The document describes several scenarios involving contracts. In the first scenario, Sal offered to sell his house to Sahmgyup for 1,000,000 pesos. Before accepting, Sahmgyup requested to see the location. This stage of the contract is the preparation stage. The second scenario discusses a barter contract where S and B exchanged a watch and ring, but each item was not as described, potentially constituting fraud.
The document describes several scenarios involving contracts. In the first scenario, Sal offered to sell his house to Sahmgyup for 1,000,000 pesos. Before accepting, Sahmgyup requested to see the location. This stage of the contract is the preparation stage. The second scenario discusses a barter contract where S and B exchanged a watch and ring, but each item was not as described, potentially constituting fraud.
The document describes several scenarios involving contracts. In the first scenario, Sal offered to sell his house to Sahmgyup for 1,000,000 pesos. Before accepting, Sahmgyup requested to see the location. This stage of the contract is the preparation stage. The second scenario discusses a barter contract where S and B exchanged a watch and ring, but each item was not as described, potentially constituting fraud.
Sal offered to sell his house at Forbes Park to Leomord for damages which arises from later, B discovered
discovered that the watch was only
to Sahmgyup for 1, 000, 000 Pesos. Before what? gold plated. accepting the offer, Sahmgyup requested a.Delicts c.Contract a.The contract may be annulled at the Sal to accompany him to the location. What b.Quasi-contract d.Quasi-delicts instance of B since he discovered the fraud. stage of contract is this kind of scenario? b.The contract may be annulled at the a.Preparation c.Perfection The parties contemplate a real fulfillment; instance of S since B also employed fraud. b.Consummation d.Proposal thus, equivalent values are given. c.Neither party may ask for annulment a.Onerous Contract since both are guilty of fraud. The contract, FIRST: If a bill is not acted upon by the b.Commutative Contract therefore is valid. president within 30 days, the bill will not c.Lucrative Contract d.The contract is void because of the bad become a law. SECOND: Once the president d.Remuneratory Contract faith of both parties; hence, it shall not disapproves a bill, Congress can no longer produce any affect do anything to make the bill an official law. Kori saw a Nike Airforce 1 on Shopee for a.Both are false. only Php800.00. Knowing that an original FIRST: Contracts which do not comply with b.Both are true. Nike Airforce 1 costs around Php5,000.00, the Statute of Frauds are void. SECOND: c.Only the FIRST is true. Kori decided to order it despite also being Statute of Frauds is applicable only to d.Only the SECOND is true. aware that the post doesn’t have any wholly executory contracts and not to reviews and ratings yet. Dana, the seller contracts which are partially executory and It overpowers the mind of the party as to messaged Kori saying “don’t expect quality partially executed. prevent him from acting understandingly same as the original” before shipping the a.Only the Second is true and voluntarily to do what he would have order. When Kori’s order arrived after 2 b.Only the First is true done if he had been left to exercise freely weeks, he was disappointed by the cheap c.Both are true his own judgment and discretion. quality of the shoes and how it is very d.Both are false a.Violence c.Threat different from the original. Can Kori allege b.Undue Influence d.Deceit Dana on the ground of mistake? These are prohibitions of the Autonomy a.Yes, Dana is selling a fake version of the principle of contract, except: Raul, an accountant, has a debt to Ralph. shoes therefore she is subject to fraud. a.None of the other stated choices; all are Ralph wants to transfer or strip down Raul’s b.No, Kori can not allege the seller on the prohibitions. title of being a CPA, to which Raul ground of mistake instead, he can allege b.Public Order voluntarily agreed because he has no more the seller on the ground of fraud. c.Morals money to pay his debt. Is their agreement c.Yes, what Kori received is different from d.Fraud valid? the original quality of the shoes. a.Yes, because when someone has a debt d.No, Kori already knew beforehand the FIRST: Sacred or common things, like air they should do whatever the creditor risk so it is assumed that he was willing to and sea, as long as they are not wants. take chances. appropriated are within the commerce of b.No, because this kind of object of a men. SECOND: Future things can be the contract is beyond the commerce of men. Lea, a pianist, entered into a