Short quiz on RA 386

In a Contract for a Piece of Work, the contractor has the option to furnish only their labor and skill, or to furnish both labor/skill and materials.

• True

• False

Hidden Defects are flaws that are easily discoverable upon ordinary inspection and acceptance.

• True

• False

Answer explanation

A Hidden Defect is a flaw that is not apparent or discoverable upon ordinary inspection or acceptance.

The Right of Retention allows a contractor to keep any property, whether movable or immovable, until they are paid.

• True

• False

Answer explanation

The Right of Retention only applies to movable property.

If a contractor is working for a stipulated lump sum price, they cannot demand an increase in price due to the higher cost of labor or materials, unless the plans were changed and the change and additional price were determined in writing.

• True

• False

If a building collapses due to a defect in the plans drawn up by the architect, the architect is liable for damages if the collapse occurs within fifteen (15) years from the completion of the structure.

• True

• False

When the architect or engineer supervises the construction, they are held only secondarily liable for damages with the contractor.

• True

• False

Answer explanation

They shall be solidarily liable (jointly and severally liable) with the contractor.

Acceptance of the finished work by the employer generally relieves the contractor of liability for any defect, even if the employer expressly reserves their rights due to a specific defect.

• True

• False

Answer explanation

Acceptance does not relieve liability if the employer expressly reserves their rights against the contractor.

If the contractor who only provides skill and labor has the work destroyed before delivery due to a fortuitous event, they cannot claim any compensation from the employer.

• True

• False

Answer explanation

The rule is they cannot claim any compensation unless there was delay in receiving it, or the destruction was caused by the poor quality of material provided the contractor warned the owner.

The Employer/Proprietor has the right to withdraw from the construction of the work at will, but must indemnify the contractor for expenses, work, and damages.

• True

• False

If the work is agreed to be accomplished to the satisfaction of the proprietor, any disagreement regarding satisfaction is automatically subject to the final decision of a third-party expert.

• True

• False

Answer explanation

In case of disagreement, the question shall be subject to expert judgment, but the statement does not say the expert's judgment is automatically final, which is a condition reserved for a third person's approval.