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Consummation of Sale subject matter of sale, if from the deed the contrary does

not appear or cannot be clearly be inferred.


Obligation of the Seller:
Two functions of notarized deed of sale:
1. To preserve the subject matter.
 Article 1163. “Every Person obliged to give 1. It operates as a formal or symbolic delivery of the
something is also obliged to take care of it with the property sold.
proper diligence of a good father of a family, unless 2. It authorizes the buyer to use the document as a
the law or the stipulation of the parties require proof of ownership.
another standard of care.”  Has the same legal effect as Actual or Physical Delivery.
 Obligation “to do” rather than “to give”  Cases when the executions of public instruments do not
2. To deliver the subject matter. produce the effect of tradition:
 Twin obligation: to transfer the ownership and to o Article 1498: When in the execution of a public
deliver determinate thing. instrument there is a stipulation in the contrary.
 The means of transferring the ownership is to deliver o Reservation or contrary interference would be
the thing. present:
3. To deliver the fruits and accessories.  When a certain date is fixed for the
 Article 1164. “The creditor has a right to the fruits of purchaser to take possession of the
the thing from the time the obligation to deliver it property subject of the conveyance.
arises. However, he shall acquire no real right over it  In case of sale by instalments, it is
until the same has been delivered to him.” stipulated that until the last instalment
 The accessories always follow the principal. is made, the title of the property should
4. To warrant the subject matter. remain with the seller.
 Article 1495. “The vendor is bound to transfer the  When the seller reserves the right to use
ownership of and deliver, as well as warrant as and enjoy the property until the
warrant the thing which is the object of the sale.” gathering of the pending crops.
 Addison Doctrine: “If the sale had been made under the
Tradition as a Consequence of a Valid Sale: express agreement of imposing upon the purchaser the
obligation to take necessary steps to obtain the material
Essence of Tradition possession of the thing sold, and it were proven that she
knew that the thing was in the possession of a third person
 GR: Title passes from the moment the thing sold is claiming to have properties therein, such agreement would
placed in the possession and control of the buyer. be perfectly valid.”
XPN: If there is an express provision that the title shall
not pass until payment of the price, and the thing sold b. Symbolic Delivery
has been delivered.
 Delivery produces its natural effect in law. Article 1498: as to movables constructive delivery may also
 The delivery of the subject matter transfers its be made by the delivery of the keys of the place where the
ownership to the buyer (regardless of the payment). movable is stored or kept.
 Jurisprudence: Supreme Court sets forth the following
principles on tradition: c. Constitutum Possessorium
o Acceptance by the buyer, although an
This mode of constructive delivery takes effect when at the
obligation on his part, is not essential for
time of the perfection of the sale, the seller held possession
delivery by the seller to achieve its legal
of the subject matter in the concept of the owner, and
effect;
pursuant to the contract, the seller continuous to hold
o An express intention on the matter by the
physical possession thereof no longer in the concept of an
parties to the sale, at the point of delivery is
owner, but as a lessee or any other form of possession other
not essential for tradition to produce its legal
than in the concept of owner.
consequences; and
o The only way to prevent the legal
d. Traditio Brevi Manu
consequences of tradition from coming into
effect at the point of delivery is by an
The would-be buyer is already in possession of the would-
express reservation to the contrary set by the
be subject matter of the sale, and pursuant to the sale he
parties.
would now hold the possession in the concept of an owner.
Types of delivery
e. Tradio Longa Manu
1. Actual Delivery – When the thing sold is placed under
Constructive Delivery by mere agreement if they agreed
the control and possession of the buyer.
that from that time, the buyer is the owner of the subject
matter, without the need of delivery.
2. Constructive Delivery – Any manner signifying an
agreement that the possession is transferred from the
f. Delivery of Incorporeal Property
vendor to the vendee.
Article 1501: Recognizes three types of constructive
a. Execution of Public Instrument
delivery specifically applicable to incorporeal property:
Article 1498: in the case of both movables and immovable,
o Through public instrument: execution is
when the sale is made through a public instrument, the
equivalent to the delivery of the thing;
execution thereof shall be equivalent to the delivery of the
o By placing of the titles of ownership in the  Stems from the principle that no man can dispose of that
possession of the buyer; and which does not belong to him. (Nemo dat quod non
o The use and enjoyment by the buyer of the rights habet.)
in the property, with the seller’s consent.
 The general principle is that a seller without title cannot
g. Delivery by negotiable document of title transfer a better title than he has. Only the owner of the
goods or one authorized by the owner to sell can transfer
Article 1513: A person to whom a negotiable document of title to the buyer. Therefore, a person can sell only what he
title has been duly negotiated acquires title to the goods. owns or is authorized to sell and the buyer can, as a
consequence, acquire no more than what the seller can
h. Delivery through Carrier legally transfer.’’ -Francisco V. Chemical Bulk
Carriers,Inc.
 Pertains only to a sale of goods.
 GR: delivery to carrier is deemed delivery to the buyer. C. To whom delivery must be made

