Contracts

1) A contract where both parties are required to do or Statement No. 2: Contracts take effect only between
give something is known as a: the parties, their assigns and heirs, except in case
where the rights and obligations arising from the
a. bilateral contract contract are not transmissible by their nature, or by
b. unilateral contract stipulation or by provision of law. The heir is not
c. gratuitous contract liable beyond the value of the property he received
d. commutative contract from the decedent.

2) Which of the following contracts is not required to a. Both are true

appear in a public document? b. Both are false
c. No. 1 is true, No. 2 is false
a. Acts and contracts which have for their object d. No. 1 is false; No. 2 is true
the creation, transmission, modification or
extinguishment of real right over immovable ) Obligations arising from contracts have the force of
property, sales of real property or of an interest. law between the contracting parties and should be
b. The cession, repudiation or renunciation of complied with in good faith. From perfection, the
hereditary rights parties are bound not only to the fulfilment of what
c. The power to administer property has been expressly stipulated but also to all the
d. None of the above. consequences which according to their nature, may
be in keeping with good faith, usage and law. This is
3) A contract is in a stage of conception when: known as the principle of?

a. There is meeting of the mind. a. consummation of contract

b. Negotiations are in progress b. consensuality of contract
c. The parties come to an agreement. c. obligatory force of contract and compliance in
d. The contract is perfected good faith
d. mutuality of contract
) A real contract has the following essential elements:
10) They refer to particular stipulations of the parties in a
a. consent of the contracting parties, object certain contract.
and cause or consideration.
b. consent of the contracting parties, object certain, a. Accidental elements
cause or consideration and delivery of the b. Natural elements
object. c. Inherent elements
c. consent of the contracting parties, object certain, d. Essential elements
cause or consideration and formalities required
by law. ) A consensual contract has the following essential
d. consent of the contracting parties, object certain, elements:
delivery of the object, and formalities required by
law a. consent of the contracting parties, object certain
and cause or consideration.
) Salud enters into a contract to5 sell one (1) hectare b. consent of the contracting parties, object certain,
of land to Bacolod and agreed to have the price to cause or consideration and delivery of the
be determined by Agan, a real estate appraiser. object.
Which of the following statements is false? c. consent of the contracting parties, object certain,
cause or consideration and formalities required
a. The value as determined by Agan will be binding by law
on Salud and Bacolod the moment it has been d. consent of the contracting parties, object certain,
made known to them delivery of the object, and formalities required by
b. The recommended price of Agan is obligatory on law
both parties even if it is manifestly inequitable.
c. If the price is inequitable to Bacolod, he can go
to court and have it fix the fair and reasonable ) A consensual contract has the following essential
price elements:
d. The contracting parties may not comply with the
valuation made by Agan a. consent of the contracting parties, object certain
and cause or consideration.
) Statement No. 1: If the contract is entered into b. consent of the contracting parties, object certain,
without authority the contract is validable. cause or consideration and delivery of the
object.
 Contracts
c. consent of the contracting parties, object certain,
cause or consideration and formalities required ) Elements that accompany certain contracts unless
by law set aside or suppressed by the parties are known as:
d. consent of the contracting parties, object certain,
delivery of the object, and formalities required by a. natural elements
law b. accidental elements
c. essential elements
) An offer made through an agent is accepted from the d. original elements
time acceptance is communicated to the -
0) There is no contract unless the following requisites
a. Agent concur, except:
b. Principal
c. Agent and the Principal a. Consent of the contracting parties
d. Agent and/or the Principal b. Object certain which is the subject matter of the
contract
14) A offered to sell his car for P500,000 to B. A stated c. Delivery of the subject matter
that he was giving Ba period of one week which to d. Cause of the obligation which is established
raise the amount, and that soon as B is ready, they
will sign the deed of sale. A had been given P5,000 ) In order that a stipulation in favor of a third person in
by B in consideration for the option. Which of the a contract would be valid and binding upon the
following is incorrect? parties thereto, three of the requisites are mentioned
in the following enumeration. which among them is
a. A cannot sell his car to another because of the not a requisite?
money given by B.
b. A can still sell the car before the acceptance is a. There must be a stipulation in favor of a third
made known to him by B. person.
c. A can sell the car only after one week. b. The contracting parties must have clearly and
d. A cannot sell the car until after one week. deliberately conferred favor upon that third
person
) When there is no concurrence of the offer and c. The third person communicated his acceptance
acceptance, there is - to the obligor before its revocation.
d. That there must be an existing agency between
a. Consent either of the contracting parties and the third
b. Payment person
c. Revocation
d. None of the above ) Argus won in jueteng. Since there is not enough
money yet to pay his winnings, Tigreal, the event
) An innominate contract which means 1 do that you organizer, executed a promissory note in their favor.
may give" Argus then indorsed the note to Diggie. Which
statement is correct?
a. Do ut des
b. Do ut facias a. Only Diggie can recover from Tigreal because
c. Facio ut des he is now in possession of the note.
d. Facio ut facias b. Only Argus can recover from Tigreal considering
that he is the payee in the promissory note.
) S and M agreed in print that, debtor for P3,00 will c. Either of them can recover provided the mote is
work as a servant of M without pay until she could presented to Tigreal.
find money with which to pay her debt. Meantime, S d. None of them can recover because the note is
absconded her obligation and failed to comply with void. Just as the payee cannot recover, so also
her promise. Under this premise, which of the cannot the endorsee.
following statements is correct?
) The period when the minds of the seller and the
a. The agreement to work as a servant is void buyer have met on the subject matter and cause of
because it is immoral. the interest is -
b. To act as a servant without pay is
unconstitutional because this is equivalent to a. Negotiation of the sale
involuntary servitude. b. Consensus of the sale
c. The obligation to pay is enforceable because c. Consumption of the sale
this is in accordance with law. d. Perfection of the sale

