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Direction: Read and Select The Best Answer For The Following Questions
Direction: Read and Select The Best Answer For The Following Questions
COVERAGE: Obligations
a. Sources of obligation their concept-law-,contracts, quasi-contract, delict, quasi-delict
b. Kinds of obligation in general and under the Civil Code.
c. Specific circumstances affecting obligation in general; fortuitous event, fraud, negligence, delay, breach of contract, the tenor
of the obligation.
d. Duties of an obligor, to give, to do and not to do.
e. Extinguishment of obligation with special emphasis on payment of debts in money, mercantile documents as media of
payments, BSP power to declare legal tender and special forms of payments.
Direction: Read and select the best answer for the following questions.
48. Demand by the creditor shall not be necessary in order that delay may exist for the following, except
a. When the obligation or the law expressly so declares.
b. When from the nature and the circumstances of the obligation it appears that the designation of the time when the thing is to be
delivered or the service is to be rendered was a controlling motive for the establishment of the contract.
c. When there is unilateral obligation.
d. When demand would be useless, as when the obligor has rendered it beyond his power to perform.
49. In a reciprocal obligation, when does the other party incur delay?
a. From the moment one of the parties makes a demand.
b. From the moment one of the parties fulfills his obligation.
c. When both party do not comply with what is incumbent upon them.
d. When both party are not ready to comply in proper manner their obligations.
50. Default (Mora) of the part of the debtor is called
a. Mora solvendi
b. Mora accipiendi
c. Compensatio morae
d. Mora obligori
51. The following are the requisites in order that the debtor may be in default, except
a. There must be a complaint filed in court against the debtor.
b. The obligation must be demandable and already liquidated.
c. The debtor delays performance of the obligation.
d. The creditor demands the performance judicially or extrajudicially.
52. Which of the following is the effect of delay on the part of the debtor?
I. The debtor becomes liable for damages for the delay.
II. When it has for its object a determinate thing, the delay places the risk of the thing on the debtor.
a. I only
b. II only
c. Both I and II
d. Neither I nor II
53. The following are the effects of the delay on the part of the creditor, except
a. The creditor becomes liable for damages.
b. The debtor may relieve himself of the obligation by the consignation of the thing.
c. The debtor bears the risk of the loss of the thing.
d. The responsibility of the debtor for the thing is reduced and limited to fraud and gross negligence.
e. All expenses for the preservation of the thing after the mora shall be chargeable to the creditor.
54. The benefits arising from default or delay may cease upon
a. Delay of the other party.
b. Rescission of the contract.
c. Payment of damages.
d. Renunciation of creditor or prescription.
55. Article 1170 of the Civil Code provides that “The obligor shall be liable for damages if in the fulfillment of obligation, he is guilty of
a. Injury
b. Fraud
c. Negligence
d. Delay
e. Contravention of the tenor of obligation
56. Which of the following statements pertain to “fraud”?
a. It is the failure to observe the protection of the interests of another person, that degree of care, precaution and vigilance which
the circumstances justly demand, whereby such person suffers injury.
b. It refers to the non-fulfillment of the obligation with respect to time.
c. It refers to the deliberate and intentional evasion of the normal fulfillment of obligations.
d. It refers to illicit act which impairs the strict and faithful fulfillment of the obligation or every kind of defective performance.
57. The debtor is not liable for damages in cases of contravention of tenor or delay when
a. It is malicious or intentional.
b. There is gross negligence.
c. It is due to fortuitous events.
d. It is due to force majeure and there is stipulation making the debtor liable even in such case.
77. When the debtor binds himself to pay when his means permit him to do so, the obligation shall be deemed to be
a. Obligation with a condition
b. Pure obligation
c. Indivisible obligation
d. Obligation with a period
78. The following are the distinctions between suspensive and resolutory conditions, except
a. If the suspensive condition happens, the obligation arises while if the resolutory condition happens, the rights and obligations
already existing are extinguished.
b. In suspensive condition, the rights and obligations do not exist before the happening of the condition while in resolutory
condition, the rights and obligation already exist even before the happening of the condition.
c. Obligation subject to a suspensive condition is not demandable at one while obligation subject to resolutory condition is
demandable at once.
d. Suspensive condition is known as condition subsequent while resolutory condition is condition precedent.
79. The following are obligations subject to suspensive conditions, except
a. I will give you P100 if you pass the board exam.
b. You can use the car until JJ graduates.
c. He will dance if he wins in lotto.
d. She will work if Jollibee becomes number 1.
80. Which of the following statements pertain to a potestative condition?
a. It is one which depends upon the will of one of the contracting parties.
b. It is one which depends exclusively upon chance or other factors, and not upon will of the contracting parties.
c. It is one which depends upon the will of the contracting parties and other circumstances, including the will of a third person.
d. It is one which depends upon the arrival of a particular period.
