Philippine Bar review · Question

Practice question: Damnum Absque Injuria

Multiple Choice Medium

Practice question

A business loses customers to a competitor's lawful, honest competition. No fraud, unfair act, breach of duty or other legal wrong is established. Does the sales loss alone require the competitor to pay tort damages?
  1. No, the facts show loss without the required legal wrong
  2. Yes, lawful competition always guarantees compensation
  3. Yes, every competitor owes the other's previous income
  4. No, because commercial wrongs can never be actionable
  5. Yes, if one business opened first

Legal references

  • Civil Code Articles 19–21 and 2176: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
  • Sanggacala v. National Power Corporation, GR 209538, July 7, 2021, main decision: https://lawphil.net/judjuris/juri2021/jul2021/gr_209538_2021.html

Answer this question in flashcards to review your response and continue practicing.