MOCK BAR EXAMINATION QUESTIONS IN CIVIL LAW REVIEW II 1. A bus owned and operated by CRV Lines, Inc.

, and negligently driven by Mr. D, an employee rammed a Meralco lamp post. !e incident in"ured Mr. #, a passenger, Mr. #D, a pedestrian. $!ic! is correct% a. b. c. d. (. Mr. D cannot be sued under a culpa criminal t!eory o& Mr. #. Mr. # can sue CRV Lines under a 'uasi delict t!eory as employer o& Mr. D. Mr. #D can sue CRV Lines under a contractual t!eory. CRV Lines can be sued by Mr. # only under a contractual t!eory.

Mr. )eller o&&ered to sell to Mr. *uyer, a parcel o& land &or #+ million. *ecause t!e latter could not ma,e up !is mind, Mr. )eller gave !im t!irty -./0 days wit!in w!ic! to decide. a. b. c. d. )eller may always wit!draw t!e o&&er be&ore ./ days. )eller can wit!draw t!e o&&er prior to acceptance by Mr. *uyer. )eller cannot wit!draw be&ore t!e lapse o& ./ days. Answer is not given.

..

Miss 1, is a passenger in a "eepney driven by Mr. D and owned by Mr. 2. !e "eepney was rear3ended by anot!er "eep owned by Mr. #. Investigations disclosed t!at t!e &ault was due to t!e driver o& Mr. #. $!ic! is not correct% a. b. c. d. Miss 1 may sue Mr. 2 under a breac! o& contract o& carriage. Miss 1 may sue Mr. # under a culpa a'uiliana t!eory. Miss 1 may sue t!e driver o& Mr. # under a culpa criminal t!eory. Mr. 2 in a suit by Miss 1 &or breac! o& contract may de&end by alleging t!at t!e pro4imate cause o& t!e accident was t!e "eepney o& Mr. #.

5. Mr. *uyer boug!t a car &rom Mr. )eller, a dealer o& cars under t!e &ollowing terms6 -i0 down payment o& #+//,///7 -ii0 entire balance is to be paid on December (5, (//57 -iii0 a c!attel mortgage is to be e4ecuted over t!e car boug!t or sold in &avor o& Mr. )eller. I& on t!e due date &or t!e balance, no payment is paid despite demand. a. b. c. d. +. Mr. )eller may &oreclose t!e mortgage on t!e car and recover any balance i& t!ere be a de&iciency in t!e &oreclosure sale. Mr. )eller can &oreclose t!e mortgage on t!e car but is precluded &rom recovering any balance. Mr. )eller cannot &oreclose t!e mortgage. 8is only remedy is to sue &or t!e balance. Mr. )eller can only cancel or rescind t!e sale.

Mr. )eller o&&ered to sell a parcel o& land Mr. *uyer orally &or #+ million. Mr. *uyer accepted orally on 9ovember +, (//5. a. b. c. d. !e sale is voidable. !e sale is valid and can be registered. !e sale is valid but unen&orceable and cannot be registered. !e sale is voidable but may be rati&ied.

:. Mr. 1. donated a cell p!one wort! #.+,/// to Mr. * orally and delivered t!e same to Mr. * w!o accepted. a. b. c. d. !e donation is valid. !e donation is voidable and may be annulled. !e donation is void and Mr. 1 may get t!e cell p!one bac,. !e donation is void but Mr. 1 cannot get t!e cell p!one bac,.

;. $!ic! among t!e &ollowing must be in writing to be valid% a. b. c. d. A sale o& a land. <very donation o& personal or movable property. A contract o& partners!ip wit! a contribution o& an immovable. An aut!ority by t!e principal to an agent to sell movables.

=. !e &ollowing are contracts t!at re'uire t!e delivery o& t!e sub"ect matter be&ore a per&ected contract e4ists. $!ic! is t!e e4ception% a. b. c. d. An agreement to borrow>lend money. An agreement to borrow>lend a car. An agreement to deposit 1,/// bags o& cement in a ware!ouse. A sale o& a car.

?. Mr. )eller o&&ered a parcel o& land to Mr. *uyer 9o. 1 under a contract to sell. )ubse'uently, Mr. )eller sold t!e same land to Mr. *uyer 9o. ( w!o paid t!e price. A&ter a couple o& days, Mr. *uyer 9o. 1 paid t!e price. $!ic! is correct% a. b. c. d. 1/. !e one wit! a better rig!t is *uyer 9o. ( Mr. )eller !as done a double sale. !e one wit! t!e better rig!t is t!e buyer w!o registers t!e sale &irst in good &ait!. !ere is no double sale.

9o. 1 @ Araud is always a ground &or annulment o& a contract. 9o. ( @ A simulated contract is voidable. a. b. c. d. *ot! are &alse. *ot! are true. 9o. 1 is &alse7 9o. ( is true. 9o. 1 is true7 9o. ( is &alse.

11. $!ic! contract is rescissible% a. b. c. d. A contract w!ere bot! parties are o& unsound mind. A contract violating t!e statute o& &rauds. A contract w!ere t!e debtor sells !is property to de&raud t!e creditor w!ere t!e buyer is in good &ait!. 9one o& t!e above.

1(. A contract o& sale is deemed an e'uitable mortgage in any o& t!e &ollowing situations, e4cept6 a. $!en t!e price is unusually inade'uate. b. $!en t!e buyer retains &or !imsel& a part o& t!e purc!ase price. c. $!en t!e vendor binds !imsel& to pay t!e ta4es on t!e t!ing sold. d. When the buyer is in possession as lessee. 1.. $!en t!e debtor binds !imsel& to pay w!en !is means s!all permit !im to do so, a. b. c. d. !e obligation is deemed to be one wit! a period. !e obligation is a conditional obligation. !e obligation is void. !e obligation is unen&orceable.

15. $!ic! o& t!e &ollowing contracts is not unen&orceable% a. b. c. d. An oral agreement to pay &or t!e debt, de&ault or miscarriage o& anot!er. An oral sale o& land. An oral sale o& movables wit! a value o& #+//. An oral agreement to lend #+/,///.

1+. 9o. 1 @ A contract o& sale is a mode o& ac'uiring owners!ip. 9o. ( @ <very delivery trans&ers owners!ip. a. b. c. d. *ot! are &alse. *ot! are true. 9o. 1 is true7 9o. ( is &alse. 9o. 1 is &alse7 9o. ( is true. !e loan was not paid.

1:. Mr. 1 pledged !is gold watc! to Mr. B as security &or a loan. a. b. c. d.

Mr. B may appropriate t!e ring as !is own i& t!ere is a stipulation to t!at e&&ect. Mr. B must sell t!e ring to someone else even in a private sale. Mr. B may recover t!e de&iciency &rom Mr. 1 i& a&ter t!e auction sale, a de&iciency e4ists. Mr. B cannot recover t!e de&iciency a&ter t!e auction sale.

1;. !e bene&it o& Ce4clusionD is available in a contract o& a. b. c. d. guarantee suretys!ip pledge antic!resis

1=. Mr. )eller and Mr. *uyer orally agreed on t!e &ollowing6 -i0 t!e land to be sold !as an area o& 1/,/// s'. meters7 -ii0 price is #+ million7 and -iii0 Mr. )eller s!all prepare t!e deed o& sale. $it! &raudulent intent, Mr. )eller ,nowing t!e inade'uacies o& Mr. *uyer wit! respect to numbers wrote 1,/// s'. meters instead o& 1/,/// s'. meters. !e sale is a. b. c. d. void voidable but t!e contract may be re&ormed valid but t!e instrument may be re&ormed valid but t!e contract may be re&ormed (//+.2n t!e due date, no dog was

1?. Mr. 1 promised to deliver a speci&ied dog named CAugerD to Mr. B on April (?, delivered. $!ic! is not correct% a. b. c. d. e.

