Practice Questions

1. A natural obligation under the new civil code of the Philippines is one which cannot be
judicially enforced authorizes the oblige to retain the obligor’s payment or performance.
2. The source of obligations which is a rule of conduct, just and obligatory, promulgated by
legitimate authorities for the common good, benefit and observance, law.
3. They give a right of action to compel their performance, civil obligation.
4. This is based on equity and justice, natural obligation.
5. The efficient cause or juridical tie why the obligation exists, vinculum.
6. The following are sources of obligations derived from law except, contracts. (quasi-
delict, delicts, quasi-contracts)
7. The obligation of husband and wife to render mutual help and support arises from, law.
8. A juridical relation resulting from a lawful, voluntary, and unilateral act and which has its
purpose the payment of indemnity to the end that no one shall be unjustly enriched or
benefited at the expense of another, quasi-contract.
9. When something is received there is no right to demand it, and it was unduly delivered
thru mistake, the recipient has the duty to return it, solutio indebiti.
10. Tort or culpa aquiliana is quasi-delict.
11. A fault or act or omission of care which causes damage to another, there being no pre-
existing contractual relations between the parties, quasi-delict.
12. Which of the following is a civil obligation, a obliges himself to pay b 10,000 on October
30, 2021.
13. The following are the examples of an obligation except, prescription.
14. The right of the creditor that is enforceable against anybody is, what kind of right, real.
15. The right of the creditor that is enforceable against a definite creditor is personal right.
16. Synonymous to oblige, creditor and active subject (obligor, passive subject and debtor).
17. Ordinary diligence is diligence of a good father of a family.
18. From the time the fruits have been delivered, the creditor shall acquire, real right.
19. On August 1, 2020, A obliged himself to give his only dog to B if B passes the October
2020 CPA Examination. If the CPA examination was held on October 10, 11, 17 and 18
the results were released on October 19, 2020 and B passed and took his oath on
November 20, 2020, B is entitled to the dog on August 1, 2020.
20. If the dog gave birth to a puppy on October 18, 2020, which of the following is correct, A
is entitled to the puppy because in unilateral obligation, the debtor shall appropriate the
fruits.
21. If A delivered the dog and the puppy on October 20, 2020 which of the following is
correct, A can recover the puppy but not the dog.
22. If a thing refers to a class, to a genus and cannot be pointed out with particularity,
generic.
23. A wife was about to deliver a child. Her parents brought her to the hospital. Who should
pay the expenses for medical attendance?
1: the husband 2: the parents – only first is correct
24. Fruits arising out of contracts – like rental payments, civil.
25. A is obliged to give B 10 kilos of sugar, which is correct? A can insist on just paying B
damages or the monetary value of sugar.
26. Debtor’s default in real obligation, mora solvendi ex-re.
27. Default on the part of the creditor, mora accipiendi
28. A borrowed money from B payable on December 10, 2021. If A failed to pay on the due
date, will A be in delay, no, because demand has not been made by B.
29. Damages awarded to vindicate a right is nominal.
30. When the exact amount of damages cannot be ascertained is temperate.
31. A obliged himself to deliver to B the following:
1. 2021 yamaha organ 2. Passenger jeepney with engine no. 0210 and chassis no. 0202
- Both are true
32. False, false.
- responsibility arising from fraud is demandable in all obligations, ny waiver of an
action for fraud is void.
- If the law or contract does not state the diligence which is to be observed in the
performance of an obligation, that which is expected of a father is required.
33. A is obliged to deliver his only car to B on November 20,2021. I A does not deliver and
on November 22, 2021 a typhoon destroys the car, which is correct? A is not liable
because the obligation is extinguished.
34. What is the basis of the liability of a school when a student is stabbed inside the campus
by a stranger in the school? Contracts.
35. The thing itself shall be restored, as a rule restitution.
36. A consequential damages suffered by the injured person and those suffered by his family
or third person by reason of the act, indemnification.
37. Action to impugn or rescind acts or contracts done by the debtor to defraud the creditors,
accion pauliana.
38. True, False
- There is no delay in an obligation not to do something
- Solutio indebiti and negotiorum gestio are implied contracts.
