01. Distinguish easement from usufruct

1. What is easement? Distinguish easement from usufruct.

2. Can there be (a) an easement over a usufruct? (b) a usufruct over an easement? (c) an easement over another easement? Explain.

02. Contract of sale

While in Afghanistan, a Japanese by the name of Sato sold to Ramoncito a Filipino, a parcel of land situated in the Philippines which Sato inherited from his Filipino mother.

1. What law governs the formality in the execution of the contract of sale? Explain your answer and give its legal basis.

03. Citizenship

In 1980 spouses Felisa and George, both Filipino citi­zens, migrated to the United States. Six years later they became American citizens. In 1909 they jointly filed a petition before the Regional Trial Court of Malabon seeking to adopt Gilda, the 10-year old daughter of Helen, Felisa's younger sister. The government opposed the petition on the ground that Felisa and George were disqualified since they were already American citizens.

1. How will you resolve the petition? Explain.

2. Will your answer be the same if George were & natural-born American citizen? Explain.

3. Will your answer be the same if Felisa were the illegitimate parent of Gilda? Explain.

4. Going back to the basic facts, suppose Felisa acquired her American citizenship during the pendency of the petition for adoption, will your answer be the same as in Question No. 1?

04. Certificate of title over a parcel of land

Rommel was issued a certificate of title over a parcel of land in Quezon City. One year later, Rachelle, the legitimate owner of the land, discovered the fraudulent registration obtained by Rommel. She filed a complaint against Rommel for reconveyance and caused the annotation of a notice of lis pendence of the certificate of the title issued to Rommel. Rommel now invokes the indefeasibility of his title considering that one year has already elapsed from its issuance. He also seeks the cancellation of the notice of lis pendens.

1. Will Rachelle's suit for reconveyance prosper? Explain.

2. May the court cancel the notice of lis pendens even before final judgment is rendered? Explain.

05. Contract to manage

Olivia owns a vast mango plantation which she can no longer properly manage due to a lingering illness. Since she is indebted to Peter in the amount of P500,000.00 she asks Peter to manage the plantation and apply the harvest to the payment of her obligation to him_, principal and interest, until her indebtedness shall have been fully paid, Peter agrees.

1. What kind of contract is entered into between Olivia and Peter? Explain.

2. What specific obligations are imposed by law on Peter as a consequence of their contract?

3. Does the law require any specific form for the validity of their contract? Explain.

4. May Olivia re-acquire the plantation before her entire indebtedness shall have been fully paid? Explain.

06. Marriage without parents or legal guardians

On 10 September 1988 Kevin, a 26-year old business­man, married Karla, a winsome lass of 18. Without the knowledge of their parents or legal guardians, Kevin and Karla entered into an antenuptial contract the day before their marriage stipulating that conjugal partnership of gains shall govern their marriage. Al the time of their marriage Kevin's estate was worth 50 Million while Karla's was valued at 2 Million.

A month after their marriage Kevin died in a freak helicopter accident. He left no will, no debts, no obligations. Surviving Kevin. aside from Karla, are his only relatives: his brother Luis and first cousin Lilia,

1. What property regime governed the marriage of Kevin and Karla? Explain.

2. Determine the value of the estate of Kevin.

3. Who are Kevin's heirs?

4. How much is each of Kevin's heirs entitled to inherit?

07. Inherit of adopted child

Abraham died intestate on 7 January 1994 survived by his son Braulio. Abraham's older son Carlos died on 14 February 1990.

Danilo who claims to be an adulterous child of Carlos intervenes in the proceedings for the settlement of the estate of Abraham in representation of Carlos. Danilo was legally adopted on 17 March 1970 by Carlos with the consent of the latter's wife.

1. Under the Family Code, how may an illegitimate filiation be proved? Explain.

2. As lawyer for Danilo, do you have to prove Danilo's illegitimate filiation? Explain.

3. Can Danilo inherit from Abraham in representation of his father Carlos? Explain.

08. Petition in Business Partnership

Pauline, Patricia and Priscilla formed a business part­nership for the purpose of engaging in neon advertising for a term of five (5) years. Pauline subsequently assigned to Philip her interest in the partnership. When Patricia and Priscilla learned of the assignment, they decided to dissolve the partnership before the expiration of its term as they had an unproductive business relationship with Philip in the past. On the other hand, unaware of the move of Patricia and Priscilla but sensing their negative reaction to his acquisition of Pauline's interest, Philip simultaneously petitioned for the dissolution of the partnership.

