OBLICON TEASERS

Which of the following is not an element of an obligation?

a. Juridical necessity
b. Juridical tie
c. Vinculum juris
d. Prestation
A civil obligation differs from a natural obligation in that is a civil
obligation:
a. The obligation is enforceable by court action.
b. The obligation exists in equity and moral justice.
c. If payment is voluntarily made although it was no longer required, the
same can no longer be recovered.
d. There is no juridical necessity to perform it.
F and M are the parents of S, a government employee who is married to
D. F is an employee of a private firm, while M is a housewife. While S
was on an out-of-town assignment, D was brought to the hospital for
medical treatment by F and M, her parents-in-law. The hospital wants to
collect now from F and M for the medical expenses.
a. Only F is liable because he is the one employed.
b. Both F and M are liable because it was they who brought D to the
hospital.
c. Only S, the husband of D, is liable as he is the one obliged by law to
support his wife.
d. The three of them are liable because they belong to the same family
and are obligated by law to support.
 Teodoro leased an apartment owned by Orlando for two years. He pays
a monthly rental amounting to P10,000.00. The obligation of Teodoro to
pay the rental of the apartment is an obligation arising from:
a. Law
b. Contract
c. Quasi-contracts
d. Quasi-delicts
The prestation in the preceding number is:
a. The apartment owned by Orlando.
b. The payment of the monthly rental by Teodoro
c. Orlando, the owner of the premises.
d. Teodoro, the tenant.
B went to S Grocery Store to buy some goods. He handed to the cashier
5 pieces of P1,000 bill for the goods worth P4,700.00 that he purchased.
Shortly upon arriving home, he noticed that the cashier gave him a
change of P600.00 consisting of 3 pieces of P200.00 bill, or an excess
change of P300.00. The receipt indicated that only P4,700.00 worth of
goods were purchased.
a. B is obliged to return the excess of P300.00 because it is a case of
payment that is not due.
b. B is not obliged to return the excess because it was not his fault
that he received an excess of P300.00
c. B is not obliged to return the excess of P300.00 since the cashier
will have no way of knowing that an excess amount was given to B.
d. B is not obliged to return the excess because the receipt did not
indicate that there was an excess payment.
D and C are the owners of neighbouring stalls in Divisoria. D got sick and
had no one to tend to his store which contained some perishable items.
When C noticed that D had not been around already for almost a week, C
had the perishable items owned by D placed in a cold storage to preserve
them. C incurred P1,000.00 for the purpose.
a. D must reimburse P1,000.00 to C since he was benefited by the act
of C.
b. D has no obligation to reimburse C since he did not authorize C to
place the perishable items in a cold storage.
c. D must reimburse P1,000.00 to C because C had an authority to do
so they being neighbors.
d. D need not reimburse P1,000.00 to C because no one should
intrude into the affairs or business of another.
D stole the carabao of C. D was arrested, tried and convicted. He was ordered by
the court to return the carabao. D’s obligation to return the carabao is an obligation
arising from:
a. Law
b. Contracts
c. Quasi-delicts
d. Delicts
Refer to the preceding number. Before D could return the carabao, it fell into a
ravine without his fault and died. Which of the following statements is incorrect?
a. D’s obligation to C is extinguished because the loss is due to fortuitous event.
b. D must still pay for the value of the carabao.
c. D must still pay for consequential damages even if the carabao was not lost.
d. D must be imposed a prison term or other penalty even if the carabao was
not lost.
D and his playmates were playing baseball on a vacant lot. When D took the
bat, he struck so hard that the ball flew and broke the glass window of N, his
neighbour. In this case, D shall be liable to N for damages arising from:
a. Quasi-delicts
b. Quasi-contracts
c. Crime
d. D is not liable at all, because the damage to the window was accidental.
Which of the following is not a determine thing?
a. My dog named “Spotty.”
b. Lancer car with engine no. A23867, body no. B98675, and plate no.
CBV-785.
c. The wristwatch I am wearing.
d. Twenty sacks of rice.
A person obliged to give a determine thing is also obliged to take care of
the thing with:
a. The good diligence of a father of a family.
b. The diligence of a father of a good family.
c. The diligence of a good father of a family.
d. Extraordinary diligence.
As a rule, person obliged to give a determine thing is also
obliged to take care of the thing with:
a. The good diligence of a father of a family.
b. The diligence stipulated or that required by law.
c. The diligence of a good father of a family.
d. Extraordinary diligence.
Maria obliged herself to deliver to Mario a parcel of land with
improvements consisting of mango fruit bearing trees. At the time of the
sale, the trees are with fruits ready for harvest. What kind of fruits can be
identified in this problem?
a. Natural fruits
b. Industrial Fruits
c. Civil Fruits
d. Juicy Fruits
If the above-stated land is covered by a lease agreement during the sale
which will terminate only after six months from the date of sale, what
fruits can be identified in this problem, if any?
a. Natural fruits
b. Industrial fruits
c. Civil fruits
d. No fruits involved in the problem
A sold to B her car in the amount of Php 500,000. On the
stipulated date of payment and delivery, A refused to honour the
contract, demanding for the increase of the price to P 600,000.
The following are alternative remedies of B except:
a. Demand fulfilment of obligation by specific performance
b. Rescind the contract and demand damages
c. Demand damages only if no action can be undertaken
d. Ask another person to deliver another car at the expense of A
plus damages
The obligation to deliver arises:
a. Upon perfection, if the obligation is one without a
suspensive term or suspensive condition.
b. Upon the happening of the condition, if the obligation is
subject to a suspensive condition.
c. Upon the arrival of the term, if the obligation is subject to a
suspensive period.
d. All of the above.
On August 1, 2016, D promised to give his agricultural lot to C if C passes
the Bar Examination. C took the examination on September 20, 2016. The
result of the examination was released on April 18, 2017 and C passed it.
The obligation of D to give his agricultural lot to C commenced on:
a. August 1, 2016
b. September 20, 2016
c. April 18, 2017
d. d. At any time after April 18, 2017 when D had taken his oath as a new
lawyer.
C shall be entitled to the crops (fruits) that had grown on the agricultural
lot starting from:
The obligation of D to give his agricultural lot to C arose:
a. August 1, 2016
b. September 20, 2016
c. April 18, 2017
d. At any time after April 18, 2010 when D had taken his oath as a new
lawyer.
The right of C to demand the delivery of the agricultural lot and the crops
from the time the obligation to deliver the lot arose is known as:
a. Real Right
b. Personal Right
c. Civil rights
d. Natural right
Assume that D actually delivered the agricultural lot and the crops to C on May 1,
2017. On such date, what right was acquired by C over the agricultural lot and
the crops?
a. Real Right
b. Personal Right
c. Civil rights
d. Natural right
Assuming D sold the land to F on June 5, 2016 on the belief that C would not pass
the bar exam. C’s right to land assuming same is registered to the Registry of
Deed begins on:
a. August 1, 2016
b. September 20, 2016
c. April 18, 2017
d. At any time after April 18, 2010 when D had taken his oath as a new lawyer.
T leased a commercial building owned by O. Under the lease contract “(T)
the Lessee is prohibited from installing electronically-operated signages
without the written consent of the Lessor”. T installed a neon signage at
the front of the building without the written consent of O. Based on the
foregoing, which of the following statements is incorrect?
a. O may ask T to remove or take down the neon signage.
b. O may demand the payment of damages from T.
c. O cannot avail himself of either (a) or (b) because the stipulation
prohibiting the installation of the signage is void for being in restraint of
trade.
d. O himself may remove or take down the signage at T’s expense.
Demand is not required in order for delay to exist in the following cases, except when:
a. Time was a controlling motive for the establishment of the contract.
b. Demand is useless.
c. The law or the obligation expressly provides that demand is not required.
d. The obligation is silent as to whether demand is required or not for the performance of
the obligation

