JPIA MO-DE RFBT-1

1. The Law of Obligations and Contracts is the body of rules which deals with the nature and sources of obligations
and the rights and duties arising from agreements and particular contracts, What law governs the Law of
Obligations and Contracts?
a. Republict Act 368 - Book IV - CIvil Code of the Philippines
b. Republic Act 386 - Book IV - Civil Code of the Philippines
c. Republic Act 368 - Book IV - CIvil Code of the Philippines
d. Republic Act 386 - Book VI -CIvil Code of the Philippines

2. I. Obligation is a juridical necessity because in case of non-compliance, the courts of justice may not be called
upon to enforce its fulfillment or, in default thereof, the economic value that it represents.
II. Obligations which give to the creditor or obligee a right of action in courts of justice to enforce their
performance are known as civil obligations.
III. Natural Obligations are based on ​positive law​ although in case of voluntary fulfillment by the debtor, the latter
may not recover what has been delivered or rendered by reason thereof.
IV. Vinculum Juris is an essential requisite of an obligation it is the ​conduct​ required to be observed by the debtor.
a. True, True, True, False c. False, True, True, False
b. False, True, False, False d. True, True, False, False

3. Obligations arise from:

a. Law, Demand, Contract c. ​Acts or Omissions punished by law
b. Law, Culpa- Contractual, Demand d. Culpa Aquiliana and Demand only
c.
4. This is never presumed. To exist it must be provided for in the Civil Code or in some special law.
a. Obligation ex lege c. Obligation ex delicto
b. Obligation ex contractu d. Obligation ex quasi

5. I. Obligations arising from contracts are governed primarily by the agreement of the contracting parties.
II. As a source of obligation, a contract must be valid and enforceable.
III. A ​quasi-delict is that juridical relation resulting from certain lawful, voluntary and unilateral acts by virtue of
which the parties become bound to each other to the end that no one will be unjustly enriched or benefited at the
expense of another.
IV. A ​quasi-contract is an act or omission by a person which causes damage to another in his person, property, or
rights giving rise to an obligation to pay for the damage done, there being fault or negligence but there is no
pre-existing contractual relation between the parties.
a. True, True, True, True c. True, True, False, False
b. False, True, True, True d. False, False, False. False

6. I. Every person obliged to give something is also obliged to take care of it with the proper diligence of a good
father of a ​good family​, unless the law or the stipulation of the parties requires another standard of care.
II. The obligation to deliver a specific thing includes the delivery of its accessions and accessories
III. The obligation to deliver a​ generic ​thing includes the delivery of its accessions and accessories
IV. The creditor has a right to the fruits of the thing from the time the obligation to deliver it arises. However, he
shall acquire no real right over it until the same has been delivered to him.
a. False, True, True, True c. True, True, False, True
b. True, True, True, True d. False, True, False, True

7. I. Industrial fruits are those produced by lands of any kind through cultivation or labor
II. Grass, trees and plants on lands are example of ​industrial fruits
JPIA MO-DE RFBT-1
III. Civil fruits are those derived by virtue of a juridical relation
IV. Rents of buildings, price of leases of lands and other property and the amount of perpetual or life annuities or
other similar income are example of ​Natural fruits
a. True, True, True, True c. True, False, False, False
b. True, False, True, True d. True, False, True, False

8. I. If the obligor delays, or has promised to deliver the same thing to two or more persons who do not have the
same interest, ​he also shall not be responsible for any fortuitous event​ until he has affected the delivery.
II. The obligation to give a determinate thing includes that of delivering all its accessions and accessories, only if
there is a stipulation.
III. If a person obliged to do something fails to do it, the same shall be executed at his cost.
IV. When the obligation consists in not doing, and the obligor does what has been forbidden him, it shall also be
undone at his expense.
a. False, False, True, True c. True, True, True, True
b. True, True, False, False d. False, False, False, False

9. This Doctrine provides that all contracts by virtue of which the debtor alienates property by gratuitous title are
presumed to have been entered into in fraud of creditors, when the donor did not reserve sufficient property to pay
all debts contracted before the donation.
a. Doctrine of Stare Decisis
b. Doctrine of Anticipatory Fraud
c. Statute of Fraud
d. None of the above

10. The kind of fraud that makes the party employing it liable for damages?
a. Causal fraud
b. Dolo incidente
c. Dolo causante
d. Future fraud
e. None of the above.

