Republic of the Philippines

DON HONORIO VENTURA STATE UNIVERSITY

Villa de Bacolor, Pampanga
Mexico Extension Campus

NAME: Date:
Professor: Section: Sex at Birth: Score:

QUIZ # 1 (FINALS)
Law 1 – Law on Obligations and Contracts
1. A owns a row of apartment which he rents out to tenants. On the 4 April 2015 he left for the United
States without appointing any administrator to manage his apartments. B, niece of A, concerned with
the interest of her uncle, took it upon herself to manage the property. The juridical relation between A
and B is:

a. Quasi-contract
b. Contract
c. Innominate Contract
d. Negotiorum Gestio.

2. A was hired by B as its chief accountant to serve for two years per contract between the parties. But
after serving only for two months, he resigned to join C Corporation, which enticed him to leave B
Corporation by offering more advantageous terms of employment. B sued A for damages for breach
of contract and C also for damages. Decide.

a. C is liable for breach of contract entered into between A and B.

b. C is not liable for damages because it was not a party to the contract of employment between
A and B.
c. C is liable for its act of inducing A to violate his contract with A although it is not a party
thereto.
d. C is liable to pay damages to B even if it were in good faith because A is liable for breach of
contract.

3. A owned a parcel of land which both B and C wanted to buy. A sold the land to C. The sale was not
registered upon the request of A. Later, the same land was sold to B by A. Upon knowledge of the
second sale of the same land to B, C tried but failed to see B to inform him of the prior sale to him
Thereupon C annotated in the Registry of Property his adverse claim to the property. A week later, B
registered the sale in his favor and took possession by building house on the land. Who is the rightful
owner?

a. C is the rightful owner he having the oldest title in good faith.

b. C is the owner because he was the first buyer of the land.
c. B is the owner having obtained title in his name.
d. B is the owner being the first to register the sale and possess.

4. In reformation of instruments it is necessary that the contract is perfectly valid and the instrument
does not express does not express the true intention of the parties. If the doubt is cast upon the
intention of the parties upon the object of the contract and the contract is onerous, the doubt shall be
resolved in favor of greatest reciprocity of interests.

a. Both statements are false.

b. First is false, second is true.
c. First is true, second is false.
d. Both are true.

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

5. A, B and C brought a parcel of land and become co-owners thereof. Subsequently, A sold his share to
X. Neither of B and C redeemed the share sold by A. Later B sold his share to Y. May X redeem the
share sold by B to Y.

a. No, because he was a third person who has no right to redeem a share sold by one of them
to a third person.
b. No, because only the original co-owners have the right to redeem a share sold by one of them
to a third person.
c. Yes, because X has become a co-owner of C.
d. Yes, but C has preference in case both C and X desire to redeem.

6. On January 2, 20215, A and B entered into pacto de retro sale of the former’s land for the price of
P5M. because they were the best of friends to the conditional sale. A can redeem the land within:

a. Ten years from the execution of the contract

b. No period agreed upon, imprescriptible.
c. Four years from the sale.
d. Six years from sale.

7. A leased his house to B with the agreement that the telephone bills shall be shouldered by B. Six
months later, B left the premises leaving behind the unpaid telephone bills. A refuses to pay the
unpaid bills on the ground that B had already substituted him as a customers of the telephone
company. Decide.

a. A is correct to assert no liability to the telephone company due to novation of the contract by
way of substitution debtor.
b. A is not liable because the telephone company failed to exercise due diligence in collecting
from B his unpaid bills.
c. A is liable to the telephone company subsidiarily, only after it fails to collect from B.
d. A is liable for the unpaid bills of B because the contract was between A and the telephone
company and A cannot be substituted by B without the consent of the company.

8. X, a customer, drinks bottle of soft drinks in a restaurant and is hospitalized due to harmful substance
in the beverage. Is the manufacturer liable for damages in the absence of contractual relation
between them?

a. Yes, because there is actually a contract between them, the restaurant being the agent of the
manufacturer.
b. Yes, because its liability arises out of quasi-contract.
c. No, there being no contract from which liability may arise.
d. Yes, because of quasi delict.

9. A sold to B a fake Rolex watch on January 3, 2015. On January 13, 2015, B discovered that the watch
he brough from A was an imitation. The law provides that he can annul the sale as avoidable contract
within four years. Prescription from:

a. January 3, 2015 when the sale was perfected.

b. The time of delivery of the watch to B.
c. The time they first talked about the sale of the watch.
d. January 13, 2015 when the fraud was discovered by B.

