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

Category: F

FRACTIONAL SHARE

Dividend reinvestment plans use an accounting entry of less than one share of stock.

FRANK-EFFECT LEVEL (FEL)

Statistically significant increased severity or frequency of a level of exposure producing unmistakable and irreversible effects, impairment or mortality.

FREE PORT

Imported merchandise may be stored duty-free pending re-export or duty-paid entry into the importing country in this free-trade zone around a port area. Examples are Hong Kong, Isla Margarita, Panama, and Singapore.

FREEDOM OF CONTRACT

Able to enter into whatever type of legally binding agreement one wishes with no legal limitations other than being of legal age to do so.

FREEZE OUT

Leaving specific people or members out of decisions, or unable to make progress on work, or away from worthwhile information. Typically done by controlling or majority members of an organization against the

FREQUENCY DISTRIBUTION

Number of occurrences a value or series of values repeat in a dataset. Step-column charts or histograms, or a line chart or histograph is used to plot the distribution. An example is

FRIENDSTER

Launched in 2002. The predecessor to similar sites MySpace and Facebook. Social networking website whose popularity has declined due to competition. Intended to have worldwide individuals become friends through social, online communication

FRONT LOADED LEASE

Equipment or property lease time-bound with rental payments higher for the starting periods, but decreasing as the lease period winds down.

FUEL OIL

Residential, industrial, transportation energy source as a residual refinery product. Various types are classified by their specific gravity. The higher the specific gravity, the higher the category number. Heat energy in residences

FULL DISCLOSURE

1. In Accounting, this is the practice of disclosing all material facts truthfully and completely to avoid any misunderstanding. 2. In Patenting, this is the disclosure of all material facts to avoid

FULL SERVICE RESTAURANT

Provides complete and varied breakfast, lunch, and dinner menus, along with a wide selection of foods and beverages, and table service.

FUNCTIONAL ISOLATION

Ability to separate components or parts of a circuit or system. Intent is to protect as much of the associated circuit or system from a failure or malfunction in another associated or

FUNDING OPERATIONS

Transferring to long-term, fixed-interest debt, like bonds from short-term or floating interest investment vehicles.

FUTURE VALUE

Calculated future value of a current investment’s value using compounded, projected interest values. Or, calculated future value of a current investment’s value using discounts at projected discount rates.

FACE VALUE

The PRINCIPAL amount of a security; for standard securities transactions, face value, and PAR VALUE are often equivalent. Face value is distinguished from MARKET VALUE, although in many cases they converge to

FACULTATIVE

A process where a REINSURER can accept or reject coverage for individual RISKS presented for consideration by a CEDING INSURER. See also REINSURANCE.

FAKE CLAIMS

False insurance claims. It is done to profit from insurance.

FAMILY STYLE

Serving food in dishes that everyone can help themselves to.

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