contract with object of contracts. c.No, because Raul cannot pay his debt. Jeff to teach him piano lessons starting on a.Only the SECOND is true d.Yes, because honorary titles can be February 3, 2020. However, Lea died on b.Both are false stripped down. December 28, 2019. Is Althea, daughter of c.Only the FIRST is true Lea, who also knows how to play the piano, d.Both are true Refers to the false notion of a thing or fact obliged to teach Jeff piano lessons? material to the contract: a.No, if Althea did not inherit her mother’s A contract is in the stage of conception a.Error c.Deceit ability to play piano. when: b.Intimidation d.Undue Influence b.No, because the contract between Lea a.There is meeting of the minds. and Jeff are not transmissible by their b.The contract is perfected. The conformity or concurrence of wills and nature. c.The parties come to an agreement. is the agreement of the will of one c.Yes, because contracts take effect d.Negotiations are in progress. contracting party with the others upon the between the contracting parties, their object and terms of contract. assigns and heirs. In Sunstar newspaper, an advertisement a.Consent c.Acceptance d.Yes, because Althea surely knows how to shows that: Laptop for sale, HP model, for b.Offer d.Contract play piano since her mother knows. more info call or text 09455346441 or you may visit Selwyn at Banilad Cebu, City.” Leomord, a student of Sana Halls FIRST: The action for rescission is not Keith proceeded to the address indicated in University, got into a physical fight with a subsidiary, as it can also be instituted when the newspaper to meet Selwyn. bunch of bullies inside the school premises. the party suffering damage has other legal a.Selwyn cannot refuse to sell his laptop Claude, a security guard of the said means to obtain reparation for the same. even if he doesn’t want to sell his laptop university, along with other guards noticed SECOND: The action for annulment shall be anymore. the commotion. Leomord was frightened brought within five years, depending on the b.Keith will present an alternative offer to upon seeing the school guards so he ground. Selwyn. attempted to leave the area. Claude a.Both statements are true. c.Keith has the right to demand conditions approached the location to where the b.The second statement is true. to Selwyn since he is willing to buy the event happened and he noticed that one c.Both statements are false. object. student, who happened to be Leomord, d.The first statement is true. d.Selwyn has the right to refuse to sell his tried to get away from the ruckus so he laptop even if the price offered by Keith is chased after him. He shouted at Leomord, S who knew that his watch was gold-plated, fair and reasonable at any given condition. ordering him to stop but the latter ignored told B that it was made of pure gold. B who him. Claude was left no choice, he pulled knew that his ring was embellished with Gen bought a house in a high–end out his gun and shot Leomord. As a result, glass, told S that the embellishment was subdivision. Afraid of the consequences if Leomord was wounded. In this case, the ruby. Believing each other’s claim, they there’s a fire, she entered a contract of school, but not the security guard, is liable entered into a contract of barter. A week insurance in exchange of the company’s promise to pay damages in case of fire. Alice was about to put some of her b.No, but he can sue Candy’s uncle for What is the characteristic of the contract? groceries in her fridge when she noticed buying the mansion. a.Solemn c.Gratuitous that it was not working anymore. Allan, on c.Yes, because contracts undertaken as b.Onerous d.Aleatory the other hand, who was delivering purified fraud to creditors can be rescinded. water around the neighborhood, noticed d.No, because the Candy sold the mansion Aaron asks Alex to slap their teacher in Alice who appeared to be problematic with now to her uncle. exchange for Php1,000. If Alex did slap his her fridge. He approached her and teacher, can Alex collect the Php1,000? observed that her fridge was broken. He The following are the sources of Why or why not? then offered to fix the fridge himself in obligations, except; a.Yes, they have the freedom to establish return for a sum of money. Alice then a.Culpa Aquiliana c.Vinculum Juris any stipulation agreed. What kind of innominate contract b.Torts d.Crime b.No, because the agreement is contrary to is this? good custom a.Do ut facias c.Facio ut facias FIRST: Obligations arising from contracts c.Yes, they have the freedom to establish b.Do ut des d.Facio ut des has weaker power than the force of law any terms and conditions because it is just