Instructions: Answer the following questions briefly and concisely in your own handwriting.

Use a
long size bond paper or lined paper as answer sheet. Note that there are Fifty (50) simple questions
here.

Submission shall be within five (5) days from your receipt of this questionnaire. You may
submit a scanned copy of your answers to this email deanjag92@yahoo.com OR hard copy placed in
a sealed envelope which you may leave with the LC Guard at LC Paterno which I will pick up later. If
going to school to submit would cause inconvenience to you because of restrictions on mobility, kindly
tell me, so we can find other ways so that your paper will reach me. Should you opt to submit a hard
copy, you can use a letter envelope if your answers could be accommodated therein; USED brown
envelopes will do. The least expense you will incur, the better.

Situational: Black
Definition: Maroon
Obligations: Blue
Easier: Orange

THIS QUESTIONNAIRE IS ONLY FOR YOU WHO IS ENROLLED IN THIS SUBJECT. DO NOT
SHARE THIS WITH ANYONE WHO IS NOT YOUR CLASSMATE.
Second Set – (May 3, 2020)

1. A is a singer. She agreed to perform for a fee at a concert. Before the day of the concert, A
died. What happens to the obligation? Since A's daughter is herself a singer, the concert
promoter asked A's daughter to perform on behalf of A. Is the promoter correct?

2. C agreed to make for D a china cabinet for P20, 000. When the cabinet was delivered, D
accepted without reservations, despite rough edges and some parts missing. Can C validly
demand the full payment of P20, 000 from D?

Yes, C can validly demand full payment from D since D accepted the cabinet without any
objection despite of rough edges and other missing parts. Article 1235 of the Civil Code states
that when the obligee accepts the performance, knowing its incompleteness, and without
expressing any protest or objection, the obligation is deemed fully complied with.

3. E owes F P20, 000. G, a friend of E and without E's knowledge offered to pay the whole
amount. Can F be compelled to accept the payment? Would your answer be the same if G is
E's guarantor?
No, F cannot be compelled to accept payment from G (third person); under Article 1236 of the
civil Code, the creditor is not bound to accept payment or performance by a third person. The creditor
may have personal reasons not to have any transaction with a third person- especially if he may
dislike or distrust the person (Report of the Code Commission).
If G is E’s guarantor, yes, the creditor is bound to accept the payment. According to
article 1236 of the Civil Code, the creditor may be compelled to accept the payment from any
of the following: a debtor, a guarantor or a third person stipulated in the contract to make the
payment.
4. H owes I P10,000. At maturity of the debt, H has no money, he offered his TV set as payment.
I accepted. Is there payment here? What law governs the transaction?

Yes, there is payment called dation. Dation of payment also known as payment in kind. It is a
mode of extinguishing an obligation whereby the debtor alienates property in favor of the
creditor for satisfaction of monetary obligation.

The law governs the transaction is the law of sales. The obligation is money, the payment is a
thing or property (article 1245 of the civil code). The supposed obligation of H paying a sum of
money to I is extinguished by alienating his TV set as payment.

5. J owes K P10,000. When debt matured K told J to simply forget the debt. If later on K
demands payment from J, what valid defense can J raise?

J’s defense would be that his obligation to pay creditor K a sum of P10, 000 is already
extinguished in the mode of condonation or remission of debt. Creditor K abandoned his right
by the time he made a statement to J to forget about the debt; therefore, the act is deemed to
be a form of donation.

6. L bought a household appliance from M. L failed to pay. Later M told L that he is condoning the
debt, but L should return the appliance. Is there remission here?

No, there is no remission. The acceptance by the debtor is necessary for the act to be
considered as remission or condonation. The situation given clearly shows that the debtor L
did not accept M’s offer since he returned the appliance to him. The requisite expressly
declared in the first paragraph of article 1270 that condonation or remission requires the
acceptance by the obligor.

7. N owes O P10, 000. The debt is guaranteed by P. Creditor O assigned his credit to X, X later
assigned same credit to N. What shall be the effects of such assignment?

The effect of such assignment is extinguishment of N’s obligation to pay O P10, 000 by merger
or confusion. Article 1275 of the civil code states that the obligation is extinguished from the
time the characters of creditor and debtor are merged in the same person.
If there is a guarantor and the merger is in the principal debtor, the obligation is also
extinguished. Therefore, P the guarantor is released or free from liability.

8. P and Q are joint debtors of R evidenced by a promissory note (PN). At maturity the PN is
found in the possession of P. Is there presumption of remission here? Would your answer be
the same if P and Q are solidary debtors?

9. S is indebted to T for P20,000 at an interest rate of 10% per month. The interest has now
summed up to P10,000. T told S that he is condoning the interest. What is the effect of the
condonation of the interest on the principal obligation?
10. U owes V P20,000. In consideration of the loan, U pledged his motorcycle to V and delivered
the same to V. Later, the motorcycle was found in the possession of U? What presumption
would arise regarding the - (a) loan and (b) the pledge?

11. W borrowed P200,000 from X secured by a mortgage on W's house. W later sold his house to
X. What happens to the mortgage?