D is obliged to deliver a specific cell phone to C at the latter’s residence on March 1, 2017.
On March 1, 2017, C waited at his residence for the delivery of the cell phone but said
cellphone was destroyed in a fire that razed the store of D.
a. D will be liable for damages to C.
b. D was already in default at the time of the loss of the cell phone.
c. D’s obligation is extinguished.
d. No demand was required to be made by C upon D for the latter to be in default because
a date was provided for the performance of D’s obligation.
P called ABC Travel Agency (ABC) to book him for a flight to Davao City on April 30, 2010 at 5:00
p.m. P informed ABC that he was the scheduled guest speaker at the Accounting Convention on
May 1, 2016 at 9:00 a.m. and that he had to be in Davao City in the evening of April 30 in time
for the convention. Per agreement, ABC would deliver the plane ticket at the Manila Domestic
Airport at 3:00 p.m. of April 30, at which time P would pay the cost of the plane ticket as has
been their usual arrangement since P was a regular customer of ABC. On April 30, P waited at
the airport at the time agreed upon but no representative of ABC came to deliver the plane
ticket. As a result, P missed his flight. P now sued ABC for damages, but the latter maintained
that it should not be liable because P never made any demand for the delivery of the plane
ticket.
a. ABC is correct; it is not liable because P should have made a demand for the delivery of the
ticket at the time agreed upon.
b. ABC is not correct; it was in default although no demand was made, and thus will be liable for
damages.
c. ABC is not liable for damages; P should have inquired whether there were other available
flight to Davao City at that time.
d. ABC is not liable for damages since P did not pay for the plane fare in advance.
 D is obliged to deliver 5 bags of powder soap to C 7 days from their
agreement. On due date, D delivered 5 bags of powder soap mixed with
chalk. What is the status of the agreement between D and C?
* The agreement is valid. The fraud was committed during the
performance of the obligation and not during the agreement of the parties.
This is a case of incidental fraud (dolo incidente) not causal fraud (dolo
causante).

