INTRODUCTION TO LAW

The General Nature of Law

1. Meaning of Law in General

In its widest and most comprehensive sense, law means any rule of action or any
system of uniformity.

This means law is not limited to rules made by governments. It can refer to any principle
that determines how things behave.

For example:

• Human beings → follow rules of conduct.

• Objects → follow physical laws.
• Nature → follows regular patterns.

So, law generally determines the activities of human beings and the movement of
things in nature.

2. General Divisions of Law

Law can be divided into two general groups:

Division Meaning Examples

Legal law / Promulgated and enforced by Civil Code, Revised Penal Code,
State law the State ordinances
Non-legal law Not promulgated and enforced Divine, natural, moral, physical
by the State law

STATE LAW = government makes and enforces it.

NON-LEGAL LAW = not directly made/enforced by the government.

3. Subjects of Law
There are five important types discussed in this lesson:

1. Divine Law
2. Natural Law
3. Moral Law
4. Physical Law
5. State Law

The first three apply primarily to human beings as rational beings because they involve
human reason, conscience, or choice.

Physical law, however, operates on everything, including humans, regardless of their will.

4. DIVINE LAW
Meaning

Divine law is the law of religion and faith. It deals with concepts such as:

• sin
• salvation
• religious duties

Source

Divine law is believed to be formally promulgated by God and revealed to mankind

through direct revelation.

Examples

For Christians:

• The Ten Commandments, traditionally believed to have been given by God through
Moses.
For Muslims:

• Divine law is associated with teachings revealed through the Qur'an.

Sanction

The sanction of divine law consists of rewards and punishments, which may be
understood as occurring:

• in the present life; or

• in the life to come.

Remember:

DIVINE LAW → REVELATION → GOD/RELIGION → REWARDS & PUNISHMENTS

5. NATURAL LAW
Meaning

Natural law is the sense of justice, fairness, and righteousness found within human
reason and conscience.

Unlike divine law, it is not necessarily revealed through religious revelation.

Instead, it is understood through our inner sense of right and wrong.

Example

You generally understand that:

• killing simply for the sake of killing is wrong;

• stealing simply for the sake of stealing is wrong.

You know these are wrong because they violate your basic understanding of justice and
fairness.
Binding Force

Natural law is considered:

Binding on all people, everywhere, and at all times.

It is based on the idea that humans possess a fundamental understanding of good and
evil.

Natural Law vs. Divine Law

This is a VERY important distinction.

Natural Law Divine Law

Known through reason/conscience Known through divine
revelation
Based on inherent sense of justice Based on religious faith
Present in human nature Revealed by God
Example: basic sense that unjust killing is Ten Commandments
wrong

Memory trick:

NATURAL = within our nature

DIVINE = divine revelation

Place of Natural Law in State Law

Natural law has traditionally been regarded as a reasonable basis of state law.

In simple terms:

Laws created by the government should ideally be consistent with fundamental principles
of justice and fairness.
6. MORAL LAW
Meaning

Moral law refers to the totality of norms concerning good and right conduct arising
from the collective sense of right and wrong within a community.

In simpler terms:

Moral law is what a society generally considers right or wrong behavior.

Societies develop mores, or accepted ways of life and conduct.

Determination of Right and Wrong

Human communities eventually learned that determining right and wrong should not
simply be left to every individual.

Therefore, communities developed accepted standards of conduct.

For example, a society may generally expect people to:

• respect others;
• avoid dishonesty;
• behave appropriately;
• protect other members of the community.

Sanction of Moral Law

This is an important distinction.

Moral law generally does NOT have a definite legal sanction.

If you violate a moral norm, the government doesn't necessarily imprison or fine you.

Instead, you may experience social sanctions, such as:

• public disapproval
• contempt
 • criticism
• indignation

On the other hand, following moral norms may result in:

• public approval
• respect
• praise
• acceptance

Compare:

State law: legal punishment

Moral law: social reaction

Binding Force of Moral Law

Moral law is not absolute.

It can change depending on:

• time
• circumstances
• culture
• beliefs
• convictions of society

Example from your material:

Polygamy may be viewed as immoral and illegal in the Philippines, while it is permitted in
certain other societies.

Similarly, standards regarding clothing and fashion can change over time.

Important:

MORAL LAW = changes according to society's values and circumstances.

