Law 2 and 4 Definition of Terms

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  1. It exists in those cases in which a person, without negligence, has signed an instrument which was in fact, a negotiable instrument, but was deceived as to the character of the instrument and without knowledge of it
    fraud in factum or in esse contractus
  2. An alteration made by a stranger to the instrument
  3. A separate paper attached to a negotiable instrument where an indorsement or the acceptance of a bill of exchne is written
  4. The authority for confession of jugment before the action is begun
    Warrant of attorney
  5. Any consideration sufficient to support a simple contract
  6. The counterfeit making or fraudulent alteration of any writing, and may consist in the signing of another's name, or the alteration of an instrument in the name, amount, description of the person and the like, with the intent to defraud
  7. Includes not only a promise to pay on the part of the maker but also grants permission to the payee to take jugment against the maker without trial if the maker fails to pay on maturity date
    Cogovit note
  8. The act of appointing another as one's agent or attorney and which operates as notice that an agent has a limited authority to sign
    signature by procuration
  9. The provision in a negotiable instrument which states that the whole amount on the instrument shall become ue in cae of default in the payment of an installment or of of interest
    acceleration clause
  10. Literally, "his pleading beng abandoned": it refers to a confession of judgment accompanied by withdrawal or defense
    relicta verificatione
  11. The party who executes the written promise to pay
  12. The payee or indorsee of a bill or note who is in possession of the instrument, or the bearer thereof
  13. A personal defense where party is deceived into signing for a larger amount than he intendedm or on different terms in a negotiable instrument
    fraud in inducement
  14. The act of informing the drawer and each indorser that an instrument has not be been accepte by the drawee, or that it has not been paid by the acceptor, in the case of bill exchange, or by the maker, in the case of promissory note
    Notice of dishonor
  15. An unconditional promise in writing made by one person to another, signed by the maker, engaging to pay on demander at a fixed or determinable furture time, a sum certain in money, to order or to bearer
    Promissory note
  16. The difference in value of the same amount of money n different countries
  17. A holder who takes the instrument free from defect or title of prior parties and free from personal defenses available to prior prties among themselves
    Holder in due course
  18. The person who executes the written order to pay a bill of exchange
  19. A bill exchange drawn on a bank which is payable on demand
  20. Literally, "he has confessed action : it refers to a written cofession of defendant acknowledging indebtedness to paintiff after action has been file
    Cognovit actionem
  21. An indorsement that constitutes the indorser a mere assignor of the title the instrument
    it is usually made by adding to the indorser's signature the words "withour recourse"
  22. The transfer of a negotiable instrument from one person to another in such a manner as to constitute the transferee the holder theorof
  23. An unconditional order in writing addresse by one person to another, signed by the person giving it, requiring the person to whom it is addressed, to pay on demand or at a fixed or determinable future time, a sum certain in money to order or bearer
    Bill of echange
  24. It takes place when an instrument or presented for payment but payment is refused or cannot be obtained
    Dishonor by non-payment
  25. The formal declaration drawn up and signed by notary the he presented a bill of exchange for acceptance or for payment and that it was refused
  26. An indorsement that specifies no indorsee and makes the instrument payable to bearer
    Blank indorsement
  27. The production of the bill of exchange to the drawee for acceptance
    Presentment for acceptance
  28. It grows out of the agreement or the conduct of a particlar person in regard to the instrument which renders it inequitable for him, though holding legal title, to entorce it against the defendant, but which is not available against a holder in due course
    Personal defense
  29. One that attaches to the instrument itself and can be set up against the whole world including a holder in due curse
    Real defense
  30. It takes place when a bill of echange is presented for acceptance and such acceptance is refused or cannot be obtained
    Dishonor by non-acceptance
  31. A method of transferring an instrument whereby the transferee is merely placed in the position of the transferor and acquires the instrument subject to all defenses that might have been set up against the original payee
  32. An indorsement that prohibits the further negotiation of the instrument, or constitutes the indorsee a mere agent of the indorser, or vests the title in the indorsee in trust for some other person
    Restrictive endorsemet
  33. The production of a promissory note to the party primarily liable on the instrument for the payment of the same, or of a bill of exchange to the drawee or acceptor for payment
    Presentment for payment
  34. One who gives valuable consieration for an instrument issued or negotiated to him
    Holder for value
  35. The first delivery of an instrument, complete in form, to aperson who takes it as holder
  36. The person who is given the command by the drawer to pay the payee
  37. The person or party to whom an instrument is negotiated by the indorsement
  38. The person who signifies his acceptance to the order of the drawer
  39. One that has knowledge of the conditions or limitaations placed upon the delivery of the instrument or the fact that the instrument was never delivered
    Immediate party
  40. Dating an instrument earlier than the date of issue
  41. An indorsement that is subject to the happening of a contingent event
    Conditional endorsement
  42. Aperson who transfers a negotiable instrument by means of an indorsement
  43. The party to whom a bill of exchange is drawn payable or in whose favor a promissory note is made payable
  44. An indorsement that specifies the person to whom or to whose order, the instrument is to be payable
    Special indorsement
  45. A person who, not otherwise a party to the instrument, places thereon his signature in blank before delivery
    Irregular or anomalous indorser
  46. He is one who has signed the instrument as maker, drawer. indorser or acceptor, without receiving value therefor, and for the purpose of lending his name to some other person
    Accomodation party
  47. The attribute that allows a negotiable instrument to be passed from one person to another so as to give a holder in due course the right to hold the instrument free from defect of title of prior parties and free from defences available to prior parties among themselves, and to enforce the full amount of the instrument against all parties liable thereon
  48. Dating an instrument later than the date of issue
  49. A bill composed of various parts, each part being numbere, and containing a reference to the other parts, all of which parts constitue but one bill
    Bills in set
  50. Ownership of a thing is transferred to the creditor to settle a monetary obligation.
    dacion en pago
  51. Lacks formalities but nevertheless shows the real intention of the parties to create a specific property to secure the performance of an obligation.
