MULTIPLE CHOICE QUESTIONS
The following are the alternative remedies, except one, available to the buyer
1. When the goods are delivered to the buyer, the ownership passes to the buyer
in:
d. Sale or return i. In a sale or return, the buyer acquires ownership upon delivery
of the thing sold and may revest the ownership to the seller within the time fixed in
the contract or within a reasonable time. (Art. 1502)
2. It is an affirmation of fact or any promise by the seller relating to the thing which
has a natural tendency to induce the buyer to purchase the same, relying on such
promise or affirmation.
c. Warranty i. Art. 1546
3. S makes an offer to B on January 1, 1996. B makes known his acceptance in a
letter sent on January 2, and received by the secretary of S on January 10.
Meantime, on January 5, S died.
a. There is no contract.
4. G was appointed guardian of S, the latter being 16 years old, S sold his parcel of
land in writing to B valued at P100,000 for P65,000. What is the status of the
contract?
e. Voidable
5. Which of the following obligations of the vendor cannot be waived?
d. To transfer ownership to the buyer
6. When delivery takes place by the mere consent of agreement of contracting
parties as when the vendor merely points to the thing sold which shall thereafter
be a the control and disposal of the vendee if the thing sold cannot be transferred
to the possession of the vendee at the time of the sale, delivery is effected
b. By traditio longa manu
7. Lucy is a lessee of a store in a shopping mall. She only sells/assigns her rights to
Salome. She then allows Salome to occupy the stall. The delivery here is called:
Quasi-tradition
8.Ownership of the thing sold is transferred/acquired/retained:
Transferred to the buyer upon constructive or actual delivery of the thing sold
9. Which of the following statements is correct:
c. There may be a transfer of ownership over the thing even if the seller has not
delivered the thing sold to the buyer.
10. Which of the following statements is not correct:
c. A sale is consummated upon delivery of the thing and the payment of the
purchase price.
11. The delivery of movable property may be made by the mere consent or
agreement of the contracting parties, if the thing sold cannot be transferred to the
possession of the vendee at the time of the sale. This mode of delivery is known as:
c. Traditio longa manu
12. In a sale of an incorporeal property, the following are the modes of delivery,
except:
d. Actual delivery
13. In this kind of sale, the ownership passes to the buyer on delivery, but he may
revest the ownership in the seller by returning or tendering the goods within the
time fixed in the contract, or, if no time has been fixed, within a reasonable time.
b. Sale or return
14. For ownership to pass, the seller must have the right to sell:
d. At the time ownership is to pass
15. When a person who is not the owner of a thing sells or alienates and delivers it,
and later the seller or grantor acquires title thereto, such title passes by operation
of law to the buyer or grantee. This is:
b. Estoppel by deed
16. In a CIF arrangement, delivery is considered to take place at:
c. Port of origin
17. In this mode of delivery, the seller would remain in possession of the thing after
the sale:
b. Traditio constitutum possesorium
18. This seller has a statutory power to sell:
d. Notary public
19. Ownership passes upon delivery in:
c. Absolute sale
20. Who can transfer ownership by virtue of a sale? A
d. All of the above
21. The following are requisites for a valid exercise of the right of stoppage in
transitu, except:
c. seller has not parted with the possession of the goods
22. One of the following is not a remedy granted to an unpaid seller:
d. right to demand a security for the payment of the price
23. One of the following is not an alternative remedy available to a seller of
personal property sold on instalment if the buyer defaults.
