TH2016

QUIZ (20 POINTS)

Instructions:
1. Read and analyze the given cases.
2. Choose one (1) case to respond to.
3. Respond with text or attachment.
Case #3: Blessy borrowed money from Cherry, an owner of a lending company, for her small neighborhood
bar business. It was stated in their contract that she will pay the money after six (6) months. When Blessy
returned the money on the due date, she was asked to pay an additional 6% interest. Is this valid? Support
your answer.

It is valid for me since Cherry is the owner of a lending company, which is similar to a bank in that if you
borrow money, you must pay interest on it. Interest is part of their earnings, which is why they have the
right to put an interest in it; the loan company discusses the facts and how much the interest is, and it has
terms and conditions. Blessy accepted to Cherry's six monthly contracts in that scenario. If an additional
6% interest is stated on the contract, Cherry has the rights and strong evidence that Blessy agreed and
signed the contract, thus reading the document thoroughly is essential to avoid being surprised by the
additional interest. Article 1956 No interest must be due unless specifically stated in writing implies
Borrower must pay for its usage known as interest.

03 Quiz 1 - ARG *Property of STI

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