TAKEHOME QUIZ

March 9, 2024

Please submit your answer via email at

attorneyryanespinosa@gmail.com .

In one whole sheet yellow paper write your name and

section as well as your answer.

Submit your quiz not later than 9:00 pm tonight. Late

submission is considered NO quiz.

Avoid using AI or any reference material. Rely on your

OWN understanding.

Goodluck!!!
1. It is a gratuitous loan of a thing, to be used for a certain
time and for a certain purpose, and with the obligation to
return the same thing after the time expires or the
purpose accomplished.
2 points

a. Guaranty
b. Pledge
c. Commodatum
d. Mutuum

2. A contract by virtue of which one of the contracting

parties delivers to the other money or any other
consumable thing subject to the condition that the same
amount of the same kind and quality be paid or returned.
2 points
a. Guaranty
b. Pledge
c. Commodatum
d. Mutuum

3. It is an accessory obligation whereby real property is

offered as security for a debt or loan.

2 points
a. Real Estate Mortgage
b. Antichresis
c. Commodatum
d. Lease

4. It is an accessory obligation whereby personal property

is offered as security for a debt.
2 points

a. Pledge
b. Chattel Mortgage
c. Pacto de Retro
d. Mutuum

5. The deposit of personal property by debtor with a

creditor as security for payment of the debt.
2 points

a. Pledge
b. Chattel Mortgage
c. Pacto de Retro
d. Mutuum
6. A contract by virtue of which the creditor acquires the
right to receive the fruits of an immovable of his debtor
with the obligation to apply them to the payment of the
interest, if owing, and thereafter to the principal of his
credit.
2 points
a. Real Estate Mortgage
b. Antichresis
c. Commodatum
d. Lease

7. It is where the owner of the thing lends it gratuitously

for use of the bailee for as long as the bailor or owner
pleases, however the latter may demand for its return at
will.
2 points
a. Real Estate Mortgage
b. Antichresis
c. Precarium
d. Commodatum

8. A contract by which the parties exchange goods or

commodities for other goods.
2 points
a. Contract for a Piece of Work
b. Commdatum
c. Barter
d. None of the above

9. It is the right of an adjacent owner of a parcel of land to

buy the adjoining property before it is offered for sale to
others.
2 points
a. Legal Redemption
b. Conventional Redemption
c. Pre-emption
d. Condemnation

10. A contract which is constituted from the moment a

person receives a thing belonging to another with the
obligation of safely keeping it and retuning the same.
2 points
a. Deposit
b. Commodatum
c. Antichresis
d. None of the above

4. It is an accessory obligation whereby personal property

is offered as security for a debt.
2 points
a. Pledge
b. Chattel Mortgage
c. Pacto de Retro
d. Mutuum

Q11 to Q20.
11. Another term of a deposit constituted by virtue of a
court order.
2 points
a.Necessary Deposit
b. Voluntary Deposit
c. Sequestration
d. Escrow

12. A petition to be filed in order to obtain possession of a

chattel before its actual foreclosure.
2 points
a. Attachment
b. Escrow
c. Replevin
d. None of the above

13. A necessary deposit is:

2 points
a. Constituted in compliance with a legal obligation
b. On the occasion of a calamity
c. Constituted by guests in hotels or inns
d. All of the above

14. Depositary is liable for the loss of the thing through a

fortuitous event when:
2 points
a. It is so stipulated
b. If he uses the thing without the depositor’s permission
c. If he delays its return
d. All of the above

15. A hotel or inn keeper does not incur any liability if the
loss:
2 points
a. Is caused by the guest, his family or servant
b. Arises from the character of thing deposited
c. Is caused by thief or robber using irresistible force
d. All of the above

16 .The following are the characteristics of pledge, except:

2 points
a. It is a subsidiary contract
b. It is an indivisible contract
c. Ownership is transmitted to the Creditor
d. None of the above
17. A appoints B as his agent to sell his land. Which of the
following is valid?
2 points
a. The authority of A is oral and B sells the land to C for
P50,000.00 in a written contract of sale
b. The authority of B is in writing but the sale of the land
in writing was made beyond the period expressly set forth
by A
c. The authority of B from A is by way of letter and B sells
the land to C in writing
d. The authority of B is in writing and the sale of the land
to C is oral

