LAW ON OBLIGATIONS AND CONTRACTS

1. In alternative obligations, the creditor may have the right to choose the obligation to be performed if the loss is due to the fault of the debtor.*

a.True

b.False

2. In facultative obligations, there is a substitute for the principal obligation.*

a.True

b.False

3. When the principal obligation is valid and the substitute obligations is not, the obligation becomes a simple obligation.*

a.True

b.False

4. In facultative obligations, the right to choose what obligation to perform belongs to the debtor.*

a.True

b.False

5. In conjunctive obligations, several prestations need to be performed.*

a.True

b.False

6. In solidary and joint obligations, there is multiplicity of parties.*

a.True

b.False

7. In joint obligations, the parties share equally in the burden of performing an obligation.*

a.True

b.False

8. When there is multiplicity of parties in an obligation, the presumption is that the obligation is joint.*

a.True

b.False

9. In joint obligations, insolvency of one of the debtors will not increase the liability of the other debtors.*

a.True

b.False

10. In joint obligations, delay on the part of a debtor will not affect the liablity of a co-debtor.*

a.True

b.False

11. In solidary obligations, there is mutual agency.*

a.True

b.False

12. In solidary obligations, anyone of the creditors may do anything beneficial even without the consent of the other co-creditors.*

a.True

b.False

13. There is active solidarity when there are two or more creditors.*

a.True

b.False

14. In solidary obligations, a debtor is expected to pay the entire obligation without prejudice to his right to collect from his co-debtors.*

a.True

b.False

15. Divisible obligations admits of partial performance.*

a.True

b.False

16. The penal clause attached to an obligation is actually an accessory obligation.*

a.True

b.False

17. A penal takes the place of the obligation to pay damages in case of breach.*

a.True

b.False

18. When an obligation is with a penal clause, proof of actual damages is not required.*

a.True

b.False

19. When the penalty is demanded in case of only in case of breach, the penal clause is only subsidiary.*

a.True

b.False

20. A debtor cannot choose to perform the penal clause and altogether not perform the obligation already.*

a.True

b.False

21. When the debtor refuses to pay the penalty, the creditor may still collect damages in addition to the uncollected penalty.*

a.True

b.False

22. When the penal clause is void, the obligation to which it is attached nevertheless remains valid.*

a.True

b.False

23. When the principal obligation is void, the obligation is void even of the penal clause is valid.*

a.True

b.False

24. The courts may reduce the penalty when there is partial and or substantial performance of the principal obligation.*

a.True

b.False

25. When an injured party may demand the enforcement of both the penalty and the principal obligation, the penal clause is joint in nature.*

a.True

b.False

ESSAY

1. In no more than five sentences, write an essay emphasizing the importance of obligations and contracts in the life of an ordinary citizen.

2. In no more than five sentences, cite at least three situations when you could apply your basic knowledge on the Law on Obligations and Contracts.