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1.

Is the conditional sale one imposed on perfection of the sale or merely on its
performance?

No, paragraph a. of the Conditional Deed of Sale, stating that respondent shall pay
the balance of the purchase price when he has successfully negotiated and secured a
road right of way, is not a condition on the perfection of the contract nor on the
validity of the entire contract or its compliance as contemplated in Article 1308. It is
a condition imposed only on respondent’s obligation to pay the remainder of the
purchase price.

2. Was the condition a potestative condition solely on the will of Buyers, which under Art
1182 of the Civil Code is void.

No, the condition is not void because it is not the type of condition contemplated
under Article 1182.

Article 1182 provides that: Art. 1182. When the fulfillment of the condition
depends upon the sole will of the debtor, the conditional obligation shall be void.
If it depends upon chance or upon the will of a third person, the obligation shall
take effect in conformity with the provisions of this Code.

Applying Article 1182, such a condition is not purely potestative. It is not dependent
on the sole will of the debtor but also on the will of third persons who own the
adjacent land and from whom the road right of way shall be negotiated. In a manner
of speaking, such a condition is likewise dependent on chance as there is no
guarantee that respondent and the third party-landowners would come to an
agreement regarding the road right of way. This type of mixed condition is expressly
allowed under Article 1182 of the Civil Code.

3. Applying Art. 1545 of the Civil Code, who had the option to rescind the sale?

The Buyers have the option to rescind the sale as provided Article 1545.
The Sellers contention that the right to rescind the contract is untenable because the
Seller was the one who committed a breach of the contract by making misrepresentations
and offering the property to other buyers which contributed to the collapse of the
negotiation for the road right of way.
Under Article 1545, there must a breach committed which either be substantial or serious
to warrant the rescission which is present in the case.
The action for rescission may be brought only by the aggrieved party, thus, Buyers as the
aggrieved party in the case has the right to rescind the sale subject to the return of his
downpayment.

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