Contract Law Essentials Quiz
49 Questions
30 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What is the essential requisite of a contract related to agreement among parties?

  • Object
  • Consent (correct)
  • Authority
  • Cause

Which term indicates joint liability among parties?

  • Pro rata
  • Individually
  • Solidarily
  • Collectively (correct)

What is a negative personal obligation?

  • An obligation to pay damages.
  • An obligation to provide a service.
  • An obligation not to do something. (correct)
  • An obligation to do a specific action.

What characterizes a divisible obligation?

<p>It can be fulfilled partially. (D)</p> Signup and view all the answers

Which of the following is a requisite of an obligation?

<p>A passive subject. (B)</p> Signup and view all the answers

Which description correctly defines a penal clause?

<p>It serves as a penalty for breach of obligations. (B)</p> Signup and view all the answers

To whom should payment typically be made?

<p>A person authorized to receive it. (C)</p> Signup and view all the answers

What type of obligation arises from a quasi-delict?

<p>An obligation to pay damages. (A)</p> Signup and view all the answers

When the object of an obligation is a specific thing and it is lost, what cannot happen?

<p>It cannot be substituted with another thing of the same kind. (B)</p> Signup and view all the answers

What is a characteristic of an indivisible obligation?

<p>It is not capable of partial fulfillment. (C)</p> Signup and view all the answers

The obligation to return something delivered by mistake falls under which category?

<p>Quasi-contract. (C)</p> Signup and view all the answers

When do contracts generally take effect regarding the parties involved?

<p>Between the parties and their heirs. (C)</p> Signup and view all the answers

Which obligation arises from a contract?

<p>Obligation to repay a loan. (C)</p> Signup and view all the answers

Which of the following statements about partial payments is true?

<p>They do not extinguish the obligation. (D)</p> Signup and view all the answers

In the context of obligations, what defines the creditor?

<p>A person entitled to demand fulfillment of the obligation. (B)</p> Signup and view all the answers

What happens to an obligation if the object is generic and lost?

<p>It can be substituted if it's of the same kind. (B)</p> Signup and view all the answers

What is required of a debtor who is obliged to give a determinate thing?

<p>To take care of the item with the diligence of a good father of a family before delivery (D)</p> Signup and view all the answers

What is the primary cause that binds parties in an obligation?

<p>A juridical or legal tie (D)</p> Signup and view all the answers

In the case of a stolen item, what obligation does the debtor have?

<p>To return the stolen item to its rightful owner (A)</p> Signup and view all the answers

Which of the following is NOT one of the remedies available to a creditor if the debtor fails to comply with an obligation to deliver a determinate thing?

<p>Demand a replacement item of lesser quality (C)</p> Signup and view all the answers

What characterizes a pure obligation?

<p>It is immediately demandable and not subject to any condition (C)</p> Signup and view all the answers

What type of obligation is one whose consequences depend on a condition's fulfillment?

<p>Conditional obligation (A)</p> Signup and view all the answers

When must specific performance of an obligation be demanded with respect to generic items?

<p>When the generic thing is lost and cannot be delivered (D)</p> Signup and view all the answers

How can ownership of property be acquired?

<p>By delivery of the property to the new owner (A)</p> Signup and view all the answers

What happens if a third party pays a debtor's debt without the debtor's knowledge?

<p>The third party is entitled to reimbursement and subrogation. (A)</p> Signup and view all the answers

Which scenario does NOT constitute consent in a contract?

<p>Both parties fail to understand the terms. (C)</p> Signup and view all the answers

In what situation can a mistake vitiate consent?

<p>When it refers to the object of the contract. (C)</p> Signup and view all the answers

What is the impact of fraud on a contract?

<p>It may render the contract voidable. (B)</p> Signup and view all the answers

What is required for acceptance of an offer?

<p>It must be absolute and unqualified. (B)</p> Signup and view all the answers

What is absolute simulation in a contract?

<p>When the contract does not genuinely exist. (A)</p> Signup and view all the answers

Which of the following would NOT be considered a condition of the contract that can cause a mistake?

<p>The location of the transaction. (B)</p> Signup and view all the answers

What characterizes simulation of a contract?

