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I.
OBLIGATIONS
CHAPTER 1- General Provisions
Problem 1
X saw at about one (1:00 p.m.) in the afternoon a
child alone in a shopping mall. The child who strayed from Y,
his mother, was in tears and appeared very hungry. Out of pity,
X took him to a restaurant to eat for which he spent P150. Y
did not give her consent to the good deed of X. Furthermore,
they were on their way home before the child got lost. Is X
entitled to be reimbursed by Y for the amount of P150?
Problem 4
D (debtor) borrowed P10,000 from C (creditor). On
the due date of loan, D could not pay C because he lost to a
robber the P10,000 intended for C. In addition, he suffered
financial reverses, and he was short of cash even for his
current familys needs. Is D legally justified to refuse to pay
C?
CHAPTER 2- Nature and Effect of Obligations
Problem 1
S (seller) sold to B (buyer) on July 5, a horse named
Silver to be delivered on July 20. However, on July 15, S sold
again and delivered the horse to T. Who has better right to
Silver?
Problem 4
D (debtor) borrowed P20,000 from C (creditor)
payable after one (1) year? Is D liable to pay interest?
Problem 4
S sold a parcel of land to B for P240,000 payable in
installments of P20,000 a year. The land was delivered to B
who obtained ownership thereof. After B had paid P200,000,
he could no longer continuing paying in view of financial
reverses but he was willing to pay the balance of P40,000 if
given more time. Thereupon, S sued for rescission under
Article 1191. If you were the judge, would you grant
rescission?
CHAPTER 3, Section 2 Obligations with a Period
Problem 2
D binds himself to give P10,000 to C upon the death
of the father of D. Is the obligation of D conditional or one
with a period.
Problem 3
D obtained a loan from C in the amount of P50,000,
payable on August 10. As security for his debt, D mortgaged
his car in favor of C. The car, however, was substantially
damaged without the fault of D. What rights, if any, does C
have under the law? May C demand payment from D even
before August 10?
CHAPTER 3, Section 3- Alternative Obligations
Problem 1
D (debtor) borrowed P10,000 from C (creditor). It
was agreed that D could pay P10,000 or deliver his piano on
August 22. On August 20, D informed C that the former would
deliver his piano. Can D still change his period considering
that he was given the right of choice?
Problem 2
Under a contract, X (obligor) promised to deliver to
Y (obligee) item one, or item two, or item three Y was given
the right of choice. What is the liability of X in case, through
his fault:
(a) Item two is lost or destroyed;
(b) All the item are lost or destroyed?
CHAPTER 3, Section 4 Joint and Solidary Obligations
Problem 1
A, B, and C are joinly liable to D in the amount of
P15,000. Subsequently, D assigned his credit to C in
consideration for goods sold by C to D. Give the effect of the
assignment.
Problem 2
Assuming the obligation of A, B, and C is solidary,
distinguish the effect of the assignment from the first problem.
CHAPTER 4, Section 5 Compensation
Problem 1
D borrowed P50,000 as character loan (no security)
from a bank. Despite demands for payment after the loan fell
due, D did not pay the bank. D has a savings deposit of
P40,000 with the bank. Has the bank the right to apply the
deposit to the payment of Ds debt?
Problem 2
D owes C P10,000 payable on November 20. C owes
D P10,000 payable on October 20. Can compensation also
take place although the debts are not payable on the same
date?
CHAPTER 4, Section 6 Novation
Problem 1
T (third person) tells C (creditor) that T will pay the
debt of D (debtor). C agrees. Is D released from his obligation
to C?
Problem 2
Suppose in the above problem, D proposed to C that
T would substitute D as the new debtor to which C agreed. Is
D still liable to C in case of insolvency of T?
II.
CONTRACTS
CHAPTER 1 General Provisions
Problem 1
A and B entered into a contract not specifically
provided in the Civil Code. Is the contract valid and binding.
Problem 2
S (seller) and B (buyer) entered into a contract of
sale. It was agreed that the price shall be determined by T, a
third person. Can S or B refuse to be bound by Ts
determination of the price if he does not agree with the amount
thereof?
CHAPTER 2 Essential Requisites of Contracts
Problem 1
Problem 2
Suppose in the same example, S was intending to sell
his horse Y. Give the three (3) cases when he can ask for the
reformation of the contract.
CHAPTER 5 Interpretation of Contracts
Problem 1
S sold to B his condominium unit including all its
contents. In the unit, there is an antique chair belonging to X
which X agreed to sell to S. Is the chair to be included in the
sale of the unit?
Problem 3
Suppose in the same problem, the professional fee
was agreed upon, but it is not clear from the written contract
prepared by X upon the request of Y whether it should be the
fixed amount of P200,000 or 6% of the cost of construction.
How much is Y liable to pay?
CHAPTER 6 - Rescissible Contracts
Problem 1
D owes C P100,000. Since D fails to pay, C
expressed its willingness to accept the car of D, with the same
value, more or less, in payment of his debt. D, in bad faith,
sold the car to X. Has C the right to ask for the rescission of
the sale?
CHAPTER 7 Voidable Contracts
Problem 2
In the same problem, suppose S, upon reaching the
age of majority, decided to ratify or respect the contract. Has B
the right to refuse the ratification and demand mutual
restitution of the property and the price?
Problem 1
I, an insane person, entered into a contract with M, a
minor. What is the effect of ratification
(a) By either; and
(b) By both, after becoming incapacitated?
Problem 3
S orally agreed to sell his piano for P7,000 to B who
made a partial payment of P1,000. Later, S denied there was
such a sale. Can B enforce the sale considering that the
contract was oral and the price was more than P500?
CHAPTER 9 Void or Inexistent Contracts
Problem 2