39. The creditor has a right to the fruits of the thing from the time, the obligation to deliver
the thing arises.
40. If A pays a debt that has prescribed, both 1 and 2 are correct.
- Not knowing has prescribed, A can recover on the ground of undue payment
- Knowing it has prescribed, A cannot recover for this would be a case of natural
obligation.
41. The buyer has the right to the fruits of the thing from the time the sale is perfected.
42. A is obliged to give B his specific car on December 31, 2020. There was no delivery, and
on January 4, 2021 the garage of the car collapsed due to heavy rains and strong winds of
typhoon, and it was destroyed, is A still liable? No, because there was no demand by B to
deliver the car.
43. If the obligation is to give an indeterminate or generic thing, what right is available to the
creditor which is not available if the obligation is to give a determinate thing? To ask that
the obligation be complied with at the expense of the debtor.
 44. What condition must concur in order that the obligor/debtor shall be exempted from
liability by reason of fortuitous event? The cause of the breach of the obligation must be
independent of the human or of the will of the debtor.

Nature and Effects of Obligations

1. Lennie brought a business class ticker from Alta airlines. No, the breach of contract may
in fact be tortious as when it is tainted as in this case with arbitrariness, gross bad faith
and malice.
2. When one exercises a right recognized by law, knowing that he thereby causes an
injustice to another, the latter is entitled to recover damages. This is known as the
principle of abuse of rights.
3. A juridical necessity to give, to do or not to do, civil obligation.
4. The oblige has the right to enforce the obligation against the obligor in a court law, civil
obligation.
5. The object or subject matter of the obligation, prestation.
6. The duty not to cover what has voluntarily been paid although payment was no longer
required, natural obligation.
7. The duty to pay taxes, law.
8. A support B, a minor, because B’s father refuses to support B. The father obliged to
reimburse, quasi-contract.
9. When a person voluntarily takes charge of another abandoned business without owner’s
authority where reimbursement must be made for necessary and use full expenses,
negotiorum gestio.
10. False, false
- A quasi-contract is an implied contract.
- A defendant
11. Omission of the diligence which is required by the circumstances of person, place and
time is negligence.
12. Specific performance may not be possible in this civil obligation, A, painter, obliges
himself to paint the portrait of B on January 8,2021.
13. A lawful and voluntary act resulting to a benefit except, quasi-delicit.
14. The following are the requisites of an obligation, except demand.
15. The person in whose favor the obligation is constituted, oblige.
16. The person who has the duty of giving, doing or not doing, Obligor.
17. Unless the law or the stipulation of the parties require another standard care, observing
ordinary diligence.
18. The creditor has a right to the fruits of the thing, from the time the obligation to deliver
arises.
19. A was employed as professional driver of B transit bus owned by C. In the course of his
work, A hit a concrete post causing serious injury to passenger W and pedestrian. Which
 is correct? The conviction of A in a criminal case makes C subsidiary liable for damages
arising from criminal act.
20. A owes 1,000. Knowing that the debt has prescribed, still pays B. Can A recover what
voluntarily paid? False, True
- Yes
- No, the payment extinguished the natural obligation.
21. If a thing is capable of particular designation, specific.
22. The following are kinds of fruits of obligation, except penal (natural, industrial, civil).
23. Spontaneous products of the soil and the offspring and other product of animals, natural.
24. Products of the soil through cultivation or intervention of human labor, industrial.
25. When does the obligation to deliver the fruits arise? True, true.
- If there is no term or condition, then from the perfection of the contract.
- If there is a term or condition, then from the moment the term arrives or the
condition happens.
26. Where demand by the creditor shall necessary in order that delay may exist, when the
obligor requested for an extension of time.
27. Debtor’s default in personal obligation, mora solvendi ex persona.
28. Default on the part of both parties, compensation morae.
29. Damages awarded for mental and physical anguish, moral.
30. Damages awarded to set an example, exemplary.
31. Damages determined beforehand, liquidated.
32. True, true
- If a person obliged to do something fails to do it, the same shall be executed at
hist cost.
- Those who in the performance of their obligations are guilty of fraud are liable for
damages.
