Practice question
A borrower accepts a promise to receive a loan, but the lender never delivers its object. The lender demands repayment of the undelivered principal solely because the accepted promise was binding. Which is best?
- A binding promise conclusively proves every repayment debt
- The accepted promise and the real loan are distinct; a binding undertaking to lend does not by itself prove delivery or a duty to repay undelivered principal
- Every promise is meaningless
- The lender may invent a receipt
- Only the document’s length matters
Legal references
- Civil Code, Articles 1159,1191,1249,1308,1314-1316,1319,1322-1326,1933-1934,1962 and1980: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
- Naguiat v. Court of Appeals, G.R. No.118375, October 3, 2003, MAIN decision, unencashed loan checks: https://lawphil.net/judjuris/juri2003/oct2003/gr_118375_2003.html
Answer this question in flashcards to review your response and continue practicing.