Contracts Chapter 2 Essential Requisites of Contracts
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Summary
In this lecture, Atty. RDJ discusses the essential requisites of contracts, emphasizing the elements required for a contract to exist. He distinguishes between essential, natural, and accidental elements, elaborating on how they affect the validity and formation of contracts. The lecture further explores the concepts of consent, offer, acceptance, and the impact of vices like mistake, violence, intimidation, undue influence, and fraud on contracts. Additionally, the speaker examines the roles of various elements such as cause, object, and consideration in contract law, and highlights specific scenarios like real contracts, option contracts, and the effects of civil interdiction on contractual agreements.
Highlights
- Essential elements include both common and special ones, crucial for a contract's existence. 🌟
- Real contracts, like pledges, require delivery for perfection. 🛒
- Natural elements are presumed in contracts unless otherwise stipulated. 🌿
- Accidental elements involve stipulations like interest payments. 💸
- Offers may become ineffective due to death, insanity, or insolvency before acceptance. ⚖️
Key Takeaways
- Understand the three essential elements of contracts: essential, natural, and accidental elements. 📜
- Real contracts require the delivery of the object for perfection, like pledges. 🚚
- Offers can be withdrawn anytime before acceptance unless an option contract exists. 🔄
- Understand the importance of consent, offer, and acceptance in forming valid contracts. 📝
- Vices such as mistake, fraud, and undue influence can affect contractual consent. 🚩
Overview
The lecture begins with a thorough discussion on the essential requisites of contracts, outlining the roles of essential, natural, and accidental elements in the validity and formation of a contract. Atty. RDJ explains how these elements function, specifically highlighting the unique aspects of real contracts that require actual delivery of the object to be valid.
Moving forward, he delves into the process of forming contracts through consent, offer, and acceptance. The nuances of withdrawing offers, the role of option contracts, and the impact of civil interdiction on contracts are also explored, offering practical insights into real-world applications and exceptions to general rules of contract law.
In conclusion, the talk addresses the critical issues of vices of consent such as mistake, undue influence, and fraud, which can affect the legitimacy of a contract. The lecturer provides a comprehensive understanding of how these factors play into contract enforceability, supplemented by examples such as advertisement offers and acceptance through agents.
Chapters
- 00:00 - 00:30: Introduction and Elements of a Contract Chapter Title: Introduction and Elements of a Contract The chapter introduces the fundamental aspects of contracts, focusing on the essential requisites. It opens with a discussion on the elements of a contract, emphasizing three main components. The first one, essential elements, are highlighted as crucial since, without them, a contract cannot exist. These elements are foundational to understanding and forming valid contracts.
- 00:30 - 10:00: Essential Elements of Contracts The chapter titled "Essential Elements of Contracts" discusses two main categories of essential elements required for a contract. The first category is the 'common essential elements', which includes cause, object, and consent. These elements will be thoroughly discussed in later sections. The second category is the 'special essential elements', which are unique or peculiar to specific types of contracts. The chapter promises examples and more detailed insights into these special elements.
- 10:00 - 21:00: Offer and Acceptance The chapter "Offer and Acceptance" discusses the concept of real contracts in law, highlighting the essential element required for their perfection, which is the delivery of the object involved in the contract. It illustrates that real contracts are not considered perfected or complete until the actual delivery occurs. An example given is a contract of pledge, also known as 'sangla' in some cultures, which remains incomplete until the pledged object has been delivered. This highlights the importance of delivery in the legal concept of real contracts.
- 21:00 - 30:00: Rules and Exceptions for Offers This chapter delves into the intricacies of contractual agreements, focusing on 'Rules and Exceptions for Offers'. It emphasizes the concept of a 'real contract', which is distinguished by the necessity of delivery for its perfection. Unlike other contracts that rely solely on core elements like cost, object, and consent, real contracts require the physical act of delivery, making them unique. The example of a pledge is cited, highlighting that in addition to typical contractual requirements, delivery is essential in solidifying the agreement.
- 30:00 - 37:00: Option and Earnest Money The chapter titled 'Option and Earnest Money' discusses key components in contractual agreements, emphasizing on special essential elements such as delivery cost, object consent, and delivery. It highlights the importance of distinguishing between essential and natural elements in contracts, noting that natural elements are often presumed in certain contracts unless specified otherwise.
- 37:00 - 44:30: Business Advertisements and Auctions The chapter explores the concept of business advertisements and auctions, emphasizing the significance of understanding contract elements. It uses the example of a contract of sale to explain how natural elements, such as human warranties, play a crucial role in its structure. The idea is to demonstrate the importance of these elements by examining what happens when they are or are not stipulated in a contract.
- 44:30 - 55:00: Acceptance and Communication The chapter titled "Acceptance and Communication" seems to revolve around legal themes, particularly focusing on the protection against eviction and warranty violations. Although the given text is a brief excerpt, it suggests discussions or case studies related to legal guarantees like eviction protection under warranty clauses. It indicates a lesson where legal principles and legal rights are taught, possibly using real-life scenarios or past cases to highlight the importance of understanding legal commitments in contracts. The presence of 'Music' suggests an audio-visual element used during the session.
- 55:00 - 66:00: Incapacity to Give Consent The chapter discusses the concept of incapacity to give consent within the context of law. It highlights the importance of expressly stating any removal of warranties in agreements or contracts. The chapter also touches on topics related to natural and accidental elements, emphasizing the necessity of clear stipulations in legal documentation.
- 66:00 - 86:00: Mistake, Violence, Intimidation, and Undue Influence The chapter titled 'Mistake, Violence, Intimidation, and Undue Influence' discusses various accidental elements such as stipulation to pay interest. It provides an example of how interest can be stipulated by a creditor if it is documented in writing. The discussion emphasizes the accidental nature of this element in financial agreements, particularly in transactions involving creditors and the stipulation of interest. The chapter urges readers to be aware of such accidental elements, especially in the context of financial transactions.
- 86:00 - 99:30: Fraud in Contracts and Simulation The chapter discusses the rules regarding interest in contracts, specifically that for interest to be due and demandable, it must be in written form. If interest is not documented in writing, even if it involves money, it cannot be considered due. The discussion emphasizes the necessity of written interest agreements in contractual obligations to ensure they are enforceable.
- 99:30 - 109:00: Objects of the Contract The chapter titled 'Objects of the Contract' focuses on elucidating the essential components necessary for forming a valid contract. It underlines the importance of understanding these components, specifically naming 'consent' as a critical element. Consent, as outlined in Article 13 19, involves the conformity or concurrence of wills between parties involved in a contract. The chapter emphasizes how these elements, including the object and cause of the contract, are fundamental to drafting and interpreting valid contractual agreements.
- 109:00 - 122:00: Cause and Consideration The chapter titled 'Cause and Consideration' discusses the importance of conformity or the concurrence of wills, particularly in the context of offer and acceptance. It highlights that these are fundamental components for agreement in various matters, emphasizing the need for parties to be aligned in their intentions and understandings. The focus is on how offer and acceptance contribute to forming a valid contract or understanding.
Contracts Chapter 2 Essential Requisites of Contracts Transcription
- 00:00 - 00:30 uh good evening class this is your lecture for chapter two uh essential requisites of contracts so before we begin with uh the essential requisites we must first uh discuss the elements of a contract so there are actually three elements of contact uh number one are your essential elements so remember essential elements are elements without which a contract will not exist that's why they are called essential elements because they are necessary for the existence of contract
- 00:30 - 01:00 there are two kinds of essential elements your common essential elements and number two your special essential elements so your common essential elements cost object and consent we will discuss extensively later on and also young special naman they are remember peculiar or unique to certain types of contrast so remember an example of a contract which
- 01:00 - 01:30 has a special uh essential element are real contracts so remember real contracts are perfected by mere delivery so you deliver the object the contract is perfected if you do not deliver the object an example of a real contract is a contract of pledge so pledge or sangla so remember ang pledge or sangla hindi perfect until and unless you deliver the object
- 01:30 - 02:00 that's why it is called a real contract because remember it is perfected by delivery so remember in case of pledge a real contract there is a special essential element which is delivery so in addition to the common essential elements cost object and consent in case of uh essential contracts especially in case of real
- 02:00 - 02:30 contracts mention additional element which is a special essential element delivery cost object consent and number four uh delivery so remember you know essential elements how about natural elements in case of natural elements because remember uh natural elements they are presumed to exist in uh certain contracts unless the
- 02:30 - 03:00 contrary is stipulated so papanum if it is stipulated now listen so um let us uh take an example of a contract with natural elements uh contract of sale it has natural elements uh human warranties are natural elements of a contract of sale so let us say uh so an essential a natural element is your warranty
- 03:00 - 03:30 against eviction aluminum [Music] the seller in fact violated your own warranty against uh eviction so remember here class da
- 03:30 - 04:00 it is incorporated by law now how will you remove the warranties it must be expressly stipulated that the warranties will be removed from the agreement or contract so remember natural elements what else accidental elements
