Pre-Mid Reviewer Flashcards
(60 cards)
🟢BAILMENT🟢
Today is 2025, it was agreed , and in 2027 you will take the bar and you remind the judge that she will lend 100k to defray expenses for review. In 20227, you demanded performance and the judge refused. Can you compel?
Performance of obligation and one year has already passed (statute of frauds) while it is valid and binding, judge can invoke the unenforceability of the contract–here it is binding but not enforceable. Has to be in writing to be enforceable.
You borrowed a book, when you later gave coffee as thanks for the borrowing book. Is this still commodatum
Not anymore because you’re paying of a valuable consideration
You are bailee and borrowed a car, a motorcycle passed and scratch. Who shall shoulder the expense?
Ordinary expense shall be shouldered by the bailEE
You are bailee of a car for the purpose of driving to school and back. You went to bantayan and had the car in the ship. there was storm, then the it was destroyed. Who is liable?
bailee
“ARTICLE 1942. The bailee is liable for the loss of the thing, even if it should be through a fortuitous event:
(1) If he devotes the thing to any purpose different from that for which it has been loaned”
Can the bailee retain the thing because he has the claim against the bailor (ex. Extraordinary expenses for preservation or a claim for under another contract)
GR: NO. As soon as the time has expired, the bailed property must be restored to the bailor. This is true even if the bailor owes the bailee something including claims for extraordinary expenses.
xpn
If bailee has claims for damages by reason of the hidden defects or flaws of the thing bailed which he was not warned or informed about. However, the right of retention is only until he is reimbursed (1944)
Obligations of The Bailor Primary obligation: To allow the bailee the use of the thing loaned for the duration of the period stipulated.
Other Obligations (merely accidental, to avoid unjust consequences)
- To refund the bailee for the extraordinary expenses incurred by the latter, if notified by the bailee.
- To answer for damages to the borrower if due to defects known and not disclosed
What is the rule with respect to extraordinary expenses in bailment?
borne by the bailOR provided bailEE notified bailOR BEFORE expenses were incurred except in urgency and delay will cause danger
xpn:
- EE (extraorindary expense) incurred by bailEE by own volition
note
if EE incurred by bailEE on the occasion of the actual use of the thing, it shall be equally shared by bailEE and bailOR
🟢DEPOSITARY🟢
Foreigner went to Phil to work in the slums. Every time he stays in the hotel, he would be accompanied by a lady and he would stay for long because he would travel back to this country but the deposit box was continued even when outside the country.
One time he was out and came back he noticed that a certain amount was missing and attributed it to this forgetfulness but it came to a point that it became regular that some amounts would be missing anc confronted the hotel staff and they admitted that Mdm whoever he brought, she would open the box whenever he was out.
He filed a case against the HOTEL. Was the hotel liable
Oh we thought she was your wife because she was always with you. –SC said even if that was the wife, she was not the renter.
-Ary is holding a thing but will be permanently leaving for the US.
The -ary consigns the thing in court. is this tenable?
Yes if it was a gratuitous deposit but if otherwise it is untebale
“ARTICLE 1989. Unless the deposit is for a valuable consideration, the depositary who may have justifiable reasons for not keeping the thing deposited may, even before the time designated, return it to the depositor; and if the latter should refuse to receive it, the depositary may secure its consignation from the court.”
GR: G-or is not liable to more than what he obliged himself to be
XPN:
when the G-or, defaults on his payment and there is judicial demand then he is liable for his part + interst
If -ary INCAPBALE sold the thing but hasn’t received the amount, what is the remedy
good faith
- go to -Ary to the amount for it
bad faith
→ Subrogatory action to the third person
Is the depositary allowed to demand that the depositor prove his ownership of the thing deposited?
ownership of the depositor over the thing isn’t required in a contract of deposit.
If the depositary has a reasonable ground to believe that the depositor did not lawfully acquire the thing deposited, can he refuse to return the thing?
No, he cannot refuse to return. He has to return. * But he may return the thing even without the demand by the depositor. You do not need to wait for the demand to return to thing. You can return even without demand.