12. Y and Z jointly owe A P100,000. If A assigns the entire credit to Y, what happens to Y's share
in the debt? What about Z's share?

13. A owes B P50,000 guaranteed by C. B himself owes C same amount. Since both debts are
due and demandable, A now claims compensation. Is he correct? Would you answer be same
if it C who claims compensation?

14. D owes E P100,000. E also owes D P50,000. Since both debts are due can there be
compensation here? Later, E with the consent of D, assigned his P100,000 credit to F. How
much can F collect from D? D now claims against F, the compensation of up to P50,000. Is he
correct?

15. G owes H P100,000. H, while carelessly driving his jeepney caused injuries to G. G sued H
who raised the defense that he is not anymore liable because G's debt will be used to payoff
the damages. Is H correct. In the suit, H was adjudged guilty and was ordered to pay A
P100,000. H refused to pay. G now claims that his debt due to H would be compensated with
the liability of H. Is G correct?

16. I owes J P100,000. K, a friend of I and without I's knowledge offered to pay I's debt, J
consented. What happens to I's obligation to J. What if K did not pay J, may J still validly
proceed against I for payment?

17. L and M entered into a contract of loan for P20,000. Before the maturity of loan, they agreed
that L shall deliver to M a particular sewing machine instead. Before the machine could be
delivered, it was destroyed by a fortuitous event. Is L liable to pay M the sum of P20,000?

18. N is obliged to give O his car should O pass his last subject in college. Later, they agreed to
change the object from the car to a motorcycle. Is the new obligation subject to the same
condition? B did not pass his last subject, is he entitled to the motorcycle?

19. P owes Q P100,000. P also owes R, P50,000, this debt is secured by a mortgage on P's car.
Q pays P's debt to R. Later, P paid Q, P100,000. Since P refused to pay Q the debt originally
owed by P to R, Q now forecloses the mortgage. Is the foreclosure proper?
20. S is indebted to T in the amount of P100,000, secured by a real estate mortgage. If T
renounces his right over the mortgage, can he still demand payment of the debt?

21. U owes V P10,000. They agreed that W, a friend of U would pay half of the debt. Later, and
after W paid V half of the debt, U had only with him P5,000. V and W, both creditors of U for
P5000 each, now demand the P5,000. Who would have preference over the sum?

22. X and Y are solidary debtors of Z in the amount of P50,000. At maturity of the debt, Z
demanded total payment from X. X alleged that he will pay but only for the amount of his
share. May X be compelled to pay the whole amount? X was compelled to pay the whole
amount to Z. Later, Y went to Z and successfully obtained a remission from the latter. Thus,
when X demanded from Y, his share in the debt, Y claimed no liability anymore because his
share was remitted by Z. Is Y correct?

23. Driver A, driving recklessly, killed a pedestrian, B and his passenger, C. Discuss the source of
the obligation of A and his employer to the victims B and C, and the defense available to the
employer.

24. D is indebted to E. Later, E occupied D's building under a lease of contract. Because of D's
failure to pay the loan, E sought the rescission of the contract of lease on the ground that D
breached their contract. May rescission prosper?

25. F purchased goods from G. They agreed that the balance of the purchase price will be paid
out of proceeds of the sale of goods. Is this stipulation valid? Is the obligation to pay
demandable, if the goods are not yet sold?

26. A fire broke out in H's neighborhood. After saving his own properties, H also saved some
belongings of his neighbor I. Thereafter, I went to H to retrieve his properties saved by H, but
the latter refused to release them unless I gives him compensation for his efforts. Is H's
demand tenable?

27. J and K entered into contract whereby J would transport chemicals to K's plant. While in
transit, the chemicals spilled out from the vehicle resulting from a tire blow out. The spillage
damage sacks of palay stacked in L's yard. It was proven that the tire blow-out was really
accidental. Is this a case of a fortuitous event? Should J be held liable for the damages?

28. M sold a parcel of land to N but the land is mortgaged to O. They agreed that payment should
be made by N upon the cancellation of the mortgage of the land to O but the whereabouts of
O are unknown. What kind of an obligation is this? Assuming that M already delivered the land
 to N, can he compel N to pay?

29. P and Q entered into a contract to sell a parcel of land belonging to P. It was agreed that the
Absolute Sale shall be executed upon P's securing a Torrens Title to land. P failed to secure
such title. Can Q be compelled to proceed with the sale?

30. R promised to give his only car, a 1949 model car to S but only if, by the time S reaches 21
years old, she remains single. Is this obligation validly damandable?

31. T gave U his vintage car on the condition that U would not anymore take prohibited drugs. For
2 years. U did not take drugs and he kept on enjoying the car. On the third year, U got hooked
again on drugs. When T learned about this, he demanded the return of the car. Is the demand
tenable?

32. V is the registered owner of a public utility vehicle. He sold the vehicle including the franchise
to W who thereafter operated the vehicle but without causing the transfer of registration of the
vehicle from V to him. One day, the vehicle bumped a pedestrian because of the fault of W's
driver. The pedestrian sued V, W and the driver. Considering that V is no longer the owner of
the vehicle, is the suit against him proper?

