2012 BAR EXAMINATIONS

POLITICAL AND INTERNATIONAL LAW

1. Constitution is defined by Cooley as:

a. a body of statutory, administrative and political provisions by which the three
branches of government are defined;
b. a body of rules and maxims in accordance with which the powers of sovereignty are
habitually exercised;
c. a body of rules and edicts emanating from the rulings of courts and written guidelines
of the executive and the legislature by which government is governed;
d. a body of interpretations and rules by which the three branches of government are
judged for purposes of sovereign compliance with good corporate governance.
2. The three essential parts of a Constitution are:
a. the bill of rights, governmental organization and functions, and method of
amendment;
b. the preamble, the bill of rights, and provisions on checks and balances;
c. the national territory, the declaration of principles and state policies, and the
transitory provisions;
d. the executive department, the legislative department and the judiciary.
3. The constitutional provision on initiative and referendum is not self-executory. This is so
because it requires:
a. an implementing resolution from the COMELEC;
b. an implementing resolution from the Supreme Court;
c. an implementing legislation;
d. an implementing resolution from the party-list representative of the House of
Representatives.
4. In an amendment to the constitution by "initiative and referendum", the "initiative" phase is
meant that the people propose the amendments. There is a valid proposal when a
proposition has received the approval of:
a. at least 3% of the persons of majority age of each district, and 12% of the registered
voters of the region from proposal emanates;

b. at least 3% of the registered voters of each province and 12% of the total number of
registered voters nationwide;
c. at least 3% of the registered voters of each district and 12% of the total number of
registered voters nationwide;
d. more than 3% of the 3% of the registered voters of each district but less than 12% of
the total number of registered voters nationwide.
5. The Constitution declares that the Philippines is a republican state. Republicanism means:
a. the form of government must be presidential;
b. the representatives of the government are elected by the people;
c. sovereignty resides in the elected representatives of the government;
d. the form of government cannot be changed by the people.
6. A chief characteristic of the presidential form of government is:
a. concentration of power in the judiciary thru the power of expanded judicial review;
b. supremacy of the presidency compared to the totality of powers of the legislative;
c. regular periodic election of the President for a fixed term;
d. unlimited term for the President for as long as elected by the people in free and
honest elections.
7. Which of the following best exemplifies how the system of checks and balances is carried
out:
a. the legislature passes a law that prohibits the president from commuting a judiciary
imposed sentence, as a check of the president;
b. the President pardons a convict as a way to set aside or modify a judgment of the
judiciary;
c. the judiciary overturns a pardon granted by the President as a check on executions;
d. the President pardons an accused after arraignment in the interest of justice.
8. Which phrase best completes the statement The starting point of the principle of separation
of powers is the assumption of the division of the functions of government into three distinct
classes:
a. the bill of rights, state policies, and social justice and human rights;

b. the accountability of public officers, the constitutional commissions, and the national
economy and patrimony;
c. the self-executing provisions, the non-self-executing provisions, and the self-evident
social justice provisions;
d. the executive, the legislative, and the judicial.
9. The Constitution provides that the "separation of church and state shall be inviolable." This is
implemented most by the constitutional principles embodied in:
a. the free exercise clause;
b. the non-establishment clause;
c. the freedom of religious belief clause;
d. the freedom of religion clause.
10. Which one of the following is a non-self-executing provision of the Constitution:
a. no law shall be passed abridging the freedom of speech;
b. no law shall be made respecting an establishment of religion;
c. no person shall be held to answer for a criminal offense without due process of law;
d. the state shall encourage and support researches and studies on the arts and
culture.
11. Basic Philippine law, in respect of the modes of acquiring citizenship, follows the rule(s) of:
a. jus soli and jus sanguinis;
b. naturalization and provides for jus soli;
c. jus sanguinis and provides for naturalization;
d. none of the above.
12. Dual allegiance by citizen is:
a. inimical to the national interest and is therefore proscribed by law;
b. inimical to the national interest and is therefore prescribed by law;
c. inimical to the national interest and therefore shall be dealt with by law;
d. inimical to the national interest and is therefore outside of coverage of law.

13. Margarita was born in 1986 to a Filipino mother and Swedish father. She has been living and
continues to live in the US for the last 20 years and has also been naturalized as a US
citizen. She recently reacquired Philippine citizenship under RA 9225, the Citizenship
Retention and Reacquisition Act of 2003. Can Margarita vote in the next national elections?
a. Yes. Dual citizens who are not residents may register under the Overseas Absentee
Voting Law.
b. Yes. Margarita is a Filipino citizen and thus may enjoy the right to suffrage like
everyone else without registering as an overseas absentee voter.
c. No. Margarita fails the residency requirement under Section 1, Article V of the
Constitution for Filipinos.
d. No. Dual citizens upon renunciation of their Filipino citizenship and acquisition of
foreign citizenship, have practically and legally abandoned their domicile and
severed their legal ties to their homeland as a consequence.
14. Identify which one is an invalid exercise of the legislative power:
a. legislation by local government on purely local matters;
b. law granting an administrative agency the power to define policy and fix standards on
price control;
c. law authorizing the President, in times of war or other national emergency, for a
limited period, subject to prescribed restrictions, to exercise powers necessary and
proper to carry out a declared national policy;
d. law authorizing the President to fix, within specific limits, tariff rates, import and
export quotas, and other duties, within the framework of the national development
program of the government.
15. Which one of the following theories does not support the valid delegation of authority by the
Congress to an administrative agency:
a. an administrative agency may "fill up the details" of a statute;
b. the legislature may leave to another body the ascertainment of facts necessary to
bring the law into actual operation;
c. an administrative agency has equal expertise with the legislature in crafting and
implementing laws;
d. contingent legislation.
16. The rule in Article V1, Section 5 (3) of the Constitution that "Each legislative district shall
comprise, as far as practicable, contiguous, compact and adjacent territory" is a prohibition
against:
a. re-apportionment;

b. commandeering of votes;
c. gerrymandering;
d. re-districting.
17. Article V1, Section 5(3) of the Constitution requires that for a city to be entitled to have at
least one representative, its population shall be at least:
a. 250,000;
b. 150,000;
c. 100,000;
d. 175,000.
18. A Senator or Member of the House of Representatives shall be privileged from arrest while
Congress is in session for all offenses punishable by imprisonment of not more than:
a. life imprisonment;
b. reclusion perpetua;
c. six years imprisonment;
d. four years imprisonment.
19. No Senator or member of the House of Representatives may personally appear as counsel
before:
a. any regional court;
b. any court of justice;
c. any inferior court;
d. any appellate court.
20. Which of the following can be changed by an ordinary law enacted by Congress?
a. Commencement of the term of office of Senators;
b. Date of regular election for President and Vice Presidential;
c. Authority to transfer appropriation;
d. Regular election of the members of Congress.

21. Congress shall have the sole power to declare the existence of a state of war by vote of:
a. three-fourths of both Houses in joint session assembled, voting jointly;
b. two-thirds of both Houses in joint session assembled, voting jointly;
c. two-thirds of both Houses in separate session assembled, voting jointly;
d. two-thirds of both Houses in joint session, voting separately.
22. If by the end of any fiscal year, the Congress shall have failed to pass the general
appropriations bill for the ensuring fiscal year, the general appropriations law for the
preceding fiscal year shall be deemed:
a. referred;
b. unacted;
c. refilled;
d. re-enacted.
23. Provisions unrelated to an appropriation bill are considered prohibited. These are called:
a. interlopers;
b. riders;
c. outriggers;
d. add-ons.
24. The requirement that "Every bill shall embrace only one subject which shall be expressed in
the title thereof" prevents:
a. rollercoaster legislation;
b. log-rolling legislation;
c. rolling fields legislation;
d. loggerhead legislation.
25. The power of the President to veto any particular part in an appropriation revenue, or tariff
bill, is called the:
a. specific veto;
b. revenue veto;

c. item veto;
d. monetary veto.
26. A tax is progressive when:
a. the rate fluctuates as the tax base decreases;
b. the rate increases as the tax base remains the same;
c. the rate increases as the tax base increases;
d. the rate decreases as the tax base increases.
27. When the Supreme Court sits en banc, cases are decided by the concurrence of a majority
of the members who:
a. actually sent in memos on matters for deliberation and called in their votes thereon;
b. actually participated in the oral arguments and voted thereon;
c. actually took part in the deliberations on the issues in the case and voted thereon;
d. actually took part in the voting thereon and took notes on the actual deliberations.
28. When the Supreme Court sits in division, cases can be decided by as few as a minimum of:
a. three votes;
b. four votes;
c. five votes;
d. six votes.
29. A person who has a personal and substantial interest in the case, such that he has
sustained, or will sustain, direct injury as a result of its enforcement is considered to have:
a. understanding to challenge the governmental act;
b. standing to challenge the governmental act;
c. opportunity to challenge the governmental act;
d. familiarity to challenge the governmental act.
30. Congressman Sugar Oll authored a bill called House Bill No, 0056 which legalizes jueteng.
When the Bill became law (RA 10156), Fr. Nosu Gal, a priest, filed a petition seeking for the
nullification of RA 10156 on the ground that it is unconstitutional as it violates Section 13,
Article II, of the 1987 Constitution which states that "The state recognizes the vital role of the

youth in nation-building and shall promote and protect their physical, moral, spiritual,
intellectual, and social well-being". Fr. Gal filed the petition as a concerned citizen and as
taxpayer. Does Fr. Gal have locus standi?
a. No, because Fr. Gal has no personal and substantial interest that will be prejudiced
by the implementation of the law;
b. No, the law concerns neither citizens nor expenditure of public funds;
c. Yes, because the issue is of transcendental importance;
d. Yes, because as priest, Fr. Gal has special interest in the well-being of the youth.
31. Where there is "the impossibility of a courts undertaking independent resolution without
expressing lack of the respect due coordinate branches of government; or an unusual need
for unquestioning adherence to a political decision already made; or the potentially of
embarrassment from multifarious pronouncement by various departments on a question,"
describes what kind of political question:
a. adherence kind;
b. prudential kind;
c. respectful kind;
d. deference kind.
32. The "operative fact" doctrine of constitutional law is applied when a law is declared:
a. operative;
b. factual;
c. constitutional;
d. unconstitutional.
33. The totality of governmental power is contained in three great powers:
a. police power, power of sequestration, power of foreign policy;
b. power of immigration, municipal power, legislative power;
c. executive power, legislative power, judicial power;
d. police power, power of eminent domain, power of taxation.
34. The most essential, insistent and the least limitable of (government) powers, extending as it
does to all the great public needs, is:

a. emergency power;
b. police power;
c. legislative power;
d. power to declare martial law.
35. 35. In the hierarchy of civil liberties, which right occupies the highest preferred position:
a. right to academic freedom;
b. right to a balanced and healthful ecology;
c. right to freedom of expression and of assembly;
d. right to equal health.
36. In which of the following would there be no double jeopardy even if a subsequent case is
filed?
a. Pot is accused before the RTC of qualified theft. After innumerable postponements
against Pots wishes, he moves for dismissal for denial of the right to a speedy trial.
Prosecutor objected. Dismissal granted;
b. Pot is accused before the RTC of qualified theft. After innumerable postponements
against Pots wishes, the prosecutor moves for dismissal with the consent of Pot.
Granted;
c. Pot is accused before the RTC of qualified theft. After innumerable postponements
against Pots wishes, he moves for dismissal for denial of the right to a speedy trial.
Prosecutor posts no objections. Dismissal granted;
d. Pot is accused before the RTC of qualified theft. After innumerable postponements
against Pots wishes, the prosecutor moves for dismissal over the objections of Pot.
Granted.
37. Under Article III, Section 2 of the Bill of Rights, which provides for the exclusion of evidence
that violate the right to privacy of communication and correspondence, to come under the
exclusionary rule, the evidence must be obtained by:
a. private individuals acting on their own;
b. government agents;
c. private individuals acting on orders of superiors;
d. former high government officials.

38. The complementing regime that best characterizes the guarantees of freedom of speech and
of the press are:
a. prior punishment and moderate punishment;
b. prior censorship and subsequent remedies;
c. no prior restraint and subsequent punishment;
d. no prior restraint and no subsequent punishment.
39. The free exercise and non-establishment clauses pertain to which right under the Bill of
Rights:
a. liberty of movement;
b. liberty of abode;
c. religion;
d. life and liberty.
40. The Gangnam Styles Witnesses (whose tenets are derogatory to the Catholic Church),
applied for a permit to use the public plaza and kiosk to hold their religious meeting on the
occasion of their founding anniversary. Mayor Lebron allowed them to use the northwestern
part of the plaza but not the kiosk (which is a few meters away from the Catholic church).
Members of the Gangnam Style Witnesses claim that the act of Mayor Lebron is a violation
of their freedom of assembly and religion. Is this correct?
a. No, because this is valid exercise of police power;
b. Yes, because the plaza being of public use can be used by anybody regardless of
religious belief;
c. No, because historical experience shows that peace and order may be disturbed
whenever two opposing religious groups or beliefs expound their dogmas;
d. Yes, because there is no clear and present danger in holding a religious meeting by
another religious group near a catholic church.
41. Which one is NOT a recognized limitation to the right to information on matters of public
concern:
a. national security matters;
b. trade secrets and banking transactions;
c. criminal matters or classified law enforcement matters;
d. government research data used as a basis for policy development.

42. Which one of the following circumstances is NOT an element of taking under eminent
domain:
a. entering upon public property for a momentary period;
b. under color of legal authority;
c. devoting it to public use;
d. as substantially to cust the owner of all beneficial ownership.
43. Market value for purposes of determining just compensation in eminent domain has been
described as the fair value of property:
a. between one who desires to purchase and one does not desire to sell;
b. between one who desires to purchase and one who wants to delay selling;
c. between one who desires to purchase and one who desires to sell;
d. between one who desires to purchase on terms and one who desires to sell after a
period of time.
44. Under Article III, Section 12 of the Constitution, any person under investigation for the
commission of an offense shall have the right to be informed of his right to remain silent, etc.
The investigation referred to is called:
a. preliminary investigation;
b. summary investigation;
c. criminal investigation;
d. custodial investigation.
45. All persons charged shall, before conviction, be bailable by sufficient sureties, except those
charged with:
a. offenses punishable by death when evidence of guilt is strong;
b. offenses punishable by life imprisonment when evidence of guilt is strong;
c. offenses punishable by death when evidence of guilt is weak;
d. offenses punishable by reclusion perpetua when evidence of guilt is strong.
46. Criminal trial may proceed, notwithstanding the absence of the accused provided that he has
been duly notified, and his failure to appear is unjustifiable, after:
a. preliminary investigation;

b. arraignment;
c. sentencing;
d. prosecution has rested its case.
47. The requisites of a valid trial in absentia exclude:
a. Wherein his/her failure to appear is unjustifiable;
b. Wherein he/she allows himself/herself to be identified by the witness in his/her
absence, without further unqualified admitting that every time a witness mentions a
name by which he/she is known, it shall be understood to refer to him/her;
c. Wherein he/she has been duly notified of the trial;
d. Wherein the accused has already been arraigned.
48. The privilege of the writ of habeas corpus shall not be suspended except in cases of:
a. imminent danger of invasion or rebellion when the public safety requires it;
b. grave danger of invasion or rebellion when the public safety requires it;
c. clear and present danger of invasion or rebellion when the public safety requires it;
d. invasion or rebellion when the public safety requires it.
49. The right of the accused against self-incrimination will be violated if:
a. he is charged with violation of the Anti-Money Laundering Act and he was required to
produce his bank passbook;
b. he is a public officer charged with amassing ill-gotten wealth and his statement of
assets and liabilities will be presented as evidence;
c. his gun was subjected to a ballistics test;
d. a sample of his blood was taken if his blood type matches the blood type found at the
scene of the crime.
50. The death penalty shall not be imposed:
a. unless for compelling reasons involving death penalty crimes and the executive
hereafter provides for it;
b. unless for compelling reasons involving heinous crimes and a constitutional
amendment provides for it;

c. unless for compelling reasons involving heinous crimes and Congress hereafter
provides for it;
d. unless for compelling reasons involving heinous crimes and the Supreme Court
hereafter upholds it.
51. An ex post facto law has been defined as one:
a. which aggravates a crime or makes it lesser than when it was committed;
b. which mitigates a crime or makes it lesser than when it was committed;
c. which aggravates a crime or makes it greater than when it was committed;
d. which aggravates a crime or makes it non-criminal after it was committed.
52. A bill of attainder is:
a. an executive act which inflicts punishment without tender;
b. a judicial act which inflicts punishment without tender;
c. a legislative act which inflicts punishment without trial;
d. a legislative act which pardons punishment after tender.
53. Which one of the following is NOT an independent Constitutional Commission under Article
IX, Section 1 of the Constitution:
a. Commission on Elections;
b. Commission on Human Rights;
c. Civil Service Commission;
d. Commission on Audit.
54. The independent Constitutional Commissions enjoy:
a. decisional autonomy;
b. organizational autonomy;
c. fiscal autonomy;
d. quasi-judicial autonomy.
55. The Civil Service shall be administered by the Civil Service Commission composed of a:

a. Chairman and a Commissioner;

b. Chairman and two (2) Commissioners;
c. Chairman and three (3) Commissioners;
d. Chairman and four (4) Commissioners.
56. In Oposa vs. Factoran, Jr., G.R. No. 101083, July 30, 1993, the Supreme Court held that the
personality of the petitioners to sue is based on the concept of:
a. ecological responsibility;
b. environmental accountability;
c. intergenerational responsibility;
d. interdisciplinary responsibility.
57. In a unitary system of government, such as the government under the Philippine Constitutor,
local government can only be:
a. an imperuim in imperio;
b. an infa-sovereign subdivision;
c. a sovereign nation;
d. a sovereign entity.
58. Which one is NOT among the Constitutionally mandated grounds for impeachment of
impeachable officials:
a. culpable violation of the Constitution;
b. treason, bribery, graft and corruption and other high crimes;
c. betrayal of public trust;
d. culpable violation of the duty to be at all times accountable to the people.
59. Which is NOT an impeachable public officer:
a. a justice of the Supreme Court;
b. a commissioner of the Comelec;
c. the administrator of the Supreme Court;

d. the Ombudsman.
60. Which has the exclusive power to initiate all cases of impeachment:
a. the Senate;
b. the House of Representatives;
c. the Senate President;
d. the Speaker of the House of Representatives.
61. At least one-third of all the members of the House of Representatives may file articles of
impeachment by:
a. verified bill and resolution;
b. verified complaint and resolution;
c. verified notice and resolution;
d. verified complaint and notice.
62. The President cannot grant pardon in cases of impeachment. He may however exercise
such power when:
a. A person convicted in an impeachment proceeding is subject to prosecution, trial and
punishment in an ordinary criminal action;
b. A person convicted in an impeachment proceeding is granted an absolute pardon;
c. A person convicted in an impeachment proceeding files his appeal before the
Supreme Court;
d. None of the above.
63. A public officer impeached and removed from office shall:
a. nevertheless be immure from prosecution, trial and punishment according to law;
b. nevertheless be liable and subject to prosecution, trial and punishment under the
Anti-Graft and Corrupt Practices Act;
c. nevertheless be liable and subject to prosecution, trial and punishment according to
law;
d. nevertheless be liable and subject to prosecution, trial and punishment only for
criminal acts under the law.
64. The Ombudsman and his deputies are appointed by the President from a list prepared by:

a. the Integrated Bar of the Philippines;

b. the Commission on Appointments;
c. the Judicial and Bar Council;
d. the Supreme Court.
65. SALN means:
a. Summary of assets, liabilities and net worth;
b. Statement of assets in banks, liabilities and net worth;
c. Statement of assets, liabilities and net worth;
d. Statement of personal assets, liabilities and net worth.
66. The independent economic planning agency of the Government as provided for by the
Constitution is the:
a. National Privatization Office;
b. National Productivity Commission;
c. National Economic Development Authority;
d. National Economic Council.
67. The Independent Central Monetary Authority of the Government is the:
a. Bankers Association of the Philippines;
b. Philippine Mission of the International Monetary Fund;
c. Central Bank of the Philippines;
d. World Bank, Philippine Affiliate.
68. The President may contract or guarantee foreign loans on behalf of the Republic of the
Philippines only upon prior concurrence of the:
a. House of Representatives;
b. Senate;
c. Central Bank;
d. Monetary Board.

69. Bona fide associations of citizens which demonstrate capacity of promote the public interest
and with identifiable leadership, membership, and structure are:
a. independent party-list organizations;
b. independent sectoral organizations;
c. independent indigenous organizations;
d. independent peoples organizations.
70. The principal function of the Commission on Human Rights is:
a. issue writs of injunction/ restraining orders;
b. investigatory;
c. quasi-judicial;
d. rule-making.
71. Optional religious instruction in public elementary and high schools is allowed provided it be:
a. without additional overtime cost to Government;
b. without additional cost to Government;
c. without additional cost for religious books to Government;
d. without additional power consumption costs to Government.
72. Academic freedom shall be enjoyed:
a. in all public institutions;
b. in all elementary and high schools;
c. in all schools;
d. in all institutions of higher learning.
73. Under Article 38(1) of the Statute of the International Court of Justice, which one of the
following is NOT considered a source of international law:
a. international conventions;
b. international custom;
c. international humanitarian law;

d. general principles of law.

74. In international law, it is a norm which States cannot derogate or deviate from their
agreements:
a. terra nullius;
b. opinio juris;
c. jus cogens;
d. jus cogentus.
75. In international law, the status of an entity as a State is accepted by other States through this
act. It is the "act by which another State acknowledges that the political entity recognized
possesses the attributes of statehood."
a. accession;
b. recognition;
c. acknowledgment;
d. attribution.
76. An act or process by which a State, in compliance with a formal demand or request,
surrenders to another State an alleged offender or fugitive criminal who has sought refuge in
the territory of the first State, in order to stand trial or complete his prison term:
a. extramediation;
b. exterrertioriality;
c. extradition;
d. extraterritoriality.
77. This doctrine considers the general or customary norms of international law as a part of
municipal law and are to be enforced as such, without regard as to whether they are enacted
as statutory or legislative rules or not:
a. accession;
b. incorporation;
c. accretion;
d. adoption.

78. Under the United Nations Conference of the Law of the Sea (UNCLOS), the extent of the
contiguous zone is:
a. 3 nautical miles from the lowest water mark;
b. 12 miles from the outer limits;
c. 12 miles from the lowest water mark;
d. 200 miles from the outer limits.
79. It is a line from which the breadth of the territorial sea and other maritime zones is measured:
a. contiguous line;
b. economic line;
c. baseline;
d. archipelagic line.
80. It is a maritime zone adjacent to the territorial seas where the coastal state may exercise
certain protective jurisdiction:
a. baseline zone;
b. contiguous zone;
c. transit zone;
d. appurtenant zone.
81. Butchoy installed a jumper cable. He was prosecuted under a Makati ordinance penalizing
such act. He moved for its dismissal on the ground that the jumper cable was within the
territorial jurisdiction of Mandaluyong and not Makati. The case was dismissed. The City of
Mandaluyong thereafter filed a case against him for theft under the Revised Penal Code
(RCP). Is there double jeopardy?
a. No. The first jeopardy was terminated with his express consent;
b. Yes. This is double jeopardy of the second kind prosecution for the same act under
an ordinance and a law;
c. Yes. He is prosecuted for the same offense which has already been dismissed by the
City of Makati;
d. No. The second kind of double jeopardy under Section 21, Article III only
contemplates conviction or acquittal which could terminate a first jeopardy.

82. One of the cardinal primary due process rights in administrative proceedings is that evidence
must be "substantial." "Substantial evidence" is:
a. less than a mere scintilla;
b. less than preponderant scintilla;
c. more than a glint of scintilla;
d. more than a mere scintilla.
83. A statutory provision requiring the President or an administrative agency to present the
proposed implementing rules and regulations of a law to Congress which by itself or through
a committee formed by it, retains a "right" or "power" to approve or disapprove such
regulations before they may take effect, is a:
a. legislative encroachment;
b. legislative veto;
c. legislative oversight;
d. legislative scrutiny.
84. Which one of the enumeration below does not come under the Administrative Code definition
of a "rule":
a. agency statement of general applicability that implements or interprets a law;
b. fixes and describes the procedures in or practice requirements of, an agency;
c. includes memoranda and statements concerning internal administration;
d. an agency process for the formulation of a final order.
85. Under the Administrative Code, "adjudication" means:
a. whole or any part of any agency permit, certificate, or other form of permission, or
regulation of the exercise of a right or privilege;
b. an agency process for the formulation of a final order;
c. agency process for the formulation, amendment, or repeal of a rule;
d. agency process involving the grant, renewal, denial, revocation or conditioning of a
license.
86. The requirement of the Administrative Code on "public participation" is that, if not otherwise
required by law, an agency shall:

a. in all cases, publish or circulate notices of proposed rules and afford interested
parties the opportunity to submit their views prior to the adoption of any rule;
b. in all clear and proper cases, publish or circulate notices of proposed rules and afford
interested parties the opportunity to submit their views prior to the adoption of any
rule;
c. as far as practicable, publish or circulate notices of proposed rules and afford the
party-list parties the opportunity to submit their views prior to the adoption of any rule;
d. as far as practicable, publish or circulate notices of proposed rules and afford
interested parties the opportunity to submit their views prior to the adoption of any
rule.
87. Under the Administrative Code, in the fixing of rates, no rules or final order shall be valid
unless:
a. the proposed rates shall have been submitted to the U.P. Law Center for publication
at least two weeks before the first hearing thereon;
b. the proposed rates shall have been published in the Official Gazette at least two
weeks before the final hearing thereon;
c. the proposed rates shall have been published in a newspaper of general circulation
at least two weeks before the first hearing thereon;
d. the proposed rates shall have been published in a newspaper of general circulation
at least two weeks before the final hearing thereon.
88. In the judicial review of decisions of administrative agencies, the Administrative Code
requires that the review shall be made:
a. on the basis of the pleadings taken as a whole;
b. on the basis of the record taken as a whole;
c. on the basis of the evidence taken as a whole;
d. on the basis of the memoranda taken as a whole.
89. In the judicial review of decisions of administrative agencies, the Administrative Code
requires that, except when specifically provided otherwise by law:
a. the findings of law of agency when supported by substantial evidence, shall be final;
b. the findings of fact of the agency when supported by preponderant evidence, shall be
final;
c. the findings of fact of the agency when supported by substantial evidence, shall be
final;

d. the findings of law of the agency when supported by credible evidence, shall be final.
90. The right of the accused to be informed is violated if:
a. he was accused of killing his wife by strangulation but it was proven that his wife died
of poisoning;
b. it was proven that he killed somebody on a date different from the one alleged in the
information;
c. he was charged with parricide but was convicted of murder, because it turned out
that he and the victim were not married;
d. the accused was charged with commission of acts of lasciviousness and was
convicted of unjust vexation.
91. A criminal statute that "fails to give a person of ordinary intelligence fair notice that his
contemplated conduct is forbidden by statute" is:
a. void for fair notice;
b. void for arbitrariness;
c. void for vagueness;
d. void conclusively.
92. "Chilling effect" is a concept used in the area of constitutional litigation affecting:
a. protected speech;
b. protected executive privilege;
c. protected legislative discretion;
d. protected judicial discretion.
93. In the law of libel and protected speech, a person who, by his accomplishments, fame, or
mode of living, or by adopting a profession or calling which gives the public a legitimate
interest in his doings, his affairs, and his character, has become a:
a. public figure;
b. celebrity;
c. public official;
d. de facto public officer.

94. Which one of the following is not a proper test in cases of challenges to governmental acts
that may violate protected speech:
a. clear and present danger;
b. balancing of interests;
c. reasonable relation;
d. dangerous tendency.
95. Commercial speech is entitled to:
a. more protection compared to other constitutionally guaranteed expression;
b. equal protection compared to other constitutionally guaranteed expression;
c. lesser protection compared to other constitutionally guaranteed expression;
d. none of the above.
96. No liability can attach to a false, defamatory statement if it relates to official conduct, unless
the public official concerned proves that the statement was with knowledge that it was false
or with reckless disregard of whether it was false or not. This is known as what rule?
a. libel malice rule;
b. actual malice rule;
c. malice in fact rule;
d. legal malice rule.
97. It is form of entrapment. The method is for an officer to pose as a buyer. He, however,
neither instigates nor induces the accused to commit a crime because in these cases, the
"seller" has already decided to commit a crime. The offense happens right before the eyes of
the officer. Under these circumstances:
a. there is a need for an administrative but not a judicial warrant for seizure of goods
and arrest of the offender;
b. there is need for a warrant for the seizure of the goods and for the arrest of the
offender;
c. there is no need for a warrant either for the seizure of the goods or for the arrest of
the offender;
d. the offender can be arrested but there is a need for a separate warrant for the
seizure of the goods.

98. Where a police officer observes unusual conduct which leads him reasonably to conclude in
light of his experience that criminal activity may be afoot and that the persons with whom he
is dealing may be armed and dangerous and he identifies himself and makes reasonable
inquiries, but nothing serves to dispel his reasonable fear for his own or others safety, he is
entitled to conduct a carefully limited search of the outer clothing of such persons for
weapons. Such search is constitutionally permissible and is known as a:
a. stop and search;
b. stop and frisk;
c. stop and interrogate;
d. stop and detain.
99. Accused was charged with slight illegal detention. On the day set for the trial, the trial court
proceeded as follows:
Q: "Do you have an attorney or are you going to plead
guilty?"
A: "I have no lawyer and i will plead guilty."

"Court: to the accused:

Accused was then arraigned, pleaded guilty, was found guilty and sentenced. On appeal, the
Supreme Court reversed. The accused was deprived of his:
a. right to cross-examination;
b. right to be presumed innocent;
c. right to counsel;
d. right to production of evidence.
100.
The constitutional right of an accused "to meet the witnesses face to face" is
primarily for the purpose of affording the accused an opportunity to:
a. identify the witness;
b. cross-examine the witness;
c. be informed of the witness;
d. be heard.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO HEAD WATCHER.

2012 BAR EXAMINATIONS

POLITICAL AND INTERNATIONAL LAW
7 October 2012

10 A.M.-12 NN.
Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered I to X) contained in FIVE (5)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number may be written continuously on the same page and succeeding pages until
completed.
Answer the question directly and concisely. Do Not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOOD LUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SIX (6) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
POLITICAL AND INTERNATIONAL LAW
I.
Mr. Violet was convicted by the RTC of Estafa. On appeal, he filed with the Court of Appeals a
Motion to Fix Bail for Provisional Liberty Pending Appeal. The Court of Appeals granted the motion
and set a bail amount in the sum of Five (5) Million Pesos, subject to the conditions that he secure "a
certification/guaranty from the Mayor of the place of his residence that he is a resident of the area
and that he will remain to be a resident therein until final judgment is rendered or in case he
transfers residence, it must be with prior notice to the court". Further, he was ordered to surrender
his passport to the Division Clerk of Court for safekeeping until the court orders its return.
a. Mr. Violet challenges the conditions imposed by the Court of Appeals as violative of his
liberty of abode and right to travel. Decide with reasons. (5%)

b. Are "liberty of abode" and "the right to travel" absolute rights?

Explain. What are the respective exception/s to each right if any? (5%)
II.
A verified impeachment complaint was filed by two hundred (200) Members of the House of
Representatives against Madam Chief Justice Blue. The complaint was immediately transmitted to
the Senate for trial.
a. Madam Chief Justice Blue challenges such immediate transmittal to the Senate because the
verified complaint 1) not included in the order of business of the House, 2) was not referred
to the House Committee on Justice for hearing and consideration for sufficiency in form and
substance, and 3) was not submitted to the House Plenary for consideration as enumerated
in Paragraph (2), Section 3, Article XI of the 1987 Constitution. Decide with reasons. (5%)
b. What is the purpose of Impeachment? Does conviction prevent further prosecution and
punishment? Explain. (3%)
c. Enumerate the grounds for impeachment. Is graft and corruption a ground for impeachment?
(2%)
III.
Mr. Brown, a cigarette vendor, was invited by PO1 White to a nearby police station. Upon arriving at
the police station, Brown was asked to stand side-by-side with five (5) other cigarette vendors in a
police line-up. PO1 White informed them that they were looking for a certain cigarette vendor who
snatched the purse of a passer-by and the line-up was to allow the victim to point at the vendor who
snatched her purse. No questions were to be asked from the vendors.
a. Brown, afraid of a "set up" against him, demanded that he be allowed to secure his lawyer
and for him to be present during the police line-up. Is Brown entitled to counsel? Explain
(5%)
b. Would the answer in (a.) be the same if Brown was specifically invited by White because an
eyewitness to the crime identified him as the perpetrator? Explain. (3%)
c. Briefly enumerate the so-called "Miranda Rights". (2%)
IV.
Mr. Yellow and Mr. Orange were the leading candidates in the vice-presidential elections. After
elections, Yellow emerged as the winner by a slim margin of 100,000 votes. Undaunted, Orange filed
a protest with the Presidential Electoral Tribunal (PET). After due consideration of the facts and the
issues, the PET ruled that Orange was the real winner of the elections and ordered his immediate
proclamation.
a. Aggrieved, Yellow filed with the Supreme Court a Petition for Certiorari challenging the
decision of the PET alleging grave abuse of discretion. Does the Supreme Court have
jurisdiction? Explain. (3%)

b. Would the answer in (a.) be the same if Yellow and Orange were contending for a senatorial
slot and it was the Senate Electoral Tribunal (SET) who issued the challenged ruling? (3%)
c. What is the composition of the PET? (2%)
d. What is judicial power? Explain Briefly. (2%)
V.
Judge Red is the Executive Judge of Green City. Red is known to have corrupt tendencies and has a
reputation widely known among practicing lawyers for accepting bribes. Ombudsman Grey, wishing
to "clean up" the government from errant public officials, initiated an investigation on the alleged
irregularities in the performance of duties of Judge Red.
a. Judge Red refused to recognize the authority of the Office of the Ombudsman over him
because according to him, any administrative action against him or any court official or
employee falls under the exclusive jurisdiction of the Supreme Court. Decide with reasons.
(5%)
b. Does the Ombudsman have authority to conduct investigation over crimes or offenses
committed by public officials that are NOT in connection or related at all to the officials
discharge of his duties and functions? Explain. (3%)
c. Who are required by the Constitution to submit a declaration under oath of his assets,
liabilities, and net worth? (2%)
VI.
President Black of the Republic of Pasensya (RP) had a telephone conversation with President Blue
of the Peoples Republic of Conquerors (PRC). In that conversation, both leaders agreed that they
will both pull-out all their vessels, civilian or otherwise, sea crafts and other ships from the hotly
disputed Kalmado Shoal area within eight (8) days in order to de-escalate the situation. After eight
days, all RP ships and vessels have left the area. However, several military and civilian ships
carrying the PRC flag remained in the area and began construction of a dock that could provide fuel
and other supplies to vessels passing by.
a. Assuming that President Black and President Blue both had full capacity to represent their
states and negotiate with each other under their respective systems of government, and
further assuming that both leaders acknowledge the existence of the conversation, is the
verbal agreement via telephone binding under international law? Explain. (5%)
b. Assuming the answer to (a.) is in affirmative, does that agreement constitute a Treaty under
the 1969 Vienna Convention on the Law on Treaties? (2%)
c. What are the sources of International Law? (2%)
d. What is opinio juris in International Law? (1%)
VII.

Mayor Pink is eyeing re-election in the next mayoralty race. It was common knowledge in the town
that Mayor Pink will run for re-election in the coming elections. The deadline for filing of Certificate of
Candidacy (CoC) is on March 23 and the campaign period commences the following day. One
month before the deadline, Pink has yet to file her CoC, but she has been going around town giving
away sacks of rice with the words "Mahal Tayo ni Mayor Pink" printed on them, holding public
gatherings and speaking about how good the town is doing, giving away pink t-shirts with "Kay
Mayor Pink Ako" printed on them.
a. Mr. Green is the political opponent of Mayor Pink. In April, noticing that Mayor Pink had
gained advantage over him because of her activities before the campaign period, he filed a
petition to disqualify Mayor Pink for engaging in an election campaign outside the designated
period.
a.1. Which is the correct body to rule on the matter? Comelec en banc, or Comelec division?
Answer with reasons. (2%)
a.2. Rule on the petition. (5%)
b. Distinguish briefly between Quo Warranto in elective office and Quo Warranto in appointive
office. (3%)
VIII.
a. What is the doctrine of "overbreath"? In what context can it be correctly applied? Not
correctly applied? Explain (5%)
b. What is the doctrine of "void for vagueness"? In what context can it be correctly applied? Not
correctly applied? Explain (5%)
IX.
In a protest rally' along Padre Faura Street, Manila, Pedrong Pula took up the stage and began
shouting "kayong mga kurakot kayo! Magsi-resign na kayo! Kung hindi, manggugulo kami dito!"
("you corrupt officials, you better resign now, or else we will cause trouble here!") simultaneously, he
brought out a rock the size of a fist and pretended to hurl it at the flagpole area of a government
building. He did not actually throw the rock.
a. Police officers who were monitoring the situation immediately approached Pedrong Pula and
arrested him. He was prosecuted for seditious speech and was convicted. On appeal,
Pedrong Pula argued he was merely exercising his freedom of speech and freedom of
expression guaranteed by the Bill of Rights. Decide with reasons. (5%)
b. What is "commercial speech"? Is it entitled to constitutional protection? What must be shown
in order for government to curtail "commercial speech"? Explain. (3%)
c. What are the two (2) basic prohibitions of the freedom of speech and of the press clause?
Explain. (2%)
X.
a. What do you understand by the term "heirarchy of civil liberties"? Explain. (5%)

b. Distinguish fully between the "free exercise of religion clause" and the "non-establishment of
religion clause". (3%)
c. When can evidence "in plain view" be seized without need of a search warrant? Explain.
(2%)
- NOTHING FOLLOWS -

2012 BAR EXAMINATIONS

LABOR LAW

1. The workers worked as cargadores at the warehouse and ricemills of farm A for several
years. As cargadores, they loaded, unloaded and pilled sacks of rice from the warehouse to
the cargo trucks for delivery to different places. They were paid by Farm A on a piece-rate
basis. Are the workers considered regular employees?
a. Yes, because Farm A paid wages directly to these workers without the intervention of
any third party independent contractor;
b. Yes, their work is directly related, necessary and vital to the operations of the farm;
c. No, because Farm A did not have the power to control the workers with respect to the
means and methods by which the work is to be accomplished;
d. A and B.
2. The following are excluded from the coverage of Book III of the Labor Code of the
Philippines (Conditions of employment) except:
a. Field personnel;
b. Supervisors;
c. Managers;
d. Employees of government-owned and controlled corporations.
3. Work may be performed beyond eight (8) hours a day provided that:
a. Employee is paid for overtime work an additional compensation wquivalent to his
regular wage plus at least 25% thereof;
b. Employee is paid for overtime work an additional compensation equivalent to his
regular wage plus at least 30% thereof;

c. Employee is paid for overtime work an additional compensation equivalent to his

regular wage plus at least 20% thereof;
d. None of the above.
4. May the employer and employee stipulate that the latters regular or basic salary already
includes the overtime pay, such that when the employee actually works overtime he cannot
claim overtime pay?
a. Yes, provided there is a clear written agreement knowingly and freely entered into by
the employees;
b. Yes, provided the mathematical result shows that the agreed legal wage rate and the
overtime pay, computed separately, are equal to or higher than the separate amounts
legally due;
c. No, the employer and employee cannot stipulate includes the overtime pay;
d. A and B.
5. The following are instances where an employer can require an employee to work
overtime, except:
a. In case of actual or impending emergencies caused by serious accident, fire, flood,
typhoon, earthquake, epidemic or other disaster or calamity to prevent loss of life and
property, or imminent danger to public safety;
b. When the country is at war or when other national or local emergency has been
declared by the national assembly or the chief executive;
c. When there is urgent work to be performed on machines, installations, or equipment
or some other cause of similar nature;
d. Where the completion or contribution of the work started before the eight hour is
necessary to prevent serious obstruction or prejudice to the business or operations of
the employer.
6. Z owns and operates a carinderia. His regular employees are his wife, his two (2) children,
the family maid, a cook, two (2) waiters, a dishwasher and a janitor. The family driver
occasionally works for him during store hours to make deliveries. On April 09, the dishwasher
did not report for work. The employer did not give his pay for that day. Is the employer
correct?
a. No, because employees have a right to receive their regular daily wage during
regular holidays;
b. Yes, because April 09 is not regular holidays;
c. Yes, because of the principle of "a fair days wage for a fair days work";
d. Yes, because he employs less than ten (10) employees.

