OBLICON QUIZ 6 REVIEWER

FORM OF CONTRACTS
 All Contracts are obligatory provided all essential requisites for validity are present.
 But when law requires it be in a form to be enforceable or valid, the requirement is absolute
and indispensable. The form (oral or written) is irrelevant to the binding effect, except
when:
o Law requires it in some particular form (written) to be valid and enforceable
(solemn)
o Law requires to be proved by some writing (memorandum) of terms (Statute of
Frauds). These require a writing embodying the terms for enforceability by action
in court.
 Form is essential when:
o Law requires contract be in some form in order to be valid.
o Law requires contract be proven in a certain way.
o Law requires a special form of convenience.
 Refers to manner in which a contract is executed or manifested.
 Form of Validity – refer to pages 91 – 92
 Form for Enforceability – following cases must be in writing to be enforceable
o An agreement that by its terms is not to be performed within a year from making.
o A special promise to answer for debt, default, or miscarriage of another.
o An agreement made in consideration of marriage, other than a mutual promise to
marry.
o An agreement for the sale of goods, chattels or things in action at a price not less
than P500.
o An agreement for the leasing for a longer period than one year, or for the sale of
real property or for an interest therein.
o A representation as to the credit of a third person.
 Form for Convenience – the following must appear in a public document.
o Acts and contracts which object is the creation, transmission, modification or
extinguishment of real rights over immovable property; sales of real property or of
an interest therein.
o The cession, repudiation or renunciation of hereditary rights or of those of the
conjugal partnership of gains.
 o The power to administer property, or any other power which object is an act
appearing or which should appear in a public document, or should prejudice a third
person.
o The cession of actions or rights proceeding from an act appearing in a public
document.
 The following must appear in writing even in a private document:
o All contracts where amount involved exceeds P500 except in sale of goods, chattels
or things in action, governed by the SOF.
 Public Document or Public Instrument – one which is acknowledged before
a notary public or any official authorized to administer oath, by the person
who executed the same. Once notarized, it is converted to a public
document.
 It is admissible in evidence in court without further proof of its
authenticity and due execution.
 It is entitled to full faith