Business Law: Torts, Contracts, and Intellectual Property

Comprehensive vocabulary flashcards covering torts, contract law, and intellectual property based on lecture notes for Chapters 7, 8, and 10.

Defamation

Wrongfully injuring another person's good reputation through false, harmful, and unprivileged statements made to others.

Slader

Oral defamation consisting of speaking false words.

Libel

A written false statement of fact about another person.

Intentional Infliction of Emotional Distress

Outrageous conduct that causes mental suffering to the victim.

False Imprisonment

The wrongful restraint of the personal liberty of another, such as having no warrant, an extended holding time, or blocking an exit.

Invasion of Privacy

Unlawfully or unjustifiably intruding upon another person's private life, personal information, or space.

Fraud

An intentional wrong where one party deliberately makes a false statement or omits a material fact to deceive another party, leading to justifiable reliance and subsequent financial or physical harm.

Conversion

The unauthorized taking of personal property of another and wrongfully exercising rights of ownership; major and permanent.

Trespass to Chattel

A brief, temporary unauthorized interference with personal-property rights of another; minor and temporary.

Assumption of the Risk

Defense where a plaintiff with knowledge of the facts of a dangerous condition voluntarily exposes themselves to the particular risk or injury.

Intentional Tort

A civil wrong where a person acts on purpose or with the desire to perform the action that causes harm.

Unintentional Tort

A civil wrong caused by carelessness or a failure to use reasonable care (negligence) rather than a deliberate act.

Good Samaritan Laws

State and local statutes that protect volunteer bystanders from civil liability when they step in to provide reasonable, uncompensated emergency assistance to someone who is injured, ill, or in danger.

Strict Liability

A standard where a person or business is held legally responsible for damage or injury without needing to prove fault, negligence, or bad intent ('liability without fault').

Compensatory (Actual) Damages

The amount awarded by a court to make good or replace the actual loss suffered by a plaintiff.

Special Damages

An amount awarded by a court to pay for monetary out-of-pocket losses resulting from specific circumstances, such as medical bills.

General Damages

An amount awarded by a court to pay the plaintiff for nonmonetary expenses that resulted from an injury without reference to specific circumstances, such as pain and suffering.

Punitive Damages

Extra money awarded to punish a defendant for exceptionally malicious, willful, or grossly reckless behavior and to deter similar conduct in the future.

Nominal Damages

A small amount of money awarded to the plaintiff when a legal right was violated but they did not suffer financial or physical harm.

Civil Assault

An intentional threat or attempt that places the victim in fear or apprehension of an immediate harmful or offensive touching.

Civil Battery

The harmful or offensive touching of another person without consent.

Executed Contract

A contract that has been performed fully by both parties.

Executory Contract

An agreement where one or both parties still have ongoing or pending obligations to perform in the future.

Void Contract

A contract that is completely invalid and unenforceable from the start.

Voidable Contract

A valid binding agreement that one party can choose to cancel or keep.

Enforceable/Valid Contract

A contract that meets all legal requirements and can be enforced in court.

Listing Agent

A licensed agent who enters an employment contract with the owner of real property to hunt for a buyer of the property on specified terms.

Foreclosure

The process by which secured real property is confiscated at the direction of the unpaid creditor and sold to the highest bidder.

Promissory Note

A written promise to pay a named person or to the bearer of the note a certain sum of money in the future.

Mortgage

A contract in which the buyer of real property gives a lender a lien or claim against the real property as collateral for a loan of money, often borrowed to pay part of the purchase price.

Deed of Trust

A deed used by a borrower (trustor) to transfer the legal title of real property to a disinterested stakeholder (trustee) to hold as security or collateral for the benefit of the lender (beneficiary).

Bilateral Contract

An agreement in which both parties exchange binding promises.

Unilateral Contract

An agreement in which only one party (the offeror) makes a binding promise, and the other party is obligated only upon completely performing the requested action.

Formal Contract

An agreement that must follow a strict, prescribed format or procedure (such as being written, signed, sealed) to be legally valid and enforceable.