    equitable mortgage
  52. They refer to interchnageable goods such as garin, oil that allow one to be replace by another without loss of value
    fungible goods
  53. proof of perfection of a contract of sale
    earnest money
  54. includes warehouseman carrier or other person who receives thepossession or custody of the thing delivered
  55. Even professional inspection is not sufficient to discover it
    redhibitory defect
  56. Exercised by the seller by obtaining actual possession of the goods or by giving notice to the carrier or other bailee having actual possession of the goods
    stoppage in transitu
  57. It is made by thebuyer with knowledge of risk of eviction hence the seller will not have any liabiity if the buyer is evicted
    waiver intencionada
  58. ownership is transferred to buyer upon delivery but he has the option to revert such ownership to the seller
    sale or return
  59. Ownership of the thing sold is retained by the seller despite delivery to the buyer, but the latter agrees to pay the price if he finds the thing satisfactory
    sale on trial
  60. Delivery that takes place when the buyer who was in the possession of the thing sold at the time of sale continues in possession of the same as owner
    traditio brevi manu
  61. negotiated by indorsement
    order document of title
  62. sale of property to the highest bidder
  63. The party to a contract of sale who is obligated to transfer the ownership of and deliver a deterinate thing
  64. The consideration paid for the purpose of holding one to his promise to buy or sell a determinate thing for a certain period of time, which consideration is separate and distinct from the purchase price
    option money
  65. Applies to persons who under certain circumstances, cannot purchase certain property
    Relative incapacity
  66. The person obligated to pay the price of the thing purchased
  67. Delivery of a movable by mere agreement of the parties if the thing cannot be transferred to the vendee at the time of sale
    traditio linga manu
  68. Negotiated by mere delivery
    bearer ocument of title
  69. It is made by the buyer without knowledge of the risk of eviction
    waiver consciente
  70. The consideration of the contract is another thing
  71. Applies to persons who cannot bind themselves in a contract including a contract for sale
    absolute incapacity
  72. A document used as proof of the possession or control of the goods, or authorizing or purporting to authorize the possessor of the document to transfer or receive, either by indorsement or by delivery, the goods represented by such document
    document of title
  73. Right given to an adjoining owner of an urban land to purchase the same ahead of others if such land is held for speculation
    right of pre-emption
  74. Delivery through the execution of a public document
    legal formalities
  75. The deprivation by final judgment of the vendee of the whole or a part of the thing sold based on a right prior to the sale or an act imputable to the vendor
  76. Refer to goods to be manufactured, raised or acquired by the seller
    future goods
  77. The sale of hope or expectancy
    Emptio spei
  78. Includes one who has received as conditional payment for the goods a negotiable instrument but the condition has been broken by reason of the dishonor of the instrument or the insolvency of the buyer
    unpaid seller
  79. Include everything indespensable for sustenance, dwelling, clothing medical attendance, education and transportation
  80. The balance is payable in its entirely after the payment of an initial sum
    straight sale
  81. A contract for the delivery at a certain price of an article to be manufactured specially for the customer and upon his special order and not for the general market
    piece of work
  82. The sum stipulated as the equivalent of the thing sold
  83. The right to be subrogated upon the same terms an conditions stipulated the contract, in the place of one who acquires a thing by purchase or dation in payment or by any other transactionwhereby ownership is transmitted by onerous title
    legal redemption
  84. Seller's undetaking that the buyer shall enjoy legal and peaceful possession of the thing sold
    warranty against eviction
  85. A stipulation in a contract of sale involving an immovable that the sale is automatically rescinded upon failure by the buyer to pay the price
    pactum commissorium
  86. Delivery of the keys of the plce where a movable is kept or sold
    symbolic delivery
  87. Contract for the storage of goods for a compensation
    warehouse receipt
  88. Buyer's remedy which involves the proportionate reduction in the price of the thing purchased
    accion quanti minoris
  89. A unilateral promise to buy or sell a thing which is not accepted by the promisee
  90. An unpaid seller's righ to retain the goods for the price while he is possession of them
    possessory lien
  91. Remedy of a buyer to withdraw from the sale and ask for damages
    accion redhibitoria
  92. An encumbrance imposed upon an immovable for the benefit of another immovable belonging to a different owner
    easement or servitude
  93. a person employed by the seller or auctioneer to raise the price in an auction sale
    by-bidders or puffers
  94. A document issued by a common carrier acknowledging the receipt of the goods and agreeing to transport and deliver them to a specified place
    bill of lading
  95. Right of seller to repurchase the thing sold and the exercise of which was reserved by the seller at the time of sale
    conventional redemption
  96. Delivery which takes place when the seller continues in possession of the thing sold after the sale but as lessee depositary, or otherwise
    traditio constitutum possessorium
  97. The creditors are given the right to sell the debtor's properties and apply the proceeds to their respective claims
    payment by cession
  98. it has for its purpose the transfer to another person of the right to collect debt
    assignment of credit
  99. sale of an expected thing
    emptio rei sperati
Card Set:
Law 2 and 4 Definition of Terms
2012-07-11 14:26:10
Negotiable Instruments Sales

Business Law
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