1.

The contract of sale is perfected when

Correct Answer: Meeting of the mind of the different parties.

Incorrect Answer: Payment is made by the vendee to the vendor
Incorrect Answer: Transfer of the thing.
Incorrect Answer: The price is already established.

2. A sale by auction is perfected when

Correct Answer: Fall of the hammer

Incorrect Answer: Payment is made by the vendee to the vendor
Incorrect Answer: Transfer of the thing.
Incorrect Answer: Shouting “mine”

3. Which of the following statements is(are) correct?

I. The vendee fail to pay installments, exact fulfillment of the obligation can be demanded by the
vendor.
II. The vendee's failure to pay two or more installments could result into cancellation of the sale.

Correct Answer: Both

Incorrect Answer: I only
Incorrect Answer: II only
Incorrect Answer: Neither of the two

4. I. Generally, the husband and the wife can sell property to each other.
II. The sale between husband and wife being contrary to the law shall be null and void.

Correct Answer: False, True

Incorrect Answer: False, False
Incorrect Answer: True, True
Incorrect Answer: True, False

5. I. The vendee is bound to transfer the ownership of the object of the sale.
II. There is no warranty of the thing being transferred in a contract of sale.

Correct Answer: False, False

Incorrect Answer: False, True
Incorrect Answer: True, True
Incorrect Answer: True, False

6. I. Generally, the ownership is being transferred at the time of delivery of the thing sold
II. It is allowed that the seller retains the ownership of the thing delivered until the purchase
price is fully pain.
 Correct Answer: True, True
Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, False

7. I. In the sale of immovable property, the thing is understood as delivered when the vendee is
already in control of it.
II. In double sale of an immovable property, the one who first registered he title in good faith
gets the title.

Correct Answer: True, True

Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, False

8. Delivery of the keys of the lace where goods are found or stored to the buyer is considered as

Correct Answer: Symbolic Delivery

Incorrect Answer: Faithful Delivery
Incorrect Answer: On-time Delivery
Incorrect Answer: Recessive Delivery

9. Which of the following are examples of incorporeal properties?

I. Shares of stock
II. Bonds
III. Market Securities
IV. Patent Rights
V. Intangible Asset

Correct Answer: I, II, III, IV

Incorrect Answer: I, II, IV

Incorrect Answer: I, III, IV, V

Incorrect Answer: All are incorporeal properties

10. It takes place if the vendor continues in possession of said property no longer as owner but as
mere possessor.

Correct Answer: Traditio constitutum possessorium

Incorrect Answer: Quasi-tradition
Incorrect Answer: Lease
Incorrect Answer: None of the choices

11. I. A negotiable document of title is one where the goods are delivered to specified person
 II. In non-negotiable document of title, a purchaser in good faith and for value may enjoy
protection.

Correct Answer: False, False

Incorrect Answer: False, True
Incorrect Answer: True, True
Incorrect Answer: True, False

12. I. If the seller has accepted a note or bill of exchange in payment for the goods, his rights
depend upon whether the obligation was accepted as conditional or absolute payment.
II. Unpaid seller refers to whole of the price has not paid or tendered.

Correct Answer: True, True

Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, False

13. Which of the following is not a remedy to an unpaid seller?

Correct Answer: reserve the item for future payments

Incorrect Answer: rescind the sale
Incorrect Answer: resale as limited by this title
Incorrect Answer: retain the items

14. I. If the same thing should have been sold to different buyers, the ownership shall not be
transferred to the person who may first taken possession thereof in good faith.
II. A purchaser in bad faith is one who at the time of purchase had knowledge of facts sufficient
to charge a reasonable person with notice that the sale was fraudulent.

Correct Answer: False, True

Incorrect Answer: False, False
Incorrect Answer: True, True
Incorrect Answer: True, False

15. I. There are no implied warranties in a contract of sale.

II. A warranty that the thing being sold is free from any hidden effects should be expressed.

Correct Answer: False, False

Incorrect Answer: False, True
Incorrect Answer: True, True
Incorrect Answer: True, False

16. This means the act of being defeated in an action over the thing.
 Correct Answer: Eviction
Incorrect Answer: Recession
Incorrect Answer: Transfer
Incorrect Answer: Exploration

17. I. The vendor shall be responsible for warranty against hidden defects.
II. One of the requisites for warranty against hidden defects is that the defect should be serious.

Correct Answer: True, True

Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, False

18. The obligation of the vendee are

I. Accept the delivery
II. To check for defects of the thing bought

Correct Answer: I only

Incorrect Answer: I & II
Incorrect Answer: II only
Incorrect Answer: Neither I nor II

19. I. Generally, the contract of sale is indivisible.

II. Unless stipulated, the buyer of goods is not bound to accept delivery thereof by instalments.

Correct Answer: True, True

Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, False

20. I. Payment or performance extinguishes sale.

II. Loss of the specific thing due do not extinguishes the sale.

Correct Answer: True, False

Incorrect Answer: False, True
Incorrect Answer: False, False
Incorrect Answer: True, Truel