CHAPTER 2 - ESSENTIAL ELEMENTS OF A CONTRACT (ART. 1318 - 1355) Flashcards
There is no contract unless the following requisites concur:
(1) Consent of the contracting parties
(2) Object certain which is the subject matter of the contract;
(3) Cause of the obligation which is established. (1261)
Is the manifestation of the meeting of the offer and the acceptance upon the thing and the cause which are to constitute the contract.
Consent
A proposal to enter into a contract.
Offer
Is the net of agreeing either expressly or by conduct to the offer of another so that a contract is concluded and the parties become legally bound.
Acceptance
Must be certain, it must not be a mere joke, it should be seriously intended and must be definite.
Offer
It is absolute, it must be unqualified and accepted it without condition.
Acceptance
Rejection of the original offer, offering another other than the original offer (there is no meeting of minds)
Counter offer
Extinguished the original offer
It may or may not be accepted by the original offerer
Note: Qualified acceptance constitute a counter offer
If P offer to sell his car to G for 1M. While G didn’t give her consent yet, P withdraw the offer. Was P allowed to do so?
Yes, because there is no perfection of contract, there is still no consent.
G offer to buy the car of P for 800,000. However, P said if it can be 1M. G then about to leave when P said that he is willing to sell his car for 800,000. Can G not buy the car? Is the contract perfected?
Yes, there is no acceptance so it is still absolute, a qualified acceptance
What are the requisites of consent?
- There must be two or more parties
- The parties must be capable or capacitated
- There must be no vitiation of consent
- There must be no conflict between what was expressly declared and what was really intended
- Intent must be declared properly
On Dec 1, P offer to sell his car for 1M by letter. On Dec 5, G accepted the offer and agree to buy the car. On Dec 10, G sent a letter accepting the offer of P. Before accepting the letter, P died. Is the contract perfected?
There is no perfection of contract, it will only bind if P have received and known the letter sent by G, however he died before receiving it.
On Dec 1, P offer a lease on his house. On Dec 15, G sent a letter accepting the offer of P. However on morning at also Dec 15, P sent a letter to G withdrawing the offer. The letter of acceptance was received by P on Dec 16. Was there a contract?
- There is no contract, prior to the receipt of the letter of the acceptance, the offer had already been withdrawn.
On Dec 1, P offer a lease on his house. On Dec 15, G sent a letter accepting the offer of P. However on morning at also Dec 15, P sent a letter to G withdrawing the offer. The letter of acceptance was received by P on Dec 16. Was there a contract?
There is no contract, prior to the receipt of the letter of the acceptance, the offer had already been withdrawn.
An acceptance may be express or implied.
True or False?
True
The person making the offer may fix the time, place, and manner of acceptance, all of which must be complied with.
True or False?
True
Are extension of the personality of his principal
Agent
P said to B (the agent) to offer to sell his car for 1M. B (an agent) offer to sell the car for 1M to G. G can then communicate her acceptance to B. When the principal offerer (P) is the one who made directly an offer to G, is G allowed to give her acceptance to B?
No
An offer becomes ineffective upon the death, civil interdiction, insanity, or insolvency of either party before acceptance is conveyed.
True or False?
True
This is an accessory penalty
Civil interdiction
On Nov 1, P offer to sell his house for 1M. P then sent a letter to G giving her 10 days to decide/accept (option contract). Suppose on Nov 5, P withdraw his offer to sell his house to G. Can P validly do so?
Yes, he can withdraw the contract as long as it is communicated. (General rule)
On Nov 1, P offer to sell his house for 1M. P then sent a letter to G giving her 10 days to decide/accept (option contract). Suppose on Nov 5, P withdraw his offer to sell his house to G. However, when G already have 1,000 to P before P withdraw the offer. Can P still withdraw the offer?
No, because the offer was founded in consideration (Exception to the general rule)
When offerer gave the offeree a period or days to accept the offeree
Option Contract
It is the money paid or promised for the option
Option Money
For Sale: 100 Square meter lot with 2-storey house located at 123, ABC St. Malate, Manila for 10,000,000 cash.
Definite Offer