81. Which of the following conditional obligations is void?
a. When the fulfillment of the suspensive condition depends upon the sole will of the debtor.
b. When the fulfillment of the suspensive condition depends upon the sole will of the creditor.
c. When the fulfillment of the suspensive condition depends upon the sole will of the third person.
d. When the fulfillment of the suspensive condition depends upon chance or other factors.
82. The following conditions shall annul the obligation which depends upon them, except
a. Impossible conditions
b. Suspensive conditions which depend upon chance and will of the debtor
c. Conditions contrary to good customs or public policy
d. Conditions prohibited by law
83. What is the effect of the condition not to do an impossible thing?
a. It shall be considered as having agreed upon.
b. The obligation will become null and void.
c. The obligation is subject to a condition.
d. The obligation is pure and demandable.
84. Which of the following statements are incorrect?
I. The condition that some event happen at a determinate time shall extinguish the obligation as soon as the time expires or if it has
become indubitable that the event will not take place.
II. The condition that some event will not happen at a determinate time shall render the obligation effective from the moment the time
indicated has elapsed, or if it has become evident that the event cannot occur.
a. Both I and II
b. Neither I nor II
c. I only
d. II only
85. An obligation to pay a sum of money is subject to the condition that a certain person shall arrive at a designated place in one year. This
obligation will be extinguished if
I. One year passes and he does not arrive at the place.
II. Such person dies before the lapse of one year and before arriving at such a place.
a. I only
b. II only
86. An obligation to deliver a piece of land to X is subject to the conditio9n that he shall not marry within two years. This obligation shall
become effective and the land should be delivered to X if
I. Two years expire without X having married.
II. X enters priesthood before the two years expire.
a. I only
b. II only
c. Neither I nor II
d. Either I or II
87. What is the effect if the obligor voluntarily prevented the fulfillment of the condition of an obligation?
a. The obligation is extinguished.
b. The obligation remains to be subject to the condition.
c. The condition shall be deemed fulfilled and the obligation becomes demandable.
d. The obligation becomes with a period.
88. When shall the effects of a conditional obligation to give take effect?
a. Shall be given prospective effect once the condition has been fulfilled.
b. Shall retroact to the day of the constitution of the obligation once the condition has been fulfilled.
c. Shall not be given retroactive effect once the condition has been fulfilled.
d. Shall be given retroactive effect even if the condition is not fulfilled.
89. X sells a piece of land on January 1,2010 subject to a suspensive condition to A. Then, on October 4, 2010, X sells the land
unconditionally to B. The suspensive condition happens on December 25,2010. Who shall have the better right assuming there is neither
registration of the sale nor delivery of possession to either A or B?
a. B because the sale to him is unconditional.
b. B because his title is older being dated October 4,2010.
c. A because his title retroacts on January 1,2010 upon fulfillment of the suspensive condition on December 25,2010.
d. A because he is the first buyer.
90. In conditional reciprocal obligations to give, what is the treatment of the fruits and interests during the pendency of the condition?
a. They shall inure to the sole benefit of the creditor.
b. They shall inure to the sole benefit of the debtor.
c. They shall be deemed to have been mutually compensated.
d. They shall be forfeited in favor of the government.
91. In conditional unilateral obligation to give, what is the treatment of the fruits and interests during the pendency of the condition?
a. They shall inure to the sole benefit of the creditor in the absence of stipulation to the contrary.
b. They shall inure to the sole benefit of the debtor in the absence of stipulation to the contrary.
c. They shall be divided equally between the creditor and debtor.
d. They shall be forfeited in favor of the government.
92. In conditional obligation to do or not to do, what is the effect of the fulfillment of the condition?
a. There shall be retroactive effect to the day of the constitution of the obligation.
b. There shall be prospective effect from the moment the condition is fulfilled.
c. The stipulation of the parties shall not be considered.
d. The courts shall determine, in each case, the retroactive effect of the condition that has been complied with taking into account
the agreement of the parties.
93. Before the fulfillment or pendency of the suspensive condition, what shall the creditor may do?
a. Demand the specific performance of the obligation.
b. Charge damages and interests.
c. Demand the fruits and interests of the thing.
d. Bring appropriate actions for the preservation of his right.
94. During the pendency of the suspensive condition, the debtor has paid by mistake a sum of money. What is the remedy of the debtor?
a. The debtor has cannot recover the sum of money.
b. The debtor can recover the sum of money with interests if the creditor acted in bad faith.
c. The debtor can only recover the sum of money without interests even if the creditor acted in bad faith.
d. The debtor can only recover the sum of money with interests if the credited acted in good faith.
95. During the pendency of the suspensive condition, the debtor has delivered a determinate or specific thing by mistake. What is the remedy
of the debtor?