11. Clyde offered to sell his motorcycle for Php 100,000 to Jinky in case. Jinky accepted the offer but is willing to
only for Php 75,000. Which is correct?
a. There is perfected contract of sale at the price of Php 100,000
b. Contract is perfected with Php 75,000 as the price.
c. There is no perfected contract because acceptance was qualified.
d. Contract is perfected the moment there is consent regardless of the consideration.
e. None of the above.
f.
12. I. As a rule, demand is not necessary in order for the delay to exist
II. ​Mora solvendi ​is the delay on the part of the creditor without justifiable reason to accept the performance of the
obligation
III. ​Mora accipiendi ​is the delay on the part of the debtor to fulfill his obligation by reason of a cause imputable to
him
IV. Compensatio morae is the delay of the obligors in reciprocal obligations
a. True, True, True, True c. True, False, False, True
b. True, True, True, False d. False, True, True, False

13. Damages arise from;

a. Fraud c. Delay
b. Negligence d. Acts or omissions punished by law
JPIA MO-DE RFBT-1

14. . Which of the following is a determinate thing?

A. A car.
B. A 2010 Mitsubishi adventure GSL Sport DSL
C. A Toyota Revo Sport Runner with Plate No. XCS 888.
D. A car owned by Pedro Cruz.

15. I. Delay or mora in one of the sources of obligation.

II. There is no delay in an obligation not to do.
III. If the thing is determinate, the debtor can be compelled to deliver the thing promised and upon failure, the
creditor has a right to ask for damages.
IV. If the object is generic and the debtor does not comply with the obligation, the creditor can ask a third person to
comply with the prestation at the expense of the debtor, plus damages.
a. True, True, True, True c. False, False, True, True
b. False, True, True, True d. True. False. True, True

16. Which is/are true about pure obligations?

I. Demandable at once
II. If the obligation of the debtor is “I will pay you my debt after I have arrived from abroad”
III. When the debtor binds himself to pay when his means permit him to do so, the obligation is
IV. Payable on demand
a. I, II, III, IV c. I and IV
b. I and III d. I, III, IV

17. I. Responsibility arising from fraud is demandable in all obligations.

II. Past and Future fraud can be waived
III. The receipt of the principal by the creditor, without reservation with respect to the interest, shall give rise to the
presumption that said interest has been paid.
IV. The receipt of a later installment of a debt without reservation as to prior installments, shall likewise raise the
presumption that such installments have been paid.
a. True, False, True, True c. False, False, False, True
b. False, False, True, True d. False, True, False, True

18. I. Subject to the laws, all rights acquired in virtue of an obligation are ​instransmissible
II. Condition is a future and ​certain event, upon the happening of which, the effectivity or extinguishment of an
obligation (or rights) subject to it depends.
III. Condition is a future and uncertain event, upon the happening of which, the effectivity or extinguishment of an
obligation (or rights) subject to it depends.
IV. Suspensive condition (condition precedent or condition antecedent)or one the fulfillment of which will give rise
to an obligation (or right).
a. False, True, False, True c. False, False, False. False
b. False, False, False, True d. True, True, True, False

19. I. Obligations with a resolutory period take effect at once, but terminate upon arrival of the day certain.
II. Suspensive or In Diem​. — The obligation is valid up to a day certain and terminates upon the arrival of the
period.
III. Anything paid or delivered before the arrival of the period, the obligor being unaware of the period or believing
that the obligation has become due and demandable, may be recovered, with the fruits and interests.
IV. The indivisibility of an obligation necessarily implies solidarity.
a. True, True, True, False c. True, False, False, False
b. True, False, True, False d. False, False, False
JPIA MO-DE RFBT-1

