Practice question
A claimant seeks rescission of a transaction but the thing is now legally held by a third person who did not act in bad faith. The claimant argues that Article 1385 always requires taking the thing from that third person. Which answer is correct?
- The third person automatically becomes criminally liable.
- Every third person must surrender regardless of good faith and legal possession.
- Article 1385 protects the stated third-person possession from rescission; damages may instead be demanded from the person who caused the loss.
- The claimant necessarily receives both the thing and twice its value.
- The contract becomes a new donation.
Legal references
- https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html — Civil Code, articles 1380–1389.
- https://lawphil.net/judjuris/juri2015/jan2015/gr_167519_2015.html — Wellex Group v U-Land Airlines, GR 167519, January 14 2015, main opinion: subsidiary rescission distinguished from Article 1191 resolution.
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