RCSA

The Review School of Accountancy 4

* 'Iel. # 735-9807 /734-3989
Atty. M.S. Bonafe Jr.
BUSINESS LAW
Quiz - Law on Contracts - PART I
t

\) 1. Statements: be construed ?l mortglse:

In case of cloubt, a contract purpofing to be sale shalt
, In annulment of contracts, there shall rr*uvi be
mutiral restitution of both parties thereof'
a. First statement is false, second is true c' Both are true
_b:
Both are fatse d. First statement trv:_; s?!!?dr/s false ls
t;
contra*^I.I:l*.?:,':,,obo.
' 1T:iil"Jli;,ouo," and unenrorcearrre contracrs,
ioi
res_ciseible
*;ul''"nt
must be made withinlrour v-e,9II no1
In case of fraud or mistake, the actlon '"
the commission of the vice of consent'
:1
is +-..^.
-^! :^ e'
true; second is Frl
-^-^-rr icF:false
a. Both statements are true First
, ?,
false; second is true
b. Both are false first is
for
nis onty'p6r[el of land to satisfy his claim
\] 3. D, fearing that his creditor C, would Eo after intention' Decide:
payment of o,s debi, iorJ r,ts'sgio tanito X who
did not know of D's

[t>it:l I . t a,Ccanaskforannulmentofthesaleasthisisvoidablecontract.
he was danrageci by the sale.
b. c may asr ror oimages against X ofsince
L,
a', C can file an action for rescisSion the sale'
d. C cannot ask for the rescission of the sale' ., +
ir,,nen tne purpose of .he parties is frustrated
+.(Nutual error aS to the legal qffect of anf
'-ffi,*Atult rn the'ieformation of th.e instrument'
iMutualmistakeof-tnepartiesandtheinstrurnentcloesnotexpressthetrueagreementwill
#rid;;Jniiu.t vordable' c' .-^-^^A ic t:
First is true; second is false'
a. Both statements are false d First is false; second is true'
b. Both are true.
in the nanre of the latter'-
5. A without authonty from B sold the latter's car Tirtilit-i.1 't
therefore: Unenforceable c. +', ;"
;/
a. Rescissrble void d
L',. Voidable
foi rr:rnrcraiity i'lhe latter does rrot marry her
6tiA threatened B ivtth an adtrltnrstrat,ve cilaige
{t - L,ecause she is already pregnant r,'ith therr if'ltd' reu''ng that she n-ray !o so' B married her'of
The contract of marriage is therefore voidable because
of threatJ'-2 | :gg1g -istake
contract because of mrstake'
account *ay giu" l-iie t-o'tne annulment of the
e, First statement is false; iecond is true c' Both are true
are is true; second is false i
i;. Both ._1. i. i . ,-
.

' bi'
;r r ' '
_- hr ,l.r,o,rt, 't

t '
,
i

iiiffi"Sfii:#ffJ l]'"i'#i.la,,," is in putrric'n't/'*"11,119'*l:*9

u
writing ancltire sale is oral, the t:"tt!i:L@*;rd'ed
rf the authority of B is in
J