F.A.S Sales (Free alongside ship): Delivery alongside the  Where it is stipulated that deliveries must be made to the
vessel completes the effect of the tradition. buyer or his duly authorized representative named in the
F.O.B Sales (Free on Board): Delivery of the goods to contacts, the seller is bound to deliver in such manner only,
the carrier is equivalent to delivery to the buyer. unless the buyer specifically designated someone to receive
Risk of loss pertains to the delivery. - Lagoon V. Hooven Comalco Industries.Inc
buyer.
C.I.F Sales (Cost Insurance and Freight): Price fixed D. WHEN BUYER REFUSES TO ACCEPT
covers not only the cost of the goods, but the expense of
freight and insurance to be paid by the seller.  Article 1588 to the Civil Code:

 When the buyer’s refusal to accept the goods is


EFFECTS AND COMPLETENESS OF DELIVERY without just cause, the title thereto passes to him
from the moment they are placed at his disposal.
 Two principle to apply for tradition to produce the twin However, even under such circumstances, the
legal consequences of transferring ownership to the buyer seller is still legally obliged to take certain steps
and effecting a fulfillment of the primary obligation of the as not to be held liable for consequent loss or
seller: damage to the goods.

 Delivery must be made pursuant to a valid sale 1. Rules on Effect of Delivery for Movable

 Delivery must be effected when seller has  Article 1522 of the Civil Code Provides the rules covering
ownership over the subject matter of sale so the delivery of goods.
delivered.
 Article 1537, in the sale of movables, the seller is obliged
 David vs. Misamis Occidental II Electric Cooperative, Inc. to deliver the accessories and accessions in the condition in
which they were upon the perfection of the contract.
 “ the title to the property sold passes to the
vendee upon the delivery of the thing sold;

 vendor loses the ownership over the property and A. WHEN GOODS HELD BY THIRD PARTY
cannot recover it until and unless the contract is
resolved or rescinded”  Where the goods at the time of sale are in the
possession of a third person, the seller has not fulfilled
A. delivery must be made pursuant to a valid sale his obligation to deliver to the buyer unless and until
such third person acknowledges to the buyer that he
 Delivery would produce the effect of transferring holds the goods on the buyer’s behalf.
ownership to the buyer only when it is made pursuant to a
valid sale. B. Reservation of ownership

 When sale is fictituos and void, no title over the subject  Ownership will not transfer to the buyer in case of express
matter of the sale can be conveyed. reservation, despite actual delivery.

 Nemo Potest Nisi Quod de Jure Potest- no man  When the parties stipulate that the ownership will
can do anything except what he can do lawfully not transfer until the purchase price is fully paid,
or until certain conditions are fulfilled.
B. Delivery must be made by the seller who has ownership over
the subject matter  Article 1503 of the civil code gives instances
when there is an implied reservation of
 Delivery would produce the effect of transferring ownership.
ownership only if at the time of delivery the seller still had
ownership over the subject matter. C. sale by description and/or sample

 Last paragraph of Article 1481 of the Civil Code provides:


 in a sale of goods by description or sample, the passes to the buyer o delivery, but he may revest
sale may be rescinded if the bulk of the goods the ownership in the seller by returning or
delivered do not correspond with the description tendering the goods within the time fixed in the
or the sample; that if the contract be by sample as contract, or if in no time has been fixed, within a
well as by description, it is not sufficient that the reasonable time.
bulk of goods correspond with the sample if they
did not also correspond with the description.by E. Sale on approval, trial, satisfaction, or acceptance Article 1502
their very nature such types of sale would allow of the Civil Code
the buyer a reasonable opportunity of inspection
or of comparing a bulk with the sample or the  When the goods are delivered to the buyer on
description, before accepting the delivery. approval or on trial or on satisfaction or other
similar terms, the ownership therein passes to the
 Sale by sample buyer:

I. When he signifies his approval or


acceptance to the seller or does any
other act adopting the transaction.

