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

ADVANCE/DECLINE LINE (A/D OR AD)

A lined that is placed on a graph based on the advance decline ratio. The change in price traded is placed over time to determing placement of the line. Refer to advance

ADVANTAGE

A trait that is favorable for a company. It leads to success in the future. It is the exact opposite of a disadvantage.

ADVENTURE CAPITALIST

A business person who steps in to help another business. They are involved in many of the day to day transactions.

ADVERGAME

A video game with advertisements in it. Some games sole purpose is to advertise. Other times a sponsor is advertised. The internet has helped raise this type of advertisement.

ADVERSARY SYSTEM

The court system where a judge decides on a case argued by a prosecutor who is suing the plaintiff and the defense attorney who defends their plaintiff. A jury has also been

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.

ADVERSE DEVELOPMENT COVER

A FINITE INSURANCE CONTRACT where the INSURED shifts the timing of losses that have already occurred, as well as those that have been INCURRED BUT NOT YET REPORTED, to the INSURER. In

ADVERSE EFFECT

A negative effect caused by environmental factors. This occurs when the body reacts unfavorably to a sudden change.

ADVERSE FINANCIAL SELECTION

When cash is given for insurance policy due to extreme need on the insured’s part. The money may also be reinvested somewhere else.

ADVERSE POSSESSION

When a party claims ownership of a propety they have been in for more than 12 years. It can also be claimed on abandoned property or it can go unchallenged by the

ADVERSE SELECTION

When an insurance company covers someone who is lieing about a preexisting condition. The policy harms the company that took the application. AKA antiselection.

ADVERSE TRUSTEE

A party related to a person owning a trust. Or an employee who has interest in the company trust.

ADVERSE USE

Using property without owner permission. Commonly used in relation to easements and water authorities.

ADVERSE WITNESS

A witness who gives negative evidence against the party who called them as a witness. Refer to hostile witness.

ADVERTISE

Buying an advertisement to get new customers or improve relations with the old customers.

ADVERTISING COPY

The letters on any ad that are designed to get a buyers attention.The headline is most important here. Shorter is better but if well written a long ad will also be effective.

ADVISORY BOARD OF DIRECTORS

Parties in a company appointed to advise on a borad of directors. They are not legally responsible for what happens or are they elected.

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