LAW 001

1. Which of the following does not extinguish an obligation?

a. Loss of the thing due
b. Delay
c. Condonation
d. Payment
2. Who among the ff. are not civilly liable?
a. the parents for damages caused by minor children
b. guardians for damages caused by the ward.
c. employers for the damage caused by their employees not in the performance of their duties.
d. none of them
3. A solidary obligation created when?
a. both parties are at fault
b. the parties so stipulates
c. the creditors intended it
d. the debtors communicated their intentions
4. timothy sold 50 sacks of oats to Gerard. Instead of pure oats, he put in some flour to each
sack to make it full. Gerard discovered it and file a case against timothy
a. delict
b. dolo
c. mora
d. quasi-delict
5. Larry has been working in Haiti for more than ten years when the killer quake
devastated the said country. At the time of the earthquake, he was working with one of the
supermarkets which were crumbled to the ground. Nothing has been heard of him after the
earthquake, so, his brother sold his property worth P4.5 M only. The sale is
a. Valid
b. Void
c. Rescissible
d. Unenforceable
6. Jessica and Philip, both 16 years old, entered into a contract of services whereby the
latter agreed for in an consideration of $5,000 to sing to the family of the former on the
occasion their reunion. What is the status of the contract.
a. Void
b. Voidable
c. Rescissible
d. Unenforceable
7. Supposing in the problem above, the parents of Phillips ratified the contract. What is the
status of the contract
a. Valid
b. Voidable
c. Rescissible
d. Unenforceable
8. Rochelle and Michael entered in to a contract for the sale of the formers vacation house
in Bicol in consideration of 2,000,000…...Over the objection of Angela and Michael
proceeded with the contract. Given the objection of angela, what is the status of the
contract?
a. Valid
b. Voidable
c. Rescissible
d. Unenforceable
9.Your answer in the problem above find it basis in the principle of?
a. Obligatory force
b. Autonomy of contracts
c. Mutuality of contracts
d. Relativity of contracts
10. Romela, an Astronaut, was sent to Mars on board Apollo 1 to study what are the living
organisms in the said planet. Thinking and hoping that the mission was unsuccessful, Rona
the sister of romela sold the latter’s vacation house in Cebu. What is the status of the sale?
a. Void
b. Valid
c. Unenforceable
d. Voidable
11. The following contracts are rescissible, except
a. those which refer to things under litigation if they have been entered into by the defendant
without knowledge and approval of the litigants of competent judicial authority
b. those undertaken in fraud of creditors when the latter cannot in any other manner collect the
claims due them
c. payments made in state of insolvency for obligations to whose fulfillment the debtor could not
be compelled the time they were effected.
d. those which contemplate an impossible service
12. _____ elements of contracts exist only when the parties expressly provide them for the
purpose of limiting or modifying the normal effects of the contracts
a. Accidental
b. Essential
c. Natural
d. Accessory
13. Statement 1- Generally, Gross inadequacy of price does affect a contract of sale
Statement 2- Generally, if the price is stimulated, the sale is void
a. Both statements are true
b. Both statements are false
c. Statement 1 is true: 2 false
d. Statement 1 is false: 2 true
14.Delivery by mere pointing of the object is known as
a. Tradio Simbolica
b. Traditio Longa Manu
c. Traditio Brevi Manu
d. Consititum Possessorium
15. For and in consideration of P50,000, Alondra agreed to deliver to angie 100 sacks of
cassava flour to be used by the latter as main ingredient for her cassava cake. While
preparing for the delivery of the cassava, Pedring hit the country and the cassava flour
Alondra was supposed to deliver was damaged making it unfit for human consumption.
Which of the following statement is correct?
A. Alondra is still obliged to deliver the flour.
B. Alondra’s obligation to deliver the flours is extinguished
C. Angie is still required to pay the flour even though no deliver was made
D. Angie may still demand fulfillment
16. Statement 1- an option money may become earnest money if the parties agree
Statement 2-an earnest money is proof of the perfection of contract of sale
a. Both statements are true
b. Both statements are false
c. Statement 1 is true: 2 false
d. Statement 1 is false: 2 true
17. Which of the ff. must not appear in a public instrument
a. creation, repudiation or renunciation of hereditary rights
b. cession of actions or rights proceeding form an act appearing in a public instrument
c. power to administer property
d. contracts where the amount involved is less than P500
18. A Creditor in an obligation to deliver a determinate thing
A. may compel the negligent debtor to make the delivery even in fortuitous events pending
delivery
B. may compel delivery and sue for damages
C. may hold the debtor liable due to debtor’s delay
D. All of the above
19. Statement A- when the obligor voluntarily prevents the fulfillment of the conditions, it
is deemed fulfilled
Statement B- A resolutory condition is one where the fulfillment of the condition results in
the acquisition of rights and the obligation
a. Statement A is true; Statement B is false
b. Statement B is false, Statement A is true
c. Both statements are true
d. Both statements are false
20. It is one of the requisites of a contract being manifested by the meeting of the offer and
the acceptance upon the thing.
