Olaf Is the Creditor in a Transaction with Phil

question 4

Multiple Choice

Olaf is the creditor in a transaction with Phil. Once certain requirements are met, Olaf's rights will attach, which means that Olaf will have​

• A) ​an indivisible ownership right to Phil's property.
• B) ​an enforceable security interest in Phil's property.
• C) ​a notice affixed to Phil's property.
• D) ​the permission of a court to seize Phil's property.

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Definitions:

Sole Proprietor

is a business owned and operated by a single individual, where there is no legal distinction between the owner and the business entity.

Corporation

A legal entity that is separate from its owners, providing limited liability, and is able to own property, incur debt, sue and be sued.

General Partner

An owner of a partnership who is responsible for its operations and is liable for its debts without limitation.

Shareholder

An individual or organization that owns at least one share of a company's stock, making them a part owner of that company.