FINAL EXAMINATION b.

suspensive contract
OBLIGATIONS AND CONTRACTS c. Option contract
d. d.auto-contract
1. Which of the following is contract?
4. The following contracts are
a. An action for rescission of defective. Which one is
contract prescribes in five(5) years unenforceable?
counted from the execution of
the contract. a. Contracts of sale by which a
b. An action to declare contract guardian acquires the property of
void is not subject to prescription. his ward without the approval of
c. An action for annulment of the court.
contract is imprescriptible. b. Contract of sale by which a city
d. An action to enforce judicially a mayor acquires a portion of the
natural obligation prescribes in 4 city part pursuant to a city
years. ordinance enacted by the City
Council.
2. Which of the following statements is c. Contracts whose object is outside
the commerce of man.
true as regards a void contract?
d. Those were both parties are
incapable of giving consent to a
a. A void contract may be ratified
contract.
by the acceptance by a party to
the contract of a benefit under its
terms. 5. Which of the following is not correct
b. The right to set up the defense of in rescission?
illegality of a void contract may
be waived if the illegality is not a. Cannot be availed when the
raised within reasonable time. party who has been damaged
c. If a void contract is novated by a has other legal remedy.
valid one, such novation is valid. b. The person who seeks rescission
d. The right to set up the defense of must be able to return what ha
illegality of a void contract is out to return.
imprescriptible. c. The object of the contract is not
in the possession of third person
who have acquired it in good
3. It is a contract by virtue of the terms
of which the parties thereto promise faith.
and obligate themselves to enter into d. Can be demanded by any of the
another contract at a future time, contracting parties.
upon happening of certain events, or
the fulfillment of certain conditions. 6. The statement “Contracts shall be
obligatory in whatever form they
a. Resolutory contract have been entered into provided all
 the requisites for their validity are c. Yes, B cannot file the action to
present” refers to annul the sale because he is a
minor.
a. Real contracts d. No, unless there is lesion of more
b. Consensual contracts than ¼ of the value of the
c. Formal contracts property.
d. Solemn contracts
10. Which of the following contracts is
void?
7. To be valid and enforceable, the
following contracts should be in
writing, except: a. Lease of a piece of land made by
a minor without a written
authority from his parents (the
a. Contract to pay interest on loan
owner).
b. Contract of donation of real
b. Oral sale of a piece of land made
property
by the owner to an insane person.
c. Contract giving authority to an
c. Written sale of a gold necklace
agent to sell a piece of land.
made without authority from the
d. Contract made in consideration
owner.
of marriage.
d. Written sale of a piece of land
with oral authority from the
8. As a rule, which of the following
owner.
contracts of sale is void?

11. The following contracts should

a. between two insane persons
observe Statute of Frauds, except:
b. between brother and sister
c. between husband and wife a. Lease of real property longer
d. between pupil and teacher than one year
b. Representation as to the
9. A bought a car from B, a minor, for credit of a third person
P100,000. One week later, A c. Limited partnership not
discovered that B was a minor at the notarized
time of sale so he filed a complaint in
d. Prenuptial agreement
court to annul the sale. Wil the action
prosper?
.
12. In three of the following defective
a. Yes, B being a minor is
contracts, ratification cleanses the
incapacitated to enter into
defects. Which is the exception?
contract.
b. No, the right to annul the sale is
a. Contracts entered into by a
given to B.
person who has been given
no authority
 b. Sale of a piece of land thru an 16. When the thing deteriorates pending
agent, the authority is oral the fulfillment of the suspensive
c. Sale of immovable property condition without the fault of the
or interest orally entered into debtor, the impairment is:
d. Special Power of Attorney
involving novation but not a. To borne by the party who
notarized caused the deterioration
b. To be borne partly by the
13. Type of defective contract that debtor and partly by the
creates no rights and impose no creditor
obligation, but are susceptible of c. To be borne by the debtor
ratification. d. To be borne by creditor

a. Void contracts 17. X enters into a contract with Y

b. Rescissible contracts whereby X sold his land orally to Y.
c. Unenforceable contracts The land has been delivered and the
d. Voidable contracts money has been paid. Decide.

