Explain Briefly!

Essay: The pertinent provision of law need not be cited in your answers.

1. (a) When is a contract deemed perfected?

(b) When is a contract deemed consummated?

(b) Are there contracts deemed consummated during the perfection of the contract? Explain.

2. When two persons are claiming the same right to collect from you and you are in doubt to whom you will give your payment, what would your remedy be so that you will not pay to the wrong person? Briefly explain also the procedure.

3. (a) Deo borrowed P50,000.00 from Colleen with Gualbert as guarantor. However, Colleen is also indebted to Deo in the amount of P30,000.00. Both debts have become due. Colleen demanded payment from Deo but Deo has become insolvent with assets of only P15,000.00 which he used in partial payment of his debt to Colleen. In this case, can Colleen hold Gualbert to pay if the guaranty agreement expressly provides that the guarantor's liability arises after exhaustion of the principal debtor's assets? How much can Colleen collect from Gualbert?

(b) Is a contract of surety the same with contract of guaranty? Distinguish the said two contracts if they do not refer to one and the same contract.

4. D borrowed P50,000.00 from C. On due date, D did not have any money to pay the debt so he proposed to C that the latter accept a ring to settle the debt. C at first did not accept the proposal but due to insistent act of D, he reluctanty received the ring. Immediately after receiving the ring, C sold it to B. Is D's obligation to give P50,000.00 to C extinguished? Explain.

5. D is obliged to deliver a specific Toyota car to C. The parties agreed that should D so desire, he may deliver his only Lancer car to C as a substitute. Before D could make any substitution, the Lancer car was damaged beyond repair through the fault of D.

(a) Is D still obliged to deliver the Toyota car to C on due date?

(b) Will you maintain the same answer if the specific Toyota car was lost due to no fault of D? Explain.

6. D is obliged to deliver either a specific bracelet, a specific necklace, or a specific ring to C. No mention was made in the agreement of the parties as to who has the right of choice . Before the due date, C wrote D informing the latter that he C preferred the ring be delivered to him. D received the letter but did not give any response to C. Subsequently, the ring was lost through fortuitous event.

(a) Is D's obligation to C extinguished by fortuitous events? Explain.

(b) Would you maintain the same answer if there was no choice of the ring communicated by the creditor to D? Explain.

7. D, a professional singer agreed to sing for a fee of P50,000.00 at the birthday party of C who was a fan of D. Due to numerous commitments, D could not go to the party of C. He sent Y, another professional singer who was known to sing better than D to singat C's party, and informed C that the latter needed to pay only P25,000.00. Can D validly assign his obligation to sing? Explain briefly your answer.

8.(a) S offers to sell his specific car to B for P125,000 cash. B accepts the offer but is willing to pay only P120,000.00. Was the contract perfected? Explain.

(b) If there is an option money paid by the offeree, can the offeror draw the offer before the stipulated period to accept the offer? Explain.

9. If you will be asked to choose which of the following is not a requisite of the object of a contract, what will your answer be and cite reason/s for your answer:

(a) it must be within the commerce of men;

(b) if it is a right, it must be intransmissible;

(c) it must not be contrary to law, morals, good customs, public order and public policy;

(d) it must be determinate as to its kind or capable of being made determinate without the need of the parties entering into new agreement. Cite justification for your answer.

10. S and B orally entered into a contract whereby S sold his one-year production of eggs in his poultry farm to B for P100,000 which amount B immediately gave in cash to S. (a) Is the contract between S and B valid considering that the eggs are not yet in existence? Explain.

(b) What would be the effect if the eggs are not produced? Explain.

11. Explain the following and then cite example:

(1) accessory contract

(b) nominate contract

(c) principal contract

(d) bilateral contract

(e) gratuitous contract

(f) onerous contract

(g) consensual contract

12. Contracts take effect only between the contracting parties, their assigns and heirs, except in cases where the obligations and rights arising from the contract are not transmissible by their nature, or by stipulation or provision of law.

(a) What is the principle of contract referred in the foregoing statement?

13. Obligations arising from contracts have the force of law between the contracting parties and should be complied with in good faith. From perfection, the parties are bound not only to the fulfillment of what has been expressly stipulatedbut also to all the consequences which according to their nature, may be in keeping with good faith, usage and law. What is the principle herein referred?

14. (a) Will intoxication of either party render an offer ineffective before acceptance of the offer is conveyed? (b) Cite at least three instances that will render an offer ineffective before acceptance is conveyed.

15. (a) An offer made through an agent is accepted from the time the acceptance is communicated to the principal by the agent. If the statement is false, cite the reason why the statement is not correct.

(b) Is the contract of agency and accessory contract? Justify your answer.

16. (a) Business advertisementsof things for sale are definite offers unless it appears otherwise. If the statement is false, cite the reason why the statement is not true.

(b) Explain the following classification of contracts enumerated, then cite at least two examples:

(1) principal contracts;

(2) accessory contracts;

(3) nominate contracts; and

(4) preparatory contracts.

17. How are consent manifested in a contract?

18. Can a minor enter into acontract? If your answer is in the affirmative, how would a minor may validly do so? Explain.

19. What are the three essential requisites of a contract? Cite distinctions of the three essential requisites.

20. Is there a valid contract if the cause of the contract was not expressly stated in the instrument evidencing the agreement? Explain.