1. Is the dissolution done by Patricia and Priscilla without the consent of Pauline or Philip valid? Explain.

2, Does Philip have any right to petition for the disso­lution of the partnership before the expiration of its specified term? Explain.

09. Treasure

Tim came into possession of an old map showing where a purported cache of gold bullion was hidden. Without any authority from the government Tim conducted a relentless search and finally found the treasure buried in a new river bed formerly part of a parcel of land owned by spouses Tirso and Tessie. The old river which used to cut through the land of spouses Ursula and Urbito changed its course through natural causes.

1. To whom shall the treasure belong? Explain.

2. Suppose Tirso and Tessie were married on 2 August 1988 without executing any antenuptial agreement. One year after their marriage, Tirso while supervising the clearing of Tessie's inherited land upon the latter's request, acciden­tally found the treasure not in the new river bed but on the property of Tessie. To whom shall the treasure belong? Explain.

10. Breach of Contract and Damages

On 8 December 1991 Vanessa purchased from the Manila office of Euro-Aire an airline ticket for its Flight No. 710 from Dallas to Chicago on 16 January 1992. Her flight reservation was confirmed. On her scheduled departure Vanessa checked in on time at the Dallas airport. However, at the check-in counter she discovered that she was waitlisted with some other passengers because of intentional overbook­ing, a Euro-Aire policy and practice, Euro-Aire admitted that Vanessa was not advised of such policy when she purchased her plane ticket, Vanessa was only able to fly two days later by taking another airline.

Vanessa sued Euro-Aire in Manila for breach of contract and damages. Euro-Aire claimed that H cannot be held liable for damages because its practice of overbooking passengers was allowed by the U.S. Code of Federal Regulations. Vanessa on the other hand contended that assuming that the U.S. Code of Federal Regulations allowed intentional overbook­ing, the airline company cannot invoke the U.S. Code on the ground that the ticket was purchased in Manila, hence. Philippine law should apply, under which Vanessa can recover damages for breach of contract of carriage.

Decide. Discuss funny.

11. Residential Apartments

Armando owns a row of residential apartments in San Juan, Metro Manila, which he rents out to tenants. On 1 April 1991 he left for the United States without appointing any administrator to manage his apartments such that uncollected rentals accumulated for three (3) years, Amparo, a niece of Armando, concerned with the interest of her uncle, took it upon herself to administer the property. As a consequence, she incurred expenses in collecting the rents and in some instances even spent for necessary repairs to preserve the property.

1. What Juridical relation between Amparo and Armando, if any has resulted from Amparo's unilateral act of assuming the administration of Armando's apartments?
Explain.

2. What rights and obligations if any does Amparo have under the circumstances? Explain.

12. Loans

In 1983 PHILCREDIT extended loans to Rivett-Strom Machineries, Inc. (RlVETT-STROM), consisting of US$10 Milllion for the cost of machineries imported and directly paid by PHILCREDIT, and 5 Million in cash payable in installments over a period of ten (10) years on the basis of the value thereof computed at the rate of .exchange of the U.S. dollar vis-a-vis the Philippine peso at the time of payment.

RIVETT-STROM made payments on both loans which if based on the rate of exchange in 1983 would have fully set tied the loans.

PHILCREDIT contends that the payments on both loans should be based on the rate of exchange existing at the time of payment, which rate of exchange has been consistently increasing, and for which reason there would still be a considerable balance on each loan.

Is the contention of PHILCREDIT correct? Discuss fully.

13. Classify furniture-making machinery as property

Salvador, a timber concessionaire, built on his lot a warehouse where he processes and stores his timber for shipment. Adjoining the warehouse is a furniture factory owned by NARRAMIX of which Salvador is a majority stock­holder. NARRAMIX leased space in the warehouse where it placed its furniture-making machinery.