14. Example No. 1: Donation by an a. The contract fully enforceable.

insolvent debtor. b. The contract is unenforeceable
Example No. 2: Sale of shares of c. The contract is not valid
stocks in violation of preemptive right. because the contract is not made
in public instrument
a. Voidable; Rescissible d. The contract is not valid because
b. Rescissible; voidable it is not in writing as required by the
Statute of Fraud
c. No. 1 is rescissible; while No.2
is unenforceable
d. Both are rescissible 18. On September 1, CY, A entered into
a contract with B whereby A sells to B
5,000 sacks of sugar to be delivered
15. Which of the following contracts
on the 15th and to be paid in full on
cannot be ratified?
the 30th. There was no agreement for
rescission based on prepayment. A
a. Those whose cause or object did not deliver on the 15th but on the
did not exist at the time of the 30th, he was willing and offering to
transaction deliver but B did not make payment
b. Unauthorized contracts on said date and so A did not like it
c. Those where both parties are and refused to make delivery. Which
incapable of giving consent is incorrect?
d. Those that fail to comply with
the Statute of Fraud a. A cannot rescind the contract
for nonpayment of the price
 b. A cannot refuse to deliver the 22. It is the meeting of the minds between
goods parties on subject matter and cause of
c. B is not entitled to recover contract.
damages
d. A can rescind the contract for a. Contract
nonpayment of the price b. Consent
since B is at fault c. Obligation
d. Condition

19. All are essential characteristics of 23. This takes place upon the
contracts except concurrence of the essential elements of
the contract:
a. Relativity of contracts
b. Obligatoriness of contracts a. negotiation
c. Autonomy of contracts b. perfection
d. Uniformity of contracts c. consummation
d. principal
20. In void contract neither party may
seek to enforce it, neither can they 24. This covers the period from the time
seek the aid of law. But recovery can the prospective contracting parties
be made by the other party in the indicate interest in the contract to the
following cases, except: time the contract is concluded or
perfected.
a. The innocent party
b. The debtor who pays usurious a.Principal
interest b.Perfection
c. The party rejecting the void c.Consummation
contract before illegal d. Negotiation
purpose is accomplished
d. In pari delicto parties
25. It means not only the delivery of
money but also the performance of an
21. It is the meeting of the minds obligation.
between two persons whereby one
binds himself with respect to the
a. Payment
other to give something or to render
b. Loss of the thing due
some service.
c. Remission
d. Merger
a. Contract
b. Obligation
26. It is essentially gratuitous, and requires
c. Condition
the acceptance by the obligor.
d. Period
a.Payment 31. Three of the following are essential
b.Loss of the thing due elements of the contract, except:
c. Remission or condonation
d. Merger a. cause of the obligation, which is
established
27. Which of the following is NOT a b. consent of the contracting parties
limitation of a contract. c. motive of the parties
d. object certain, which is the
a. Law subject matter of the contract
b. Morals
c.Obligation 32. A contract which does not have any
d. Public policy specific name or designation in law:

28. It is perfected by mere consent or a. nominate contract

upon the meeting of the minds upon the b. innominate contract
object and consideration of the c. commutative contract
contract. d. aleatory contract

a. Consensual contracts 33. The following cannot give consent to

b. Real contracts a contract, except:
c. Formal contracts
d. Solemn contracts a. minors, except sale of necessaries
in life
29. The contract must bind both b. insane persons
contracting parties, its validity or c. demented
compliance cannot be left to the will of d. minors who represent themselves
one of them, and this is as of legal age to one in good
faith.
a. mutuality of contracts
b. relativity of contracts 34. A defective contract where damage
c. freedom of contracts or lesion is essential is:
d. obligatory force of contracts
a. rescissible
30. By this principle, contracts take effect b. unenforceable
only upon the contracting parties, their c. voidable
assigns or successors in interest d. void

a. mutuality of contracts
b. relativity of contracts
c. freedom of contracts
d. obligatory force of contracts
35. The contracts entered into by the 39. A, with a violence in her eyes,
persons who cannot give consent is: intimidated her husband B to sell his
exclusive property to her. The contract
a. void ab initio, because actually to sell is
there is no consent
b. unenforceable only because the a. rescissible
contract maybe ratified b. voidable
c. rescission because of the c. unenforceable
damage caused to the person d. . void
incapacitated
d. voidable as there is consent 40. Which of the following are rescissible
although vitiated or defective contracts?

