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TABLE OF CONTENTS

I. A. In General Definition - Art. 1458

Villonco Realty Company v. Bormaheco, Inc., 65 SCRA 352, July 25, 1975 Ang Yu Asuncion v. Court of Appeals, 238 SCRA 602, December 2, 1994 Vda. De Ape v. Court of Appeals, 456 SCRA 193, April 15, 2005 Torcuator v. Bernabe, 459 SCRA 439, June 8, 2005 B. Characteristics Gaite v. Fonacier, 2 SCRA 830, July 31, 1961 C. Stages Ainza v. Padua, 462 SCRA 614, June 30, 2005 D. Kinds of Sale - Arts. 1458(2), 1488, 1544, 1403, Maceda Law, Recto Law, 1477, 1501) McCullough v. Berger, 43 Phil 823, September 26, 1922 Dichoso v. Roxas, 5 SCRA 781, July 31, 1962 Luzon Brokerage v. Maritime Building, 43 SCRA 93, January 21, 1972 Portic v. Cristobal, 456 SCRA 577, April 22, 2005 Heirs of Jesus M. Mascunana v. Court of Appeals, 461 SCRA 186, June 23, 2005 Ursal v. Court of Appeals, 473 SCRA 52, October 14, 2005 Carrascoso, Jr. v. Court of Appeals, 477 SCRA 666, December 14, 2005 Sacobia Hills Devt Corp. v. Ty, 470 SCRA 395, September 20, 2005 Keppel Bank V. Adao, 473 SCRA 372, October 19, 2005 Edrada v. Ramos, 468 SCRA 597, August 31, 2005 E. Distinguished from other transactions Heacock v. Buntal Manufacturing Co., 66 Phil 245, September 26, 1938 Quiroga v. Parsons Hardware, 38 Phil 501, August 23, 1918 Ker v. Lingad, 38 SCRA 524, April 30, 1971 Del Monte Phils. v. Aragones, 461 SCRA 139, June 23, 2005

2 II. Elements of a Contract of Sale F. Essential Elements 1. Consent of the contracting parties Rodriguez v. Mactal, 60 Phil 13, April 4, 1934 Rubias v. Batiller, 51 SCRA 120, May 29, 1973 Miguel v. Catalino, 26 SCRA 234, November 29, 1968 Estate of Serra Serra v. Heirs of Primitivo Hernaez, 466 SCRA 120, August 9, 2005 Mapalo v. Mapalo, 17 SCRA 114, May 19, 1966 2. Subject matter (things & rights) Martinez v. Court of Appeals, 56 SCRA 647, April 29, 1974 Melliza v. City of Iloilo, 23 SCRA 477, April 30, 1968 3. Cause Villonco Realty Company v. Bormaheco, Inc., supra Spouses Doromal , Sr. and Salas v. Court of Appeals, 66 SCRA 575, September 5, 1975 Goldenrod v. Court of Appeals, 299 SCRA 141, November 24, 1998 Edrada v. Ramos, 468 SCRA 597, August 31, 2005 Philippine Free Press, Inc. v. Court of Appeals, 473 SCRA 639, October 24, 2005 Cruz v. Fernando, Sr., 477 SCRA 173, December 9, 2005 Morales Devt Co. v. Court of Appeals, 27 SCRA 484, March 28, 1969 Laperal v. Rogers, 13 SCRA 26, January 30, 1965 De Leon v. Salvador, 36 SCRA 566, December 28, 1970 Velasco v. Court of Appeals, 51 SCRA 439, June 29, 1973 G. Natural Elements H. Accidental Elements III. Perfection of the Contract I. When perfected Cruz v. Fernando, Sr., supra J. Contract of Option Sanchez v. Rigos, 145 SCRA 368, June 14, 1972 Equatorial Realty Devt, Inc. v. Mayfair Theater, Inc., 264 SCRA 483, November 21, 1996

3 K. Formalities of Contract of Sale (Statutes of Fraud) and Sec. 22 Act 1147 (Cattle Registration Act) Paredes v. Espino, 22 SCRA 1000, March 13, 1968 Inigo v. Maloto, 21 SCRA 246, September 28, 1967 Cuyugan v. Santos, 34 Phil 100, March 3, 1916 Dalion v. Court of Appeals, 182 SCRA 872, February 28, 1990 Yuvienco v. Dacuycuy, 104 SCRA 668, May 27, 1981 Vda. De Jomoc v. Court of Appeals, 200 SCRA 74, August 2, 1991 Santos v. Manalili, 475 SCRA 679, November 22, 2005 Rights and Obligations of the Vendor - Art. 1495

IV.

