11 Questions
Which type of action or defense for the declaration of the inexistence of a contract does not prescribe?
Action or defense for the declaration of the inexistence of a contract imprescriptible
What distinguishes the action for the declaration of the inexistence of a contract from an action for the annulment of a voidable contract?
Necessity of judicial declaration
In what way does the rule where a contract is not void but merely avoidable relate to the action for the declaration of the inexistence of a contract?
It relates to annulment of voidable contracts
Void or inexistent contracts generally produce some effect and can be cured by time or ratification
False
The right to set up the defense of illegality, inexistence, or absolute nullity can be waived
False
The defense of illegality, inexistence, or absolute nullity is available to third persons whose interests are not directly affected
False
The invalidity of a void or inexistent contract cannot be questioned by anyone affected by it
False
Which contracts are void from the beginning?
Contracts with a cause contrary to morals and public policy
What type of contracts cannot be ratified?
Contracts with an impossible service
What distinguishes the action for the declaration of the inexistence of a contract from an action for the annulment of a voidable contract?
The nature of the defect in the contract
In what situation can the right to set up the defense of illegality be waived?
When the intention of the parties relative to the principal object of the contract cannot be ascertained
Study Notes
Actions and Defenses for Inexistent Contracts
- The defense of illegality, inexistence, or absolute nullity does not prescribe.
Declaration of Inexistence vs. Annulment of Voidable Contract
- The action for the declaration of the inexistence of a contract differs from an action for the annulment of a voidable contract.
Voidable Contracts and the Action for Declaration of Inexistence
- If a contract is not void but merely avoidable, it can be cured by time or ratification, and the action for the declaration of the inexistence of a contract still applies.
Effects of Void or Inexistent Contracts
- Void or inexistent contracts generally produce some effect and can be cured by time or ratification.
Waiver of Defense Right
- The right to set up the defense of illegality, inexistence, or absolute nullity can be waived.
Availability of Defense to Third Persons
- The defense of illegality, inexistence, or absolute nullity is available to third persons whose interests are not directly affected.
Questioning Invalidity of Void or Inexistent Contracts
- The invalidity of a void or inexistent contract cannot be questioned by anyone affected by it.
Contracts Void from the Beginning
- Certain contracts are void from the beginning and cannot be ratified.
Non-Ratable Contracts
- Contracts that are null and void from the beginning cannot be ratified.
Waiver of Illegality Defense
- The right to set up the defense of illegality can be waived in certain situations.
Test your knowledge on the legal concept of the inexistence of a contract, including its distinction from voidable contracts and the rules relating to its prescription.
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