7. For misconduct or improper behavior to be just cause for dismissal, the following guidelines
must be met,except:
a. It must be serious;
b. It must relate to the performance of the employees duties;
c. It should not be used as a subterfuge for causes which are improper, illegal or
unjustified;
d. It must show that the employee has become unfit to continue working for the
employer.
8. The Company lawyer sent a memo to the employee informing him of the specific charges
against him and giving him an opportunity to explain his side. In a subsequent letter, the
employee was informed that, on the basis of the results of the investigation conducted, his
written explanation, the written explanation of other employees as well as the audit report,
the management has decided to terminate his employment. The employee contended that
his termination was illegal for lack of procedural due process. Is the employees contention
correct?
a. No, the employees written explanation and written explanation of the other
employees were sufficient basis for the employer to terminate his employment;
b. Yes, because the employer did not abide by the two-notice rule;
c. Yes, because he was not properly afforded the chance to explain his side in a
conference;
d. No, because the written notice of the cause of dismissal afforded him ample
opportunity to be heard and defend himself, and the written notice of the decision to
terminate him which states the reasons therefor, complies with the two-notice rule.
9. The Supreme Court categorically declared that separation pay shall be allowed as a
measure of social justice only in those instances where the employee is validly dismissed for
cause other than:
a. Serious Misconduct;
b. Gross and habitual neglect of duties;
c. Willful disobedience to lawful orders;
d. Fraud or willful breach of trust.
10. K is a legitimate contractor hired by G for six (6) months. On the third month, G remitted to K
the salaries and wages of the employees. However, K absconded with the money leaving the
employees unpaid. The disgruntled employees demanded from G the payment of their
salaries. Is G liable?

a. No, because G has already remitted the employees salaries to K, validly excusing G
from liablity;
b. Yes, because he is jointly and solidarily liable for whatever monetary claims the
employees may have against K;
c. Yes, because of the principle of "a fair days wage for a fair days work";
d. B and C.
11. Corporation X is owned by Ls family. L is the President. M, Ls wife, occasionally gives loans
to employees of Corporation X. It was customary that loan payment were paid to M by
directly deducting from the employees monthly salary. Is this practice of directly deducting
payments of debts from the employees wages allowed?
a. Yes, because where the employee is indebted to the employer, it is sanctioned by the
law on compensation under Article 1706 of the Civil Code;
b. Yes, because it has already become customary such that no express authorization is
required;
c. No, because an employees payment of obligation to a third person is deductible
from the employees wages if the deduction is authorized in writing;
d. No, because Article 116 of the Labor Code absolutely prohibits the withholding of
wages and kickbacks. Article 116 provides for no exception.
12. Union X staged a strike in front of Company B because of A CBA deadlock. During the strike,
Company B hired replacement workers. Upon resuming their employment, the strikers found
that Company B hired replacement workers in their place. Is Company B obliged to reinstate
the returning workers?
a. No, because the strike caused work stoppage;
b. No, because it is a valid exercise of management prerogative;
c. Yes, because workers who go on strike do not lose their employment status;
d. Yes, because workers are entitled to such retention every time during a valid strike.
13. Which of the following is not a valid reason for a strike?
a. There is a bargaining deadlock;
b. There is a prevailing intra-union dispute;
c. The company engaged in unfair labor practice;
d. Theirs is a flagrant violation of CBAs economic provisions.

14. Iya, 15 years old, signed up to model a clothing brand. She worked from 9am to 4pm on
weekdays and 1pm to 6pm on Saturdays for two (2) weeks. She was issued a child working
permit under RA 9231. Which of the following statements is the most accurate?
a. Working permit for Iyas employment is not required because the job is not
hazardous;
b. Her work period exceeds the required working hours for children aged 15 years old;
c. To require a 15-year old to work without obtaining the requisite working permit is a
form of child labor;
d. Iya, who was engaged in a work that is not child labor, is a working child.
15. Under employees compensation, the so-called "Theory of Increased Risks" is relevant
when:
a. There is a need to categorize a disability as permanent and total;
b. It is not clear as to how an injury was sustained;
c. The ailment or sickness is not classified as an occupational disease;
d. There is a prima facie finding that the employee had willful intention to hurt himself.
16. Which of the frollowing injuries/death is not compensable?
a. Injuries sustained by a technician while at a field trip initiated by the Union and
sponsored by the Company;
b. Injuries received by a jani tor at a Union election meeting;
c. Death of a bank teller because of a bank robbery;
d. Death of a professor who was hit by a van on his way home from work.
17. The provisions of the Labor Code on the Working Conditions and Rest Periods of employees
are inapplicable to the following employees, except :
a. A supervisor in a fast food chain;
b. A family driver;
c. A laborer without any fixed salary, but receving a compensation depending upon the
result of his work;
d. A contractual employee.
18. Bugay, an employee with only six (6) months of service, was dismissed due to redundancy.
He is, under Art. 283 of the Labor Code, entitled to a separation pay of:

a. One (1) month pay;

b. One (1) year pay, Art. 283 of the Labor Code being explicit that "a fraction of at least
six (6) months shall be considered one ( 1) whole year";
c. Six (6) months pay;
d. One (1) year and six (6) months pay, as Art. 4 of the Labor Code mandates that "(a)ll
doubts in the implementation and interpretation of this Code xxx shall be resolved in
favor of labor".
19. The power to suspend or cancel a license to recruit employees is vested on:
a. The Secretary of Labor and Employment;
b. The POEAAdministrator;
c. A and B 'concurrently;
d. Neither of them.
20. The State shall allow the deployment of overseas Filipino workers only in countries where
the rights of Filipino migrant workers are protected. Which of the following is not a guarantee,
on the part of the receiving country, for the protection of the rights of OFW's?
a. It has existing labor and social laws protecting the rights of migrant workers;
b. It promotes and facilitates re-integration of migrants into the national mainstream;
c. It is a signatory to and/or ratifier of multilateral conventions, declarations or
resolutions relating to the protection of migrant workers;
d. It has concluded a bilateral agreement or arrangement with the government on the
protection of the rights of overseas Filipino workers.
21. Which is not a procedural requirement for the correction of wage distortion in an unorganized
establishment?
a. Both employer and employee will attempt to correct the distortion;
b. Settlement of the dispute through National Conciliation and Mediation Board
(NCMB);
c. Settlement of the dispute through voluntary arbitration in case of failure to resolve
dispute through CBA dispute mechanism;
d. A and B.
22. In what situation is an employer permitted to employ a minor?

a. 16-year old child actor as a cast member in soap opera working 8 hours a day, 6
days a week;
b. A 17-year old in deep sea-fishing;
c. A 17 -year old construction worker;
d. A 17-year old assistant cook in a family restaurant.
23. The most important factor in determining the existence of an employer-employee relationship
is the:
a. Power to control the method by which employees are hired and selected;
b. Power to control the manner by which employees are transferred from one job site to
another;
c. Power to control the results achieved by giving guidelines to the employees;
d. Power to control the results to be achieved and the employee's method of achieving
the task.
24. A neighbor's gardener comes to you and asks for help because his employer withheld his
salary for two (2) months amounting to P4,000.00. Where will you advise him to file his
complaint?
a. Labor Arbiter;
b. DOLE Regional Director;
c. Conciliator/Mediator;
d. MTC Judge.
25. What is the nature of the liabilities of the local recruitment agency and its foreign principal?
a. The local agency is jointly liable with the foreign principal; severance of relations
between the local agent and the foreign principal dissolves the liability of the local
agent recruiter;
b. Local agency is solidarily liable with the foreign principal; severance of relations
between the local agent and the foreign principal dissolves the liability of the foreign
principal. only;
c. Local agency is solidarily liable with the foreign principal; severance of relations
between the local agent and foreign principal does not affect the liability of the
foreign principal;

d. Local agency is jointly liable with the foreign principal; severance of the relations
between the local agent and the foreign principal does not affect the liability of the
local recruiter.
26. Which phrase is the most accurate to complete the statement - A private employment agency
is any person or entity engaged in the recruitment and placement of workers:
a. for a fee, which is charged directly from the workers.
b. for a fee, which is charged directly from employers.
c. for a fee, which is charged directly or indirectly from workers, employers or both.
d. for a fee, which is charged from workers or employers, which covers both local and
overseas employment.
27. Who has jurisdiction over a money claim instituted by an overseas Filipino worker?
a. Labor Arbiter;
b. National Labor Relations Commission;
c. Labor Arbiter concurrently with the regular courts.;
d. National Labor Relations Commission concurrently with the regular courts.
28. Which of the following is not a valid wage deduction?
a. Where the worker was insured with his consent by the employer, and the deduction
is allowed to recompense the employer for the amount paid by him as the premium
on the insurance;
b. When the wage is subject of execution or attachment, but only for debts incurred for
food, shelter, clothing and medical attendance;
c. Payment for lost or damaged equipment provided the deduction does not exceed
25/o of the employee's salary for a week;
d. Union dues.
29. Is the contractor a necessary party in a case where labor contracting is the main issue and
labor-only contracting is found to exist?
a. Yes, the contractor is necessary in the full determination of the case as he is the
purported employer of the worker;
b. Yes, no full remedy can be granted and executed without impleading the purported
contractor;

c. No, the contractor becomes a mere agent of the employer-principal in labor

contracting;
d. No, the contractor has no standing in a labor contracting case.
30. Who among the following is not entitled to 13th month pay?
a. Stephanie, a probationary employee of a cooperative bank who rendered six (6)
months of service during the calendar year before filing her resignation;
b. Rafael, the secretary of a Senator;
c. Selina, a cook employed by and who lives with an old maid and who also tends the
sari-sari store of the latter;
d. Roger, a house gardener who is required to report to work only thrice a week.
31. Which type of employee is entitled to a service incentive leave?
a. managerial employees;
b. field personnel;
c. government workers;
d. part-time workers.
32. A wage order may be reviewed on appeal by the National Wages and Productivity
Commission under these grounds, except:
a. grave abuse of discretion;
b. non-conformity with prescribed procedure;
c. questions of law;
d. gross under or over-valuation.
33. The following may file a Petition for Certification Election, except:
a. The employer;
b. The legitimate labor organization;
c. The Federation on behalf of the chapter;
d. The Workers' Association.
34. The following are grounds to deny the Petition for Certification Election, except:

a. The petitioning union is illegitimate or improperly registered;

b. Non-appearance for two consecutive schedules before the Med-Arbiter by petitioning
union;
c. The inclusion of members outside the bargaining unit;
d. Filed within an existing election bar.
35. In response to Company X's unfair labor practices, a union officer instructed its members to
stop working and walk out of the company premises. After three (3) hours, they voluntarily
returned to work.
Was there a strike and was it a valid activity?
a. Yes, it was a strike; yes, it was a valid activity;
b. Yes, it was a strike; no, it was not a valid activity;
c. No, it was not a strike; yes, it was a valid activity;
d. No, it was not a strike; no, it was not a valid activity.
36. Which of the following is not considered an employer by the terms of the Social Security Act?
a. A self-employed person;
b. The government and any of its political subdivisions, branches or instrumentalities,
including corporations owned or controlled by the government;
c. A natural person, domestic or foreign, who carries on in the Philippines, any trade,
business, industry, undertaking or activity of any kind and uses the services of
another person who is under his orders as regards the employment;
d. A foreign corporation.
37. Jennifer, a receptionist at Company X, is covered by the SSS. She was pregnant with her
fourth child when she slipped in the bathroom of her home and had a miscarriage.
Meanwhile, Company X neglected to remit the required contributions to the SSS. Jennifer
claims maternity leave benefits and sickness benefits. Which of these two may she claim?
a. None of them;
b. Either one of them;
c. Only maternity leave benefits;
d. Only sickness benefits.

38. H files for a seven-day paternity leave for the purpose of lending support to his wife, W, who
suffered a miscarriage through intentional abortion. W also filed for maternity leave for five
weeks. H and W are legally married but the latter is with her parents, which is a few blocks
away from H's house. Which of the following statements is the most accurate?
a. Paternity leave shall be denied because it does not cover aborted babies;
b. Paternity leave shall be denied because W is with her parents;
c. Maternity leave shall be denied because it does not cover aborted babies;
d. Maternity leave shall be denied because grant of paternity leave bars claim for
maternity leave.
39. Which of the following is not a privilege of a person with disability under the Magna Carta for
disabled persons?
a. At least 20%_ discount on purchase of medicines in all drugstores;
b. Free transportation in public railways;
c. Educational assistance in public and private schools through scholarship grants;
d. A and C.
40. Which of the following is not a regular holiday?
a. New Year's Eve;
b. Eidil Fitr;
c. Father's Day;
d. lndepenaence Day.
41. Which is a characteristic of a labor-only contractor?
a. Carries an independent business different from the employer's;
b. The principal's liability extends to all rights, duties and liabilities under labor
standards laws including the right to self-organization;
c. No employer-employee relationship;
d. Has sufficient substantial capital or investment in machinery, tools or equipment
directly or intended to be related to the job contracted.
42. What is not an element of legitimate contracting?
a. The contract calls for the performance of a specific job, work or service;

b. It is stipulated that the performance of a specific job, work or service must be within a
definite predetermined period;
c. The performance of specific job, work or service has to be completed either within or
outside the premises of the principal;
d. The principal has control over the performance of a specific job, work or service.
43. Which is a characteristic of the learner?
a. A person is hired as a trainee in an industrial occupation;
b. Hired in a highly technical industry;
c. Three (3) months practical on-the-job training with theoretical instruction;
d. At least 14 years old.
44. What is not a prerequisite for a valid apprenticeship agreement?
a. Qualifications of an apprentice are met;
b. A duly executed and signed apprenticeship agreement;
c. The apprenticeship program is approved by the Secretary of Labor;
d. Included in the list of apprenticeable occupation of TESDA.
45. Which is not a constitutional right of the worker?
a. The right to engage in peaceful concerted activities;
b. The right to enjoy security of tenure;
c. The right to return on investment;
d. The right to receive a living wage.
46. Employee-employer relationship exists under the following, except :
a. Jean, a guest relations officer in a nightclub and Joe, the nightclub owner;
b. Atty. Sin' Cruz, who works part-time as the resident in house lawyer of X Corporation;
c. Paul, who works as registered agent on commission basis in an insurance company;

d. Jack and Jill, who work in X Company, an unregistered Association.

47. With respect to legitimate independent contracting, an employer or one who engages the
services of a bona fide independent contractor is a. An indirect employer, by operation of law, of his contractor's employees; he becomes
solidarily liable with the contractor not only for unpaid wages but also for all the
rightful! claims of the employees under the Labor Code;
b. Treated as direct employer of his contractor's employees in all instances; he
becomes subsidiarily liable with the contractor only in the event the latter fails to pay
the employees' wages and for violation of labor standard laws;
c. An indirect employer, by operation of law, of his contractor's employees; he becomes
solidarily liable with the contractor only in the event the latter fails to pay the
employees' wages and for violation of labor standard laws;
d. Treated as direct employer of his contractor's employees in all instances; the
principal becomes solidarily liable with the contractor not only for unpaid wages but
also for all the rightful claims of the employees under the Labor Code;
48. Kevin, an employee of House of Sports, filed a complaint with the DOLE requesting the
investigation and inspection of the said establishment for labor law violations such as
underpayment of wages, non-payment of 13th month pay, non-payment of rest day pay,
overtime pay, holiday pay, and service incentive leave pay. House of Sports alleges that
DOLE has no jurisdiction over the employees' claims where the aggregate amount of the
claims of each employee exceeds P5,000.00, whether or not accompanied with a claim for
reinstatement. Is the argument of House of Sports tenable?
a. Yes, Article 1 ~9 of the Labor Code shall apply, and thus, the Labor Arbiter has
jurisdiction;
b. No, Article 128 (b) of the Labor Code shall apply, and thus, the DOLE Regional
Director has jurisdiction;
c. Yes, if the claim exceeds P5,000.00, the DOLE Secretary loses jurisdiction;
d. No, a voluntarily arbitrator has jurisdiction because the matter involved is a grievable
issue.
49. Which of the following is not compensable as hours worked?
a. Travel away from home;
b. Travel from home to work;
c. Working while on call;
d. Travel that is all in a day's work.
50. It is defined as any union or association of employees which exists in whole or in part for the
purpose of collective bargaining with employers concerning terms and conditions of
employment.

a. Bargaining representative;
b. Labor organization;
c. Legitimate labor organization;
d. Federation.
51. This process refers to the submission of the dispute to an impartial person for determination
on the basis of the evidence and arguments of the parties. The award is enforceable to the
disputants.
a. Arbitration;
b. Mediation;
c. Conciliation;
d. Reconciliation.
52. The Regional Director or his representative may be divested of his enforcement and visitorial
powers under the exception clause of Article 128 of the Labor Code and, resultantly,
jurisdiction may be vested on the labor arbiter when three (3) elements are present. Which of
the following is not one of the three (3) elements?
a. Employer contests the findings of the labor regulations officers and raises issues
thereon;
b. In order to resolve any issues raised, there is a need to examine evidentiary matters;
c. The issues raised should have been verifiable during the inspection;
d. The evidentiary matters are not verifiable in the normal course of inspection .
53. In what instances do labor arbiters have jurisdiction over wage distortion cases?
a. When jurisdiction is invoked by the employer and employees in organized
establishments;
b. When the case is unresolved by Grievance Committee;
c. After the panel of voluntarily arbitrators has made a decision and the same is
contested by either party;
d. In unorganized establishments when the same is not voluntarily resolved by the
parties before the NCMM.
54. Is a termination dispute a grievable issue?
a. Yes, if the dismissal arose out of the interpretation or Implementation of the CBA;

b. No, once there's actual termination, the issue is cognizable by a Labor Arbiter;
c. Yes, it is in the interest of the parties that the dispute be resolved on the
establishment level;
d. No, a voluntary arbitrator must take cognizance once termination is made effective.
55. Peter worked for a Norwegian cargo vessel. He worked as a deckhand, whose primary duty
was to assist in the unloading and loading of cargo and sometimes, assist in cleaning the
ship. He signed a five-year contract starting in 2009. In 2011, Peter's employers began
treating him differently. He was often maltreated and his salary was not released on time.
These were frequently protested to by Peter. Apparently exasperated by his frequent
protestations, Peter's employer, a once top official in China, suddenly told him that his
services would be terminated as soon as the vessel arrived at the next port, in Indonesia.
Peter had enough money to go back home, and immediately upon arriving, he filed a money
claim with the NLRC against his former employer's local agent. Will Peter's case prosper?
a. Yes, he is entitled to full reimbursement of his placement fee, with' interest at 12/o
per annum, plus salary for the unexpired portion of his employment contract or for
three (3) months for every year of the unexpired portion, whichever is higher;
b. Yes, he is entitled to full reimbursement of his placement fee, with interest at 12% per
annum, plus his salary for the unexpired portion of his employment contract or for
three (3) months for every year of the unexpired portion, whichever is less;
c. Yes, he is entitled to his salaries for the unexpired portion of his employment
contract, plus full reimbursement of his placement fee with interest at 12/o per
annum;
d. Yes, he is entitled to his salaries for three (3) months for every year of the unexpired
portion of his employment contract, plus full reimbursement of his placement fee with
interest at 12/o per annum.
56. The following are exempt from the rules on minimum wages, except:
a. Household or domestic helpers; .
b. Homeworkers engaged in needle work;
c. Workers' in duly registered establishment in the cottage industry;
d. Workers in the duly registered cooperative.
57. Which of the following is a right and/or condition of membership in a labor organization?
a. No arbitrary or excessive initiation fees shall be required of the members of a
legitimate labor organization nor shall arbitrary, excessive or oppressive fine and
forfeiture be imposed;

b. The members shall be entitled to full and detailed reports from their officers and
representatives of all financial transactions as provided for in the constitution and
bylaws of the organization;
c. No labor organization shall knowingly admit as members or continue in membership
any individual who belongs to a subversive organization or who is engaged directly
or indirectly in any subversive activity;
d. All of the above.
58. Which phrase most accurately completes the statement - Members of cooperatives:
a. can invoke the right to collective bargaining because it is a fundamental right under
the Constitution.
b. can invoke the right to collective bargaining because they are permitted by law.
c. cannot invoke the right to collective bargaining because each member is considered
an owner.
d. cannot invoke the right to collective bargaining because they are expressly prohibited
by law.
59. Which of the following is not true in unfair labor practices committed by an employer?
a. Unfair labor practices cannot be committed unless the union has been formed and
registered;
b. The commission of unfair labor practice requires an employer-employee relationship;
c. The offense of unfair labor practice prescribes in one ( 1) year;
d. The list of unfair labor practices is exclusive.
60. Which of the following is correct with respect to the extent of the application of security of
tenure?
a. It applies to managerial and to all rank-and-file employees i f not yet regular, but not
to management trainees;
b. It applies to managerial and to all rank-and-file employees including those under
probation;
c. It applies to seasonal and project employees, if they are hired repeatedly;
d. It applies to all kinds of employees except those employed on a part-time basis.
61. Which of the following is not a procedural due process requirement in the termination of an
employee for just cause?

a. A written notice to the employee specifying the grounds for his termination;
b. A written notice to the DOLE at least thirty (30) days before the effectivity of
termination;
c. A written notice to the employee stating that upon consideration of the
circumstances, grounds have been established to justify his termination;
d. An opportunity for the employee to present his evidence.
62. Under current jurisprudence, when the dismissal is for a just or authorized cause but due
process is not observed, the dismissal is said to be:
a. Void for denial of due process; hence, the employee should be reinstated;
b. Void for lack. of due process, the employee should be paid full backwages;
c. Valid, for the dismissal is with just/authorized cause, but the employer shall be liable
for nominal damages;
d. Valid, even if due process is not observed, hence reinstatement should not be
ordered.
63. What is the quantum of evidence required in labor cases?
a. The degree of proof which produces the conclusion that the employee is guilty of the
offense charged in an unprejudiced mind;
b. Such amount of relevant evidence which a reasonable mind might accept as
adequate to justify a conclusion;
c. That degree of proof which is greater in weight than the opposing party's evidence;
d. Such evidence which must be highly and substantially more probable to be true than
not which convinces the trier of facts of its factuality.
64. Which of the following statements is the most accurate?
a. Domestic helpers with monthly income of at least P3,000.00 are compulsory
members of the SSS Law;
b. House helpers with monthly income of at least P2,000.00 are compulsory members
of the SSS Law;
c. Domestic helpers, 55 years of age and who worked for at least five (5) years, are
covered by the Retirement Pay Law under optional retirement, in the absence of a
CBA;
d. Domestic helpers in the personal service of another are not entitled to 13th month
pay.

65. The decision of the Labor Arbiter in a labor dispute case is:
a. immediately executory;
b. requires a writ of execution;
c. is immediately executory insofar as the reinstatement of the employee is concerned;
d. is stayed by the appeal of the employer and posting of appeal bond.
66. Which of the following is cognizable by the Bureau of Labor Relations Med-Arbiters?
a. Unfair labor practice for violation of the CBA filed by the Workers Union of Company
X against Company X;
b. Claim for back wages filed by overseas contract worker Xena against her Saudi
Arabian employer;
c. Contest for the position of MG Union President brought by Ka Joe, the losing
candidate in the recent union elections;
d. G contesting his removal as Chief Executive Officer of Company Z.
67. J refused to comply with his deployment assignment with K, a manning agency. K filed a
complaint against him for breach of contract before the Philippine Overseas Employment
Administration (POEA). The POEA penalized J with one (1) year suspension from overseas
deployment. On appeal, the suspension was reduced to six (6) months by the Secretary of
Labor. Is the remedy of appeal still available to J and where should he file his appeal?
a. Yes, he can file an appeal before the Court of Appeals via a Petition for Certiorari
under rule 65;
b. Yes, he can file an appeal before the Supreme Court via a Petition for Certiorari
under Rule 65;
c. Yes, he can file an appeal before the Office of the President since this is an
administrative case;
d. Yes, he can file an appeal before the National Labor Relations Commission because
there is an employer-employee relationship.
68. R was employed as an instructor of Cruz College located in Santiago City, lsabela. Pursuant
to a stipulation in R's employment contract that the college has the prerogative to assign R in
any of its branches or tie-up schools as the necessity demands, the college proposed to
transfer him to llagan, a nearby town. R filed a complaint alleging constructive dismissal
since his re-assignment will entail an indirect reduction of his salary or diminution of pay
considering that additional allowance will not be given to cover for board and lodging
expenses. R, however, failed to prove that allowances were given in similar instances in the
past. Is R's contention that he will suffer constructive dismissal in view of the alleged
diminution of benefit correct?

a. Yes, such transfer should require an automatic additional allowance; the nongranting of said allowance amounts to a diminution of benefit;
b. No, R failed to present evidence that the college committed to provide the additional
allowance or that they were consistently granting such benefit as to have ripened into
a practice which cannot be peremptorily withdrawn. Hence, there is no violation of
the rule against diminution of pay;
c. No, R's re-assignment did not amount to constructive dismissal because the college
has the right to transfer R based on contractual stipulation;
d. B and C.
69. At what particular point does a labor organization acquire a legal personality?
a. On the date the agreement to organize the un1on is signed by the majority of all its
members;
b. On the date the application for registration is duly filed with the Department of Labor.;
c. On the date appearing on the Certificate of Registration;
d. On the date. the Certificate of Registration is actually issued.
70. How many years of service is the underground mine employee required to have rendered in
order to be entitled to retirement benefits?
a. 5;
b. 10;
c. 15;
d. 20.
71. What is the prescriptive period of all criminal offenses penalized under the Labor Code and
the Rules Implementing the Labor Code?
a. 3 years;
b. 4 years;
c. 5 years;
d. 10 years.
72. What is the nature of employment of househelpers?
a. Seasonal;

b. Fixed-term;
c. Regular;
d. Probationary.
73. The appeal to the NLRC may be entertained only on any of the following grounds, except:
a. If there is prima facie evidence of abuse of discretion on the part of the Labor Arbiter;
b. If the decision, order or award was secured through fraud or coercion, including graft
and corruption;
c. If made purely on questions of fact and law;
d. If serious errors in the findings of facts are raised which would cause grave or
irreparable damage or injury to the appellant
74. The following are unfair labor practices of employers, except:
a. Interrogating its employees in connection with their membership in the union or their
union activities which hampers their exercise of free choice;
b. The grant of profit-sharing benefits to managers, supervisors and all rank-and-file
employees not covered by the CBA;
c. The cessation of a company's operations shortly after the organization of a labor
union and the resumption of business barely a month after;
d. Withdrawal by the employer of holiday pay benefits stipulated under a supplementary
agreement with the union.
75. According to Article 78 of the Labor Code., a handicapped worker is one whose earning
capacity is impaired by the following, except :
a. Age;
b. Physical Deficiency;
c. Mental Deficiency;
d. Psychological Deficiency.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO HEAD WATCHER.

2012 BAR EXAMINATIONS

LABOR LAW
7 October 2012

3:30 P.M. - 5 P.M.

Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (1 0) questions (numbered I to X) contained in SIX (6)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number n1ay be written continuously on the san1e page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SEVEN (7) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
I.
a. Distinguish Labor-Only contracting and Job-Only contracting. (5%)
b. A deadlock in the negotiations for the collective bargaining agreement between College X
and the Union prompted the latter, after duly notifying the DOLE, to declare a strike on
November 5. The strike totally paralyzed the operations of the school. The Labor Secretary
immediately assumed jurisdiction over the dispute and issued on the same day (November
5) a return to work order. Upon receipt of the order, the striking union officers and members,
on November 1, filed a Motion for Reconsideration thereof questioning the Labor Secretary's
assumption of jurisdiction, and continued with the strike during the pendency of their motion.
On November 30, the Labor Secretary denied the reconsideration of his return to work order
and further noting the strikers' failure to immediately return to work, terminated their
employment. In assailing the Labor Secretary's decision, the Union contends that:
1. The Labor Secretary erroneously assumed jurisdiction over the dispute since College
X could not be considered an industry indispensable to national interest;

2. The strikers were under no obligation to immediately comply with the November 5
return to work order because of their then pending Motion for Reconsideration of
such order; and
3. The strike being legal, the employment of the striking Union officers and members
cannot be terminated. Rule on these contentions. Explain. (5%)
II.
In the Collective Bargaining Agreement (CBA) between Dana Films and its rank-and-file Union
(which is directly affiliated with MMFF, a national federation), a provision on the maintenance of
membership expressly provides that the Union can demand the dismissal of any member employee
who commits acts of disloyalty to the Union as provided for in its Constitution and By-Laws. The
same provision contains an undertaking by the Union (MMFF) to hold Dana Films free from any and
all claims of any employee dismissed. During the term of the CBA, MMFF discovered that certain
employee-members were initiating a move to disaffiliate from MMFF and join a rival federation,
FAMAS. Forthwith, MMFF sought the dismissal of its employee-members initiating the disaffiliation
movement from MMFF to FAMAS. Dana Films, relying on the provision of the aforementioned CBA,
complied with MMFF's request and dismissed the employees identified by MMFF as disloyal to it.
a. Will an action for illegal dismissal against Dana Films and MMFF prosper or not? Why?
(5%))
b. What are the liabilities of Dana Films and MMFF to the dismissed employees, i f any? (5%)
III.
a. On August 01, 2008, Y, a corporation engaged in the manufacture of textile garments,
entered into a collective bargaining agreement with Union X in representation of the rank
and-file employees of the corporation. The CBA was effective up to June 20, 2011. The
contract had an automatic renewal clause which would allow the agreement after its expiry
date to still apply until both parties would have been able to execute a new agreement. On
May 10, 2011, Union X submitted to Y's management their proposals for the negotiation of a
new CBA. The next day, Y suspended negotiations with Union X since Y had entered into a
merger with z, a corporation also engaged in the manufacture of textile garments. Z
assumed all the assets and liabilities of Y. Union X filed a complaint with the Regional Trial
Court for specific performance and damages with a prayer for preliminary injunction against
Y and Z and Z filed a Motion to Dismiss based on lack of jurisdiction. Rule on the Motion to
Dismiss. (5%)
b. X was one of more than one hundred (100) employees who were terminated from
employment due to the closure of Construction Corporation A. The Cruz family owned
Construction Company A. Upon the closure of Construction Company A, the Cruzes
established Construction Company B. Both corporations had the same president, the same
board of directors, the same corporate officers, and all the same subscribers. From the
General Information Sheet filed by both companies, it also showed that they shared the
same address and/or premises. . Both companies also hired the same accountant who
prepared the books for both companies.
X and his co-employees amended their Complaint with the Labor Arbiter to hold Construction
Corporation 8 joint and severally liable with Construction Company A for illegal dismissal,
backwages and separation pay. Construction Company 8 interposed a Motion to Dismiss

contending that they are juridical entities with distinct and separate personalities from
Construction Corporation A and therefore, they cannot be held jointly and severally liable for
the money claims of workers who are not their employees. Rule on the Motion to Dismiss.
Should it be granted or denied? Why? (5%)
IV.
a. Juicy Bar and Night Club allowed by tolerance fifty (50) Guest Relations Officers (GROs) to
work without compensation in its establishment under the direct supervision of its Manager
from 8:00 P.M. To 4:00 A.M. everyday, including Sundays and holidays. The GROs, however,
were free to ply their trade elsewhere at anytime, but once they enter the premises of the
night club, they Were required to stay up to closing time. The GROs earned their keep
exclusively from commissions for food and drinks, and tips from generous customers. In
time, the GROs formed the Solar Ugnayan ng mga Kababaihang lnaapi (SUKI), a labor
union duly registered with DOLE. Subsequently, SUKI filed a petition for Certification Election
in order to be recognized as the exclusive bargaining agent of its members. Juicy Bar and
Night Club opposed the petition for Certification Election on the singular ground of absence
of employer-employee relationship between the GROs on one hand and the night club on
the other hand. May the GROs form SUKI as a labor organization for purposes of collective
bargaining? Explain briefly. (5%)
b. A spinster school teacher took pity on one of her pupils, a robust and precocious 12-year old
boy whose poor family could barely afford the cost of his schooling. She lives alone at her
house near the School after her housemaid had left. In the afternoon, she lets the boy do
various chores as cleaning, fetching water and all kinds of errands after school hours. She
gives him rice and P100.00 before the boy goes home at 7:00 every night. The school
principal learned about it and charged her with violating the law which prohibits the
employment of children below 15 years of age. In her defense, the teacher stated that the
work performed by her pupil is not hazardous. Is her defense tenable? Why? (5%)
V.
The weekly work schedule of a driver is as follows: Monday, Wednesday, Friday - drive the family car
to bring and fetch the children to and from school. Tuesday, Thursday, Saturday - drive the family
van to fetch merchandise from suppliers and deliver the same to a boutique in a mall owned by the
family.
a. Is the driver a house helper? (5%)
b. The same driver claims that for work performed on Tuesday, Thursday and Saturday, he
should be paid the minimum daily wage of a driver of a commercial establishment. Is the
claim of the driver valid? (5%)
VI.
a. For humanitarian reasons, a bank hired several handicapped workers to count and sort out
currencies. The handicapped workers knew that the contract was only for a period of sixmonths and the same period was provided in their employment contracts. After six months,
the bank terminated their employment on the ground that their contract has expired. This
prompted the workers to file with the Labor Arbiter a complaint for illegal dismissal. Will their
action prosper? Why or why not? (5%)

b. Mam-manu Aviation Company (Mam-manu) is a new airline company recruiting flight

attendants for its domestic flights. It requires that the applicant be single, not more than 24
years old, attractive, and familiar with three (3) dialects, viz: llonggo, Cebuano and
Kapampangan. lngga, 23 years old, was accepted as she possesses all the qualifications.
After passing the probationary period, lngga disclosed that she got married when she was 18
years old but the marriage was already in the process of being annulled on the ground that
her husband was afflicted with a sexually transmissible disease at the time of the celebration
of their marriage. As a result of this revelation, lngga was not hired as a regular flight
attendant. Consequently, she filed a complaint against Mam-manu alleging that the preemployment qualifications violate relevant provisions of the Labor Code and are against
public policy. Is the contention of lngga tenable? Why? (5%)
VII.
a. Inggu, an electronics technician, worked within the premises of Pit Stop, an auto accessory
shop. He filed a Complaint for illegal dismissal, overtime pay and other benefits against Pit
Stop. Pit Stop refused to pay his claims on the ground that lnggu was not its employee but
was an independent contractor . . It was common practice for shops like Pit Stop to collect
the service fees from customers and pay the same to the independent contractors at the end
of each week. The auto shop explained that lnggu was like a partner who worked within its
premises, using parts provided by the shop, but otherwise lnggu was free to render service
in the other auto shops. On the other hand, lnggu insisted that he still was entitled to the
benefits because he was loyal to Pit Stop, it being a fact that he did not perform work for
anyone else. Is lnggu correct? Explain briefly. (5%)
b. The modes of determining an exclusive bargaining agreement are:
1. voluntary recognition
2. certification election
3. consent election
Explain briefly how they differ from one another. (5%)
VIII.
ABC Tomato Corporation, owned and managed by three (3) elderly brothers and two (2) sisters, has
been in business for 40 years. Due to serious business losses and financial reverses during the last
five (5) years, they decided to close the business.
a. As counsel for the corporation, what steps will you take prior to its closure? (3%)
b. Are the employees entitled to separation pay? (2%)
If the reason for the closure is due to old age of the brothers and sisters:
c. Is the closure allowed by law? (2%)
d. Are the employees entitled to separation benefits? (3%)

IX.
Dennis was a taxi driver who was being paid on the "boundary" system basis. He worked tirelessly
for Cabrera Transport Inc. for fourteen (14) years until he was eligible for retirement. He was entitled
to retirement benefits. During the entire duration of his service, Dennis was not given his 13th month
pay or his service incentive leave pay.
a. Is Dennis entitled to 13th month pay and service leave incentive pay? Explain. (5%)
b. Since he was not given his 13th month pay and service incentive leave pay, should Dennis
be paid upon retirement, in addition to the salary equivalent to fifteen (15) days for every
year of service, the additional 2.5 days representing one-twelfth (1/12) of the 13th month pay
as well as the five (5) days representing the service incentive leave for a total of 22.5 days?
Explain. (5%)
X.
a. XYZ Manpower Services (XYZ) was sued by its employees together with its client, ABC
Polyester Manufacturing Company (ABC). ABC is one of the many clients of XYZ. During the
proceedings before the Labor Arbiter, XYZ was able to prove that it had substantial capital of
Three Million Pesos. The Labor Arbiter ruled in favor of the employees because it deemed
XYZ as a labor only contractor. XYZ was not able to prove that it had invested in tools,
equipment, etc. Is the Labor Arbiter's ruling valid? Explain. (5%)
b. Does the performance by a contractual employee, supplied by a legitimate contractor, of
activities directly related to the main business of the principal make him a regular employee
of the principal? Explain. (5%)
- NOTHING FOLLOWS -

2012 BAR EXAMINATIONS

CIVIL LAW

Which of the following is NOT included in the attributes of juridical capacity?

a) Juridical capacity is inherent in every natural person, and therefore it is not acquired.
b) Juridical capacity is lost only through death.
c) Juridical capacity is the fitness to be the subject of legal relations.
d) Juridical capacity cannot exist without capacity to act.
2. Which of the following is NOT a restriction on ones capacity to act?
a) Minority

b) Marriage
c) Deaf-mute
d) Civil Interdiction
3. This attribute or incident of a case determine whether it is a conflict-of-laws case or one covered
by domestic law.
a) Cause of action
b) Foreign element
c) Jurisdiction
d) Forum non conveniens
4. The capacity of an heir to succeed shall be governed by the:
a) national law of the decedents heirs
b) law of the country where the decedent was a resident at the time of his death
c) national law of the person who died
d) law of the country where the properties of the decedent are located.
5. Atty. BUKO, a Filipino, executed a will while he was in Spain. The attestation clause of the said will
does not contain Bukos signature. It is valid under Spanish law. At its probate in Manila, it is being
opposed on the ground that the attestation clause does not contain BUKOs signature. Is the
opposition correct? Choose the best answer..
a) Yes, because it is a fatal defect.
b) Yes, the will is not valid under Philippine law.
c) No, attestation clause is not an act of the testator.
d) No, the governing law is Spanish law.
6. Ramon, a Filipino, executed a will in Manila, where he left his house and located in BP Homes
Paraaque in favor of his Filipino son, Ramgen. Ramons other children RJ and Ramona, both
Turkish nationals, are disputing the bequest to Ramgen. They plotted to kill Ramgen. Ramon learned
of the plot, so he tore his will in two pieces out of anger. Which statement is most accurate?
a) The mere act of Ramon Sr. is immaterial because the will is still readable.
b) The mere act of tearing the will amounts to revocation.
c) The tearing of the will may amount to revocation if coupled with intent of revoking it.

d) The act of tearing the will is material.

7. Even if the applicable law is a foreign law, a count in the Philippines may be constrained to apply
Philippine law under any of the following instances, except:
a) when the foreign law, judgment or contract is contrary to a sound and important public
policy of the forum;
b) when the property subject of the case is located outside of the Philippines;
c) when the foreign law or judgment is penal in nature;
d) when the foreign law is procedural in nature.
8. If a will is executed by a testator who was born a Filipino citizen but became naturalized Japanese
citizen at the time of his death, what law will govern its testamentary provisions if the will is executed
in China and the property being disposed is located in Indonesia?
a) Chinese law
b) Philippine law
c) Indonesia law
d) Japanese law
9. A Japanese national and a Filipino national entered into a contract for services in Thailand. The
services will be rendered in Singapore. In case of breach, what law will govern?
a) Thailand law
b) Philippine law
c) Singapore law
d) Japanese law
10. Pedro (Filipino) and his wife Jane (American) executed a joint will in Canada, where such joint
will is valid. In case the joint will is probated in Japan, what law will govern the formalities of the joint
will?
a) American law
b) Philippine law
c) Canadian law
d) Japanese law

11. A French national revokes his will in Japan where he is domiciled. He then changed his domicile
to the Philippines where he died. The revocation of his will in Japan is valid under Japanese law but
invalid under Philippine law. The affected heir is a Malaysian national residing in the Philippines.
What law will apply?
a) Japanese law
b) Philippine law
c) French law
d) Malaysian law
12. In the absence of contrary stipulation in a marriage settlement, property relations of Filipino
spouses shall be governed by --a) Philippines laws
b) Law of the place where the spouses reside
c) Law of the place where the properties are situated
d) Law of the place where they were married.
13. The will of a Filipino executed in a foreign country --a) cannot be probated in the Philippines;
b) may be probated in the Philippines provided that properties in the estate are located in the
Philippines;
c) cannot be probated before the death of the testator;
d) may be probated in the Philippines provided it was executed in accordance with the laws
of the place where the will was executed.
14. Pedro (Filipino and Bill (American) entered into a contract in Australia, whereby it was agreed
that Pedro will build a commercial building for Bill in the Philippines, and in payment for the
construction, Bill will transfer and convey his cattle ranch located in Japan in favor of Pedro. In case
Pedro performs his obligation, but Bill fails or refuses to pay, what law will govern?
a) American law
b) Philippine law
c) Australian law
d) Japanese law
(Facts for item numbers 15-18)

In 1989, Charice (Filipina) and Justine (American), were married in the Philippines. In 1990,
they separated and Justine went to Las Vegas where he obtained a divorce in the same
year. He then married another Filipina, Lea, in Canada on January 1, 1992. They had two (2)
sons, James and John (who were both born in 1992). In 1993, after failing to hear from
Justine, Charice married Bugoy (a Filipino), by whom she had a daughter, Regine. In 2009,
Regine married James (son of Justine with Lea) in California, where such marriage is valid.
15. What is the current status of the marriage of Charice and Justine under Philippine laws?
a) Valid
b) Void
c) Voidable
d) Dissolved
16. What id the status of the marriage between Charice and Bugoy under Philippine laws?
a) Valid
b) Void
c) Voidable
d) Unenforceable
17. What is the status of the marriage between Charice and Bugoy under Philippine laws?
a) Valid
b) Void
c) Voidable
d) Unenforceable
18. What is the status of the marriage between Regine and James under Philippine laws?
a) Valid
b) Void
c) Voidable
d) Unenforceable
19. Ricky and Princess were sweethearts. Princess became pregnant. Knowing that Ricky is
preparing for the examinations, Marforth, a lawyer and cousin of Princess, threatened Ricky with the
filing of a complaint for immorality in the Supreme Court, thus preventing him from taking

examinations unless he marries Princess. As a consequence of the threat, Ricky married Princess.
Can the marriage be annulled on the ground of intimidation under Article 45 of the Family Code?
Choose the best answer.
a) Yes, because without the threat, Ricky would not have married Princess.
b) Yes, because the threat to enforce the claim of Princess vitiates the consent of Ricky in
contracting the marriage.
c) No, because the threat made by Marforth is just and legal.
d) No, because Marforth is not a party to the contract of marriage between Princess and
Ricky.
20. Audrey, single, bought a parcel of land in Malolos City from Franco for P 1Million. A contract was
executed between them which already vested upon Audrey full ownership of the property, although
payable in monthly installments for a period of four (4) years. One (1) year after the execution of the
contract, Audrey got married to Arnel. They executed a marriage settlement whereby they agreed
that their properties shall be governed by the regime of conjugal partnership of gains. Thereafter,
subsequent installments were paid from the conjugal partnership funds. Is the land conjugal or
paraphernal?
a) The land is conjugal because the installments were paid from the conjugal partnership
funds.
b) The land is paraphernal because ownership thereof was acquired before the marriage.
c) The land is both conjugal and paraphernal funds of installments were paid from both the
personal funds of Audrey and the conjugal partnership funds.
d) The land is paraphernal because it was Audrey who purchased the same.
21. Ernesto donated a mobile phone worth P 32,000 to Hubert orally and delivered the unit to Hubert
who accepted. Which statement is most accurate?
a) The donation is void and Ernesto may get mobile phone back.
b) The donation is void but Ernesto cannot get the mobile phone back.
c) The donation is voidable and may be anulled.
d) The donation is valid.
22. Agay, a Filipino citizen and Topacio, an Australian citizen, got married in the consular office of the
Philippines in Australia. According to the laws of Australia, a marriage solemnized by a consular
official is valid, provided that such marriage is celebrated in accordance with the laws of such
consular official. Under Philippine law, what is the status of the marriage of Agay and Topacio?
Choose the best answer.
a) Void, because the consular official only has authority to solemnize marriages between
Filipinos.

b) Valid, because according to the laws of Australia, such consular official has authority to
celebrate the marriage.
c) Voidable, because there is an irregularity in the authority of the consular official to
solemnize marriages.
d) Valid, because such marriage is recognized as valid in the place where it was celebrated.
23. Separation of property between spouses during the marriage may take place only:
a) by agreement of the spouses.
b) If one of the spouses has given ground for legal separation.
c) Upon order of the court.
d) If one spouse has abandoned the other.
24. The husband may impugn the legitimacy of his child but not on the ground that:
a) the wife is suspected of infidelity.
b) the husband had a serious illness that prevented him from engaging in sexual intercourse.
c) they were living apart.
d) he is physically incapable of sexual intercourse.
25. A marriage is void if:
a) solemnized with a marriage license issued without complying with the required 10-day
posting.
b) solemnized by a minister whom the parties believe to have the authority.
c) between parties both 23 years of age but without parental advice.
d) none of the above
26. In legal separation, which is not correct?
a) The aggrieved spouse may file the action within five (5) years from the time of the
occurrence of the cause.
b) No trial shall be held without the 6-month cooling off period being observed.
c) The spouses will be entitled to live separately upon the start of the trial.
d) The prosecuting attorney has to conduct his own investigation.