36. A defective contract because it is a. Those made by guardians when

entered into in the name of another their wards suffer lesion by more
without or in excess of authority, or it is than ¼ of the value of the things
verbal is: which are the object thereof.
b. Those where one of the parties is
a. unenforceable incapable of giving consent to a
b. void contract.
c. voidable c. Those that do not comply with the
d. rescissible Statute of Frauds.
d. Those which are absolutely
37. A defective contract because it is simulated or fictitious.
prohibited by law is:
41. Which of the following are void
a. void contracts?
b. rescissible
c. voidable a. Those made by guardians when
d. unenforceable their wards suffer lesion by more than ¼
of the value of the things which are the
object thereof.
38. The following are still valid contracts
b. Those where one of the parties is
except:
incapable of giving consent to a
contract.
a. void
c. Those that do not comply with the
b. voidable
Statute of Frauds.
c. unenforceable d. Those which are absolutely
d. rescissible simulated or fictitious
42. Which of the following are c. Statute of Mistakes
unenforceable contracts? d. Statute of Limitations

a. Those made by guardians when 45. Which of the following contracts is not
their wards suffer lesion by more than ¼ void ab initio?
of the value of the things which are the
object thereof. a. Those whose object is outside the
b. Those where one of the parties is commerce of men
incapable of giving consent to a b. That whose object did not exist at the
contract. time of transaction
c. Those that do not comply with the c. That which contemplates an
Statute of Frauds. impossible service
d. Those which are absolutely d. That which is undertaken in fraud of
simulated or fictitious creditors

43 Which of the following are voidable 46. An instrument may be reformed d

contracts?
a. Simple donations inter vivos wherein
a. Those made by guardians when their no condition is imposed
wards suffer lesion by more than ¼ of the
b. Wills
value of the things which are the object
c. When the instrument does not express
thereof.
the true intention of the parties due to
b. Those where one of the parties is
mistake
incapable of giving consent to a
d. When the real agreement is void
contract.
c. Those that do not comply with the
47. Contracts entered into in a state of
Statute of Frauds.
drunkenness or during a hypnotic spell
d. Those which are absolutely simulated
are:
or fictitious.
.
a. Void
44. The rule which requires that certain
agreements or some note or b. Valid
memorandum thereof, shall be in writing c. Voidable
& subscribed by the party charged or by d. Legal
his agents; otherwise such agreements
shall be unenforceable by action 48. Contracts which cannot be sued
because evidence of the same cannot upon unless ratified, thus it is as if they
be received without the writing, or a have no effect yet are:
secondary evidence of its contents:
a. Voidable
a. Statute of Frauds b. Rescissible
b. Statute of Intimidations c. Void
d. Unenforceable a. Payment
b. Consent
49. A contract is in the stage of c. Consignation
conception when: d. Tender of payment

a. There is meeting of the minds. 54. Contract which can not be ratified
b. Negotiations are in progress.
c. The parties come to an agreement. a. Rescissible
d. The contract is perfected. b. Unenforceable
c. Voidable
50. A contract where one party receives d. Void
no valuable consideration and the
cause is the liberality of the benefactor is 55. If mistake, fraud, accident or
inequitable conduct has prevented a
a. A gratuitous contract meeting of the minds of the parties to a
b. An onerous contract contract, the proper remedy is
c. A unilateral contract
d. A commutative contract a. Ratify the contract
b. Annulment of the contract
51. A delivered his van to B for the latter’s c. Ask for a specific performance
use for one week without any d. Reformation of the contract
compensation. The cause of the
contract is 56. Although validly agreed upon, courts
can nullify this contract because of
a. The van of A damage to one of the parties or to a
b. The period of one week third person and its enforcement, may
c. The generosity of A cause injustice by reason of some
d. The delivery of the van external facts

