midterm definition of terms Flashcards
contract of sale
one of the contracting parties obligates himself to transfer the ownership of and to deliver a determinate thing and the other to pay therefore a price certain in money or it’s equivalent. a contract of sale may be absolute or conditional
existing goods
good owned or possessed by the seller
future goods
goods to be manufactured, raised, or acquired
contact of agency
a person binds himself to render some service or to do something in representation or on behalf of another with the consent or authority of the latter
contract for a piece of work
the contractor binds himself to execute a piece of work for the employer in consideration of a certain price or condition the contractor may either employ his labor or skills or also furnish the material
contract of barter or exchange
one of the parties binds himself to give one thing in consideration of other’s promise to give another thing
option
is a privilege existing in one person for which he has paid a consideration which gives him the right to buy/sell
earnest money
money given by the buyer to the seller to bind the bargain it is actually a partial payment of the purchase price and is considered as a proof of perfection of the contract
fungible goods
goods of which any units, from its nature or mercantile usage treated as the equivalent of any other unit
resolutory condition
uncertain event upon the happening of which the obligation subject to it is extinguished
when thing determinate
a thing is determinate or specific when it is particularly designated or physically segregated from all others of the same class
necessaries
those things which are needed for sustenance dwelling clothing and medical attention in keeping with the financial capacity of the family of the incapacitated person
compromise
a contract whereby the parties by reciprocal concession avoid litigation or put an end to one already commenced
renunciation
the creditor gratuitously abandons his rights against the debtor it is also known as condonation or remission
tradition
is a derivative mode of acquiring ownership by virtue of which one who has the right and intention to alienate a corporeal thing transmits it by virtue of a just title to one who accepts the same
symbolic tradition
to effect the delivery the parties make use of a token symbol to represent the thing delivered
bill of lading
contract or receipt for the transport of goods and their delivery to the person name therein to order or to bearer
dock warrant
is an instrument given by a dock owner to an importer of goods warehoused on the dock recognizing the importer’s title to the said goods
warehouse receipt
is a contract or receipt for goods deposited with a warehouseman containing the latter’s undertaking to hold and deliver the said goods to a specified person to order or to bearer
sale or return
is a contract by which the property is sold but the buyer who becomes the owner of the property in delivery has the option to return the same to the seller instead of paying the price
absolute contract
the sale is not subject to any condition whatsoever and where the title or ownership passes to the buyer upon the delivery of the thing sold
conditional contract
the sale contemplates a contingency and in general the contract is subject to certain conditions usually the full payment of the purchase price the delivery of the thing sold does not transfer ownership until the condition is fulfilled
policitation
a unilateral promise or offer to sell or to buy a thing which is not accepted creates no juridical effect or legal bond, an unaccepted offer
unpaid seller
one who has not been paid, or tendered the whole price or who has received a bill of exchange or other negotiable instrument as conditional payment and the condition on which it was received has been broken by reason of the dishonor of the instrument
collect on delivery (cod)
the carrier acts for the seller in collecting the purchase price
free on board (fob)
the goods are to be delivered free of expense to the buyer to the point where they fob
cost insurance and freight (cif)
the fixed price covers not only the cost of goods but also the expenses of freight and insurance to be paid by the seller
free alongside vessel (fas)
the seller pays all the charges and bear the risk until the goods are placed alongside overseas vessel and within the reach of it’s loading tackle
accession
fruits of a thing or addition or improvement upon a thing
accessories
anything attached to the principal for it’s completion
usufruct
the right to enjoy the property of another temporarily
condition
an uncertain event or contingency on which the happening on which the obligation of the contract depends
warranty
is any representation made by the seller of the thing with respect to its character, quality, or ownership by which he induces the buyer to purchase the same relying on said representation
implied warranty
the law attaches an obligation to the seller which is not expressed by words
eviction
is a juridical process whereby the vendee is deprived of the whole or a part of the thing purchased by virtue of a final judgment based on a right prior to the sale or an act imputable to the vendor
by prescription
one acquires ownership and other real rights through the lapse of time in the manner and under the circumstances prescribed by law
servitude/easement
is an encumbrance imposed upon an immovable for the benefit of another immovable belonging to different owner
quality of goods
includes their state or condition
warranty of merchantability
warranty that goods are reasonably fit for the general purpose for which they are sold
warranty of fitness
warranty that the goods are suitable for the special purpose of the buyer which will not be satisfied by mere fitness for general purpose
redhibitory vice or defect
is a defect in the article sold against which defect the seller is bound to warrant
caveat venditor
the vendor is liable to the vendee for any hidden faults or defects in the thing sold even though he was not aware thereof
acceptance
assent to become the owner of the specific good, when delivery of them is offered to the buyer
express acceptance
takes place when the buyer, after the delivery of goods, intimates to the seller, verbally or in writing that he has accepted them
goods
includes all chattels personal but not things in action or money of legal tender in the philippines, includes growing fruits and crops