Place of Moral Law in State Law
Moral law can influence and shape state law.

In other words, what society considers morally acceptable or unacceptable can influence
the laws enacted by the government.

7. PHYSICAL LAW
Meaning

Physical law refers to the uniformities or regularities found in nature.

It explains how certain causes consistently produce certain results.

Examples

• Law of gravitation
• Laws of chemical combination

For example:

If an object is released under ordinary conditions, gravity causes it to fall toward Earth.

Why is it called "law"?

Physical law is called law only by analogy.

Why?

Because physical objects cannot choose to disobey physical laws.

A person can choose whether to obey a legal rule.

A rock cannot choose whether to obey gravity.

Therefore:
Physical law is essentially a regularity/order in nature, rather than a command that
imposes a duty.

Remember:

PHYSICAL LAW = CAUSE → EFFECT

8. STATE LAW
This is the most important type of law for your subject, especially because your course
deals with Obligations and Contracts.

Meaning

State law is law that is:

Promulgated and enforced by the State.

It is the law that governs things such as:

• obligations
• contracts
• marriage
• elections
• administration of justice
• government processes

Other Names

State law may also be called:

• positive law
• municipal law
• civil law
• imperative law
Binding Force
State law is the type of law that is actually enforced by the State.

If necessary, the State can use its physical force to ensure obedience.

For example, violating a criminal law can result in:

• imprisonment
• fines
• other legal penalties

9. What State Law Does NOT Concern

Itself With
State law does not automatically punish every violation of:

• divine law
• natural law
• moral law

A violation becomes a matter of state law only when it also violates a command of the
State.

Example:

Being rude to someone may be morally wrong.

But being rude is not necessarily a crime.

Therefore:

Not everything immoral is illegal.

This is an extremely important concept.

10. Different Fields of Study
Your material gives a useful distinction:

Type of Law Field of Study

Divine Law Philosophical theology
Natural Law Metaphysics
Moral Law Ethics
Physical Law Physics / Physical science
State Law Law / Jurisprudence

11. CONCEPTS OF STATE LAW

The term law can be understood in two senses:

A. General or Abstract Sense

This refers to all laws taken together.

Definition:

The mass of obligatory rules established for governing the relations of persons in society.

Examples:

• "law of the land"

• "rule of law"
• "equality before the law"
• "enforcement of the law"

Here, law refers to the entire legal system or body of laws.

B. Specific or Material Sense

This refers to a particular rule of conduct or statute.

It is defined as:

A rule of conduct, just, obligatory, promulgated by legitimate authority, and of common

observance and benefit.

Example:

• a particular law concerning obligations and contracts.

Easy distinction:

GENERAL = all laws together

SPECIFIC = one particular law/rule

12. CHARACTERISTICS OF LAW

This is probably one of the most important parts to memorize for an exam.

There are FOUR characteristics of law in the specific sense.

1. Law is a Rule of Conduct

Law tells people:

what they should do and what they should not do.

Example:

A law may prohibit theft.

Therefore, it tells people that they must not steal.

Important detail:

As a rule of human conduct, law primarily takes cognizance of external acts.

2. Law is Obligatory
Law imposes a duty to obey.

It also involves a sanction that can force compliance.

In simple terms:

You are required to follow the law.

Failure to obey may result in a legal consequence.

3. Law is Promulgated by Legitimate

Authority
Law must come from a competent or legitimate authority.

In the Philippines:

Congress

Congress is the legislative branch that enacts statutes.

But laws aren't limited to Congress.

Local Government Units

LGUs can enact ordinances, which also have binding force within their proper jurisdiction.

Remember:

LEGITIMATE AUTHORITY → CONGRESS → STATUTES

LGUs → ORDINANCES
4. Law is of Common Observance and
Benefit
Law is created to serve people and society as a whole.

It regulates relationships between people in order to:

• maintain harmony;
• create order;
• make coexistence possible;
• protect society.

Therefore:

Law should be observed by everyone for the benefit of everyone.

13. NECESSITY AND FUNCTIONS OF LAW

Now we get to the question:

Why do we need law?

Imagine a society with absolutely no laws.

There would be no effective rules against:

• theft
• violence
• destruction
• dangerous driving
• fraud
• breach of agreements

Society would become unstable.

Therefore:
Law is necessary for society to function properly.