D is obliged to give C a specific watch, a specific ring or a specific bracelet.

The parties agreed that C will have the right to choose the thing which will
be given to him. Before C could make his choice, the watch and the ring are
lost through D’s fault, successively. What is the right of C?
* C may choose the delivery to him of the bracelet, or the price of the
watch or the price of the ring plus damages.
A, B, C and D are obliged to give X, Y and Z P12,000. X may collect from A how much?
* P1,000. When the obligation is silent, it is presumed joint.

A, B, C and D, joint debtors are obliged to give X, Y, and Z, solidary creditors, P12,000. How much
may X collect from A?
* P 3,000. As a solidary creditor, X may collect the whole amount owed by the joint
debtor A.

A, B, C and D, solidary debtors, are obliged to give X, Y and Z, joint creditors, P12,000. How much
may X collect from A?
* P4,000. As a joint debtor X is entitled only to his proportionate share, and A being a
solidary debtor may be required to pay the said amount.

A, B, C and D, solidary debtors, are obliged to give X, Y and Z, solidary creditors, P12,000. How
much may X collect from A?
* P12,000. X being a solidarity creditor may ask for the payment of the whole amount in
behalf of his co-creditors subject to a responsibility of X to give the latter their corresponding
shares. Similarly, A as a solidary debtor may be required to pay the whole amount of the
obligation subject to reimbursement from his co-debtors.
A and B are indebted to X and Y for P10,000. A and B share in the debt in
the ratio of 1:3 while X and Y share in the credit in the ratio of 2:3.

a. How much may X collect from A if the debtors are joint debtors,
while the creditors are joint creditors?
* P1,000. The obligation is joint on both the debtor and
creditor, therefore there are as many debts (credits) as debtors (creditors).
COMPUTATION:
Proportionate Share of A:
¼ x P10,000 = P 2,500

Proportionate Share of B on A’s Proportionate Debt:

2/5 X P2,500= P 1,000
How much may X collect from A if there is active solidarity?
* P2,500(see computation above). The whole amount of the
proportionate share of A could be collected by X. As a solidary creditor, X may collect
the whole amount of the obligation corresponding against one or more debtors.

c. How much may X collect from A if there is passive solidarity?

* P4,000. Being a joint creditor, X can collect only his corresponding
share in the credit. The full amount could be collected to A, being a solidary debtor.

COMPUTATION:
Proportionate Share of X in the credit:
2/5 x P10,000 = P 4,000

d. How much may X collect from A if there is mixed solidarity?

P10,000. Since there is mixed solidarity the whole amount of obligation
may be collected by any of the solidary creditors against any of the solidary debtors.
A, B and C are solidary debtors of X, Y and Z, solidary creditors, in the amount of
P2,700. X renounces the whole obligation without the consent of Y and Z. The
debtors accepted the renunciation. What is the legal effect of the renunciation?
* The whole obligation is extinguished, however X shall be liable to the
corresponding shares of the other co-creditors as they have agreed upon.

A, B and C are solidary debtors of X in the amount of P3,000. X renounces the

share of A and A accepts the renunciation. Thereafter B becomes insolvent.
What is the legal effect of the renunciation?
* A will be liable for P500, while C will be liable for P1,500 (P1,000 +
P500). Since the remaining obligation is P2,000 after the renunciation of A’s
share, and thereafter B becomes insolvent, A and C would have to absorb the
debt corresponding to B in the amount of P1,000. This shall be divided equally
by A and C.
A, B and C are solidary debtors of X in the amount of P30,000. C was
insane at the time the obligation was constituted. What is the legal effect?
* X may collect from either A or C P20,000. Art. 1222 provides that
a solidary debtor may avail himself of the partial defense of the insanity of
C. Such defense is personal to C and would therefore affect only the part
of the debt to which C may be responsible.

