

All agencies have the power to set standard rates.

False

All agreements are binding contracts.

False

All contracts must be typewritten.

False

All courts interpret "mutual mistake" the same way

False

All rules are laws.

False

All states are consistent in their laws regarding capacity to contract.

False

An agreement by which one person promises to pay a sum of money or to give property to another in consideration of marriage is illegal.

False

An offer can be definite or vague, depending upon the situation.

False

Both parties must have signed the note or memorandum required by the Statute of Frauds.

False

Constitution is whatever the promisor demands and receives as the price for a promise.

False

Contracts for services that take less than six months must be in writing.

False

Creation cannot be a viable way to acquire personal property according to the UCC

False

Electronic signatures are now permissible and legally enforceable.

False

Ethical standards stay constant over time.

False

Ethics is the study of morality of conduct.

False

Government regulation of business is conducted by the judicial branch.

False

If Ransome sells the Chevallier, a car for $10,500 when the car's value was really $4,400, Chevallier can rescind the contract because of mistake.

False

If a person incidentally benefits by the performance of a contract, suit for breach or for performance will be successful.

False

If an offer was made in a moment of extreme fear or anger, there is every reason for an offer to believe it was seriously intended.

False

If the tender used as payment is refused, the debt is discharged.

False

In most jurisdictions, if a minor disaffirms a contact and returns the property in damaged condition, the adult can recover damages.

False

Invitations and offers are the same thing.

False

Marks that are fanciful, arbitrary or subtly suggest something about the product, such as the Nike "Swoosh," cannot be legally protected.

False

Misdemeanors are more than serious felonies.

False

Most minors' contracts are voidable at the adult's option.

False

Notice must be given to the other party in order to make the assignment effective between the assignor and the assignee.

False

Promising not to sue someone is consideration even if one does not have a basis for suing.

False

Property includes only physical, tangible things.

False

Satisfactory performance and substantial performance are the same thing

False

Some contracts can be for unlawful purposes, depending upon who negotiates them

False

Strict tort liability makes it impossible for an injured person to recover damages from the manufacturer of a defective product.

False

Sunday contract laws are consistent within all 50 states.

False

The English Parliament enacted the Statute of Frauds in 1814 as a response to legal issues arising from the War of 1812.

False

The Federal Trade Commission Act encourages false advertising

False

The U.S. Supreme Court cannot reverse its own decisions.

False

The United States has very few federal laws regarding the environment.

False

The bailor is the one who accepts possession of the property but not the title.

False

The legal rate is considerably higher than the contract rate.

False

The main objective of law is to provide lawyers and judges with jobs

False

The most important antitrust law is the Civil Rights Act of 1964.

False

The original U. S. Constitution as adopted in 1792 guaranteed individual rights for citizens.

False

The transfer of possession, but not title, of personal property by one party is called bail bonding.

False

The unauthorized use of or access to a computer is computer transfer.

False

Tortious acts can never be considered crimes also.

False

Under common law, private wagering contracts were unenforceable. However, now under the UCC, most private contracts are enforeceable.

False

When all terms of a contract have been fulfilled, the contract is discharged by novation.

False

FTC

Federal Trade Commission

Minimum wage

Federal: $7.25 higher standard observed if conflict

Crimes punishable by imprisonment for more than 1 year up to death is a:

Felony

The first step in bring a legal action is:

Filing suit

Autos Inc. plans to advertise a car for sale on credit. The ad will state the credit price for the car. What information must this ad disclose in order to comply with the Truth-in-Lending Act?

Finance charge; APR; and the number, amount, and due dates of payments.

Which transaction is a sale of goods that is governed by Article 2 of the UCC?

Floors, Inc., a manufacturer or carpeting, sells a shipment of carpeting to Retailer.

When one refrains or promises to refrain form doing something, it is called

Forbearance

Escheat

Forfeiture of a decedent's property to the state in the absence of heirs.

This contract must be in a special form or created a certain way: under seal, recognizance, or negotiable instruments.

Formal

Specific OSHA Standards for Funeral Homes (3)

Formaldehyde Exposure Standard Hazard Communication Standard Bloodborne Pathogen Standard

General Price List

Foundation of Funeral Rule given to consumer prior to purchasing anything detailed/itemized name and address, phone #, and effective date must be on it

One who intentionally induces another to enter into a contract as the result of a false statement or material fact commits:

Fraud

This is Larceny and Embezzlement such as bank deposits made to just one individual.

Fraud

A person signs a contract without understanding the language in which it is written.

Fraud in the Execution

A false statement is made regarding the terms of agreement, quality of goods, or seller's intent to deliver goods. The contract is voidable and this is known as:

Fraud in the Inducement

Scheuer v. William F. Howard Funeral Home

Funeral Home embalmed w/o permission and in violation of the decedent's Jewish faith. Funeral director testified he "was aware the deceased was Jewish and saved two bottles of blood to be buried w/ her." Court permitted the plaintiff to bring an action finding there was an issue for a jury to decide.

What is another term for mortuary law?

Funeral Law

Audia v. Rossi Bros. Funeral Home

Funeral director mistakenly switched bodies in setting up two visitations. Ohio Supreme Court refused to allow an action for the negligent infliction of emotional distress. Court held that Ohio law did not recognize an exception even when the allegations involved the negligent handling of a dead body.

Sworski v. Simmons

Funeral director received an unidentified body from a coroner who advised him to embalm the body. He followed the advice and embalmed before next of kin could be located. Family sued for mutilation of the body, court held that it was not a defense to claim that the embalming was beneficial.

Kennedy v. Ricker Funeral Home

Funeral director was held liable for injuries incurred by the plaintiff pallbearer when the pallbearer fell while carrying a handleless casket into the church. Staff negligently did not instruct pallbearer on how to properly hold the casket.

Appendix C-Mental anguish

Funeral directors should realize that: 1. A contract whereby a mortician agrees to prepare a body for burial is one in which it is reasonably foreseeable that any breach may cause mental anguish and liability 2. Public policy requires that morticians adhere to a higher standard of care in view of the potential psychological devastation likely to result from any mistake

Holsen v. Heritage Mut. Ins. Co.

Funeral home mixed-up two bodies and had the plaintiff's father wrongfully interred. When the body was not available for visitation, the court found the funeral home negligently interfered with the family's common law right to properly conduct a funeral. Could be sued for negligent infliction on mental distress.

Watts v. Rhondes

Funeral homes were found liable for injuries resulting from icy walkways and ramps leading to and from the funeral home. (Similar to Filipak v. Plombon.)

Filipak v. Plombon

Funeral homes were found liable for injuries resulting from icy walkways and ramps leading to and from the funeral home. (Similar to Watts v. Rhondes.)

In a typical state court system, which would be correct?

GARCIA IS SUING SINCER MEMORIES AND EVERLASING LEGACIES FOR $60,000 FOR BREACH OF CONTRACT UNDER THE STATE LAW. A STATE COURT OF ORIGINAL GENERAL JURISDICITON WOULD HAVE JURISDITION TO TRY THIS CASE FOR THE FIRST TIME

The truth in lending act;

GIVES A DEBTOR THREE DAYS TO RESCIND A MORTGAGE EXECUTED ON THE DEBTOR'S PRINCIPAL

A copyright:

GIVES THE OWNER THE EXCLUSIVE RIGHT TO REPRODUCE, COPY, OR PERFORM A WORK.

Indorsers who escalate their liability to primary status are called .

GUARANTORS

Timing of Express Warranties

Generally speaking most express warranties are made before or during the sales transaction, writing or oral statements issued by the seller after the transaction has been completed also can be interpreted as express warranties.

The U.S. supreme court

HAS APPELLATE JURISDICTION IN CASES BASEDON THE US CONSTITUTION, A FEDERAL LAW OR TREATY

In an auction, if a bid is made while the hammer is falling in acceptance of a prior bid, the auctioneer:

HAS THE OPTION OF REOPENING THE BID OR DECLARING THE GOODS SOLE.

Administrative agencies:

HAVE THE POWER TO REGUALTE PARTICULAR MATTERS OR IMPLEMENT LAWS.

Administrative agencies

HAVE THE POWER TO REGULATE PARTICULAR MATTERS OR IMPLEMENT LAWS.

Federal district courts

HEAR ALL CRIMINAL CASES INVOLVING A VIOLATION OF FEDERAL LAW

The unauthorized outsider who gains access to another computer system.

Hackers

Who felt that the legal system should be "more fair" to the upper class citizens?

Hammurabi

Which agreement by Heifer Co. does NOT violate the Sherman Antitrust Act?

Heifer gives A&A Grocery the exclusive right to sell Heifer's products in a small town. This agreement is evaluated under the rule of reason, and it does not lessen competition.

In the following cases involving delivery and acceptance, select the correct answer.

Hill rents a boat to Neuman. The boat is located at a distant lake. Hill gives Neuman keys of the boat. Neuman drives to the lake and takes possession of the boat. In this case, Neuman is a bailee.

Recommended OSHA practices

Hypodermics should be stored with covers trocars must be stored with covers suture needles stored in sponge with disinfectant use forceps to get sharps out of a drawer remove scalpel blades with a device

Which of the following would be legally acceptable promise?

I PROMISE TO PAY GLENN BOWER $5000 ON MARCH 21

Which of the following would be a legally acceptable promise?

I PROMISE TO PAY RAY JOHNSON $5000 ON MARCH 21.

An element of promissory estoppel would be

IF A PROMISE IS MADE

An element of promissory estoppel would be:

IF A PROMISE IS MADE.

Rosa sued T&S Co. for breach of contract. The jury returned a verdict in favor of Rosa for $5,000. Under these facts

IF THE JUDGEMENT IS APPEAKED, THE COURT OF APPEALS MAY REVERSE THE JUDGMENT IN THE LOWER COURT COMMITTED SERIOUS ERRORS OF LAW

Sate superfund laws:

IMPOSE A LIABILITY FOR CLEANUP COSTS OF HAZARDOUS WASTES

State Superfund laws

IMPOSE A LIABILITY FOR CLEANUP COSTS OF HAZARDOUS WASTES

An offer may be accepted

IN A REASONABLE MANNER

An offer may be accepted

IN A REASONABLE MANNER.

A hybrid defense would be

INCAPACITY OTHER THAN MINORITY

A hybrid defense would be

INCAPACITY OTHER THAN MINORITY.

If a negotiable instrument is made payable to multiple persons:

INDORSEMENT DEPENDS UPON THE LANGUAGE USED IN THE INSTRUMENT.

If a negotiable instrument is made payable to multiple persons

INDORSEMENT DEPENDS UPON tHE LANGUAGE USED IN THE INSTRUMENT

A permanent judicial order or decree forbidding the performance of a certain act is an

INJUCTION

The power to issue cease and desist orders is termed

INJUCTIVE POWER

A false statement of fact that degrades the quality of another's goods or services is called

INJURIOUS FALSEHOOD.

Contracts, copyrights, certificates of stock, accounts receivable and notes receivable are known as

INTANGIBLE PROPERTY.

The chief function of courts is to

INTERPRET AND APPLY THE LAW FROM WHATEVER SOURCE TO A SITATION

Which contract is voidable?

IRVING CONTRACTS TO BUY A CAR. DUE TO A MENTAL ILLNESS, IRVING CANNOT UNDERSTAND THAT HE HAS MADE A CONTRACT, AND HE IS UNABLE TO UNDERSTAND THE CONTRACT'S BASIC TERMS

The legal system we have in America

IS BASED HEAVILY ON THE ENGLISH LEGAL SYSTEM OF COMMON LAW AND EQUITY

A check is a special type of draft which

IS DRAWN ON A BANK AND PAYABLE ON DEMAND

The agreement which is vital to a contract

IS FREQUENTLY CALLED "A MEETING OF THE MINDS"

The agreement which is vital to a contract.

IS FREQUENTLY CALLED "A MEETING OF THE MINDS"

A rule is called a law when it

IS ISSUED BY A SOVEREIGN STATE.

The warranty against encumbrances

IS MADE BY ALL SELLERS

A unilateral mistake:

IS MADE BY ONLY ONE OF THE PARTIES.

Refraining from doing something is valid consideration with the act refrained from:

IS SOMETHING THE PROMISOR HAS NO RIGHT TO DO.

Refraining from doing something is valid consideration when the act refrained from

IS SOMETHING THE PROMISOR HAS THE RIGHT TO DO

Specific Legacy

Identifiable personal property (such as a specific bank account).

Specific Bequest

Identifiable personal property.

Specific Devise

Identifiable real property.

Rosa sued T&S Co. for breach of contract. The jury returned a verdict in favor of Rosa for $5,000. Under these facts:

If the judgment is appealed, the court of appeals may reverse the judgment if the lower court committed serious errors of law.

Ilas issued a check for 500$ in payment for some cremated remains containers from wizzard hill. Mieh, owner of Wizzard Hill, negotiated the check to an innocent purchaser, Ms Madueno. Which defence can Ilas assert against Ms Madueno, the innocent purchaser?

Ilas has a defense of minority because she is 17

Which of the following transactions is a sale of goods that is governed by article 2 of the UCC?

Ilas, a manufacturer of cremation urns, sells a shipment of urns to Happily Ever after Memorial Gardens.

When the duties of the parties in a contract are not expressed but are implied by action or conduct.

Implies Contract

Seller validly offered to sell a carpet-cleaning franchise to Joe for $50,000. Which of the following expressions by Joe would constitute a valid acceptance of the offer?

In writing, Joe states: "I accept the offer".

For an agreement to be enforceable at law all parties must have the legal and mental capacity to contract. According to the law, some parties lack mental capacity and are considered:

Incompetent

A courts permanent order forbidding an action is called a/an

Injunction

A permanent order forbidding a certain action that would be a detriment to others.

Injunction

A false statement made while believing it is true is known as:

Innocent Representation

Will

Instrument executed with required formality by a person making disposition of their property to take effect upon their death

Gourmet Co. was in the final stage of negotiating a contract with Last Airway. It appeared that a contract would be signed. To defeat Gourmet's chance for this contract, Foodway Corp. bribed union officials to conduct an illegal strike of Gourmet. As a result, Gourmet did not get the contract. What tort did Foodway Corp. commit?

Interference with prospective advantage.

When a person doies without leaving a will, that person dies

Intestate

Which contract is voidable?

Irving contracts to buy a car. Due to a mental illness, Irving cannot understand that he has made a contract, and he is unable to understand the contract's basic terms.

Actual Possession

Is when the person has possession of the physical body

Constructive Possession

Is when the person who is in charge of the funeral has ______________ of the body when the body is physically in the funeral home.

Which promise or agreement constitutes a valid contract?

JUAREZ AND LOPES ARE COMPETENT ADULTS, AND IN A SIGNED WRITING LOPEZ AND JUAREZ AGREE THAT JUAREX WILL SELL HER CAR TO LOPES FOR $2,000

In a state court of record, the chief officer is the

JUDGE

When person voluntarily acknowledges a fact during the course of some legal proceeding, it is called

JUDICIAL ADMISSION.

Sources of American laws include

JUDICIAL DECISIONS, LEGISLATIVE STATUTES, CONSTITUTIONS AND ADMINISTRATIVE AGENCIES

A verdict is the decision of the

JURY

In a typical jury trial

JURY IS SELECTED BEFORE OPENING STATEMENTS ARE MADE

Where do our laws come from?

JUSTICIAL DECISIONS, LEGISLATIVE STATUTES, CONSTITUTIONS AND ADMINISTRATIVE AGENCIES.

Select the correct answer?

Jake signed and delivered a negotiable draft payable to the order of Carl. To negotiate this draft, Carl must indorse the note and deliver it to a transferee.

What are the three countries and one state that utilize the code of Napoleon?

Japan, Louisiana, Italy, Egypt.

In a state court of record, the chief officer is the:

Judge

Which contract is unenforceable?

Judy orally contracted to buy $800 of cosmetics. She sent the seller an unsigned purchase order for the cosmetics. The purchase order stated all of the terms of the proposed contract.

The power of authority to hear a case is called:

Jurisdiction

Ken contracted to set up ordinary accounting books for Paul's business. The contract requires the books to be satisfactory to Paul. Ken set up the books in accordance with generally accepted accounting principles, and a reasonable person would be satisfied with the books. However, Paul refuses to pay because he is not actually satisfied with the books. Under these facts:

Ken can enforce the contract because a reasonable person would be satisfied.

Select the correct answer:

Ken does all his banking with City Bank. Ken's creditor asks City Bank for private information regarding Ken's assets and debts. In this case, City Bank owes Ken a duty to protect the confidentiality of this information; it should not disclose this information.

Select the correct statement:

Kit sold an engine to Buyer. Unknown to the parties, Kit did not have title to the engine. In this case, the warranty of title is breached.

Which writing may be a negotiable instrument?

Kyle signed a note promising to pay $900 on demand to bearer. The note states that the note is given in consideration for a stereo that Kyle purchased from ABC Inc.

