e.

The same rule shall apply to the

sale of fungible things, made
independently and for a single
REGULATORY FRAMEWORK AND LEGAL price, or without consideration of
ISSUE IN BUSINESS 1 their weight, number, or measure.
Atty. Jimmy I. Peru, JD,MBM,MICB,CPA
f. Should fungible things be sold for a
price fixed according to weight,
LAW ON SALES (ART. 1458-1637) number, or measure, the risk shall
not be imputed to the vendee until
180 ARTICLES they have been weighed, counted,
or measured and delivered, unless
OBLIGATIONS OF THE VENDOR: the latter has incurred in delay.

1. TO TAKE CARE OF THE THING AFTER RISK OF LOSS

THE CONTRACT HAS BEEN a. Unless otherwise agreed, the
PERFECTED, PRIOR TO DELIVERY. goods remain at the seller's risk
until the ownership therein is
transferred to the buyer, but
After perfection of the when the ownership therein is
contract to the time of delivery: transferred to the buyer the
goods are at the buyer's risk
a. The seller shall take care of it with whether actual delivery has been
the proper diligence of a good made or not, except that:
father of a family, unless the law or (1) Where delivery of the
the stipulation of the parties goods has been made to
requires another standard of care; the buyer or to a bailee for
the buyer, in pursuance of
b. The buyer has a right to the fruits
the contract and the
of the thing from the time the
ownership in the goods has
obligation to deliver it arises.
been retained by the seller
However, he shall acquire no real merely to secure
right over it until the same has performance by the buyer
been delivered to him; of his obligations under the
c. They buyer may compel the seller contract, the goods are at
to make the delivery. If the seller the buyer's risk from the
delays, or has promised to deliver time of such delivery;
(2) Where actual delivery has
the same thing to two or more
persons who do not have the same been delayed through the
fault of either the buyer or
interest, he shall be responsible for
seller the goods are at the
any fortuitous event until he has
risk of the party in fault.
effected the deliver.
d. The obligation to deliver shall be b. If the thing is lost in part only,
extinguished if it should be lost or the buyer may choose between:
(1) Withdrawing from the
destroyed without the fault of the
seller, and before he has incurred contract; and
(2) Demanding the remaining
in delay, except:
(1) The law so provides;
part, paying its price in
(2) If stipulated otherwise;
proportion to the total sum
(3) The obligation requires the
agreed upon.
assumption of risk.
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c. Where the parties purport a sale of right than that granted to
specific goods, and the goods the usufructuary,
without the knowledge of the seller e.g., he may remove the
have perished in part or have improvement if it will not
wholly or in a material part so cause damage to the
deteriorated in quality as to be thing.
substantially changed in character,
the buyer may at his option treat
the sale:
RES PERIT DOMINO: literally means
(1) As avoided; or
the thing perishes with the owner.
(2) As valid in all of the existing
goods or in so much thereof EXCEPTIONS:
as have not deteriorated, a. By stipulation – when it was
and as binding the buyer to stipulated that the risk of loss
pay the agreed price for the is with the buyer in possession
goods in which the of the thing even if ownership
ownership will pass, if the is not yet transferred.
sale was divisible.
b. If ownership is retained only to
secure performance by the
LOSS, DETERIORATION OR IMPROVEMENT
buyer. Title of the seller is
known as “SECURITY
TITLE”. This is what’s
a. The thing is lost (when it provided under Art 1504(1).
perishes, goes out of commerce, (Lawyer’s Coop vs. Tabora)
or disappears in such a way that
its existence is unknown or it c. If there was delay in delivery
cannot be recovered) of the goods and thereafter
(1) Without fault of the
the goods are destroyed due
seller – obligation is to fortuitous event, whoever
extinguished; caused the delay bears the
(2) With fault of the seller – he loss.
is liable for damages.
2. Obligation to pay taxes and
b. The thing deteriorates
incidents of the sale, unless
(1) Without fault of the seller –
otherwise agreed upon;
the impairment is borne by
the buyer; 3. To warrant the thing (see
(2) With fault of the seller – the Warranties);
debtor has two options:
(a) To exact fulfillment and 4. To transfer ownership. The
ask for damages ownership of the thing sold is
(b) Rescission with acquired by the vendee from
damages the moment it is delivered to
c. There is improvement him or in any other manner
(1) By nature or time – the signifying an agreement that
improvement will inure to the possession is transferred
the benefit of the buyer from the vendor to the vendee.
(2) At the expense of the seller
– he shall have no other