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

10. A and B agreed on a contract of pledge. However, they entered into a contract of mortgage in the
honest belief that the mortgage and pledge are the same. The instrument may be reformed.
a. No, the document cannot be reformed since the contract is void.
b. No, it cannot be changed. They are bound by the document which speaks for itself.
c. Yes, it can be reformed because it does not express the true agreement of the parties.
d. No, it cannot be reformed because there was no meeting of minds between the parties and
the remedy is annulment of contract.

11. P called ABC Travel Agency (ABC) to book for a flight to Davao City on April 30, 2021 at 5:00 pm. P
informed ABC that he was scheduled guest speaker at the Accounting Convention on May 1, 2021 at
9:00 a.m. and that he had to be in Davao City in the evening of April 30 in time for the convention. Per
agreement, ABC would deliver the plane ticket at the Manila Domestic Airport at 3:00 p.m. of April 30,
at which P would pay the cost of the plane ticket as has been their usual arrangement since P was a
regular customer of ABC. On April 30, P waited at the airport at the time agreed upon, but no
representative of ABC came to deliver the plane ticket. As a result, P missed his flight. P now sued
ABC for damages, but the latter maintained that it should not be liable because P never made any
demand for the delivery of the plane ticket.

a. ABC is correct; it is not liable because P should have made a demand for the delivery of the
ticket at the time agreed upon.
b. ABC is not correct; it was in default although no demand was made, and thus will be liable for
damages.
c. ABC is not liable for damages; P should have inquired whether there were other available
flights to Davao City at the same time.
d. ABC is not liable for damages since P did not pay for the plane fare in advance.

12. These statements concerning reciprocal obligations are presented to you:

I. Neither party incurs delay if the other does not comply or is not ready to comply in a proper
manner with what is incumbent upon him.
II. From the moment one of the parties fulfills his obligations, delay by the other begins.

In your evaluation of the foregoing statements

a. Both statements are true.

b. Both statements are false
c. Only Statement I is true
d. Only Statement II is true

13. On January 1, 2021, S sold his typewriter to B for P6,000.00. the parties agreed that the delivery of
the typewriter and the payment of the price would be made the following day. Based on the foregoing,
which of the following statements is incorrect?

a. If on the following day, S delivers the typewriter, B will be in delay unless he pays the price.
b. If on the following day, B pays S P6,000.00, S will be in delay unless he delivers the
typewriter.
c. On the following day, neither S nor B will be in delay if the other does not pay the price or
deliver the typewriter, as the case may be.
d. On the following day, S and B will both incur delay if they do not perform their respective
obligations since a date has been set for their compliance.

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

14. Which of the following is not an accessory?

a. The bracelet of a wristwatch.

b. The keys to a house
c. The building constructed on a lot.
d. The Early warning device of a car.

15. These statements concerning the accessions and accessories of a determinate thing are presented to
you:
I. The debtor must deliver the accessions and accessories even if they have not been
mentioned.
II. The debtor must deliver the accessions and accessories only if they have been mentioned.
III. The debtor and the creditor may validly stipulate that the accessions and accessories will be
excluded from the obligation to deliver the thing.

In your evaluation of the foregoing statements:

a. Statement I and II are true.

b. Statement II and III are true.
c. Statement I and III are true.
d. All statements are true.

16. A thing is not considered lost when it:

a. Perishes c. Goes out of commerce.
b. Stolen or robbed. d. Deteriorates

17. D agreed to make built in cabinet for C for P5,000.00. the parties stipulated that the cabinet would be
6 feet and 4 feet wide the finished and painted white. D made the cabinet following the measurements
agreed-upon, but it was not perfectly aligned, some nails were protruding, the surface was rough, and
the paint was unevenly applied. Based on the following, which of the following statements is
incorrect?

a. C may have the cabinet be dismantled by another person and have it reconstructed at D’s
expense.
b. C himself may dismantle and reconstruct the cabinet at D’s expense.
c. C may demand the payment of damages to D.
d. C may compel D to reconstruct the damages.

18. T leased a commercial building owned by O, under the lease contract. “T (lessee) is prohibited from
installing electronically-operated signages without the written consent of the Lessor”. T installed a
neon signage at the front of the building without the written consent of O. Based on the foregoing,
which of the statements is incorrect?

a. O may ask T to remove or take down the neon signage.

b. O may demand the payment of damages from T.
c. O cannot avail himself of either (a) or (b) because of the stipulation prohibiting the installation
of the signage is void for being restraint of trade.
d. O himself may revoke or take down the signage at T’s expense.