I& t!e dog died on April ./ wit!out anyoneEs &ault, Mr. 1 s!all be liable to Mr. B by reason o& delay. Mr B s!all bear t!e loss because o& res perit domino. Mr. B s!all bear t!e loss because o& genus nun'uan perit. Mr 1 s!all bear t!e loss because o& genus nun'uan perit. 9o one s!all bear t!e loss.

(/. 9o. 1 @ !e mortgagor in a real estate mortgage may sell t!e property mortgaged despite a pro!ibition to t!at <AA<C . 9o. ( @ I& t!ere is a balance a&ter t!e &oreclosure sale in a c!attel mortgage arising !e de&iciency cannot be recovered. a. *ot! are true. b. *ot! are &alse. c. 9o. 1 is &alse7 9o. ( is true. d. 9o. 1 is true7 9o. ( is &alse. (1. 9o. 1 @ !e laws governing deposits govern t!e relations!ip between a ban, depositor and a ban,. 9o. ( @ A creditor may be compelled to receive a certi&ied c!ec, in payment o& a loan. a. b. c. d. *ot! are &alse. *ot! are true. 9o. 1 is true7 9o. ( is &alse. 9o. 1 is &alse7 9o. ( is true.

(( .Mr. 1 lost !eavily in a private gambling wit! Mr. B. 8e still owes Mr. B not true% a. b. c. d.

#(+/,/// representing losses. $!ic! is

!e wi&e o& Mr. 1 may &ile a suit to recover t!e losses i& Mr. 1 re&uses to &ile t!e suit. Mr. B !as t!e obligation to return t!e losses o& Mr. 1. Mr. 1 is estopped &rom recovering !is losses. Mr. B cannot collect t!e unpaid losses o& Mr. 1. !e contract

(.. Mr. 1, wit!out t!e aut!ority o& Mr. B, owner o& a car, sold t!e same car in t!e name o& Mr. B to Mr. F. between Mr. 1 and Mr. F is a. b. c. d.

void because o& t!e absence o& consent &rom t!e owner, Mr. B. valid because all o& t!e essential re'uisites o& a contract are present. unen&orceable because Mr. 1 !ad no aut!ority but !e sold t!e car in t!e name o& Mr. B, t!e owner. rescissible because t!e contract caused lesion to Mr. F.

(5. Mr. M2 e4ecuted a real estate mortgage over !is land in &avor o& Mr. M< as security &or a substantial loan !e obtained &rom t!e latter. !e mortgage agreement provided &or a C&irst re&usal clauseD, i.e., Mr. M2, is obligated to o&&er t!e property &irst to Mr. M< in case !e decides to sell t!e property mortgaged. $!ic! o& t!e &ollowing statements e4presses a correct legal principle% a. b. c. d. As long as t!e mortgage e4ists, Mr. M2 !as no rig!t to sell !is property to anyone. Mr. M2 may sell t!e property mortgaged wit! t!e consent o& Mr. M<. A violation o& t!e Crig!t o& &irst re&usal clauseD will ma,e t!e contract entered into by Mr. M2 wit! anyone, void abs initio. A violation o& t!e Grig!t o& &irst re&usal clauseD will ma,e t!e contract entered into by Mr. M< rescissible

(+. $!ic! o& t!e &ollowing contracts are void% a. b. c. d. An oral sale o& a parcel o& land. A sale o& land by an agent in a public instrument w!ere !is aut!ority &rom t!e principal is oral. A donation o& a wrist watc! wort! #5,+//. A relatively simulated contract.

(:. $!ic! o& t!e &ollowing e4presses a correct principle o& law% a. b. c. d. Aailure to disclose &acts w!en t!ere is a duty to reveal t!em, does not constitute &raud. Violence or intimidation does not render a contract annullable i& employed not by a contracting party but by a t!ird person. A t!reat to en&orce oneEs claim t!roug! competent aut!ority, i& t!e claim is legal or "ust, does not vitiate consent. )imulation o& a contract always results in a void contract.

(; .Mr. 1 orally o&&ered to sell !is two3!ectare rice land to Mr. B &or #1/ million. !e o&&er was orally accepted. *y agreement, t!e land was to be delivered -t!roug! e4ecution o& a notariHed deed o& sale0 and t!e price was to be paid e4actly one3mont! &rom t!eir oral agreement. a. b. c. d. I& Mr. 1 re&uses to deliver t!e land on t!e agreed date despite payment by Mr. B, t!e latter may not success&ully sue Mr. 1 because t!e contract is oral. I& Mr. 1 re&uses to deliver t!e land, Mr. B may success&ully sue &or &ul&illment o& t!e obligation even i& !e !as not tendered payment o& t!e purc!ase price. !e contract between t!e parties is rescissible. !e contract between t!e parties is sub"ect to rati&ication by t!e parties.

(=. $!ic! o& t!e contracts below are rescissible% a. b. c. d. !ose entered into by guardians w!enever t!e wards w!om t!ey represent su&&er lesion by more t!an one t!ird o& t!e value o& t!e ob"ect sub"ect matter t!ereo&. !ose entered into by guardians in t!e above w!en t!e lesion su&&ered is one &ourt! o& t!e value o& t!e property. !ose underta,en in &raud o& creditors even i& t!e latter !as ot!er means to collect t!e debt. !ose w!ere t!e contract is absolutely simulated.

(?. $!ic! o& t!e &ollowing re&lects a correct legal principle% a. b. c. d. A, *, and C, are co3owners o& a t!ree3!ectare orc!ard. I& A decides to sell !is s!are to *, C !as a rig!t o& redemption. A and * are ad"oining owners o& a rural land. <ac! land !as an area o& !al& a !ectare. I& * sells !is land to D w!o does not own any rural land, C !as a rig!t o& redemption. I& t!e rig!t to repurc!ase is not e4ercised wit!in t!e period agreed upon, a "udicial order is necessary to consolidate owners!ip on t!e buyer. A contract o& sale is not a mode o& ac'uiring owners!ip. t!e date o& sale. Despite t!e lapse o& t!e

./. Mr. ) sold !is land to Mr. * wit! a rig!t to repurc!ase wit!in ten years &rom period o& redemption, no suc! redemption was made. a. b. c. d.

2wners!ip o& t!e land was consolidated on Mr. by virtue o& t!e &ailure to redeem by Mr. ). 2wners!ip o& t!e land will be consolidated only upon t!e registration o& t!e sale wit! t!e registry o& deeds. 2wners!ip o& t!e land will be consolidated only upon a "udicial order. 2wners!ip will be consolidated only wit! t!e consent o& Mr. ).

.1. Mr. ) sold a banana plantation to Mr. * &or #. million alt!oug! its mar,et value is #(/ million. It was agreed t!at Mr. ) s!all remain in possession as lessee o& t!e land and s!all be responsible &or t!e real estate ta4es. a. !e contract gives rise to an action &or rescission.

b. c. d.

!e contract gives rise to an action &or annulment. !e contract is a sale. !e contract is presumed to be an e'uitable mortgage.

.(. A and * are capitalist partners, wit! C as an industrial partner. A and * contributed #1+, ///.// eac! to t!e capital o& t!e partners!ip. A contractual liability o& #5/, ///.// was incurred by t!e partners!ip in &avor o& 1. I& t!e capital assets !ave been e4!austed to pay 1, leaving a contractual liability o& #1/, ///.//, 1 can recover t!e amount &rom6 a. b. c. d. A and * only A, * and C A, * and C and C can recover &or reimbursement &rom A and * 9o reimbursement may be recovered by C.

