Credit Transactions

Question 1

The right given to the mortgagor in the event of a judicial foreclosure to recover the thing

Answer 1

Equity of redemption

Question 2

In this type of contract, sale of the thing subject thereof during the pendency of the contract will result in criminal liablity

Answer 2

Chattel Mortgage

Question 3

Requisites of Contract of Pledge and Mortgage

Answer 3

1. Constituted to secure the fulfillment of a principal obligation
2. Pledgor/Mortgagor must be the absolute owner of the thing pledged/mortgaged
3. Persons constituting the pledge or mortgage have the free disposal of their property and in the absence thereof, that they be legally authorized for the purpose

Question 4

A mortgage or pledge cannot be constituted to secure what contract

Answer 4

Void Contract

Question 5

A void stipulation allowing the creditor to appropriate the things given by way of pledge or mortgage or dispose of them

Answer 5

Pactum Commissorium

Question 6

Who conducts the foreclosure sale, if the principal obligation remains unsatisfied, and the pledgee-creditor can have the pledge foreclosed?

Answer 6

Notary Public

Question 7

A stipulation prohibiting the owner to alienate the immovable property mortgaged

Answer 7

Pactum de non-alienado