Article 1489. All persons who are authorized in this Code to obligate themselves, may 4.

4. Traditio Brevi Manu-opposite of constitutum possessosrium

enter into a contract of sale, saving the modifications contained in the following articles. 5. Traditio Constitutum possessorium-the seller still have the rights but they
Where necessaries are those sold and delivered to a minor or other person without already sold it.
capacity to act, he must pay a reasonable price therefor. Necessaries are those referred to Article 1501. With respect to incorporeal property, the provisions of the first paragraph
in article 290. of article 1498 shall govern. In any other case wherein said provisions are not applicable,
Kinds of Incapacity the placing of the titles of ownership in the possession of the vendee or the use by the
1.Absolute incapacity- these are the persons who cannot enter into a contract of sale in all vendee of his rights, with the vendor’s consent, shall be understood as a delivery.
circumstances: otherwise, the contact of sale is defective either voidable or Article 1502. When goods are delivered to the buyer “on sale or return” to give the
unenforceable. minors, insane, deaf-mutes, demented buyer an option to return the goods instead of paying the price, the ownership passes to
2.Relative incapacity-these are certain persons, under certain circumstances, cannot buy the buyer on delivery, but he may revest the ownership in the seller by returning or
certain property. tendering the goods within the time fixed in the contract, or, if no time has been fixed,
Article 1490. The husband and the wife cannot sell property to each other, except: (1) within a reasonable time. (n)
When a separation of property was agreed upon in the marriage settlements; or (2) When When goods are delivered to the buyer on approval or on trial or on satisfaction, or other
there has been a judicial separation of property under article 191. (1458a) similar terms, the ownership therein passes to the buyer:
Article 1491. The following persons cannot acquire by purchase, even at a public or (1) When he signifies his approval or acceptance to the seller or does any other act
judicial auction, either in person or through the mediation of another: adopting the transaction;
(1) The guardian, the property of the person or persons who may be under his (2) If he does not signify his approval or acceptance to the seller, but retains the goods
guardianship; without giving notice of rejection, then if a time has been fixed for the return of the
(2) Agents, the property whose administration or sale may have been intrusted to them, goods, on the expiration of such time, and, if no time has been fixed, on the expiration of
unless the consent of the principal has been given; a reasonable time. What is a reasonable time is a question of fact.
(3) Executors and administrators, the property of the estate under administration;
(4) Public officers and employees, the property of the State or of any subdivision "sale on return," ownership passes to the buyer upon delivery, but can revert to the
thereof, or of any government-owned or controlled corporation, or institution, the seller if the goods are returned. Resolutory condition; in a "sale on trial," ownership
administration of which has been intrusted to them; this provision shall apply to judges remains with the seller until the buyer approves the goods: suspensive condition
and government experts who, in any manner whatsoever, take part in the sale; ACCESSIONS- It signifies all of those things which are produced by the thing which is
(5) Justices, judges, prosecuting attorneys, clerks of superior and inferior courts, the object ject of the obligation as well as all of those which are naturally or artificially
and other officers and employees connected with the administration of justice, the attached thereto
property and rights in litigation or levied upon an execution before the court within ACCESSORIES- It signifies all of those things which have for their object the
whose jurisdiction or territory they exercise their respective functions; this prohibition embellishment, use or preservation of another thing which is more important and to
includes the act of acquiring by assignment and shall apply to lawyers, with respect to the which they are not incorporated or attached. In other words, it includes all of those things
property and rights which may be the object of any litigation in which they may take part which are necessary or convenient for the perfection of another thing, such as the
by virtue of their profession; equipment of a factory. the spare parts and tools of a machine, the key of a house, and
(6) Any others specially disqualified by law. (1459a) others of a similar nature.
Article 1492. The prohibitions in the two preceding articles are applicable to sales in
legal redemption, compromises and renunciations.

