ANSWER KEY

COMPREHENSIVE EXAMINATIONS – RFBT

DISCLAIMER: The Copyright of this Answer Key and its corresponding Questionnaire
belong to Atty. Marc Lovel C. Bedona. Distribution of this Answer Key and its corresponding
Questionnaire without knowledge and consent of the copyright owner is strictly prohibited.
Violators will be dealt with under applicable Philippine laws.

1. B – A is the definition of juridical necessity provided by Bedona. C is the definition of

juridical necessity provided by De Leon. B is the definition of obligation provided by the
Supreme Court in the case of Makati Stock Exchange, Inc. et al. v. Miguel V. Campos et
al.
2. C – Acts and omissions punishable by law are mainly governed by the Revised Penal Code
and other special criminal laws, not the New Civil Code.
3. C – Contrary to the example given by De Leon in his book, the quasi-contract applicable
in this case is not negotiorum gestio, but another form of quasi-contract found in Article
2168 of the New Civil Code.
4. A – Diligence of a good father of a family is also known as due diligence.
5. B – Fruits produced from the soil through human intervention (cultivation, labor) are
considered industrial fruits. Natural fruits are spontaneous products of the soil (no human
intervention) and the young and other products of animals (with or without human
intervention). Civil fruits are limited to rents of buildings, the prices of leases of land and
other property and the amount of perpetual or life annuities.
6. D – Sec. 18(2) Article III of the Bill of Rights states that no involuntary servitude in any
form is allowed except as punishment for a crime where the accused is duly convicted. The
debtor cannot be compelled to perform his obligation to do because it is tantamount to
involuntary servitude. Hence, the creditor can ask for damages instead. However, a debtor
can be compelled to perform his obligation to give because it is not tantamount to
involuntary servitude.
7. D – Article 1170 states that those who in the performance of their obligations are guilty of
fraud, negligence, or delay, and those who in any manner contravene the tenor thereof, are
liable for damages. The debtor in Situation A is guilty of fraud. The debtor in Situation B
is guilty of negligence. The debtor in Situation C contravened the tenor of the obligation.
8. B – I is true. As a general rule, payment is applied to the interest first before being applied
to the principal. However, if the creditor issues a receipt for the principal amount without
any mention of any pending interest, there is a presumption that the interest is fully paid
already. This presumption can be disputed in court by the creditor. II is also true. In
payment by installments, payment is applied to prior unpaid installments first. However, if
the creditor issues a receipt for the current installment without mention of any unpaid prior
installment, there is a presumption that the prior installments were fully paid. This
presumption can also be disputed in court by the creditor.
9. A – II is false. A potestative obligation is only void if the fulfillment of the condition
depends upon the sole will of the debtor. Otherwise, it is valid.
10. D – As a joint creditor, Sam can only demand from the debtors her share in the claim which
is P30,000.00 (P90,000.00 / 3). However, since the debtors are liable jointly, she cannot
collect from any one of them the entire amount of P30,000.00. She can only collect up to
P10,000.00 from each of the said joint debtor. Hence, each debtor is liable to Sam for
P10,000.00 only (P30,000.00 / 3).
11. C – When a debtor has several monetary obligations with one creditor and no application
of payment was made, the payment shall be applied to the most onerous one. B is the least

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 onerous because the entire debt can be collected from another solidary debtor. A is the
second least onerous because the remaining options have added interest or penalties. The
legal interest of D is only 6% per annum (P1,500.00 per year) which is lower than the
P5,000.00 penalty of C. In addition, there was no mention of how long the obligation with
interest remain unpaid, so we cannot assume that beyond what is given in the facts.
12. A – In confusion, the characters of creditor and debtor are merged in the same person such
as the case here where Mary, the debtor, obtained her own promissory note from Daniel.
Making her the creditor of her own debt. Compensation is the offsetting of debts between
two (2) persons who are creditor and debtor of each other. Novation is substantially
modifying the object of the obligation or its principal condition, or any of the parties.