a. first statement is false; c' Both are true

" ThetnJseionO it ttr"
d' Both are false
b. The first is true; second is false
rts defect by ratification' which is not so
B. In three of thg fnllowiqg.thQ ccrrlragt is cleansed r:f
ralj!sde-rr.1.''1 1r r{ '' ,'
\,\i ir\t\yqc{, {
to defraud
f,l Contract ldiere the crecti'r:r ruas damaged by ihe act of the cJebtor intended
' him.
Contract entered into by'a person incapable
of giving consent'
b. price not less than five hundred pesos'
c. sale of chatter, oiurrv enteieo into for a
d'Leaseofrealpropertyformorethanoneyearorallyenteredinto.
[t AgavoBoneMillionPesosforthelatlertokillC.BeforeBcoultjaccomplishhiscriminal
the return of the money from B' Decide:
9.
L, irtent to kill c, A clrangerJ his mind and demanded it was a void contract which does
. A cannot recover the payment he rnade to B because
not allow recovery by the guilty party'
is unenforceable'
b. A cannot recoverin" *onuy because the contract
C,--)Acanrecovertr."*"."vatthoughthecontractisvoidsincethecrimewasnot
'' committed.
d,NorecoveryandbothAanctBwillprosecuterjfortheircrirne.
 10. Because A wants tc seii his land tc Lr but ihe la*er dces not want to buy the same, A forced
D B to buy lris lanC. The conttact:
@. NoL bindinE upan B since hi:; consent'rvilS v'itiated.
, tb. It
is unenforcr:atrie as against B frr,rt nct aEairist,{,
..'
a..-,i,
: i c. May ire ratifir:ci expressii' ';'i tacitly by A.
, :--- d. It is valid, bindirig and *ttfbrcea?,lle.
\Y:I\
11. D borrowed a sum of money irorrr C rvilii G as qudr"ntor. The loan is rn writinE Llut the
guaranty is oral. D faiierJ tr pay C. Wh.: r:our is clenrandlng prayrrrent from G? Can G be
compelled to pay?
a. Yes, because he is the guarantcr obliged to pay in case the clebtor defaults.
!. No,becausetheguararibyisvoidhavrrigEe_e_ng"qllyJllade.- -"..- (Attr'il :t ,
e No, because the gr.:araniv is I'll{{_c5*rlqi6-airtst $, it heing oral' , ,r-, , ..1.
d. Yes, hecause tlie guararrty eilfbii:eaiil;-.:, ,,vrittn6; not neerlecJ.
isr
" "j
t2. A and B agreec! <ln February "3, ).fr$$ t.h,:r: E wili construct the house r:f A irr January 2002.
The contrait was or...lly er:tr:reo iil-,.r. B ieceived a,i(!yyn payrxiinl: from A with the baiance
payabie after ccntpletrorr of l-l'e hottstl. The tcrrtract'is\
ii . - r'
r d. Voidable because it not in public instrurnetlt'
I I
@ Enforceable even i{'not 'n writitlg, having been ratified.
l'r:.
I
:r .
c. Unenforceable because !i i: nr:t in writirrg and yet pterFormance there is after one year
from perfection.
d. Void becaLrse it is nc,t in writing a> ie(luired cly iawr . . , ''i , ';' :
;' *f a. :.'ti
n 13. A sold to B a iake Roiex watch on -'Ianr.ia,y 3.2001. Otn:anudry 13, 2001, B discoveredthat
\i the watch he bouglrt i'om A lvas an imitation. The la'^r provicles tlrat he can annul the sale
as a voidable conl"ract vuithirJcLr-r rlea6. Prescriptior: lrlarts from:
'dl lanuary 3, 2()0i when tlre sale'rvas perfected
b. The time of delivery of the watch tr.' i5'
c. The iime they first talked etrclrt the sale of the 'r'ratch.
d. January 13, 2001. v'rhen tne irauii vrrag dlscot'err:d ny E.
\1l'',i.. .T.F,rl
{)\"/ t+l-n and B agreecl on a-coflira;t ai"ole,-dgr:. iiewever, they entered into a ee$tael-Pl-mg$g3se
in the honest belief that the rnortclaEe anrl 1,'lecige are the sarrle. The instrument may be
reformed:
I, - - -, a- lio,Lhe document cirrrrot be refr-rrnrerl sinte the':ontract is volti.
'ftrey
b. No, it canrrct be charr.:ed. are bound hry the <jccument lthich speaks for itself.
C Yes, it can be reformerl hecause it dces not express the true agreement of the parties.
d. Not, it cannot be refcrined because there ura:i no meeting of rninds between the parties
and the renrerJy is annulmenl i:f contl'act.

