RESCISSIBLE VOIDABLE UNENFORCEABLE VOID/INEXISTENT

CONTRACTS CONTRACTS CONTRACTS CONTRACTS

DEFINITION Those validly agreed upon Those which Those that cannot Those which because
because all essential possess all be enforced in certain facts, produce no
elements exist essential court or sued effect at all
requisites but upon by reason of
one of the defects provided
parties is by law
incapable
of
giving consent
DEFECT/S Damage or injury to one of Vitiation of Without or in Absolute lack either in
the parties or to a third consent or one excess of fact or in law of one,
person of the parties is authority, or does some, or all essential
incapacitated not comply with requisites of a contract;
the Statute of prohibited by law;
Frauds, or both N/V
parties are
Incapacitated
GROUNDS (Art 1381) (Art. 1390) Article 1403 Article 1409
1. LESION OR PREJUDICE
a) Entered into by (1390) (1403[1][2][3]) Contracts whose cause,
guardians/representatives 1. Those 1.Those entered object or purpose is
whenever the where one of into in the name contrary to law, etc
wards/absentees whom the parties is of another by 2.Simulated/Fictitious
they represent suffer incapable of one without, or 3.Those w/o cause or
lesion by more than ¼ of giving acting in excess, object
the value of the thing consent of 4.Contracts whose object
b) Partition of authority is outside the
inheritance where an heir 2.Those 2.Those who do commerce of men
suffers lesion of at least where the not comply with 5.Contracts
¼ of the share to which consent is the Statute of which contemplate
he is entitled. vitiated by Frauds (must an impossible service
2. FRAUD OR BAD FAITH Mistake, appear in writing 6.The intention of the
a) Those undertaken Violence, signed by the parties relative the
in fraud of creditors when Intimidation, party charged) object can’t be
the latter cannot in any Undue 1. Agreement not to ascertained
other manner collect the Influence, be performed 7.Contracts
claims due to them. Fraud within one year expressly
b) Those which refer prohibited/declared void by
from the making
to things under litigation the law
if they have been entered thereof.
into by the defendant 2. Promise to answer
without the knowledge for the debt,
and approval of the default or
litigants or the competent miscarriage of
court. another.
3. SPECIAL CASES 3. Agreement in
governed by special consideration of
provisions (Arts. 1189, marriage other
1191, 1526, 1534, 1538,
than a mutual
1542, 1556, 1560, 1567,
promise to marry.
and 1659)
4. Agreement for sale
of goods, chattels
or things in action,
at a price not less
than five hundred
pesos
5. Agreement for
leasing for a longer
period than one
year.
6. Agreement for the
sale of real
property or of an
interest therein
7. Representation as
 to the credit of a
third person.
3.Those where both
parties are
incapable of
Giving

ASSAILABILITY Assailable by party or third Assailable by Assailable by party Assailable by party or

BY THIRD person party only third person who is
PERSONS only directly affected
EFFECT VALID until rescinded VALID until Cannot be enforced Does not produce effects
annulled by court action

PRESCRIPTION WITHIN 4 years (1389) WITHIN 4 years No prescription No prescription (1410)

FROM DATE OF CONTRACT (1391)
from date of
capacity
4 years from the
date force,
intimidation or
undue influence
ceases &
4 years from the
date error or
fraud was
discovered.
RATIFICATION Cannot be Ratified May be Ratified May be Ratified Cannot be Ratified

REMEDY RESCISSION’ ANNULMENT; CURED BY Declaration of Absolute

RATIFICATION RATIFICATION Nullity or Inexistence
CONFIRMATION
HOW REMEDY PRESCRIPTION PRESCRIPTION
IS LOST
REQUISITES 1.Contract is valid 1.Knowledge of 1.Those entered 1.Contracts whose COC,
2.There is lesion/ the reason into in the purpose contrary to law
pecuniary prejudice why contract name of 2.Simulated/Fictitious
is another 3.Contracts w/o COC
3. No other legal voidable 2.Those that 4.Contracts prohibited by
remedy 2.Injured party don’t comply law
4.Object not in legal must’ve with the
Statute of
Fraud

REQUISITES possession of another executed an 3.Those wherein

5.Period to file act which both parties
implies his are incapable
waiver of
giving