Philippine Bar review · Question

Practice question: Dissolution and Winding Up

Multiple Choice Hard

Practice question

A contributed only the use of a specifically identified studio, expressly retaining ownership. The studio is destroyed. In a second firm, B had conveyed ownership of an identical studio to that firm before its destruction. Neither has another dissolution ground. Which conclusion correctly distinguishes Article1830(4)?
  1. The first loss causes dissolution; the second loss alone does not
  2. Both dissolve merely because the structures were valuable
  3. Neither can dissolve because no cash was contributed
  4. Only the second dissolves because ownership had passed
  5. Both require a creditor judgment before the loss can matter

Legal references

  • Civil Code RA386: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html Articles1830(4),1831 and1839.

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