d. None of the above ) Not a requisite of stipulation pour autri

 Contracts
a. The third person is incidentally benefited by the d. None because at the time of the receipt of the
stipulation letter of acceptance, there had already been a
prior revocation of said acceptance.
b. The stipulation in favor of a third person must be
a part of the contract, and not the contract itself ) Which of the following is presumed not to be legal
subrogation?
c. The favorable stipulation should not be
conditioned or compensated by any kind of a. When a creditor pays another creditor who is
obligation preferred.
b. When a third person, not interested in obligation,
d. Neither of the contracting parties bears the legal pays with the approval of the debtor
representation or authorization of the third party c. When a third person, not interested in obligation,
pays without the approval of the debtor
) One of the following is not a real contract d. None of them.

a. a pledge
b. commodatum
c. deposit ) Three of the following are rescissible, which is not?
d. sale
a. Sale of property under litigation made by
0) On July 20, 2019, Arietta wrote Bascon letter offering defendant without the knowledge of the plaintiff
a contract of sale. On August 26, Bascon wrote a and authority of the court.
letter of compete acceptance of the contract which b. Those made to defraud creditors when the
was received by Arietta on August 31, 2019. But on creditors has no other means to recover his
August 30, 2019, Arietta had already written Bascon claim.
a letter withdrawing the offer which was received by c. Those agreed upon in representation of
Bascon on September 1, 2019. Is there a perfected absentees, if the absentee suffers lesion by
contract between Arietta and Bascon? more
than 4 of the value of the property subject of the
1st Answer. There is a perfected contract between contract.
Arietta and Bascon because the acceptance was d. None of the above
made before the withdrawal.
) The contracting parties may establish such
2nd Answer: There is a perfected contract because stipulations, clauses, terms and conditions as they
Arietta came to know of the acceptance before may deem convenient, provided they are not
Bascon came to know of the withdrawal. contrary to law morals, good customs, public order,
or public policy
a. Both answers are correct.
b. 1st Answer is correct, 2nd is wrong a. Liberty to contract
c. Both answers are wrong. b. Mutuality of contract
d. 1st Answer is wrong., 2nd is correct. c. Relativity
d. Consensuality
) On July 1, Pinagtagpo Company offered in writing to
sell to Di Tinadhana Comparny their vehicle for ) Statement No. 1: Mutual promise to marry if orally
P300,000. Di Tinadhana Company accepted the entered into is unenforceable
offer and mailed the letter of acceptance on July 10
which was received by Pinagtagpo Company on July Statement No. 2: Violence or intimidation shall not
20. However, on July 15, Di Tinedhana Company annul the obligation, if it was employed by a third
had already mailed a letter revoking his acceptance. person who did not take part in the contract.
Is there a perfected contract?
a. Both are true
a. Yes, despite the revocation made by Di b. Both are false
Tinadhana Company. c. No. 1 is true, No. 2 is false
d. No. 1 is false; No. 2 is true
b. None if the acceptance was received by
Pinagtagpo Company ahead of the letters of ) Mr Santos signed a letter addressed and delivered
revocation to Mr. Aguas. The terms of the letter are:

c. Yes, even if the letter of revocation was received 1. An offer to sell a 500 sq m. lot for P300.000
ahead of the acceptance.
 Contracts
2. An option time up to October 31, 2020 for Mr. a. S can ratify the contract
Aguas to raise the P300,000. b. S can ratify the sale with the conformity of B
3. Upon payment of the P300,000, Mr. Santos will c. B has the right to ask for annulment
execute and sign a Deed of Sale. d. B has only four years to ask for annulment

On October 31, 2020, Mr. Santos sent a letter to Mr. ) In order that a stipulation in favor of a third person in
Aguas asking for a new price of P350,000 far the a contract would be void and binding upon the
500 sq. m. lot. parties thereto, three of the requisites are mentioned
in the following enumerations. Which of them is not a
Can Mr. Aguas compel Mr. Santos to accept the requisite?
P300,000 and make him sign and execute a Deed of
Sale? a) There must be a stipulation in favor of a third
person.
a. No, Mr. Aguas did not accept the offer of Mt. b) The contracting parties must have clearly and
Santos deliberately conferred a favor upon that third
b. Yes, Mr. Santos is already estopped by his person
signed letter and offer. c) The third person communicated his acceptance
c. Yes, there was actual meeting of the minds. to the obligor before its revocation.
d. Yes. The contract has been perfected d) That there must be an existing agency between
either of the contracting parties and the third
person
) The cotract must bind both contracting parties, its
validity or compliance cannot be left to the will of one ) D owes C PS00. However, C's right has already
of them. This is known as the principle of prescribed. Notwithstanding the knowledge of this
fact D paid the amount. Realizing this mistake, D
a. mutuality of contract wants to recover the amount he paid.
b. relativity of contract
c. consensuality of contract a. D can be made to recover on ground of mistake
d. freedom to contract b. D can be made to recover on the ground that his
obligation is not legally enforceable.
0) Aurora wrote a letter to Bataan wherein she offered c. D can be made to recover because this will
to sell a piece of land. In Aurora's letter, she gives enrich Cat the expense of D.
Bataan a period of two months within which to pay d. D cannot recover
the price of P500.000. After 50 days, Aurora told
Bataan that he is increasing the price of the land to ) A meeting of minds between two persons whereby
P700,000. Can Bataan compel Aurora to accept the one binds himself with respect to the other to give
P500,000 first offered by Aurora and execute the something or to render some service is known as:
deed of the sale?
a. obligation
a. No, for Bataan did not signify his acceptance of b. consent
the offer. c. contract
b. Yes, because the period of 2 months has not yet d. stipulation
expired.
c. Yes, because Aurora is already estopped by her ) Cartridge Co. published an ad in the Manila Bulletin
signed letter which reads as follows: "INVITATION TO BID
d. Yes, because there was actual meeting of minds Construction of a 3-storey building in Anda St,
of the parties. Davao City The ad includes the specifications of the
building to be constructed. The following companies
) France offered to sell her cellular phone for P10,000 submitted their bids:
to her friend, Serra. Serra accepted the offer but
willing to pay only P8,000. Is there a perfected Cris Construction Co- P10,200,000
contract? Norse Co-P10,400,000
Frank Builders- P10,500,000
a. Yes, for a price of P10,000
b. Yes, for a price of P8,000. ) Cartridge Co. considered also the financial
c. No, because the acceptance was qualified and it capability, reputation and experience of the bidders,
constituted a counter-offer the kind and quality of materials to be used and
d. No, because the offer was rejected. other factors