- 04:00 - 04:30 remember uh so in case of accidental elements the example best example is your stipulation to pay interest so that okay creditor stipulation if the interest is in writing may be sapan it is in writing pointing many indian interesting creditor so remember this is an accidental element but in deploying money into credit or non-interest so also remember
- 04:30 - 05:00 the rule for interest to be due and demandable it should be in writing if the interest is not in writing remember indicating money in interest even but if if it is not written remember that um there is no interest that can be due what else so also uh and that's it so anyway
- 05:00 - 05:30 remember essential absolutely necessary for a contract natural inusapan or hindi nanjan paramawala pakusapang ali so also take note of the common essential elements concern object and cause so let's begin with consent so remember consent is covered by article 13 19 conformity or concurrence of wheels
- 05:30 - 06:00 so papado nakakara no conformity or concurrence of wheels but conduct that puang offer and acceptance offer acceptance so remember conformity or concurrence of wheels they agree with respect to the course
- 06:00 - 06:30 also of the contract so remember if there are if there is uh no plurality of parties so you know also general rule uh capacity to give consent is presumed
- 06:30 - 07:00 anyway we will discuss that later on more so anyways offer and acceptance so the rules in offer and acceptance i will discuss one by one in 139 teams have a offer must be certain but kind of offer object let us say it's a contract of sale so you are the seller you are the
- 07:00 - 07:30 offer because you are making the offer which one you are trying to sell and for how much that will make your offer certain s
- 07:30 - 08:00 so what else uh 1321 the offer may fix the time place and manner of acceptance so the offerer can designate how the offering will accept the
- 08:00 - 08:30 the offer the time and the place to accept it so let us say i'm selling to you my car 500 000 so that is a certain offer my car is along 500 000 fixed price so that is a certain offer now i can um fix also the manner of acceptance or the time of acceptance please so i i tell you accept my offer in five days via email
- 08:30 - 09:00 via text so remember young offerer is allowed to do so to fix the circumstances of acceptance and on the other hand the offering must comply with the uh time place and manner of acceptance 1321 what else 13 uh 1322 uh offer
- 09:00 - 09:30 made through an agent so an offer may be made through an agent remember so an agent is a representative of somebody else called the principal sometimes your agent is also known as your attorney in fact hindi attorney representative shah but the law calls them attorney in fact they represent somebody else who is usually known as the principal or grantor so remember that some principal or
- 09:30 - 10:00 grantor is represented by a agent but extension and personality nilayan so young offer may be made through an agent and also remember that uh on the other hand support um offering if the offer is made by an agent the acceptance of the offeree must also be communicated through an agent what else um 1323 an
- 10:00 - 10:30 offer will become ineffective upon the death a civil interdiction insanity or insolvency of either party before acceptance is communicated so uh several terms death civil interdiction insanity or insolvency so i make an offer i'm the offerer car 500 000 certain offer uh enough for kita
- 10:30 - 11:00 offer so remember here class that the offer will become ineffective because of my death same rule with insanity within an attenuative interdiction in insanity offer certain offer and then ikau bagumo tangapen na baluka offer is ineffective same rule with insolvency so if either of us namatay nabaleo leging insolvent or bank trap remember
- 11:00 - 11:30 the offer becomes ineffective how about a civil interdiction so remember civil interdiction is also known as civil death so in civil interdiction noah walankana is a penalty wherein canaan civil rights so if no one cannot civil rights you can no longer enter into contracts um actually civil interdiction of govern is to make a last will and testament that's it
- 11:30 - 12:00 civil rights interdiction there is civil interdiction it is an accessory penalty so there is a principle penalty the principal penalty here is uh imprisonment because you committed a crime and number two very importantly you are convicted of that kind guilty god so merong kang penalty the principal
- 12:00 - 12:30 penalty is imprisonment and the accessory penalty is civil interdiction or the suspension of civil rights sometimes known as civil death so um question that violate cannon curfew didn't put kendama police
- 12:30 - 13:00 again remember in case of civil interdiction it will apply only if you are convicted
- 13:00 - 13:30 and of uh so remember here class that there is no civil interdiction as yet because hindi kapa nasintenshahan you are not yet found guilty because believe it or not plus they are called your detention prisoners so detention prisoners number one because their offense is not
- 13:30 - 14:00 available in this the offense is not available like in the case of uh 10 years i'm hearing 10 years ago so anyway or number two your offense is available but your you do not have the money to post
- 14:00 - 14:30 you cannot pay for your provisional uh liberty so again detention prisoners civil rights because independence anyway i make an offer that was guilty of murder my offer to you becomes ineffective because of my civil
- 14:30 - 15:00 so anyway remember 1323 1324 offer may be withdrawn at any time before acceptance i offered to you my car i
- 15:00 - 15:30 later on without waiting for the five day period to expire she's willing to buy my car right now can i sell my car to that other person without waiting for the expiration five days yes why because remember