a mere agreement d.No, because the agreement is contrary to The requirements of a valid consent are: between parties. SECOND: Contracting moral a.Sufficient information must have been parties have the total freedom establish given stipulations, clauses, terms, and conditions FIRST: A testate or intestate heir is obliged b.The person must be legally competent without any regards to law, morals, custom, to pay a debt of the decedent even if it is c.All of the other choices are correct public policy, and public order. beyond the value of property he received d.There must be no duress or coercion a.Only the First is true by will or by the law of intestacy from the b.Both are false estate of the deceased. SECOND: Solutio Noah was given a new mobile phone by his c.Both are true indebiti refers to voluntary administration aunt so he sold his old but fully working d.Only the Second is true of the property, business or affairs of mobile phone to Victor. Unknown to Noah, another without the consent or authority Victor bought the mobile phone from him An agreement to vote a certain candidate from the latter. so that he could use it as a device for for a consideration is not valid because it is a.Both statements are false. tracing Samantha’s location for he plans to contrary to: b.Both statements are true. kidnap her. After the sale, Victor was able a.Either of the two (2) other stated choices c.Only the first statement is true. to consummate his plan. Given Victor’s b.Law d.Only the second statement is true. motive to the contract, what is the status of c.Good Customs the sale of the mobile phone by Noah to d.Neither of the two (2) other stated Agreements which lack one or some or all Victor? choices of the elements or usually do not comply a.The sale is void because the motive of with formalities which are essential for the Victor in buying the mobile phone is clearly Craig offers to sell Sebastian his sports car existence of a contract: illegal. at some time in the future. Sebastian a.Inexistent Contracts b.None of the other stated choices are accepts it and even publishes his b.Unauthorized Contracts correct. acceptance in a newspaper of general c.Annullable Contracts c.The sale is valid because the illegality of circulation. Is there a valid contract? d.Void Contracts the cause of the contracting parties does a.No, because the offer is indefinite. not render the contract void. b.Yes, because Sebastian accepted it. FIRST: Cognition theory claims that a d.The sale is voidable because the c.No, because Craig failed to communicate contract is perfected when the acceptance agreement is made under duress. the offer. is made known to the offeror. SECOND: d.No, because the acceptance is invalid. Expedition theory claims perfection of Jhunique applied for an insurance with contract happens upon declaration of BSMA Insurance Company. The application acceptance even if it has not made known required Jhunique to undertake a physical The following are the effects of ratification, to the offeror yet. examination. However, since Jhunique was except; a.Both statements are TRUE. suffering from asthma, he requested Joey, a.None of the other stated choices; all are b.Only the SECOND statement is true. his identical twin brother who was very effects of ratification. c.Only the FIRST statement is true. healthy, to go through the physical b.Extinguishes the action to annul a d.Both statements are FALSE. examination and pretend that he was voidable contract. Jhunique. BSMA Insurance thus approved c.Makes the contract valid from its Yael entered into a contract of loan where the insurance policy believing that Jhunique inception subject to the prior rights of third he borrowed ?1,000,000.00 from Zoe. The had a clean bill of health. persons. document containing the contract stated a.There was no fraud or misrepresentation d.Obliges the party to return the object of that it was actually Ana who was borrowing at all because Joey is considered as an the contract. from Zoe and that Yael was only Ana’s agent of Jhunique. agent. In truth, Ana never authorized Yael b.The fraud employed was dolo causante. This occurs when a third person induces to borrow money. Which of the following c.The fraud employed was dolo incidente. another to violate his contract. statement is correct? d.The fraud committed is fraud in a.Accion Directa a.The contract in this case is void ab initio. performance. b.Tortious Interference b.In this case, the contract entered by Yael c.Mutuality and Zoe is not enforceable against Ana. Candy inherited Php3,000,000 mansion d.Consensuality Thus, Zoe cannot sue Ana to pay the from her late parents, and donated it to her amount borrowed. uncle, who