1) 15. A and B enterecl inro a contract oi mcrigage. Frowever , as wri[ten the document slpte]ilq
\/ a contract of sale wrrh righi of reprrrch.rse, the err-or <Jrre to l:hg-fe.,{lt-of-tl:q clftk/t1,pist,
.\=--i-z
Hence:
a. The contract of sale inust be artnuillo i,ttt.e it rs, voidable .
b. The instrumr:nt has t'c i:,: c.nfn;ced as is fr:r it is ihe prcof of the agreement between the
parties.
c. Because of lhe neilligr:nr:e cf thc parties in signing rvlthout first rearling the instrument,
they are bouns b'f the conteni$ *f |he i:rtre:.
1K0 flif11l l-heinstrumentmayi;ereforniedr;ecei;seitdeflsnctr:xpressthetrueagreementofthe
i t-llt lt - @ parties.
v 16. S sold 1() B nis parcel ,rf lanrj wu$fr {lre riiiliiorr il*sos fcrr orrly half a million pe.sos. After the
sale and realizirrg Itis damage, 5 is iiow se*i;ing to sei a:;ide the sale. Decide:
Itr
\
,
a. The contract is 'vordable btlcirtit* of mlsielke r-:f ihe seller.
i'.!
I
).
.,
,^- 1.1
b. It is rescissible becatrse cf the lesron rlr :!arrtaEe suffered by 5.
.li-'i l. v

'! ;,,ri I
c. S has the light fcr an increase rn tirr: prrcn i.c p,revent uniuEt ent'ichnient on the part of B.
i
' , f '' '' ' t _l
.6;' The sale is,iaifr:binrlinE rr.rtl eril'orceable t-.recause;jli a ruie lestort or.inadequacy cf,cause
i
i t,1i,''.1" i

,-r
lr
t7' if the cause is nr:tstaterJ in the contract. it is;riesumed that i/d/ces not exist. - li',yli1,J #f ij i
li Lesion oiFmadeqr:acy of cause a:i a rule invalidates a c,-'ntract'
a. First statemeni is fals,e; seconci is ttue.
t). First is true; seconci is false.
c. Both are true.
iQ., Both are false.
 RsSA: The Review *hoot of Arroorun,,
/i D borrowed a sum of money frorn C wrth a certain rate of interest. C
now wants to increase
-"
18.
prohibits C from
t- u,rirhout the , :rrsr:ni of D. What
il. ;;i; oi interest principle in contracts
doing so?
a. Autonomy of contracts .!: Consensua litY of contracts
b. Relativity of contracts e. Obligatory force and comPliance in
c. Mutuality of contracts good faith

19. Three of the following contracb must be in writing to be uilid. Which is the exception?
a. Contract of partnirship where immovablesprincipal'
are contributed.
b. Contract of agency to sell the land.of the pesos.
O Contract wneie the amount involved exceeds five hundred
d. Negotiable instruments.
was pregnant
20. A threatened to kilt B if the latter would not marry the formers daughter who
with a's chitd. Intimiqgls, B married A's daughter against his will'
person not by one
a. The contractffioioable because the threat was made by a third
of the pafties.
just or legal and therefore
,Ji- The contract is not voidable because the claim for marnage is
consent is not vitiated.
c. ir1* .".tirii rs not voidable since B has to answer
for his fault that A's daughter became
lL\[ s,l{ ltll-rr{t pregnant.
person'
toj$lmrdalg! even if employed by a third
f, t\
'' ---/ d, Voidable is the contract due

t- z! a. The following are characteristics of a ypld-contracb Which the

or ipr
The action of the
Oefense theof dA€-!9I
declaration
is exception?
inexistence a'contract

Lr cr\-{T^c'{ i- li'r inl

;;. ffj#;",.;".
n.ffi*hich -h,ta .placl"
is the direct ,esillt of a void or illegal contract is vordable.
person whose interests
d. The defense or illegality of a void contract rslqla,v-altabte ,n-,tl'19
are notdirectly affected. . \,., i-, 1r '.' ''i,j :
I ' -' .

is not?
lrl 22' The following are attributes of aJg4lqgcontract' Which
/ a. It is binding, valid and enforceable before annulment'
6) oamase is material to be voidable contract' effect.
i It can-be ratified and ratification has retroactivethe other party,
d. The capacitated cannot allege the incapacity of

The following are attributes of a rescissible contract. Except:

D,, a. it is
b. Damage or lesion is terial.
c. Third Person whose may ask ro(5s--,&o,=-)
o it is a principal remedy of the credrtor io collect his credit.