- 15:30 - 16:00 the offer as a general rule may be withdrawn at any time before acceptance so 1324 here is actually the general rule now of course there's a general rule exceptions yes of course there are exceptions to general rules so what is the exception in case the um offer is in case the option here is paid
- 16:00 - 16:30 with a consideration so anyway remember on five days we actually enter into an option contract you have an option to buy it uh
- 16:30 - 17:00 remember i can withdraw it at any time option period option period i option money so remember period i cannot withdraw it until the expiration of the option period so young option contact nothing is covered by a consideration which is the option money example again
- 17:00 - 17:30 a car five hundred thousand five days to decide very considerate also [Music] five days 5 000 pesos is called your option money what did you pay for the option period
- 17:30 - 18:00 of 5 days can i sell the car without waiting for the option period to expire no why because so remember the rule now after five days uh diva my option after five days
- 18:00 - 18:30 which i will answer also as well later so question um the moment that you decide to purchase the car is it letter a five hundred thousand pesos or is it letter b four hundred ninety five thousand pesos uh in the aqua accountant
- 18:30 - 19:00 students so anyway uh 495 000 letter b the answer is remember the answer is letter
- 19:00 - 19:30 so that is option money you used to pay for the option purchase price class
- 19:30 - 20:00 so remember your option contract which is paid for by auction money now that bb is option billion what about um earnest money uh by the way class uh obviously in option contracts numero option money parasa option period the contract is not yet perfected
- 20:00 - 20:30 offer in earnest money or aras a-r-r-a-s they are um earnest money is paid as part of the purchase price so
- 20:30 - 21:00 usually better known as your down payment earnest money you want to show the seller that you are really um interested in um buying young property and in some books it is on definition is it is paid to bind the bargain so young earnest money will signify perfection of the contract already
- 21:00 - 21:30 so remember in case of our problem what if you own 5000 it is not option money but instead it is earnest money now later on is it b 495 or a 500 you will pay remember b 495 why because remember aras already part of the purchase price
- 21:30 - 22:00 so remember in case of earnest money the contract is already perfected so part of the purchase price what else do you have to remember business advertisements are not definite offers so it is house and not for sale so general rule
- 22:00 - 22:30 not definite offers why house in that foresee so there are no particulars what if your business advertisement is complete in all material particulars let us say my price my location they describe a bungalow land is 500 square meters and area number is 300 somewhere
- 22:30 - 23:00 garden and backyard around 200 square meters number one champagne street burgers and vicente turlock city the opposing price is 1 million pesos that was fixed price payable in cash person contact number uh remember if the advertisement is complete in material particulars it is a definite offer definition offer and if it is complete
- 23:00 - 23:30 in material particulars just based on the offer as a buyer you can decide whether or not you want to buy your own property so that is remember business advertisement complete in material particulars that is a definite offer but as a general rule business advertisements are not definite offers what else um advertisement for bidders are again not definite offers because an advertisement for bidders
- 23:30 - 24:00 is
- 24:00 - 24:30 so anyway
- 24:30 - 25:00 you are the offerers so you offer to me a price let us say for this tablet 50 000 pesos so um that is your bid later on not i want the highest price so you know
- 25:00 - 25:30 100 million percent dinner to room sales
- 25:30 - 26:00 in case of auctions remember that the advertiser is not bound to accept the highest or the lowest bid you know general rule except if it is uh specified in the advertisement that the advertiser will accept the higher the highest or the lowest bid sir
- 26:00 - 26:30 if you're trying to sell like this one you will look for the highest bid but what if you're trying to hire a construction company to construct your house obviously you are trying to get the lowest bid so remember but again the advertiser is not bound to accept the highest or the lowest speed so that is what you have to remember about auctioneers auctions also uh remember that options they are
- 26:30 - 27:00 perfected by the fall of the hammer example fifty thousand something eight sixty thousand sabine sabine c eighty thousand ability one hundred thousand pesos auctioneer going once going twice tapos hammer and that will signify perfection of the contra or in some other customary manner
- 27:00 - 27:30 if you watch history channel they have this shows none of bb 04 uh storage lockers hammered on so obviously they are perfect the contract in another customary manner so you know um question can the advertiser bids surrealing uh
- 27:30 - 28:00 as long as it is advertised that he will be bidding also remember that the advertiser can hire third persons to bid on his behalf by bidders or buffers b y dash b i b d e r s and p u f f e r s so puedeon
- 28:00 - 28:30 as long as it is stated in the advertisement for bidders that the advertiser will bid or buy bidders or puffers will bid on his behalf just to um jack up the prices so anyway uh also we have to discuss uh acceptance abigail offer and acceptance of acceptance i o i you consent so remember um
- 28:30 - 29:00 in acceptance what you have to remember is that acceptance must be absolute in 1319 so this is the second part of 1319 so if the offer is certain that patent acceptance also is absolute what does it mean for acceptance to be absolute so acceptance is absolute if tenant offering young offer number if the uh offeree does not try to