14. What Does Law Do?

According to the material, law performs several important functions.

1. Secures Justice

It provides mechanisms for determining and enforcing rights and obligations.

2. Resolves Social Conflict

When people disagree, law provides procedures for resolving disputes.

3. Orders Society

It establishes rules that allow people to coexist peacefully.

4. Protects Interests

It protects people, property, rights, and other legitimate interests.

5. Controls Social Relations

It regulates relationships between individuals and groups.

Examples of Laws That Make Society More Orderly

Laws regulate:

• traffic
• sanitation
• employment
• business
• agreements
• compensation for harm
• dispute resolution
Without these rules, society would become less orderly and less safe.

15. OUR DUTY AS MEMBERS OF SOCIETY

Society cannot survive without social control.

Social control means having rules that regulate people's behavior.

The collection of these rules in a society forms what we commonly call:

LAW or the LEGAL SYSTEM

Therefore, because law is necessary for society, every citizen should have a basic
understanding of the law and observe it for the common good.

SUPER IMPORTANT EXAM SUMMARY

If you need to memorize the entire lesson quickly, focus on this:

FIVE TYPES OF LAW

1. Divine Law

→ Religion and faith

→ Revealed by God

→ Sanction: rewards/punishments

2. Natural Law

→ Reason and conscience

→ Sense of justice, fairness, righteousness

→ Universal and always binding

3. Moral Law

→ Society's standards of right and wrong

→ Sanction: social approval/disapproval

→ Can change with time and society

4. Physical Law

→ Regularities in nature

→ Cause and effect

→ Cannot be disobeyed

→ Examples: gravity, chemical laws

5. State Law

→ Promulgated and enforced by the State

→ Legally binding

→ Can involve physical force/sanctions

→ Most relevant to Obligations and Contracts

KEY COMPARISON
Divine Natural Moral Physical State
Basis Revelation Reason/consci Societ Nature State authority
ence y
Applies Humans Humans Huma All things Persons in
to ns society
Sanction Divine Moral Social Natural Legal
rewards/punish conscience reacti consequen sanctions
ments on ces
Can Depends on Universal Yes No, Can be
change? faith describes amended/repe
regularity aled
Governm
ent
enforces
?
FOUR CHARACTERISTICS OF LAW
Memorize:

R-O-P-C

R → Rule of conduct

O → Obligatory

P → Promulgated by legitimate authority

C → Common observance and benefit

Or simply:

Law tells us what to do, requires obedience, comes from legitimate authority, and
exists for the common good.

VERY COMMON TRICK QUESTIONS

Q: Is every immoral act illegal?

No. State law only punishes conduct that violates a state law.

Q: Which law is enforced by the State?

State law.

Q: Which law is based on divine revelation?

Divine law.

Q: Which law comes from reason and conscience?

Natural law.
Q: Which law is based on society's collective standards of right and
wrong?

Moral law.

Q: Which law describes regularities in nature?

Physical law.

Q: Is physical law a command that objects must obey?

No. It is called "law" by analogy because it describes regularities in nature.

Q: Is moral law absolute?

No. It may vary according to time, society, conditions, and convictions.

Q: What is the difference between general and specific law?

General = all laws taken together.

Specific = a particular legal rule or statute.

Q: Who makes statutes in the Philippines?

Congress, the legislative branch.

Q: Can LGUs make laws?

They can enact ordinances, which have binding force within their jurisdiction.

Q: Why is law necessary?

Because society needs order, justice, protection, conflict resolution, and regulation of
social relationships.
INTRODUCTION TO LAW PART 2
Sources, Social Control, Courts, Classifications of
Law, and Obligations & Contracts

I. SOURCES OF LAW IN THE

PHILIPPINES
The principal sources of law in the Philippines are:

1. Constitution
2. Legislation
3. Administrative rules and regulations
4. Judicial decisions / jurisprudence
5. Customs

Easy memory:

C-L-A-J-C

Constitution → Legislation → Administrative rules → Judicial decisions → Custom

1. CONSTITUTION
The Constitution is the fundamental written instrument that:

• establishes the powers of government;

• limits government powers;
• defines government powers; and
• distributes those powers among the different branches of government.

Why is it called the Supreme Law?

The Constitution is called the:

• Fundamental Law
 • Supreme Law
• Highest Law of the Land

because all other laws and government acts must conform to it.