<p>It feigns an appearance of a contract that does not exist. (D)</p> Signup and view all the answers

Which individuals cannot give consent for a contract?

<p>Insane or demented persons (A)</p> Signup and view all the answers

In what circumstance is a contract participated in by an insane person considered valid?

<p>During a lucid interval (C)</p> Signup and view all the answers

What characterizes intimidation in a contract?

<p>One party fears imminent and grave evil (A)</p> Signup and view all the answers

Which of the following is a requirement for the object of a contract?

<p>It must be legally permissible (B)</p> Signup and view all the answers

What results when a contract fails to express the real agreement of the parties?

<p>Reformation (C)</p> Signup and view all the answers

What must parties do when a contract is rescinded?

<p>Return the object of the contract and its fruits (D)</p> Signup and view all the answers

What defines undue influence in a contract?

<p>Taking advantage of one's power over another (A)</p> Signup and view all the answers

Contracts entered into during a state of drunkenness are considered:

<p>Void (B)</p> Signup and view all the answers

Which of the following accurately describes voidable contracts?

<p>They possess all the essential requirements of a valid contract but consent is compromised. (B)</p> Signup and view all the answers

What characterizes rescissible contracts?

<p>They can be legally effective but are subject to rescission. (D)</p> Signup and view all the answers

Which statement is true about unenforceable contracts?

<p>They cannot be enforced in court due to legal defects. (A)</p> Signup and view all the answers

Which of the following would NOT be classified as a rescissible contract?

<p>A contract that has essential elements but both parties are incapable of giving consent. (C)</p> Signup and view all the answers

What happens to void contracts?

<p>They produce no legal effects whatsoever. (B)</p> Signup and view all the answers

Which of the following is a requirement for contracts involving real property?

<p>They need to be public instruments. (C)</p> Signup and view all the answers

Which situation exemplifies a valid voidable contract?

<p>Contract terms were not fully disclosed to one party. (B), An individual was coerced into signing under threats. (C), A person misrepresented the terms before signing. (D)</p> Signup and view all the answers

Which type of contract cannot be enforced in court due to specific legal limitations?

<p>Void contracts. (A)</p> Signup and view all the answers

Signup and view all the answers

Flashcards

What is an obligation?

A juridical necessity to give, to do, or not to do.

Who is the debtor?

The person who is required to fulfill the obligation.

Who is the creditor?

The person who is entitled to demand the fulfillment of the obligation.

What is the object or prestation?

The subject matter of the obligation.

Signup and view all the flashcards

What is an obligation to do?

A positive personal obligation requiring the debtor to perform a specific action.

Signup and view all the flashcards

What is an obligation not to do?

A negative personal obligation requiring the debtor to refrain from doing a certain action.

Signup and view all the flashcards

What is a legal obligation?

An obligation arising from law.

Signup and view all the flashcards

What is a contractual obligation?

An obligation arising from a contract.

Signup and view all the flashcards

What is Negotiorum Gestio?

When someone voluntarily takes care of someone else's property without their knowledge or consent, they are legally required to reimburse any expenses they incurred.

Signup and view all the flashcards

What is a juridical or legal tie?

A juridical or legal tie is the reason that binds parties together in an obligation.

Signup and view all the flashcards

Where does the obligation to return a stolen object come from?

The obligation to return a stolen object arises from the fact that a crime has been committed.

Signup and view all the flashcards

How is a debtor required to care for a specific thing before delivery?

When a debtor is obligated to give a specific thing, they must take care of it before delivery with the same diligence a responsible person would use for their own property.

Signup and view all the flashcards

What is a pure obligation?

A pure obligation doesn't have conditions or a specified date for fulfillment. It's immediately due. Think of a promise to pay right away.

Signup and view all the flashcards

What is a conditional obligation?

In a conditional obligation, the consequences depend on whether a specific condition is fulfilled or not. It's like saying "if this, then that".

Signup and view all the flashcards

What are suspensive and resolutory conditions?

A suspensive condition is one that needs to be met before the obligation can come into effect. It's like a trigger that activates the obligation. A resolutory condition ends the obligation once it happens.

