Essentials of Business Law Chapter 12

  1. Blue laws
    State statutes and local ordinances that regulate the creation and performance of certain types of contacts on Sundays and legal holidays.
  2. Sunday agreement
    A contract made on a Sunday; in a small number of jurisdiction, such contrast are invalid unless they are ratified on a weekday.
  3. Gambling Agreement
    An agreement in which performance by one party depends on the occurrence of an uncertain event.
  4. Interest
    The charge for using borrowed money, generally expressed as an annual percentage of the amount of the loan (principal).
  5. Usury
    Charging interest higher than the law permits.
  6. Unlicensed Transaction
    An agreement with a person who does not have a required license.
  7. Champerty
    An agreement to encourage a lawsuit in which one or more of the parties have no legitimate interest.
  8. Exculpatory clause
    A statement in a contact that releases one party from liability resulting from his or her own negligence throughout the performance of a contract.
  9. Restraint of trade
    A limitation on the full exercise of doing business with others.
  10. Monopoly power
    A situation in which one or more people or firms control the market in a particular area or for a particular product.
  11. Sherman Antitrust Act
    A federal statute that forbids certain agreements that tend to unreasonably inhibit competition, fix prices, allocate territories, or limit production.
  12. Robinson-Patman Act
    A federal statute that makes it unlawful to discriminate, directly or indirectly, in matters involving product pricing, advertising, and promotion.
  13. Government-granted franchise
    A legal monopoly in which a state or federal government grants a person or firm  a license to conduct a specific business, usually an essential service.
  14. Franchisor
    The parent firm in a franchise agreement.
  15. Franchisee
    The independent company in a franchise agreement.
Card Set
Essentials of Business Law Chapter 12
Chapter 12