Criminal laws include

LAWS DEALING WITH CRIMES AND THE PUNISHMENT OF WRONGDOERS AND LAWS DEALING WITH OFFENSED AGAINST SOCIETY

A misdemeanor is an

LESS SERIOUS CRIMINAL OFFENSE GENERALLY PUNISHALBE BY FINE AND OR IMPRISIONMENT OF LESS THAN ONE YEAR

Powers of regulatory agencies include

LICENSING AND RATE MAKING

Powers of regulatory agencies include:

LICENSING AND RATE-MAKING.

Real property

Land and its improvements; such as structures or buildings

Taking and carrying away property without consent of the person in possession is called:

Larceny

Taking and carrying away property without consent of the person in possession with the intention of depriving the person of the property.

Larceny

Otis issued and signed his personal check ordering Last Bank to pay $500 to the order of Yuan Chan. He delivered the check to Yuan. Yuan took the check to Last Bank and authorized bank officer wrote "accepted for payment" on the check and signed it. Under these facts:

Last Bank is a drawee and an acceptor.

A governmental rule setting forth conduct for behavior and penalty for its violation.

Law

A framework to keep society operating smoothly.

Laws

Crimianl Law

Laws dealing with crimes and the punishment of wrongdoers

Traditionally, which offense is classified as a felony?

Lee stole a car. This offense is punishable by imprisonment for five to ten years.

Chuck agreed to lend Fay some Money. Under state law, Fay is obligated to pay interest on the loan if she does not repay it on time. However, the agreement between Fay and Chuck does not specify what rate of interest Fay will pay. Under these facts, Fay must pay the:

Legal rate.

RBK Inc. borrowed $500,000 from Lender and RBK issued a promissory note for this amount to Lender. Payment of the note is secured by stock, bonds, and equipment owned by RBK. Subsequently, RBK defaulted in payment of the note. Under these facts:

Lender can sell the stock, bonds, and equipment to obtain payment of the note but any excess proceeds belong to RBK.

Appendix B-Liability for funeral expenses

Liability may arise in two ways: 1. Contract law obligation (express, implied, and quasi-contracts) 2. Common law obligation The prudent funeral director must be aware of who has the responsibility to pay. An express contract is necessary to insure payment and there is no such thing as an implied contract for the funeral. Primary liability for funeral expenses is upon the estate, however, it is far better to view the quasi-contract estate liability as a last resort

A _______ defense is one that cannot be used against a holder in due course

Limited

_____ defenses can also be called personal defenses and are different from _____ defenses

Limited/ universal

Inventory (In Probate)

Listing and valuation of a decedent's assets by personal representative of the estate.

Art sold a truck to Luis for $20,000. Art misrepresented the truck. As a result, Luis has a defense and he is only obligated to pay Art $15,000. For value, Art assigned to Stella the right to receive the $20,000 from Luis. Luis was given notice of assignment. Under these facts:

Luis must pay Stella $15,000.

Among the duties a bank owes its customer, the depositor-drawer, are to

MAINTAIN SECRECY REGARDING INFORMATION ACQUIRED BY IT IN CONNECTION WITH THE DEPOSITOR-BANK, RELATIONSHIP

Which contract described below is enforceable?

MARTY WAS IN A HURRY AND IDNT READ THE FINANCING CONTRACT SHE SIGNED. SHE WAS LATER SURPRISED TO FIND OUT SHE WAS RESPONSIBLE FOR TITLE AND RECORDING FEES

The highest rate of interest that may be charged is called

MAXIMUM CONTRACT rate

A postdated check

MAY B PAID BY THE BANK BEFORE ITS DATE

When an assignment is made by acts of the parties, it

MAY BE EITHER WRITTEN OR ORAL

When an assignment is made by acts of the parties, it:

MAY BE EITHER WRITTEN OR ORAL.

Mindy was a minor at the time she bought a stereo. Under these facts, select the correct answer

MINDY CAN DISAFFIRM THE CONTRACT, AND THE SELLER MUS REPAY ALL MONEY PAID BY MINDY

Several defenses (called hybrid defenses) may be either universal or limited, depending on the circumstances of a case. Which of the following is NOT on of these?

MINORITY.

Which of the following states regarding minors and torts is correct

MINORS ARE AS LIABLE FOR TORTS AS ADULTS ARE

Regarding minors and torts:

MINORS ARE AS LIABLE FOR TORTS AS ADULTS ARE.

Traditionally, which offense is classified as a felony?

MOACIR STOLE A CAR. THIS OFFENSE IS PUNISHABLE BY IMPRISONMENT FOR FIVE TO TEN YEARS

If a promisor agrees to become responsible for the debts or default of another, it

MUST BE IN WRITING

If a promisor agrees to become responsible for the debts or default of another, it:

MUST BE IN WRITING

All contracts

MUST BE SUPPORTED BY CONSIDERATION, WITH FEW EXCEPTIONS

All contracts:

MUST BE SUPPORTED BY CONSIDERATION.

A draft

MUST CLEARLY SHOW THAT THE SIGNATURE IS INTENDED TO BE THAT OF A DRAWER

In a/n ______bailment, the bailee renders a service and charges for the service. Then the bailee holds a lien against the bailed property for the charges.

MUTUAL-BENEFIT

In which case does Holder give value?

Make issued a note to Priscilla. Priscilla negotiated the note to Holder in payment for equipment that Holder delivered to Priscilla.

Maker issued three negotiable notes. In which case doe maker have a universal defense?

Maker issued a note to Lender. Maker issued the note due to the wrongful threats of Lender. Under state law, the duress exerted by lender would render a contract void.

In which case is the implied warranty of fitness for a particular purpose breached?

Manufacturer made an unusual egg incubator and sold it to City Zoo. At time of contracting, Manufacturer knew Zoo needed an incubator for hatching ostrich eggs, an unusual purpose, and that Zoo was relying on Manufacturer to make a proper incubator. (Zoo did in fact rely on Manufacturer). The incubator delivered did not hatch ostrich eggs; it baked them.

The six legal systems of historical importance?

Maritime Laws, The Torah, Roman Law, Cannon Law, Code of Napoleon, Anglo-American Common Law.

Sarah issued and signed a negotiable promissory note promising to pay $1,000 to the order of Martha Yeager. On the back of the note, Martha wrote "Pay to Terrence Jones, (signed) Martha Yeager," and she delivered the note to Terrence. Under these facts:

Martha is an indorser.

Which contract described below is enforceable?

Marty was in a hurry and didn't read the financing contract she signed. She was later surprised to find out she was responsible for title and recording fees.

Mental Anguish

Mental suffering resulting from grief, severe disappointment, indignation, wounded pride, shame, public humiliation, despair, etc.

A person who is intoxicated, insane, or incompetent as a result of a stroke, dementia, or retardation is said to be:

Mentally incompetent

Garcia issued a check payable to the order of marina Mieh. Mieh Endorsed the check "MARTINA MIEH" and delivered to to Diana lopez. Under these facts

Mieh may have secondary liability to pay the check if it is dishonored

Mind was a minor at the time she bought a stereo. (For purposes of this question, assume that eighteen is the age of majority). Under these facts, select the correct answer.

Mindy can disaffirm the contract, and the seller must repay all money paid by Mindy.

Fredrick v. J.E. Hixon

Minister at a graveside service was injured by slipping on artificial grass mats covering a marble slab. Funeral director was found jointly liable w/ vault company. Court held the funeral director had full responsibility to conduct the funeral, funeral director breached the duty of care he owed the invitees.

Offenses usually punishable by fine or imprisonment for a county or local jail are:

Misdemeanors

A false statement of a material fact is known as:

Misrepresentation

#1 Reason Contracts are Defective

Mistakes. Whether the mistake is on one party or on both parties, it affects the validity of that contract.

Mr. Conrad issued a negotiable promissory note payable to Seller in payment for a new crane. Seller negotiated the note to Mr. Innocent, a holder in due course. Which defense can Mr. Conrad use against Mr. Innocent?

Mr. Conrad has a defense of insanity because he had been previously declared incompetent by a court. Under state law, this defense renders a contract void.

At-Sea Disposition

Must be at least three nautical miles from Shore line

Define the term Dead Body

Must be human. Must be without life. Must not be entirely disintegrated.

Hazard Communication Standard

Must disclose information concerning hazardous materials they work with: MSDS Container labeling Employee training hazard communication program

Disclaimer of warranty of merchantability

Must mention the word merchantability.

In a(n)_____________bailment, the bailee renders a service and charges for the service, and then the bailee holds a lein against the bailed property for the charges.

Mutual-benefit

Quinn rents a paint spray gun from U-Rent-Um Rentals for $25 per day. This bailment is correctly described as a:

Mutual-benefit bailment

A negotiable instrument:

NEED NOT BE DATED.

Formal contracts include

NEGOTIABLE INSTRUEMENTS

Formal contracts include

NEGOTIABLE INSTRUMENTS

The act of transferring ownership of a negotiable instrument to another party is called _________..

NEGOTIATION

Causes of contract being discharged because of impossibility of performance include

NEW LAWS MAKING THE CONTRACT ILLEGAL, PHYSICAL INCAPACITY OF PERSONS TO RENDER PERSONAL SERVICES, WRONGFUL ACTS OF OTHER PARTIES

Causes of contract being discharged because of impossibility of performance include:

NEW LAWS MAKING THE CONTRACT ILLEGAL, PHYSICAL INCAPACITY OF PERSONS TO RENDER PERSONAL SERVICES, WRONGFUL ACTS OF OTHER PARTIES.

If a plaintiff in a suit for breach of contact can prove any substantial loss but just wants to prove a point, the most likely type of damages she will get is called

NOMINAL damages.

The failure to exercise reasonable care toward another person is known as:

Negligence

These are methods of payment (check, draft, bank note, certificate of deposit).

Negotiable instruments

General Legacy

No specific money or property is identified.

A fire occurred at the Bates Motel. The fire was started by a cigarette that was negligently discarded my Martinez, a visitor at the motel. Wescott, a guest at the Bates Motel, was injured in the fire. The bates Motel was not negligent. Under these facts, is Norman Bates, the owner and operator of Bates Motel, liable for Wescott's injuries?

No. A hotel keeper has a duty to exercise reasonable care to protect guests. Consequently, the Bates Motel is not liable for Wescott's injuries because it was not negligent

A fire occurred at the Candlelight Motel. The fire was started by a cigarette that was negligently discarded by a visitor at the motel. Stan, a guest at the Candlelight, was injured in the fire. The Candlelight was not negligent. Under these facts, is the Candlelight liable for Stan's injuries?

No. A hotelkeeper has a duty to exercise reasonable care to protect guests. Consequently, the Candlelight is not liable for Stan's injuries because it was not negligent.

Jason owns an ice cream shop that sells soft-serve ice cream. (Soft-serve ice cream is any type of ice cream that is dispensed from a machine). Jason wants to obtain a trademark for the name "soft-serve ice cream." For years, numerous stores nationwide have sold "soft-serve ice cream". Does the name "soft-serve ice cream" qualify for trademark protection under federal law?

No. The name is generic, and protection is generally not available for generic names.

Fred signed an "offer" to buy Tony's condo. The offer describes the parties, property, and price. The price is stated to be $80,000, $20,000 cash payable, with the balance to be represented by a promissory note. The offer states that in two weeks the parties will determine the interest to be paid and when the note will be due. Tony accepts the offer. Is a contract formed?

No. The offer was not sufficiently definite to constitute a valid offer.

Common Law

Non-legislated principles and rules of action predicated upon usages and customs

The implied warranty of merchantability is breached in which case?

None of the above.

Independent contractors

Not considered employees; drivers, embalmers, hairdressers, bookkeepers, etc. 1099 Do they set own hours, work for other entities doing the same thing, provide own tools?

Disinheritance

Not naming a person in the will if he/she would receive any part of the estate if the decedent had left not will.

Unjust enrichment

OFFENDS OUR ETHICAL PRINCIPALS

Unjust enrichment

OFFENDS OUR ETHICAL PRINCIPLES.

In order to have a valid contract there must be:

OFFER AND AN ACCEPTANCE.

Which oral contract is unenforceable because it violates the Statue of Frauds?

ON MARCH 1, LEE CONTRACTS TO WORK FOR PAM FROM JUNE 1 TO APRIL 30 OFF THE FOLLOWING YEAR

Banks require that an indorsement on a check be

ON THE BACK WITHIN ONE AND A HALF INCHES OF THE TRAILING EDGE

Banks require that and indorsement on a check be

ON THE BACK WITHIN ONE AND A HALF INCHES OF THE TRAILING EDGE.

In order to try a case a court must have jurisdiction

OVER BOTH THE SUBJECT MATTER OF THE CASE AND THE PERSONS INVOLVED

CERCLA imposes liability for cleanup of hazardous substances on

OWNERS, DISPOSERS, AND OPERATORS OR CONTAMINATED SITES

OSHA

Occupational Safety and Health Administration; implements safety and health programs to employees. Est. recordkeeping to track injuries/illnesses; est training programs; develops/enf job standards. Does not cover self-employed

Biological Death

Occurs 4-6 minutes after clinical death when the brain cells die from lack of oxygen

The person who makes the offer is the

Offeror

Waiting to be engaged

On Call; free to leave employer's premises and attend to personal business as long as can be reached when needed. Does not need to be paid during this time

Which oral contract is unenforceable because it violates the Statute of Frauds?

On March 1, Lee contracts to work for Pam from June 1 until April 30 of the following year.

Engaged to wait

On call; not free to leave, must remain on premises Must be paid for time

Trustee

One who holds a position of trust to beneficiary; in funeral arrangements, the person who has right to control funeral does so on behalf of all survivors.

Trustee

One who holds title to property or another position of trust to a beneficiary

Legatee

One who inherits personal property under a will

Legatee

One who inherits personal property under a will.

Devisee

One who inherits real estate under a will.

Heir

One who inherits, or is entitled to receive, property by the laws of intestacy from the estate of a deceased person.

Kin

One's relatives collectively; referring to blood relationship (legally, the surviving spouse is not).

A contract in which terms are stated orally is an:

Oral contract

Nuncupative Will

Oral will declared or dictated by testator during last illness before appropriate witnesses to disposal of personal property and afterwards reduced to writing (Not valid in all states)

Nuncupative

Oral will dictated by testator during last illness before appropriate witnesses to dispose of personal property and afterwards reduced to writing.

A type of statutory law set forth by community ethics.

Ordinances

Short Term Exposure (STEL)

Over 15 min period, no more than 2 ppm

If a real estate agent knows the house on a piece of property has foundation problems and doesn't tell her prospective buyer because it may scare the buyer away, the real estate agent is guilty of

PASSIVE FRAUD

The person to whom any negotiable instrument is made payable is called the _______.

PAYEE

Which of the following destroys negotiability of a note?

PAYMENT IN GOLD BULLION.

Penny made these agreements. Which agreement is supported by consideration?

PENNY AND RAY AGREED THAT SHE WOULD PAY $200 FOR RAYS STEREO. THE STEREO IS WORTH $900

Activities that are illegal regardless of their effect are called

PER SE violations.

Duress can be classified as

PHYSICAL, EMOTIONAL AND ECONOMIC

Duress can be classified as:

PHYSICAL, EMOTIONAL AND ECONOMIC

"POS" is an abbreviation for:

POINT OF SALE.

A check drawn prior to the time it is dated is called a

POSTDATED CHECK.

The demand for acceptance of payment made upon the maker, acceptor, drawee, or other payor of commercial paper is called

PRESENTMENT.

The consideration in a sales contract is generally expressed in terms of money or money's worth and is known as the

PRICE.

The make of a note is

PRIMARILY LIABLE FOR ITS PAYMENT.

If a person properly files a lawsuit in accordance with specified law, that person has followed what kind of law

PROCEDURAL LAW

When an agency's rule is challenged, the primary focus of the courts in on the

PROCEDURES FOLLOWED BY THE AGENCEY IN EXERCISING ITS RULE MAKING POWER

Duties of a hotelkeeper include:

PROTECTING A GUEST'S PERSON.

A criminal action

PUNISHES OFFENSES THAT INJURE SOCIETY AS A WHOLE

Damages paid to go beyond merely compensating to punishing the defendant are called

PUNITIVE DAMAGES.

If a real estate agent knows the house on a piece of property has foundation problems and doesn't tell her prospective buyer because it may scare the buyer away, the real estate agent is guilty of

Passive Fraud

Martha issued a negotiable note to Paula. The note was due May 1. Paula indorsed the note and negotiated it to Harry. On May 1, Harry presented the note to Martha and Martha refused to pay. On May 3, Harry gave written notice to Paula that Martha had refused to pay. In this case:

Paula is obligated to pay the note based on her secondary liability.

Penny made these agreements. Which agreement is supported by consideration?

Penny and Ray agreed that she would pay $200 for Ray's stereo. The stereo is worth $900.

Drawer issued a check payable to the order of Penny Thompson. Penny indorsed the check "Penny Thompson" and delivered it to Terry. Under these facts:

Penny may have secondary liability to pay the check if it is dishonored.

Personal Representative

Person who handles distribution of an estate. Either named by the court or by the deceased.

Which oral promise violates the Statute of Frauds?

Pete promises Lender that, if Lender loans $200 to Pete's daughter and his daughter does not repay then loan, then Pete will repay the loan.

