CONTRACTS Flashcards
a Judiciary necessity to give, to do or not to do and arises the following (art 1157)
OBLIGATION
A meeting of minds between two or more persons (natural or judicial) whereby one bind himself, with respect to the other
CONTRACT
Perfected by mere consent like contract of sale
CONSENSUAL CONTRACT
Only one party is obligated by virtue of his execution of the contract
UNILATERAL CONTRACT
Both parties bind themselves as in sale and lease contracts
BILATERAL CONTRACT
Involving consideration like sale or lease
ONEROUS
A contract that is without consideration like donation
GRATUITOUS
3 essential elements/requisites of contract
- consent or meeting of minds of contracting parties
- object certain which is the subject of the contract
- cause of the obligation which is established (price or consideration)
Parties in Sales Contract
- Seller or Vendor
- Buyer or Vendee
An agreement where the Seller/Vendor obligates himself to deliver and transfer ownership of a determined object to teh Buyer/Vendee and in return the latter binds himself to pay a sum of money or its equivalent at a certain period of time
SALES CONTRACT or Contract ( Art 1458)
Kinds of Contract
- Conditional (contract to sell)
- Absolute (Deed of Absolute Sale)
an unaccepted offer to sell or buy a thing
POLICITATION
A privilege existing in one person for which he has paid a consideration that gives him right to buy or sell within an agreed time and a fixed price
OPTION
Amount paid in exercise of right to purchase a specified proeprty within an agreed period and price. The amount is not part of the purchase price and can not be deducted from teh selling price
OPTION MONEY
A sum of money tendered by a buyer to the seller which if accepted by the seller, shall form part of the purchase price and results to the perfection of the contract
EARNEST MONEY