19. Demand is not required in order for delay to exist in the following cases, except when:
a. Time was the controlling motive for the establishment of the contract.
b. Demand is useless.
c. The law or the obligation expressly provide that demand is not required.
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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

d. The obligation is silent as to whether or not for the performance of the obligation.

20. These statements concerning delay are presented to you:

I. There is no delay in obligation not to do.
II. As a rule, the debtor will be in default if he does not perform his obligations on due date.

In your evaluation of the foregoing statements:

a. Both statements are true

b. Both statements are false
c. Only Statement I is true
d. Only Statement II is false.

21. The delay on the part of debtor in an obligation to give is known as:

a. Mora solvendi ex re c. Mora accipiendi.

b. Mora solvendi ex persona d. Compensatio morae

22. D is obliged to deliver a specific cell phone to C at the latter’s residence on March 1, 2021. On March
1, 2021, C demanded and waited at his residence for the delivery of the cell phone, but D did not
deliver. On March 2, 2021, the cell phone was destroyed in a fire that razed the store of D.
Consequently, one is incorrect.

a. D will be liable for damages to C.

b. D was already in default at the time of the loss of the cell phone.
c. D’s obligation is extinguished.
d. No demand was required to be made by C upon D for the latter to be in default because a
date was provided for the performance of D’s obligation.

23. They refer to the products of juridical relation such as rents of buildings, the rice of leases of lands
and other property, and the amount of perpetual or life annuities or other similar income.

a. Civil fruits c. Legal fruits

b. Natural fruits d. Industrial fruits.

24. The obligation to deliver arises:

a. Upon perfection if the obligation is without a suspensive term or suspensive condition.

b. Upon the happening of the condition if the obligation is subject to a suspensive condition.
c. Upon the arrival of the term if the obligation is subject to a suspensive period.
d. All of the above.

Items 25 to 29 are based on the following data:

On August 1, 2021, D promised to give his agricultural lot to C if C passes the Bar Examination. C took
the examination on September 20, 2021. The result of the examination was released on April 18, 2022 and C
passed it.

25. The obligation of D to give his agricultural lot to C arose:

a. On August 1, 2021
b. On September 20, 2021
c. On April 18, 2022
d. At any time after April 18, 2022 when D has taken his oath as new lawyer.
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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

26. C shall be entitled to the crops (fruits) that had grown on the rice field starting from:

a. On August 1, 2021
b. On September 20, 2021
c. On April 18, 2022
d. At any time after April 18, 2022 when D has taken his oath as new lawyer.

27. The right of C to demand the delivery of the agricultural lot and the crops from the time obligation to
deliver the lot arose is known as:

a. Real Right
b. Personal Right
c. Civil Right
d. Industrial Right

28. Assume that D actually delivered the agricultural lot and the crops to C on May 1, 2022. On such date,
what right was acquired by C over the agricultural lot and the crops?

a. Real right
b. Personal right
c. Civil Right
d. Industrial Right

29. Assume that D actually delivered the agricultural lot and the crops on May 1, 2021 to X who bought in
good faith. Which of the following statements is incorrect?

a. C can go after D for damages.

b. X acquired ownership of the agricultural lots and crops.
c. C shall have a right of action for damages against X.
d. No real right is acquired by C.

30. D is obliged to deliver a Nokia cell phone with serial number AV2345 to C on March 31, 2021. D did
not deliver the said cell phone on due date despite the demand made by C. Based on the foregoing,
which of the following statements is incorrect?

a. D shall be responsible for any fortuitous event until he has effected the delivery of the cell
phone to C.
b. C may compel D to deliver the Nokia cell phone with serial number AV2345.
c. C may demand the payment of damages from D.
d. C may obtain another Nokia cell phone from other suppliers at D’s expenses.

31. D is obliged to deliver 10 sacks of rice to C on March 1, 2021. D failed to deliver 10 sacks of rice to C
on due date. Based on the foregoing, which statement is incorrect?

a. C may demand that D obtain 10 sacks of rice and deliver them to him.
b. C may get 10 sacks of rice from another person at D’s expense.
c. C may demand the payment if damaged from D.
d. D may just insist to pay the monetary value of 10 sacks of rice.