Which note be negotiable?

Pete signed a note promising to pay $5,000 on demand to the order of Liz Kelly. In the note, Pete also promised to pay reasonable collection costs and attorney fees if he defaults.

Which contract is unenforceable?

Peter orally contracted to sell $1,000 of nuts to Buyer. Peter did not deliver the nuts. Buyer sent Peter a check as payment, but Peter refused the check and immediately returned it.

Drawer issued a check payable to the order of cash, and delivered it to Peter Bryan. Peter indorsed the check "Pay to Tip Wilson, (signed) Peter Bryan." Under these facts:

Peter's indorsement is a special indorsement. To further negotiate this check, Tip must indorse the check and deliver it to a transferee.

Clinical Death

Phase of somatic death lasting from 4-6 minutes, during which life may be restored (the point at which a person's heart stops beating)

Shipman v. Norton

Plaintiff injured herself when stepping off a porch onto a step which as made in the same brick pattern material as the porch. Plaintiff claimed the funeral home was negligent in not differentiating the steps from the porch. Funeral home defended by alleging the plaintiff was contributory. Court held for the plaintiff finding an undifferentiated step was negligent,it is expected invitees will be emotionally upset after services.

Algor Mortis

Postmortem cooling of the body to the surrounding temperature

Rigor Mortis

Postmortem stiffening of the body muscles by natural body processes

Livor Mortis (Cadaveric Lividity)

Postmortem, intravascular, red-blue discoloration resulting from the hypostasis of blood

Preneed Arrangements/Consumer Credit

Preneed may constitute extensions of consumer credit if FH imposes finance chg, or consumer pays in 4+ installments, qualifies as extensions of credit 25+ preneed arrangements = creditor status

A unilateral mistake will not invalidate a contract if the mistake relates to:

Price or Quantity.

the maker of a note is

Primarily liable for its payment

Define Case Law

Primarily the decisions of the state and local courts. Courts of equity have the ultimate right to decide cases that concern dead bodies. Stare Decisis.

A person engaged in the business of transporting goods or persons for a fee only under special instances and arrangements is a(n):

Private Carrier

If a person properly files a lawsuit in accordance with specified law, that person has followed what kind of law?

Procedural

Parol Evidence Rule

Prohibits the use of oral testimony which contradicts the explicit written word

Full Warranty

Promises that a defective product will be repaired without charge within a reasonable time after a complaint has been made.

Contract Carrier

Provides transportation for compensation only to those with whom it desires to do business

Ownership most commonly occurs through

Purchase

Truth in Lending Act

Purpose is to provide certain disclosures to consumers borrowing money. FH is NOT exempt if: -qualifies as creditor -extends credit to consumers

Funeral Rule

Purposes: 1: gives consumers right to select funeral goods and services as they wish 2: provides access to detailed, itemized pricing prior to purchase decisions 3: prevents misrepresentations and unfair deceptive trade practices in sale of goods or services

If an agent receives checks in payment of the principal's claims but the checks are made payable to the agent personally, the agent should elect to use a _____ indorsement

Qualified

This is not a "true" contract. Rights and obligations are imposed only when one party fails to do something.

Quasi - contract

Which of the following is NOT considered an "act of God"?

RAINSTORM

When an instrument is transferred by assignment, the assignee

RECEIVES ONLY THE RIGHTS OF THE ASSIGNOR AND NO MORE

Taking possession of the goods is called

RECIEPT.

Which of the following is sufficient and valid consideration?

REFRAINING FROM DOING OR PROMISING TO REFRAIN FROM DOING WHAT ONE HAS NORIGHT TO DO.

The unilateral act of an instrument holder, usually without consideration, whereby the holder gives up rights on the instrument or against parties to the instrument is called .

RENUNCIATION

If a buyer has voidable title, such as when the goods were obtained by fraud, the seller can:

RESCIND THE SALE.

A ________ indorsement attempts to prevent the use of the instrument for anything except the intended use.

RESTRICTIVE

A law meant to prevent infiltration of business by organized crime.

RICO (Racketeer Influenced and corrupt Organization Act)

The SEC, a federal agency, has the power to license persons who sell stock in interstate commerce and the power to regulate business conduct that is used to sell securities. However, the SEC does not have the power to establish prices for which securities may be sold. Under these facts, the SEC does NOT possess:

Rate-making power

This indicates a willingness to be bound by promises made during minority. A part of the contract cannot be accepted by the minor. All has to be ratified, or none.

Ratification

A person agrees to carry out an action that is required by the court. If the duty is not carried out, the party will reappear before a criminal court.

Recognizance

Degree of Kindred

Relationship to decedent of his relatives; each generation is one degree, counting to a common ancestor.

Collateral Heirs

Relatives including brothers, sisters, nieces, nephews, and grandparents.

This Act regulates generation, storage, transportation, treatment, and disposal of hazardous wastes.

Resource Conservation and Recovery Act

A temporary order forbidding a certain action.

Restraining order

Rod contracted to build a garage for Tim. The contract required Rod to pay for all materials. Later, Tim promised to pay Rod an extra $500. Tim's promise is binding if it is given for:

Rod's promises to both perform the original contract with Tim and construct a shed, which Rod was not obligated to build.

This is software instructions producing abnormal or unexpected behavior in a computer.

Rogue Program

Maker issued a negotiable note and delivered it to Rose. The note is payable to bearer. Rose negotiated the note to Wilbur without indorsing it. Under these facts:

Rose does not have secondary liability to pay the note if Maker fails t pay.

Roxie agreed to repair Tom's TV for $100. Pursuant to their contract, Tom delivered the TV set to Roxie. Roxie properly repaired the TV. Tom now refuses to pay for the repairs. Under these facts:

Roxie has a lien on the TV. Roxie can keep the TV until Tom pays the repair charge.

An objective of the law is to

SET RULES OF CONDUCT FOR MANY TRANSACTIONS

An objective of the law is to:

SET RULES OF CONDUCT FOR MANY TRANSACTIONS.

Contracts to generally restrain trade are in violation of the

SHERMAN ANTITRUST ACT

Contracts to generally restrain trade are in violation of the

SHERMAN ANTITRUST ACT.

A ____________ indorsement designates the particular person to whom payment should be made.

SPECIAL

Parol evidence means

SPOKEN WORDS

Parol evidence means:

SPOKEN WORDS

The principle that the decision of a higher court should serve as a guide or precedent and control the decision of a similar case in the future is called

STARE DECISIS

A doctrine that makes manufacturers liable without proof of negligence is called

STRICT tort liability

In cases when neither a suit for damages nor rescission will constitute adequate remedy, what may be applied?

SUIT FOR SPECIFIC PERFORMANCE

Seller, who is located in Atlanta, Georgia, contracted to sell a shipment of eyeglasses to SEE Co., located in Duluth, Minnesota. The eyeglasses were sold "f.o.b. Duluth". Seller duly delivered the eyeglasses to a carrier in Atlanta for shipment to SEE Co. in Duluth. The goods were damaged during shipment. Under these facts:

Seller bears the loss to the glasses that occurred during shipment.

Select the correct answer. (The damage to the goods in question is not the fault of either party.)

Seller contracted to sell an unidentified oven to Buyer. Before risk of loss passed, Seller's inventory of ovens was destroyed. In this case, the contract is not avoided, Seller bears the loss, and Seller is liable for breach if an appropriate oven is not delivered to Buyer.

Seller contracted to sell a building to Buyer. The foundation of the building is cracked due to serious structural defects. Seller would not commit fraud in which situation?

Seller does not hide the cracks, but Seller does not tell Buyer about the defects. Buyer does not inspect the building, which would have revealed the building's structural defects.

Which contract is a sale of goods that is governed by Article 2 of the UCC?

Seller makes a contract for the sale of movable storage shed. The contract requires Seller to assemble the shed. The contract price is $10,000, which includes $500 for Seller's labor.

In which case does Seller breach an express warranty?

Seller stated to Byron: "this ring is solid sterling silver." Byron then purchased the ring, but he later discovered that the ring was made of brass, with only a thin silver plating.

Decomposition

Seperation of compounds into simpler substances by the action of microbial and/or autolytic enzymes

The state legislature is considering enactment of a law that would require businesses to install filtering equipment to purify wastes before they are emitted into the air. there are conflicting views among the citizens as to the need for this law, although serious lung problems have occurred in residents exposed to the unfiltered emissions. Which statement best describes the reason favoring enactment of the law?

Seriousness of the consequences of the behavior to be regulated.

This Act declares that any conspiracy to constrain trade among states is illegal and anyone who tries to monopolize interstate commerce is guilty of a felony. This act applies to trade or commerce between 2 or more states and to buyers and sellers.

Sherman Anti-Trust Act

Sis rented a stereo for her apartment from Rent Co. Without authorization, Sis sold the stereo to Third Party who did not know that the stereo belonged to Rent Co. Under these facts:

Sis was not legally entitled to sell the stereo. Third Party did not receive title to the stereo.

Exigent circumstances

Situation requiring immediate action or urgency three conditions must be met: unable to contact family no reason to beleive fam does not want embalming FD advises fam that if embalming was not wanted, it is not charged

How many itemized goods need to be on the GPL

Sixteen

"Let the decision stand." This is used by higher courts when reviewing precedents set by lower courts.

Stare Decisis

Cody has a checking account with State Bank. Cody has $1,000 in his checking account. Cody issued a check payable to Payee for $500 in payment of a debt. Payee properly presented the check for payment to State Bank, but State Bank dishonored the check. As a result, Cody incurred $50 damages and Payee incurred $25 damages. Under these facts:

State Bank is liable to Cody for $50 damages; State Bank is not liable to Payee.

The lawful rights of a funeral director undertaking a funeral are primarily derived from what two sources?

Statues, Contracts

Laws passed by legislative bodies, congress, state legislatures, city councils; may be amended or repealed.

Statutes

Susan bought a watch that cost $300. The watch was guaranteed by a written, full one-year warranty. One month later, the watch stopped running. Seller has repeatedly tried to fix the watch, but the watch still does not work. Under these facts:

Susan may request a full refund or a new, replacement watch.

Property that can be seen, touched, and possessed is known as

TANGIBLE property.

A substantial, intentional alteration of a written contract without the consent of the other party discharges the contract.

TENDER OF PERFORMANCE.

When an instrument is transferred by assignment:

THE ASSIGNEE RECEIVES ONLY THE RIGHTS OF THE ASSIGNOR AND NO MORE.

Which of the following documents is designed to protect the civil rights and liberties of the citizens and the states

THE BILL OF RIGHTS

If a sale is divisible, having a legal part and an illegal part:

THE COURT WILL ENFORCE ONLY THE LEGAL PART.

A tort action must be brought

THE INJURED PERSON

When two or more persons enter into a contract with someone else, the contract may be joint, several, or joint and several. What determines the type of contract?

THE INTENTION OF THE PARTIES

When two or more persons enter into a contract with someone else, the contract may be joint, several, or joint and several. What determines the type of contract?

THE INTENTION OF THE PARTIES.

In a typical jury trial:

THE JURY IS SELECTED BEFORE OPENING STATEMENTS ARE MADE.

Johnson was sued in a state court of record as a result of his involvement in an automobile accident. He was eager for his lawyer. Ilas to file an answer, but she told Johnson additional actions could also be taken. What additional action might Ilas want to take before the case goes to trial?

THE LAWYER MIGHT WANT TO CONDUCT DISCOVERY TO OBTAIN INFORMATION RELEVANT TO THE SUBJECT MATTER OF THE ACTION, THE LAWER MIGHT FILE A MOTION TO DISMISS THE CASE OR FILE A MOTION FOR JUDGMENT BASED SOLELY ON THE PLEADINGS, THE LAWYER MIGHT FILE A MOTION TO OBTAIN A RULING ON THE ADMISSIBILITY OF EVIDENCE OR TO SUPPRESS EVIDENCE

If a negotiable instrument is only partially filled in and signed before delivery

THE MAKER OR DRAWER IS LIABLE IF THE BLANKS ARE FILLED IN ACCORDING TO INSTRUCTIONS

If a negotiable instrument is only partially filled in and signed before delivery:

THE MAKER OR DRAWER IS LIABLE IN THE BLANKS ARE FILLED IN ACCORDING TO INSTRUCTIONS.

Which off the following statements is not true

THE ORIGINAL U.S. CONSTITUTION WAS ADOPTED IN 1791 AND GUARANTEED INDIVIDUAL RIGHTS FOR CITIZENS

Who is the original holder of an instrument?

THE PAYEE

Warranties of the assignor include

THE RIGHT IS VALID AND EXISTING AT THE TIME THE ASSIGNMENT IS MADE

Warranties of the assignor include:

THE RIGHT IS VALID AND EXISTING AT THE TIME THE ASSIGNMENT IS MADE.

Martinez issued a check payable to Lopez. Lopez negotiated the check to McFall (a holder in due course). On April 1, Martinez gave his bank an oral stop payment order. On April 10, McFall presented the check for payment and Martinez's bank paid the check. Under these facts

THE STOP PAYMENT ORDER WAS VALID, BUT IT DOES NOT AUTOMATICALLY TERMINATE MARTINEZ'S LIABILITY TO PAY THE CHECK

To satisfy the Statute of Frauds, what happens?

THE WRITING NEED ONLY GIVE ASSURANCE THAT A TRANSACTION EXISTED.

Which of the following statements constitutes a warranty?

THIS GARMENT IS MADE FROM 100% COTTON FIBER

Which of the following statements constitutes a warranty?

THIS GARMENT IS MADE FROM 100% COTTON FIBER.

All sellers make a warranty of

TITLE

An important distinction between a sale and a contract to sell is the

TITLE.

The right of ownership of property or evidence of ownership is called

TITLE.

Which of the following statements is true?

TORTIOUS ACTS CAN SOMETIMES BE CONSIDERED CRIMES ALSO

A type of draft used in the sale of goods is called a

TRADE ACCEPTANCE.

Sales of patent- or trade- name articles are

TREATED WITH RESPECT TO WARRANTIES IN THE SAME WAY AS ANY OTHER SALE.

The original trial of a court case is conducted by

TRIAL COURTS

A bearer is a holder of negotiable instruments. .

TRUE

A blank endorsement is one having no words other than the name of the indorser.

TRUE

A carrier may charge extra for baggage in excess of a reasonable amount.

TRUE

A carrier of goods is a bailor Moving vans, delivery services, and truck fleets are usually considered private carriers

TRUE

A common carrier must serve without discrimination to all who apply.

TRUE

A contract to sell goods is a contract whereby the seller agrees to transfer ownership of goods in the future.

TRUE

A drawee is liable for payment of a draft only after accepting it.

TRUE

A hotelkeeper's lien on baggage extends to all wearing apparel not actually being worn.

TRUE

A limited defense is one that cannot be used against a holder in due course. .

TRUE

A private carrier can refuse service that is unprofitable.

TRUE

A sales contract that does not meet the requirements of the UCC is unenforceable.

TRUE

An auction is a sale in which a seller or seller's agent orally asks for bids on goods and orally accepts the highest bid.

TRUE

An oral contract may be enforced if the buyer has made full payment on the contract.

TRUE

An order bill of lading is negotiable.

TRUE

Another term for "goods" is movable, personal property.

TRUE

Bearer instruments may be negotiated by delivery.

TRUE

By accepting a draft, a drawee assumes liability for the payment of the paper.

TRUE

Consumer protection laws give consumers the ability to make intelligent choices when comparing products.

TRUE

Consumer protection protects legitimate businesses as well as consumers.

TRUE

Coupon bonds can be negotiated by delivery.

TRUE

Credit reporting agencies must correct any inaccurate information contained in credit reports.

TRUE

Every seller warrants that goods will be delivered free from any security interest or any other lien or encumbrance of which the buyer at the time of making the contract had no knowledge. .

TRUE

For the exception of nonreallable goods to apply, the seller must have made a substantial beginning in manufacturing the goods.

TRUE

Full warranties permit a refund or replacement if the product contains a defect after reasonable attempts to remedy it.

TRUE

Goods in an auction may be offered for sale with reserve or without service.

TRUE

Goods that are not existing are called future goods.

TRUE

If an agent receives checks in payment of the principal's claims but the checks are made payable to the agent personally, the agent should elect to use a qualified indorsement.

TRUE

If several items are placed on the same sales transaction, it is considered one sale and must meet the statute requirements.

TRUE

In some cases, a person other than the injured party of a contract may sue a professional person for malpractice.

TRUE

In some instances, the absence of a writing does not bar the proof of a sales contract for $500 or more.

TRUE

It is not necessary to use the word order when drawing a negotiable instrument, but it is certainly recommended.

TRUE

Limited defenses can also be called personal defenses and are different from universal defenses.

TRUE

Minority is considered a universal defense.

TRUE

Negotiable instruments don't have to be paid in American money.

TRUE

Order paper is negotiated only by endorsement of the person to whom it is then payable and by delivery of the paper to another person. .

TRUE

Parties whose signatures do not appear on negotiable instruments are not normally held liable for payment.

