21.

It is a meeting of minds between two persons whereby one binds himself, with respect to the other,
to give something or to do render some service.

A. Contract

B. Quasi-contract

C. Law

D. Quasi-delict

A. (Art. 1305, NCC)

A contract undergoes various stages that include its negotiation or preparation its perfection and, finally,
its consummation.

Negotiation covers the period from the time the prospective contracting parties indicate interest in the
contract to the time the contract is concluded (perfected).

The perfection of the contract takes place upon the concurrent of the essential elements thereof.

The stage of consummation begins when the parties perform their respective undertakings under the
contract culminating in the extinguishment thereof (Ang Yu Asuncion, et.al. vs. CA and Buen Realty
Development Corporation, G.R. No. 109125, December 2, 1994.).

It is fundamental that a contract is the law between the parties. Obligations arising from contracts have
the force of law between the contracting parties and should be complied with in good faith. Unless the
stipulations in a contract are contrary to law, morals, good customs, public order or public policy, the
same are binding between the parties. It is a general principle of law that no one may be permitted to
change his mind or disavow and go bank upon his own acts, or to proceed contrary thereto, to the
prejudice of the party. Likewise, it is settled that if the terms of the contract clearly express the intention
of the contracting parties, the literal meaning of stipulations would be controlling (Edsel Liga vs. Allegro
Resources Corp., G.R. No. 175554, December 23, 2008.).

22. It refers to certain lawful, voluntary, and unilateral acts to the end that no one shall be unjustly
enriched or benefited at the expense of another.
A. Contract

B. Quasi-contract

C. Law

D. Quasi-delict

B. Quasi is a latin term which means “as of”.

Following Article 22 of the New Civil Code, two conditions must concur to declare that a person has
unjustly enriched himself or herself, namely:

A. A person is unjustly benefited; and

B. Such benefit is derived at the expense of or to the damage of another (Victoria Moreno-Lentfer,
et.al. vs. Hans Jurgen Wolff, G.R. No. 152317, November 10, 2004).

Under the law, there are three kinds of quasi-contracts, namely:

A. Negotiorum Gestio

B. Solutio Indebiti

C. Other Quasi-Contracts

23. Whoever voluntarily takes charge of the agency or management of the business or property of
another, without any power from the latter, is obliged to continue the same until the termination of the
affair and its incidents, or to require the person concerned to substitute him, if the owner is in a position
to do so.

A. Quasi-contract

B. Quasi-delict

C. Negotiorum gestio

D. Solution indebiti
C. There is no Negotiorum Gestio in either of these instances:

A. When the property or business is not neglected or abandoned;

B. If in fact the manager has been tacitly authorized by the owner (Art. 2144, NCC).

24. There is no negotiorum gestio in one of these instances:

I. When the property or business is not neglected or abandoned.

II. If in fact the manager has been tacitly authorized by the owner.

A. Only I is true

B. Only II is true

C. Both are true

D. Both are false

25. If something is received when there is no right to demand it, and it was unduly delivered through
mistake, the obligation to return it arises.

A. Quasi-contract

B. Quasi-delict

C. Negotiorum gestio

D. Solutio indebiti
D. For the extra-contractual obligation of solution indebiti to arise, the following requisites must be
proven:

A. The absence of a right to collect the excess sums and

B. The payment was made by mistake (Titan-Ikeda Construction and Development Corporation vs.
Primetown Property Group, Inc. G.R. No. 158768, February 12, 2008).

26. It refers to an act or omission which causes damage to another, there being fault or negligence. The
parties have no pre-existing contractual relation.

A. Quasi-contract

B. Quasi-delict

C. Negotiorum gestio

D. Solution indebiti

27. X by mistake delivered to A and B a sum of money which should have been delivered to C and D. X
now demand the return of the same from A and B. The liability of the latter for the sum of money to
which they are not entitled shall be:

A. A and B shall be liable solidarily

B. A and B shall be liable jointly

C. They are not liable

D. X has no right to recover

A. The responsibility of two or more payees, when there has been payment of what is not due, is
solidary (Art. 2157, NCC).
28. In delict or acts or omissions punished by law, what is not included in civil liability?

A. Restitution

B. Reparation of the damaged caused

C. Indemnification for consequential damages

D. Interest

D. Every person criminally liable for a felony is also civilly liable (Art. 100, Revised Penal Code).

The restitution of the thing itself must be made whenever possible, with allowance for any
deterioration, or diminution of value as determined by the court.

29. The following are requisites of quasi-delict, except:

A. Damage suffered by defendant.

B. Damage suffered by plaintiff.

C. Fault or negligence of the defendant.

D. Connection of cause and effect between the fault or negligence of defendant and the damage
incurred by plaintiff.

A. A plaintiff is the party who brings a civil suit in a court of law. A defendant is a person sued in a civil
proceeding or accused in a criminal proceeding.

30. I. Negligence is the failure to observe that degree of care, precaution, and vigilance that the
circumstances justly demand.

II. Negligence is the failure to observe for the protection of the interests of another person that degree
of care, precaution, and vigilance which the circumstances justly demand, whereby such other person
suffers injury.
A. Only I is true

B. Only II is true

C. Both are true

D. Both are false