) S sold his car to B because of the intimidation of B

 Contracts
a. An award to Frank Builders is valid because b. Cession is a special mode of payments.
Cartridge Co. is not bound to accept the lowest c. The liability of a guarantor is primary
bidder. d. In alternative obligations, the debtor is required
b. Cartridge Co. is required to declare Cris to perform only one prestation.
Construction Co. as the winner having declared
the lowest bid. ) Adam, a Municipal mayor and Bert, his brother and
c. An award given to either Norse C. are Frank campaign manager in the reset election, entered into
builders is voidable because they were not the an agreement that if Adam dies while mayor of their
lowest bidder. town, Bert will serve as his successor. The contract
d. Cartridge Co. cannot refuse to accept a winner was reduced in writing
even if none of the bidders is qualified because
the offer is definite. a. Valid, because the contract is written.
b. Valid because the mayor has the prerogative to
) Which of the following is not a requisite for the c. designate his heir to a public office.
validity of a contract? d. Void. A public office is outside the commerce of
man. It cannot be the subject of any contract
a. Consent e. Void. The successor must be a child of Adam.
b. Object
c. Cause or consideration ) Three of the following are essential elements of a
d. Delivery of the thing contract, except:
e. None of the above
a. Cause of the obligation which is established
) Contracts take effect only between the contracting b. Consent of the contracting parties
parties, their assigns and heirs, except in cases c. Motive of the parties
where the obligations and rights arising from the d. Object certain which is the subject matter of the
contract are not transmissible by their nature, or by contract
stipulation or provision of low. This principle of
contract is known as: ) A contract that can stand by itself is known as: (1
point)
a. relativity of contract
b. mutuality of contract a. accessory contract
c. obligatory force of contract b. principal contract
d. liberty of contract c. commutative contract
d. gratuitous contract

0) X Company bought out a competitor, Y, with a ) One of the following is a natural element of a sales
stipulation that Y should thereafter not engage in any contract.
business in the Philippines without the consent of X
Company. a. Terms of payment
b. Rate of interest
a. The stipulation is not valid because the parties c. Place of delivery
as a rule have no absolute freedom to stipulate d. Warranty against eviction
terms and conditions in a contract
b. The stipulation is not valid because this is ) On June 1, 2010. S offered to sell his only car to B
against public policy for P100,00.00. B accepted the offer by mailing his
c. The stipulation is valid, only it will create a letter of acceptance on June 10, 1010. On June 12,
monopoly in trade. 2010, B revoked his previous acceptance and
d. The stipulation is valid. It can be ratified. mailed his letter of revocation on the same dete. S
received the letter of acceptance on June 14, 2010
) D is indebted to C in the sum of P10,000. For the and the letter of revocation on June 15, 2010.
purpose of avoiding the claims of C, D donated all
his properties worth the same amount to X. a. The contract was perfected on June 14, 2010
when S received B's letter of acceptance
a. The contract is absolutely stimulated. b. The contract was not perfected because at the
b. The contract is rescissible. time the acceptance was received, the parties
c. The contract is merely voidable were no longer at one mind.
d. The contract is void. c. The contract was perfected on June 2010 when
B sent his letter of acceptance
) Which of the following statement is false? (1 point) d. The perfection of the contract retroacts to June
1, 2010 when the offer was made
a. Remission is essentially gratuitous
 Contracts
) A contract entered into the name of another by one
who has no authority or legal representation, or who ) Which of the following is qualified to give consent to
has acted beyond his power a contract?

a. Voidable a. Unemancipated minors

b. Unenforceable b. Insane or demented person
c. Rescissible c. Deaf mutes who do not know how to write
d. Void d. Deaf mutes who know how to read but do not
know how to write.
) Which of the following is not a valid stage of a
contract? ) Statement No. 1: Dolo incidente entitles the person
against whom it was employed the right to seek the
a. Introduction annulment of the contract.
b. Conception
c. Perfection Statement No. 2: A stipulation pour autrui is an
d. Termination exception to the rule on relativity of contracts.

0) The warranty against hidden defects in a contract of a. Both are true

sale is an example of: b. Both are false
c. No. 1 is true; No. 2 is false
a. natural element d. No. 1 is false; No. 2is true
b. accidental element
c. essential element ) The stages of a contract according to the order of
d. stipulated element. their occurrence are:

) In the Classified Ads section of a national daily a. birth, conception and consummation
newspaper, an advertisement appears as follows: b. conception, consummation and birth
"Car for sale, Honda FD (Dctagon, 2010 Acquired), c. conception, birth and consummation
call or text 09179128310 ar see Vic, 25 Abella St. d. consummation, conception and birth
Nega City Alberto proceeded to the address
indicated in the newspaper to see Vic. ) Dante borrowed P100,000 from Conti payable in 2
years. The contract stipulates that Dante will pay 1%
a. Vic cannot refuse to sell the car even if he monthly interest equivalent to P1,000 per month,
decides not to sell the car anymore directly to Tsiko, Conti's brother, on the 25th of each
b. Alberto is now compelled to buy the car from Vic month for Tsiko's support. Tsiko signed his
c. Vic may refuse to sell his car even if the price acceptance before it could be revoked.
offered is fair and equitable
d. Vic may refuse to sell his car to prospective a. Tsiko has no right to receive the monthly
buyers except Alberto. payment on the interest not being a party to the
contract.
) Statement No. 1: The legal life of a contract begins b. Tsiko is not entitled to the monthly interest
from its perfection stage. While the death of the unless the money loaned is his
contract is the performance or fulfilment of the c. Tsiko is entitled to the monthly interest because
obligation. the amount involved per month is very minimal
d. Tsiko is entitled to the monthly interest even if he
Statement No. 2: Misrepresentation made in good is not a party to the contract because this is a
faith is not fraudulent but may constitute error and clear case of stipulation pour autri.
renders the contract voidable.
) Before acceptance is conveyed, an after becomes
a. Both are true ineffective upon the:
b. Both are false
c. No. 1 is true; No. 2 is false a. Death
d. No. 1 is false, No. 2 is true b. Civil interdiction
c. Insanity
) The fulfilment of the contract is dependent upon d. Insolvency of either party
chance e. All of the above

a. Adhesion ) Contracts entered into during lucid-interval

b. Onerous
c. Commutative a. Volidable
d. Aleatory b. Unenforoeable
 Contracts
c. Void c. When a third person induces another to violate
d. None of the above his contract.
d. None of the above
0) Example No. 1-W, 16 years old, sold his house
valued at P1 M for P50,000 or a lesion by more than ) Consent is manifested by the meeting of the offer
one-fourth of the value of the said house. and the acceptance upon the thing and the use
which are to constitute the contract. Which of the
Example No. 2-S sold his house valued at P1 M for following constitutes an offer?
only P400,000 because S did not know the true
value thereof. a. An offer made through an agent
b. Business advertisement of things for sale
a. Both examples are unenforceable c. Advertisement for bidders
b. No. 1 is rescissible, while No. 2 is unenforceable d. Answer not given
c. No. 2is unenforceable
d. Both contracts are binding ) Antonio entered into a contract with Barbiran to
teach Barbiran French Language starting January 1,
) A contract may be enforced by against a third 2020. Antonio died on November 28, 2019. Is
person, except: Antonino, the son of Antonio obliged to teach
Barbiran French Langauge?
a. In the case of stipulation pour autrui
b. when a third person induces another to violate a. Yes, because Antonio inherited the properties as
his contract. well as obligations of his father.
c. In case of contracts intended to defraud b. Yes, because contracts take effect between the
creditors. contracting parties, their heirs and assigns.
d. When the benefit to the third person is merely c. No, if Antonino did not inherit the knowledge and
incidental ability of his father.
d. C. No, the contract between Antonio and
) X, a former government employee, suffered from Barbiran is personal in nature and are not
severe parancia and was confined in the mental transmissible.
hospital in 2010. After his release he was placed
under the guardianship of his wife to enable him to ) Which of the following contracts is void? (1 point)
get his retirement pay. In 2013, he became a mining
prospector and sold some mining claims. In 2018, he a. Those which object is outside the commerce of
sue to annul the sale claiming that he was not men.
mentally capacitated at the time of sale. The sale in b. Those which contemplate an impossible service
question was: c. Those were the intention of the parties relative to
the principal object of the contract cannot be
a. Illegal ascertained.
b. Void d. Those expressly prohibited or declared void by
c. Voidable low
d. Valid e. All of the above
) On July 15, 2010, X entered into a contract with Y ) The duty not to recover what has voluntarily been
On February 10, 2011, X discovered that fraud was paid although payment was no longer required.
committed at the time he entered into the contract, a
fraud that vitiated his consent. The action for a. Natural obligation
annulment shall be bought. b. Moral obligation
c. Civil obligation
a. Within three years from the time of the fraud d. None of the above
b. Within four years from February 10, 2011
c. Within four years from the time A entered into ) A contract is where both parties are incapable of
the contract giving consent is:
d. On February 10, 2011
a. Rescissible
) Which of the following is not an exception to the b. Voidable
principle of relativity? c. Unenforceable
d. Void
a. When the obligations arising from the contract
are not transmissible by their nature, by 0) Which of the following contracts is voidable?
stipulation, or by provision of law
b. When there is a stipulation pour autri
 Contracts
a. Those whose object is outside the commerce of ) A contract whereby the offeree is given by the offeror
men. a certain period of time within which to buy or not to
b. Those which are absolutely fictitious. buy a certain thing for a certain price is called:
c. Those where one of the parties is incapacitated.
d. Those which contemplate an impossible service. a. Option contract
b. Contract of sale
) In three of the following, the transaction is void. c. Contract to sell
Which is the exception? d. Barter