33. With regard to the right as to the fruits of the thing, which is not correct? If the obligation
arises from a contract of sale, the vendor has a right to the fruits of the thing from the
time the obligation deliver arises.
34. False, true.
- When what is to be delivered is determinate thing, the creditor masy as to be
complied with the expense of debtor
- The obligation to give a determinate thing includes delivering all accessories.
35. The following except one, are included in civil liability. The exception is starvation.
36. The court determines the amount of damage taking into consideration the price of the
thing and its sentimental value to the injured person, reparation.
37. A borrower agreed that in case of non-payment of hist debt, to render services as a
servant. Which is correct? If the services will not be gratuitous, specific performance of
the service will be the proper remedy in case of non-compliance.
38. A ordered B, A 10 year old boy climb a high and slippery mango tree with a promise to
give him part of the fruits. B was seriously injured. Is A liable? False, True.
- No, because no person shall be responsible in fortuitous event
- Yes, because A was negligent.
 39. No, Yes
- A commits a crime of theft.
- Using the above statement.
40. False, True.
- Consent of parties is required in quasi-contract.
- The sources of civil obligation is law and contract.

Different kinds of Obligations

1. Roy and Carlos both undertook a contract to deliver to Sam in Manila a boat docked in
Subic. Joint since the conversion of their liability to one of indemnity for damages made
it joint.
2. This obligation is demandable at once when it, has a resolutory condition.
3. When debtor binds himself to pay when his means permit him to do so, the obligation
shall be deemed to be with a, period.
4. Aa period with a suspensive effect, I will support you beginning January 1 of next year.
5. A period with a resolutory effect, I will support you until A dies.
6. The obligation begins only from a day certain or upon the arrival of the period, ex die.
7. The obligation remains valid up to a time certain but terminates upon the arrival of said
period, in diem.
8. Anything paid or delivered before the arrival of the period, the obligor unaware of the
period or believing that the obligation has become due and demandable, may be
recovered with fruits and interests.
9. Whenever in an obligation a period is designated, it is presumed to have established for
the benefit, of both the creditor and debtor.
10. This is a valid obligation, A will give B 1,000 if B will pose nude in a painting session.
11. Where two or more prestations, have been agreed upon but only is due, the obligation is
alternative.
12. Using the preceding number, the right of choice belongs to the debtor.
13. A is obliged to give B, and A’s option either object No. 1, object No. 2, or object No. 3.
If all objects were lost thru A’s fault, which is correct? The value of the last thing lost
plus damages must be given to Bb.
14. True, False
- If object no. 1 and 2 were destroyed by fortuitous event
- Using the preceding number, if objects Nos. 1 and 2 were destroyed.
15. A is obliged to give B either object. B may, demand either object no. 3 or the price of
object no. 1 plus damages.
16. Any of the debtors is bound to render compliance of the entire obligation, solidary.
17. In a joint obligation, joint means any of the following except, individually and
collectively (pro-rata, proportionate, mancomunada simple).
18. In facultative obligations, if substitution has been made, which is false? The obligation is
extinguished.
 19. Using the preceding number and the substitute is lost by a fortuitous event, which is true?
The obligation is extinguished.
20. But the substitute is lost due to debtor’s fault, which is true? The debtor is liable for
damages.
21. Instances where the law imposes solidary liability, except liability of partners arising out
of contract.

Extinguishment of Obligations
1. Where a property is alienated to the creditor in satisfaction of a debt in money? Dation in
payment.
2. Where a debtor transfers al his properties not subject to execution in favor of his creditors
so that the latter may sell them and thus apply the proceeds to their credits? Payment by
cession.
3. The act of offering the creditor what is due him together with a demand that the creditor
accepts the same? Tender of payment.
4. The act of depositing the thing due with the court or juridicial authorities whenever the
creditor cannot accept or refuses to accept payment, consignation.
5. The meeting in one person of the qualities of creditor and debtor with respect to the same
obligation? Confusion.
6. When two persons in their own right are creditors an debtors of each other? Confusion.
7. This is not necessary in order that compensation may proper, that there be a retention or
controversy.
8. Compensation cannot take place except, when one debt arises from a bank deposit.
9. The substitution or change of an obligation by another, which extinguishes or modifies
first, novation.