Signup and view all the flashcards

Joint Liability

Two or more people are jointly liable for the entire debt, meaning they are each responsible for the whole amount.

Signup and view all the flashcards

Solidary Liability

Each person is individually responsible for the entire debt, even if others fail to pay.

Signup and view all the flashcards

Divisible Obligation

An obligation can be fulfilled in parts, like paying a loan in installments.

Signup and view all the flashcards

Indivisible Obligation

An obligation cannot be fulfilled in parts, it must be done in its entirety. For example, painting a portrait.

Signup and view all the flashcards

Penal Clause

A clause in a contract that specifies a penalty for non-fulfillment of the obligation.

Signup and view all the flashcards

Who Can Receive Payment?

Payment can be made to the creditor, their legal successor, or someone authorized to receive it.

Signup and view all the flashcards

Contractual Effect on Successors

A contract takes effect between the contracting parties, their legal successors, and heirs.

Signup and view all the flashcards

Contracts Binding Only on Parties

Certain contracts only bind the original parties involved, not their successors or heirs.

Signup and view all the flashcards

Reimbursement and Subrogation

A third party who pays the debt of the debtor is entitled to get their money back from the debtor and take over the debtor's rights against the creditor.

Signup and view all the flashcards

Forms of Payment

Payment can be made not just with money, but also with other things, like giving an item or service.

Signup and view all the flashcards

What is consent?

When two parties agree on the subject matter and the reason for the agreement, consent is present.

Signup and view all the flashcards

How is Consent Manifested?

Consent requires the acceptance of the offer's terms. This acceptance must be clear and unambiguous.

Signup and view all the flashcards

Can an Offer be Withdrawn?

An offer can be retracted before it's accepted. However, if the receiver of the offer paid for the option to buy, they can't withdraw the offer.

Signup and view all the flashcards

When is a Contract Voidable?

A contract is voidable when consent is given due to mistakes, violence, intimidation, undue influence, or fraud.

Signup and view all the flashcards

What constitutes fraud?

Fraud occurs when someone uses deceit or manipulation to trick another person into entering a contract they wouldn't have agreed to otherwise.

Signup and view all the flashcards

What is contract simulation?

Simulation occurs when parties deliberately give the appearance of a valid contract while it's actually nonexistent or hides their true agreement.

Signup and view all the flashcards

Rescissible Contracts

Agreements that are legally valid but can be canceled by one party due to specific circumstances like unfair advantages or harm caused to one party.

Signup and view all the flashcards

Voidable Contracts

Contracts where one party is unable to give consent due to factors like mistake, threats, or manipulation, making them potentially invalid.

Signup and view all the flashcards

Unenforceable Contracts

Contracts that are legally valid and effective but cannot be enforced in court due to specific legal defects.

Signup and view all the flashcards

Void Contracts

Agreements completely lacking in legal effect from the beginning. They are considered null and void and cannot be fixed or made valid.

Signup and view all the flashcards

Contracts Requiring Public Instruments

Contracts must adhere to certain legal forms like written documents for specific transactions involving real estate or inheritance.

Signup and view all the flashcards

Contracts Involving Real Estate

Contracts for actions like buying, selling, or transferring ownership of real estate must be in writing to be valid.

Signup and view all the flashcards

Contracts Involving Inheritance or Power of Attorney

Contracts for things like inheritance or power of attorney must be in writing to be legally binding.

Signup and view all the flashcards

Insane Person, Lucid Interval Contract

A contract entered into by an insane person during a lucid interval, meaning a period of temporary mental clarity, is considered valid.

Signup and view all the flashcards

Intoxicated/Hypnotized Contracts

Contracts made while under the influence of intoxication or hypnosis are voidable. This means they can be cancelled by the affected party.

Signup and view all the flashcards

Who Can't Consent (Contracts)

The following cannot give valid consent to enter into a contract: unemancipated minors, insane or demented individuals, and deaf-mutes who cannot communicate in writing.

Signup and view all the flashcards

What is Intimidation (Contract)

Intimidation occurs when someone is forced to agree to a contract due to a genuine fear of harm to themselves or someone they care deeply about (e.g., family).

Signup and view all the flashcards

What is Undue Influence (Contract)

Undue influence happens when someone uses their power over another (e.g., a close relative) to manipulate them into a contract without free choice.