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DELIVERY c. Delivery to a common carrier:
Is the mode by which ownership is when the parties so agreed that
transferred. It is accomplished by the seller will deliver to the
placing the thing in the control and common carrier for ultimate
possession of the vendee. delivery to the buyer. In this case,
there is already delivery upon
MODES OF DELIVERY: THINGS receipt of the common carrier.
a. Actual Delivery: The actual and
physical transfer of the thing to the EXCEPT:
buyer. (1) Ownership is reserved by the
b. Constructive Delivery seller – such as if it is
(1) Execution of Public Instrument: deliverable to the seller or his
This mode of delivery is agent.
available to both sale of rights (2) The seller reserved
and sale of things; possession – goods are
(2) Traditio Longa Manu: literally, deliverable to the buyer, but
long-hand delivery, or by possession of the bill of lading
pointing to the thing sold is with the seller.
accomplished by mere consent
of the seller, ownership
MODE OF DELIVERY: AS TO RIGHTS:
transfers to the buyer, because
a. By execution of a public
at the time of sale, the seller
cannot transfer possession to instrument;
the buyer, e.g., the thing is b. When the title of ownership is
leased by another. placed in the possession of the
(3) Consitutum Posessorium: at
vendee (e.g., certificates of stock
the time of sale, the seller is in
for sale of shares of stock);
possession and remains in
possession in another concept c. By the use of the vendee of his
other than an owner, like that of rights with the vendor’s consent.
a lessee, depositary or (e.g., the vendee of shares
borrower. where the same has not been
(4) Brevi Manu: or short hand transferred in his name yet, with
delivery. When the buyer is in the consent of the owner,
possession of the thing, in a through a proxy, he may exercise
concept other than that of an his rights as a stockholder)
owner, at the time of sale, and
remains in possession after SALE OR RETURN:
sale, now as owner. E.g., a Where the goods are delivered to
lessee who buys the thing the buyer but the buyer has an
leased. option to return the goods instead
(5) Symbolic Delivery: where the of paying the price, the ownership
seller merely gives the key to a passes to the buyer but he may
warehouse where the goods revest the ownership in the seller
are located. Note, if the object by returning or tendering the
of the sale is the warehouse, goods within the time fixed in the
this is actual delivery, since the contract, or when no time is fixed,
buyer would have possession within a reasonable time.
and control of the warehouse.