Article 1493. If at the time the contract of sale is perfected, the thing which is the object
of the contract has been entirely lost, the contract shall be without any effect. But if the Judicial Sale- A sale is conducted under the authority of judgement or court order such
thing should have been lost in part only, the vendee may choose between withdrawing an execution of sale.
from the contract and demanding the remaining part, paying its price in proportion to the Article 1543. The actions arising from articles 1539 and 1542 shall prescribe in six
total sum agreed upon. months, counted from the day of delivery.
Loss of the object at the time of perfection of the contract Warranty- Goes into the performance of such obligation and in fact may constitute an
1. COMPLETELY LOST If the thing which is the object of the contract has been obligation in itself. May form part of the obligation or contract by provision of the law
entirely lost, the contract shall be without any effect. The reason is because there is an without the parties having agreed thereto. Non-fulfillment of a warranty would constitute
absence of an essential element, that is, the object. 2. PARTIALLY LOST If the thing a breach of contract.
should have been lost in part only, the vendee may choose between: a . Withdrawing Condition- Goes into the root of the existence of the obligation. Must be stipulated by the
from the contract; and b. Demanding the remaining part, paying its price in proportion parties in order to form part of an obligation. Although it may extinguish the obligation
to the total sum agreed upon upon which it is based, it generally does not amount to a breach of contract of sale.
Article 1494. Where the parties purport a sale of specific goods, and the goods without RULES OF PREFERENCE in case of double sale
the knowledge of the seller have perished in part or have wholly or in a material part so 1. Movable Property First possessor in good faith
deteriorated in quality as to be substantially changed in character, the buyer may at his 2. Immovable Property a. First registrant in good faith; b. First possessor in good faith;
option treat the sale: and c. Person with the oldest title in good faith
(1) As avoided; or
(2) As valid in all of the existing goods or in so much thereof as have not deteriorated, Kinds of Waiver
and as binding the buyer to pay the agreed price for the goods in which the ownership 1. Waiver Consciente- The waiver is made by the vendee without the knowledge of the
will pass, if the sale was divisible. risk of eviction. The vendor shall only pay the value which the thing sold had at the time
Remedy: a. avoidance, b. valid in all of the existing goods or in so much thereof as have of eviction. Note: In here, both parties are in good faith; however, the vendor shall pay
not deteriorated, and as binding the buyer to pay the agreed price for the goods. the value of the thing sold to avoid unjust enrichment on the part of the vendor at the
Article 1495. The vendor is bound to transfer the ownership of and deliver, as well as expense of the vendee.
warrant the thing which is the object of the sale. 2. Waiver Intencionada -The waiver is made by the vendee with the knowledge of the
risk of eviction and assumed its consequences. The vendor shall not be liable.
Obligations of Vendor: 1. To transfer ownership of the thing sold; 2. To deliver the Servitude- is an encumbrance imposed upon an immovable for the benefit of another
thing; 3. To warrant the object sold against eviction and hidden defects: 4. To take care immovable belonging to a different owner.
of the object sold pending delivery; and 5. To pay for the expenses for the execution and
registration of the cost of sale unless there is a stipulation to the contrary. Article 1573. The provisions of the preceding article with respect to the sale of animals
shall in like manner be applicable to the sale of other things. (1492)
Delivery- composite act, a thing in which both parties must join and the minds of both Article 1574. There is no warranty against hidden defects of animals sold at fairs or at
parties concur. public auctions, or of live stock sold as condemned. (1493a)
Article 1575. The sale of animals suffering from contagious diseases shall be void.
Article 1496. The ownership of the thing sold is acquired by the vendee from the
moment it is delivered to him in any of the ways specified in articles 1497 to 1501, or in
any other manner signifying an agreement that the possession is transferred from the
vendor to the vendee.

Article 1497. The thing sold shall be understood as delivered, when it is placed in the
control and possession of the vendee.
Kinds of Delivery
1. Real or Actual- the thing is sold in the control and possession of vendee
2. Legal or Constructive- delivery by operation of law.
3. Quasi-Tradition- execution of public instrument, placing titles of
ownership in the hands of buyer and
Kinds of Legal/Constructive
1. Legal Formalities-sale made through public document.
2. Symbolical Tradition or Traditio Symbolica – uses a symbol
3. Traditio Longa Manu-by long hand