BUSFIN 4510 FINAL EXAM WITH VERIFIED
SOLUTIONS
Save
Terms in this set (226)
Persons who engage in activities that are so inherently
dangerous that no amount of due care can make them
Strict Liability
safe are strictly liable, regardless of the degree of
care they used when undertaking the activity
Plaintiff must show that:
(1) The product was defective when sold
Strict Product Liability (2) The product was so defective that the product was
unreasonably dangerous
(3) The product was the cause of the plaintiff's injury
A means of extending credit; The borrower agrees in
Negotiable Instrument writing to repay his/her loan, and that document is a
negotiable instrument
(1) Be written
(2) Be signed by the maker or drawer
(3) Contain an unconditional promise or order to pay
a fixed amount of money, with or without interest or
Requirements for other charges described in the instrument; and no
Negotiability other undertaking or instruction given by the maker or
drawer, except as authorized by Article 3
(4) Be payable on demand or at a definite time
(5) Be payable to order or to bearer
(6) Be freely transferable from one person to another
, (1) Drafts
Types of Negotiable (2) Checks
Instruments (3) Certificates of Deposit
(4) Notes
Any symbol that a party executes or adopts in order
to authenticate a writing and doesn't need to be
handwritten, but must be on the instrument itself
Signature
The law presumes that a signature is authentic and
authorized, that is, made with the actual, implied, or
apparent consent of the person who is to be bound
by the signature
The promise or order is not limited or changed by a
clause or any other item contained within or
Unconditional incorporated into the instrument. Conditions include
typing payment to the occurrence of an event or to
the performance of an agreement
(1) The transactions or agreements that gave rise to
the instrument
(2) The instruments consideration
(3) A separate writing
(4) That the obligator waives the benefit of laws (e.g.,
on debt collection) intended for his benefit
Statements That Don't
(5)That rights concerning collateral, acceleration, or
Destroy Negotiability
prepayment are in a separate writing
(6)That the instrument is secured (but inclusion of the
security agreement or mortgage in the instrument
itself will make it conditional)
(7) That a confession of judgment is authorized upon
default
(1) An express condition of payment
Statements That Destroy
(2) A statement that the instrument is subject to or
Negotiability
governed by another agreement
, To constitute a fixed amount of money, the amount
must be expressly stated or readily verifiable from the
terms of the instrument. An amount is "fixed" even if it
Fixed Amount
includes a specified interest rate, installment
payments, particular discounts or additions, collection
costs, attorney's fees, or other charges
A negotiable instrument that does not state a time for
payment, states that it is payable on demand, or at
sight, or otherwise indicates that it is payable at the
Payable On Demand
will of the holder is a demand instrument (e.g., a
check). It becomes due (is to be paid) simply upon
being presented for payment
A "definite time" instrument may be payable:
• At a fixed date or dates
• At a fixed period after sight (presentment) or
acceptance
• At a time which was readily ascertainable when the
instrument was issued
Payable at a Definite Time • At a fixed or readily ascertainable time subject to (i)
prepayment, (ii) acceleration (advancing the date of
payment to a sooner, definite time), (iii) extension
(postponing the date of payment) at the holder's
option, or (iv) extension to a further definite time if by
the maker or acceptor or if automatic (upon or after a
specified act or event)
The payment time cannot be based on a special act
or event that is uncertain as to time of occurrence,
Payment Time
even though the act is certain to happen some time
(like a death)
Payable "To Order" (1) Pay to the order of A (an identified person)
Instruments (2) Pay to A or his/her order
SOLUTIONS
Save
Terms in this set (226)
Persons who engage in activities that are so inherently
dangerous that no amount of due care can make them
Strict Liability
safe are strictly liable, regardless of the degree of
care they used when undertaking the activity
Plaintiff must show that:
(1) The product was defective when sold
Strict Product Liability (2) The product was so defective that the product was
unreasonably dangerous
(3) The product was the cause of the plaintiff's injury
A means of extending credit; The borrower agrees in
Negotiable Instrument writing to repay his/her loan, and that document is a
negotiable instrument
(1) Be written
(2) Be signed by the maker or drawer
(3) Contain an unconditional promise or order to pay
a fixed amount of money, with or without interest or
Requirements for other charges described in the instrument; and no
Negotiability other undertaking or instruction given by the maker or
drawer, except as authorized by Article 3
(4) Be payable on demand or at a definite time
(5) Be payable to order or to bearer
(6) Be freely transferable from one person to another
, (1) Drafts
Types of Negotiable (2) Checks
Instruments (3) Certificates of Deposit
(4) Notes
Any symbol that a party executes or adopts in order
to authenticate a writing and doesn't need to be
handwritten, but must be on the instrument itself
Signature
The law presumes that a signature is authentic and
authorized, that is, made with the actual, implied, or
apparent consent of the person who is to be bound
by the signature
The promise or order is not limited or changed by a
clause or any other item contained within or
Unconditional incorporated into the instrument. Conditions include
typing payment to the occurrence of an event or to
the performance of an agreement
(1) The transactions or agreements that gave rise to
the instrument
(2) The instruments consideration
(3) A separate writing
(4) That the obligator waives the benefit of laws (e.g.,
on debt collection) intended for his benefit
Statements That Don't
(5)That rights concerning collateral, acceleration, or
Destroy Negotiability
prepayment are in a separate writing
(6)That the instrument is secured (but inclusion of the
security agreement or mortgage in the instrument
itself will make it conditional)
(7) That a confession of judgment is authorized upon
default
(1) An express condition of payment
Statements That Destroy
(2) A statement that the instrument is subject to or
Negotiability
governed by another agreement
, To constitute a fixed amount of money, the amount
must be expressly stated or readily verifiable from the
terms of the instrument. An amount is "fixed" even if it
Fixed Amount
includes a specified interest rate, installment
payments, particular discounts or additions, collection
costs, attorney's fees, or other charges
A negotiable instrument that does not state a time for
payment, states that it is payable on demand, or at
sight, or otherwise indicates that it is payable at the
Payable On Demand
will of the holder is a demand instrument (e.g., a
check). It becomes due (is to be paid) simply upon
being presented for payment
A "definite time" instrument may be payable:
• At a fixed date or dates
• At a fixed period after sight (presentment) or
acceptance
• At a time which was readily ascertainable when the
instrument was issued
Payable at a Definite Time • At a fixed or readily ascertainable time subject to (i)
prepayment, (ii) acceleration (advancing the date of
payment to a sooner, definite time), (iii) extension
(postponing the date of payment) at the holder's
option, or (iv) extension to a further definite time if by
the maker or acceptor or if automatic (upon or after a
specified act or event)
The payment time cannot be based on a special act
or event that is uncertain as to time of occurrence,
Payment Time
even though the act is certain to happen some time
(like a death)
Payable "To Order" (1) Pay to the order of A (an identified person)
Instruments (2) Pay to A or his/her order