TRUE

The bank must honor any written document that contains the substance of a normal printed check, even if that document is printed on a cocktail napkin.

TRUE

The fact that the law makes certain transactions illegal gives rise to a defense against an ordinary holder. .

TRUE

The holder of a document of title may convey the title of the person who left the property with the issuer of the document.

TRUE

The indorsement "without recourse" destroys only the liability of the indorser and does not affect any warranties.

TRUE

The order or promise to pay must be absolute and unconditional. .

TRUE

Unless excluded, warranties are automatically made by every transferor of commercial paper. .

TRUE

When a bank returns a check to the holder stamped "insufficient funds," that is considered dishonoring the check.

TRUE

When bearer instruments are negotiated by delivery, that delivery effectively vests ownership in the transferee, making the transferee a holder.

TRUE

If any question arises as to whether the buyer came into possession of goods legally, a bill of sale is acceptable proof.

TRUE.

Risk of loss for damaged goods remains on the merchant seller.

TRUE.

The buyer of a motor vehicle bears the risk of loss when the transaction between buyer and seller is completed even if the buyer isn't in physical possession of the new title.

TRUE.

A system of shortening the trip a check makes from the payee to the drawee bank and then to the drawer is called check .

TRUNCATION

Probate Law

That branch of law dealing with the settlement of a decedent's estate.

Testate Distribution

That distribution made when the maker of a valid will dies.

In regards to Maritime Laws, who has the ultimate say in handing down the law?

The Captain

Waiver

The Courts have recognized that the individual with the paramount right of disposition who does not take action to arrange the funeral/disposition may waive that right.

What is responsible for dictating the practices of the Hebrew faith?

The Torah

Quasi-Property Theory

The accepted theory of the legal status of a dead human body; rights associated with the body are as if it were property for the purpose of disposition only

Revival

The act of giving new validity to a will that has been revoked by means of a codicil which specifically refers to the revoked will and indicates that it is to be effective.

Probate

The act or process of proving a will.

One June 1, Dude Inc. and Alexi entered into an agreement whereby Dude agreed to sell Alexi a custom-made talking watch. At time of contracting, the watch had not been made. The watch is to be delivered on July 1. Under these facts:

The agreement is a contract to sell, and title did not pass when the contract was made.

Cody owed Don $1,000. Don orally told Cody and Sylvia: "I assign to Sylvia all of my right to be repaid the $1,000. Pay this sum to Sylvia." Sylvia did not give Don any consideration for this assignment. Under these facts:

The assignment is valid and Cody must pay the $1,000 to Sylvia.

Pat shipped goods with Freight Inc. Freight Inc. issued Pat a bill of lading for the goods which directs delivery "to the bearer/" Pat negotiated (transferred) the bill of lading to Steve who bought the goods and bill of lading for value and in good faith. The next day, Freight Inc. delivered the goods to Pat without first receiving the bill of lading. Under these facts:

The bill of lading is an order (negotiable) bill of lading.

Define Actual Possession

The body is physically in one's possession.

Corpse

The body of a dead human being, deprived of life, but not yet entirely disintegrated

Human Remains

The body of a deceased human

Civial Law

The body of law concerned with private or purely personal rights

George found a diamond bracelet in a wall safe that was in his hotel room. The bracelet was placed in the safe by its owner, who then forgot about the bracelet. Under these facts:

The bracelet is mislaid property. George must turn the bracelet over the hotel owner.

Final Disposition

The conclusive performance of services with respect to the dead human body

Testate

The condition of leaving a will at death.

Insolvent Estate

The condition of the estate of a deceased person which is unable to pay the debts of the decedent and/or the estate.

Insolvent Estate

The condition of the estate of the deceased person which is unable to pay the debts of the decedent and/or the estate

Fargo Power & Light orally contracted to buy 40 tons of coal from M&M Mining. M&M delivered 20 tons of coal to Fargo. Fargo took receipt of and accepted the 20 tons. Fargo now refuses to accept any more coal. Fargo has not paid for the coal. Under these facts:

The contract is enforceable t the extent that the coal was received and accepted by Fargo. The remainder of the contract is unenforceable.

Levite Undertakers Co. v. Griggs

The court found the refusal to release the body "morally reprehensible". (Similar to Morgan v. Richmond.)

Probate Court

The court having jurisdiction over estates.

A state supreme court has adopted a precedent holding that a promise cannot be enforced unless it is made pursuant to a contract. Kelly has filed a civil suit against Joan, suing Joan for breach of a promise that was not made pursuant to a contract. In this case:

The doctrine of stare decisis requires the trial (lower) court to follow the precedent.

when a draft is presented for acceptance

The drawees signature is all that is necessary

Inheritance

The estate which passes from the decedent to his/her heirs.

Ademption

The extinction or withdrawal of a legacy under a will by an act equivalent to revocation (i.e. the selling, giving away, or destroying of property of the testator before death).

Ademption

The extinction or withdrawal of an inheritance because decedent did not own the property at the time of death

Magnuson-Moss Warranty Act

The federal law that governs consumer product warranties. Passed by Congress in 1975, the Act requires manufacturers and sellers of consumer products to provide consumers with detailed information about warranty coverage. In addition, it affects both the rights of the consumers and the obligations of the warrantors under written warranties

Assume that a federal law requires R&R Inc. to pay time and a half for hours worked by employees in excess of 40 hours per week. However, a state law requires only overtime pay for hours worked in excess of 50 hours per week. R&R maintains that (1) the federal statute violates the US Constitution and (2) the state law prevails over the federal law. In this case:

The federal statute prevails over the state statute.

which of the following statements is true?

The holder of a document of title may convey the title of the person who left the property

Police Power

The inherent power of every government to make reasonable laws to protect the safety, health, morals, and general welfare of its citizens

Theodore issued and signed a negotiable instrument ordering Charles to pay $10,000 on demand "to the order of Mike Lansing." Under these facts:

The instrument is a draft, and it is order paper.

Johannes issued and executed a negotiable instrument promising to pay $5,000 "to bearer" on January 1, 2016. Johannes then delivered the instrument to Reggie. Under these facts:

The instrument is a promissory note, and it is bearer paper.

Gross Negligent Act

The intentional failure to perform a manifest duty in reckless regard of the consequences as affecting the life or property of another

Brain Death

The irreversible cessation of all brain activity due to total necrosis of the cerebral neurons following loss of brain oxygenation. Total and irreversible cessation of brain function as indicated by a flat EEG reading

Probate

The legal process whereby person died with assets in his name alone personal representative gathers assets, pays debts, and distributes assets to parties entitled by law or by will

In which of the following situations would a law be likely to be passed?

The majority of people believe it is unethical to injure someone by playing with a loaded gun.

Per Capita

The method of dividing an estate by which an equal share is given to each of a number of persons, all of who stand in equal degree to the decedent.

Per Capita

The method of dividing an estate by which an equal share is given to each of a number of persons, all of whom stand in equal degree to the decedent

Per Stirpes

The method of dividing an estate where a class or group of distributees take the share which their deceased would have been entitled to, and not as so many individuals (i.e. by right of representation).

Per Stirpes

The method of proportionally dividing an estate between beneficiaries according to their deceased ancestor's share

Thomas Blue wrote out a promissory note in longhand. He signed the note "T. Blue." His signature was written in the left-hand corner of the instrument. Under these facts:

The note satisfies the writing and signature requirements, and it may be negotiable.

Revocation

The omission or cancellation of an instrument, act, license, or promise.

Entombment

The placing of remains in a crypt or mausoleum

Ted, a law student, made one contract to (a) paint Kim's house for $1,500 and (b) represent Kim in a small lawsuit for $250. The painting service is legal; the legal service is illegal. In this case:

The portion of the contract relating to the painting service is valid. The portion of the contract relating to the unlicensed practice of law is void.

Estate

The property of a deceased person, both real and/or personal.

Probate Estate

The property of a decedent that is subject to administration by the executor or administrator of an estate

Cremation

The reduction of a dead human body to inorganic bone fragments by intense heat in a specifically designed retort or chamber

Formality

The requirements of a valid will; it must be in writing, signed by the testator, and witnessed by two people.

Intestate

The state or condition of dying without having made a will.

Oscar issued a check payable to Juanita. Juanita negotiated the check to Laura (a holder in due course). On October 1, Oscar gave his bank an oral stop-payment order. On October 10, Laura presented the check for payment and Oscar's bank paid the check. Under these facts:

The stop-payment order was valid, but it does not automatically terminate Oscar's liability to pay the check.

Thanatology

The study of death

Intestate Succession

The succession of an heir at law to the property and estate of his ancestor when the latter has died without a will.

Who has the primary right to control the funeral?

The wishes of the deceased.

Taking property without consent is:

Theft

Volunteer Driver

Those drivers not under the control of the funeral director

Agent Driver

Those drivers that are under the control of the funeral director

Cremated Remains

Those elements remaining after cremation of a dead human body

Private Carrier

Those who transport only in particular instances and only for those they choose to contract with

an important distinction between a sale and a contract to sell is the

Title

Fran received a hair dryer from Seller pursuant to a sale on approval agreement. The agreement allows Fran to test the dryer for 14 days; Fran may return the dryer any time within this period if she is not satisfied. Fran received the dryer on June 1. Fran tested the dryer for seven days, and she returned it on June 9. During return shipment, the dryer was damaged. Under these facts:

Title and risk of loss never passed to Fran.

Which promise or agreement constitutes a valid contract?

Tom and Helen are competent adults, and in a signed writing Tom and Helen agree that Helen will sell her car to Tom for $2,000.

A private wrong or injury is a:

Tort

A wrong is known as a:

Tort

The person causing the injury is the:

Tort feasor

Meyer v. Nottger

Tort permits recovery of damages for mental anguish by plaintiff when the defendant's conduct is "intentional, wrongful, outrageous, reckless and malicious and done w/ the intention of causing severe emotional distress."

A person who commits a tort and causes injury is called a

Tortfeasor

A word or symbol used to identify goods. The mark must be distinctive, unique, and non-descriptive.

Trademark

Daisy checked into the Palms Motel for an overnight stay. Daisy left a coat in her room. While Daisy was having dinner, her coat was taken from her room. Under these facts:

Traditionally, the Palms would have been liable for the missing coat.

The unauthorized use of or access to a computer is computer

Trespass

A bailment can be for the sole benefit of the bailee.

True

A contract made by a person who has not been formally adjudicated incompetent and is lucid at the time of binding (or valid).

True

A delegating party remains fully liable under a contract.

True

A person who has been found by a court to be guilty of a major crime offense is a tortfeasor

True

A person who is old enough to make fully binding contracts is called and adult.

True

A substantial, intentional alteration of a written contract without the consent of the other party discharges the contract.

True

All contracts that may from their nature injure public service are void

True

All contracts to obstruct justice are void

True

An agreement to lease land must be in writing, in accordance with that Statute of Frauds.

True

An agreement with no legal effect is a void contract

True

An anonymous remailer is a devise that permits sending anonymous email messages.

True

An assignment means that one party conveys right in contract to another who is not a party to the original deal.

True

An offer must be communicated in some manner to an offeree.

True

An option cannot be revoked at will

True

Another term for an informal contract is a simple contract.

True

Anything that can be owner is considered property.

True

Appellate courts hear cases again after lower courts initially hear them.

True

Bankruptcy can discharge contracts.

True

Contracts are the best basis of today's business transactions.

True

Dental work can be considered a necessary.

True

Discriminating in price between competing buyers when the goods are of like grade, quality, and quantity is considered unfair competitive

True

Forbearance is valid consideration if the promisor has a right to do the act.

True

If Johnson promises to sell Laurtitson a nail gun and the nail gun arrives the next day, the promise is consideration.

True

If Khumbata makes a pledge to his local Public Broadcasting System television station, he has made a voluntary subscription.

True

If Rochon and Bailey both sign a contract "I promise...", that binds them jointly and severally.

True

If a contract contains both distinctively legal and illegal parts, a court can set aside the illegal part and enforce the legal part

True

In a contract, all parties obtain rights and assume certain responsibilities

True

In an instance of bailment, actual delivery and acceptance results when goods themselves are delivered and accepted.

True

In many states, convicts can now make contracts.

True

Intoxication can destroy contractual capacity.

True

It is always a good idea (but not a requirement) for all contracts to be in writing

True

It is often difficult to prove oral contracts.

True

Legal tender usually refers to any form of U.S. money.

True

Manufacturers of products could be liable for injuries caused by their products.

True

Minors are liable for the reasonable value of necessaries.

True

Novation can be implied from the parties' actions.

True

One may have rights and obligations imposed by law when no real contract exists.

True

Some circumstances exist in which partial payment of a past-due debt can e classified as consideration.

True

Sometimes contracts are made orally the committed to writing. If, through a typographical error, the written form foes not conform to the oral form, the written form does not bind the parties.

True

Tax and bankruptcy courts are considered special courts.

True

The plaintiff has the burden of proving facts adequate to support the allegations in the complaint.

True

The special federal courts are limited in their jurisdiction by the congressional laws that created them.

True

The two types of administrative agencies are regulatory and nonregulatory.

True

Trial procedure follows prescribed procedural law.

True

True or False - If creditors agree to accept a sum of lesser value and then cancel the debt it is consideration.

True

Whether rights may be assigned depends upon their nature and the terms of the contract.

True

Written laws enacted by legislative bodies are called statues.

True

Kevin sued his employer in U.S. district court for violations of federal antidiscrimination laws. Judgment was entered in favor of the employer, and Kevin wished to appeal the judgment. Under these facts, Kevin will appeal the judgment. Under these facts, Kevin will appeal the judgment to which court?

U.S COURT OF APPEALS

The highest court in the land is the

U.S. SUPREME COURT

A/n ___________ default occurs when not all payments on an instrument have been fully made and have not been made by the due date.

UNCURED

If questions arise about what law governs and international contract for the sale of goods, the U. S. will look to the

UNITED NATIONS CONVENTION ON CONTRACTS FOR THE INTERNATIONAL SALE OF GOODS.

The highest court in the land is the

UNITED STATES SUPREME COURT.

If incapacity makes an instrument void, the incapacity is a/n

UNIVERSAL DEFENSE.

Kevin sued his employer in US district court for violation of federal antidiscrimination laws. Judgment was entered in favor of the employer, and Kevin wishes to appeal the judgment. Under these facts, Kevin will appeal the judgment to which court?

US court of appeals

Laws that fix the maximum rate of interest that may be charged on loans are called

USURY LAWS

M&M Café sold Lucy a guacamole taco. The taco had a piece of avocado pit in it (guacamole is made from avocados, which have pits. ) Under these facts:

Under the reasonable expectation test, the taco is unfit (not merchantable) if Lucy could not reasonably expect to find the pierce of pit in the taco.

If one person has influence over another causing one to enter into a contract not of his or her free will, the contract is voidable and this is called:

Undue Influence

The rule that if a contract for the sale of goods is changed by both parties, no consideration is necessary to make it enforceable is found in the:

Uniform Commercial Code

Set up so that judges would decide cases the same way other judges had decided them.

Uniformity of Common Law

A contract when only one promise is made.

Unilateral Contract

Minority is considered an_______ defense

Universal

Neal was hired as sales manager for a food distributor doing business in Port City, USA. Neal managed the important customer accounts and he was responsible for developing the company's sales strategy. When hired, Neal agreed not to compete in the food distribution business after he quit. Under these facts, Neal's agreement not to compete would be

VALID IF IT PROHIBITED NEAL FROM COMPETING IN PORT CITY FOR ONE YEAR AFTER HE QUIT

When no time is specified in the offer, the reasonable time an offer is open

VARIES WITH EACH CASE DEPENDING ON THE CIRCUMSTANCES

When no time is specified in the offer, the reasonable time and offer is open

VARIES WITH EACH CASE DEPENDING ON THE CIRCUMSTANCES.

Determining the location where a case is to be tried means determining the proper

VENUE

In most states, contracts made by judicially declared incompetent people are

VOID

Contracts made with minors are

VOIDABLE AT MINOR'S DISCRETION BEFORE MINOR REACHES MAJORITY.

Contracts made with minors are

VOIDABLE AT MINORS DISCRETION

An agreement enforceable by law.

Valid Contract

Neal was hired as sales manager for a food distributor doing business in Pork City, USA. Neal managed the important customer accounts and he was responsible for developing the company's sales strategy. When hired, Neal agreed not to compete in the food distribution business after he quit. Under these facts, Neals' agreement not to compete would be:

Valid if it prohibited Neal from competing in Pork City for one year after he quit.

Vanessa issued a check for $500 in payment for some goods. The seller negotiated the check to an innocent purchaser. Which defense can Vanessa assert against the innocent purchaser?

Vanessa has a defense of minority. Vanessa is 17 years old.

Offense that is less serious than a misdemeanor is known as a:

Violation or infraction

In most states, contracts made by judicially declared incompetent people are

Void

When it is of no legal effect a contract is:

Void

Stan lacks the capacity to make a contract because he is a 15 year old minor. Nonetheless, Stan contracts to buy a guitar from Play-It-Again-Sam Sales. Under these facts, the contract is:

Voidable

A contract that may be set aside due to the circumstances of one of the parties.

