The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

Category: A

AVIATION HAZARD

The additional hazards of flying that must be considered by insurers.

ADDITIVE EFFECT

A consequence of factors or agents acting in unison leading to a sum for each agent of factor.

ADEQUATE PROTECTION

When a debtor in bankruptcy provides some type of collateral to protect a claim holder from depreciation, pending the formulation of a repayment plan. Pending that plan, the debtor has continued possession

ADJUSTED BASIS

The base price used to determine capital gains or losses on an investment, generally including a deduction for commissions at the time of purchase or sale, along with adjustments for any STOCK

ADMINISTRATIVE LAG

The time it takes for an organization to recognize the problem and than solve it.

ADMITTED INSURER

An INSURER that is authorized to write INSURANCE business in a particular state or jurisdiction; the contracts it offers are classified as ADMITTED INSURANCE. Also know as AUTHORIZED INSURER, LICENSED CARRIER. See

ADVERSE BALANCE

When more money is taken out of an account than it has in it. This account is linked to a country not an individual.

ADVERTISING APPROPRIATION

The cost of advertising in an accounting period. Any advertising appropriate method is used for this figure.

ADVISED LINE

A BANK LINE that a financial institution approves and maintains for a customer. The size of the line is specifically conveyed to the customer, though availability depends on the terms of the

AEROBIC

A term meaning that an activity requires oxygen to complete its work. Refer to anearobic.

AFLOAT

Goods on a boat betwen the start and end of the journey.

AGENCY SHOP CLAUSE

When union members must pay a fee monthly. It is for employees of a company that requires employees to join the union.

AGILE MANUFACTURING

When a quick turn around is wanted from small batch lots. Information technology reduces cost and information flows to freely. Refer to manufacturing resource planning MRPII.

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