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

Category: N

NEGOTIATION CREDIT

The issuer specifically states that this documentary credit is available by negotiation. The issuer’s owes this money as an obligation continued to its drawers, endorsers, and bona fide holder for value for

NET BOOK VALUE

As asset’s value as it appears in the company’s books. Calculate Net book value as the asset’s original cost minus accumulated depreciation.

NET IMPORTER

A location that is often a specific country or territory whose imported goods value exceeds goods exported value during a specific time range. When the imported goods’ total value exceeds exports’ total

NET PRESENT VALUE RULE

The investment is considered a profitable value If the net present value is calculated above zero. The investment is considered worthless If net present value is less than zero.

NET RETENTION

1. In Insurance, this is the insurance policies amount still on the books after subtracting cancellations and lapsed policies from new policies written. 2. In General business, this is the company’s employee

NETIQUETTE

Net etiquette. Proper Internet manners, especially during chatting (refer to internet relay chat). Always remember that a person like you is on the other end of this chat. A computer screen is

NEUROTOXIN

Behavioral, emotional, or body-movement motor abnormalities occur from an affected central nervous system when exposed to this specific type of biological or chemical substance, like mercury compounds.

NEW TRIAL

A higher, appellate court orders a case’s re-trial due to (1) judicial misconduct or jury misdirection, (2) procedural defect, or (3) available fresh evidence.

NEWSPAPER POLICY

Sold by newspaper advertisements with the aim of increasing circulation, this is a specific type of limited health insurance policy.

NINETY-DAY LETTER

Following an audit, the recipient has 90 days to respond to a tax deficiency or other discrepancy as detailed in this type of notice sent from the IRS. Tax collection activities are

NO FAULT COMPENSATION

Without having to prove any other party was at fault in an accident, an aggrieved party is awarded compensation. Workmen’s compensation is no-fault compensation. It is a legal rule in some jurisdictions.

NO-DOC LOAN

To complete this type of mortgage loan application, no supporting documentation is required. The interest rate common to such a loan is typically higher than full or reduced documentation loans. The borrower

NARROW MOAT

A small competitive advantage one company may have over other competing firms operating in the same or similar industries. A narrow moat provides a very limited economic benefit lasting a short time,

NEGATIVE AMORTIZATION

Expected condition with an increasing principal amount increases following each monthly installment payment. Graduated payment mortgages (GPM) designed to match young executives or professionals with low starting income but high, rapid growth

NEGOTIATION OF A BILL

A bill of exchange transfers to an entity that becomes the new holder from its current holder.

Topic Archives:

Disclaimer

This site contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.