PART 1 Flashcards

Question

Sale v. Agency to Sell

Answer 1

(1) s - the buyer receives the good as the owner as - the agent receives the good and possesses temporary ownership until the principal owner gets the thing (2) s - buyer pays as - agency to account for proceeds of the sale he may make on behalf of the principal (3) s - buyer cannot return the object as - agent can return the object if he is unable to sell the same (4) s - there is warranty a - agent makes no warranty (5) s - buyer can enjoy the thing according to his own terms a - agent is responsible of taking care of the object according to the principal's demands (6) s - there is transfer of ownership a - there is only a transfer of authority

Answer 2

1. Consent a. Parties b. Capacity of the parties (absolute, relative) 2. Object or subject matter (things & rights)

Answer 3

A contract is a meeting of minds between two persons whereby one binds himself, with respect to the other, to give something or to render some service. (1305)

Answer 4

Consent is manifested by the meeting of the offer and the acceptance upon the thing and the cause which are to constitute the contract. The offer must be certain and the acceptance absolute. A qualified acceptance constitutes a counter-offer. 1319

Answer 5

A real contract requires the delivery of a thing. In a contract of sale, the contract is deemed perfected by mere consent.

Answer 6

Yes, but it is binding only between the buyer and the seller. It cannot affect 3rd persons. Legal basis: Arts. 1357 and 1358 (1)

Answer 7

Consent made in good faith.

Answer 8

Different laws would govern every kind, relationship, scope Ex: Condominium law

Answer 9

The object of the contract itself

Answer 10

The thing itself that is being sold

Answer 11

The service rendered by the worker because there is work especially done to customize the said order

Answer 12

Because it is a special form of payment wherein transmission or delivery of a thing is considered an equivalent of the outstanding debt to extinguish the obligation.

Answer 13

There is pre-existing credit in dacion en pago in sale, the obligation is created dacion en pago is a form of payment which presuposses debtor-creditor relationship contract of sale - suspensive dacion - resolutory

Answer 14

Art. 1468 - if party in money and thing, the parties shall determine if the contract is of sale or of barter. pero if no manifest intention, barter sya if the value of the thing given as a part of the consideration exceeds the amount of the money or its equivalent. Otherwise, it is a sale. - if partly money or thing, depende sa parties - if mas malaki yung value ng object to be paid than the value of the money to be paid, BARTER - if mas malaki yung value ng money to be paid than the object to be paid, SALE

Answer 15

1. unemancipated minors | 2. insane or demented persons and deaf-mutes who do not know how to write

Answer 16

(1) When a separation of property was agreed upon in the marriage settlements; or (2) When there has been a judicial separation of property under article 191.

Answer 17

(1) The guardian, the property of the person or persons who may be under his guardianship; (2) Agents, the property whose administration or sale may have been intrusted to them, unless the consent of the principal has been given; (3) Executors and administrators, the property of the estate under administration; (4) Public officers and employees, the property of the State or of any subdivision thereof, or of any government-owned or controlled corporation, or institution, the administration of which has been intrusted to them; this provision shall apply to judges and government experts who, in any manner whatsoever, take part in the sale; (5) Justices, judges, prosecuting attorneys, clerks of superior and inferior courts, and other officers and employees connected with the administration of justice, the property and rights in litigation or levied upon an execution before the court within whose jurisdiction or territory they exercise their respective functions; this prohibition includes the act of acquiring by assignment and shall apply to lawyers, with respect to the property and rights which may be the object of any litigation in which they may take part by virtue of their profession; (6) Any others specially disqualified by law. (1459a)

Answer 18

False. Despite consensuality, there may be forms required for the VALIDITY of a contract. It is not different to say that contract is valid and contract is perfected.

Answer 19

1. Negotiation - starting from the time the prospective contracting parties indicate interest in the contract 2. Perfection - concurrence of the essential elements 3. Consummation - performance of respective undertakings resulting to the extinguishment of obligation

Answer 20

Conditional sale - there is a condition imposed by the seller before there can be a transfer of ownership despite delivery of the thing. Before there is transfer, condition must be fulfilled first. But once a condition is fulfilled, the buyer becomes the absolute owner of the thing. Contract to sell - it is a special type of conditional sale where ownership does not automatically passes to the buyer upon fulfillment. Both the buyer and the seller must fulfill another agreement that will transfer ownership. Ex: Sale of a new car. If you buy a car through installment, hindi naman kayo agad ang owner ng car ah kasi di pa tapos bayaran. Pero once mabuo yun, mag eexecute ulit ng contract sa bank (if naka-mortgage sa bank) this time to transfer ownership from seller to buyer. In a conditional sale, once the condition is fulfilled, no need to execute deed of sale.

Answer 21

Ordinary contract of sale, once there is delivery, there is also transfer of ownership. If there is no condition imposed > absolute contract of sale.

Answer 22

Contract of Sale. Why? The seller did not reserve or make a condition on the ownership of the thing sold. Nothing in the facts say that upon full payment, there will be transfer of ownership. This is an absolute sale or contract of sale.

Answer 23

True. In a conditional sale or contract to sell, a condition must be clearly imposed. Otherwise, assumption is contract of sale because there is commutativeness or exchange of values. Ambiguity in contract is not appreciated so assumption will always be made that the contract is a contract of sale.

Answer 24

Rescission, not recovery of possession because there is no reservation of ownership.

Answer 25

Contract of sale. No condition. No reservation.

Answer 26

Not necessarily. Art. 1327 Article 1327. The following cannot give consent to a contract: (1) Unemancipated minors; (2) Insane or demented persons, and deaf-mutes who do not know how to write.

Answer 27

Unenforceable. Art. 1403 (3)

Answer 28

Real property in a contract. real value of property is bigger. to avoid paying higher taxes.

Answer 29

Juridical capacity is the fitness to be the subject of legal relations; it is inherent in every natural person. Capacity to act is the power to do acts with legal effect; it may be acquired and it may also be lost; it is acquired upon the attainment of the age of majority.

Answer 30

Voidable only

Answer 31

Any disposition of the conjugal property shall be void if without authority from the court especially if there are debtors of the family. This is an example of defrauding the creditors. Court authorization will now be required for you to sell that property.

Answer 32

1. Subject matter must have possibility of existence; 2. Subject matter must be determinate or, at least, determinable; 3. Subject matter must be licit; and 4. Vendor must have the right to transmit ownership at the time of delivery.

Answer 33

True. Such a sale is subject to the condition that the thing will come into existence. If the thing does not come into existence, the contract is deemed extinguished.

Answer 34

A thing is determinate when it is particularly designated or physically segregated from all others of the same class (Art. 1460, 1st par., NCC).

Answer 35

1. It must be real. 2. It must be certain. 3. In certain cases, the price must not be grossly inferior to the value of the thing (V Tolentino, 1992 ed., 13).

Answer 36

The sale between them is not prohibited if they are governed by a regime of complete separation of property, either pursuant to a marriage settlement or a decree of the court obtained in legal separation or in petition for judicial separation of property.

Answer 37

1. unemancipated minors | 2. insane/demented/deaf-mute

Answer 38

1. Husband & wife 2. Guardian & ward 3. Agent & principal unless principal gives consent 4. Executors & administrators 5. Public officers & employees 6. Justices, judges, prosecuting attorneys, clerks of superior and inferior courts, and other officers and employees connected with the administration of justice 7. Any others specially disqualified by law. 8. Seller (even on his behalf) in his own bid

Answer 39

YES. There is object, cause, consideration. Ownership will only be acquired through delivery. Despite the fact that the seller may be declared not the owner, at the time of sale, he WAS the owner and has the rights to sell. Pero if ultimately nadecide yung case against him, he will be liable for breach of warranty.

Answer 40

No, as long as the property was not the subject of litigation.

Answer 41

1. Aliens are disqualified to purchase private agricultural lands 2. unpaid seller who has been prohibited from buying the resale 3. officer conducting execution of sale

Answer 42

Not until the requirement of a dissolution of properties have been satisfied after legal separation.

Answer 43

Yes. He can sell as an agent to a 3rd person.

Answer 44

to know which remedy to use

Answer 45

If it's illegal, it is void. If it's a void contract, it can never be the subject of ratification.

Answer 46

a. consent object cause there is consent already no object but the object is CONSIDERED so the contract is valid future thing may be the object of a contract as long as it it will come into existence b. It depends. Article 1174. Except in cases expressly specified by the law, or when it is otherwise declared by stipulation, or when the nature of the obligation requires the assumption of risk, no person shall be responsible for those events which could not be foreseen, or which, though foreseen, were inevitable. OR Article 1170. Those who in the performance of their obligations are guilty of fraud, negligence, or delay, and those who in any manner contravene the tenor thereof, are liable for damages.

Answer 47

No. It only gives rise to obligations. Art. 712 Article 712. Ownership is acquired by occupation and by intellectual creation. Ownership and other real rights over property are acquired and transmitted by law, by donation, by testate and intestate succession, and in consequence of certain contracts, by tradition. They may also be acquired by means of prescription.

Answer 48

Yes. Article 777. The rights to the succession are transmitted from the moment of the death of the decedent.