- 29:00 - 29:30 change any of the terms of the offer the acceptance then is considered absolute so remember a new remember that is a counter offer ibxabian he rejects the original offer and makes a new offer in lieu of the projected offer
- 29:30 - 30:00 so five hundred thousand car yanang offer certain it don't see uh buyer offeri sabina so here the offer is certain but the acceptance is not absolute because the acceptance is not absolute remember that [Music] it is a counter offer a counter offer is
- 30:00 - 30:30 actually a new offer so not non-rules yeah the offeree is now an offerer and young seller who was the uh former offer is now an offering so obviously economy 300 000 so again let us say the offering or sellers who is now the offering four hundred
- 30:30 - 31:00 fifty thousand so again it is a rejection of the counter offer of the uh buyer and again there is a uh counter offer um it is actually a new offer so you know offer counter offer also remember in case of acceptance by letter acceptance by letter is effective from the time that the acceptance is
- 31:00 - 31:30 communicated [Music]
- 31:30 - 32:00 question so remember the offer is accepted or the contract is perfected in this case
- 32:00 - 32:30 so remember the um acceptance here of the letter may be actual or constructive so acceptance by correspondence remember at the time it had the acceptance has come to the knowledge of the offerer that is the only time it is perfected constructive or actual actually at actual uh knowledge
- 32:30 - 33:00 or constructive knowledge engineering acceptance letter that is constructive knowledge but remember here that the acceptance is effective only upon the time about article 13 20 acceptance may be expressed or implied no need to explain i accept more vocally that you are
- 33:00 - 33:30 saying offer and in 1320 also acceptors may be implied so about the next article 1321 acceptance must also comply with the terms of the offer remember in 1321 the offer may fix the time place and matter of acceptance so again in case of 1321
- 33:30 - 34:00 the offeree should comply with the terms nasi by the offer and lastly 1322 acceptance must be communicated to the uh agent who made the offer because remember again in 1322 sabe offer remember also that the acceptance must be communicated to the agent to make the offer so
- 34:00 - 34:30 [Music] our next topic will be uh 1327. remember the general rule a while ago uh it is presumed that a person can give consent so you know basic presumption let's say in our law we did not define wedding bug beginner consent but what the law did is to define the persons who are not
- 34:30 - 35:00 um capable of giving consent so according to 1327 who are the persons who cannot give consent minors obviously and a minor 17 and below or below 18 what else insane or demented and also deaf mutes who do not know how to
- 35:00 - 35:30 write why why deaf beards and bring that ribs because remember all of these actually all of all of them they are um they can be easily victims of fraud madali remember minors cannot give intelligent consent obviously the insane or demented and also death mutes mas madison
- 35:30 - 36:00 so anyway remember in case of 1327 contracts entered into by minors insane or demented persons or that you should not know how to write they are actually general rule
- 36:00 - 36:30 avoidable contracts but later on you can also you will also realize that they may also be classified as an enforceable depending so anyway [Music] obviously they are removed from the uh except uh from the uh enumeration of persons who cannot give consent so
- 36:30 - 37:00 27 in 1328 this will talk about 1329 i mean this will talk about modifications on incapacity so service 1327 yung three mentioned cannot give intelligent consent in 1329 um heron tying certain modifications but there are several in your book
- 37:00 - 37:30 necessaries you have to pay for the price uh what else if the contract is entered into by a guardian or a legal representative as long as the guardian or legal representative um is authorized remember that the contract is also valid but as also in case of
- 37:30 - 38:00 a contract where the minor misrepresented his age so remember this is based on the doctrine of estoppel e-s-t-o-p-p-e-l hopefully so please take note of the definition of estopel we will also encounter that when we go to partnerships but else uh also remember 1327 in case of lucid interval so in lucid
- 38:00 - 38:30 interval temporary period of sanity so obviously in case of lucid interval aro one day that is called lucid interval so now in case of lucid interval what is the status of your contract in at the time of your lucid interval
- 38:30 - 39:00 remember your contract is it is remember valid yeah pasta it can be shown that there is a full return of the mind to sanity so around
- 39:00 - 39:30 what is the status of the contract entered into yesterday during the lucid interval still valid the reckoning point is at the time you entered into the contract so that is the reckoning point so remember 1328. how about also included 1328 parent pala a drunkenness and hypnotic spell
- 39:30 - 40:00 in case and also hypnotic spell naboodle can hypnotize what is the status of your contract remember excited obviously drunkenness and did not expel will impair the capacity of a person to give again intelligent concept what else so again contract is remember
- 40:00 - 40:30 voidable because this is temporary insanity because persons who cannot give consent minors demented and deaf mutes would not know how to right so voidable now by the way class what is avoidable contra avoidable contract is a contract which is valid until it is unavoidable so i am avoidable there is a possibility of