96. The following are the rules to be observed in case of the improvement, loss or deterioration of the thing during the pendency of the
condition in an obligation to give, except
a. If the thing is lost without the fault of the debtor, the obligation shall be extinguished.
b. If the thing is lost through the fault of he debtor, he shall be obliged to pay damages.
c. When the thing deteriorates without the fault of the debtor, the impairment is to be borne by the creditor.
d. If the thing is improved by its nature, or by time, the improvement shall inure to the benefit of the debtor.
e. If it is improved at the expense of the debtor, he shall have no other right than that granted to the usufructuary.
97. When the thing deteriorates through the fault of the debtor during the pendency of the condition in an obligation to give, what is the remedy
of the creditor?
a. He may only ask for the rescission of the obligation with indemnity for damages.
b. He may only ask for the performance of the obligation with indemnity for damages.
c. The debtor may choose between rescission of the obligation and its fulfillment with indemnity for damages in either case.
d. The creditor may choose between rescission of the obligation and its fulfillment with indemnity for damages in either case.
98. The thing is considered lost in any of the following instances, except
a. When it perishes.
b. When it goes out of commerce.
c. When it disappears in such a way that its existence is unknown or it cannot be recovered.
d. When it is a destroyed generic thing.
99. When the obligation is subject to resolutory condition or when the condition has for its purpose the extinguishment of the obligation to give,
what shall be the obligation of the parties upon the fulfillment of said condition?
a. They shall retain what they have received.
b. They shall file an action for damages.
c. They shall return to each other what they have received.
d. They shall rescind the obligation.
100. When the obligation is subject to resolutory condition or when the condition has for its purpose the extinguishment of the obligation to give,
what shall be the rule as regards to the fruits and interest of the thing to be returned?
a. The fruits shall be returned by the person who will make the restitution without deducting the expenses for the production,
gathering and preservation of the fruits.
b. The fruits shall be retained by the person who received the thing.
c. The fruits shall be returned by the person who will make the restitution with deduction for the expenses for the production,
gathering and preservation of the fruits.
d. The fruits shall be retained by the person who received the thing and shall be reimbursed for the expenses for the production,
gathering and preservation of the fruits.
101. In case of reciprocal obligations, can the injured party rescind the obligations in case one of the obligors should not comply with what is
incumbent upon him?
a. Yes if there is stipulation of the power to rescind.
b. No even if there is stipulation of the power to rescind.
c. Yes because the power to rescind obligations is implied in reciprocal ones.
d. No because the power to rescind obligations cannot be implied in reciprocal ones.
102. When one of the obligors committed breach of obligation in a reciprocal obligation, what shall be the remedy of the injured party?
a. The injured party may choose between the fulfillment and the rescission of the obligation with payment of damages in either
case.
b. The injured party may choose between the fulfillment and the rescission of the obligation without payment of damages in either
case.
c. The injured party may only rescind the obligation with damages.
d. The injured party may only ask for the fulfillment of obligation with damages.
103. When the injured party in a reciprocal obligation elected the fulfillment of the obligation with damages, can he still ask for the rescission of
the obligation?
a. No under any circumstances because these remedies are alternative.
b. Yes because there remedies are successive remedies available to the injured party.
c. No as a general rule because there remedies are alternative except where performance has become impossible or there are
insuperable and legal obstacle thereto.
d. Yes because the injured party can have them both.
105. It refers to a type of obligation which arises from the same cause and in which each party is a debtor and creditor of the other, such than
the obligation of one is dependent upon the obligation of the other.
a. Bilaterial obligations
b. Reciprocal obligations
c. Unilateral obligations
d. Multilateral obligations
106. Which of the following statements concerning reciprocal obligations is correct?
I. The court shall decree the rescission claimed, unless there be just cause authorizing the fixing of a period.
II. In case both parties have committed a breach of the obligation, the liability of the first infractor sall be equitably tempered by the
courts.
III. If it cannot be determined which of the parties first violated the contract, the same shall be deemed extinguished, and each shall bear
his own damages.
a. I, II and III
b. I and II
c. II and III
d. I and III
107. It is an obligation which is subject to a space of time which, exerting an influence on obligations as a consequence of a juridical act,
suspends their demandability or determines their extinguishment.
a. Conditional obligation
b. Obligation with a period
c. Pure obligation
d. Demandable obligation
108. The following statements concerning obligation with a period is correct, except
a. Obligations for whose fulfillment a day certain has been fixed, shall be demandable when that day comes.
b. Obligation with a resolutory period takes effect at once, but terminate upon arrival of the day certain.
c. A day certain is understood to be that which must necessarily come, although it may not be known when.
d. If the uncertainty consists in whether the day will come or not, the obligation is with a period.
