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5. Change of Mind

Spouses Biong and Linda wanted to sell their house. They found a prospective buyer, Ray. Linda negotiated with Ray for the sale of the property. They agreed on a fair price of P2 Million. Ray sent Linda a letter confirming his intention to buy the property.

Later, another couple, Bernie and Elena, offered a similar house at a lower price of P1.5 Million. But Ray insisted on buying the house of Biong and Linda for sentimental reason. Ray prepared a deed of sale to be signed by the couple and a manager’s check for P2 Million.

After receiving the P2 Million, Biong signed the deed of sale.

However, Linda was not able to sign it because she was abroad. On her return, she refused to sign the document saying she changed her mind. Linda filed suit for nullification of the deed of sale and for moral and exemplary damages against Ray.

   (1) Will the suit prosper? Explain.
2.5%

   (2) Does Ray have any cause of action against Biong and Linda? Can he also recover damages from the spouses? Explain.
2.5%

1 comment:

Anonymous said...

V.

1.

The suit will not prosper because the contract between the parties was already perfected. Under the law, the contract of sale is perfected at the moment there is meeting of the mind upon the thing which is the object of the contract and upon the price.

2.

The contract having been perfected, Ray can sue Biong and Linda for specific performance. Ray can also recover damages from the spouses based on Article 19 of the Civil Code: “Every person must, in the exercise of his rights and in the performance of his duties, act with justice, give everyone his due, and observe honesty and good faith.”