There is sale by sample when a small quantity is exhibited II. If the buyer does not signify his
by the seller as a fair specimen of the bulk, which is not approval or acceptance, but retains the
present and there is no opportunity to inspect or examine goods without giving notice of
the same thus: rejection, then if a time has been fixed
or the return of the goods, on the
 “to constitute a sale by sample, it must appear expiration of a reasonable time.
that the parties treated the sample as the standard
of quality and that they contracted with the F. Form of such special sales
reference to the sample with the understanding
that the product to be delivered would correspond  For a sale to be considered and construed s a “sale or
the sample.” return” or a “sale on approval,”

 It held the term “sale by sample” does not include  there must be a clear agreement to either of such
an agreement to manufacture goods to correspond effect, otherwise the provisions of Article 1502 of
with the pattern, especially where in that case the the Civil Code governing such sales cannot be
three sets of furniture were manufactured invoked by either party to the contract,
according to the specifications provided by the
buyer, and not in accordance with the replicas  must be in writing, and cannot be proved by parol
displayed in the seller’s shop. - Mendoza vs. evidence
David
 Parol or extrinsic testimony cannot be
 Sale of goods by description: admitted for the purpose of showing
that an invoice or bill of sale without
One where a seller sells things as being a particular kind, condition or restriction constituted a
the buyer not knowing the seller’s representations are true contract of sale or return.
or false, but relying on them as true;
G. Written proof of delivery
 Otherwise stated, where the buyer has not seen the article
sold and relies on the description given to him by the seller,  In case of goods, delivery is generally evidenced by a
or has seen the goods, but the wants of identity is not written acknowledgement (delivery receipts) of a person
apparent on inspection. that he has actually received the thing or the goods, under
the following rules:
 Even in sales by description or by sample, the purchaser
will not be released from his obligation to accept and pay  A bill of ladding cannot substitute for a delivery
for the goods by deviation on the part of the seller from the receipt
exact terms of the contract, if the purchaser has acquiesced
to such deviations. - Engel vs. Mariano Velasco and Co.  A factory consignment invoice is not evidence of
actual delivery of the goods
 When the machine delivered by the seller is in accordance
with the description stated in the sales contract, the buyer H. Time, place and expenses of delivery
cannot refuse to pay the balance of the purchase price and
the cost of installation even if it proves that the machine  Article 1521 of the Civil Code
cannot be used satisfactorily for the purposes for which he
bought it when such purpose was not made known to the  Provides for the rules on the time, place, and
seller. - Pacific Commercial Co. vs. Ermita Market & expenses of delivery of movables.
Cold Stores
 Depends in each case on the contract, express or
D. on sale or return Article 1502 of the Civil Code: implied, between the parties

 when goods are delivered to the buyer on the sale  Place of delivery is the seller’s place of business,
or return to give the buyer an option to return the if he has one, if not, his residence
goods instead of paying the price, the ownership
 when the contract or the sale was made were in within the use of qualifying words of “more or
some other place, that place is the place of less” in describing the area
delivery
 The same rule applies when two or more
 If no time for sending the goods is fixed, seller is immovables are sold for a single price
bound to send them within reasonable time.
 But if besides mentioning the boundaries which is
 Demand or tender of delivery may be treated indispensable in every conveyance of real estate,
ineffectual unless made at a reasonable hour; its area or number should be designated in the
reasonable hour is a question of fact contract, the vendor shall be bound to deliver all
that is included within said boundaries, even
 Expenses of delivery are borne by the seller when it exceeds the area or number specified in
unless otherwise agreed. the contract

2. Rules on effects of delivery of immovable C. Where immovables sold in mass

 Pricing methods of sales over immovables:  Judicial sale in mass of separate known lots will not be set
aside, unless it is made appear that a larger sum could have
a) Unit price contract been realized from a sale in parcels or that a sale of less
than the whole would have been sufficient to satisfy the
- purchase price is debt.
determined by way of reference to a
stated rate per unit area E. Expenses of delivery and registration on real estate

a) Lump sum contract  Registration of the title of the buyer over the purchased real
estate is not an ingredient necessary for tradition to have
- states a full purchase price full effect.
for an immovable the area of which
may be declared based on the estimate  ownership is transferred not by issuance of a new
or where both area and boundaries are certificate of title in the name of the buyer but by
stated the execution of the instrument of sale in a public
document.
o Particular mode of sale chosen by the parties also
determines the completeness of the delivery when the  Payment of capital gains tax
subject matter is immovable
 not a prerequisite to the transfer of ownership to
A. Where immovables sold per unit or number the buyer, it took effect upon the signing and
notarization of the deed of absolute sale.
 Article 1539 of the Civil Code
 Article 1487:
 provides for the obligations of the seller if the
sale of the real estate should be made with a  Expenses for the sale for registration of the sale
statement of its area, at the rate of a certain price should be shouldered by the seller unless there is
for a unit of measure or number. a contrary stipulation.