1. How would you classify the furniture-making machinery as property under the Civil Code? Explain.

2. Suppose the lease contract between Salvador and NARRAMIX stipulates that at the end of the lease the machinery shall become the property of the lessor, will your answer be the same? Explain.

14. Annulment of marriage

Yvette was found to be positive for HIV virus, considered sexually transmissible, serious and incurable. Her boyfriend Joseph was aware of her condition and yet married her. After two (2) years of cohabiting with Yvette, and in his belief that she would probably never be able to bear him a healthy child. Joseph now wants to have his marriage with Yvette annulled. Yvette opposes the suit contending that Joseph is estopped from seeking annulment of their marriage since he knew even before their marriage that she was afflicted with HIV virus.

Can the action of Joseph for annulment of his marriage with Yvette prosper? Discuss fully.

15. Distribution of properties in Philippines and Germany

Michelle, the French daughter of Penreich_, a German national, died in Spain leaving real properties in the Philip­pines as well as valuable personal properties in Germany.

1. What law determines who shall succeed the.deceased? Explain your answer and give its legal basis.

2. What law regulates the distribution of the real properties in the Philippines? Explain your answer and give its legal basis.

3. What law governs the distribution of the personal properties in Germany? Explain your answer and give its legal basis.

16. Loan in an transport business

Lawrence, a retired air force captain, decided to go into the air transport business. He purchased an aircraft in cash except for an outstanding balance of P500,000.00. He incurred an indebtedness of P300,000.00 for repairs with an aircraft repair company. He also borrowed P1 Million from a bank for additional capital and constituted a chattel mort­gage on the aircraft to secure the loan.

While on a test flight the aircraft crashed causing physical injuries to a third party who was awarded damages of P200,000.00.

Lawrence's insurance claim for damage to the aircraft was denied thus leaving him nothing else but the aircraft which was then valued only at P1 Million. Lawrence was declared insolvent.

Assuming that the aircraft was sold for Pl Million, give the order of preference of the creditors of Lawrence and distribute the amount of P1 Million.

17. Purchase of two lots

In 1960, Maureen purchased two lots in a plush subdi­vision registering Lot 1 in her name and Lot 2 in the name of her brother Walter with the latter's consent. The idea was to circumvent a subdivision policy against the acquisition of more than one lot by one buyer. Maureen constructed a house on Lot 1 with an extension on Lot 2 to serve as a guest house. In 1987, Walter who had suffered serious business losses demanded that Maureen remove the extension house since the lot on which the extension was built was his property. In 1992, Maureen sued for the reconveyance to her of Lot 2 asserting that a resulting trust was created when she had the lot registered in Walter's name even if she paid the purchase price. Walter opposed the suit arguing that assum­ing the existence of a resulting trust the action of Maureen has already prescribed since ten years have already elapsed from the registration of the title in his name.

Decide. Discuss fully.

18. Void ab initio

Isidro and Irma, Filipinos, both 18 years of age, were passengers of Flight No. 317 of Oriental Airlines, The plane they boarded was of Philippine registry. While en route from Manila to Greece some passengers hijacked the plane, held the chief pilot hostage at the cockpit and ordered him to fly instead to Libya. During the hijacking Isidro suffered a heart attack and was on the verge of death. Since Irma was already eight months pregnant by Isidro, she pleaded to the hijackers to allow the assistant pilot lo solemnize her marriage with Isidro. Soon after the marriage, Isidro expired. As the plane landed in Libya Irma gave birth. However, the baby died a minutes after complete delivery.

Back in the Philippines Irma immediately filed a claim for inheritance. The parents of Isidro opposed her claim contending, that the marriage between her and Isidro was uoid ab initio on the following grounds: (a) they had not given their consent to the marriage of their son; (b) there was no marriage license; (c) the solemnizing ofiicer had no authority to perform the marriage; and, (d) the solemnizing officer did not file an affidavit of marriage with the proper civil registrar.

1. Resolve each of the contentions ([a] to [d]) raised by the parents of Isidro. Discuss fully.

2. Does Irma have any successional rights at all? Discuss fully.

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