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SALE ON APPROVAL OR ON TRIAL OR 5. Demand or tender of delivery
ON SATISFACTION: may be treated as ineffectual
unless made at a reasonable
hour. What is a reasonable hour
a. When he signifies his approval or
is a question of fact.
acceptance to the seller or does
6. Unless otherwise agreed, the
any other act adopting the
expenses of and incidental to
transaction.
putting the goods into a
b. If he does not signify his approval
deliverable state must be borne
or acceptance to the seller, but
retains the goods without giving by the seller.
notice of rejection, then if a time 7. As a rule, the time to deliver is at
has been fixed for the return of the the time of sale, if it is a pure
goods, on the expiration of such obligation. However, as a rule,
time, and, if no time has been the seller is not bound to deliver
fixed, on the expiration of a until the buyer pays.
reasonable time. What is a 8. If there is a period agreed upon,
reasonable time is a question of the obligation to deliver shall be
fact. demandablev oses the right to
make use of the period under Art.
TIME AND PLACE OF DELIVERY: 1198
1. Whether it is for the buyer to take
possession of the goods or of the DELIVERY OF LESS OR MORE OF THE
seller to send them to the buyer is
a question depending in each QUANTITY AGREED UPON IN SALE OF
case on the contract, express or PERSONAL PROPERTY:
implied, between the parties. 1. Delivery is less than quantity
2. Apart from any such contract, agreed upon, the buyer may:
express or implied, or usage of a. Reject the delivery; or
trade to the contrary, the place of b. Accept or retain the goods
delivery is the seller's place of delivered and pay:
business if he has one, and if not (1) The full contract price if he
his residence; but in case of a knew that the seller is not
contract of sale of specific goods, going to perform the
which to the knowledge of the contract in full; or
parties when the contract or the (2) Pay the fair value of the
sale was made were in some goods delivered if without
other place, then that place is the such knowledge.
place of delivery.
2. Delivery is greater than quantity
3. Where by a contract of sale the
agreed upon, the buyer may:
seller is bound to send the goods
a. Accept the goods in the
to the buyer, but no time for
sending them is fixed, the seller is quantity agreed upon and
bound to send them within a reject the rest; or
reasonable time. b. Accept the whole of the goods
4. Where the goods at the time of delivered and pay for them at
sale are in the possession of a the contract rate.
third person, the seller has not 3. Delivery of goods mixed with
fulfilled his obligation to deliver to goods of different description not
the buyer unless and until such included in the contract, the buyer
third person acknowledges to the may accept the goods which are
buyer that he holds the goods on in accordance with the contract
the buyer's behalf. and reject the rest.
4|Page
 4. In no. 2 and 3, if the subject matter 2. Delivery is more than the area
is indivisible, the buyer may reject agreed upon, the seller is bound to
the whole of the goods. deliver the actual area without any
increase in the price.
DELIVERY OF LESS OR MORE OF THE 3. If the seller should not deliver the
QUANTITY AGREED UPON IN SALE OF whole area which exceeds that
which was agreed upon, the buyer
REAL ESTATE WITH A STATEMENT OF may:
AREA AND THE SALE IS AT A RATE OF a. Reduce the price to be paid, in
A CERTAI PRICE FOR A UNIT OF proportion to what is lacking in
MEASURE OR NUMBER: the area or number; or
b. Rescind the contract for failure
a. Delivery is LESS than that agreed of the vendee to deliver what
upon, the buyer may: has been stipulated.
a. Ask for specific performance
and demand delivery of the RIGHTS OF AN UNPAID SELLER
shortage; Unpaid Seller: the seller of the
b. Ask for the proportionate goods is deemed to be an unpaid
reduction of the price (accion seller when:
quanti minoris) The whole of the price has not
c. Rescission, in case: been paid or tendered; A bill of
(1) The area lacking is more exchange or other negotiable
than 1/10 of that agreed instrument has been received as
upon; or conditional payment, and the
(2) The buyer would not have condition on which it was received
entered into the contract, has been broken by reason of the
had he known of its dishonor of the instrument, the
smaller area. insolvency of the buyer, or
otherwise
The same rules apply if any
part of the immovable is not of the
RIGHTS OF AN UNPAID SELLER:
quality specified in the contract.
notwithstanding that the ownership
of the goods may have passed to
b. If the delivery is in excess of the
the buyer, the unpaid seller of
area agreed upon, the buyer may:
goods has the following rights:
a. Accept the area agreed upon
and reject the rest; or 1. Possessory lien – right to retain
b. Accept the whole and pay at the goods or right to withhold
the contract rate. delivery of the goods.
The above rules likewise applies
Grounds:
to judicial sales.
a. Where the goods have been
sold without any stipulation
DELIVERY OF LESS OR MORE OF THE as to credit;
QUANTITY AGREED UPON IN SALE OF b. Where the goods have been
REAL ESTATE FOR A LUMP SUM PRICE: sold on credit, but the term of
1. Delivery is less than the area credit has expired;
agreed upon, the buyer is bound to c. Where the buyer becomes
accept the actual area without any insolvent.
reduction of the price.
5|Page
 The seller may exercise his right Requisites:
of lien notwithstanding that he is in a. The seller already parted with the
possession of the goods as agent or possession of the goods;
bailee for the buyer. b. The goods are already in transit;
c. The buyer is insolvent.
Partial Lien: Where an unpaid seller
has made part delivery of the Goods are in transit:
goods, he may exercise his right of a. From the time when they are
lien on the remainder, unless such delivered to a carrier by land,
part delivery has been made under water, or air, or other bailee for
such circumstances as to show an the purpose of transmission to
