Law On SALES Midterm Exams
Law On SALES Midterm Exams
Law On SALES Midterm Exams
Pastrana
Law on Sales
Chapter 1 Nature of Sale
Definition Article 1458 By the contract of sale on of the contracting parties
obligates himself to transfer the ownership of and to deliver a determinate thing,
and the other to pay therefor a price certain in money or its equivalent
I.
II.
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III.
IV.
V.
value.
Buenaventura vs CA: There is no requirement that the price be equal to the
exact value of the subject matter, all that is required is for the seller to believe
that what was received was the commutative value of what he gave
8. Title not Mode Creates an obligation on the part of the seller to transfer
VI.
1. Donation Article 726 - When the donor imposes upon the donee a burden
which is less than the value of the thing given there is a donation - Gratuitous
Article 725
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Agency
Unilaterally revocable
Seller warrants
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3. Agreement between the debtor and creditor that the obligation shall be
extinguished by reason of the performance of the prestation different from
that due
6. Lease - Art. 1643. In the lease of things, one of the parties binds himself to
give to another the enjoyment or use of a thing for a price certain, and for a
period which may be definite or indefinite. However, no lease for more than
ninety-nine years shall be valid.
Doctrines to remember:
Chapter 1: Nature of Sale
See ABOVE and most importantly:
Gaite vs Fonacier In case of doubt (If donation or sale, then sale)
We interpret in favor of the greater reciprocity of interest
Chapter 2: Parties of Sale
Domingo vs Court of Appeals - incomptence
The general rule is that a person is not incompetent merely because of
advanced years or by reason of physical infirmities. However when such age
or infirmities have impaired the mental faculties so as to prevent the person
from properly, intelligently and firmly protecting her property rights then she
is undeniably incapacitated
Calimlim-Canullas vs Fortun Live-in
The prohibition shall apply to a couple living as husband and wife without
benefit of marriage, otherwise, the condition of those who incurred guilt
would turn out to be better than those in legal union
Philippine Trust Co. vs Roldan Guardians, Executors and
Administrators
The general doctrine that each of such relationship is a trust of the highest
order, and the trustee cannot be allowed to have any inducement to neglect
his wards interest
Macariola vs Asuncion Judges
The doctrine of prohibition under article 1491 is applicable only during the
period of litigation should cover not only lawyers by judges as well
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Fabillo vs IAC
A contingent fee arrangement is not covered by article 1491 because
payment of said fee is not made during the pendency of the litigation but
only after judgment has been rendered
As long as the lawyer does not exert undue influence on his client, that no
fraud is committed or imposition applied, or that compensation is clearly not
excessive as to amount to extortion, a contract for contingent fee is valid
and enforceable
Chapter 3 Subject Matter
Sibal vs Valdez Emptio rei speratae
Pending crops which have potential existence maybe the object of a
contract of sale, and may be dealt with separately from the land on which
they grow
Polytechnic University vs CA Coverage of Sale
The civil code provisions on sale are in effect a catch all provision which
effectively bring within their grasp a whole gamut of transfers whereby
ownership is ceded for a consideration
Atilano vs Atilano Lot no.
One sells or buys property as he sees it in its actual setting and by its
physical metes and bounds, and not by the mere lot number assigned to it in
the certificate of title
National Grains Authority vs IAC Quantity
Specific quantity of the subject matter is not important when it is still
possible to determine the quantity without a new or further agreement
between the parties
Chapter 4 Price and Other Consideration
Price signifies the sum stipulated as the equivalent of the thing sold and
also every incident taken into consideration in fixing the price put to the
debit of the buyer and agreed to by him
Price is False When there is a real price upon which the minds of the
parties had met, but not declared, and what is stated in the covering deed is
not the one intended to be paid
Price Simulated Absolutely or Relatively Art. 1345. Simulation of a
contract may be absolute or relative. The former takes place when the
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parties do not intend to be bound at all; the latter, when the parties
conceal their true agreement.
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