... A, * and C are partners engaged in a retail business. !eir contribution is #(/, ///.// eac!. D is admitted as a new partner wit! a contribution o& #=, ///.//. At t!e time o& !is admission, t!e partners!ip !as an outstanding obligation to < in t!e amount o& #=/, ///.//. In t!is case6 a. b. c. d. D is not liable to < &or t!is obligation and !is #=,/// contribution s!all remain wit! t!e partners!ip D is liable to < &or t!is obligation so t!at a&ter t!e assets o& t!e partners!ip amounting to #:=, ///.// will be e4!austed leaving a balance o& #1(, ///.//, only A, * and C s!all be liable "ointly or pro rata, out o& t!eir separate property. D is liable to < &or t!is obligation so t!at a&ter t!e assets o& t!e partners!ip will be e4!austed, leaving a balance o& #1(,///.//, all t!e partners s!all be liable "ointly or pro rata, including D, out o& t!eir separate property. D will be liable only i& !e ,new o& t!e liability o& #=/,/// at t!e time !e "oined t!e partners!ip.

.5. Mr. Ayco o&&ered to sell !is land to Mr. CruH &or #.//,///. Mr. CruH accepted t!e o&&er and paid Mr. Ayco t!e purc!ase price. Mr. Ayco delivered t!e ownerEs duplicate o& t!e rans&er Certi&icate o& title o& t!e land. Mr. CruH wants to register t!e land in !is name but t!e Register o& Deeds as,s Mr. CruH &or t!e Deed o& )ale. $!at can Mr. CruH do% a. b. c. d. 8e may occupy and use t!e land as a buyer in good &ait!. 8e cannot compel Mr. Ayco to return t!e payment because t!e contract is unen&orceable. 8e may compel Mr. Ayco to e4ecute t!e Deed o& )ale because t!e contract is valid. 8e may sue Mr. Ayco to return t!e purc!ase price under t!e legal principle t!at no one may enric! !imsel& at t!e e4pense o& anot!er

.+.Andrea wrote *ernardo a letter o&&ering to sell a piece o& land. Andrea gave *ernardo two mont!s wit!in w!ic! to pay t!e price o& #+//,///. A&ter +/ days Andrea in&ormed *ernardo t!at s!e is increasing t!e price o& t!e land to #;//, ///. Can *ernardo compel Andrea to accept t!e #+//,/// &irst o&&ered and e4ecute t!e deed o& sale% a. b. c. d. 9o, because *ernardo did not signi&y !is acceptance o& t!e o&&er o& #+//,/// Bes, because t!e period o& ( mont!s !as not yet e4pired. Bes, because Andrea is already estopped by !er signed letter. Bes, because t!ere was actual meeting o& minds o& t!e parties.

.:. Antonio sold a piece of land to Renato binding himself not to sell the same to another person. On the following day, Antonio sold the land to Carlos who immediately too possession in good faith. !n the case at bar, the proper remedy of Renato is to" a. b. c. d. Institute an action &or t!e annulment o& t!e sale to Carlos. Institute an action &or t!e recovery o& t!e land. Institute an action &or damages against Antonio. Institute an action &or a declaration o& nullity o& t!e sale to Carlos.

.;. Mr. Reyes !as a ta4 liability o& #1//, ///. In order to evade t!e payment o& t!e ta4 liability, !e e4ecuted a deed o& sale o& !is only parcel o& land valued &or #1//, ///.// in &avor o& !is brot!er, #ablo. !e deed o& sale stated a purc!ase price o& #(/, ///.// but t!e *IR !as evidence t!at said price !ad never been paid. a. b. c. d. !e *IR may not levy upon t!e land because t!e sale is valid. !e *IR, wit!out !aving t!e sale annulled may levy upon t!e land o& -Mr.Reyes pursuant to t!e a4 Code. !e *IR s!ould &irst !ave t!e sale annulled be&ore it may levy upon t!e land pursuant. !e *IR s!ould &irst !ave t!e sale rescinded &or lesion to t!e government. t!e t!ing and t!e cause w!ic! are to

.=. Consent is mani&ested by t!e meeting o& t!e o&&er and t!e acceptance upon constitute t!e contract. $!ic! o& t!e &ollowing constitutes an o&&er% a. b. c. d. an de&inite o&&er made t!roug! an agent business advertisement o& t!ings &or sale advertisements &or bidders a declaration o& an intent to sell.

.?. $!en goods are delivered to t!e buyer Con sale or returnD, &or a period o& passes to t!e buyer, a. b. c. d. Ipon delivery o& t!e goods. Ipon e4piration o& seven -;0 days. Ipon acceptance by t!e buyer o& t!e o&&er o& t!e seller. Ipon per&ection o& t!e contract.

seven -;0 days, owners!ip o& t!e goods

5/. *en pledged !is watc! to V. B. Domingo &or #+,///. 2n t!e due date *en &ailed to pay !is loan and redeem t!e watc!. !e pawns!op sold t!e watc! at public auction to t!e !ig!est bidder at #5,///.

a. b. c. d.

!e pawns!op can recover t!e de&iciency o& #1, /// &rom *en. !e pawns!op cannot recover t!e #1, /// unless t!ere is a stipulation. !e pawns!op can recover t!e #1, /// even wit!out a stipulation. !e pawns!op cannot recover t!e #1, /// even i& t!ere is a stipulation.

51. Mr. 1 e4ecuted a c!attel mortgage over !is !ouse and lot to Mr. B. $!en t!e obligation became due, Mr. 1 did not pay despite demand. a. b. c. d. Mr. B !as no rig!t to &oreclose t!e mortgage because t!e !ouse and lot are not c!attels. Mr. B !as no rig!t to &oreclose t!e mortgage unless Mr. 1 consents to t!e &oreclosure. Mr. B !as no rig!t to &oreclose t!e mortgage because !e can sue &or collection. Mr. B may &oreclose t!e mortgage because Mr. 1 is estopped &rom claiming t!e invalidity o& t!e c!attel mortgage over t!e real property, but &oreclosure s!ould be made under t!e procedure o& a real estate mortgage. debt &ell due, Mr. D did not pay despite

5(. Mr. D borrowed #+//, /// &rom Mr. C wit! Mr. J as guarantor. $!en t!e demand. a. b. c. d.

Mr. C may collect &rom Mr. J because !e guaranteed payment o& t!e debt. Mr. J may re&use to pay even i& Mr. D is insolvent. Mr. J may as, Mr. C to e4!aust all t!e properties o& t!e Mr. D &irst be&ore collecting &rom Mr. J. Mr. J may re&use to pay even i& Mr. D !as absconded.

5.. <very contract o& partners!ip !aving a capital o& t!ree t!ousand pesos or more, in money or property, s!all appear in a public instrument, w!ic! must be recorded in t!e 2&&ice o& t!e )ecurities and <4c!ange Commission. Aailure to comply wit! t!is re'uirement7 a. b. c. d. renders t!e contract o& partners!ip void. renders t!e contract o& partners!ip unen&orceable. a&&ects t!e liability o& t!e partners!ip to t!ird persons and t!e partners!ip !as no legal personality. does not a&&ect t!e liability o& t!e partners!ip to t!ird persons and t!e partners!ip still !as a legal personality.

55. 1 is not a partner o& A, *, and C. $it!out t!e consent or ,nowledge o& C but wit! t!e implied consent o& A and *, 1 made believe t!at !e is a partner o& A, *, and C. $!o s!all be liable &or t!e payment o& a debt o& #+//, /// in &avor o& w!o e4tended credit on t!e basis o& t!e misrepresentation% a. b. c. d. 1, A and * pro rata. 1, A and * solidarily. 1, A, * and C pro rata. 1, A, * and C solidarily.

5+. )eller wrote *uyer o&&ering to sell !is only !ouse &or a speci&ied price. !e letter was mailed on t!e same date it was written. *uyer o&&ered to buy t!e same !ouse &or t!e same price and t!e letter containing t!e o&&er to buy was also mailed on t!e same date it was written. 2n t!e same date and time )eller and *uyer received t!e letters written to eac! ot!er. a. b. c. d. !ere is a per&ected contract. !ere is a per&ected contract only w!en t!ey !ave orally con&irmed t!eir !aving received t!e letters written to eac! ot!er. !ere is no contract because t!e o&&ers were not certain. !ere is no contract because t!ere was no acceptance.