A, B and C are obliged to deliver a specific horse to X, Y and Z. What

would be the legal effect when C cannot comply with his obligation?
*This is a case of a jointly-indivisible obligation. Assuming there was
a valid demand made against all the debtors and since C could not comply
with his part of the obligation, the obligation is converted into a monetary
obligation to pay the value of the horse plus damages. (1224)
These statements concerning obligations with a penal clause are presented to
you:
I. Proof of actual damages suffered by the creditor is required in order that the
penalty may be demanded.
II. The penalty may be reduced by the court if there was partial performance
because of the stipulation the parties that the same must be paid in full in
case of non compliance.
• In your evaluation of the foregoing statements:
a. Both statements are true.
b. Both statements are false.
c. Only Statements I is true.
d. Only Statements II is true.
D borrowed P20,000.00 from C. The debt, which bears interest at 10% per
annum, is due after one year. On due date, D paid C P20,000.00 representing the
principal, but by that time C had already become insane. Later, G, the guardian of
C, demanded payment from D but D presented a receipt issued by C
acknowledging the payment. Upon investigation, G discovered that P8,000.00
was still in C’s possession; P9,000.00 was spent by C for groceries as evidenced by
the receipt of Esem Supermarket; and P3,000.00 was admitted by C to have been
lost by him in a gambling game. G may demand payment from D in the amount
of:
a. P2,000.00, representing the interest.
b. P5,000.00, representing the interest and the gambling loss.
c. P14,000.00, representing the interest, the gambling loss, and the cost of
groceries.
d. P22,000.00, the total debt because payment to an incapacitated creditor is not
valid.
• D owed C Electric Company P3,000.00 representing the power bill of D for
May. C Electric Company gave a collector’s uniform to T although T was not
its employee. T, without authority from C Electric Company, wore the
uniform, got the company receipt, and collected the amount owed by D. D
made the payment to T believing that the latter was an employee of C
Electric Company. The payment made by D to T is:
a. Valid if T remits the payment to C Electric Company.
b. Valid even if T does not remit the payment to C Electric Company.
c. Not valid because T is not an employee of C Electric Company.
d. Not valid because T was not authorized to receive the payment.
D1 owes D2 P20,000.00. C files a complaint for collection against D2 allegedly
for a sum of money that D2 owed him, and asks the court to issue the order to
D1 not to make any payment to D2. The court issues the order. D1, however,
pays D2 in violation of the court order.
I. If the court renders judgment in favor of C, D1 can be required to pay again,
this time, to C.
II. If the court renders judgment that C is not a creditor of D2, the payment
made by D1 to D2, is considered validated.
a. Both statements are true.
b. Both statements are false.
c. Only Statements I is true.
d. Only Statements II is true.
D borrowed P10,000 from C with G as guarantor. Subsequently, D paid C P
2,000. Unknown to D, T a third person paid C P10,000 believing that D still
owed C such amount. What is the legal effect of the payment by T?
* T can recover P8,000 from D, the law provides that only the
amount to which the creditor has benefited could be reimbursed to the
third person paying if the payment was without knowledge of the creditor.
If D cannot pay, T cannot go after G to collect. (1236)

D owes C P10,000. T offers to pay D’s obligation and tells D that D need
not reimburse him. However, D does not give his consent to T’s offer not
to be reimbursed. C, nonetheless, accepts the payment from T. Was the
payment valid?
* The payment is valid insofar as C is concerned. The case is deemed
to be a donation, however to be constituted as such D’s consent is
necessary. (1238)
D obtained a loan of P10,000 from C who was in his right mind at
the time he granted the loan. On due date, D paid his obligation
of P10,000 to C who had since become insane. C lost P4,000 of
the amount he received and spent P6,000 for his food and other
necessary expenses. Was the obligation extinguished?
* The obligation is extinguished up to P6,000 only. Payment
of an obligation to an incapacitated person shall be valid when
the person has kept the thing delivered and only insofar as the
payment has been beneficial to him. (1241)
 Assuming that D did not designate the debt to be paid when he
remitted the amount of P4,000 to C on May 31. C issued a receipt for
the payment he received from D but he did not also designate the debt
that was being paid. How would the payment be applied?
* The payment shall be applied to the debt due on May 22 since it
is the most onerous.
D obtained a loan of P500,000.00 from C. The loan is payable at the end of 10
years. Before the maturity of the loan, an extraordinary inflation supervened
causing the value of P500,000.00 to fall to P100,000.00 on the date of maturity.
At maturity, D will have to pay C:
a. 100,000
b. 500,000
c. 2,500,000.00
d. Some other amount
D obtained a loan of P200,000.00 from C. The loan is payable at the end of 5
years. Before the maturity of the loan, an extraordinary deflation supervened
causing the value of P200,000.00 to rise to P500,000.00 on the date of maturity.
At maturity, D will have to pay C:
a. 100,000
b. 500,000
c. 2,500,000.00
d. Some other amount
In case of extraordinary inflation and deflation of the Philippine currency
should supervene the basis of the value of the currency for payment shall
be the value of the currency at the time of the establishment of the
obligation. Unless there is a stipulation to the contrary (Art. 1250)

Value of the currency at the time of the establishment of the obligation

is computed by using the following formula.

