Bernardino, Aira Kaye M.

BSMA 3
Final Exam on CAE 19

1. A. The contract of sale can also be done even the subject matter or thing will come
existence in the future one of these called Emptio rei Sperati. It is when a thing has a
potential to come existence, the purchase of a thing not yet in the possession of the seller.
the seller has a duty not only to deliver the thing, but also to see that the thing
materialises so that it can be delivered. For example, I have a farm in Bulacan and I have
a lot of cows, but my friend jake wants to buy a calves so that he can use it to start his
small business, we agreed to have a contract of sale that I will give him a calves after my
cow give birth. AS a seller I have an obligation to take care of the cow until it give birth
so that Jake can get a healthy calves.
B. When a thing has a hidden defects the buyer’s remedy can be Accion quanti minoris,
In which the buyer may request a proportionate reduction in the price of the thing
purchased or damaged. For example, I bought a set of computer to Liza she said it was a
brand new computer no damage or scratches, when the computer set delivered to my
house I opened it and saw that the keyboard is not functioning, So I told Liza to give me
discount or refund that caused the damages of the keyboard since it was a hidden defect
and she told me it was brand new and did not say that the keyboard has a defect, Liza will
give back a proportionate part of my money that I gave her to compensate the hidden
defects.
C. the deliver of thing sold can be constructive and under it is called Traditio longa manu
in english it means “delivery with the long hand” because the This form of delivery is
effected by the seller actually pointing out the object that will be sold to the buyer, with
the intention that ownership shall pass. This is normally done where the object is bulky or
difficult to move.For example Rico is a farmer is selling his carabaos to Lucas another
farmer, so Rico points them out and makes them available to Lucas . But since these law
is old, these type of delivery is done a very long time ago but not common to use now.
D. A trademark protects items that help define a company brand, such as its word, sign,
symbol, logo or a combination. It legally identifies and differentiates a product or service
from all others of its kind and recognizes the source company's ownership of the brand. A
trademark protects a business’ brand identity in the marketplace. Registration of it gives
the owner the exclusive rights to prevent others from using or exploiting the mark in any
way. The costs of trademark protection vary significantly from country to country.
Trademark infringement is illegal it occurs when one person uses a substantially similar
or identical trademark of an existing trademark, without authorization, and it creates a
likelihood of confusion for the consumer. For example of trademark is the logo of the
apple fruit in Apple, the check mark in Nike, the three lines in adidas, the letter S in
sketchers etc.
E. Insolvency is a state of financial distress in which a business or person is unable to pay
their bills. It can lead to insolvency proceedings, in which legal action will be taken
 against the insolvent person or entity, and assets may be liquidated to pay off outstanding
debts. In short it is a bankruptcy where the liabilities of a business is greater than the
assets. When business filed a insolvency the assets of the company will be liquidate to
pay the debt to the creditors, but the creditor will have a loss when the asset of company
did not meet the full amount of debt. So most creditors preferred the rehabilitation instead
of these. For Example of insolvency, Lavender Corp. filed insolvency but has P1 Million
debt to Mr.Co, lavender Corp. appoint a liquidator, after selling all assets it is only
P500,000. So the money will be given to Mr.co and not to lavender corp. To pay the
debts but since not enough assets only 50% of debts had been paid to Mr.co.

2. There are four essential elements of a Negotiable Instrument, it should be in writing,

signed by the drawer or maker, contains an unconditional promise or order to pay a
certain sum of money and last it must be payable on demand or at a fixed future time.

PROMISSORY NOTE

Place: 005 Camia. Mabuhay, Baliwag, Bulacan date: October 03, 2020

I Ms. Aira Kaye M. Bernardino, agreed and promised to pay Mr. Lee Ching a Principal
amount of P500,000 with an interest of 10% per annum, repayment is to be made in the
form of 24 equal payments, payable on the 3rd of each month, beginning in November 3,
2020 until the total amount of debt is paid.
In witness whereof, I set my hand under seal this 3rd day of October 2020, and I
acknowledged receipt of a completed copy of the instrument.