5:. Kose went to visit #ablo, a &riend one )unday morning w!ere a card game was going on. Kose "oined t!e game and lost #+/,///. 8e became indebted to t!e winner &or #1/, /// more. $!ic! among t!e &ollowing statements is not correct% a. b. c. d. !e winner cannot maintain an action to collect t!e #1/,///. Kose may recover #+/,/// &rom t!e winner wit! legal interest &rom t!e time !e paid t!e amount lost. Kose may recover #+/,/// &rom t!e winner but wit!out legal interest. I& Kose re&uses to recover &rom t!e winner, t!e spouse o& Kose may institute t!e action to recover.

5;. Aor payment to e4tinguis! t!e obligation6 a. b. c. d. !e t!ing or service in w!ic! t!e obligation consists must be completely delivered or rendered. #ayment must not !ave been "usti&iably re&used by t!e creditor. #ayment must be in legal tender. All o& t!e above.

5=. $!ic! o& t!e &ollowing is most li,ely incorrect% Mr. D promised to deliver to Mr. C 1// bottles o& Kapanese red wine o& a speci&ied brand. $it!out t!e ,nowledge o& Mr. D, production o& t!e wine !ad been stopped. Despite earnest e&&orts, Mr. D could only deliver ninety -?/0 bottles. Mr. 2Es obligation is deemed &ul&illed. b. In t!e immediately preceding letter -a0, Mr. D could recover as t!oug! t!ere !ad been a delivery o& 1// bottles. c. Mr. D promised to deliver 1// sac,s o& a certain type o& rice. 8e delivered only ?/ sac,s but t!e obligee did not ob"ect to t!e incomplete delivery. !e obligation may be deemed &ully per&ormed. d. !e creditor cannot be compelled to accept payment or per&ormance by a t!ird person w!o !as no interest in t!e &ul&illment o& t!e obligation or unless t!ere is a stipulation to t!e contrary. 5?. Debtor owes Creditor #+//,///. !e debt is secured by a c!attel mortgage on DebtorEs car. 2n t!e due date o& t!e obligation, Creditor is paid by !ird #erson w!o !as no interest in t!e obligation eit!er as guarantor or surety. !ere is li,ewise no stipulation as to !ird #ersonEs rig!t to pay. a. I& !ird #erson pays wit!out t!e ,nowledge or against t!e will o& Debtor, !ird #erson may recover #+//, /// &rom Debtor even i& t!e debt !ad been condoned to t!e e4tent o& L. a.

b. c. d.

I& !ird #erson pays wit! t!e DebtorEs ,nowledge and consent, !ird #erson may recover #+//, /// &rom Debtor even i& t!e debt !ad been condoned to t!e e4tent o& L. I& Debtor &ails to pay, !ird #erson may &oreclose t!e mortgage on DebtorEs car. )ame as letter CbD e4cept t!at !ird #erson may not &oreclose t!e mortgage on DebtorEs car, unless Creditor consents. )ame as letter CbD e4cept t!at !ird #erson may not &oreclose t!e mortgage on DebtorEs car because t!e mortgage was e4clusively constituted in CreditorEs &avor.

+/. $!ic! among t!e situations below states a correct principle o& law% a. b. c. d. !ird #erson pays DebtorEs debt wit!out intending to be reimbursed by Debtor. !e payment will not e4tinguis! t!e obligation even i& accepted by Creditor i& Debtor does not consent to t!e payment. !ird person pays DebtorEs debt wit!out intending to be reimbursed by -c0 Debtor. !e payment will e4tinguis! t!e obligation i& Debtor does not consent to t!e payment. Debtor is obliged to give Creditor a Rado watc!. )ince no Rado watc! was available on t!e due date, Debtor decided to deliver a watc! o& a di&&erent brand more valuable t!an t!e one t!at is due. Creditor must accept t!e watc!. D owes C #(/, ///. D pays *, brot!er o& C. !e payment is not valid even i& it redounded to t!e bene&it o& C. could not pay. Debtor instead o&&ered

+1. Debtor owes Creditor #(/, ///. 2n t!e due date o& t!e obligation, Debtor !is V set wort! #(/,/// in payment o& t!e obligation. Creditor agrees. a. b. c. d.

!ere is no payment because t!e debt may only be disc!arged by t!e delivery o& legal tender. !ere is payment pursuant to a &acultative obligation because o& a substitution. !ere is dation in payment or dacion en pago. !ere is payment by cession. payment o& t!e obligation.

+(. Mr. D owes Mr. B #1/, ///. 2n t!e due date, Mr. 1 o&&ers a c!ec, in a. b. c. d.

!e receipt o& t!e c!ec, by Mr. B e4tinguis!es t!e obligation i& t!e c!ec, is a certi&ied one because it is as good as cas!. !e receipt is not e'uivalent to automatic payment i& t!e c!ec, is not a certi&ied c!ec,. Mr. B !as no reason to re&use t!e c!ec, i& itEs &ully &unded as certi&ied to by t!e ban,. Mr. B cannot be compelled to accept t!e c!ec,.

+.. $!ere t!e debtor !as various debts o& t!e same ,ind in &avor o& t!e same creditor and on t!e due date t!e debtor does not !ave su&&icient &unds to cover all t!e debts, t!e debtor may avail o& a. b. c. d. tender o& payment and consignation. application o& payment. dation in payment. cession in payment. same person, t!ere is e4tinguis!ment o&

+5. $!en t!e c!aracters o& t!e creditor and debtor are merged in one and t!e t!e obligation by, a. b. c. d. con&usion compensation novation condonation or remission

++. $!en t!ere is a c!ange in t!e ob"ect or principal conditions, an obligation is e4tinguis!ed by a. b. c. d. con&usion compensation novation condonation or remission payment o& all debts, public or private.

+:. It is t!at currency w!ic! t!e debtor can compel t!e creditor to accept in a. b. c. d. certi&ied c!ec,s. domestic money in any denomination. legal treasury notes. legal tender.

+;. !e e4tinguis!ment o& an obligation by t!e passage o& time is a. b. c. d. &ul&illment o& a resolutory condition. prescription. e4piration. annulment. Manila. #ayment is to be made in

+=. Mr. Debtor is domiciled in MueHon City w!ile Mr. Creditor is domiciled in a. b. c. d. MueHon City, domicile o& Mr. Debtor. Manila, domicile o& Mr. Creditor. Ma,ati City i& so stipulated. !e place designated by Mr. Debtor.

+?. Mr. Debtor owes Mr. Creditor as &ollows6 #1/, /// due Aebruary +7 #1/, /// due Marc! + and #1/, /// due April +, all during t!e current year. Mr. Debtor !as only #1/, /// and cannot pay all !is obligations. I& Mr. Debtor decides to pay #1/, ///, t!e amount s!all apply6 a. b. o t!e debt c!osen by Mr. Creditor. o t!e debt c!osen by Mr. Debtor.

c. o t!e debt due on Aebruary + being t!e oldest debt. d. o t!e debt due on April + i& it is an interesting obligation. :/. Mr. Debtor owes &i&teen -1+0 persons substantial amounts o& money. 8is &inancial situation indicates t!at !is liabilities &or e4ceed !is assets. I& Mr. Debtor cedes or assigns !is properties to !is creditors, a. b. c. d. !e creditors ac'uire owners!ip o& t!e properties assigned or ceded. !e creditors s!all sell t!e properties assigned and w!en sold, t!e debt o& Mr. Debtor is deemed paid regardless o& w!et!er or not t!e net proceeds are e'ual to or less t!an t!e amount o& t!e indebtedness. !e creditors s!all sell t!e properties assigned and w!en sold, t!e debt o& Mr. Debtor s!all only be released to t!e e4tent o& t!e net proceeds o& t!e sale. !e cession or assignment s!all e4tinguis! t!e obligation w!et!er or not t!e creditors sell t!e properties assigned. delivers a cas!ierEs c!ec, &or t!e &ull

:1. Mr. Debtor owes Mr. Creditor #1//, ///. 2n t!e due date, Mr. Debtor amount. Mr. Creditor re&uses to accept t!e c!ec,. a. b. c. d.