18. A stipulation whereby the pledge or mortgagee

automatically becomes the owner of the thing pledged or
mortgaged.
2 points
a. Consolidation of ownership
b. Conventional Redemption
c. Consignation
d. Pactum Commissorium

19. A mortgaged his residential land to B as a guarantee

for the payment of P408,000.00 obligation of A. They
agreed that A shall not sell the land while the obligation of
A exists. Before maturity of the mortgage, C offered to buy
the land from A:
2 points
a. A cannot sell the land to C because of the agreement
not to sell
b. A can only sell the land to C only if B consents in
writing
c. A can sell the land to C despite the agreement not to
sell.
d. A cannot sell the land to C unless A pays the obligation.

20. The distinction between a chattel mortgage and a

pledge is that in chattel mortgage:
2 points
a. The delivery of the personal property is necessary
b. The registration of the property in the Registy of
Property is not necessary
c. The excess over the amount due after foreclosure goes
to the debtor
d. Answer not given

Q21 to Q30.
21. B pledged his 24 k gold necklace to C for P4,000.00. B
failed to pay C the P4,000.00, on due date. C sold the gold
necklace at a public auction to the highest bidder for
P3,500.00.
2 points
a. C can recover the deficiency of P500.00 from B
b. C can recover the deficiency of P500.00 even without
stipulation
c. C cannot recover the deficiency of P500.00 unless there
is stipulation
d. C cannot recover the deficiency of P500.00 even if there
is stipulation.

22. Mr. Santos authorized Mr. Canlas to sell his car for
P200,000.00 with 5% agents commission. Mr. Canlas sold
the car to Mr. Dizon for P250,000.00. For how much is Mr.
Canlas accountable to Mr. Santos?
2 points
a. P200,000.00
b. P190,000.00
c. P250,000.00
d. P240,000.00

23. Statement 1. In gratuitous deposit, the depositor is not

obliged to reimburse the expenses for preservation as he
has the implied authority to use the thing deposited.
Statement 2. Hotel keeper has the right to retain the
things brought by guest within the hotel as security for the
payment of the accommodation of the said guest.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

24. Statement 1. A chattel mortgage exists when personal

property is recorded in the Chattel Mortgage Register as a
security for the performance of an obligation. Statement 2.
In chattel mortgage, the mortgagor must execute an
affidavit of good faith in order that the mortgage shall be
valid against third persons.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

25. Statement 1. An unregistered chattel mortgage is valid

upon parties but void as to innocent third persons.
Statement 2. Real Estate Mortgage is an accessory
contract
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

26. Statement 1. The parties to a mortgage of a house and

lot cannot validly stipulate that the mortgage property
cannot be sold except with the consent of the mortgagee.
Statement 2. Real Estate Mortgage to be valid as to third
person is sufficient if it has been embodied in a public
instrument.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

27. Statement 1. In both chattel mortgage and pledge, the

thing as a security for the fulfillment of the principal
obligation is delivered to the creditor. Statement 2. A
stipulation for bidding the owner from alienating the
immovable mortgage is valid.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

28. Statement 1. The surety is entitled to Benefit of

Excussion. Statement 2. The objects in Mutuum are non-
fungible objects.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE
29. Statement 1. In pledge personal properties are
delivered by the pledgor to the pledgee primarily for
safekeeping purposes. Statement 2. Ownership is
transferred to the bailee in commodatum.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

30. Statement 1. Mutuum is a consensual contract.

Statement 2. The pledgor will retain possession over the
subject matter of the contract.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

Q31 to Q40.
31. Statement 1. The subject matter of antichresis is
movable properties. Statement 2. Only non-consumables
can be given in commodatum.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

32. Statement 1. Guaranty is a unilateral contract.

Statement 2. A guarantor is allowed to appoint a sub-
guarantor
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

33. Statement 1. Credit transactions are also known as

contract of bailments. Statement 2. Bailor is also known
as the creditor
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

34. Statement 1. In case the depositary delays its return,

the depositary is liable for the loss of the thing through a
fortuitous event. Statement 2. In deposit, when it is
necessary to open a locked receptacle, the depositary is
conclusively and absolutely presumed to have the
authority to do so.
2 points
a. Both Statements are TRUE
b. Both Statements are FALSE
c. Only Statement 1 is TRUE
d. Only Statement 2 is TRUE

35. Three of the following are fundamental obligations of

the agent. Which is the exception?
2 points
a. Can be the borrower if he is authorized to lend.
b. Sacrifice his interest and give it to the principal if there
is a conflict
c. To render an accounting of the transaction.
d. Shall not carry out the agency even if that is the
instruction, if he knew it would result in a loss or damage
to the principal.

