RECTO & MACEDA LAW

Recto Law (Civil Code Art. 1484 - 1486)

- "Installment Sales Law"

- Applies to:

* sale of personal property by installment

* contracts purporting to be leases with an option to buy, when the lessor deprived lessee
of the possession of the thing

- Article 1484

* vendor may exercise any of the ff remedies:

> exact fulfillment of obligation, should the vendee fail to pay

> cancel the sale, failure to pay two or more installments

> foreclose the chattel mortgage on the thing sold

- Article 1485

* preceding article should be applied to contracts purporting to be leases with an option

to buy, when the lessor deprived lessee of the possession of the thing

- Article 1486

* In the cases referred in the previous articles, stipulations that payments shall not be
returned shall be valid insofar as the same may not be unconscionable under the
circumstances