Debtor may ma,e a consignation by depositing t!e amount due wit! any ban, and in t!e name o& Mr. Creditor. Mr. Debtor may ma,e a consignation by depositing t!e amount due at t!e disposal o& "udicial aut!orities be&ore w!om t!e tender o& payment s!all be proved in a proper case. Mr. Debtor !as no legal basis &or ma,ing a consignation. !e creditor may be considered in mora accipiendi.

:(. As a general rule, consignation must be preceded by a valid tender o& payment. <numerated below !owever, are situations w!ic! allows a consignation wit!out a prior tender o& payment. $!ic! is t!e e4ception% a. b. c. d. $!en &or any cause, t!e creditor re&uses to give a receipt. $!en t!e creditor is absent or un,nown, or does not appear at t!e place o& payment. $!en two or more persons claim t!e same rig!t to collect. $!en t!e title to t!e obligation !as been lost.

:.. $!ic! among t!e &ollowing &ails to state a correct legal principle% a. b. c. d. !e debtor in obligations to do s!all be released w!en t!e prestation becomes legally or p!ysically impossible wit!out t!e &ault o& t!e obligor. $!enever t!e t!ing is lost in t!e possession o& t!e debtor, it s!all be presumed t!at t!e loss was due to !is &ault, unless t!ere is proo& to t!e contrary. An obligation w!ic! consists in t!e delivery o& a determinate t!ing s!all be e4tinguis!ed in any event it s!ould be lost or destroyed wit!out t!e &ault o& t!e debtor. Condonation or remission is essentially gratuitous, and re'uires t!e acceptance by t!e obligor. It may be made e4pressly or impliedly.

:5. Mr. Debtor e4ecuted a promissory note in &avor o& Mr. Creditor in t!e amount o& #1//, ///. !e debt is secured by a pledge on a ring owned by Mr. Debtor. $!ic! among t!e &ollowing is most li,ely correct% a. b. c. d. I& on t!e due date, Mr. Creditor delivers t!e note to Mr. Debtor wit!out collecting t!e debt, t!ere is an implied condonation i& t!e note is a private instrument. I& t!e debt is condoned by Mr. Creditor, t!e pledge is not condoned. I& Mr. Creditor returns t!e t!ing pledged to Mr. Debtor, t!e pledge and t!e loan are deemed e4tinguis!ed. I& on t!e due date, Mr. Creditor delivers t!e note to Mr. Debtor wit!out collecting t!e debt, t!ere is an implied condonation i& t!e note is a public document.

:+. Aor compensation to be proper, t!e &ollowing must be complied wit!. $!ic! is t!e e4ception% a. b. c. d. *ot! debts consist in a sum o& money or o& t!e same ,ind. *ot! debts are due. *ot! debts be li'uidated and demandable. *ot! parties are insolvent.

::. It is t!e substitution or c!ange o& an obligation by anot!er, w!ic! e4tinguis!es or modi&ies t!e &irst eit!er c!anging its ob"ect or principal condition, or substituting anot!er in place o& t!e debtor, or subrogating a t!ird in t!e rig!t o& t!e creditor. a. b. c. d. accion subrogatoria novation accion pauliano none o& t!e above

:;. $!ic! among t!e &ollowing is not an essential element o& an obligation% a. b. c. d. Active and passive sub"ects. Aorm o& t!e obligation #restation Kuridical tie

:=. Mr. 2liveros, by virtue o& a written agreement agreed to deliver to Mr. )antos a car on a speci&ied date provided t!e latter pays t!e &ormer #1 million. a. b. c. !e prestation is t!e car7 Mr. )antos is t!e active sub"ect7 Mr. 2liveros is t!e passive sub"ect and t!e "uridical tie is t!e contract. !e active sub"ect is Mr. 2liveros7 t!e passive sub"ect is Mr. )antos7 t!e "uridical tie is t!e law and t!e prestation is t!e giving o& t!e car. !e active sub"ect is Mr. )antos7 t!e passive sub"ect is Mr. 2liveros7 t!e prestation is t!e delivery o& t!e car and t!e "uridical tie is law.

&

d.

!e passive sub"ect is Mr. 2liveros7 t!e active sub"ect is Mr. )antos7 t!e prestation is t!e delivery o& t!e car and t!e "uridical tie is t!e contract.

:?. $!en a party causes damage to anot!er due to !is negligent act and suc! damage is caused in t!e course o& t!e per&ormance o& a contractual obligation, t!e latter is liable to t!e &ormer on t!e basis o& a. b. c. d. culpa criminal culpa e4tra contractual culpa contractual culpa a'uiliana

;/. 9o. 1 3 t!e same act o& negligence o& t!e de&endant t!at causes in"ury to anot!er may give rise to a liability based on culpa a'uiliana and culpa criminal and t!e in"ured party may recover twice &rom t!e same act or omission o& t!e de&endant. 9o. ( 3 $!en t!e de&endant causes damage to t!e plainti&& t!roug! t!e &ormers &ault or negligence, t!ere being no contractual relations!ip between t!em, t!e basis o& t!e de&endantEs liability is a 'uasi3contract. a. b. c. d. *ot! statements are &alse. *ot! statements are true. 2nly 9o. 1 is true. 2nly 9o. ( is true.

;1. !ey are law&ul, unilateral and voluntary acts t!at are based on t!e principle t!at no one s!all be enric!ed or bene&ited at t!e e4pense o& anot!er. a. b. c. d. Muasi3delicts Muasi3contracts Culpa contractual 9one o& t!e above

;(. !e 'uasi3contract o& negotiorum gestio re'uires t!e &ollowing. $!ic! is t!e e4ception% a. b. c. d. !ere must be an abandoned or neglected property or business. )omeone voluntary ta,es c!arge o& t!at abandoned business or property. !e owner must consent to t!e management o& !is business or property by someone. !e owner !as t!e obligation to reimburse t!e e4penses o& t!e person w!o ta,es c!arge o& !is business or property.

;.. #edro receives a pac,age via Aederal <4press. $!en !e opened t!e pac,age !e realiHed t!at t!e same was delivered to !im by mista,e and t!at t!e real owner t!ereo& is #ablo, !is neig!bor. !e obligation o& #edro to give t!e pac,age to #ablo arises &rom a. b. c. d. law contracts moral obligations solutio indebiti

;5. #edro o&&ered to sell to Marita a purported diamond ring w!ic! actually was a stone o& in&erior 'uality. *elieving it to be a genuine diamond ring, Marita boug!t and paid &or t!e ring. I& later on, Marita discovers t!e misrepresentation, Marita may6 a. b. c. d. sue &or damages alone because o& dolo causante. sue &or rescission. &or annulment because o& dolo incidente. &or annulment because o& dolo causante.

;+. #edro borrowed money &rom Kose, payable on 9ovember (:, (//+. 2n t!e due date o& t!e obligation, #edro &ailed to pay. 2n December ./, (//+, #edro paid t!e debt. a. b. c. d. #edro is in de&ault. #edro is not in de&ault. #edro is liable &or interest. #edro is liable &or damages.

;:. A debt !as a maturity date o& 9ovember 1, (//5. #ayment was made on 9ovember 1, (//+ but demand was made on Kune 1, (//+. I& t!e debtor is made liable &or interest, t!e interest s!all commence to run on a. b. c. d. 9ovember 1, (//5. Kune 1, (//+. !e date t!e obligation was incurred. 9one o& t!e above. 9ovember ./, (//+. *e&ore 9ovember

;;. #edro promised to give Kose an orc!ard planted wit! mango trees on ./, (//+, w!at rig!t does Kose !ave over t!e orc!ard% a. b. c. d. Kose !as no rig!t. Kose !as a personal rig!t. Kose !as a real rig!t. Kose !as bot! a personal and a real rig!t.

