Module 4: Warranty Against (4) The vendor was summoned in the

Eviction suit for eviction at the instance of the

vendee (Art. 1558.); and
Article 1548. Eviction shall take
place whenever by a final judgment (5) There is no waiver on the part of
based on a right prior to the sale or an the vendee
act imputable to the vendor, the
Vendor’s liability is waivable.
vendee is deprived of the whole or of
a part of the thing purchased. Warranty is not an essential element
of a contract of sale and may,
The vendor shall answer for the
therefore, be increased, diminished, or
eviction even though nothing has been
suppressed by agreement of the
said in the contract on the subject.
parties. (Art. 1548, par. 3.)
The contracting parties, however, may
Any stipulation, however, exempting
increase, diminish, or suppress this
the vendor from the obligation to
legal obligation of the vendor.
answer for eviction shall be void if he
(1475a)
acted in bad faith. (Art. 1553.)
Eviction may be defined as the
ART. 1549. The vendee need not
judicial process, whereby the vendee
appeal from the decision in order that
is deprived of the whole or part of the
the vendor may become liable for
thing purchased by virtue of a final
eviction.
judgment based on a right prior to
the sale or an act imputable to the Vendee has no duty to appeal from
vendor. judgment.
Essential elements of warranty With a judgment becoming final
against eviction. whatever be the cause of finality, the
requirement of the law is deemed
The essential elements are:
satisfied.
(1) The vendee is deprived in whole
Article 1550. When adverse
or in part of the thing purchased;
possession had been commenced
(2) He is so deprived by virtue of a before the sale but the prescriptive
final judgment (Art. 1557.); period is completed after the
transfer, the vendor shall not be
(3) The judgment is based on a right
liable for eviction. (n)
prior to the sale or an act imputable to
the vendor; ART. 1551. If the property is sold for
nonpayment of taxes due and not
made known to the vendee before the vendee have made the waiver with
sale, the vendor is liable for eviction. knowledge of the risks of eviction and
(n) assumed its consequences, the vendor
shall not be liable. (1477)
ART. 1552. The judgment debtor is
also responsible for eviction in Kinds of waiver of eviction.
judicial sales, unless it is otherwise
Article 1554 treats of two kinds of
decreed in the judgment. (n)
waiver, namely:
Article 1553. Any stipulation
(1) Consciente, that is, the waiver is
exempting the vendor from the
voluntarily made by the vendee
obligation to answer for eviction shall
without the knowledge and
be void, if he acted in bad faith.
assumption of the risks of eviction;
(1476)
and
Stipulation waiving warranty.
(2) Intencionada, that is, the waiver is
(1) Effect of vendor’s bad faith. - if made by the vendee with knowledge
the vendor after selling his property to of the risks of eviction and
another, sold it again to another assumption of its consequences.
purchaser, he cannot even by
*Solutio indebiti is a juridical
stipulation, be exempt from warranty
relation that arises when a person is
against eviction, because he acted in
obliged to return something received
bad faith.
through error or mistake
(2) Effect of vendee’s bad faith. — It
Article 1555. When the warranty has
is a requisite, however, that the
been agreed upon or nothing has been
vendee is not himself guilty of bad
stipulated on this point, in case
faith in the execution of the sale. If he
eviction occurs, the vendee shall have
knew the defect of title at the time of
the right to demand of the vendor:
sale, or had knowledge of the facts
which should have put him upon (1) The return of the value which the
inquiry and investigation. thing sold had at the time of the
eviction, be it greater or less than the
Article 1554. If the vendee has
price of the sale;
renounced the right to warranty in
case of eviction, and eviction should (2) The income or fruits, if he has
take place, the vendor shall only pay been ordered to deliver them to the
the value which the thing sold had at party who won the suit against him;
the time of the eviction. Should the
(3) The costs of the suit which caused rescission of the contract. The above
the eviction, and, in a proper case, rule is applicable —
those of the suit brought against the
(1) When the vendee is deprived of a
vendor for the warranty;
part of the thing sold if such part is of
(4) The expenses of the contract, if such importance to the whole that he
the vendee has paid them; would not have bought the thing
without said part (par. 1.); or
(5) The damages and interests, and
ornamental expenses, if the sale was (2) When two or more things are
made in bad faith. (1478) jointly sold whether for a lump sum or
for a separate price for each, and the
Article 1556. Should the vendee lose,
vendee would not have purchased one
by reason of the eviction, a part of the
without the other. (par. 2.)
