Practice question
Two parties execute an absolutely simulated sale: neither intends any sale or transfer, and the document exists only as a fictitious appearance. Which classification follows Articles 1346 and 1409?
- A binding sale that can be annulled only for minority.
- Void from the beginning for absolute simulation.
- Unenforceable solely for lack of a signed memorandum despite both signatures.
- Necessarily a valid donation.
- A contract that becomes valid automatically after performance of an unrelated transaction.
Legal references
- https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html — Civil Code, articles 1346,1352,1409–1412 and 1416,1420–1422.
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