27. A husband by chance discovered hidden treasure on the paraphernal property of his wife. Who
owns the discovered treasure?
a) The half pertaining to the husband (finder) belongs to the conjugal partnership.
b) The half pertaining to the wife (as owner) belongs to the conjugal partnership.
c) One half shall belong to the husband as finder and the other half shall belong to the wife
as owner of the property.
d) a and b
28. Which of the following marriages is void for reasons of public policy?
a) Between brothers and sisters, whether of the full or half blood.
b) Between step-parents and step children.
c) Between parents-in-law and children-in-law.
d) b and c
29. The following constitute the different circumstances or case of fraud which will serves as ground
for the annulment of a marriage, except?
a) Non-disclosure of the previous conviction by final judgment of the other party of a crime
involving moral turpitude.
b) Concealment of a sexually-transmissible disease, regardless of its nature, existing at the
time of the marriage.
c) Concealment of drug addiction, habitual alcoholism, homosexuality or lesbianism existing
at the time of marriage.
d) Concealment by the wife or the husband of the fact of sexual relations prior to the
marriage.
30. Which of the following is not a requisite for a valid donation propter nuptias?
a) The donation must be made before the celebration of the marriage.
b) The donation shall be automatically revoked in case of non-celebration of the marriage.
c) The donation must be made in consideration of the marriage.
d) The donation must be made in favor of one or both of the future spouses.
31. Who are illegitimate children?
a) Children conceived or born outside a valid marriage.

b) Children born under a valid marriage, which was later declared void because of the
psychological incapacity of either or both of the spouses.
c) Children conceived and born outside a valid marriage.
d) Children born under a valid marriage, but the parents later obtained a legal separation.
32. An illegitimate child may use the surname of his father when his filiation is established in any of
the following instances, except:
a) Filiation has been recognized by the father through the record of birth appearing in the
civil register
b) Admission of filiation by the father in a public document.
c) Private handwritten instrument is made by the father acknowledging his filiation.
d) Affidavit by the mother stating the name of his true father.
33. Under RA 8043, an adopter is required to be at least ____ years old and ____ years older than
the child to be adopted at the time of the application unless the adopter is the parent by nature of the
child.
a) 30 and 15
b) 27 and 16
c) 50 and 10
d) 18 and 15
34. Under RA 8043, a child qualified to be adopted is any person below _____ years old.
a) 18
b) 21
c) 15
d) 16
35. Which of the following DOES NOT result in permanent termination of parental authority?
a) Death of the parents.
b) Death of the child.
c) Emancipation of the child.
d) Conviction of the parents of a crime which carries with it the penalty of civil interdiction.

36. The court, in an action filed for the purpose, may suspend parental authority if the parent or the
person exercising parental authority commits any of the following acts, except:
a) Treats the child with excessive harshness or cruelty.
b) Gives the child corrupting orders, counsel or example.
c) Compels the child to take up a course in college against his/her will.
d) Subjects the child or allows him to be subjected to acts of lasciviousness.
37. Which of the following statements is wrong?
a) The possessor in bad faith shall reimburse the fruits received and those which the
legitimate possessor could have received.
b) The possessor in bad faith has right of reimbursement for necessary expenses and those
for the production, gathering and preservation of the fruits.
c) The possessor in bad faith is not entitled to a refund of ornamental expenses.
d) The possessor in bad faith is entitled to a refund of useful expenses.
38. Which phrase most accurately completes the statement The expenses incurred in
improvements for the luxury or mere pleasure shall not be refunded to thew possessor in bad faith:
a) but he may remove the objects for which such expenses have been incurred, provided
that the thing suffers no injury thereby, and that the lawful possessor does not prefer to retain
them.
b) and he may not remove the objects for which such expenses have been incurred.
c) and he may not remove the objects for which such expenses have been incurred, unless
he pays the value they may have at the time he entered into possession.
d) but he may remove the objects for which such expenses have been incurred.
39. The following are the limitations on the right of ownership imposed by the owner himself, except:
a) Will/Succession
b) Mortgage
c) Pledge
d) Lease
40. A plenary action for the recovery of the possession of real estate, upon mere allegation and proof
of a better right thereto, and without allegation of proof of title. This action can only be brought after
the expiration of one (1) year. What action is being referred to?

a) Accion publiciana
b) Accion reinvindicatoria
c) Accion interdictal
d) Quieting of Title
41. Action to recover real property based on ownership. Here, the object is the recovery of the
dominion over the property as owner. What action is being referred to?
a) Accion publiciana
b) Accion reinvindicatoria
c) Accion interdictal
d) Quieting of Title
42. A summary action to recover physical or material possession only and must be brought within
one (1) year from the time the cause of action arises. What action is being referred to?
a) Accion publiciana
b) Accion reinvindicatoria
c) Accion interdictal
d) Quieting of Title
43. The following things are property of public dominion, except:
a) ports and bridges constructed by the State.
b) vehicles and weapons of the Armed Forces of the Philippines.
c) rivers.
d) lands reclaimed by the state from the sea.
44. Which of the following statements is wrong?
a) patrimonial property of the state, when no longer intended for public use or for public
service, shall become property of public dominion.
b) all property of the State, which is not of public dominion, is patrimonial property.
c) The property of provinces, cities and municipalities is divided into property for public use
and patrimonial property.

d) Property is either of public dominion or of private ownership.

45. The following cannot ask for the reduction of inofficious donation, except:
a) Creditors of the deceased
b) Devisees or legatees
c) Compulsory heirs of the donor
d) The surviving spouse of the donee.
46. Donation is perfected from the moment --a) the donee accepts the donation.
b) the donor executes the deed of donation.
c) the donor knows of the donees acceptance even if the latter has not received the copy of
the deed of donation.
d) the donee confirms that the donor has learned the formers acceptance.
47. The following are the elements of an obligation, except:
a) Juridical/Legal Tie
b) Active subject
c) Passive subject
d) Consideration
48. It is a conduct that may consist of giving, doing, or not doing something.
a) Obligation
b) Juridical necessity
c) Prestation
d) Contract
49. It is a juridical relation arising from lawful, voluntary and unilateral acts based on the principle
that no one should unjustly enrich himself at the expense of another.
a) Quasi-contract
b) Quasi-delict

c) Cotract
d) Delict
50. The following are the elements of quasi-delict, except:
a) Act or omission
b) Fault/negligence
c) Damage/injury
d) Pre-existing contract
51. A debtor is liable for damages in case of delay if he is guilty of any of the following, except:
a) default (mora)
b) mistake
c) negligence (culpa)
d) breach through contravention of the tenor thereof
52. This term refers to a delay on the part of both the debtor and creditor in reciprocal obligations.
a) Mora accipiendi
b) Mora solvendi
c) Compensation morae
d) Solution indibiti
53. The following are the requisites of mora solvendi, except:
a) Obligation pertains to the debtor and is determinate, due, demandable, and liquidated.
b) Obligation was performed on its maturity date.
c) There is judicial or extrajudicial demand by the creditor.
d) Failure of the debtor to comply with such demand.
54. It is an international evasion of the faithful performance of the obligation.
a) Negligence
b) Fraud

c) Delay
d) Mistake
55. The following are the requisites of fortuitous event, except:
a) Cause is independent of the will of the debtor.
b) The event is unforeseeable/unavoidable.
c) Occurrence renders it absolutely impossible for the debtor to fulfill his obligation in a
normal manner; impossibility must be absolute not partial, otherwise not force majeure.
d) Debtor contributed to the aggravation of the injury to the creditor.
56. A debtor may still be held liable for loss or damages even if it was caused by a fortuitous event in
any of the following instances, except:
a) The debtor is guilty of dolo, malice or bad faith, has promised the same thing to two or
more persons who do not have the same interest.
b) The debtor contributed to the loss.
c) The thing to be delivered is generic.
d) The creditor is guilty of fraud, negligence or delay or if he contravened the tenor of the
obligation.
57. Buko, Fermin and Toti bound themselves solidarily to pay Ayee the amount of P 5,000.00.
Suppose Buko paid the obligation, what is his right as against his co-debtors?
a) Buko cas ask for reimbursement from Fermin and Toti.
b) Buko can sue Fermin and Toti for damages.
c) Buko can sue for rescission.
d) Buko can claim a refund from Ayee.
58. Buko, Fermin and Toti bound themselves solidarily to pay Ayee the sum of P 10,000.00. When
the obligation became due and demandable, Ayee sued Buko for the payment of the P 10,000.00.
Buko moved to dismiss on the ground that there was failure to implead Fermin and Toti who are
indispensable parties. Will the motion to dismiss prosper? Why?
a) Yes, because Fermin and Toti should have been impleaded as their obligation is solidary.
b) No, because the creditor may proceed against any one of the solidary debtors or some or
all of them simultaneously.
c) No, because a motion to dismiss is a prohibited pleading.

d) Yes, because Fermin and Toti should also pay their share of the obligation.
59. Buko, Fermin and Toti are solidarily debtors of Ayee. Twelve (12) years after the obligation
became due and demandable, Buko paid Ayee and later on asked for reimbursement of Fermins
and Totis shares. Is Buko correct? Why?
a) No, because the obligation has already prescribed.
b) Yes, because the obligation is solidary.
c) No, because in solidary obligation any one of the solidary debtors can pay the entire debt.
d) Yes, because Fermin and Toti will be unduly enriched at the expense of Buko.
60. Buko, Fermin and Toti are solidary debtors under a loan obligation of P 300,000.00 which has
fallen due. The creditor has, however, condoned Fermins entire share in the debt. Since Toti has
become insolvent, the creditor makes a demand on Buko to pay the debt. How much, if any, may
Buko be compelled to pay?
a) P 200.000.00
b) P 300,000.00
c) P 100,000.00
d) P 150,000.00
61. Dina bought a car from Jai and delivered a check in payment of the same. Has Dina paid the
obligation? Why?
a) No, not yet. The delivery of promissory notes payable to order, or bills of exchange or
other mercantile documents shall produce the effect of payment only when they have been
cashed, or when through the fault of the creditor they have been impaired.
b) Yes, because a check is a valid legal tender of payment.
c) It depends. If the check is a managers check or cashiers check it will produce the effect
of payment. If its an ordinary check, no payment.
d) Yes, because a check is as good as cash.
62. The following are the requisites of legal compensation, except:
a) That each of the obligors is bound principally and that he be the same time a principal
creditor of the other.
b) That both debts consist in a sum of money, or if the things due are consumable, they be
the same kind, and also of the same quality if the latter has been stated.
c) That the two (2) debts are not yet due.

d) That they be liquidated and demandable.

63. Which of the following statements is correct?
a) All contracts are perfected by mere consent.
b) All contracts are perfected by delivery of the object.
c) All contracts are required to be in writing.
d) All contracts are required to have a valid consideration.
64. It is a principle which holds that parties are bound not only by what has been expressly provided
for in the contract but also to the natural consequences that flow out of such agreement.
a) Obligatory force of contracts
b) Mutuality of contracts
c) Autonomy of contracts
d) Relativity of contracts
65. It is a principle which holds that contracts must be binding to both parties and its validity and
effectivity can never be left to the will of one of the parties.
a) Obligatory force of contracts
b) Mutuality of contracts
c) Autonomy of contracts
d) Relativity of contracts
66. It refers to the rule that a contract is binding not only between parties but extends to the heirs,
successors in interest, and assignees of the parties, provided that the contract involved
transmissible rights by their nature, or by stipulation or by law.
a) Obligatory force of contracts
b) Mutuality of contracts
c) Autonomy of contracts
d) Relativity of contracts
67. It is rule which holds that the freedom of the parties to contract includes the freedom to stipulate,
provided the stipulations are not contrary to law, morals, good customs, public order or public policy.
a) Obligatory force of contracts

b) Mutuality of contracts
c) Autonomy of contracts
d) Relativity of contracts
68. The following are the ways by which innominate contracts are regulated, except:
a) By the stipulation of the parties.
b) By the general principles of quasi-contracts and delicts
c) By the rules governing the most analogous nominate contracts.
d) By the customs of the place.
69. An offer becomes ineffective on any of the following grounds, except:
a) Death, civil interdiction, insanity/insolvency of either party before acceptance is conveyed.
b) Acceptance of the offer by the offeree.
c) Qualified/conditional acceptance of the offer, which becomes counter-offer.
d) Subject matter becomes illegal/impossible before acceptance is communicated.
70. Which of the following statements is correct?
a) Offers in interrelated contracts are perfected upon consent.
b) Offers in interrelated contracts require a single acceptance.
c) Business advertisements are definite offers that require specific acceptance.
d) Advertisements for Bidders are only invitations to make proposals and the advertiser is
not bound to accept the highest/lowest bidder, unless it appears otherwise.
71. The following are solemn contracts (Contracts which must appear in writing), except:
a) Donations of real estate or of movables if the value exceeds P 5,000.00.
b) Stipulation to pay interest in loans.
c) Sale of land through an agent (authority must be in writing).
d) Construction contract of a building.
72. The following are rescissible contracts, except:

a) Entered into by guardian whenever ward suffers damage more than of value of
property.
b) Agreed upon in representation of absentees, if absentee suffers lesion by more than of
value of property.
c) Contracts where fraud is committed on creditor (accion pauliana).
d) Contracts entered into by minors.
73. The following are the requisites before a contract entered into in fraud of creditors may be
rescinded, except:
a) There must be credited existing prior to the celebration of the contract.
b) There must be fraud, or at least, the intent to commit fraud to the prejudice of the creditor
seeking rescission.
c) The creditor cannot in any legal manner collect his credit (subsidiary character of
rescission)
d) The object of the contract must be legally in the possession of a 3rd person in good faith.
74. The following are the characteristics of a voidable contract, except:
a) Effective until set aside.
b) May be assailed/attacked only in an action for that purpose.
c) Can be confirmed or ratified.
d) Can be assailed only by either party.
75. The following are void contracts, except:
a) Pactum commissorium
b) Pactum de non alienando
c) Pactum leonina
d) Pacto de retro
76. The borrower in a contract of loan or mutuum must pay interest to the lender.
a) If there is an agreement in writing to the effect.
b) As a matter of course.
c) If the amount borrowed is very large.

d) If the lender so demands at the maturity date.

77. The liability of the school, its administrators and teachers, or the individual, entity or institution
engaged in child care over the minor child or damage caused by the acts or omissions of the
unemancipated minor while under their supervision, instruction or custody shall be:
a) Joint and subsidiary
b) Principal and solidary
c) Principal and joint
d) Subsidiary and solidary.
78. The creditor has the right to the fruits of the thing from the time:
a) the thing is delivered.
b) the obligation to deliver the things arises.
c) the contract is perfected.
d) the fruits are delivered.
79. If one of the parties to the contract is without juridical capacity, the contract is:
a) voidable
b) rescissible
c) void
d) unenforceable
80. When both parties to the contract are minors, the contract is:
a) voidable
b) rescissible
c) void
d) unenforceable
81. When the consent of one of the parties was vitiated, the contract is:
a) voidable
b) rescissible

c) void
d) unenforceable
82. An obligation which is based on equity and natural law is known as:
a) pure
b) quasi-contract
c) civil
d) natural
83. Consent was given by one in representation of another but without authority. The contract is:
a) voidable
b) rescissible
c) void
d) unenforceable
84. Michael Fermin, without the authority of Pascual Lacas, owner of a car, sold the same car in the
name of Mr. Lacas to Atty. Buko. The contract between Atty. Buko and Mr. Lacas is --a) void because of the absence of consent from the owner, Mr. Lacas.
b) valid because all of the essential requisites of a contract are present.
c) unenforceable because Michael Fermin had no authority but he sold the car in the name
of Mr. Lacas, the owner.
d) rescissible because the contract caused lesion to Atty. Buko.
85. Which of the following contracts is void?
a) An oral sale of a parcel of land.
b) A sale of land by an agent in a public instrument where his authority from the principal is
oral.
c) A donation of a wrist watch worth P 4,500.00.
d) A relatively simulated contract.
86. Which of the following expresses a correct principle of law? Choose the best answer.

a) Failure to disclose facts when there is a duty to reveal them, does not constitute fraud.
b) Violence or intimidation does not render a contract annullable if employed not by a
contracting party but by a third person.
c) A threat to enforce ones claim through competent authority, if the claim is legal or just,
does not vitiate consent.
d) Absolute simulation of a contract always results in a void contract.
87. Aligada orally offered to sell his two-hectare rice land to Balane for P 10Million. The offer was
orally accepted. By agreement, the land was to be delivered (through execution of a notarized Deed
of Sale) and the price was to be paid exactly one-month from their oral agreement. Which statement
is most accurate?
a) If Aligada refuses to deliver the land on the agreed date despite payment by Balane, the
latter may not successfully sue Aligada because the contract is oral.
b) If Aligada refused to deliver the land, Balane may successfully sue for fulfillment of the
obligation even if he has not tendered payment of the purchase price.
c) The contract between the parties is rescissible.
d) The contract between the parties is subject to ratification by the parties.
88. Which of the following statements is wrong?
a) Creditors are protected in cases of contracts intended to defraud them.
b) Contracts take effect only between the parties, their assign and heirs, except in case
where the rights and obligations arising from the contract are not transmissible by their
nature, or by stipulation or by provision of law.
c) If a contract should contain some stipulation in favor of a third person, he may demand its
fulfillment provided he communicated his acceptance to the obligor before its revocation.
d) In contracts creating real rights, third persons who come into possession of the object of
the contract are not bound thereby.
89. Which phrase most accurately completes the statement Any third person who induces another
to violate his contract:
a) shall be liable for damages only if he is a party to the same contract.
b) shall be liable for damages to the other contracting party.
c) shall not be liable for damages to the other contracting party.
d) shall not be liable for damages if the parties are in pari delicto.

90. The requisites of succession are as follows, except:

a) Death of decedent
b) Transmissible estate
c) Existence and capacity of successor, designated by decedent or law
d) Payment of Taxes
91. The characteristics of succession are as follows, except:
a) It is a legal contract.
b) Only property, rights and obligations to the extent of the value of the inheritance are
transmitted.
c) The transmission takes place only at the time of death.
d) The transmission takes place either by will or by operation of law.
92. The following rights are extinguished by death, except:
a) Legal support
b) Parental authority
c) Right to inherit
d) Agency
93. The attestation clause contains the following, except:
a) the number of pages used;
b) that the testator signed or caused another to sign the will and every page thereof in the
presence of the instrumental witnesses;
c) notary public;
d) the instrumental witnesses witnessed and signed the will and all the pages thereof in the
presence of the testator and one another.
94. The following are the formalities required in the execution of holographic will, except:
a) Entirely written;
b) Dated;

c) Signed by testator himself

d) Notarized by a notary public.
95. The following are the grounds for disallowance of wills, except:
a) The formalities required by law have not been complied with.
b) The testator was insane or mentally incapable of making will.
c) The will was executed through force or under duress, or influence of fear or threats.
d) The will contains an attestation clause.
96. It is the omission in the testators will of one, some or all of the compulsory heirs in direct line,
whether living at the time of execution of the will or born after the death of the testator. What
principle is being referred to?
a) reserva troncal
b) preterition
c) fideicommissary
d) disposicion captatoria
97. Any disposition made upon the condition that the heir shall make some provision in his will in
favor of the testator or of any other person shall be void. Here, both the condition and the disposition
are void. What principle is being referred to?
a) reserva troncal
b) preterition
c) fideicommissary
d) disposicion captatoria
98. Which phrase most accurately completes the statement If at the time the contract of sale is
perfected, the thing which is the object of the contract has been entirely lost:
a) the buyer bears the risk of loss.
b) the contract shall be without any effect.
c) the seller bears the risk of loss.
d) the buyer may withdraw from the contract.

99. A contract granting a privilege to a person, for which he has paid a consideration, which gives
him the right to buy certain merchandise or specified property, from another person, at anytime
within the agreed period, at a fixed price. What contract is being referred to?
a) Option Contract
b) Contract to Sell
c) Contract of Sale
d) Lease
100. Which of the following contracts of sale is void?
a) Sale of EGMs car by KRP, EGMs agent, whose authority is not reduced into writing.
b) Sale of EGMs piece of land by KRP, EGMs agent, whose authority is not reduced into
writing.
c) Sale of EGMs car by KRP, a person stranger to EGM, without EGMs consent or authority.
d) Sale of EGMs piece of land by KRP, a person stranger to EGM, without EGMs consent or
authority.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO HEAD WATCHER.

2012 BAR EXAMINATIONS

CIVIL LAW
14 October 2012

10 A.M.-12 NN.
Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered I to X) contained in FIVE (5)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number may be written continuously on the same page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.

HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE

HEAD WATCHER.
GOOD LUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SIX (6) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
CIVIL LAW
I
a) Roberto was in Nikko Hotel when he bumped into a friend who was then on her way to a wedding
reception being held in said hotel. Roberto alleged that he was then invited by his friend to join her at
the wedding reception and carried the basket full of fruits which she was bringing to the affair. At the
reception, the wedding coordinator of the hotel noticed him and asked him, allegedly in a loud voice,
to leave as he was not in the guest list. He retorted that he had been invited to the affair by his
friend, who however denied doing so. Deeply embarrassed by the incident, Roberto then sued the
hotel for damages under Articles 19 and 21 of the Civil Code. Will Robertos action prosper? Explain.
(5%)
b) Ricky donated P 1 Million to the unborn child of his pregnant girlfriend, which she accepted. After
six (6) months of pregnancy, the fetus was born and baptized as Angela. However, Angela died 20
hours after birth. Ricky sought to recover the P 1 Million. Is Ricky entitled to recover? Explain. (5%)
II
a) Liwayway Vinzons-Chato was then the Commissioner of Internal Revenue while Fortune Tobacco
Corporation is an entity engaged in the manufacture of different brands of cigarettes, among which
are "Champion," "Hope," and "More" cigarettes.
Fortune filed a complaint against Vinzons-Chato to recover damages for the alleged violation of its
constitutional rights arising from Vinzons-Chatos issuance of Revenue Memorandum Circular No.
37-934 (which re-classified Fortune cigarettes as locally manufactured with foreign brands and
thereby imposed higher taxes), which the Supreme Court later declared invalid.
Vinzons-Chato filed a Motion to Dismiss arguing that she cannot be held liable for damages for acts
she performed while in the discharge of her duties as BIR Commissioner. Is she correct? Explain.
(5%)
b) The petitioner filed a petition for declaration of nullity of marriage based allegedly on the
psychological incapacity of the respondent, but the psychologist was not able to personally examine
the respondent and the psychological report was based only on the narration of petitioner. Should
the annulment be granted? Explain. (5%)

III
a) Maria, wife of Pedro, withdrew P 5 Million from their conjugal funds. With this money, she
constructed a building on a lot which she inherited from her father. Is the building conjugal or
paraphernal? Reasons. (5%)
b) Cipriano and Lady Miros married each other. Lady Miros then left for the US and there, she
obtained American citizenship. Cipriano later learned all about this including the fact that Lady Miros
has divorced him in America and that she had remarried there. He then filed a petition for authority to
remarry, invoking Par. 2, Art. 26 of the Family Code. Is Cipriano capacitated to re-marry by virtue of
the divorce decree obtained by his Filipino spouse who was later naturalized as an American
citizen? Explain. (5%)
IV
a) After they got married, Nikki discovered that Christian was having an affair with another woman.
But Nikki decided to give it a try and lived with him for two (2) years. After two (2) years, Nikki filed
an action for legal separation on the ground of Christians sexual infidelity. Will the action prosper?
Explain. (5%)
b) Honorato filed a petition to adopt his minor illegitimate child Stephanie, alleging that Stephanies
mother is Gemma Astorga Garcia; that Stephanie has been using her mothers middle name and
surname; and that he is now a widower and qualified to be her adopting parent. He prayed that
Stephanies middle name be changed from "Astorga" to "Garcia," which is her mothers surname and
that her surname "Garcia" be changed to "Catindig," which is his surname. This the trial court
denied. Was the trial court correct in denying Hororatos request for Stephanies use of her mothers
surname as her middle name? Explain. (5%)
V
a) Spouses Primo and Monina Lim, childless, were entrusted with the custody of two (2) minor
children, the parents of whom were unknown. Eager of having children of their own, the spouses
made it appear that they were the childrens parents by naming them Michelle P. Lim and Michael
Jude Lim. Subsequently, Monina married Angel Olario after Primos death.
She decided to adopt the children by availing the amnesty given under R.A. 8552 to those
individuals who simulated the birth of a child. She filed separate petitions for the adoption of
Michelle, then 25 years old and Michael, 18. Both Michelle and Michael gave consent to the
adoption.
The trial court dismissed the petition and ruled that Monina should have filed the petition jointly with
her new husband. Monina, in a Motion for Reconsideration argues that mere consent of her husband
would suffice and that joint adoption is not needed, for the adoptees are already emancipated.
Is the trial court correct in dismissing the petitions for adoption? Explain. (5%)
b) Jambrich, an Austrian, fell in-love and lived together with Descallar and bought their houses and
lots at Agro-Macro Subdivision. In the Contracts to Sell, Jambrich and Descallar were referred to as
the buyers. When the Deed of Absolute Sale was presented for registration before the Register of
Deeds, it was refused because Jambrich was an alien and could not acquire alienable lands of the
public domain. After Jambrich and Descallar separated, Jambrich purchased an engine and some

accessories for his boat from Borromeo. To pay for his debt, he sold his rights and interests in the
Agro-Macro properties to Borromeo.
Borromeo discovered that titles to the three (3) lots have been transfereed in the name of Descallar.
Who is the rightful owner of the properties? Explain. (5%)
VI
a) Siga-an granted a loan to Villanueva in the amount of P 540, 000.00. Such agreement was not
reduced to writing. Siga-an demanded interest which was paid by Villanueva in cash and checks.
The total amount Villanueva paid accumulated to P 1, 200, 000.00. Upon advice of her lawyer,
Villanueva demanded for the return of the excess amount of P 660, 000.00 which was ignored by
Siga-an.
1) Is the payment of interest valid? Explain. (3%)
2) Is solution indebiti applicable? Explain. (2%)
b) Eulalia was engaged in the business of buying and selling large cattle. In order to secure the
financial capital, she advanced for her employees (biyaheros). She required them to surrender TCT
of their properties and to execute the corresponding Deeds of Sale in her favor. Domeng Bandong
was not required to post any security but when Eulalia discovered that he incurred shortage in cattle
procurement operation, he was required to execute a Deed of Sale over a parcel of land in favor of
Eulalia. She sold the property to her grandneice Jocelyn who thereafter instituted an action for
ejectment against the Spouses Bandong.
To assert their right, Spouses Bandong filed an action for annulment of sale against Eulalia and
Jocelyn alleging that there was no sale intended but only equitable mortgage for the purpose of
securing the shortage incurred by Domeng in the amount of P 70, 000.00 while employed as
"biyahero" by Eulalia. Was the Deed of Sale between Domeng and Eulalia a contract of sale or an
equitable mortgage? Explain. (5%)
VII
a) Natividads holographic will, which had only one (1) substantial provision, as first written, named
Rosa as her sole heir. However, when Gregorio presented it for probate, it already contained an
alteration, naming Gregorio, instead of Rosa, as sole heir, but without authentication by Natividads
signature. Rosa opposes the probate alleging such lack of proper authentication. She claims that the
unaltered form of the will should be given effect. Whose claim should be granted? Explain. (5%)
b) John Sagun and Maria Carla Camua, British citizens at birth, acquired Philippine citizenship by
naturalization after their marriage. During their marriage, the couple acquired substantial
landholdings in London and in Makati. Maria begot three (3) children, Jorge, Luisito, and Joshur. In
one of their trips to London, the couple executed a joint will appointing each other as their heirs and
providing that upon the death of the survivor between them, the entire estate would go to Jorge and
Luisito only but the two (2) could not dispose of nor divide the London estate as long as they live.
John and Maria died tragically in the London subway terrorist attack in 2005. Jorge and Luisito filed
a petition for probate of their parents will before a Makati Regional Trial Court. Joshur vehemently
objected because he was preterited.
1) Should the will be admitted to probate? Explain. (2%)

2) Are the testamentary dispositions valid? Explain. (2%)

3) Is the testamentary prohibition against the division of the London estate valid? Explain.
(1%)
VIII
a) Ricky and Arlene are married. They begot Franco during their marriage. Franco had an illicit
relationship with Audrey and out of which, they begot Arnel. Frnaco predeceased Ricky, Arlene and
Arnel. Before Ricky died, he executed a will which when submitted to probate was opposed by Arnel
on the ground that he should be given the share of his father, Franco. Is the opposition of Arnel
correct? Why? (5%)
b) How can RJP distribute his estate by will, if his heirs are JCP, his wife; HBR and RVC, his parents;
and an illegitimate child, SGO?
IX
a) Does the right to request for the issuance of a writ of possession over a foreclosed real property
prescribe in five (5) years? (5%)
b) A petition for declaration of nullity of a void marriage can only be filed by either the husband or the
wife? Do you agree? Explain your answer. (5%)
X
a) A contract to sell is the same as a conditional contract of sale. Do you agree? Explain your
answer. (5%)
b) A partner cannot demand the return of his share (contribution) during the existence of a
partnership. Do you agree? Explain your answer. (5%)
- NOTHING FOLLOWS 2012 BAR EXAMINATIONS
TAXATION LAW

Bank A deposit money with Bank B which earns interest that is subjected to the 20% final
withholding tax. At the same time, Bank A is subjected to the 5% gross receipts tax on its interest
income on loan transactions to customers. Which statement below INCORRECTLY describes the
transaction?
a) There is double taxation because two taxes income tax and gross receipts tax are
imposed on the interest incomes described above and double taxation is prohibited under
the 1987 Constitution
b) There is no double taxation because the first tax is income tax, while the second tax is
business tax;

c) There is no double taxation because the income tax is on the interest income of Bank A on
its deposits with Bank B (passive income), while the gross receipts tax is on the interest
income received by Bank A from loans to its debtor-customers (active income);
d) Income tax on interest income of deposits of Bank A is a direct tax, while GRT on interest
income on loan transaction is an tax.
2. Which of the following statement is NOT correct?
a) In case of doubt, statutes levying taxes are constructed strictly the government;
b) The construction of a statute made by his predecessors is not binding upon the successor,
if thereafter he becomes satisfied that a different construction should be given;
c) The reversal of a ruling shall not generally be given retroactive application, if said reversal
will be prejudicial to the taxpayer;
d) A memorandum circular promulgated by the CIR that imposes penalty for violations of
certain rules need not be published in a newspaper of general circulation or official gazette
because it has the force and effect of law.
3. Which statement below expresses the lifeblood theory?
a) The assessed taxes must be enforced by the government.
b) The underlying basis of taxation is government necessity, for without taxation, a
government can neither exist nor endure;
c) Taxation is an arbitrary method of exaction by those who are in the seat of power;
d) The power of taxation is an inherent power of the sovereign to impose burdens upon
subjects and objects within its jurisdiction for the purpose of raising revenues.
4. Which statement is WRONG?
a) The power of taxation may be exercised by the government, its political subdivisions, and
public utilities;
b) Generally, there is no limit on the amount of tax that may be imposed;
c) The money contributed as tax becomes part of the public funds;
d) The power of tax is subject to certain constitutional limitations.
5. The Philippines adopted the semi-global tax system, which means that:
a) All taxable incomes, regardless of the nature of income, are added together to arrive at
gross income, and all allowable deductions are deducted from the gross income to arrive at
the taxable income;

b) All incomes subject to final withholding taxes liable to income tax under the schedular tax
system, while all ordinary income as well as income not subject to final withholding tax under
the global tax system;
c) All taxable incomes are subject to final withholding taxes under the schedular tax system;
d) All taxable incomes from sources within and without the Philippines are liable to income
tax.
6. Income from the performance of services is treated as income from within the Philippines, if:
a) The payment of compensation for the service is made in the Philippines;
b) The contract calling for the performance of services is signed in the Philippines;
c) The service is actually performed in the Philippines;
d) The recipient of service income is a resident of the Philippines.
7. For income tax purposes, the source of the service income is important for the taxpayer, who is a:
a) Filipino citizen residing in Makati City;
b) Non-resident Filipino citizen working residing in London, United Kingdom;
c) Japanese citizen who is married to a Filipino citizen and residing in their family home
located Fort Bonifacio, Taguig City;
d) Domestic corporation.
8. Interest income of a domestic commercial bank derived from a peso loan to a domestic
corporation in 2010 is :
a) Subject to the 30% income tax based on its net taxable income;
b) Subject to the 20% final withholding tax;
c) Subject to the 7.5% final withholding tax;
d) Subject to 10% final withholding tax.
9. A resident corporation is one that is:
a) Organized under the laws of the Philippines that does business in another country;
b) Organized under the laws of a foreign country that sets up a regional headquarter in the
Philippines doing product promotion and information dissemination;
c) Organized under the laws of the Philippines that engages business in a special economic
zone;

d) Organized under the laws of a foreign country that engages in business in Makati City,
Pihlippines.
10. A dealer in securities sold unlisted shares of stocks of a domestic corporation in 2010 and
derived a gain of P1 Million therefrom. The gain is:
a) Taxable at 30% regular corporate income tax based on net taxable income;
b) Taxable at 5%/10% capital gains tax based on net capital gain;
c) Taxable at of 1% stock transaction tax based on the gross selling price or fair market
value, whichever is higher
d) Exempt from income tax
11. An individual, who is a real estate dealer, sold a residential lot in Quezon City at a gain of
P100,000.00 (selling price of P900,000.00 and cost is P800,00.00). The sale is subject to income tax
as follows:
a) 6% capital gains tax on the gain;
b) 6% capital gains tax on the gross selling price of fair market value, whichever is higher;
c) Ordinary income tax at the graduated rates of 5% to 32% of net taxable income;
d) 30% income tax on net taxable income.
12. During the audit conducted by the BIR official, it was found that the rental income claimed by the
corporation was not subjected to expanded withholding tax. Accordingly, the claimed rental expense:
a) Is deductible from the gross income of the corporation, despite non-withholding of income
tax by the corporation;
b) Is deductible from the gross income of the corporation, provided that the 5% expanded
withholding tax is paid by the corporation during the audit;
c) Is not deductible from gross income of the corporation due to non-withholding of tax;
d) Is deductible, if it can be shown that the lessor has correctly reported the rental income in
his tax return.
13. A resident Filipino citizen (not a dealer in securities) sold shares of stocks of a domestic
corporation that are listed and traded in the Philippine Stock Exchange.
a) The sale is exempt from income tax but subject to the of 1% stock transaction tax;
b) The sale is subject to income tax computed at the graduated income tax rates of 5% to
32% on net taxable income;
c) The sale is subject to the stock transaction tax and income tax;

d) The sale is both exempt from the stock transaction tax and income tax.
14. The appropriate method of accounting for a contractor on his long-term construction contract
(i.e., it takes more than a year to finish) is:
a) Cash method;
b) Accrual method;
c) Installment sale method;
d) Percentage of completion method.
15. A general professional partnership (GPP) is one:
a) That is registered as such with the Securities and Exchange Commission and the Bureau
of Internal Revenue;
b) That is composed of individuals who exercise a common profession;
c) That exclusively derives income from the practice of the common profession;
d) That derives professional income and rental income from property owned by it.
16. The interest expense of a domestic corporation on a bank loan in connection with the purchase
of a production equipment:
a) Is not deductible from gross income of the borrower-corporation;
b) Is deductible from the gross income of the borrower-corporation during the year or it may
be capitalized as part of cost of the equipment;
c) Is deductible only for a period of five years from date of purchase;
d) Is deductible only if the taxpayer uses the cash method of accounting.
17. The "all events test" refers to:
a) A person who uses the cash method where all sales have been fully paid by the buyers
thereof;
b) A person who uses the installment sales method, where the full amount of consideration is
paid in full by the buyer thereof within the year of sale;
c) A person who uses the accrual method, whereby an expense is deductible for the taxable
year in which all the events had occurred which determined the fact of the liability and the
amount thereof could be determined with reasonable accuracy;
d) A person who uses the completed method, whereby the construction project has been
completed during the year the contract was signed.