a. Oral contract of partnership the capital is P3,000 ) Which of the following contract is not rescissible?
or more Those which are entered into by guardians
b. Contracts in writing contemplating impossible whenever the wards whom they represent suffer a
services. lesion of more than 4 of the value of the object of the
c. Authority of the agent orally made in sale of contract
immovable property.
d. Oral contract of partnership whenever a. Those executed in representation of an
immovable property is contributed. absentee, if the latter suffer a lesion of more
than of the value of the abject of the contract
) The stipulation in a contract to the effect that the b. Those where one of the parties is incapable of
debtor should remain as a servant in the house and giving consent to a contract.
in the service of her creditor so long as she had not c. Those undertaken in fraud of creditors when the
paid her debt is void because it is: latter cannot in any other manner collect the
claims due them.
a. Contrary to good custom d. Those which refer to things under litigation if
b. Contrary to public policy they have been entered into by the defendant
c. Contrary to law and mortality without the knowledge and approval of the
d. None of the above litigants or of competent judicial authority.
) The elements of a contract without which a contract
) X, after death of his father, sold his inheritance would not exist are known as:
thought its amount has not yet been determined to
B, for a consideration of P50,000. a. accidental elements
b. natural elements.
a. The contract is valid only if the inheritance c. special elements
values at least equal or more than PS0,000. d. essential elements.
b. The contract is rescissible.
c. The contract is valid even though nothing ) In which of the following instances is Cabanes'
remains of the inheritance to be turned over to action be tenable even if he is not a party?
B.
d. Contract is void, future inheritance cannot be the a. Cabanes shipped his cargo in Belmonte's
object of sale. vessel. Belmonte and Albar Company entered
into a contract for Albar Comparny to unioad the
) B was appointed guardian of S sold his parcel of cargo from the ship's hold. In the lifting
land in writing to B valued at P100.000 for P75,000, operations, Cabanes' cargo was damaged.
suffering lesion by 40% of the value. What is the Cabanes sued Albar Comparny for damages.
status of the contract? b. Cervas sued Arcilla for the payment of certain
materials obtained from it by contractor Bicaldo
a. Rescissible in connection with the construction of a school
b. Unenforceable building. Incidentally, Arcilla had already a
c. Enforceable pending suit against contractor Bicaldo for
d. Voidable breach of contract.
c. Soltes sold and delivered his property to Bolivar
) D borrowed P500,000.00 from C. D died without on credit. It was agreed that Bolivar should not
having paid his loan obligation to C. He left S, his sell the property to another, till after the price
son and heir, properties worth P400,000.00. had been pad full to 5 voltes. Subsequently
Bolivar
a. Sis liable to C for P500.000.00.
b. Sis liable to C for P400,000.00. 0) Which is the least defective contract?
c. Sis liable to c for P100,00.00.
d. S is not liable at all because he should not be a. Rescissible contract
made to shoulder the obligation of his father. b. Voidable contract
c. Unenforceable contract
 Contracts
d. Void contract a. Both contracts are rescissible.
b. Only No. 1 is rescissible
) Perfected from the moment there is consent on the c. No. 2 is voidable because there is an error or
subject matters, and the cause or consideration mistake.
d. Both contracts are valid and enforceable.
a. Consensual contract
b. Real contract ) The statement contracts shall be obligatory in
c. Solemn contract whatever form they have been entered into provided
d. Formal contract all the requisites for their validity are present refers
to:
) Contracts which must be in the form provided by the
law for their perfection. a. Consensual contracts
b. Real contracts
a. Consensual contracts c. Formal contracts
b. Real contracts d. Solemn contracts
c. Onerous contracts
d. Solemn contracts 00) A contract in which a person literally contracts with
himself is
) Tindero sold to Mamimili the computed owned by
Mayaman without Mayaman's authority. The contract a. Commutative contract
is: b. Aleatory contract
c. Auto contract
a. Perfectly valid d. Unilateral contract
b. Voidable
c. Void 01) One of the stipulations contained in the contract
d. Unenforceable between M Company and its employees is that the
company shall pay a bonus to employees of the
) Desing owes Cena P500,000. Before the debt was company who shall continue its employment for
paid, Design died leaving his only child, Bantog atleast 2 consecutive years, unless he quits or is
discharged before the expiration of the period of 2
a. If the value of the properties left by Desing is years. X, an employee of the company was
P1,000,000, Bantog is obliged to pay the entire discharged without just one week before the
P1,000,000 to Cena. completions if the two-year period.
b. If the value of the properties left by Desing is
P500,000, he has to pay its entirety to Cena . a. X is not entitled to the bonus because his
c. If the value of the properties left by Desing is discharge was in accordance with the contract
P400,D00 only, Bantog has to pay Cena the b. X is not entitled to the bonus, because the
entire P4DO,000 and make good the deficiency employer's right to terminate is superior that the
of P100,000. right of the employee to be employed.
d. If Bantog did not inherit anything from Desing c. C.X is entitled to the bonus whether the
and Bantog is very rich in his own right, Bantog discharge is with or without cause.
can be compelled by Cena to pay the debt of his d. X is entitled to the bonus because the debtor
Father. company has voluntarily prevented the
happening of the condition.
) Which of the following instruments is not subject to
reformation?
02) X alleged that Y promised to give X one hectare of
a. Simple donations inter vivos wherein no land. This consideration of Y's meritorious services
condition is imposed to Y.Y pleads in defense that since the promise was
b. Wills not in writing, it is unenforceable under the Statute of
c. When the real agreement is void Frauds. Decide.
d. All of the above
a. The promise is unenforceable because it is not a
) Example No. 1: G, guardian of W, sold W's house writing.
valued at P50,000 for P37,500 or a lesion by one b. The Statute of Frauds is applied because A has
fourth of the value. rendered services.
c. The Statute of Frauds is inapplicable here,
Example No. 2: S sold his house valued at P50,000 because the promise to give the land is not a
for only P1,000 because S did not know the true sale of real property
value of the house. a. The Statute of Frauds can apply to partially
executed contract.
 Contracts
a. Parties not bound at all
03) Which of the following is not a real contract? b. The contract is void
c. The parties conceal their true agreement
a. Deposit d. None of the above
b. Sale
c. Pledge 5) On July 26, 2019, Kyle sent a telegram to Kyla in
d. Commodatum Legazpi City, offering to sell to Kyla his house and
lot for P1,000,000 cash. On the same date, Kyla
04) It is the manifestation of the meeting of the offer and sent to Kyle a telegram offering to buy Kyle's same
the acceptance upon the thing and the cause which house and lot for P1,000,000. Is there a perfected
are to constitute the contract. contract?

