Obligations and Contracts. Reformation of Instruments, Multiple Choice 1-14 ASAP. Thank you
Chapter 4 - Reformation of Instruments II. When one party was mistaken and the other knew or believed that the instrument did not state their real agreement, but concealed that fact from the former, the instrument may be reformed. . Only I is true C. Both are true b. Only II is true d. Both are false 7. I. Reformation may be ordered at the instance of either party or his successors in interest, if the mistake was mutual; otherwise, upon petition of the injured party, or his heirs and assigns. II. When one of the parties has brought an action to enforce the instrument, he cannot subsequently ask for its reformation. a. Only I is true C. Both are true b. Only II is true d. Both are false 8. In order that an action for reformation of instrument may prosper, the following requisites must concur: (1) there must have been a meeting of the minds of the parties to the contract; (II) the instrument does not express the true intention of the parties; and (III) the failure of the instrument to express the true intention of the parties is due to mistake, fraud, inequitable conduct or accident. a. Only I is true b. Only II is true C. I, II, and III are true d. None of the above 9. Is a remedy in equity whereby a written instrument is made or construed so as to express or conform to the real intention of the parties where some error or mistake has been committed. a. Annulment C. Construction b. Reformation d. Interpretation 10. A and B entered into a contract of mortgage. However, as written the document states it is a contract of sale with right of repurchase, the error due to the fault of the clerk. Hence: a. The contract of sale must be annulled since it is voidable. b. The instrument has to be enforced as it is the proof of the agreement between the parties. c. Because of the negligence of the parties in signing without first reading the instrument, they are bound by the contents of the same. d. The instrument may be reformed because it does not express the true agreement of the parties. 11. I. In granting reformation, the remedy in equity is not making a new contract for the parties, but establishing and perpetuating the real contract between the partiesChapter 4 - Reformation of Instruments I1. In reforming instruments, courts do not make another contract for the parties. They merely inquire into the intention of the parties and, having found it, reform the written instrument (not the contract) in order that it may express the real intention of the parties. a. Only I is true b. Only II is true c. Both are true d. Both are false 12. Y entered into a contract of mortgage with X. T, the clerk of Y typed the document. Due to T's negligence, the document made was that of sale instead of mortgage. a. The remedy is annulment. b. Parties may go to court for interpretation. c. Parties may enforce their right because it is enforceable. d. Reformation of instrument is proper. 13. I. When through the ignorance, lack of skill, negligence or bad faith on the part of the person drafting the instrument or of the clerk or typist, the instrument does not express the true intention of the parties, the courts may order that the instrument be reformed. II. If two parties agree upon the mortgage or pledge of real or personal property, but the instrument states that the property is sold absolutely or with a right of repurchase, annulment of the instrument is proper. a. Only I is true belage shin paious b. Only II is true C. Both are true d. Both are false 14. There shall be no reformation in the following cases, except: a. Memorandum of agreement b. Wills C. Simple donations inter vivos d. When the real agreement is voidChapter 4 - Reformation of Instruments Multiple Choice Questions 1. A orally sold to B his house at #47 Lagawa, Mt. Province. In the written deed of sale, both forgot the true number of the house and instead wrote on the contract, #74 Lagawa, Mt. Province. The remedy shall be: a. Annulment of a voidable contract because of mutual mistake. b. Reformation of instrument because of lack of meeting of minds. c. Reformation of instrument because of mutual error. d. Declaration of nullity of the contract because of the uncertainty of the intention as to the object. 2. In order that an action for reformation of instrument may prosper, the following requisites must concur, except: a. There must have been a meeting of the minds of the parties to the contract. b. There must have been no meeting of the minds of the parties to the contract. c. The instrument does not express the true intention of the parties. d. The failure of the instrument to express the true intention of the parties is due to mistake, fraud, inequitable conduct or accident. 3. Is the act of making intelligible what was before not understood, ambiguous, or not obvious. a. Annulment C. Ratification b. Reformation d. Interpretation 4. Is that remedy in equity by means of which a written instrument is made or construed so as to express or conform to the real intention of the parties. a. Annulment C. Reformation b. Ratification d. Interpretation 5. I. In reformation of contracts, what is reformed is not the contract itself, but the instrument embodying the contract. II. In an instrument embodying a contract where both parties committed mutual mistake which caused the failure of the instrument to disclose their real agreement, said instrument may be reformed. a. Only I is true c. Both are true b. Only II is true d. Both are false 6. I. In an instrument embodying a contract where one party was mistaken and the other acted fraudulently or inequitably in such a way that the instrument does not show their true intention, only the party who was mistaken may ask for reformation of the instrument or his heirs and assigns