Payment by cession is the assignment of all of the properties of the debtors to the creditors
in payment of his debts.
13. B – Upon a careful perusal of the facts, it is clear that Jezreel acted in good faith. She
intended to deliver the vehicle on time. She was indeed in delay (by only 4 minutes), but
said delay was caused by the inevitable event of the massive traffic caused by the rallies of
two presidential candidates. In fact, she informed Cherry from time to time of the situation.
Hence, she cannot be faulted for the loss (total destruction) of the vehicle later on due to
delay. She was also not negligent. There was no showing in the problem of her being
negligent. Hence, the presumption is that she acted diligently in preserving the vehicle. D
is not a correct statement as Jezreel can still be held liable for the loss due to fortuitous
event if she acted in bad faith, delay, negligence, etc.
14. A – Julian and the bank are creditors and debtors of each other and their respective
obligations are purely monetary. Hence, compensation or offsetting of debts can be applied
in this case. Compensation takes effect by operation of law if all the requisites of Art. 1279
are satisfied. As all the requisites are complied in this case, the bank can effect
compensation. B is wrong as both contracts between the parties is not that of a legal deposit,
but that of a loan. C is wrong because the obligations of both parties are purely monetary.
D is wrong as this is not the only remedy available to the bank.
15. D – A, B and C are ways in which novation takes effect.
16. B – The statement is the legal definition of a contract as provided by the New Civil Code.
17. A – A stipulation pour autrui is a stipulation in the contract that directly favors a third
person. That third person can still go after the parties even if the latter struck down the
stipulation or the contract as a whole if he has accepted the stipulation in writing prior to
the stipulation pour autrui being struck down.
18. B – Both statements are true and can be found in Art. 1319 of the New Civil Code.
19. A – An unemancipated minor, no matter how high the IQ, cannot give consent. An
“unemancipated minor” or simply “minor” is a person who has not reach the age of
eighteen (18). Elsa in B can give consent as depression does not make the person insane or
demented as mention in Art. 1327 of the New Civil Code. Sandy in C can give consent as
she is a well-known deaf-mute author. In essence, she knows how to write. Only deaf-
mutes who do not know how to write cannot give consent as mentioned in Art. 1327(2) of
the New Civil Code.
20. D – I. Causal fraud is fraud employed in the EXECUTION of the contract which renders
the contract voidable. II. Incidental fraud is fraud employed in the PERFORMACE of the
contract which does not render the contract voidable.
21. C – According to Art. 1335 of the New Civil Code, a threat to enforce one’s claim through
competent authority, if the claim is just or legal, does not vitiate consent. Here, the threat
of Almira to sue Therese is tantamount to a threat to enforce one’s claim which is allowed
since it is true. A is wrong since the threat to sue in this case does not amount to a reasonable
and well-grounded fear of an imminent and grave evil upon. B is wrong since no serious
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 or irresistible force as defined in the New Civil Code was employed by Almira to Therese.
D is wrong since there was no undue influence in this case, only the enforcement of a legal
claim.
22. D – A is wrong because obligations with unlawful cause produce no effect (Art. 1352, New
Civil Code). Hence, it is wrong to state that anything can be a valid consideration as long
as the parties consent to it. B is wrong because intangible objects can be valid
considerations. C is wrong because there is no express statement that all intangible objects
can be valid considerations. D is correct because love and affection are outside the
commerce of men, hence cannot be measured in monetary value. Take note that if the
statement is “love, affection and liberality of the benefactor/giver”, there is a valid
consideration (Art. 1350, New Civil Code).
23. B – Art. 1355 states that inadequacy of cause or consideration will not invalidate a contract
unless there has been fraud, mistake or undue influence or if the law considers it as invalid.
