Contracts

Question 1

What are the characteristics of contract?

Answer 1

M - Mutuality
A - Autonomy
C - Consensuality
R - Relativity
O - Obligatories

Question 2

What happens when a third person already register the property on registry of Deeds before creditor?

Answer 2

He is the rightful owner

The third person has real rights

Question 3

What the essential elements of a contract?

Answer 3

Cause, object, consent (COC)

Question 4

What are real contracts?

Answer 4

Must be perfected by COC + delivery of the thing due

(ex: pledge, loan, deposit)

Question 5

What are formal or solemn contract?

Answer 5

Perfected by COC + formalities required by law

(ex: donation of real property)

Question 6

What are innominate contract?

Answer 6

It has no specific name in law.

Question 7

When does an offer becomes ineffective before acceptance?

Answer 7

D- Death
I- Insolvency
C- Civil Interdiction
I- Insanity

Question 8

An offer must be

Answer 8

communicated by letter, telephone or email.

Question 9

What are option contract?

Answer 9

Giving a person a consideration and period to accept the offer.

Question 10

Can the offerer withdraw the offer before acceptance?

Answer 10

Yes unless there is an option money

Option money - money paid in consideration for the option period.

Question 11

Who are the person’s incapacitated to give consent?

Answer 11

C - Civil interdiction (as if dead)
H - Hospitalized Lepers
I - Insane or demented person (except: lucid interval)
P - Prodigals/Spend Thrills
U - Unemanicaptaed minors (below 18 years old)
D - Deaf-mute

state of drunkenesss and hypnotic spell are voidable

Lucid interval - temporary period of sanity

Question 12

What are the vices of consent?

When the contract will be voidable

Answer 12

V - Violence
I - Intimidation
M - Mistake *
F - Fraud
U - Undue Influence

* Mistake should be substantial

F - using insidious words, machination
U - professional relationship (Ex: lawyer-client)

Question 13

What is the simulation of contract?

Answer 13

It is an act of deliberately deceiving others when in truth there the contract is non-existent

Question 14

There is no fraud when?

Answer 14

a. There is no duty to disclosed
b. No mere exaggerations in trade - ads
c. Mere expression of opinion - except if from expert.

Question 15

What are the object of contract?

Answer 15

It is the subject matter that should be lawful and possible

• Hope – with hope (√); vain hope (×)
• Inheritance - only present inheritance (√); future (×)
• Right - Transmissible (√); Intransmissible (×)

Question 16

What is the cause of contracts?

Answer 16

reason/purpose the parties entered in the contract (consideration)