This includes:

• statutes passed by Congress;

• administrative regulations;
• executive acts and orders.

Example

If Congress passes a law that violates the Constitution, the courts may declare that law
unconstitutional and void.

KEY IDEA:

The Constitution is superior to all other laws.

2. LEGISLATION
Meaning

Legislation is the declaration of legal rules by a competent authority.

It is the preponderant source of law in the Philippines, meaning it is the dominant

or most important source.

Laws passed by the legislature are called:

• enacted laws
• statute laws

Who makes legislation?

Primarily, Congress.

But legislation also includes ordinances enacted by local government units (LGUs).
Example:

Congress passes a statute → national law.

A city council passes an ordinance → local law applicable within its jurisdiction.

3. ADMINISTRATIVE OR EXECUTIVE
ORDERS, REGULATIONS, AND
RULINGS
These are issued by administrative officials or agencies under authority granted by
legislation.

Purpose

Administrative rules and regulations generally:

Clarify, explain, and implement laws.

Think of it this way:

Congress creates the general law.

Administrative agencies provide detailed rules for implementing it.

Important limitation:

Administrative rules are valid only if they are consistent with the Constitution and
laws.

They cannot override a statute or the Constitution.

Example

If a law says:

Businesses must comply with certain safety standards.

An administrative agency may issue detailed regulations explaining:

• what the standards are;

• how inspections are conducted;
• what documents must be submitted.

4. JUDICIAL DECISIONS /
JURISPRUDENCE
Judicial decisions, particularly those of the Supreme Court, form part of the Philippine
legal system when they apply or interpret laws or the Constitution.

What is jurisprudence?

Jurisprudence generally refers to the body of judicial decisions interpreting and

applying the law.

Doctrine of Precedent / Stare Decisis

This is VERY important.

Stare decisis

It means that courts generally follow established judicial decisions when deciding similar
legal issues.

A decision of a superior court on a point of law is binding on subordinate courts.

Simplified hierarchy:

Supreme Court

Court of Appeals / other lower courts

Lower courts generally follow controlling legal principles established by the Supreme
Court.
Can the Supreme Court change its own decisions?
YES.

The Supreme Court may:

• reverse;
• modify; or
• abandon

its previous rulings.

However, until changed, its controlling decisions interpreting the law remain
authoritative.

Important distinction:

A lower court decision generally binds the parties to that particular case.

Supreme Court decisions establishing controlling interpretations of law have broader

precedential effect on courts.

5. CUSTOM
Meaning

A custom consists of:

Habits and practices that, through long and uninterrupted use, have become accepted
by society as binding rules of conduct.

But custom doesn't automatically become law merely because people have been doing
something for a long time.

It has the force of law when recognized and enforced by the State.
Example
Suppose a service contract does not specify the amount of compensation.

A court may consider the custom or usage of the locality in determining reasonable
compensation.

Important Rules About Custom

1. Custom must be proved as a fact.

The person relying on the custom generally must establish its existence according to
the rules of evidence.

2. Custom may be used when there is no exactly applicable law.

Courts may consider custom when there is no law or statute exactly applicable to the
controversy.

3. Custom cannot violate law.

A custom contrary to:

• law;
• public order; or
• public policy

will not be recognized.

Remember:

CUSTOM CANNOT OVERRIDE THE LAW.

6. OTHER / SUPPLEMENTARY
SOURCES
The material also mentions:

• principles of justice and equity;

• decisions of foreign tribunals;
• opinions of legal writers/textwriters;
• religion.

These are supplementary sources.

Important:

They are generally not binding on Philippine courts.

They may be consulted when the principal sources do not sufficiently resolve an issue.

Difference:

Principal sources → recognized sources of Philippine law

Supplementary sources → helpful references when needed, but generally not

binding

II. WHAT IF THE LAW IS UNCLEAR OR

SILENT?
This is a VERY important section.

The Civil Code provides:

A judge or court cannot refuse to decide a case simply because the law is silent,
unclear, or insufficient.
Article 9

A court cannot decline to render judgment because of:

• silence of the law;

• obscurity of the law; or
• insufficiency of the law.

Article 10
When there is doubt in interpreting or applying the law:

It is presumed that the lawmaking body intended right and justice to prevail.