18. All the items below are excluded from gross income, except:
a) Gain from sale of long-term bonds, debentures and indebtedness;
b) Value of property received by a person as donation or inheritance;
c) Retirement benefits received from the GSIS, SSS, or accredited retirement plan;
d) Separation pay received by a retiring employee under a voluntary retirement program of
the corporate employer.
19. Which statement is correct? A non-stock, non-profit charitable association that sells its idle
agricultural property is:
a) Not required to file an income tax return nor pay income tax on the transaction to the BIR,
provided the sales proceeds are invested in another real estate during the year;
b) Required to pay the 6% capital gains tax on the gross selling price of fair market value,
whichever is higher;
c) Mandated to pay the 30% regular corporate income tax on the gain from sale;
d) Required to withhold the applicable expanded withholding tax rate on the transaction and
remit the same to the BIR.
20. ABS Corporation is a PEZA-registered export enterprise which manufactures cameras and sells
all its finished products abroad. Which statement is NOT correct?
a) ABS Corporation is subject to the 5% final tax on gross income earned, in lieu of all
national and local taxes;
b) ABS Corporation is exempt from the 30% corporate income tax on net income, provided it
pays value added tax;
c) ABS Corporation is subject to the 30% corporate income tax on net income;
d) ABS Corporation is exempt from all national and local taxes, except real property tax.
21. In May 2010, Mr. And Mrs. Melencio Antonio donated a house and lot with a fair market value of
P10 Million to their sob, Roberto, who is to be married during the same year to Josefina Angeles.
Which statement below isINCORRECT?
a) There are four (4) donations made two (2) donations are made by Mr. Melencio Antonio
to Roberto and Josefina, and two (2) donations are made by Mrs. Antonio;
b) The four (4) donations are made by the Spouses Antonio to members of the family, hence,
subject to the graduated donors tax rates (2%-15%);
c) Two (2) donations are made by the spouses to members of the family, while two (2) other
donations are made to strangers;

d) Two (2) donations made by the spouses to Roberto are entitled to deduction from the
gross gift as donation proper nuptias.
22. While he was traveling with friends, Mr. Jose Francisco, resident Filipino citizen, died on January
20, 2011 in a California Hospital, USA, leaving personal and real properties with market values as
follows: House and Lot in Quezon City P10 Million; Cash in bank in California US$10,000.00;
Citibank in New York US$5,000.00; Cash in BPI Makati P4 Million; Car in Quezon City P1
Million; Shares of stocks of Apple Corporation, US corporation listed in NY Stock Exchange US$1
= Php50. His gross estate for the Philippine estate tax purposes shall be:
a) P13 Million;
b) P14 Million;
c) P15 Million;
d) P16 Million.
23. In 2006, Mr. Vicente Tagle, a retiree, bought 10,000 CDA shares that are unlisted in the local
stock exchange for P10 per share. In 2010, the said shares had a book value per share of P60 per
share. In view of a car accident in 2010, Mr. Vicente Tagle had to sell his CDA shares but he could
sell the same only for P50 per share. The sale is subject to tax as follos:
a) 5%/10% capital gains tax on the capital gain from sale of P40 per share (P50 selling price
less P10 cost);
b) 5%/10% capital gains tax on the capital gain of P50 per share, arrived at by deducting the
cost (P10 per share) from the book value (P60 per share);
c) 5%/10% capital gains tax on the capital gain from sale of P40 per share (P50 selling price
less P10 cost) plus donors tax on the excess of the fair market value of the shares over the
consideration;
d) Graduated income tax rates of 5% to 32% on the net taxable income from the sale of the
shares.
24. On January 10, 2011, Maria Reyes, single-mother, donated cash in the amount of P50,000.00 to
her daughter Cristina, and on December 20, 2011, she donated another P50,000.00 to Cristina.
Which statement is correct?
a) Maria Reyes is subject to donors tax in 2011 because gross gift is P100,000.00;
b) Maria Reyes is exempt from donors tax in 2011 because gross gift is P100,000.00;
c) Maria Reyes is exempt from donors tax in 2011 only to the extent of P50,000.00;
d) Maria Reyes is exempt from donors tax in 2011 because the donee is minor.
25. Jose Ramos, single, died of a heart attack on October 10, 2011, leaving a residential house and
lot with a market value of P1.8 Million and cash of P100,000.00. Funeral expenses paid amounted to
P250,000.00

a) His estate will be exempt from estate tax because the net estate is zero;
b) His estate will be subject to estate tax because net estate is P1,650,000.00;
c) His estate will be subject to estate tax because net estate is P1,700,00.00;
d) His estate will be subject to estate tax because net estate is P800,000.00.
26. Sale of residential house and lot by an official of a domestic corporation to another official in the
same corporation for a consideration of P2.5 Million in 2011 is:
a) Exempt from VAT because the gross sales do not exceed P2.5 Million;
b) Exempt from VAT because the property sold is a capital asset, regardless of the gross
selling price;
c) Exempt from VAT because the seller is not a person engaged in real estate business;
d) Taxable at 12% VAT output tax on the gross selling price of P2.5 Million.
27. An importer of flowers from abroad in 2011:
a) Is liable for VAT, if it registers as a VAT person;
b) Is exempt from VAT, because the goods are treated as agricultural products;
c) Is exempt from VAT, provided that his total importation of flowers does not exceed P1.5
Million;
d) Is liable for VAT, despite the fact that it did not register as a VAT person and its total
annual sales of flowers do not exceed P1.5 Million.
28. A VAT-registered contractor performed services for his customer in 2010 and billed him P11.2
Million, broken down as follows: P10 Million cost of services, plus P1.2 Million, 12% VAT. Of the
contract price of P10 Million, only P8 Million plus VAT thereon was received from the customer in
2010, and the balance of P4 Million plus VAT was received by the contractor in 2011. How much is
the taxable gross receipts of the contractor for 2010, for VAT purposes?
a) P10 Million, the total cost of services performed in 2010;
b) P8 Million, the amount received from the customer in 2010;
c) P8 Million plus VAT received from the customer in 2010;
d) P11.2 Million, the total cost of services performed plus 12% VAT.
29. MBM Corporation is the owner-operator of movie houses in Cavite. During the year 2010, it
received a total gross receipts of P20 Million from the operation of movies. It did not register as a
VAT person. Which statement below is correct?

a) MBM Corporation is exempt from the 12% VAT, but liable for the 20% amusement tax on
admissions under the Local Government Code;
b) MBM Corporation is both liable for the 12% VAT and 20% amusement tax on admissions;
c) MBM Corporation is both exempt from the 12% VAT and 20% amusement tax on
admissions;
d) MBM Corporation is liable for the 12% VAT, but exempt from the 20% amusement tax on
admissions.
30. A pawnshop shall now be treated, for business tax purposes:
a) As a lending investor liable to the 12% VAT on its gross receipts from interest income and
from gross selling price from sale of unclaimed properties;
b) Not as a lending investor, but liable to the 5% gross receipts tax imposed on a non-bank
financial intermediary under Title VI (Other Percentage Taxes);
c) As exempt from 12% VAT and 5% gross receipts tax;
d) As liable to the 12% VAT and 5% gross receipts tax.
31. Under the VAT system, there is no cascading because the tax itself is not again being taxed.
However, in determining the tax base on sale of taxable goods under the VAT system:
a) The professional tax paid by the professional is included in gross receipts;
b) The other percentage tax (e.g., gross receipts tax) paid by the taxpayer is included in
gross selling price;
c) The excise tax paid by the taxpayer before withdrawal of the goods from the place of
production or from customs custody is included in the gross selling price;
d) The documentary stamp tax paid by the taxpayer is included in the gross selling price or
gross receipts.
32. Except for one transaction, the rest are exempt from value added tax. Which one is VAT taxable?
a) Sales of chicken by a restaurant owner who did not register as a VAT person and whose
gross annual sales is P1.2 Million;
b) Sales of copra by a copra dealer to a coconut oil manufacturer who did not register as a
VAT person and whose gross annual sales is P5 Million;
c) Gross receipts of CPA during the year amounted to P1 Million; the CPA registered as a
VAT person in January 2011, before practicing his profession;
d) Sales of a book store during the year amounted to P10 Million; it did not register as a VAT
person with the BIR.

33. A lessor or real property is exempt from value added tax in one of the transactions below. Which
one is it?
a) Lessor leases commercial stalls located in the Greenhills Commercial Center to VATregistered sellers of cell phones; lessors gross rental during the year amounted to P12
Million;
b) Lessor leases residential apartment units to individual tenants for P10,000.00 per month
per unit; his gross rental income during the year amounted to P2 Million;
c) Lessor leases commercial stalls at P10,000.00 per stall per month and residential units at
P15,000.00 per unit per month; his gross rental income during the year amounted to P3
Million;
d) Lessor leases two (2) residential houses and lots at P50,000.00 per month per unit, but he
registered as a VAT person.
34. IBP Bank extended loans to debtors during the year, with real properties of the debtors being
used as collateral to secure the loans. When the debtors failed to pay the unpaid principal and
interests after several demand letters, the bank foreclosed the same and entered into contracts of
lease with tenants. The bank is subject to the tax as follows:
a) 12% VAT on the rental income, but exempt from the 7% gross receipts tax;
b) 7% gross receipts tax on the rental income, but exempt from VAT;
c) Liable to both the 12% VAT and 7% gross receipts tax;
d) Exempt from both the 12% VAT and 7% gross receipts tax.
35. Which transaction below is subject to VAT?
a) Sale of vegetables by a farmer in Baguio City to a vegetable dealer;
b) Sale of vegetables by a vegetable dealer in Baguio City to another vegetable dealer in
Quezon City;
c) Sale of vegetables by the QC vegetable dealer to a restaurant in Manila;
d) Sale of vegetables by the restaurant operator to its customers.
36. Which importation in 2011 is subject to VAT?
a) Importation of fuels by a person engaged in international shipping worth P20 Million;
b) Importation of raw, unprocessed, refrigerated Kobe beef from Japan by a beef dealer for
sale to hotels in Makati City with a fair market value of P10 Million;
c) Importation of wines by a wine dealer with a fair market value of P2 million for sale to
hotels in Makati City;

d) Importation of books worth P5 Million and school supplies worth P1.2 million.
37. Input tax is available to a VAT-registered buyer, provided that:
a) The seller is a VAT-registered person;
b) The seller issues a VAT invoice or official receipt, which separately indicates the VAT
component;
c) The goods or service is subject to or exempt from VAT, but the sale is covered by a VAT
invoice or receipt issued by VAT-registered person;
d) The name and TIN of the buyer is not stated or shown in the VAT invoice or receipt
Which statement shown above is NOT correct?
38. Claim for tax credit or refund of excess input tax is available only to:
a) A VAT-registered person whose sales are made to embassies of foreign governments and
United Nations agencies located in the Philippines without the BIR approval of the
application for zero-rating;
b) Any person who has excess input tax arising from local purchases of taxable goods and
services;
c) A VAT-registered person whose sales are made to clients in the Philippines;
d) A VAT-registered person whose sales are made to customers outside the Philippines and
who issued VAT invoices or receipts with the words "ZERO RATED SALES" imprinted on the
sales invoices or receipts.
39. A hotel operator that is a VAT-registered person and who leases luxury vehicles to its hotel
customers is:
a) Subject to the 3% common carriers tax and 12% VAT;
b) Subject to the 3% common carriers tax only;
c) Subject to the 12% VAT only;
d) Exempt from both the 3% common carriers tax and 12% VAT.
40. Which statement is correct? A bar review center owned and operated by lawyers is:
a) Exempt from VAT, regardless of its gross receipts during the year because it is an
educational center;
b) Exempt from VAT, provided that its annual gross receipts do not exceed P1.5 Million in
2011;

c) Subject to VAT, regardless of its gross receipts during the year;

d) Subject to VAT, if it is duly accredited by TESDA.
41. For 2012, input tax is not available as a credit against the output tax of the buyer of taxable
goods or services during the quarter, if:
a) The VAT invoice or receipt of the seller is registered with the BIR;
b) The VAT invoice or receipt of the seller does not separately indicate the gross selling price
or gross receipts and the VAT component therein;
c) The VAT invoice or receipt is issued in the name of the VAT-registered buyer and his TIN is
shown in said invoice or receipt;
d) The VAT invoice or receipt issued by the seller shows the Taxpayer Identification Number
plus the word "VAT" or "VAT registered person".
42. The public market vendor below, who is not a VAT-registered person is liable to VAT in 2010, if:
a) She sells raw chicken and meats and her gross sales during the year is P2 Million;
b) She sells vegetables and fruits in her stall and her gross sales during the year is P1
Million;
c) She sells canned goods, processed coconut oils, and cut flowers in her stall and her gross
sales during the year is P2.5 Million;
d) She sells live fish, shrimps, and crabs and her gross sales during the year is P5 Million.
43. Which statement is FALSE under the VAT law?
a) A VAT-registered person will be subject to VAT for his taxable transactions, regardless of
his gross sales or receipts;
b) A person engaged in trade or business selling taxable goods or services must register as
a VAT person, when his gross sales or receipts for the year 2011 exceed P1.5 Million;
c) A person who issued a VAT-registered invoice or receipt for a VAT-exempt transaction is
liable to the 12% VAT as a penalty for the wrong issuance thereof;
d) Once a doctor of medicine exercises his profession during the year, he needs to register
as a VAT person and to issue VAT receipts for professional fees received.
44. The Commissioner of Internal Revenue may NOT inquire into the bank deposits of a taxpayer,
except:
a) When the taxpayer files a fraudulent return;

b) When the taxpayer offers to compromise the assessed tax based on erroneous
assessment;
c) When the taxpayer offers to compromise the assessed tax based on financial incapacity to
pay and he authorizes the Commissioner in writing to look into his bank records;
d) When the taxpayer did not file his income tax return for the year.
45. The Commissioner of Internal Revenue issued a BIR ruling to the effect that the transaction is
liable to income tax and value added tax. Upon receipt of the ruling, a taxpayer does not agree
thereto. What is his proper remedy?
a) File a petition for review with the Court of Tax Appeals within thirty (30) days from receipt
thereof;
b) File a motion for reconsideration with the Commissioner of Internal Revenue;
c) File an appeal to the Secretary of Finance within thirty (30) days from receipt thereof;
d) File an appeal to the Secretary of Justice within thirty (30) days from receipt thereof.
46. On April 15, 2011, the Commissioner of Internal Revenue mailed by registered mail the final
assessment notice and the demand letter covering the calendar year 2007 with the QC Post Office.
Which statement is correct?
a) The assessment notice is void because it was mailed beyond the prescriptive period;
b) The assessment notice is void because it was not received by the taxpayer within the
three-year period from the date of filing of the tax return;
c) The assessment notice is void if the taxpayer can show that the same was received only
after one (1) month from date of mailing;
d) The assessment notice is valid even if the taxpayer received the same after the three-year
period from the date of filing of the tax return.
47. A preliminary Assessment Notice (PAN) is NOT required to be issued by the BIR before issuing a
Final Assessment Notice (FAN) on one of the following cases:
a) When a taxpayer does not pay the 2010 deficiency income tax liability on or before July
15 of the year;
b) When the finding for any deficiency tax is the result of mathematical error in the
computation of the tax as appearing on the face of the return;
c) When a discrepancy has been determined between the value added tax paid and the
amount due for the year;
d) When the amount of discrepancy shown in the Letter Notice is not paid within thirty (30)
days from date of receipt.

48. When a protest against the deficiency income tax assessment was denied by the BIR Regional
Director of Quezon City, the appeal to the Court of Tax Appeals must be filed by a taxpayer:
a) If the amount of basic tax assessed is P100,000.00 or more;
b) If the amount of basic tax assessed is P300,000.00 or more;
c) If the amount of basic tax assessed is P500,000.00 or more;
d) If the amount of basic tax assessed is P1 Million or more;
49. The taxpayer received an assessment notice on April 15, 2011 and filed its request for
reinvestigation against the assessment on April 30, 2011. Additional documentary evidence in
support of its protest was submitted by it on June 30, 2011. If no denial of the protest was received
by the taxpayer, when is the last day for the filing of its appeal to the CTA?
a) November 30, 2011;
b) December 30, 2011;
c) January 30, 2012;
d) February 28, 2012.
50. Using the same facts in the immediately preceding number, but assuming that the final decision
on the disputed assessment was received by the taxpayer on July 30, 2011, when is the last day for
filing of the appeal to the CTA?
a) August 30, 2011;
b) September 30, 2011;
c) December 30, 2011;
d) January 30, 2012.
51. Which court has jurisdiction to determine if the warrant of distraint and levy issued by the BIR is
valid and to rule if the waiver of the Statute of Limitations was validly effected?
a) City Courts;
b) Regional Trial Court;
c) Court of Tax Appeals;
d) Court of Appeals.
52. Which statement below on compromise of tax liability is correct?
a) Compromise of a tax liability is available only at the administrative level;

b) Compromise of a tax liability is available only before trial at the CTA;

c) Compromise of a tax liability is available even during appeal, provided that prior leave of
court is obtained;
d) Compromise of a tax liability is still available even after the court decision has become
final and executory.
53. In case of full or partial denial of the written claim for refund or excess input tax directly
attributable to zero-rated sales, or the failure on the part of the Commissioner to act on the
application within 120 days from the date of submission of complete documents, an appeal must be
filed with the CTA:
a) Within thirty (30) days after filing the administrative claim with the BIR;
b) Within sixty (60) days after filing the administrative claim with the BIR;
c) Within one hundred twenty (120) days after filing the administrative claim with the BIR;
d) Within thirty (30) days from the receipt of the decision denying the claim or after the
expiration of the 120-day period.
54. The submission of the required documents within sixty (60) days from the filing of the protest is
available only where:
a) The taxpayer previously filed a Motion for Reconsideration with the BIR official;
b) The taxpayer previously filed a request for reconsideration with the BIR official;
c) The taxpayer previously filed a request for reinvestigation with the BIR official;
d) The taxpayer previously filed an extension to file a protest with the BIR official.
55. The prescriptive period for the collection of the deficiency tax assessment will be tolled:
a) If the taxpayer files a request for reconsideration with the Asst. Commissioner;
b) If the taxpayer files a request for reinvestigation that is approved by the Commissioner of
Internal Revenue;
c) If the taxpayer changes his address in the Philippines that is communicated to the BIR
official;
d) If a warrant of levy is served upon the taxpayers real property in Manila.
56. Which statement is correct? The collection of a deficiency tax assessment by distraint and levy:
a) May be repeated, if necessary, until the full amount due, including all expenses, is
collected;

b) Must be done successively, first by distraint and then by levy;

c) Automatically covers the bank deposits of a delinquent taxpayer;
d) May be done only once during the taxable year.
57. The prescriptive period to file a criminal action is:
a) Ten (10) years from the date of discovery of the commission of fraud or non-filing of tax
return;
b) Five (5) years from the date of issuance of the final assessment notice;
c) Three (3) years from the filing of the annual tax return;
d) Five (5) years from the commission of the violation of the law, and if the same be not
known at the time, from the discovery thereof and the institution of judicial proceedings for its
investigation and punishment.
58. The accuseds mere reliance on the representations made by his accountant, with deliberate
refusal or avoidance to verify the contents of his tax return and to inquire on its authenticity
constitutes:
a) Simple negligence;
b) Gross negligence;
c) Willful blindness;
d) Excusable negligence.
59. The acquittal of the accused in the criminal action for the failure to file income tax return and
failure to supply correct information will have the following consequence:
a) The CTA will automatically exempt the accused from any civil liability;
b) The CTA will still hold the taxpayer liable for deficiency income tax liability in all cases,
since preponderance of evidence is merely required for tax cases;
c) The CTA will impose civil or tax liability only if there was a final assessment notice issued
by the BIR against the accused in accordance with the prescribed procedures for issuing
assessments, which was presented during the trial;
d) The CTA will impose civil or tax liability, provided that a computation of the tax liability is
presented during the trial.
60. X Corporation had excess income tax payment for the year 2008, which it chose to carry over in
2009. In filing its 2009 corporate income tax return, it signified its intention (by checking the small
box "refund" at the bottom of the return) to get a refund of the overpaid amount in 2008. Can the
refund be allowed or not, and if disallowed, does X Corporation lose the claimed amount?

a) X Corporation may not get the refund because the decision to carry over in 2008 was
irrevocable for that year, and it may not change that decision in succeeding years;
b) X Corporation may not get the refund in 2009, but the amount being claimed as refund
may be utilized in succeeding years until fully exhausted because there is no prescriptive
period for carry over of excess income tax payments;
c) X Corporation may get the refund, provided that it will no longer carry over such amount or
utilize the same against its income tax liability in the future;
d) X Corporation may file instead a claim of tax credit, in lieu of refund.
61. Which statement is correct?
a) Legislative acts passed by the municipal council in the exercise of its lawmaking authority
are denominated as resolutions and ordinances;
b) Legislative acts passed by the municipal council in the exercise of its lawmaking authority
are denominated as resolutions;
c) Legislative acts passed by the municipal council in the exercise of its lawmaking authority
are denominated as ordinances;
d) Both ordinances and resolutions are solemn and formal acts.
62. Which of the following statements is NOT a test of a valid ordinance?
a) It must not contravene the Constitution or any statute;
b) It must not be unfair or oppressive;
c) It must not be partial or discriminatory;
d) It may prohibit or regulate trade.
63. Taxing power of local government units shall NOT extend to the following taxes, except one:
a) Income tax on banks and other financial institutions;
b) Taxes of any kind on the national government, its agencies and instrumentalities, and local
government units;
c) Taxes on agricultural and aquatic products when sold by the marginal farmers or
fishermen;
d) Excise taxes on articles enumerated under the National Internal Revenue Code.
64. Which statement on prescriptive periods is true?

a) The prescriptive periods to assess taxes in the National Internal Revenue Code and the
Local Government Code are the same;
b) Local taxes shall be assessed within five (5) years from the date they became due;
c) Action for the collection of local taxes may be instituted after the expiration of the period to
assess and to collect the tax;
d) Local taxes may be assessed within ten (10) years from discovery of the underpayment of
tax which does not constitute fraud.
65. The appraisal, assessment, levy and collection of real property tax shall be guided by the
following principles. Which statement does NOT belong here?
a) Real property shall be appraised at its current and fair market value;
b) Real property shall be classified for assessment purposes on the basis of its actual use;
c) Real property shall be assessed on the basis of a uniform classification within each local
political subdivision;
d) The appraisal and assessment of real property shall be based on audited financial
statements of the owner.
66. The Manila International Airport Authority (MIAA) is exempt from real property tax. Which
statement below isNOT correct?
a) MIAA is not a government-owned or controlled corporation because it is not organized as
a stock or non-stock corporation;
b) MIAA is a government instrumentality vested with corporate powers and performing
essential public services;
c) MIAA is not a taxable entity because the real property is owned by the Republic of the
Philippines and the beneficial use of such property has not been granted to a private entity;
d) MIAA is a government-owned or controlled corporation because it is required to meet the
test of economic viability.
67. For purposes of real property taxes, the tax rates are applied on:
a) Zonal values;
b) Fair market value;
c) Assessed values;
d) Reproduction values.
68. One of the local government units below does NOT have the power to impose real property tax:

a) Bacoor, Cavite;
b) Davao City;
c) Tarlac Province;
d) Malabon, Metro Manila.
69. Where the real property tax assessment is erroneous, the remedy of the property owner is:
a) To file a claim for refund in the Court of Tax Appeals if he has paid the tax, within thirty (30)
days from date of payment;
b) To file an appeal with the Provincial Board of Assessment Appeals within thirty (30) days
from receipt of the assessment;
c) To file an appeal with the Provincial Board of Assessment Appeals within sixty (60) days
from receipt of the assessment;
d) To file an appeal with the Provincial Board of Assessment Appeals within sixty (60) days
from receipt of the assessment and playing the assessed tax under protest.
70. The City Government of Manila may NOT impose:
a) Basic real property tax at 2% of the assessed value of real property;
b) Additional levy on real property for the special education fund at 1% of the assessed value
of real property;
c) Additional ad valorem tax on idle lands at a rate not exceeding 5% of the assessed value;
d) Special levy on lands within its territory specially benefited by public works projects or
improvements funded by it at 80% of the actual cost of the projects or improvements.
71. Importation of goods is deemed terminated:
a) When the customs duties are paid, even if the goods remain within the customs premises;
b) When the goods are released or withdrawn from the customs house upon payment of the
customs duties or with legal permit to withdraw;
c) When the goods enter Philippines territory and remain within the customs house within
thirty (30) days from date of entry;
d) When there is part payment of duties on the imported goods located in the customs area.
72. A protest against an assessment issued by the Collector of Customs for unpaid customs duties
on imported goods shall be filed with:
a) The Commissioner of Customs;

b) The Regional Trial Court;

c) The Court of Tax Appeals;
d) The Collector of Customs.
73. The dutiable value of an imported article subject to an ad valorem rate of duty under existing law
shall be:
a) The home consumption value;
b) The total value;
c) The total landed cost;
d) The transaction value.
74. The imported articles shall in any case be subject to the regular physical examination when:
a) The importer disagrees with the findings as contained in the government surveyors
report;
b) The number, weight and nature of packages indicated in the customs entry declaration
and supporting documents differ from that in the manifest;
c) The container is not leaking or damaged;
d) The shipment is covered by alert/hold orders issued pursuant to an existing order.
75. Which cases are appealable to the CTA?
a) Decisions of the Secretary of Finance in cases involving liability for customs duties,
seizure, detention or release of property affected;
b) Decisions of the Commissioner of Customs in cases involving liability for customs duties,
seizure, detention or release of property affected;
c) Decisions of the Collector of Customs in cases involving liability for customs duties,
seizure, detention or release of property affected;
d) Decisions of the BIR Commissioner in cases involving liability for customs duties, seizure,
detention or release of property affected.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO HEAD WATCHER.

2012 BAR EXAMINATIONS

TAXATION LAW
14 October 2012

3:30 P.M.-5 P.M.

Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered I to X) contained in SIX (6)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number maybe written continuously on the same page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SEVEN (7) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
TAXATION LAW
I
Anchor Banking Corporation, which was organized in 2000 and existing under the laws of the
Philippines and owned by the Sy Family of Makati City, set up in 2010 a branch office in Shanghai
City, China, to take advantage of the presence of many Filipino workers in that area and its booming
economy. During the year, the bank ,management decided not to include the P20 Million net income
of the Shanghai Branch in the annual Philippine income tax return filed with the BIR, which showed a
net taxable income of P30 Million , because the Shanghai Branch is treated as a foreign corporation
and is taxed only on income from sources within the Philippines, and since the loan and other
business transactions were done in Shanghai, these incomes are not taxable in the Philippines.
a) Is the bank correct in excluding the net income of its Shanghai Branch in the computation
of its annual corporate income tax for 2010? Explain your answer. (5%)

b) Should the Shanghai Branch of Anchor Bank remit profit to its Head Office in the
Philippines in 2011, is the branch liable to the 15% branch profit remittance tax imposed
under Section 28 (A)(5) of the 1997 Tax Code? Explain your answer (5%)
II
Foster Corporation (FC) is a Singapore-based foreign corporation engaged in construction and
installation projects. In 2010, Global Oil Corporation (GOC), a domestic corpoartion engaged in the
refinery of petroleum products, awarded an anti-pollution project to Foster Corporation, whereby FC
shall design, supply machinery and equipment, and install an anti-pollution device for GOCs refinery
in the Philippines, provided that the installation part of the project may be sub-contracted to a local
construction company. Pursuant to the contract, the design and supply contracts were done in
Singapore by FC, while the installation works were sub-contracted by the FC with the Philippine
Construction Corporation (PCC), a domestic corporation. The project with a total cost of P100 Million
was completed in 2011 at the following cost components: (design P20Million; machinery and
equipment P50 Million; and installation P30 Million). Assume that the project was 40% complete
in 2010 and 100% complete in 2011, based on the certificates issued by the certificates issued by
the architects and engineers working on the project. GOC paid FC as follows: P60 Million in 2010
and P40 Million in 2011, and FC paid PCC ion foreign currency through a Philippine bank as follows:
P10 Million in 2010 and P20 Million in 2011.
a) Is FC liable to Philippines income tax, and if so, how much revenue shall be reported by it
in 2010 and in 2011? Explain your answer. (5%)
b) Is PCC, which adopted the percentage of completion method of reporting income and
expenses, liable to value added tax in 2010 and in 2011. Explain your answer. (5%)
III
Mr. Jose Castillo is a resident Filipino Citizen. He purchased a parcel of land in Makati City in 1970
at a consideration of P1 Million. In 2011, the land , which remained undeveloped and idle, had a fair
market value of P20Million. Mr. Antonio Ayala, another Filipino citizen, is very much interested in the
property and he offered to buy the same for P20 Million. The Assessor of Makati City re-assessed in
2011 the property at P10 Million.
a) When is Mr. Castillo liable for real property tax on the land beginning 2011 or beginning
2012? Explain your answer. (2%)
b) Is Mr. Castillo liable for income tax in 2011 based on the offer to buy by Mr. Ayala? Explain
your answer. (3%)
c) Should Mr. Castillo agree to sell the land to Mr. Ayala in 2012 for P20 Million, subject to
the condition as stated in The Deed of Sale that the buyer shall assume the capital gains tax
thereon, how musch is the income tax due on the transaction and when must the tax return
be filed and the tax be paid by the taxpayer? Explain your answer. (5%)
IV
Mr. Pedro Aguirre, a resident citizen, is working for a large real estate development company in the
country and in 2010, he was promoted to Vice-President of the company. With more responsibilities
comes higher pay. In 2011, he decided to buy a new car worth P2 Million and he traded-in his old car

with a market value of P800,000.00 and paid the difference of P1.2 Million to the car company. The
old car, which was bought three (3) years ago by the father of Mr. Pedro Aguirre at price of
P700,000.00 was donated by him and registered in the name of his son. The corresponding donors
tax thereon was duly paid by the father.
a) How much is the cost basis of the old car to Mr. Aguirre? Explain your answer (2%)
b) What is the nature of the old car capital asset or ordinary asset? Explain your answer.
(3%)
c) Is Mr. Aguirre liable to pay income tax on the gain from the sale of his old car? Explain
your answer. (5%)
V
Spouses Pablo Gonzales and Teresita Gonzales, both resident citizens acquire during their marriage
a residential house and lot located in Makati City, which is being leased to a tenant for a monthly
rental of P100,000.00. Mr. Pablo Gonzales is the President of PG Corporation and he receives
P50,000.00 salary per month. The spouses have only one (1) minor child. In late June 2010, he was
immediately brought to the hospital because of the heart attack and he was pronounced dead on
June 30, 2010.With no liabilities, the estate of the late Pablo Gonzales was settled extra-judicially in
early 2011.
a) Is Mr. Pablo Gonzales required to file income tax for 2010? If so, how much income must
he declare for the year? How much personal and additional exemption is he entitled to?
Explain your answer. (5%)
b) Is Mrs. Teresita Gonzales required to file income tax return fot 2010? If so, how much
income must she declare for the year? How much personal exemption is she entitled to?
Explain your answer. (5%)
c) Is the Estate of the late Pablo Gonzales required to file income tax return for 2010? If so,
how much income must it declare for the year? How much personal exemption is it entitled
to? Explain your answer. (5%)
VI
The BIR issude in 2010 a final assessment notice and demand letter against X Corporation covering
deficiency income tas for the year 2008 in the amount of P10 Million. X Corporation earlier requested
the advice of a lawyer on whether or not it should file a request for reconsideration or a request for
reinvestigation. The lawyer said it does not matter wheteher the protest files against the assessment
is a request for reconsideration or a request for reinvestigation, because it has same consequences
or implications.
a) What are the differences between a request for reconsideration and a request for
reinvestigation? (5%)
b) Do you agree with the advice of the lawyer? Explain your answer (5%)
VII

a) May the bank deposits peso and foreign currency of the an individual taxpayer be disclosed by
a commercial bank to the Commissioner of Internal Revenue, in connection with a tax investigation
being conducted by revenue officials, without violating the relevant bank secrecy laws? Explain your
answer. (5%)
b) In 2011, the Commissioner of the U.S. Internal Revenue Service (IRS) requested in writing the
Commissioner of Internal Reveneu to get the informatrion from a bank in the Philippines, regarding
the deposits of a U.S. Citizen residing in the Philippines, who is under examiniation by the officials of
the US IRS, pursuant to the US-Philippine Tax Treaty and othert existing laws. Should the BIR
Commissioner agree to obtain such informarion from the bank and provide the same to the IRS?
Explain your answer. (5%)
c) Is the bank secrecy lawq in the Philippines violated when the BIR issues a Warrant of
Garnishment directed against a domestic bank, requiring it not to allow any withdrawal from any
existing bank deposit of he delinquent taxpayer mentioned in the Warrant and to freeze the same
until the tax delinquency of said taxpayer is settled with the BIR? Explain your answer. (5%)
VIII
In the examination conducted by the revenue officials against the corporate taxpayer in 2010, the
BIR issued a final assessment notice and demand letter which states: "It is requested that the above
deficiency tax be paid immediately upon receipt hereof, inclusive of penalties incident to
delinquency. This is our final decision based on investigation. If you disagree, you may appeal this
final decision within thirty (30) days from receipt hereof, otherwise said deficiency tax assessment
shall become final, executory and demandable." The assessment was immediately appealed by the
taxpayer to the Court of Tax Appeals, without filing its protest against the assessment and without a
denial thereof by the BIR. If you were the judge, would your deny the petition for review filed by the
taxpayer and consider the case as prematurely filed? Explain your answer (5%)
IX
On April 16, 2012, the corporation filed its annual corporate income tax return for 2011, showing an
overpayment of income tax of P1 Million. Which is to be carried over to the succeeding year(s). On
May 15, 2012, the corporation sought advice from you and said that it contemplates to file an
amended return for 2011, which shows that instead of carry over of the execss income tax payment,
the same shall be considenred as a claim for tax refund and the small box shown as "refund" in the
return will be filled up. Withi a year, the corporation will file the formal request for refund for the
excess payment.
a) Will you recommend to the corporation such a course of action and justify that the
amended return is the latest official act of the corporation as to how it may treat such
overpayment of tax or should you consider the option granted to taxpayers as irrevocable,
once previously exercised by it? Explain your answer. (5%)
b) Should the petition for review filed with the CTA on the basisof the amended tax return be
denied by the BIR and the CTA, could the corporationstill carry over such excess payment of
income tax in the succeeding years, considering that there is no precriptive period provided
for in the income tax law with respect to carry over of excess income tax payments? Explain
your answer. (5%)
X

Explain the following statements:

a) The acquittal of the taxpayer in a criminal action under the Tax Code does not necessarily
result in a exeoneration of said taxpayer from his civil liability to pay taxes. (3%)
b) Should the accused be found guilty beyond reasonable doubt for violation of Section 255
of the Tax Code for failure to file tax return or to to spply correct information), the imposition
of the civil liability by the CTA should be automatic and no assessment notice from the BIR is
necessary? (2%)
- NOTHING FOLLOWS 2012 BAR EXAMINATIONS
MERCANTILE LAW
1. Letters of Credit are financial devices in commercial transactions which will ensure that the
seller of the goods is sure to be paid when he parts with the goods and the buyer of the
goods gets control of the goods upon payment. Which statement is most accurate?
a. The use of the Letter of Credit serves to reduce the risk of nonpayment of the
purchase price in a sale transaction.
b. The Letters of Credit can only be used exclusively in a sales transaction.
c. The Letters of Credit are issued for the benefit of the seller only.
d. (a), (b) and (c) are all correct.
2. Letter of Credit which is used in non-sale transaction, where it serves to reduce the risk of
non-performance is called a. irrevocable letter of credit;
b. standby letter of credit;
c. confirmed letter of credit;
d. None of the above.
3. At the instance of CCC Corporation, AAA Bank issued an irrevocable Letter of Credit in favor
of BBB Corporation. The terms of the irrevocable Letter of Credit state that the beneficiary
must presfmt certain documents including a copy of the Bill of Lading of the importation for
the bank to release the funds. BBB Corporation could not find the original copy of the Bill of
Lading so it instead presented to the bank a xerox copy of the Bill of Lading. Would you
advise the bank to allow the drawdown on theLetter of Credit?
a. No, because the rule of strict compliance in commercial transactions involving letters
of credit, requiring documents set as conditions for the release of the fund ,has to be
strictly corn plied with or else funds will not be released.

b. Yes, because an irrevocable letter of credit means that the issuing bank undertakes
to release the fund anytime when claimed by the beneficiary, regardless of the kind
of document presented.
c. Yes, because the issuing bank can always justify to CCC Corporation that xerox
copies are considered as faithful reproduction of the original copies.
d. Yes, because the issuing bank really has no discretion to determine whether the
documents presented by the beneficiary are sufficient or not.
4. AAA Carmakers opened an irrevocable Letter of Credit with BBB Banking Corporation with
CCC Cars Corporation as beneficiary. The, irrevocable Letter of Credit was opened to pay
for the importation of ten (1 0) units of Mercedes Benz S class. Upon arrival of the cars, AAA
Carmakers found out that the cars were all not in running condition and some parts were
missing. As a consequence, AAA Carmakers instructed BBB Banking Corporation not to
allow drawdown on the Letter of Credit. Is this legally possible?
a. No, because under the "Independence Principle", conditions for the drawdown on the
Letters of Credit are based only on documents, like shipping documents, and not with
the condition of the goods subject of the importation.
b. Yes, because the acceptance by the importer of the goods subject of importation is
material for the drawdown of the Letter of Credit.
c. Yes, because under the "Independence Principle", the seller or the beneficiary is
always assured of prompt payment if there is no breach in the contract between the
seller and the buyer.
d. No, because what was opened was an irrevocable letter of credit and not a
confirmed letter of credit.
5. For a fee, X deposited 1,000 sacks of corn in the warehouse owned by Y. Y is in the
business of warehousing. Y issued a warehouse receipt as proof of the possession of the
1,000 sacks of corn. The warehouse receipt states as follows: "Deliver to X or bearer 1,000
sacks of corn." X wanted to use the warehouse receipt as payment of his debt in favor of Z.
How can the ownership of the goods covered by the warehouse receipt be transferred?
a. Negotiate the warehouse receipt by just delivering the warehouse receipt to Z.
b. Assign the warehouse receipt to Z to transfer ownership of the goods.
c. Negotiate the warehouse receipt by specifically indorsing it to Z.
d. The warehouse receipt in this case is non-negotiable.
6. The warehouseman, by issuing the warehouse receipt, acknowledges that the goods are in
his possession, but he can refuse to deliver the goods to the holder of the warehouse receipt
covering the goods if a. the warehouse receipt covering the goods is not presented.

b. the lien of the warehouseman is not satisfied.

c. the said holder presents a materially altered warehouse receipt.
d. All of the above.
7. The legal remedy of the warehouseman in case of conflicting claims is to --a. file an action for interpleader.
b. give the goods to the first one who first presented the warehouse receipt.
c. use his discretion as to who he believes has the prior right.
d. keep the goods and appropriate them to himself.
8. BBB Banking Corporation issued a Letter of Credit in the amount of P5Million, for the
purchase of five (5) tons of corn by X. Upon arrival of the goods, the goods were delivered to
the warehouse of X. Thereafter he was asked to sign a Trust Receipt covering the goods.
When the goods were sold, X did not deliver the proceeds to BBB Banking Corporation,
arguing that he will need the fund for the subsequent importation. Is there sufficient basis to
sue for criminal action?
a. Yes, because X's failure to turn over the proceeds to the bank is a violation of the
Trust Receipt Law.
b. No, because the trust receipt was signed only after the delivery of the goods. When
the trust receipt was signed, the ownership of the goods was already with X.
c. Yes, because violation of Trust Receipt Law is mala prohibita, intention is irrelevant.
d. No, because X has a valid reason not to deliver the proceeds to BBB Banking
Corporation.
9. X secured a loan from BBB Bank to pay for the importation of some dried fruits. Upon arrival
of the goods consisting of dried fruits imported by X but before delivery to him, a trust receipt
was executed by X to cover the transfer of the dried fruits to his possession. The dried fruits
were so saleable but instead of turning over the proceeds of the sale, X used the funds to
pay for the medical expenses of his mother who was sick of cancer of the bone. Which
statement is most accurate?
a. X cannot be held criminally liable because although he did not pay the bank he used
the proceeds for a good reason.
b. Fraud or deceit is a necessary element to hold X criminally liable for non -payment
under the Trust Receipts Law.
c. X can be held criminally liable under the Trust Receipts Law regardless of the
purpose or intention for the use of the proceeds.

d. X cannot be held criminally liable because the underlying obligation is one of simple
loan.
10. X is the President of AAA Products Corporation. X signs all the Trust Receipts documents for
certain importations of the company. In the event of failure to deliver the proceeds of the sale
of the goods to the bank, which statement is most accurate?
a. The criminal liability will not attach to X as President because of separate juridical
personality.
b. For violation of Trust Receipts Law, the law specifically provides for the imposition of
penalty upon directors I officers of the corporation.
c. The officer will not be held criminally accountable because he is just signing the trust
receipt for and in behalf of the corporation.
d. The officer of the corporation will be held liable provided it is clear that the officer
concerned participated in the decision not to pay.
11. Who is the Entrustee in a Trust Receipt arrangement?
a. the owner of the goods;
b. the one who holds the goods and receives the proceeds from the sale of the goods;
c. the person to whom goods are delivered for sale and who bears the risk of the loss;
d. the party who acquires security interest in the goods.
12. Which phrase best completes the statement - In accordance with the Trust Receipt Law,
purchasers of the goods from the Entrustee will:
a. get the goods only as a collateral;
b. not get good title to the goods;
c. only get security interest over the goods;
d. get good title to the goods.
13. X acted as an accommodation party in signing as a maker of a promissory note. Which
phrase best completes the sentence - This means that X is liable on the instrument to any
holder for value:
a. for as long as the holder does not know that X is only an accommodation party.
b. even though the holder knew all along that X is only an accommodation party.
c. for as long as X did not receive any consideration for acting as accommodation party.

d. provided X received consideration for acting as accommodation party.

14. X issued a promissory note which states, "I promise to pay Y or order Php100,000.00 or one
(1) unit Volvo Sedan." Which statement is most accurate?
a. The promissory note is negotiable because the forms of payment are clearly stated.
b. The promissory note is non-negotiable because the option as to which form of
payment is with the maker.
c. The promissory note is an invalid instrument because there is more than one form of
payment.
d. The promissory note can be negotiated by way of delivery.
15. X issued a promissory note which states "I promise to pay Y or bearer the amount of
HK$50,000 on or before December 30, 2013." Is the promissory note negotiable?
a. No, the promissory note becomes invalid because the amount is in foreign currency.
b. Yes, the promissory note is negotiable even though the amount is stated in foreign
currency.
c. No, the promissory note is not negotiable because the amount is in foreign currency.
d. Yes, the promissory note is negotiable because the Hong Kong dollar is a known
foreign currency in the Philippines.
16. X delivered a check issued by him and payable to the order of CASH to Y in payment for
certain obligations incurred by X in favor of Y. Y then delivered the check to Z in payment for
certain obligations. Which statement is most accurate?
a. Z can encash the check even though Y did not indorse the check.
b. Z cannot encash the check for lacking in proper endorsement.
c. Y is the only one liable because he was the one who delivered the check to Z.
d. The negotiation is not valid because the check is an instrument payable to order.
17. A stale check is a check a. that cannot anymore be paid although the underlying obligation still exists.
b. that cannot anymore be paid and the underlying obligation under the check is also
extinguished.
c. that can still be negotiated or indorsed so that whoever is the holder can
d. which has not been presented for payment within a period of thirty (30) days.