thing sold of such importance, in
relation to the whole, that he would Remedy of rescission not available
not have bought it without said part, in case of total eviction
he may demand the rescission of the
Article 1557. The warranty cannot be
contract; but with the obligation to
enforced until a final judgment has
return the thing without other
been rendered, whereby the vendee
encumbrances that those which it had
loses the thing acquired or a part
when he acquired it.
thereof. (1480)
He may exercise this right of action,
the above article merely reiterates two
instead of enforcing the vendor's
of the essential elements for the
liability for eviction.
enforcement of warranty in case of
The same rule shall be observed when eviction, namely: (1) deprivation of
two or more things have been jointly the whole or of a part of the thing
sold for a lump sum, or for a separate sold; and (2) existence of a final
price for each of them, if it should judgment. (Art. 1548.)
clearly appear that the vendee would
Article 1558. The vendor shall not be
not have purchased one without the
obliged to make good the proper
other. (1479a)
warranty, unless he is summoned in
It states the rule that if there is partial the suit for eviction at the instance of
eviction, the vendee has the option the vendee. (1481a)
either to enforce the vendor’s liability
(1) Vendor to be made party in suit
for eviction (Art. 1555.) or to demand
for eviction.
(2) Object of the law. — The object is equal period, to be counted from the
to give the vendor an opportunity to date on which he discovered the
intervene and defend the title that he burden or servitude. (1483a)
has transferred, for, after all, he alone
Article 1561. The vendor shall be
would know the circumstances or
responsible for warranty against the
reasons behind the claim of the
hidden defects which the thing sold
plaintiff and be in a position to defend
may have, should they render it unfit
the validity of his title.
for the use for which it is intended, or
Article 1559. The defendant vendee should they diminish its fitness for
shall ask, within the time fixed in the such use to such an extent that, had
Rules of Court for answering the the vendee been aware thereof, he
complaint, that the vendor be made a would not have acquired it or would
co-defendant. (1482a) have given a lower price for it; but
said vendor shall not be answerable
Article 1560. If the immovable sold
for patent defects or those which may
should be encumbered with any non-
be visible, or for those which are not
apparent burden or servitude, not
visible if the vendee is an expert who,
mentioned in the agreement, of such a
by reason of his trade or profession,
nature that it must be presumed that
should have known them. (1484a)
the vendee would not have acquired it
had he been aware thereof, he may (1) Redhibition is the avoidance of a
ask for the rescission of the contract, sale on account of some vice or defect
unless he should prefer the in the thing sold, which renders its use
appropriate indemnity. Neither right impossible, or so inconvenient and
can be exercised if the non-apparent imperfect that it must be supposed
burden or servitude is recorded in the that the buyer would not have
Registry of Property, unless there is purchased it had he known of the vice
an express warranty that the thing is
(2) Redhibitory action is an action
free from all burdens and
instituted to avoid a sale on account of
encumbrances.
some vice or defect in the thing sold
Within one year, to be computed from which renders its use impossible, or
the execution of the deed, the vendee so inconvenient and imperfect that it
may bring the action for rescission, or must be supposed that the buyer
sue for damages. would not have purchased it had he
known of the vice.
One year having elapsed, he may only
bring an action for damages within an
(3) Redhibitory vice or defect is a When defect is hidden
defect in the article sold against which
•Defect is considered hidden or latent
defect the seller is bound to warrant.
if it was not known and could not
Requisites for warranty against have been known to the vendee.
hidden defects. however, if the defect is patent or
visible, there will be no warranty.
(1) The defect must be important or
serious; •The vendor’s liability for
warranty cannot be enforced although
(2) It must be hidden;
the defect is hidden, if the vendee
(3) It must exist at the time of the is an expert who by reason of his
sale; profession should have known it.
(4) The vendee must give notice of -A warranty, in general terms, does
the defect to the vendor within a not cover defects which the buyer
reasonable time (Art. 1586.); must have observed.
(5) The action for rescission or - the same rule is applicable to a
reduction of the price must be brought defect which is not obvious but of
within the proper period — 6 months which the seller tells the buyer, or
from the delivery of the thing sold which the buyer knows or should
(Art. 1571.) or within 40 days from have known.
the date of the delivery in case of
- there is no implied warranty against
animals (Art. 1577, par. 1.); and
hidden defects in the sale of second-
(6) There must be no waiver of hand goods. Again, as an exception,
warranty on the part of the vendee. the seller shall be liable if he has been
(Art. 1548, par. 3.) shown to have made
When defect is important misrepresentation or acted in bad
faith.