20. The debtor shall lose every right to make use of

the period when.
I. When after the obligation has been contracted, he becomes insolvent, unless he gives a guaranty or security
for the debt
II. When he does not furnish to the creditor the guaranties or securities which he has promised
III. When by his own acts he has impaired said guaranties or securities after their establishment, and when
through a fortuitous event they disappear, unless he immediately gives new ones equally satisfactory;
IV. When the debtor violates any undertaking, in consideration of which the creditor agreed to the period;
V. When the debtor does not attempts to abscond.
a. All statements are true
b. Statements I, III, and V are true
c. The debtor shall in no case loss the benefit of the period because the period is intended for the benefit of the
creditor and the debtor
d. c. All statements, except statement V, are true

21. In a joint obligation, A, B and C are debtors of joint creditors, D, E and F in the amount of P180,000. A’s
obligation is
A. Pay D P60,000 C. Pay D P120,000
B. Pay D, E and F P180,000 D. Pay D P20,000

22. I. In an obligation where only one prestation has been agreed upon, but to extinguish the obligation, the debtor
is allowed and does render another substitute, the obligation is facultative obligation
II. In an obligation where only one prestation has been agreed upon, but to extinguish the obligation, the debtor is
allowed and does render another substitute, the obligation is an ​alternative ​obligation
III. The right of choice belongs to the debtor, unless it has been expressly granted to the creditor.
IV. When the choice has been expressly given to the creditor, if all the things are lost through the fault of the
debtor,
the choice by the creditor shall fall upon the price of any one of them, also with indemnity for damages.
a. True, False, True, False c. True, False, True, True
b. False, True, True, False d. True, True, False ,False

23. I. There is a solidary liability only when the obligation expressly so states
II. A solidary obligation is one where each one of the debtors is bound to render, and/or each one of the creditors
has a right to demand entire compliance with the prestation.
III. The indivisibility of an obligation does not necessarily give rise to solidarity. Nor does solidarity of itself imply
indivisibility.
IV. Solidarity may exist although the creditors and the debtors may not be bound in the same manner and by the
same periods and conditions.
a. True, True, True, Tru​e c. False, False, True, False
b. False, True, True, True d. True, True, False, False

24. A obligated himself to pay B the amount of P30,000, 30 days after May 1, 2011 plus a penalty of P3,000 if he
fails to pay the obligation on due date. After demand for payment by B, A offered to pay on July 30, 2011. B can
demand from A –
A. P30,000 plus P3,000 plus legal interest.
B. P30,000 plus legal interest.
C. P30,000 plus P3,000.
D. P30,000 plus P3,000 plus legal interest plus damages.

25. In relation to divisible obligations, this division exist only in the minds of the parties:
JPIA MO-DE RFBT-1
a. qualitative division
b. quantitative division
c. intellectual division
d. none of the above.

26. I. A contract is a meeting of minds between two persons whereby one binds himself, with respect to the other,
to give something or to render some service.
II. Contracts must bind both and not one of the contracting parties; their validity or compliance cannot be left to
the will of one of them, this the the mutuality characteristic of contracts.
III. Unilateral (e.g., commodatum, gratuitous deposit), when it creates an obligation on the part of only one of the
parties
IV. Innominate contract is a contract which has specific name or designation in law
a. True, True, True, True c. True, True, True, False
b. True, False, True, True d. True, False, True, True

27. I. Do ut facias means I give that you may​ give

II. ​Birth,-Negotiation-Consummation (the stage in the life of contract)
III. There is no contract unless the following requisites concur: consent of the contracting parties, object certain,
cause of the obligation which is established.
IV. Conditions, Period, Interest, and Penalty are example of ​Natural elements​ of a contract
a. False, False, True, False c. True, False, True, False
b. False, False, True, True d. True, True, True, True

28. I. Consent is the conformity of wills and with respect to contracts, it is the agreement of the will of one
contracting party with that of another or others, upon the object and terms of the contract.
II. 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.
III. An acceptance ​must be​ expressly made
IV. An offer becomes ineffective upon the death, civil interdiction, insanity, or insolvency of either party before
acceptance is conveyed.
a. True, True, False, True c. True, False, True, True
b. True, True, True, False d. False, True, True, True

29. I. No contract may be entered into upon future inheritance except in cases expressly authorized by law.
II. Physical impossibility is when the thing or service in the very nature of things cannot exist (e.g., a monkey that
talks) or be performed.
III. The relative impossibility, if temporary, does not nullify the contract.
IV. The object of every contract must be determinate as to its kind.
a. True, True, True, True c. True, True, False, False
b. False, False, True, True d. False, False,False, False.

