1. D orally borrowed P1,000 cash from C evidenced with conventional interest of 1% per month.

In order to secure
the said loan, P orally pledged and delivered the cellphone of D to C. Aside from that, G orally guaranteed the
contract of loan of D to C. Among the agreements entered into, which is valid?
a. Contract of loan and contract of guaranty
b. Contract of loan and contract of pledge
c. Contract of guaranty and agreement to pay interest
d. Contract of pledge and contract of guaranty

2. A, B and C wrote a promissory note which states “I promise to pay P60,000 to D and E.” At the maturity date of
the note, E indorsed back the promissory note to C. Afterwards, B become insolvent. How much may C collect
from A?
a. P10,000
b. P20,000
c. P15,000
d. P30,000

3. D borrowed P10,000 cash from C. at the maturity date of the loan, C accepted D’s laptop as payment for the loan.
The said laptop has historical cost of P9,000 with accumulated depreciation of P2,000 while its fair market value
is P8,000. In the absence of contrary agreement, how much obligation of D is extinguishment by this special
mode of payment?
a. P7,000
b. P8,000
c. P9,000
d. P10,000

4. P orally authorized A to sell his land at a selling price of P10,000. A orally sold the said land to B, a minor, at a
price of P95,000. The said buyer gave P5,000 earnest money to A. what is the status of the contract of sale of
land?
a. Rescissible
b. Voidable
c. Unenforceable
d. Void

5. D borrowed P3,000 cash from C evidenced by a promissory note. In order to secure the said loan, D pledged and
delivered his specific watch to C. At the maturity date of the loan, D defaulted in the payment of the loan. This
prompted C to sell in public auction the pledged watch which resulted to net proceeds of P2,500. Which contract
is extinguished?
a. Contract of loan
b. Contract of pledge
c. Both a and b
d. Neither a nor b

6. On January 1, 2021, S sold and delivered a 100-square meter lot to B a selling price of P1,000 per square meter.
On July 1, 2021, B discovered that the actual area is only 91 square meters. What legal remedy is available to B?
a. Action quanti minoris or proportionate reduction of price
b. Action for cancellation of sale
c. Either a or b
d. Neither a nor b

7. S sold a specific car to B at an installment price of P1,000,000 payable in ten equal annual installments starting on
December 31, 2021. In order to secure the payment of the price, B and S entered into a contract of chattel
 mortgage over the said car. After religiously paying four annual installments, B defaulted on the annual
installment due on December 31, 2025. What legal remedy is available to S?
a. File an action for exact fulfillment
b. Cancel the contract of sale
c. Foreclose the chattel mortgage constituted on the car
d. Any of the above

8. Dao Ming Si is the employee driver of Shan Chai. While transporting his boss, Dao accidentally bumped RM, a
pedestrian crossing the road. What is the source of civil obligation of Shan Cai to RM?
a. Contract
b. Culpa aquiliana
c. Solution indebiti
d. Negotriorum gestio

9. D, a resident of Lipa City, has an obligation to deliver a car with plate number of ABC-123 to C, a resident of
Batangas City. At the time of constitution of the obligation, the said car is located in Calaca City while at the time
of date of delivery, the said car is located in Tanauan City. Where shall the said car be delivered?
a. Lipa City
b. Batangas City
c. Calca City
d. Tanauan City

10. In which type of accessory contract is right of redemption available to the mortgagor in case of extrajudicial
foreclosure?
a. Contract of pledge
b. Contract of real estate mortgage
c. Contract of chattel mortgage
d. All of the above

11. What is the prescriptive period available to the buyer to file a civil action regarding sale of animal with
redhibitory defect?
a. 3 days from the date of delivery
b. 40 days from the date of delivery
c. 6 months from the date of delivery
d. 1 year from the date of delivery

12. A, B, C and D wrote promissory note which states “We promise to pay P!2,000 to E, F or G, solidary creditors.” A
voluntarily paid P12,000 to E without the knowledge of B, C and D. how much may A ask for reimbursement
from B?
a. P1,000
b. P2,000
c. P3,000
d. P4,000

13. D borrowed P100,000 cash from C. Despite repeated demands from C on or after maturity date of the loan, D
refused to pay the obligation. This prompted C to file a civil action to collect a sum of money against D before the
trial court which ruled in favor to C. Upon the motion of C, the trial court issued a writ of attachment to execute
the judgment debt. The sheriff attached the specific laptop to D. This prompted D to sell the said laptop to B.
Aside from that, D sold his specific cellphone to A. Which contract of sale is rescissible?
a. Contract of sale of specific cellphone to A
b. Contract of sale of specific laptop to B
c. Both a and b
 d. Neiter a nor b

14. Which of the following obligations is immediately demandable?

a. Obligation in diem
b. Obligation in ex die
c. Obligation when debtor’s means permits him to do so
d. Obligation with a suspensive condition

15. Which of the following is not necessary for the perfection of the contract of sale?
a. Meeting of minds between the buyer and seller
b. Delivery of the subject matter
c. Determinate thing
d. Price certain in money or its equivalent

16. Which type of obligation may be compelled by civil action for specific performance in case the debtor defaulted
in the performance of obligation?
a. Real obligation
b. Personal obligation
c. Both a and b
d. Neither a nor b

17. Which of the following documents may become the subject matter of reformation of instrument?
a. Notarial last will and testament
b. Holographic last will and testament
c. Donation inter vivos wherein a simple condition is imposed
d. When the real agreement is void

18. Which of the following executory contracts is covered by statue of fraud?

a. A contract of lease of personal property for a period of two years with P500 monthly rental
b. Contract for a piece of work of a furniture at a contract price of P500
c. Contract of subscription of shares stocks at subscription price of P500
d. Contract of guaranty securing a loan with a principal amount of P500

19. Which of the following instances will not create a rebuttable presumption that sale with a right to repurchase is an
equitable mortgage?
a. When the price of a sale with right to repurchase is inadequate
b. When the vendor remains in possession as lessee or otherwise
c. When the purchaser retains for himself a part of the purchase price
d. When the vendor binds himself to pay taxes on the thing sold

20. How shall the incidental circumstances of a contract of sale be interpreted?

a. In favor of least transmission of rights
b. In favor of greatest reciprocity on interests
c. In favor of least reciprocity on interests
d. In favor of greatest transmission of rights

21. What is the legal remedy available to the injured party in an absolutely simulated contract?
a. Action for reformation of instrument
b. Action for annulment of contract
c. Action for rescission of contract
 d. Action for declaration of nullity of contract

22. D borrowed P100,000 cash from C. in order to secure the loan, G executed a written contract of guaranty. Aside
from that, M mortgaged his specific land to C. At the maturity date of the loan, T paid P120,000 to C. which of
the following statements is correct?
a. T may foreclose the mortgage on M’s land
b. T may go after G in case D refuses to reimburse T
c. T may collect P100,000 from D
d. T may ask for reimbursement from D in the amount of P120,000

23. S sold a double dead meat to B. Afterwards, B cooked the meat and sold the dish to C who was hospitalized
because of the dead meat. What principle of contract will be infringed if C will file an action for damages directly
against S?
a. Mutuality of contract
b. Relativity of contract
c. Autonomy of contract
d. Legality of contract

24. S sold a mass of black pepper stored in his specific warehouse at a price of P!00,000 to B. S gave the key of such
warehouse to B. What type of constructive delivery of the mass of black pepper is done by S?
a. Tradition clavium
b. Tradition brevi manu
c. Tradition constitutum possessorium
d. Tradition longa manu

25. What is the prescriptive period of filing civil action based on solutio indebiti?
a. Four years
b. Five years
c. Six years
d. Ten years

26. Which of the following obligations may become the subject matter of legal compensation?
a. Obligation of a depositary in a contract of deposit
b. Obligation of a bailee in a contract of commodatum
c. Obligation of a person arising from crime
d. Obligation of a borrower in a contract of mutuum

27. In which type of novation involving the change of a debtor may the insolvency of a new debtor result to liability
on the part of original debtor?
a. Expromission
b. Delegacion
c. Both a and b
d. Neither a nor b

28. It refers to the right of an unpaid creditor to ask for the cancellation of contracts entered by the debtor to defraud
the creditor.
a. Accion directa
b. Accion pauliana
c. Accion subrogatoria
d. Accion reindivicatoria

29. In which type of waiver of warranty against eviction is the seller still liable in case of eviction?
 a. Waiver consciente
b. Waiver intentionada
c. Waiver whereby the buyer acted in bad faith
d. Waiver whereby the seller acted in good faith

30. In case of double sale of personal property, who among the buyers shall be preferred?
a. Buyer with the oldest title
b. First registrant of the deed of sale in good faith
c. First payor in good faith
d. First possessor in good faith

31. Which mode of extinguishment of obligation is essentially gratuitous and requires acceptable by the debtor?
a. Novation
b. Merger
c. Remission
d. Compensation

32. What law shall govern dacion en pago as a special mode of payment?
a. Financial Rehabilitation and Insolvency Act of 2010
b. Law on Sales
c. Law on Obligation
d. Law on Pledge

33. In which type of accessory contract is the secured creditor not allowed to recover deficiency from the foreclosure
sale of the collateral?
a. Contract of pledge
b. Contract of chattel mortgage
c. Contract of real estate mortgage
d. None of the above

34. Which of the following is allowed to become the subject matter of contract of chattel mortgage?
a. Condominium unit
b. Shares of stocks of real estate company
c. Agricultural land
d. House and lot

35. It is an obligation which has an accessory undertaking to assume greater liability incase of breach.
a. Obligation with a condition
b. Obligation with a period
c. Obligation with a penal clause
d. Obligation with an accessory contract

36. Which of the following contracts must be in a public instrument to be valid and enforceable?
a. Contract of sale of land by an agent in the name of principal
b. Contract of lease of real property for a period longer than one year
c. Contract of antichresis over an agricultural land
d. Contract of donation of house and lot

37. Which type of accessory contract is not allowed to secure future obligations?
 a. Contract of pledge
b. Contract of chattel mortgage
c. Contract of real estate mortgage
d. None of the above

38. What is the operative act that transfers ownership from the seller to the buyer in a contract of sale?
a. Meeting of minds
b. Full payment of price
c. Delivery
d. Registration of certificate of tile

39. Which of the following is allowed to become the subject matter of a contract of sale?
a. Patrimonial property of the state
b. Future inheritance
c. Vain hope
d. National park

40. Which of the following is not an implied warranty of assignor in contract of assignment of credit?
a. Existence of credit
b. Solvency of debtor
c. Legality of debt
d. None of the above

41. Which of the following is not a valid defense in a solidary obligation?

a. Prescription
b. Illegality of consideration
c. Incapacity of co-solidary debtor
d. Insolvency of co-solidary debtor

42. S obliged himself to deliver a specific laptop to B while B obliged himself to deliver a specific cellphone worth
P10,000 and P10,000 cash to S. what contract is entered by S and B?
a. Contract of sale
b. Contract for a piece of work
c. Contract of barter
d. Contract lease

43. T surreptitiously stole the brand-new cellphone of O. Afterwards, T sold the said stolen cellphone to MCStore, an
authorized dealer of brand new phones. B purchased the said cellphone from MSCtore at a price of P50,000.
Which of the following statements is correct?
a. The contract of sale of cellphone from MCStore to B is void.
b. O may legally recover the cellphone from B with obligation to reimburse B in the amount of P50,000.
c. B obtained a good title over the cellphone.
d. O may legally recover the cellphone from B without any obligation to reimburse B.

44. Which of the following contracts is generally perfected by mere consent?

a. Contract of sale of building
b. Contract of donation of car worth P100,000s
c. Contract of antichresis involving an agricultural land
d. Contract of pledge of laptop
45. Which of the following obligations may be legally compensated?
a. Void obligation
b. Unenforceable obligation
c. Voidable obligation
d. None of the above

46. Which of the following contracts may be validly assailed by a third person?
a. Rescissible contract
b. Voidable contract
c. Unenforceable contract
d. None of the above

47. Which of the following obligations may not be secured by accessory contracts?
a. Void obligation
b. Natural obligation
c. Unenforceable obligation
d. All of the above

48. M, a minor, orally sold a specific cellphone to B, an insane during the lucid interval of the latter at a price of
P10,000. Arras money amounting P500 was paid by B to M at the date of perfection of contract of sale. What is
the legal remedy available to the proper party?
a. Action for reformation of instrument
b. Action for annulment of contract
c. Action for declaration of nullity of contract
d. None of the above

49. What if the ground provided by law when the unpaid seller exercises right of stoppage in transitu?
a. When the goods sold are perishable
b. When the contract of sale has no credit term
c. When the buyer becomes insolvent
d. When the credit terms has expired

50. Which of the following instances will note make an obligation with a suspensive period due and demandable?
a. When the debtor attempts to abscond
b. When through a fortuitous event the guaranties or securities after their establishment were impaired,
unless the debtor immediately gives new one equally satisfactory.
c. When the debtor does not furnish to the creditor the guaranties or securities which he has promised.
d. When the debtor violates any undertaking, in consideration of which the creditor agreed to the period.

51. Under Maceda Law, which right is available to buyer of residential real properties in installments when he has
paid total installments less than two years?
a. Right to grace period
b. Right to cash surrender value
c. Both a and b
d. Neither a nor b

52. The service compensated is the cause in which type of contract?

a. Onerous contract
b. Gratuitous contract
 c. Remuneratory contract
d. Commutative contact

53. It refers to the juridical tie that binds the parties to the obligation.
a. Obligor
b. Oblige
c. Presentation
d. Vinculum
54. What if the nature of contract of pledge or mortgage?
a. It is an indivisible contract if the contract of loan is solidary.
b. It is a divisible contract if the contract of loan is joint.
c. It is a divisible contract whether the contract of loan is joint or solidary.
d. It is an indivisible contract whether the contract of loan is joint or solidary.

55. In a contract of mortgage, who is entitled to excess arising from the foreclosure sale of collateral?
a. Always mortgagor
b. Always mortgagee
c. Generally, mortgagor unless expressly grated to mortgagee.
d. Generally, mortgagee unless expressly grated to mortgagor.

56. In a facultative obligation, who has the right of choice as to the prestation?
a. Always obligor
b. Always obligee
c. Generally, obligor unless granted to obligee
d. Generally, obligee unless granted to obligor

57. In Pacto De Retro Sale of real property, what id the default period for the exercise of right of repurchase?
a. Four years
b. Ten years
c. Thirty days
d. Six months

58. In case the purchased animal dies of disease, which of the following is not an essential requisite for the seller to
be liable?
a. The animal dies within 3 days from the date of purchase.
b. The disease is redhibitory.
c. The disease exists at the time of sale.
d. The disease is the cause of death of animal.

59. In case of breach of warranty against hidden defect, it refers to the legal remedy available to the buyer whereby he
is asking for proportionate reduction of price.
a. Accion redhibitoria
b. Accion pauliana
c. Accion subrogatoria
d. Accion quanti minoris

60. It refers to a type of damages awarded by the court in order to set an illustration for public good.
a. Moral damages
b. Nominal damages
c. Exemplary damages
d. Temperate damages
In which type of obligation are the
co-debtors considered indispensable
parties
for the suit to prosper?
61. In which type of obligation are the co-debtors considered indispensable parties for the suit to prosper?
a. Joint divisible obligation
b. Joint indivisible obligation
c. Solidary divisible obligation
d. Solidary indivisible obligation

62. In which type of delay is consignation the proper remedy to the injured party?
a. Mora solvendi
b. Mora accipiendi
c. Mora obligori
d. Compensatio morae

63. Who has the right of application of payment?

a. Always obligor
b. Always oblige
c. Generally, obligor in the absence of contrary agreement
d. Generally, obligee in the absence of contrary agreement

64. In which source of obligation is consent not necessary?

a. Quasi-delict
b. Quasi-contract
c. Neither a nor
d. Both a and b

65. S normally or publicly manufactures or produces an item based on the special request or customized designed
provided by its client. What contract is normally entered into by S?
a. Contract for a piece of work
b. Contract to sell
c. Contract of sale
d. Contract of barter

66. S sold a specific right to B at a price of P10,000. B paid P2,000 arras at the time of perfection of contract. At the
maturity date of the payment of the price, how much must B pay to S?
a. P10,000
b. P8,000
c. P2,000
d. P12,000
 67. Who shall be entitled to the fruits of the personal property covered by the contract of pledge?
a. Pledgor
b. Pledgee
c. Pledgor and pledgee equally
d. State

68. What theory is being followed by the New Civil Code of the Philippines in determining the exact moment of
perfection of contract when the acceptance is made through telegram?
a. Reception theory
b. Manifestation theory
c. Cognitive theory
d. Expedition theory

69. Which of the following is a proper ground for reformation of instrument?

a. When a mutual mistake of the parties results to the failure of the instrument to disclose their real
agreement.
b. When the consent of one of the parties in the contract is vitiated by fraud, undue influence, mistake,
intimidation or violence.
c. If mistake, fraud, inequitable conduct, or accident has prevented a meeting of the minds of the parties.
d. When the consent of the contracting parties is absolutely simulated.

Which of the following innominate

contracts means "Du ut facias"?
a. I give that you may give.
b. I give that you may do.
c. I do that you may give.
d. I do that you may do.
70. Which of the following innominate contracts means "Du ut facias"?
a. I give that you may give.
b. I give that you may do.
c. I do that you may give.
d. I do that you may do.

71. W and H are legally married under property regime of absolute community. W orally sold his specific laptop to H
at a price of P500 when its book value is still P800 after H pointed a gun to W. Delivery and payment will happen
after two years. What is the status of contract of sale of the specific laptop between W and H?
 a. Unenforceable
b. Void
c. Voidable
d. Rescissible

72. M issued a promissory note payable to P in the amount of P10,000. P generally indorsed and delivered the note to
A. A assigned and delivered the note to M. What mode of extinguishing obligation is present in this case?
a. Compensation
b. Novation
c. Remission
d. Merger

Which of the following statements

concerning the vendor’s liability for
hidden
defect is correct?
a. The vendor is liable only if the
reason of the loss of the thing with
hidden
defect is the hidden defect.
b. The vendor is liable only if he
was aware of the hidden defect.
c. The vendor is not liable for the
hidden defect if the loss is due to
fortuitous event or fault of the
vendee.
d. The vendor is liable even he was
not aware of the hidden defect.
73. Which of the following statements concerning the vendor’s liability for hidden defect is correct?
a. The vendor is liable only if the reason of the loss of the thing with hidden defect is the hidden defect.
b. The vendor is liable only if he was aware of the hidden defect.
c. The vendor is not liable for the hidden defect if the loss is due to fortuitous event or fault of the vendee.
d. The vendor is liable even he was not aware of the hidden defect.

74. As a general rule, which of the following is not a requisite of an action for damages on the basis of quasi-delict?
a. There is pre-existing relation between the offender and offended parties.
b. There exists a wrongful act or omission imputable to the defendant by reason of his fault or negligence.
c. There exists a damage or injury which must be proved by the person claiming recovery.
d. There must be a direct causal connection or a relation of cause and effect between the fault or negligence
and the damage or injury, or that the fault or negligence be the cause of the damage or injury.

75. A and B orally entered into a contract of sale of a specific authentic Coach bag at a price of P10,000. A paid an
arras money amounting to P500 at the time of constitution of the contract. The parties agreed that the balance of
the price will be paid after one month while the said bag will delivered after one week. At the agreed date of
delivery of the bag, B delivered a counterfeited coach bag. What is the best legal remedy available to A?
a. File an action for damages for breach of contract of sale.
b. File an action for annulment of voidable contract of sale.
c. File an action for declaration of nullity of void contract of sale.
d. He has no action because the contract of sale is unenforceable.

76. A stole the specific cellphone of B. Afterwards, A sold at a price of P10,000 the said specific cellphone to C who
acquired the said item in good faith and for value. Which of the following statements is correct?
a. B may recover the said cellphone from C even without reimbursing C.
b. B may recover the said cellphone from C but with obligation to reimburse P10,000.
c. C obtains good title over the cellphone because he is a purchaser for value and in good faith.
d. C obtains a voidable title over the cellphone which is valid and binding until annulled.

77. On January 1, S delivered a specific laptop to B under a sale or return arrangement. S gave B up to April 1 to
return the specific laptop. On March 1, the specific laptop was destroyed by fire without B’s fault. Which of the
following is correct?
a. B is not required to pay the price of the laptop because the obligation is extinguished by fortuitous event.
b. S is still the owner of the specific laptop since B has not yet signified his approval or satisfaction of the
said item.
c. B will become owner of the specific laptop only upon full payment of the price.
d. S can collect the price even if the loss is without B’s fault.
78. D is indebted in the amount of P100,000 to C as evidenced by a written contract of loan. The contract provides for
6% interest per annum and 10% penalty in case of breach of contract. At the date of maturity of the loan, D
defaulted. Which of the following statements is correct?
a. C may only demand payment of the 6% interest in addition to the principal because the law presumes that
the interest already covers the penalty.
b. C may only demand payment of the 10% penalty in addition to the principal because in obligation with
penal clause, the penalty substitutes for the interest and damages.
c. C may demand payment of both 6% interest and 10% penalty in addition to the principal only if he can
prove that D acted fraudulently.
d. C may validly demand payment of both 6% interest and 10% penalty in addition to the principal.

79. Which of the following statements concerning the characteristics of different types of contract is correct?
a. Contract of loan is a consensual contract because it is perfected by mere consent on the amount of
consumable thing to be delivered.
b. Contract of sales is a real contract because the delivery of the determinate thing is necessary for the
transfer of ownership to the buyer.
c. Contract of real estate mortgage is a principal contract because it is extinguished when the contract of
loan is settled.
d. Contract of agency is a preparatory contract because it is a means by which other contracts may be
entered into.

80. D borrowed P10,000 cash from C. They agreed that D will pay C when his means permits him to do so. What is
the classification of this obligation?
a. Obligation with a suspensive condition
b. Obligation with a resolutory condition
c. Obligation ex die
d. Obligation in diem

81. Minor, a ward, sold in writing the cellphone of his father, his legal guardian, to an insane, during the latter’s lucid
interval at a price of P10,000 when the cellphone’s book value is still P15,000 resulting to lesion more than ¼ the
value of the thing sold. What is the status of the contract of sale?
a. Rescissible
b. Voidable
c. Unenforceable
d. Void

82. DLSU-Manila, a nonstock nonprofit organization, voluntarily paid real property tax to City of Manila for all its
land, building and improvement including those actually, directly and exclusively used for educational purposes.
DLSU-Manila filed a formal written claim for refund before City of Manila on the real property taxes it paid for
those land, building and improvement actually, directly and exclusively used for educational purposes. What is
the source of obligation of City of Manila to reimburse DLSU-Manila for excessive payment of real property
taxes?
a. Culpa acquiliana
b. Solutio indibiti
c. Negotiorum gestio
d. Mora solvendi

83. On January 1, 2020, D borrowed P100,000 from C with maturity date on July 1, 2020. C send a demand letter to
D on April 1, 2020 to extrajudicially ask for the payment of the loan. When will the legal interest on the loan start
to accrue?
a. January 1, 2020
b. April 1, 2020
 c. July 1, 2020
d. None of the above
84. On January 1, 2020, S orally sold a specific laptop to B at a price of P50,000 with delivery to be made on
February 1, 2020 and payment of the price to be made on March 1, 2020. On February 1, 2020, S refuses to
deliver the laptop despite repeated demands from B. What is the legal remedy available to B?
a. File an action for exact fulfillment plus damages by reason of delay
b. File an action for rescission of contract of sale plus damages for breach of contract
c. File an action to compel S to execute and sign the deed of sale evidencing their agreement
d. None of the above

85. The contract of lease provides that the lessee may continue to occupy the leased property as long as he can pay a
reasonable rental despite the expiration of lease term. What principle of contract is mainly violated by this
stipulation?
a. Mutuality of contract
b. Relativity of contract
c. Autonomy of contract
d. Clarity of contract

86. D borrowed P10,000 from C whereby D delivered and pledged his specific watch to C to secure the payment of
the loan. Aside from that, G guaranteed in writing the loan of D. At the maturity date of the loan, C voluntarily
returned the said watch to D. Which contract is/are extinguished by the return of the watch?
a. Contract of pledge only
b. Contract of pledge and contract of guaranty only
c. Contract of pledge and contract of loan only
d. Contract of pledge, contract of guaranty and contract of loan

87. On January 1, 2020, D, a resident of Manila City obliged himself to deliver a 2020 TRD Limited Edition Fortuner
to C, a resident of Caloocan City. The maturity date of obligation is on June 30, 2020. On January 1, 2020, a 2020
TRD Limited Edition Fortuner is located in Quezon City but another 2020 TRD Limited Edition Fortuner is
located in Pasay City. Where the car be delivered by D to C?
a. Manila City
b. Caloocan City
c. Quezon City
d. Pasay City

88. D borrowed P10,000 from C. On the date of maturity of the loan, D defaulted on the payment which prompted C
to send a demand letter prepared by a law firm threatening that if D will not sign the proposed deed of loan
with real estate mortgage involving D’s specific lot, C will file the necessary civil action against D. As a result of
the intimidation, D signed the deed of loan with real estate mortgage. What legal remedy is available to D
involving the contract of loan with mortgage over his specific lot?
a. File an action for annulment of contract
b. File an action for reformation of instrument
c. File an action for declaration of nullity
d. None of the above

89. D is under obligation to deliver a specific cellphone or a specific laptop or a specific tablet to C. Before the
maturity date of the obligation, D intentionally destroyed specific tablet. Afterwards, a fortuitous event caused the
loss of the specific cellphone. On the maturity date of the obligation, the specific laptop was lost due to the
negligence of D. What is the basis of liability of D for damages?
a. Value of the specific laptop
b. Either the value of specific tablet or specific laptop
 c. Value of any of the object
d. Object with the highest value

90. A borrowed P20,000 cash from B with maturity date on July 1, 2020. On July 1, 2020, B was convicted by final
judgment with a crime of acts of lasciviousness committed against A who was entitled to receive nominal
and moral damages totaling P20,000. Which is correct?
a. A may enforceably collect P20,000 from B.
b. B may enforceably collect P20,000 from A.
c. Both A and B may collect P20,000 from each other.
d. Neither A nor B may collect P20,000 from each other.

91. S, a heavily indebted but solvent person, orally sold his specific condominium unit to B at a price of P1,000,000.
At the date of oral agreement, B paid P50,000 arras money. Their oral agreement provides that delivery will of the
unit will be done after 15 months. What is the status of contract of sale?
a. Valid and binding
b. Rescissible
c. Voidable
d. Unenforceable

92. S sold a counterfeited G-Shock watch to B who paid a faked money. Which of the following statements is correct?
a. Only S may file an action to collect a sum of money against B for the price of the G-Shock.
b. Only B may file an action for exact fulfillment plus damages against S for breach of implied warranty of
authenticity.
c. Neither S nor B may file an action against each other.
d. Both S and B may file an action against each other.

93. S orally authorized B to sell his specific house at a price of P1,000,000. B orally sold the said house to V in the
name of S at a price of P1,500,000 when its cost to S is actually P2,500,000, thereby, S suffered lesion by more
than ¼ the value of the house. Payment of the price and delivery of the house will happen after one month after
the date of agreement. What is the legal remedy available to the injured party?
a. File an action for annulment of contract.
b. File an action for declaration of nullity of contract.
c. File an action for rescission of contract.
d. None of the above

94. When is prior valid tender of payment mandatory for consignation to be justifiable?
a. When two or more persons claim the same right to collect the subject matter of the obligation
b. When, with legal cause, the creditor refuses to give a receipt.
c. When the creditor is insane at the time the payment is due
d. When the certificate evidencing the credit has been lost

95. On January 1, 2020, D obliged himself to deliver a specific car to C with maturity date on July 1, 2020. On
August 1, 2020, the said car was forcibly taken by robbers who employed force and intimidation against D. Is the
obligation of D extinguished?
a. Yes, because no one is liable for fortuitous event.
b. Yes, because the subject matter is a generic thing.
c. No, because the loss occurred after D incurred delay.
d. No, because robbery is not a fortuitous since it is not an Act of God.
96. What is the rebuttable presumption of place of perfection of contract entered into through letter, telegram or
telephone?
a. In the place where the offer was made
b. In the place where the acceptance was made
c. Domicile of offerer
d. Domicile of acceptor

97. It refers to the damages stipulated in an obligation with a penal clause.

a. Exemplary damages
b. Compensatory damages
c. Liquidated damages
d. Temperate damages

98. Which of the following contracts is valid and binding?

a. Relatively simulated contract
b. Contract where the intention of the parties relative to the principal contract cannot be ascertained.
c. Oral executory contract covered by Statute of Fraud
d. Illegal per se contract

99. Which action will prescribe in four (4) years?

a. Action for annulment of contract
b. Action for rescission of contract
c. Both A and B
d. Neither A nor B

100. In obligation to deliver a specific thing, when does the creditor obtain personal right over the fruits of the
determinative thing?
a. From the time of perfection of obligation
b. From the time the obligation to deliver the determinate thing arises
c. From the time the determinate thing is actually or constructively delivered to the creditor
d. From the time the fruits of the determinate thing are actually or constructively deliver to the creditor