Q- z+. n.uTS_ under the law

Ar-l,uTS
wfhgg! special designations at'
fe!0inale contracts are those wifhout Yloe
lffiinrt" contracts shallfirst 66loverned bV tnffi
T. Both are incorrect.
a. Both statements are correct.
@ firx is incorrect,
second is correct.
b, First is correct, second is false.
j

fi '-' -*;;;;.tr
25. Statements:
ll take effect not only between the parties but also their heirs and assigns
and

'person he received from the

ii liable beyond the value of the property decedent.
the Gir
In stiputatL;iwW: the third must communicate his acceptance of the
revocation'
stipulation before its ---, i.is false'
a. correct.
Both statemenb are .-9, First is true, second
first is incorrect.
b. Both areincorrect. .d,
second
ffi,
26. Statements:
for the contract's
If the contract is unenforceable and a public docrrment is necessary
registration, the parties may compel each other to make the
needed public document' - hU
coniractl unlike void contracts may be assailed by the third persons' ) r,fll-{11i[7,r''l
Unenforceabfe
is incorrect, .. loll are incorrect
6t Fiiit siatement is correct,issecond d. Both are correct.
b. First is incorrect, second correct'
27. Statements:
When the defect of the contract consists in the incapacity of
one of the contracting
padies, th'e incapacitated is obliged to make restitutions unless he did
not benefit by the
. thing or Price received bY him'
 ,r6iirlr-- tne rteyEw Xtfipr )'U .{,F( nwq<
AccOrrlrfancy
ru
Of (lJlltV.,tLr

The actiorr lor annuln-lrrrt crt ccntrart'q $hali which is the

object thereof is iost througn forturtous, ri:vent cr li o has a right
to institule the proceeciri6: .

a. Both statenrents are incorreet. C. First is cL)rrect, second is incorrect.

b. Both,are ccrrect. cl Seccnd is correct, first is incorrect.
L r.,.'.
28. Ratification i:f ;l voicJabie or tinr:n{hrccirDie t:onlract inust be marle wrthin the-.areslllptlyel\
.pArrod pravrded fcr by the !a,,v.
.
' '.,'./.'
' !.',

Ratification cleanses a vciadable or unenforceaLrle t-oniract from all its clefects frqJLlbe
-
moment it was.constLtq.le!.
a.
First statenrent is faise, sec,l>nd ts fr.ue.
b. Second i: fblse, first js trtrr:.
c. Both are fal.re,
t(l; Both are true.
0 29. A sent B a ietter lvlierein the fcirrrrer ufierecj ro selt his car Io the iatLer for php B lM.
signified his intenticn that he rnai/ br"ry the same. in A's letter, he gave B two weeks to
raise the arnount. After orie wsek A raised the price to Php 1"5 M. Can B compel A to
accept the Php 1lvl lirst oflered by A and deliver to him ihe car?
a. Yes, srnce there v,.ras alrearJy ctTer ani acceptan{:e
b. Yes, because A cenirot changr his r:rifer- r^+ith,tut the consent of B.
c" Yes, becaus,: A f-anrict r.,rithdraw the r::{ier wrthin two .rrueeks as he is under estoppel.
d) No, becailse there ,,rras iiJ acLijf.ltarrce )'et of the crl{er.
ir 30. A sold a parcei or lairc! tr: S by r,,or'd ,)f nroutfi and deltvered to the latter the -l-ransfer
Certificate cf Trtle of the land. Can B conrpe-l /r to execute the cleed of sale of the land?