- 40:30 - 41:00 invalidating the contract so 1328 what else um vices of consent vimpo remember v violence i intimidation and mistake f fraud and you and you influence so let's uh enumerate them one by one uh again uh mistake uh uh provisions covering it violence or force
- 41:00 - 41:30 undue foreign and fraud or deceit also remember cluster latin terms i will try to incorporate them as much as possible to the lectures but memorize your latin terms when you go to your review centers they will give you a four page a list of latin terms now if you do not start memorizing now is a word exam so memorizing malatin terms
- 41:30 - 42:00 so let's take the first one a mistake under article 13 31. so remember in 1331 mistake okay and this is a false notion or belief about a thing f material to the contract so what is the effect if there is mistake in a contract
- 42:00 - 42:30 the contract is avoidable you know so here mistake should be substantial mistake of you know mistake so the mistake may refer to the substance of an object to the conditions uh which move the parties to enter into the contract or the identity or qualifications of the uh parties uh into the contract so
- 42:30 - 43:00 substance in case of mistake as to substance of the object so later on you found out that what you are what you signed is a deed of sale over your property so that is mistake as to the substance of the thing how about number two
- 43:00 - 43:30 conditions um error in boundaries so had you known and number three mistake as to identity
- 43:30 - 44:00 so the example in your book is uh very precise the donate to your brother uh to a person thinking that he is your uh half brother later on related so here had you known mahindi musha have brother you would you wouldn't have donated your own car so here this is a mistake in identity so you know also mistake of account will only give
- 44:00 - 44:30 rise to corrections in 1332 siguro person who alleges mistake must prove that there is in fact mistake committed is a person who is ignorant and the ignorant person claims mistake you have to um you have to establish that you already explained especially if the contract is not in a
- 44:30 - 45:00 language which is understood by him he understood the contents of the contra so lesson here is do not contract with a person who does not understand very well or at least explain but else
- 45:00 - 45:30 1333 if you are aware of the knowledge uh if you have knowledge of the risk this is not a mistake still you took a risk so this is
- 45:30 - 46:00 here obviously when you buy it alan risk and diet pills papaya in three days lose 10 kilos in three days obviously
- 46:00 - 46:30 because it's impossible now if you buy it you know there is so this is not mistake uh what else 1334 mutual error as to the effects of an agreement can also invalidate consent but remember the error was mutual and it must be with respect to the legal effects of a contract and it must frustrate the intention of the parties
- 46:30 - 47:00 now what else also violence under article 1335 uh keywords serious or irresistible force and physical force and the force must be either serious or irresistible hindi musha ma overcome hindi balabana
- 47:00 - 47:30 there is violence why because the force is serious or irresistible or in this case the force is irresistible
- 47:30 - 48:00 so violence usually remember the key word serious or irresistible force what else um also please take note of intimidation or threat so intimidation is more in
- 48:00 - 48:30 internal so in intimidation so so no physical force but there is remember moral coercion so in intimidation or threat you have to uh remember the factors so i remember the keywords reasonable and well grounded fear of an imminent or grave evil upon the person who else
- 48:30 - 49:00 property of his spouse descendants or ascendance to give consent so remember in intimidation so remember uh reasonable and well-grounded fear hindi the fear must be reasonable the fear must be well grounded and also remember that the fear must be because of an evil
- 49:00 - 49:30 which is imminent or and grave and the evil is on the person of the a party who is forced to enter into the contract or pueden uh ascendance or descendants so um this is remember intimidation
- 49:30 - 50:00 because there is no serious and irresistible uh force so yeah relaxing physical force moral coercion uh i'm physical force but there is remember moral coercion uh anyway
- 50:00 - 50:30 intimidation also because there is an evil inflict upon your property so that is an evil upon your spouse how about your living partner remember in case of leaving partner the law applies as well or sometimes known as young common law wife or husband common law partner yeah
- 50:30 - 51:00 if you are cohabiting with a person who is not your spouse technically but the law applies just the same anyway your consent is vitiated just the same um defective consent more what else also the evil is upon your descendants or your ascendants so the the consent is shaded uh just the same so remember also that to determine uh the degree of
- 51:00 - 51:30 intimidation you have to consider the age sex and condition of the person who is enforcing the threat so 30 years old 95 years old obviously that cannot be considered as intimidation because you have to consider your own um and also remember that young person who
- 51:30 - 52:00 is doing the intimidation he must be in a position to carry out his threat so here obviously 95 years old so also what else and trying to [Music] uh yes threat to enforce just or legal plane is that intimidation no because remember
- 52:00 - 52:30 so also remember in 1336 violence or intimidation may be um employed by a third person
- 52:30 - 53:00 but again consent is vitiated just the same how about article 13 37 uh unto influence so remember in undue influence there is influence which will overpower the mind of one party and destroys free will so here you are expressing already the will of another person so remember paramagging a viscated consent be