Defect must be important or serious,
in a sense that because of the defect - The seller may bind himself against
it renders the thing sold unfit for the patent or obvious defects (manifest
use for which it is intended; or upon casual inspection) if the intent to
if it diminishes its fitness for do so is clearly evident. In such a
such use to such an extent that the case, the seller cannot allege as a
vendee would not have acquired it, defense that inspection (which the
had he been aware thereof or would buyer failed to make) would have dis-
have given a lower price for it.
closed the defect or that the buyer Implied warranty of fitness
relied on his own judgment.
•Exist where the buyer expressly or
Article 1562. In a sale of goods, there by implication, manifests to the seller
is an implied warranty or condition as the particular purpose for which the
to the quality or fitness of the goods, goods are acquired.
as follows:
•The buyer relies upon the seller’s
(1) Where the buyer, expressly or by skill or judgment, whether he be the
implication, makes known to the grower or manufacturer or not.
seller the particular purpose for which
With this warranty of fitness, it
the goods are acquired, and it appears
warrants that the goods are suitable
that the buyer relies on the seller's
for a special purpose of the buyer
skill or judgment (whether he be the
which will not be satisfied by mere
grower or manufacturer or not), there
is an implied warranty that the goods fitness.
shall be reasonably fit for such Implied warranty of
purpose; merchantability. — Where goods are
(2) Where the goods are brought by bought by description, the seller
description from a seller who deals in impliedly warrants that the goods are
goods of that description (whether he of merchantable quality
be the grower or manufacturer or not), A warranty of merchantability is a
there is an implied warranty that the warranty that goods are reasonably
goods shall be of merchantable fit for the general purpose for which
quality. (n) they are sold. On the other hand, a
Implied warranties of quality. warranty of fitness is a warranty that
the goods are suitable for the special
Warranty as to the quality or
purpose of the buyer which will not
fitness of the goods (the state or
be satisfied by mere fitness for
condition of the subject matter)
general purposes
•The purpose of holding the seller on
Article 1563. In the case of contract
his implied warranties is to promote
of sale of a specified article under its
high standard in business and to
patent or other trade name, there is no
discourage sharp dealings.
warranty as to its fitness for any
particular purpose, unless there is a
stipulation to the contrary. (n)
Article 1564. An implied warranty or faith, that is, he was unaware of the
condition as to the quality or fitness existence of the hidden fault or defect.
for a particular purpose may be
(3) Where vendee aware of the
annexed by the usage of trade. (n)
defect. — If the vendee is aware of
Article 1565. In the case of a contract the defect in the thing he buys or lack
of sale by sample, if the seller is a of title in the vendor, he cannot later
dealer in goods of that kind, there is complain thereof.
an implied warranty that the goods
Article 1567. In the cases of articles
shall be free from any defect
1561, 1562, 1564, 1565 and 1566, the
rendering them unmerchantable which
vendee may elect between
would not be apparent on reasonable
withdrawing from the contract and
examination of the sample. (n)
demanding a proportionate reduction
Article 1566. The vendor is of the price, with damages in either
responsible to the vendee for any case. (1486a)
hidden faults or defects in the thing
Alternative remedies of the buyer to
sold, even though he was not aware
enforce warranty.
thereof.
Under this article, the vendee has the
This provision shall not apply if the
option either: (1) to withdraw from
contrary has been stipulated, and the
the contract or accion redhibitoria
vendor was not aware of the hidden
(action for rescission), or (2) demand
faults or defects in the thing sold.
a proportionate reduction of the price,
(1485)
with a right to damages in either case.
Responsibility of vendor for hidden accion quanti minoris
defects.
Article 1568. If the thing sold should
(1) Effect of ignorance of vendor. — be lost in consequence of the hidden
The ignorance of the vendor does not faults, and the vendor was aware of
relieve him from liability to the them, he shall bear the loss, and shall
vendee for any hidden faults or be obliged to return the price and
defects in the thing sold refund the expenses of the contract,
with damages. If he was not aware of
(2) Exception. — The parties,
them, he shall only return the price
however, may provide otherwise in
and interest thereon, and reimburse
their contract (see Art. 1581, par. 3.)
the expenses of the contract which the
provided the vendor acted in good
vendee might have paid. (1487a)
Effect of loss of thing sold on account If the vendor acted in bad faith, he
of hidden defects. shall pay damages to the vendee.
