Obligations and Contracts

Long Quiz

Answer the questions to the best of your knowledge.

I.

The contract between Katya Santos and Maui Taylor provides:

“That the term or period of this contract shall be as long as the party
of the first part has need for the electric light posts of the party of the
second part.”

Is the contract valid? Why?(10 pts.)

II.

What are the distinctions between dolo causante and dolo incidente?
(10pts.)

III.

As a rule, before delay may be incurred, there must be a demand.

What are the exceptions to the rule? (10pts.)

IV.

Define the concept of a good father of a family. (10pts.)

V.

What are the remedies of an aggrieved party in case one of the parties
fails to comply with his obligation? (10pts.)
 VI.

Kim Domingo borrowed money from Ellen Adarna. She executed a

promissory note undertaking to pay the said loan on or before Dec. 1
1991. If Kim Domingo failed to pay her obligation, can she be
considered in default in the payment of her obligation? Why? (10
pts.)

VII.

What are the elements of Obligation? Define each. (10 pts.)

VIII.

When is an obligation alternative? Facultative? (10 pts.)

IX.

Kathryn, Liza and Nadine bound themselves solidarily to pay Pepe

the amount of P10,000.00. Suppose Kathryn paid the obligation, what
is her right as against her co-debtors? Why? (10 pts.)

X.

Bebe Rexha borrowed money from Adam Levine with a stipulation

that the amount shall earn interest at 5% per month, and a penalty
clause of 4% per month in case of default. Bebe Rexha defaulted;
hence Adam Levine demanded the performance of the obligation,
and having failed to pay, Adam Levine sued Bebe Rexha. Bebe Rexha
interposed the defense that the penalty imposed in the contract is
excessive and inequitous, hence, the court must reduce it. Is the
defense proper? Why? (10 pts.)