52. The meeting of minds regarding the a. Rescissible contracts

object and cause of the contract (stage b. Unenforceable contracts
in the life of a contract) c. Voidable contracts
d. Void contracts
a. Conception
b. Death 57. A contract where the fulfillment is
c. Preparation dependent upon the chance, so the
d. Birth values may vary because of the risk or
chance.
53. When there is concurrence of offer
and acceptance, there is a. Commutative
b. Remunerative
c. Aleatory 62. It is a mode of extinguishing an
d. Gratuitous obligation when two persons in their own
right are creditors of each other.
58. Not a characteristic of contract
a. Confusion
a. Consensuality of contract b. Reformation
b. Mutuality of contract c. Compensation
c. Simplicity of contract d. Novation
d. Relativity of contract
63. If the obligor binds himself to perform
59. Unless ratified, suits will not prosper if his obligation as soon as "he shall have
the contract is obtained a loan" from a certain bank,
this obligation is:
a. Rescissible
a. With a Term
b. Unenforceable
b. Conditional
c. Voidable
c. Suspensive
d. Void
d. Resolutory
60. D, fearing that his creditor C, would
go after his only parcel of land to satisfy 64. "A sells to B his lot and house in the city
his claim for payment of D’s debt, sold his if A decides to transfer and live in the
said land to X who did not know of D’s countryside" is an example of:
intention. Decide.
a. Mixed Condition
a. C can ask for annulment of the sale as b. Potestative Condition
this is voidable contract. c. Casual Condition
b, C may ask for damages against X d. Resolutory Condition
since he was damaged by the sale.
c. C can file an action for rescission of the 65. If the obligor binds himself to perform
sale. his obligation as soon as "he shall have
d. C cannot ask for rescission of the sale obtained a loan" from a certain bank,
this obligation is:
61. The action to annul a voidable a. With a Term
contract is extinguished by b. Conditional
c. Suspensive
a. Novation d. Resolutory
b. Ratification
c. Rescission 66. Which of the following statements is
d. Estoppel false?
a. Obligations to give definite things and b. Execution of a certain number of days
those that are not susceptible of partial of work shall be divisible.
performance shall be deemed divisible. c. Accomplishment of work by metrical
b. Execution of a certain number of days units are divisible
of work shall be divisible. d. An obligation to pay a certain amount
c. Accomplishment of work by metrical in ten annual installments is divisible
units are divisible .
d. An obligation to pay a certain amount 70. If the obligor is unable to comply with
in ten annual installments is divisible. his obligation by reason of fortuitous
event the obligation is extinguished,
except when
67. When a third person assumes the
payment of the obligation even without a) He is guilty of negligence
the knowledge and consent of the b) When the obligations to give is
debtor but with the consent of the indeterminate
creditor c) When the obligation is
determinate
a. There is novation d) When the obligation proceeds
b. There is delegation if debtor is released from a criminal offense
c. There is subrogation
d. There is expromission if debtor is 71. In an obligation whereby the obligor
released is bound by different prestations,

a) It is the debtor who has the

68. Which of the following is not an right of choice unless the
element of legal compensation? creditor is given that right
b) The right of choice to the
a. Debts to be compensated are due debtor gives him the freedom
and demandable to chose
b. There is controversy or adverse claim c) The debtor can chose to give
over any debts to be compensated a portion or part of each
c. There are two or more debts of the prestations except those
same kind which are indivisible
d. There are two or more persons who are d) None of the above
creditor or debtors of each other.
72. Mode of Extinguishing obligations
69. Which of the following statements is whereby the right of subrogation may
false? occur:

a. Obligations to give definite things and a) Novation

those that are not susceptible of partial b) Compensation
performance shall be deemed divisible. c) Condonation
 d) Payment c. From the time the obligation to deliver
arises
d. Before the time the obligation to
73. Mode of Extinguishing obligation deliver arises.
which is subject to a condition the
fulfilment of which extinguishes the 76. What is an element of delay?
obligation:
a. Obligation must not be due,
a) Novation demandable and liquidated.
b) Compensation b. A judicial or extrajudicial demand has
c) Condonation not been made by the creditor.
d) Expiration or fulfillment of resolutory c. Compliance of the debtor of the
term creditor’s demand for him to perform.
d. Debtor does not perform his positive
74. Mode of Exntinguishing obligation obligation on the date agreed upon.
whereby there are several debts to one
creditor and the debts are of the same 77. There is no need of demand in case:
kind and burden, the payment (not
sufficient) is applied to all debts a. The obligation is reciprocal in nature.
proportionately b. There is express waiver of demand.
c. There is a case filed in court
a. Novation d. When no period has been agreed
b. Application of Payment upon
c. Compromise
d. Confusion .78. What is the remedy of the debtor in
case of mora accipiendi?
75. When a third person substitutes to the
debtor without the latter’s knowledge a. Annul the contract
and the third person is unable to fulfill the b. Sue creditor for damages
obligation, extinguishes the obligation of
c. Consign the thing
the old debtor.
d. Compel the creditor to accept