109. The following are the distinctions between a condition and a period, except
a. A condition is an uncertain event while a period is an event that must necessarily come.
b. While a condition gives rise to an obligation or extinguishes one already existing, a period has no effect upon the existence of
obligation, but only its demandability or performance and thus, a period does not carry with it any retroactive effect.
c. A condition may refer to a past event and unknown to parties while a period always refers to the future.
d. A condition which depends exclusively on the will of the debtors does not annul the obligation but a period left to the debtor’s will
merely empowers the court to fix such period.
110. The following are the requisites of a period, except
a. It must be past.
b. It must be future.
c. It must be certain.
d. It must be possible.
111. Suspensive period and resolutory period are also known as
a. Both ex die
b. Both in diem
c. Ex die and in diem, respectively
d. In diem and ex die, respectively
112. Whenever in an obligation a period is designated, to whose benefit the period is presumed to have been established?
a. Creditor only
b. Debtor only
c. Both creditor and debtor
d. Neither creditor and debtor
113. If there is stipulation as to whose benefit the period is established, which of the following statements is incorrect?
a. The creditor cannot demand payment before the period stipulated.
b. The debtor cannot make an effective tender and consignation of payment before the period stipulated.
115. The following are the instances wherein the court may fix a period of an obligation with a period, except
a. If the obligation does not fixed a period, but from its nature and the circumstances it can be inferred that a period was intended.
b. If the period depends upon the sole will of the debtor.
c. In case of pure obligation, to prevent unreasonable interpretations of its immediate demandability.
d. If the obligation is pure, simple, unconditional and payable on demand.
116. The following are the instances wherein the debtor shall lose every right to make use of the period, except
a. When after the obligation has been contracted, he becomes insolvent and he gives a guaranty or security for the debt.
b. When he does not furnish to the creditor the guaranties or securities which he has promised.
c. When by his own acts he has impaired said guaranties or securities after their establishment, and when through a fortuitous
event they disappear, unless he immediately gives new one equally satisfactory.
d. When the debtor violates any undertaking, in consideration of which the creditor agreed to the period.
e. When the debtor attempts to abscond.
117. The following statements pertain to alternative obligations. Which is incorrect?
I. A person alternatively bound by difference prestations shall completely performed one of them.
II. The creditor cannot be compelled to receive part of one and part of the other undertaking.
a. I only
b. II only
c. Neither I nor II
d. Both I and II
118. The following are the distinctions between alternative obligation and facultative obligation, except
a. In alternative obligation, several objects being due, the fulfillment of one is sufficient, determined by the choice of the debtor who
generally has the right of election while in facultative obligation, only one thing is due, but the debtor has reserved the right to
substitute in with another.
b. In alternative obligation, the loss of one of the things due affects the obligation while in facultative obligation, the loss of that
which may be given as substitute does not affect the obligation.
c. In alternative obligation, the right of choice may be granted to the creditor while in facultative obligation, the right of choice can
never be granted to creditor.
d. In alternative obligation, the loss of one of the things due extinguishes the obligation while in facultative obligation, the loss of
that which is due as the object of the obligation will not extinguish such obligation.
119. It is an obligation where the debtor has to perform several prestations and it is extinguished only by the performance of all of them.
a. Alternative obligations
b. Conjunctive obligations
c. Facultative obligations
d. Composite obligations
120. Who has the right of choice in case of alternative obligations?
a. Creditor, unless it has been expressly granted to the debtor.
b. Debtor, unless it has been expressly granted to the creditor.
c. Always with the debtor.
d. Always with the creditor.
121. The following are the limitations of the right of choice in alternative obligations, except
a. The debtor cannot choose unlawful undertakings.
b. The debtor cannot choose part of one prestation and part of another.
c. The debtor cannot choose impossible undertakings or those which could not have been the object of the obligation.
d. The right to choose is divisible.
122. In alternative obligations, when shall the choice of prestation produce effect?
a. From the moment it is exercised by the debtor.
b. From the moment it is communicated to the creditor.
c. From the moment the creditor consented to the choice.
d. From the constitution of the obligation.
123. In alternative obligations, what is the effect of notice of choice of prestation to the creditor?
a. The obligations remain to be alternative.
125. What is the remedy of the debtor if through the creditor’s act the debtor canoe make a choice according to the terms of alternative
obligations?
a. The debtor may file an action for indemnification.
b. The debtor may rescind the contract with damages.
c. The debtor may ask for fulfillment of obligation with damages.
d. The debtor may compel the creditor to perform the prestation.
126. In case the debtor has the right of choice in alternative obligations and through the fault of the debtor one of the things which are
alternatively the object of the obligation has been lost, what shall be the right of creditor?
a. He may demand the performance of the remaining prestation with damages.
b. He may demand the performance of the remaining prestation without damages.
c. He has the right to indemnity for damages.
d. He has the right to demand the value of the thing lost plus damages.
