Practice question
Which feature particularly distinguishes a right of first refusal from a fixed-price option?
- First priority to buy if the owner decides to sell, on terms still to be settled
- Immediate ownership without any transaction
- An obligation to buy every property of the owner
- Automatic mortgage rights
- A right to set any price unilaterally
Legal references
- Civil Code RA386: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html Articles1324,1479.
- PNOC v Keppel Philippines Holdings GR202050 July25,2016 MAIN: https://lawphil.net/judjuris/juri2016/jul2016/gr_202050_2016.html Separate consideration and burden of proof.
- F.F. Cruz v NMC Container Lines GR270449 August11,2025 MAIN: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/1/70224 Option versus first refusal; consideration.
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