Simple meaning:

When the law is ambiguous, courts should interpret it in a way that promotes justice,
rather than producing an unjust result merely because of an excessively technical
interpretation.

Key principle:

ULTIMATE END OF LAW = JUSTICE

III. ORGANS OF SOCIAL CONTROL

What is social control?

Social control means controlling or regulating social behavior, particularly behavior that
affects others.

Law is therefore a means of social control, but it is not the only one.
Other organs of social control
Examples include:

• churches
• corporations
• political parties
• trade associations
• schools
• labor unions
• professional organizations
• social clubs
• families

These organizations have their own:

• rules;
• regulations;
• orders; and
• standards of conduct.

IV. LAW VS. OTHER MEANS OF SOCIAL

CONTROL
This is another section that can produce several exam questions.

Difference #1 — Who acts for whom?

Law is made and administered by institutions authorized to act on behalf of the entire
citizenry.

Example:

The government makes laws applicable to citizens generally.

A church, on the other hand, primarily makes rules for its members.
Difference #2 — Scope of Rules
Legal institutions can create rules that apply to the entire citizenry.

Other organizations generally create rules applicable only to their members.

Example:

A school rule:

Students must wear uniforms.

It applies to students subject to that school's rules.

A national law:

Applies generally to persons within the law's scope.

Difference #3 — Leaving the

Organization
A person can ordinarily terminate their relationship with a private organization.

For example:

You may:

• resign from a club;

• leave an organization;
• quit a job.

But you generally cannot simply tell the State:

"I don't want to be subject to Philippine law anymore."

Citizens remain subject to the laws applicable within the State's jurisdiction.
Difference #4 — Legal Sanctions Are
More Varied
The State has a much wider range of sanctions.

Possible legal sanctions include:

• imprisonment;
• deportation;
• denial/revocation of licenses;
• confiscation of property;
• civil liability;
• dissolution of organizations;
• denial of privileges.

Other organizations have more limited sanctions.

Example:

A school may:

• suspend;
• expel;
• discipline

a student.

A professional organization may revoke membership.

But the State has much greater legal enforcement power.

REMEDIAL VS. PENAL SANCTIONS

Remedial sanction

Its purpose is to compensate or indemnify the person who suffered harm or

damage.

Think:
REMEDIAL = REPAIR THE HARM

Penal sanction

Its purpose is to punish the violator.

Think:

PENAL = PUNISH

Example:

A person damages another person's property.

• Payment for the damage → remedial

• Imprisonment/fine for the offense → penal

Difference #5 — DUE PROCESS

Before the State takes legal action against a person, certain procedural safeguards
generally must be followed.

This includes giving the person:

• notice;
• a hearing where required;
• a fair opportunity to defend themselves.

This is called:

DUE PROCESS OF LAW

Important:

Legal institutions generally have procedural requirements that private organizations may
not be required to follow to the same extent unless their own rules require them.
V. ORGANIZATION OF COURTS
The Philippine Constitution vests judicial power in:

One Supreme Court and such lower courts as may be established by law.

The judiciary is one of the three main divisions of government.

The three branches are:

1. Executive
2. Legislative
3. Judicial

1. REGULAR COURTS
The Philippine court system has a hierarchical structure resembling a pyramid.

At the top:

Supreme Court

Then:

Court of Appeals

Then:

Regional Trial Courts

Then various first-level courts, including:

• Metropolitan Trial Courts (MeTC)

• Municipal Trial Courts in Cities (MTCC)
• Municipal Trial Courts (MTC)
• Municipal Circuit Trial Courts (MCTC)
Courts of General/Superior Jurisdiction
Your material identifies:

• Supreme Court
• Court of Appeals
• Regional Trial Courts

as courts of general or superior jurisdiction.

2. SPECIAL COURTS
Two important special courts mentioned:

Sandiganbayan

A special anti-graft court.

It handles certain cases involving public officials, particularly those within its jurisdiction.

Court of Tax Appeals (CTA)

A special court dealing primarily with tax-related cases.

It is on the same level as the Court of Appeals in the judicial hierarchy.

3. QUASI-JUDICIAL AGENCIES
These are NOT part of the integrated judicial system, even though they perform
functions similar to courts.

They are generally administrative bodies that can hear and decide disputes within
their respective areas of authority.