24. D – Art. 1366 states that there can be no reformation in A, B and C.
25. A – Interpretation only steps in if there is doubt as to the meaning of some or all provisions
of the contract. According to Art. 1370 of the New Civil Code, if the terms of the contract
are clear and leave no doubt as to the intention of the parties then there is no room for
interpretation.
26. C – Contracts undertaken in fraud of creditors is rescissible when said creditors cannot in
any manner collect the claims due them. A is not rescissible because the lesion suffered by
the minor is P50,000.00 which does not exceed one-fourth of the value of the property. B
is not rescissible because there was no lesion suffered by the absentee. In fact, the absentee
should be happy that his agent sold it for more than the value. D is not rescissible since the
property is not in litigation anymore as the case has been dismissed and the decision of the
court became final and executory.
27. C – See Art. 1390 on Voidable Contracts.
28. A – A contract entered into by an agent who acted within his power is valid and
enforceable. The rest are unenforceable contracts according to Art. 1403 of the New Civil
Code.
29. B – I. A void contract cannot be made valid through reformation. The proper remedy is to
create another contract. II. According to Art. 1411 and 1412(1), parties who are in pari
delicto or at fault for the illegality of contract cannot recover what they have given or
rendered in a void contract.
30. D – According to Art. 1410, the action or defense for the declaration of the inexistence of
a contract does not prescribe.
31. B – The question and answer are self-explanatory.
32. A – II is wrong because the accused may be convicted with the penalty of imprisonment
only OR fine only OR both imprisonment and fine.
33. B – According to general banking practice, checks become stale six (6) months after the
date of issue found in the check.
34. C – A check is a negotiable instrument, specifically a bill of exchange, drawn by a person
called the drawer, ordering a drawee who is always a Bank to pay the payee a sum certain
in money.
35. B – Sec. 1 of B.P. 22 or the Anti-Bouncing Check Law provides for two (2) ways of
violating said law. The first way is issuing a check knowing that the bank account does not
contain sufficient funds. The first way of violating the law is not applicable here because
there were sufficient funds when the check was issued. The second way of violating the
law is issuing a check with sufficient funds in the account, but failing to maintain the said
funds within ninety (90) days from the date appearing on the check, leading to the check
bouncing due to insufficient funds. Here, the check was presented to the bank on June 30
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 or four (4) months or 120 days from issue date. In addition, it was also mentioned in the
problem that Azula only withdrew money on June 30. Hence, she was able to maintain
sufficient funds for the ninety (90) day period. Therefore, she cannot be convicted of
violating B.P. 22, but Zuko can go after her by filing a civil case.
36. C – A and B are wrong because the purpose of the Philippine Competition Act is not to
eliminate market competition or market monopolies, but to regulate them.
37. D – All choices are prohibited acts under the Philippine Competition Act, hence, the answer
should be D as the question calls for a choice that is not a prohibited act.
38. B – This is the word-for-word definition of partnership under Art. 1767 of the New Civil
Code.
39. A – The contract of partnership is consensual, hence, it is perfected by mere consent or
meeting of the minds of the parties with respect to the object and consideration of the
contract.
40. B – Art. 1797 of the New Civil Code provides that if the partnership agreement is silent as
to distribution of profits, the proportion of the partner’s capital contributions shall be the
basis for that partner’s participation in the profits.
41. B – According to Art. 1813 of the New Civil Code, conveyance of a partner of her whole
interest in the partnership does not of itself dissolve the partnership. Absent the consent of
all parties to admit Tristan as a new partner, Tea will continue to perform her duties as a
partner, but any profit due to her will be given to Tristan instead.
42. B – I. Art. 1846 of the New Civil Code provides that the name of the limited partner shall
not appear in the partnership name as a general rule subject to the following exceptions:
(1) it is also the surname of the general partner, and (2) prior to the time when the limited
partner became such, the business has been carried on under a name in which his surname
appeared. II. Two or more persons desiring to form a limited partnership must comply with
Art. 1844 of the New Civil Code which includes filing the Certificate of Limited
Partnership with SEC.