10. Novation which changes the object or the principal condition of the obligation, real.
11. Novation which changes the parties to the obligation, personal.
12. Expromission, delegacion or subrogating a third person in the right of the creditor,
personal.
13. Novation which changes the object and parties of the obligation, mixed.
14. Substitution of debtor where the initiative comes from the third person, expromission.
15. Substitution of debtor where the initiative comes from the debtor, delegacion.
16. The transfer to a third person of all the rights appertaining to the debtor, subrogation.
17. Legal subrogation is presumed in the following. Which is correct? When a third person,
not interested in the obligation, pays with the approval of the creditor.

General Provisions
1. The bargaining point, that is, when negotiation is in progress, conception.
2. The meeting of minds regarding the object and cause of the contract, birth.
 3. The point where the parties have performed their respective obligations and the contract
is terminated or chance, comsummation.
4. A contract where the fulfillment is dependent upon the chance, so the values may vary
because of the risk or chance, aleatory.
5. A contract where the cause with respect to each contracting party is the prestations or the
promise of a thing or service by the other is, an onerous contract.
6. A contract where one party receives no valuable consideration and the cause is the
liberality of the benefactor is a gratuitous contract.
Form of Contracts
1. In the contract of sale of a hardware store (construction materials), it was stipulated that
the seller shall not open or have any interest, are these stipulations upon the seller valid?
Yes, the restrictions imposed are only on a limited scale.
2. A lost in gambling and as payment, No because B cannot recover and also assignee
3. Not a requisite stipulation pour autrui, there must be an agensy between either of the
parties and the third person

Sales and Consumer Protection Act

1. The following are essential characteristics of contract of sale, except formal (onerous,
commutative, nominate)
2. Which of the following is a natural element of contract of sale? Warranty against
eviction.
3. Which is incorrect? A contract of sale of real property must be in writing in order to be
valid.
4. In a conditional sale, ownership of the thing sold passes to the buyer upon, fulfillment of
the condition.
5. A offered to give B his laptop valued at 50,000 in exchange of B’s watch. What contract
di A and B enter into? Barter.
6. Both statements are false.
- In agency to sell, title to the goods is transferred to the agent upon delivery
- Agent is required to pay the price
7. In a contract to sell, the non-payment of the price is, positive suspensive condition.
8. A, 15 years old sold his watch to B, 25 year old, the contract of sale is voidable.
9. Which is correct? The vendor need not be the owner of the thing sold at the time of the
perfection of the contract of sale.
10. Who among the following cannot enter into a contract of sale with each other? Husband
and wife.
11. Only statement 1 is true.
- Insane person
- Imbecile is valid
12. Sale of land in the Philippines to foreigner is void.
13. Angel offered to sell to John one of her cars for 500,000, john accepted the offer, the
contract of sale is void.
14. Laurence sold to Antonio his future inheritance from his father who is terminally ill for
1M. What is the status of the contract? Void, because the law prohibits the sale of future
inheritance.
15. This is the sale of expected thing, Emptio rei sperate.
16. The sale of losing sweepstakes ticket already drawn is void.
17. When the goods are delivered to the buyer, the ownership thereof passes to the buyer in
sale or return.
18. A granted B the right to sell as an “agent” Quiroga beds in the Visayas. What contract did
the parties entered into? Absolute Sale.
19. Both statements are false.
- Agents and principal cannot enter.
- Sale between guardians and wards during the pendency
20. A owns a house in Bulacan. Subsequently A, sell ½ of the house to B. Which is correct?
The sale is valid and A and B become co-owner of the house.
21. On March 1, A orally sold to B his watch worth 400. A delivered to B the watch on
March 15. B paid for the watch on March 30. The contract is perfected on March 1, when
the parties had meeting of the mind on the object and the price.
22. In the following instances, price is considered certain, except, If the price is based on
estimates.
23. Edward sold to Mark his lot valued at 1,000,000 for only 10,000. They executed a
contract of sale for such purpose, had it notarized. Edward intended to donate the lot to
Mark. Valid contract of donation.
