Sales Activity 1

What is NOT a characteristic of a contract of sale

• It is a mode of acquiring ownership

• It is a bilateral contract

• It is a title for acquiring ownership

• It is a consensual contract

Which one is a contract of sale

• A contract wherein the owner authorizes another to sell the former's property

• A contract wherein the contractor binds himself to do a service for the employer for a certain price

• A contract wherein a thing is exchanged partly in money and partly in another thing, and the value of the money exceeds value of thing

• A contract wherein a thing is exchanged partly in money and partly in another thing, and the value of the thing exceeds value of money

Which is NOT an essential element of a contract of sale

• Consent

• Object

• Warranty

• Price

Which of the following is a requisite for the object of the sale to be valid

• The vendor must have the right to transfer ownership at the time of perfection

• The thing may be illegal provided the parties consented thereto

• The vendor must have the right to transfer ownership at the time of negotiation

• The vendor must have the right to transfer ownership at the time of delivery

Assuming there is good faith from all parties involved, when is "price" certain in the law on sales

• When the seller solely determines the price

• When the buyer solely determines the price

• When a third person solely determines the price

• When the court solely determines the price

When is the sale of hope or expectancy valid

• B buys a sweepstakes ticket in the hope of winning a prize

• S will sell his land if he wins the case

• B will buy the fisherman's catch for the day, fish or no fish

When is a sale of future goods valid

• Sale of goods which are not yet existing but will be manufactured

• Sale of future fruits to be produced on land

• When the goods are not yet owned by the vendor but he intends to purchase the same

• All of the above

What is the proper remedy when the third person appointed to fix the price did so in bad faith

• Injured party may fix the price, with the court's approval

• Court should fix the price

• The parties may agree to another price, with the court's approval

• The injured party may rescind the contract

The seller and the buyer appoint a third person to fix the price. However, the seller prevents the third person from fixing the price. What is the buyer's remedy?

• Buyer may rescind the contract

• Buyer may solely fix the price

• Buyer may offer to make a payment

• Buyer may demand the third person to fix the price thereby rendering the third person in delay

When does the gross inadequacy of price invalidate a voluntary sale

• When the price is so low as compared to the market prices

• When either of the parties are victims of a bad bargain

• When the inadequacy indicates that there was fraud on either of the parties

• When the price is higher than the market price