FINALS ACTIVITY 2

In a sale of personal property on installment basis, should the buyer fail to pay one
installment, the unpaid seller has this remedy or remedies
A. To exact fulfillment only
B. To cancel the sale only
C. To foreclose the chattel mortgage only
D. To choose from exacting fulfillment cancellation of the sale or foreclosure of the
chattel mortgage, if any has been constituted
In the sale of personal property, should the unpaid seller choose foreclosure of the
chattel mortgage as his remedy, which is true or false?
Statement 1: If the proceeds of the sale of the public auction are more than the
remaining obligation, excess shall appertain to the buyer.
Statement 2: If the proceeds of the sale are less than the remaining obligation, the
deficiency judgment cannot be recovered by the unpaid seller from the buyer and if
there is an agreement to that effect, such agreement is considered null and void
according to the Recto Law
A. Both statements 1 and 2 are correct
B. Neither Statement 1 nor 2 is correct
C. Only Statement 1 is correct
D. Only Statement 2 is correct
S sold to B a specific car for P100,000 payable in four (4) equal installments. First and
second installments, B failed to pay. The right of S is:
A. Exact fulfillment of the obligation
B. Cancel the sale
C. Demand payment from B
D. All of the choices
Which of the following statements is erroneous?
A. Recto Law can be found in the Civil Code
B. Recto Law is applicable in case of sale of real property by installment with
mortgage
C. Maceda Law is a special law
D. Maceda Law is applicable to sale of condominium units by installments
Art. 1484 of the Civil Code, as amended by Recto Law, applies in case of personal or
real property by installment
A. True
B. False
The Realty Installment Buyer Protection Act or the Maceda Law provides for protection
to buyers of real estate on cash basis against onerous and oppressive conditions
A. True
B. False