Definitions

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DEFINITIONS

1. Future inheritance

-Is any property or right, not in existence or capable of determination at the time of the
contract, that a person may inherit in the future, such person having only an expectancy of a
purely hereditary right.

2. Physical impossibility

-When the thing or service in the very nature of things cannot exist or be performed. With
particular reference to services (see Arts.1206, 1207.), the impossibility maybe:

(a) Absolute

-When the act cannot be done in any case so that nobody can perform it; or

(b) Relative

-When it arises from the special circumstances of the case or the special conditions or
qualifications of the obligor.

DISCUSSION

1. Give the requisites of things as object of a contract. In order that things may be the object of a
contract, the following requisites must be present:

(1) The thing must be within the commerce of men, that is, it can legally be the subject of
commercial transaction (Art. 1347.);

(2) It must not be impossible, legally or physically (Art. 1348.);

(3) It must be in existence or capable of coming into existence (see Arts.1461, 1493, 1495.); and

(4) It must be determinate or determinable without the need of a new contract between the
parties. (Arts. 1349, 1460, par. 2.)

2. Give the requisites of service as object of a contract.

In order that service may be the object of a contract, the following requisites must concur:

(1) The thing must be within the commerce of men;

(2) It must not be impossible, legally or physically (Art. 1348.); and

(3) It must be determinate or capable of being made determinate. (Arts.1318[2], 1349.


PROBLEMS (ANSWERS ONLY)

1. According to Article 1349, the object of every contract must be determinate as to its kind. The
fact that the quantity is not determinate shall not be an obstacle to the existence of the contract,
provided it is possible to determine the same, without the need of a new contract between the
parties. The sale of the land is valid because the object is determinate as to its kind although it
has not been particularized. The fact that the area is not determinate shall not be an obstacle to
the existence of the contract because such area can be determined by the parties without the need
of entering into another contract.

2. Since it is also under Article 1349 and the obligation consists in the delivery of a generic thing
which is determinable, and whose quality and circumstances have been stated which is B will
pay for a price of ₱3,000 if the pig has a weight of at least 30 kilos, so S cannot compel B to
accept a pig that weighs 30 kilos below. The moment the pig is delivered, it becomes
determinate.

DEFINITION

1. Cause

- Cause is an essential element of a contract which is more proximate purpose that the
contracting parties have in view at the time of entering into the contract. It is also called causa
which is the immediate or direct reason. The effect of the absence of cause makes no right and
creates no legal effect on the validity of the court.

2. Motive

- Motive is the purely personal or private reason which a party has in entering into a
contract. The illegality of one’s motive does not render the contract void. It may be regarded as
the cause in a contract if it is founded upon a fraudulent purpose to prejudice a third person.

3. Inadequacy of cause

- Inadequacy of cause is not a ground for relief and from failure of cause which does not
convert the contract into one without cause or consideration. It means that the said contract failed
to present the right cause for the contract. Inadequacy of cause is not being essential to the
existence of cause but the contract is void for being without cause.

DISCUSSIONS

1. Give the requisites of cause in a contract.

A contract without cause confers no right and makes no legal effect whatever. In order to
validate the contract, there are important things to consider and it must include all of these
things.
First, it must exist at the time the contract is entered into which means that the contract
must have a cause in order to make its effect be effective. Next is that it must be valid under the
constitutions of the law or to make it short, as a lawful cause because if these causes verified as
unlawful, the contract produce no effect at all. Lastly, the cause must be true or real.

2. State the effect if the cause of a contract is found to be false.

-The contract states a valid consideration but such statement is not true is meant by falsity
of cause. This false statements cause the contracts tend to be void or null. Next is it does not
always produce this effect because it may happen that the hidden but true cause is sufficient to
support the contract. If the parties can show that there is another cause and that said cause is true
and lawful, then the parties shall be bound by their true agreement.

3. What is the object and what is the cause in a contract of sale?

-The thing or the object of the contract of sale is a bilateral or reciprocal contract which is
the cause for one is the subject matter or object for the other, and vice versa. Hence, the
distinction is only a matter of viewpoint. The object of the contract of sale also must be
determinate or capable of being determinate. It also needs to be licit or lawful, that is, it should
not be contrary to law, morals, good customs, public order, and public policy. Third, it should
not be impossible. The object of the contract must be within the commerce of men, which means
that it is legal and its ownership is transferable.

PROBLEMS (ANSWERS KEY)

1. Under Article 1351, it distinguishes motive from cause of the contract. the particular motives
of the parties in entering into a contract is NOT essential element of a contract which the
illegality of the buyer’s motive does not render the contract to be void. But there are 2 cases that
we may be considered. First is if seller has the knowledge about what will the buyer do about the
boat and that makes the contract of sale void while the second case is when the seller doesn’t
have the knowledge what will buyer’s do about the boat and that makes the contract of sale still
validated. Here, there is nothing illegal in the cause of selling a boat, therefore, this shall still be
considered a legal contract of sale. The sales cannot be considered illegal because S sold his
fishing to B in good Faith and without even knowing the motive of B for buying it.

2. In the scenario, C is just the third person which doesn’t concern any fulfillment of obligation
on the contract. C doesn’t have any right to have the sale declared void by the court on the
ground of absence of cause for non-payment of the price. C didn’t exist at the time of the
transaction of the contracting parties and it’s not his responsibility to declared that the contract of
sale is void. Only the agreement of the contracting parties has the rights to do anything about the
contract.
3. According to Article 1354, although the cause is not expressly stated in the contract, it is
presumed that it exists and is lawful, unless the debtor proves the contrary. The law presumes
that X must have received a service from Y and that the same is lawful. If X claims otherwise,
then he must prove his allegation and that is when Y bound to return the ₱10,000 of X.

4. According to Article 1355, Except in cases specified by law, lesion or inadequacy of cause
shall not invalidate a contract, unless there has been fraud, mistake or undue influence. In this
situation, the contract of sale is valid although the price of S’ car is inadequate. The fact that the
contracting party has the consent about what is the price of the car; the transaction is not
sufficient ground for the cancellation of a contract. However, if it is show that B induced S to sell
his car through the fraud, mistake or undue influence, S has the right to have the sale annulled.

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