CHAPTER 8: UNENFORCEABLE

CONTRACTS b)​ A special promise to

answer for the debt,
ARTICLE 1403. The following default, or miscarriage of
contracts are unenforceable, unless another;
they are ratified: c)​ An agreement made in
(1)​Those entered into the name of consideration of
another person by one who marriage other than a
has been given no authority or mutual promise to
legal representation, or who marry;
has acted beyond his power; d)​ An agreement for the
(2)​Those that do not comply with sale of goods, chattels,
the Statute of Frauds as set or things in action, at
forth in this number. In the price not less than Five
following cases, an agreement hundred pesos, unless
hereafter made shall be the buyer accept and
unenforceable by action, receive part of such
unless the same, or some note goods and chattels, or
or memorandum thereof, be in the evidences, or some
writing, and subscribed by the of them, of such things
party charged, or by his agent; in action, or pay at the
evidence. therefore, of the time some part of the
agreement cannot be received purchase money; but
without the writing, or a when a sale is made by
secondary evidence of its auction and entry is
contents: made by the auctioneer
a)​ An agreement that by its in his sales book, at the
terms is not to be time of the sale, of the
performed within a year amount and kind of
from the making thereof; property sold, terms of
sale, price, names of the
 purchasers and persons Kinds of Unenforceable Contracts
on whose account the 1)​ Those entered into in the name of
sale is made, it is another by one without, or acting
sufficient memorandum; in excess of, authority;
e)​ An agreement for the 2)​ Those that do not comply with the
leasing for a longer Statute of Frauds
period than one year, or 3)​ Those where both parties are
for the sale of real incapable of giving
property or of an interest
therein; Unauthorized Contracts
f)​ A representation as to -​ are those entered into in the
the credit of a third name of another person by one
person. who has been given no authority
(3)​Those where both parties are or legal representation or who
incapable of giving consent to has acted beyond his powers
a contract.
Statute of Frauds
Unenforceable Contracts -​ is a legal rule that requires
-​ are those that cannot be enforced certain types of contracts to be in
or given effect in a court of law or writing and signed by the parties
sued upon by reason of certain involved in order to be
defects provided by law until and enforceable in court.
unless they are ratified according
to law Agreements within the scope of the
Statute of Frauds
Note: Unenforceable Contracts are valid 1)​ Agreement not to be performed
but unenforceable in court unless they within one year from the making
are cured or ratified. Unlike Rescissible thereof
and Voidable Contracts are valid and 2)​ Promise to answer for the debt,
enforceable unless they are rescinded default, or miscarriage of another
or annulled.
 3)​ Agreement in consideration of Modes of Ratification under the
marriage other than mutual Statute
promise to marry 1)​ By failure to object to the
4)​ Agreement for sale of goods, etc. presentation of oral evidence to
at price not less than P500 prove the contract
5)​ Agreement for leasing for a 2)​ By acceptance of benefits under
longer period than one the contract
6)​ Agreement for the sale of real
property or of an interest therein
7)​ Representation as to the credit of ARTICLE 1406. When a contract is
a third person enforceable under the Statute of
Frauds, and a public document is
necessary for its registration in the
ARTICLE 1404. Unauthorized Registry of Deeds, the parties may
contracts are governed by Articles avail themselves of the right under
1317 and the principles of agency in Article 1357.
Title X of this Book.
Rights of a party where contract
ARTICLE 1405. Contracts infringing enforceable
the Statute of Frauds, referred to in -​ there must be valid agreement
No.2 Article 1403, are ratified by the and it must not infringe the
failure to object to the presentation of Statute of Frauds
oral evidence to prove the same, or 1)​ A party to an oral sale of real
by the acceptance of benefits under properties cannot compel the
them. other to put the contract in a
public document for purpose of
registration because it is
unenforceable
 2)​ The right of one party to have the When unenforceable contract
other execute a public document becomes a valid contract
is not available in a donation of -​ If the ratification is made by the
realty when it is a private parents or guardians of both
instrument because the donation contracting parties after attaining
is void. or regaining capacity, the contract
is validated and its validity
retroacts to the time it was
ARTICLE 1407. In a contract where entered into.
both parties are incapable of giving
consent, express or implied
ratification by the parent, or guardian ARTICLE 1408. Unenforceable
, as the case may be, of one of the contracts cannot be assailed by third
contracting parties shall give the persons
contract the same effect as if only
one of them were incapacitated.

If ratification is made by the parents

or guardians, as the case may be, of
both contracting parties, the contract
shall be validated from the inception.

When unenforceable contract

becomes a voidable contract
-​ If the parent or guardian of either
party, or if one of the parties after
attaining or regaining capacity,
ratifies the contract, it becomes
voidable.