Question 1
Not yet graded / 10 pts
Claire, 16, inherited a house and lot from her parents. Because she wanted to study in an
exclusive school, she sold her townhouse to Frank, 29, by signing a Deed of Sale and
turning over possession of the same to him. When Frank discovered Claire was still a
minor, she promised to execute another Deed of Sale when she turns 18. When Claire
turned 25 and was already working, she wanted to annul the sale and return Frank’s
money to recover her townhouse.
Was the sale contract void, voidable or valid? Can Claire still recover the property?
Explain. (10%)
Your Answer:
Question 2
Not yet graded / 20 pts
Pauline Luna was a business partner of Coney Reyes in a construction project. Coney
found out that Pauline was illegally stealing funds from their business. Coney threatened
to file a criminal complaint for estafa against Pauline if she will not return the Php 10
million she stole. Afraid of being imprisoned, Pauline signed the Compromise Agreement
prepared by Coney. In the Compromise Agreement, the parties agree that Pauline will
pay Php 5 million in cash to Coney. Since Pauline already spent the other Php 5 million,
she will instead transfer the title of her condominium unit in Ortigas to Coney’s 18-year
old son, Vico.
When Pauline died of a stroke caused by the shame of her crime, her surviving children,
Jose and Wally, sought to recover their deceased mother’s condominium unit from Vico.
They filed a Complaint for Recovery of Possession with the Regional Trial Court of Pasig
City. Vico filed his Answer to the Complaint contending that he rightfully acquired
ownership of the condominium unit by virtue of the Compromise Agreement. Jose and
Wally filed a Reply to the Answer arguing that Vico cannot invoke the Compromise
Agreement since he is not a party to the contract since it was only between Pauline and
Coney.
(a) Is the Compromise Agreement valid?
(b) Can Vico invoke the Compromise Agreement?
Your Answer:
Question 3
Not yet graded / 20 pts
On 30 September 2020, Aunt Julie offered to sell her limited-edition Chanel bag for Php
100,000 to Pipay on WhatsApp. Pipay replied, “Mars, willing ako bilhin niyang bag mo.
Pero okay lang 2 gives? ‘Yung first Php 50,000 ibabayad ko sa’yo now, tapos ‘yung
kalahati sa susunod na buwan na. Okay lang?” Aunti Julie replied, “Oo naman
mars. Transfer mo na lang sa BDO account ko. Padalhan kita ng formal deed of
sale para documented itong bentahan natin. I-print mo tapos pirmahan mo, then ipa-
Grab mo na lang dito sa bahay namin in White Plains. Ty sis.”
The next day or on 01 October 2020, Aunt Julie has not yet received the signed deed of
sale from Pipay. Luckily, Aunt Julie has a son who is a lawyer, Eduardo. She asked him if
she can compel Pipay to already pay the first Php 50,000.
(a) If you were Eduardo, what will be your advice to Aunt Julie? (10%)
(b) Will your answer in question (a) be the same if Pipay messaged Aunti Julie saying
she’s backing out of the sale? (10%)
Your Answer:
Question 4
Not yet graded / 10 pts
Jesse Pinkman is the owner of a trailer house located in Makati City. He entered into a
contract of lease over his trailer house with a chemistry teacher, Walter White. In the
contract of lease, it was stipulated that:
“In the event the trailer house is totally or partially destroyed due to the acts or
omissions of Mr. White, he shall pay Mr. Pinkman any and all amounts representing the
total damage caused to the trailer house”
Mr. White applied for fire insurance on his leased trailer house with SonLife Philippines.
Unfortunately, Mr. White accidentally burned down the trailer house due to his
chemistry experiments. Mr. White immediately filed his fire insurance claim with SonLife
Philippines. Gustavo Fring, a manager at SonLife Philippines and the one processing Mr.
White’s claim, received a letter from Jesse Pinkman demanding the insurance company
to pay him the fire insurance proceeds instead to Mr. White. Mr. Pinkman argued that
since he is the lawful owner of the trailer house, he has the right to the fire insurance
premium which Mr. White would pay him anyways under their contract of lease.
If you were Gustavo Fring, to whom will you pay the fire insurance premium? To Mr.
White or to Mr. Pinkman? (10%)
Your Answer:
Question 5
Not yet graded / 10 pts
On 30 September 2020, Bong G. Ago offered to sell his land in Sampaloc, Manila, to Chi
Tuh Eh for Php 2 million. Bong gave Chi Tuh Eh five (5) days within which to accept his
offer.
On 05 October 2020, Chi Tuh Eh sent a message to Bong on Viber accepting his offer.
However, Bong brought his cellphone to a repair shop since the screen was not working.
Hence, Bong was not able to immediately see the message of Chi Tuh Eh.
Unfortunately, Chi Tuh Eh died of a heart attack the next day. Bong went back to the
repair shop to retrieve his cellphone. Upon opening it, Bong saw the message of Chi Tuh
Eh. He immediately called Chi Tuh Eh to set up a meeting. But Chi Tuh Eh’s phone was
answered by his wife, Chi-Chi Tuh Eh. She informed Bong that his husband just died, and
she will not proceed with the purchase of the anymore. But Bong insisted that there is
already a perfected contract of sale between him and her husband, and, as his wife, she
is also bound by the contract.
Can Bong G. Ago enforce the alleged contract of sale? (10%)
Your Answer:
Question 6
Not yet graded / 20 pts
Wilson Frisk extended a loan of Php 1,000,000 to Matthew Murdock. In their contract,
the parties stipulated that Mr. Murdock shall pay the principal amount in 12 monthly
installments plus a 2% monthly interest. Article 4 of the contract allows Mr. Frisk to
increase the 2% monthly interest at any time and for any amount which he may freely
determine.
(a) Is Article 4 of the contract valid? Why or why not? (10%)
(b) Will your answer in question (a) be the same if Article 4 will state that Mr. Frisk may
increase the 2% monthly interest to 3% per every unpaid monthly installment? (10%)
Your Answer:
Question 7
Not yet graded / 10 pts
Lannister Corporation hired Eddard Stark as manager of one of its branch offices in
Quezon City. In the employment contract, the parties stipulated that Eddard Stark shall
be paid his basic salary (Php 50,000) and a profit share—the amount of which will be
determined by the Board of Directors.
Is the stipulation on the profit share void? Why or why not?
Your Answer:
