AS A GENERAL RULE Article 1356. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present. However, when the law requires that a contract be in some form in order that it may be valid or enforceable, or that a contract be proved in a certain way, that requirement is absolute and indispensable. In such cases, the right of the parties stated in the following article cannot be exercised. Article 1483. Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be inferred from the conduct of the parties. EXCEPTION: When Statute of Frauds apply (Arts. 1403, par.2 and 1874)FOO tee kL ratifie saad CR eR Rc CUR RNC Rs eee cm ora Lig SAAN AMO ICT CMR SCR NCTA Cog OM geri CM PR RST RIE a IR a A am SS ie SAAR Te Rel ce IAL A SoM RS Neo =o RoR yA Nes Ae evidence, therefore, of the agreement cannot be réceived withouf the BCL Yel octet Uae ROU TS An agreement that by ifs terms is not to be performed within a year from the eek aera pared RRS Kt WAAR ee Reac RaR Ne Le RE Psd el ARIA cD TR AT a RC Me AR EMM olerrCNe SRY MUR MCC RR TULARC RTO A Roleiare ase els M it Rend ecaRela neuter Mutou Maat rece Nacsa heck Matted mia erage aN eee eR a ROR SMM NMR Rake gel Mcrae mele biel Re MAS coe ee ROR Kero a ol AS ca sufficient memorandut Oe cu emiCe eae home ied eck aru e ae Article 1874. When a sale of a piece of land or any interest therein is through an agent, the authority of the latter shall be in writing; otherwise, the sale shall be void. In summary: Contracts of sale that must be in writing, otherwise they cannot be enforced in court litigation: (a) sale of property not to be performed within a year from the date Settle Kole a SLU RMN S iol Rel hia e CoM NON aon (lone Roms enell color aNRelmed Ue Malog Sale aoe ke) OR eens ROR USM ran ere Sat Tec ie)FECT OF IMPROPER OR INVALID FORM: + rights of the parties cannot be exercised in the contract (Art. 1356) * the contract of sale can however remain valid and binding as between the parties (i.e. oral sale of land or any real property) but not as against third persons who have no notice until the sale is registered in the Register of Deeds. LES) dot RY NES) BRE Reena) Bee en ee eee eerie iD) + Sales of personally payable by installments (1484) — RECTO LAW (ACT NO. 4122) Saeed oe ole SAW uRon ARE So) eee una) + Realty instalment Buyers Act - MACEDA LAW (RA NO. 6552) + The Subdivision and Condominium Buyers’ Protective Decree (PD 957)T AUCTION (1476) OEY MR Reet Rene Re Ske aoa Rec Reel Ret eR Rm eT oc! esr ok OMA racaal not been given that a sale by auction is subject to 0 nel Ree all not be lawtul for the seller to bid himself or fo emok fetes Peak ral KeR terol Yuta Cacia eyeta eae i Does Ro ee aus ne fom ee ahaa! a So aero ts aa eae Ra feast keen ea Said) ELEMENTS: . such right was reserved . notice was given that the sale is subject to a right to bid on behalf of the seller tight to bid by the seller is not prohibited by law or stipulationBY SAMPLE AND/OR DESCRIPTION (ART. 1481) re Rg corer ol RCo NAR el na eM Mol cet cree Meat cM aya ae Meeletto CeereKeMmeoveeh MT e em eule meneld eke ea Re eas K Coca RUC m el CR menue MATa Remon Mo ace mele} rrespond with the description. The buyer shall have a reasonable opportunity of comparing the bulk Pre Re ot a eoamom one a) ; PERSONAL PROPERTY PAYABLE BY ISTALMENTS (ART. 1484) - RECTO LAW (ACT NO. 4122) Art, 1484. In a contract of sale of personal property the price of which is Payable in instalments, the vendor may exercise any of the following edi ecm a emE ReMMe OO RRC ie CRC RTS Kec Rea R Nae ol aol CoRR aoe ea Nee A RnR] SOR AS Roe Rol Aol I Re eRe oA RecN RRS Tee Mee ea er seake ae eager mL CANA ens tel out R eS Wel Kean Renae ae) Sore)NA ol aa] Se) NRD AN ULL