43. C – This is the very definition of a corporation as stated in Sec. 2 of the Revised
Corporation Code.
44. C – A corporation is incapable of incriminating itself as it cannot testify as a witness in
court or in any other judicial or quasi-judicial proceeding. Hence, the right against self-
incrimination is unavailable to it.
45. D – The grandfather rule determines the actual Filipino ownership and control in a
corporation by tracing both the direct and indirect shareholdings in said corporation
(www.alburolaw.com). While at first glance, it appears that First Corporation is complying
with the 60-40 ownership requirement, applying the grandfather rule in this case will
determine true ownership. 30% of A Corporation (a Filipino corporation who owns 60%
of First Corporation) is owned by foreigners. Hence, 18% (30% x 60) of the 60% ownership
of First Corporation by A Corporation is owned by foreigners and the remaining 42% is
owned by Filipinos. So in actuality, only 42% of First Corporation is owned by Filipinos
while 58% (40% + 18%) is owned by foreigners, thereby violating the 60-40 ownership
requirement.
46. C – This is the very definition of the Doctrine of Piercing the Veil of Corporate
Fiction/Entity. This doctrine is used to go after wrongdoers who uses the separate
personality of the corporation to perpetuate or conceal their unlawful acts.
47. C – The governing law for private corporations is R.A. No. 11232 or the Revised
Corporation Code of the Philippines.
48. D – Sec. 18(3) of the Revised Corporation Code provides that the corporate existence and
juridical personality of a corporation commences from the date SEC issues the certificate
of incorporation under its official seal.
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49. A – The submission of by-laws together with the articles of incorporation is not required
for the incorporation of a corporation. While the Revised Corporation Code removed the
provision that requires the by-laws to be submitted with the articles of incorporation OR
within thirty (30) days from incorporation, it is still believed that the by-laws can still be
filed after incorporation, but should be filed immediately when completed or as soon as
possible. While the corporation has not yet submitted their by-laws and have not been
struck down by SEC for non-submission of the same, they remain as a valid corporation
with color of title, otherwise known as a de facto corporation.
50. A – Due to the introduction of one-person corporations under the Revised Corporation
Code, there is no more minimum number of incorporators as a general rule (previously, a
minimum of five (5) incorporators is required). The maximum number of incorporators is
fifteen (15) as stated by Sec. 10 of the Revised Corporation Code.
51. B – Statutory corporate officers are limited to president, secretary, treasurer, and, in
corporations vested with public interest, compliance officers. The vice president is not a
statutory corporate officer in general unless considered as such in the articles of
incorporation and by-laws.
52. D – Originally, the corporate term of the corporation is 50 years which can be renewed.
The Revised Corporation Code provides perpetual existence for corporations. Those
corporations who do not have specific terms but depend upon the 50 year period had their
corporate term changed to perpetual existence when the law took effect.
53. C – A is wrong. The term cannot be renewed because the corporate existence has already
expired. It should have been renewed prior to the expiration of the term. B is wrong since
filing of new articles of incorporation with SEC is for the creation of new corporations and
not for the extension of term for corporations already registered with SEC. C is the proper
remedy since renewal is unavailable. Hence, the corporate existence needs to be revived
first.
54. A – The minimum requirements of increasing the authorized capital stock is as follows:
25% of the increase in authorized capital stock must be subscribed, and 25% of the
subscribed capital stock pertaining to the said increase must be paid.
55. A – This is the very definition of ultra vires act of the corporation. It is not limited to illegal
acts. It is differentiated from ultra vires act of officers as the latter is limited to the acts of
the officer compared to the former which are acts done by the corporation itself.
56. D – In cases where the stockholder directly transfers his shares of stock to another, the
corporation will not recognize the buyer as the new stockholder unless the transaction is
entered into the stock transfer book of the corporation.
57. A – Consolidation occurs when two (2) or more corporations merge together to form a new
corporation. Here, the corporations cease to exist and the new corporation will prevail.
