Saint Louis University

SCHOOL OF ACCOUNTANCY MANAGEMENT COMPUTING AND INFORMATION STUDIES

Baguio City

BUSINESS LAWS AND REGULATIONS 1 – BLR 211

ON-LINE COURSE OVERVIEW

PRELIMS:

MODULE 1. THE LAW ON SALES

Unit 1 – Nature of the Contract of Sale.
This unit aims to help the student identify and define the contract of sale, its characteristics,
elements, kinds, stages and distinction from other contracts.

Unit 2 – Form of the Contract of Sale.

This unit aims to differentiate the form of sale required for its validity, enforceability and
convenience.

Unit 3 – First Essential Requisite: Consent

This unit aims to help the student recall the basic principles of contracts as related to consent.
To help the student understand the meaning of consent and to know the distinction between
absolute and relative incapacity to enter into a contract of sale.

Unit 4 – Second Essential Requisite: Subject Matter

This unit helps the student to recall the basic principle of contract as related to object or subject
matter. To be able to enumerate the requisites for validity of object of a contract of sale.

Unit 5 – Third Essential Requisite: Cause

This unit helps the student to recall the basic principle of contract as related to cause. To
determine the necessity of cause in a contract and to differentiate cause from motive and to let
the student know the principles relating to price such as legal tender and the use of negotiable
instruments to pay the same.

Unit 6 – Effect of loss of the object of the contract of sale.

To help the student understand the meaning of loss, its kinds, and its effects upon a contract of
sale. To let student understand the meaning of Res Perit Domino and its exceptions such as
Pactum Reservati Dominii.

Unit 7 – Obligations of the Vendor.

This unit aims to enumerate the principal obligations of the vendor such as the obligation to
deliver, to transfer ownership, to warrant against eviction and against hidden defects. To let the
student understand the concept of Double Sale and to be able to let the student apply the rules
on double sale on cases that will be provided to them.

Unit 8 – Remedies of the Vendor.

This unit aims to discuss and differentiate the remedies available to a vendor such as the
remedy of specific performance, rescission or cancellation, right of possessory lien, right to
resell, right of stoppage in transitu. This will also help the student understand the distinction of
Recto Law and Maceda Law and to be able to apply this principles of laws in different cases that
will be given to the student.
Unit 8. Obligations of the Vendee.
This unit aims to enumerate and elaborate the obligations of the vendee in a contract of sale
such as the obligation to accept the delivery and to pay the purchase price in the form of money
or its equivalent.

Unit 9. Remedies of the Vendee.

This unit aims to help the student understand the remedy of Suspension of Payment and on
how to apply the same.

Unit 10. Extinguishment of Sale.

This unit aims to help the student recall the basic causes for extinguishment of obligation. This
will also expound the rule on Legal and Conventional Redemption and to apply the same in
various cases that will be given to the student. This will also help the student understand the
rule on Equitable Mortgage and its application.

MIDTERS:
MODULE 2: The Law on Agency

Unit 1. Nature and Form and Kinds of Agency:

To define agency and to understand its different characteristics, elements, purposes, basis and
kinds. This will also identify who are the parties in Contract of Agency. This will also help the
student understand the fundamental principles of agency that the agent should act on behalf of
the principal and within the scope of his authority given by the principal.

Unit 2. Obligations of the Agent:

To define the concept of agent. To differentiate agent from a sub-agent or substitute. To identify
the different kinds of agents in relation to the different kinds of agency. To be able to understand
the essence of agency that the same is representation of the principal and to carry it out within
the scope of the authority granted to him by the principal.

Unit 3. Obligations of the Principal.

To help the student understand the obligation of the principal to comply with the contractual
obligations entered into by the agent in conformity with the fundamental principles of agency
and its effects. This will also help the student understand the effect of acts or contracts entered
into by the agent which did not conform with the fundamental principles of agency but it involves
properties belonging to the principal. This will also help the student understand the effect of
estoppel on the part of the principal.

Unit 4. Modes of Extinguishing Contract of Agency.

To discuss the principles of revocation, withdrawal by the agent, the effect of death, civil
interdiction, dissolution of the firm or corporation, accomplishment of the purpose of the agency
as well as the effect of prescription or expiration of the term of the agency.

MODULE 3. Contract of Loan.

To help the student understand the concept of a contract of loan and its characteristics. This will
also help the student differentiate the kinds of loan such as commodatum and mutuum and to
identify the obligations of the parties in a contract of loan. The student should be able to
understand and apply the new rule on Legal Interest.
MODULE 4. Contract of Deposit.
To define the contract of deposit, determine its characteristics, to differentiate the concept of
voluntary from necessary deposit and judicial deposit or sequestration. To identify the
obligations of the parties in this contract of deposit and to be able to compare the same with the
other kinds of contracts of bailments.

MODULE 5. Contract of Guaranty.

To define contract of guaranty, to determine its characteristics. This will also help the student
differentiate guaranty from contract of suretyship. It will also help the student to understand the
obligations of the parties in a contract of guaranty and to determine the effect thereof and its
causes of extinguishment.

MODULE 6. Pledge, Mortgage, Antichresis.

To help the student understand the basic concept of pledge, mortgage and antichresis by
comparing these three contracts, as to parties, subject matter, and effect. It will also help the
student understand the nature, characteristics, kinds, and obligations of the parties and to be
able to distinguish the same with other contracts of bailments.

FINALS:
MODULE 7. Contract of Partnership.

Unit 1. General Principles of Partnership.

This unit aims to help the student understand the basic concept and principle of partnership
which is the contribution of money, property and industry to a common fund with the intention of
dividing the profits among themselves.

Unit 2. Obligations of the Partners.

This will enumerate and explain the obligations of the partners among the partners themselves,
as to the partnership and as to third persons.

Unit 3. Dissolution and Winding-up.

This unit aims to help the student to understand the concept of extinguishing a contract of
agency and the different stages related to such extinguishment such as dissolution, termination
and the winding-up of the partnership affairs.

Unit 4. Limited Partnership.

This unit helps the student understand the concept of Limited Partnership in relation to General
Partnership. This will also help the student to distinguish Limited Partnership from General
Partnership as to the extent of contribution, liability and the limitation on limited partnership.

Prepared by:

Atty. Alexis R. Agmata