STAGES 2

1. GENERATION
2. PERFECTION
3. CONSUMMATION

INNOMINATE CONTRACTS
• Do ut des: I give that you give (now barter)
• Do ut facias: I give that you do
• Facio ut des: I do that you give
• Facio ut facias: I do that you do

CHARACTERISTICS
1. CONSENSUALITY
Perfected by mere consent
Exception: delivery or solemn contracts

2. OBLIGATORY FORCE OF CONTRACT

One cannot be bound if he has no knowledge and consent
Exception: Agent duly authorized

3. MUTUALITY
Must bind both parties
Validity and performance cannot be left to the will of only one
Exceptions:
1. will of third person whose decision shall not bind unless made known to the,
2. chance

4. AUTONOMY
Freedom to establish stipulations, clauses, terms and conditions as they deem convenient
Limitation: LAMOCPOP
Examples:
1. Waiver of an action to file for future fraud
2. Unconscionable interest
3. Stipulation to remain unmarried
4. Limiting common carrier’s liability

5. RELATIVITY
Gr contracts affects only between parties, their assigns and heirs
Exception: rights and obligations which are not transmissible (personal)

ESSENTIAL REQUISITES
1. CONSENT
Meeting of the offer and acceptance upon the thing and the cause
Requisites of Consent:
1. Concurrence of offer and acceptance
2. Legal capacity
3. Intelligent, free, spontaneous and real
GENERAL RULE: one cannot renounce unilaterally or without the consent of the other
EXN: upon reasonable period of notice or when cancellation is by reason of breach

OFFER is the proposal to make contract which is certain and definite

Requisites of Offer
1. Definite. Except with it leaves determination to the other party
2. Intentional (very clear)
3. Directed to a person or persons with whom the offeror intends to enter into a
contract

RULES ON OFFER
 No contract without cause and so promisor not bound by his promise and may withdraw
 Offer maybe withdrawn so long the offeror has no knowledge of acceptance
 Pending the acceptance, offeror can perfect contract with another

RULES ON COMPLEX OFFERS

 Perfected if all offers are accepted
 Single acceptance my perfect all unless made clear there is independence and acceptance
of both is necessary

ACCEPTANCE
 May be revoked before it comes to the knowledge of the offeror because that would mean
no meeting of the minds.

IMPLIE ACCEPTANCE
 Acts or facts showing intent to accept
RIGHTS OF THE OFFERROR
 Fix the time, place and manner of acceptance

REQUISITES OF ACCEPTANCE
1. Absolute with no vitiation
2. Directed to the offeror
3. Made with intention to be bound
4. Made within proper time
5. Communicated and learned by the offeror

OPTION CONTRACT
A preparatory contract giving a person, for a consideration (need not be money), certain period
under specified conditions within which to accept the offer.
REQUISITES:
a. Supported by independent consideration
b. Exclusive

ARTICLE 1325 AND 1479

1325 provides the rule on offer and acceptance but is modified by 1479 which applies on offer to
buy and sell:
Unconditional Mutual Promise to buy and sell a thing that is determinate and the
price is fixed is obligatory while, a Unilateral promise to buy or sell a determinate thing not
supported with consideration distinct from the price does not bind the offeror even if accepted and
so maybe withdrawn.
BUSINESS ADVERTISEMENTS
It is not a definite offer unless complete with all particulars necessary to form contract which may
be accepted hence will produce perfected contract