1.

Elmo is obliged to give Bert, either a ring worth P5,000; or bracelet worth P4,500; or a watch
worth P4,000. All the objects were lost due to Elmo ’s fault in the order stated.
a. Elmo’s obligation is extinguished.
b. Elmo’s obligation is to pay the value of the ring plus damages.
c. Bert’s right is to demand the value of any of the objects plus damages.
d. Elmo’s obligation is to pay the value of the watch plus damages.

2. Culpa aquiliana as distinguished from culpa contractual:

a. Proof of due diligence in the selection and supervision of employees is not considered a
defense.
b. Proof of the contract and its breach is sufficient to warrant recovery.
c. The negligence of the defendant is only an incident in the performance of the obligation.
d. The source of liability is the negligent act of the person causing damage to another.

3. S1: When one of the parties has brought an action to enforce the contract, he cannot
subsequently ask for its reformation.
S2: The injured party may seek rescission even after he has chosen the fulfillment of the
obligation if the latter should become impossible.
a. True; true b.   true;false c.   false;false d.   false;true

4. S1: An oral sale of land made by its owner is unenforceable.

S2: Sale of land made by an agent without written authority from owner thereof is void.
a. False;false b.   false;true c.   true;true d.   true;false

5. S1:The principle of autonomy of contracts means that the contracting parties as a rule may
agree upon any stipulation, clause, term and condition.
S2: Relativity of contracts means that contracts take effect not only between the parties but
also their heirs and assigns.
a. False;false b.   true;true c.   false;true d.   true;false

6. It is an obligation which is based on positive law and gives right to enforce its performance
a. Natural obligation c.   Moral obligation
b. Civil obligation d.   legal obligation

7. Which of the following is demand necessary to make the debtor in delay in the performance of
his obligation?
a. When the time of performance is of the essence
b. When the time of performance has been stipulated
c. When the law so provides
d. When demand would be useless

8. Liability for damages in the performance of an obligation arises from the following, except
a. Negligence c.   Delay
b. Acts or omissions punished by law d.   Fraud