- 53:00 - 53:30 the influence must be remember undue or improper so you know and also in and you influence some factors which will um uh be considered number one confidential family spiritual in other relations and also mental weakness
- 53:30 - 54:00 ignorance and also financial distress so must modeling into and similar persons in financial distress so that's what you have to remember about undue improvements when there is a new influence there is vitiated or defective concept uh what else uh also fraud in in case of um vices of consent we referred to fraud here
- 54:00 - 54:30 because there are actually two kinds of fraud or dollo so causal fraud which is uh being talked about in this provision foreign is fraud to induce another party to enter into the contract so remember this fraud is before the contract and the fraud is used as a means
- 54:30 - 55:00 to uh induce or um to make the other party enter into the contract so you know how do you commit a causal fraud through insidious words or machinations so remember uh insidious words machination or puedenaban by concealment because there is also fraud by concealment that's provided for in uh 1339 so if there is an obligation to uh disclose facts perindi mushadin is
- 55:00 - 55:30 closed uh this is also a fraud like an agent um obligation to disclose uh facts to the principal pakistan at all this is fraud by concealment so let us say agent sabina
- 55:30 - 56:00 so because of the uh failure of the agent to disclose young information that there are other interested parties to the land but to the property this is fraud by concealment so remember fraud may be committed by
- 56:00 - 56:30 insidious words or machinations and also there must be a misrepresentation here and again fraud must be material also take note of the other kind of fraud the incidental fraud or dolo incident only will will only make uh the party
- 56:30 - 57:00 liable for damages so this is a fraud after the point that you the parties already gave his consent unlike sante cosgae rise to an option for damages also remember for um uh fraud you my usual exaggerations in
- 57:00 - 57:30 trade dealer stop this fraud because bola
- 57:30 - 58:00 so because they are remember sellers are around usual exaggerations in a trade remember it will stress the role of caveat emptor or buyer beware so probably so caveat c a v space e m p t o or caveat emptor um also expressions of opinions
- 58:00 - 58:30 in 1341 it turns out marine opinion it is not fraud so this is not fraud but if the opinion is made by an expert remember it can um it can also constitute fraud so here the opinion of the expert is the only uh uh
- 58:30 - 59:00 information relied upon this is considered also fraud in 1342 a misrepresentation by a third person will not receive consent 43 misrepresentation in good faith not um this is not fraud but only uh error what else uh also fraud
- 59:00 - 59:30 serious and uh should have not been employed by both of the contracting parties so what else um simulation of contracts uh articles 1345-1346 so remember simulation of contracts or faking contracts process of intentionally deceiving your own others by producing the appearance of a contract when there is really no contract or
- 59:30 - 60:00 producing the appearance of a contract which is different from the real agreement so based on the definition you will know that two kinds of simulation uh absolute simulation or otherwise known as your fictitious contracts here remember the parties they do not intend to be bound at all this is a void contract why is it void because there is no consent now blank piece of paper you want to try out a ball pen i don't try nothing
- 60:00 - 60:30 that this is an absolutely simulated contract uh the is there they do not want to be bound by the contract of sale but instead they just want to try out the ball pin this is void for lack of consent uh also based on the definition also you will know that the second kind is your relatively simulated contract so otherwise known as your disguise contracts
- 60:30 - 61:00 which is different from the real agreement let us say anger enough new contract is a contract of sale but really what happened is a contract of uh it's a donation it is a sale so remember uh parties here they hide the true agreement so what else uh what is
- 61:00 - 61:30 binding is it the real agreement remember or the fake agreement you draft the instrument parties are bound by the real agreement subject to exceptions if the real agreement will will prejudice a third person uh in which case you own fake agreement you own binding and also if the purpose is contrary to uh no morals good questions public order
- 61:30 - 62:00 or public policy again lavon pp la uh m o g uh p and b public order and public policy so anyway uh let's continue with objects so in objects remember covered by 1347 to 1349 uh remember subject matter of the contra so it can be a service
- 62:00 - 62:30 it can also be a thing so you so it can also be an object of a contra so for uh things remember these are the requisites number one it is within the commerce of men so it can be subject of legal transactions so independent human sidewalk bucket
- 62:30 - 63:00 government property hanging what else um not impossible legally or physically also drugs legally impossible uh physically young object like um it looked so physically impossible as an object
- 63:00 - 63:30 what else uh object must also exist or if it is not yet existing what the remaining objects which are capable of existence so so not yet existing but capable of existence future things what else um how about future inheritance why the bang banging subject of contract of uh sailor whatever
