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

Category: Finance Dictionary

K-COMMERCE

Knowledge Exchange as the basis of an economy where knowledge capital is the defacto currency, an underlying premise in knowledge-based economies .

KEY MAN RISK

The effect losing one important member of the team causes.

KEY-TESTED TELEX

Telex machine wire fund transfer messages authenticated using code (key) numbers. Contrast to modern digital data transfer. .

KITTING

Process of grouping, packaging, and shipping one unit comprised of several other finished good. For example, in ordering a PC online, the supplier builds a customized kit, assembled and shipped as one

KNOWLEDGE WORK

Specific information content or requirements distinguishing job, process, or task.

LADING

1. Transporting vessel receiving its cargo. 2. Transportation vessel’s loaded cargo for transport. The cargo’s carrier issues a receipt known as a bill of lading.

LANHAM ACT

Regulations on commercial activities involving trademarks. Federal regulations that ensure trademarks are unique to their users. It intends to reduce consumer confusion seeking to identify well-known goods or services. Also known as

LAST IN FIRST OUT (LLFO)

An approach where the last acquired product is the first one out for sale. Refer to first in first out.

LATEST DATE FOR PRESENTATION

Submittal deadline a beneficiary of a letter of credit (L/C) has for required documents to receive the payment. If the L/C has no specified, either the L/C validity date or the date

LAW OF STATISTICAL REGULARITY

Statistical observation that any anomaly can be discovered by comparing different or larger samples if the samples from a large group of the test population trend to the group’s characteristics. Also refer

LEAD INVESTOR

Typically the venture capitalist initiating the deal, acting on behalf of the other investors. Oftentimes it is the partner or investor with the largest share of capital in a syndicated financing arrangement.

LEADING ECONOMIC INDICATORS (LEI)

Ten underlying economic indicators as a composite index. Individually or combined, their trends predict changes in the economic cycle. Conference Board releases a report on this composite on or around the 20th

LEAST DEVELOPED COUNTRIES (LLDC)

Health care, literacy, and per capita income are criteria for the UN designating some of the world’s poorest countries (48 in 1995) as ‘least developed’. Africa, Asia and Pacific, and Haiti have

LEGAL PERSONALITY

Sum total of an individual’s legal advantages and disadvantages. Defined as the lawful characteristics and qualities of an entity. An example of these are a person’s age or asset ownership. From this,

LEND-LEASE

For a common cause or in mutual benefit, friendly parties exchange or transfer of goods and services to each other.

LETTER OF APPLICATION

Specified number of securities requested out of a new issue as an allotment is detailed in this document.

LETTER OF RENUNCIATION

An allottee-stockholder-shareholder issues this written notification, renouncing or transferring new-issue allotted securities or rights to an issue to other stockholder(s).

LEVEL OF SERVICE

Effort in providing service appropriate to satisfy customer needs and desires of clientele the firm wishes to attract and is not a profit killer. Measured amount and kind of service

LEVERAGED NOTE

A note that gives investors a possibility of returns through a coupon. Refer to inverse floating rate note.

LIFE CARE CONTRACT

In return for transferring a property to the caregiver, one or more persons are guaranteed lifetime care and maintenance, under this arrangement .

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