L.

To transfer ownership Who can transfer ownership? General Rule - Arts. 1505-1506, 1547 Cuison v. Remoto, 472 SCRA 274, October 11, 2005 Exceptions: Art. 1505 Sun Bros. v. Velasco, 54 O.G. 5143, August 11, 1958 Salonga v. Concepcion, 470 SCRA 291, September 20, 2005 Sigaya v. Mayuga, 467 SCRA 341, August 18, 2005 Premiere Devt Bank v. Court of Appeals, 453 SCRA 630, March 18, 2005 Siy Cong Bieng and Co. v. HSBC, 56 Phil 598 [1932] Masiclat v. Centeno, May 31, 1956 When/How transfer is affected? - Arts. 1477, 1459, 1496, 1547, 1588 General Rule: Ilao-Quianay v. Mapile, 474 SCRA 246, October 25, 2005 Exceptions: Vallarta v. Court of Appeals, 150 SCRA 336, May 29, 1987 Risk of Loss or Deterioration (Total/Partial) General Rule: Res perit domino Exceptions: Lawyers Cooperative v. Tabora, 13 SCRA 762, April 30, 1965 De Lizardi v. Yaptico, 30 Phil 211, March 22, 1915

4 Sun Bros. Appliances v. Perez, 7 SCRA 977, April 30, 1963 Double Sales- Art.1544 Cuison v. Remoto, supra Ulep v. Court of Appeals, 472 SCRA 274, October 11, 2005 Sigaya v. Mayuga, supra Bautista v. Sioson, 39 Phil 615, February 11, 1919 Lichauco v. Berenguer, 39 Phil 643, February 27, 1919 Paylago v. Jarabe, 22 SCRA 1247, March 27, 1968 Quimson v. Rosete, 87 Phil 159, August 9, 1950 When not applicable? 1. unregistered lands Carumba v. Court of Appeals, 31 SCRA 558, February 18, 1970 Vda. De Jomoc v. Court of Appeals, supra Hanopol v. Pilapil, 7 SCRA 452, February 28, 1963 M. To deliver the object and its accessions - Art. 1537(1164) Kuenzle & Streiff v. Macke & Chandler, 14 Phil 610, December 16, 1909 Addison v. Felix, 38 Phil 404, August 3, 1918 Daguilan v. IAC, 168 SCRA 22, November 28, 1988 Pasagui v. Villablanca, 68 SCRA 18, November 10, 1975 Dy, Jr. v. Court of Appeals, 198 SCRA 826, July 8, 1991 Power Commercial and Indl Corp. v. CA, 274 SCRA 597, June 20, 1997 Florendo v. Foz, 20 Phil 388, October 24, 1911 Philippine Suburban Devt. Corp. v. The Auditor General, 63 SCRA 397, April 18, 1975 Board of Liquidators v. Floro, 110 Phil 482, December 29, 1960 Quality/Quantity Rudolf Lietz, Inc. v. Court of Appeals, 478 SCRA 451, December 19, 2005 Santa Ana, Jr. v. Hernandez, 18 SCRA 973, December 17, 1966 Asiain v. Jalandoni, 45 Phil 296, October 23, 1923 Azarraga v. Gay, 52 Phil 599, December 29, 1928 Not bound to deliver when? Visayan Distributors, Inc. v. Flores, 92 Phil 145, October 15, 1952 Place of Delivery Behn, Meyer & Co. v. Yangco, 38 Phil 606, September 18, 1918 Bislig Bay Lumber Co. v. CIR, 1 SCRA 156, January 28, 1961

5 Time of Delivery - Art. 1521(2) Republic v. Litton & Co., 94 Phil 52, November 28, 1953 Prescription- Art. 1543 N. Warranties - Arts. 1495, 1567, 1571, 1628, 1629, 1631 1. Express- Art. 1546 Carrascoso, Jr. v. Court of Appeals, supra Philippine Manufacturing Co. v. Go Joco, 48 Phil 621, January 21, 1926 i) ii) iii) Distinguished from: condition)- Art. 1545 dealers talk false representation 2. Implied warranties warranty against eviction (warranty of title) )- Arts. 1548-1559 warranty against hidden encumbrances or defects)- Arts. 1560, 1561, 1567-1581, 613, 615 warranty of quality)- Arts. 1562-1565, 1586, 1599(5) Guinhawa v. People, 468 SCRA 278, August 25, 2005 Power Commercial and Indl Corp. v. CA, supra Bautista v. Lasam, 72 Phil 506, June 27, 1941 Mendoza v. Caparros, 94 Phil 317, January 30, 1954 O. Others)- Arts. 1480, 1163, 1538, 1537, 1164, 1487, 1521 last par.

