Practice question
A debtor supplies exactly the promised valid security on time. The creditor invokes 1198(2) solely because it now prefers a different asset, with no impairment or other ground. Which is best?
- Every new preference proves nonperformance retroactively.
- The creditor may redefine the past promise unilaterally.
- Only the asset’s paint decides compliance.
- No debtor may ever furnish security.
- A new preference alone does not establish failure to furnish the promised security.
Legal references
- Civil Code Articles1163-1166,1170,1179,1188-1190,1196-1198,1200-1205 and1211-1222: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
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