a. B cannot compei A to execute the rJeec! r:f sale as the saie being o_Hl,i1prcnfortreable.
b. B cannot cornpel A because the sale is void being orat.
I i1 I .'--t t ^\_tait( ,i : /'/L;
c. B can compe{ A because the r-oirrract is slbrceahle drie to the, delivery of thqfcf
him. --.--/$
d,, ts can compel A becai.rse the sale is mereiy vcrCable anci therefore- enforceable, binding
until arrnulled.
31. Statement no. 1. As a fi.tiri Ci)ntra{is take effec! only between fhe parties"

Statemeni no. 2 t*er,rqgg@'Gilenr'or ti,t li,i,llipeil.,,, ii'onuugt fo,

stiprrlation pout autrik: exist prcvided he ai.cepts the sarne.

1a-) First statement is tri:e; s;*r:on<J statement i-c true

.b. First statement is true whik: the second is false
c. Both statements are fsi$e:
d. First statement is lal:.,e lvhile thr::e(ciic! ii: .Lrue
3?. -i'hree of the foii,:;iruir'rg nr.r,v ohjer:ts oi','_i)nlracr.-<, except:

a, Those things r,vithrn the corirm,:rce rlf man.

b. Services urlrich are n,:t c,:ntr-ary tc lel,r, rnrjrals, good custoriis.
,O tt'se$ty
Intransmissrbie righis,
!. riqhh,
i-.:1, i: " !

33' Staienient no. J. Ccntrach; w;thor.rt r:ause are voiclable because cause is presumed to exist
I inacor,tract. -}irir h{rlr 'i, l , e
Statement no. 2, Offr:r mr"ist be {hs.r.lirfe;;,rl acceptanc'e *dsi'he ce,tain before can't}reie
tre rneeiing of the rnilcii ri parties

Gj First statement is false. while the serond is true.

b. Both statements are truc.
c. Both statements are false
d. First statement is true wliile the :secorid is f;li:;e.
li, 3a. Statement no. 1. lq!.altcl'isiqeof a parcelof ran<j t)r,artei.;n of one year nrust be
1 qfwrilJert'ttharwrsq uner'llqtceable, ',s I tt
Statement no. 2. IonF*t of saie of ii.-OErcei *f ianri ilrust be in puhiic instrunretrt otherwise
unerrfbr-cea'8|f; r i' l,^i
a. first statemEniG fatsu *t"t* the:'secrn,J is true.
@ Both statements are trr.r*
t' Fit'st staternent is true ,..",iiiie lhe ::ecilrrd is ial..ro.
d. Both statenrsnls are f;lse
 RsgA: The RqEw*hol of Amunbncf

7 r,
35' A contract wherein both contracting parties are incapable of giving consent and yet ratified
by the guardian of either of the parties is:
a. Rescissible
i$ Voidable
c. Unenforceable
d. Void
r'I 36. Three of the following contracts ard_void.)rVhict One_rs-oop_
I a,oralcontractofpartnershipWhere@hasbeencontributedbythe
partners.
b. Oive
D. Agent grveN$8J..&tnonty.to Septhe land off the orincioat.
pri19i
c.. Partnership contraE6-.-€iiffiil;-rr--nltr-[ *ner"i(-ir-rrro-urnEDave been contributed.
€ ora r co:jffiSffice*rlershlp-)
9,, a.b. WhiCh one of the'followYng conshtutes fraud?
Misrepresentation made not in bad faith.
Misrepresentation by a third person and both parties mistaken.
.l r
'1,1,'l k..\ c. Usual exaggerations in trade or dealer's/salehlalk

)- ,01.,..,' ) G Failure to disclose facts when there is {Outy}o reveal them as when
bounded by confidential relations. \-i
the parties are