18. In payment for his debt in favor of X, Y gave X a Manager's Check in the amount of
Php100,000 dated May 30, 2012. Which phrase best completes the statement - A Manager's
Check:
a. is a check issued by a manager of a bank for his own account.
b. is a check issued by a manager of a bank in the name of the bank against the bank
itself for the account of the bank.
c. is like any ordinary check that needs to be presented for payment also.
d. is better than a cashier's check in terms of use and effect.
19. Which phrase best completes the statement -- A check which is payable to bearer is a bearer
instrument and:
a. negotiation can be made by delivery only;
b. negotiation must be by written indorsement;
c. negotiation must be by specific indorsement;
d. negotiation must be by indorsement and delivery.
20. As payment for a debt, X issued a promissory note in favor of Y but the promissory note on
its face was marked non-negotiable. Then Y instead of indorsing the promissory note,
assigned the same in favor of Z to whom he owed some debt also. Which statement is most
accurate?
a. Z cannot claim payment from X on the basis of the promissory note because it is
marked non-negotiable.
b. Z can claim payment from X even though it is marked non-negotiable.
c. Z can claim payment from Y because under the Negotiable Instrument Law,
negotiation and assignment is one and the same.
d. Z can claim payment from Y only because he was the endorser of the promissory
note.
21. Negotiable instruments are used as substitutes for money, which means a. that they can be considered legal tender.
b. that when negotiated, they can be used to pay indebtedness.
c. that at all times the delivery of the instrument is equivalent to delivery of the cash.
d. that at all times negotiation of the instruments requires proper indorsement.

22. The signature of X was forged as drawer of a check. The check was deposited in the
account of Y and when deposited was accepted by AAA Bank, the drawee bank.
Subsequently, AAA Bank found out that the signature of X was actually forged. Which
statement is most accurate?
a. The drawee bank can recover from Y, because the check was deposited in his
account.
b. The drawee bank can recover from X, because he is the drawer even though his
signature was forged.
c. The drawee bank is estopped from denying the genuineness of the signature of the
X, the drawer of the check.
d. The drawee bank can recover from Y because as endorser he warrants the
genuineness of the signature.
23. A issued a check in the amount of Php20,000 payable to B. B endorsed the check but only to
the extent of Php1 0,000. Which statement is most accurate?
a. The partial indorsement is not a valid indorsement, although will result in the
assignment of that part.
b. The partial indorsement will invalidate the whole instrument.
c. The endorsee will be considered as a holder in due course.
d. The partial indorsement is valid indorsement up to the extent of the Php10,000.
24. A promissory note which does not have the words "or order" or "or bearer" will render the
promissory note non-negotiable, and therefore a. it will render the maker not liable;
b. the note can still be assigned and the maker made liable;
c. the holder can become holder in due course;
d. the promissory note can just be delivered and the maker will still be liable.
25. A check is a. a bill of exchange;
b. the same as a promissory note;
c. is drawn by a maker;
d. a non-negotiable instrument.

26. A check was issued to Tiger Woods. But what was written as payee is the word "Tiger
Woods". To validly endorse the check a. Tiger Woods must sign his real name.
b. Tiger Woods must sign both his real name and assumed name.
c. Tiger Woods can sign his assumed name.
d. the check has become non-negotiable.
27. Y, as President of and in behalf of AAA Corporation, as a way to accommodate X, one of its
stockholders, endorsed the check issued by X. Which statement is most acurate?
a. It is an ultra vires act.
b. It is a valid indorsement.
c. The corporation will be held liable to any holder in due course.
d. It is an invalid indorsement.
28. In a negotiable instrument, when the sum is expressed both in numbers and in words and
there is discrepancy between the words and the numbers a. the sum expressed in words will prevail over the one expressed in numbers.
b. the sum expressed in numbers will prevail over the one expressed in words.
c. the instrument becomes void because of the discrepancy.
d. this will render the instrument invalid.
29. A promissory note which is undated is presumed to be a. dated as of the date of issue;
b. dated as of the date of the first indorsement;
c. promissory note is invalid because there is no date;
d. dated on due date.
30. An insurance contract is an aleatory contract, which means that a. the insurer will pay the insured equivalent to the amount of the premium paid.
b. the obligation of the insurer is to pay depending upon the happening of an uncertain
future event.

c. the insured pays a fixed premium for the duration of the policy period and the amount
of the premiums paid to the insurer is not necessarily the same amount as what the
insured will get upon the happening of an uncertain future event.
d. the obligation of the insurer is to pay depending upon the happening of an event that
is certain to happen.
31. An Insurance Contract is a contract of adhesion, which means that in resolving ambiguities
in the provision of the insurance contract, a. the general rule is that, the insurance contract is to be interpreted strictly in
accordance with what is written in the contract.
b. are to be construed liberally in favor of the insured and strictly against the insurer
who drafted the insurance policy.
c. are to be construed strictly against the insured and liberally in favor of the insurer.
d. if there is an ambiguity in the insurance contract, this will invalidate the contract.
32. X is the common law wife of Y. Y loves X so much that he took out a life insurance on his
own life and made her the sole beneficiary. Y did this to ensure that X will be financially
comfortable when he is gone. Upon the death of Y, a. X as sole beneficiary under the life insurance policy on the life of Y will be entitled to
the proceeds of the life insurance.
b. despite the designation of X as the sole beneficiary, the proceeds of the life
insurance will go to the estate of Y.
c. the proceeds of the life insurance will go to the compulsory heirs of Y.
d. the proceeds of the life insurance will be divided equally amongst X and the
compulsory heirs of Y.
33. X, in January 30, 2009, or two (2) years before reaching the age of 65, insured his life for
Php20Million. For reason unknown to his family, he took his own life two (2) days after his
65th birthday. The policy contains no excepted risk. Which statement is most accurate?
a. The insurer will be liable.
b. The insurer will not be liable.
c. The state of sanity of the insured is relevant in cases of suicide in order to hold the
insurer liable.
d. The state of sanity of the insured is irrelevant in cases of suicide in order to hold the
insurer liable.
34. X, a minor, contracted an insurance on his own life. Which statement is most accurate?

a. The life insurance policy is void ab initio.

b. The life insurance is valid provided it is with the consent of the beneficiary.
c. The life insurance policy is valid provided the beneficiary is his estate or his parents,
or spouse or child.
d. The life insurance is valid provided the disposition of the proceeds will be subject to
the approval of the legal guardian of the minor.
35. The "incontestability clause" in a Life Insurance Policy means --a. that life insurance proceeds cannot be claimed two (2) years after the death of the
insured.
b. that two (2) years after date of issuance or reinstatement of the life insurance policy,
the insurer cannot anymore prove that the policy is void ab initio or rescindable by
reason of fraudulent concealment or misrepresentation of the insured.
c. that the insured can still claim from the insurance policy after two (2) years even
though premium is not paid.
d. that the insured can only claim proceeds in a life insurance policy two (2) years after
death.
36. For both the Life Insurance and Property Insurance, the insurable interest is required to be a. existing at the time of perfection of the contract and at the time of loss.
b. existing at the time of perfection and at the time of loss for property insurance but
only at the time of perfection for life insurance.
c. existing at the time of perfection for property insurance but for life insurance both at
the time of perfection and at the time of loss.
d. existing at the time of perfection only.
37. A house and lot is covered by a real estate mortgage (REM) in favor of ZZZ Bank. The bank
required that the house be insured. The owner of the policy failed to endorse nor assign the
policy to the bank. However, the Deed of Real Estate Mortgage has an express provision
which says that the insurance policy is also endorsed with the signing of the REM. Will this
be sufficient?
a. . No, insurance policy must be expressly endorsed to the bank so that the bank will
have a right in the proceeds of such insurance in the event of loss.
b. The express provision contained in the Deed of Real Estate Mortgage to the effect
that the policy is also endorsed is sufficient.
c. Endorsement of Insurance Policy in any form is not legally allowed.

d. Endorsement of the Insurance Policy must be in a formal document to be valid.

38. X is a passenger of a jeepney for hire being driven by Y. The jeepney collided with another
passenger jeepney being driven by Z who was driving recklessly. As a result of the collision,
X suffered injuries. Both passenger jeepneys are covered by Comprehensive Motor
Vehicular Insurance Coverage. If X wants to claim under the "no fault indemnity clause", his
claim will lie a. against the insurer of the jeepney being driven by Z who was the one at fault.
b. the claim shall lie against the insurer of the passenger jeepney driven by Y because
X was his passenger.
c. X has a choice against whom he wants to make his claim.
d. None of the above.
39. X insured the building she owns with two (2) insurance companies for the same amount. In
case of damage, a. X can not claim from any of the two (2) insurers because with the double insurance,
the insurance coverage becomes automatically void.
b. the two (2) insurers will be solidarily liable to the extent of the loss.
c. the two (2) insurers will be proportionately liable.
d. X can choose who he wants to claim against.
40. When X insured his building, X indicated in the application that it is a residential building, but
actually the building was being used as a warehouse for some hazardous materials. What is
the effect on the insurance policy, i f any?
a. The insurance policy can be cancelled because of the change in the use.
b. The insurance policy will automatically be changed.
c. The insurance policy need not be changed.
d. The insurance policy is fixed regardless of the change in the use.
41. X owned a house and lot. X insured the house. The house got burned. Then he sold the
partially burnt house and the lot to Y. Which statement is most accurate?
a. X is not anymore entitled to the proceeds of the insurance policy because he already
sold the partially burnt house and lot.
b. X is still entitled to the proceeds of the insurance policy because what is material is
that at the time of the loss, X is the owner of the house and lot.

c. No one is entitled to the proceeds because ownership over the house and lot was
already transferred.
d. Y will be the one entitled to the proceeds because he now owns the partially burnt
house and lot.
42. X, while driving his Toyota Altis, tried to cross the railway tract of Philippine (xxx line 2 unread
text xxx) approached Blumentritt Avenida Ext., applied its horn as a warning to all the
vehicles that might be crossing the railway tract, but there was really nobody manning the
crossing. X was listening to his lpod touch, hence, he did not hear the sound of the horn of
the train and so his car was hit by the train. As a result of the accident, X suffered some
injuries and his car was totally destroyed as a result of the impact. Is PNR liable?
a. PNR is not liable because X should have known that he was crossing a place
designated as crossing for train, and therefore should have been more careful.
b. PNR is liable because Railroad companies owe to the public a duty of exercising a
reasonable degree of care to avoid injury to person and property at railroad crossings
which means a flagman or a watchman should have been posted to warn the public
at all times.
c. PNR is not liable because it blew its horn when it was about to cross the railway
along Blumentritt Avenida Ext.
d. PNR is not liable because X was negligent, for listening to his lpod touch while
driving.
43. The AAA Bus Company picks up passengers along EDSA. X, the conductor, while on board
the bus, drew his gun and randomly shot the passengers inside. As a result, Y, a passenger,
was shot and died instantly. Is AAA Bus Company liable?
a. The bus company is not liable for as long as the bus company can show that when
they hired X, they did the right selection process.
b. The bus company cannot be held liable because what X did is not part of his
responsrbility.
c. The bus company is liable because common carriers are liable for the negligence or
willful act of its employees even though they acted beyond the scope of their
responsibility.
d. The bus company is not liable because there is no way that the bus company can
anticipate the act of X.
44. X is a trader of school supplies in Calapan, Oriental Mindoro. To bring the school supplies to
Calapan, it has to be transported by a vessel. Because there were so many passengers, the
two (2) boxes of school supplies were loaded but the shipping company was not able to
issue the Bill of Lading. So, on board, the Ship Captain issued instead a "shipping receipt" to
X indicating the two (2) boxes of school supplies being part of the cargo of the vessel. Which
phrase therefore, is the most accurate?

a. the owner of the vessel is not liable because no bill of lading was issued to X hence,
no contract of carriage was perfected.
b. it is possible to have a contract of carriage of cargo even without a bill of lading, and
the "shipping receipt" would be sufficient.
c. the only acceptable document of title is a Bill of Lading.
d. None of the above.
45. X took Philippine Airlines Flight PR 102 to Los Angeles, USA. She had two (2) luggage
checked-in and was issued two (2) baggage checks. When X reached Los Angeles one (1)
of the two (2) checked in luggage could not be found. Which statement is most accurate?
a. PAL is liable for the loss of the checked- in luggage under the provisions of the
Warsaw Convention on Air Transport.
b. PAL is liable for the loss only if the baggage check expressly states that the airline
shall be liable in case of loss.
c. PAL cannot be held liable because that is the risk that a passenger takes when she
checks- in her baggage.
d. PAL can only be held liable if it can be proven that PAL was negligent.
46. X owns a passenger jeepney covered by Certificate of Public Convenience. He allowed Y to
use its Certificate of Convenience for a consideration. Y therefore was operating the
passenger jeepney under the same Certificate of Public Convenience (Kabit System) under
the name of X. The passenger jeepney met an accident. Who will be liable?
a. Y, the one actually operating the jeepney, will be liable to the injured party.
b. X will be the one liable to the injured party despite the fact that it is Y who is actually
operating the jeepney, because while the Kabit System is tolerated, the public should
not be inconvenienced by the arrangement.
c. X will not be held liable if he can prove that he is not the owner anymore.
d. Public Policy dictates that the real owner, even not the registered one, will be held
liable.
47. X owns a fleet of taxicabs. He operates it through what is known as boundary system. Y
drives one of such taxicabs and pays X a fixed amount of Php1 ,000 daily under the
boundary system. This means that anything above Php1 ,000 would be the earnings of Y. Y,
driving recklessly, hit an old lady crossing the street. Which statement is most accurate?
a. X as the owner is exempt from liability because he was not the one driving.
b. X as the owner is exempt from liability because precisely the arrangement is one
under the "boundary system".

c. X will not be exempt from liability because he remains to be the registered owner and
the boundary system will not allow the circumvention of the law to avoid liability.
d. Y is the only one liable because he drove recklessly.
48. The Articles of Incorporation of AAA Corporation was approved by the Securities and
Exchange Commission (SEC). After the receipt of the Certificate of Approval from the SEC,
AAA Corporation decided to immediately start the operation of its business despite the fact
that it has no approved By-Laws. What is the legal status of the AAA Corporation?
a. A de jure corporation;
b. A de facto corporation;
c. A corporation by estoppel;
d. An unregistered corporation.
49. X, the President of ZZZ Corporation, was authorized by the Board of Directors of ZZZ
Corporation to obtain a loan from YYY Bank and to sign documents in behalf of the
corporation. X personally negotiated for the loan and got tile loan at very low interest rates.
Upon maturity of the loan, ZZZ Corporation was unable to pay. Which statement is most
accurate?
a. Because X was personally acting in behalf of the Corporation, he can be held
personally liable.
b. X, as President, cannot be personally held liable for the obligation of the corporation
even though he signed all the loan documents, because the loan was authorized by
the Board.
c. YYY Bank can choose as to who it wants to hold liable for the loan.
d. If ZZZ Corporation cannot pay, X can be held subsidiarity liable.
50. X owns 99% of the capital stock of SSS Corporation. X also owns 99% of TTT Corporation.
SSS Corporation obtained a loan from VW Bank. On due date, SSS Corporation defaulted.
TTT Corporation is financiallyhealthy. Which statement is most accurate?
a. X being a controlling owner of SSS Corporation can automatically be held personally
liable for the loan of SSS Corporation.
b. TTT Corporation, owned 99% by X, can automatically be held liable.
c. SSS Corporation and TTT Corporation, although both are owned by X, are two (2)
distinct corporations with separate juridical personalities hence, the TTT Corporation
cannot automatically be held liable for the loan of SSS Corporation.
d. The principle of piercing the veil of corporate fiction can be applied in this case.

51. A corporation generally can issue both par value stock and no par value stock. These are all
fixed in the Articles of Incorporation of the corporation. Which of the following corporations
may not be allowed to issue no par value shares?
a. Insurance companies;
b. Banks;
c. Trust companies;
d. All of the above.
52. Father X, an American priest who came from New York, registered the Diocese of Bacolod of
the Roman Catholic Church which was incorporated as a corporation sole. There were years
when the head of the Diocese was a Filipino, but there were more years when the heads
were foreigners. Today, the head is an American again. Y donated a piece of land located in
Bacolod City for use as a school. Which statement is most accurate?
a. The Register of Deeds of Bacolod City can refuse to register and transfer the title
because the present head of the corporation sole is not a Filipino.
b. The nationality of a corporation sole depends upon the nationality of the head at any
given time.
c. A corporation sole, regardless of the nationality of the head, can acquire real property
either by sale or donation.
d. A corporation sole is not legally allowed to own real property.
53. The number of the Board of Trustees of a non-stock, non-profit educational institution should
be --a. five (5) only
b. any number for as long as it is not less than five (5) and no more than eleven (11)
c. any number in multiples of five (5), for as long as it is not less than five (5) and no
more than fifteen (15).
d. not less than five (5) nor more than ten (1 0) in multiples of five (5).
54. X subscribed 10,000 shares in the capital stocks of AAA Corporation. He paid 50% of the
10,000 shares. X asked the Corporate Secretary to issue him the corresponding stock
certificate representing the 50% of what he already paid. The Corporate Secretary of the
corporation refused. Was the Corporate Secretary correct?
a. The Corporate Secretary is correct because the Corporation Code provides that no
certificate of stock shall be issued to a subscriber until the shares as subscribed have
been fully paid.

b. The Corporate Secretary cannot refuse because a Stock Certificate can be issued
corresponding to the percentage of shares which were paid.
c. The Corporate Secretary cannot refuse because a Certificate of Stock can be issued
provided it is indicated in the Certificate the actual percentage of what has been paid.
d. The Corporate Secretary cannot refuse because it is his legal duty to issue a stock
certificate corresponding to the number of shares actually subscribed regardless of
the actual payment.
55. XXX Corporation and YYY Corporation have agreed to be merged into one corporation. To
facilitate the merger, both corporations agreed that the merger be made effective on May
31,2012. The Securities and Exchange Commission (SEC) approved the Articles of Merger
on June 30, 2012. Which statement is most accurate?
a. The effective date of the merger is May 31, 2012, the date stipulated by the parties
as the effective date.
b. The effective date of the merger is always the date of the approval of the Articles of
Merger by the SEC.
c. The effective date of the merger would be the date approved by the Board of
Directors and the stockholders.
d. The stockholders and the Board of Directors can set the effective date of the merger
anytime after the approval of the SEC.
56. AAA Corporation is a wholly owned subsidiary of BBB Corporation. To support the business
of AAA Corporation, BBB Corporation agreed to give its corporate guarantee to the loan of
AAA Corporation. What is required so that the corporate guarantee will be valid?
a. It only requires the approval of the Board of Directors of BBB Corporation.
b. The Articles of Incorporation must provide such power and be approved by the Board
of Directors.
c. Providing corporate guarantee to another corporation is a necessary exercise of
power of a corporation.
d. It would require both the approval of the Board of Directors and the stockholders on
record.
57. The capital stock of ABC Corporation is divided into common shares and preferred shares.
Preferred shares are preferred as to dividends and common shares are those shares which
have the regular and ordinary attributes of a share of a corporation. Which statement is most
accurate?
a. This kind of classification may not be allowed or else it will violate the Doctrine of
Equality of shares.

b. Classifications of shares may be allowed for as long as it is clearly stated as such in

the Articles of Incorporation of the Corporation.
c. Classifications of shares is mainly for business purpose to attract investors.
d. Classifications of shares may be allowed with the approval of the stockholders and
the Board of Directors.
58. ABC Corporation declared stock dividends to its stockholders. The stock dividends were
approved by the Board of Directors of ABC Corporation. In the subsequent year however, the
Board again approved the redemption of all stock dividends and to pay the shareholdings in
cash. Which statement is most accurate?
a. The redemption of the stock dividends can be validly approved by the Board without
any conditions.
b. The redemption of stock dividends may only be allowed if there are sufficient
earnings and should not be violative of the trust fund doctrine.
c. The redemption of the shares may be taken from the existing property and other
assets of the corporation.
d. None of the above.
59. X sold all his shares in AAA Hotel Corporation to Y. X owns 99% of AAA Hotel Corporation.
As the new owner, Y wanted a reorganization of the hotel which is to include primarily the
separation of all existing employees and the hiring of new employees. Which statement is
most accurate?
a. With the change in ownership, in effect there is a new juridical entity and therefore all
employees are considered separated.
b. Despite the change in shareholder, there is actually no change in the juridical entity
and therefore existing employees can not automatically be considered separated.
c. Y, as the new shareholder, has the right to retain only those employees who in his
judgment are qualified.
d. For as long as the existing employees are given their separation pay, they can be
terminated.
60. South China Airlines is a foreign airline company. South China Airlines tickets are sold in the
Philippines though Philippine Airlines as their general agent. South China Airlines is not
registered to do business as such with the Philippine Securities and Exchange Commission.
Which statement is most accurate?
a. Although unlicensed to do business in the Philippines, South China Airlines can sue
before the Philippine Courts and can also be sued.
b. South China Airlines can sue but cannot be sued.

c. South China Airlines cannot sue and cannot be sued also.

d. South China Airlines can be sued in Philippine Courts but cannot sue.
61. So that ABC Corporation could venture into more projects, it needed to raise funds by
issuing new shares to increase its capitalization. X, Y, Z, J and G are the five existing
shareholders of the company. They hold 20% each. How will the additional shares be divided
among the existing shareholders?
a. The existing shareholders can subscribe to the new shares equivalent to their
existing shareholdings because the Corporation Code provides that each of the
existing stockholders will have preemptive rights to the extent of their existing
shareholdings.
b. The existing shareholders' preemptive rights is equivalent to the percentage that they
want.
c. Each of the existing shareholder can exercise their right of first refusal against each
other.
d. Preemptive rights and right of first refusal are one and the same.
62. If ABC Corporation will increase its authorized capital stock, the Corporation Code requires a. the approval of the majority of the Board of Directors only.
b. the approval of the majority of the stockholders and the Board of Directors.
c. the approval of 2/3 of the shareholders of the outstanding capital stock as well as the
approval of the Securities and Exchange Commission.
d. the approval of the majority of the Board of Directors and approval of the
shareholders holding 2/3 share of the outstanding capital stock.
63. X is a minority stockholder of CCC Corporation. Y is a member of the Board of Directors of
CCC Corporation and at the same time he is the President. X believes that Y is mismanaging
CCC Corporation hence, as a stockholder and in behalf of the other stockholders, he wanted
to sue Y. Which statement is most accurate?
a. X can institute a derivative suit in behalf of himself as a stockholder.
b. A derivative suit must be instituted in behalf of the corporation.
c. Derivative suit is an exclusive remedy that X can institute.
d. Derivative suit is not the remedy in this situation.
64. The term GGG Corporation in accordance with its Articles of Incorporation ended last
January 30, 2012. The term was not extended. What will happen to the corporation?

a. The corporation is dissolved ipso facto.

b. There is a need to pass a board resolution to formally dissolve the corporation.
c. The Board of Directors must pass a resolution for the corporation to formally go into
liquidation.
d. The stockholders must pass a resolution to dissolve the corporation.
65. The term of one (1) year of the Board of Directors of AAA Corporation expired last February
15, 2012. No new election of the Board of Directors was called, hence, the existing members
of Board continue as Directors in hold over capacity. Which statement is most accurate?
a. This is allowed provided there is a valid and justifiable reason for not calling for an
election of the new members of the Board.
b. This is not allowed because the term of the directors must only be for one (1) year.
c. The positions of the members of the Board of Directors will be automatically declared
vacant.
d. Acting as members of the Board of Directors in a hold over capacity must be ratified
by the stockholders.
66. AAA Corporation is a foreign corporation that wants to operate a representative office here in
the Philippines. As required by the Corporation Code, there is a need to appoint a Resident
Agent as a condition precedent to the issuance of a license to transact business in the
Philippines. After two (2) years, AAA Corporation removed its Resident Agent and did not
appoint anyone anymore. Which statement is the most accurate?
a. This can be a ground for revocation or suspension of its license to do business.
b. There is no more effect in the license because anyway at the time of registration, a
resident agent was appointed.
c. This can be a ground for suspension only.
d. This will result in automatic revocation of its license to do business in the Philippines.
67. The By-laws of ABC Corporation is silent as to when a stockholder can be qualified to attend
the meeting of the stockholders. The Corporate Secretary sent out the notice of the
stockholders meeting two (2) days before the meeting and at that time X was not yet a
stockholder. On the day of the meeting, however, X became a shareholder which was duly
recorded in the stock and transfer book. Which statement is most accurate?
a. X is a stockholder of ABC Corporation as of the time of meeting of the stockholders
for the purpose of electing the members of the board.
b. X is not qualified to elect members of the board because at the time the notice of the
meeting was sent, she was not yet a stockholder.

c. Qualifications as to who are considered as stockholders on record for purposes of

being able to elect members of the board are to be determined by the By-laws alone.
d. None of the above.
68. X, who is the Executive Vice President of ABC Corporation, a listed company, can be held
liable or guilty of insider trading if, he a. bought shares of ABC Corporation when it was planning to acquire another company
to improve its asset base, the news of which increased the price of the shares in the
Stock Exchange.
b. bought shares of XYC Corporation, a sister company of ABC Corporation when he
learned that XYC Corporation was about to also list its share in the Philippine Stock
Exchange.
c. bought shares of ZZZ Corporation when he learned that ABC Corporation would
acquire ZZZ Corporation.
d. All of the above.
69. The purpose of the "Tender Offer" Rule is to a. ensure an even playing field for all shareholders of a company in terms of opportunity
to sell their shareholdings.
b. ensure that minority shareholders in a publicly listed company are protected in the
sense that they will equally have the same opportunity as the majority shareholders
in terms of selling their shares.
c. ensure that the shareholders who would also want to sell their shareholdings will
have the opportunity for a better price.
d. All of the above.
70. Section 38 of The Securities Regulation Code defines an independent director as a person
who must not have a relation with the corporation which would interfere with his exercise of
independent judgment in carrying out the responsibilities of a director. To ensure
independence therefore, he must be a. nominated and elected by the entire shareholders;
b. nominated and elected by the minority shareholders;
c. nominated and elected by the majority shareholders;
d. appointed by the Board.
71. "Securities" issued to the public are required by law to be registered with -

a. the Bangko Sentral ng Pilipinas;

b. the Philippine Stock Exchange;
c. the Securities and Exchange Commission;
d. the Securities and Exchange Commission and the Philippine Stock Exchange.
72. The government agency granted with the power of supervision and examination over banks
and non-bank financial institutions performing quasi-banking functions, to ensure that the
conduct of its business is on a sound financial basis that will provide continued solvency and
liquidity is a. The Philippine Deposit Insurance Corporation;
b. The Bangko Sentral ng Pilipinas;
c. The Anti-Money Laundering Council;
d. The Securities and Exchange Commission.
73. X maintains a savings deposit in the amount of Php1 Million with ABC Bank Corporation. X
also has obtained a loan from ABC Bank Corporation in the amount of Php1 Million. In case
of default,
a. ABC Bank can set-off the loan from the savings account being maintained by X with
ABC Bank.
b. Set-off is not possible because legal compensation is not allowed in banking
transaction.
c. Deposit accounts are usually earmarked for specific purpose hence offsetting is not
legally possible.
d. Off -setting is not possible because the obligation of X is a "simple loan".
74. XYZ Corporation is engaged in lending funds to small vendors in various public markets. To
fund the lending, XYZ Corporation raised funds through borrowings from friends and
investors. Which statement is most accurate?
a. XYZ Corporation is a bank.
b. XYZ Corporation is a quasi-bank.
c. XYZ Corporation is an Investment Company.
d. XYZ is none of the above.
75. XXX Bank Corporation and ZZZ Corporation were merged into XX ZZ Bank Corporation. So
as not to create any unnecessary conflict, all the former directors of both banks wanted to be

appointed /elected as members of the Board of Directors of the merged bank. Each bank
used to have eleven (11) members of the board. The maximum number of directors of the
merged bank is a. 15;
b. 22;
c. 21;
d. 11.
76. All senior officers of ABC Bank are entitled to obtain a housing loan. X is an Executive Vice
President for Operations of ABC Bank. She obtained a housing loan with the ABC Bank.
Which statement is most accurate?
a. The housing loan of X requires a guarantor from somebody who is not connected
with the bank.
b. The housing loan of X requires the approval of the Board of Directors of the bank.
c. The housing loan of X, being a benefit for employees, does not require (a) but will
require (b).
d. The housing loan of X, being a benefit for employees, will not require (a) and (b).
77. ABC Holdings Company, a Hong Kong company, owns 10% of XYZ Bank. Because of the
peace and order situation in the Philippines, ABC Holding Company wanted to sell its
shareholdings in XYZ Bank. Unfortunately, nobody is interested to buy a 1 0% shareholdings
in a bank. The board of directors of XYZ Bank thought that it would be a good idea to buy
back the shares owned by ABC Holding Company. Which statement is most acurate?
a. Buying back the shares by XYZ Bank is absolutely not allowed.
b. Buying back the shares may be allowed provided it is with the approval of the
Monetary Board and disposed of within six (6) months.
c. Buying back the shares may be allowed provided such shares 'will be disposed of
within ten (1 0) years.
d. Buying back the shares may be done anytime provided the Board of Directors will
approve the same.
78. X is being charged for violation of Anti-Graft and Corrupt Practices because he is suspected
of having accumulated unexplained wealth. X maintains deposit accounts with ABC Bank.
The Ombudsman filed criminal cases against X before the Sandiganbayan. Can the Court
issue subpoenas against ABC Bank to produce all documents pertaining to all the deposit
accounts of X?
a. Yes, because there is already a pending case and provided the subpoena must be
specific as to which account.

b. Yes, it is enough that the specific bank is identified.

c. No, because the issuance of the subpoena has no real legal basis.
d. Even without a subpoena, information about the deposit accounts of X can be
submitted to the Sandiganbayan because it will be used in a pending case.
79. X, a private individual, maintains a dollar deposit with ABC Bank. X is suspected to be the
leader of a Kidnap for Ransom Gang and he is suspected of depositing all ransom money in
said deposit account which are all in US Dollars. The police want to open said account to
know if there are really deposits in big amounts. Which statement is most accurate?
a. The same rules under Secrecy of Bank Deposit Act will apply.
b. An approval from the Monetary Board is necessary to open the account.
c. Because the deposit is in US Dollars, it is covered by the Foreign Currency Deposit
Act which allows disclosure only upon the written persmission of the depositor.
d. Approval from the Court is necessary to order disclosure of the account.
80. X is a depositor of AAA Bank. She has three (3) deposit accounts all under her name. One,
in checking account, one in saving account and another one in time deposit account. Each
account has a balance of Php250,000. AAA Bank became insolvent. Philippine Deposit
Insurance Corporation closed the Bank. X therefore is unable to withdraw from all of the
accounts. She then filed her claims with the Philippine Deposit Insurance Corporation. Which
statement is most accurate?
a. X can claim a total of Php500,000 for all the three (3) accounts.
b. X can only claim from one (1) account of Php250,000.
c. X can claim a total of Php750,000 from all the three (3) accounts.
d. X cannot claim anything from any of the deposit accounts.
81. The Bank Secrecy Law (RA 1405) prohibits disclosing any information about deposit records
of an individual without court order except a. in an examination to determine gross estate of a decedent.
b. in an investigation for violation of Anti-Graft and Corrupt Practices.
c. in an investigation by the Ombudsman.
d. in an impeachment proceeding.
82. X works as a research computer engineer with the Institute of Computer Technology, a
government agency. When not busy with his work, but during office hours, he developed a
software program for law firms that will allow efficient monitoring of the cases, which software

program is not at all related to his work. Assuming the program is patentable, who has the
right over the patent?
a. x;
b. Institute of Computer Technology;
c. Neither X nor the Institute of Computer Technology can claim patent right over the
invention;
d. X and the employer of X will jointly have the rights over the patent.
83. The "test of dominancy" in the Law on Trademarks, is a way to determine whether there
exists an infringement of a trademark by a. determining if the use of the mark has been dominant in the market.
b. focusing on the similarity of the prevalent features of the competing marks which
might create confusion.
c. looking at the mark whether they are similar in size, form or color.
d. looking at the mark whether there is one specific feature that is dominant.
84. X's painting of Madonna and Child was used by her mother to print some personalized gift
wrapper. As part of her mother's efforts to raise funds for Bantay Bata, the mother of X sold
the wrapper to friends. Y, an entrepeneur, liked the painting in the wrapper and made many
copies and sold the same through National Bookstore. Which statement is most accurate?
a. Y can use the painting for his use because this is not a copyrightable material.
b. X can sue Y for infringement because artistic works are protected from moment of
creation.
c. Works of art need to be copyrighted also to get protection under the law.
d. Y can use the drawing even though not copyrighted because it is already a public
property having been published already.
85. Compulsory Licensing of Inventions which are duly patented may be dispensed with or will
be allowed exploitation even without agreement of the patent owner under certain
circumstances, like national emergency, for reason of public interest, like national security,
etc. The person who can grant such authority is a. the Director General of the Intellectual Property Office;
b. the Director of Legal Affairs of the Intellectual Property Office;
c. the owner of the Patent right;

d. any agent of the owner of the Patent right.

86. The Fair Use Doctrine allows others to utilize copyrighted works under certain conditions.
The factors to consider whether use is fair or not would be the purpose and character of the
use, nature of the copyrighted work, amount and substantiality of the portions used, and
what else?
a. effect of the use upon the creator of the work.
b. effect of the use upon the potential market of the work.
c. effect of the use upon the public in general.
d. effect of the use upon the class in which the creator belongs.
87. Which phrase best completes the statement - A chattel mortgage can be constituted to
secure:
a. obligations both past and future;
b. obligations existing at the time the mortgage is constituted;
c. future obligations only;
d. past obligations only.
88. Which phrase best completes the statement - A chattel mortgage can cover:
a. only property described in the deed without exception;
b. can also cover substituted property;
c. properties described in the deed except in case of stock in trade being a substitute;
d. after acquired property.
89. Which phrase best completes the statement - The Deed of Chattel mortgage, if not
registered with the Register of Deeds where debtor resides:
a. is not valid, hence not binding between the mortgagor and the mortgagee;
b. is binding between the mortgagor and the mortgagee but will not affect third party;
c. to be valid between the mortgagor and the mortgagee, it must be coupled with the
delivery of the subject matter of the chattel mortgage;
d. is as if a non-existent chattel mortgage.
90. Which phrase best completes the statement - To bind third parties, a chattel mortgage of
shares of stock must be registered:

a. with the Register of Deeds where the debtor resides;

b. with the Register of Deeds where the principal office of the corporation is;
c. in the Stock and Transfer Book of the corporation with the Corporate Secretary;
d. with the Register of Deeds where the debtor resides and the principal office of the
corporation.
91. Which phrase best completes the statement - The affidavit of good faith in a Deed of Chattel
Mortgage is:
a. an oath where the parties swear that the mortgage is made for the purpose of
securing the obligations specified and that the obligation is just and valid;
b. an affidavit, the absence of which will vitiate the mortgage between the parties;
c. necessary only if the chattel being mortgaged are growing crops;
d. a certification from the mortgagor that he is the mortgagor of the chattel.
92. X defaulted in his loan with Y. Y instituted extra-judicial foreclosure of the property subject of
a real estate mortgage that secured the loan. X has one year within which to redeem the
property. After the foreclosure, X filed an action questioning the validity of the extra- judicial
foreclosure sale. Which statement is most accurate?
a. The one (1) year period within which to redeem will be interrupted by the filing of an
action questioning the validity of the foreclosure.
b. The one (1) year period will not be interrupted by the filing of the action.
c. The one (1) year period will be extended for another year because of the filing of an
action questioning the validity of the foreclosure sale.
d. If the action which questions the validity of the foreclosure prospers, the period will
be interrupted.
93. What is the effect if the. proceeds in an extra-judicial foreclosure sale is not sufficient to pay
for the obligation?
a. the mortgagee can claim for deficiency judgment from the debtor.
b. the mortgagee can claim for deficiency judgment from the mortgagor even though it
is a third party mortgage.
c. the mortgagee has no more recourse or claim against the debtor.
d. the mortgagee cannot claim for deficiency judgment from the debtor because its an
extrajudicial foreclosure.

94. X mortgaged her residential house and lot in favor of ABC Bank. X defaulted in her loan and
so the bank foreclosed the real estate mortgage on the residential house. Y then bought the
residential house and lot before the expiration of the redemption period. Can Y now take
possession of the property?
a. No, because it is still covered by the redemption period and the purchaser is not yet
entitled as a matter of right to take possession of the property.
b. Yes, the purchaser is now entitled to the possession of the house.
c. No, because there is a need to talk to X to leave the house.
d. No, because Y was not the one who foreclosed the mortgage on the property.
95. Which phrase best completes the statement - When a debt is secured by a real estate
mortgage, upon default of the debtor:
a. the only remedy of the creditor is to foreclose the real estate mortgage;
b. another remedy is filing an action for collection and then foreclose if collection is not
enough;
c. the creditor can foreclose the mortgage and demand collection for any deficiency;
d. None of the above.
96. XYZ Corporation bought ten (1 0) units of Honda Civic from CCC Corporation. ABC Bank
granted a loan to XYC Corporation which executed a financing agreement which provided for
the principal amount, the installment payments, the interest rates and the due dates. On due
dates of the installment payments, XYZ Corporation was asked to pay for some handling
charges and other fees which were not mentioned in the Financing Agreement. Can XYC
Corporation refuse to pay the same?
a. No, because handling charges and other fees are usual in certain banking
transactions.
b. Yes, because ABC Bank is required to provide XYZ Corporation not only the amount
of the monthly installments but also the details of the finance charges as required by
the Truth in Lending Act.
c. No, because the Finance Agreement is a valid document to establish the existence of
the obligation.
d. Yes, because legally, finance charges are never allowed in any banking transaction.
97. Which of the following is an exception to the secrecy of bank deposits which are in Philippine
Pesos, but NOT an exception to the secrecy of foreign currency deposits?
a. Upon Bangko Sentral ng Pilipinas (SSP) inquiry into or examination of deposits or
investments with any bank, when the inquiry or examination is made in the course of

the SSP's periodic special examination of said bank to ensure compliance with the
Anti-Money Laundering Act (AMLA);
b. Upon Philippine Deposit Insurance Corporation (PDIC) and SSP inquiry into and
examination of deposit accounts in case there is a finding of unsafe or unsound
banking practice;
c. Upon inquiry in cases of impeachment;
d. Upon inquiry by the Commissioner of Internal Revenue in the event a taxpayer files
an application to compromise his tax liabilities on the ground of financial incapacity.
98. The Anti-Money Laundering Law is a law that seeks to prevent money laundering activities
by providing for more transparency in the Philippine Financial System, hence the following
institutions are covered by the law, except:
a. bank and any financial institutions;
b. pawnshops;
c. casino operators;
d. All of the above.
99. For purposes of determining violation of the prov1s1ons of Anti-Money Laundering Law, a
transaction is considered as a "Suspicious Transaction" with "Covered Institutions"
regardless of the amount involved, where which the following circumstances exist/s?
a. the amount involved is not commensurate with the client's business or financial
capacity;
b. there is no underlying legal or trade obligation, purpose or economic justification;
c. client is not properly identified;
d. All of the above.
100.
The main feature of the Foreign Investment Act of 1991 is to introduce the concept of
"Negative Lists". Under the said law, what is a "Negative List"?
a. It is a list of business activities or enterprises in the Philippines that foreigners are
disqualified to engage in.
b. It is a list of business activities or enterprises in the Philippines that foreigners are
qualified to engage in.
c. It is a list of business activities or enterprises that are open to foreign investments
provided it is with the approval of the Board of Investment.

d. It is a list of business activities or enterprises that are open to foreign investments

provided it is with the approval of the Securities and Exchange Commission.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE HEAD WATCHER.

2012 BAR EXAMINATIONS

CRIMINAL LAW
21 October 2012

10 A.M. - 12 NN.
Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered I to X) contained in FIVE (5)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number may be written continuously on the same page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SIX (6) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
MERCANTILE LAW
I

ABC Company filed a Petition for Rehabilitation with the Court. An Order was issued by the Court,
(1) staying enforcement of all claims, whether money or otherwise against ABC Company, its
guarantors and sureties not solidarily liable with the company; and (2) prohibiting ABC Company
from making payments of its liabilities, outstanding as of the date of the filing of the Petition. XYC
Company is a holder of an irrevocable Standby Letter of Credit which was previously procured by
ABC Company in favor of XYC Company to secure performance of certain obligations. In the light of
the Order issued by the Court.
a. Can XYC Company still be able to draw on their irrevocable Standby Letter of Credit when
due? Explain your answer. (5%)
b. Explain the nature of Letters of Credit as a financial devise. (5%)
II
CCC Car, Inc. obtained a loan from BBB Bank, which fund was used to import ten (10) units of
Mercedes Benz S class vehicles. Upon arrival of the vehicles and before release of said vehicles to
CCC Car, Inc., X and Y, the President and Treasurer, respectively, of CCC Car, Inc. signed the Trust
Receipt to cover the value of the ten (10) units of Mercedes Benz S class vehicles after which, the
vehicles were all delivered to the Car display room of CCC Car, Inc. Sale of the vehicles were slow,
and it took a month to dispose of the ten (10) units. CCC Car, Inc. wanted to be in business and to
save on various documentations required by the bank, decided that instead of turning over the
proceeds of the sales, CCC Car, Inc. used the proceeds to buy another ten (10) units of BMW 3
series.
a. Is the action of CCC Car, Inc. legally justified? Explain your answer. (5%)
b. Will the corporate officers of CCC Car, Inc. be held liable under the circumstances? Explain
your answer. (5%)
III
X borrowed money from Y in the amount of Php1Million and as payment, issued a check. Y then
indorsed the check to his sister Z for no consideration. When Z deposited the check to her account,
the check was dishonored for insufficiency of funds.
a. Is Z a holder in due course? Explain your answer. (5%)
b. Who is liable on the check. The drawer or the indorser? Explain your answer. (5%)
IV
Indicate and explain whether the promissory note is negotiable or non-negotiable.
a. I promise to pay A or bearer Php100,000.00 from my inheritance which I will get after the
death of my father. (2%)
b. I promise to pay A or bearer Php100,000 plus the interest rate of ninety (90) day treasury
bills. (2%)
c. I promise to pay A or bearer the sum of Php100,000 if A passes the 2012 bar exams. (2%)

d. I promise to pay A or bearer the sum of Php100.000 on or before December 30, 2012. (2%)
e. I promise to pay A or bearer the sum of Php100,000. (2%)
V
X borrowed from CCC Bank. She mortgaged her house and lot in favor of the bank. X insured her
house. Tt1e bank also got the house insured.
a. Is this double insurance? Explain your answer. (3%)
b. Is this legally valid? Explain your answer. (3%)
c. In case of damage, can X and CCC Bank separately claim for the insurance proceeds? (4%)
VI
X is a Filipino immigrant residing in Sacramento, California. Y is a Filipino residing in Quezon City,
Philippines. Z is a resident alien residing in Makati City. GGG Corporation is a domestic corporation 40% owned by foreigners and 60% owned by Filipinos, with T as authorized representative. CCC
Corporation is a foreign corporation registered with the Philippine Securities and Exchange
Commission. KKK Corporation is a domestic corporation (100%) Filipino owned. S is a Filipino, 16
years of age, arid the daughter of Y.
a. Who can be incorporators? Who can be subscribers? (2%)
b. What are the differences between an incorporator and a subscriber, if there are any? (2%)
c. Who are qualified to become members of the board of directors of the corporation? (2%)
d. Who are qualified to act as Treasurer of the company? (2%)
e. Who can be appointed Corporate Secretary? (2%)
VII
X obtained a loan for Php50Million from SSS Bank. The collateral is his vacation house in Baguio
City under a real estate mortgage. X needed more funds for his business so he again borrowed
another Php10Million, this time from BBB Bank, another bank, using the same collateral. The loan
secured from SSS Bank fell due and X defaulted.
a. If SSS Bank forecloses the real estate mortgage, what rights, if any, are left with 888 Bank as
mo1igagee also? (2%)
b. If the value of the Baguio property is less than the amount of loan, what would be the
recourse of SSS Bank? BBB Bank? (2%)
c. If the value of the property is more that the amount of the loan, who will benefit from the
excess value of the property? (2%)

d. If X defaulted with its loan in favor of BBB Bank but fully paid his loan with SSS Bank, can
BBB Bank foreclose the real mortgage executed in its favor? (2%)
e. Does X have any legal remedy after the foreclosure in the event that later on he has the
rnoney to pay for the loan? (1%)
f.

