1031 exchange (also called a tax-deferred exchange or a Starker exchange) refers to the ability of investors and organizations to replace one investment for a similar one instead of keeping the proceeds. For certain transactions, the exchange allows the investor or organization to defer capital gains taxes until the new investment is actually sold for the proceeds.

A/R is the abbreviation for accounts receivable.

[Last reviewed in June of 2022 by the Wex Definitions Team]

Ab initio is a Latin term that means "from the beginning” or “from inception.” Ab initio is used to indicate that some fact existed from the start of a relevant time period. It is often used as part of the phrase “void ab initio,” meaning something - such as a marriage - was void from the beginning.

[Last reviewed in June of 2022 by the Wex Definitions Team]

An “abandoned application” refers to the abandonment of a patent or trademark application.  An application is removed from the docket of pending applications at the U.S.

• patent law

Abandonment of a trademark occurs when the owner of the trademark deliberately ceases to use the trademark for three or more years, with no intention of using the trademark again in the future.

To abate means to eliminate or to nullify. 

This verb usually arises in the context of abatement.

[Last reviewed in October of 2024 by the Wex Definitions Team]

Abatement is the act of reducing or nullifying something. Multiple subjects throughout law are subject to abatement and the term appears in many locations.

An abatement clause is defined as a provision in a lease agreement that releases the tenant from paying rent if an act of God makes occupancy impossible or otherwise precludes the property from being used.

See also: Abatement

• property

Abercrombie classification, taking its name from the case Abercrombie & Fitch Co. v. Hunting World Inc., is a system designating how distinct a given trademark is for the purposes of intellectual property law.

• branding

To abrogate is to formally annul or repeal a law through an act of legislation, constitutional authority, or custom. For example, the Supreme Court of Michigan explained in Ferency v.

• lawsuits-court