Answer 49

``` It depends. If the seller only has one car, it is determinate. If the seller has many cars, Art. 1460 contemplates a thing among many other things - several things of the same class - applies only to a multiple # of the same class but in the problem given, it was not stated. Answer is dependent on the # of objects. ``` Assuming that there are a lot of cars involved, but the contract only mentioned "my car." What is the status of the contract? Art. 1349 and 1409 (6) VOID - another contract will necessitate the specificity of the object

Answer 50

It is not required at the time of the perfection of the contract, but only at the time of the delivery.

Answer 51

True. Ownership matters during consummation stage. Reason: Sale only creates title; it is delivery which serves as the mode of transferring ownership

Answer 52

The seller will only be liable for damages for breach of his obligation to transmit ownership to the buyer.

Answer 53

(1) ac - intangible s - tangible (2) ac - involves no transfer of ownership but merely effects the transfer of rights which the assignor has at the time to the assignee --> 3rd party steps into the shoes of the original creditor s - transfer of ownership (3) ac - may be done gratuitously or onerously s - gratuitous = donation so after transfer in ac, a definite 3rd person is obliged in s, the subject obliged is the whole world which must respect the title of the buyer ac onerous - exchange, dacion en pago (4) ac - consideration is not always a requisite s - consideration is a requisite (5) ac - title is transferred but possession need not be delivered s - there is a delivery of possession

Answer 54

credit or right assigned, price paid for the credit or right, agreement of the parties to the assignment of the credit or right at the agreed price

Answer 55

1. Renunciation - abandonment of right without a transfer 2. Agency - involves representation, not transmission wherein the agent acts for the principal 3. Substitution - change of a new debtor for the previous debtor with the credit remaining in the same creditor 4. Subrogation - change in the person of the creditor with the credit being extinguished

Answer 56

True. ex: phone & battery

Answer 57

The buyer becomes the co-owner of the thing sold. As a co-owner, the buyer acquires full ownership if his part and he may sell it.

Answer 58

When the ownership of an undivided thing or right belongs to different persons.

Answer 59

False. Not the thing which is the object that is the subject of condition. the sale itself is the condition.

Answer 60

Not necessarily because it can also be governed by donation or dacion en pago.

Answer 61

False. There are differences between a contract of sale and assignment. Assignment of credit requires delivery by public instrument but sale does not. Sale is always tangible as opposed to assignment of credits (intangible).

Answer 62

False. Assignment is different from subrogation. By sale, dacion en pago, exchange without the need of consent of creditors >> assignment. Consent is needed in subrogation.

Answer 63

(1) LS - not presumed, except in some cases CS - must be clearly established to take effect (2) LS - by operation of law CS - agreement between parties

Answer 64

(1) S: extinguishes the original obligation and gives rise to a new one A: refers to the same right which passes from one person to another (2) S: nullity of an old obligation may be cured such that a new obligation will be perfectly valid A: nullity of an obligation is not remedied by the assignment of the creditor's right to another (3) S: needs consent (conventional: original creditor, debtor, new creditor consent) A: no need for consent; mere notice is enough

Answer 65

No, Co’s defense will not prosper. This is not a case of subrogation, but an assignment of credit. ASSIGNMENT OF CREDIT is the process of transferring the right of the assignor to the assignee. The assignment may be done either gratuitously or onerously, in which case, the assignment has an effect similar to that of a sale (Nyco Sales Corp. v.BA Finance Corp. G.R No.71694. Aug.16, 1991 200 SCRA 637). As a result of the assignment, the plaintiff acquired all the rights of the assignor including the right to sue in his own name as the legal assignee. In assignment, the debtor’sconsent is not essential for the validity of the assignment (Art.1624; 1475, CC; Rodriguez v. CA, et al, G.R. No. 84220, March 25, 1992, 207 SCRA 553). ALTERNATIVE ANSWER: No, the defense of Peter Co will not prosper. Hadji Butu validly acquired his right by an assignment of credit under Article 1624 of the Civil Code. However, the provisions on the contract of sale (Article 1475 Civil Code) will apply, and the transaction is covered by the Statute of Frauds. (Art.1 403 par. (2) Civil Code)

Answer 66

True. Art. 1356 (De Leon) State will not allow land to be registered orally. Public document is required if need ng notice to the govt

Answer 67

True. 1627

Answer 68

a. yes b. it depends. if the contract was entered today, the contract would be valid despite the stipulation of yen. but if it was entered into prior to 1996 stipulation of yen must be converted (RA 8183)

Answer 69

Either both or one of them (with the consent of the other)

Answer 70

Yes. Only if the other party accepts it. If offer pa lang, wala pa perfection. Negotiation pa lang.

Answer 71

Yes. - may be voided not the same as voidable - no meeting of the minds if hindi mag-aaggree si A and B - may be voided if third person doesn't want to or is unable to fix the price

Answer 72

No. Because the remedy would be to go to court and ask for price. Art. 1469

Answer 73

Exceptions: price is determinable by its relation to a certain thing ex: price of the house when it was bought

Answer 74

General rule is that this is legally binding to the parties. Exceptions: when the person acted in bad faith (Art. 1469) or when the the 3rd person disregarded the specific instructions or procedure with fixing the price ex: Parties asked third person to look at the stock market and determine price from there unless the parties later on agree on the price

Answer 75

Art. 1474. Where the price cannot be determined in accordance with the preceding articles, or in any other manner, the contract is inefficacious. However, if the thing or any part thereof has been delivered to and appropriated by the buyer he must pay a reasonable price therefor. What is a reasonable price is a question of fact dependent on the circumstances of each particular case. Pag ginamit mo na, you can no longer return the item. ex: underwear pero dapat reasonable price padin (accdg to shared market value, consent of both buyer and seller)

Answer 76

All monetary obligations shall be settled in the Philippine currency which is legal tender in the Philippines. However, the parties may agree that the obligation or transaction shall be settled in any other currency at the time of payment.

Answer 77

In the case of coins in denomination of 1-, 5-, and 10-Piso they shall be legal tender in amounts not exceeding PHP1,000.00 while coins in denomination of 1-, 5-, 10-, and 25-Sentimo shall be legal tender in amounts not exceeding PHP100.00, pursuant to BSP Circular No. 537, Series of 2008.

Answer 78

It depends. If the person accepts it, ok lang.

Answer 79

True. Art. 1249. The payment of debts in money shall be made in the currency stipulated, and if it is not possible to deliver such currency, then in the currency which is legal tender in the Philippines. Regardless of the check issued, that is not a mode of extinguishing an obligation. the law requires that the check must be credited already to the account of the creditor.

Answer 80

Art. 1482 Money given by prospective buyer to manifest his interest to the property considered as part of the price

Answer 81

a. When earnest money is given, it shall be considered part of the price and proof of the perfection of the contract (Art. 1482, NCC). b. And it in effect exempts the sale from the requirement of the Statute of Frauds. Recall that the Statute of Frauds does not apply when the contract has already been performed, either partial or complete. If the contract does not push through, ibabalik yung earnest money.

Answer 82

em - part of purchase price; paid in a perfected sale | om - not part; separate contract; wala pang perfection

Answer 83

Injury or loss. In the civil law jurisdictions the word is often used in the context of an ‘unfair’ loss, as where an adult takes advantage of a minor or someone purchases something for much less than it's worth. art. 1470 and 1355

Answer 84

Lesion cannot be presumed, it shall be proven as a fact.

Answer 85

Except as it may indicate a defect in the consent, or that the parties really intended a donation or some other act or contract. Unless there has been fraud, mistake or undue influence (1355).

Answer 86

SC - parties to an alleged contract do not really intend to be bound by it, the contract is simulated and void.

Answer 87

True. 1475 1483. Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be inferred from the conduct of the parties. 1356. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present. However, when the law requires that a contract be in some form in order that it may be valid or enforceable, or that a contract be proved in a certain way, that requirement is absolute and indispensable. In such cases, the right of the parties stated in the following article cannot be exercised.

Answer 88

Nasa case to sa outline. Contention of Espino is untenable in this case

Answer 89

1. Sales of separate lots by auction are separate contracts of sale 2. Sale is perfected by the fall of the hammer 3. Seller has the right to bid in the auction, provided: a. such right was reserved b. notice was given that the sale was subject to a right to bid on behalf of the seller c. right is not prohibited by law or by stipulation 4. Advertisements for bidders are simply invitations to make proposals, and the advertiser is not bound to accept the highest or lowest bidder, unless the contrary appears.

Answer 90

The owner.

Answer 91

True. It is the secrecy of puffing which renders it a fraud upon bidding.

Answer 92

True. This is so because the agreement as to the manner of payment goes into the price, such that a disagreement on the manner of payment is tantamount to a failure to agree on the price.

Answer 93

From that moment on, the parties may reciprocally demand performance, subject to the provisions of the law governing the form of contracts. (Art. 1475, 2nd par., NCC). Exception: In conditional sales, the obligations of the parties are subject to the general law of obligations with respect to conditional ones. Accordingly, the acquisition of the rights of the vendor and the vendee, as well as the extinguishment of those already acquired, depends upon the event which constitutes the condition.

Answer 94

1. if prior to perfection - seller bears the loss, being the owner of the thing 2. if at perfection a. entirely lost - contract shall be without any effect b. partly only - buyer may choose to withdraw or demand for the remaining price/part c. specific good - buyer may treat sale as avoided or treat sale as valid 3. if after perfection but before delivery a. if loss without vendor's fault, obligation is extinguished b. if loss through fault of vendor, he is obliged to pay damages c. if thing deteriorates without fault of vendor, impairment is borne by buyer d. if thing deteriorates through fault of vendor, buyer may choose between rescission or fulfillment with indemnity for damages. 4. if after delivery - buyer's risk

Answer 95

Mere acceptance but without a promise to buy does not bind the promissor and may be withdrawn anytime.

Answer 96

An unaccepted unilateral promise to buy or sell. Even if accepted by the other party, it does not bind the promissor and maybe withdrawn anytime. This is a mere offer, and has not yet been converted into a contract.

Answer 97

A contract granting a privilege in one person, for which he has paid a consideration, which gives him the right to buy certain merchandise, at anytime within the agreed period, at a fixed price. An option without consideration is void and the effect is the same as if there was no option.

Answer 98

1. an accepted unilateral promise to sell in which the promisee (acceptor) elects to buy 2. an accepted unilateral promise to buy in which the promisee (acceptor) elects to sell 3. a bilateral promise to buy and sell reciprocally accepted in which either of the parties chooses to exact fulfillment

Answer 99

Neither S nor B is bound by any contract. Obviously, this is not the one contemplated in Article 1479.

Answer 100

A privilege existing in one person for which he has paid a consideration which gives him the right to buy/sell, for example, certain merchandise or certain specified property, from/to another person, if he chooses, at any time within the agreed period at a fixed price, or under, or in compliance with certain terms and conditions.

Answer 101

True. So full payment of price is not necessary for exercise of option to buy.

Answer 102

An option contract is a contract where one-person (the offeror/promissor) grants to another person (the offeree/promisee) the right or privilege to buy (or to sell) a determinate thing at a fixed price, if he or she chooses to do so within an agreed period. An Option Contract is a contract by which the owner of the property agrees with another person that he shall have the right to buy his property at a fixed price within a certain time. An option imposes no binding obligation on the person holding the option aside from the consideration for the offer. Until accepted, it is not treated as a sale. An option contract must be supported by a separate consideration that is either clearly specified as such in the contract or duly proven by the offeree/promisee.

Answer 103

In order to be enforceable by action, the following must be in writing: a. sale of property at a price not less than P500 b. sale of real property or an interest therein c. sale of property not to be performed within a year from the date thereof d. applicable statute

Answer 104

A legal concept that requires certain types of contracts to be executed in writing.

Answer 105

No. Formalities intended for greater efficacy or convenience or to bind third persons, if not done, would not adversely affect the validity or enforceability of the contract between the contracting parties themselves.

Answer 106

Article 1483. Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be inferred from the conduct of the parties. (n) Article 1403. The following contracts are unenforceable, unless they are ratified: (1) Those entered into in the name of another person by one who has been given no authority or legal representation, or who has acted beyond his powers; (2) Those that do not comply with the Statute of Frauds as set forth in this number. In the following cases an agreement hereafter made shall be unenforceable by action, unless the same, or some note or memorandum, thereof, be in writing, and subscribed by the party charged, or by his agent; evidence, therefore, of the agreement cannot be received without the writing, or a secondary evidence of its contents: (a) An agreement that by its terms is not to be performed within a year from the making thereof; (b) A special promise to answer for the debt, default, or miscarriage of another; (c) An agreement made in consideration of marriage, other than a mutual promise to marry; (d) An agreement for the sale of goods, chattels or things in action, at a price not less than five hundred pesos, unless the buyer accept and receive part of such goods and chattels, or the evidences, or some of them, of such things in action or pay at the time some part of the purchase money; but when a sale is made by auction and entry is made by the auctioneer in his sales book, at the time of the sale, of the amount and kind of property sold, terms of sale, price, names of the purchasers and person on whose account the sale is made, it is a sufficient memorandum; (e) An agreement for the leasing for a longer period than one year, or for the sale of real property or of an interest therein; ( f ) A representation as to the credit of a third person. (3) Those where both parties are incapable of giving consent to a contract. Article 1625. An assignment of a credit, right or action shall produce no effect as against third persons, unless it appears in a public instrument, or the instrument is recorded in the Registry of Property in case the assignment involves real property. (1526) Article 1356. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present. However, when the law requires that a contract be in some form in order that it may be valid or enforceable, or that a contract be proved in a certain way, that requirement is absolute and indispensable. In such cases, the right of the parties stated in the following article cannot be exercised. (1278a) Article 1357. If the law requires a document or other special form, as in the acts and contracts enumerated in the following article, the contracting parties may compel each other to observe that form, once the contract has been perfected. This right may be exercised simultaneously with the action upon the contract. (1279a) Article 1358. The following must appear in a public document: (1) Acts and contracts which have for their object the creation, transmission, modification or extinguishment of real rights over immovable property; sales of real property or of an interest therein are governed by articles 1403, No. 2, and 1405; (2) The cession, repudiation or renunciation of hereditary rights or of those of the conjugal partnership of gains; (3) The power to administer property, or any other power which has for its object an act appearing or which should appear in a public document, or should prejudice a third person; (4) The cession of actions or rights proceeding from an act appearing in a public document. All other contracts where the amount involved exceeds five hundred pesos must appear in writing, even a private one. But sales of goods, chattels or things in action are governed by articles, 1403, No. 2 and 1405. (1280a) Article 1874. When a sale of a piece of land or any interest therein is through an agent, the authority of the latter shall be in writing; otherwise, the sale shall be void. (n)

Answer 107

The contract was not perfected because of the time the acceptance was received, the parties were no longer of one mind.

Answer 108

Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be inferred from the conduct of the parties.

Answer 109

The following contracts are unenforceable, unless they are ratified: (1) Those entered into in the name of another person by one who has been given no authority or legal representation, or who has acted beyond his powers; (2) Those that do not comply with the Statute of Frauds as set forth in this number. In the following cases an agreement hereafter made shall be unenforceable by action, unless the same, or some note or memorandum, thereof, be in writing, and subscribed by the party charged, or by his agent; evidence, therefore, of the agreement cannot be received without the writing, or a secondary evidence of its contents: (a) An agreement that by its terms is not to be performed within a year from the making thereof; (b) A special promise to answer for the debt, default, or miscarriage of another; (c) An agreement made in consideration of marriage, other than a mutual promise to marry; (d) An agreement for the sale of goods, chattels or things in action, at a price not less than five hundred pesos, unless the buyer accept and receive part of such goods and chattels, or the evidences, or some of them, of such things in action or pay at the time some part of the purchase money; but when a sale is made by auction and entry is made by the auctioneer in his sales book, at the time of the sale, of the amount and kind of property sold, terms of sale, price, names of the purchasers and person on whose account the sale is made, it is a sufficient memorandum; (e) An agreement for the leasing for a longer period than one year, or for the sale of real property or of an interest therein; ( f ) A representation as to the credit of a third person. (3) Those where both parties are incapable of giving consent to a contract.

Answer 110

An assignment of a credit, right or action shall produce no effect as against third persons, unless it appears in a public instrument, or the instrument is recorded in the Registry of Property in case the assignment involves real property. (1526)

Answer 111

Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present. However, when the law requires that a contract be in some form in order that it may be valid or enforceable, or that a contract be proved in a certain way, that requirement is absolute and indispensable. In such cases, the right of the parties stated in the following article cannot be exercised. (1278a)

Answer 112

If the law requires a document or other special form, as in the acts and contracts enumerated in the following article, the contracting parties may compel each other to observe that form, once the contract has been perfected. This right may be exercised simultaneously with the action upon the contract. (1279a)

Answer 113

The following must appear in a public document: (1) Acts and contracts which have for their object the creation, transmission, modification or extinguishment of real rights over immovable property; sales of real property or of an interest therein are governed by articles 1403, No. 2, and 1405; (2) The cession, repudiation or renunciation of hereditary rights or of those of the conjugal partnership of gains; (3) The power to administer property, or any other power which has for its object an act appearing or which should appear in a public document, or should prejudice a third person; (4) The cession of actions or rights proceeding from an act appearing in a public document. All other contracts where the amount involved exceeds five hundred pesos must appear in writing, even a private one. But sales of goods, chattels or things in action are governed by articles, 1403, No. 2 and 1405. (1280a)

Answer 114

When a sale of a piece of land or any interest therein is through an agent, the authority of the latter shall be in writing; otherwise, the sale shall be void. (n)

Answer 115

enacted May 3, 1904, provides that, "No transfer of large cattle shall be valid unless registered, and a certificate of transfer secured as herein provided."

Answer 116

Public sale wherein people are to bid on the price they are willing to pay for the thing.

Answer 117

Before the fall of the hammer

Answer 118

a) the right shall be reserved from the beginning b) notice shall be given to the bidders c) right is not prohibited by law or stipulation

Answer 119

a. Yes, Marcelo has a cause of action against Sergio. As a rule, an offer can be withdrawn at any time before acceptance by communicating such withdrawal (Art. 1324) except when the option is founded upon a consideration as something paid or promised. In this case, although there was no separate consideration for the option, the offer had already been accepted and thus, it resulted into a perfected contract of sale between Marcelo and Sergio. Sale being a consensual contract is perfected by mere consent. b. No, Sergio cannot claim that the agreement cannot be enforced because it was not reduced into writing. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present. (Art. 1356) In fact when the law requires a document or other special form, as in the acts and enumerated by law, the contracting parties may compel each other to observe that form, once the contract has been perfected, and this right may be exercised simultaneously with the action upon the contract. (Art. 1357) Even an oral sale of a parcel of land is valid between the parties. - option contract lang kasi kaya valid. pero hindi pa naman yan sale of real property eh. - the bottle and the pulutan are valid options for a consideration - the law does not demand that option money shall be actual money

Answer 120

to reserve the property to the offeree until a certain period of time

Answer 121

- Yes. An option without consideration is void. P. 83 of De Leon. - Sanchez v. Rigos (case nasa outline) - There is a perfected contract of sale. What was given to Sanchez was mere offer in a period of 2 years. Option shall be founded on a consideration separate and distinct from a contract of sale. Otherwise, it can be withdrawn any time. - Consideration need not be money. But there MUST be a consideration. - There is a valid contract of sale despite the fact that there is a void option contract. OFFER. Contract of sale was manifested to have been perfected when the offer was accepted. So the offer can no longer be withdrawn.

Answer 122

No, because there was withdrawal.

Answer 123

No. Action for specific performance will not prosper because there was no more offer to be considered. There was a valid withdrawal. UNLESS inoffer ulit ni offeror.

Answer 124

Yes. Because the option contract is perfected and the parties are bound by such contract. - liquidated and actual damages.

Answer 125

Those that are inherent in the contract, and which in the absence of any contrary provision, are deemed to exist in the contract. 1. Warranty against eviction 2. Warranty against hidden defects 3. Subrogation

Answer 126

These elements may be present or absent depending on the stipulation of the parties (conditions, interest, penalty, time or place of payment)

Answer 127

Warranty in which the seller guarantees that he has the right to sell the thing sold and to transfer ownership to the buyer who shall not be disturbed in his legal and peaceful possession thereof. Art. 1548. Eviction shall take place whenever by a final judgment based on a right prior to the sale or an act imputable to the vendor, the vendee is deprived of the whole or of a part of the thing purchased. The vendor shall answer for the eviction even though nothing has been said in the contract on the subject. The contracting parties, however, may increase, diminish, or suppres's this legal obligation of the vendor.

Answer 128

Art. 1561. The vendor shall be responsible for warranty against the hidden defects which the thing sold may have, should they render it unfit for the use for which it is intended, or should they diminish its fitness for such use to such an extent that, had the vendee been aware thereof, he would not have acquired it or would have given a lower price for it; but said vendor shall not be answerable for patent defects or those which may be visible, or for those which are not visible if the vendee is an expert who, by reason of his trade or profession, should have known them.

Answer 129

No. An examination of the receipt reveals that the same can neither be regarded as a contract of sale nor a promise to sell. There was merely an acknowledgment of the sum P1,000.00. There was no agreement as to the total purchase price of the land nor to the monthly installments to be paid by B. The requisites for a valid contract of sale are lacking.

Answer 130

(1) Based on the facts, the parties had not arrived at a definite agreement. The only agreement they arrived at was the price indicated in the draft contract. The number of lots to be sold was a material component of the Contract to Sell. Without an agreement on the matter, the parties may not in any way be considered as having arrived at a contract under the law. (2) Moreover, since the five (5) checks were not encashed, B should have deposited the corresponding amount of the said checks as well as the installments agreed upon. A contract to sell, as in this case, involves the performance of an obligation, not merely the exercise of a privilege or a right. Consequently, performance or payment may be effected not by tender of payment alone but by both tender and consignation. It is consignation which is essential to extinguish B’s obligation to pay the balance of the purchase price. (see Arts. 1256-1258.) B did not even bother to tender and make consignation of the installments or to amend the contract to reflect the true intention of the parties as regards the number of lots to be sold.

Answer 131

The contract of sale is perfected at the moment there is a meeting of minds upon the thing which is the object of the contract and upon the price. From that moment, the parties may reciprocally demand performance, subject to the provisions of the law governing the form of contracts. (1450a)

Answer 132

A promise to buy and sell a determinate thing for a price certain is reciprocally demandable. An accepted unilateral promise to buy or to sell a determinate thing for a price certain is binding upon the promisor if the promise is supported by a consideration distinct from the price. (1451a)

Answer 133

When the offerer has allowed the offeree a certain period to accept, the offer may be withdrawn at any time before acceptance by communicating such withdrawal, except when the option is founded upon a consideration, as something paid or promised. (n)

Answer 134

Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be inferred from the conduct of the parties. (n)

Answer 135

The following contracts are unenforceable, unless they are ratified: (1) Those entered into in the name of another person by one who has been given no authority or legal representation, or who has acted beyond his powers; (2) Those that do not comply with the Statute of Frauds as set forth in this number. In the following cases an agreement hereafter made shall be unenforceable by action, unless the same, or some note or memorandum, thereof, be in writing, and subscribed by the party charged, or by his agent; evidence, therefore, of the agreement cannot be received without the writing, or a secondary evidence of its contents: (a) An agreement that by its terms is not to be performed within a year from the making thereof; (b) A special promise to answer for the debt, default, or miscarriage of another; (c) An agreement made in consideration of marriage, other than a mutual promise to marry; (d) An agreement for the sale of goods, chattels or things in action, at a price not less than five hundred pesos, unless the buyer accept and receive part of such goods and chattels, or the evidences, or some of them, of such things in action or pay at the time some part of the purchase money; but when a sale is made by auction and entry is made by the auctioneer in his sales book, at the time of the sale, of the amount and kind of property sold, terms of sale, price, names of the purchasers and person on whose account the sale is made, it is a sufficient memorandum; (e) An agreement for the leasing for a longer period than one year, or for the sale of real property or of an interest therein; ( f ) A representation as to the credit of a third person. (3) Those where both parties are incapable of giving consent to a contract.

Answer 136

1. Sale of property at a price not less than P500 2. Sale of real property or an interest therein 3. Sale of property not to be performed within a year from the date thereof 4. Applicable statute 5. Executory contracts 6. A special promise to answer for the debt, default, or miscarriage of another 7. Agreement made in consideration of marriage, other than a mutual promise to marry 8. Agreement for the sale of goods, chattels or things in action, at a price not less than 500 pesos, unless the buyer accept and receive part of such goods and chattels 9. Agreement for the leasing for a longer period than one year, or for the sale of real property or of an interest therein 10. Representation as to the credit of a third person 11. Sale of a piece of land or any interest therein done through an agent—such authority shall be in writing, otherwise the sale will be void

Answer 137

1. Assignment of a credit, right or action a. Shall be recorded in the Registry of Property if the assignment involves real property 2. Acts and contracts which have for their object the creation, transmission, modification or extinguishment of real rights over immovable property; sales of real property or of an interest therein are governed by Articles 1403 (2) and 1405 3. Cession, repudiation or renunciation of hereditary rights or of those of the conjugal partnership of gains 4. Power to administer property, or any other power which has for its object an act appearing or which should be appear in a public document, or should prejudice a third person 5. Cession of actions or rights proceeding from an act appearing in a public document

Answer 138

one which lacks the proper formalities, form of words, or other requisites prescribed by law for a mortgage, but shows the intention of the parties to make the property subject of the contract as security for a debt and contains nothing impossible or contrary to law

Answer 139

Sale is a consensual contract and is perfected by mere | consent.

Answer 140

Yes. The cause or consideration is not the P1.00 alone but also other valuable considerations. Although the cause is not stated in the contract it is presumed that it is existing unless the debtor proves the contrary. (Art. 1354.) This presumption cannot be overcome by a simple assertion of lack of consideration especially when the contract itself states that consideration was given, and the same has been reduced into a public instrument with all due formalities and solemnities. Moreover, even granting that the Quitclaim Deed is a donation, Article 741 of the Civil Code provides that the requirement of the acceptance of the donation in favor of a minor by parents or legal representatives applies only to onerous and conditional donations where the donee may have to assume certain charges or burdens.

Answer 141

Art. 1495 1. To transfer ownership and to deliver the thing which is the object of the sale (not waivable) 2. To warrant the thing which is the object of the sale (waivable and may be modified) 3. To deliver fruits and accessories 4. If contract of sale covers determinate object, seller, upon perfection of contract, is obliged to preserve the thing to be delivered (Art. 1163) **5. pay for the execution and registration of the sale unless there is a contrary agreement

Answer 142

1. owner 2. authorized seller 3. other seller, with consent of the owner Art. 1505

Answer 143

The buyer acquires no better title to the goods than the seller had, unless the owner of the goods is by his conduct precluded from denying the seller's authority to sell.

Answer 144

(1) The provisions of any factors' act, recording laws, or any other provision of law enabling the apparent owner of goods to dispose of them as if he were the true owner thereof; (2) The validity of any contract of sale under statutory power of sale or under the order of a court of competent jurisdiction; (3) Purchases made in a merchant's store, or in fairs, or markets, in accordance with the Code of Commerce and special laws.

Answer 145

Where the seller of goods has a voidable title thereto, but his title has not been avoided at the time of the sale, the buyer acquires a good title to the goods, provided he buys them in good faith, for value, and without notice of the seller's defect of title. Art. 1506

Answer 146

Article 1547. In a contract of sale, unless a contrary intention appears, there is: (1) An implied warranty on the part of the seller that he has a right to sell the thing at the time when the ownership is to pass, and that the buyer shall from that time have and enjoy the legal and peaceful possession of the thing; (2) An implied warranty that the thing shall be free from any hidden faults or defects, or any charge or encumbrance not declared or known to the buyer. This article shall not, however, be held to render liable a sheriff, auctioneer, mortgagee, pledgee, or other person professing to sell by virtue of authority in fact or law, for the sale of a thing in which a third person has a legal or equitable interest. (n)

Answer 147

Through estoppel an admission or representation is rendered conclusive upon the person making it, and cannot be denied or disproved as against the person relying thereon.

Answer 148

1. by pais | 2. by deed

Answer 149

When a person who is not the owner of a thing sells or alienates and delivers it, and later the seller or grantor acquires title thereto, such title passes by operation of law to the buyer or grantee.

Answer 150

Delivery Sale is not a mode, but merely a title. Sale by itself does not transfer or affect ownership; the most that sales does is to create the obligation to transfer ownership. It is tradition or delivery, as a consequence of sale, that actually transfers ownership.

Answer 151

1. vendee is deprived, in whole or in part, of the thing purchased 2. the deprivation is by virtue of a final judgment (final and executory and can no longer be appealed) 3. the judgment is based on a prior right to the sale or an act imputable to the vendor 4. the vendor was summoned in the suit for eviction at the instance of the vendee 5. no waiver of warranty by the vendee

Answer 152

the legal means by which dominion or ownership is created, transferred or destroyed

Answer 153

True. This is guided by the principle of estoppel.

Answer 154

When the person who is not the owner of a thing sells or alienates and delivers it, and later the seller or grantor acquires title thereto, such title passes by operation of law to the buyer or grantee.

Answer 155

a. Renren's action to recover possession of the land will prosper. In 1965, after buying the land from Robyn, he submitted the Deed of Sale to the Registry of Deeds for registration together with the owner's duplicate copy of the title, and paid the corresponding registration fees. Under Sec. 56 of PD No. 1529, the Deed of Sale to Renren is considered registered from the time the sale was entered in the Day Book (now called the Primary Entry Book). For all legal intents and purposes, Renren is considered the registered owner of the land. After all, it was not his fault that theRegistry of Deeds couldnot issue the corresponding transfer certificate of title. Mikaelo's defense of prescription cannot be sustained. A Torrens title is imprescriptible. No title to registered land in derogation of the title of the registered owner shall be acquired by prescription or adverse possession (Sec. 47, P.D. No. 1529). The right to recover possession of registered land likewise does not prescribe because possession is just a necessary incident of ownership. b. Mikaelo's defense of laches, however, appears to be more sustainable. Renren bought the land and had the sale registered way back in 1965. From the facts, it appears that it was only in 1998 or after an inexplicable delay of 33 years that he took the first step asserting his right to the land. It was not even an action to recover ownership but only possession of the land. By ordinary standards, 33 years of neglect or inaction is too long and may be considered unreasonable. As often held by the Supreme Court, the principle of imprescriptibility sometimes has to yield to the equitable principle of laches which can convert even a registered land owner's claim into a stale demand. Mikaelo's claim of laches, however, is weak insofar as the element of equity is concerned, there being no showing in the facts how he entered into the ownership and possession of the land.

Answer 156

False. (estoppel)

Answer 157

The contract of sale is voidable. Where one of the parties in incapable of giving consent to a contract, the contract is voidable. (Art. 1390, Civil Code.) It appears that only Jackie was incapacitated by virtue of her minority. Jackie cannot recover the property. First, since the contract is voidable, Jackie only had 4 years from the time she attained the age of majority to bring the action for annulment of the contract (Art. 1391, Civil Code). In this case, Jackie should have brought the action for annulment of the contract within four years after turning eighteen years old, or up until the age of twenty-two. Since she is already 25 years old, the period for bringing the action has prescribed. Second, Jackie may be considered to have actively misrepresented as to her age. Thus, she will be bound to the contract under the principle of estoppel.

Answer 158

Buyer acquires no title even if in good faith and for value under the maxim Nemo dat quid non habet (“You cannot give what you do not have”). Sale is a derivative mode of acquiring ownership and the buyer gets only such rights as the seller had. A derivative right cannot exist higher than its source.

Answer 159

1. Owner is estopped or precluded by his conduct 2. When sale is made by the registered owner or apparent owner in accordance with recording or registration laws 3. Sales sanctioned by judicial or statutory authority 4. Purchases in a merchant's store, fairs or markets 5. When a person who is not the owner sells and delivers a thing, subsequently acquires title thereto (Art. 1434) 6. When the seller has a voidable title which has not been avoided at the time of the sale (Art. 1506)

Answer 160

True. #1 exception

Answer 161

