In Quill Corp

question 132

Multiple Choice

In Quill Corp. v. North Dakota, a state sales tax was imposed on out-of-state firms doing mail-order business with North Dakota residents. This law was found:

• A) unconstitutional violation of the necessary and proper clause
• B) constitutional because it involves all mail-order firms
• C) constitutional because it involves interstate commerce
• D) unconstitutional violation of the First Amendment rights of the mail-order businesses
• E) none of the other choices are correct

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Definitions:

Stop Payment Order

A stop payment order is a request made to a bank or financial institution to cancel a check or payment before it is processed or cashed.

Holder In Due Course

A party possessing a negotiable instrument, such as a check or promissory note, who has certain rights to payment and is protected against some defenses if the instrument was acquired in good faith.

Authorized Representative

An individual or entity legally empowered to act on behalf of another person or organization.

Legal Entity

A legal entity refers to any company or organization that has legal rights and obligations, including the capacity to enter into contracts and loans, sue and be sued.