Sales 1480+ Annotations Flashcards
This occurs where a seller sells things as being of a particular kind, the buyer not knowing whether the seller’s representations are true or false, but relying on them as true; or, as otherwise stated, where the purchaser has not seen the article sold and relies on the description given him by the vendor, or has seen the goods but the want of identity is not apparent on inspection.
Sale by description.
What does bulk of goods mean?
It does not mean greater portion of goods, but rather mean the same as “goods” which, as a whole body, must correspond substantially with the sample and description.
What is Earnest money
Earnest money is something of value given by the buyer to the seller to show that the buyer is really in earnest, and to bind the bargain. It is actually a partial payment of the purchase price and is considered as proof of the perfection of the contract.
These are those things which are needed for sustenance,
dwelling, clothing, medical attendance, education and transportation according to the financial capacity of the family of the incapacitated person.
Necessaries
(Minors can buy these)
This is a contract whereby the parties, by
reciprocal concessions, avoid a litigation or put an end to one
already commenced.
It is the amicable settlement of a
controversy.
Compromise
By this action a creditor gratuitously abandons his
right against his creditor. The other terms used by the law are
condonation and remission.
By renunciation
What persons are prohibited from purchasing property and why
(1) guardians;
(2) agents;
(3) executors and administrators;
(4) public officers and employees;
(5) judicial officers, employees and lawyers;
(6) others especially disqualified by law.
They all cannot purchase property of those they are in charge of like guardians cant buy the property of those under him
agents can’t buy property entrusted to them, etc.
The prohibitions seek to prevent frauds on the part of such persons
and minimize temptations to the exertion of undue and improper
influence. The fear that greed might get the better of the sentiments of
loyalty and disinterestedness is the reason underlying Article 1491.
What are the obligations of a vendor?
(1) to transfer the ownership of the determinate thing sold;
(2) to deliver the thing, with its accessions and accessories, if any,
in the condition in which they were upon the perfection of the contract (Art. 1537.);
(3) to warrant against eviction and against hidden defects (Arts.
1495, 1547.);
(4) to take care of the thing, pending delivery, with proper
diligence (see Art. 1163.); and
(5) to pay for the expenses of the deed of sale, unless there is a
stipulation to the contrary. (Art. 1487.)
This 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.
Tradition
This mode of legal delivery happens when the vendee has already
the possession of the thing sold by virtue of another title as when the lessor sells the thing leased to the lessee. Instead of turning over the thing to the vendor so that the latter may, in turn, deliver it, all these are considered done by action of law.
Traditio brevi manu.
The first part of Article 1499 refers to
This mode of delivery takes place by the mere consent or agreement of the contracting parties as when the vendor merely points to the thing sold which shall thereafter be at the control and disposal of the vendee.
It should be noted that delivery “by the mere consent or agreement of the contracting parties” is qualified by the phrase “if the thing sold cannot be transferred to the possession of the vendee at the time of the sale.”
Traditio longa manu.
Tradition can only be made with respect to corporeal things.
In the case of incorporeal things, delivery is effected:
(1) by the execution of a public instrument; or
(2) when that mode of delivery is not applicable, by the placing of
the titles of ownership in the possession of the vendee; or
(3) by allowing the vendee to use his rights as new owner with the
consent of the vendor.
Requisites for acquisition of good title by buyer.
(a) before the title of the seller has been avoided;
(b) in good faith for value; and
(c) without notice of the seller’s defect of title.
Most common forms of documents of title.
(1) Bill of lading. — It is a contract and a receipt for the transport
of goods and their delivery to the person named therein, to order, or to bearer.
It usually involves three persons the carrier, the shipper, and the consignee.
Its acceptance generally constitutes the contract of carriage even
though not signed.
Such instrument may be called a shipping receipt, a forwarder’s
receipt, or receipt for transportation. The designation, however, is
immaterial
(2) Dock warrant. — It is an instrument given by dock owners to
an importer of goods warehoused on the dock as a recognition of the
importer’s title to the said goods, upon production of the bill of lading
(see Bouvier’s Law Dictionary, p. 911.); and
(3) Warehouse receipt. — 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.
Quedan is a warehouse receipt usually for sugar received by a
warehouseman.
Requisites for the subject/object of sale?
- Must be licit
- Must be determinate
- Must have right to transfer ownership upon delivery