Voidable Contract

Adopted by businesses as guidelines for employees. They do not carry legal penalties.

Voluntary Codes of Ethics

Madueno issued and signed her personal check ordering Washington Mutual Bank go pay $500 to the order of Guadalupe Lopez. Madueno delivered the check to Lopez. Lopez took the check to WaMu and an authorized bank officer wrote "ACCEPTED FOR PAYMENT" on the check, and signed it. Under these facts

WAMU IS A DRAWEE AND AN ACCEPTOR

The Water Pollution and Control Act regulates U. S. waters and adjacent

WETLANDS.

Which of the following statements is true?

WRITTEN LAWS ENACTED BY LEGISLATIVE BODIES ARE CALLED STATUES

FLSA: Administrative/Enforcement

Wage and Hour Division of Dept of Labor (DOL) covers min wage, overtime compensation, equal pay

Select the correct answer:

Wally issued a check that was drawn on Peoria Bank, as drawee. Peoria Bank accepted the check for payment. In this case, Peoria Bank has primary liability to pay the check.

Corrigal v. Ball & Dodd Funeral Home

Washington Supreme Court permitted an action for negligent infliction of mental distress against a funeral director. Court held that proof of simple negligence, as opposed to malicious or reckless conduct, was sufficient to recover damages for mental anguish.

This Act seeks to maintains proper chemical balances of U.S. waters and wetlands.

Water Pollution and Control Act

which of the following statements is true

When a contract to sell goods is made, title passes in the future

Statute of Descent

When an individual dies intestate, his property descends and is distributed by statute.

Define Constructive Possession

When one does not physically have the body within physical possession, but can take physical custody (actual possession) at will.

Intrastate

Within a state

An offense that can be either a felony or misdemeanor is known as a:

Wobbler

Martinez issued a negotiable note to woods. The note was due may 1. Woods indorsed the note and negotiated it to Rodriguez. On may 1, Rodriguez presented the note to Martinez and Martinez refused to pay. On may 3, Rodriguez gave written notice to woods that Martinez refused to pay in this case

Woods is obligated to pay the note based on her secondary liability

Woods rented a casket for her Halloween party from Johnson family funeral home. Without authorization, woods sold the casket to her friend, Rivera, who recently experienced the death of a family member and needed a burial receptacle. Rivera did not know that the casket belonged to Johnson Family Funeral Home. Under these facts

Woods was not legally entitled to sell the casket, therefore Rivera did not receive good title to the casket

A contract in which terms are stated in writing is a:

Written contract

Which contract is not discharged by impossibility?

XYZ contracted to sell a standard Sony stereo to Bob. Prior to performance, XYZ's stereos were destroyed by fire. Xyz can obtain the required stereo elsewhere to deliver to Bob.

Blue Sky Inc. and Hawk Inc. are securities firms. These companies have recently engaged in three separate fraudulent stock offerings. Each offering violated both federal and state criminal laws, but Big Sky has not been convicted of these crimes. Jim bought stock from Big Sky in one of these offerings. Under these facts, can Jim bring a RICO action against Big Sky?

Yes. Jim may bring a RICO action, and he may be able to recover treble damages.

Tim, a resident of Iowa, is suing Rod, a resident of New York, for $100,000. Time is suing for breach of contract (state law). Would a US district court have jurisdiction to decide this case?

Yes. Tim and Rod are residents of different states and the case involves $75,000 or more.

legatee

a beneficiary who inherits personal property by a will

devisee

a beneficiary who inherits real estate by a will

Creditor -

a business or individual to whom a debt is owed; party who receives guaranty

Cashier's check

a check drawn on a bank's own funds and signed by a responsible bank official •check drawn by a bank on its own funds and signed by the cashier or another official of the bank

Dishonored check

a check not paid by the bank when properly presented

Canceled check

a check which has been paid by the bank and returned to the drawer for record-keeping

Unsecured claims -

a claim which is not supported by a pledge of other assets belonging to the debtor

Secured claims -

a claim which is supported by a pledge of assets belonging to the debtor

Coinsurance Clauses -

a clause in an insurance policy under which the insured agrees to maintain insurance equal to some specified percentage of the property value or otherwise to assume a portion of any loss

Universal life insurance -

a combination of whole life insurance and term life insurance

Risk (peril) -

a condition in which there is a possibility of an adverse deviation from a desired outcome that is expected or hoped for : danger or loss from which the insured is protected, according to contract's terms

Bill of lading

a contract existing between the consignor (shipper) and the carrier •receipt and contract between consignor and carrier regarding terms of the contract of transportation

Unilateral contract

a contract formed when an act is done in consideration for a promise•contract calling for an act in consideration for a promise

Express contract

a contract in which the parties express their intentions, either orally or in writing, at the time of the agreement•contract with the terms of the agreement specified in words

Bilateral contract

a contract which consists of mutual exchange of promises to perform some future acts

Personal service contract

a contract which involves such personal knowledge, skills, or confidence that it can only be performed by the person with whom it is made

Valid contract

a contract which will be enforced by the court•contract enforceable by the law

Probate court

a court having jurisdiction over estates•court that handles individuals' estates and proves authenticity of testator's will

Misdemeanor

a criminal offense which is neither treason or a felony•a less serious criminal offense, generally punishable by fine and/or imprisonment of less than one year

Judgment

a decision of a court of law

Precedent

a decision of a court which is thereafter followed as an example in subsequent similar cases•court decision that determines the decision in a subsequent, similar case

Bill of sale

a document of conveyance which provides written evidence of one's title to tangible personal property •written evidence of title transfership of tangible personal property

Quasi contract

a fictional contract created or implied by a court for a person who is unable to contract for himself (i.e., medical care, death) •an obligation which law creates in the absence of agreement•imposition of rights and obligations by law without a contract•is invoked by courts where there is unjust enrichment•the function of a quasi contract is to raise an obligation in law where in fact the parties made no promises•Implied (in law) contracts

Self-Insurance -

a form of risk management whereby a part of the firm's earnings is earmarked as a contingency fund for possible future losses, specifically for individual loss categories such as property, medical, or worker's compensation

Bequest

a gift of personal property by will

Devise

a gift of real estate by will

Occupational Safety and Health Administration (O.S.H.A.)

a governmental agency with the responsibility for regulatory and enforcement of safety and health matters for most employees

Administrative agency

a governmental body created by legislation empowered to regulate an industry and issue rules and regulations•governmental board or commission with authority to regulate matters or implement laws

Statute

a law enacted by legislative bodies

Statute of limitations

a law that restricts the period of time within which an action may be brought to court•time within which right to sue must be exercised or lost

Misdemeanor

a less serious crimanal offfese generally punished by a fine and/ or imprisonment of less than a year

Duress

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•obtaining consent by means of a threat

Duress

a means of removing one's free will, obtaining consent by means of threat to do harm to the person, his family, his property, or his earning power

assignment

a means where one party in a contract converys rights to another person, who is not a party to the original contract

Assignment

a means whereby one party in a contract conveys rights to another person, who is not a party to the original contract•conveyance of personal property rights in a contract to a person not a party•transfer to another of tenant's rights

Felony

a more serious criminal offense that is punishable by imprisonment in a penitentiary for more than one year or by death

Summons (process)

a notice of complaint given to a defendant, attaching the complaint and stating a time frame in which a response, or answer, must be filed or an appearance made, and which serves the purpose of conferring personal jurisdiction over the defendant•notice of suit

Injunction

a permanent judicial order or decree forbidding the performance of a certain act court's permanent order forbidding a specific action

Holder in due course

a person in possession of a negotiable instrument who accepts the negotiable instrument in good faith and for value •person who acquires rights superior to original owner •holder for value and in good faith with no knowledge of dishonor, defenses, or claims

Indorsee

a person who becomes the holder of a negotiable instrument by indorsement which names him or her as the person to whom the instrument is negotiated •named holder of indorsed negotiable instrument

Merchant

a person who deals in goods of the kind, or otherwise by occupation is considered to have knowledge or skill peculiar to the practices or goods involved in the transaction

Holder

a person who has possession of a delivered negotiable instrument (commercial paper) •person in possession of instrument payable to bearer

Tort

a private or civil wrong, other than breach of contract, either intentional or caused by negligence, for which there may be action for damages•a wrongful act committed by one person against another person or their property•private wrong for which damages may be recovered

Appeal

a request to a higher court to review a lower court's decision

Contract to sell -

a seller agrees to transfer title to goods to a buyer for a consideration (price), at a future time

Felony

a serious crime (such as murder or arson) imprisonment in a penitentiary for more than a year

Breach of contract

a situation in which one of the parties to a contract fails or otherwise refuses to perform the obligations established in that contract

Statute of Frauds

a statute originally enacted by English Parliament, and now enacted in some form in all the American states, listing certain types of contracts which could only be enforced if in written form•law requiring certain contracts to be in writing in order to be binding or enforceable

Nominal damages

a token award to symbolize vindication of the wrong done to the plaintiff•small amount awarded when there is technical breach but no injury•generally the award is $1.00

Cognovit Clause

a waiver of notice or rights to be heard if sued for default

Implied warranties

a warranty imposed by law, arising automatically because the sale has been made

Commercial paper (negotiable instrument)

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•document of payment, such as a check

Three Powers of Administrative Agencies:

a. Licensing power - allowing a business to enter the field being regulated. b. Rate making power - fixing prices businesses charge. c. Power over business practices - Determining if activity of a business is acceptable or not.

A tort about a product may be committed by:

a. Making false statements about a product b. Representing goods and services as being those of someone else.

clinal death

absence of all vital signs

Certificate of deposit

acknowledgment by bank of receipt of money with engagement to repay it with interest

Certificates of deposit -

acknowledgment by bank of receipt of money with engagement to repay it with interest

Adverse possession -

acquiring title to land by occupying it for a fixed period, typically a hostile acquisition

Accession

acquisition of title to property that is attached to property already owned

Cancellation

act indicating intention to destroy the validity of an instrument

interment

act of placing the body in the ground

Theft

act of taking another's property without consent

Theft -

act of taking another's property without consent

Theft

act of taking another=s property without consent

negotiation

act of transferring ownership of a negotiable instrument to another party

nuisance per se

act that are nuisances at all times

outrageous act

act with complete disregard for proper conduct

replevin

action to recover possession of wrongfully withheld personal property

Per se violation

activities deemed illegal regardless of their effect

nuisance in fact

acts that are not nuisances, but may becomes such

not disabled

addictive disorders

codicil

addition of a last will and testament executed with the same formality of the will

Codicil

addition or amendment of a will executed with the same formality as the will itself

Rider -

addition to insurance policy to modify, extend, or limit base policy

Booking

administrative steps taken after an arrested person is brought to a 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

satisfaction

agreed upon settlement contained in the accord

Shipment contract

agreement making seller liable until goods delivered to carrier

complete performance

all parties accomplish everything they were supposed to

Moveable personal property

all physical items except real estate

personal property

all property that is not real property

Personal Property-•

all property which is not real property •moveable property •interests less than complete ownership in land or rights to property

Courts are unwilling to

allow "Party A" to hold "Party B" to a contract if "Party A" knew of the mistake.

Burial funds exclusion

allows for exclusion of assets in the amount of $1500 designated to pay for funeral expenses

Burial space exclusion

allows the value of items to be excluded from an applicants resources

mutilation

altering made to a dead human body from the time of death

Annual percentage rate (APR)

amount charged for a loan as a percentage of the loan

moral turpitude

an act showing inherent baseness of principle or action

Moral turpitude

an act showing inherent baseness or vileness of principle or action; shameless wickedness; depravity

Federal Trade Commission (F.T.C.)

an agency of federal government created in 1914 to promote free and fair competition by prevention of trade restraints, price fixing, false advertising, and other unfair methods of competition

Contract

an agreement between two or more competent persons which is enforceable by law•legally enforceable agreement

Accord and satisfaction

an agreement made and executed in satisfaction of the rights one has

Accord and satisfaction

an agreement made and executed in satisfaction of the rights one has from a previous contract

Void contract

an agreement of no legal effect

Acceptance

an agreement to an offer resulting in a contract •drawee's signed agreement to pay draft

Acceptance

an agreement to an offer resulting in a contract•drawee's signed agreement to pay draft

Unenforceable contract

an agreement which is not in the form required by law, but can be made so by the parties•agreement that is not currently binding but can be made so by the parties •an agreement which at the current time is not enforceable by law

Compensatory damages

an award paid to the injured party to cover the exact amount of their loss, but no more•compensation amount equal to the loss sustained punish the other in excess of those required to compensate the plaintiff for the wrong done Liquidated damages -•the amount of the damages stipulated in a contract to be paid in the event one party breaches the contract•sum fixed by contract in case of contractual breach where actual damages are difficult to measure Specific performance -•a contract remedy by which the court requires the breaching party to perform the contract•carrying out the terms of a contract Chapter 14

Offer

an expression of willingness of offeror to enter contractual agreement•a proposal to make a contract

Natural Person

an individual, not a business entity

Special indorsements

an indorsement which designates the particular person to whom payment is to be made

Qualified indorsements

an indorsement which limits the liability of the indorser

Restrictive indorsements

an indorsement which prevents the use of the instrument for anything except the stated use •an endorsement which limits the use of funds to the purpose stated. (Example: "For Deposit Only")

Will

an instrument executed with required formality by a person making disposition of his or her property to take effect upon his or her death •document providing disposition of property after death

Business Interruption Insurance -

an insurance that protects companies during the period necessary to restore property damaged by an insured peril ;insurance covering loss of profits while a damaged business building is repaired ;coverage pays for lost income and other expenses related to recovery

Counteroffer

an intended acceptance which changes or qualifies an original offer and in effect, rejects that offer and becomes a new offer•offeree=s response that rejects offer by varying terms of initial offer

Wobbler

an offense that can be either a felony or a misdemeanor

Crime

an offense which is injurious to society as a whole

Crime (criminal act)

an offense which is injurious to society as a whole •an action in violation of constitution, statutes, or ordinances (e.g., treason, felony, misdemeanor)•offense against society, the state, or a government•violation of a law

Answer (motion)

an official document detailing a defendant=s defense •written response by defendant to a complaint=s charges

Check

an order by a depositor on the bank to pay a sum of money to a payee •draft drawn on a bank and payable on demand •a piece of commercial paper drawn on funds in a bank account and payable on demand

Stop payment order

an order by a depositor requesting a bank not to pay on a check previously issued

• Certified check

an ordinary check which an official of the bank has accepted by writing across the face of the check the word "certified" or some similar word, and signed •a check for which the bank assures that the drawer has sufficient funds to make payment •a check which carries the guarantee of the bank that sufficient funds are available to pay the check when it is presented

Promissory note

an unconditional promise in writing made by one party to another, signed by the maker, engaging to pay on demand or at a particular time, a particular sum of money to order or to bearer •a negotiable instrument containing a promise to pay

Joint and survivor annuity -

annuity contract paid out until the second of two insured people die

Common carrier

any carrier required by law to convey passengers or freight without refusal if the approved fare or charge is paid (i.e., airline, train, etc.) •one that undertakes to transport without discrimination all who apply for service

Common carriers

any carrier required by law to convey passengers or freight without refusal if the approved fare or charge is paid •airline, train, etc.

- Simple contract

any contract other than a formal contract, whether written, oral, or implied•contract that is not formal

Legal tender

any form of lawful money

Constitution

any fundamental or important law or edict•document that contains fundamental principles of a government

Disability

any physical or mental impairment that substantially limits one or more life activities; a record of having impairment Not protected: current drug use, homosexuality, paraphilias

Property

anything that may be owned

Case law

appellate court decisions that establish precedented principles

case law

appellate court decisions that establish precedented principles

after acquired evidence defense

applied when an employer uncovers evidence that shows that the employee could've been legitimately discharged

Civil Rights Act

applies to co's with 15+ employees No discrimination based on race, religion, color, sex, or national origin amended in 1978 to include pregnant women ADEA

Commercial unit

article, group of articles, or quantity regarded as a separate unit

Baggage

articles necessary for personal convenience while traveling on common carriers

Inventory (merchandise) -

articles purchased with intention of reselling or leasing; goods purchased for resale at a profit

Medicaid/SSI implications

assets cannot be counted when: policy is irrevocable; policy is revocable but less than $2K; purchaser owns cemetery space, casket, urn, and/or vault

Solvency

assets exceed liabilities

due diligence

attention reasonably expect from a person who wants to be legal

With reserve

auction goods may be withdrawn after bidding starts

Without reserve

auction goods may not be withdrawn after bidding starts

Jurisdiction

authority of a court to hear a case

Preauthorized debit

automatic deduction of bill payment from checking account

Right of survivorship -

automatic ownership of property by survivors

Comprehensive policy -

automobile insurance covering large number of miscellaneous risks

livery

automotive equipment made available for hire

punitive damages

award paid to the plaintiff in order to punish the defendant - not for compensation

A CONSTUCTIVE

bailment arises when someone finds and takes possession of the lost property.