 The statement of the area of the  Article 1495


immovable is not conclusive and the
price may be reduced or increased  Seller is obliged to transfer title over the property
depending on the area actually and deliver the same to the buyer.
delivered. -Rudolf Leitz, Inc. vs. Court
of Appeals

o Article 1540 of the Civil Code

o If there is greater area or number in the


immovable than that stated in the contract, the
buyer may accept the area included in the Double Sales
contract and reject the rest

o If he accepts the whole area, he must pay for the General Rule: First In Time, Priority in Right
same at the contract rat. When does it apply: When not all requisites embodied in Art 1544
concur
B. Where immovables sold for a lump sum
a) Subject Matter is movable
 Rules for the sale of real estate made for a lump To the buyer who may first taken possession thereof in good
sum under Article 1542 of the Civil Code: faith;

 There shall be no increase or decrease of the price b) Subject matter is Immovable


although there be a greater or lesser area or
number than that stated in the contract, especially 1. Who in good faith first recorded (the sale) in the Registry
of property other annotated voluntary contracts.
2. Should there be no inscription.. to the person who in ggod In other words P.D 1529 has wider scope
faith in the possession of the subject matter;
3. in the absence thereof, to the person who presents the Case:
oldest title , provided there is good faith.
Liao V court of Appeals held that when two certificate of title are
Article 1544 issued to different persons covering the same land in whole or in part,
the rules on double sale under Art 1455 cannot formally be applied
If the same thing should have been sold to different vendees, and instead the particular doctrine under Torrens system will apply.
the ownership shall be transferred to the person who may have first
taken possession thereof in good faith, if it should be movable In Ruiz V CA which held that a duly registered Levy on attachment
property. by the creditor takes preference over the prior but unregistered sale of
Should it be immovable property, the ownership shall belong registered land by the owner thereof.
to the person acquiring it in good faith first recorded in the Registry
of Property.
Should there be no inscription, the ownership shall pertain to
to the person who in good faith was first in the possession; and in the B.The case for unregistered Land
absence thereof , to the person who presents the oldest title, provided
there is good faith. General Principle

There is no Double Sale if: Article 1544 does not apply to sales involving unregistered land. The
issue of buyer's good faith and bad faith is relevant only when the
1) Sale to Different Vendees subject of the sale is registered land, and the purchase is buying the
same from the registered owner whose title to the land is clean.
There is no double sale after the sale of the property in favor of a In Such case, the purchaser who relies on the clean title of the
person, the vendor did not execute another sale over the same registered owner is protected if he is purchaser in good faith for value
property in favor of another ( Land Authority V De Leon.) (Sabitsana vs Muertegi, 703 SCRA 145)