i) ii) iii)

V. P.

Rights and Obligations of the Vendee

Payment of Price) - Arts. 1582, 1590, 1593 Time and Place Liability for interest)- Art. 1589 Right of Inspection/Examination)- Arts. 1584, 1481 Right to the fruits- Arts. 1537, 1164 Acceptance- Arts. 1582-1583, 1585-1588, 1593 The Maceda Law (RA 6552) Sale of Immovables on Installment Ramos v. Heruela, 473 SCRA 79, October 14, 2005

Q. R. S.

6 Fabrigas v. San Francisco del Monte, Inc. 476 SCRA 247, November 25, 2005 VI. T. 1. 2. 3. 4. 5. 6. Remedies for Breach of Contract

Remedies of an Unpaid Seller- Arts. 1525-1526 withhold delivery (possessory lien) - Arts.1527-1529, 1535, 2241(3) stoppage in transitu )- Art. 1530-1532, 1535, 1636(2) resell the goods- Art. 1533 rescission- Arts. 1534, 1597, 1591-1593, 1191, 1556, 1484, 1532, 1567, 1580 action for the price specific performance- Art. 1595 action for damages- Art. 1596 Katigbak v. Court of Appeals, 4 SCRA 242, January 31, 1962 Song Fo & Co. v. Hawaiian-Phil. Co., 47 Phil 821, September 16, 1925 Weyerhauser Timber Co. v. First Natl Bank of Portland, 38 P2d 48

U. 1. 2. 3.

Remedies of the Buyer- Arts. 1539, 1542-1543, 1567, 1571, 1599 specific performance- Arts. 1598 damages rescission- Arts. 1481 Recto Law Sale of Movables on Installment- Arts. 1484-1486 Luneta Motor C. v. Salvador, 108 Phil 1037, July 26, 1960 Industrial Finance Corp. v. Ramirez, 77 SCRA 152, May 26, 1977 Northern Motors, Inc. v. Sapinoso, 33 SCRA 1970, May 29, 1970 UMC v. Dy Hian Tat, 28 SCRA 161, May 16, 1969 Cruz v. Filipinas Investment & Finance Corp., 23 SCRA 791, May 27, 1968 VII. Extinguishment of Sale

V. W. 1.

Causes- Arts. 1600, 1231, 1626, 1634-1635 Redemption Conventional - Art. 1601 Pacto de Retro Sale- Arts. 1607, 1609, 1611-1518, 16761677 Equitable Mortgage- Arts. 1602-1605 Period to Redeem- Art. 1606 Who may exercise the right to redeem? - Arts. 1608, 1610, 1612, 1614-15 Cadungog v. Yap, 469 SCRA 561, September 12, 2005

7 Salonga v. Concepcion, supra Go v. Bacaron, 472 SCRA 339, October 11, 2005 Gerardino, Sr. v. CFI Capiz Br. III, 80 SCRA 646, December 29, 1977 Yturralde v. CA, 43 SCRA 315, February 28, 1972 Marquez v. Valencia, 77 Phil 782, December 22, 1946 Quinga v. Court of Appeals, 3SCRA 66, September 19, 1961 Gloria-Diaz v. Court of Appeals, 84 SCRA, July 31, 1978 Heirs of Francisco Parco v. Haw Pia, 45 SCRA 164, May 30, 1972 2. Legal- Arts. 1619-1623 Spouses Doromal , Sr. and Salas v. Court of Appeals, supra Almendrada v. Ngo, 471 SCRA 311, September 30, 2005 Aguilar v. Aguilar, 478 SCRA 187, December 16, 2005 Villasor v. Medel, 81 Phil 546, September 29, 1948 Ortega v. Orcine, 38 SCRA 276, March 31, 1971

Prescribed Textbook: Hector S. De Leon, Comments and Cases on Sales and Lease, Sixth Edition, Rex Printing Company, Inc., 2005 References: 1. 2. Araceli Baviera, SALES, UP Law Center, 1981 Arturo M. Tolentino, Commentaries & Jurisprudence on the Civil Code of the Philippines, Vol. 5, Central LawBook Pub., 1987

Teaching Methods/Strategies A question-and-answer format will basically be employed to determine whether the student read and understood the provisions of the law and the decisions of the Supreme Court. Quizzes will also be administered to check knowledge, understanding and the analyzing skills of the students. Lectures, group discussions and visual aids may be used when applicable.

Grading Criteria: MidTerm Exam Recitation & Quizzes Final Exam 20% 30% 50%

Cau 25May2011