Constructive bailment

bailment imposed when a person finds and takes control of lost property

interstate

between two or more states

Option

binding promise to hold an offer open

administrative law

body of law that implements their powers and duties in the form of rules

common law

body of previously recorded legal decisions makes up the law

Registered bonds

bond payable to specific person, whose name is recorded by issuer

Coupon bonds

bond with detachable individual coupons representing interest payments

condition concurrent

both parties need to perform at the same time

mutual rescission

both parties return any consideration already received and discharge the contract

funeral service law

branch of law that relates to dead bodies and regulations regarding to funeral directors

Default

breach of contractual obligation other than money

Creation

bringing property into actual being

A criminal law differs from a civil law in that a government employee (prosecutor or district attorney) is the one who:

brings the criminal action.

vicarious liability

business is liable for employee's actions when on the clock

sole proprietorship

business owned by one person

revocable

buyer may cancel anytime prior to death and recieve refund

How GPL must be delivered

by hand

Regular rate of pay

can include: room/board, bonuses Cannot include: Expenses, profit sharing, vacation pay

intangible property

can't be touched, but it exists, such as goodwill, a good business reputation

recission

canceling

revocation

cancellation of an instrument by the one making the offer

Age Discrimination in Employment Act

cannot discriminate in employment on the basis of age

blue laws

cannot make contracts on sundays

common carrier

carrier required to convery passengers or freight without refusal is the approved fare is paid

Protest

certification of notice of dishonor by authorized official

brain death

cessation of brain function as indicated by a flat EEG reading

death

cessation of life

Arraignment

charging a person with a crime and asking for that person's plea

Usury

charging higher interest rate than law allows

Usury

charging higher interest than law allows

Bank draft (teller's check)

check drawn by one bank on another bank -• •a check drawn by one bank on another bank in which it has funds on deposit

Postdated check

check drawn prior to its date

Stale check

check presented more than six months after its date

Bad check

check the drawee bank refuses to pay for reasons such as insufficient funds or closed accounts

Voucher check

check with voucher attached

Judge

chief officer of a court

Justice of the peace

chief officer of an inferior court

Magistrate

chief officer of an inferior court

lien

claim against property for payment of some debt

Setoff

claim by the party being sued against the party suing

Lien

claim or charge against a property for payment of some debt

unsecured claim

claim which is not supported by a pledge

The safest way to contract with a minor is to have a parent or guardian join in the contract as a:

co-signer with the minor.

order papaer

commercial papaer made payable to the order of some named party

Order paper

commercial paper made payable "to the order of" some named party •the word "order" or its equivalent must be used

Bearer paper

commercial paper payable to any person in possession of it •commercial paper made payable to the bearer (i.e., to the person having possession of such)

Mutual insurance company -

company of insurance policyholders-investors

Insurer -

company writing insurance policy or contract and that agrees to compensate a person for loss under policy terms

workers compensation

compensates injured workers for their injuries

Sale or return

completed sale with the right to return goods

testate

condition of leaving a will at death

insolvent estate

condition of the estate which is unable to pay the debts of the decedent

Ratification

confirming an act which was executed without authority or an act which was voidable•adult indicating contract made while a minor is binding•approval of unauthorized act

ratification

conforming an act which was executed without authority or an act which was voidable

Premium -

consideration paid by insured for a policy

price

consideration stipulated by a contract

Promising to give something to which the other party is already entitled is not

consideration.

Order bills of lading

contract allowing delivery of shipped goods to bearer

Straight bills of lading

contract between shipper and carrier requiring delivery of shipped goods only to consignee

Property Insurance -

contract by which insurer pays for damage to specified property

collective bargaining agreement

contract negotiated by the employer and the union that covers all issues related to employment

Joint contracts

contract obligating or entitling two or more people together to performance under the contract

simple contract

contract other than a formal contract

specific performance

contract remedy by which the court requires the breaching party to perfom the contract

personal service contract

contract that involves such personal knowledge that it can only be performed by the person with whom it is made

Annuity insurance -

contract that pays monthly income to an insured person while insured is alive

insurance -

contract that transfers risk of financial loss for a fee : uneventful protection for the small business or small business owner in regards to monetary compensation in the event that a business and/or personal peril is experienced

Written Contract

contract with terms in writing

Written contract

contract with terms in writing

Oral contract

contract with terms spoken

condition subsequent

contracted will be terminated with something does or does not occur

service contracts

contracting of services rather than goods

Preneed contracts

contracts entered into between public and FD to provide funeral goods and services to the beneficiary upon death

Warranty deed

conveyed to you by a seller when buying real property; seller warrants that he is the real owner, has the right to sell, will defend the title, no liens, no debts, and buyer has free access to the property.

Computers may be objects of crimes, the method of committing a crime, or represent where a crime is committed, such as a:

copyright infringement on the internet.

private corporation

corporation formed by individuals to carry out some non-governmental function

public corporation

corporation formed to cary out government functions

Stock insurance companies -

corporation of stockholders-investors

probate court

court having jurisdiction over estates

Court of record

court in which an official record of the proceedings is kept

Courts of original general jurisdiction

court of record in which a criminal or civil case is first tried

Sheriff

court of record's executive officer

Trial justice

court officer overseeing disposition of a case

Domestic relations court

court that handles divorce and related cases

Federal court of appeals

court that hears appeals in the federal court system

trial court

court which conducts original trial and renders its decision

Juvenile court

court with jurisdiction over cases involving delinquent, dependent, and neglected children

Restraining order

court's temporary order forbidding an action

Trial courts

courts which conduct the original trial and render its decision•court that conducts original trial of a case

Homeowners' policy -

coverage of many perils plus liability for owners living in their houses

Fair labor standards act

covers minimum wage, overtime compensation, and equal pay regulations

general release

creditor releases someone from the obligation of a valid debt

Computer crime

crime that is committed with the aid of computers or because computers are involved

Business Crimes

crimes against a business or committed by using a business

Common law

customs which have become recognized by the courts as binding on the community non-legislated principles and rules of action predicated upon usages and customs

cadaver

dead human body intended solely for scientific study

corpse

dead human body that is not entirely disintegrated

secured claim

debt which is supported by a pledge

precedent

decision of a court which is followed as an example in similar cases

stare decisis

decision of a higher sourt should serve as a guide for similar cases in the future

Verdict

decision of a jury

Quitclaim deeds -

deed where grantor gives up whatever interest grantor has in property, without specifying any particular interest is being transferred

Scherer v. Ruben Memorial Chapel Ltd.

defendant funeral director put a body other than decedent's in decedent's casket and burial clothes, when confronted, defendant tried to convince the plaintiff the body was indeed the decedent. After removing the burial cloths from the wrong body, defendant simply threw the clothes over the decedent's unprepared body.

Universal defense

defense against any holder

Limited defense

defense that cannot be used against a holder in due course

Fraud in the execution

defrauded party did not intend to enter into a contract but false statement made by other party induced contract signing

Fraud in the inducement

defrauded party intended to make a contract but false statements were made about the terms or in obligations of the contract

Presentment

demand for acceptance or payment of commercial paper

Free on board (FOB)

designated point to which seller bears risk and expense of delivery

Anonymous remailer

device that permits sending anonymous e-mail messages and software without the recipient knowing the source of the communication

Testate

died with a will

intestate

died with no will

reasonable accommodation

disabled individual can accomplish the job functions without imposing an undue hardship on the employers

Preference -

disallowed transfer to a creditor

Disclaimer of warranties

disclosure must be in bold, and obvious as well as on price list and Statement

triggering event

dist of GPL when meet with NOK or inquiring party

Negotiable instrument

document of payment, such as a check

Warehouse receipt

document of title issued by storage company for goods stored

living will

document that governs the treatment of an irreversible or terminal illness

Documents of title

document that shows ownership

nonperformance

doesn't fulfill a contract

Trade acceptance

draft drawn by seller on purchaser of goods and accepted by purchaser

Inland drafts

draft drawn in one state and payable in the same or another state

Time drafts

draft payable a certain number of days or months after date or presentation

Sight drafts

draft payable upon presentation of draft's holder

volunteer driver

drivers not under control of the funeral director

agent driver

drivers under the directions of the funeral establishment which is liable for the drivers' actions

not disabled

drug user

Tenancy in common

each owns undivided interest; passes to heirs at death

satisfactory performance

each party of the contract did what he was supposed to do

Automated teller machines

electronic fund transfer (EFT) terminal that performs routine banking services

promissory estoppel

employee must demonstrate that the employer promised job security

grievance procedure

employees have the right to appeal any employers' decisions

employment-at-will

employer can dismiss an employee at any time for any reason

disparate impact

employer has a policy that has an unequal impact

disparate treatment

employer intentionally discriminates against someone belonging to a protected class

civil rights act of 1991

employer must prove that hiring and promotion of people is solely based on the job

affirmative action

employer pursues a policy that will reduce the effects of past discrimination in the workplace

federal insurance contributions act

employers and employees are taxed equally to help pay for workers retirement

immigration reform act of 1986

employers are required to request and examine documentatioin of employment eligibility with all new hires

Family and Medical Leave Act

employers must give people up to 12 weeks of leave for serious medical conditions of family

equal pay act of 1963

employers must pay women the same amount they pay men for the same job

employee retirement income security act

employers must place their pension contributions on behalf of employees into a trust

worker adjustment and retraining notification act

employers with more than 100 full-time employees must give written notice to a union official 60 days before any mass layoff

implied contract

employment relationship in which the employer acts in a way that implies there is a contract for employment

Notice and comment rule making

enacting administrative rules by publishing the proposed rule and then the final rule without holding formal hearings

Rules and regulations

enactments by an administrative body within the jurisdiction of that agency

special endorsement

endorsement which designates the particular person to whom payment is to be made

qualified endorsement

endorsement which limits the liability of the endorser

restrictive endorsement

endorsement which prevents the use of the instrument for anything except the stated use

promissory estoppel

equitable doctrine that prevents the promisor from revoking the promise when the promisee acts in reliance upon the promise

Life estate -

estate for the duration of a person's life

solvent estate

estate in which the assets exceed liabilities

inheritance

estate which passes from the decedent to his heirs

Title

evidence of ownership of property

Intangible personal property

evidences of ownership of rights or values

Usurious contracts

exceeding the maximum rate of interest which may be charged on loans

Marshal

executive officer of a federal court

A contract that includes terms not fully carried out is an:

executory contract.

preparation room

facility designed for embalming and preparing bodies

- Judicial admission

fact acknowledged in a course of legal proceeding

Hazards -

factors that contribute to uncertainty of insured loss

Breach

failure or refusal to perform contractual obligations or agreements

Negligence

failure to exercise ordinary (reasonable and prudent) care•omission to do something which a reasonable and prudent person would do under ordinary circumstances or the doing of something which a reasonable and prudent person would not do•the lack of due care (exercised by a wrongdoer who has not acted as a reasonable person would)•a breach of a legal duty to act carefully resulting in injury to another or damage to another=s property

negligence

failure to exercise ordinary care

Unfair/Deceptive Practices/Acts

failure to provide copy of contract or receipt cancellation provision smaller than 10-pt font failure to provide notice of cancellation failure to inform consumer of right of cancellation fails to honor cancellation, fails to refund within 10 days, fails to notify within 10 days if repossession imminent; transfers or otherwise sells negotiable instrument to 3rd party within 5 days of transaction

Injurious falsehood

false statements of fact that degrades quality of another's goods or services

federal trade commission

federal agency created in 1914 to promote free and fair competition

Diversity jurisdiction

federal jurisdiction based on parties being from different states

Sherman Antitrust Act

federal legislation intended to promote competition among businesses by prohibiting restraint of trade

sherman antitrust act

federal legislation intended to promote competition among businesses by prohibiting restraint of trade

preemption

federal statute takes precedence over a state one

Special federal courts

federal trial courts with limited jurisdiction, such as the U.S. Tax Court

quasi contract

fictional contract created by a bourt for a person who is unable to contract for himself

Friendly fire -

fire contained where intended

Hostile fire -

fire outside of its normal place

Bill of Rights

first 10 amendments of the U.S. Constitution, enacted by the first Congress to protect the civil rights and liberties of citizens and states

Issue

first delivery of negotiable instrument by maker or drawer to give rights to another

When one refrains from doing something, this is called:

forbearance.

escheat

forfeiture of a decedent's property to the state in absence of heirs

escheat

forfeiture of a decedent's property to the state in the absence of heirs

Passive fraud

fraud caused by failure to disclose information when there is a duty to do so

When one intends to and induces another to enter a contract as a result of an intentional false statement of a material fact

fraud has been committed.

waiting to be engaged

free to do what you want while on call

Electronic Funds Transfers

fund transfer initiated electronically, telephonically, or by computer

custodian

funeral director becomes legal protector of body from removal until disposition

not disabled

gender identiy disorder

Funeral Director Classification

generally not considered professionals professionals in MI, OH, TN, KY only (6th dist)

bequest

gift of personal property by will

devise

gift of real estate made by a will

GPL distribution

given at time of inquiry

wrongful discharge

gives employees legal grounds for a lawsuit if they've been dismissed unfairly

Equipment -

goods for use in business

Fungible goods

goods of a homogeneous nature sold by weight or measure

Consumer goods or services

goods or services primarily for personal, family, or household use

Prosecutor (district attorney)

government employee who brings criminal actions

occupational safety and health administration

governmental agency with the responsibility for regulatory and enforcemtn of safety and health matter for most employees

administrative agency

governmental body created by legislation empowered to regulate an industry

Warranties

guarantees made by a seller that an article, good, or service will conform to a certain standard or will operate in a certain manner •assurance article conforms to a standard statement of insured that relates to risk and appears in an insurance contract

Exoneration -

guarantor's right to have creditor compel payment of debt

Blank indorsements

having no words other than the signature of the indorser •indorsement that does not state to whom the instrument is to be paid •the handwritten signature of the payee on the back of the check

Maximum contract rate

higher legal rate of interest allowed

United States Supreme Court

highest court in the United States

Abstract

history of all the filings of record affecting the property described; determines title

Holder Through a Holder in Due Course

holder subsequent to holder in due course

not disabled

homosexual

Merchandise Price List

if not on GPL, must be prepared IE: caskets, urns, OBCS presented to consumers upon triggering event

accord

implied acceptance of less that what has been billed

implied covenant

implied promise in an employment relationship that both parties will be honest and fair with each other

constitution

important law of edict

For a promise to constitute consideration it must:

impose an obligation on the person making it. 1. If you promise to pay a person for a car if it is brought to you, the promise is consideration. 2. Payment of half of an electric bill is not consideration.

undue influence

improper influence that is asserted by one dominant person over another, without the threat of harm

Undue Influence

improper influence that is asserted by one dominant person over another, without the threat of harm•person in special relationship causing another's action contrary to free will

Malpractice

improper or negligent professional act by a professional person•a breach of contract by a professional person•failure to perform a professional service with the ability and care generally exercised by others in the profession

plaintiff

individual who initiates a civil action

silent partner

individual who takes no active part in the management of a partnership, but has capital invested in the business

Constructive notice

information or knowledge the law assumes everyone knows

police power

inherent power of every government to make reasonable laws to protect its citizens

Making false statements degrading the quality of another's goods and services is a tort of:

injurious falsehood, commercial disparagement or trade libel.

will

instrument executed with required formality by a person making disposition of their property to take effect upon their death

power of attorney

instrument granting someone authority to act as agent or attorney for the grantor

general power of attorney

instrument in writing auth one person to do anything for the principal

springing power of attorney

instrument in writing authorizing one person to act as an agent for another affective only if a certain event occurs

general power of attorney

instrument in writing authorizing one person to do anything for the principal

Money order

instrument issued by business indicating payee may receive financial instrument=s indicated amount

No-fault insurance -

insurance companies pay for their insured's injuries regardless of who is at fault

Floating policy -

insurance coverage of property no matter where property is located at time of loss

General Liability Insurance -

insurance covering business liability to customers who might be injured on or off premises or from the product sold to them

Public liability insurance -

insurance designed to protect third persons from bodily injury and property damage

Physical damage insurance -

insurance for damage to car itself

Buy-sell life insurance -

insurance on an owner of a business that will supply enough money for a partner to buy his share of the business on death

Blanket policy -

insurance policy on many items in different places or different items in one place

Deductible Clauses -

insurance policy provision that makes the insurer liable only for losses in excess of the stated deductible; insurance provision whereby insured pays damage up to specified amount; company pays excess up to policy limits

Valued policy -

insurance policy that fixes values for insured items of property

Specific policy -

insurance that applies to only one item

Liability Insurance -

insurance that covers business liability to customers and others who might be injured from the product sold to them

Product Liability Insurance -

insurance that protects a firm against claims that its product caused bodily injury or property damage to the user

Life Insurance -

insurance that provides death benefits to the survivors of the insured; contract of an insurer to pay money upon the death of the insured

Casualty Insurance -

insurance that provides monetary benefits to a business that has experienced an unforeseen peril such as flood, fire, etc.

gross negligent act

intentional failure to perform a manifest duty in reckless disregard of the consequences as affecting the life or property of another