;=. 9o. 1 3 I& a person obliged to do somet!ing &ails to do it, t!e only remedy o& t!e obligee is to demand &or t!e payment o& damages. 9o. ( 3 I& a person obliged to do somet!ing &ails to do it, !e may be compelled by court action to &ul&ill !is obligation. a. b. *ot! are true. 2nly 9o. 1 is true.

'

c. d.

*ot! are &alse. 2nly 9o. ( is true. !ere was no agreed date &or delivery and payment.

;?. Mr. Robles sold !is only car to Mr. Ro4as &or #://,///. !e obligation o& Mr. Robles as seller is6 a. b. c. d.

to deliver w!en Mr. Ro4as is ready to pay. to deliver t!e car immediately because t!ere is already a per&ected contract. to !ave t!e contract rescinded because no date is &i4ed &or per&ormance. to deliver t!e car immediately because !is obligation is pure.

=/. In order t!at &raud may ma,e a contract void able6 a. b. c. d. It may be incidental but bot! parties s!ould not be in pari delicto. It may be serious and t!e parties must be in pari delicio. It may be incidental but s!ould !ave been employed by bot! parties. It s!ould be serious and s!ould !ave not !ave been employed by bot! contracting parties.

=1. Jody obtained a loan &rom <usebio in t!e amount o& #!#1/,///.// payable on Kune ./, (//+ plus 1/N interest. 2n Kanuary (, (//+, Jody won #!#1//, ///.// in a bingo game and !e o&&ered to pay #!#1/,///.// to <usebio. <usebio re&used to accept t!e payment o&&ered by Jody. $!ic! o& t!e &ollowing statements is correct% a. b. c. d. <usebio can be compelled to accept t!e payment o&&ered by Jody because t!e amount being o&&ered is complete. <usebio can be compelled to accept t!e payment being o&&ered i& t!e interest will be reduced. Jody cannot compel <usebio to accept t!e amount o&&ered by !im because t!e period &or payment !as not yet arrived. 9one o& t!e above.

=(. $!ic! o& t!e &ollowing statements is correct% a. b. c. d. 9egligence signi&ies t!e idea o& delay in t!e &ul&illment o& an obligation. Delay or de&ault means t!e &ailure to per&orm t!e obligation on t!e date agreed upon by t!e parties. Incidental &raud is one committed in t!e per&ormance o& an obligation. #roper diligence o& a good &at!er o& a &amily means e4tra3ordinary diligence. debtor%

=.. $!ic! o& t!e period in t!e &ollowing cases is intended &or t!e bene&it o& t!e a. b. c. d. #ayable on December .1, (//: #ayable be&ore December .1, (//: #ayable on or be&ore December .1, (//: All o& t!e above

=5. $!ile Mr. # was wal,ing along a busy street, !e slumped and su&&ered &rom symptoms o& a !eart attac,, and lost consciousness. Mr. D, a !eart specialist saw w!at !appened and t!roug! !is e4pertise saved t!e li&e o& Mr. #. I& sued &or Mr. DEs services. a. b. c. d. Mr. # must pay on t!e basis o& an implied contractual relations!ip. Mr. # must pay under a 'uasi3contract. Mr. # !as no obligation to pay because !e did not as, &or Mr. DEs services. Mr. # !as no obligation to pay because t!e services o& Mr. D can be construed as a voluntary act and !ence, a donation.

=+. ) and * entered into a sale o& a &our3!ectare land &or #1 million. ) prepared t!e Deed o& )ale and wit! &raudulent intent and ta,ing advantage o& *OE &ailing eyesig!t c!anged t!e area o& t!e land to re&lect an area less t!an w!at !ad been agreed upon. !e remedy o& * upon discovery o& t!e &raud is, a. b. c. d. Annulment Re&ormation o& t!e contract Rescission Answer not given

=:. $!ic! o& t!e &ollowing statements is incorrect% a. b. c. d. !e &ull payment o& t!e price is su&&icient to ma,e t!e buyer t!e owner o& t!e t!ing sold. In a sale, t!e &ull payment o& t!e price is a suspensive condition &or t!e seller to deliver. Delivery o& t!e t!ing sold is necessary to trans&er owners!ip. Delivery in a real contract is re'uired not &or trans&er o& owners!ip but &or t!e per&ection o& t!e contract.

=;. 2n Kune +, (///, Kose DiHon was supposed to deliver to Ruben )amia a speci&ied red car. !ere was no delivery !owever, on said date. 2n Kune 1+, (///, t!e garage o& t!e car collapsed because o& an eart!'ua,e and t!e car was totally destroyed. Is Kose DiHon liable% a. b. c. d. 9o, because !e could plead impossibility o& per&ormance due to a &ortuitous event even i& !e is in de&ault. Bes, because Kose DiHon is in legal delay. 9o, because t!ere was no demand and t!e car was lost t!roug! a &ortuitous event. Bes, because t!ere is a per&ected contract.

==. )eller wrote a letter to *uyer o&&ering to sell a piece o& land &or #+//,///. )eller gave *uyer two mont!s to decide and pay t!e purc!ase price. *e&ore t!e lapse o& two mont!s, )eller wrote *uyer t!at t!e price is now #;//,///. *uyer insisted on an acceptance &or #+//,///. 8e wants to compel )eller to e4ecute a deed o& sale &or t!e original o&&er o& #+//,///. May t!e )eller be compelled to !onor t!e #+//,/// o&&er% a. 9o, because *uyer did not accept t!e original o&&er.

b. c. d.

Bes, because two mont!s !ave not yet elapsed. Bes, because )eller is estoppel by !is original letter. Bes, because t!ere was a meeting o& t!e minds. !e debt is secured by a mortgaged on t!e !ouse o& )antos.

=?. )antos owes Maria #+ million.

9o. 1 3 I& be&ore t!e due date, t!e security is lost t!roug! no oneEs &ault, Maria can declare t!e debt due and demandable even be&ore t!e original maturity date. 9o. ( 3 I& t!e !ouse was burned up to (+N its value t!roug! t!e &ault o& )antos, t!e debt may be declared due by Maria even be&ore t!e original maturity date but s!e cannot do so i& t!e impairment was wit!out t!e &ault o& )antos. a. b. c. d. *ot! are correct. 9o. 1 is correct7 9o. ( is wrong. 9o. 1 is wrong7 9o. ( is correct. *ot! are wrong. AlonHo gave *ernardo -:/0 days wit!in

?/. AlonHo o&&ered to sell to *ernardo a parcel o& land at a speci&ied price. w!ic! to accept t!e o&&er. *ernardo agreed to t!e period. a. b. c. d.

*e&ore t!e lapse o& si4ty days, AlonHo may wit!draw t!e o&&er or increase t!e price. *e&ore t!e lapse o& si4ty days no wit!drawal can be made but t!e price may be increased. 9o wit!drawal can be made be&ore si4ty days because t!e period is binding. 9o wit!drawal can be made because t!ere is already a per&ected option contract.

?1. Kose is under obligation to deliver to #edro, at t!e option o& Kose, a car, a pic,3up truc,, or a van, all o& w!ic! are speci&ic. 9o. 1 3 I& t!e car and t!e pic,3up truc, were lost t!roug! KoseEs &ault, !e !as no c!oice but to deliver t!e van7 I& t!e van was lost t!roug! a &ortuitous event be&ore delivery, t!e obligation is e4tinguis!ed and Kose is not liable. 9o. ( 3 I& t!e pic,3up truc, and t!e car were lost t!roug! a &ortuitous event, Kose !as no c!oice but to deliver t!e van7 i& be&ore delivery, t!e van was lost because o& KoseEs &ault, !e is liable. a. b. c. d. *ot! 9os. are true. 9o. 1 is &alse7 9o. ( is true. *ot! 9os. are &alse. 9o. ( is true7 9o. 1 is &alse.