a. consideration a. No, because both telegrams are mere offers.

b. contract b. Yes, a promise to buy and sell a determinate
c. consent thing for a price certain is reciprocally
d. cause demandable.
c. No, because Kyla did not offer to buy the house
05) A solemn or formal contract has the following and lot for cash.
essential elements: d. Yes, being a consensual contract, it is perfected
by mere consent.
a. consent of the contracting parties, object certain
and cause or consideration.
b. consent of the contracting parties, object certain
and cause or consideration and delivery of the
object.
c. consent of the contracting parties, object certain
and cause of consideration and formalities
required by law
d. consent of the contracting parties, object certain
and delivery of the object and formalities
required by law

06) D forced C to lend him P10,000. The promissory

note is in writing.

a. Contract remains to be valid.

b. The contract is rescissible because the contract
is fraudulent
c. The contract is void.
d. C cannot demand payment from D because the
contract is unforceable.

07) Statement No. 1: If one party was mistaken and the

other acted fraudulently or inequitably in such a way
that the instrument does not show their true
intention, the former may ask for the annulment off
the instrument.

Statement No. 2: The statement of false cause in

contracts shall render them void, if it should not be
proven that they were founded upon another caused
which is true and lawful.

a. Both are true

b. Both are false
c. No. 1 is true; No. 2 is false
d. No. 1 is false; No. 2 is true

08) Simulation of Contract-Absolute or relative. Relative

when: