CHAPTER 3 - FORMS OF CONTRACTS (ART. 1356 - 1358)

Question 1

What is the general rule in forms of contracts?

Answer 1

Form is not required in order for a contract to be valid and obligatory

Question 2

Exception in the general rule in lesion?

Answer 2

1. When there was fraud, mistake and undue influence. (Art. 1355)
2. In cases provided by law, such as when the ward or absentee suffer lesion by more than one-fourth of the value of the object of the contract. (Art. 1381)

Question 3

What is the general rule in lesion?

Answer 3

Lesion shall not invalidate a contract

Question 4

Is the inadequacy of cause

Answer 4

Lesion

Question 5

What is the exception in the general rule in forms of contracts?

Answer 5

When the law requires that such contracts may be in specific form

Question 6

If the contract is not in the form provided by law for its validity, the contract is void

True or False?

Answer 6

True

Question 7

What are the following certain contracts that must be in a certain form to be valid?

Answer 7

a. Contract of donation of an immovable which must be in a public document together with the acceptance thereof by the donee. (Art. 749)

b. Contract of donation of personal property whose value exceeds 5,000 must be in writing together with the acceptance of the donee. (Art. 748)

c. The authority of the agent to sell a piece of land must be in writing; otherwise, the sale is void. (Art. 1874)

d. Contract of partnership where immovable property is contributed must be in a public instrument to which shall be attached a signed inventory of the immovable property. (Art. 1771)

Question 8

If the contract is not in the form provided by law for its enforceability, the contract, though it has all the essential requisites for validity, cannot be enforced against the party sought to be charged.

True or False?

Answer 8

True

Question 9

S sells his land to B. The sale is in a private instrument. The contract is valid and enforceable because it was in writing. However, if B wants to register the sale with the Register of Deeds, can he compel S to execute the sale in public instrument?

Answer 9

Yes, he may compel S to execute the sale in a public instrument since registration with the said government body is allowed only if the instrument is acknowledged before a notary public

Question 10

P donated his land to G in a private instrument. G accepted the donation is the same private instrument. Registration requires that the donation be in public instrument. When G wanted to make it in public instrument, P refuses to execute the public instrument. Can P be compelled to execute the necessary document?

Answer 10

No, as a general rule, donation needs to be in public instrument to be valid

P cannot be compelled because the donation is not valid. It is not valid and enforceable

Question 11

What are the following contracts that are required to appear in a public document for the convenience of the parties and so that they may be registered in the proper recording office to adversely affect third persons?

Answer 11

a. Acts and contracts which have for their object the creation, transmission, modification or extinguishment of real rights over immovable property.

b. The cession, repudiation or renunciation of hereditary rights or of those of conjugal partnership of gains.

c. The power to administer property, or any other power which has for its object an act appearing or which should appear in a public document, or should prejudice a third person.

d. The cession of actions or rights proceeding from an act appearing in a public document.

Question 12

A deed of real estate mortgage and its eventual cancellation must be in what instrument?

Answer 12

Public

Question 13

P and G are heirs of F. When F died, P renounce his shares of inheritance in favor of G. What instrument should be made to make this valid?

Answer 13

Here, P’s renunciation of inheritance must be in public instrument

Question 14

The power given to another to mortgage a real property must be in a public instrument since the mortgage itself is an act that must also appear in a public instrument for the convenience of the parties.

True of False?

Answer 14

True

Question 15

D mortgaged his lot in favor of C to secure a debt. If C assigns the debt and the mortgage, the deed of assignment must be in what instrument?

Answer 15

In public instrument since the mortgage itself is required to be in a public instrument.

Question 16

All other contracts where the amount involved exceed 500 must be in writing for the convenience of the parties However, the sale of goods, chattels or things in action whose price is P500 or more must be in writing to be enforceable.

True or False?

Answer 16

True