a. Object
b. Consent
c. Cause
d. Delivery of the thing
21. Which of the ff. contract is void?
a. Sale of stolen goods
b. Sale of perishable goods
c. Sale of consumable goods
d. Answer not given
22. Consignation shall release the debtor from responsibility
a. when the creditor is absent or does not appear at the place of payment
b. when the creditor is incapacitated to receive payment at the time it is due
c. when the creditor refuses to issue a receipt
d. all of the above
23. It is the act of deliberately deceiving others, by feigning or pretending by agreement, the
appearance of a contract which is either non-existent or concealed
a. simulation of contract
b. defective contract
c. principal contract
d. accessory contract
24. It refers to the sale of thing having a potential existence, the quality and quantity of
which are unknown
a. hope
b. emptio spei
c. specific mass
d. emptio rei speratae
25. Anything produced by the thing which is the object of the obligation, as well as those
which are naturally or artificially attached thereto is called
a. accessories
b. accessions
c. attachment
d. answer not given
26. Which of the ff. is not necessary for the validity of the contract?
a. price
b. consent
c. object
d. cause
27. Statement 1- contract entered into during a lucid interval is voidable
Statement 2- contract entered into in the state of drunkenness is void
a. Statement 1 is false; Statement 2 is true
b. both statements are true
c. both statements are false
d. Statement 1 is true; Statement 2 is false
28. It is a contract where one of the parties obligates himself to transfer the ownership of
and to deliver a determinate thing and the other to pay therefore a price certain in money
or its equivalent
a. obligation
b. contracts
c. sale
d. barter
29. It is the stage in a contract of sale wherein the object is delivered and the price is paid
a. Preparation
b. Perfection
c. Consummation
d. negotiation
30. What is the effect if the substitution of the person of the debtor is without the
knowledge or against the will of the original debtor and the new debtor subsequently
becomes insolvent
a. the insolvency of the new debtor will not revive the obligation of the old debtor
b. the insolvency of the new debtor will revive the obligation of the old debtor
c. the new debtor will be held liable for damages
d. answer not given
31. Randy asked armie to bake out of mango for which he promised to pay P1,000. Michelle
agreed. The obligation is
a. Valid
b. Void
c. Rescissible
d. Unenforceable
32. It is that fault or negligence where a person causes damage to another in the absence of
a contractual relation between the parties.
a. quasi delict
b. torts
c. Culpa Aquiliana
d. All of them
33. It is based on law but is habitually done in community
a. Natural Law
b. Customs
c. Habits
d. Answer not given
34. Mistake, fraud, inequitable conduct or accident has prevented the meeting of minds of
the parties to a proper remedy is an action for
a. reformation
b. rescission
c. ratification
d. annulment
35. In the absence of agreement, when there are two or more debtors or two or more
creditors in an obligation, the ---- is
a. joint
b. solidary
c. joint and solidary
d. bilateral
36. Andrew and Bernadette entered into an agreement, where Andrew pays Bernadette the
amount of 1,000 upon delivery sack of rice. The obligation is
a. Unilateral
b. Real
c. Bilateral
d. Personal
37. It is the meeting of the minds between two persons whereby one binds himself, with
respect to the other, to give something or to render some service.
a. Law
b. Contract
c. Quasi-contract
d. Quasi-delict
38.It is a processing to render inefficacious the contract validity entered into and normally
binding, by reason of external conditions, causing economic prejudice to a party or his
