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What must be true for a written contract to be interpreted correctly?
What must be true for a written contract to be interpreted correctly?
Which of the following describes contracts that can be canceled due to significant losses suffered by the parties?
Which of the following describes contracts that can be canceled due to significant losses suffered by the parties?
Which type of contract is defined by its execution method as 'formal'?
Which type of contract is defined by its execution method as 'formal'?
What is a characteristic of all contracts?
What is a characteristic of all contracts?
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Which of the following is NOT considered an unenforceable contract?
Which of the following is NOT considered an unenforceable contract?
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What type of contract involves agreements made with evident premeditation or cruelty?
What type of contract involves agreements made with evident premeditation or cruelty?
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Which of the following best describes the term 'mutuality' in contract law?
Which of the following best describes the term 'mutuality' in contract law?
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Which of the following represents a characteristic of unilateral contracts?
Which of the following represents a characteristic of unilateral contracts?
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Which situation describes a rescissible contract?
Which situation describes a rescissible contract?
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Which type of contract requires a written agreement when it pertains to a matter lasting more than one year?
Which type of contract requires a written agreement when it pertains to a matter lasting more than one year?
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What distinguishes a voidable contract from other types of contracts?
What distinguishes a voidable contract from other types of contracts?
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What is an example of an unenforceable contract?
What is an example of an unenforceable contract?
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Which type of classification of contracts pertains to the responsibilities of the parties involved?
Which type of classification of contracts pertains to the responsibilities of the parties involved?
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What characteristic is essential for all contracts to be valid?
What characteristic is essential for all contracts to be valid?
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Which type of contract representation could lead to potential fraud claims?
Which type of contract representation could lead to potential fraud claims?
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What does mutuality in contract law entail?
What does mutuality in contract law entail?
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Study Notes
Article 1157
Obligation arise from:
1. Law
2. Contracts
3. Quasi-contracts
4. Acts or omissions punished by law
5. Quasi-delicts
CONTRACTS are FOR EVERYONE
CONTRACTS are EVERYWHERE
CONTRACTS - “A contact is a meeting of
minds between two persons whereby one
binds himself, with respect to the other, to give
something or to render some service.” (Art.
1305, Civil Code)
● LAW - By Congress (Republic Acts)
● ORDINANCES - By Local Governments
● REGULATIONS - By Administrative Bodies
(DOH, LTO, etc.)
● Law Between the Parties - CONTRACTS
● Constitution
“The law is deemed written into every
contract.” Heirs of Severina San Miguel v
Court of Appeals
Is it possible for a contract to affect the rights of
others who are not parties to it?
● Art. 1311. “Contracts take effect only
between the parties, their assigns and heirs,
except in cases where the rights and
obligations arising from the contract are not
transmissible…”
● A creditor may collect the loan against the
estate (inheritance/property) of a dead
debtor.
● A son cannot inherit the employment of his
dead father.
THE ESSENTIAL ELEMENTS:
● Parties (Obligor & Obligee)
LEGAL CAPACITY
- When a person is authorized by law to
enter into a contract.
Examples of contracts where a party
has no legal capacity:
- Marriage where one of the
parties is below 18 years old.
- Contract of sale of cigarettes to
a 15-year old smoker.
- Contract of donation of real
estate to a foreigner.
If a party in a contract has no legal
capacity, the contract is void.
OBJECT
● Its object must be a service NOT contrary to
law, morals, good customs, public order,
or public policy. (Art. 1347, Civil Code)
● Art. 1407. “The following contracts are
inexistent and VOID from the beginning:
(1) Those whose cause, object or purpose is
contrary to law, morals, good customs,
public order, or public policy.
➔ Some examples of contracts against
LAW:
● Agreement of spouses to separate
● Prostitution
Some examples of contracts against MORALS:
● Simulation of births
Some examples of contracts against GOOD
CUSTOMS:
● Living separately when you reach 18
Some examples of contracts against PUBLIC
ORDER:
● Faked or forged documents (e.g.
diploma)
● Falsification
● Granted to humans, specific professions
only (e.g. Robots in Hospitals as
Doctors)
Some examples of contracts against PUBLIC
POLICY:
● Very high interest rates
● Sale of one’s organs
PUBLIC POLICY:
● State LIMITATIONS on personal rights for
community welfare.
● You don’t violate others’ rights
● You don’t harm others
● Limit on what you can do
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Description
Explore the key concepts of contract validity, interpretation, and classifications such as rescissible, voidable, and unenforceable contracts. This quiz covers the fundamental principles that govern legal agreements and the implications of mistakes, fraud, and authority in contract law.
