BUSINESS LAW TEST QUESTIONS AND ANSWERS
Negligence
The failure to exercise the standard of care that a reasonable person would exercise in
similar circumstances.
Duty of Care
The duty of all persons, as established by tort law, to exercise a reasonable amount of
care in their dealings with others. Failure to exercise due care, which is normally
determined by the reasonable person standard, constitutes the torts of negligence.
Reasonable Person Standard
The standard of behavior expected of a hypothetical "reasonable person". It is the
standard against which negligence is measured and that must be observed to avoid
liability for negligence.
Business Invitees
A person, such as a customer or a client, who is invited on to business premises by the
owner of those premises for business purposes.
Malpractice
Professional misconduct or the lack of the requisite degree of skill as a professional.
Negligence on the part of a professional, such as a physician, is commonly referred to
as malpractice.
Causation in Fact
An act or omission without which an event would not have occurred.
Proximate Cause
Legal cause. It exists when the connection between an act and an injury is strong
enough to justify imposing liability.
Assumption of Risk
A defense to negligence that bars a plaintiff from recovering for injuries or damage
suffered as a result of risks he or she knew of and voluntarily assumed.
Contributory Negligence
A rule in tort law, used in only a few states, than completely bars the plaintiff from
recovering any damages if the damage suffered is partly the plaintiff's own fault.
Comparative Negligence
A rule in tort law, used in the majority of states, that reduces the plaintiff's recovery in
proportion to the plaintiff's degree of fault, rather than barring recovery completely.
Res Ipsa Loquiatur
A doctrine under which negligence may be inferred simply because an event occurred,
if it is the type of event that wouldn't occur in the absence of negligence. Literally, the
term means "the facts speak for themselves.
Negligence Per Se
An action or failure to act in violation of statutory requirement.
Good Samaritan Statue
A state statue stipulation that persons who provide emergency services to, or rescue,
someone in peril cannot be sued for negligence unless they act recklessly and cause
further harm.
Negligence
The failure to exercise the standard of care that a reasonable person would exercise in
similar circumstances.
Duty of Care
The duty of all persons, as established by tort law, to exercise a reasonable amount of
care in their dealings with others. Failure to exercise due care, which is normally
determined by the reasonable person standard, constitutes the torts of negligence.
Reasonable Person Standard
The standard of behavior expected of a hypothetical "reasonable person". It is the
standard against which negligence is measured and that must be observed to avoid
liability for negligence.
Business Invitees
A person, such as a customer or a client, who is invited on to business premises by the
owner of those premises for business purposes.
Malpractice
Professional misconduct or the lack of the requisite degree of skill as a professional.
Negligence on the part of a professional, such as a physician, is commonly referred to
as malpractice.
Causation in Fact
An act or omission without which an event would not have occurred.
Proximate Cause
Legal cause. It exists when the connection between an act and an injury is strong
enough to justify imposing liability.
Assumption of Risk
A defense to negligence that bars a plaintiff from recovering for injuries or damage
suffered as a result of risks he or she knew of and voluntarily assumed.
Contributory Negligence
A rule in tort law, used in only a few states, than completely bars the plaintiff from
recovering any damages if the damage suffered is partly the plaintiff's own fault.
Comparative Negligence
A rule in tort law, used in the majority of states, that reduces the plaintiff's recovery in
proportion to the plaintiff's degree of fault, rather than barring recovery completely.
Res Ipsa Loquiatur
A doctrine under which negligence may be inferred simply because an event occurred,
if it is the type of event that wouldn't occur in the absence of negligence. Literally, the
term means "the facts speak for themselves.
Negligence Per Se
An action or failure to act in violation of statutory requirement.
Good Samaritan Statue
A state statue stipulation that persons who provide emergency services to, or rescue,
someone in peril cannot be sued for negligence unless they act recklessly and cause
further harm.
