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

Category: E

ETHICAL

Depends of society’s moral code. Personal code often differs from public code and often differs from legal code. Meant to mean that which is equitable, fair, and just when dealing with people.

EUROCURRENCY

Any currency from a specific country that is deposited or traded in another country. Known as Eurodollars, Eurosterling, or Euroyen.

EUROPEAN LIFE SETTLEMENT ASSOCIATION (ELSA)

Group formed to assure life settlement transactions are executed compliant to standards and with fair treatment. By selling the policy value to a third-party, a life insurance policy owner initiates a life

EVENT MARKETING

Designing and developing a promotion for a product, cause, or organization. Tying a sporting event, music festival, fair, or concert with themed activity, an occasion, some display, or an exhibit.. Known also

EXACERBATE

Make a bad situation, condition, or result worse. An example is putting salt in a wound. It makes the pain worse (exacerbates the pain).

EXCESS LAYER

Any INSURANCE coverage that becomes effective once the INSURED

EXCHANGE FOR PHYSICAL (EFP)

A facility offered by certain EXCHANGES where two parties can agree to swap, off exchange, a FUTURES contract for a physical ASSET at the price quoted on the exchange. Before an EFP

EXCLUSIVE AGENCY AGREEMENT

Agreed-to, time-bound restriction for all involved parties to not make similar agreements with other, not included parties. Intent is to limit loss of capability and limit loss of intellectual capital while the

EXCURSION LIMIT

Specified, time-bound (typically 30 minutes), restricted exposure allowed to something unhealthy, even deadly. Meaningful especially in health and safety regulations.

EXECUTIVE DIRECTOR

A title typically in nonprofits than a commercial company. Usually a full-time employee in the role of working director finance, marketing, or operations. Position often scoped to allow for making director-level decisions.

EXIT FEE

An expense or penalty a consumer pays to a vendor for terminating an existing agreement. Typically done to gain some advantage by engaging another vendor or supplier. An example is the switching

EXPANSIONARY MONETARY POLICY

Fiscal policy intending to increase country’s money supply, building it higher than demand, then taking advantage of the increased capital to make tax cuts while increasing government spending to trigger spur economic

EXPECTED UTILITY

The weighted average utility value or satisfaction from income or wealth that is derived from a particular activity. Utility is generally used in an economic or theoretical RISK MANAGEMENT framework; precise measurement

EXPENSE RATIO

A total of fees paid periodically to a mutual fund divided by the total investment that shareholders or unit holders has. These fees are management fees, administrative fees, and operating expenses of

EXPERT DATABASE SYSTEM

Combining DBMS with expert systems software. It is used when special knowledge is needed to use it and information is shared or scattered. AKA base management system.

EXPLORATORY RESEARCH

When a research investigates a problem. It gives details where little information is available. Many methods are used to do this.

EXPORTER

The party that makes the export declaration document. They sell for another party in another country.

EXTENDED WAIT

Reinsurance that requires a reinsurer pay the benefits of a disability contract after the company has done for months.

EXTERNAL DEPENDENCE

Relying on an outside party that limits freedom of choice in the operation and strategy.

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