Introductory Business Law CLEP Prep Practice Exam

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Prepare for the CLEP Business Law Exam with flashcards and multiple-choice questions. Each question comes with hints and explanations to help you succeed. Master the content and pass your exam!

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What type of law governs business conducted between states?

Civil Law
Federal Statutory Law
Contract Law
Interstate Law

The correct answer is: Interstate Law

Interstate law, also known as Interstate Commerce law, is a type of law that governs business activities conducted between different states. It deals specifically with the regulation and control of trade, transportation, and other commercial activities that cross state borders. While civil law, federal statutory law, and contract law may all play a role in regulating business activities, they primarily govern transactions and cases within a single state. As such, they would not be the correct choice for a law that specifically deals with interactions between states.