Examples in your material:

• National Labor Relations Commission (NLRC)

• Securities and Exchange Commission (SEC)
• Land Transportation Franchising and Regulatory Board (LTFRB)
 • Insurance Commission
• Civil Service Commission (CSC)
• Commission on Elections (COMELEC)
• Commission on Audit (COA)

Why "quasi-judicial"?

Quasi = resembling/almost

They perform functions resembling those of courts because they can adjudicate
controversies.

Critical distinction:

QUASI-JUDICIAL ≠ JUDICIAL COURT

They may decide disputes, but they do not become part of the integrated judiciary
simply because they exercise quasi-judicial functions.

VI. CLASSIFICATIONS OF LAW

Your material classifies law according to different bases.

The two major classifications discussed are:

A. According to purpose

1. Substantive law
2. Adjective law

B. According to subject matter

1. Public law
2. Private law
A. ACCORDING TO PURPOSE
1. SUBSTANTIVE LAW
Substantive law is the portion of law that:

Creates, defines, and regulates rights and duties.

Example:

Law on Obligations and Contracts

It establishes:

• rights;
• obligations;
• duties;
• liabilities.

Easy memory:

SUBSTANTIVE = WHAT are your rights and duties?

2. ADJECTIVE LAW
Adjective law is also called:

• procedural law
• remedial law

It prescribes the procedure or manner by which rights are enforced or violations

are redressed.

Easy memory:

ADJECTIVE = HOW do you enforce your rights?

Example
Suppose you own a property and someone wrongfully possesses it.

Substantive law:

Determines whether you have the legal right to the property.

Adjective law:

Determines how and where you file the case to enforce that right.

Why do we need adjective law?

Because rights are useless if there is no way to enforce them.

Therefore:

Substantive law gives rights; adjective law provides the procedure for enforcing
those rights.

Philippine procedural law

The material identifies the Rules of Court promulgated by the Supreme Court and
special laws as major sources governing procedure.

B. ACCORDING TO SUBJECT MATTER

1. PUBLIC LAW
Public law governs the relationship between:

The State and the people.

It deals with matters affecting the State and public interests.

Examples:

Criminal Law

Defines crimes and provides their punishment.

Constitutional Law

Governs the relationship between the State and its citizens and establishes
fundamental governmental powers.

International Law

Governs relations among nations/states.

Administrative Law

Governs how administrative authorities perform their functions.

Criminal Procedure

Governs procedures relating to the prosecution and adjudication of criminal cases.

2. PRIVATE LAW
Private law regulates:

Relations between individuals for private purposes.

Examples:

• Civil law
• Commercial/mercantile law
• Civil procedure
• Obligations and contracts
PUBLIC VS. PRIVATE LAW
Public Law Private Law
State ↔ People Person ↔ Person
Public interest Private interests
Criminal law Civil law
Constitutional law Obligations & contracts
Administrative law Commercial law
International law Civil procedure

Important:

The State can still be involved in private law.

But in private law, the State generally acts as an arbiter/enforcer, rather than as one of
the private parties.

VII. LAW ON OBLIGATIONS AND

CONTRACTS
This is the part most directly connected to your subject.

Definition

The law of obligations and contracts is the body of rules dealing with:

• the nature of obligations;

• sources of obligations;
• rights and duties arising from agreements;
• particular contracts.

In simpler terms:

It tells us what obligations are, where they come from, and what rights and duties
arise from contracts and other legal relationships.
VIII. CIVIL CODE OF THE PHILIPPINES
The principal law governing obligations and contracts is found in:

Republic Act No. 386 — Civil Code of the Philippines

Important dates

Approved: June 18, 1949

Took effect: August 30, 1950

It was based mainly on the Spanish Civil Code that had taken effect in the Philippines
on December 7, 1889.

IX. FOUR BOOKS OF THE CIVIL CODE

The Civil Code is divided into FOUR BOOKS.

For your current subject, the most important is:

BOOK IV — OBLIGATIONS AND CONTRACTS

Obligations

Title I

Articles 1156–1304

Contracts

Title II

Articles 1305–1422

Natural Obligations

Title III
Articles 1423–1430

Memorize:

Obligations = Arts. 1156–1304

Contracts = Arts. 1305–1422

Natural Obligations = Arts. 1423–1430

X. GENERAL AND PARTICULAR

CONTRACTS
The general rules governing contracts apply to particular types of contracts as well.

