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)?
- The first loss causes dissolution; the second loss alone does not
- Both dissolve merely because the structures were valuable
- Neither can dissolve because no cash was contributed
- Only the second dissolves because ownership had passed
- 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.
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