Heirs of Luis Bacus Vs.

CA
Facts: Bacus leased a parcel of land to Faustino Duray in Cebu. The lease was for 6 years ending in
1990, the contract contained an option to buy clause. Under such option the lessee had the exclusive
and irrevocable right to buy 2000 sq meters within 5 years after the effectivity of the contract. Close
to the expiration of the contract, Bacus died after Duray informed the heirs of Bacus that they are
willing to purchase the property under the option to buy clause. The heirs refused to sell, thus Duray
filed a complaint for specific performance against the heirs of Bacus. RTC ruled in favor of Duray,
CA affirmed.

Issue: W/o the heirs of Bacus be compelled to sell the portion of the lot under the option to buy
clause.

Held: Yes. Obligation under an option to buy is a reciprocal obligation. The performance of one
obligation is conditioned on the simultaneous fulfillment of the other obligation. The payment of
the purchase price is contingent upon the execution and delivery of the deed of sale by the debtor.
When Duray exercised their option to buy, their obligation was to advise the Bacus’ heirs of their
decision and readiness to pay the price. Upon the actual execution of Bacus were they required to
pay. Duray did not incur delay when they did not yet deliver the payment nor make a consignation
before the expiration of the contract.