Merger occurs when one (1) corporation absorbs the other/s. Here, the existence of the
absorbing corporation will prevail while the corporation/s absorbed will cease to exist.
Conglomeration and absorption are not legal terms recognized by the Revised Corporation
Code, although they have similarities with consolidation and merger.
58. D – This is the very definition of a cooperative under Art. 3 of the Philippine Cooperative
Code.
59. B – I. Just like partnerships and corporations, cooperatives enjoy juridical personality
which is separate and distinct from its members. II. Since cooperatives have juridical
personality, members thereof have limited liability. They cannot be held personally liable
for the acts of the cooperative unless they themselves have a direct hand in the said act
beyond their authority.
60. C – According to Art. 8 of the Philippine Corporation Code, no cooperative or method or
act thereof which complies with this Code shall be deemed a conspiracy or combination in
5
 restraint of trade or an illegal monopoly, or an attempt to lessen competition or fix prices
arbitrarily in violation of any laws of the Philippines. C is the closest answer to this
provision.
61. C – According to Art. 10 of the Philippine Cooperative Code, a primary cooperative
requires fifteen (15) or more natural persons who are Filipino citizens and have a common
bond or interest in order to be organized.
62. B – Art. 13 of the Philippine Cooperative Code provides that the term of a cooperative is
fifty (50) years which is renewable for another fifty (50) years and so on and so forth.
63. A – I. Art. 712 of the New Civil Code provides that intellectual creation is a mode of
acquiring ownership. II. The governing law for matters of intellectual property is the
Intellectual Property Code of the Philippines, not the New Civil Code.
64. B – It is not the duty of the Intellectual Property Office to assist in the publishing of the
copyrightable work (in cases of literary works and musical compositions). That
responsibility is left to the chosen publisher of the author.
65. B – The school will have ownership of the mural, but Gio maintains the copyright of his
work, unless there was an agreement to the contrary.
66. C – “Decisions of courts are not written to earn merit, accolade, or prize as an original
piece of work or art. Deciding disputes is a service rendered by the government for the
public good. Judges issue decisions to resolve everyday conflicts involving people of flesh
and blood who ache for speedy justice or juridical beings which have rights and obligations
in law that need to be protected. The interest of society in written decisions is not that they
are originally crafted but that they are fair and correct in the context of the particular
disputes involved. Justice, not originality, form, and style, is the object of every decision
of a court of law.” (En Banc, A.M. No. 10-7-17-SC, February 8, 2011)
67. C – The rights in a mark shall be acquired through registration made validly in accordance
with the provisions of this law (Sec. 122, Intellectual Property Code).
68. A – The Dominancy Test is the controlling test used to determine trademark infringement
by focusing on the prevalent features of the competing trademarks which may cause
confusion or deception. The Holistic Test requires that the entirety of the marks in question
(not merely the prevalent features) be considered in resolving the confusing similarity. The
Idem Sonans Rule or “Aural Effects” is used in the application of the Dominancy Test
where what are taken into account are signs, colors, design, peculiar shape or name, or
some special, easily remembered earmarks of the brand that readily attracts and catches the
attention of the ordinary consumer. Expansion of Business Rule gives protection to the
trademark not only in the current goods of the trademark owner, but also to potential goods
he may expand his business to where there is likely to cause confusion should the trademark
not be protected.
69. B – This is the very definition of patentable invention as mentioned in Sec. 21 of the
Intellectual Property Code. Interestingly enough, there is no definition for patent under the
said law.
70. B – Sec. 24 of the Intellectual Property Code provides that the term of the patent shall be
twenty (20) years from the filing date of application.
71. D – Sec. 3(a) of the PDIC Charter states that the PDIC Board of Directors shall be
composed of (1) the Secretary of Finance who shall be the ex-officio chairman, (2) the
Governor of the Bangko Sentral ng Pilipinas who shall be an ex-officio member, (3) the
President of PDIC (appointed by the Philippine President) who shall also be an ex-officio
member, and (4) four (4) members of the private sector who shall be appointed by the
Philippine President. The Chairman of the Monetary Board is not a member of the board
because the Governor of BSP already represents BSP in said board.

