Facts: A-Seller, B- Buyer: Car No.

. 123 for 1 million To be delivered in 10 days On 5th day, lightning struck the car Issue: WON B is obliged to pay 1million? Answer:
Loss of the Thing Due A thing is deemed lost when it perishes, or goes out of commerce, or disappears in such away that its existence is unknown or cannot be recovered.Loss includes physical or legal impossibility of the service in which the obligation consists.As a rule, the obligation is usually extinguished when the loss of the determinate thingor service is due to fortuitous events . However, in the following cases, the obligation subsists even if the prestation is lost due to fortuitous event: When debtor has incurred in delay. When the law so provides. When the parties stipulated. When the nature of obligation requires the assumption of risk. When the debt proceeds from a criminal offense unless the person who shouldreceive it refuses to accept without justifiable reason.Loss of a generic thing or service or loss due to debtors fault does not extinguish theobligation.

After the contract of sale has been perfected (Art. 1475) and even before delivery, that is, even before the ownership is transferred to the vendee, the risk of loss is shifted from the vendor to the vendee. Under Art. 1262, the obligation of the vendor to deliver a determinate thing becomes extinguished if the thing is lost by fortuitous event (Art. 1174), that is, without the fault or fraud of the vendor and before he has incurred in delay (Art. 11 65, par. 3). If the thing sold is generic, the loss or destruction does not extinguish the obligation (Art. 1263). A thing is determinate when it is particularly designated or physically segregated from all others of the same class (Art. 1460). Thus, the vendor becomes released from his obligation to deliver the determinate thing sold while the vendee's obligation to pay the price subsists. If the vendee had paid the price in advance the vendor may retain the same. The legal effect, therefore, is that the vendee assumes the risk of loss by fortuitous event (Art. 1262) after the perfection of the contract to the time of delivery. (Civil Code of the Philippines, Ambrosio Padilla, Vol. 5,1987 Ed., p. 87

Facts: A- consumer, eating in Bs Resstaurant A- found pearl in his order- oyster Issue: Who owns the pearl?

Answer:

Art. 719. Whoever finds a movable, which is not treasure, must return it to its previous possessor. If the latter is unknown, the finder shall immediately deposit it with the mayor of the city or municipality where the finding has taken place. The finding shall be publicly announced by the mayor for two consecutive weeks in the way he deems best. If the movable cannot be kept without deterioration, or without expenses which considerably diminish its value, it shall be sold at public auction eight days after the publication. Six months from the publication having elapsed without the owner having appeared, the thing found, or its value, shall be awarded to the finder. The finder and the owner shall be obliged, as the case may be, to reimburse the expenses. (615a) Art. 720. If the owner should appear in time, he shall be obliged to pay, as a reward to the finder, one-tenth of the sum or of the price of the thing found. (616a)