Amount to be paid at maturity = Amount of the obligation x Amount of Obligation

Value at the date of Maturity
Francis, husband and Mitch, wife are legally separated. By order of the court
which decreed the legal separation, Francis is obliged to give a monthly
support of P20,000 to Mitch payable in advance within the first five days of
the month. Mitch owes Francis P20,000 by way of loan. On the other hand,
Francis has not yet given Mitch’s support for P20,000 for the preceding month
and another P20,000 for the present month. All the debts are due. Can
compensation take place?
* Yes. If Mitch demands her support for the current month, Francis
may claim compensation as regards the loan that Mitch owes him.

D owes C P20,000 with G as Guarantor. C, on the other hand, owes D,

P15,000. Both debts are already due but D is insolvent. Can compensation
take place?
* Yes. A guarantor can set up compensation as regards what the
creditor may owe the principal debtor. However, C may still collect from G
P5,000.
D owes C P20,000 due on June 20. C owes D P14,000 due on June 15.
On June 12, C assigned his right to X. D consented to such assignment
without any reservation of his right to the compensation. On June 20,
how much may X collect from D?
* P20,000. No compensation shall take place since there was no
reservation of such right by D upon the assignment of the credit. (1285
par 1)
D owes C P30,000 due on June 20. C owes D the following debts: P15,000 due
on June 2; P4,000 due on June 14; P6,000 due on June 16; and P3,000 due on
June 18. On June 17, C assigned his right to X. C notified D of the assignment
but D did not give his consent thereto. How much may X collect from D on
June 20?
* P5,000. Since the assignment, although with knowledge, is without
consent of D therefore compensation shall take place but only to the debts
prior to the assignment. (1285 par 2)