a. Yes, the suit will prosper because the criminal act of estafa should be deemed to come within the meaning of unlawful deprivation under Article 559, Civil Code, as without it plaintiff would not have parted with the possession of its car. b. The suit should prosper as to the recovery of the car. However, since Jerico was not guilty of any fraud and appears to be an innocent purchaser for value, he should be reimbursed for the price he paid. This is without prejudice to United Car Sales, Inc. right of action against Justine. As between two innocent parties, the party causing the injury should suffer the loss. Therefore, United Car Sales, Inc. should suffer the loss. c. Under the law on Sales, when the thing sold is delivered by the seller to the buyer without reservation of ownership, the ownership is transferred to the buyer. Therefore in the suit of United Car Sales, Inc. against Jerico for the recovery of the car, the plaintiff should not be allowed to recover the car without reimbursing the defendant for the price that the latter paid.

Answer 162

The possession of movable property acquired in good faith is equivalent to a title. Nevertheless, one who has lost any movable or has been unlawfully deprived thereof, may recover it from the person in possession of the same.

Answer 163

(a) By cross-reference to Article 1505, even if the owner of a movable has lost it or has been unlawfully deprived thereof, and even if he offers to reimburse the buyer, he cannot recover the movable from the buyer who bought it at a merchant store (b) By cross-reference to Article 1506, even if the owner of a movable has lost it or has been unlawfully deprived thereof, if the possessor in good faith acquired title from a seller who at the time of delivery had a voidable title thereto, then the original owner cannot recover the movable.

Answer 164

Tagatac cannot be deemed to have been unlawfully deprived of the vehicle as the term is used in Article 559 since the failure of Feist to pay the purchase price of the vehicle or the issuance of a check for its price without funds to answer therefor did not or could not affect the validity of the transfer of title of the subsequent buyer who acquired the car in good faith; at the most it would give Tagatac a right to rescind the contract, but the title to the thing sold would not revert to the seller until the sale has been set aside by a competent court. Until that is done, the rights of stranger in good faith, acquired before resolution of the contract are entitled to protection.

Answer 165

Where the owner had not yet consented to the sale of the vehicle when it was taken and driven away by the would-be buyer, the acquisition subsequently of another person who took it in good faith, would still entitle the original owner to recover the same since it constituted unlawful deprivation under Article 559 entitling the owner to recover it from any possessor thereof. Aznar also held that the provisions of Article 1506 would not apply to the present possessor since it was essential that his seller should have a voidable title at least. In the case of the present possessor his seller did not even have any title to the property since it was never sold to him nor delivered to him pursuant to a valid or at least voidable sale.

Answer 166

In the resulting suit over the books between EDCA and Santos, the Court held that Santos did not have to establish his ownership over the books since under Article 559 his possession of books acquired in good faith is equivalent to title. In denying the contention of EDCA that it had been “unlawfully deprived” of the books, the Court held non-payment of the purchase price by the impostor, although amounting to fraud, did not amount to unlawful deprivation under Article 559, but merely may be considered vitiation of consent as to make the contract voidable; but that so long as the contract has not been annulled, it remained valid, and the subsequent sale and delivery by the impostor of the books to Santos effectively transferred ownership to Santos.

Answer 167

The implication of the Tagatac and EDCA Publishing rulings is that Article 1506 represents an operative act which would constitute a further exception to the provisions of Article 559, which means that if the owner has been unlawfully deprived by means of deceit pertaining to the non-payment of the purchase price, but the one who takes the movable is able to sell and deliver the movable to another person who takes it in good faith and for value before the owner is able to rescind the earlier sale, the buyer obtains good title and the original owner has no cause of action to recover; and What is gratifying from a reading of the foregoing three cases is that the Court incisively distinguished between the perfection stage and the consummation stage of the sale to arrive at a proper resolution of the issues. In Tagatac, the Court ruled that deceit or fraud, which do not render the contract void but merely voidable (valid until annulled) resulted into the existence of a sale, so that when delivery was effected pursuant to such voidable contract, tradition effectively and legally transferred ownership to the buyer, even though he was a deceitful person. It also correctly ruled that the nonpayment of the price by the bouncing of the check went into the performance of the contract and not to its perfection and therefore non-payment could not reverse the coming into existence of the sale by the meeting of minds of the parties.

Answer 168

No. The suit will not prosper because Pablo was not unlawfully deprived of the car although he was unlawfully deprived of the price. The perfection of the sale and the delivery of the car was enough to allow Alfonso to have a right of ownership over the car, which can be lawfully transferred to Gregorio. Art. 559 applies only to a person who is in possession in good faith of the property, and not to the owner thereof. Alfonso, in the problem, was the owner, and, hence, Gabriel acquired the title to the car. Non-payment of the price in a contract of sale does not render ineffective the obligation to deliver. The obligation to deliver a thing is different from the obligation to pay its price

Answer 169

No. The suit will not prosper because Pablo was not unlawfully deprived of the car although he was unlawfully deprived of the price. The perfection of the sale and the delivery of the car was enough to allow Alfonso to have a right of ownership over the car, which can be lawfully transferred to Gregorio. Art. 559 applies only to a person who is in possession in good faith of the property, and not to the owner thereof. Alfonso, in the problem, was the owner, and, hence, Gabriel acquired the title to the car. Non-payment of the price in a contract of sale does not render ineffective the obligation to deliver. The obligation to deliver a thing is different from the obligation to pay its price.

Answer 170

‘Yet the defendant invoked Article 464 (now Art. 559.) of the Civil Code providing among other things that ‘one who has been unlawfully deprived of personal property may recover it from any person possessing it. We do not believe that the plaintiff has been unlawfully deprived of the cartons of Gloco Tonic within the scope of this legal provision. It has voluntarily parted with them pursuant to a contract of purchase and sale. The circumstance that the price was not subsequently paid did not render illegal a transaction which was valid and legal at the beginning.

Answer 171

C may recover the car without paying any indemnity, except when B acquired it in a public sale. (Art. 559)

Answer 172

The ownership of the thing sold shall be transferred to the vendee upon the actual or constructive delivery thereof.

Answer 173

The thing must be licit and the vendor must have a right to transfer the ownership thereof at the time it is delivered.

Answer 174

The ownership of the thing sold is acquired by the vendee from the moment it is delivered to him in any of the ways specified in articles 1497 to 1501, or in any other manner signifying an agreement that the possession is transferred from the vendor to the vendee.

Answer 175

In a contract of sale, unless a contrary intention appears, there is: (1) An implied warranty on the part of the seller that he has a right to sell the thing at the time when the ownership is to pass, and that the buyer shall from that time have and enjoy the legal and peaceful possession of the thing; (2) An implied warranty that the thing shall be free from any hidden faults or defects, or any charge or encumbrance not declared or known to the buyer. This article shall not, however, be held to render liable a sheriff, auctioneer, mortgagee, pledgee, or other person professing to sell by virtue of authority in fact or law, for the sale of a thing in which a third person has a legal or equitable interest.

Answer 176

If there is no stipulation as specified in the first paragraph of article 1523, when the buyer's refusal to accept the goods is without just cause, the title thereto passes to him from the moment they are placed at his disposal. 1532 (1) The unpaid seller may exercise his right of stoppage in transitu either by obtaining actual possession of the goods or by giving notice of his claim to the carrier or other bailee in whose possession the goods are. Such notice may be given either to the person in actual possession of the goods or to his principal. In the latter case the notice, to be effectual, must be given at such time and under such circumstances that the principal, by the exercise of reasonable diligence, may prevent a delivery to the buyer.

Answer 177

Yes. When the items in question were delivered and installed in the leased premises, B became the owner thereof even if the purchase price has been made on credit (see Arts. 1477, 1496, 1497.), and by virtue of the lease contract when levy was made, B, the judgment debtor, was no longer the owner thereof. The power of the court in execution of judgment extends only to properties unquestionably belonging to the judgment debtor only, and the purchaser acquires only the right as the debtor has at the time of the auction sale.

Answer 178

Because the trader loses not only possession but also control over the shipment.

Answer 179

1. by actual or real delivery 2. by constructive or legal delivery 3. by delivery in any other manner signifying an agreement that the possession is transferred to the vendee *there must be actual intention

Answer 180

Yes. Sale between B and T voluntarily rescinded by the repayment. There was a perfected sale. (Art. 1475.) Ownership of the rice, too, was transferred to the vendee, B, upon its delivery at the place stipulated (Art. 1521.), and pursuant to Articles 1477 and 1496. At the very least, B had a rescissible title to the goods for non-payment of the purchase price but which had not been rescinded at the time of the sale to T. Having been repaid the purchase price by B, the sale, as between B and T, had been voluntarily rescinded, and T was thereby divested of any claim to the rice. Technically, therefore, he should return the rice to B.

Answer 181

1497 - when it is placed in the control and possession of the vendee 1498 - execution of public instrument; delivery of keys of the place or depository where it is stored or kept (movable) 1499 - by mere consent or agreement if the object cannot be transferred yet (movable) 1500 - tradition constitutum possessorium (continued possession) Here the seller, after the sale, retains possession of the article acting as agent on behalf of the buyer. 1501 - placing of titles of ownership in the possession of the vendee or the use by the vendee of his rights, with the vendor's consent

Answer 182

1. Actual - when the thing sold is placed in the control and possession of the vendee a. If movable, this can be done when thing is transferred from hand to hand. b. If immovable, this can be done by certain material and possessory acts by the vendee in the presence and with the consent of the vendor, such as entering upon the property which is considered as taking possession. 2. Constructive - change of possession is not actual or material but represented by some other signs or acts indicative thereof

Answer 183

a. Symbolic - effected thru delivery of symbols or things which represent the thing to be delivered. Hence, with regard to movable property, its delivery may be made by the delivery of the keys of the place or depository where it is stored (Art. 1498, 2nd par., NCC). 1. Delivery by negotiable document of title: Delivery or negotiation of document of title, such as a bill of lading or warehouse receipt, constitute a symbolic delivery of the property it represents, provided there is an intent to thereby change possession 2. Under the law, one to whom the negotiable receipt has been duly negotiated acquires such title to the goods as the person negotiating the receipt to him, or the depositor or person to whose order the goods were deliverable by the terms of the receipt, either had or had ability to convey to a purchaser in good faith for value (Art. 1513) b. Execution of Public Instrument --- when sale is made thru a public instrument, its execution shall be equivalent to the delivery of the thing which is the object of the contract (Art. 1498, 1st par.). Exceptions: (a) when the instrument itself expresses or implies that delivery was not intended (Art. 1498); or (b) when there is an impediment that may prevent the passing of the property from the hands of the vendor to the vendee, as when a third person was actually in possession of the thing and objecting thereto c. Traditio longa manu - Delivery is effected by vendor simply by pointing out to the vendee the thing to be transferred and which at that time must be within sight. d. Traditio brevi manu - Vendee already had the thing in his possession for some reason (as a lessee, for example) and a mere declaration by the vendor that the vendee shall now hold the thing as owner operates as a form of delivery. e. Traditio constitutum possessorium - The reverse of brevi manu. Delivery is effected by a mere declaration on the part of the vendor that he will hold the thing for the vendee, as when the owner alienates it and becomes a mere lessee. Note: In all forms of constructive delivery, it is necessary that the vendor has and is able to transfer control over the thing to the vendee. If not, fiction yields to reality. There is no delivery.

Answer 184

Three ways to effect delivery: 1. When sale is made thru a public instrument, the execution thereof is equivalent to delivery (Art. 1501, in rel. to Art. 1498, NCC). 2. By placing of the titles of ownership in the possession of the vendee; or 3. Use by the vendee of his rights, with the consent of vendor (Art. 1501, NCC).

Answer 185

1. General rule: If pursuant to contract seller is authorized or required to send the goods to buyer, the delivery of the goods to carrier for transmission to buyer, whether named by the buyer or not, is deemed to be a delivery of the goods to the buyer (Art. 1523, NCC). Hence, ownership is transferred to buyer. 2. Exceptions: Not considered delivery to buyer - a. If the contrary intention appears (Art. 1523, NCC) or if seller, by terms of contract, reserves the right of possession or ownership notwithstanding delivery of the goods to the carrier (Art. 1503, 1st par., NCC). b. When by bill of lading, goods are deliverable to the seller or his agent or to the order of the seller or his agent, seller thereby reserves ownership in the goods (Art. 1503, 2nd par., NCC). c. When goods are shipped, and by the bill of lading the goods are deliverable to order of the buyer or of his agent, but possession of the bill of lading is retained by the seller or his agent, seller thereby reserves a right to the possession of the goods as against the buyer (Art. 1503, 3rd par., NCC).

Answer 186

1. In sale on trial, approval or satisfaction (Art. 1502, 2nd par.) 2. When contrary intention appears 3. When ownership is reserved despite delivery, as in the following a. When by bill of lading, the goods are deliverable to the seller or his agent or to the order of the seller or his agent (Art. 1503, 2nd par.) b. When goods are shipped and by bill of lading, the goods are deliverable to order of the buyer or of his agent but possession of the bill of lading is retained by the seller or his agent (Art. 1503, 3rd par.) c. When seller of goods draws on the buyer for the price and transmits the bill of exchange and bill of lading together to the buyer to secure acceptance or payment of the bill of exchange, buyer is bound to return the bill of lading if he does not honor the bill of exchange, and if he wrongfully retains the bill of lading he acquires no added right thereby (Art. 1503, 4th par.) 4. When sale is not valid 5. When seller is not the owner at the time of delivery

Answer 187

(1) c: non-happening of the condition, although it may extinguish the obligation upon which it is based, generally does not amount to a breach of the contract of sale w: non-fulfillment of a warranty would constitute a breach of the contract (2) c: generally goes into the root of the existence of the obligation, whereas a warranty goes into the performance of such obligation, and in fact may constitute an obligation in itself w: goes into the performance of such obligation, and in fact may constitute an obligation in itself (3) c: must be stipulated by the parties in order to form part of an obligation w: may form part of the obligation or contract by provision of law, without the parties having expressly agreed thereto (4) c: may attach itself either to the obligations of the seller or of the buyer w: whether express or implied, relates to the subject matter itself or to the obligations of the seller as to the subject matter of the sale

Answer 188

1. it must be an affirmation of fact or any promise by the seller relating to the subject matter of the sale 2. the natural tendency of such affirmation or promise is to induce the buyer to purchase the thing 3. the buyer purchases the thing relying on such affirmation or promise thereon

Answer 189

An affirmation of fact or any promise made by a seller in relation to the thing sold, and that the decisive test is whether the seller assumes to assert a fact of which the buyer is ignorant of.

Answer 190

Those which by law constitute part of every contract of sale, whether or not the parties were aware of them, and whether or not the parties intended them.

Answer 191

a. purchaser has been deprived of, or evicted from, the whole or part of the thing sold; b. eviction is by a final judgment c. basis thereof is by virtue of a right prior to the sale made by the seller d. seller has been summoned and made co-defendant in the suit for eviction at the instance of the buyer

Answer 192

Power Commercial and Industrial Corp. v. Court of Appeals, held that there can be no action for breach of the said warranty when the buyer was well aware of the presence of the tenants at the time the buyer entered into the sale transaction, and it even undertook the job of ejecting the squatters which in fact fi led suit to eject the occupants.

Answer 193

Jovellano v. Lualhati, held that “no discussion, therefore, should be made here as to whether or not the vendor had means of defense. All of this counts very little. There is only one condition to be complied with by the vendee, and that is to give notice of the complaint. Once this is proven, his right to the warranty is perfect, and the vendor cannot set up anything against it.”

Answer 194

Escaler v. Court of Appeals, held that the breach of warranty against eviction cannot be enforced against the seller when the only thing that the buyer did was to furnish the seller, by registered mail, with a copy of the opposition the buyer filed in the eviction suit, without going through formally summoning the seller to be a party to the case. The Court held that — This is not the kind of notice prescribed by the aforequoted Articles 1558 and 1559 of the New Civil Code ... the respondents as vendor/s should be made parties to the suit at the instance of petitioners vendees, either by way of asking that the former be made a co-defendant or by the filing of a third-party complaint against said vendors.

Answer 195

In this case, B has no right of action for breach of warranty because the inducing cause of the purchase is not the erroneous statement as to its model and value, but B’s reliance on its appearance and demonstrated condition. But the statement that the automobile is in excellent running condition constitutes a violation of warranty if such is not the fact.

Answer 196

(1) Implied warranty as to seller’s title. — that the seller guarantees that he has a right to sell the thing sold and to transfer ownership to the buyer who shall not be disturbed in his legal and peaceful possession thereof (Art. 1548.); (2) Implied warranty against hidden defects or unknown encumbrance. — that the seller guarantees that the thing sold is free from any hidden faults or defects or any charge or encumbrance not declared or known to the buyer (Art. 1561.) (3) Implied warranty as to fitness or merchantability. — that the seller guarantees that the thing sold is reasonably fit for the known particular purpose for which it was acquired by the buyer or, where it was bought by description, that it is of merchantable quality. (Art. 1562.)