(1488a)
(1) Vendor aware of hidden defects.
— If the vendor was aware of the *Fortuitous event is an event which
hidden defects in consequence of cannot be foreseen, or which although
which the thing sold was lost, he shall foreseeable, cannot be avoided
bear the loss because he acted in bad
The difference between the price paid
faith. In such case, the vendee has the
for the thing and the value at the time
right to recover:
of the loss, represents the damage
(a) the price paid. suffered by the vendee and is at the
same time the amount with which the
(b) the expenses of the contract; and
vendor enriched himself at the
(c)damages. expense of the vendee.
(2) Vendor not aware of hidden Article 1570. The preceding articles
defects. of this Subsection shall be applicable
— If the vendor was not aware of to judicial sales, except that the
them, he shall be obliged only to judgment debtor shall not be liable for
return: damages. (1489a)

(a) the price paid; Article 1571. Actions arising from

the provisions of the preceding ten
(b) interest thereon; and articles shall be barred after six
(c) expenses of the contract if paid by months, from the delivery of the
the vendee. He is not made liable for thing sold. (1490)
damages because he is not guilty of ** The action for rescission of the
bad faith. contract or reduction of the
Article 1569. If the thing sold had purchase price (Art. 1567.)
any hidden fault at the time of the prescribes six months from the date of
sale, and should thereafter be lost by a delivery of the thing sold.
fortuitous event or through the fault **If the action is not for breach of
of the vendee, the latter may demand warranty but quasi-delict or
of the vendor the price which he paid, negligence, the prescriptive period is
less the value which the thing had four (4) years.
when it was lost.
(The term 'quasi-delict' is used in civil
law to refer to a negligent act or
omission which results in harm or Article 1574. There is no warranty
damage to an individual or to the against hidden defects of animals sold
property of another. The person at fairs or at public auctions, or of
causing the harm or damage may do live stock sold as condemned.
so without any malice, but may (1493a)
nonetheless be found at fault as a
Article 1575. The sale of animals
result of being negligent and/or
suffering from contagious diseases
imprudent. This exposes the
shall be void.
individual to civil liability in the same
way as if the act or omission was A contract of sale of animals shall
intentional.) also be void if the use or service for
which they are acquired has been
-With respect to an express
stated in the contract, and they are
warranty, in accordance with the
found to be unfit therefor. (1494a)
general rule on rescission of contract,
the prescriptive period which is four ****The sale of such animals is void
(4) years, shall apply as against public interest and not
merely subject to rescission or
Article 1572. If two or more animals
reduction of the price. (Art. 1567.) It
are sold together, whether for a lump
is to be governed by the rules relating
sum or for a separate price for each of
to nullity of contracts. (see Art. 1409.)
them, the redhibitory defect of one
shall only give rise to its redhibition, Article 1576. If the hidden defect of
and not that of the others; unless it animals, even in case a professional
should appear that the vendee would inspection has been made, should be
not have purchased the sound animal of such a nature that expert
or animals without the defective one. knowledge is not sufficient to
discover it, the defect shall be
The latter case shall be presumed
considered as redhibitory.
when a team, yoke pair, or set is
bought, even if a separate price has But if the veterinarian, through
been fixed for each one of the animals ignorance or bad faith should fail to
composing the same. (1491) discover or disclose it, he shall be
liable for damages. (1495)
Article 1573. The provisions of the
preceding article with respect to the Article 1577. The redhibitory action,
sale of animals shall in like manner be based on the faults or defects of
applicable to the sale of other things. animals, must be brought within
(1492)
forty days from the date of their
delivery to the vendee.
This action can only be exercised with
respect to faults and defects which are
determined by law or by local
customs. (1496a)
Article 1578. If the animal should die
within three days after its purchase,
the vendor shall be liable if the
disease which cause the death existed
at the time of the contract. (1497a)
Article 1579. If the sale be rescinded,
the animal shall be returned in the
condition in which it was sold and
delivered, the vendee being
answerable for any injury due to his
negligence, and not arising from the
redhibitory fault or defect. (1498)
** Under Article 1556, the buyer may
not ask for rescission where he has
created new encumbrances upon the
thing sold.
Article 1580. In the sale of animals
with redhibitory defects, the vendee
shall also enjoy the right mentioned in
article 1567; but he must make use
thereof within the same period which
has been fixed for the exercise of the
redhibitory action. (1499)
Article 1581. The form of sale of
large cattle shall be governed by
special laws. (n)