33. X leased Y's building. The lease contract stipulates that the lessee should not introduce any
improvements on the property without the lessor's consent. Should the lessee do so without
the lessor's consent, the improvement would belong to the lessor without any right of
reimbursement to the lessee. The lessee violated this stipulation. Lessor would like to evict
him from the premises, but lessee said he should not be evicted because he is willing to forfeit
the improvements anyway according to their agreement. Is the lessee correct?

34. Z agreed to make a dining table for A for P20,000, of which sum A has already given Z
P15,000. They stipulated that in case Z fails to make the table, he would pay A P5,000 as
penalty. When Z delivered the table, the same was found to be defective and not in
accordance with the specifications. A was willing to accept the table, but he demands that Z
should pay him the penalty and that he (A) should not anymore pay the balance. Is he
correct?

35. B obtained an insurance of his house with C Insurance Co. The contract stipulates that if the
house is damaged or destroyed, C Insurance Co. may either pay for the damage or have the
house rebuilt. The validity of the stipulation is being challenged on the ground that it is the duty
of the Insurance Co. to pay the insured in a sum of money not perform the obligation in some
other manner. May the stipulation be given effect?

36. D lessor, E lessee. Lessee agreed on the lease under the lessor's promise that he (Lessor)
will make improvements on the property. When the lessor did not make improvements, E
 lessee, sued D for the fulfillment of his obligation to introduce the improvements and in the
meantime stopped paying rent. Several days later, lessor D sued E for eviction because of
non-payment of rent. Will the action prosper?

37. F is indebted to G for P50,000. The debt is secured by a mortgage over F's car in favor of G.
When the debt matured, G had no money so he asked his friend H to pay G the debt, which H
did. Is H entitled to reimbursement from F for the amount he paid G? Since F refused to
reimburse H, the latter then proceeded to foreclose the mortgage. Decide the case.

38. I won in a suit for collection against J. The judgment however was not satisfied because the
sheriff could not find any property of J. Later I learned that J has a deposit with X Bank. I
sought and obtained a court order mandating X Bank to retain the deposit and give the same
to I. When J learned about the order he forthwith withdraw the amount which the bank
released to J, despite the court order. Is the bank liable for anything here?

39. K is the lessee of a building with L his lessor. On the 3 rd year of the lease, M who claims to be
the real owner of the property demanded payment of the rent. Later L himself demands
payment of the rent. Because K refused to pay the rent to M, the latter filed an action in court
and obtained an order mandating K to enjoin from paying the rent to L. L however was able to
persuade K to give him the rent. Does K have any liability here?

40. N is indebted to O. Who must prove that the debt exist? Assuming payment has been made
who must prove that there was payment?

41. P is indebted to Q. When the debt fell due, P deposited the amount with C Bank in favor of Q.
Is there any payment here? What if, instead of depositing the amount, P issued a check with
Q as payee and delivered same check to Q. Is there payment here?

42. On October 1, 2019, R obtained a loan of P100,000 from S, due on February 1, 2020 secured
by a mortgage on his house. He obtained another loan from S due on March 1, 2020, also in
the sum of P100,000. This time the loan is unsecured. On March 10, 2020, R paid P100,000
to S. He asked S to credit the payment to his second debt due on March 1. S, however,
contends that the same should be applied to the February 1, 2020 debt because the same is
more burdensome. Who is correct here?

43. T owes U P100,000 at an interest of 5% per month for 6 months. At maturity, A has only
P50,000, which he offered U in payment. He asked U to apply the same to the principal of
P100,000. Is T correct?

44. V obtained a loan from W, secured by a mortgage over his standing crops which could be
harvested after 3 months. Before the crops could be harvested, the same were burned by
 NPA's when V refused to give them revolutionary taxes. When W demanded payment, V
refused to pay contending that his obligation has been extinguished because of force majeure.
Is V correct?

45. X is indebted to Y evidenced by a promissory note signed by X. Later, Y voluntarily delivered

46. A is obliged to deliver a car to B. They agreed that B will receive only 2/3 of the price because
the 1/3 will be given to C, a creditor of B. Is this valid? A and B later agreed to change the
prestation from a car to a prized horse. Can C still validly demand the 1/3 promised to him?

47. D is indebted to E for P100,000, guaranteed by F. F paid without D's knowledge. Would F be
subrogated in the rights of E? What happens to his undertaking as guarantor?

48. F owes G P10,000. H, a friend of F paid G, but the payment was against the will of F, although
H told F that he does not intend to be reimbursed. What law would govern the transaction?
Later H demanded reimbursement from F. Is he entitled to reimbursement considering that he
made it known to F at the time of payment that he does not intend to be reimbursed?

49. I leased J's house. J died survived by 2 children from his 1 st and 2nd marriage. The 2 children
of J now claim the rent from I. Since I is not sure whom to pay, he filed an action for
consignation of the rent in court. Is this proper?

50. What are the different kinds of innominate contracts? How are they regulated?

- o0o -