ARTICLE 1516 – DELIVERY OF THE THING SOLD acceptable quality and atleast fit yung item sa particular
purpose that the buyer has in mind.
A person who for value negotiates or transfers a document of title by • And if ever any of these guarantees are not met, it can have indorsement or delivery, including one who assigns for value a claim legal implications for example if yung document is forged secured by a document of title unless a contrary intention appears, warrants: pala the person who transfer it will be held liable. • EXAMPLE: 1) That the document is genuine; ➢ And also another example for the application of the 2) That he has a legal right to negotiate or transfer it; provision is for example 3) That he has knowledge of no fact which would impair the ➢ Sa business ng shipment of goods and bumili ng mga validity or worth of the document; and 4) That he has a right to transfer the title to the goods and that goods sa supplier na gumagamit ng document title the goods are merchantable or fit for a particular purpose, like yung bill of lading to represent the shipment. whenever such warranties would have been implied if the ➢ Here the supplier have the responsibility na contract of the parties had been to transfer without a iguarantee yung buyer na yung bill of lading na document of title the goods represented thereby. (n) document is genuine, and also the supplier should also guarantee na meron siyang legal right to • Here on Article 1516, it basically pertains sa mga negotiate and also icoconfirm din dapat ng supplier responsibilities and assurances involved when we are na wala siyang any knowledge or any information that transferring a document that represent yung ownership would make the bill of lading less valid or valuable nung goods. and lastly dapat may assurance din yung supplier na • Or in other words here on 1516 is parang winawarranty or the person negotiating have the right to transfer the ginaguarantee lang na yung document na trinatransfer ng ownership nung goods na nirerepresent ng bill of isang tao na nagnenegotiate sa sale is yung document is lading. • Genuine or the document is authenthic or original • Based on these warranties, you can proceed with • Then the person has the legal authority to negotiate confidence, knowing that the document and the goods it • And it has no impairing facts or the person who is represents are legitimate, and that the supplier has the negotiating have no knowledge or any information na legal authority to transfer them to you. If, however, there possible madiminish yung validity or value ng document. were any issues later on (such as receiving damaged goods • Then lastly the person should also have the right to transfer or discovering that the bill of lading was forged), you would the title and minamakesure din dapat na yung goods is have legal recourse under Article 1516. merchantable in a way na yung goods is have the • Another example is, furniture retailer and warehouse receipt as the guarantee of receipt.
A Simple Guide for Drafting of Conveyances in India : Forms of Conveyances and Instruments executed in the Indian sub-continent along with Notes and Tips