BUKIDNON STATE UNIVERSITY
Malaybalay City, Bukidnon 8700
Tel (088) 813-5661 to 5663; Telefax (088) 813-2717, www.buksu.edu.ph
OBLIGATIONS AND CONTRACTS
Quiz No. 4
General Instructions.
1. Read each question carefully.
2. Provide a clear and concise answer by demonstrating your ability to give a
complete analysis of the facts, apply the correct legal basis, and arrive at a sound
and logical conclusion. Always begin your answer with a “yes” or “no”, unless the
question requires a different response. A mere “yes” or “no” answer will not be
given credit.
3. Whenever applicable, your answer should contain: A – Answer; L – Law; A –
Application/Analysis; and, C – Conclusion.
4. Allocate your time efficiently.
5. Make sure you have completed and reviewed all of your answers before submitting
the exam.
6. You can do it.
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Begin here.
1. Define contract and state its essential elements. (5 points)
2. A student who had finished 3 ½ semesters in the College of Law of the Arellano
University transferred to another law school for his last semester. For the 3 ½
semesters he stayed at the Arellano University, he enjoyed a scholarship; hence,
was not required to pay fees. When he sought transfer and his transcript of grades,
he was asked to reimburse all the scholarship funds since the agreement precisely
provided for a refund in case of transfer. Is such proviso valid? (5 points)
3. A shipped his cargo in B’s vessel. B and C’s company entered into a contract for C’s
company to unload the cargo from the ship’s hold. In the lifting operations, A’s
cargo was damaged. May A successfully sue C’s company for damages? (5 points)
4. A promised B that if B’s daughter would serve him (A) in his house, A would give to
said daughter some of his properties if and when she decided to get married to the
man of her choice. Subsequently, the daughter rendered services to A in his house.
Is there acceptance of the stipulation by a third party? (5 points)
5. A offered to sell B a particular car for P2,000,000.00. Before B could consent, A
withdrew the offer. Was A justified of his withdrawal? (5 points)
6. A went to an ukay-ukay store and offered to buy a certain dress for P500.00. The
seller said she was willing to give it for P750.00. Whereupon, A turned to go away
because she did not want to pay that price. The seller called her back and said she
was willing to sell the dress for P500.00. Is A allowed not to buy said watch? (5
points)
7. A offered on January 1, 2024. B accepted on January 8, 2024. The letter of
acceptance was received by A on January 15, 2024. But on January12, 2024, B had
already written a letter revoking the acceptance. Was there a meeting of the
minds? (5 points)
8. What are the formalities which are necessary for the validity of contracts? (5 points)
9. Give five (5) examples of instruments which may be reformed. (5 points)
10. What contracts are rescissible? (5 points)
11. Distinguish voidable contracts from rescissible contracts. (5 points)
12. X was the owner of a 10,000-square meter property. X married Y and out of their
union, A, B, and C were born. After the death of Y, X married Z and they begot as
children, D, E, and F. After the death of X, the children of the first and second
marriages executed an extrajudicial partition of the aforestated property on May 1,
2020 – D, E, and F were given a one thousand square meter portion of the property.
At that time, D, E, and F were minors – D were 17 years old; E was 14 and F was 12.
They were mde to believe by A, B and C that unless they sign the document, they
will not get any share. Z was not present then. In January 2024, D, E and F filed an
action in court to nullify the partition alleging they discovered the fraud only in
2023.
a) Can the minority of D, E and F be a basis to nullify the partition? Explain your
answer. (5 points)
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b) How about fraud? Explain your answer. (5 points)
13. C, husband of D, sold paraphernal property in her name without her (D’s)
consent. Was such sale valid, void, voidable, rescissible or unenforceable? Explain.
(5 points)
14. What is the “Statute of Frauds”? What is its purpose? (5 points)
15. B purchased from A, a parcel of land, paying a part of the agreed price with the
understanding that he will pay the balance upon the execution of the deed of
conveyance. Subsequently, A sold the same land to C, who knew of the first sale. As
a result, B brought this action against both A and C to enforce the contract.
Defendants contend that the contract is unenforceable under the Statute of Frauds
as enunciated in No. 2 of Art. 1403 of the NCC. Decide the case, stating your
reasons. (5 points)