a. Novation
79. Which of the following is NOT a
b. Application of Payment
requisite for the application of the rule on
c. Compromise fortuitous events?
d. Confusion
a. The cause of the event is independent
75. When does real right of the creditor of the will of the debtor.
over the fruits commence? b. The event is unforeseeable or
a. After delivery unavoidable.
b. Before delivery
c. The occurrence renders it absolutely a. No, Mr. Neil has no cause of
impossible for the debtor to fulfill his action against Mr. Sonny;
obligation in a normal manner. b. Yes, based on quasi-contract;
d. Debtor has participated in the c. Yes, based on moral obligation;
aggravation of the injury to the creditor d. Yes, based on natural
obligation.
80. Which of the following is a force
majeure? 84. A taxi owned and operated by
Digong and a passenger jeepney
a. Earthquakes operated by Leni figured in an accident
b. Storms whereby both drivers were found to be
c. Floods negligent. Bongo, a passenger of the taxi
d. Wars suffered injury. Which of the following is
correct?
81 . Which is not an element of an
obligation? a. Bongo’s cause of action
against Leni is culpa contractual and
with regard to Digong, it
a. Vinculum juris
is culpa aquiliana;
b. Obligee
b. Leni’s liability is based on culpa
c. Prestation
contractual while that of Digong is culpa
d. Contract
criminal;
c. The source of Digong’s
82 . The object of an obligation must NOT obligation is culpa contractual and
be: Leni’s obligation is based on culpa
aquiliana;
a. Licit d. Bongo’s cause of action
b. Possible against Digong and Leni arises from a
c. Indeterminate contract.
d. Determinable
85. Which of the following is not an
83. Mr. Lolong, 80 years old, abandoned obligation of a person obliged to give a
by his wealthy son Mr. Sonny, met an determinate thing (specific real
accident and was consequently obligation):
confined in a hospital. Without the
knowledge of Mr. Sonny and Mr. Lolong, a. to deliver the thing;
Mr. Neil, a neighbor, spent for the b. to take care of the thing with
medical expenses of Mr. Lolong the proper diligence of a good father of
expecting that he would be reimbursed a family;
by Mr. Sonny. Can Mr. Neil recover the c. to deliver a thing which must be
amount of medical expenses from Mr. neither of superior nor inferior quality;
Sonny?
 d. to deliver all accessions and c. mora;
accessories. d. all of the above
86. No person shall be responsible for
those events which could not foreseen, 90. Demand is not necessary in this
or which, though foreseen, were instance:
inevitable except those: a. when the obligation or the law
expressly so declares;
a. expressly provided by law; b. when time is of the essence;
b. expressly declared by c. demand would be useless;
stipulation; d. all of the above.
c. when the nature of the
obligation requires assumption of risk;
91. Fitch agreed to give his cellphone to
d. all of the above; Gabs that is when his cat dies. The
obligation is deemed;
87. In case of material damage or injury,
the liability of a convicted person a. Conditional
includes:
b. one with a day certain
c. One with a term of period
a. restitution;
d. b and c are correct
b. reparation for damage
caused;
92. Fay is indebted to Crish in the sum of
c. indemnification for
Php 10,000. Since he is short of cash, he
consequential damages;
offered to give his
d. all of the above; wristwatch to the creditor who accepted
the offer. This is known as;
88 . A source of obligation where it is not
the act or omission which gives rise to the a. Subrogation b.
obligation, but the want of care required
b. Dacion en pago
from the circumstances:
c. Cession
d. d. None of the above
a. law;
b. contract;
93. Yeng lent Php. 10,000.00 to Ditto for
c. quasi-contract;
his tuition fee for the current school year.
d. quasi-delict. The obligation is considered-

a. one with a period

89. It is the non-fulfillment of the b. pure (because payment is
obligation with respect to time: demandable at once)
c. facultative (because it is a single
a. delay; prestation)
b. default; d. personal obligation
 II. Accessories always go with the
94. Sky is leaving for abroad permanently principal thing.
and offered to sell her 3 cars (Toyota, a) False, True
Honda and Nissan). Bayer promised to b) False, False
buy any one of them, the obligation of c) True, True
Sky is considered d) True, False

a. Pure 99. I. Ordinary Delay is the failure to

b. Facultative perform an obligation on time which
c. Alternative constitutes a breach of obligation.
d. Indivisible II. Legal Delay is the failure to perform an
obligation on time.
95. Ordinances that prohibits smoking
and jaywalking are deemed- a) False, True
b) True, True
a. Legal obligations c) True, False
b. Natural obligations d) False, False
c.Contractual obligations
d. Moral Obligations 100. I. Rights acquired by virtue of an
obligation is transmissible and can be
alienated or assigned to third persons.
96. Products of the soil through II. The parties cannot stipulate as to the
cultivation or intervention of human transmissibility of rights acquired by
labor reason of obligation.
a) Civil Fruits
b) Natural Fruits a) True, True
c) Penal Fruits b) False, True
d) Industrial Fruits c) True, False
d) False, False
97. A constructive delivery by mere
consent or by pointing out the object
a) Tradition constitutum
possessiorium
b) Traditio simbolica
c) Traditio longa manu
d) Tradition brevi manu

98. I. Accessions are those which have

for their object the embellishment, use or
preservation of another thing which is
more important.