gladly accepted it. However, FIRST: The incapacitated person is not c.In this case, Zoe can sue Ana to pay the Candy obtained a Php6,000,000 loan from obliged to make any restitution except amount borrowed. Fred a year ago and proved that Candy insofar as he has been benefited by the d.In this case, the contract entered by Yael cannot pay her debts. Can Fred ask for the thing or price received by him. SECOND: If and Zoe is enforceable against Ana. Zoe can rescission of the sale? the thing to be returned is lost without the sue Ana to pay the amount that was a.Yes, because Candy’s uncle is not a party fault of the person obliged to make borrowed. of Fred and Candy’s contract of loan. reparation, there is no more obligation to Refers to the insufficiency or inadequacy of return such thing. the cause of a contract: On her way home, Amy ran over an object a.Only the SECOND is true a.Falsity of Cause c.Simulation that tore the tire of her car. Not having any b.Both are true b.Want of Cause d.Lesion spare tire, she went to a nearby car spare c.Both are true parts to buy a new tire. However, she did d.Only the FIRST is true Due to threat and intimidation, Khaleed, 17 not have enough cash with her so she years old, sold his computer to Esmeralda, called Jake, her friend, who happened to be FIRST: An offer may be revoked or 24 years old, for ?40,000.00 payable in 10 friends with the owner, Charles. Through withdrawn at any time before it is accepted equal monthly installments. When Khaleed the phone, Jake promised Charles that he merely by communicating such intentions turned 18 years old, 4 installments were will answer the debt of Amy in case she to the other party. SECOND: Death, civil still due. Khaleed, with full knowledge of fails to pay. Thus, Amy was able to purchase interdiction, insanity or insolvency of either the situation, continuously collected the a new tire for P8 000 for which Charles party are exclusive grounds which render remaining installments. Later on, Khaleed issued a sales invoice to Amy. offer ineffective. alleged that the sale was executed by him a.Charles can enforce Jake’s promise a.First statement is false, while the second through the threat and intimidation of because there was a writing of some kind, is true. Esmeralda. Has Khaleed the right to ask for the invoice for the sale of the tire. b.First statement is true, while the second the annulment of sale? b.If Amy cannot pay, Charles can proceed is false. a.Yes, the sale can be annulled on the against Jake to make good his promise to c.Both statements are true. ground of the minority of Khaleed. pay Amy’s debt. d.Both statements are false. b.No, the sale cannot be annulled because c.Charles can enforce Jake’s promise to Khaleed continuously collected the money answer for Amy’s debt since the guaranty Vince sells his house and lot to Hans for 1.2 which means there is tacit ratification by was witnessed by Amy. million. Hans paid Vince with a check worth him. d.Jake’s promise cannot be enforced 1.2 million; it was found out that Hans does c.Yes, the sale can be annulled because against him because he did not execute any not have enough balance at the bank to pay Esmeralda used threat and intimidation in writing for the guaranty he made. 1.2 million. Is the contract valid? order to obtain the consent of Khaleed. a.Yes, because falsity of cause does not d.No, the sale cannot be annulled because It is something bargained for or given by a render a contract void. there is an express ratification made by party in exchange for a legally enforceable b.No, because the contract has no longer a Khaleed. promise of another. cause since Hans does not have balance at a.Motive c.Cause the bank to pay Vince. Dan published his Mountain Bike for sale in b.Option d.Object c.No, because there is failure of cause and Marketplace. With the description written it always render a contract void. below “Mountain Bike For sale, kindly FIRST: Contracts entered into during a lucid d.Yes, because failure to pay the stipulated contact 09121314151 or see Dan at Mango, interval is voidable. SECOND: There is no price after the execution of the contract Cebu City” Nat proceeded to the said mistake if the party alleging it knew the does not convert the contract into one address in his descriptions to see Dan. doubt, contingency or risk affecting the without cause. a.Dan may refuse to sell his Mountain Bike object of the contract. even if the price offered is fair and a.Only the SECOND is true. Maya voluntarily entered into an reasonable. b.Both are false. agreement with Lara whereby Maya is to b.Dan may refuse to sell his Mountain Bike c.Only the FIRST is true. render service as a servant