127. In case the debtor has the right of choice in alternative obligations and through the fault of the debtor all the things which are alternatively
the object of the obligation have been lost or the compliance of the obligation has become impossible, what shall be the right of creditor?
a. He shall have the right to indemnity for the value of the lost object with the largest value plus damages.
b. He shall have the right to indemnity for the value of the lost object with the smallest value plus damages.
c. He shall have the right to indemnity for the value of the last object plus damages.
d. He shall have the right to indemnity for the value of the any object plus damages.
128. In case the debtor has the right of choice in alternative obligations and through the fault of the debtor only one object remains of the things
which are the objects of alternative obligation and before its performance, it has been lost due to fortuitous event, what shall be the right of
the creditor?
a. He may demand the value of any object lost due to debtor’s fault.
b. He may demand indemnification for damages.
c. He may demand the value of the last object lost due to fortuitous event.
d. He has no right to demand anything.
129. In case the debtor has the right of choice in alternative obligations and through fortuitous event only one object remains of the things which
are the objects of alternative obligation and before its performance, it has been lost due to the fault of the debtor, what shall be the right of
the creditor?
a. He shall have the right to indemnity for the value of the lost object with the largest value plus damages.
b. He shall have the right to indemnity for the value of the lost object with the smallest value plus damages.
c. He shall have the right to indemnity for the value of the last object plus damages.
d. He shall have the right to indemnity for the value of the any object plus damages.
130. In case the debtor has the right of choice in alternative obligations and through fortuitous event all the objects of alternative obligation have
been lost, what shall be the right of the creditor?
a. He shall have no right.
b. He shall have the right to indemnity for the value of the lost object with the largest value plus damages.
c. He shall have the right to indemnity for the value of the lost object with the smallest value plus damages.
d. He shall have the right to indemnity for the value of the last object plus damages.
131. When the choice has been expressly given to the creditor, the obligation shall cease to be alternative from the day when the selection has
been communicated to the debtor. Until then, the responsibility of the debtor when the right of choice has been granted to the creditor shall
be governed by the following rules, except
a. If one of the things is lost through a fortuitous event, he shall perform the obligation by delivering that which the creditor should
choose from among the remainder, or that which remains if only one subsists.
b. If the loss of one of the things occurs through the fault of the debtor, the creditor may claim any of those subsisting, or the price
of that which, through the fault of the former, has disappear, with a right to damages.
c. If all the things are lost through the fault of the debtor, the choice by the creditor shall fall upon price of any one of them, also with
indemnity for damages.
d. If all the things lost through fortuitous event, the debtor shall be liable for damages.
132. It is an obligation wherein only one prestation has been agreed upon but the obligor may render another in substitution.
a. Alternative obligations
b. Conjunctive obligations
134. What is the effect of the loss of the thing intended as a substitute in a facultative obligation after the substitution?
a. The debtor shall not be liable for the loss.
b. The obligation is extinguished.
c. The debtor shall be liable for the loss on account of his delay, negligence or fraud.
d. The creditor has no right against the debtor.
135. What is the effect of the loss of the principal object in a facultative obligation before the substitution?
a. The debtor is liable if the loss is due to fortuitous event.
b. The obligation is extinguished if it is due to fortuitous event.
c. The debtor is not liable even if the lost is due to his fault.
d. The obligation is not extinguished.
136. What is the effect of the loss of the principal object in a facultative obligation after the substitution?
a. The debtor is liable if the loss is due to fortuitous event.
b. The debtor is liable for damages if the loss is due to his fault.
c. The obligation is extinguished because of the lost of the object.
d. The obligation remains to exist.
137. In a facultative obligation, to whom shall the right of choice belong?
a. Always creditor
b. Always debtor
c. Debtor unless granted to the creditor
d. Creditor unless granted to the debtor
138. Which of the following statements is correct?
I. Joint obligation is one in which each debtor is liable for the entire obligation and each creditor is entitled to demand the whole
obligation.
II. Solidary obligation is one in which each of the debtors is liable only for a proportionate part of the debti and each creditor is entitled
only to a proportionate share of the credit.
a. I only
b. II only
c. Both I and II
d. Neither I nor II
139. The concurrence of two or more creditors or of two or more debtors in one and the same obligations implies that the obligation is
a. Joint
b. Solidary
c. Either joint or solidary if silent
d. Neither joint or solidary
140. The following are the instances when the obligation is considered solidary, except
a. When the obligation expressly so states
b. When the obligation is indivisible
c. When the law requires
d. When the nature of the obligation requires
141. The following terms refer to solidary obligation, except
a. Mancomunada solidaria
b. Joint and several
c. Pro rata
d. In solidum
142. The following are the principal consequences of the joint character of the obligation, except
a. The demand by one creditor upon one debtor produces the effects of default only with respect to the creditor who demanded and
the debtor on whom the demand was made, but not with respect to the others.
b. The interruption of prescription by the judicial demand of one creditor upon a debtor, does not benefit the other creditors nor
interrupt the prescription as to other debtors.