If SSS Bank and BBB Bank abandon their rights under the real estate mortgage, is there any
legal recourse available to them? (1%)
VIII

X obtained a Php10Million loan from BBB Banking Corporation. The loan is secured by Real Estate
Mortgage on his vacation house in Tagaytay City. The original Deed of Real Estate Mortgage for the
Php10Million was duly registered. The Deed of Real Estate Mortgage also provides that "The
mortgagor also agrees that this mortgage will secure the payment of additional loans or credit
accommodations that may be granted by the mortgagee ... " Subsequently, because he needed
more funds, he obtained another Php5Million loan. On due dates of both loans, X failed to pay the
Php5Million but fully paid the Php10Million. BBB Banking Corporation instituted extrajudicial
foreclosure proceedings.
a. Will the extrajudicial foreclosure prosper considering that the additional Php5Million was not
covered by the registration? (5%)
b. What is the meaning of a "dragnet clause" in a Deed of Real Estate Mortgage? Under what
circumstances will the "dragnet clause" be applicable? ( 5%)
IX
A, B, C, D, E are all duly elected members of the Board of Directors of XYZ Corporation. F, the
general manager, entered into a supply contract with an American firm. The contract was duly
approved by the Board of Directors. However, with the knowledge and consent of F, no deliveries
were made to the American firm. As a result of the non-delivery of the promised supplies, the
American firm incurred damages. The American firm would like to file a suit for damages. Can the
American firm sue:
a. The members of the Board of Directors individually, because they approved the transaction?
(2%)
b. The corporation? (2%)
c. F, the general manager, personally, because the non-delivery was with his knowledge and
consent? (2%)
d. Explain the rules on liabilities of a corporation for the act of its corporate officers and the
liabilities of the corporate officers and Board of Directors of a corporation acting in behalf of
the corporation. (4%)
X
AAA Corporation is a bank. The operations of AAA Corporation as a bank was not doing well. So, to
avert any bank run, AAA Corporation, with the approval of the Monetary Board, sold all its assets

and liabilities to BBB Banking Corporation which includes all deposit accounts. In effect then, BBB
Corporation will service all deposits of all depositors of AAA Corporation.
a. Will the sale of all assets and liabilities of AAA Corporation to BBB Banking Corporation
automatically dissolve or terminate the corporate existence of AAA Corporation? Explain your
answer. (5%)
b. What are the legal requirements in order that a corporation may be dissolved? (5%)
- NOTHING FOLLOWS 2012 BAR EXAMINATIONS
CRIMINAL LAW
1. The wife of AAA predeceased his mother-in-law. AAA was accused of defrauding his motherin-law under a criminal information for estafa, but the actual recital of facts of the offense
charged therein, if proven, would constitute not only the crime of estafa, but also falsification
of public document as a necessary means for committing estafa. AAA invokes the absolutory
cause of relationship by affinity. Which statement is most accurate?
a. The relationship by affinity created between AAA and the blood relatives of his wife is
dissolved by the death of his wife and the absolutory cause of relationship by affinity
is therefore no longer available to AAA.
b. The death of.spouse does not severe the relationship by affinity which is an
absolutory cause available to AAA for estafa through falsification of public document.
c. If AAA commits in a public document the act of falsification as a necessary means to
commit estafa, the relationship by affinity still subsists as an absolutory cause for
estafa which should be considered separately from the liability for falsification of
public document because there is no specific penalty prescribed for the complex
crime of estafa through falsification of public document.
d. Considering that under the given situation, the two (2) crimes of estafa and
falsification of public document are not separate crimes but component crimes of the
single complex crime of estafa and falsification of public document, the absolutory
cause of relationship by affinity is not available to AAA.
2. Under which of the following circumstances is an accused not liable for the result not
intended?
a. Accused is not criminally liable for the result not intended when there is mistake in
the identity of the victim.
b. Accused is not criminally liable for the result not intended when there is mistake in
the blow.
c. Accused is not criminally liable for the result not intended when the wrongful act is
not the proximate cause of the resulting injury.

d. Accused is not criminally liable for the result not intended when there is mistake of
fact constituting an involuntary act.
3. Can there be a frustrated impossible crime?
a. Yes. When the crime is not produced by reason of the inherent impossibility of its
accomplishment, it is a frustrated impossible crime.
b. No. There can be no frustrated impossible crime because the means employed to
accomplish the crime is inadequate or ineffectual.
c. Yes. There can be a frustrated impossible crime when the act performed would be an
offense against persons.
d. No. There can be no frustrated impossible because the offender has already
performed the acts for the execution of the crime.
4. FF and his two (2) sons positioned themselves outside the house of the victim. The two (2}
sons stood by the stairs in front of the house, while the father waited at the back. The victim
jumped out of the window and was met by FF who instantly hacked him. The two (2) sons
joined hacking the victim to death. They voluntarily surrendered to the police. How will the
attendant circumstances be properly appreciated?
a. Treachery and abuse of superior strength qualify the killing to murder.
b. Only treachery qualifies the killing to murder because abuse of superior strength is
absorbed by treachery.
c. Treachery is the qualifying aggravating circumstance, while abuse of superior
strength is treated as a generic aggravating circumstance.
d. The qualifying circumstance of treachery or abuse of superior strength can be offset
by the mitigating circumstance of voluntary surrender.
5. Which of the following circumstances may be taken into account for the purpose of
increasing the penalty to be imposed upon the convict?
a. Aggravating . circumstances which in themselves constitute a crime specially
punishable by law.
b. Aggravating circumstances which are inherent in the crime to such a degree that
they must of necessity accompany the crime.
c. Aggravating circumstances which arise from the moral attributes of the offender.
d. Aggravating circumstances which are included by the law in defining a crime.
6. Who among the following convicts are not entitled to the benefits of the lndetermediate
Sentence Law?

a. Those who are recidivists.

b. Those whose maximum term of imprisonment exceeds one (1) year.
c. Those convicted of inciting to sedition.
d. Those convicted of misprision of treason.
7. Proposal to commit felony is punishable only in cases in which the law specifically provides a
penalty therefor. Under which of the following instances. are proponents NOT liable?
a. Proposal to commit coup d'etat.
b. Proposal to commit sedition.
c. Proposal to commit rebellion.
d. Proposal to commit treason.
8. AA misrepresented to the complainant that he had the power, influence, authority and
business to obtain overseas employment upon payment of placement fee. AA duly collected
the placement fee from complainant. As per certification of the Philippine Overseas
Employment Administration, AA did not possess any authority or license for overseas
employment. Is it proper to file two (2) separate Informations for illegal recruitment under the
Labor Code and for estafa by means of deceit?
a. No. The filing of two (2) separate Informations for illegal recruitment under the Labor
Code and for estafa by means of deceit for the same act is violative of the principle
against double jeopardy.
b. No. One Information for a complex crime of illegal recruitment with estafa by means
of deceit should be filed, instead of two (2) separate Informations.
c. No. A person convicted of illegal recruitment under the Labor Code may not, for the
same act, be separately convicted of estafa by means of deceit.
d. Yes. A person convicted of illegal recruitment under the Labor Code may, for the
same act, be separately convicted of estafa by means of deceit.
9. When are light felonies punishable?
a. Light felonies are punishable in all stages of execution.
b. Light felonies are punishable only when consummated.
c. Light felonies are punishable only when consummated, with the exception of those
committed against persons or property.
d. Light felonies are punishable only when committed against persons or property.

10. AA was appointed for a two-year term to serve the unexpired portion of a resigned public
official. Despite being disqualified after the lapse of the two-year term, PA continued to
exercise the duties and powers of the public office to which appointed. What is the criminal
liability of AA?
a. AA is criminally liable for malfeasance in office.
b. AA is criminally liable for prolonging performance of duties and powers.
c. AA is criminally liable for disobeying request for disqualification.
d. AA incurs no criminal liability because there is no indication that he caused prejudice
to anyone.
11. For treachery to qualify killing to murder, the evidence must show:
a. The time when the accused decided to employ treachery, the overt act manifestly
indicating that he clung to such determination, and a sufficient lapse of time between
the decision and the execution, allowing him to reflect upon the consequence of his
act.
b. Unlawful aggression, reasonable necessity of the means to prevent or repel the
aggression, and lack of sufficient provocation on the part of the victim.
c. That the accused employed such means, methods or manner to ensure his safety
from the defensive or retaliatory acts of the victim, and the mode of attack was
consciously adopted.
d. Actual sudden physical assault or threat to inflict real imminent injury to an
unsuspecting victim.
12. What is the criminal liability, if any, of a pregnant woman who tried to commit suicide by
poison, but she did not die and the fetus in her womb was expelled instead?
a. The woman who tried to commit suicide is not criminally liable because the suicide
intended was not consummated.
b. The woman who tried to commit suicide is criminally liable for unintentional abortion
which is punishable when caused by violence.
c. The woman who tried to commit suicide is criminally liable for abortion that resulted
due to the poison that she had taken to commit suicide.
d. The woman who tried to commit suicide occurs no criminal liability for the result not
intended.
13. Chris Brown was convicted of a complex crime of direct assault with homicide aggravated by
the commission of the crime in a place where public authorities are engaged in the discharge
of their duties. The penalty for homicide is reclusion temporal. On the other hand, the penalty
for direct assault is pns10n correccional in its medium and maximum periods. What is the
correct indeterminate penalty?

a. Twelve (12) years of prision mayor as minimum to twenty (20) years of reclusion
ten1poral as maximum.
b. Ten ( 1 0) years of prision mayor as minimum to seventeen (17) years and four (4)
months of reclusion temporal as maximum.
c. Eight (8) years of prision mayor as minimum to eighteen (18) years and four (4)
months of reclusion temporal as maximum.
d. Twelve (12) years of prision mayor as minimum to seventeen (17) years and four (4)
months of reclusion temporal as maximum.
14. A, 8, and C organized a meeting in which the audience was incited to the commission of the
crime of sedition. Some of the persons present at the meeting were carrying unlicensed
firearms. What crime, if any, was committed by A, 8 and C, as well as those who were
carrying unlicensed firearms and those who were merely present at the meeting?
a. Inciting to sedition for A, 8 and C and illegal possession of firearms for those carrying
unlicensed firearms.
b. Inciting to sedition for A, 8 and C and those carrying unlicensed firearms.
c. Illegal assembly for A, 8, C and all those present at the meeting.
d. Conspiracy to commit sedition for A, B, C and those present at the meeting.
15. Is the crime of theft committed by a person who, with intent to gain, takes a worthless check
belonging to another without the latter's consent?
a. Yes. All the elements of the crime of theft are present: that there be taking of
personal property; that the property belongs to another; and that the taking be done
with intent to gain and without the consent of the owner.
b. No. The taking of the worthless check, which has no value, would not amount to the
crime of theft because of the legal impossibility to commit the intended crime.
c. Yes. Theft is committed even if the worthless check would be subsequently
dishonored because the taker had intent to gain from the check at the time of the
taking.
d. Yes. Theft is committed because the factual impossibility to gain from the check was
not known to the taker or beyond his control at the time of taking.
16. B was convicted by final judgment of theft. While serving sentence for such offense, B was
found in possession of an unlicensed firearm. Is B a quasi-recidivist?
a. B is a quasi-recidivist because he was serving sentence when found in possession of
an unlicensed firearm.
b. B is not a quasi-recidivist because the offense for which he was serving sentence is
different from the second offense.

c. B is not a quasi-recidivist because the second offense is not a felony.

d. B is not a quasi-recidivist because the second offense was committed while still
serving for the first offense.
17. What crime is committed by one who defrauds another by taking undue advantage of the
signature of the offended party in a blank check and by writing the payee and amount of the
check to the prejudice of the offended party?
a. estafa with unfaithfulness or abuse of confidence;
b. estafa by false pretense;
c. estafa through fraudulent means;
d. estafa by other deceits.
18. What crime is committed by a person who kills a three-day old baby?
a. infanticide;
b. homicide;
c. murder;
d. parricide.
19. What crime is committed by a person who kills his legitimate brother on the occasion of a
public calamity?
a. parricide;
b. homicide;
c. murder;
d. death caused in a tumultuous affray.
20. What is the crime committed by any person who, without reasonable ground, arrests or
detains another for the purpose of delivering him to the proper authorities?
a. unlawful arrest;
b. illegal detention;
c. arbitrary detention;
d. grave coercion.

21. A killed M. After the killing, A went to the Barangay Chairman of the place of incident to seek
protection against the retaliation of M's relatives. May voluntary surrender be appreciated as
a mitigating circumstance in favor of A?
a. Yes. A surrendered to the Barangay Chairman who is a person in authority.
b. Yes. The surrender of A would save the authorities the trouble and expense for his
arrest.
c. No. A did not unconditionally submit himself to the authorities in. order to
acknowledge his participation in the killing or to save the authorities the trouble and
expenses necessary for his search and capture.
d. No. The surrender to the Barangay Chairman is not a surrender to the proper
authorities.
22. Who among the following is liable for estafa?
a. The seller of a laptop computer who failed to inform the buyer that the laptop had a
defect.
b. The person who ran away with a cell phone which was handed to him upon his
pretense that he had to make an emergency call.
c. The person who assured he will pay interest on the amount but failed to do so as
promised.
d. The son who induced his father to buy from him a land which the son is no longer the
owner.
23. What is the nature of the circumstance which is involved in the imposition of the maximum
term of the indeterminate sentence?
a. qualifying circumstance;
b. aggravating circumstance;
c. modifying circumstance;
d. analogous circumstance.
24. A, B and C, all seventeen (17) years of age, waited for nighttime to avoid detection and to
facilitate the implementation of their plan to rob G. They entered the room of G through a
window. Upon instruction of A, G opened her vault while 8 was poking a knife at her. Acting
as lookout, C had already opened the main door of the house when the helper was
awakened by the pleading of G to A and B to just take the money from the vault without
harming her. When the helper shouted for help upon seeing G with A and B inside the room,
8 stabbed G and ran towards the door, leaving the house with C. A also left the house after
taking the money of G from the vault. G was brought to the hospital where she died as a
result of the wound inflicted by B. Under the given facts, are A, B and C exempt from criminal
liability? If not, what is the proper charge against them or any of them?

a. A, B and C, being under eighteen (18) years of age at the time of the commission of
the offense, are exempt from criminal liability and should be merely subjected to
intervention program for child in conflict with the law.
b. There being no indication of having acted with discernment, A, B and C are exempt
from criminal liability, subject to appropriate programs in consultation with the person
having custody over the child in conflict with the taw or the local social welfare and
development officer.
c. Considering the given facts which manifest discernment, A, B and C are not exempt
from criminal liability and should be charged with the complex crime of robbery with
homicide, subject to automatic suspension of sentence upon finding of guilt.
d. Under the given facts, A, 8 and C are not exempt from criminal liability because they
conspired to commit robbery for which they should be collectively charged as
principals, and in addition, B should be separately charged with homicide for the
death of G, subject to diversion programs for children over 15 and under 18 who
acted with discernment.
25. The guard was entrusted with the conveyance or custody of a detention prisoner who
escaped through his negligence. What is the criminal liability of the escaping prisoner?
a. The escaping prisoner does not incur criminal liability.
b. The escaping prisoner is liable for evasion through negligence.
c. The escaping prisoner is liable for conniving with or consenting to, evasion.
d. The escaping prisoner is liable for evasion of service of sentence.
26. What crime is committed when a person assumes the performance of duties and powers of a
public office or employment without first being sworn in?
a. anticipation of duties of a public office;
b. usurpation of authority;
c. prohibited transaction;
d. unlawful appointment.
27. What crime is committed by a public officer who, before the acceptance of his resignation,
shall abandon his office to the detriment of the public service in order to evade the discharge
of the duties of preventing, prosecuting or punishing the crime of treason?
a. abandonment of office or position;
b. qualified abandonment of office;
c. misprision of treason;

d. negligence in the prosecution of offense.

28. The key element in a crime of parricide other than the fact of killing is the relationship of the
offender to the victim. Which one of the following circumstances constitutes parricide?
a. Offender killing the illegitimate daughter of his legitimate son.
b. Offender killing his illegitimate grandson.
c. Offender killing his common-law wife.
d. Offender killing his illegitimate mother.
29. What is the minimum age of criminal responsibility?
a. a} fifteen (15) years old or under
b. nine (9) years old or under
c. above nine (9) years old and under fifteen (15) who acted with discernment
d. above fifteen ( 15) years old and under eighteen ( 18) who acted with discernment
30. When the adoption of a child is effected under the Inter-Country Adoption Act for the purpose
of prostitution, what is the proper charge against the offender who is a public officer in
relation to the exploitative purpose?
a. acts that promote trafficking in persons;
b. trafficking in persons;
c. qualified trafficking in persons;
d. use of trafficked person.
31. What crime is committed when a mother kills the three-day old child of her husband with their
daughter?
a. parricide;
b. infanticide;
c. murder;
d. homicide.
32. When is a crime deemed to have been committed by a band?
a. When armed men, at least four (4) in number, take direct part in the execution of the
act constituting the crime.

b. When three (3) armed men act together in the commission of the crime.
c. When there are four ( 4) armed persons, one of whom is a principal by inducement.
d. When there are four (4) malefactors, one of whom is armed.
33. The period of probation of the offender sentenced to a term of one ( 1) year shall not exceed:
a. two (2) years;
b. six (6) years;
c. one (1) year;
d. three (3) years;
34. What is the criminal liability, if any, of a mayor who, without being authorized by law, compels
prostitutes residing in his city to go to, and live in, another place against their will?
a. The mayor is criminally liable for violation of domicile.
b. The mayor is criminally liable for expulsion.
c. The mayor is criminally liable for grave coercion.
d. The mayor incurs no criminal liability because he merely wants to protect the youth
against the indecency of the prostitutes.
35. How is the crime of coup d'etat committed?
a. By rising publicly and taking arms against the Government for the purpose of
depriving the Chief Executive of any of his powers or prerogatives.
b. When a person holding public employment undertakes a swift attack, accompanied
by strategy or stealth, directed against public utilities or other facilities needed for the
exercise and continued possession of power for the purpose of diminishing state
power.
c. When persons rise publicly and tumultuously in order to prevent by force the National
Government from freely exercising its function.
d. When persons circulate scurrilous libels against the Government which tend to
instigate others to meet together or to stir up the people against the lawful
authorities.
36. What is the proper charge against public officers or employees who, being in conspiracy with
the rebels, failed to resist a rebellion by all means in their power, or shall continue to
discharge the duties of their offices under the control of the rebels, or shall accept
appointment to office under them?

a. disloyalty of public officers or employees;

b. rebellion;
c. conspiracy to commit rebellion;
d. dereliction of duty.
37. What is the proper charge against a person who, without taking arms or being in open
hostility against the Government, shall incite others to deprive Congress of its legislative
powers, by means of speeches or writings?
a. inciting to sedition;
b. inciting to rebellion or insurrection;
c. crime against legislative body;
d. unlawful use of means of publication or unlawful utterances.
38. What is the crime committed when a group of persons entered the municipal building rising
publicly and taking up arms in pursuance of the movement to prevent exercise of
governmental authority with respect to the residents of the municipality concerned for the
purpose of effecting changes in the manner of governance and removing such locality under
their control from allegiance to the laws of the Government?
a. sedition;
b. coup d'etat;
c. insurrection;
d. public disorder.
39. When is a disturbance of public order deemed to be tumultuous?
a. The disturbance shall be deemed tumultuous i f caused by more than three (3)
persons who are armed or provided with means of violence.
b. The disturbance shall be deemed tumultuous when a person causes a serious
disturbance in a public place or disturbs public performance, function or gathering.
c. The disturbance shall be deemed tumultuous when more than three (3) persons
make any outcry tending to incite rebellion or sedition or shout subversive or
provocative words to obtain any of the objectives of rebellion or sedition.
d. The disturbance shall be deemed tumultuous when at least four (4) persons
participate in a free-for-all-fight assaulting each other in a confused and tumultuous
manner.

40. What is the criminal liability, if any, of a police officer who, while Congress was in session,
arrested a member thereof for committing a crime punishable by a penalty higher than
prision mayor?
a. The police officer is criminally liable for violation of parliamentary immunity because a
member of Congress is privileged from arrest while Congress is in session.
b. The police officer is criminally liable for disturbance of proceedings because the
arrest was made while Congress was in session.
c. The police officer incurs no criminal liability because the member of Congress has
committed a crime punishable by a penalty higher than prision mayor.
d. The police officer is criminally liable for violation of parliamentary immunity because
parliamentary immunity guarantees a member of Congress complete freedom of
expression without fear of being arrested while in regular or special session.
41. What is the proper charge against a group of four persons who, without public. uprising,
employ force to prevent the holding of any popular election?
a. sedition;
b. disturbance of public order;
c. grave coercion;
d. direct assault.
42. Which of the following circumstances may be appreciated as aggravating in the crime of
treason?
a. cruelty and ignominy;
b. evident premeditation;
c. superior strength;
d. treachery.
43. What is the crime committed by a public officer who discloses to the representative of a
foreign nation the contents of the articles, data or information of a confidential nature relative
to the defense of the Philippine archipelago which he has in his possession by reason of the
public office he holds?
a. espionage;
b. disloyalty;
c. treason;

d. violation of neutrality.
44. A foreigner residing in Hong Kong counterfeits a twenty-peso bill issued by the Philippine
Government. May the foreigner be prosecuted before a civil court in the Philippines?
a. No. The provisions of the Revised Penal Code are enforceable only within the
Philippine Archipelago.
b. No. The Philippine Criminal Law is binding only on persons who reside or sojourn in
the Philippines.
c. No. Foreigners residing outside the jurisdiction of the Philippines are exempted from
the operation of the Philippine Criminal Law.
d. Yes. The provisions of the Revised Penal Code are enforceable also outside the
jurisdiction of the Philippines against those who should forge or counterfeit currency
notes of the Philippines or obligations and securities issued by the Government of
the Philippines.
45. Can the crime of treason be committed only by a Filipino citizen?
a. Yes. The offender in the crime of treason is a Filipino citizen only because the first
element is that the offender owes allegiance to the Government of the Philippines.
b. No. The offender in the crime of treason is either a Filipino citizen or a foreigner
married to a Filipino citizen, whether residing in the Philippines or elsewhere, who
adheres to the enemies of the Philippines, giving them aid or comfort.
c. No. The offender in the crime of treason is either a Filipino citizen or an alien residing
in the Philippines because while permanent allegiance is owed by the alien to his
own country, he owes a temporary allegiance to the Philippines where he resides.
d. Yes. It is not possible for an alien, whether residing in the Philippines or elsewhere, to
commit the crime of treason because he owes allegiance to his own country.
46. A jailer inflicted injury on the prisoner because of his personal grudge against the latter. The
injury caused illness of the prisoner for more than thirty (30) days. What is the proper charge
against the jailer?
a. The jailer should be charged with maltreatment of prisoner and serious physical
injuries.
b. The jailer should be charged with serious physical injuries only.
c. The jailer should be charged with complex crime of maltreatment of prisoner with
serious physical injuries.
d. The jailer should be charged with maltreatment of prisoner only.

47. AA was convicted of proposal to commit treason. Under Article 115 of the Revised Penal
Code, proposal to commit treason shall be punished by prision correccional and a fine not
exceeding P5,000.00. Is the Indeterminate Sentence Law applicable to AA?
a. Yes. The Indeterminate Sentence Law is applicable to AA because the maximum of
prision correccional exceeds one ( 1) year.
b. Yes. The Indeterminate Sentence Law is applicable to AA because there is no
showing that he is a habitual delinquent.
c. No. The Indeterminate Sentence Law is not applicable to AA considering the penalty
imposable for the offense of which he was convicted.
d. No. The Indeterminate Sentence Law is not applicable considering the offense of
which he was convicted.
48. What is the proper charge against a lawyer who reveals the secrets of his client learned by
him in his professional capacity?
a. The lawyer should be charged with revelation of secrets of private individual.
b. The lawyer should be charged with betrayal of trust.
c. The lawyer should be charged with unauthorized revelation of classified materials.
d. The proper charge against the lawyer should be revealing secrets with abuse of
office.
49. AB was driving a van along a highway. Because of her recklessness, the van hit a car which
had already entered the intersection. As a result, CD who was driving the car suffered
physical injuries, while damage to his car amounted to P8,500.00. What is the proper charge
against AB?
a. AB should be charged with complex crime of reckless imprudence resulting in
damage to property with slight physical injuries.
b. AB should .be charged with reckless imprudence resulting in slight physical injuries
and reckless imprudence resulting in damage to property.
c. AB should be charged with complex crime of slight physical injuries with damage to
property.
d. AB should be charged with slight physical injuries and reckless imprudence resulting
in damage to property.
50. What crime is committed by one who, having received money, goods or any other personal
property in trust or on commission, or for administration, defrauds the offended party by
denying receipt of such money, goods or other property?
a. He commits violation of the Trust Receipt Law.

b. He commits estafa through fraudulent means.

c. He commits estafa by false pretenses.
d. He commits estafa with unfaithfulness or abuse of confidence.
51. What is the criminal liability, if any, of AAA who substitutes for a prisoner serving sentence for
homicide by taking his place in jail or penal establishment?
a. AAA is criminally liable for delivering prisoner from jail and for using fictitious name.
b. AAA is criminally liable as an accessory of the crime of homicide by assisting in the
escape or concealment of the principal of the crime.
c. AAA is criminally liable for infidelity in the custody of prisoners.
d. AAA is criminally liable for misrepresentation or concealing his true name.
52. A child over fifteen (15) years of age acted with discernment in the commission of murder.
What is the duty of the court if he is already over eighteen (18) years of age at the time of the
determination of his guilt for the offense charged?
a. The court shall pronounce the judgment of conviction.
b. The court shall place the child under suspended sentence for a specified period or
until he reaches twenty-one (21) years of age.
c. The court shall discharge the child for disposition measures.
d. The court shall place the child on probation.
53. What is the criminal liability, if any, of a private person who enters the dwelling of another
against the latter's will and by means of violence or intimidation for the purpose of preventing
some harm to himself?
a. The private person is criminally liable for qualified trespass to dwelling.
b. The private person is criminally liable for simple trespass to dwelling.
c. The private person incurs no criminal liability.
d. The private person is criminally liable for light threats.
54. AAA was convicted of theft by a Manila Court and sentenced to a straight penalty of one (1)
year of prision correccional. After serving two (2) months of the sentence, he was granted
conditional pardon by the Chief Executive. One of the conditions of the pardon was for him
not to be found guilty of any crime punishable by the laws of the country. He subsequently
committed robbery in Pasay City. Can the Manila Court require AAA to serve the unexpired
portion of the original sentence?

a. Yes. The Manila Court has the authority to recommit AAA to serve the unexpired
portion of the original sentence in addition to the penalty for violation of conditional
pardon.
b. No. The penalty remitted by the conditional pardon is less than six (6) years.
c. Yes. The penalty for violation of conditional pardon is the unexpired portion of the
punishment in the original sentence.
d. No. AAA must first be found guilty of the subsequent offense before he can be
prosecuted for violation of conditional pardon.
55. What is the criminal liability of a person who knowingly and in any manner aids or protects
highway robbers/brigands by giving them information about the movement of the police?
a. He is criminally liable as principal by indispensable cooperation in the commission of
highway robbery or brigandage.
b. He is criminally liable as an accessory of the principal offenders.
c. He is criminally liable as an accomplice of the principal offenders.
d. He is criminally liable as principal for aiding and abetting a band of brigands.
56. With intent to kill, GGG burned the house where F and D were staying. F and D died as a
consequence. What is the proper charge against GGG?
a. GGG should be charged with two (2) counts of murder.
b. GGG should be charged with arson.
c. GGG should be charged with complex crime of arson with double murder.
d. GGG should be charged with complex crime of double murder.
57. RR convinced WW to take a job in Taiwan, assuring her of a good salary and entitlement to a
yearly vacation. WW paid to RR the processing fee for passport and visa, but no receipt was
issued for the payment. WW was made to use the alien certificate of registration of another
person with a Chinese name and instructed on how to use the Chinese name. The
application of WW was rejected by the Taiwanese authorities. Cases were filed against RR
for illegal recruitment and estafa. The case of illegal recruitment was dismissed. Is RR liable
for estafa?
a. RR is liable for estafa with unfaithfulness or abuse of confidence.
b. RR is liable for estafa by means of false pretenses.
c. RR is not liable for estafa because WW participated in the illegal travel documents.

d. RR can no longer be held liable for estafa because with the dismissal of the case
against him for illegal recruitment, double jeopardy has already set in.
58. A entered the house of B. Once inside the house of B, A took and seized personal property
by compulsion from B with the use of violence and force upon things, believing himself to be
the owner of the personal property so seized. What is the criminal liability of A?
a. A is criminally liable for robbery with violence because he employed violence in the
taking of the personal property from B, robbery characterized by violence being
graver than ordinary robbery committed with force upon things.
b. A is criminally liable for robbery with force upon things in an inhabited house because
the act was committed in a house constituting the dwelling of one or more persons.
c. A is criminally liable for grave coercion because the presumption of intent to gain is
rebutted.
d. A is criminally liable for qualified trespass to dwelling because he employed violence.
59. What is the criminal liability, if any, of a physician who issues a false medical certificate in
connection with the practice of his profession?
a. The physician is criminally liable for falsification of medical certificate.
b. The physician is criminally liable if the false medical certificate is used in court.
c. The physician incurs no criminal liability if the false medical certificate is not
submitted to the court.
d. The physician incurs no criminal liability if the false medical certificate does not cause
prejudice or damage.
60. Under which of the following circumstances is probation not applicable?
a. Probation is not applicable when the accused is sentenced to serve a maximum of
six (6) years.
b. Probation is not applicable when the accused has been convicted by final judgment
of an offense punished by imprisonment of less than one (1) month and/or fine of
less than P200.00.
c. Probation is not applicable when accused is convicted of indirect assault.
d. Probation is not applicable when accused is convicted of indirect bribery.
61. What crime is committed by a person who, having found a ring, fails to deliver the same to
the owner or to the local authorities?
a. The finder commits theft.

b. The finder commits concealment.

c. The finder commits qualified theft.
d. The finder commits usurpation of property.
62. At a wake, there were people watching a game of dice. With treachery and use of unlicensed
firearms, AA fired successively several gunshots at their direction. During the shooting, four
(4) persons were killed and fourteen (14) others were injured and brought to the hospital for
the treatment of gunshot wounds. What should be the proper charge against AA?
a. AA should be charged with multiple murder and attempted murder.
b. AA should be charged with four (4) counts of murder and fourteen (14) counts of
attempted murder.
c. AA should be charged with four (4) counts of murder, fourteen (14) counts of serious
physical injuries and illegal possession of firearms.
d. AA should be charged with complex crime of murder and attempted murder with
illegal possession of firearms.
63. A, B, C and D are members of the police department of a municipality. Conspiring with one
another, they arrested E, without reasonable ground, for the purpose of delivering him to the
proper authorities by imputing to E the crime of bribery. While E was being investigated by A,
B, C and D, one of them placed a marked five hundred peso bill, together with the money
taken from E, to make it appear that E, an employee of the Office of the Local Civil Registrar,
agreed to perform an act not constituting a crime in connection with the performance of E's
duties, which was to expedite the issuance of a birth certificate. What is the crime committed
by A, B, C and D?
a. A, 8, C and D committed incriminatory machination through unlawful arrest.
b. A, 8, C and D committed intriguing against honor with unlawful arrest.
c. A, 8, C and D committed slight illegal detention.
d. A, 8, C and D committed corruption of public official.
64. Felonies are classified according to manner or mode of execution into felonies committed by
means of deceit (dolo) and by means of fault (culpa). Which of the following causes may not
give rise to culpable felonies?
a. Imprudence;
b. Malice;
c. Negligence;
d. Lack of foresight.

65. Which of the following acts does not constitute estafa or other forms of swindling?
a. When a person mortgages a real property by pretending to be the owner thereof.
b. When a person disposes of the real property knowing it to be encumbered.
c. When a person wrongfully takes real property from its lawful possessor to the
prejudice of the latter.
d. When a person mortgages real property while being a surety given in a civil action
without express authority from the court.
66. DD, intending to kill EE, peppered the latter's bedroom with bullets, but since the intended
victim was not home at that time, no harm came to him. What crime is committed?
a. DD committed the crime of attempted murder.
b. DD committed the crime of attempted homicide.
c. DD committed the crime of impossible crime.
d. DD committed the crime of malicious mischief.
67. What crime is committed when a person ill-treats another by deed without causing any
injury?
a. The offender commits maltreatment.
b. The offender commits slander by deed.
c. The offender commits assault.
d. The offender commits coercion.
68. The baptism of A was solemnized by B, an ecclesiastical minister, in the absence of C, one
of the godparents. Upon request of the mother of A, B caused the inclusion of the name of C
in the baptismal certificate of A as one of the godparents and allowed a proxy for C during
the baptismal ceremony. What is the criminal liability, if any, of the ecclesiastical minister?
a. The ecclesiastical minister is criminally liable for falsification of baptismal certificate
by causing it to appear that C participated in the baptismal ceremony when he did
not in fact so participate.
b. The ecclesiastical minister is not criminally liable because the insertion of the name
of C in the baptismal certificate will not affect the civil status of A.
c. The ecclesiastical minister is not criminally liable because he is not a public officer,
employee or notary.

d. The ecclesiastical minister is not criminally liable because he did not take advantage
of his official position nor cause damage to a third party.
69. Is the penalty for impossible crime applicable to one who attempts to commit a light felony of
impossible materialization?
a. No. The evil intent of the offender cannot be accomplished.
b. No. An attempt to commit light felony constitutes an employment of inadequate or
ineffectual means.
c. No. The penalty for consummated light felony is less than the penalty for impossible
crime.
d. No. In impossible crime, the act performed should not constitute a violation of
another offense.
70. What crime is committed by a public officer who, having control of public funds or property by
reason of the duties of his office and for which he is accountable, permits any other person
through abandonment to take such public funds or property?
a. The public officer commits malversation.
b. The public officer commits technical malversation.
c. The public officer commits the crime of failure of accountable or responsible officer to
render accounts.
d. The public officer commits the crime of failure to make delivery of public funds or
property.
71. AA knowingly and willfully induced BB to swear falsely. BB testified as told in a formal
hearing of an administrative case under circumstances rendering him guilty of perjury. Is AA
criminally liable?
a. AA is not criminally liable because his act constitutes subornation of perjury which is
not expressly penalized in the Revised Penal Code.
b. AA is not criminally liable because he was not the one who gave false testimony in
the administrative case.
c. AA is not criminally liable because the witness suborned testified in an administrative
case only.
d. AA is criminally liable for perjury as principal by inducement with BB as the principal
by direct participation.
72. What should be the proper charge against an offender who unlawfully took and carried away
a motor vehicle belonging to another without the latter's consent, killing the driver in the
process?

a. The proper charge against the offender should be murder with the use of motor
vehicle.
b. The proper charge against the offender should be qualified carnapping or carnapping
in an aggravated form.
c. The proper charge against the offender should be carnapping and homicide.
d. The proper charge against the offender should be robbery with homicide.
73. Conspiracy to commit felony is punishable only in cases in which the law specifically
provides a penalty therefor. Under which of the following instances are the conspirators not
liable?
a. Conspiracy to commit arson.
b. Conspiracy to commit terrorism.
c. Conspiracy to commit child pornography.
d. Conspiracy to commit trafficking in persons.
74. With intent to cause damage, AAA deliberately set fire upon the two-storey residential house
of his employer, mostly made of wooden materials. The blaze spread and gutted down seven
neighboring houses. On the occasion of the fire, six (6) persons sustained burn injuries
which were the direct cause of their death. What crime was committed by AAA?
a. AAA committed the complex crime of arson with multiple homicide.
b. AAA committed arson and multiple homicide.
c. AAA committed simple arson.
d. AAA committed arson and multiple murder.
75. What crime is committed by a utility worker in government who destroys office files as an act
of revenge against his supervisor?
a. The utility worker commits infidelity in the custody of papers.
b. The utility worker commits malicious mischief.
c. The utility worker commits estafa by removing, concealing or destroying office files.
d. The utility worker commits crime involving destruction.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.

THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE HEAD WATCHER.

2012 BAR EXAMINATIONS

CRIMINAL LAW
21 October 2012

3:30 P.M.-5 P.M.

Set B
ESSAY TYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered l to X) contained in THREE (3)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number n1ay be written continuously on the san1e page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS FOUR (4) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
TAXATION LAW
I
a. What are the elements of the crime of bigamy? (5%)
b. If you were the judge in a bigamy case where the defense was able to prove that the first
marriage was null and void or a nullity, would you render a judgment of conviction or
acquittal? Explain your answer. (2%)
Assuming the existence of the first marriage when accused contracted the second marriage
and the subsequent judicial declaration of nullity of the second marriage on the ground of

psychological incapacity, would you render a judgment of conviction or acquittal? Explain

your answer. (3%)
II
a. What is a privileged mitigating circumstance? (5%)
b. Distinguish a privileged mitigating circumstance from an ordinary mitigating circumstance as
to reduction of penalty and offsetting against aggravating circumstance/s. (5%)
III
a. Is the crime of theft susceptible of commission in the frustrated stage? Explain your answer
in relation to what produces the crime of theft in its consummated stage and by way of
illustration of the subjective and objective phases of the felony. (5%)
b. What are the constitutional provisions limiting the power of Congress to enact penal laws?
(5%)
IV
A postal van containing mail matters, including checks and treasury warrants, was hijacked along a
national highway by ten (1 0) men, two (2) of whom were armed. They used force, violence and
intimidation against three (3) postal employees who were occupants of the van, resulting in the
unlawful taking and asportation of the entire van and its contents.
a. If you were the public prosecutor, would you charge the ten (10) men who hijacked the postal
van with violation of Presidential Decree No. 532, otherwise known as the Anti-Piracy and
Anti -Highway Robbery Law of 1974? Explain your answer. (5%)
b. If you were the defense counsel, what are the elements of the crime of highway robbery that
the prosecution should prove to sustain a conviction? (5%)
V
a. Who is an accomplice? (5%)
b. Distinguish an accomplice from a conspirator as to their knowledge of the criminal design of
the principal, their participation, the penalty to be imposed in relation to the penalty for the
principal, and the requisites/elements to be established by the prosecution in order to hold
them criminally responsible for their respective roles in the commission of the crime. (5%)
VI
a. What is the fundamental principle in applying and interpreting criminal laws, including the
Indeterminate Sentence Law? (5%)
b. How is the Indeterminate Sentence Law applied in imposing a sentence? (5%)
VII

a. Who are brigands? (5%)

b. Distinguish brigandage from robbery in band as to elements, purpose of the of fender and
agreement among the offenders. (5%)
VIII
a. Who is a habitual delinquent? (5%)
b. Distinguish habitual delinquency from recidivism as to the crimes committed, the period of
time the crimes are committed, the number of crimes committed and their effects in relation
to the penalty to be imposed on a convict. (5%)
IX
a. Define conspiracy. (5%)
b. Distinguish by way of illustration conspiracy as a felony from conspiracy as a manner of
incurring liability in relation to the crimes of rebellion and murder. (5%)
X
a. Explain and illustrate the stages of execution of the crime of homicide, taking into account
the nature of the offense, the essential element of each of the stages of execution and the
manner of committing such international felony as distinguished from felony committed
through reckless imprudence. (5%)
b. AA was arrested for committing a bailable offense and detained in solitary confinement. He
was able to post bail after two (2) weeks of defection. During the period of detention, he was
not given any food. Such deprivation caused him physically discomfort. What crime, if any,
was committed in connection with the solitary confinement and food deprivation of AA?
Explain your answer. (5%)
- NOTHING FOLLOWS 2012 BAR EXAMINATIONS
REMEDIAL LAW
1. In settlement proceedings, appeal may be taken from an:
a. order appointing a special administrator;
b. order appointing an administrator;
c. order of an administrator to recover property of the estate;
d. order to include or exclude property from the estate.
2. Under the Rules on the Writ of Amparo, interim relief orders may be issued by the Court
except:

a. production order;
b. witness protection order;
c. hold departure order;
d. temporary protection order.
3. A narrative testimony is usually objected to but the court may allow such testimony if:
a. it would expedite trial and give the court a clearer understanding of the matters
related;
b. the witness is of advanced age;
c. the testimony relates to family genealogy;
d. the witness volunteers information not sought by the examiner.
4. In default of parents, the court may appoint a guardian for a minor giving first preference to:
a. an older brother or sister who is over 18 years old.
b. the actual custodian over 21 years old.
c. a paternal grandparent
d. an uncle or aunt over 21 years old.
5. In real actions, the docket and filing fees are based on:
a. fair market value of the property.
b. assessed value of the property.
c. SIR zonal value of the property.
d. fair market value of the property and amount of damages claimed.
6. X filed a motion for Bill of Particulars, after being served with summons and a copy of the
complaint However, X's motion did not contain a notice of hearing. The court may therefore:
a. require the clerk of court to calendar the motion.
b. motu proprio dismiss the motion for not complying with Rule 15.
c. allow the parties the opportunity to be heard.
d. return the motion to X's counsel for amendment.

