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1. Define contract of sale. 3 pts

2. The perfection of the contract of sale gives rise to two sets of obligations. What are these two
sets of obligations? Explain. 3pts
3. What are the elements of a contract of sale? Explain each element. 4pts
4. Distinguish between a conditional sale, on the one hand, and an absolute sale, on the other
hand. 3 pts
5. Distinguish between a contract of sale and a contract to sell. 4 pts
6. Explain: Sale is a form of “title” not a “mode”. 3 pts
7. A transferred to B a parcel of land for the price of 1million pesos. It was agreed in the contract
that B will pay 400,000 in cash and that for the remaining amount, he will convey his old Ford
Ranger Wildtrak, now valued at 600,000. What kind of contract is this? 5pts
8. A granted B the exclusive right to sell his assembled bicycles in Butuan City, the price is payable
within 60 days from delivery, and promising B a commission of 20% on all sales. After the
delivery of the bicycles to B, but before he could sell any of the bicycles, B’s store was
completely burned without his fault, together with all of the bicycles. Must B pay A for his lost
bicycles. Why? 5pts
9. Spouses Kim and Kara wanted to sell their house. They found a prospective buyer Rey. Kara
negotiated with Rey for the sale of the property. They agreed on a fair price of 2 million pesos.
Rey sent Kara a letter confirming his intention to buy the property. Rey then prepared a deed of
sale to be signed by the couple and a manager’s check for 2 million. After receiving the 2 million,
Kim signed the Deed of Sale. However, Kara was not able to sign it because she was abroad. On
her return she refused to sign the document saying she changed her mind. Kara filed a suit for
nullification of the Deed of Sale and for moral and exemplary damages against Rey. Will the suit
prosper? 10 pts
10. In 1999, Vicente Salavador married Ignacia Avila but had been separated de facto in 2001. Lot
was registered under the name of the spouses. Vicente filed a petition for administration and
appointment of guardian where he misrepresented that his wife, Ignacia died in 2002 and that
he and their minor children were her only heirs.

In March 2004, respondent Spouses Mijares bought the lot thus a new title was issued to them.
In December 2005, Ignacia sent a letter demanding the return of her ½ share in the lot. Failing to
settle amicably, Ignacia instituted a complaint for Annulment of Sale against Spouses Mijares
and Vicente.

The Spouses Mijares claimed that they are purchasers in good faith and that the sale was valid.

What is the status of the sale of the lot to respondent spouses, and should it be annulled in its
entirety or only with respect to the share of Ignacia? Were the respondents innocent purchasers
for value? 10 pts