151. The following are the defenses that may be availed of by the solidary debtor in actions filed by the creditor, except
a. Defenses which are inherent from the nature of the obligation
b. Defenses personal to defendant-debtor
c. Defenses personal to other debtors for the whole obligation
d. Defenses personal to other debtors as regards that part of the debt for which the latter are responsible
152. The following statements pertaining to divisible and indivisible obligations are correct, except
a. Divisibility or indivisibility of the obligation refers to the object or thing and not to the performance of the obligation.
b. A divisible obligation is one which is susceptible of partial performance; that is, the debtor can legally perform the obligation by
parts and the creditor cannot demand a single performance of the entire obligation.
c. An indivisible obligation, whatever may be the nature of the thing which is the object thereof, refers to one which can be validly
performed in parts.
d. The thing or object may be divisible, yet the obligation may be indivisible.
153. The following statements pertaining to joint indivisible obligation are correct, except
a. To enforce a joint indivisible obligation, there is necessity of collective fulfillment and the action must be against all the debtors.
b. In case of non-performance by any of the debtors, the obligation is converted into a liability for losses and damages, which is
divisible.
c. The debtors who may have been ready to fulfill their promises shall not contribute to the indemnity beyond the corresponding
portion of the price of the thing or of the value of the service in which the obligation consists.
d. A joint indivisible obligation can be compelled by specific performance if anyone of the debtors does not or cannot comply with
this undertaking.
154. What is the remedy of the creditor in case one of the debtors does not comply with his undertaking in a joint indivisible obligation?
a. Action for specific performance
b. Ask third person to fulfill the obligation at the expense of all the debtors
c. Ask for indemnity for losses and damages
d. Ask the other co-debtors to fulfill the entire obligation
155. The following are the rules concerning the divisibility or indivisibility of an obligation, except
a. Obligations to give definite things and those which are not susceptible of partial performance shall be deemed divisible.
b. When the obligation has for its object the execution of a certain number of days of work, the accomplishment of work by metrical
units, or analogous things which by their nature are susceptible of partial performance, it shall be divisible.
c. Even though the object or service may be physically divisible, an obligation is indivisible if so provided by law or intended by the
parties.
d. In obligations to do, divisibility or indivisibility shall be determined by the character if the prestation in each particular case.
156. It is an obligation which has an accessory undertaking to assume greater liability in case of breach.
a. Obligation with a condition
b. Obligation with a penal clause
c. Obligation with a period
d. Obligation with a substitute
157. The following statements concerning obligations with a penal clause are correct, except
a. In obligations with a penal clause, the penalty shall substitute the indemnity for damages and the payment of interests in case of
noncompliance.
b. In case of breach of obligations with a penal clause, damages and interests may be demanded in addition to the penalty if there
is stipulation to that effect.
c. The penalty stipulated must not be contrary to law, morals, or public order to be enforceable.
d. Obligations with a penal clause must be construed liberally.
158. The following are the rules to be observed in applying obligations with a penal clause, except
a. Proof of actual damages suffered by the creditor is necessary in order that the penalty may be demanded.
160. It is a mode of extinguishing obligation which refers to the fulfillment of the prestation due.
a. Novation
b. Payment
c. Compensation
d. Merger
161. The following are the requisites of a valid payment, except
a. The payment must be in accordance with the obligation.
b. The person paying as well as the one receiving payment should have the requisite capacity.
c. It should be made by the creditor to the debtor.
d. It should be made at the right time and place.
162. The following statements concerning payment are correct, except
a. Payment means only delivery of money but not performance, in any other manner, of an obligation.
b. A debt shall not be understood to have been paid unless the thing or service in which the obligation consists has been
completely delivered or rendered, as the case may be.
c. If the obligation has been substantially performed in good faith, the obligor may recover as though there had been a strict and
complete fulfillment, less damages suffered by the oblige.
d. When the oblige accepts the performance, knowing its incompleteness or irregularity, and without expressing any protest or
objection, the obligation is deemed fully complied with.
163. Is the creditor required to accept payment or performance by a third person who has no interest in the fulfillment of the obligation?
a. Yes because it is provided by law.
b. Yes because it is for the benefit of the creditor.
c. No, unless there is stipulation to the contrary.
d. No, under any circumstances.
164. What is the right of a third person who pays for the debtor without the knowledge or against the will of the debtor?
a. The third person may demand the whole amount paid from the debtor.
b. The third person cannot recover any amount.
c. The third person may compel the creditor to subrogate him in his rights, such as those arising from a mortgage, guaranty or
penalty.
d. The third person may recover only insofar as the payment has been beneficial to the debtor.