Refer to no. 21. Assume the same facts except that when C made the
assignment of his credit to X, C did not notify D about it. It was only on June
20 when X went to D to collect that D learned of the assignment. How much
may X collect from D?
* P2,000. The assignment is without knowledge of D, therefore the
latter may set up compensation of all credits prior to the same and also later
ones until he had knowledge of the assignment. (1285 par 3)
 D owes C P50,000. Subsequently, D proposed to C that T will assume his
(D’s) debt. C accepted the proposal of D. On due date, T could not pay
because of his insolvency which was in fact existing but was not known
to D or of public knowledge at the time that he delegated his debt. Can
C hold D liable?
*C cannot hold D liable because his (D’s) obligation was
extinguished when he was substituted by T. (1295)
D obliged himself to give 10 grams of shabu to C. Later, the parties
agreed that D would instead give to C 10 sacks of rice. Is the novation
valid?
* Novation is void because the original obligation is void,
therefore there is nothing to novate. Hence, C cannot demand the
delivery of 10 sacks of rice from D.
S sold his cabinet to B for P5,000. The parties gave their consent freely
to the contract before its perfection. After delivery of the cabinet to B
and his payment of the price to S, B was informed by N, his neighbour
that B paid too much for the cabinet since he (N), knew of a similar item
that is sold for a lower amount. B now wants to set aside the contract
because he believed he got a bad bargain. Decide.
• * B may not set aside the contract based on the principle of
Mutuality of Contract.
 A and B entered into a joint venture contract whereby B agreed to put up
a restaurant on the lot of A. N, A’s neighbour who owned a lot across A’s
lot, learned of the transaction between A and B. Anticipating that many
customers would patronize the restaurant, N decided to improve his
vacant lot for parking. He incurred P20,000 for a guardhouse and other
improvements which he had not yet paid to his contractor. Later, however,
A and B mutually cancelled their earlier contract and entered into a new
one whereby B agreed to put up the restaurant on another lot belonging
to A which was located about 100 meters from the original area. N learned
of the cancellation of the contract and decided that he would sue A and B
for damages he allegedly sustained by reason threof. Decide.
* A is not entitled to sue A and B for the damages he sustained. This
is not a case of a stipulation pour autrui, where the parties in a contract
deliberately conferred upon a third person a favor or benefit. The benefit
that would have been received by N from the contract between A and B
was only incidental and did not give him the right to recover damages.
• Superior Sales Corporation (Superior) mailed a copy of an employment
contract to Mariano offering the latter the position of manager of the
company’s branch office in Legaspi City. The contract provided for a monthly
salary of P80,000.00. Mariano accepted the offer by signing on the space for
“Conforme.” However, he wrote a marginal note asking the company to
grant him a housing allowance of P20,000.00 since he would be relocating
from Manila. He then mailed back the signed copy of the contract. Was
there a perfected contract between Superior and Mariano?
a. Yes, with Mariano receiving a monthly salary of P80,000.00, but excluding
the housing allowance of P20,000.00
b. Yes, with Mariano receiving not only the monthly salary of P80,000.00, but
also the housing allowance of P20,000.00 since it is a necessary expense.
c. No, because the acceptance of Mariano varied the terms of the offer.
d. Yes, because Mariano signified his acceptance by signing on the space for
“Conforme.”
S sold his only horse to B for P30,000. The parties agreed that S shall
deliver the horse one week from the execution of their agreement. B,
however, should pay the price immediately and in certified check. In the
place of S and B, it was the custom that anyone selling a horse should
place a horseshoe on its feet. Is the seller bound to place a horseshoe on
the horse?
* S is obliged to place a horseshoe on the horse because the
observance of custom or usage is a consequence of entering into a
contract. (1315)
 On June 1, S offered to sell a specific generator set to B for P300,000. B
sent his letter of acceptance to S on June 8. On June 10, however, S
became insolvent. On June 12, S received the letter of acceptance. Was
the contract perfected?
* The contract was not perfected because the insolvency of S
occurred before he came to learn of the acceptance of his offer. It is well
settled rule that an offer becomes ineffective upon the insolvency of
either party before acceptance is conveyed. (1323)
P gave a special power of attorney to A to sell P’s house and lot for
P2M. On May 7, A, pursuant to the authority granted to him by P,
offered to sell the house and lot to B at the price of P2M. B accepted
the offer on May 8 by sending a letter of acceptance to A on such date,
which letter of acceptance was received by A on May 10. On May 11, P
died before A could inform him of B’s acceptance. Was the contract
perfected?
* The contract was perfected on May 10 when A received the
letter of acceptance. An offer made through an agent is accepted from
the time acceptance is communicated to him. (1322
On May 1, S offered to sell his car for P500,000 to B who was interested
in buying the same. In his letter to B, S stated that he was giving B up to
May 31 to decide whether to buy the car or not. On May 25, S personally
went to B to inform him that he was no longer willing to sell the car
unless the price was increased to P600,000 because another buyer was
interested in buying the car for the said amount of P600,000. May S
validly withdraw his offer?
*S may validly withdraw his offer to B and all that S needs to do is
to inform B of such withdrawal. Such withdrawal must be made before
the lapse of the period of acceptance, unless there is an option founded
upon a consideration, as something paid or promised. (1324)
B purchased 100 pieces of notebook from S at P41.95. When B reached
home, he discovered that the invoice showed a total amount due of
P4,915 instead of P4,195. Is the contract valid?
*The contract is valid. The mistake is a simple mistake of account
and does not render the consent of the parties vitiated. This shall only
give rise to correction. Mistake to vitiate consent must refer to the
substance of the thing which is the object of the contract or to a
principal condition which moved the parties to enter into a contract
(1331) *The excess P720.00 should be returned by B.*
D has been for more than 10 years the personal physician of P, a sickly
man of 70 years. D talked to P almost everyday in the course of giving
medical service to P to convince P to donate his lot to D since D told
him that he was the only one who could take care of him. Because of
the persistence of D, P finally signed the deed of donation of the lot in
D’s favor with all the formalities required by law. Is the deed of
donation valid?
*The deed of donation is voidable on the ground of undue
influence. (1337)
Sale of large cattle must be in a public instrument for reason of
a. Convenience
b. Validity
c. Enforceability
d. None of the above
Contract of Antichresis must be in writing for
a. Convenience
b. Validity
c. Enforceability
d. None of the above
The amount of the principal and of the interest shall be specified in
writing; otherwise, the contract of antichresis
a. shall not valid to third persons
b. Shall be void
c. Shall be unenforceable
d. Shal be rescissible
A, who knew that his ring was embellished with glass, told B that the
embellishment was emerald. B, who knew that his watch was gold-
plated, told A that it was made of pure gold. Believing that A’s ring was
embellished with emerald and A, believing that B’s watch was made of
pure gold, then entered into a contract whereby they exchanged their
respective articles. A week later, B discovered that the ring was
adorned only with an ordinary glass. Can B ask for annulment of the
contract?
* Neither party can ask for annulment since both are guilty of
fraud. The contract therefore is valid. In order that a contract may be
considered voidable and be annulled fraud must not be committed by
both parties. (1344)
S and B entered into a contract where they made it appear that S was
selling his lot and building to B. The truth, however was that S was
donating his lot and building to B. What is the status of the contract?
* The contract is a relative simulated contract. Therefore the
parties are bound by the contract of donation, their true intention,
since no third person is prejudiced and their purpose is not contrary to
law, moral, good customs, public order or public policy. (1346)
S and B orally entered into a contract whereby S sold his one-year production
of mangoes to B for P100,000. B gave a downpayment of P20,000 for which S
issued a receipt. What is the status of the contract between S and B?
* The contract is valid. Future things may be the object of contracts.
(1347 par 1)