Delivery

intentional transfer of possession and control of something

Easement -

interest in land for nonexclusive or intermittent use; the right that one person has to use the land of another for a special purpose

Remainder -

interest in life estate that goes to someone other than grantor on death of life tenant

Estate -

interest in property

Insurable interest

interest in the nonoccurrence of the risk insured against

Insurable interest -

interest in the nonoccurrence of the risk insured against

Reversion -

interest of grantor in life estate that returns to grantor on death of life tenant

Legal rate of interest

interest rate applied according to statute when no rate specified and interest is to be paid

State court of appeals

intermediate appellate court

Nondeclinable basic service fee

it is not illegal to require payment of this fee as a condition of receiving funeral services

necessaries

items for sustaining a human being at an appropriate living standard

Necessaries

items, required or proper and useful, for sustaining a human being at an appropriate living standard•items required for living at a reasonable standard •examples: food, clothing, and shelter

guardian

judicial appointment of a person to administer the affairs of another person who is incompetent by viture of age or legal disability

Reformation

judicial correction of a contract

Equity

justice system based on fairness provides relief other than merely money damages

Real property

land and things permanently attached to the land

real property

land and those objects permanently attached to land

nuisance

landowner's use of property that interferes with the public

Fee simple estate -

largest, most complete right in property

Statutory law

law created by legislative bodies in contrast to law generated by judicial opinions (case law) and administrative bodies (administrative law)

ordinance

law enacted by a municipality

natural law

law originates from an objective, superior force

positive law

law originates from an outside source that has emerged from society

zoning ordinance

law passed by a municipality by virture of the police power which regulates the kind of buildings, etc. that shall be built in different parts of the municipality.

uniform anatomical gift act

law permitting a person to give all of his body

Procedural law

law specifying how actions are filed and what trial procedure to follow

statute of limitations

law that restricts the period of time within which an action may be brought to court

Criminal law

laws dealing with crimes and the punishment of wrongdoers•law dealing with offenses against society

statutes

laws enacted by legislative bodies

Zoning ordinance

laws passed by a municipality by virtue of its police power which regulates and prescribes the kind of buildings, residences, or businesses that shall be built and used in different parts of the municipality

building code

laws setting forth requirements for buildings

Building code

laws, ordinances, and government regulations setting forth requirements for construction, maintenance, operation, occupancy, use or appearance of buildings

Trailing edge

left side of front of check

Civil law

legal proceedings concerned with the rights of public citizens•body of law dealing with enforcement or protection of private rights•the body of law concerned with private or purely personal rights

Trademark or trade name dilution

lessening the capacity of a famous mark to identify and distinguish goods

Caveat emptor

let the buyer beware

Variable Workweek exception

let's employer pay 1/2 time for overtime (salary with overtime)

Insolvency

liabilities exceed assets of will

Secondary liability

liability for a negotiable instrument that has been presented, dishonored, and notice of dishonor given

Primary liability

liability without conditions for commercial paper that is due

If a minor contracts for necessaries, food, water, shelter, medical care, education, the contract may be voidable, but the minor is:

liable for the reasonable value.

funeral director

licensed person who prepares bodies and operates the funeral establishment

Endowment life insurance -

life insurance that allows the insured, rather than the beneficiary, to collect the face value of the policy upon maturity or to collect that value in annual payments; decreasing term insurance policy combined with a savings account

Whole life insurance -

life insurance that gives lifetime protection to the insured person

Term life insurance -

life insurance that has no cash value whenever the policy expires; contract whereby insurer assumes risk of death of insured for a specified time period

Key-person life insurance -

life insurance that protects a firm against losses due to the death of a key employee

Executory Waiver

limitations of exemption from attachment to real or personal property unless involved in a security interest agreement with the obligation

Inventory

list of assets of estate

inventory

listing of decedent's assets by a personal representative of the estate

Venue

location where a case is to be tried

executor

man appointed by the will of a deceased person to carry out the provisions thereof and settle the estate

administrator

man who has been appointed by the court to settle an estate

testator

man who makes a will

Strict tort liability

manufacturer of product liable without proof of negligence for dangerous product

Face -

maximum amount insurer pays for loss

Special Use Permits

may be required to receive establishment license from state board

equal pay act

may not discriminate in pay based on anything other than seniority and merit

mental anguish

mental suffering resulting from grief

per stirpes

method of distribution a class or group take the shares they would be entitled to (ie, 50% goes to children, 50% goes to grndchildren, no matter how many are in each group)

per capita

method of distribution of the assets of a will equal shares are given

per capita

method of dividing an estate when an equal portion is given to everyone

per stirpes

method of proportionately dividing an estate between beneficiaries

Anyone under the age of 18 years is a:

minor

hostile work environment

misconduct pervades the workplace and distresses people

False representation -

misstatement of material fact by the insured

Mutual mistakes

mistake by both parties to a contract

Unilateral mistakes

mistake by one party to a contract

Confusion of goods

mixing of goods of different owners that under certain circumstances results in one of the owners becoming the owner of all the goods

uniform probate code

model law to achieve uniformity in probate proceedings

Goods

movable tangible personal property

Joint tenancy -

multiple ownership of property in which, at death of one, that individual's share passes on to remaining owners

Retention of price documents

must keep all price lists/docs for 1 year from date of dist

Assessment mutual company -

mutual insurance company in which losses are shared by policyholders in the ratio of their insurance to the company's total insurance in force

A mistake on both parties is a

mutual mistake. If a mutual mistake concerns a material fact, the contract becomes void.

consideration

mutual promise to exchange benefits

Record keeping requirements

name, add, ss# hours/days of workweek; total hours worked day/week daily/weekly stright time earnings reg hourly rate for week when OT worked, total OT pay deductions, total wages pd, date of pmt and pay period covered keep recs for 3 years, payroll for 6

promissory note

negotiable instrument containing a promise to pay

accord and satisfaction

new agreement that results from a dispute between the parties to take the place of the old agreement

A mistake on a unilateral contract that is made at the time of contracting has

no effect on whether the contract is valid or not.

ethical relativism

no standards of right and wrong

Nuisance in fact

not a nuisance per se, but could become a nuisance by circumstance of the location or the manner in which it is operated, such as a cemetery, trash dump, stockyards. Something that has a legitimate use and purpose, you just don't want it in your backyard. NIMBY

If an oral contract is made, and there is an error in typing when the oral contract is written down, the written form is:

not binding.

Real estate mortgage note

note secured by mortgage on real estate

Collateral note

note secured by personal property

process

notice given to a defendant outlining the complaint and saying when an answer must be filed

Nuisance per se

nuisance at all times and under all circumstances, may be dangerous, injurious, or prejudicial to public morals, such as public drnkenness, toxic waste, loud traffic noise. No legitimate purpose.

soldiers and sailors will

nuncupative will where a soldier in the field may dispose of personal property only

Recognizance

obligation entered into before a court to do an act required by law

Debt

obligation to pay in money or goods

householder

occupier of ahouse

Estoppel -

occurs when one party leads the second to a false conclusion that the second party relies on ;the second party would be harmed if the first party were later allowed to show the conclusion was false

Infraction (violation)

offense less serious than a misdemeanor

battery

offensive physical contact

Tender of payment

offer and ability to pay money owed as specified by contract

tender or performance

offer to do what you're supposed to do

Tender of performance

offer to perform in satisfaction of terms as specified in contract

-• Unjust enrichment

one benefiting unfairly at another's expense

Hotelkeepers

one engaged in business of offering lodging to transients

Implied contract

one in which the terms of the contract are implied by acts or conduct of the parties•contract with major terms implied by the parties' conduct or implied or deduced from the facts•Implied (in fact) contracts

Coguarantor (cosurety) -

one of two or more people jointly liable for another's debt, default, or obligation

Anticipatory breach

one party announces intention not to perform a contract prior to time to perform

Non-conforming use

one that was there before zoning laws took place, such as a funeral home that was in a residential area before law changed (grandfathered in)

Consignee

one to whom goods are shipped by common carrier

trespasser

one who enters another person's property

invitee

one who has been invited on the property

legatee

one who inherits personal property under a will

heir

one who inherits property from a will

devisee

one who inherits real estate under a will

Consignor

one who ships goods by common carrier

Color of title -

one's apparent title

kin

one's relatives

best evidence rule

only accept the original contract as evidence

parol evidence rule

oral statements before a contract don't apply in court

Parol evidence

oral testimony

nuncupative will

oral will declared by a testator during last illness

Writ of certiorari

order to produce record of a case for review by a higher court

Not disabled

overweight

Purchase

ownership by payment

Bonding company -

paid surety

Allonge

paper so firmly attached to an instrument as to become part of it

novation

parties mutually agree to replace one of the parties with a new party

Active fraud

party engages in action that causes the fraud

substantial performance

party forgets a couple small details of the contract, but it has no real impact on the outcome of the contract

constructive custody

party has a right to acquire actual custody of the dead body

Principal -

party primarily liable to third person or creditor

payee

party to whom any negotiable instrument is made payable

Guarantors (surety) -

party who agrees to be responsible for obligation of another

principal

party who appoints a second party to serve as an agent

offeror

party who makes an offer

Burial insurance policies

payable on service and merchandise; funeral home is beneficiary; must be sold by licensed agent

Balloon payment

payment that is more than twice the monthly installment payment

final disposition

performance of services with respect to the dead human body

Time Weighted Avg (TWA)

permissible exp limit: .75 ppm over 8 hour workday Action level is .5, so, .75 is sort of useless as a number here

Formaldehyde Exp Standard

permissible formaldehyde exp levels in workplace: Time weighted avg (TWA) Short term exp level (STEL) Action level *FH must notify employees of levels

administrator

person assigned by court when no will, to settle estate

Grantor -

person conveying property

apprentice

person engaged in learning the practice of funeral directing under supervision of a licensed funeral director

Heir

person entitled to inherit if there is no will

durable power of attorney

person executes a power of attorney which will become effective in the event he should become disabled

Convicts

person found guilty by a court of a major criminal offense

Boardinghouse keeper

person in business to supply accommodations to permanent lodgers or boarders, as distinguished from transient guests

Bearer

person in possession of a negotiable instrument •payee of an instrument made payable to whoever is in possession of the instrument

Attorney (lawyer)

person licensed to represent others in court

Life tenant -

person owning property for a lifetime

Insured -

person protected against a loss

Grantee -

person receiving title to property

offeree

person to whom an offer is made

Acceptor

person who agrees to pay a draft, receive goods, or assent to an order

testator/trix

person who died and left a valid will

nuncupative will

person who died made an oral will in front of adequate witnesses, then it was put in writing at a later time and everyone agreed that it what the person said

embalmer

person who disinfects, preserves, and restores a dead human body

trustee

person who has the right to control the funeral does so on behalf of all survivors

Donor

person who makes a gift

Bidder

person who makes an offer at an auction

Donee

person who receives a gift

personal representative

person who represents the estate

Personal Representative

person who settles the estate

Incidental beneficiary

person who unintentionally benefits from performance of contract

Tortfeasor

person whose action causes injury

Holographic will

person wrote out a will, with no witnesses, but in their own hand

Tangible property

personal property

Tangible personal property

personal property that can be seen, touched, or grasped

third party beneficiary

personal who is not a party in the contract, but the parties intend to benefit

Insane

persons who are afflicted with a serious mental disorder impairing their ability to function

Intoxication

persons who are under the influence of alcohol to the extent that their judgment may be impaired

actual custody of the body

physical possession of the dead human body

funeral establishment

place of business used in the care of preparatino for the funeral

morgue

place where bodies are kept until they are released for disposition

entombment

placing of remains in a crypt

Reporting form for merchandise inventory -

policy allowing periodic reporting of inventory on hand to vary coverage amount

Preneed Insurance

policy can only be used for funeral services

Defense Clause -

policy clause in which insurer agrees to defend insured against damage claims

Leasehold interest insurance -

policy protecting property lessee from paying a higher rent after fire damages a leased building

Double indemnity rider -

policy requiring insurer to pay twice the policy's ordinary face amount if death is by accidental means

Open policy -

policy the requires insured party to prove the actual loss sustained

body parts

portion of a human body for transplantation

Sample

portion of a whole mass that is the subject of transaction

Tenancy

possession of real or personal property by right or title, esp under an instrument such as a deed or will

eminent domain

power of a government to take private property for public use

authority

power to act for someone else

Injunctive powers

power to issue cease-and-desist orders

reverse discrimination

practice that is designed to help protected class but has the opposite effect on another protected class

Discovery

pre-trial steps taken to learn the details of the case•means of obtaining unprivileged information from the other party before a trial

Unit pricing

price stated per unit of measurement

Coinsurance -

principle that the insured recovers in ratio of insurance to amount of insurance required

Ethics

principles that determine the morality of one's conduct, motives, and duties•a set of moral principles or values governing individuals or groups•conforming to accepted professional standards of conduct

tort

private or civil wrong other than a breach of contract

tort

private wrong that injures another person in any way

Needlestick Safety and Prevention Act

procedures for protecting against needle sticks

probate

process where the estate is administered

Americans with Disabilities act

prohibits discrimination against handicapped people

Civil Rights Act of 1964

prohibits discrimination in employment based on race, religion, color, sex, or national origin

Community property -

property acquired during marriage that is owned separately and equally by both spouses

Tenancy by the entirety -

property co-ownership by husband and wife, each with right of survivorship upon death of the spouse

Joint tenancy

property is bought in joint, and if one party dies, the other party gets all without going through probate

estate

property of a deceased person

Lost property

property unintentionally left with no intention to discard

Abatement

proportional reduction of a legacy under a will when the assets are not enough to pay it in full

offer

proposal to make a contract

Fiduciary

protects another person's money in a trust

Gramm-Leach-Bliley Act

provides consumers the ability to control how their private financial info is used, and by whom only covers institutions involved in financial activities, not really funeral homes Disclosure is necessary for an FH if: routinely uses credit installment contracts for payment of pre or at need contracts acts as preneed ins agent assists in consumers obtaining loans from lenders to pay for funerals

contract carrier

provides transportation for compensation only to those with whom it desires to do business

restrictive covenant

provision in a deed limiting the use of property

Restrictive Covenants

provisions in deeds limiting use of property and prohibiting certain uses

justice of the peace

public officer who might investigate deaths

coroner

public officer whose investigates cause of death

irrevocable

purchaser may not cancel; once it place, it stays in place

estate

real and personal property of the deceased

Uniform Commercial Code

recognized as the most important statute in business law, it includes provisions which regulate certain sales of goods and negotiable instruments

abatement

reduction of a legacy under a will when assets are payable

cremation

reduction of body to inorganic bone fragment by intense heat

The false statement must be made to a 3rd person. Telling a 3rd person is called communication whereby the 3rd person must understand the statements are

referring to the plaintiff's goals and services to degrade their quality.