Answer 197

No. The term “hidden faults or defects” in Article 1547 pertains only to those that make the object of the sale unfit for the use for which it was intended at the time of the sale. Since the object of the sale by G to ID, Inc. is an agricultural land, the existing tenancy relationship with respect to the land cannot be a “hidden fault or defect.” It is not a lien or encumbrance that the vendor warranted did not exist at the time of the sale. It is a relationship which any buyer of agricultural land should reasonably expect to be present and which it is his duty to specifically look into and provide for. AA, Inc. saw to it that the warranty was specific when it, in turn, purchased the land. The difference in the phraseology of the two warranties is not an idle one.

Answer 198

False. It can waived or modified by an express stipulation.

Answer 199

1. as is and where is sale 2. sale of second-hand articles 3. sale by virtue of authority in fact or law

Answer 200

(1) Duty of buyer to take care of goods without obligation to return. — If the goods have been sent to the buyer and he rightfully refuses to accept them, as in the case where the goods are of not the kind and quality agreed upon, he is in the position of a bailee who has had goods thrust upon him without his assent. Doubtless, he has the obligation to take reasonable care of the goods, but nothing more can be demanded of him. Accordingly, he is under no obligation to return the goods to the seller. (2) Duty of seller to take delivery of goods. — After notice that the goods have not been and will not be accepted, the seller must have the burden of taking delivery of said goods. (3) Seller’s risk of loss of goods. — While the goods remain in the buyer’s possession under these circumstances, they are, of course, at the seller’s risk. But the buyer is not deemed and is not liable as a depositary, unless he voluntarily constitutes himself as such. (4) Right of buyer to resell goods. — Should the seller, when notified to take delivery of the goods fails to do so, the buyer may resell the goods. The provisions governing resale by the seller when the buyer is in default, it seems, will generally apply. (see Art. 1533.)

Answer 201

When goods are delivered to the buyer "on sale or return" to give the buyer an option to return the goods instead of paying the price, the ownership passes to the buyer on delivery, but he may revest the ownership in the seller by returning or tendering the goods within the time fixed in the contract, or, if no time has been fixed, within a reasonable time. (n)

Answer 202

When goods are delivered to the buyer on approval or on trial or on satisfaction, or other similar terms, the ownership therein passes to the buyer: (1) When he signifies his approval or acceptance to the seller or does any other act adopting the transaction; (2) If he does not signify his approval or acceptance to the seller, but retains the goods without giving notice of rejection, then if a time has been fixed for the return of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reasonable time. What is a reasonable time is a question of fact. (n)

Answer 203

The parties may stipulate that ownership in the thing shall not pass to the purchaser until he has fully paid the price. (n)

Answer 204

When there is a contract of sale of specific goods, the seller may, by the terms of the contract, reserve the right of possession or ownership in the goods until certain conditions have been fulfilled. The right of possession or ownership may be thus reserved notwithstanding the delivery of the goods to the buyer or to a carrier or other bailee for the purpose of transmission to the buyer.

Answer 205

A contract of sale may be absolute or conditional.

Answer 206

Void. (Art. 1318) Article 1318. There is no contract unless the following requisites concur: (1) Consent of the contracting parties; (2) Object certain which is the subject matter of the contract; (3) Cause of the obligation which is established. (1261)

Answer 207

Under the Constitution, aliens cannot own land here.

Answer 208

Wife, kahit conjugal ownership. Husband cannot contend reimbursement. They cannot own directly or indirectly of such land. Other than that, contract is void. Nothing to divide here. Sec. 7, Art. 12, 1987 Constitution.

Answer 209

No. They are still married to each other.

Answer 210

None. Art. 1412 (1). Any sale, any void contract, cannot be questioned by the contracting parties. The Court will leave them as they are. Heirs or 3rd persons only can question.

Answer 211

Article 1347. All things which are not outside the commerce of men, including future things, may be the object of a contract. All rights which are not intransmissible may also be the object of contracts. No contract may be entered into upon future inheritance except in cases expressly authorized by law. All services which are not contrary to law, morals, good customs, public order or public policy may likewise be the object of a contract.

Answer 212

True. Art. 1626

Answer 213

Article 1469. In order that the price may be considered certain, it shall be sufficient that it be so with reference to another thing certain, or that the determination thereof be left to the judgment of a special person or persons. Should such person or persons be unable or unwilling to fix it, the contract shall be inefficacious, unless the parties subsequently agree upon the price. If the third person or persons acted in bad faith or by mistake, the courts may fix the price. Where such third person or persons are prevented from fixing the price or terms by fault of the seller or the buyer, the party not in fault may have such remedies against the party in fault as are allowed the seller or the buyer, as the case may be.

Answer 214

Article 1504. Unless otherwise agreed, the goods remain at the seller's risk until the ownership therein is transferred to the buyer, but when the ownership therein is transferred to the buyer the goods are at the buyer's risk whether actual delivery has been made or not, except that: (1) Where delivery of the goods has been made to the buyer or to a bailee for the buyer, in pursuance of the contract and the ownership in the goods has been retained by the seller merely to secure performance by the buyer of his obligations under the contract, the goods are at the buyer's risk from the time of such delivery; (2) Where actual delivery has been delayed through the fault of either the buyer or seller the goods are at the risk of the party in fault. (n)

Answer 215

1480 - thing lost after perfection but before its delivery (non-fungible things and fungible things sold independently and for a single price or for a fixed price without consideration of their weight number, or measure - fungible things sold for a price fixed in relation to weight, number, or measure - par. 3 is an xpn to the rule that the vendee bears the loss after the perfection of the contract and before delivery. Vendee assumes risk if he has incurred in delay in receiving the goods sold 1493 - loss/injury has taken place before or at the time the contract of sale is perfected 1504 - xpns to the general rule that the risk is borne by the owner of the thing at the time of the loss if the thing is lost by fortuitous event

Answer 216

1. where the seller reserves the ownership of the goods merely to secure the performance by the buyer of his obligations 2. where actual delivery had been delayed through the fault of either the buyer or seller, the goods are at the risk of the party at fault with respect to any loss which might not have occurred but for such fault

Answer 217

Under Art. 1480, risk of loss by fortuitous event without the seller's fault is borne by the buyer if the thing sold is lost after perfection of the contract but before its delivery (Consequently, the buyer’s obligation to pay the price subsists if he has not yet paid the same or if he had, he cannot recover it from the seller although the latter’s obligation to deliver the thing is extinguished by its loss.) Art. 1504, the goods remain at the seller's risk until the ownership therein is transferred to the buyer.

Answer 218

1504 should be restricted in its application to sale of "goods," and Art. 1480 to sales of "things." Art. 1636 - "Goods" includes all chattels personal but not things in action or money of legal tender in the Philippines. The term includes growing fruits or crops. Art. 1480 the general rule on risk of loss and Art. 1504, the exception

Answer 219

Article 1480. Any injury to or benefit from the thing sold, after the contract has been perfected, from the moment of the perfection of the contract to the time of delivery, shall be governed by articles 1163 to 1165, and 1262. This rule shall apply to the sale of fungible things, made independently and for a single price, or without consideration of their weight, number, or measure. Should fungible things be sold for a price fixed according to weight, number, or measure, the risk shall not be imputed to the vendee until they have been weighed, counted, or measured and delivered, unless the latter has incurred in delay. (1452a)

Answer 220

1. BEFORE PERFECTION a. Res perit domino b. Owner is seller so seller bears risk of loss 2. AT PERFECTION o Res perit domino o Contract is merely inefficacious because loss of the subject matter does not affect the validity of the sale o Seller cannot anymore comply with obligation so buyer cannot anymore be compelled ``` 3. AFTER PERFECTION BUT BEFORE DELIVERY o Loss – confused state o Paras: BUYER o Tolentino: SELLER o Deterioration and fruits – Buyer bears loss; ``` 4. AFTER DELIVERY o Res perit domino o Delivery extinguishes ownership visa-vis the seller and creates a new one in favor of the buyer

Answer 221

1. If the thing is lost BEFORE PERFECTION, the seller bears the loss (principle: the thing perishes with the owner or res perit domino) 2. If the thing is lost AT THE TIME OF PERFECTION, the contract is void or inexistent. The legal effect is the same as when the object is lost before the perfection of the contract of sale 3. If the thing is lost AFTER PERFECTION BUT BEFORE DELIVERY, risk of loss is shifted to the buyer even before the ownership is transferred. (xpn to general rule of res perit domino) 4. If the thing is lost AFTER DELIVERY, the buyer bears the risk of loss following the general rule of res perit domino

Answer 222

1. The first rule where the thing is lost after perfection but before its delivery (#3) applies to non-fungible things and fungible things sold independently and for a single price or for a price fixed without consideration of their weight, number, or measure. Under this rule, which follows the Roman Rule, the risk of the thing sold passes to the buyer, even though the thing has not yet been delivered to him. In other words, the buyer assumes the risk of loss caused by fortuitous event without the fault of the seller, that is, in spite of the exercise of due diligence on his part and before he has incurred in delay after the perfection of the contract to the time of delivery. With respect to the fruits, the buyer has a right to the same from the time the obligation to deliver the thing arises. If the risk ought to belong to the buyer before delivery, the benefit ought to belong to him who has the risk. Article 1480, paragraph 1 is applicable only where the thing is determinate. It also applies to fungible things sold for a price not fixed in relation to weight, number, or measure because in such case the fungible things have been “particularly designated or physically segregated.” 2. The second rule relates to fungible things sold for a price fixed in relation to weight, number, or measure. Under the third paragraph, “the risk shall not be imputed to the vendee until they have been weighed, counted, or measured, and delivered.” Paragraph 3 is an exception to the rule that the vendee bears the loss after the perfection of the contract and before delivery. However, the vendee assumes the risk if he has incurred in delay in receiving the goods sold.

Answer 223

The loss falls upon the buyer who must pay the price, even though he has not received the thing. For the seller is not liable for anything which happens without his fraud or negligence. But if after the sale any alluvion has accrued to the land, the benefit goes to the buyer for the benefit ought to belong to him who has the risk.

Answer 224

S promised to deliver a generic thing. Any sugar of the quality stipulated, regardless of origin or however acquired, (lawfully) would be obligatory on the part of B to receive and would discharge the obligation. It seems, therefore, plain that the sugar to be sold not having been segregated, the sale was not perfected and the loss of the crop even through force majeure, did not extinguish S’s obligation to deliver the sugar. Flood, like other catastrophes, was a contingency, a collateral incident, which S should have provided for by proper stipulations. Genus nunquam perit (genus never perishes).

Answer 225

Yes. The contract of sale has been perfected at the time of the loss (see Art. 1475.) and the shipment was placed in the control and possession of B. The technical defect that the tobacco in question “were still to be inspected, graded and weighed” cannot suffice to overturn the decision. Aside from raising an issue of fact (for B’s own fieldmen had the responsibility of such tobacco being graded, weighed, baled and loaded on trucks duly sealed for transportation to its redrying plant and that responsibility was fulfilled according to the trial court), the delay was traceable to the fault of B and A and that A was negligent in causing the fire, whereas S had done everything that was required of him by B’s regulations in order to have the tobacco inspected and paid for. Furthermore, for sometime after the conflagration, there was no question raised by B as to its liability. It would, therefore, be the height of injustice to deny S’s claim for payment.

Answer 226

1. Delivery to buyer’s agent (FVTR) proven. — “Under the Santiago Virginia Tobacco Planters Assoc. vs. PVTA case, shipping documents and checklists which are accomplished prior to delivery do not prove actual delivery. To prove such delivery, documents such as the weigher’s tally sheet and the warehouse receipts which are accomplished when the actual delivery is made, are necessary. 2. Seller (ATC) lost possession and control over shipment. — The Civil Code provides that ownership of the thing sold shall be transferred to the vendee upon the actual or constructive delivery thereof. (Art. 1477.) There is delivery when the thing sold is placed in the control and possession of the vendee. (Art. 1497.) 3. Tobacco traders placed at a disadvantage. 4. Delivery considered effective delivery to seller (PVTA).

Answer 227

Article 1493. If at the time the contract of sale is perfected, the thing which is the object of the contract has been entirely lost, the contract shall be without any effect. But if the thing should have been lost in part only, the vendee may choose between withdrawing from the contract and demanding the remaining part, paying its price in proportion to the total sum agreed upon.

Answer 228

Article 1494. Where the parties purport a sale of specific goods, and the goods without the knowledge of the seller have perished in part or have wholly or in a material part so deteriorated in quality as to be substantially changed in character, the buyer may at his option treat the sale: (1) As avoided; or (2) As valid in all of the existing goods or in so much thereof as have not deteriorated, and as binding the buyer to pay the agreed price for the goods in which the ownership will pass, if the sale was divisible.

Answer 229

The loss or injury referred to in this article is one which has taken place before or at the time the contract of sale is perfected. It must be distinguished from the loss or injury mentioned in Articles 1480 and 1504 which occurs after the contract is perfected but prior to the time of delivery.

Answer 230

The contract is inexistent and void (Art. 1409[3]) because there is no object. (Art. 1318, par. 2) There being no contract, there is no necessity to bring an action for annulment.

Answer 231

If the subject matter is only partially lost, the vendee may elect between withdrawing from the contract and demanding the remaining part, paying its proportionate price. (Art. 1493, par. 2.)

Answer 232

In this case, there is no valid contract of sale for lack of object. S, as owner, bears the loss and B does not have to pay for the price. If the car sold is only partially destroyed, there still remains of the object. However, since it is not of the character or in the condition contemplated by the parties, the buyer may withdraw from the contract or demand the delivery of the car, paying its proportionate price.

Answer 233

The thing is lost when it perishes or goes out of commerce or disappears in such a way that its existence is unknown or it cannot be recovered. (Art. 1189[2]) The word “perishes” is sufficiently inclusive as to cover a case where there has been material deterioration or complete change in the nature of the thing in such a manner that it loses its former utility taking into consideration the time the contract was entered into.

Answer 234

1493 - applies to a sale of specific thing 1494 - applies to sales of goods Both articles have actually the same essence providing two alternative remedies to the buyer in case of deterioration or partial loss of the object prior to the sale, namely: to rescind or withdraw from the contract or to give it legal effect, paying the proportionate price of the remaining object.

Answer 235

(1) Sale divisible. — The second option is available only if the sale is divisible. (Art. 1494, par. 2.) A contract is divisible when its consideration is made up of several parts. (see Art. 1420.) When the consideration is entire and single, the contract is indivisible. (2) Sale indivisible. — Suppose the sale is not divisible, what price is the buyer to pay for the remaining goods if he elects to continue with the sale? It is believed that the buyer should be made to pay only the proportionate price of the remaining goods as provided for in paragraph 2 of the preceding article. If the sale is indivisible, the object thereof may be considered as a specific thing.

Answer 236

B may, at his option, withdraw from the contract without the obligation to pay for the rice; or demand the delivery of the 40 cavans, but binding him to pay the agreed price thereof which is P40,000.00. If the contract is indivisible, that is, the 100 cavans of rice were sold for P100,000.00 fixed without consideration of the number of cavans, B should be made to pay only the proportionate price of 40 cavans which is also P40,000.00.

Answer 237

Article 1538. In case of loss, deterioration or improvement of the thing before its delivery, the rules in article 1189 shall be observed, the vendor being considered the debtor.

Answer 238

Article 1189. When the conditions have been imposed with the intention of suspending the efficacy of an obligation to give, the following rules shall be observed in case of the improvement, loss or deterioration of the thing during the pendency of the condition: (1) If the thing is lost without the fault of the debtor, the obligation shall be extinguished; (2) If the thing is lost through the fault of the debtor, he shall be obliged to pay damages; it is understood that the thing is lost when it perishes, or goes out of commerce, or disappears in such a way that its existence is unknown or it cannot be recovered; (3) When the thing deteriorates without the fault of the debtor, the impairment is to be borne by the creditor; (4) If it deteriorates through the fault of the debtor, the creditor may choose between the rescission of the obligation and its fulfillment, with indemnity for damages in either case; (5) If the thing is improved by its nature, or by time, the improvement shall inure to the benefit of the creditor; (6) If it is improved at the expense of the debtor, he shall have no other right than that granted to the usufructuary.

Answer 239

1. Extinguished and B shall be obliged to pay the price if he has not paid the same. 2. He shall be liable to pay damages to B 3. B shall have to suffer the impairment 4. may choose, between the rescission (cancellation) of the contract with damages or the delivery of the car also with damages 5. the increase shall inure to the benefit of B inasmuch as he suffers the deterioration in case of a fortuitous event 6. he shall have the rights of a usufructuary with respect to the improvements