- Note that ordinarily, the obligation to return arises from the time it was demanded to return by the depositor.
What is the rule should the depositary discover that the thing deposited has been stolen
If true owner is identified – The depositary shall immediately notify the true owner of the deposit. In the meantime, the depositary can refuse to return the thing and wait for 1 month for the true owner to claim the thing.
Take Note:
1. Depositary is not allowed to return the thing to the alleged owner without the knowledge of the depositor. His duty is merely to advise.
2. If true owner fails to claim within 1 month, the depositary may return the thing to the depositor.
If the true owner cannot be identified
- depositary may return the thing to the depositor.
- mere knowledge of fact that it was unlawfully acqwuired by -Or does NOT justify refusal to return the thing
“If a movable thing is attached by the creditor of the -Or, (when the problem says the creditor attached, it means the sheriff did it.) It was attached because C filed a case against -Or and obtained preliminary writ of attachment.
Can the judgment obligee attach the thing in custody? “
YES
Even when there is demand by -or or the judgment obligor, the -ary has the right to refuse.
Knowledge check: if no stipulation where return is made, return will be made
return will be made at the time of demand without fault on the part of the -ary
100k by -Or arises from another agreement between the -Ary not from the deposit agreement. -Or now demands for the thing and -Ary says let’s have a set-off. Can he call it quits? Can -ary insist on that?
If they agree, then no problem. But as a matter if right, -ary can’t compel
Jeffrey See, arrived and checked in at the City Garden Hotel (owned by Durban). * He was later on awakened by a telephone call that the car was forcibly stolen and that Justimbaste was unable to stop the carnapper from driving the car away.
Pioneer alleged that See’s car got stolen because of the alleged negligence of Durban as this is its second carnap incident, but it did not do something about it.
Is Durban Apartment liable for the loss of Ginny’s vehicle. Explain.
Thus, the contract of deposit was perfected from See’s delivery, when he handed over to Justimbaste the keys to his vehicle,
🟢GUARANTY/SURETY🟢
D owes C 100K with G as guarantor. G paid the 100K to C when the debt fell due, but G did this without first notifying D. Not being aware of the payment by G,
D repeated the payment. Can G recover from D?
No, G cannot recover from D
since G(guarantor) did not notify D, and later D paid, G can recover from C.
if, however;
- guaranty is gratuitous
- creditor is insolvent
- there was a fortuitous event preventing notice
then B must remiburse guarantor C
Mil obtained a loan from Martin for 10M secured by lee for a premium fee of 10k.
Mil defaulted without having to pay lee the premium, Lee then raises that there was no suretyship to begin with because of failure to pay premium
rule
UNtenable
LB: Pryce Assurance
Irrespective of payment or non-payment of the premium for the bond executed by surety accepted by creditor, such bond is enforceable against such surety.
A owes B 100K with C as guarantor.
A authorized C to pay B when the debt matures.
C paid the 100K to B when the debt fell due, but C did this without first notifying A. Not being aware of the payment by C, A repeated the payment. Can C recover from A?
no need to notify if there is prior authorization
if Person A asks Person B to be a guarantor for the debt of Person C (who is not present), then Person B, after paying the debt, has the right to seek reimbursement from who?
Person A (the one who requested the guaranty) – because it was their request that led Person B to become a guarantor.
Person C (the actual debtor) – because the debt was originally theirs, and the guarantor merely paid on their behalf.
There are 4 G-ors, the first g-or paid the entire obligation, can 1st G-0r first seek reimbursement on the other G-0r?
No, If one guarantor pays the entire obligation, he cannot seek reimbursement from the other co-guarantors because he waives the right of division.
XPNS
1. If payment was made by virtue of a judicial demand
- If the principal debtor is insolvent
suppose between the 4 G-ors, the 3rd one became insolvent, what effect will this have?
The debt will be divided proportionally by the remaining G-ors
PNLY IF Payment is by cirtue of judicial order OR debtor insolvent