to Lara as long to prospective buyers except Nat. d.Both are true. as her debt has not been fully paid. What is c.Dan cannot refuse to sell the Mountain the status of the contract? Bike even if he decides not to sell the A premature payment made by an insolvent a.Answer not given c.Voidable Mountain Bike anymore. debtor to his creditor. b.Valid d.Void d.Nat is now compelled to buy the a.Invalid payment Mountain Bike from Dan. b.Rescissible payment FIRST: Things having a potential existence, c.Simulated payment such as future inheritance, may be the Gina, a supplier of homemade chocolate d.Due payment object of the contract of sale. SECOND: The moist cake from Mandaue, Cebu City, hired particular motives in entering into a Berto, a Grabfood deliveryman, for a fee of Ted decided to sell his car for P300,000 to contract are not entirely different from the Php250 to deliver Gina’s chocolate moist Theo, who had just turned 17 years old. consideration thereof. cake to the Robinson Time Square in Theo was excited and immediately gave Ted a.Both are false Talamban Cebu City which ordered the a down payment of P50,000. However, Ted b.Only the SECOND is true homemade chocolate moist cake for a price received a better offer from Ross a day c.Only the FIRST is true of Php800. In so far as Gina is concerned, before the scheduled delivery of the car. d.Both are true her prestation in her contract with Berto is: Hence, Ted attempted to annul the contract A newlywed couple wanted to buy a house a.The payment of Php250 on the basis that Theo was a minor. Which and lot of their own. It happened that they b.The payment of Php800 of the following statements is correct? met Henry who works as a real estate agent c.The sale of chocolate moist cake a.Neither Ted nor Theo may annul the in Makati City. Henry then made an offer of d.The transport of the chocolate moist cake contract because a down payment was Php10,000,000 for both the house and lot. already made by one of the contracting The couple agreed but the wife wanted that FIRST: Those agreements which cannot be parties. the house must be an up–and–down type enforced by action in the court of justice b.Only Theo may annul the contract on the with a backyard, a lawn, and a garage in are not contracts but merely moral ground of his incapacity. front. Is the acceptance valid? agreements. SECOND: There can be a c.The contract can be annulled by Ted a.Yes, because they agreed. contract even if there is no obligation because Theo’s minority affects the validity b.No, because the offer of Henry is not accepted in return for some benefit to be of the contract. detailed. enjoyed. d.Either of the contracting parties can c.No, because there is a counter–offer or a a.Both are false. annul the contract because it is a voidable qualification or condition. b.Only the SECOND is true. contract. d.Yes, because they are going to pay. c.Only the FIRST is true. d.Both are true. QSTN: Emery verbally sold to Kella a P450,000. WHICH ONE IS THE OBJECT OF PROHIBITING A SECOND MORTGAGE specific parcel of land for P 100,000. IS THE THE SALE, AND WHAT IS THE STATUS OF WITHOUT THE CONSENT OF IVAN, THE SALE VALID AND ENFORCEABLE? THE CONTRACT? MORTGAGEE. THE CONTRACT FURTHER STATES THAT THE VIOLATION WILL CAUSE ANS. It is valid bec. all the essential ANS. The object cannot be determined. THE FORECLOSURE OF THE MORTGAGE AT elements of a contract are present. But it is Hence, the contract is void bec. the THE INSTANCE OF IVAN. LATER, WITHOUT not enforceable bec. sale of real property principal object cannot be ascertained. If THE CONSENT OF IVAN, ICELLE falls within the Statute of Frauds which the doubts are cast upon the principal MORTGAGED THE SAME PROPERTY TO must be in writing. OBJECT of the contract in such a way that it YLACH. CAN IVAN CONSIDER THE SECOND CANNOT BE KNOWN what may have been MORTGAGE NULL AND VOID? EXPLAIN QSTN: WHAT IF Kella needs a public the intention or will of the parties, the BRIEFLY. instrument to register the sale at the CONTRACT shall be null and VOID. (ART. Register of Deeds in order to transfer the 1378, LAST PAR.) ANS. No. The only right of Ivan under their title in her name, Kella asked Emery to contract is to foreclose the mortgaged execute the corresponding Deed of Sale. QSTN: Clandestine insured her life to property, but not to declare the second MAY EMERY BE COMPELLED TO DO SO? Sunlife Insurance Corp. In the contract of mortgage as void. A contract has the force insurance, it was stated that upon death, and effect of law between the parties. ANS. No bec. that remedy is only available the beneficiary may collect P100,000 or if the contract is both valid and P200,000. After two (2) years, Clandestine