Answer 240

Article 1163. Every person obliged to give something is also obliged to take care of it with the proper diligence of a good father of a family, unless the law or the stipulation of the parties requires another standard of care.

Answer 241

Article 1174. Except in cases expressly specified by the law, or when it is otherwise declared by stipulation, or when the nature of the obligation requires the assumption of risk, no person shall be responsible for those events which could not be foreseen, or which, though foreseen, were inevitable.

Answer 242

a. The thing sold is lost before perfection: Seller bears the loss. b. The thing sold is lost at the time of perfection: Contract is void or inexistent. c. The thing sold is lost after perfection, but before delivery: GENERAL RULE: Who bears the risk of loss is governed by the stipulations in the contract In the absence of any stipulation First view: Buyer bears the loss as an exception to the rule of res perit domino. EXCEPTIONS: 1. when object sold consists of fungible goods for a price fixed according to weight, number or measure 2. seller is guilty of fraud, negligence, default or violation of contractual terms 3. object sold is generic Contrary view: Where the ownership is transferred by delivery, as in our code, the application of the axiom res perit domino, imposes the risk of loss upon the vendor; hence, if the thing is lost by fortuitous event before delivery, the vendor suffers the loss and cannot recover the price from the vendee d. The thing is lost after delivery: Buyer bears the loss.

Answer 243

True. But this only applies when the seller is able to deliver but does not.

Answer 244

a. Thing entirely lost at the time of perfection: Contract is void and inexistent b. Thing only partially lost: Vendee may elect between withdrawing from the contract or demanding the remaining part, paying its proportionate price

Answer 245

Yes, E is legally bound to pay the balance of P75,000.00. The ownership of the car sold was acquired by E from the moment it was delivered to him. Having acquired ownership, E bears the risk of the loss of the thing under the doctrine of res perit domino (Articles 1496. 1497,Civil Code).

Answer 246

1. If occurs prior to perfection - would-be seller bears the loss, being the owner of the thing (res perit domino). 2. If loss occurs at perfection: a. If subject matter has been “entirely” lost, contract shall be without any effect (Art. 1493, NCC). b. If the subject matter has been lost in part only, the buyer may choose between: 1) Withdrawing from the contract; or 2) Demanding the remaining part, paying its price in proportion to the total sum agreed upon (Id.). c. In the case of sale of specific goods, and without the knowledge of the seller, the goods have perished in part or wholly or in a material part so deteriorated in quality as to be substantially changed in character, the buyer may at his option: 1) Treat sale as avoided; or 2) Treat sale as valid in all of the existing goods or in so much thereof as have not deteriorated, and as binding the buyer to pay the agreed price for the goods in which the ownership will pass, if the sale was divisible (Art. 1494, NCC). 3. If loss occurs after perfection bur before delivery: a. Rule: In case of loss, deterioration or improvement of the thing before its delivery, the rules in Article 1189 shall be observed, the vendor being considered the debtor (Art. 1538, NCC). Hence --- 1) If lost without fault of vendor, obligation is extinguished. 2) If lost thru fault of vendor, he is obliged to pay damages. 3) If thing deteriorates without fault of vendor, impairment is borne by vendee. 4) If it deteriorates thru fault of vendor, vendee may choose between rescission of obligation and its fulfillment, with indemnity for damages in either case. b. If loss without seller’s fault: Two views --- 1) First view: Seller is released from his obligation to deliver but buyer’s obligation to pay subsists (Paras, Vol. V (1990 ed.), 58; Padilla, Civil Code, 840-841). Hence, buyer bears the risk of loss. 2) Second view: Counter-prestation is also extinguished (IV Tolentino, Civil Code, 1991 ed., 337). Hence, risk of loss is borne by seller and buyer need not pay the price. Note: View of Tolentino is more just and equitable and in conformity with the principle of res perit domino. At any rate, the Supreme Court had the occasion to hold that after perfection but before delivery, the risk of loss is borne by the seller under the rule of res perit domino (Union Motors v. CA, 361 SCRA 506; Chrysler Philippines v. CA, 133 SCRA 567). 4. If loss and deterioration occurs after delivery: a. Rule: When ownership over goods has been transferred to buyer, goods are buyer’s risk (Art. 1504, NCC). b. Exception: 1) When delivery is made to buyer in pursuance of contract and ownership is retained by seller merely to secure performance of buyer’s obligations, goods are still at buyer’s risk from time of such delivery (Art. 1504, NCC). 2) Where actual delivery is delayed thru fault of either buyer or seller, goods are at risk of party in fault (Art. 1504, NCC).

Answer 247

1. to transfer ownership and to deliver the thing which is the object of the sale 2. to warrant the thing which is the object of the sale 3. to deliver fruits and accessories 4. if contract of sale covers determinate object, seller, upon perfection of contract, is obliged to preserve the thing to be delivered

Answer 248

If the time and place should not have been stipulated, the payment must be made at the time and place of the delivery of the thing sold.

Answer 249

(1) Should it have been so stipulated; (2) Should the thing sold and delivered produce fruits or income; (3) Should he be in default, from the time of judicial or extrajudicial demand for the payment of the price.

Answer 250

Where goods are delivered to the buyer, which he has not previously examined, he is not deemed to have accepted them unless and until he has had a reasonable opportunity of examining them for the purpose of ascertaining whether they are in conformity with the contract if there is no stipulation to the contrary. Unless otherwise agreed, when the seller tenders delivery of goods to the buyer, he is bound, on request, to afford the buyer a reasonable opportunity of examining the goods for the purpose of ascertaining whether they are in conformity with the contract. Where goods are delivered to a carrier by the seller, in accordance with an order from or agreement with the buyer, upon the terms that the goods shall not be delivered by the carrier to the buyer until he has paid the price, whether such terms are indicated by marking the goods with the words "collect on delivery," or otherwise, the buyer is not entitled to examine the goods before the payment of the price, in the absence of agreement or usage of trade permitting such examination.

Answer 251

In the contract of sale of goods by description or by sample, the contract may be rescinded if the bulk of the goods delivered do not correspond with the description or the sample, and if the contract be by sample as well as description, it is not sufficient that the bulk of goods correspond with the sample if they do not also correspond with the description. The buyer shall have a reasonable opportunity of comparing the bulk with the description or the sample.

Answer 252

Article 1537. The vendor is bound to deliver the thing sold and its accessions and accessories in the condition in which they were upon the perfection of the contract. All the fruits shall pertain to the vendee from the day on which the contract was perfected. Article 1164. The creditor has a right to the fruits of the thing from the time the obligation to deliver it arises. However, he shall acquire no real right over it until the same has been delivered to him.

Answer 253

True. Where there is a contract of sale of goods to be delivered by stated instalments, which are to be separately paid for, and the seller makes defective deliveries in respect of one or more instalments, or the buyer neglects or refuses without just cause to take delivery of or pay for one or more instalments, it depends in each case on the terms of the contract and the circumstances of the case, whether the breach of contract is so material as to justify the injured party in refusing to proceed further and suing for damages for breach of the entire contract, or whether the breach is severable, giving rise to a claim for compensation but not to a right to treat the whole contract as broken.

Answer 254

The buyer is deemed to have accepted the goods when he intimates to the seller that he has accepted them, or when the goods have been delivered to him, and he does any act in relation to them which is inconsistent with the ownership of the seller, or when, after the lapse of a reasonable time, he retains the goods without intimating to the seller that he has rejected them.

Answer 255

In the absence of express or implied agreement of the parties, acceptance of the goods by the buyer shall not discharge the seller from liability in damages or other legal remedy for breach of any promise or warranty in the contract of sale. But, if, after acceptance of the goods, the buyer fails to give notice to the seller of the breach in any promise of warranty within a reasonable time after the buyer knows, or ought to know of such breach, the seller shall not be liable therefor.

Answer 256

Unless otherwise agreed, where goods are delivered to the buyer, and he refuses to accept them, having the right so to do, he is not bound to return them to the seller, but it is sufficient if he notifies the seller that he refuses to accept them. If he voluntarily constitutes himself a depositary thereof, he shall be liable as such.

Answer 257

If there is no stipulation as specified in the first paragraph of article 1523, when the buyer's refusal to accept the goods is without just cause, the title thereto passes to him from the moment they are placed at his disposal. Article 1523. Where, in pursuance of a contract of sale, the seller is authorized or required to send the goods to the buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer is deemed to be a delivery of the goods to the buyer, except in the cases provided for in article 1503, first, second and third paragraphs, or unless a contrary intent appears.

Answer 258

With respect to movable property, the rescission of the sale shall of right take place in the interest of the vendor, if the vendee, upon the expiration of the period fixed for the delivery of the thing, should not have appeared to receive it, or, having appeared, he should not have tendered the price at the same time, unless a longer period has been stipulated for its payment.

Answer 259

1. payment of price | 2. accepting the delivery of thing sold

Answer 260

a. If not previously examined by buyer - if no stipulation to contrary, delivery is not deemed accepted unless buyer has reasonable opportunity to examine the delivered goods b. Buyer has, upon request and unless there is contrary agreement, the right to examine the goods when seller tenders delivery of the same c. If goods are delivered to carrier by seller upon terms that goods are not to be delivered by carrier to buyer until the latter has paid the price, buyer is not entitled to examine prior to payment of price, unless there is an agreement or usage of trade permitting such examination

Answer 261

a. When buyer intimates to the seller that he has accepted them b. When goods have been delivered to buyer and he does any act in relation to them which is inconsistent with the ownership of the seller c. When, after the lapse of a reasonable time, buyer retains the goods without intimating to seller that he has rejected them

Answer 262

a. Rule - seller remains liable for damages or other legal remedy for breach of any promise or warranty in the contract of sale, in the absence of agreement to the contrary. b. But buyer must give notice to seller of such breach within a reasonable time after the buyer knows, or ought to know, of such breach; otherwise, seller is not liable

Answer 263

a. If refusal is justified – 1. Buyer is not bound to return goods to seller but he must notify seller of his refusal; 2. If buyer voluntarily constitutes himself a depositary of goods, he shall be liable as such (Art. 1587, NCC). b. If refusal is not justified, titled thereto passes to him from the moment goods are placed at his disposal (Art. 1588, NCC).

Answer 264

Applies to sale or financing of real estate on installment payments, including residential condominium apartments. The MACEDA law applies to sale of real estate on installments, whether the contract be one of sale or one of contract to sell

Answer 265

1. sale of industrial lots 2. sale of commercial buildings 3. sale of urban land covered by urban land reform and agricultural land under agrarian reform law 4. sale of lands payable in straight terms

Answer 266

AN ACT TO PROVIDE PROTECTION TO BUYERS OF REAL ESTATE ON INSTALLMENT PAYMENTS or Maceda Law or Realty Installment Buyer Act

Answer 267

In all transactions or contracts involving the sale or financing of real estate on installment payments, including residential condominium apartments, where the buyer has paid at least two years of installments EXCEPT a. industrial lots b. commercial buildings c. sales to tenants under RA 3844, as amended by RA 6389

Answer 268

a. To pay, without additional interest, the unpaid installments due within the total grace period earned by him which is hereby fixed at the rate of one month grace period for every one year of installment payments made: Provided, That this right shall be exercised by the buyer only once in every five years of the life of the contract and its extensions, if any. b. If the contract is canceled, the seller shall refund to the buyer the cash surrender value of the payments on the property equivalent to fifty per cent of the total payments made, and, after five years of installments, an additional five per cent every year but not to exceed ninety per cent of the total payments made: Provided, That the actual cancellation of the contract shall take place after thirty days from receipt by the buyer of the notice of cancellation or the demand for rescission of the contract by a notarial act and upon full payment of the cash surrender value to the buyer. * The buyer shall have the right to sell his rights or assign the same to another person or to reinstate the contract by updating the account during the grace period and before actual cancellation of the contract. The deed of sale or assignment shall be done by notarial act.

Answer 269

a grace period of not less than sixty days from the date the installment became due If the buyer fails to pay the installments due at the expiration of the grace period, the seller may cancel the contract after thirty days from receipt by the buyer of the notice of cancellation or the demand for rescission of the contract by a notarial act.

Answer 270

Installment Sales Law

Answer 271

(1) Exact fulfillment of the obligation, should the vendee fail to pay; (2) Cancel the sale, should the vendee's failure to pay cover two or more installments; (3) Foreclose the chattel mortgage on the thing sold, if one has been constituted, should the vendee's failure to pay cover two or more installments. In this case, he shall have no further action against the purchaser to recover any unpaid balance of the price. Any agreement to the contrary shall be void. **shall also be applied to contracts purporting to be leases of personal property with option to buy, when the lessor has deprived the lessee of the possession or enjoyment of the thing **a stipulation that the installments or rents paid shall not be returned to the vendee or lessee shall be valid insofar as the same may not be unconscionable under the circumstances.

Answer 272

the refund to the BUYER of the payments equivalent to fifty percent thereof and, after five years of installments, an additional five percent (5%) for every year but not to exceed ninety (90%) of the total payments made

Answer 273

Res perit domino (Art. 1504) | The thing perishes with the owner.

Answer 274

Yes. Upon delivery of the car to the buyer, there being no retention of ownership by the seller, the buyer is still compelled to pay the balance because there is already a perfected contract of sale. Ownership passes automatically to the buyer.

Answer 275

1. Lawyers Cooperative v. Tabora - intention of ownership on the part of the seller 2. Delay in the delivery - due to one of the fault of the parties, whoever is at fault shall bear the risk

Answer 276

Seller. BUT Art. 1504 >> BUYER NA kasi may delay na. This is no longer fault of the seller because there is delay by buyer.

Answer 277

- premise here is that ownership has already passed upon buyer but the goods are stll in possession of the seller (constructive delivery) - seller will bear risk of loss if he is at fault

Answer 278

XPN: when seller reserves ownership merely to secure >> ownership is transferred to buyer (yung sa case) in case of delay, kung sino may fault, sya yung magbbear ng risk of loss

Answer 279

1164: buyer. All fruits will pertain to vendee Art. 1537 (2) | - perfected na kasi kaya si buyer na yung entitled sa fruits

Answer 280

No. THIS IS 1480 tho not 1504

Answer 281

Yes, risk of loss by FE w/o seller's fault is borne by buyer as XPN >> buyer's obligation to pay exists if he hasn't paid yet. Still 1480 not 1504

Answer 282

No. There is no valid contract of sale for lack of object. If the car was only partially destroyed, B may withdraw or demand for delivery and pay proportionate price.

Answer 283

Buyer may withdraw without payment and delivery or pay. If indivisible sya in agreement, P40,000 lang.

Answer 284

a. obligation to deliver is extinguished and B shall be obliged to pay if he hasn't paid b. he should pay damages to B c. B shall bear payment of repair d. pwede rescission with damages e. at S's expense, he shall have the right of usufructuary

Answer 285

It depends on WON C registered the sale in good faith. Registration is one of the reqs and good faith shall be an equally impt req. If the thing is sold twice, who would have a better right? >> It depends. Depends on the object of sale if movable or real. Article 1544. If the same thing should have been sold to different vendees, the ownership shall be transferred to the person who may have first taken possession thereof in good faith, if it should be movable property. Should it be immovable property, the ownership shall belong to the person acquiring it who in good faith first recorded it in the Registry of Property. Should there be no inscription, the ownership shall pertain to the person who in good faith was first in the possession; and, in the absence thereof, to the person who presents the oldest title, provided there is good faith.

Answer 286

B. Kasi hindi registered under Torrens yung land. 1544 does not apply to unregistered lands. Caruba v. CA

Answer 287

The maxim is qui prior est tempore potior est jure: he who is earlier in time is stronger in law. possession and good faith pag movable? pag immovable, first REGISTERED and in good faith, or oldest title in good faith if wala reg

Answer 288

True. Article 1537. The vendor is bound to deliver the thing sold and its accessions and accessories in the condition in which they were upon the perfection of the contract. All the fruits shall pertain to the vendee from the day on which the contract was perfected. Article 1164. The creditor has a right to the fruits of the thing from the time the obligation to deliver it arises. However, he shall acquire no real right over it until the same has been delivered to him.

Answer 289

1. Incorporeal property (quasi-traditio) - A supposed or implied delivery of property from one to another - if in A's possession na tapos binili nya, no need to deliver it back to B for B to deliver to him 2. Corporeal property (traditio) 3. Constructive

Answer 290

When the sale is made through a public instrument, the execution thereof shall be equivalent to the delivery of the thing which is the object of the contract, if from the deed the contrary does not appear or cannot clearly be inferred. when that mode of delivery is not applicable, placing title on vendor or vendee or allowing vendee to by consent of vendor

Answer 291

Yes. contract is valid kahit hindi in writing. delivery of titles effective mode of delivery of property itself. nasa case to

Answer 292