\) 38. These are principles in contracts. Which is not? ;.t, n r{n-.,.. l_.'),
a. FreedomorautonomyofContracts c. Perfectionbymereconsent ' '"ii.ftl:)'l,i{1 .,1,

b. RelatiVity of contracts Binding on third persons " i . 't.t*l .,,. i ,,

@. ;
3e' [/hich of the following constitutes an offer?
e_ @ Ausiness advertisements of things for sale. ^ , ,r t.

b. Advertisements for bidders ,--- htn.i. = J, l' ,'ri)Crl

c. An offer made through an_ggS!L-=--- ' ij i
d. Before acceptance is conveyed, either of the parties dies, civilly interdicted, becomes
insane or insolvent
Statement no. 1. There is acceptance of the offer oniy after it has come to the knowledge of
?40 the offerer. lr,^
\' l.i. ,,, A l'
Statement no. 2. Lesion or rnadequacy of cause shall as a rule make a contract defective."'
<, ..' -/""vc/
a. Both staternenB aie true @ Both statements are false I

b. Second sdtement ls true; nrsTiiriGe d First statilmGnt iilirie; second is false

A 47. Statement no. 1. If the cause is not stated

in the contracl it iq prgsumed that it does not
exist and therefore the contract is void.
t1r^./| tln
trru41J trrtt4
2l, &r;l lu:,f .:7 ,'.,r1
Pt*
Slgtement no. 2. In order that a contract may be voidable, therre
thdre must o. gemass.--lr,.
be dar ttsi ci;,,4, null
& Both statemenb are false c.
First statement is false; second is true
b. Both statemen6 are true d.
First statement is true; second is false

U
tj
42. The action to annul a voidable contract is extinguished by:
a. Novation c. Rescission
@ Ratification d. Estoppet

to:i-l\dtC 43. Which of thefollowing contracts is unenforccable?

a. One of the contracting parties is-in=6abh of giving consent.
VCI|/ b. Contrast of lease of a car for two years orally entered into.
Slzutl rri ' ;(1:.,, f 9,,6 c. Oral contract of sale of land.
' d, Mortgage contract in private instrument.
',r.,i,'
D 44. Whrch of the following contracts is qor uoid,aO mitE
V .iy Those whose oqett is outside tt eEffi@?
, b. Those whose object did not exist at the tim-e of transaction.
c. Those which contemplate an impossible service.
d. Those undeftaken in fraud of creditors.

0Y 45. Contract which cannot be sued upon unless ratified, thus it as if they have no eflect yet:
4. Voidable c. Void
b. Rescissible E) Unenforceable

Which of the following contracts is valid?

' oL.. Vilh-/ ',tk
?ou a. Oral contract of agency giving authority to an agent ho sell [he land of the principal.
b. Oral partnership agreement where immovables are contributed.
c. Oral contract of sale of an immovable entered into by an agent who was given oral
authority by the principal.
,/d)
Oral agreement to answer all the expenses for the wedding reception if A marries B.
 R,SA: The Revien, School of A.:co.intancy
t 47. A scid to S a genutr,e l:or,le c,f i:iri'rrit'lglr hr,lnciy,. liovr/ever/ ugron delivery tlrdformer
"L
substituted a fake, B novv t/lant$ tr) nnn*i the i;eie. De,*ide:
a. The contract is ir<id ab inlfio tlierrlfoi'e it can be annuileo.
. b. The contract can lre anrruiled sirce ii. is voidable due to fraud.
c. The contract (-annot he annulle,:{ br:carise it is gdyjrcrdepialfuud-
d. There is dts/t rrtt:idente therefore if cdrr tre arrnulled