creditor
a. Reformation
b. Rescission
c. Ratification
d. None of the above
39. In an undue delivery of a thing that produces fruits, the recipient entitled to the
a. fruits
b, Loss of impairment
c. Damages
d. None of the above
40. The meeting in one person of the qualities of creditor and debtor with respect to the
same obligation is called
a. Compensation
b. Remission
c. Merger
d. Novation
41. The remedy available to the creditor to impugn the contracts entered into by the debtor
in order to evade payment of obligation known as-
a. Accion Suborgatoria
b. Accion Paulina
c. Accion Reinvendicatoria
d. None of the choices
42. Pure obligations are demandable at once, hence
a. B can demand payment upon the happening of the event
b. A will only deliver after the happening of the event
c. payment is immediately demandable
d. the debtor will have to wait after the condition has been fulfilled
43. Which of the ff. may not be made the object of a contract.
a. Things which not outside the commerce of men
b. Rights which are transmissible
c. Services which are not contrary to law
d. Future inheritance
44. It is the branch of law that generally treats of the personal and family relations of an
individual, his property –successional rights, and the effects of his obligations and contracts
a. Remedial Law
b. Civil Law
c, Labor Law
d. Commercial Law
45. Statement 1- All agreements are contracts. Statement 2- All contracts result from
agreements
a. Statement 1 is true; Statement 2 is false
b. Statement 1 is false; Statement 2 is true
c. Both statements are true
d. Both statements are false
46. The theory of perfection of contract adopted in the Philippines
a. Manifestation Theory
b. Expedition Theory
c. Reception Theory
d. Cognition Theory
47. Their defect consists in the vitiation of consent in the legal incapacity of one of the
contracting parties. They cannot be attacked or assailed by third persons.
a. Voidable
b. Unenforceable
c. Rescissible
d. Void
48. It is stipulation in a contract clearly and deliberately conferred by the contracting
parties as a favor upon a third person who must have accepted it before it could be revoked
a. Beneficial stipulation
b. Contractual stipulation
c. Stipulation pour autrui
d. Favorable stipulation
49. When negotiation is in progress, the contract is at the
a. Preparatory stage
b. Consummation Stage
c. Perfection stage
d.Answer not given
50. X obliged Y to deliver a yellow Ferrari. Who or what is the passive subject
a. X
b. Y
c to deliver the sack of rice
d. The agreement of X and Y
51. A contract which has no effect at all
a. voidable
b. Unenforceable
c. Rescissible
d. Void
52. When the thing sold is entirely lost at the time the contract is perfected, the contract of
sale is
a. Void
b. Voidable
c. Rescissible
d. Unenforceable
53. An obligation enforceable by court action is
a. Natural obligation
b. Moral obligation
c. Civil obligation
d. Real obligation
54. It is the transfer to a third person of all the rights appertaining to the creditor,
including the right to proceed again ---arantor, possessor or mortgages, subject to any legal
provisions or nay modification that may be agreed upon
a. Novation
b. Subrogation
c. Payment by cession
d. Remission
55. A law which requires certain acts and contracts to be in writing is known as
a. Recto Law
b. Statute of fraud
c. Commercial Law
d. Political Law
56. It is a kind of obligation that does not grant a right of action to enforce its performance
but after voluntary fulfillment by the obligor, It authorizes the retention of what has been
delivered or rendered by reason thereof
a. Civil obligation
b. Moral Obligation
c. Natural obligation
d. Personal Obligation
57. An alternative obligations, the obligor who is alternatively bound by different
prestations shall
a. partially perform either of the prestations
b. shall completely perform one of the prestations
c. be bound to perform all of the prestations
d. all of the choices
58. It is a contract where one of the parties obligates himself to transfer the ownership of
and to deliver a determinate thing and the other to pay therefore a price certain in money
or its equivalent
a. Obligation
b. Contracts
c. Sale
d. Barter
59. Limitations on “freedom to contract”
a. Contract must not be against public policy
b. Contract must not be against customs
c. Contract must not be against moral
d, All of them
60. The remedy given to one of the parties, their intention is not expressed in the
instrument purporting to embody the agreement by reason of mistake, fraud, inequitable
conduct or accident
a. Reformation
b. Rescission
c. Ratification
d. Annulment
61. The following are the instances when tender of payment is not necessary before the
debtor can consign the thing due
a. When the creditor is absent or unknown, or does not appear at the place of payment
b. When he is capacitated to receive the payment at the time that is due
c. When, without just cause, he refuses to give a receipt
d. When two or more persons claim the same right to collect
62. Choose the correct example of a valid offer
a. “I am thinking of selling to you my watch”
b. “Will you buy my watch”
c. I am selling to you my brand new Guess watch for 7,000
d. “Please buy my watch, I am in dire need of money
63. Payment made by a third person who does not intend to be reimbursed by the debtor is
deemed to be a
a. Assistance
b. Transfer
c. Donation
d. Contribution
64. A owes 100,000 instead of paying B the said amount, A with the consent of B, delivers to
the latter his second hand car. What kind of payment is this?