165. The following statements concerning payment made by a third person who does not intend to be reimbursed by the debtor are correct,
except
a. It is deemed to be a donation.
b. It requires the debtor’s consent.
c. The payment is in any case valid as to the creditor who has accepted it.
d. The payment will subrogate the third person with creditor’s rights.
166. Which of the following statements is incorrect?
I. In obligations to give, payment made by one who does not have the free disposal of the thing die and capacity to alienate it shall not
be valid.
II. Payment to a person who is incapacitated to administer his property shall be valid if he has kept the thing delivered or insofar as the
payment has been beneficial to him.
a. Neither I nor II
b. Both I and II
c. I only
d. II only
196. As a general rule, the loss of the thing due on account of fortuitous event shall extinguish the obligation . The following are the exceptions
to the general rule, except
a. When the law expressly provides that the debtor shall be liable even if the loss is due to fortuitous event.
b. When by express stipulation, the obligor is made liable even if loss occurs through fortuitous events.
c. When the nature of the obligation requires the assumption of risk.
d. When the fault or negligence of the debtor concurs with the fortuitous event in causing the loss.
e. When the loss occurs before the debtor has incurred in delay.
f. When the debtor has promised to deliver the same thing to two or more different parties.
g. When the obligation to deliver a determinate object arises from a criminal act.
197. Which of the following statements is correct?
I. An obligation which consists in the delivery of a determinate thing shall be extinguished if it should be lost or destroyed due to
fortuitous event.
II. In an obligation to deliver a genering thing, the loss or destruction of anything of the same king extinguishes the obligation.
a. I only
b. II only
c. Both I and II
d. Neither I nor II
198. The following statements concerning the loss of the object of the obligation, except
a. The courts shall determine whether, under the circumstances, the partial loss of the object of the obligation is so important as to
extinguish the obligation.
b. The debtor in obligations to do shall also be released when the prestation becomes legally or physically impossible with the fault
of the obligor.
c. When the service has become so difficult as to be manifestly beyond the contemplation of the parties, the obligation may also be
released therefrom, in whole or in part.
d. When the debt of a thing certain and determinate proceeds from a criminal offense, the debtor shall not be exempted from the
payment of its price, whatever may be the cause for the loss, unless the thing having been offered by him to the person who
should receive it, the latter refused without justification to accept it.
199. What is the presumption whenever the thing is lost in the possession of the debtor in the absence of earthquake, flood, storm or other
natural calamity?
a. The loss was due to force majeure.
b. The loss was due to fortuitous event.
c. The loss was due to the debtor’s fault.
d. The loss was due to the creditor’s fault.
200. It is a mode of extinguishing obligation which is an act of liberality, by virtue of which, without receiving any equivalent, the creditor
renounces the enforcement of the obligation, which is extinguished in its entirety or in that part or aspect of the same.
a. Compensation
b. Confusion
c. Remission
d. Novation
201. What is the nature of condonation or remission?
a. It is generally gratuitous and requires the acceptance by the obligor.
205. It refers to the meeting in one person of the qualities of creditor and debtor with respect to the same obligation.
a. Compensation
b. Condonation
c. Confusion
d. Novation
206. The following are the requisites of merger or confusion, except
a. It must be gratuitous and requires acceptance by the obligor.
b. It must take place between the creditor and the principal debtor.
c. The very same obligation must be involved, for if the debtor acquires rights from the creditor, but not the particular obligation in
question, there will be no merger.
d. The confusion or merger must be total or as regards the entire obligation.
207. The following statements concerning merger or confusion are correct, except
a. The effect of merger is to extinguish the obligation.
b. Merger which takes place in the person of the principal debtor or creditor benefits the guarantor.
c. Merger which takes place in the person of the guarantor extinguishes the principal obligation.
d. Confusion does not extinguish a joint obligation except as regards the share corresponding to the creditor or debtor in whom the
two characters concur.
208. It is a mode of extinguishing to the concurrent amount, the obligations of those persons who in their own right are reciprocally debtors and
creditors of each other.
a. Novation
b. Compensation
c. Merger
d. Remission
209. Which of the following statements pertain to facultative compensation?
a. It is a compensation which takes place by operation of law because the requisites are present.
b. It is a compensation which can be claimed by one of the parties who, however, has the right to object to it, such as when one of
the obligations has a period for the benefit of one party alone and who renounces that period so as to make the obligations due.
c. It is a compensation wherein the parties agree to compensate their mutual obligations even if some requisite is lacking.
d. It is a compensation decreed by the court in a case where there is a counterclaim.