A 48, G was appointed;rs the guardian ef F'l urhc or'*ii a parcel of larrd rraluecl at Phpltq. M sold
i the Iand oniy fcr Phfi"7l4 ro ts. l't1e colr'trli{t is cir:fective becau:;e:
a. IJnenforce.:ble c, Voidable
b. Rescissible d. Void l1i,
a 49. S yuas intimidated by B to sr:ll to tlie latfer i-.is parcelof land at a very&v price. C, the
L) creditor of S r,vas thus clainaged srnce the forrner has $o other means of callecting from S.
The remedy of S:
[."',., .- a. Restission c. Have it cleclared by the court as void
b. Annuiment ,'d, Reformation of the contract
o n'il
:,l,"liliil:,':,ff
' J i:ff .:xl,:.? ?J,..,ff'l.i.J;,?H: |..: ffi 1"1 ff ],n -,sh ments of rea,
rights.
b. The cessicln, repudiation, renunciation oiheedtf rights.
t,,:,.. r
u]'l't i.,-.)..^, c Contractofguarenty
t . ia- 'rl. Contract of partrre.sl:ip ht;ia'':
' 51. S made an offer to B'2-AAl
for the sait: crr lris cai whiclr u;as received by the latter on January 2,
2001. On Jarrrl*ry 4, B serrt a letter
r.:f arceptar,ce by maii. On January 3, 2001 S sent
ancther leller io B lviihCrawing his offer, ir: this r:ase;
' ai. l-here was a iierfected sale l'lecdirle of Lhe acceptance ol'the offer by B before he had
kncwiedge of its withclraw*;ll by 5.
b. -Ihere was pet'ected sale bera,":se 5 w-:: u,t'lppecl {i-om withCrawing his offer unless B
had i.r n oir,r i ed rJr: th er e cf i:r:fcrre jtc c(: rlii i fl ce,
; ' withrlrawn.
d. The offi:r was rnelfecti.rc,: frl{' lar.:k of :nrra;nl.y as io the oblect.
52. Statenrenls:
!+ An ofier nmde by lhe pnr,cr6:al is,i:cepted i'-tii-, lre rirrc acccptani-e iS {:onveyed to irinr or
l lilj his agent.
.:
-.t.." .. The object of a contract rnav he f rrture tiirngs inclLrr'ling i'lrture irrheritance.
lal Both statements are true 61. Secc,nd is false, fir:;t rs true.
hIy*L'l rr
It1 Both are false.
fl- f irst is false, :;€cond is true.
53. Statemerits:
A contract vuhich is tire itirect resuilt ni a vi:;ri {:{:ntri}ct i;; vr:ida'r:ie.
If the object of l.he contiacl rltri nrri er,ist cit llre tr;r",r: ol the transacticn it is vr:icl. Therefore
this may inciude sale future things,
a. First is true, second is false. c. Boi[,' are false.
b. First is false, second is true. tj. Bt:th are true.
\'il 54. A sold in-urtrCg io t3 itis stere'o set lbr Php{itiC.O0.
'ihere is no delivery from A and no
payment of the price flom 8. Contr;c[ is:
a. Voidable r. VoiC
b. Unenforceable 6I) ffrrfcrceable
il 55. if the words of the
the c(fiTtqct ai* clear ancl ieave nc on the irrtenlton of the parties,
,.Jriut:rt

V ipterpretation ot Lu-r
\ .rltr.Lr Pr llslrvr conl{Ag!:s-dlay
r vr
N Lj$+. be f}roper.
I ru J uL
'lnca=BE-6f-6mturtorrs contrarLs, dcubts ::lrail tx - ----.\ reciprocity of
i"r:soivecl iri lavor of d-reatesij
I'r. i I interpst.
i a. The first slaternent is faise; secind ir; lrut: li i1, !
,6t The first stafement i:i true; seconrj i: false
(-. Both are true
, t - l.
:l.t
d. Both are false i
"'
,r'l )

rI 56. 5 sold his par-c*i nt'i;rnd r);iilv lr)r Pl'rp 1i\/i .rirtir.111g1, the vaiue *f- therdme E-Php 21t1.'He thus
I
suffei'ecl rlaniage or leSiorl iri lfir: :,ale due !; the, i;rar-iequacy ,:/thg-pncD Therefore the
contract is
a. Voiclabie t-. ValrC, nnl,,iefective
b. Unenfoi-c*arit .i
il, i-l.escissrllie