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consumer protection

accredited investor

Under federal law, an accredited investor is a special kind of investor that due to certain special circumstances or qualities—as the ones indicated in Rule 501 of Regulation D—is allowed to purchase or be offered to purchase unregistered securities.

adhesion contract

An adhesion contract, also known as a contract of adhesion, is a contract where the parties are of such disproportionate bargaining power that the party of weaker bargaining power could not have negotiated for variations in the terms of the contract.

adjustable rate mortgage (ARM)

Adjustable rate mortgage (ARM) is a type of mortgage where the interest rate changes over time. In contrast, fixed rate mortgages made for 15, 20, or 30 years, have a set amount of interest on the loan that does not change. ARMs come in many different forms. The typical ARM has a fixed interest rate for a specific amount of time.

alcohol

Alcohol is a class of chemical compounds consumed as a liquid by individuals for its intoxicating effect or used in industrial projects for its other unique properties. 

Absent any specific regulation, alcohol is treated like all other forms of personal property. However, the general rights of property are subject to the police power regulations of the state, local, and federal governments. 

bait and switch

A “bait and switch” takes place when a seller creates an appealing but ingenuine offer to sell a product or service, which the seller does not actually intend to sell. This initial advertised offer is “the bait.” Then the seller switches customers from buying the advertised product or service that the seller initially offered into buying a different product or service that is usually at a higher price or has some other advantageous effect to the advertiser.

basis of the bargain test

Basis of the bargain test is used by the courts to ask if any promise or affirmation, any description of the goods, or any sample or model of the goods displayed by a seller “became a basis of the bargain” between a buyer and a seller to create an exp

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