Practice question
One party is mistaken about the instrument's terms. The other knows that the instrument does not state their real agreement but deliberately conceals that fact. The true agreement and concealment are proved. The knowing party argues that reformation always requires mutual mistake. Which conclusion follows from Article 1363?
- Reformation is always unavailable unless both parties made the same mistake.
- The concealed discrepancy necessarily becomes the true agreement.
- The instrument may be reformed under Article 1363 despite the absence of mutual mistake.
- Concealment automatically changes the agreement into a will.
- The innocent party must accept any discrepancy permanently.
Legal references
- https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html — Civil Code, Article 1363.
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