210. The following are the requisites of legal compensation or compensation by operation of law, except
a. Each one of the obligors be bound principally, and that he be at the same time a principal creditor of the other.
b. Both debts consist in a sum of money, or if the things due are consumable, they be of the same kind, and also of the same
quality if the latter has been stated.
c. Both debts must be due.
d. Both debts must be unliquidated and nondemandable.
e. That over neither of them there be any retention or controversy, commenced by third persons and communicated in due time to
the debtor.
211. Which of the following debts can be the subject of compensation?
a. Valid debts only
b. Valid, rescissible, voidable and unenforceable debts only
214. The following are the instances wherein the compensation may not take place even if all the requisites for compensation concur, except
a. When there is a renunciation of the effect of compensation by a party.
b. When one of the debts arises from a depositum or from the obligations of a depositary or of a bailee in commodatum.
c. When the one of the creditor has a claim for support due by gratuitous title.
d. When one of the debts consists in civil liability arising from a penal clause.
e. When one of the debts pertain to taxes.
f. When the debts are payable in different places.
215. The following statements pertaining to compensation are correct, except
a. Compensation takes place by operation of law even though the debts may be payable at difference places, but there shall be an
indemnity for expenses of exchange or transportation to the place ofpayment.
b. If a person should have against him several debts which are susceptible of compensation, the rules on the application of
payments shall apply to the order of the compensation.
c. When all the requisites for compensation are present, compensation takes effect by operation of law.
d. When all the requisites for compensation are present, both debts to the concurrent amount are extinguished only if the creditors
and debtors are aware of the compensation.
216. Novation is the extinguishment of an obligation by the substitution or change of the obligation by a subsequent one which extinguishes or
modifies the first.
a. Compensation
b. Novation
c. Condonation
d. Merger
217. Novation of obligations may take place by the following, except
a. Changing their object or principal conditions
b. Substituting the persons of the debtor
c. Subrogating a third person in the rights of the creditor
d. Changing their term or period
218. Which of the following statements concerning the type of novation is incorrect?
a. Subjective or personal novation is the modification of the obligation by the change of the subject; it is passive if there is
substitution of the debtor, and it is active when a third person is subrogated in the rights of the creditor.
b. Objective or real novation is the change of the obligation by substituting the object with another or changing the principal
conditions.
c. There is total novation when there is only a modification or change in some principal conditions of the obligation.
d. There is implied novation when there is such an incompatibility between the old and the new obligations that they cannot stand
together.
219. The following are the requisites of novation, except
a. There must be a previous void obligation.
b. There must be agreement of all parties to the new contract.
c. There must be extinguishment of the old contract.
d. The new obligation must be valid.
222. In what type of novation consisting of substitution of a new debtor will the insolvency of new debtor or nonf-fulfillment of the obligation shall
not give rise to any liability on the part of the original debtor?
a. In expromission because the debtor did not have the initiative in making the change, which might have been made even without
his knowledge.
b. In delegaction because the creditor consents to the substitution.
c. In either expromission or delegacion.
d. Neither expromission nor delegacion.
223. In delegacion, will the insolvency of the new debtor, who has been proposed by the original debtor and accepted by the creditor, revive the
action of the latter against the original obligor?
a. No, under any circumstances because the obligation is already extinguished.
b. Yes when said insolvency was already existing and of public knowledge, or known to the debtor, when he delegated his debt.
c. Yes even of the creditor has knowledge that the new debtor was insolvent at the time of delegation.
d. No because the debtor has not given his consent to the delegation.
224. The following statements concerning novation are correct, except
a. When the principal obligation is extinguished in consequence of a novation, accessory obligations may subsist only insofar as
they may benefit third person who did not give their consent.
b. If the new obligation is void, the original obligation was extinguished, unless the parties intended that the former should subsist in
any event.
c. The novation is void if the original obligation was void, except when annulment may be claimed only by the debtor, or when
ratification validates acts which are voidable.
d. If the original obligation was subject to a suspensive or resolutory condition, the new obligation shall be under the same
condition, unless it is otherwise stipulated.
225. Which of the following statements concerning subrogation is correct?
a. Subrogation of a third person in the rights of the creditor is either legal or conventional.
b. Legal subrogation is not presumed, except in cases expressly mentioned in this Code.
c. Conventional subrogation must be clearly established in order that it may take effect.
d. Conventional subrogation of a third person requires the consent of the original parties but not of third person.
226. It refers to the transfer of all the rights of the creditor to a third person, who substitute him in all his rights.
a. Novation
b. Compensation
c. Confusion
d. Subrogation
227. The following are the instances wherein legal subrogation is presumed, except
a. When a creditor pays another creditor who is preferred, even without the debtor’s knowledge.
b. When a stranger pays a creditor without the knowledge of the debtor.
c. When a third person, not interested in the obligation, pays with the express or tacit approval of the debtor.
d. When, even without the knowledge of the debtor, a person interested in the fulfillment of the obligation pays, without prejudice to
the effects of confusion as to the latter’s share.