TRUE OR FALSE ARTICLES 1305-1325

1.) _____ The contracting parties may establish such stipulations, clauses, terms and conditions as they may deem
convenient, provided they are *contrary to law, morals, good customs, public order, or public policy. NOT
2.) _____The contract must bind both contracting parties; its validity or compliance can be left to the will of one of
them. CANNOT
3.) _____The determination of the performance may be left to a third person, whose decision shall not be binding
until it has been made known to both contracting parties.
4.) _____The determination shall not be obligatory if it is evidently inequitable. In such case, the courts shall decide
what is equitable under the circumstances.
5.) _____Contracts take effect only between the parties, their assigns and heirs, except in case where the rights and
obligations arising from the contract are not transmissible by their nature, or by stipulation or by provision of
law. The heir is not liable beyond the value of the property he received from the decedent.
6.) _____If a contract should contain some stipulation in favor of a third person, he may demand its fulfillment
provided he communicated his acceptance to the obligor after its revocation. A mere incidental benefit or
interest of a person is not sufficient. BEFORE
7.) _____In contracts creating real rights, third persons who come into possession of the object of the contract are
bound thereby, subject to the provisions of the Mortgage Law and the Land Registration Laws.
8.) _____Any third person who induces another to violate his contract shall be liable for damages to the other
contracting party.
9.) _____Contracts are perfected by mere consent, and from that moment the parties are bound not only to the
fulfillment of what has been expressly stipulated but also to all the consequences which, according to their
nature, may *be in keeping with good faith, usage and law. NOT
10.) _____Real contracts, such as deposit, pledge and commodatum, are not perfected until the delivery of the
object of the obligation.
11.) _____A contract entered into in the name of another by one who has no authority or legal representation, or
who has acted beyond his powers, shall be unenforceable, unless it is ratified, expressly or impliedly, by the
person on whose behalf it has been executed, before it is revoked by the other contracting party.
12.) _____Consent is manifested by the meeting of the offer and the acceptance upon the thing and the cause which
are to constitute the contract. The offer must be uncertain and the acceptance absolute. A qualified acceptance
constitutes a counter-offer. CERTAIN - DIRECT
13.) _____Acceptance made by letter or telegram does not bind the offerer except from the time it came to his
knowledge. The contract, in such a case, is presumed to have been entered into in the place where the offer was
made.
14.) _____An offer becomes ineffective upon the death, civil interdiction, insanity, or insolvency of either party
before acceptance is conveyed.
MATCHING TYPE

_____1. It is a meeting of minds between two persons whereby one binds himself, A. Law
with respect to the other, to give something or to render some service.
_____2. Those that meet the legal requirements and limitations for the type of B. Innominate Contract
agreement involved, and thus, legally binding and enforceable.
_____3. A rule of conduct, just, obligatory promulgated by legitimate authority, and of C. Public Policy
common observance and benefit.
_____4. Deals with norms of good and right conduct evolved in community. These D. Unemacipated Minor
norms may differ at different places and with each group of people.
_____5. Consist of habits and practices which through long usage have been E. Counter Offer
followed and enforce by society or some part of it as binding rules of conduct.
_____6. Refers principally to public safety although it has been considered to mean F. Natural Elements
the public weal
_____7. May refers not only to public safety but also to considerations which are G. Solemn Contract
moved by the common good.
_____8. That which has a specific name or designation like commodatum, lease, H. Offer
sale, etc.
_____9. That which has no specific name or designation in law. I. Option Contract
_____10. “Facto ut facias” J. “I do what you may not do”
_____11. “Do ut des” K. Contracts
_____12. A person who has not taken part in the contract, and thus, stranger to the L. Customs
contract.
_____13. Is a stipulation in a contract clearly and deliberately conferring a favor M. Valid Contracts
upon a third person who has a right to demand its fulfillment provided he
communicates his acceptance to the obligor before its revocation by the oblige or the
original parties.
_____14. that which requires compliance with certain formalities prescribed by law, N. Lucid Interval
such prescribed form being thereby essential element thereof
_____15. Those without which no contract can validly exist regardless of the O. “I give that you may give”
intentions of the parties.
_____16. Those that are presumed to exist in certain contracts unless the contrary is P. “I give that you may do”
expressly stipulated by the parties like warranty against eviction or warranty against
hidden defects in sale.
_____17. The particular stipulations, clauses, terms, or conditions established by the Q. Nominate Contract
parties in their contract like conditions, period, interest, penalty, etc., and, therefore,
they exist only when they are expressly provided by the parties
_____18. A proposal made by one party (offerer) to another (offeree), indicating a R. Acceptance
willingness to enter into a contract.
_____19. The manifestation by the offeree of his assent to all the terms of the offer. S. Rejection
_____20. An acceptance departing from the terms of the offer, it constitute a new T. Essential Elements
offer which the original offerer may accept or reject.
_____21. Is one giving a person for consideration a certain period within which to U. Morals
accept the offer of the offerer.

V. Public Order
W. Stipulation Pour Autri
X. Accidental Elements
Y. Third Person