Rescissible Contracts PDF

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This contract will cause damage or injury to one of the contracing paries or to a third person Answer: Rescissible contract 2. The following successive measures must be taken by a creditor before he may bring an acion for recission of an allegedly fraudulent sale, except: Answer: Immediately ile an ...

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1. This contract will cause damage or injury to one of the contracting parties or to a third person Answer: Rescissible contract 2. The following successive measures must be taken by a creditor before he may bring an action for recission of an allegedly fraudulent sale, except: Answer: Immediately file an action for annulment of sale 3. This kind of defective contract refers to that contract which is validly agreed upon because all the essential elements exist, but courts can nullify it when there is damage or prejudice to one of the parties or to a third person. Its enforcement would cause injustice by reason of some external facts. Answer: Rescissible Contract 4. The following are the requisites for action to rescind contracts in fraud of creditors except: Answer: The third person who received the property conveyed, if it is onerous title, has been in good faith 5. A, guardian of B, sold B’s house and lot worth Php480,000 for Php240,000. Answer: The contract can be rescinded because of inadequacy of price 6. The following instances are badges of fraud, except: Answer: A transfer made by a debtor after suit has begun and while it is pending against him Try: Answer: A sale upon credit by a solvent debtor. Try: The fact that the consideration of the conveyance is inadequate 7. Entails the return of the benefits that each party may have received as a result of the contract. Answer: Mutual restitution 8. To defraud his creditor, A sold his house to X. When however the creditor wanted to collect his credit, somebody lent A enough money. Is the sale rescissible. Answer: No, because the creditor can collect the credit due to him. 9. S owns an oil painting. Being in need of money, S sold the painting to B for P10,000. After the sale, it was discovered that the painting was valuable and worth P50,000. Answer: B is entitled to the benefit of the contract because it is valid and binding 10. Is a relief which the law grants on the premise that the contract is valid for the protection of one of the contracting parties and third persons from all injury and damage the contract may cause, or to protect some incompatible and preferential right created by the contract. Answer: Rescission 11. A defective contract where damage or lesion is essential is Answer: Rescissible

12. Statement No. 1 – Rescission creates the obligation to return the things which were the object of the contract, together with their fruits, and price with its interest consequently, it can be carried out only when he who demands rescission can return whatever he may be obliged to restore. Statement No. 2 - Neither shall rescission take place when things which are the object of the contract are legally in the possession of third persons who did not act in bad faith. Answer: Both are true 13. D, fearing that his creditor C, would go after his only parcel of land to satisfy his claim for payment of D’s debt, sold his land to X who did not know of D’s intention. Decide. Answer: C cannot ask for the rescission of the sale. 14. Which of the following contracts is rescissible? Answer: Those which are entered into by guardians whenever the wards whom they represent suffer a lesion of more than ¼ of the value of the object of the contract. 15. A made a donation to B. Later, A contracted several debts. What A has left as assets are much less than his present liabilities. May the donation be rescinded? Answer: No, because the debts were incurred after the donation. 16. The following are rescissible contracts, except: Answer: Those covered by statute of frauds. 17. This means bringing the parties back to their original status prior to the inception of the contract. Answer: Mutual restitution 18. Is a remedy granted by law to the contracting parties and even to third persons, to secure the reparation of damages caused to them by a contract, even if this would be valid, by restoration of things to their condition at the moment prior to the celebration of the contract Answer: Rescission...