a. payment by cession
b. dation in payment
c. tender of payment
d. application of payments
65. It is the gratuitous abandonment by the creditor of his right against the debtor
a. compensation
b. payment of performance
c. confusion or merger of rights
d. condonation or remission of debt
66. Choose the correct example of compensation
a. A owes B 10,000; B owes A television set
b. A owes B 10,000 with C as guarantor; B owes C 10,000
c. A owes B 10,000; B owes A 8,000
d. A owes B 10,000 due today; B owes A 10,000 due next month
67. The ff. are the imitations to freedom of contract except
a. it must not be contrary to law
b. it must not be contrary to morals
c. It must be in accordance with, and not repugnant to an applicable statue
d. it must not be contrary to public policy or public order
68. Obligations may be modified by:
a. changing their object or principal conditions
b. substituting the person of the debtor
c. subrogating a third person in the rights of the creditor
d. all of the above
69. Real contracts are perfect by
a. consent of the parties
b. delivery of the thing
c. negotiation of the parties
d. drafting a written instrument
70. The ff. are the cases when third persons may be affected by a contract, except
a. In contracts containing a stipulation pour autrui
b. In contracts creating personal rights
c. In contracts creating real rights
d. In contracts entered into to defraud creditors.
71. Statement 1- Between the seller and the buyer of an immovable property, the contract is
valid even if it is orally entered into. However to be enforceable, it must be in writing
Statement 2- Inadequacy of price does not invalidate a contract of sale unless there has
been fraud, mistake or undue influence
a. Both statements are true
b. Both statements are false
c. Statement 1 is true; Statement 2 is false
d. Statement 1 is false; Statement 2 is true
72. It is part of the purchase price advanced by the vendee to the vendor as a token of the
perfection of the contract
a. Option money
b. Purchase money
c. Grease money
d. Earnest money
73. Statement 1- One of the obligations of the vendor is to deliver the object or subject
matter of sale.
Statement 2- A buyer is bound to accept the delivery of the thing sold at the time and place
stipulated in the contract
a. Both statements are true
b. Both statements are false
c. Statement 1 is true; Statement 2 is false
d. Statement 1 is false; Statement 2 is true
74. An absolutely simulated contract is
a. valid
b. void
c. unenforceable
d. rescissible
75. The offer becomes ineffective in case of
a. death
b. civil interdiction
c. insanity
d. all of the choices
76. There is ____ when in order to wrest consent, serious or irresistible force is employed
a. fraud
b. violence
c. undue influence
d. mistake
77. Which contract is valid?
a. Contract those contract entered into during lucid interval
b. Contract entered into during the state of drunkenness
c. Contract entered into during hypnotic spell
d. Contract with undetermined object
78. The period to annul the voidable contracts
a. 2 yrs
b. 3 yrs.
c. 4 yrs.
d. 5 yrs.
79. There is legal subrogation in the ff. cases except
a. when a creditor pays another creditor who is preferred even without the debtor’s knowledge
b. when a third person, not interested in the obligation, pays with the express or lacit approval of
the debtor.
c. when, even without the knowledge of the debtor, a person interested in the fulfillment of the
obligation pay without prejudice to the effects of confusion as to the latter’s share
d. when the original parties and the third person have given their consent to the
subrogation
80. The ff. are the essential requisites of a contract, except
a. consent of the contracting parties
b. object certain which is the subject matter of the contract
c. stipulation as tot the payment of interest or penalty.
d. cause of the obligation which is established
81. What is the effect if the substitution of the person of the debtor is without the
knowledge or against the will of the original debtor and the new debtor subsequently
become insolvent
a. the insolvency of the new debtor will not revive the obligation of the old debtor
b. the insolvency of the new debtor will revive the obligation of the old debtor
c. the new debtor will be held liable for damages
d. answer not given
82. When the obligation consists in the delivery of an indeterminate or generic thing whose
quality and circumstances has not been stated
a. The debtor can deliver a thing of inferior quality; the creditor can demand a thing of
superior quality
b. The debtor cannot deliver a thing of inferior quality; the creditor can demand a thing of
superior quality
c. The debtor cannot deliver a thing of inferior quality; the creditor cannot demand a thing of
superior quality
d. The debtor can deliver a thing of inferior quality; the creditor cannot demand a thing of
superior quality
83. In an obligation to deliver a generic thing, the loss or destruction of anything of the
same kind
a. extinguishes the obligation
b. does not extinguish the obligation
c. renders the debtor liable for the payment of interest
d. answer not given
84. The ff. are the instances when legal compensation is not allowed by law, except;
a. Where one of the debts arise from a depositum
b. Where one of the debts arise from a claim for support due by gratuitous title
c. Where one of the debts consist in civil liability arising from a penal offense
d. answer not given
85. The ff. are the vices of consent/factors that vitiate consent except;
a. error or mistake
b. fraud or deceit
c. violence or intimidation
d. misrepresentation in good faith