Book Opener

ight-to-work laws State laws that prohibit unionshops. (p. 444)risk of loss The responsibility for loss or damage togoods. (p. 278)robbery The wrongful taking and carrying away ofthe personal property of another through violenceor threats. (p. 68)Ssale Contract in which ownership of goods is transferred.(p. 268)Sarbanes-Oxley Act of 2002 An important act thatcontains rules regarding the reporting and corporategovernance of publicly traded companies. (p. 651)satisfaction The agreed-to settlement as contained inthe accord. (p. 170)seal A mark or an impression placed on a writtencontract indicating that the instrument was executedand accepted in a formal manner. (p. 173)secondary liability Liability to pay only after certainconditions have been met. (p. 568)secured loan Loan in which creditors obtain an interestin something of value from which they cansecure payment if the debtor does not pay. (p. 485)secured party The lender or seller who holds thesecurity interest. (p. 485)Securities and Exchange Commission (SEC)Independent agency created in 1934 that regulatesthe sales of securities and the brokers, dealers, andbankers who sell them. (p. 648)security Money investment that seeks to make aprofit solely because of another person’s efforts.(p. 648)security interest Interest that is given to creditors.(p. 485)servant Person whose conduct in the performance ofa task is subject to the control of another. (p. 394)severance pay Set amount of money to compensateemployees for being discharged. (p. 435)sex offense Any act in which a victim is sexuallyviolated against his or her will. (p. 64)share A single unit of ownership of a corporation.(p. 606)shareholder Person who buys one or more shares of acorporation. (pp. 606, 626)shareholder proposal A suggestion submitted by ashareholder about a broad company policy or procedure.(p. 631)shelter provision States that a holder who receives aninstrument from a holder in due course acquires therights of the holder in due course, even though heor she does not qualify as a holder in due course.(p. 562)shipment contract A contract under which a sellerturns goods over to a carrier for delivery to a buyer.Both the title and risk of loss pass to the buyerwhen the goods are given to the carrier. (p. 278)shoplifting The act of stealing goods from a store.(p. 69)sight draft Draft that is payable as soon as it is presentedto the drawee for payment. (p. 509)slander A false statement that is made orally to athird party. (p. 85)slight negligence Failure to use the care that personsof extraordinary prudence and foresight use.(p. 371)smart card Data card with a computer chip that canstore a large amount of data. Smart cards can holddebit and credit card balances and identificationinformation. (p. 492)Social Security Act The Social Security Act of 1935and its amendments set up a social insurance programfunded by contributions from both employersand employees. Employers must automaticallydeduct a certain amount from employee’s paychecks,contribute an equal amount, and send bothcontributions to the Internal Revenue Service.(p. 460)sole custody Gives all the parental rights, duties, andpowers to one parent. Under sole custody the childrenlive with one parent, and visitation rights aregiven to the noncustodial parent. (p. 703)sole proprietorship Form of business that is ownedand operated by one person. (p. 584)solemnize Ceremony or rite that formally recognizesan event such as a marriage. (p. 683)special agent Person who is employed to accomplisha specific purpose or to do a particular job. (p. 402)special indorsement Made by writing the words “payto the order of,” or “pay to,” followed by the nameof the person to whom the instrument is to be transferredand the signature of the indorser. (p. 547)828 Glossary