Practice question
A properly appointed third person communicates a performance determination to both contracting parties, but the determination is proved evidently inequitable. One party says communication makes it unreviewable forever. Which is correct?
- Every communicated determination is conclusive regardless of inequity
- The third person can override every legal limit
- Only a private lottery can resolve the issue
- Article 1310 makes an evidently inequitable determination nonobligatory and directs the courts to decide what is equitable
- The contract automatically becomes a donation
Legal references
- Civil Code, Articles 1309-1310: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/2/53360
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