30. I. In onerous contracts the cause is understood to be, for each contracting party, the prestation or promise of a
thing or service by the other; in remuneratory ones, the service or benefit which is remunerated; and in contracts of
pure beneficence, the mere liberality of the benefactor.
II. The illegality of the cause affects the validity of a contract, while the illegality of one’s motive does not render
the contract void.
III. The illegality of the ​motive affects the validity of a contract, while the illegality of one’s cause does not render
the contract void.
IV. Cause is not presumed that it exists and is lawful, unless it is stated in the contract.
a. True, True, True, True c. True, True, False, False
b. False, False, True, True d. False, False,False, False
JPIA MO-DE RFBT-1

31. I. In voidable contracts, there is no need to ratify the same before they can be considered valid. In unenforceable
contracts, however ratification is mandatory before they can be considered enforceable.
II. “There is ​undue influence if insidious or machinations was employed by a party on the other just to obtain the
latter’s consent, without which the latter would not have entered into the contract.
III. A threatened B with an administrative charge for immorality if the latter does not marry her because she is
already pregnant with their child. Fearing that she may do so, B married her. The contract of marriage is therefore
voidable​ because of threat.
IV. A simple mistake of account may give rise to the ​annulment ​of the contract because of mistake.
a. True, True, True, True c. False, True, False, False
b. False, False, True, True d​. True, False,False, False

32. X is a former government employee, suffered from severe paranoia and was confined in the mental hospital in
2000. After his release, he was placed under the guardianship of his wife to enable him to get his retirement pay. In
2004, he became a mining prospector and sold some mining claims. In 2006, he wants to annul the sale claiming
that he was not mentally capacitated at the time of sale. The sale in question was:
a. Rescissible c. Voidable
b. Void d. Valide

33. S was intimidated by B to sell to the latter his parcel of land at a very low price. C, the creditor of S was thus
damaged since the former has no other means of collecting from S. The remedy of S is
a. Rescission c. Annulment
b. Have it declared by the Court as void d. Reformation of the contract

34. A promised to give B a car as a reward after B has killed C. Later, after the killing, the contract was changed to
a lease of a big house for a certain period. The contract of lease is:
a. Rescissible c.Unenforceable
b. Void d.Voidable

35. A borrowed money from B with C as a guarantor. The contract of loan of P1M was not in writing while the
guaranty was written. B is now demanding payment from C because A failed to pay. Is C liable?
a. C is liable because the guaranty is enforceable although the loan is void it being oral.
b. C is liable because the guaranty is enforceable.
c. C is not liable because the accessory contract of guaranty is void since the principal contract of loan is void.
d. C is not liable because the contract of loan is in amount exceeding P500.00 which must be in writing to be
enforceable.
36. Which of the following contracts is not rescissible?
a. 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.
b. Those where one of the parties is incapable of giving consent to a contract.
c. Those executed in representation of an absentee, if the latter suffer a lesion more than ¼ of the value of the
object of the contract.
d. Those undertaken in fraud of creditors when the latter cannot in any other manner collects the claims due
them.
37. The act by mean by virtue of which efficacy is given to a contract, which suffers from a vice of curable nullity.
a. Resolution c. ratification
b. Rescission d. All of the above
JPIA MO-DE RFBT-1

38. A sold in writing to B his stereo set for Php 600.00. There is no delivery from A and no payment of the price
from B. Contract is:
a. Enforceable c.Unenforceable
b. Voidable d.Void

39. A sold in writing to B his land for Php 600,000. There is no delivery from A and no payment of the price from
B. Contract is:
c. Enforceable c​.Unenforceable
d. Voidable d.Void

40. When his father died but before the delivery of the property to him, a son sold his share of the property
inherited. Is sale valid?
a. No, because future inheritance cannot be sold.
b. Yes, because future inheritance can be object of the contract.
c. No, because the son was not the owner due to lack of delivery to him.
d. Yes, because what has been sold is present inheritance.

End of Examination

“ If it wasn’t hard everyone would do it. Its hard that makes it

great.”
“ It’s not about how bad you want it… it’s about how hard you are
willing to work for it.”

/CPALLD