Forbearance

refraining from doing something

Rejection

refusal to accept

rejection

refusal to accept

Privity of contract

relationship between contracting parties

degree of kindred

relationship to decedent of his relatives

reciprocity

relationsihp between two states where each extends some privileges of licensure to licensees of the other state

frustration of purporse doctrine

releases a party when performing the obligation would be senseless

disinterment

removal of human remains previously buried

Cram down -

reorganization plan imposed by court in spite of creditors' objections

Model

replica of an article

Confusion of source

representing goods or services as being those of another

engaged to wait

required to be ready to go when on call

Needlestick safety and prevention act

required to have plan, set forth measures to reduce sticks

statute of frauds

requires certain contracts to be in writing to be enforceable

condition precedent

requires performance of promises before the other party is obligated to pay anything

FTC Door to Door Regulation

requires sellers to notify customers that they have the right to cancel the sale at any time prior to midnight of the third business day after the date the contract is signed

If the contract is voidable you may

rescind it or set it aside. This puts both parties back in the position they were in before the contract was made.

liability

responsibility for wrongful acts

Liability

responsibility for wrongful acts or other debts

Extended coverage -

riders to a fire insurance policy covering loss from additional risks

Contribution -

right of coguarantor to recover excess of proportionate share of debt from other coguarantors

Indemnity -

right of guarantor to be reimbursed by principal; compensation for loss sustained

Subrogation -

right of insurer to assume rights of insured

License -

right to do certain acts on another's land

Redemption -

right to free property from lien of mortgage; buying back one's property after default

Last clear chance rule -

rule allowing negligent driver to recover if the other driver had one last clear chance to avoid the accident

Comparative negligence -

rule that contributory negligence reduces, but does not bar recovery from a negligent person

-• Law merchant

rules applied by courts set up by merchants in early England, prior to 1400

Secured Credit Sales -

sale in which seller retains right to repossess goods upon default

Auction

sale of property or goods to the highest bidder, or the bidder's agent, translated orally

Sale on approval

sale that is not completed until buyer approves goods

Destination contract

sales contract in which seller is liable until the goods are delivered to the destination

Bonds

sealed, written contract obligation with essentials of note

mortgage

secured loan on real estate

Mortgage

secured loan on real estate; if one or more payment is missed the note is payable

tying arrangement

seller requires the purchase of an unwanted item to obtain a desired good or service

Perfected security interest -

seller's right to collateral that is superior to third party's right

Building codes

set forth requirements for construction, mtc, operation, occ, use, or appearance

Rogue program

set of software instructions that produces abnormal computer behavior

subchapter S corporation

shareholders elect to be taxed as a partnership without losing corporation status

Check truncation

shortening a check's trip from the payee to the drawee bank and then the drawer

Overtime pay

should be no less than 1.5x reg pay

Pirated software

software copied illegally

State trust laws

some states practice their policy power by requiring that preneed funds be placed in a trust until the time of death

special agent

someone authorized by the principal to execute specific acts

Nuisance

something that annoys and disturbs one in possession of his property, rendering its ordinary use physically uncomfortable to him, interferes with his use of his property

Secondary meaning

special meaning of a mark that distinguishes goods, in such a way as to warrant trademark protection

Nonresellable goods

specially made goods not easily resellable

The statement must have been made maliciously proving malice as a result of:

spite, hostility or ill will with intention of causing harm to the plaintiff.

intestate

state or condition of dying without having made a will

Warranty -

statement of insured that relates to risk and appears in an insurance contract

misrepresentation

stating an untrue fact

Misrepresentation

stating an untrue fact•false statement of a material fact•also called innocent misrepresentation when made innocently without any intention to deceive

statute of frauds

statute listing certain types of contracts which could only be enforced if in written form

americans with disabilities act

statute prohibiting discrimination against the disabled

Antitrust laws

statutes that seek to promote competition among businesses, especially in the same industry

novation

substitution of a new party for one of the original parties to a contract

intestate succession

succession of an heir at law to the property and estate of his ancestor when the latter has died without a will

Partition -

suit to divide joint tenancy or tenancy in common, filed by one owner against the other

Damages

sum of money a wrongdoer must pay to an injured party

quid pro quo sexual harassment

supervisor makes unwelcome sexual advances toward someone

Fidelity bond -

suretyship for someone who handles another's money

Larceny

taking and carrying property away without consent of the person in possession of the property

Receipt

taking possession of goods

Robbery -

taking property by force

Shoplifting

taking unpurchased goods from a store

Pawn

tangible personal property left as security for a debt

Personal property

tangible, movable property; about anything except real property, such as jewelry, furniture, etc

Tying arrangement

telling someone that performance of something is tied to their purchase of something else - unethical! illegal! Unless: Nondeclinable basic svc fee legal requirement (ie, embalming req'd in case of contagion) Impossible, impractical, or burdensome situation (ie, viewing of unembalmed body)

Binder -

temporary contract of insurance

federal unemployment tax act

temporary financial assistance is available to people who are unemployed through no fault of their own

Renewable term insurance -

term insurance renewable without physical examination

Quit claim deed

terminates your interest and conveys all of a person's right, title, and interest in the property described

Discharge

termination of a contract by performance, agreement, impossibility, acceptance of breach, or operation of law

amendment

testator adds or changes the will

Administrative law

that body of law created by federal and state administrative agencies to implement their powers and duties in the form of rules, regulations, orders, and decisions

Price

that consideration stipulated by contract, generally expressed in money or money's worth

Consideration

that which the promisor demands and receives as the price for a promise •what a promisor requires from another party as a price for a promise

Negotiation

the act of transferring ownership of a negotiable instrument to another party

Negotiation

the act of transferring ownership of negotiable instrument, by indorsement, delivery, or physical transfer

Express warranties

the actual and definite statement of a seller, either orally or in writing, at the time of the sale, guaranteeing a standard or level of performance

civil law

the body of law concerned with private personal rights

Debtors -

the business or individual who owes a debt

Execution

the carrying out or completion of some task

Novation

the change of one of the parties to a contract at the mutual agreement of the original parties•termination of a contract and substitution of new contract with same terms but a new party•the substitution of a new party for one of the original parties to a contract, such that the prior contract terminates and a new one substitutes for it

Service contracts

the contracting of services rather than goods

ademption

the extinction or withdrawal of a legacy under a will by an act equivalent to revocation

Burglary

the forcible breaking and entering of premises closed for business with the subsequent removal of cash or merchandise

Identified goods

the goods specified by the buyer and seller •goods picked to be delivered to the buyer

Plaintiff

the individual who initiates a civil action•person who brings action in a court

Eminent domain

the inherent power of a government to take private property for public use. Just compensation required in the US

Gross negligence

the intentional failure to perform a manifest duty in reckless disregard of the consequences as affecting the life or property of another

Fraud

the intentional or reckless false statement of a material fact, upon which the injured party relied, which induced the injured party to enter into a contract, to his or her detriment •inducing another to contract as a result of an intentional or recklessly false statement of a material fact

Fraud

the intentional or reckless false statement of a meterial fact, upon which the injured party relied which induced the injured party to enter into a contract, to his or hers detriment.

Contractual Capacity

the necessity that the parties desiring to enter into contracts meet all requirements

Assignor

the party making the assignment

Payee

the party to whom any negotiable instrument is made payable

Assignee

the party to whom the assignment is made•person to whom contract right is assigned

Bailee

the party who acquires possession, but not the title, of personal property in a bailment •person in possession of bailed property

Bailor

the party who gives up possession, but not the title, of personal property in a bailment •person who gives up possession of property when there is a bailment

Offeror

the party who initiates, or makes, an offer

Indorser

the payee of a note or draft transferring the instrument to another party •one who indorses a negotiable instrument •a person or company whose name is written on the back of a check •the person who writes his or her name on back of a negotiable instrument

Defendant

the person against whom legal action is brought•person against whom a legal case is filed

Offeree

the person to whom an offer is made

Maker

the person who executes a promissory note •an individual who promises to pay on a promissory note •an individual who signs a promissory note

Drawer

the person who executes any draft •a person (depositor) who signs a check, ordering a payment to be made

Drawee

the person, company, or financial institution ordered to pay a draft •a person or concern, usually a bank, that has been ordered to make a payment on a check or draft

Stare decisis

the principle that the decision of a higher court should serve as a guide or precedent and control the decision of a similar case in the future•principle that a court decision controls the decision of a similar future case

Beneficiary -

the recipient of the proceeds of a life insurance policy ; one who inherits property as specified in a will ; person entitled to income or enjoyment of trust property

Disaffirmance

the repudiation of, or election to avoid, a voidable contract

Indorsement

the signature or statement of purpose by the owner on the back of a negotiable instrument, which indicates the future control of the instrument •signature of holder on back of instrument with any directions or limitations •the signature of the payee or other holder placed on the back of a check or other negotiable instrument

Revocation

the testator takes it back

Bailment

the transfer of possession, but not the title, of personal property by one party to another, under agreement •transfer of possession of personal property on condition property will be returned

Sale

the transfer of title to goods from the seller to the buyer for a consideration called the price

Complaint (petition)

the written request which initiates a civil lawsuit•written request to a court to settle a dispute

quasi-property theory

theory that says that body is property for the purpose of disposition only

Executed contracts

those contracts in which the terms have been fulfilled by the parties•fully performed contract

Executory contracts

those contracts in which the terms have not been completely executed or fulfilled by the parties•contract not fully carried out by all parties

Formal contracts

those contracts which must be in special form or produced in a certain way, such as under seal•contract with special form or manner of creation

Future goods

those goods which are not in existence nor identified at the time a contract is agreed to

Existing goods

those goods which are, at the time of the contract, in existence and owned by the seller

shareholders

those having title to one more more shares of stock in a corporation

Minors

those persons under full legal age•person under the legal age to contract•by most states (but not all) the standard is under the age of eighteen

Law

those rules of civil conduct commanding what is right and prohibiting what is wrong (Blackstone=s definition) a rule of action prescribed by an authority able to enforce its will governmental rule prescribing conduct and carrying a penalty for violation

Business law

those rules of conduct prescribed by government and its agencies in regulating business transactions

Private carrier

those who transport only in particular instances and only for those they chose to contract with •carrier that transports under special arrangements for a fee

Accretion -

titled addition to land when owner's land built up by gradual water deposits and water's action on land

Abandon

to discard personal property with no intention to reclaim

Rescind

to set a contract aside or cancel

Arrest

to take into police custody

nominal damages

token award to symbolize vindication of the wrong done to the plaintiff, generally the award is $1.00

unconscionable

too outrageous to be valid

Business tort

tort caused by or involving a business

Finance charge

total dollar amount borrower paid for credit

Unfair competition

total impression of product results in confusion as to product's origin

Delegation

transfer of duties from one person to another

Gift

transfer of ownership of property without consideration

Consignment

transfer of possession of personal goods for purpose of sale Estoppel -•occurs when one party leads the second to a false conclusion that the second party relies on •the second party would be harmed if the first party were later allowed to show the conclusion was false

sale

transfer of title from the seller to the buyer

Negotiability

transferability

Guests

transient received by hotel for accommodations

Carrier

transporter of goods, people, or both

Federal district court

trial court of the federal court system

Inferior court

trial court that hears only cases involving minor offenses and personal disputes

The Robinson-Patman Act prohibits price discrimination

true

When a unilateral mistake of fact has been made, the mistaken party may sometimes receive relief.

true

Several contracts

two or more people individually agree to perform obligation

Alteration

unauthorized change or completion of negotiable instrument to modify obligation of a party

Conversion -

unauthorized exercise of ownership rights; obtaining possession of property and converting it to one's own use

Conversion

unauthorized exercise of ownership rights•obtaining possession of property and converting it to one's own use

Hacker

unauthorized outsider who gains access to another's computer system

Computer trespass

unauthorized use of, or access to, a computer

Trademark or trade name infringement

unauthorized use or imitation of another's mark or name

commercial impracticability

unforeseen hardship has come up that would place a hardship on one party

A one party mistake is a

unilateral mistake.

Debenture

unsecured bond or note issued by a business

Covenants

usually in housing additions; enforced by inhabitants, like an HOA

State laws that limit the rate of interest that may be charged for the use of money are called

usury laws

assault

victim placed in fear without physical contact

forfeiture

voluntarily relinquishing the property; repossession

partnership

voluntary association of two or more people

implied warranties

warranties imposed by law that arise automatically when the sale is made

Full warranties

warranty with unlimited duration of implied warranties, with an agreement to remedy any defects in products

Durable power of attorney

when a person executes a power of attorney which will become or remain effective if the person should later become disabled

Dishonor

when a presentment is made, but acceptance or payment not yet made

Composition of creditors

when all of multiple creditors settle in full for a fraction of the amount owed

Consumer Credit

when an FH extends credit to natural person OR requires payments by 4+ installments

Finance Charges

when imposed, is deemed to be extending credit late charges imposed, discounts for prompt pmt imposed notify consumer consistent in practice

Tenancy in common -

when two or more persons own property and one dies, that owner's interest in the property passes to a person named in the deceased will or, if no will exists, to the deceased's heirs

non-guaranteed

will apply amount to current cost of service

Soldiers and Sailors will

will made in theater of military operations or at sea to dispose of personal estate; oral or written

Guaranteed contract

will provide service as amount paid

holographic will

will written entirely by the testator with his own hand

Concealment

willful failure to disclose pertinent information

Concealment -

willful failure to disclose pertinent information

ademption

withdrawal of an inheritance because defendant did not own the property at the time of death

intrastate

within a state

executrix

woman appointed by the will of a deceased person to carry out the provisions thereof and settle the estate

administratrix

woman who has been apointed by the court to settle an estate

testatrix

woman who makes a will

Trademark

word, symbol, devise, or combination of them used to identify and distinguish goods from other goods

Fair labor standards act

workers in interstate commerce must be paid no less than a minimum wage

Deeds -

writing conveying title to real property; instrument by which the grantor (owner of land) conveys or transfers title to a grantee

negotiable instrument

writing drawn in a special form that can be transferred from person to person as a substitute for money

commercial paper

writing drawn in a special form which can be transferred from person to person as a substitute for money

Financing statement -

writing with signatures and addresses of debtor and secured party and description of the collateral

Security agreement -

written agreement signed by buyer that creditor has a security interest in collateral

Policy -

written contract of insurance

Bill of exchange

written order by one person directing another person to pay a sum of money to a third person

draft

written order requiring a person to pay a sum of money

petition

written request initiating a civil suit

complaint

written request which initiates a civil law suite

contract to sell

seller agrees to transfer title to goods for a consideration at a future time

endorsement

signature of purpose by the owner on the back of a negotiable instrument

breach of contract

situation in which one of the parties of a contract fails or refuses to perform obligations outlined in the contract

discovery

steps taken to learn the details of a case

discharge

termination of a contract

donee beneficiary

third party beneficiary to whom no legal duty is owed and performance is a gift

arrest

to take into police custody

bailment

transfer of possession, but not the title, of personal property

assignor

party making the assignment

implied contract

contract in which terms are implied by acts of the parties

bilateral contract

contract that consists of mutual promises to perform some future acts

formal contract

contract that must be in a special form and is under a seal

express contract

contract where parties express their intentions at the time of agreement

executed contract

contracts in which the terms have been fulfilled

executory contract

contracts in which the terms have not been completely executed

independent contractor

contracts to perform certain tasks for a set fee, but is independent from control of the contracting party

appellate courts

courts hearing cases appealed from a lower court

common law

customs which have become recognized by the courts as binding on the community

judgment

decision of a court of law

close corporation

designation which applies to a corporation in which outstanding share of stock and managerial control are held by a limited number of people

bill of sale

document that provides written evidence of one's title to personal property

disaffirmance

election to avoid a voidable contract

intangible personal property

evidences of ownership of personal property

identified goods

goods specified by the buyer and seller

existing goods

goods that are in existence and owned by the seller

future goods

goods that are not in existence at the time of the contract

blank endorsement

having no word other than the signarture of the endorser

general partner

individuals actively engaged in the business and held to everyone as a partner

counteroffer

intended acceptance which changes the original offer and becomes the new offer

fraud

intentional false statement of a material fact

injunction

judicial order to forbid performance of a certain act

criminal law

laws dealing with crimes and the punishment of wrongdoers

antitrust

laws which seek to promote competition among businesses

misdemeanor

less serious criminal offense, generally punishable by fine and imprisonement of less than one year

duress

means of removing one's free will

board of directors

a body of persons elected by the stockholders to define and establish coporate policy

bear

a person in possession of an instrument

certificate of deposit

acknowledgement by a bank of a receipt of money with an agreement of repayment

express warranties

actual statement of a seller at the time of sale

booking

administrative step taken after an arrested person is brought to police station

implied authority

agent's authority to do things not authorized in order to carry out express authority

contract

agreement between two or more competent persons which is enforceable by law

accord and satisfaction

agreement made and executed in satisfaction of the rights one has from a previous contract

acceptance

agreement to an offer resulting in a contract

liquidated damages

amount of damages stipulated in a aconract to be paid in the event one party breaches the contract

foreign corporation

applies when a corporation operates in a state other than the one that granted the charter

apparent authority

authority an agent is believed by third parties to have because of the behavior of the principal

express authority

authority of an agent

compensatory damages

award paid to the injured party to cover the exact amount of their loss

malpractice

breach of contract by a professional person

corporation

business entity created by statutory law and owned by individuals known as stockholders

execution

carrying out a task

arraignment

charging a person with a crime and asking for that person's plea

cashier's check

check drawn on a bank's own funds and signed by a responsible bank official

certified check

check for which the bank assures that the drawer has sufficient funds to make a payment

limited liability company

combines beatures of corporation and partnership

bearer paper

commercial paper payable to the bearer

bill of lading

contract existing between the cosignor and the carrier

business law

rules of conduct prescribed by government and its agencies in regulating business transactions

crime

offense which is injurious to a society

answer

official document detailing a defendant's defense

holder

one in possession of commercial paper

alien corporation

one that is incorporated in a foreign country

consignee

one to whom goods are shipped by common carrier

assignee

party to whom to assignment is made

drawee

person ordered to pay a draft

endorsee

person who becomes the holder by endorsement

merchant

person who deals in goods of the kind

felony

more serious criminal offense that is punishable by death or imprisonment for more than one year

goods

movable, tangible personal property

contractual capacity

necessity that the parties desiring to enter into contracts meet all requirements

drawer

person who executes a draft

maker

person who executes a promissory note

creditor beneficiary

person who is not a party to a contract to whom to promisor of a contract owes an obligation or duty

endorser

person who writes his or her name on the back of an instrument

minor

persons under legal age

consideration

promisor demands and receives as the price for a promise

beneficiary

recipient of the proceeds of a life insurance policy

fiduciary

relationship of trust that exists between partners

appeal

request to a higher court to review a lower court's decision

law

rules of conduct commanding what is right and prohibiting what is wrong

consignor

one who chips goods by a common carrier

general agent

one who is authorized to execute the principal's business of a particular kind

domestic corporation

operates in the state that granted the charter

check

order by a depositor on the bank to pay a sum of money to a payee

limited partner

partners who have their liability limited to the amount of their investment

agent

party appointed by the principal to enter into a contract with a third party on behalf of the principal

bailee

party who acquires possession, but not the title, of personal property

employer

party who employs employees

bailor

party who gives up possession, but not the title, of personal property

defendant

person against whom legal action is brought

employee

person hired to perform work