Law on Sales

Question 1

Sale of things with potential existence. If the thing didn’t exist the sale will not be effective.

Example: Wine is expected to be produced by a vineyard.

Answer 1

Emptio Rei Speratae

Question 2

This takes place upon the concurrence of the essential elements of the sale.

Answer 2

Perfection

Question 3

Goods owned or possessed by the seller.

Answer 3

Existing Goods

Question 4

What are the 2 kinds of contract of sale

Answer 4

Absolute and Conditional

Question 5

What are the characteristics of contract of sale?

Answer 5

Consensual, Bilateral, Onerous, Commutative, Nominate and Principal

Question 6

The sale of present thing. The hope itself.

Example: Sale of sweepstakes or raffle tickets yet to be drawn.

Answer 6

Emptio Spei

Question 7

The sale of vain hope or expectancy. Voidable? Void? Valid?

Answer 7

Void

Question 8

It is the transfer of ownership from one party to another, and to deliver a determinate thing. The other party needs to pay a price certain in money or its equivalent.

Answer 8

Sale

Question 9

What is “object or subject matter”?

Answer 9

This refers to the determinate thing which is the object of the contract.

Question 10

What is “consummation”?

Answer 10

This commences when the parties perform their respective undertakings under the contract of sale, culminating in the extinguishment of the contract.

Question 11

What is the difference between “Contract of Sale” and “Contract to Sell”?

Answer 11

In contracts of sale the vendor loses ownership over the property and cannot recover it unless and until the contract is resolved or rescinded, while in contracts to sell, title is retained by the vendor until full payment of the price.

Question 12

The parties are bound by reciprocal obligations.

Answer 12

Bilateral

Question 13

True or False.

The thing mus be within the commerce of men.

Answer 13

True

Question 14

True or False.

The vendor must have the right to transfer ownership of the thing at the time it is delivered.

Answer 14

True

Question 15

If the contract of sale is not subject to any condition and title or ownership passes to the buyer upon delivery of the thing sold.

Answer 15

Absolute Contract of Sale

Question 16

What is “Future Goods”?

Answer 16

Goods to be manufactured, raised, or acquired by the seller after the perfection of the contract of sale.

Question 17

True or False.

Absence of any essential elements create the existence of a perfected contract of sale.

Answer 17

False.

Absence of any essential elements negates (nullify) the existence of a perfected contract of sale.

Question 18

This refers to price certain in money or its equivalent such as check or promissory note.

Answer 18

Cause or Consideration

Question 19

Goods which may be the object of contract of sale?

Answer 19

Existing Goods and Future Goods

Question 20

True or False.
In order for a thing to be the object of contract of sale, the thing must be indeterminate or capable of being indeterminate.

Answer 20

False.
In order for a thing to be the object of contract of sale, the thing must be determinate or capable of being determinate.