Peter, Age 17 and Employed by His Family-Owned Corporation, Is

question 49

True/False

Peter, age 17 and employed by his family-owned corporation, is covered under FICA.

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Definitions:

Lien Claim

A right granted by law to a creditor over the property of a debtor as security for the debt.

Bulk Sales Acts

Laws designed to protect creditors by regulating the bulk transfer of business assets outside the regular course of business.

Holdback Money

Funds retained by a party in a contract to ensure obligations are met before making full payment.

Privity of Contract

The principle that a contract cannot confer rights or impose obligations arising under it on any person or agent except the parties to it.