intent to waive the lien or right of the buyer, until the buyer, or his
retention. agent in that behalf, takes
delivery of them from such
Loss of possessor lien: happens: carrier or other bailee;
a. When the seller delivers the b. If the goods are rejected by the
goods to a carrier or other bailee buyer, and the carrier or other
for the purpose of transmission to bailee continues in possession of
the buyer without reserving the them, even if the seller has
ownership in the goods or the refused to receive them back.
right to the possession thereof;
b. When the buyer or his agent Goods are no longer in transit:
lawfully obtains possession of the
a. If the buyer, or his agent in that
goods;
behalf, obtains delivery of the
c. By waiver.
goods before their arrival at the
appointed destination;
The unpaid seller of goods,
b. If, after the arrival of the goods at
having a lien thereon, does not lose his the appointed destination, the
lien by reason only that he has obtained carrier or other bailee
judgment or decree for the price of the acknowledges to the buyer or his
goods. agent that he holds the goods on
his behalf and continues in
Sale of the thing by the buyer to possession of them as bailee for
third persons: the buyer or his agent; and it is
a. As a rule, the seller does not lose immaterial that further destination
his right to possessory lien or right for the goods may have been
of stoppage in transit. indicated by the buyer;
b. Exceptions: c. If the carrier or other bailee
(1) If the seller assented to the wrongfully refuses to deliver the
transfer; goods to the buyer or his agent in
(2) If the goods are covered that behalf.
by a negotiable document of
title and it is sold to a If part delivery of the goods has
purchaser for value in good been made to the buyer, or his agent in
faith to whom such document that behalf, the remainder of the goods
has been negotiated. may be stopped in transitu, unless such
part delivery has been under such
2. Stoppage in transitu – right to circumstances as to show an
stop the goods while in transitu. agreement with the buyer to give up
possession of the whole of the goods.
6|Page
Right of stoppage in transitu is seller is entitled to the profit made
exercised: in such resale.
a. By taking actual possession of the
goods; or Good Title
b. By giving notice of his claim to the ➢ The buyer in the resale
carrier or other bailee who is in acquires a good title as against
possession of the goods, as a the original buyer.
consequence of which:
(1) The carrier or bailee then Notice: except in case of resale made
must redeliver the goods to, or because the goods are perishable,
according to the directions of, notice shall be given to the original
the seller. buyer about:
(2) The expenses of such delivery a. The intention to resell – which is
must be borne by the seller. relevat to prove that the buyer has
(3) If, however, a negotiable been in default for an
document of title representing unreasonable length of time.
the goods has been issued by b. The date, time and place of resale
the carrier or other bailee, he – to be considered doing the resale
shall not be obliged to deliver in good faith and entitle the seller
or justified in not delivering the to any deficiency.
goods to the seller unless
such document is first Note, however, that failure to give
surrendered for cancellation. notice does not affect the validity of
the resale.
3. Resale
Grounds: Participation: the seller is prohibited
a. The goods are perishable in from being the buyer in the resale,
nature either directly or indirectly, whether
b. The seller expressly reserves the resale be public or private.
the right of resale in case the
buyer should make default, or 4. Rescission
c. Where the buyer has been in Grounds:
default in the payment of the a. When the right to rescind is
price for an unreasonable time expressly reserved by the
seller;
To exercise such right: the unpaid b. When the buyer has been in
seller must have a right of lien or default in the payment of the
stoppage in transitu. price for an unreasonable
time.
In case the resale resulted in
proceeds less than or more than To exercise such right: the unpaid
the price in the original sale: seller must have a right of lien or
a. If the resale price is LESS than stoppage in transitu.
the price in the original sale, the
seller can recover from the Recovery of damages: the seller is
original buyer the difference as not liable to the buyer upon the contract
damages occasioned by the of sale, but may recover from the buyer
breach of contract of sale; damages for any loss occasioned by
b. If the resale price is MORE than the breach of contract.
the price in the original sale, the
7|Page
 Notice: is not necessary for CONDITIONS: where the obligation of
the validity of rescission. But the either party to a contract of sale is
same shall be relevant in subject to any condition which is not
determining whether the buyer performed, such party may:
has been in default for an 1. Refuse to proceed with the contract; or
unreasonable length of time. 2. Waive the performance of the
condition; or
Mutually Exclusive Rights: the 3. Treat the non-performance as a breach
right of possessory lien and stoppage of warranty and ask for damages.
in transitu are mutually exclusive in the
sense that the seller cannot have both WARRANTIES: Any affirmation of
rights at the same time. This is fact or any promise by the seller relating
because the right of possessory lien to the thing is an express warranty if the
presupposes that the seller retains natural tendency of such affirmation or
possession, while in stoppage in promise is to induce the buyer to
transitu, the goods are supposedly in purchase the same, and if the buyer
transit.
purchase the thing relying thereon.
Note, however, that for the Opinion of the seller: is not
right of resale and right to rescind, it understood to be a warranty unless the
is necessary that the seller has seller made such affirmation or
either possessory lien or the right of statement as an expert and it was relied
stoppage in transitu. upon by the buyer.