36. Three of the following are modes of extinguishing

agency. Which is the exception?
2 points
a. Insanity of the principal.
b. Death of the principal, but the agency is for the benefit
of a third person.
c. Accomplishment of the purpose of the agency.
d. Dissolution of the firm or corporation which entrusted
or accepted the agency.

37. Bears the risk of collecting from the buyer the price of
the sale.
2 points
a. Commission agent
b. Delegante
c. Quasi-tradition
d. Agente del credere

38. P appointed A as his agent with general powers on

January 1. The next day, X transacted business with A.
On January 5, P revoked the agency by publishing it in a
newspaper of general circulation. On January 10, or five
(5) days after the revocation was published, X
consummated another transaction with A. Is the act of A
in entering into another contract with X on January still
binding against P?
2 points
a. Yes, because X is in good faith.
b. No, because the agency was already revoked and its
publication is a sufficient warning.
c. No, because the power is just general and the act
performed by A is an act of ownership which needs special
power
d. Yes, because there was no special notice sent to X.

39. P appointed A as his special agent to sell a specific

land for P10,000.00. P sends A his papers of appointment
including a letter addressed to X notifying the latter of the
appointment of A as his agent. Ten days after, P revoked
the agency and published it in a newspaper of general
circulation. X did not read the newspaper publication, but
has got actual knowledge of the revocation. Later, A and X
transacted business. Is the act of A binding against P?
2 points
a. Yes, because A and X are in good faith.
b. No, X having knowledge of the revocation is considered
in bad faith.
c. Yes, because X was not given a general power hence the
revocation through publication is sufficient.
d. Yes, since the appointment of A is by special
information, the revocation must also be by special
information in order that the same is effective.

40. P verbally appointed A as his agent to sell his parcel of

land for P10,000.00. Five days after, A sold to B the parcel
of land for P8,000.00 by means of public instrument
executed between A and B. What are the effects and the
status of the sale between A and B?
2 points
a. The sale is valid because it was executed in a public
instrument.
b. The sale is unenforceable because the agent acted
beyond the scope of his authority for selling the land for
less than the price instructed.
c. The sale is void because the authority to sell is not in
writing.
d. The sale is voidable because the contract of sale was
not notarized.

Q41 to Q50.
41. Gloria appointed Sally to sell the former’s car for
P500,000.00. Sally sold the car to Pam for P500,000.00
but acted in her own name. After delivery, Pam inspected
the car and she found hidden defects in the car. Can Pam
file an action against Gloria even when Sally acted in her
own name?
2 points
a. No, under “caveat emptor” let the buyer beware.
b. Yes, because this is a contract involving property
belonging to the principal.
c. No, because Sally acted in her own name, not of the
principal.
d. No, because the contract of sale is already perfected.

42. The principal is liable for the expenses incurred by the

agent, except:
2 points
a. If the agent acted in contravention of the principal’s
instruction.
b. Expenses were due to the fault of the agent.
c. Agent incurred them knowing that an unfavorable
result would ensure, and the principal was not aware
thereof.
d. All of the above.

43. A guarantee commission agent shall

2 points
a. Bear the risk of collection on the same terms agreed
upon with the purchaser.
b. Be liable to the principal even if the buyer is really
insolvent.
c. Be liable for damages if he will not collect the credit on
time.
d. Be entitled to another commission aside from ordinary
commission.
e. All of the above.