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

32. These statements are presented to you:

I. Accessions include everything which is produced by a thing or which is incorporated or

attached thereto, either naturally or artificially.
II. Accessories are those that are attached to or included in another thing or more importance to
the add to the utility, ornamentation, preservation, or completion of the latter.

a. Both statements are true.

b. Both statements are false.
c. Only Statement I is true.
d. Only Statement II is false.

33. These statements concerning the loss are presented to you:

I. A thing may be considered lost although it still exists physically.
II. For loss to extinguish an obligation, it must occur after the constitution of the obligation.

In your evaluation of the foregoing statements:

a. Both statements are true.

b. Both statements are false.
c. Only statement I is true,
d. Only statement II is false.

34. The loss of determinate thing through a fortuitous event will not extinguish an obligation, except:

a. When the debtor has incurred in delay.

b. When the nature of the obligation requires the assumption of risks.
c. When the law provides that there shall be liability even in case of loss through a fortuitous
event.
d. With the debt proceeds from a criminal offense and the creditor is in mora accipiendi.

35. A term that refers not only to the harm done but also the sum of money that may be recovered.

a. Damages.
b. Injury.
c. Tortuous Act
d. Legal Wrong

36. They refer to the pecuniary loss (such as loss in business or profession) that may be recovered and
include the value of the loss suffered and profits not realized.

a. Actual Damages
b. Nominal Damages
c. Liquidated damages
d. Moderate Damages

37. They include physical suffering, mental anguish, fright, serious anxiety, besmirched reputation,
wounded feelings, moral shock, social humiliation, and similar injury.

a. Compensatory damages
b. Corrective damages
c. Exemplary damages
d. Moral damages

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

38. D is obliged to deliver 20 sacks of rice to C. D intended to get 20 sacks of rice for delivery to C from
his stock of 300 sacks of rice stored in his warehouse. Before due date, D’s warehouse was razed in
a fire together with all the rice store therein. The warehouse and the things stored therein are covered
by insurance.

a. D’s obligation to give 20 sacks of rice to C is extinguished.

b. D’s obligation to give 20 sacks of rice to C is not extinguished because he can get 20 sacks of
rice from other source for delivery to C.
c. C’s resource is to go after the insurance company for the value of 20 sacks of rice.
d. D and C will share equally in the amount of the loss which is equivalent to the value of 20
sacks of rice.

39. When there is solidary liability?

a. When the obligation expressly states that the liability shall be solidary.
b. When the law requires solidary.
c. When the nature of the obligation requires solidary
d. All of the above.

40. The following rules are applicable to a joint indivisible obligation except:

a. The creditors must make a demand against all the debtors for the demand to be effective.
b. A renunciation by a joint creditor of his share in the obligations extinguishes the whole
obligation.
c. If one of the debtors is insolvent, the others shall not be liable for his share.
d. A joint debtor who is not ready to comply with his part of the obligation shall be liable for his
share of the debt and the entire amount of damages because of the non-compliance.

41. In which of the following cases does the law provide for solidary liability?

a. The liability of two or more persons who have appointed an agent for a common transaction
or undertaking.
b. The liability of two or more payees when they received payment which was not yet due.
c. The liability of two or more persons for a quasi-delict.
d. All of the above.

42. A, B, and C are jointly indebted to X in the amount of P30,000.00. Before the due date. A becomes
insolvent. On due date, X can collect:

a. P15,000.00 from B, and P15,000.00 from C.

b. P10,000.00 from B, and P10,000.00 from C.
c. P20,000.00 from B, or P20,000.00 from C.
d. P30,000.00 from B, or P30,000.00 from C.

43. A, B and C are jointly indebted to C in the amount of P12,000.00. C was a minor at the time the
obligation was constated X may collect:

a. P6,000.00 from A, and P6,000 from B

b. P12,000.000 from A, or P12,000 from B
c. P4,000.00 from A, and P4,000 from B.
d. P8,000.00 from A, or P8,000.00 from B

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 Republic of the Philippines
DON HONORIO VENTURA STATE UNIVERSITY
Villa de Bacolor, Pampanga
Mexico Extension Campus

44. The juridical necessity to give, to do, or not to do refers to:

a. Social Obligation
b. Civil Obligation
c. Moral Obligation
d. Natural Obligation

45. Which of the following is not an element of a civil obligation?

a. Active subject
b. Passive Subject
c. Prestation
d. Sufficient Cause

-END-

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