Legal Terms and Definitions

Fill in the blank: _______ is the legal responsibility for one’s actions or inactions that result in harm or damages.

• liability

• negligence

• immunity

• culpability

Charlotte works in a company where she must adhere to certain laws, regulations, and policies set by governing bodies. This practice is known as _______.

• Compliance

• Negligence

• Defiance

• Ignorance

In a classroom discussion, Rohan mentioned that _______ are rules established by government agencies to enforce laws and standards.

• Regulations

• Guidelines

• Suggestions

• Recommendations

Avery and Isla are starting a business together. Fill in the blank: _______ are legally binding agreements between two or more parties outlining rights and obligations.

• Contracts

• Agreements

• Promises

• Understandings

Ethan and Grace had a disagreement over a business contract. They decided to resolve it by taking legal action through a court. This process is known as _______.

• litigation

• mediation

• arbitration

• negotiation

Zoe is working at a company where she is responsible for ensuring that the business does not face potential legal or financial issues. She is tasked with the process of identifying, assessing, and reducing risks. What is this process called?

• Risk management

• Financial planning

• Market analysis

• Quality assurance

Fill in the blank: _______ is official permission granted by a governing body to conduct business or engage in specific activities.

• license

• permit

• authorization

• certification

Fill in the blank: _______ is monetary compensation awarded to a person who has suffered loss or injury due to another’s actions.

• damages

• interest

• penalty

• fine

What is Negligence?

• A legal concept involving a breach of duty of care

• A type of criminal offense

• An intentional act to harm someone

• A form of strict liability

Oliver's car was damaged in an accident. Indemnity is:

• a form of compensation for loss or damage

• a type of insurance policy

• a legal agreement

• a financial penalty