Insolvency of the buyer: is a Express Warranty: is an affirmation

requisite only for the right of stoppage of fact or promise by the seller relating
in transitu, but not in all other rights. It to the thing which would induce the
is, however, a ground to exercise buyer to buy the same. However,
possessory lien, but still, not a those relating to opinions of the seller
requisite. are not considered warranties unless
they are made by experts and the
DOUBLE SALE; MOVABLE buyer relies upon them.
PROPERTY: if the same movable is
sold by the vendor to two or more IMPLIED WARRANTIES:
vendees, the one who has a better rigth 1. Warranty against eviction –
over the thing shalle be the first one to that the seller has a right to sell
take possession in good faith. the thing at the time when
ownership is to pass, and that
the buyer shall from that time
DOUBLE SALE; IMMOVABLE have and enjoy legal and
PROPERTY: if the same immovable peaceful possession of the thing;
property is sold by the vendor to two or
more vendees, the one who has a better Eviction; requisites:
right over the thing shall be: a. The vendee is deprived of the
1. The one to first register in whole or of a part of the thing
good faith; if none, purchased;
2. The one to first take b. By virtue of a final judgment
possession in good faith; if c. Such judgment is based on:
none still, (1) A right prior to the sale or
3. The one with the oldest title. (2) An act imputable to the
vendor
8|Page
Rules Applicable: (3) Costs of the suit which caused
a. The warranty applies even if there the eviction, and, in a proper
is no agreement to such effect; case, those of the suit bought
b. The vendee need not appeal from against the vendor for the
the decision in order that the warranty;
vendor may become liable for (4) Expenses of the contract, if the
eviction. vendee has paid them;
c. When the adverse possession had (5) Damages and interests and
been commenced before the sale ornamental expenses.
but the prescriptive period is
completed after the transfer, the b. If the seller is in good faith, the
vendor shall not be liable for liability of the vendor shall depend
eviction. whether there is a waiver executed
d. If the property is sold for non- by the buyer:
payment of taxes due and not (1) If there is no waiver, the seller
made known to the vendee before is liable for VICE above
the sale, the vendor except Damages.
is liable for eviction. (2) If there is a waiver, the liability
e. The judgment debtor is also of the vendor shall depend
responsible for eviction in judicial whether the buyer is aware of
sales, unless it is otherwise the risk of eviction:
decreed in the judgment. (a) Consciente – the buyer
f. The warranty cannot be enforced is not aware of the risk,
until a final judgment has been or without knowledge of
rendered, whereby the vendee the defect in the title of
loses the thing acquired or a part the seller: seller is still
thereof. liable but only for the
g. The defendant vendee shall ask, VALUE of the thing at
within the time fixed in the Rules of the time of eviction;
Court for answering the complaint, (b) Intencionada – the
that the vendor be made a co- buyer was aware of the
defendant. risk of eviction or of the
h. The vendor shall not be obliged to defect in the title of the
make good the proper warranty, seller, the seller is no
unless he is summoned in the suit longer liable for
for eviction at the instance of the anything.
vendee.
Partial Loss: should the vendee lose
Extent of Liability: First, it will only a part of the thing sold but the
depend whether the seller is in bad same is of such importance, in
faith: relation to the whole, that he would
a. If the seller is in bad faith, he shall not have bought it without said
be liable for: part, he may demand the
(1) Value of the thing sold at the rescission of the contract; but with
time of eviction; the obligation to return the thing
(2) Income or fruits, if he has without other encumbrances that
been ordered to deliver them those which it had when he
to the party who won the suit acquired it, instead of enforcing
against him; the vendor’s liability for eviction.

