71. S sold to B a parcel of land for a lump sum of P50,000. The contract states that the area is 500 square meters. Subsequently, it was ascertained that the area included within the boundaries is really 550 square meters.

a. S is bound to deliver 500 square meters and B to pay P50,000

b. S is bound to deliver 500 square meters and B to pay P55,000

c. S or B can rescind the sale because there is no meeting of minds

d. None of the above

.

72. In the preceding question (Question No. 71), if the land contains 445 square meters, which of the following is correct?

a. S is bound to deliver 500 square meter and B to pay P50,000

b. S is bound to deliver 445 square meters and B to pay P44,500

c. B may rescind the sale because the lack in the area is more than 1/10 of the total area

d. None of the above

.

73. Three of the following are elements of the vendor's right of stoppage in transit. Which is the exception?

1 point

a. The buyer must be insolvent

b. The goods must be in transit

c. The seller must be unpaid

d. The seller must be in possession of the goods

.

74. Three of the following must be given by the seller to the buyer if the redemption is to be made. Which is the exception?

a. Expenses of the contract

b. Price of the sale

c. Necessary expenses on the thing sold

d. Interest on the price of the sale

.

75. If the price is uncertain:

a. the transaction is void

b. the price is to be fixed by the court

c. the sale is unenforceable

d. the buyer will pay a reasonable price

.

76. Statement 1. In gratuitous deposit, the depositor is not obliged to reimburse the expenses for preservation as he has the implied authority to use the thing deposited. Statement 2. Hotel keeper has the right to retain the things brought by guest within the hotel as security for the payment of the accommodation of the said guest.

1 point

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

77. Statement 1. In case of doubt, a contract purporting to be a sale with right to repurchase shall be construed as an equitable mortgage. Statement 2. The vendee a retro is subrogated to the vendor's rights and actions.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

78. Statement 1. The creditors of the vendor cannot make use of the right of redemption against the vendee, until after they have exhausted the property of the vendor. Statement 2. Legal redemption is the right to be subrogated, upon the same terms and conditions stipulated in the contract, in the place of one who acquired a thing by purchase or dation in payment, or by any other transaction whereby ownership is transmitted by onerous title.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

79. Statement 1. A chattel mortgage exists when personal property is recorded in the Chattel Mortgage Register as a security for the performance of an obligation. Statement 2. In chattel mortgage, the mortgagor must execute an affidavit of good faith in order that the mortgage shall be valid against third persons.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE.

.

80. Statement 1. An unregistered chattel mortgage is valid upon parties but void as to innocent third persons. Statement 2. Real Estate Mortgage is an accessory contract

1 point

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

81. Statement 1. The parties to a mortgage of a house and lot cannot validly stipulate that the mortgage property cannot be sold except with the consent of the mortgagee. Statement 2. Real Estate Mortgage to be valid as to third person is sufficient if it has been embodied in a public instrument.

1 point

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

82. Statement 1. There is no automatic rescission in sale of movable or immovable property. Statement 2. The only remedy of the seller in sale of personal property by installment if the buyer's failure to pay covers two (2) or more installments is to cancel the sale.

1 point

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

83. Statement 1. In sale with right to repurchase, the vendee a retro is liable to return to the vendor the purchase price and its interest at the time of the redemption. Statement 2. Owners of property seized and sold for tax delinquency shall have no right of legal redemption.

1 point

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

84. Statement 1. In both chattel mortgage and pledge, the thing as a security for the fulfillment of the principal obligation is delivered to the creditor. Statement 2. A stipulation for bidding the owner from alienating the immovable mortgage is valid.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

85. Statement 1. The surety is entitled to Benefit of Excussion. Statement 2. The objects in Mutuum are non-fungible objects.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

86. Statement 1. In pledge personal properties are delivered by the pledgor to the pledgee primarily for safekeeping purposes. Statement 2. Ownership is transferred to the bailee in commodatum.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

87. Statement 1. Mutuum is a consensual contract. Statement 2. The pledgor will retain possession over the subject matter of the contract.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

88. Statement 1. The subject matter of antichresis is movable properties. Statement 2. Only non-consumables can be given in commodatum.

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

89. Statement 1. Guaranty is a unilateral contract. Statement 2. A guarantor is allowed to appoint a sub-guarantor

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE

.

. 90. Statement 1. The right of a co-owner to is more supreme than the right of an adjacent owner when it comes to redemption of urban lands. Statement 2. It is bulk sale if all or substantially all of the goods of the seller are sold in the ordinary course of his business

a. Both Statements are TRUE

b. Both Statements are FALSE

c. Only Statement 1 is TRUE

d. Only Statement 2 is TRUE