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72. C – The three functions of the PDIC are (1) being the deposit insurer of bank deposits, (2)
being a co-regulator of banks, and (3) being a receiver and liquidator of closed banks. The
PDIC does not guarantee investments. It does not become liable to those who suffered
losses in their investment portfolios.
73. C – This is the definition of Examination provided by Sundiang, Jr. and Aquino in their
book, Reviewer in Commercial Law, 2019 Edition. Examination requires prior consent of
the Monetary Board.
74. A – This is the definition of Investigation provided by Sundiang, Jr. and Aquino in their
book, Reviewer in Commercial Law, 2019 Edition. Investigation does not require prior
consent of the Monetary Board as this is generally conducted after an examination is
performed and the latter requires consent of the Monetary Board. (See PDIC notes for other
reasons why consent is not needed in Investigation.)
75. D – Sec. 12 of the PDIC Charter provides that all banks ordered closed by the Monetary
Board shall be liquidated even if it can still be rehabilitated.
76. B – The main purpose of R.A. No. 1405, which deals with Philippine bank deposits, as can
be gleaned from Sec. 1 thereof, is for the Government to give encouragement to the people
to deposit their money in banking institutions and to discourage private hoarding.
Protecting banking information (Choice A) is one way to satisfy this purpose. Regulating
banking practice (Choice C) is governed by the Central Bank Act and General Banking
Law.
77. A – BIR can inquire into the bank deposit of the taxpayer if the latter will apply for a tax
compromise or reduction in tax liability due to insufficient funds to effectuate full payment.
BIR can inquire into the bank deposit to determine if the taxpayer has indeed insufficient
funds to pay his tax liability. B is wrong because BIR can inquire into the bank deposit of
a deceased taxpayer for estate tax purposes. It CANNOT inquire into the bank deposit for
REAL estate tax (a tax on real properties) purposes. C is wrong because it is the foreign
government and not BIR who must initiate the inquiry of a foreigner’s Philippine bank
deposit. D is wrong as determination of actual correct income should be based on records
submitted by the taxpayer and should not be based on the taxpayer’s bank account.
78. D – In cases where monetary liability is awarded, the remedy of garnishment can be availed
of by the creditor so that payment can be taken from the bank deposit, salary or other credit
accounts of the debtor. If a bank deposit is garnished in this case, the amount contained
therein is not revealed. Hence, the R.A. No. 1405 is not violated. It should also be worth
noting that foreign deposit accounts generally cannot be garnished.
79. C – According to banking practice, a waiver couched in general terms is not valid. The
waiver should include, among others, the account number, account name, and the bank
branch where the account was set up in order for the waiver to be valid. See notes on the
Secrecy of Bank Deposits for the full list of requirements.
80. A – Gaining access to banking information of a depositor (like a bank notice) without
authority to do so constitutes as unlawful inquiry which is a violation of R.A. No. 1405.
This would not be the case if the information was obtained by merely overhearing the same
or from a third person. Here, although Jacob merely overheard the controversy, his overt
action of using Bella’s computer to verify the information is tantamount to unlawful
inquiry. If, for example, Bella was the one who gave Jacob the banking information, there
was no unlawful inquiry on the part of Jacob, but there was unauthorized disclosure on the
part of Bella. Also take note that unauthorized disclosure can only be committed by
banking officers and employees.
81. D – This is the very definition of creditor in the Truth in Lending Act.
82. B – The contract will remain valid and binding, but the provision of the contract violating
the Truth in Lending Act will be removed.
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83. C – If it is sourced from twenty (20) or more persons in the form of deposits, the entity is
considered as a bank. If it is sourced from twenty (20) or more persons in the form of
deposit substitutes, the entity is considered as a quasi-bank.