9|Page
Two or more things sold: the same Other rules on warranty against
rules as to partial loss shall apply: hidden defects or of quality:
a. If they have been jointly sold for a a. The vendor is responsible to the
lumpsum; or vendee for any hidden faults or
b. Even if they were sold for a defects in the thing sold, even
separate price for each of them if it though he was not aware
should appear that the vendee thereof, unless there is contrary
would not have purchased one stipulation.
without the oth b. In the case of contract of sale of
a specified article under its
2. Warranty agains hidden patent or other trade name,
defects or of quality - the thing there is no warranty as to its
shall be free from any hidden fitness for any particular
faults or defects. purpose, unless there is a
stipulation to the contrary.
Effect of Hidden Defects: it would c. An implied warranty or condition
render the thing unfit for its as to the quality or fitness for a
intended use; or diminish its particular purpose may be
fitness for such use to such extent
annexed by the usage of trade.
that, had the vendee been aware
d. In the case of a contract of sale
thereof, he would not have
by sample, if the seller is a
acquired it or would have given a
lower price for it. dealer in goods of that kind,
there is an implied warranty that
the goods shall be free from any
Vendor not liable: in case:
defect rendering them
a. The defects are patent or those
unmerchantable which would
which may be visible; or
not be apparent on reasonable
b. Even if not visible, the vendee who
examination of the sample.
is an expert, by reason of his trade
or profession, should have known.
Remedies of the vendee:
a. Withdraw from the contract plus
Warranty of Quality or Fitness of
damages;
Goods: b. Accion quanti minoris or
a. Where the buyer, expressly or by demand a proportionate
implication, makes known to the reduction of the price plus
seller the particular purpose for damages.
which the goods are acquired,
and it appears that the buyer
relies on the seller's skill or Loss of the thing with hidden
judgment (whether he be the defect; liability of the seller:
grower or manufacturer or not), a. If the cause was the defect itself
there is an implied warranty that the seller shall be liable for (1)
the goods shall be reasonably fit b. If the cause of the loss is a
for such purpose; fortuitous event or through the
b. Where the goods are brought by fault of the vendee, the seller
description from a seller who shall be liable to refund the price
deals in goods of that description less the value at the time of loss,
(whether he be the grower or plus damages (if he was aware).
manufacturer or not), there is an
implied warranty that the goods
shall be of merchantable quality
10 | P a g e
Judicial sales: the above rules h. The redhibitory action, based on
likewise apply to judicial sales, the faults or defects of animals,
except the judgment detor shall not must be brought within forty days
be liable for damages. from the date of their delivery to
the vendee.
Period to file action: is 6 years from i. If the animal should die within
delivery. three days after its purchase, the
vendor shall be liable if the
Rules on hidden defects in animals: disease which cause the death
a. Redhibitory Defect is the hidden existed at the time of the
defect on animals that, even in contract.
case a professional inspection j. If the sale be rescinded, the
has been made, should be of animal shall be returned in the
such nature that expert condition in which it was sold and
knowledge is not sufficient to delivered, the vendee being
discover it. answerable for any injury due to
b. But if the veterinarian, through his negligence, and not arising
ignorance or bad faith shall fail to from the redhibitory fault or
discover or disclose it, he shall be defect.
liable for damages. k. Remedies of the vendee in case
c. If more than one animal is bought of sale of animals with redhibitory
(whether for a lump sum or for a defects are similar to the
separate price for each of them), remedies for breach of warranty
the redhibitory defect of one shall against hidden defects; but he
as a general rule, only give rise to must make use thereof within the
its redhibition, and not of the same period which has been
others; except: if the vendee fixed for the exercise of the
would not have purchased the redhibitory action or 40 days.
sound animal or animals without l. Sale of large cattle is governed
the defective one, which is by special laws.
presumed when a team, yoke
pair, or set is bought, even if a 3. Warranty against non-
separate price has been fixed for apparent encumbrances: an
each one of the animals encumbrance (or an easement or
composing the same. servitude) is a burden imposed
d. The above rule is applicable in upon an immovable for the benefit
like manner to the sale of other of another immovable belonging to
things (not just animals). a different owner. It is non-
e. There is no warranty against apparent, when there are no
hidden defects of animals sold at external indications of their
fairs or at public auctions, or of existence.
live stock sold as condemned.
f. The sale of animals suffering from The warranty against non-
contagious diseases shall be apparent encumbrances arises
void. when the same is:
g. A contract of sale of animals shall a. Not mentioned in the agreement;
also be void if the use or service or
for which they are acquired has b. Not recorded in the Registry of
been stated in the contract, and Property (now Registry of Deeds).
they are found to be unfit therefor.

11 | P a g e
In which case, the buyer has the
following remedies, within 1 year,
counted from:
a. Ask for the rescission of the
contract – from execution of the
deed;
b. Ask for damages – from
discovery.

Not applicable to: the implied

warranties are not applicable to a
sheriff, auctioneer, mortgagee,
pledgee or other person
professing to sell by virtue of
authority in fact or law, for the sale
of a thing in which a third person
has a legal or equitable interest.

If there are co-owners: the right of

redemption of the co-owners
excludes that of adjoining
owners.

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