Practice question
A defendant relies on a release that expressly covers one specified existing claim. It seeks to apply it to a different claimant’s independent right and to deliberate future fraud. Which is correct?
- The defendant’s preferred broad reading controls conclusively.
- The document necessarily binds every person and future act.
- Neither the asserted prejudice to another person’s right nor future-fraud immunity follows merely from the limited release.
- The release automatically creates a new statute.
- Every signed instrument has unlimited scope.
Legal references
- https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html — Civil Code, articles 6 and1171.
- https://lawphil.net/statutes/repacts/ra1992/ra_7394_1992.html — RA 7394, article106: prohibited exoneration clauses for the specified consumer damages.
- https://lawphil.net/judjuris/juri2017/mar2017/gr_164749_2017.html — Abrogar v Cosmos Bottling, GR 164749, March 15 2017, main opinion: waiver and assumption-of-risk issues in the negligence setting.
Answer this question in flashcards to review your response and continue practicing.