a. actual b. constructive i. delivery of keys (traditio symbolica) - keys or title of property - by execution of a public instrument. 1498. movable and immovable. presumptive delivery. so it can be proven contrary. ex: a 3rd person is illegally occupying a property. deemed modified by torren's system sec. 51 no deed shall take effect as a conveyance until its registration. PD 1529 ii. by consent (longa manu) - by pointing at property - 1499. takes place by mere consent or agreement. pointing of hands. if the thing sold cannot be transferred to the possession of the vendee during such time of transaction. iii. brevi manu - when the vendee already has possession of the thing by virtue of another title as when the lessor sells the thing leased to the lessee. occurs by operation of law iv. constitutum possessorium - 1500. a mode of delivery in the opposite of brevi manu. when the vendor continues in possession of the property sold not as the owner but in some other capacity (ex: tenant) presumption na may consent na

Answer 293

a. delivery to a common carrier: 1503(2-4), 1523, 1582 >> deemed delivery to the buyer xpn: bakit may 1505 bigla b. quality/quantity: 1481, 1522, 1539-1543, 1630, 1632-1633

Answer 294

Article 1523. Where, in pursuance of a contract of sale, the seller is authorized or required to send the goods to the buyer, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer is deemed to be a delivery of the goods to the buyer, except in the cases provided for in article 1503, first, second and third paragraphs, or unless a contrary intent appears. Unless otherwise authorized by the buyer, the seller must make such contract with the carrier on behalf of the buyer as may be reasonable, having regard to the nature of the goods and the other circumstances of the case. If the seller omit so to do, and the goods are lost or damaged in course of transit, the buyer may decline to treat the delivery to the carrier as a delivery to himself, or may hold the seller responsible in damages. Unless otherwise agreed, where goods are sent by the seller to the buyer under circumstances in which the seller knows or ought to know that it is usual to insure, the seller must give such notice to the buyer as may enable him to insure them during their transit, and, if the seller fails to do so, the goods shall be deemed to be at his risk during such transit. (n) Article 1503. When there is a contract of sale of specific goods, the seller may, by the terms of the contract, reserve the right of possession or ownership in the goods until certain conditions have been fulfilled. The right of possession or ownership may be thus reserved notwithstanding the delivery of the goods to the buyer or to a carrier or other bailee for the purpose of transmission to the buyer. Where goods are shipped, and by the bill of lading the goods are deliverable to the seller or his agent, or to the order of the seller or of his agent, the seller thereby reserves the ownership in the goods. But, if except for the form of the bill of lading, the ownership would have passed to the buyer on shipment of the goods, the seller's property in the goods shall be deemed to be only for the purpose of securing performance by the buyer of his obligations under the contract. Where goods are shipped, and by the bill of lading the goods are deliverable to order of the buyer or of his agent, but possession of the bill of lading is retained by the seller or his agent, the seller thereby reserves a right to the possession of the goods as against the buyer. Where the seller of goods draws on the buyer for the price and transmits the bill of exchange and bill of lading together to the buyer to secure acceptance or payment of the bill of exchange, the buyer is bound to return the bill of lading if he does not honor the bill of exchange, and if he wrongfully retains the bill of lading he acquires no added right thereby. If, however, the bill of lading provides that the goods are deliverable to the buyer or to the order of the buyer, or is indorsed in blank, or to the buyer by the consignee named therein, one who purchases in good faith, for value, the bill of lading, or goods from the buyer will obtain the ownership in the goods, although the bill of exchange has not been honored, provided that such purchaser has received delivery of the bill of lading indorsed by the consignee named therein, or of the goods, without notice of the facts making the transfer wrongful. (n)

Answer 295

the vendee may choose between a proportional reduction of the price and the rescission of the contract, provided that, in the latter case, the lack in the area be not less than one-tenth of that stated. The same shall be done, even when the area is the same, if any part of the immovable is not of the quality specified in the contract. The rescission, in this case, shall only take place at the will of the vendee, when the inferior value of the thing sold exceeds one-tenth of the price agreed upon. Nevertheless, if the vendee would not have bought the immovable had he known of its smaller area of inferior quality, he may rescind the sale. Art. 1539 Article 1540. If, in the case of the preceding article, there is a greater area or number in the immovable than that stated in the contract, the vendee may accept the area included in the contract and reject the rest. If he accepts the whole area, he must pay for the same at the contract rate. Article 1542. In the sale of real estate, made for a lump sum and not at the rate of a certain sum for a unit of measure or number, there shall be no increase or decrease of the price, although there be a greater or less area or number than that stated in the contract. The same rule shall be applied when two or more immovables as sold for a single price; but if, besides mentioning the boundaries, which is indispensable in every conveyance of real estate, its area or number should be designated in the contract, the vendor shall be bound to deliver all that is included within said boundaries, even when it exceeds the area or number specified in the contract; and, should he not be able to do so, he shall suffer a reduction in the price, in proportion to what is lacking in the area or number, unless the contract is rescinded because the vendee does not accede to the failure to deliver what has been stipulated. Article 1543. The actions arising from articles 1539 and 1542 shall prescribe in six months, counted from the day of delivery.

Answer 296

NO. he has the right to reject only the excess but he can be compelled to accept 1,000. what if 800 lang nadeliver, can the buyer be compelled to receive it? NO. partial performance is not a performance at all. what if same quantity pero may kahalong ibang brand. YES buyer may reject. if goods indivisible each sack may mix. pero if divisible, he may be compelled to accept yung brand na agreed upon and reject the rest.

Answer 297

specific performance if the seller is still in the position to deliver the balance. proportional reduction pwede? it depends. it is a sale with a statement or lump sum. rescission? no. it would only be a remedy if the area is lacking more than 10% of that area agreed upon.

Answer 298

the seller's place of business if he has one, and if not his residence; but in case of a contract of sale of specific goods, which to the knowledge of the parties when the contract or the sale was made were in some other place, then that place is the place of delivery.

Answer 299

within a reasonable time

Answer 300

(1) When the whole of the price has not been paid or tendered; (2) When a bill of exchange or other negotiable instrument has been received as conditional payment, and the condition on which it was received has been broken by reason of the dishonor of the instrument, the insolvency of the buyer, or otherwise. In articles 1525 to 1535 the term "seller" includes an agent of the seller to whom the bill of lading has been indorsed, or a consignor or agent who has himself paid, or is directly responsible for the price, or any other person who is in the position of a seller.

Answer 301

True. Art. 1536

Answer 302

(1) When after the obligation has been contracted, he becomes insolvent, unless he gives a guaranty or security for the debt; (2) When he does not furnish to the creditor the guaranties or securities which he has promised; (3) When by his own acts he has impaired said guaranties or securities after their establishment, and when through a fortuitous event they disappear, unless he immediately gives new ones equally satisfactory; (4) When the debtor violates any undertaking, in consideration of which the creditor agreed to the period; (5) When the debtor attempts to abscond.

Answer 303

it depends. determine muna if determinate or generic. if determinate, it will be the place where the thing is located at the time of the perfection of the contract. (1251) if generic, the seller's place of business or residence. if there is no stipulation, seller cannot be compelled to deliver. what if at the time of the perfection of a determinate thing, the thing was in transit? it depends on the shipping arrangement of the parties. - what really determines the place of the object? intention of the parties as to the place of delivery as to the manner of payment. so kung san payment dun din presumed yung place of delivery.

Answer 304

Period and term interchangeable Period - future and certain event Condition - future and uncertain event

Answer 305

1536. not bound to sell if he loses the right to use term. 1198.

Answer 306

(1) When the obligation or the law expressly so declare; or (2) When from the nature and the circumstances of the obligation it appears that the designation of the time when the thing is to be delivered or the service is to be rendered was a controlling motive for the establishment of the contract; or (3) When demand would be useless, as when the obligor has rendered it beyond his power to perform. In reciprocal obligations, neither party incurs in delay if the other does not comply or is not ready to comply in a proper manner with what is incumbent upon him. From the moment one of the parties fulfills his obligation, delay by the other begins.

Answer 307

(1) Where the buyer, expressly or by implication, makes known to the seller the particular purpose for which the goods are acquired, and it appears that the buyer relies on the seller's skill or judgment (whether he be the grower or manufacturer or not), there is an implied warranty that the goods shall be reasonably fit for such purpose; (2) Where the goods are brought by description from a seller who deals in goods of that description (whether he be the grower or manufacturer or not), there is an implied warranty that the goods shall be of merchantable quality.

Answer 308

True. This provision shall not apply if the contrary has been stipulated, and the vendor was not aware of the hidden faults or defects in the thing sold.

Answer 309

In the cases of articles 1561, 1562, 1564, 1565 and 1566, the vendee may elect between withdrawing from the contract and demanding a proportionate reduction of the price, with damages in either case.

Answer 310

In case the assignor in good faith should have made himself responsible for the solvency of the debtor, and the contracting parties should not have agreed upon the duration of the liability, it shall last for one year only, from the time of the assignment if the period had already expired. If the credit should be payable within a term or period which has not yet expired, the liability shall cease one year after the maturity.

Answer 311

No. love is an emotion not the quality, character or title of the thing. affirmation must pertain to the thing itself.

Answer 312

Yes, express warranty.

Answer 313

NO. Only the aggrieved party can invoke rescission.

Answer 314

True. unless made by an expert and the other party has relied on the former's special knowledge

Answer 315

Experty ka

Answer 316

dealer's talk >> cannot be used as express warranty. pero allowed yung kunyari this powder will make your cloth as white as cotton tapos naprove. be careful. exaggerate orally only not in writing. - false representation

Answer 317

eviction is a condition, not a warranty. because it is an operative act. seller's failure to comply does not mean failure of contract because buyer may cancel contract or waive such right na lang. eviction must not prejudice the occupants.

Answer 318

a. if the seller has the right to sell thing at the time when ownership is to pass 1547 (1) b. warranty against eviction (1548) c. 1561 warranty against hidden defects d. warranty as fitness and merchantability 1562

Answer 319

True. natural element of a contract yan.

Answer 320

1. as is where is clause. the vendor makes no warranty to the quality of the goods. does not apply to liens or encumbrances that cannot be disclosed by mere physical inspection or was unknown to vendee 2. second-hand articles. xpn: if the vendor issues a certification that the item is in good condition. express warranty na yun. 3. sale by authority or fact of law. when the sheriff sells a property of the judgment-debtor. the court will never warrant the item being sold. any action in breach of warranty must be taken against the judgment-debtor 4. property sold in auction by tax delinquency. same as 3.

Answer 321

YES. obligation to transfer ownership and obligation to warrant the thing (in contract of sales).

Answer 322

True. Pwede kasi damages lang yun.

Answer 323

True. effect of prescription: if the sale was consummated before transfer, all elements of prescription have been performed, vendor is liable for warranty against eviction EXCEPT vendee knowing of the prescription still proceeded with the sale (estoppel) if the sale was consummated after transfer, vendor is not liable for WAE.

Answer 324

YES. sa judgment-debtor

Answer 325

No. The inability of B to use the machine satisfactorily cannot be attributed to the machine's defect nor S's fault because specifications lang yung nasa contract? Balance should not be given.

Answer 326

1553 - void if act is in bad faith. both vendee and vendor dapat. otherwise, in pari delicto. in seller was in good faith, xpn is valid but without prejudice to 1554. if seller was in bad faith, stipulation is void.

Answer 327

a. consciente - without knowledge of risk of eviction. value at time of eviction shall be returned. solutio indebiti b. intencionada - with knowledge of risk of eviction. nothing should be returned. aleatory contract. buyer assumes consequences of his actions.

Answer 328

True. Less onerous for the buyer kase.

Answer 329

True. (Tuazon v. CA)

Answer 330

(1) The return of the value which the thing sold had at the time of the eviction, be it greater or less than the price of the sale; (2) The income or fruits, if he has been ordered to deliver them to the party who won the suit against him; (3) The costs of the suit which caused the eviction, and, in a proper case, those of the suit brought against the vendor for the warranty; (4) The expenses of the contract, if the vendee has paid them; (5) The damages and interests, and ornamental expenses, if the sale was made in bad faith.

Answer 331

Remedy contemplates that the one demanding has the capacity to return whatever he has received under the contract. in this case, if total eviction, ano pa mababalik sa seller? kasi totally evicted na eh. - if partial sana pwede. alternative: enforcement of warranty Effect of rescission: no encumbrances to the property dapat.

Answer 332

Ok :) Effect of enforcement: 1556 (1)

Answer 333

True. Parties 1559 seller as co-defendant with buyer. seller has the right to be notified of pending suit against him. if seller was notified but did not appear, buyer has already won the suit. can the buyer recover expenses? no kasi wala naman breach of warranty.

Answer 334

preparation for the suit itself. it is immaterial won seller has good defense. summons must nevertheless be given and buyer has done his part. notice must be for suit of eviction not breach of warranty.

Answer 335

Ok :) Requisites: Article 1561. The vendor shall be responsible for warranty against the hidden defects which the thing sold may have, should they render it unfit for the use for which it is intended, or should they diminish its fitness for such use to such an extent that, had the vendee been aware thereof, he would not have acquired it or would have given a lower price for it; but said vendor shall not be answerable for patent defects or those which may be visible, or for those which are not visible if the vendee is an expert who, by reason of his trade or profession, should have known them.

Answer 336

1. there must be grave or important defect 2. defect is hidden 3. defect present at the time of execution of the sale and not before or after 4. no waiver of warranty against hidden defects

Answer 337

(1) Where the buyer, expressly or by implication, makes known to the seller the particular purpose for which the goods are acquired, and it appears that the buyer relies on the seller's skill or judgment (whether he be the grower or manufacturer or not), there is an implied warranty that the goods shall be reasonably fit for such purpose; (2) Where the goods are brought by description from a seller who deals in goods of that description (whether he be the grower or manufacturer or not), there is an implied warranty that the goods shall be of merchantable quality.

Answer 338

1. kunyari sinabi ni buyer talaga kay seller kung san gagamitin yung goods 2. buyer relied on seller's judgment 3. occupation of seller is important justification

Answer 339

- Yes. against hidden defect kahit due to fe or fault ni vendee. but if the cause of loss is the defect itself, liability is greater. extent of liability of the vendor >> determine the cause first. Was the vendor aware of the defect? If oo, damages may be recovered. If no, cannot be held liable pero pwede sa interest. if the defect was cause of lost, vendor is liable to return price + damages?. if vendor was not aware of defects, price itself lang. if fe, vendor will be held liable for price less the value.

Answer 340

a right to cross or otherwise use someone else's land for a specified purpose Nonapparent easements are those which show no external indication of their existence.

Answer 341

Yes. Easement for right of way.

Answer 342

search pls

Answer 343

- reduction of the price - rescission - if he became aware after a year pa lang, action for damages pwede. kaso dapat within a year since knowledge.

Answer 344

M: the goods purchased are reasonably fit for the general purposes for which they are sold F: warranty that the goods are suitable for a particular or special purpose disclosed by the buyer which will not be satisfied by the mere fitness of the goods for general purpose

Answer 345

Warranty of fitness Warranty of Merchantability Warranty of Quality

Answer 346

It depends. If the car should not run as fast as expected, they will not be liable because B relied on his own judgment. If di nya naman ininform yung WMI. Pero kung alam ni seller beforehand yung purpose ni B, S has to provide info. breach of warranty if hindi sya nagprovide.

Answer 347

1566. Because of repair in the damage done. Object of the law is reparation, not punishment.

Answer 348

Yes because of his bad faith.

Answer 349

Accion redhibitoria is the remedy of buyer to withdraw or cancel the sale because the item sold has defect and is not known by the buyer when he bought it. The buyer can return the item he bought and get the money he paid to the seller.

Answer 350

QUANTI MINORIS. The name of a particular action in Louisiana. An action quanti minoris is one brought for the reduction of the price of a thing sold, in consequence of defects in the thing which is the object of the sale.

Answer 351

In the cases of articles 1561, 1562, 1564, 1565 and 1566, the vendee may elect between withdrawing from the contract and demanding a proportionate reduction of the price, with damages in either case.

Answer 352

1568 vs. 1569 Bad faith vs. Good faith bf: vendor bears loss gf: vendor bears loss bf: vendor returns the price gf: vendor returns the price paid with interest bf: vendor refunds the expenses of the contract gf: vendor reimburses expenses of the contract paid by the vendee bf: vendor is liable for damages

Answer 353

take into consideration amount. Approx 175,000 purchase price - true value. S knew of the defect kasi eh.

Answer 354

It depends. General rule: no. yung mismong animal lang, not the entire. Xpn: if he can prove that he would not have bought the other animal if he had known of one defect.

Answer 355

a redhibitory defect is a hidden defect that prevents a product from performing the task for which it was purchased

Answer 356

normally buyer. pero law provided that this is presumed by the buyer na. usually nangyayari to pag by pairs yung binibili. ex boy and girl pig to breed them.

Answer 357

True. A contract of sale of animals shall also be void if the use or service for which they are acquired has been stated in the contract, and they are found to be unfit therefor.