7. A wants to file a Petition for Writ of Habeas Data against the AFP in connection with threats
to his life allegedly made by AFP intelligence officers. A needs copies of AFP highly classified
intelligence reports collected by Sgt. Santos who is from AFP. A can file his petition with:
a. RTC where AFP is located;
b. RTC where Sgt. Santos resides;
c. Supreme Court;
d. Court of Appeals.
8. W was arrested in the act of committing a crime on October 1, 2011. After an inquest
hearing, an information was filed against W and his lawyer learned of the same on October
5, 2011. W wants to file a motion for preliminary investigation and therefore he has only up to
_____ to file the same.
a. October 20, 2011;
b. October 10, 2011;
c. November 15, 2011;
d. October 16, 2011.
9. Preliminary Prohibitive Injunction will not lie:
a. to enjoin repeated trespass on land.
b. in petitions for certiorari and mandamus.
c. to restrain implementation of national government infrastructure project.
d. to restrain voting of disputed shares of stock.
10. A defendant who fails to file a timely Answer or responsive pleading will not be declared in
default in:
a. probate proceedings where the estate is valued at P 1 00,000;
b. forcible entry cases;
c. collection case not exceeding P 100,000;
d. violation of rental law.
11. The validity of a search warrant is days:
a. 15;

b. 30;
c. 60;
d. 120.
12. An accused may move for the suspension of his arraignment if:
a. a motion for reconsideration is pending before the investigating prosecutor.
b. accused is bonded and his bondsman failed to notify him of his scheduled
arraignment.
c. a prejudicial question exists.
d. there is no available public attorney.
13. P failed to appear at the promulgation of judgment without justifiable cause. The judgment
convicted P for slight physical injuries. Judgment may therefore be promulgated in the
following manner:
a. By the reading of the judgment in the presence of only the judge.
b. By the clerk of court in the presence of P's counsel.
c. By the clerk of court in the presence of a representative of P.
d. By entering the judgment into the criminal docket of the court.
14. Being declared in default does not constitute a waiver of all rights. However, the following
right is considered waived:
a. be cited and called to testify as a witness
b. file a motion for new trial
c. participate in deposition taking of witnesses of adverse party
d. file a petition for certiorari
15. At arraignment, X pleads not guilty to a Robbery charge. At the pretrial, he changes his mind
and agrees to a plea bargaining, with the conformity of the prosecution and offended party,
which downgraded the offense to theft. The Court should therefore:
a. render judgment based on the change of plea.
b. allow the withdrawal of the earlier plea and arraign X for theft and render judgment.
c. receive evidence on the civil liability and render judgment.

d. require the prosecution to amend the information.

16. A criminal case should be instituted and tried in the place where the offense or any of the
essential elements took place, except in:
a. Estafa cases;
b. Complex crimes;
c. Cases cognizable by the Sandiganbayan;
d. Court martial cases.
17. X was charged for murder and was issued a warrant of arrest. X remains at large but wants
to post bail. X's option is to:
a. file a motion to recall warrant of arrest;
b. surrender and file a bail petition;
c. file a motion for reinvestigation;
d. file a petition for review with the OOJ.
18. The Energy Regulatory Commission (ERC) promulgates a decision increasing electricity
rates by 3%. KMU appeals the decision by way of petition for review. The appeal will
therefore:
a. stay the execution of ERC decision.
b. shall not stay the ERC decision unless the Court of Appeals directs otherwise.
c. stay the execution of the ERC decision conditioned on KMU posting a bond.
d. shall not stay the ERC decision.
19. RTC decides an appeal from the MTC involving a simple collection case. The decision
consists of only one page because it adopted by direct reference the findings of fact and
conclusions of law set forth in the MTC decision. Which statement is most accurate?
a. The RTC decision is valid because it was issued by a court of competent jurisdiction.
b. The RTC decision is valid because it expedited the resolution of the appeal.
c. The RTC decision is valid because it is a memorandum decision recognized by law.
d. The RTC decision is valid because it is practical and convenient to the judge and the
parties.

20. The filing of a complaint with the Punong Barangay involving cases covered by the
Katarungang Pambarangay Rules shall:
a. not interrupt any prescriptive period.
b. interrupt the prescriptive period for 90 days.
c. interrupt the prescriptive period for 60 days.
d. interrupt the prescriptive period not exceeding 60 days.
21. In a declaratory relief action, the court may refuse to exercise its power to declare rights and
construe instruments in what instance/s?
a. When a decision would not terminate the controversy which gave rise to the action.
b. In an action to consolidate ownership under Art. 1607 of the Civil Code.
c. To establish legitimate filiation and determine hereditary rights.
d. (a) and (c) above
22. In election cases involving an act or omission of an MTC or RTC, a certiorari petition shall be
filed with:
a. The Court of Appeals
b. The Supreme Court
c. The COMELEC
d. The Court of Appeals or the COMELEC both having concurrent jurisdiction
23. A charge for indirect contempt committed against an RTC judge may be commenced
through:
a. A written charge requiring respondent to show cause filed with the Court of Appeals.
b. An order of the RTC Judge requiring respondent to show cause in the same RTC.
c. Verified petition filed with another branch of the RTC.
d. Verified petition filed with a court of higher or equal rank with the RTC.
24. The statute of "non-claims" requires that:
a. claims against the estate be published by the creditors.
b. money claims be filed with the clerk of court within the time prescribed by the rules.

c. claims of an executor or administrator against the estate be filed with the special
administrator.
d. within two (2) years after settlement and distribution of the estate, an heir unduly
deprived of participation in the estate may compel the re-settlement of the estate.
25. A judicial compromise has the effect of _______ and is immediately executory and is not
appealable.
a. Estoppel;
b. Conclusiveness of judgment;
c. Res Judicata;
d. Stare decisis.
26. When a party or counsel willfully or deliberately commits forum shopping, the initiatory
pleading may:
a. be cured by amendment of the complaint.
b. upon motion, be dismissed with prejudice.
c. be summarily dismissed with prejudice as it may constitute direct contempt.
d. be stricken from the record.
27. Equity of Redemption is the right of the mortgagor to redeem the mortgaged property after
default in the performance of the conditions of the mortgage, before the sale or the
confirmation of sale in a(n):
a. extrajudicial foreclosure of mortgage.
b. judicial foreclosure of mortgage.
c. execution sale.
d. foreclosure by a bank.
28. X and Y, both residents of Bgy. II, Sampaloc, Manila entered into a P 100,000 loan
agreement. Because Y defaulted, X sued Y for collection and the complainant prayed for
issuance of preliminary attachment. Y moved to dismiss the complaint because there was no
Barangay conciliation. The court should therefore:
a. dismiss X's complaint for prematurity.
b. dismiss X's complaint for lack of cause of action.
c. deny Y's motion because it is exempt from Barangay conciliation.

d. deny Y's motion because of the amount of the loan.

29. X was shot by Y in the course of a robbery. On the brink of death, X told W, a barangay
tanod, that it was Y who shot and held him up. In the trial for robbery with homicide, X's
declaration can be admitted only as a dying declaration:
a. to prove robbery.
b. to prove homicide.
c. to prove robbery and homicide.
d. to prove the "corpus delicti".
30. Which of the following is not a Special Proceeding?
a. Absentees;
b. Escheat;
c. Change of First Name;
d. Constitution of Family Home;
31. Atty. X fails to serve personally a copy of his motion to Atty. Y because the office and
residence of Atty. Y and the latter's client changed and no forwarding addresses were given.
Atty. X's remedy is to:
a. Serve by registered mail;
b. Serve by publication;
c. Deliver copy of the motion to the clerk of court with proof of failure to serve;
d. Certify in the motion that personal service and through mail was impossible.
32. When caught, X readily admitted to the Forestry Ranger that he cut the trees. Such a
statement may be admitted and is not necessarily hearsay because:
a. it is a judicial admission of guilt.
b. it shows the statement was true.
c. it will form part of the circumstantial evidence to convict.
d. it proves that such a statement was made.
33. A complaint may be dismissed by the plaintiff by filing a notice of dismissal:
a. At anytime after service of the answer.

b. At anytime before a motion of summary judgment is filed.

c. At the pre-trial.
d. Before the complaint is amended.
34. In a criminal case for violation of a city ordinance, the court may issue a warrant of arrest:
a. for failure of the accused to submit his counter-affidavit.
b. after finding probable cause against the accused.
c. for failure of the accused to post bail.
d. for non-appearance in court whenever required.
35. Under the Katarungan Pambarangay rules, the execution of an amicable settlement or
arbitration award is started by filing a motion for execution with the Punong Barangay, who
may issue a notice of execution in the name of the Lupon Tagapamayapa. Execution itself,
however, will be done by:
a. a court-appointed sheriff.
b. any Barangay Kagawad.
c. Punong Barangay.
d. any member of the Pangkat ng Tagapagsundo.
36. If the judgment debtor dies after entry of judgment, execution of a money judgment may be
done by:
a. presenting the judgment as a claim for payment against the estate in a special
proceeding.
b. filing a claim for the money judgment with the special administrator of the estate of
the debtor.
c. filing a claim for the money judgment with the debtor's successor in interest.
d. move for substitution of the heirs of the debtor and secure a writ of execution.
37. The Director of the BFAR launches an intensified campaign against illegal fishpen operators
situated in Laguna de Bay. The illegal fishpen operators file a Section 3 (e), R.A. 3019
(causing undue injury or benefit) case against the BFAR Director before the Sandiganbayan.
The Director's best remedy before Sandiganbayan is:
a. file a Motion to Quash based on lack of jurisdiction over the person.
b. file a Motion to Quash for non-exhaustion of administrative remedies.

c. file a Motion to Dismiss because the complaint is a SLAPP suit.

d. move for suspension of proceedings because of a pre-judicial question.
38. A complaint may be refiled if dismissed on which of the following grounds?
a. unenforceable under the Statute of Frauds;
b. Res Judicata;
c. Litis Pendencia;
d. Lack of jurisdiction.
39. The following are accurate statements on joinder of causes of action, except:
a. joinder of actions avoids multiplicity of suits.
b. joinder of actions may include special civil actions.
c. joinder of causes of action is permissive.
d. the test of jurisdiction in case of money claims in a joinder of causes of act1on, is the
"totality rule".
40. W, a legal researcher in the RTC of Makati, served summons on an amended complaint on Z
at the latter's house on a Sunday. The service is invalid because:
a. it was served on a Sunday.
b. the legal researcher is not a "proper court officer".
c. (a) and (b) above
d. there is no need to serve summons on an amended complaint.
41. After a plea of not guilty is entered, the accused shall have _____ days to prepare for trial.
a. 15;
b. 10;
c. 30;
d. None of the above.
42. The following motions require a notice of hearing served on the opposite party, except:
a. Motion to Set Case for Pre-trial;

b. Motion to take deposition;

c. Motion to correct TSN;
d. Motion to postpone hearing.
43. Which of the following statements is incorrect?
a. A Motion to Quash which is granted is a bar to the prosecution for the same offense if
the criminal action or liability has been extinguished.
b. In the Court of Appeals, the accused may file a motion for new trial based only on
newly discovered evidence.
c. A demurrer to evidence may be filed without leave of court in a criminal case.
d. None of the above.
44. Which of the following is true?
a. Summons expires after 5 days from issue.
b. Writ of Execution expires after 10 days from issue.
c. Search Warrant expires after 20 days from issue.
d. Subpoena expires after 30 days from issue.
45. A person may be charged with direct contempt of court when:
a. A person re-enters a property he was previously ejected from.
b. A person refuses to attend a hearing after being summoned thereto.
c. He attempts to rescue a property in custodia legis.
d. She writes and submits a pleading containing derogatory, offensive or malicious
statements.
46. Under the Rules of Electronic Evidence, "ephemeral electronic conversation" refers to the
following, except:
a. text messages;
b. telephone conversations;
c. faxed document;
d. online chatroom sessions;

47. A private electronic document's authenticity may be received in evidence when it is proved
by:
a. evidence that it was electronically notarized.
b. evidence that it was digitally signed by the person who purportedly signed the same.
c. evidence that it contains electronic data messages.
d. evidence that a method or process was utilized to verify the same.
48. Atty. A drafts a pleading for his client 8 wherein B admits certain facts prejudicial to his case.
The pleading was never filed but was signed by Atty. A. Opposing counsel got hold of the
pleading and presents the same in court. Which statement is the most accurate?
a. The prejudicial statements are not admissible because the unfiled document is not
considered a pleading.
b. The prejudicial statements are not admissible because the client did not sign the
pleading.
c. The prejudicial statements are not admissible because these were not made by the
client in open court.
d. The prejudicial statements are not admissible because these were made outside the
proceedings.
49. Under the Rules on Examination of a child witness, a child witness is one:
a. who is 18 years of age or below at the time of testifying.
b. who is below 18 years of age at the time of the incident/crime to be testified on.
c. who is below 18 years of age at the time of the giving of testimony.
d. who is 18 years of age in child abuse cases.
50. In which of the following is Interpleader improper?
a. in an action where defendants' respective claims are separate and distinct from each
other.
b. in an action by a bank where the purchaser of a cashier's check claims it was lost
and another person has presented it for payment.
c. in an action by a lessee who does not know where to pay rentals due to conflicting
claims on the property.
d. in an action by a sheriff against claimants who have conflicting claims to a property
seized by the sheriff in foreclosure of a chattel mortgage.

51. The Parole Evidence Rule applies to:

a. subsequent agreements placed on issue.
b. written agreements or contractual documents.
c. judgment on a compromise agreement.
d. will and testaments.
52. PDEA agents conducted a search on a house abandoned by its owners in Quezon City. The
search, in order to be valid, must be made in the presence of:
a. any relative of the owner of the house.
b. the Director of the PDEA and a member of the media.
c. the Barangay Chairman and a Barangay Tanod.
d. any elected Quezon City official.
53. A judge of an MTC can hear and decide petitions for habeas corpus or applications for bail
where:
a. the Supreme Court authorizes the MTC.
b. the judge is the Executive Judge of the MTC.
c. the judge of the RTC where the case is raffled has retired, was dismissed or had
died.
d. in the absence of all the RTC Judges in the province or city.
54. Proof of service of summons shall be through the following, except :
a. written return of the sheriff;
b. affidavit of the person serving summons;
c. affidavit of the printer of the publication;
d. written admission of the party served.
55. As a mode of discovery, the best way to obtain an admission from any party regarding the
genuineness of any material and relevant document is through a:
a. motion for production of documents.
b. written interrogatories.

c. request for admission under Rule 26.

d. request for subpoena duces tecum.
56. A judgment "non pro tunc" is one which:
a. dismisses a case without prejudice to it being re-filed.
b. clarifies an ambiguous judgment or a judgment which is difficult to comply with.
c. one intended to enter into the record the acts which already have been done, but
which do not appear in the records.
d. is a memorandum decision.
57. The Sandiganbayan can entertain a quo warranto petition only in:
a. cases involving public officers with salary grade 27 or higher.
b. only in aid of its appellate jurisdiction.
c. as a provisional remedy.
d. cases involving "ill gotten wealth".
58. The judgment in a criminal case may be promulgated by the following, except by:
a. a Sandiganbayan justice in cases involving anti-graft laws.
b. a Clerk of Court of the court which rendered judgment.
c. an Executive Judge of a City Court if the accused is detained in another city.
d. any judge of the court in which it was rendered.
59. Leave of court is always necessary in:
a. a demurrer to evidence in a civil case.
b. a demurrer to evidence in a criminal case.
c. motion to amend a complaint.
d. third party complaint.
60. Correctly complete the sentence: A lone witness --a. is credible only if corroborated.

b. is never credible.
c. may be believed even if not corroborated.
d. is always credible.
61. A judgment of conviction in a criminal case becomes final when:
a. accused orally waived his right to appeal.
b. accused was tried in absentia and failed to appear at the promulgation.
c. accused files an application for probation.
d. reclusion perpetua is imposed and the accused fails to appeal.
62. After a hearing on a Motion to Dismiss, the court may either dismiss the case or deny the
same or:
a. defer resolution because the ground relied upon 1s not indubitable.
b. order amendment of the pleading
c. conduct a preliminary hearing
d. None of the above.
63. Under Rule 52, a Second Motion for Reconsideration is a prohibited pleading. However,
where may such Motion be allowed?
a. the Sandiganbayan;
b. the Office of the President;
c. the Supreme Court;
d. None of the above.
64. The mortgage contract between X, who resides in Manila, and Y, who resides in Naga,
covering land in Quezon provides that any suit arising from the agreement may be filed
"nowhere else but in a Makati court". Y must thus sue only in:
a. Makati;
b. Makati and/or Naga;
c. Quezon and/or Makati;
d. Naga.

65. Immediately after the witness had been sworn in to testify, without any formal offer of his
testimony, Atty. A started asking questions on direct examination to the witness. The court
may still consider his testimony if:
a. the formal offer is done after the direct testimony.
b. the opposing counsel did not object.
c. the witness is an expert witness.
d. the opposing counsel offered to stipulate on the testimony given.
66. A private document may be considered as evidence when it is sequentially:
a. marked, identified, authenticated.
b. identified, marked and offered in evidence.
c. marked, identified, authenticated and offered in evidence.
d. marked, authenticated and offered in evidence.
67. The Court of Appeals cannot issue a temporary restraining order in the following cases,
except:
a. bidding and awarding of a project of the national government.
b. against any freeze order issued by the AMLC under the antimoney laundering law.
c. against infrastructure projects like the SLEX extension.
d. against the DAR in the implementation of the CARL Law.
68. Choose the most accurate phrase to complete the statement: Mandamus will lie --a. to compel a judge to consolidate trial of two cases pending before different branches
of the court.
b. to compel a judge to reduce his decision in writing.
c. to direct a probate court to appoint a particular person as regular administrator.
d. to compel a judge to grant or deny an application for preliminary injunction.
69. A judgment by default can be issued despite an Answer being filed in:
a. annulment of marriage.
b. legal separation.

c. cases where a party willfully fails to appear before the officer who is to take his
deposition.
d. declaration of nullity of marriage.
70. Which of the following statements is not accurate?
a. A plea of guilty later withdrawn is admissible 1n evidence against the accused who
made the plea.
b. An unaccepted offer of a plea of guilty to a lesser offense is inadmissible in evidence
against the accused.
c. An offer to pay or payment of medical expenses arising from injury is not evidence or
proof of civil/criminal liability for the Injury.
d. In civil cases, an offer of compromise by the accused is admissible as an implied
admission of guilt.
71. Under the Rules on Evidence, the following is a conclusive presumption and therefore
cannot be contradicted by evidence.
a. A person intends the ordinary consequences of his voluntary act.
b. Official duty has been regularly performed.
c. A tenant cannot deny his landlord's title during the tenancy period.
d. A writing is truly dated.
72. Cesar, age 16, a habitual offender, was caught in possession of .001 grams of marijuana. He
was charged for violation of Sec. 16 of R.A. 9165, The Comprehensive Dangerous Drugs
Law. The court which has jurisdiction is:
a. the MTC;
b. the RTC;
c. Special Drugs Court;
d. Family Court.
73. A court can motu proprio dismiss a case on the following grounds, except :
a. failure to prosecute;
b. lack of jurisdiction over the parties;
c. litis pendentia;

d. prescription.
74. A person entitled to the estate of a deceased person escheated in favor of the State has:
a. 5 years from date of judgment to file a claim.
b. 2 years from date of judgment to file a claim.
c. 5 years from date of registration of the judgment to file a claim.
d. 2 years from date of registration of the judgment to file a claim.
75. The MTC, acting as an Environmental Court, has original and exclusive jurisdiction over the
following, except:
a. criminal offenses punishable under the Chain Saw Act (R.A. 9175)
b. violation of the NIPAS Law (R.A. 7586)
c. violation of the Mining Laws
d. violation of Anti-Pollution Laws
76. A special administrator may be appointed by a court when:
a. the executor cannot post a bond.
b. the executor fails to render an account.
c. regular administrator has a claim against estate he represents.
d. a Motion for Reconsideration is filed with respect to a decision disallowing probate of
a will.
77. A defendant declared in default may, after judgment but before finality, file a:
a. Petition for Relief from Judgment;
b. Petition for Certiorari;
c. Motion for Reconsideration;
d. Motion to Set Aside Order of Default.
78. With leave of court, a party may amend his pleading if:
a. there is yet no responsive pleading served.
b. the amendment is unsubstantial.

c. the amendment involves clerical errors of defect in the designation of a party.

d. the amendment is to conform to the evidence.
79. When a Motion to Quash search warrant is denied, the best remedy is:
a. appeal the denial order.
b. file a motion to suppress evidence.
c. file an injunction suit.
d. file a certiorari petition.
80. A court may take judicial notice of:
a. the Twitter account of President Aquino.
b. a Committee Report issued by the Congressional Committee on Labor Relations.
c. the effects of taking aspirin everyday.
d. the arbitral award issued by International Court of Arbitration.
81. The case of R, who is under detention, was raffled to the RTC on March 1. His arraignment
should be set not later than:
a. March 4;
b. March 16;
c. March 30;
d. March 11.
82. After the DOJ Secretary granted accused's Petition for Review, the prosecution filed a
motion to withdraw the Information before the trial court. The judge therein denied the same.
The trial prosecutor manifested before the judge that he can no longer prosecute the case
because he is only an alter ego of the DOJ Secretary who ordered him to withdraw the
Information. The case should therefore be prosecuted by:
a. a DOJ state prosecutor.
b. private prosecutor, if any.
c. trial prosecutor of the pairing court.
d. the same trial prosecutor who manifested his inability to prosecute the case.

83. A decision or resolution of a division of the Supreme Court when concurred in by members
who actually took part in the deliberation on the issues in a case and voted thereon, is a
decision or resolution of the Supreme Court.
a. three (3);
b. five(S);
c. eight (8);
d. ten (10).
84. A and B adopted their nephew. They filed an action for revocation of the adoption on May 1,
1998 on the ground that their nephew neglected them. Based on the Rules of Domestic
Adoption, the judge must:
a. advise A and B to just disinherit the nephew.
b. disallow the revocation.
c. refer the petition to the DSWD.
d. grant the petition after hearing.
85. Sandiganbayan exercises concurrent jurisdiction with the Supreme Court and the Court of
Appeals over:
a. Petitions for Writ of Certiorari and Prohibition;
b. Petitions for Writ of Habeas Corpus;
c. Petitions for Quo Warranto;
d. Petitions for Writ of Amparo and Habeas Corpus.
86. C, a convict, was able to get favorable results of a post-conviction DNA testing showing that
C could not have committed the crime. To gain freedom, C may:
a. file a petition for Writ of Habeas Corpus before the court of origin.
b. apply for full pardon.
c. file a Motion to annul judgment of conviction on the ground of fraud.
d. file a Motion for new trial under Rule 121.
87. X filed a complaint with the RTC through ABC, a private letter forwarding agency. The date of
filing of the complaint shall be:
a. the date stamped by ABC on the envelope containing the complaint.

b. the date of receipt by the Clerk of Court.

c. the date indicated by the receiving clerk of ABC.
d. the date when the case is officially raffled.
88. An objection to any interrogatories may be presented within_ days after service thereof:
a. 15;
b. 10;
c. 5;
d. 20.
89. The deposition of a witness, whether or not a party, may be used for any purpose if the Court
finds the following circumstances are attendant, EXCEPT:
a. when the witness is dead.
b. when the witness is incarcerated.
c. when the witness is outside the Philippines and absence is procured by the party
offering deposition.
d. when the witness is 89 years old and bed-ridden.
90. One of the exemptions to the general rule that evidence not formally offered shall not be
considered is:
a. in judgment on the pleadings.
b. evidence in land registration proceedings.
c. evidence lost/destroyed due to force majeure after being marked, identified and
described in the record.
d. documentary evidence proving a foreign judgment.
91. In Petition for Certiorari, the Court of Appeals issues a Writ of Preliminary Injunction against
the RTC restraining the latter from trying a crucial case. The Court of Appeals should
therefore:
a. decide the main case within 60 days.
b. decide the certiorari petition within 6 months.
c. decide the main case or the petition within 60 days.

d. decide the main case or the petition within 6 months from issue of the preliminary
injunction.
92. Witness A was examined on direct examination by the prosecutor. The defense counsel
however employed dilatory tactics and was able to secure numerous postponements of A's
cross examination. A suffered a stroke and became incapacitated. His uncompleted
testimony may therefore be:
a. ordered stricken from the record.
b. allowed to remain in the record.
c. held in abeyance until he recovers.
d. not be given any probative weight.
93. If the Supreme Court en bane is equally divided in opinion covering an original action, the
case shall be:
a. re-raffled to a division.
b. original action shall be dismissed.
c. The judgment appealed from shall be official.
d. again deliberated upon.
94. An example of a special judgment is one which orders:
a. the defendant to deliver and reconvey personal property to the plaintiff.
b. defendant to execute a Deed of Sale in favor of plaintiff.
c. defendant to paint a mural for the plaintiff.
d. Defendant to vacate the leased premises.
95. At the promulgation of judgment, P, who is bonded, failed to appear without justifiable cause.
In order for P not to lose his remedies under the Rules, he must:
a. within 15 days from receipt of a copy of the decision, file a Motion for
Reconsideration.
b. within 15 days from the promulgation, surrender to the court and file a motion for
leave to avail of remedies.
c. notify his bondsman within 15 days so that his bail will not be confiscated.
d. file a petition for certiorari.

96. X, the designated executor of a will, files a petition for probate of the same. X and his
counsel failed to appear without justifiable cause at the hearing on the presentation of
evidence and the court therefore dismissed, motu proprio, his petition for failure to
prosecute. The effect of the dismissal is:
a. not an adjudication upon the merits.
b. the will can no longer be probated.
c. it is a dismissal with prejudice.
d. a bar to a subsequent action on the same cause.
97. The Rule on Small Claims is applicable to:
a. claims for unpaid rentals of P 100,000 or less, with prayer for ejectment.
b. enforcement of a barangay amicable settlement involving a money claim of P 50,000
after one (1) year from date of settlement.
c. action for damages arising from a quasi-delict amounting to P 100,000.
d. action to collect on a promissory note amounting to P 105,000 where plaintiff
expressly insists in recovering only P 1 00,000.
98. When directed by the judge, a clerk of court can receive evidence addressed by the parties
in:
a. case where the judge is on leave.
b. small claims proceedings.
c. cases where the parties agree in writing.
d. land registration proceedings.
99. A certificate against Forum-Shopping is not required in:
a. petitions for probate of will.
b. application for search warrant.
c. complaint-in-intervention.
d. petition for Writ of Kalikasan.
100.
An accused's custodial rights, e.g., right to counsel and right to remain silent, is
available:
a. at preliminary investigation.

b. at police line-up for identification purposes.

c. at ultra-violet examination to determine presence of ultra violet powder on accused's
hands.
d. at one-on-one confrontation with eyewitness.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE HEAD WATCHER.

2012 BAR EXAMINATIONS

REMEDIAL LAW
28 October 2012

10 A.M. -12 NN.

Set B
ESSAYTYPE QUESTIONS
INSTRUCTIONS

The following questionnaire consists of ten (10) questions (numbered I to X) contained in FIVE (5)
pages.
Begin your answer to each numbered question on a separate page; an answer to a sub-question/s
under the same number may be written continuously on the same page and succeeding pages until
completed.
Answer the question directly and concisely. Do not repeat the question. Write legibly.
HAND IN YOUR NOTEBOOK. THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE
HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS SIX (6) PAGES (INCLUDING THIS PAGE).
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
REMEDIAL LAW

I
a. After an information for rape was filed in the RTC, the DOJ Secretary, acting on the
accused's petition for review, reversed the investigating prosecutor's finding of probable
cause. Upon order of the DOJ Secretary, the trial prosecutor filed a Motion to Withdraw
Information which the judge granted. The order of the judge stated only the following:
"Based on the review by the DOJ Secretary of the findings of the investigating
prosecutor during the preliminary investigation, the Court agrees that there is no
sufficient evidence against the accused to sustain the allegation in the information.
The motion to withdraw Information is, therefore, granted."
If you were the private prosecutor, what should you do? Explain. (5%)
b. A was charged with a non-bailable offense. At the time when the warrant of arrest was
issued, he was confined in the hospital and could not obtain a valid clearance to leave the
hospital. He filed a petition for bail saying therein that he be considered as having placed
himself under the jurisdiction of the court. May the court entertain his petition? Why or why
not? (5%)
II
a. Discuss the "chain of custody" principle with respect to evidence seized under R.A. 9165 or
the Comprehensive Dangerous Drugs Act of 2002. (5%)
b. What do you understand about the "precautionary principle" under the Rules of Procedure
for Environmental Cases? (5%)
III
a. Distinguish error of jurisdiction from error of judgment. (5%)
b. A, a resident of Quezon City, wants to file an action against B, a resident of Pasay, to compel
the latter to execute a Deed of Sale covering a lot situated in Marikina and that transfer of
title be issued to him claiming ownership of the land. Where should A file the case? Explain.
(5%)
IV
a. A bought a Volvo Sedan from ABC Cars for P 5.0M. ABC Cars, before delivering to A, had
the car rust proofed and tinted by XYZ Detailing. When delivered to A, the car's upholstery
was found to be damaged. ABC Cars and XYZ Detailing both deny any liability. Who can A
sue and on what cause(s) of action? Explain. (5%)
b. Mr. Sheriff attempts to enforce a Writ of Execution against X, a tenant in a condominium unit,
who lost in an ejectment case. X does not want to budge and refuses to leave. Y, the winning
party, moves that X be declared in contempt and after hearing, the court held X guilty of
indirect contempt. If you were X's lawyer, what would you do? Why? (5%)
V

a. X was arrested, en flagrante, for robbing a bank. After an investigation, he was brought
before the office of the prosecutor for inquest, but unfortunately no inquest prosecutor was
available. May the bank directly file the complaint with the proper court? If in the affirmative,
what document should be filed? (5%)
VI
A PDEA asset/informant tipped the PDEA Director Shabunot that a shabu laboratory was operating
in a house at Sta. Cruz, Laguna, rented by two (2) Chinese nationals, Ho Pia and Sio Pao. PDEA
Director Shabunot wants to apply for a search warrant, but he is worried that if he applies for a
search warrant in any Laguna court, their plan might leak out.
a. Where can he file an application for search warrant? (2%)
b. What documents should he prepare in his application for search warrant? (2%)
c. Describe the procedure that should be taken by the judge on the application. (2%)
Suppose the judge issues the search warrant worded in this way:
PEOPLE OF THE PHILIPPINES
Plaintiff
-versus-

Criminal Case No. 007

for
Violation of R.A. 9165

Ho Pia and Sio Pao,

Accused.
x- - - - - - - - - - - - - - - - - - - - - -x
TO ANY PEACE OFFICER
Greetings:
It appearing to the satisfaction of the undersigned after examining under oath PDEA Director
shabunot that there is probable cause to believe that violations of Section 18 and 16 of R.A.
9165 have been committed and that there are good and sufficient reasons to believe that Ho
Pia and Sio Pao have in their possession or control, in a two (2) door apartment with an iron
gate located at Jupiter St., Sta. Cruz, Laguna, undetermined amount of "shabu" and drug
manufacturing implements and paraphernalia which should be seized and brought to the
undersigned,
You are hereby commanded to make an immediate search, at any time in the day or night, of
the premises above described and forthwith seize and take possession of the
abovementioned personal property, and bring said property to the undersigned to be dealt
with as the law directs.
Witness my hand this 1st day of March, 2012.

(signed)
Judge XYZ
d. Cite/enumerate the defects, if any, of the search warrant. (3%)
e. Suppose the search warrant was served on March 15, 2012 and the search yielded the
described contraband and a case was filed against the accused in RTC, Sta. Cruz, Laguna
and you are the lawyer of Sio Pao and Ho Pia, what will you do? (3%)
f.

Suppose an unlicensed armalite was found in plain view by the searchers and the warrant
was ordered quashed, should the court order the return of the same to the Chinese
nationals?
Explain your answer. (3%)
VII

a. Counsel A objected to a question posed by opposing Counsel B on the grounds that it was
hearsay and it assumed a fact not yet established. The judge banged his gavel and ruled by
saying "Objection Sustained". Can Counsel 8 ask for a reconsideration of the ruling? Why?
(5%)
b. Plaintiff files a request for admission and serves the same on Defendant who fails, within the
time prescribed by the rules, to answer the request. Suppose the request for admission
asked for the admission of the entire material allegations stated in the complaint, what
should plaintiff do? (5%)
VIII
a. A sues B for collection of a sum of money. Alleging fraud in the contracting of the loan, A
applies for preliminary attachment with the court. The Court issues the preliminary
attachment after A files a bond. While summons on B was yet unserved, the sheriff attached
B's properties. Afterwards, summons was duly served on B. 8 moves to lift the attachment.
Rule on this. (5%)
b. Discuss the three (3) Stages of Court Diversion in connection with Alternative Dispute
Resolution. (5%)
IX
a. X, an undersecretary of DENR, was charged before the Sandiganbayan for malversation of
public funds allegedly committed when he was still the Mayor of a town in Rizal. After
arraignment, the prosecution moved that X be preventively suspended. X opposed the
motion arguing that he was now occupying a position different from that which the
Information charged him and therefore, there is no more possibility that he can intimidate
witnesses and hamper the prosecution. Decide. Suppose X files a Motion to Quash
challenging the validity of the Information and the Sandiganbayan denies the same, will there
still be a need to conduct a pre-suspension hearing? Explain. (5%)

b. Briefly discuss/differentiate the following kinds of Attachment:

preliminary attachment, garnishment, levy on execution, warrant of seizure and warrant of
distraint and levy. (5%)
X
a. Where and how will you appeal the following:
(1) An order of execution issued by the RTC. (1%)
(2) Judgment of RTC denying a petition for Writ of Amparo. (1%)
(3) Judgment of MTC on a land registration case based on its delegated jurisdiction. (1%)
(4) A decision of the Court of Tax Appeal's First Division. (1%)
b. A files a Complaint against 8 for recovery of title and possession of land situated in Makati
with the RTC of Pasig. B files a Motion to Dismiss for improper venue. The RTC Pasig Judge
denies B's Motion to Dismiss, which obviously was incorrect. Alleging that the RTC Judge
"unlawfully neglected the performance of an act which the law specifically enjoins as a duty
resulting from an office", 8 files a Petition for Mandamus against the judge. Will Mandamus
lie? Reasons. (3%)
c. What are the jurisdictional facts that must be alleged in a petition for probate of a will? How
do you bring before the court these jurisdictional facts? (3%)
- NOTHING FOLLOWS 2012 BAR EXAMINATIONS
LEGAL ETHICS AND PRACTICAL EXERCISES
1. Atty. Galing is a Bar topnotcher. He has been teaching major subjects in a law school for
eight (8) years and has mastered the subjects he is handling. Is he exempt from the MCLE
requirement?
a. No, eight (8) years experience is not enough.
b. Yes, since he has mastered what he is handling.
c. Yes, professors of law are exempted.
d. No, since he is not yet a Bar reviewer.
2. Atty. Rey has been a professor in the Legal Management Department of Y University for
thirty (30) years. He teaches Constitution, Obligation and Contracts, Insurance, Introduction
to Law. Is he exempted from the MCLE requirement?
a. Yes, because his teaching experience is already more than ten (10) years.
b. No, because he is not teaching in the College of Law.

c. Yes, because of his field of knowledge and experience.

d. No, because Y University is not accredited.
3. The term of Dean Rex of X College of Law expired in the first year of the third compliance
period. Does his exemption extend to the full extent of said compliance period?
a. No, he must comply with all the unit requirements.
b. Yes, to the full extent.
c. No, but comply proportionately.
d. Yes, but he must apply for exemption.
4. What is the duration of MCLE Compliance Period?
a. Twelve (12) months;
b. Twenty four (24) months;
c. Thirty six (36) months;
d. Eighteen (18) months.
5. When does compliance period begin?
a. When the lawyer actually begins law practice;
b. Upon admission/readmission to the Bar;
c. 01 October 2009;
d. 01 October 2006.
6. Does the MCLE requirement apply at once to a newly-admitted lawyer?
a. Yes, if admitted to the Bar and there are four (4) more months remaining of the
compliance period.
b. No, wait for the next compliance period.
c. Yes, if he will start law practice immediately.
d. Yes, if more than one (1) year remains of the compliance period.
7. What is the purpose of MCLE?
a. To conform with the requirements of international law.

b. To provide a venue to improve fraternal relations among lawyers.

c. To keep abreast with law and jurisprudence and to maintain the ethical standards of
the profession.
d. To supplement legal knowledge due to substandard law schools.
8. Atty. Aga was appointed as Treasurer by the IBP President with the approval of the Board of
Governors for a term coterminous with that of the President. A year thereafter, Atty. Aga ran
as Barangay Chairman of their place, and took a leave of absence for two (2) weeks to
campaign. May Atty. Aga re-assume as Treasurer after his leave of absence?
a. Yes, since he lost in the election.
b. No, because he was deemed resigned upon filing of his certificate of candidacy.
c. Yes, because his position as Treasurer is coterminous with the President of the I BP.
d. No, because he should first seek the approval of the IBP Board of Governors before
running as Brgy. Chairman.
9. Atty. Magtanggol of the PAO was assigned to defend X who is accused of Slight Physical
Injury before the MTC of a far-flung town. During the trial, P02 Tulco appeared in court on
behalf of the complainant. Atty. Magtanggol objected to his appearance since the policeman
is not a member of the Bar.
a. The objection is valid. It should be the public prosecutor who should prosecute the
criminal action.
b. Atty. Magtanggol is just afraid that his client may be convicted through the efforts of a
non-lawyer.
c. In the courts of a municipality, a party may conduct his litigation in person or with the
aid of an agent or friend.
d. If a public prosecutor is not available, at least a private prosecutor who must be a
lawyer should be designated.
10. Bong Tupak, a second year law student, was charged in the RTC for Forcible Abduction with
Rape. Having knowledge of criminal law and procedure, he dismissed the counsel de oficio
assigned and appeared for himself. He asserted that there was lack of force. Eventually, the
RTC found him guilty of Consented Abduction and imposed the penalty. Bong Tupak now
assails the decision, saying that there was a violation of due process because he was
allowed to appear by himself and he did not know that Consented Abduction is a crime.
Decide.
a. An accused before the RTC may opt to defend himself in person and he cannot fault
others for his decision.
b. The RTC should have appointed a counsel de oficio to assist the accused even if not
sought or requested by the accused.

c. There was violation of due process. There is disparity between the expertise of a
public prosecutor and the inexperience of a 2nd year law student.
d. A 2nd year law student has sufficient knowledge of criminal law and procedure,
hence, he is competent to defend himself.
11. RTC Judge Bell was so infuriated by the conduct of Atty. X who conveniently absents himself
when his clients do not pay his appearance fee in advance. Atty. X also uses disrespectful
and obscene language in his pleadings . . At one point, when his case was called for
hearing, Atty. X did not appear for his client although he was just outside the door of the court
room. Judge Bell directed the client to summon Atty. X, but the latter refused. Judge Bell then
issued an Order directing Atty. X to explain why no disciplinary action shall be imposed on
him for this misconduct but he refused the directive. Decide.
a. RTC Judge Bell can suspend Atty. X from the practice of law before his sala.
b. The case of Atty. X can be dismissed due to non-appearance of counsel even though
the party was present.
c. The hearing of the case should be rescheduled in the interest of justice.
d. The court can admonish the client for the unprofessional conduct of his lawyer and
ask him to change his lawyer.
12. Debbie, topnotcher of their class, is now on her 4th year law studies and has enrolled in the
legal aid clinic of the law school. She was assigned to handle a domestic violence and
support case filed by their client against her husband. During the hearing, the clinic's
supervising attorney introduced Debbie to the Branch Clerk of Court and then left to oversee
another intern. In the midst of the proceedings, opposing counsel objected to the
appearance of Debbie because she is not yet a lawyer. Decide.
a. Debbie can proceed because the law student practice rule allows a student who has
finished 3rd year of the regular course to appear without compensation before a trial
court.
b. Debbie can proceed since she is appearing only during the trial and did not sign the
pleadings.
c. Debbie cannot proceed without the presence of their clinic's supervising attorney.
d. Debbie has proven her capability to handle the case and opposing counsel is
objecting only now because he might lose to a law student.
13. Atty. Quiso was the retained counsel for Alfa Security Agency and handled all the cases
involving the company. Adam, the Assistant Manager of the agency, hired Atty. Quiso when
he was sued in an ejectment case. Later, Adam was fired from the agency. Adam did not
return a vehicle and so, Atty. Quiso - as counsel for the security agency - filed a replevin suit
Adam moved for Atty. Quiso's disqualification considering that the ejectment case is still
pending. Is there conflict of interest?

a. No, the cases are totally unrelated and there is no occasion to unduly use
confidential information acquired from one case in the other.
b. No, Atty. Quiso is duty bound to handle a !I cases of his client, including the replevin
case against Adam.
c. Yes, proscription is against representation of opposing parties who are present
clients or in an unrelated action.
d. Yes, Atty. Quiso must withdraw as counsel for Adam, otherwise he will lose his
retainer
14. Mr. Joseph, owner of an investment house, consulted a friend , Atty. Miro, about a potential
criminal act1on against him because he cannot pay investors due to temporary liquidity
problems. Atty. Miro asked Mr. Joseph to transfer to him all assets of the firm and he will take
charge of settling the claims and getting quitclaims. A month later, Mr. Joseph was surprised
to receive a demand letter from Atty. Miro , as counsel for all the claimants , for the pay back
of their investments. After a while, Mr. Joseph received releases and quitclaims from the
investors, with desistance from filing criminal action against him. Atty. Miro later told Mr.
Joseph that he sent the demand letter so he can claim attorney's fee. Was there a conflict of
interest?
a. No, there was no formal engagement of Atty. Miro as counsel for Mr. Joseph.
b. Yes, by giving legal advice to Mr. Joseph, the latter became a client of Atty. Miro.
c. No, there is no attorney-client relationship between Mr. Joseph and Atty. Miro as no
attorney's fee was charged nor paid to the latter.
d. Yes, because Atty. Miro was representing Mr. Joseph when he disposed the assets to
pay off the claims.
15. Atty. Gelly passed the Bar 1n 1975. After taking his oath, he did not enlist in any IBP chapter
because he went to the USA to pursue a Master's Degree. Eventually, he passed the state
bar and specialized in lmmigration law. In 2005. he returned to the Philippines and was but
the IBP is charging him from 1975 up to the present and threatening him with expulsion if he
does not comply. Is the IBP correct?
a. Atty. Gelly cannot be compelled to pay the IBP dues because he was not engaged in
the practice of law from 1975-2005.
b. Atty. Gelly is exempt from 1975-2005 because he was out of the country.
c. Atty. Gelly should pay the dues from 1975 to the present since membership in the
IBP is compulsary.
d. Atty. Gelly should not pay because the rule on bar integration is unconstitutional for
compelling a lawyer to join an association.
16. Mr. Joey owns a 5-hectare parcel of land which is being expropriated as market site. The
government is offering only Php 15 per sqm while Mr. Joey deserves Php 20 per sqm. Atty.

