Objects of Sale

1. Rights: Requisites
a. Transmissible or Personal, and
b. Licit it should not be contrary to law, morals, good customs, public order, or
public policy
Exception:
a. Future inheritance
b. Service
2. Things: Requisites
Actual or possible- it must be existing, future, or subject to a resolutory condition.
a. A thing is actual when it is existing
a. A thing is possible when it has potential existence
b. When the requisite that the thing should be actual or possible does not
exist, the resulting contract of sale would be void.
c. Licit- Requisites (Co-In-In)
i. Not outside the the commerce of men
ii. It is not intransmissible
iii. It does not contemplate a future inheritance, unless expressly
authorized
b. Determinate or at least determinable
a. Particularly designated
b. Physically segregated from others of the same class
Requisites:
i.
Capacity to segregate Test
ii.
No further agreement test- there is no necessity for a new
or further agreement between the parties
3. Requisites for Valid Price
a. Real
b. Certain or Ascertainable
c. Money or its Equivalent
d. Manner of payment must be agreed upon
4. Requisites of a Simulated Contract
a. An outward declaration of will different from the will of the parties
b. The false appearance must have been intended by mutual agreement
c. Purpose is to deceive third persons
5. Existence of a Sale When no price is agreed upon (MAD)
a. Meeting of the minds as to the subject matter
b. Agreement that a price will be paid which fails to meet the criteria of being certain or
ascertainable
c. Delivery by the Seller and appropriation of the Buyer of the subject matter

6. Requisites of Delivery Sold

a. Identity
b. Integrity
c. Intentional
7. Requisites of Legal or Constructive Delivery
a. Seller must actual possession and control over the thing
b. The object must be placed under the control of the vendor
c. There must be the intention to deliver the thing for purposes of transferring ownership
8. Requisites of a Double Sale (VIOS)
a. Two or more transactions must constitute a Valid sale
b. Two or more persons who are at odds over rightful ownership must each represent
conflicting Interests
c. They must pertain exactly to the same Object or subject matter
d. They must be bought from the same or immediate Seller
9. Requisites of Express Warranty (AIR)
a. Affirmation of fact or any promise by the seller relating to the matter of sale
b. The natural tendency of such affirmation or promise is to Induce the buyer to
purchase the thing
c. The buyer purchases the thing Relying on such affirmation or promise.
10. Stoppage in Transitu Requisites (UI-TE-RE)
a. Seller must be Unpaid
b. Buyer must be Insolvent
c. Goods must be in Transit
d. Seller or his agent must either
i. Actually take possession of the things sold
ii. Give notice of his claim to the carrier or other person in possession of
the goods
e. The carrier or other person must Redeliver the goods according to the direction of the
seller.
f. The seller must bear the Expenses of delivery after the exercise of the right
11. Recto Law
a. Contract of Sale
b. Personal Property
c. Payable in Installments
d. In the case of the second and third remedies, that there has been Failure to pay
two or more installments
12. Maceda Law
a. Transactions or contracts involving the sale or financing of real estate on installment
payments, including residential condominium apartments
b. Buyer defaults in payment of succeeding installments

13. Requisites for Presumption of Equitable Mortgage

a. Parties enter into a contract denominated as sale
b. Their intention was to secure an existing debt by way of mortgage
14. Requisites for the Exercise of the Right of Preemption or Redemption of Urban
Lands
a. The one exercising the right must be an adjacent owner
b. The piece of land is urban
c. The land sold must be so small and so situated that major portion thereof cannot be
used for any practical purpose within reasonable time
d. It was bought merely for speculation
e. The land is about to be resold, or that its resale has been perfected