Answer 358

True. But if the veterinarian, through ignorance or bad faith should fail to discover or disclose it, he shall be liable for damages.

Answer 359

Article 1582. The vendee is bound to accept delivery and to pay the price of the thing sold at the time and place stipulated in the contract. If the time and place should not have been stipulated, the payment must be made at the time and place of the delivery of the thing sold.

Answer 360

Article 1233. A debt shall not be understood to have been paid unless the thing or service in which the obligation consists has been completely delivered or rendered, as the case may be.

Answer 361

express communication or act

Answer 362

No. Pwede din implied.

Answer 363

sale or return.

Answer 364

pag ka accept ni buyer, liable parin si seller sa breach ng warranty

Answer 365

Article 1502. When goods are delivered to the buyer "on sale or return" to give the buyer an option to return the goods instead of paying the price, the ownership passes to the buyer on delivery, but he may revest the ownership in the seller by returning or tendering the goods within the time fixed in the contract, or, if no time has been fixed, within a reasonable time. (n) When goods are delivered to the buyer on approval or on trial or on satisfaction, or other similar terms, the ownership therein passes to the buyer: (1) When he signifies his approval or acceptance to the seller or does any other act adopting the transaction; (2) If he does not signify his approval or acceptance to the seller, but retains the goods without giving notice of rejection, then if a time has been fixed for the return of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reasonable time. What is a reasonable time is a question of fact. (n)

Answer 366

True. But when the buyer's refusal to accept the goods is without just cause, the title thereto passes to him from the moment they are placed at his disposal.

Answer 367

when there is no delivery yet what if may delivery na? >> dapat favorable sa vendor. rescission is allowed. general rule: no extrajudicial rescission of a contract. 1191 affirmative action on the part of the parties >> not an automatic right. there must be a judicial act before rescission can take place.

Answer 368

1240. Payment shall be made to the person in whose favor the obligation has been constituted, or his successor in interest, or any person authorized to receive it. >> so pwede din sa agent

Answer 369

1241. Payment made to a third person shall also be valid insofar as it has redounded to the benefit of the creditor.

Answer 370

True. There being no express stipulation and if the undertaking is to deliver a determinate thing, the payment shall be made wherever the thing might be at the moment the obligation was constituted. In any other case the place of payment shall be the domicile of the debtor. If the debtor changes his domicile in bad faith or after he has incurred in delay, the additional expenses shall be borne by him. These provisions are without prejudice to venue under the Rules of Court.

Answer 371

Search and think please. In the problem, if in order to avoid trouble, B pays off X to settle the latter's claim to the land, may B recover - He cannot recover property??

Answer 372

Article 1592. In the sale of immovable property, even though it may have been stipulated that upon failure to pay the price at the time agreed upon the rescission of the contract shall of right take place, the vendee may pay, even after the expiration of the period, as long as no demand for rescission of the contract has been made upon him either judicially or by a notarial act. After the demand, the court may not grant him a new term.

Answer 373

Article 1526. Subject to the provisions of this Title, notwithstanding that the ownership in the goods may have passed to the buyer, the unpaid seller of goods, as such, has: (1) A lien on the goods or right to retain them for the price while he is in possession of them; (2) In case of the insolvency of the buyer, a right of stopping the goods in transitu after he has parted with the possession of them; (3) A right of resale as limited by this Title; (4) A right to rescind the sale as likewise limited by this Title. Where the ownership in the goods has not passed to the buyer, the unpaid seller has, in addition to his other remedies a right of withholding delivery similar to and coextensive with his rights of lien and stoppage in transitu where the ownership has passed to the buyer. Are there other? yes.

Answer 374

Article 1528. Where an unpaid seller has made part delivery of the goods, he may exercise his right of lien on the remainder, unless such part delivery has been made under such circumstances as to show an intent to waive the lien or right of retention.

Answer 375

Article 1531. Goods are in transit within the meaning of the preceding article: (1) From the time when they are delivered to a carrier by land, water, or air, or other bailee for the purpose of transmission to the buyer, until the buyer, or his agent in that behalf, takes delivery of them from such carrier or other bailee; (2) If the goods are rejected by the buyer, and the carrier or other bailee continues in possession of them, even if the seller has refused to receive them back. Goods are no longer in transit within the meaning of the preceding article: (1) If the buyer, or his agent in that behalf, obtains delivery of the goods before their arrival at the appointed destination; (2) If, after the arrival of the goods at the appointed destination, the carrier or other bailee acknowledges to the buyer or his agent that he holds the goods on his behalf and continues in possession of them as bailee for the buyer or his agent; and it is immaterial that further destination for the goods may have been indicated by the buyer; (3) If the carrier or other bailee wrongfully refuses to deliver the goods to the buyer or his agent in that behalf. If the goods are delivered to a ship, freight train, truck, or airplane chartered by the buyer, it is a question depending on the circumstances of the particular case, whether they are in the possession of the carrier as such or as agent of the buyer. If part delivery of the goods has been made to the buyer, or his agent in that behalf, the remainder of the goods may be stopped in transitu, unless such part delivery has been under such circumstances as to show an agreement with the buyer to give up possession of the whole of the goods.

Answer 376

If perishable yung good. Or in default yung buyer?

Answer 377

No. 1533. Article 1533. Where the goods are of perishable nature, or where the seller expressly reserves the right of resale in case the buyer should make default, or where the buyer has been in default in the payment of the price for an unreasonable time, an unpaid seller having a right of lien or having stopped the goods in transitu may resell the goods. He shall not thereafter be liable to the original buyer upon the contract of sale or for any profit made by such resale, but may recover from the buyer damages for any loss occasioned by the breach of the contract of sale. Where a resale is made, as authorized in this article, the buyer acquires a good title as against the original buyer. It is not essential to the validity of resale that notice of an intention to resell the goods be given by the seller to the original buyer. But where the right to resell is not based on the perishable nature of the goods or upon an express provision of the contract of sale, the giving or failure to give such notice shall be relevant in any issue involving the question whether the buyer had been in default for an unreasonable time before the resale was made. It is not essential to the validity of a resale that notice of the time and place of such resale should be given by the seller to the original buyer. The seller is bound to exercise reasonable care and judgment in making a resale, and subject to this requirement may make a resale either by public or private sale. He cannot, however, directly or indirectly buy the goods.

Answer 378

Article 1598. Where the seller has broken a contract to deliver specific or ascertained goods, a court may, on the application of the buyer, direct that the contract shall be performed specifically, without giving the seller the option of retaining the goods on payment of damages. The judgment or decree may be unconditional, or upon such terms and conditions as to damages, payment of the price and otherwise, as the court may deem just.

Answer 379

(1) By payment or performance; (2) By the loss of the thing due; (3) By the condonation or remission of the debt; (4) By the confusion or merger of the rights of creditor and debtor; (5) By compensation; (6) By novation. Other causes of extinguishment of obligations, such as annulment, rescission, fulfillment of a resolutory condition, and prescription, are governed elsewhere in this Code.

Answer 380

Article 1601. Conventional redemption shall take place when the vendor reserves the right to repurchase the thing sold, with the obligation to comply with the provisions of article 1616 and other stipulations which may have been agreed upon. Seller reserved the right to repurchase thing sold coupled with obligation to return price of the sale, expenses of contract & other legitimate payments and the necessary & useful expenses made on the thing sold Note: Right to repurchase must be reserved at the time of perfection of sale. Article 1606. The right referred to in article 1601, in the absence of an express agreement, shall last four years from the date of the contract. Should there be an agreement, the period cannot exceed ten years. However, the vendor may still exercise the right to repurchase within thirty days from the time final judgment was rendered in a civil action on the basis that the contract was a true sale with right to repurchase.

Answer 381

Pacto de Retro sale refers to the sale wherein the seller has the right to repurchase the subject matter or the property being sold. The essence of a pacto de retro sale is that the title and ownership of the property sold transfers immediately to the vendee a retro.

Answer 382

(1) When the price of a sale with right to repurchase is unusually inadequate; (2) When the vendor remains in possession as lessee or otherwise; (3) When upon or after the expiration of the right to repurchase another instrument extending the period of redemption or granting a new period is executed; (4) When the purchaser retains for himself a part of the purchase price; (5) When the vendor binds himself to pay the taxes on the thing sold; (6) In any other case where it may be fairly inferred that the real intention of the parties is that the transaction shall secure the payment of a debt or the performance of any other obligation. In any of the foregoing cases, any money, fruits, or other benefit to be received by the vendee as rent or otherwise shall be considered as interest which shall be subject to the usury laws.

Answer 383

Article 1608. The vendor may bring his action against every possessor whose right is derived from the vendee, even if in the second contract no mention should have been made of the right to repurchase, without prejudice to the provisions of the Mortgage Law and the Land Registration Law with respect to third persons. Article 1610. The creditors of the vendor cannot make use of the right of redemption against the vendee, until after they have exhausted the property of the vendor. (1512) Article 1612. If several persons, jointly and in the same contract, should sell an undivided immovable with a right of repurchase, none of them may exercise this right for more than his respective share. The same rule shall apply if the person who sold an immovable alone has left several heirs, in which case each of the latter may only redeem the part which he may have acquired. Article 1614. Each one of the co-owners of an undivided immovable who may have sold his share separately, may independently exercise the right of repurchase as regards his own share, and the vendee cannot compel him to redeem the whole property. (1516) Article 1615. If the vendee should leave several heirs, the action for redemption cannot be brought against each of them except for his own share, whether the thing be undivided, or it has been partitioned among them. But if the inheritance has been divided, and the thing sold has been awarded to one of the heirs, the action for redemption may be instituted against him for the whole.

Answer 384

Article 1619. Legal redemption is the right to be subrogated, upon the same terms and conditions stipulated in the contract, in the place of one who acquires a thing by purchase or dation in payment, or by any other transaction whereby ownership is transmitted by onerous title. Article 1620. A co-owner of a thing may exercise the right of redemption in case the shares of all the other co-owners or of any of them, are sold to a third person. If the price of the alienation is grossly excessive, the redemptioner shall pay only a reasonable one. Should two or more co-owners desire to exercise the right of redemption, they may only do so in proportion to the share they may respectively have in the thing owned in common. (1522a) Article 1621. The owners of adjoining lands shall also have the right of redemption when a piece of rural land, the area of which does not exceed one hectare, is alienated, unless the grantee does not own any rural land. This right is not applicable to adjacent lands which are separated by brooks, drains, ravines, roads and other apparent servitudes for the benefit of other estates. If two or more adjoining owners desire to exercise the right of redemption at the same time, the owner of the adjoining land of smaller area shall be preferred; and should both lands have the same area, the one who first requested the redemption. (1523a) ARTICLE 1622. Whenever a piece of urban land which is so small and so situated that a major portion thereof cannot be used for any practical purpose within a reasonable time, having been bought merely for speculation, is about to be re-sold, the owner of any adjoining land has a right of pre-emption at a reasonable price. If the re-sale has been perfected, the owner of the adjoining land shall have a right of redemption, also at a reasonable price. When two or more owners of adjoining lands wish to exercise the right of pre-emption or redemption, the owner whose intended use of the land in question appears best justified shall be preferred. (n) Article 1623. The right of legal pre-emption or redemption shall not be exercised except within thirty days from the notice in writing by the prospective vendor, or by the vendor, as the case may be. The deed of sale shall not be recorded in the Registry of Property, unless accompanied by an affidavit of the vendor that he has given written notice thereof to all possible redemptioners. The right of redemption of co-owners excludes that of adjoining owners.

Answer 385

1. specific performance 2. damages 3. rescission 4. recto law Article 1484. In a contract of sale of personal property the price of which is payable in installments, the vendor may exercise any of the following remedies: (1) Exact fulfillment of the obligation, should the vendee fail to pay; (2) Cancel the sale, should the vendee's failure to pay cover two or more installments; (3) Foreclose the chattel mortgage on the thing sold, if one has been constituted, should the vendee's failure to pay cover two or more installments. In this case, he shall have no further action against the purchaser to recover any unpaid balance of the price. Any agreement to the contrary shall be void. (1454-A-a) Article 1485. The preceding article shall be applied to contracts purporting to be leases of personal property with option to buy, when the lessor has deprived the lessee of the possession or enjoyment of the thing. (1454-A-a) Article 1486. In the case referred to in the two preceding articles, a stipulation that the installments or rents paid shall not be returned to the vendee or lessee shall be valid insofar as the same may not be unconscionable under the circumstances.

Answer 386

(1) Where the goods have been sold without any stipulation as to credit; (2) Where the goods have been sold on credit, but the term of credit has expired; (3) Where the buyer becomes insolvent. The seller may exercise his right of lien notwithstanding that he is in possession of the goods as agent or bailee for the buyer.

Answer 387

(1) When he delivers the goods to a carrier or other bailee for the purpose of transmission to the buyer without reserving the ownership in the goods or the right to the possession thereof; (2) When the buyer or his agent lawfully obtains possession of the goods; (3) By waiver thereof. The unpaid seller of goods, having a lien thereon, does not lose his lien by reason only that he has obtained judgment or decree for the price of the goods.

Answer 388

(1) From the time when they are delivered to a carrier by land, water, or air, or other bailee for the purpose of transmission to the buyer, until the buyer, or his agent in that behalf, takes delivery of them from such carrier or other bailee; (2) If the goods are rejected by the buyer, and the carrier or other bailee continues in possession of them, even if the seller has refused to receive them back. Goods are no longer in transit within the meaning of the preceding article: (1) If the buyer, or his agent in that behalf, obtains delivery of the goods before their arrival at the appointed destination; (2) If, after the arrival of the goods at the appointed destination, the carrier or other bailee acknowledges to the buyer or his agent that he holds the goods on his behalf and continues in possession of them as bailee for the buyer or his agent; and it is immaterial that further destination for the goods may have been indicated by the buyer; (3) If the carrier or other bailee wrongfully refuses to deliver the goods to the buyer or his agent in that behalf. If the goods are delivered to a ship, freight train, truck, or airplane chartered by the buyer, it is a question depending on the circumstances of the particular case, whether they are in the possession of the carrier as such or as agent of the buyer. If part delivery of the goods has been made to the buyer, or his agent in that behalf, the remainder of the goods may be stopped in transitu, unless such part delivery has been under such circumstances as to show an agreement with the buyer to give up possession of the whole of the goods.

Answer 389

A person is insolvent within the meaning of this Title who either has ceased to pay his debts in the ordinary course of business or cannot pay his debts as they become due, whether insolvency proceedings have been commenced or not.

Answer 390

1. Withhold delivery (possessory lien) 2. Stoppage in transitu 3. Resell the goods 4. Rescission 5. Action for the price (specific performance) 6. Action for damages

Answer 391

a. - cause the offer to cease by law. even if he subsequently accepted, hindi na pwede kasi withdrawn na yung offer before pa sya iterminate. no contract of sale to begin with because wala naman consent. - no damages because of the withdrawal. wala pang rejection or acceptance, so the offer can be withdrawn anytime. Rigos vs. Sanchez b. - answer will be the same. lack of consent. may withdrawal pa nga din eh kahit may bayad yun, no consent na. pero damages will be given. c. - perfected na yung contract. valid and perfected contract na to. They are bound to fulfill what is stated in the contract.

Answer 392

Yes. Resolutory condition.

Answer 393

No. She needs to manifest her acceptance.

Answer 394

False. 1474 Article 1474. Where the price cannot be determined in accordance with the preceding articles, or in any other manner, the contract is inefficacious. However, if the thing or any part thereof has been delivered to and appropriated by the buyer he must pay a reasonable price therefor. What is a reasonable price is a question of fact dependent on the circumstances of each particular case.

Answer 395

False. Specific performance action

Answer 396

False. Option - right to purchase Sale - thing itself

Answer 397

False. Sale is not subject to a suspensive condition

Answer 398

False. 1397 Article 1397. The action for the annulment of contracts may be instituted by all who are thereby obliged principally or subsidiarily. However, persons who are capable cannot allege the incapacity of those with whom they contracted; nor can those who exerted intimidation, violence, or undue influence, or employed fraud, or caused mistake base their action upon these flaws of the contract.

Answer 399

True. 1174

PART 1 Flashcards

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