A died leaving properties estimated at P1M to his sons S and T.

Subsequently, S sold through a private instrument one-half of his inheritance
to B for P300,000, although his share was still to be delivered. What is the
status of the contract?
*The contract is valid since the inheritance is an existing inheritance.
(1347 par 2)
S sold his car to B for P100,000 so that he can have money to purchase
shabu. B knew nothing of the motive of S. Was the contract valid?
*The contract is valid because the illegal motive of S does not
affect its validity. Motive is different from the cause of the contract.
(1351)

D and C entered into a contract wherein D agreed to give to C P50,000

within 30 days from the date of the execution of their agreement,
which however does not state the consideration received by D from C.
What is the status of the contract?
*The contract is valid because the cause is presumed to exist and
is lawful unless the contrary is proved by the debtor. (1354)
G, the guardian of M, a minor sold the fish harvested from the fishpond of M
for P20,000. The fish, however had a value of P30,000. What is the status of
the sale?
*The sale is rescissible because M suffered the minimum amount of
lesion required by law to make the contract rescissible. (1/4 x 30,000= 7,500,
the lesion is 10,000). (1381 par 1)

D owes the following creditors: X, P50,000; Y, P60,000; and Z, P90,000. He

has assets valued at P400,000. Subsequently, D donated, among his assets, a
parcel of land valued at P250,000 to C. The donation and acceptance were
made in a public instrument. What is the status of the donation of the land
made by D to C?
* The donation is rescissible. It is presumed to have been made in
fraud of creditors. The remaining value of the assets after donation would be
insufficient to cover the debts contracted by D before the donation. (1387
par 1)
C filed a complaint in court against D to collect a money debt
amounting to P500,000. After due hearing, the court rendered
judgment in favor of C. Shortly after the rendition of the judgment and
before C has collected D’s debt, D sold a parcel of land to X. Z, another
creditor, learned of the sale made by D to X and now files an action to
rescind the sale. Who has a better right to rescind the sale of D to X?
*Both C and Z have a right to rescind the sale since the sale is
presumed in fraud of creditors having been made by the party against
whom judgment has been rendered.(1387 par 2)
 R, the representative of A, an absentee sold the corn with a value of
P30,000 and the palay with a value of P50,000, harvested from A’s
agricultural farm for a total price of P50,000. A, whose domicile was
subsequently known, was informed of the sale made by G. May A seek
rescission?
*A may seek rescission of the total sale to recover the damages
he suffered. (1381 par 2)
S,17 ½ years old sold his bicycle to B, 24, for P12,000.
The price is payable in 12 monthly instalments. After
reaching 18, S continued to collect the remaining six
instalments until the price was paid in full. Can S annul
the contract?
*S may no longer annul the contract. There was
implied ratification when S upon reaching the age of
majority continued to collect the remaining instalments.
(1393)
 M, the manager of an electric company offered to by a one-square
meter lot from S for P400. M showed S his power of attorney executed
by the electric company and duly signed by the board of directors. M
informed S that the lot would be the site of an electric post which the
electric company would erect. S agreed to the odder of M. M agreed to
come back the following day to give the company check for the
purchase price as well as the written contract. When M returned to the
place of S, S refused to sign the contract and accept the check. S told M
that at any rate, M or the electric company could not enforce the
contract since it was not in writing. Is S correct?
• *The contract must be in writing for it to be enforceable against
S. This is a sale of real property.
On June 1, 2015, B, a businessman, met by chance C, a building
contractor at the lobby of a hotel. Over a cup of coffee, B informed C
that he would be needing the services of C for the construction of a
three-storey building that B was planning to put up beginning August 1,
2016. B added that he would be paying C the amount of P4M for the
construction. C agreed to B’s proposal. In the meantime, B gave C a
check for P500,000 representing the down payment on the contract
price. Except for the table napkin on which B made some sketches of the
building, no written contract was signed by the parties. On August 1,
2016, B called up C to inform him that the construction would begin
within the next two weeks. C told B that he would no longer want to
proceed with the contract and that he would be returning the down
payment. May B enforce the contract?
*B may enforce the contract against C although there was no
formal agreement signed by the parties because C was deemed to have
ratified the contract by his acceptance of the downpayment.
Morally sold his cell phone to B for P5,000.00. S immediately handed the cell
phone and the operating manual to B who promised to pay the price the
following day. The next day, B tendered the amount of P5,000.00 but S
refused to accept it and demanded instead the return of the cell phone. S
claims that the sale is not enforceable saying that the sale of a movable
property for a price of at least P500.00 must be in writing to be enforceable.
What is the status of the sale?
a.Unenforceable since it is not in writing.
b.Valid and enforceable by reason of the delivery of the cell phone
to B.
c.Valid and enforceable because the sale is evidenced by the
operating manual of the cell phone. .
d.Unenforceable because the written manual was not signed by S.
D was checking out of a hotel when he found out that he had lost
his wallet. Since he had no money to pay his bills, he texted G, a
businessman friend to help him. Upon reading the text message,
G texted M, the hotel manager, who knew G since G was a
frequent guest at the hotel whenever he visited the area. The text
message read: “Please let D leave. If he does not pay, I will be
the one to pay.” No other information was contained in the text
message. Thereafter, D signed a promissory note in favor of the
hotel. Is the promise of G enforceable?