?(. In case o& losses, t!e industrial partner s!all, a. b. c. d. )!are in t!e losses in any event. )!all s!are in t!e losses only i& t!ere is a stipulation. )!all not s!are in t!e losses even i& !e contributes capital. )!all not s!are in t!e losses e4cept i& !e contributes capital also.

?.. <very contract o& partners!ip !aving a capital o& t!ree t!ousand pesos or more, in money or property, s!all appear in a public instrument, w!ic! must be recorded in t!e 2&&ice o& t!e )ecurities and <4c!ange commission. Aailure to comply wit! t!is re'uirement7 a. b. c. d. Renders t!e contract o& partners!ip void. Renders t!e contract o& partners!ip unen&orceable. A&&ects t!e liability o& t!e partners!ip to t!ird persons and t!e partners!ip !as no legal personality. Does not a&&ect t!e liability o& t!e partners!ip to t!ird persons and t!e partners!ip still !as a legal personality.

?5. A and * are partners in A P * #artners!ip. A owns two parcels o& land w!ic! !e contributed to t!e partners!ip. * owns si4 truc,s w!ic! !e contributed to t!e partners!ip. !e pro&its o& t!e land and t!e truc,s were also included as contributions. !e properties contributed are all w!at A and * own. !e partners!ip is6 a. b. c. d. Iniversal Iniversal partners!ip o& all present property Iniversal partners!ip o& all pro&its #articular partners!ip

?+. 1, B, and F are partners in 1BF #artners!ip, Ltd. B as limited partner. A&ter &ive years o& operations, t!e partners!ip incurred debts in &avor o& t!ird persons totaling #+ million. !e total partners!ip assets is #. million. $!o among t!e partners s!all be liable wit! t!eir separate property in &avor o& creditors% a. b. c. 1 and F &or #1.+ million eac! because t!ey are general partners 1, B and F &or #1 million eac! 1, B, and F depending upon t!eir capital contribution.

?:. Mr. #, a passenger in Allied *us Lines, a common carrier was seriously in"ured w!en t!e bus &ell into an emban,ment because o& t!e negligence o& t!e bus driver. $!ic! o& t!e &ollowing statements is more li,ely in accordance wit! accepted legal principles% a. b. c. d. Mr. # may initiate a criminal action against Allied *us Lines. Mr. # may initiate a civil action against Allied *us Lines based on a breac! o& contract t!eory only. Mr. # may initiate a criminal action only against t!e driver o& t!e bus. Mr. # may initiate a civil action &or damages on a 'uasi3delict t!eory against t!e driver o& t!e bus.

?;. $!ic! o& t!e &ollowing is correct% a. b. !e debtor always loses t!e rig!t to ma,e use o& t!e period w!enever !e becomes insolvent. !e rig!t to rescind a contract in a reciprocal obligation must always be stipulated,

1)

c. d.

In a contract to sell, t!e seller retains owners!ip o& t!e t!ing sold until t!e condition o& &ull payment is &ul&illed. In a contract o& sale, delivery does not always trans&er owners!ip.

?=. $!ic! o& t!e &ollowing is correct% a. b. c. d. A rescissible contract arises w!enever t!e debtor de&rauds t!e debtor. Araud is always a ground &or annulment o& a contract. In a pledge, t!e t!ing pledged may be in t!e custody o& a t!ird person. )ervices may be t!e ob"ect o& a contract o& sale.

??. $!ic! o& t!e &ollowing is correct% a. b. c. d. !e disposition by t!e debtor o& !is assets to t!e pre"udice o& t!e creditor is void. A relatively simulated contract is void. An unen&orceable contract is void. A voidable contract produces legal e&&ects.

1//. Mr. #, a passenger in Allied *us Lines, a common carrier was seriously in"ured w!en t!e bus &ell into an emban,ment because o& t!e negligence o& t!e bus driver. $!ic! o& t!e &ollowing statements is more li,ely in accordance wit! accepted legal principles% a. Mr. # may initiate a criminal action against Allied *us Lines. b. Mr. # may initiate a civil action against Allied *us Lines based on a breac! o& contract t!eory only. c. Mr. # may initiate a criminal action only against t!e driver o& t!e bus. d. Mr. # may initiate civil action &or damages on a 'uasi3delict t!eory against t!e driver o& t!e bus. e. $!at is t!e legal concept o& possession% a. b. c. d. 1/(. !e !olding o& a t!ing or t!e en"oyment o& a rig!t It is material occupation or by t!e &act t!at t!e rig!t or property is sub"ected to t!e will o& t!e claimant !e gat!ering o& t!e products and t!e act o& planting on t!e land All o& t!e above

1/1.

Can it be argued t!at t!e Martial Law !as t!e e&&ect o& tolling t!e prescriptive period &or t!e annulment o& avoidable contract% a. b. c. d. Bes, it !as t!e e&&ect o& a &orce ma"eure, as suc! it suspends t!e running o& t!e prescriptive period 9o, it cannot be argued t!at Martial Law !as t!e e&&ect o& a &orce ma"eure w!ic! in turn wor,s to suspend t!e running o& t!e prescriptive period Bes, as long as t!e calling o& t!e same was valid and constitutional 9one o& t!e above

1/..

$!ic! is not an element o& 9ovation% a. b. c. d. !e new obligation is laid down in une'uivocal terms !e new and t!e old obligations must be on every point incompatible wit! t!e ot!er <ac! o& t!e obligations must !ave its independent e4istence I& t!ey are compatible, t!e new obligation novates t!e &irst

1/5. 9i, sold to #aul a real property payable in mont!ly installments wit!in a + year period, #aul was only able to pay 15 mont!ly installments, a&ter t!e :/ day grace period and a&ter ./ days o& #aulEs receipt o& t!e notice and letter calling &or t!e rescission o& t!e contract 9i, rescinded t!e same. #aul contended t!at t!ere was an automatic rescission done by 9i,, !ence, t!e same was void. Jive t!e best answer. a. b. c. d. 1/+. !e rescission done by 9i, was in &ait!&ul compliance wit! t!e Maceda Law, as t!e grace period and t!e sending o& notices was complied be&ore rescission !e rescission done by 9i, was void as it &ell s!ort on compliance wit! t!e law, as t!e notices sent by t!e latter would not su&&ice t!e re'uirement o& a notarial act. #aul !as a rig!t to demand payment &or damages caused by t!e automatic rescission done by 9i,, t!e same being void under RA:++( Answer not given

Inder a contract o& guaranty, may t!e bene&it o& e4cussion be waived% a. b. c. d. Bes, a person may waive t!e bene&it o& e4cussion especially w!en t!e contract states t!at !is liability s!all be direct and immediate wit!out any need to ta,e steps to e4!aust legal remedy 9o, t!e bene&it o& e4cussion cannot be waived7 it is e4pressly provided t!at t!e creditor must &irst e4!aust all t!e properties o& t!e debtor. !e bene&it o& e4cussion serves to protect t!e guarantor &rom unscrupulous debtors Bes, t!e bene&it o& e4cussion may be waived provided t!e person owning suc! bene&it, !as su&&icient properties to cover t!e debt 9o, it may not be waived by reason o& public policy and commercial convenience

1/:.

May a mortgagorEs liability on labor claims be trans&erred to t!e mortgagee3creditor% a. Bes, a&ter t!e mortgagee3creditor !ad &oreclosed t!e assets o& t!e mortgagor3debtor, t!e labor liability claims are deemed trans&erred to t!e latter. b. 9o, t!e responsibility &or t!e liabilities by t!e mortgagor towards !is employees cannot be trans&erred via an auction sale to a purc!aser w!o is also t!e mortgagee3creditor o& t!e &oreclosed assets. c. 9o, t!e mortgage constitutes a lien on t!e determinative properties o& t!e employer3debtor, because it is specially pre&erred credit to w!ic! wor,erEs monetary claims is deemed subordinate d. C*E and CCD only e. none o& t!e above $!ic! o& t!e &ollowing is not a &orm o& an e'uitable mortgage%

1/;.