mela ite) MOM UIhg Cau 1485) Art, 1485. The preceding article shall be applied to contracts purporting to be leases of personal property with option to buy, when the lessor has deprived the lessee of the possession or enjoyment of the thing. NOTE: the purpose of Art. 1485 is to prevent an indirect violation of Art. 1484. Meaning of the clause “when the lessor has deprived the lessee of the possession or enjoyment of the thing” + This means that for failure to pay, the “lessor” is apparently exercising Sie Reno ReN al Lele k Tete Mtoe uh tos Ra ly SENN eer Coler aN aarete Nahe 7-alt Malet) ae kat “lessor's" extrajudicial demand, such surrender not really being Sela cine + NOTE: Even if the word “lease” is employed, when a sale on installment is evidently intended, it must be construed as a sale. EXPROPRIATION (1488) Art. 1488. The expropriation of property for public use is governed by special laws. (1456)ropriation is involuntary in nature, that is, the owner may compelled to surrender the property after all the essential requisites have been complied with. + Therefore, generally expropriation does not result in a sale. ee emelale} tion to this rule. + In the case of Gutierrez v. Court of Tax Appeal (L-9738, May 31, 1957), the Supreme Court held that the acquisition by the government of private properties thru the exercise of inent domain, said properties being justly compensated, is a sale or exchange within the Lae) om maxosomiond laws and its dérived therefrom are fax- able as capital gain; and this is so although the acquisition was against the will of the owner of the property and there was no meeting Coo aT Manline NoL-1N\ (BRM If the property owner voluntarily sells the property to the government, this would be a sale, and not an example of expropriation. OWER OF EMINENT DOMAIN Article Ill, Section 9 of the Constitution states that private property shall not be taken for public use without just compensation.Eminent domain refers to the right given to the state, whereas expropriation usually refers to the process. UST COMPENSATION’ DEFINED The “just compensation” is the market value (the price which the property will Ce RNA eC Ro eg RR eal oR Cee ae Ra a ssity of having it) PLUS 1 Poor Ne alelRerelaereL oa Rena PD 957) LUC ketene ait pe coer Ne el ean ee METZ Deca ata Se ee eat ee ana? ewe eae eee haere ce ac eid ceca eas ect mace teens ie reentrant os OM OR ee CRT manipulations perpetrated by unscrupulous subdi er ttle iti oaer Promotion of peace and order anc CaenCONIC eU Ru ete a RL elite carer ROR ray Ce ese niloukecniiccl mene l oar cna Housing and Land Use Regulatory Board (HLURB). Selling a subdivision or Creep CUSc Muse Auta kere mcr Cerne l tee Mohn elienie ses SC Rea eee oN gel Aol Cm Naot Rone R od Emo Na) Rake tC RT aero ae rc Real Relies oe Cee neue Ven Re URN CURR Cle rem kr ck Relea a nea an aero eek eccuCo Ma AUN ola olora m8 reimbursed with the total amount paid including amortization interest, with interest thereon at the legal rate. See CURE: eee Len sme oR Cuca ree Na center) Rae Nea an ae elas Ce Re mene Ne eee Cat el aoe a Rata erat Peels Raceline ae alsa * Alteration of Plans - Any alteration in the approved pian relating to roads, ‘open spaces, facilities and other forms of development require prior eee RMU ora Rel) RR Son OM Peel oeBerea Rolo ge eC eR aR CTs recourse to the buyer for as long as title has not yet passed fo the eae AIR Ne maeta Coat ako aged gee Ry has not yet been transferred, the realty tax shall be for the account of the buyer effective the year following said taking of possession. Reena So com RM Rene RR Aare Teas ma eet MM cla CoN ro ge SS OST ene) Re on RM AM rea Ce MC eng ee ed eoletinen