2. Voidable Sale For unregistered land , Act Number 3344 applies


if the previous sale having been found to be fraudulent -registration of documents affecting registered land is without
prejudice to a third party with a better right.
3.Contract of sale fictitious or forged, or seller without right to sell.
It does not apply if the contract of sale first registered is Sale of Unregistered Land
fictitious or forged or if the vendor is not the owner of the property
sold and had no right to sell the same ( Espiritu v Valerio 9 SCRA If the property covered by conflicting sales were unregistered land,
761) the first buyer would have the better right in view of the fact that his
claim is based on prior sale coupled with public, exclusive, and
4.Donation continous possession thereof as owner ( Dagupan Trading Company
Vs Macam, 14 SCRA 179)
5. Contract to sell and Conditional Sales
CASE:
6.Sale of property to one party and assignment of the right of proprty
to another. a)Unregistered land was sold to the first buyer on September 2, 1981
Possession Of Property Sold via notarized deed of sale. The second sale to the second buyer was
made around 2 years later via deed of sale.
Jurisprudence has interpreted possesion in Article 1544 to mean both
actual physical delivery and constructive delivery.
Actual delivery of a thing sold occurs when it is placed under the The court Ruled that the first buyer has the better right to the lot
control and possession of the vendee. while the subsequent sale to the second buyer is "null and void"
Constructive Delivery Under Article 1498, when the sale is made because, when it was made, the seller was no longer the owner of the
through public instrument, the execution thereof shall be equivalent land. It further ruled that the fact the first sale was not notarized did
to the delivery of a thing which is the object of the contract ( The not alter anything, as the requirement for public document is for
Roman Catholic Church V Pante 669 SCRA 234) convinience not for validity and enforceability. Finally, the Supreme
Court ruled that the mere registration does not give him any right
over the land if the vendor was no longer the owner of the land.
Two Divergent System when it comes to Land. having previously sold the same to another even the earlier sale was
unrecorded.
a. Article 1544 Does not overcome the priority rules under P.D 1529
b). The subject land was not registered under the Torrens System
Registration when it was sold to the first buyer in 1969 and the second buyer in
- judicial or administrative process by which a parcel of land is 1972. The deed of sale between the seller and the first buyer was
placed for the first time within the coverage of Torrens Sytem registered with the Register of Deeds.
-the annotation and inscription with the register of deeds of a
contract, transaction or legal process involving real estate. The Supreme court ruled that the registration of an instrument
involving unregistered land in the Registry of Deeds creates
Note: Only second meaning applies constructive notice and binds the third person who may subsequently
deal with the same property. Citing the priciple that no one can give
Article 1544 cover only double sales situation whereas, the legal what does not have. (nemo quod non habet)
effect of registration under P.D 1529 covers sales contracts but also Note that in this case the Supreme court did not deem material the
fact that the second buyer was able to obtain an original certificate of however this main rule is not the primary rule
title in her name ( Naval V Court of Appeals)

3. Unregistered Land subsequently registered Requisites


- where the land at the time fist sale is unregistered, but was already
registered at the time of second sale, the second buyer prevails over 1. Exactly the same subject matter
the first if the second buyer recorded in good faith. 2. Exactly same immediate seller
3. The buyers represent conflicting interest
4. Preference of levy of execution or attachment over prior 4. Both sales are valid
unregistered law
- The doctrine is that a levy on execution or attachment duly
registered takes preverence over a prior registered sale is
subsequently registered before the sale on execution but after the levy
was made., the validity of the execution sale should be maintained Nature of Two Sales Involved
because it retroacted to the registration of levy.
- both sales involved must be valid, or atleast be voidable
4. Global Rules in Double Sales

Hierarchy Applicabilty of Rules on Double Sales to Contract To Sell and


adverse claims
a. Registration in good faith under P.D 1529
They have no application the covered valid contracts
b. Principle Applicable to buyer at Auction Sale under the rules of
Court Contract To Sell V Contract of sale

c Article 1544 Rules on Double Sales. -The Court that the rules on double sales under Article 1544 are not
applicable to a contract to sell because the circumstances that must
concur in order for the provision to Article 1544 on double sales to
a. Registration in good faith under P.D 1529 apply.
Exception: Can not apply to unregistered land

b. Principle Applicable to buyer at Auction Sale under the rules of There must be sameness of the Subject Matter
Court
Rule: can pertain only to cases involving unregistered land. -In a case where on buyer bought the parcel of land and other buyer
bought the right to redeem the same parcel of land, Article 1544 was
deemed to be inapplicable, beacause the subject of the second sale is
not the land itself, but the right to redeem.

There must involve the Same seller

Case: - successor and predecessor in interest are not included

In Dagupan Trading Company V Macam, the supreme court held that


where one of the two conflicting sales of a piece of land was e. Article 1544 is Not a contest between two Protagonist Running the
executed before the land was registered, while the other was an same race
execution sale in favor of the judgement creditor of the owner made
after the same property had been registered and issued a title.
Article 1544 should not apply, It is the Section 35 Rule 39 of the
Revied Rules of Court in the execution of sale. Requirement of Good Faith

Article 1544 had no application to double sales which both covered In Land registration law, the issue of whether the buyer of realty in
the same unregistered land. good faith is relevant only where the subject of the sale is registered
Act no. 3344 land and the purchase was made from the registered owner, whose
-provides for the registration of all instruments on land neither title to the land is clean, in which case the purchaser who relied on
covered by the Spanish Mortgage Law or the Torrens System. the clean title of the purchaser is protected if he is a purchaser in
-The registration by the first buyer is constructive notice to the good faith for value.
second buyer that can defeat it right as the second buyer in good If the land is unregistered and the sell it, the purchaser bought the
faith. property at its own peril.
- Registry of deeds creates constructive notice and binds third person
who may subsequently deal with the same property. a. good faith of the first buyer
b. good faith of the second buyer
c. burden of proof
C. Article 1544 Rules on Double Sales d purchase must be for valuable consideration
e. actual knowledge
- Strictly applicable to double sales only when they are valid and d. duty of the purchaser to look beyond the certificate
demandable and the issues arise only in consumation stage.
-Not only the rule pertaining to double sales.