AI agreed to represent Mr. Joey in the expropriation case on contingent basis in that his
attorney's fees shall be the excess of Php 20 per sqm. Due to expert handling, the
expropriation court awarded Mr. Joey the fair market value of Php 35 per sqm. Mr. Joey
complained to the court that the attorney's fee being charged is excessive as it amounts to
about 63/o of the award. Decide.
a. A retainer's agreement, as a contract, has the force of law between the parties and
must be complied with in good faith.
b. It was the excellent handling of the case that resulted in a bigger award; hence, it is
fair that Atty. AI should be rewarded with the excess.
c. Mr. Joey got the desired valuation for his land. So, he must honor his contract with
Atty. AI.
d. Attorney's fees is always subject to court supervision and may be reduced by the
court based on quantum meruit.
17. Atty. Atras was the counsel for Mr. Abante. Soon after the case was submitted for decision,
Mr. Abante got the files and informed Atty. Atras that he was hiring another lawyer. On that
same day, a copy of the decision was received by Atty. Atras but he did not do anything
anymore. He also' failed to file his withdrawal, and no appearance was made by the new
counsel. When Mr. Abante found out about the adverse decision, the period to appeal had
lapsed. Was service to Atty. Atras effective?
a. Yes, Atty. Atras is still considered the counsel of record until his withdrawal of
appearance has been actually filed and granted.
b. Service should be done on Mr. Abante because he had already severed lawyer-client
relationship with Atty. Atras.
c. Service should be done on the new counsel as soon as he enters his appearance.
d. Service upon Atty. Atras is not effective because his services have already been
terminated by the client.
18. Atty. Utang borrowed from Y Php 300,000.00 secured by a post dated check. When
presented, the check was dishonored. Y filed a BP 22 case in court, and a disbarment
complaint with the IBP. In the latter case, Atty. Utang moved for dismissal as the act has
nothing to do with his being. a lawyer and that it is premature because the case is pending
and he is entitled to presumption of innocence. Should the disbarment complaint be
dismissed?
a. No, because lawyers may be disciplined for all acts, whether professional or private.
b. Yes, there is no conviction yet.
c. Yes, BP 22 does not involve moral turpitude.
d. No, unless he pays the amount of the check to the satisfaction of Y.

19. Atty. Juan Cruz of the Cruz, Cruz and Cruz Law Office personally handled a damage case of
Mr. Gonzalo which resulted in an award of Php 500,000.00. The writ of execution was served
by Sheriff Onoy, but resulted in recovery of only Php 70,000.00. Mr. Gonzalo was unsatisfied
and filed an administrative complaint. When informed, Sheriff Onoy berated and threatened
Mr. Gonzalo; and for this, the Sheriff was charged with Grave Threat. Atty. Pedro Cruz of the
same Cruz, Ciuz and Cruz Law Office appeared as defense counsel pro bono. Mr. Gonzalo
seeks his disqualification. Decide.
a. No conflict of interest. The Grave Threat case arose out of a different factual
scenario.
b. There is conflict of interest because both Atty. Juan Cruz and Atty. Pedro Cruz belong
to one law office.
c. No conflict of interest since the court case was wholly handled by Atty. Juan Cruz.
The law office did not participate in any way.
d. No conflict of interest. No likelihood that information in the civil case can be used in
the criminal case.
20. Atty. Lorna, a legal officer of a government agency, and Chona, a nurse in the medical
department, were best friends. At one time, Chona consulted Atty. Lorna about a legal
matter, revealing that she is living with a married man and that she has a child out of wedlock
fathered by another man. Later, the relation between Atty. Lorna and Chona soured. When
Chona applied for promotion, Atty. Lorna filed immorality charges against Chona utilizing
solely the disclosure by the latter of her private life. Chona objected and invoked
confidentiality of information from attorney-client relationship. Decide.
a. There is no attorney-client relationship because, being in the government, Atty. Lorna
is disallowed from practicing her profession.
b. No lawyer-client relationship privilege because the information was given as a friend,
and not as a lawyer.
c. Personal secrets revealed to Atty. Lorna for the purpose of seeking legal. advice is
covered by attorney-client privilege.
d. There is no attorney-client relationship because no attorney's fee was paid to Atty.
Lorna.
21. Atty. Nelson recently passed the Bar and wanted to specialize in marine labor law. He gave
out calling cards with his name, address and telephone number in front, and the following
words at the back: "We provide legal assistance to overseas seamen who are repatriated
due to accident, illness, injury, or death. We also offer FINANCIAL ASSISTANCE." Does this
constitute ethical misconduct?
a. No, clients have freedom in the selection of their counsel.
b. No, use of a professional card is a lawful way of announcing his services as a
professional.

c. Yes, because the offer of financial assistance is an undignified way of luring clients.
d. Yes, because the offer of assistance is stated at the back.
22. Which of these does not constitute competent evidence of identity?
a. Passport;
b. SSS card;
c. Community Tax Certificate;
d. Senior Citizen Card.
23. A recovery of ownership complaint was filed by the Dedo and Dedo Law Firm, through Atty.
Jose Dedo as counsel. During all the phases of trial, it was Atty. Jose Dedo who appeared.
Unfortunately, Atty. Jose Dedo died before completion of trial. Notices and orders sent to the
Dedo and Dedo Law Firm were returned to the court with the manifestation that Atty. Dedo
already died and requesting the court to directly send the matters to the client. Is this proper?
a. No, the law firm- through another lawyer - should continue to appear for the client.
b. Yes, because the death of the handling lawyer terminates the attorney-client
relationship.
c. Yes, because attorney's fees was not paid to the law firm.
d. No, it will be unjust for the client to pay another lawyer.
24. Which of these is not a ground for disbarment?
a. Conviction of a crime involving moral turpitude.
b. Belligerent disobedience to a lawful order of a trial court.
c. Malpractice or other gross misconduct in office.
d. Grossly immoral conduct.
25. (unread text)
Supreme Court are handled by:
a. Clerk of Court of the Supreme Court
b. Ombudsman
c. Presiding Justice of the Court of Appeals
d. Office of the Court Administrator

26. Atty. Aimee was convicted by final judgment of Estafa Thru Falsification of a Commercial
Document, a crime involving moral turpitude. What is the appropriate penalty?
a. Disbarment
b. Indefinite suspension
c. Suspension for three (3) years
d. Admonition
27. During the IBP Chapter elections, the candidates for President were Atty. EJ, a labor arbiter
of the NLRC, Fiscal RJ of the DOJ and Atty. Gani of the PAO. After canvass, Fiscal RJ
garnered the highest number of votes, followed by Arbiter EJ and by Atty. Gani. The winning
Vice-President moved for the annulment of the election for President because all the
candidates for President are government officials and are disqualified. Decide.
a. The election for presidency is invalid, and the elected Vice-President shall assume
the Presidency by succession.
b. The election is a failure, and new elections should be held.
c. Fiscal RJ and Arbiter EJ are disqualified. Atty. Gani should be declared winner.
d. All the candidates who are government officials are deemed resigned upon their
acceptance of nomination; and so, Fiscal RJ is winner.
28. Atty. Edad is an 85 year old lawyer. He does not practice law anymore. However, his IBP
Chapter continues to send him notices to pay his IBP dues of more than ten (1 0) years with
warning that failure to comply will result in the removal of his name. Piqued by this, Atty.
Edad filed with the IBP Secretary a sworn letter notifying that he is voluntarily terminating his
membership with the IBP. Should he be allowed?
a. No, because membership in IBP is compulsory for all lawyers.
b. Yes, an erstwhile IBP member may terminate his membership for good reasons.
c. No, that is only a ploy to evade payment of IBP dues.
d. Yes, it will violate his right not to join an association.
29. Who elects the members of the Board of Governors of the IBP?
a. The Presidents of all IBP Chapters;
b. The members at large of the IBP;
c. The House of Delegates;
d. The Past Presidents of all IBP chapters.

30. Who elects the President and Vice-President of the IBP?

a. The President of all IBP Chapters;
b. The IBP members voting at large;
c. The Board of Governors;
d. The outgoing IBP officers.
31. A judge or judicial officer is disqualified to hear a case before him wherein a party is related
to him by consanguinity or affinity a. up to the 6th degree;
b. up to the 5th degree;
c. up to the 4th degree;
d. up to the 3rd degree.
32. A judge or judicial .officer should inhibit himself from hearing a case before him where the
counsel for either party is a relative by consanguinity or affinity a. up to the 3rd degree;
b. up to the 4th degree;
c. up to the 5th degree;
d. up to the 6th degree.
33. Victor has been legally separated from his wife, Belen for fifteen (15) years. He has found
true love and happiness with Amor and they lived together as husband and wife. Amor
convinced Victor to study law and gave him financial support. Recently, Victor passed the
2011 Bar Examinations. Upon knowing this, Belen filed a complaint against Victor for
immorality. Should Victor be allowed to take oath as an attorney?
a. Yes, his relationship with Amor is imbued with genuine love and cannot be
considered immoral and indecent.
b. Yes, legal separation does not allow the spouses to remarry.
c. No, because legal separation does not dissolve the marriage and, therefore, Victor's
relationship with Amor is still considered illicit.
d. Yes, it is totally unfair for Belen to complain since they have lived separate lives.
34. Judge Nacy personally witnessed a vehicular accident near his house. Later, the Reckless
Imprudence case was raffled to his sala. Is there a valid ground for his inhibition?

a. No. he is not acquainted nor related with any of the parties or lawyer.
b. No, his personal knowledge of what actually happened will even ensure that he will
decide the case justly on the basis of the true facts.
c. Yes, because a judge should decide a case on the basis of the evidence presented
before him and not on extraneous matters.
d. No, because there is no ground for disqualification and no motion for inhibition.
35. Judge Ramon obtained a two (2) year car loan from a financing company. He never paid a
single amortization. After the lapse of two (2) years, the financing company filed an
administrative complaint against the judge for willful failure to pay a just debt. Is the judge
administratively liable?
a. No, since the loan is not connected with his judicial function.
b. Yes, because a judge should avoid impropriety or the appearance of impropriety
even in his private dealings.
c. No, the financing company should have availed of the remedy of foreclosure.
d. No, because the administrative charge is only meant to force the judge to pay.
36. Bong, son of Judge Rey, is a fourth year law student. He helped his friend prepare an
affidavit-complaint for Violation of Batas Pambansa Big. 22. After drafting, they showed it to
Judge Rey who made some corrections. Later, the BP 22 case was raffled to Judge Rey who
tried and convicted the accused. Was there impropriety?
a. Yes, since Judge Rey was not a fair and impartial judge.
b. No, the evidence for the prosecution was strong and sufficient to prove guilt beyond
reasonable doubt.
c. No, because any other judge would also have convicted the accused.
d. No, those matters were not known to the accused.
37. Atty. Fred is a law practitioner and headed a law firm bearing his name and those of his
partners. When Atty. Fred was elected as Congressman, his client's needs were handled by
the other partners. Later, A, a newly proclaimed congressman-friend , faced an election
protest before the HRET, and sought the help of Congressman Fred who immediately
directed his law firm to appear for A. 8, the protestant, sought the disqualification of
Congressman Fred's law firm from appearing before the HRET because Congressman Fred
is prohibited from practicing his profession. Decide.
a. Yes, Congressman Fred's law firm is disqualified because Congressman Fred may
exercise undue influence on his peers who are members of HRET.
b. No, the law firm is not disqualified because it is another partner, and not
Congressman Fred who is appearing.

c. No, the prohibition is on Congressman Fred from personally appearing, and not to
his partners.
d. Yes, the spirit of the prohibition is clearly to avoid influence and cannot be indirectly
circumvented.
38. Vice-Mayor Ron is a well-loved law practitioner because he assists his constituents,
especially the indigents. Ed, one of his friends who is employed as Cashier in the Register of
Deeds, sought his assistance because he was charged with Malversation in court. Can ViceMayor Ron appear as counsel of Ed?
a. Yes, members of the Sanggunian are allowed to practice their profession.
b. No, because Ed is charged with an offense in relation to his office.
c. Yes, since the position of Ed does not pertain to the local government.
d. No, because all criminal cases are against the government.
39. Atty. Noe was elected Vice-Governor and continued with his law practice. Later, the governor
went on sick leave for one (1) year and Atty. Noe was designated as Acting Governor. Since
hearings have already been set, can Atty. Noe continue appearing as counsel in the cases
handled by him?
a. Yes, because his election is only as Vice-Governor, and his delegation as Governor
is only temporary.
b. Yes, but only for the hearings that have already been set.
c. Yes, provided Atty. Noe seeks the permission of DILG.
d. No, all governors- even under acting capacity- are prohibited from exercising their
profession.
40. Atty. Dude is the COMELEC Officer in a very distant municipality. He is. the only lawyer in
that area. When election period is over, he has much spare time. Many people go to him for
counseling, legal advice, preparation of documents of Sale, Mortgage and the like. He does
not charge a fee in money, but he receives gifts which are offered. Is there impropriety?
a. Yes, giving legal advice and preparing legal documents, even if free, constitutes
private practice of law, which is prohibited of government employees.
b. No, it is only giving of advices, and not court appearance.
c. Yes, because Atty. Dude accepts gifts.
d. No, since Atty. Dude does not accept money.
41. A notary public is required to record chronologically the notarial acts that he performs in the:

a. Notarial Book;
b. Roll of Documents Notarized;
c. Notarial Register;
d. Notarial Loose Leafs Sheets.
42. A party to a contract does not know how to write. Neither can he affix his thumbmark
because both hands were amputated. How will that person execute the contract?
a. Ask the party to affix a mark using the toe of his foot in the presence of the notary
public and two (2) disinterested and unaffected witnesses to the instrument.
b. Ask the party to hold the pen with his teeth and affix a + mark to be followed by the
signature of one friend.
c. The party may ask the notary public to sign in his behalf.
d. None of the above.
43. The reports of a Notary Public are submitted to the:
a. Executive Judge;
b. Court Administrator;
c. Notarial Archives;
d. Clerk of Court.
44. Atty. Tony is a 25 year old Filipino lawyer. He has been a resident in Paranaque City for
about ten (1 0) years and holds office in his residence. He filed a petition for appointment as
Notary Public in Paranaque and has clearance from the I BP and the Bar Confidant.
However, it appears that while still a college student, he was convicted by a Laguna Court for
Reckless Imprudence Resulting in Damage to Property. During the summary hearing of his
petition, the offended party therein strongly objected on that ground. Can Atty. Tony be
appointed?
a. No, because he has a previous criminal record.
b. No, because of the opposition.
c. Yes, the offense of Reckless Imprudence does not involve moral turpitude.
d. Yes, since the Reckless Imprudence case did not happen in the jurisdiction where
Atty. Tony is applying.
45. What is the effect when the parties to a document acknowledged before a notary public did
not present competent evidence of identity?

a. Voidable;
b. Valid;
c. Invalid Notarization;
d. Unenforceable.
46. The petition for appointment as a notary public should be filed with:
a. The Office of the Court Administrator;
b. The Clerk of Court;
c. The MeTC Executive Judge;
d. The RTC Executive Judge.
47. What is a retaining lien?
a. The lawyer who handled the case during the trial stage should continue to be
retained up to the appeal.
b. The right of the lawyer to be retained as counsel for a party until the entire case is
finished.
c. The right of a lawyer who is discharged or withdrawn to keep the records and
property of the client in his possession until his lawful services have been paid.
d. The prerogative of a client's retainer to recover out-of-pocket expenses.
48. For grave misconduct, a lawyer was suspended from the practice of law indefinitely. Is he still
obliged to pay his IBP dues during his suspension?
a. Yes, as he continues to be a lawyer and a member of the IBP.
b. No, because indefinite suspension is practically disbarment.
c. No need to pay IBP dues because he cannot practice anyway.
d. Pay only after the lifting of the suspension, if it comes.
49. Because of his political beliefs, Atty. Guerra joined a rebel group. Later, he was apprehended
and charged with Rebellion in court. A disbarment case was also filed against him. While the
case was pending, the government approved a general amnesty program and Atty. Guerra
applied for and was granted amnesty. Should the disbarment case be also dismissed
automatically?
a. Yes, because amnesty obliterates the criminal act.

b. No, disciplinary action on lawyers are sui generis and general penal principles do not
strictly apply.
c. No, a lawyer has the duty to maintain allegiance to the Republic of the Philippines
and to support the Constitution and obey the laws of the Philippines.
d. Yes, if the Secretary of Justice approves the dismissal.
50. Soon after Atty. Cesar passed the Philippine Bar in 1975, he also took the New York State
Bar and passed the same. He practiced law for 25 years in the USA, but he was disbarred
therein for insurance fraud. He returned to the Philippines and started to practice law. X, who
knew about his New York disbarment, filed a disbarment complaint with the IBP. Decide.
a. The factual basis for the New York disbarment which is deceitalso constitutes a
ground for disbarment in the Philippines.
b. The acts complained of happened in a foreign country and cannot be penalized here.
c. Norms of ethical behavior of lawyers are the same worldwide.
d. A lawyer's fitness to become a lawyer must be maintained wherever he may be.
- NOTHING FOLLOWS HAND IN YOUR ANSWER SHEET.
THERE IS NO NEED TO RETURN THIS QUESTIONNAIRE TO THE HEAD WATCHER.

2012 BAR EXAMINATIONS

LEGAL ETHICS AND PRACTICAL EXERCISES
28 October 2012

2:30 P.M. - 5:00 P.M.

Set B
INSTRUCTIONS

The following questionnaire consists of FIFTEEN (15) pages, including this page.
You are presented with a hypothetical case trial scenario plus research materials (provisions of law
and jurisprudence) that you may want to use in your work. These materials are designed to provide
sufficient basis for your Memorandum. But you are free to include such laws, rules and principles not
provided that you feel will enhance your work. Some of these materials may be irrelevant.
Consequently, use your judgment in writing only what is relevant to the position you take.
You are given three things: (a) the case trial scenario, (b) a Draft Pad and (c) Answer Pad. You are
free to jot notes or place helpful markings like underlines on the case trial scenario and the enclosed

materials. Use the Draft Pad for making a draft of your Memorandum as this will permit you to freely
edit and rewrite your work. Editing and rewriting are essential to sound Memorandum Writing.
Budget your time well. The bells will be rung three times. First bell will be rung one hour before the
end of the exam to signal the need for you to begin transferring your work to your Answer
Pad. Second bell will be rung 15 minutes before the end of the exam to allow you to wrap up your
work. And the third bell will be rung to signal the end of the exam. The Answer Pad will be collected
whether you are finished or not. The time pressure is part of the exam.
You may prefer to skip the preparation of a draft and write your Memorandum directly on your
Answer Pad. That is allowed.
Quality of writing, not length, is desired.
Corrections even on your final Memorandum on the Answer Pad are allowed and will not result in
any deduction. Still, it is advised that you write clearly, legibly and in an orderly manner.
You will not be graded for a technically right or wrong Memorandum but for the quality of your legal
advocacy.
The test is intended to measure your skills in:
1. communicating in English - 20%;
2. sorting out and extracting the relevant facts - 15%;
3. identifying the issue or issues presented- 15%; and
4. constructing your arguments in support of your point of view - 50%.
HAND IN YOUR ANSWER PAD. THERE IS NO NEED TO RETURN THE DRAFT PAD AND THIS
QUESTIONNAIRE TO THE HEAD WATCHER.
GOODLUCK!!!
_____________________________________
MARTIN S. VILLARAMA, JR.
Chairperson
2012 Bar Examinations Committee
PLEASE CHECK THAT THIS SET CONTAINS FIFTEEN (15) PAGES INCLUDING THESE
(INSTRUCTIONS) PAGES.
WARNING: NOT FOR SALE OR UNAUTHORIZED USE
LEGAL ETHICS AND PRACTICAL EXERCISES

Mr. Henry Chao is charged before the Metropolitan Trial Court (MeTC) Manila with five (5) counts of
Violation of Batas Pambansa Big. 22 (B.P. 22). Consider the factual scenario from the testimonies of
complainant Mr. Ben Que and accused Mr. Henry Chao.
Assume to be the Defense Counsel and prepare a MEMORANDUM FOR THE ACCUSED for
your client, Mr. Henry Chao.
Testimony of Mr. Ben Que
(After the cases were called for joint trial)
P. Prosecutor : Good Morning, Your Honor. Appearing for the prosecution. Ready.
D. Counsel : Good Morning, Your Honor. Appearing as counsel for the accused. Ready.
P. Prosecutor : We are calling to the witness stand, the complainant, Mr. Ben Que, who will prove
the commission of the offense.
Court Staff : Mr. Ben Que, do you swear to tell the truth, the whole truth and nothing but the truth
in this proceeding?
Witness : Yes, sir.
Court Staff : State your name, age, status and other personal circumstances.
Witness : I am Ben Que, 60 years old, married, and a resident of 123 Tridalo Street, Mandaluyong
City
P. Prosecutor : Mr. Que, do you know Mr. Henry Chao who is the accused in this case and, if so,
under what circumstances?
Witness : Yes, sir. He is the Manager of Atlas Parts. Last June 01, 2011, accused borrowed from
me the amount of P 50,000.00, with 5/o monthly interest, payable in five (5) equal monthly
installments of P 12,500.00. He said that the money will be used to pay for their stocks.
P. Prosecutor : Did you execute a document to evidence your transaction?
Witness : As per our agreement, he issued and delivered to me five ( 5) checks.
D. Counsel : Your Honor, please. For the record, I take exception to the statement of the witness
that he received checks from the accused. If we closely examine these instruments, it will show that
they are NOW slips, that is , Negotiable Order of Withdrawal slips. These are not bills of exchange
within the meaning of the Negotiable Instruments Law, and therefore, cannot be considered as
checks.
P. Prosecutor : Your Honor, they are still bank instruments. Complainant Mr. Que specifically
required the issuance of checks to facilitate and ensure the payment of the obligation, and the
accused issued and delivered them for that purpose. Violation of the Bouncing Checks Law is
malum prohibitum. The law was enacted to maintain faith in bank instruments for utilization in
commercial transactions. We have to apply the spirit of the law.
COURT : Observation noted.

P. Prosecutor : When and where did the accused execute and hand over to you these five (5)
instruments?
Witness : On June 01, 2011, at my house in Mandaluyong City, after I gave him in cash
the P 50,000.00 that he loaned.
P. Prosecutor : And where are these instruments now?
Witness : Here sir. (Witness handling them to the prosecutor.)
P. Prosecutor : May I manifest for the record the observation that the instruments are of the same
size and material as the normal checks and have these check-like features:
NOW Account No. 123456
Atlas Parts
PAY TO: Mr. Ben Que
PESOS: Twelve Thousand Five
Hundred Pesos

No. 0001
Date: July 1,
2011
P 12,500.00

Sgd. Henry
Chao
Alloy Bank
Pasong Tamo Branch
Makati
P. Prosecutor : Do you know whose signature is that appearing on the lower right side of this
instrument and all the four (4) others, as well?
Witness : Those are the signatures of the accused Henry Chao. I personally saw him sign them
and thereafter, handed the five (5) instruments to me.
P. Prosecutor : May I request that No. 0001 dated July 1, 2011 in the amount of P 12,500.00 be
marked as Exhibit A for the prosecution; No. 0002 dated August 1, 2011 also in the same amount as
Exhibit B; No. 0003 dated September 2, 2011 as Exhibit C; No. 0004 dated October 1, 2011 as
Exhibit D; and No. 0005 dated November 1, 2011 as Exhibit E.
COURT : Mark them as requested.
P. Prosecutor : What did you do with these instruments which represented the installment
payments of accused for his loan obligation?
Witness : On their respective due dates, I deposited each of them to my Savings Account at BOD
Bank, Manila City Hall Branch in Manila, but all of them were dishonored by the drawee, Alloy Bank,
for the reason "Account Closed."
P. Prosecutor : What proof do you have that these instruments were dishonored?
Witness : I received several debit advices from BOD Bank together with the returned slips with a
stamp at the back stating as follows:

DISHONORED/RETURNED
Reason: Account Closed
Officer: Mr. M

P. Prosecutor : May I request that the stamps of dishonor and the reason "Account Closed"
appearing at the back of each instrument be correspondingly marked as Exhibits A-1 to E-1,
respectively.
COURT : Mark them accordingly.
D. Counsel : I move to strike out this particular testimony for being hearsay. This witness is not
competent to testify on these matters pertaining to bank records.
COURT : Does the defense deny that all five (5) instruments were dishonored and returned to the
witness?
D. Counsel : No, Your Honor. But these matters should be testified on by the bank personnel.
COURT : Motion to strike is denied.
P. Prosecutor : What action did you take?
Witness : After each dishonor, I personally went to Mr. Chao and demanded that he make good
his commitment, but he merely ignored my demands.
P. Prosecutor : What did you do then after all the five (5) instruments were dishonored and your
demands ignored?
Witness : I consulted a lawyer and he advised me to send a formal demand letter to the accused,
which I did. On January 2, 2012, I sent the letter by registered mail to Mr. Henry Chao to his office
address at 007 Malugay Street, Malabon City giving him five (5) days to make good his promise.
Here is the registry receipt.
P. Prosecutor : I request that the demand letter be marked as Exhibit F and that the Registry
Receipt No. 321 dated January 2, 2012 posted at Mandaluyong City Post Office be marked as
Exhibit G for the prosecution.
COURT : Mark it then.
P. Prosecutor : Do you know if accused actually received your letter sent by registered mail?
Witness : I assumed that he had received it because the registered letter was not returned to me.

D. Counsel : I take exception to that statement. Your Honor, because jurisprudence require actual
receipt by the drawer of the demand before any criminal liability can attach.
P. Prosecutor : May I clarify, Your Honor, that the five (5) days from notice of dishonor given to the
drawer of a check to make arrangement for payment by the drawee of the amount of the dishonored
checks is to forestall the existence of a prima facie evidence of knowledge of the insufficiency of
funds. But here, the reason of the dishonor is "Account Closed," and not just insufficiency of funds.
In short, there is actual proof of lack of credit with drawee bank. The account is already closed and
accused cannot even make a deposit anymore.
COURT : The manifestation is noted.
P. Prosecutor : Has the accused paid the amounts covered by the dishonored instruments?
Witness : No, sir. He has arrogantly refused to make any payment.
P. Prosecutor : No further questions.
COURT : Cross.
D. Counsel : With the Court's permission. You earlier stated that accused Henry Chao is the
Manager of Atlas Parts and that the money borrowed was used to pay for their stocks, is that
correct?
Witness : Yes, sir. That is what he told me.
D. Counsel : So, it is clear that the money loaned from you was not used by the accused for his
benefit?
Witness : I do not know how he used it. The fact is that I lent the money to him.
D. Counsel : Regarding the demand letter that you allegedly sent to accused, do you have the
registry return card showing that accused received the letter?
Witness : No, sir. But I have the registry receipt. Since the letter was not returned to sender, it is
presumed that it was received by the addressee.
D. Counsel : Is it not a fact that you have filed another collection suit against Atlas Parts seeking
to recover the same P 50,000.00 covered by the dishonored slips?
Witness : Yes, sir. That is true because I want to recover my money from either of them.
D. Counsel : No further questions, Your Honor.
Testimony of Mr. Henry Chao
(After oath and formal of fer of testimony.)
D. Counsel : Do you own NOW Account No. 123456 maintained at Alloy Bank, Pasong Tamo
Branch?

Witness : No, sir. That is owned by my employer Atlas Parts and, as the Manager, I am the
signatory.
D. Counsel : Mr. Chao, in June 2011 when you issued the dishonored NOW slips, did you derive
any personal benefit from the amount loaned?
Witness : No, sir. The money was used to pay an account payable.
D. Counsel : During the due dates of the NOW slips that you issued to Mr. Que, were you still the
Manager of Atlas Parts?
Witness : Not anymore, sir, because in the middle of June 2011, I resigned as Manager, and I was
not aware of the dishonor.
D. Counsel : Did you receive the demand letter sent to you by Mr. Que after the dishonor?
Witness : No, sir.
COURT : Cross?
P. Prosecutor : With the kind permission of the Court. Mr. Chao, is it not a fact that Mr. Que
specifically required you to issue checks to pay the monthly installment of the loan?
Witness : Yes, sir.
P. Prosecutor : You will agree with me that without those five (5) checks, or NOW slips as you call
them, Mr. Que will not lend money to you?
Witness : Yes, sir.
P. Prosecutor : You will also agree that the demand letter of Mr. Que was delivered to yo'ur office
address because that is the address that you gave to Mr. Que in connection with your transaction?
Witness : Yes, sir. That is possible, but I was not able to receive it because I had already resigned
and I could not do anything anymore.
P. Prosecutor : That is all, Your Honor.
LAWS AND JURISPRUDENCE
A. BATAS PAMBANSA BLG. 22
AN ACT PENALIZING THE MAKING OR DRAWING AND ISSUANCE OF A CHECK WITHOUT
SUFFICIENT FUNDS OR CREDITS AND FOR OTHER PURPOSES.
Section 1. Checks without sufficient funds. - Any person who makes or draws and issues any check
to apply on account or for value, knowing at the time of issue that he does not have sufficient funds
in or credit with the drawee bank for the payment of such check in full upon its presentment, which
check is subsequently dishonored by the drawee bank for insufficiency of funds or credit or would
have been dishonored for the same reason had not the drawer, without any valid reason, ordered

the bank to stop payment, shall be punished by imprisonment of not less than thirty (30) days but not
more then one (1) year or by a fine of not less than but not more than double the amount of the
check which fine shall in no case exceed Two Hundred Thousand Pesos, or both such fine and
imprisonment at the discretion of the court.
The same penalty shall be imposed upon any person who, having sufficient funds in or credit with
the drawee bank when he makes or draws and issues a check, shall fail to keep sufficient funds or to
maintain a credit to cover the full amount of the check if presented within a period of ninety (90) days
from the date appearing thereon, for which reason it is dishonored by the drawee bank.
Where .the check is drawn by a corporation, company or entity, the person or persons who actually
signed the check in behalf of such drawer shall be liable under this Act.
Section 2. Evidence of knowledge of insufficient funds. - The making, drawing and issuance of a
check, payment of which is refused by the drawee because of insufficient funds in or credit with such
bank when presented within ninety (90) days from the date of the check, shall be prima facie
evidence of knowledge of such insufficiency of funds or credit unless such maker or drawer pays the
holder thereof the amount due thereon, or makes arrangements for payment in full by the drawee of
such check within five (5) banking days after receiving notice that such check has not been paid by
the drawee.
Section 3. Duty of drawee; rules of evidence. - It shall be the duty of the drawee of any check, when
refusing to pay the same to the holder thereof upon presentment, to cause to be written, printed, or
stamped in plain language thereon, or attached thereto, the reason for drawee's dishonor or refusal
to pay the same. Provided, that where there are no sufficient funds in or credit with such drawee
bank, such fact shall always be explicitly stated in the notice of dishonor or refusal. In all
prosecutions under this Act, the introduction in evidence of any unpaid and dishonored check,
having 'the drawee's refusal to pay stamped or written thereon or attached thereto, with the reason
therefor as aforesaid, shall be prima facie evidence of the making or issuance of said check, and the
due presentment to the drawee for payment and the dishonor thereof, and that the same was
properly dishonored for the reason written, stamped or attached by the drawee on such dishonored
check.
Notwithstanding receipt of an order to stop payment, the drawee shall state in the notice that there
were no sufficient funds in or credit with such bank for the payment in full of such check, if such be
the fact.
B. NEGOTIABLE INSTRUMENTS LAW
ACT NO. 2031
AN ACT ENTITLED "THE NEGOTIABLE INSTRUMENTS LAW."
Section 1. Form of negotiable instruments. - An instrument to be negotiable must conform to the
following requirements:
(a) It must be in writing and signed by the maker or drawer;
(b) Must contain an unconditional promise or order to pay a sum certain in money;
(c) Must be payable on demand, or at a fixed or determinable future time;

(d) Must be payable to order or to bearer; and

(e) Where the instrument is addressed to a drawee, he must be named or otherwise indicated
therein with reasonable certainty.
Section 126. Bill of exchange, defined. - A bill of exchange is an unconditional order in writing
addressed by one person to another, signed by the person giving it, requiring the person to whom it
is addressed to pay on demand or at a fixed or determinable future time a sum certain in money to
order or to bearer.
Section 185. Check, defined. - A check is a bill of exchange drawn on a bank payable on demand.
Except as herein otherwise provided, the provisions of this Act applicable to a bill of exchange
payable on demand apply to a check.
C. RULES OF COURT
RULE 132
Section 34. Offer of evidence. - The court shall consider no evidence which has not been formally
offered. The purpose for which the evidence is offered must be specified.
Section 35. When to make offer. - As regards the testimony of a witness, the offer must be made at
the time the witness is called to testify.
Documentary and object evidence shall be offered after the presentation of a party's testimonial
evidence. Such offer shall be done orally unless allowed by the court to be done in writing.
JURISPRUDENCE
Isip vs. People
G. R. No. 170298, June 26, 2007, 525 SCRA 735
The concept of venue of actions in criminal cases, unlike in civil cases, is jurisdictional. The place
where the crime was committed determines not only the venue of the action but is an essential
element of jurisdiction. It is a fundamental rule that for jurisdiction to be acquired by courts in criminal
cases, the offense should have been committed or any one of its essential ingredients should have
taken place within the territorial jurisdiction of the court. Territorial jurisdiction in criminal cases is the
territory where the court has jurisdiction to take cognizance or to try the offense allegedly committed
therein by the accused. Thus, it cannot take jurisdiction over a person charged with an offense
13llegedly committed outside of that limited territory. Furthermore, the jurisdiction of a court over the
criminal case is determined by the allegations in the complaint or information. And once it is so
shown, the court may validly take cognizance of the case. However, if the evidence adduced during
the trial shows that the offense was committed somewhere else, the court should dismiss the action
for want of jurisdiction.
Alferez vs. People
G.R. No. 182301, January 31, 2011, 641 SCRA 116
In this case, the prosecution merely presented a copy of the demand letter, together with the registry
receipt and the return card allegedly sent to petitioner. However, there was no attempt to
authenticate or identify the signature on the registry return card. Receipts for registered letters and

return receipts do not by themselves prove receipt ; they must be properly authenticated to serve as
proof of receipt of the letter, claimed to be a notice of dishonor. To be sure, the presentation of the
registry card with an unauthenticated signature, does not meet the required proof beyond
reasonable doubt that petitioner received such notice. It is not enough for the prosecution to prove
that a notice of dishonor was sent to the drawee of the check .. The prosecution must also prove
actual receipt of said notice, because the fact of service provided for in the law is reckoned from
receipt of such notice of dishonor by the drawee of the check. The burden of proving notice rests
upon the party asserting its existence. Ordinarily, preponderance of evidence is sufficient to prove
notice. In criminal cases, however, the quantum of proof required is proof beyond reasonable doubt.
Hence, for B. P. Big. 22 cases, there should be clear proof of notice. Moreover, for notice by mail, it
must appear that the same was served on the addressee or a duly authorized agent of the
addressee. From the registry receipt alone, it is possible that petitioner or his authorized agent did
receive the demand letter. Possibilities, however, cannot replace proof beyond reasonable doubt.
The consistent rule is that penal statutes have "to be construed strictly against the State and liberally
in favor of the accused. The absence of a notice of dishonor necessarily deprives the accused an
opportunity to preclude a criminal prosecution. As there is insufficient proof that petitioner received
the notice of dishonor, the presumption that he had knowledge of insufficiency of funds cannot arise.
Lozano vs. Hon. Martinez
G.R. Nos. L-63419, L-66839-42, L-71654, L-74524-25, L-75122-49, L-75812-13, L-75765-67 and L75789, December 18, 1986, 146 SCRA 323
The gravemen of the offense punished by B.P. 22 is the act of making and issuing a worthless check
or a check that is dishonored upon its presentation for payment. It is not the non-payment of an
obligation which the law punishes. The law is not intended or designed to coerce a debtor to pay his
debt. The thrust of the law is to prohibit, under pain of penal sanctions, the making of worthless
checks and putting them in circulation. Because of its deleterious effects on the public interest, the
practice is proscribed by law. The law punishes the act not as an offense against property, but an
offense against public order.
Ambito vs. People
G.R. No. 127327, February 13, 2009, 579 SCRA 69
The mere act of issuing a worthless check - whether as a deposit, as a guarantee or even as
evidence of pre-existing debt - is malum prohibitum.
Under B.P. Big. 22, the prosecution must prove not only that the accused issued a check that was
subsequently dishonored. It must also establish that the accused was actually notified that the check
was dishonored, and that he or she failed, within five (5) banking days from receipt of the notice, to
pay the holder of the check the amount due thereon or to make arrangement for its payment. Absent
proof that the accused received such notice, a prosecution for violation of the Bouncing Checks Law
cannot prosper.
The absence of a notice of dishonor necessarily deprives an accused an opportunity to preclude a
criminal prosecution. Accordingly, procedural due process clearly enjoins that a notice of dishonor be
actually sent to and received by the accused. The accused has a right to demand - and the basic
postulates of fairness require-- that the notice of dishonor be actually sent to and received by the
same to afford him/her the opportunity to avert prosecution under B.P. Big. 22.
Gosiaco vs. Ching
G.R. No. 173807, April 16, 2009, 585 SCRA 471

B.P. Big. 22 imposes a distinct civil liability on the signatory of the check which is distinct from the
civil liability of the corporation for the amount represented from the check. The civil liability attaching
to the signatory arises from the wrongful act of signing the check despite the insufficiency of funds in
the account, while the civil liability attaching to the corporation is itself the very obligation covered by
the check or the consideration for its execution. Yet these civil liabilities are mistaken to be indistinct.
The confusion is traceable to the singularity of the amount of each.
If we conclude, as we should, that under the current Rules of Criminal Procedure, the civil action that
is impliedly instituted in the B.P. Big. 22 action is only the civil liability of the signatory, and not that of
the corporation itself, the distinctness of the cause of action against the signatory and that against
the corporation is rendered beyond dispute. It follows that the actions involving these liabilities
should be adjudged according to their respective standards and merits. In the . B. P. Big. 22 case,
what the trial court should determine is whether or not the signatory had signed the check with
knowledge of the insufficiency of funds or credit in the bank account, while in the civil case the trial
court should ascertain whether or not the obligation itself is valid and demandable. The litigation
of both questions could, in theory, proceed independently and simultaneously without being
ultimately conclusive on one or the other.
- END - NOTHING FOLLOWS -