44. P delivered to A 10,000 pieces of Cebu fabricated shell

craft jewelry for the purpose of selling them at P1.00 each.
Out of the proceeds of the expected sale, A is to receive a
10% commission. After 3 days, however, A sold all the
items at P1.50 each to B, but on 30-day credit. What is the
status of the sale?
2 points
a. The sale is valid since A performed his function in a
manner more advantageous on the part of his principal.
b. The sale is void because the agent exceeded the
instruction of the principal
c. The sale is unenforceable because the agent exceeded
the limits of his authority.
d. The sale is unenforceable because sale of personal
property P500 or more must be written in conformity with
Statute of Fraud
e. The sale does not bind the principal as the agent
exceeded the limits of his authority

45. An agent with general powers of administration given

to him by the principal in writing, desirous of improving
the financial condition of his principal, sold two parcels of
rice field, one for less than the price appearing in the
inventory prepared by the principal and the other double
the price that appeared in the said inventory.
2 points
a. The sale for double the price appearing in the inventory
is binding upon the principal.
b. The two contracts cannot be enforced against the
principal.
c. The sale for less than the price appearing in the
inventory is binding upon the principal.
d. Both contracts are binding upon the principal.
e. None of the above.

46. An agent without any express authority from the

principal appointed a sub-agent to help him carry out the
agency. What is the effect of the substitution?
2 points
A. The substitution is void.
B. The substitution is valid but the agent is the only one
liable for the acts of the sub-agent.
C. Both the agent and the sub-agent are liable to the
principal for the acts of the sub-agent under the valid
substitution.
D. The substitution is valid but the substitute is the only
one liable for his own acts.
E. None of the above

47. P called A expressly authorizing him to sell his parcel

of land situated in Bulacan. The land was later on
purchased by X, but A and X did not reduce the sale in
writing. The sale of A to X is:
2 points
a. Void because the authority of A is not in a public
instrument.
b. Unenforceable because the authority of A is not in a
public instrument.
c. Unenforceable because the contrac of sale violated the
rule on Statute of Fraud
d. Valid and binding on the part of P because the property
sold belongs to him.
e. None of the above

48. In three of the following, a special power of attorney is

required. Which one is considered the exception?
2 points
a. To obligate the principal as guarantor.
b. To effect novation which put an end to obligation
already contracted before the agency was created
c. To borrow money not necessary for the preservation of
the property under administration.
d. To lease real property to another person for one year.
e. None of the above

49. P owns a parcel of land valued at P100,000.00 and

appoints A as his agent in writing. The agency to sell the
property on cash basis for the same amount. A succeeded
in selling it for P120,000.00 in two installment payments
payable within 20 days. What is the rule as regards the act
of A?
2 points
a. A exceeded his authority because the power to sell on
cash does not include the power to sell on credit.
b. A did not exceed his authority because the act done is
more advantageous than that of his instruction.
c. The act cannot be ratified because it is void from the
beginning.
d. A’s act is valid and enforceable.
e. None of the above
50. Without P’s authority, A (agent), sold P’s car to X in P’s
behalf. The contract is:
2 points
a. Unauthorized
b. Unenforceable
c. Subject to ratification
d. All of the above
e. None of the above

Q51 to Q60.
51. A commission agent:
2 points
a. Is liable to pay damages if he does not collect the credit
on the due date
b. Generally, cannot sell on credit
c. Receives a guaranty commission
d. All of the above

52. If the agent is authorized by his principal to collect or

receive cash payment in full, his authority includes:
2 points
a. To accept partial payment
b. To accept check covering full payment
c. To accept property equivalent to the monetary claim
being collected
d. None of the above

53. Today, P appointed A1 as his agent covered by general

power to lease his car to X for 6 months. The next day, P
appointed A2 with special power of attorney to lease the
same car to X for 5 months. On the third day, P directly
transacted business with X leasing the car for 2 months.
What is the effect of agency between the parties?
2 points
A. The appointment of A1 is valid because it has got a
prior date
B. The appointment of A2 is the one that is valid because
it is covered by a special power
C. The agency of A1 and A2 are considered revoked
because the principal directly transacted with X.