d. to take possession of the property and forfeit the amount paid by buyer
24.
in breach of warranty by the seller
c. rescind the sale and retain the goods
25. If redemption is made, which of the following will not be paid by the seller to
the buyer?
d. interest of the price paid by the buyer
26. M, N and O are co-owners of a parcel of land proindiviso. M sold his 1/3 share
in the land to N in an absolute sale. Which is correct?
d. O cannot exercise the right of redemption because the sale was made in favor of
a coowner.
27. An unpaid seller has the following rights, except:
a. a lien on the goods after he has parted with the possession of them
28. The unpaid seller is not entitled to retain the possession of the goods where:
a. the goods have been sold without stipulation as to credit
b. the goods have been sold on credit, but the term of credit has expired
c. the buyer is insolvent
d. the possession of the seller on the goods is only as agent or bailee for the buyer
e. none of the above
29. What mode of extinguishing a contract of sale is effected when a person is
subrogated upon the same terms and conditions stipulated in the contract in the
place of one who acquires a thing by onerous title?
d. legal redemption
30. A sold to B a specific car for P 250,000 in 10 equal monthly installments. B
failed to pay the 3rd installment. The right of A is:
b. demand payment from B
31. In a contract of sale, a warranty against eviction is:
b. a natural element
32. It is an affirmation of fact or promise by the seller relating to the thing which
has a natural tendency to induce the buyer to purchase the same, relying on such
promise or affirmation.
c. express warranty
33. In a contract of sale of a specific carabao, the seller was obliged to deliver the
animal on December 31, 2003. In November 2003, the carabao had an offspring.
The offspring belongs to:
b. Seller, because the fruit arose before the obligation to deliver arises.
34. There is no warrant in:
a. “as is, where is sale” a. Sale which means as it is found, where it is found
b. sale of second hand articles
c. animals sold at fairs
d. sale by virtue of authority in fact or law
e. none of the above
35. Persons not liable for breach of warranty, except:
d. Pledgor
36. When does the buyer of a thing has the right to the fruits of the thing bought?
From the time the obligation to deliver the thing arises.
37. If an immovable property is sold to two persons, ownership shall belong to the
person ____. Who first recorded the sale and bought the property in god faith.
38. A contract of sale is perfected ____.
As a general rule, when there is meeting of the minds between the vendor and the
vendee on the object of the sale and the price certain.
39. It is a contract by virtue of the terms which the parties thereto promise and
obligate themselves to enter into another contract at a future time, upon the
happening of certain events, or the fulfillment of certain conditions.
40. A contract of sale is not necessarily:
c. Commutative
41. When the goods are delivered to the buyer, the ownership passes to the buyer
in ___.
Sale or return.
42. The following may not be valid objects of a contract of sale, except:
a. objects outside the commerce of men
b. illicit things
c. Future goods.
d. impossible service
44. S makes an offer to B on January 1, 1996. B makes known his known his
acceptance in a letter sent on January and received by S on January 10. Meantime
on January 5, S became insane.
There was no perfected contract of sale since there was no meeting of the minds
between the party, applying the cognition theory where there is a perfected
contract of sale if the acceptance of the buyer is made known to the seller. Unlike
manifestation theory where acceptance by the buyer perfects the contract already.
45. Which of the following obligations of the vendor cannot be waived.
6. The following cannot be held liable for breach of warranty except: d. pledgee e.
to deliver the thing to the buyer none of the above