Signature of borrower

3. Personal information controllers (PIC) shall implement appropriate organizational,

physical, and technical security measures.The PIC shall ensure that any natural person
does not process personal information without their instructions.
Organizational Security Measures:
•Designation of a Compliance Officer/s - ex. Only faculty must be in the office room.
•Must have Data Protection Policies - ex. There's a code given to employees who can
only access.
Physical Security Measures:
•Policies to limit access to work station, stock rooms, or facility - Ex. Only personal
registrar faculty member can use computers.
 •Design of office space and furniture to provide privacy- ex. Design of the room should
have space like a private room that is not access by everyone
Technical Security Measures:
•Policy regarding processing of personal data - ex. Only registrar of BU can access codes
of personal data of students.
•Safeguards against unlawful usage or interference with computer network

4. Money laundering is the illegal process of making large amounts of money generated by
a criminal activity, such as drug trafficking or terrorist funding, appear to have come
from a legitimate source.Dealing in large amounts of illegal cash is inefficient and
dangerous, that is why criminals need a way to deposit the money in legitimate financial
institutions, yet they can only do so if it appears to come from legitimate sources. Banks
are required to report large cash transactions and other suspicious activities that might be
signs of money laundering. The money from the criminal activity is considered dirty, and
the term money laundering is typically to "launders" the illegal money, to make it look
clean. For example of the process of money laundering, Jack Sy is a high profile drug
lord in the Philippines he earns lot of money working in black market. Everyday he earns
P8 Million, For Jack to put his money in the bank they have a multiple Bank accounts so
they breaks up large chunks of cash into multiple small deposits, often spreading them
over many different accounts, to avoid detection. It is also called smurfing, The Bank
accounts that they used conceal as personal account or business account. Now they can
withdraw the money that had been laundered. The process of laundering money typically
involves three steps: placement, layering, and integration. The placement is where Jack
Sy moved the money to legitimate financial system. The concealing part is where he
hides the true identity of the Bank accounts they used. And the final process now-
laundered money is withdrawn from the legitimate account to be used for whatever
purposes the criminals have in mind for it.

5. The objective of these Act is to facilitate domestic and international dealings,

transactions, arrangements, agreements, contracts and exchanges and storage of
information through the utilization of electronic, optical and similar medium, mode,
instrumentality and technology to recognize the authenticity and reliability of electronic
data messages or electronic documents related to such activities and to promote the
universal use of electronic transactions in the government and by the general public. The
Department of Trade and Industry (DTI), in commemoration of the 20th year of Republic
Act 8792 or the Electronic Commerce Act of 2000, has committed to implement policies
to strengthen and grow e-commerce in the country while supporting current legislative
measures by Congress. there was an accelerated adoption of e-commerce during the
enhanced community quarantine (ECQ) amid the current coronavirus disease 2019
(Covid-19) pandemic. “To strengthen e-commerce in the country, DTI is supporting the
various bills related to e-commerce, particularly House Bill 6122 or the ‘Internet
 Transactions Act’ authored by Trade Committee Chair Representative, seeks to establish
an eCommerce Bureau that will, among others, focus on promoting the development of e-
commerce in the country by building trust between sellers and consumers, stronger online
consumer protection, safer e-payment gateways, easier online business registration, and
formulating other policies and programs to increase the number of online merchants and
consumers. Aside from the Internet Transactions Bill, various related bills are being
tackled in Congress that aim to promote the digital economy. With e-commerce growing
and evolving, they need to tackle structural and legal impediments to e-commerce and
digital marketplace growth. The upshot is that this is expected to boost our economy in
terms of opening markets to facilitate sales and consumption, upgrading traditional
manufacturing and service, and developing new industries for business opportunities. E-
commerce provides a perfect space for all types of businesses today to present the best of
their self on the internet to grab the attention of their target audience and beat the heated
competition. It reduces inventory cost and eliminates the requirement of a physical
location. The retailer can earn by just being over the internet. It also reduces the need for
hiring people for sales along with easy and quick targeted marketing.

6. The rule on double sale as provided in Article 1544 of the Civil Code states that, If the
same thing should have been sold to different vendees, the ownership shall be transferred
to the person who may have first taken possession thereof in good faith, if it should be
movable property. Should it be immovable property, the ownership shall belong to the
person acquiring it who in good faith first recorded it in the Registry of Property. For
Example, I am selling my land, Then Ana gave earnest money but Bea also pays a full
payment of the land so I gave the register of deeds to Bea. when Ana wants to pay the
land in full It is already in possession of Bea that is why Bea has the rights since she
acquires the deeds.

7. The most important thing I’ve learned in the class aside from laws was a moral value of
importance of being early in everything that I have to attend or to do, because creates a
big change to ourselves. It inculcates me knowledge that I will used in my life..