Signup and view all the flashcards

What is Simulation (Contract)

A contract of simulation happens when the parties agree to make their agreement look different from what it actually is. This is usually done to deceive others. There are two types: absolute and relative simulation.

Signup and view all the flashcards

Relative Simulation

In relative simulation, the contract appears different from the real agreement, but both parties know the real agreement. For example, a contract of sale might be used to hide a true loan transaction.

Signup and view all the flashcards

Absolute Simulation

In absolute simulation, the contract is a total sham. Neither party intends to be bound by the agreement. For example, a contract of sale for land where the buyer doesn't pay and the seller keeps possession.

Signup and view all the flashcards

Study Notes

Obligations and Contracts

  • Obligations are juridical necessities to give, do, or not do.
  • Essential requisites of an obligation include:
    • A passive subject (debtor/obligor)
    • An active subject (creditor/obligee)
    • An object/prestation (subject matter)
    • A juridical/legal tie (cause)
  • Debtor is the person obligated to fulfill the obligation.
  • Creditor is the person entitled to demand fulfillment.
  • Object/prestation can involve giving, doing, or not doing.
  • Real obligations involve the delivery of a thing.
  • Personal obligations involve doing or not doing.
  • Positive personal obligations involve doing or rendering a service.
  • Negative personal obligations involve not doing something.
  • Obligations may arise from law, contract, quasi-contract, or quasi-delict.
  • Obligations to pay taxes arise from law.
  • Obligations to repay a loan arise from a contract.
  • Obligations to return money due to mistakes arise from quasi-contract.
  • Obligations to return something mistakenly delivered are solution indebiti.

Personal Obligations

  • Obligations to render service, or to do something.
  • Obligations not to do something.
  • Obligations related to specific items.

Types of Obligations

  • Specific/determinate obligations: The specific item cannot be substituted, even if of similar kind.
  • Generic obligations: Substitute with another of same kind is possible if lost. e.g Loss of a generic item—loss does not extinguish an obligation

Extinguishing Obligations

  • The loss of a specific object due to unforeseen circumstances.
  • The loss of the item due to fault of the debtor will not extinguish the obligation.
  • The debtor has the duty of maintaining the item's condition until delivery.
  • Ownership of the object usually transfers after delivery.

Delay in Obligations

  • Delay occurs when an obligation is not fulfilled when due—and a demand for fulfillment was made.
  • Delay without demand needed in certain instances.
  • Remedies available for creditor when the debtor fails to deliver a specific item.
  • A third party can fulfill the obligation at the expense of the debtor if they fail to do so.

Conditions in Obligations

  • Pure obligations are immediately demandable and carry no conditions.
  • Conditional obligations have consequences dependent on fulfillment.
  • Suspensive conditions: fulfillment creates an obligation.
  • Resolutory conditions: fulfillment ends the obligation.
  • Impossible conditions make the obligation void.

Fortuitous Events and Force Majeure

  • Fortuitous events are unforeseen events that cannot be controlled.
  • Force majeure refers to acts of human intervention that cannot be prevented.

Payment and Obligations

  • Payment should be made to the creditor, successor or authorized person.
  • In cases of third-party payments.
  • A third-party payment with or without debtor knowledge creates different recovery options.

Other Contractual Considerations

  • Contracts are agreements that create obligations.
  • Essential elements of contract are consent, object, and cause
  • Contracts often involve the transfer of ownership.
  • Different types of obligations exist.
  • Contracts become void or nonexistent in certain circumstances.
  • Remedies regarding contracts.
  • Penalties/clauses may be imposed if certain conditions are not met.
  • A contract is rescindible if it results in injustice to one party.
  • Some contracts must be in writing to be valid.

Studying That Suits You

Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

Quiz Team

Related Documents

Obligations & Contracts PDF

Description

Test your knowledge on the fundamental concepts of contract law, including obligations, liabilities, and agreements among parties. This quiz covers key terms and principles that define various types of obligations and contracts. Perfect for law students or anyone interested in understanding contract principles.

More Like This

Use Quizgecko on...
Browser
Open
Browser
Browser