fbla business
law study guide
with correct
answers
2025/2026
A functional organizational structure - correct answerscentered on job functions, such as
marketing, research and development and finance. Small companies should use this when they
want to arrange their organizational structure by department. For example, a small company
may have a director, two managers and two analysts in the marketing department. The director
would likely report to the Chief Executive Officer, or CEO, and both managers would report to
the director. In addition, each manager may have an analyst reporting to them. It works well
when small companies are heavily project-focused.
Accord - correct answersAgreement, state of harmony
Adjudicate - correct answersTo hear and decide judicially; to judge
Agent - correct answersrequired to negotiate on behalf of the principal or bring him or her and
third parties into contractual relationship.
,Arbitration - correct answers(law) the hearing and determination of a dispute by an impartial
referee agreed to by both parties (often used to settle disputes between labor and
management)
Assignment - correct answersAn assignment (Latin cessio) is a term used with similar meanings
in the law of contracts and in the law of real estate. In both instances, it encompasses the
transfer of rights held by one party—the assignor—to another party—the assignee.[1] The
details of the assignment determines some additional rights and liabilities (or duties).
bill of exchange - correct answersA bill of exchange or "draft" is a written order by the drawer to
the drawee to pay money to the payee. A common type of bill of exchange is the cheque (check
in American English), defined as a bill of exchange drawn on a banker and payable on demand.
Bills of exchange are used primarily in international trade, and are written orders by one person
to his bank to pay the bearer a specific sum on a specific date. Prior to the advent of paper
currency, bills of exchange were a common means of exchange. They are not used as often
today.
Bill of exchange, 1933
A bill of exchange is essentially an order made by one person to another to pay money to a third
person. A bill of exchange requires in its inception three parties—the drawer, the drawee, and
the payee. The person who draws the bill is called the drawer. He gives the order to pay money
to the third party. The party upon whom the bill is drawn is called the drawee.
Bona-fide competition - correct answersA legitimate defense to wrongful interference
Breach of Contract Remedies - correct answersPunitive & Compensatory & Liquidation
Buyers select and agree to buy the goods @ sellers store - correct answersWhen payment for
goods take place at a later date, the transfer of title takes place when
, Case Law - correct answers(civil law) a law established by following earlier judicial decisions
Chapter 11 - correct answersBankruptcy provides a way for both individuals and businesses to
get a fresh financial start when debts become unmanageable. There are several types of
bankruptcy, differing in solutions to debt problems, and each "chapter" or type is generally
suited to a certain type of debtor.
Chapter 11 bankruptcy reorganizes and restructures the filer's debts, and is mainly used by
corporations. However, Chapter 11 can also be used by individuals. Find out if Chapter 11 is
right for you.
Charter - correct answersA permit issued to operate as a corporation; also known as certificate
of incorporation.
Child support - correct answersIn family law and public policy, child support (or child
maintenance) is an ongoing, periodic payment made by a parent for the financial benefit of a
child following the end of a marriage or other relationship. Child maintenance is paid directly or
indirectly by an obligor to an obligee for the care and support of children of a relationship that
has been terminated, or in some cases never existed. Often the obligor is a non-custodial
parent. The obligee is typically a custodial parent, a caregiver, a guardian, or the state.
Depending on the jurisdiction, a custodial parent may pay child support to a non-custodial
parent. Typically one has the same duty to pay child support irrespective of sex, so a mother is
required to pay support to a father just as a father must pay a mother. Where there is joint
custody, the child is considered to have two custodial parents and no non-custodial parents, and
a custodial parent with a higher income (obligor) may be required to pay the other custodial
parent (obligee).
Children's Rights - correct answersChildren's rights are the human rights of children with
particular attention to the rights of special protection and care afforded to minors,[1] including
their right to association with both parents, human identity as well as the basic needs for food,
law study guide
with correct
answers
2025/2026
A functional organizational structure - correct answerscentered on job functions, such as
marketing, research and development and finance. Small companies should use this when they
want to arrange their organizational structure by department. For example, a small company
may have a director, two managers and two analysts in the marketing department. The director
would likely report to the Chief Executive Officer, or CEO, and both managers would report to
the director. In addition, each manager may have an analyst reporting to them. It works well
when small companies are heavily project-focused.
Accord - correct answersAgreement, state of harmony
Adjudicate - correct answersTo hear and decide judicially; to judge
Agent - correct answersrequired to negotiate on behalf of the principal or bring him or her and
third parties into contractual relationship.
,Arbitration - correct answers(law) the hearing and determination of a dispute by an impartial
referee agreed to by both parties (often used to settle disputes between labor and
management)
Assignment - correct answersAn assignment (Latin cessio) is a term used with similar meanings
in the law of contracts and in the law of real estate. In both instances, it encompasses the
transfer of rights held by one party—the assignor—to another party—the assignee.[1] The
details of the assignment determines some additional rights and liabilities (or duties).
bill of exchange - correct answersA bill of exchange or "draft" is a written order by the drawer to
the drawee to pay money to the payee. A common type of bill of exchange is the cheque (check
in American English), defined as a bill of exchange drawn on a banker and payable on demand.
Bills of exchange are used primarily in international trade, and are written orders by one person
to his bank to pay the bearer a specific sum on a specific date. Prior to the advent of paper
currency, bills of exchange were a common means of exchange. They are not used as often
today.
Bill of exchange, 1933
A bill of exchange is essentially an order made by one person to another to pay money to a third
person. A bill of exchange requires in its inception three parties—the drawer, the drawee, and
the payee. The person who draws the bill is called the drawer. He gives the order to pay money
to the third party. The party upon whom the bill is drawn is called the drawee.
Bona-fide competition - correct answersA legitimate defense to wrongful interference
Breach of Contract Remedies - correct answersPunitive & Compensatory & Liquidation
Buyers select and agree to buy the goods @ sellers store - correct answersWhen payment for
goods take place at a later date, the transfer of title takes place when
, Case Law - correct answers(civil law) a law established by following earlier judicial decisions
Chapter 11 - correct answersBankruptcy provides a way for both individuals and businesses to
get a fresh financial start when debts become unmanageable. There are several types of
bankruptcy, differing in solutions to debt problems, and each "chapter" or type is generally
suited to a certain type of debtor.
Chapter 11 bankruptcy reorganizes and restructures the filer's debts, and is mainly used by
corporations. However, Chapter 11 can also be used by individuals. Find out if Chapter 11 is
right for you.
Charter - correct answersA permit issued to operate as a corporation; also known as certificate
of incorporation.
Child support - correct answersIn family law and public policy, child support (or child
maintenance) is an ongoing, periodic payment made by a parent for the financial benefit of a
child following the end of a marriage or other relationship. Child maintenance is paid directly or
indirectly by an obligor to an obligee for the care and support of children of a relationship that
has been terminated, or in some cases never existed. Often the obligor is a non-custodial
parent. The obligee is typically a custodial parent, a caregiver, a guardian, or the state.
Depending on the jurisdiction, a custodial parent may pay child support to a non-custodial
parent. Typically one has the same duty to pay child support irrespective of sex, so a mother is
required to pay support to a father just as a father must pay a mother. Where there is joint
custody, the child is considered to have two custodial parents and no non-custodial parents, and
a custodial parent with a higher income (obligor) may be required to pay the other custodial
parent (obligee).
Children's Rights - correct answersChildren's rights are the human rights of children with
particular attention to the rights of special protection and care afforded to minors,[1] including
their right to association with both parents, human identity as well as the basic needs for food,