11

a. b. c. d.

!e consideration !as been proven to be unusually inade'uate !e supposed vendor !as remained in t!e possession o& t!e property even a&ter t!e e4ecution o& t!e instrument !e alleged seller !as continued to pay t!e estate ta4es on t!e property !e alleged seller !as planted crops and ot!er agricultural products on t!e property under an agricultural leasing contract between t!em !is enumeration is e4clusive.

1/=. Article 11+; at t!e Civil Code enumerates t!e di&&erent sources o& obligation. a. rue b. Aalse c. 9one o& t!e above 1/?. A court is empowered to ignore an unreasonable contract &or attorneyEs to be contrary to morality or public policy. a. b. c. rue Aalse 9one o& t!e above

compensation alt!oug! it is not s!own

11/. A part can recover damages incurred during t!e period o& negotiation, even i& t!e contract is not &inally per&ected as long as t!ere was a de&inite o&&er made by t!e ot!er party w!o, wit!out any valid reason, wit!drew &rom t!e negotiations. a. rue b. Aalse c. 9one o& t!e above 111. A contract is binding between t!e parties notwit!standing t!e absence o& a law t!at governs it, as long as it is not contrary to morals, good customs, public policy, or public order. a. rue b. Aalse c. 9one o& t!e above 11(. An obligation to pay can arise &rom certain law&ul, voluntary and unilateral w!ic! did not cause damages to anot!er person. a. rue b. Aalse c. 9one o& t!e above 11.. !e guardian o& an imbecile s!all be civilly liable as principal &or t!e crime a. rue b. Aalse c. 9one o& t!e above 115. !e service o& t!e subsidiary imprisonment o& an insolvent o&&ender s!all a. rue b. Aalse c. 9one o& t!e above 11+. !e rule t!at once a criminal action is &iled t!e civil action is suspended is a. rue b. Aalse c. 9one o& t!e above 11:. $!en CAD promises to deliver to C*D one o& !is present anti'ue ears, !e is anti'ue cars t!at presently belong to !im. a. rue b. Aalse c. 9one o& t!e above 11;. $!en CAD promises to deliver to C*D any car, !e !as t!e obligation to a. rue b. Aalse c. 9one o& t!e above 11=. !e lose o& a determinate t!ing e4tinguis!es t!e obligation to deliver by a. rue b. Aalse c. 9one o& t!e above 11?. In an obligation to do or to render service, t!e obli'ue may impose obligor to comply wit! !is obligation. a. rue b. Aalse c. 9one o& t!e above personal &orce or coercion to compel t!e t!e obligor w!o is guilty o& &ault or delay. preserve !is car wit! due car. con&ined to deliver only any o& t!e absolute. e4tinguis! !is civil liability. act w!ic! did not bene&it anyone or

committed by t!e imbecile alone.

12

1(/. !ere is debtors &ault in real obligation w!en a creditor demands t!e a. rue b. Aalse c. 9one o& t!e above 1(1. A person w!o in t!e per&ormance o& !is obligation is guilty o& &raud, damages. a. rue b. Aalse c. 9one o& t!e above 1((. A waiver made in advance not to &ile an action &or damages based on e4isting obligation is void. a. rue b. Aalse c. 9one o& t!e above

delivery o& a t!ing not yet due.

negligence

or

delay

is

liable

&or

&uture &raud in t!e per&ormance o& an

1(.. !e diligence o& a good &at!er o& t!e &amily is t!e &i4ed degree or standard o& care re'uired in circumstances. a. rue b. Aalse c. 9one o& t!e above 1(5. !e t!e&t o& a t!ing is considered &orce ma"eure w!ic! results in t!e deliver t!e stolen t!ing. a. rue b. Aalse c. 9one o& t!e above 1(+. !e rule t!at no person is responsible &or a &ortuitous event applies even a. rue b. Aalse c. 9one o& t!e above 1(:. An obligation in a contract w!ic! arises upon t!e deat! o& one o& t!e obligation. a. rue b. Aalse c. 9one o& t!e above 1(;. An obligation w!ere t!e period o& payment is sub"ect to t!e will o& t!e a. rue b. Aalse c. 9one o& t!e above 1(=. !e court can &i4 t!e period w!en t!e obligation is sub"ect to t!e sole will a. rue b. Aalse c. 9one o& t!e above 1(?. An obligation sub"ect to a resolutory condition is immediately demandable o& t!e condition. a. rue b. Aalse c. 9one o& t!e above 1./. I& an in"ured party in a contract !as demanded rescission, !e later may as, &or per&ormance. 8owever, o& !e see,s per&ormance, !e can no longer see, &or rescission o& t!e contract. a. rue b. Aalse c. 9one o& t!e above 1.1. !e court may &i4 t!e period o& payment w!en t!e duration depends upon t!e will o& t!e debtor li,e in6 C$!en my means permit me to do soD, or Cas soon as possibleD, or Cas soon as I !ave moneyD a. rue b. Aalse c. 9one o& t!e above 1.(. A debtor s!all lose every rig!t to ma,e use o& t!e period w!en !e attempts to abscond. a. rue b. Aalse c. 9one o& t!e above but is e4tinguis!ed upon t!e !appening o& t!e debtor. debtor or obligor is void. parties is classi&ied as conditional in an obligation to deliver a !orse. e4tinguis!ment o& an obligation to

13

1... In &acultative obligations, only one t!ing is due but t!e debtor !as reserved anot!er. Conse'uently, t!e loss o& t!e substitute e4tinguis!es t!e obligation. a. rue b. Aalse c. 9one o& t!e above

t!e rig!t to substitute it wit!

1.5. $!en two or more persons are liable under a contract or under a "udgment to presumption is t!at t!eir obligations is solidary and eac! debtor is liable &or t!e entire obligations. a. rue b. Aalse c. 9one o& t!e above 1.+. A sub"ect matter i& an obligation may be p!ysically divisible but maybe deemed indivisible by law or by t!e intention o& t!e parties. a. rue b. Aalse c. 9one o& t!e above

ANSWER KEY IN CIVIL LAW REVIEW ll

1. * (. * .. D 5. * +. C :. C ;. C =. D ?. C 1/. * 11. * 1(. < 1.. A 15. D 1+. A 1:. D 1;. A 1=. C 1?. C (/. D (1. A ((. C (.. C (5. D (+. * (:. D

5?. * +/. D +1. C +(. D +.. * +5. A ++. A +:. D +;. * +=. A +?. * :/. C :1. C :(. A :.. C :5. A :+. D ::. * :;. * :=. * :?. C ;/. D ;1. D ;(. C ;.. D ;5. *

?;. C ?=. C ??. D 1//. C 1/1. D 1/(. * 1/.. D 1/5. * 1/+. A 1/:. D 1/;. D 1/=. * 1/?. A 11/. A 111. A 11(. * 11.. A 115. A 11+. * 11:. A 11;. * 11=. * 11?. * 1(/. * 1(1. A 1((. A

1#

(;. D (=. A (?. D ./. C .1. D .(. A ... * .5. C .+. A .:. C .;. * .=. A .?. * 5/. A 51. D 5(. C 5.. D 55. A 5+. D 5:. C 5;. D 5=. *

;+. * ;:. * ;;. A ;=. C ;?. A =/. D =1. C =(. C =.. * =5. * =+. D =:. A =;. C ==. A =?. A ?/. A ?1. A ?(. D ?.. D ?5. * ?+. C ?:. D

1(.. * 1(5. * 1(+. * 1(:. * 1(;. A 1(=. * 1(?. A 1./. * 1.1. A 1.(. A 1... A 1.5. * 1.+. *

1$