Ch. 8 - Reformation of Instruments

Question 1

(Art. 1359) When, there having been a meeting of the minds of the parties to a contract, their true intention is not expressed in the instrument purporting to embody the agreement, by reason of mistake, fraud, inequitable conduct or accident, one of the parties may

Answer 1

ask for the reformation of the instrument to the end that such true intention maybe expressed

Question 2

(Art. 1359) If mistake, fraud, inequitable conduct, or accident has prevented a meeting of the minds of the parties, the proper remedy is

Answer 2

not reformation of the instrument but annulment of the contract

Question 3

(Art. 1360) The principles of the general law on the reformation of instruments are hereby adopted insofar as they

Answer 3

are not in conflict with the provision of this code

Question 4

What is the rationale for reformation of instruments

Answer 4

The Code Commission in its report, page 56 stated thus: it would be unjust and inequitable to allow the enforcement of a written instrument which does not reflect or disclose the real meeting of the minds of the parties

Question 5

What is reformation?

Answer 5

is a remedy in equity whereby a written instrument is made or construed as to express or conform to the real intention of the parties where some error or mistake has been committed.

Question 6

In reforming instruments, courts do not

Answer 6

make another contract for the parties. They merely inquire into the intention of the parties and, having found it, reform the written instrument (not the contract) in order that it may express the real intention of the parties

Question 7

What are the requisites of reformation

Answer 7

1. There must have been a meeting of the minds of the parties to the contract
2. The instrument does not express the true intention of the parties; and
3. The failure of the instrument to express the true intention of the parties is due to mistake, fraud, inequitable conduct, or accident.

Question 8

(Art. 1361) When a mutual mistake of the parties causes the failure of the instrument to disclose their real agreement, said instrument may be

Answer 8

reformed

Question 9

(Art. 1362) If one party was mistaken and the other acted fraudulently or inequitably in such a way that the instrument does not show their true intention, the former may

Answer 9

ask for the reformation of the instrument

Question 10

(Art. 1363) When one party was mistaken and the other knew or believed that the instrument did not state their real agreement, but concealed that fact from the former, the instrument may

Answer 10

be reformed

Question 11

(Art. 1364) When through ignorance, lack of skill, negligence or bad faith on the part of the person drafting the instrument or of the clerk or typist, the instrument does not express the true intention of the parties, who may order the instrument be reformed?

Answer 11

The courts

Question 12

(Art. 1365) If two parties agree upon the mortgage or pledge of real or personal property, but the instrument states that the property is sold absolutely or with a right of repurchase, what is proper?

Answer 12

Reformation of the instrument is proper

Question 13

(Art. 1366) There shall be no reformation in the following cases

Answer 13

1. Simple donation inter vivos wherein no condition is imposed
2. Wills
3. When the real agreement is void

Question 14

(Art. 1367) When one of the parties has brought an action to enforce the instrument, he

Answer 14

cannot subsequently ask for its reformation

Question 15

(Art. 1368) Reformation may be ordered at the instance of either party or his successors in interest, if the mistake was mutual; otherwise,

Answer 15

upon petition of the injured party, or his heirs and assigns

Question 16

(Art. 1369) The procedure for the reformation of instrument shall be governed by

Answer 16

rules of court to be promulgated by the Supreme Court