Informal Contract

An agreement that does not require a special seal, complex written format, or official registration to be legally binding.

Duress

Any threat of, or actual, physical harm that deprives a person of the freedom of will to choose and decide, preventing the exercise of judgment.

Undue Influence

Wrongful persuasion, often by a fiduciary or other trusted individual, that deprives the victim of freedom of will in decision making.

Bilateral Mistake

A mutual mistake occurring when both parties share a fundamental misunderstanding about a material fact at the time the agreement is made, making it voidable.

Unilateral Mistake

A situation where one of the parties to a contract labors under an error regarding an important fact, leaving the contract valid and binding.

Exculpatory Clause

A contract provision that releases a party from liability for monetary loss or physical injury, regardless of who is at fault.

Express Contract

An agreement stated explicitly in words, whether spoken or written.

Implied Contract

A contractual agreement manifested by conduct or body language.

UCC Article 2

The legal article governing the sale of goods.

Common Law (Contracts)

Body of law governing contracts for services, real estate, employment, and intangibles.

Promisor

The person who makes a contractual promise.

Promisee

The person to whom a contractual promise is made.

Offeror

In contracts, the party who makes an offer.

Offeree

In contracts, the party to whom an offer is made by the offeror.

Unconscionable Contract

A contract with terms so unfair or one-sided that a court will refuse to enforce it because it goes against public policy.

Statute of Frauds

A state statute requiring certain types of contracts to be evidenced by a writing and signed by the party to be charged or an authorized agent.

Parole of Evidence Rule

A contract doctrine presuming that the contracting parties have included all previous desired oral or written understandings in their final written agreement.

Specific Performance

An equitable remedy requiring the breaching party to perform as promised when the subject matter is unique, such as real property or rare goods, and money damages are inadequate.

Liquidated Damages

An amount or formula specified in the contract that must be paid in the event of a breach.

Rescission and Restitution

An equitable remedy that cancels the contract and returns the parties to their positions before the agreement was made.

Reformation

An equitable remedy that rewrites the contract to reflect the parties' true agreement when the written instrument expresses it incorrectly.

Trade Dress

Distinctive visual characteristics of a business allowing a customer to identify the company without seeing its name (e.g., Walmart blue, Target red).

Copyright Infringement

The unauthorized use, reproduction, distribution, public display, or performance of a protected creative work without the consent of the copyright holder.

Piracy

A specific form of copyright infringement involving the unauthorized copying, downloading, or commercial redistribution of digital files, software, music, or films.

Trademark

A word, phrase, symbol, or design that identifies and distinguishes the source of goods and services; can last indefinitely if continuously used in commerce and renewed every 10 years.

Patents

A government-granted property right giving an inventor exclusive rights to stop others from making, using, selling, or importing an invention for a limited time.

Utility Patents

Patents granted for a new and useful process, machine, or article of manufacture.

Design Patents

Patents granted for a new, original, and ornamental design for an article of manufacture.

Plant Patents

Patents granted for the invention or discovery and subsequent asexual reproduction of any distinct and new variety of plant.

Copyright

Protection for creative works lasting for the life of the author plus 70 years, or 95 years for non-author copyright holders.

Fair Use Doctrine

A legal exception in copyright law that acts as a defense against copyright infringement, allowing the use of copyrighted material without permission.

Trade Secrets

Protected information (such as recipes) that is unknown, confers a competitive advantage on the owner, and can last indefinitely.

Real Property

Land, anything permanently attached or erected upon it, and the legal bundle of rights tied to its ownership; legally immovable and transferred through a deed.

Personal Property

Any movable item or intangible asset subject to ownership that is not classified as real property.

Tangible Personal Property

Physical items of personal property that you can touch, such as vehicles, furniture, and clothing.

Intangible Personal Property

Non-physical assets representing value or legal rights, such as stocks, bonds, bank accounts, and patents.

Service Mark

A mark that identifies and distinguishes the source of a service provided by a single business or person.

Collective Mark

A mark owned by an organization and used by its members to indicate group membership or show that goods/services meet group standards.