QSTN: ELOISE AND HUGH ENTERED INTO A enforceable. Since the contract in this case died. FOR HOW MUCH IS SUNLIFE LIABLE? CONTRACT INVOLVING A PARCEL OF LAND. is unenforceable, although valid, the right Explain briefly. AFTER THE EXECUTION OF THE CONTRACT, to compel the execution of the required HUGH ENTERED THE PROPERTY, FENCED IT form is not available. ANS. P200,000 bec. it was Sunlife who WITH HOLLOW BLOCKS, BEGAN caused the obscurity or doubtful figure CULTIVATING THE LAND, MADE CONCRETE QSTN: LEAH SOLD TO EDGAR A PARCEL OF appearing in the policy. Under Art.1377, IMPROVEMENT, AND KEPT ON PAYING THE LAND FOR P400,000. LEAH EXECUTED A the interpretation of obscure words or REAL ESTATE TAX OF THE LAND FOR TEN CONTRACT OF MORTGAGE INSTEAD OF A stipulations in a contract shall not favor the (10) YEARS, ALL WITH THE KNOWLEDGE OF SALE. BELIEVING THAT THE INSTRUMENT IS party who caused the obscurity. ELOISE. WHAT KIND OF CONTRACT WAS A SALE, EDGAR AFFIXED HIS SIGNATURE. IF EXECUTED BY AND BETWEEN ELOISE AND EDGARLATER ON FILES AN ACTION FOR THE QSTN: LURD ED APPOINTED JOHN ZEUS AS HUGH? EXPLAIN BRIEFLY. FORECLOSURE OF MORTGAGE, MAY HE AGENT. IT WAS STATED IN THE CONTRACT ALSO ASK FOR THE REFORMATION OF OF AGENCY THAT JOHN ZEUS MAY EXACT ANS. Sale. This is clear from the subsequent CONTRACT? EXPLAIN BRIEFLY. PAYMENT BY LEGAL MEANS. JOHN ZEUS, acts of the parties to the contract. THEREFORE, BY VIRTUE OF THIS POWER, (Art.1371) Here, what was being ANS. No, Art.1367 provides that when one HIRED A LAWYER TO FILE A NECESSARY transferred is not only the possession but of the parties has brought an action to ACTION IN COURT TO COLLECT MONEY also the ownership of the land. 1371. In enforce the instrument, he cannot FROM DEBTORS OWING LURD ED. IS THE order to judge the intention of the subsequently ask for its reformation. An HIRING OF THE LAWYER WITHIN THE SCOPE contracting parties, their contemporaneous action for foreclosure of mortgage is an OF HIS AUTHORITY? EXPLAIN BRIEFLY. and subsequent acts shall be principally action to enforce the contract of mortgage. considered. This is an act of ratification and Edgar is ANS. Yes bec. this is in keeping with the therefore guilty of estoppel. nature and object of the contract of agency. QSTN: STAN DELIVERED TO KYLE HIS 1375. Words which may have different PARCEL OF LAND AND KYLE GAVE STAN QSTN: DR. borrowed from CR. P10,000 with significations shall be understood in that P100,000. THE FOLLOWING WAS STATED IN 12% interest per annum. It was not clear which is most in keeping with the nature THE DOCUMENT: “FOR AND IN whether the loan is for three years or six and object of the contract. CONSIDERATION OF P100,000, I HEREBY years. WHAT IS THE DURATION OF THE TRANSFER THE OWNERSHIP OF MY PARCEL LOAN? Explain briefly. QSTN: CAMELLE SOLD TO WENDY HER OF LAND.” THE TITLE OF THE CONTRACT HOUSE INCLUDING “ALL FURNITURE ENTERED INTO IS DENOMINATED AS A ANS. SIX YEARS. In onerous contracts, the THEREIN”. FOUND INSIDE THE HOUSE ARE: “CONTRACT OF LEASE”. WHAT KIND OF law favors the greatest reciprocity of A NARRA TABLE BELONGING TO CHONA, A CONTRACT WAS EXECUTED BY AND interest. Here, CR. can earn interest for a WASHING MACHINE, A HI-FI STEREO, AND BETWEEN STAN AND KYLE? EXPLAIN longer period and DR. can also use the A 21-INCH TELEVISION SET. ARE THESE BRIEFLY. money for a longer term. OBJECTS MENTIONED INCLUDED IN THE SALE? EXPLAIN BRIEFLY. ANS. Sale. What is controlling is not the QSTN: If you are in need of a shovel, and I title but the intention of the parties. gave one to you, how would the transaction ANS. No. The table is not owned by Camelle (Art.1370) Here, it is clear that what is be considered - a loan or a donation? so she cannot transfer its ownership. The being transferred to is the ownership and Explain briefly. washing machine, Hi-Fi stereo and TV are not merely the possession of the land. not furnitures but appliances. The words ANS. LOAN (Commodatum). In gratuitous used are so general that they cannot contracts, the law favors the least include things distinct from what the transmission of rights. Loan transmits lesser parties intended to agree. (Art.1372) 1372. rights than donation which transfers However general the terms of a contract ownership of the shovel. may be, they shall not be understood to comprehend things that are distinct and QSTN: TYRAEL SOLD TO JABEZ A MOTOR cases that are different from those upon VEHICLE FOR P500,000. AT THAT TIME, which the parties intended to agree. TYRAEL OWNS THREE (3) MOTOR VEHICLES: FORD ESCAPE VALUED AT P700,000; HYUNDAI STAREX VAN VALUED AT QSTN: ICELLE MORTGAGED HIS PROPERTY P300,000; AND TOYOTA RAV-4 VALUED AT TO IVAN. THERE IS A STIPULATION