Main rule: First in time, priority in right (Pruis tempore potior jure)
Requisites of Prior Registration 1. Registration in Good Faith Always Pre-empts Possession in
GOOD FAITH
“Registration” Basis: Article 1544, NCC

• Means any entry made in the books of the registry, • … that in double sales of real property, the buyer
including both registration in its ordinary and strict sense, who has in possession the Torrens Title and had
and cancellation, annotation, and even marginal notes. the deed of sale registered must prevail.
1. Prior registration by the second buyer must always be in GOOD • … that buyer-registrant in good faith always has
FAITH preference to the buyer-possessor in good faith,
even when in point in time, the possession in
2. The need for the second buyer to do Positive Act under Article good faith happened ahead of the registration in
1544 good faith.

• Primus tempore, potior jure (first in time, stronger in rights) Case:

• Knowledge gain by the first buyer of the second Balabat vs. CA


sale cannot defeat the first buyer’s rights except
where the second buyer registers in good faith the The court held that undoubtedly this was a case of double sales of
second sale ahead of the first. immovable property covered by Article 1544, and hence ownership
shall vest in the person acquiring it who in good faith first recorded it
• Such knowledge of the first buyer does not bar in the Registry of Property.
her from availing of her rights under the law,
among them, to register first her purchase as …
against the second buyer.
The court held that as between two purchasers, the one who has
But in converso,
registered the sale in his favor, has a preferred right over the other
• Knowledge gained by the second buyer of the who has not registered his title even if the latter is in actual
first sale defeats his rights even if he is first to possession of the immovable property.
register the second sale, since such knowledge
taints his prior registration with bad faith. 2. Possession under Article 1544 refers to Material and Symbolic
Possession
Case:
3. Possession acquired in Good Faith is Stable Status
Esquivas vs. Court of Appeals, 272 SCRA 803 (1997)
Case:
…that while the deed of sale of the second buyer was registered
ahead of the deed of sale of the first buyer, the prior registration San Lorenzo Dev. Corp vs CA, 449 SCRA 99 (2005)
cannot prevail over the deed of sale in favor of the first buyer
because the second buyer at the time already knew of the prior sale to … At the time both deeds were executed, SLDC had no knowledge of
the first buyer. the prior transaction of the Spouses Lu with Babasanta. Simply
stated, from the time of execution of the first deed up to the moment of
I. First to possess in Good Faith transfer and delivery of possession of the lands to SLDC, it had acted
Basis: PD 1459 (Sec 113) in good faith and the subsequent annotation of lis pendens has no
effect at all on the consummated sales between SLDC and the
…that registration of a transaction over unregistered land shall be Spouses Lu.
without prejudice to a “third party with better right”.
J. When Article 1544 Does Not Apply, Priority in Time Rule Applies
The “better right” that cannot be prejudiced by the registration of a
second sale of a parcel of unregistered land, referred to in Act No. In either of the following situations, thus:
3344, was considered to mean “more than a mere prior deed of sale in
favor of the first buyer. a) Where not all the requisites necessary to make Article 1544
applicable are present; or
 It involves facts and
circumstances --- in addition to a deed b) Where the requisites to make Article 1544 applicable were
of sale --- which, combined, would present, but that either the first to register or first to possess
make it clear that the first buyer has a rules were not complied with
better right than the second purchaser,
OBLIGATIONS OF BUYER
such acquisition of possession by the
second buyer either by actual delivery
1. Pay the Price
or through the execution of a public
instrument. • Mere sending of a letter by the buyer expressing
his intention to pay without accompanying
payment is not considered a valid tender of
payment.

• Article 1240 of the Civil Code states that


payment shall be made to the person in whose
favor the obligation has been constituted or his
successor in interest, or any person authorized to
receive.

2. Accept Delivery of thing bought

• Opportunity to inspect goods

• Goods sold deliverable by installments

• Effect of Acceptance of Goods on Seller’s


Warranty

• Refusal to accept Goods

Aceron, April V
Candia, Mercidelen
Filler, Nicole
Rabadon, Kaye

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