to annul a voidable contract. Ratification - means that one voluntarily adopts or approves some defective or unauthorized act or contract which, without his subsequent approval or consent, would not be binding on him. It indicates an intention on the part of the ratifier be bound to the provisions of the contract. Ratification cleanses the contract from all its defects from the moment it was constituted. (Art.1396.) The contract thus becomes valid. (Art.1390.) Hence, the action to annul is extinguished. (Art. 1392.) Effects of Ratification:
a. The action to annul is extinguished (Art. 1392, Civil
Code); thus, the contract becomes a completely valid one. (Gutierrez Hnos. v. Orense) b. The contract is cleansed of its defect from the beginning. (Art. 1396, Civil Code) Requisites of Ratification: a. The contract must be a voidable one. b. The person ratifying must know the reason for the contract being voidable (that is, the cause must be known). c. The cause must not exist or continue to exist anymore at the time of ratification. d. The ratification must have been made expressly or by an act implying a waiver of the action to annul. e. The person ratifying must be the injured party. Article 1393 Ratification may be effected expressly or tacitly. It is understood that there is a tacit ratification if, with knowledge of the reason which renders the contract voidable and such reason having ceased, the person who has a right to invoke it should execute an act which necessarily implies an intention to waive his right. Kinds of Ratification a. Express - when the ratification is manifested in words or in writing;
b. Tacit- as from conduct implying a WAIVER.
- it may take diverse forms, such as by silence or acquiescence; by acts showing adoption or approval of the contract; or by acceptance and retention of benefits flowing therefrom. (Cadano v. Cadano) The requisites for implied ratification are the following:
a) There must be knowledge of the reason which renders the
contract voidable. b) Such reason must have ceased; and c) The injured party must have executed an act which necessarily implies an intention to waive his right. Examples of Tacit Ratification • A minor bought land but sold the same, after reaching 21 years of age, to a 3rd person. (Rosales v. Reyes) • A minor sold land, and upon reaching majority age, collected the unpaid balance of the selling price (Tacalinar v. Corro), or spend the greater part of the proceeds of the sale. (Uy Soo Lim v. Tan Unchuan) • Voluntary performance by the injured party of his own obligation, after the cause of the nullity was known to him. (Chan v. Gonzales) Lapse of Time In the case of Tipton v. Velasco, the Supreme Court said that mere lapse of time does not legalize a voidable contract; but in Fabie v. Yulo, it was held that remaining silent for a certain period of time ratifies such a contract. Article 1394
Ratification may be effected by the guardian
of the incapacitated person. Ratification by Guardian This Article refers to the ratification of a contract entered into by the incapacitated person.
Since the person entitled to ratify is still incapacitated, his
guardian acts in his behalf. (Escoto v. Arcilla) Ratification by the Injured Party Himself
Ratification can be made by the injured party
himself, provided he is capacitated or has become capacitated. , As legal representative of their wards, guardians have the power to contract on their behalf. Hence, they may also ratify contracts entered into by their wards. (See Art. 1407.)
In case the contract is voidable, on the ground of
mistake, etc., ratification can be made by the party whose consent is vitiated. Thank You
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