Top 250+ Solved Albano MCQs MCQ Questions Answer
Q. Is a stipulation in a contract of lease granting the lessee an exclusive right to renew the contract valid?
a. No, because it is violative of the principle of mutuality of contracts;
b. No, because validity or compliance cannot be left to the will of only one of the parties;
c. Yes, it is fundamentally part of the consideration in the contract. (Allied Bank v. CA, January 16, 1998)
d. No, it is contrary to law.
Q. The following enumeration is correct, except:
a. Consensual contracts are perfected by mere consent;
b. Real contracts are perfected by the delivery of the object;
c. All contracts are perfected by mere consent;
d. Even if the lessor is obliged to deliver the thing leased, it is still a consensual contract.
Q. Consent in a contract is manifested by any of the following acts, except:
a. Delivery of downpayment;
b. Delivery of earnest money;
c. Delivery of option money;
d. Delivery of a letter accepting the offer with qualification.
Q. The following are correct in connection with contracts of adhesion, except:
a. Prepared by only one of the parties and the other merely affixed his signature;
b. They are void as they are one sided;
c. They are binding as ordinary contracts;
d. Due to their peculiar nature, their validity is determined in light of the circumstances under which the stipulations are intende (Sps. Ermitaño v. CA, April 21, 1999)
Q. An action pauliana is an action to rescind contracts in fraud of creditors. The following are its requisites, except:
a. Plaintiff asking for rescission has a credit prior to the alienation although demandable later. (Panlilio v. Victoria, 35 Phil. 706)
b. Debtor has made a subsequent contract conveying a patrimonial benefit to a third person.
c. Creditor has no other legal remedy.
d. The third person was not a party to the frau
Q. A is indebted to ABC Corporation in the amount of P100M. Despite efforts to collect from A, the latter failed to pay due to business reverses as he has no more assets. In order to maintain a more accurate inventory of the worth of its current assets, ABC Corp. was forced to write-off A’s obligation. One (1) year later, A won the lotto draw in the US in the amount of $100M. Learning of the good luck of A, it demanded for payment, but A refused to pay contending that his obligation was extinguished when it was written-off. Is A correct?
a. A is correct because write-off is a mode of extinguishing an obligation.
b. A is correct because write-off is a compromise of liability.
c. A is correct because write-off is a condonation of an obligation.
d. A is not correct because in making the write-off, only the creditor takes action by removing the uncollectible account from its books even without the approval or participation of the debtor, hence, there is no extinguishment of the obligation. (Reyna, et al. v. COA, G.R. No. 167219, February 8, 2011)
Q. X communicated to Y that he was selling his house and lot and gave him an option to buy the same up to the end of the month of September. Y accepted the offer with an agreement that Y will allow X to stay in his house in Los Angeles, California during Christmas time that year. Is the option binding upon X?
a. The option is not binding since no payment in the form of money was delivered to X by Y.
b. The option is not binding because no property or anything of value was delivered to X by Y.
c. The option is binding as the consideration can be in an undertaking.
d. The option is not binding or void because no consideration at all was pai
Q. A was employed by ABC Co. as manager in Metro Manila subject to the condition that if A will be severed from the company, voluntarily or involuntarily, he cannot get involved in any business of the same nature with ABC’s business in Metro Manila within a period of six (6) months from severance. Is the stipulation valid?
a. The stipulation is not valid because it is contrary to public policy.
b. The stipulation is not valid because it is contrary to law, as it is a restraint of trade.
c. The stipulation is valid because of the principle of mutuality of contracts.
d. The stipulation is valid because the non-involvement clause provides for time and place to prevent unfair competition and advantage.
Q. When A’s obligation to B became due and demandable, A offered to pay, but refused to accept payment. State the remedies of A.
a. A must make a tender of payment to B.
b. A must make a tender of payment and deposit the amount in court.
c. A can go direct to court and deposit the amount due in court.
d. A must make a tender of payment, deposit the amount in court and make a subsequent notice.
Q. A & B entered into an oral contract of sale of A’s car worth P4.5M where the object was supposed to be delivered upon payment of the price. When A went to B’s house to pay the price, the latter refused to sell hence, a complaint for specific performance was filed by A. will the complaint prosper?
a. The complaint will not prosper because the contract is not enforceable as it is not in writing.
b. The complaint will prosper because a contract can be valid in whatever form it may be entered into.
c. The complaint will not prosper because the contract is void as it was not put into writing.
d. The complaint will prosper because of the principle of mutuality of contracts.
Q. A is a contractor, building roads for the government which has not paid him P100M. Before he filed his income tax returns, he wrote a letter to the BIR Commissioner proposing a set-off between the State and A considering that his tax liability amounts to P10M and the State has not paid him despite demand. Is A correct?
a. A is correct because the State and A are mutually debtor and creditor of each other.
b. A is not correct because tax is the life blood of the government.
c. A is correct, otherwise, the State would enrich itself at the expense of A.
d. A is not correct because a tax is different from an ordinary debt, and they are not mutually debtors and creditors of one another.
Q. A is indebted to B in the amount of P2M. When the obligation became due and demandable B delivered to A his car and A accepted it. A month later A sued B for sum of money. Can B interpose the defense of dacion en pago?
a. B can interpose the defense of dacion en pago, because of the acceptance of the object.
b. B can interpose the defense of extinguishment of the obligation by way of novation.
c. B can interpose the defense of novation since the delivery of the car resulted in a change of relationship.
d. B cannot interpose the defense of novation because novation cannot be presumed, it must be expressly agreed upon.
Q. A called up B that he was selling his house and lot for P10M. Within one (1) hour after B accepted the offer, he invited A for dinner at the Manila Hotel where B paid the dinner in the amount of P5,000.00. They agreed that the P5,000.00 was the downpayment. A receipt for the payment of P5,000.00 for the dinner was issued. When A refused to sell, B sued for specific performance. Is B correct?
a. B is correct because the contract has been partially executed due to the agreement that the P5,000.00 paid for their dinner constituted the downpayment.
b. B is not correct since the contract is unenforceable as it was not put to writing.
c. A is wrong because the contract is unenforceable as there was no payment of the price.
d. The contract is valid because it has all the elements of a valid contract.
Q. ABS-CBN entered into a contract with WR under certain terms and conditions. Both parties violated their contract, to the extent that WR transferred to another station despite the contract.
a. ABS-CBN can rescind the contract because of material breach committed by WR.
b. WR can rescind the contract due to violations committed by ABS-CBN.
c. The court will not grant rescission because of mutual breach.
d. The court will not rescind the contract, but will just temper the award of damages in its judgment.
Q. What is the remedy if a document does not reflect the true intention of the parties?
a. File an action to annul;
b. File an action to nullify;
c. File an action for reformation;
d. File an action to enforce.