Module 4: Agency Flashcards Preview

MOS 2275: Business Law > Module 4: Agency > Flashcards

Flashcards in Module 4: Agency Deck (22)
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1

power of attorney

an agency agreement in writing and under seal; a special type of express agency agreement

2

insurance broker

an independent business that deals with several insurance companies and advises clients on the appropriate insurance coverage

3

limited partnership

a partnership in which the liability of some partners is limited to their capital contribution

4

limited liability partnership

a partnership in which the partners have unlimited liability for their own malpractice but limited liability for other partners' malpractice

5

franchise

an agreement whereby an owner of a trademark or trade name permits another to sell a product or service under that trademark or name

6

joint venture

a grouping of two or more businesses to undertake a particular project

7

strategic alliance

an arrangement whereby two or more businesses agree to cooperate for some purpose

8

sales agency

an agreement in which a manufacturer or distributor allows another to sell products on its behalf

9

product licensing

an arrangement whereby the owner of a trademark or other proprietary right grants to another the right to manufacture or distribute products associated w the trademark or other proprietary right

10

widely held corporation

a corporation whose shares are normally traded on a stock exchange

11

securities legislation

laws designed to regulate transactions involving shares and bonds of a corporation

12

closely held corporation

a corporation that does not sell its shares to the public (aka private corporation)

13

NUANS report

a document that shows the result of a search for business names

14

shelf company

a company that does not engage in active business

15

bond

a document evidencing a debt owed by thecorporation, often used to refer to a secured debt

16

debenture

a document evidencing a debt owed by the corporation, often used to refer to an unsecured debt

17

securities

shares and bonds issued by a corporation

18

conversion right

the right to convert one type of security into another type

19

prospectus

the document a corporation must publish when offering securities to the public

20

Insider trading

transactions in securities of a corporation by or on behalf of an insider on the basis of relevant material information concerning the corporation that is not known to the general public; carries a penalty of up to 10 years in prison

21

Insider

a person whose relationship with the issuer of securities is such that he is likely to have access to relevant material information concerning the issuer that is not known to the public

22

tippee

a person who acquires material information about an issuer of securities from an insider ; punishable by up to 5 years in prison