- 63:30 - 64:00 contract uh usually class in future inheritance hindi puede because remember independent say you young so it cannot be as a general rule be the subject of contracts but there are exceptions which you will find in your book in case of the nation's proper nucleus or donations by reason of marriage and in case of partitions of property during the lifetime of uh property owner
- 64:00 - 64:30 so you know and the long-lasting existence i you know the long-lasting exception so remember uh future things for the future inheritance in the puede as a general rule only two exceptions what else object is also determinate if it is not yet determinate it is capable of being determined determinable without the need for a new agreement between the parties
- 64:30 - 65:00 not determinate yet but it is remember determinable how about services as objects of contract the service must be within the commerce of men so this is not an illegal service like killing somebody prostituting etc etc but else the service must not be impossible physically impossible service
- 65:00 - 65:30 also legally impossible service and the service must be determinate or at least capable of being made determinate in the future rights naman may be also objects of the contract except if the right is intransmissible so animal interest visible rights uh political rights right to vote public office etc they are not transmissible rights that's
- 65:30 - 66:00 why they cannot be the subject of contracts yeah so cos the last topic for uh today uh cost or consideration or cosa again remember your latin terms so cause is essential reason or compelling reason why the parties will enter into a contract so
- 66:00 - 66:30 there are three classifications of course number one onerous cost number two remuneratory cost and number three gratuitous cause uh remember in honors course your own consideration is a depreciation or promise of a thing so the parties are reciprocally obligated to one another an example of an honors contract again is a contract of a sale so in a contract of sale for the
- 66:30 - 67:00 seller the reason why he will enter into the contract is so that he will receive money and in case of the buyer so he will receive the object so that is one theory uh also what else in case of remunerative but in honors remember that's why you want to enter into contra what else um in remuneratory
- 67:00 - 67:30 or remunerative remember here the cause is a past service or benefit which is a recoverable debt so here ang assume past service but else in gratitude's contracts unconsideration veto is the liberality of the benefactor or giver so what is an example of a gratuitous contract a donation is subjective contract
- 67:30 - 68:00 so secretary's contract remember um the reason why you enter into a donation is the liberality or generosity of the giver so remember that leaders contracts what else uh also please take note of motive
- 68:00 - 68:30 and also vis-a-vis cause so ang motive is the personal or private reason why a party will enter into a contract so motive remember it does not affect your own contract in case of a illegal motive the contract is valid in case of an illegal cause the co the contract is void so remember in
- 68:30 - 69:00 uh course example buyer will buy a knife from the cellar so parasa um buyer the object is for him yonkanyang pera what is the cause young knife non-seller so an motive bucket movie billion by your name life because the buyer wants to kill his neighbor
- 69:00 - 69:30 so here the cost is a valid is the contact between the seller and the buyer void contract before that also for the seller remember that the cost is the money of the buyer the object for him is the
- 69:30 - 70:00 um is the uh knife which he already owns but remember class here that the motive even uh of the buyer even if illegal will not invalidate the contract of sale between seller and buyer so you know so try to distinguish costs immediately recreation etc and very important here
- 70:00 - 70:30 illegality affects the validity of the contract in case of cost and in motive illegality will not render the contract up void what else also lesson in article 1355 but before we go there also remember 1352 contracts are contracts without costs or void contracts it will produce no effect so remember if your cost is
- 70:30 - 71:00 illegal uh your contract is also void so because promise of marriage based on sexual intercourse or young so remember here promise because of sexual intercourse remember class this is uh an illegal cost so the contract there is
- 71:00 - 71:30 uh valid so on cost remember it is always it must be present if there is no cost for the contract remember it is a void contract and also in case of contracts it's also always presumed to exist now uh what about if the cost is inadequate like in a contract of sale yeah and a hula there is actually less on but remember it will not affect a contract what else if the
- 71:30 - 72:00 contract if the costs there is failure remember also that the contract is uh valid the current failure so here remember it does not actually invalidate a contract but will give rise to an action to ask for payment yen uh what else also
- 72:00 - 72:30 1354 cost is always pressure 1355 and let's go back to that alesson um price is unjust or cost is inadequate so full equivalent of what you gave in a contract so remember nation
- 72:30 - 73:00 the exceptions are number one when in addition to leshon there is also fraud or anju influence or mistake
- 73:00 - 73:30 later on they found out that it is a real gold so this one here will affect your contract because there is mistake fraud or any influence what else in case is expressly provided by law that is 1381 paragraph 1 1381 paragraph 2
- 73:30 - 74:00 uh you know we will discuss that later on when we go to chapter six so anyway uh later on um we will begin our lecture i will record a lecture on chapter six but for now this is the only lecture that i can manage to record um anyway uh we will i will see the class uh tomorrow