*If D cannot pay, M cannot enforce the promise of G since G’s

promise is not the writing required by law. (1403 2b)
Morally sold his cell phone to B for P5,000.00. S immediately handed the
cell phone and the operating manual to B who promised to pay the price
the following day. The next day, B tendered the amount of P5,000.00 but S
refused to accept it and demanded instead the return of the cell phone. S
claims that the sale is not enforceable saying that the sale of a movable
property for a price of at least P500.00 must be in writing to be enforceable.
What is the status of the sale?
a.Unenforceable since it is not in writing.
b.Valid and enforceable by reason of the delivery of the cell phone to
B.
c.Valid and enforceable because the sale is evidenced by the
operating manual of the cell phone. .
d.Unenforceable because the written manual was not signed by S.
 S, insane, orally sold his radio to B, 17 years old for P400. When T, the
mother of S learned about the sale, she asked S to give to her the
amount that he had received. S obediently gave the amount of P400
which his mother used to buy their food. What is the status of the
contract?
*The contract is voidable because the mother of S is deemed to
have ratified the contract. (1407)
Francis promised to give P10,000 by way of support to Mitch, if Mitch
agrees to live with Francis as his wife without the benefit of marriage.
Mitch because she truly loves Francis accepted his promise. After 6
months, because Mitch was seen with Edgar, her ex-boyfriend, Francis
left their home and never came back. Can Mitch now still receive the
support promised by Francis?
*The contract between Francis and Mitch is illegal and
constitutes an offense, therefore it is void.
B, a law student informed O that he needed a bicycle which he would
use in going to and from San Beda College of Law-Alabang. O told B
that he may get the bicycle in O’s room. Was there a perfected
contract?
* Yes. The contract is one of commodatum, where one party
loaned something to another. In this case, the bicycle was loaned by O
to B.
Sale of large cattle must be in a public instrument for reason of
a. Convenience
b. Validity
c. Enforceability
d. None of the above
Contract of Antichresis must be in writing for
a. Convenience
b. Validity
c. Enforceability
d. None of the above
The amount of the principal and of the interest shall be specified in
writing; otherwise, the contract of antichresis
a. shall not valid to third persons
b. Shall be void
c. Shall be unenforceable
d. Shal be rescissible
S sold to B for a lump sum of P8,000.00 a cell phone which he earlier
bought from an authorized dealer and a car stereo which he acquired
from a thief. The cell phone is estimated to have a higher value than
the car stereo. The sale between S and B is:
a.totally void.
b.valid with respect to the cell phone; void with respect to the
car stereo.
c.totally valid, as the validity of the sale of the cell phone, the
item of greater value, cured the nullity in the sale of the car
stereo.
d.voidable with respect to the cell phone; void with respect to
the car stereo.