84. C – There was no violation of the Truth in Lending Act in this case as the problem never
mentioned any required disclosures being violated. However, Hansel is liable under R.A.
No. 9474 which regulates lending companies. Under Sec. 12, any officer, employee or
examiner of SEC directly charged with the implementation of R.A. No. 9474 or of other
government agencies who shall commit, connive, aid, or assist in the commission of acts
prohibited by the same shall be held criminally liable.
85. D – Free insurance coverage is not one of the required disclosures mentioned in the Truth
in Lending Act. It is a mere added benefit that is outside the scope of the said law.
86. C – Money LAUNDERING is the correct spelling.
87. A – Self-explanatory.
88. B – Self-explanatory. Plus, the word “layering” was mentioned in the definition.
89. C – Self-explanatory.
90. D – All of them are obligations of the covered entities. Hence, none of them are the
exception.
91. A – The Safe Harbor Provision can be found in Sec. 9 of R.A. No. 9160 or Anti-Money
Laundering Act as well as the Revised Implementing Rules and Regulations of AMLA.
92. A – Theft (Art. 308 of the Revised Penal Code) is not considered as an “unlawful activity”
or “predicate crime” under AMLA. Qualified theft (Art. 310 of the Revised Penal Code),
however, is considered as an “unlawful activity” or “predicate crime”.
93. D – All choices are ways of committing money laundering. Hence, none of them are the
exception.
94. C – Tax evasion is not an “unlawful activity” or “predicate crime” under AMLA.
95. C – The freeze order cannot exceed six (6) months including the initial twenty (20) day
period. Here, the Court of Appeals did not specify the period of extension, hence, the grant
of said extension is not valid.
96. A – I. Sec. 6 of R.A. No. 11210 (105-Day Expanded Maternity Leave Law)provides that,
in the absence of the child’s father, maternity leave credits of the female worker enjoying
the said benefits can be allocated to an alternate caregiver who may be the current partner
of the said female worker. The law did not specify the gender of the partner. Hence, the
word “current partner” includes a female person (girlfriend). This is one of the more
progressive provisions of Philippine laws. II. Sec. 6 of R.A. No. 11210 does not require
the father to be married to the female worker. That requirement is found in the provisions
of paternity leave under the Paternity Leave Act (R.A. No. 8187). Hence, in theory, the
father of the child can enjoy up to seven (7) days of allocated maternity leave credits under
R.A. No. 11210 AND seven (7) days of paternity leave benefit under R.A. No. 8187 if the
father is married to the female worker.
97. D – I. Employees who work during a REGULAR holiday are entitled to HOLIDAY Pay.
II. Employees who work during a SPECIAL holiday are entitled to PREMIUM Pay.
98. B – Overtime work on a certain date cannot be offset by undertime work of another date.
The proper action of the supervisor is either to (1) not require Roger to work an additional
hour on the day he was late but pay him for seven (7) hours worth of work, OR (2) require
Roger to work for an additional hour on the day he was late and pay him for eight (8) hours
worth of work. There is no overtime pay for the latter option as Roger did not exceed eight
(8) hours of work.
99. B – If laws providing for labor benefits and the actual benefits being given to the
employees are different from each other, the one more beneficial to the employee shall
prevail. This is because the provisions of the Labor Code and other labor laws are the
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 minimum benefits that should be afforded to employees. If the employer provides better
benefits, then it should prevail. If the employer provides lesser benefits, then the provision
of the Labor Code and other labor laws should prevail. Also, “service incentive leave” and
“vacation leave” are treated as the same EXCEPT if the employer expressly provides both
as separate benefits.
100. B

Time Calculation Total

07:00 PM – 10:00 PM (3 hours x P200.00) P600.00

10:00 PM – 03:00 AM (5 hours x P200.00 x 1.10 NSD P1,100.00

P1,700.00