Transfer of ownership of the object of the sale is necessary in the performance of
the obligation of the vendor and transfer of ownership is effected only through
delivery. There is always delivery in a contract of sale it is either actual or
constructive.
46. Ownership of the thing sold is transferred/acquired/retained:
b. transferred to buyer upon constructive or actual delivery
47. Which of the following statements is correct? a. in COS, the full payment of the
price is in the nature of suspensive b. seller need not be the owner of the thing sold
at the perfection of the sale c. there may be a transfer of ownership over the thing
even if the seller has not delivered the thing sold to the buyer d. in COS, the buyer
becomes the owner of the thing sold upon full payment of the purchase price.
48. In a contract of sale of a specific carabao, the seller was obliged to deliver the
animal on Dec 31 2003. In November 2003, the carabao had an offspring. The
offspring belongs to ___.
Seller, because the fruit arouse before the obligation to deliver arises.
49. Sale is distinguished from dation in payment in that in dation in payment ___.
There is a pre-existing obligation or credit.
50. There is a contract of sale ___.
c. When foods are delivered to a person on charge account
51. The following persons cannot acquire by purchase, even at a public or judicial
auction, either in person or through the mediation of another, except ___
Agents, the property whose administration or sale may have been entrusted to
them.
52. Araneta wrote a letter to Bascon wherein he offered to sell a piece of land. In
Araneta’s letter he gives Bascon a period of 2 months within which to pay the price
of 500k. After 50 days, Araneta told Bascon that he is increasing the price of the
land to 700k. Can Bascon compel Araneta to accept the 500k first offered by
Araneta and execute the deed of sale? No, Bascon did not signify his acceptance of
offer.
53. A characteristic of COS which involves exchange of value, it is ___.
Commutative
54. A case where COS may not necessarily be in writing to be enforceable. a. Sale of express agreement shall last: b. four years from the date of the contract
100 piculs of sugar at 400 per picul when there is partial delivery; even if there is
no partial delivery, the amount is already more than 500 and covered by the statue cannot exceed: c. ten years
of frauds.
55. In a contract of sale, the nature of the object of the sale will not be relevant in - 15. The remedy of the creditors of the vendor as to the right of redemption
e. None of the Above
The law would specifically exempt certain persons from liability for breach of
warranty like sheriff, auctioneer, mortgagee, pledgee and other persons who sell
by virtues of an authority of law like notary public because they are not really
selling for themselves, they are selling on behalf of another person.
7. The redhibitory action, based on the faults or defects of animals must brought
within: a. forty days from the date of their delivery to the vendee. (Art. 1577)
8. If there is a stipulation exempting the vendor from the obligation to answer for
eviction and the vendor acted in bad faith the vendor shall be liable for the
following: e. All of the above. (Art. 1555)
9. There is no implied warranty as to hidden defects/quality in the following,
except: c. sale by virtue of authority in fact or law (Art. 1570)
10. The buyer is deemed to have accepted the goods. d. all of the above.
MULTIPLE CHOICE QUESTIONS
26. That the buyer is insolvent is a requirement for the exercise of the: b. A right of
stopping the goods in transit
27. The unpaid seller of goods loses his lien , except: c. When he has obtained
judgment or decree for the price of the goods.
28. Goods are no longer in transit: d. All of the above
29. An unpaid seller cannot exercise the right to resell if: a. The seller has parted
possession of the goods
30. The unpaid seller’s right of lien or stoppage in transitu is not affected by any
sale, or other disposition of the goods which the buyer may have made, unless: b. A
negotiable document of title has been issued for goods, which were sold to a
purchaser for value in good faith to whom such document has been negotiated
11. If the transaction is an equitable mortgage, the remedy is:
a. declaration of nullity
b. annulment c. rescission
d. any of the above
e. none of the above
12. In conventional redemption, the period for redemption, in the absence of an
13. Should there be an agreement as to the period of redemption, the period
14. In a sale of a parcel of land with a right to repurchase, there being no
stipulation to the contrary, ownership passes to the vendee upon: b. upon delivery
against the vendee is: c. a subsidiary remedy

1. The guardian purchases the property of his ward. a. VOID.

2. The purchaser of a private agricultural land is a former Filipino citizen. a. VALID.

3. Contracts of sale with a false cause. a. VOID.

4. Sale of a car where the price is in Chinese Yuan. a. VALID.

5. Oral sale of an immovable for P450. a. UNENFORCEABLE.

6. Sale of large cattle in a private instrument. a. VOID.

7. The guardian sold the property of his ward valued at P100,000 to another person
for the price of P70,000. a. UNENFORCEABLE.

8. A deed of absolute sale which does not contain a provision as to the price. a.
VALID.

9. Sale of hereditary rights of an heir to the executor of the will of the decedent. a.
VOID.

10. Sale of a property in litigation to the court stenographer of the court where the
case is pending. a. VOID.