24. The following are exceptions to the rule that gross inadequacy of the price does not affect
the contract of sale except, none of the above (if consent is vitiated, if the parties intended
the contract to be some other contract, shocking to the conscience).
25. Only statement 2 is true.
- Option money is part of the purchase price.
- Earnest money is proof of perfection of the contract of sale.
26. D sold a second-hand car to E for 150,000. The agreement between D and E was that half
of the purchase price, or 75,000 shall be paid in five equal monthly installments. Is E
legally bound to paid the said unpaid balance of 75,000? Yes, because the car was
already deliver to him and he became the owner thereof.
27. A granted B exclusive right to sell his brand of Maong Pants in Isabela, the price for his
merchandise payable within 60 days. Must B pay A for his lost pants? Yes, because
ownership of the pants was passed on to him upon delivery.
28. On April 20, 2021 Awra sold Buknoy a parcel of registered land. The contract of sale was
notarized on the same date. Who has better right to the land? Vice, because he is the first
registrant in good faith.
29. Michelle offered to buy from Jayzam his house and lot located in makati city for
4,500,000. Jayzam accepted the offer. Jaysam cancelled his agreement with Michele, Can
 Jayzam do so? No, because there was a payment of the earnest money hence the contract
is perfected.
30. Victoria offerd to sell to Ana her Luis Baton bag for 50,000. Personally inform her that
she is withdrawing the offer, Victoria cannot withdraw the offer because of the option
money.
31. Salem Pusa, a bed manufacturer shipped five dozen beds ro Aben ben appliance store.
Based on the foregoing facts, which of the following is incorrect? If the beds are
destroyed by flood without the fault of Aben and ben, need to pay the price thereof.
32. Which of the following is not an obligation of the vendor? To take extraordinary care of
the thing sold.
33. This is the delivery by pointing the property sold without need of actual delivery, Traditio
longa manu.
34. In this type of delivery, the seller remains in possession of the property in a different
capacity, Constitutum possesorium.
35. Both statements are true.
- The execution of a public instruement is equivalent to delivery.
- If the seller delievrs to the buyer
36. Ted bought from Barney’s shop 5 pieces of flower pots throught shopee, for 100 pesos
each. Which is incorrect? Both B and C (Ted may accept the 10 flower pots, but he is
only liable to pay 500, Ted may reject the entire package).
37. The following are not covered by the Maceda Law, except, Residential lots (industrial
lots, commercial buldings, sales to tenants under the land reform law)
38. S sold 1,000 shares of ABC Corporation to B. The ownership of the shares may be
transferred to B through any of the following except: The issueance of the official receipt
for the full payment of the purchase price of the shares by B.
39. A purchase from Century Properties a 1 hectare lot for 10,000,000 on which he intended
to construct commercial building. How much can A recover? A cannot invoke the
Maceda Law fo the return of any of the payments he had made for the lot he purchased.
40. B visited a store selling lamps, light bulbs and similar items. Based on the foregoing,
which is incorrect? The seller is liable for the breach of warranty of fitness for a
particular purpose.
41. Mark brought two goats, one male and one female, Siena. Later, the female got was
found unfit for breeding because of redhibitory defect. B can rescind the sale of both
animals because he would not have bought the male carabao without female.
42. Kiara sold to Gina her car through a private instrument. Who between Gina and Sheila is
the owner of the car? Shiela.
43. In case of eviction, the vendor shall be liable to the vendee only for the value of the thing
sold at the time of eviction in which of the following case? When there is a waiver
consciente.
44. In which of the following examples will Recto Law apply? Sale of Tv on installments
where the buyer executed a mortgage over such TV.
45. Maezy bought Mekbook from Powermek worth 150,000. Required to execute a chattel
mortgage. Which remedies is not available to Powermek? Foreclose the chattel mortgage
 over the Mekbook and foreclose the chattel mortgage over the watch to recover any
deficiency.
46. Under the consumer protection act, express warranties become operative from, the
moment of sale.
47. Only statement 1 is correct.
- In case of the failure of both the manufacturer and distributor to honor the
warranty, the retailer shall be secondarily liable
- The retailer cannot claim for reimbursement
48. Developers of condominiums are required to secure permit from, housing and land use
regulatory board.