54. Agency may be created by:

2 points
A. Appointment
B. Ratification
C. Estoppel
D. Necessity
E. All of the above

55. If an agent contracts in the name of his principal,

exceeding the scope of his authority, what would be the
status and effect of the contract?
2 points
A. Unenforceable
B. Void
C. Voidable
D. Valid
56. P appointed A as his agent to sell a specific car for
P10,000 with 10% commission. A, using his persuasive
skills was able to sell if for P12,000.
2 points
A. A must give to P P10,000.00
B. A must give to P P12,000.00
C. A must give to P P10,000.00 minus the commission
D. A must give to P P12,000.00 minus the commission

57. In agency, the agent represents:

2 points
a. A person who is capacitated
b. A person who is incapacitated
c. Heirs and creditors of the debtor
d. Judicial Court
e. All of the above

58. The kind of agency according to the manner of creation

may be implied from the following:
2 points
a. Acts of the principal
b. Principal’s silence
c. Principal’s lack of action
d. Principal’s failure to repudiate the agency
e. All of the above

59. If P (principal) leads X (a third person) to believe that A

is his agent, when in fact such is not true, P is liable
because there is:
2 points
a. A general agency created
b. A special agency created
c. An agency by estoppel
d. An agency by necessity
e. None of the above

60. Statement 1. Agency to sell real property or real rights

may be oral or in writing. Statement 2. Agent must always
get the consent and authority of the Principal to name a
substitute.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE

Q61 to Q70.
61. Statement 1. Authority of an agent is not considered
exceeded if it is advantageous to the principal. Statement
2. Agent is obliged to carry out the agency strictly in
accordance with the instructions of the Principal even if it
will be disadvantageous to the principal.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE

62. Statement 1. Two agents appointed by a principal for a

common agency are as a rule solidarily liable to the
principal for consequences of the agency. Statement 2.
Two principals appointing one agent for a common agency
will be solidarily liable to the agent for consequences of the
agency.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE

63. Statement 1. A juridical person may validly enter into

a contract of agency either as the principal or the agent.
Statement 2. Appointment of a new agent for the sale
transactions revokes the prior agency even without due
notice to the first agent.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE

64. Statement 1. Act of a sub-agent or substitute

appointed by the agent against the prohibition of the
Principal, will be valid if performed in accordance with the
instructions of the Principal and the Agent. Statement 2. A
principal may personally appoint a substitute or sub-agent
for his agent.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE

65. Statement 1. Death of any of the parties in a Contract

of Agency extinguishes the contract. Statement 2.
Ordinary commission is the additional commission given
by the Principal to the Agent so that the latter may
assume the risks of collection.
2 points
a. Only Statement 1 is FALSE
b. Only Statement 2 is FALSE
c. Both Statements are FALSE
d. Both Statement are TRUE

66. Statement 1. A Special Power of Attorney is necessary

for the agent to perform an act of administration.
Statement 2. Contract of Agency is always presumed to be
for compensation.
2 points
a. Only Statement 1 is FALSE
b. Only Statement 2 is FALSE
c. Both Statements are FALSE
d. Both Statement are TRUE

67. Statement 1. A commission agent who handles goods

of the same kind and mark which belong to different
owners is required to distinguish them by countermarks.
Statement 2. If the commission agent is authorized to sell
on credit, he must inform the principal of his credit sales
and the names of buyers and their addresses.
2 points
a. Only Statement 1 is FALSE
b. Only Statement 2 is FALSE
c. Both Statements are FALSE
d. Both Statement are TRUE

68. Statement 1. A stipulation to exempt the agent from

rendering an account is valid and binding between the
principal since it is the “law” between the contracting
parties. Statement 2. If the principal is insolvent, the
agent can be required to advance the necessary expenses
if there is an agreement between the principal and the
agent to that effect.
2 points
a. Only Statement 1 is FALSE
b. Only Statement 2 is FALSE
c. Both Statements are FALSE
d. Both Statement are TRUE
69. Statement 1. The agent is required to be in possession
of a special power of attorney in order to ratify an
obligation contracted after the agency was constituted.
Statement 2. The principal is also known as “mandante”.
2 points
a. Only Statement 1 is FALSE
b. Only Statement 2 is FALSE
c. Both Statements are FALSE
d. Both Statement are TRUE

70. Statement 1. Arras is a proof of perfection of the

contract of sale. Statement 2. In the consummation of a
contract of sale, the option money given by the buyer to
the seller is deductible from the purchase price.
2 points
a. Only Statement 1 is TRUE
b. Only Statement 2 is TRUE
c. Both Statements are TRUE
d. Both Statements are FALSE