49. Adam who is in new zeland called his friend in the Philippines, Camilla to ask the latter
to sell his land in Subic. The deed of sale was in public instrument, the sale of Adam’s lot
is, void.
50. A and B are co-owners of a rural lot not exceeding 1-hectare. Who has the right of legal
redemption over the undivided interest? B.
51. It refers to the right which the vendor reserves to himself to repurchase the thing sold,
conventional redemption.
52. A and B are co-owners of a lot. On April 20, 2021, A sold to C his share. On what date
shall B’s legal redemption period start? May 10, 2021.
53. Based on preceding, until when can B his right of legal redemption? June 9, 2021.
54. The contract shall be presumed an equitable mortgage in the following case, except,
when the vendee pays the taxes on the thing sold.
55. What may the consideration consists of in an option contract in order to bind the offer?
Either a or b, (monetary or other things/undertakings).
Credit Transaction
1. One of the distinctions between pledge and mortgage is that pledge, requires that actual
delivery of the thing given as security to the creditor or third person by common
agreement.
2. In order to bind third persons, a pledge, must be in public instrument showing a
description of the thing pledged and the date of the pledge.
3. Pledge and Mortgage are accessory contracts because they, cannot exist if the principal
obligation is void.
4. The following is required in order that chattel mortgage will bind third persons, the
chattel mortgage must be accompanied by an affidavit of good faith and recorded in the
chattel mortgage register.
5. Which of the following statement is true and correct, pledge and mortgage are accessory
contracts because they cannot exists themselves.
6. The following are required in order that a real mortgage will bind third person, the real
mortgage must be recorded in the registry of property.
7. When is appropriation by the creditor of the thing given as security, when the thing given
as security in pledge is not sold at two public auctions.
8. This is stipulation in pledge or mortgage providing that the ownership of the things given
as security will pass to the pledge or mortgagee upon default of the debtor, pactum
commissorium.
9. D borrowed 30,000 from C to secure the debt, D pledge his ring, wristwatch and
necklace. The pledger of the ring will remain until the shares of Y and Z are paid by D.
10. The debtor/pledgor has the following rights, except to alienate the thing pledge without
consent of the pledgee.
11. The creditor/pledgee has the following rights, except to, automatically appropriate the
thing pledge upon default of the debtor in the payment of his debt.
12. One of the following many not be the object of a real mortgage, growing fruits that have
been gathered from trees planted on land.
13. D borrowed 100,000 from C. To secure the debt, which of the following is false? X was
not bound by the mortgage because he was not aware of it.
14. It is the right of the mortgagor to redeem the property that was mortgaged after it was
sold, right of redemption.
15. The creation of a lien on the property upon which it is imposed, whoever may be the
possessor of the property, to the fulfilment of the obligation for whose security it was
constituted refers to the characteristics of a real mortgage being, an inseparable contract.
16. Alpine Corporation obtained a loan amounting to 1,000,000 from eastern bank. Parties
have not been acknowledged before a notary public, P may validly mortgage his own
property to secure the obligation of Alpine to the bank.
17. The law currently governing security interest over personal property is the personal
property security act.
18. Under the PPSA, a security interest may be perfected in the following manner except,
written contract for the security interest.
19. When is the transitional period under the PPSA? February 9,2019.
20. If the security interest is perfected on or after the transitional period, wht is the governing
law? PPSA, but the registration of security agreement is in the meantime pursuant to
section 4 of the chattel mortgage law.
21. It is the right of the mortgagor to redeem the mortgaged property after his default but
before the auction sale, equity of redemption.
22. An affidavit of good faith refers to an oath in a contract of chattel mortgage wherein the
parties severally swear that, the mortgage is made for the purpose of securing the
obligation specified in the conditions thereof and for no other purpose, and that same is
valid obligation and one not entered into for fraud.
23. Which of the following is not a cause for the extinguishment of pledge? Verbal
renouncement or abandonment by the pledgee of the pledge.
24. Regine mortgaged his farmland to Shara. The sale is valid and does not affect the
mortgage.
25. Which is false? The mortgage credit may not be assigned to a third person.