Examples of particular contracts include:

• sale;
• agency;
• partnership;
• barter.

So you have:

General rules on contracts

PLUS

Special rules applicable to a particular contract

XI. CONCLUSIVE PRESUMPTION OF

KNOWLEDGE OF LAW
One of the most famous rules in the Civil Code is:

Ignorance of the law excuses no one from compliance therewith.

This is found in Article 3 of the Civil Code.

What does it mean?

You generally cannot defend yourself by saying:

"I didn't know that was illegal."

The law conclusively presumes that everyone knows the law.

Why does the law presume everyone

knows the law?
There are several reasons.

1. Society would become impossible to regulate

If laws applied only to people who actually knew them, enforcement would become
extremely difficult.

2. It is difficult to prove ignorance

How would the State determine whether someone genuinely knew or didn't know a
particular law?

3. It would be unfair

People who know the law would have to comply while those claiming ignorance could
avoid their obligations.

4. People have basic moral reasoning

People generally possess some understanding of right and wrong.

For complicated legal relationships, people can also seek advice from lawyers.
5. Prevents evasion of the law

If ignorance were a valid excuse, people could simply claim:

"I didn't know the law."

and escape legal consequences.

Therefore, the rule is necessary for the effective administration of justice.

EXAMPLE
Suppose a law prohibits possession of a particular illegal substance.

A person cannot normally defend themselves by saying:

"I didn't know possession was prohibited."

Likewise, someone cannot escape legal responsibility merely by saying:

"I didn't know the law required me to do this."

Core principle:

Ignorance of the law is not an excuse.

MASTER REVIEWER
SOURCES OF LAW
1. Constitution

→ Supreme/Highest law

2. Legislation

→ Laws enacted by competent legislative authority

3. Administrative rules
→ Implement/clarify legislation

4. Judicial decisions

→ Interpret and apply law

5. Custom

→ Long and accepted practice recognized as binding

Supplementary:

→ Justice/equity, foreign decisions, legal writers, religion

WHEN LAW IS SILENT/UNCLEAR

Article 9

→ Courts cannot refuse to decide because law is silent, obscure, or insufficient.

Article 10

→ In case of doubt, presume the lawmaking body intended right and justice to
prevail.

SOCIAL CONTROL
Law controls society through:

• rules;
• sanctions;
• enforcement;
• due process.

Other social-control organizations include:

• family;
• church;
• school;
• political parties;
 • unions;
• professional organizations;
• clubs.

SANCTIONS
Remedial

→ compensate/repair harm

Penal

→ punish violator

COURTS
Regular:

Supreme Court → Court of Appeals → RTC → First-level courts

Special:

Sandiganbayan

→ anti-graft

Court of Tax Appeals

→ tax cases

Quasi-judicial:

Examples:
NLRC, SEC, LTFRB, Insurance Commission

→ settle disputes but are not part of the integrated judiciary

CLASSIFICATIONS OF LAW
According to PURPOSE:

SUBSTANTIVE

→ creates/defines rights and duties

ADJECTIVE

→ provides procedure for enforcing rights

According to SUBJECT MATTER:

PUBLIC

→ State ↔ People

PRIVATE

→ Person ↔ Person

THE FOUR-WAY DISTINCTION YOU

MUST KNOW
Main Question Example
Substantive What rights/duties exist? Obligations &
Contracts
Adjective How are rights Rules of Court
enforced?
Public State ↔ people? Criminal law
Private Person ↔ person? Contracts

Important: These classifications are not mutually exclusive. A law can be both
substantive + private, or procedural + public, depending on what it regulates.
HIGH-YIELD FACTS TO MEMORIZE
• RA 386 → Civil Code of the Philippines
• June 18, 1949 → Civil Code approved
• August 30, 1950 → Civil Code took effect
• Book IV → Obligations and Contracts
• Arts. 1156–1304 → Obligations
• Arts. 1305–1422 → Contracts
• Arts. 1423–1430 → Natural Obligations
• Article 3 → Ignorance of law excuses no one
• Article 9 → Court cannot refuse to decide because of
silence/obscurity/insufficiency of law
• Article 10 → In case of doubt, right and justice are presumed intended
• Article 11 → Customs contrary to law, public order, or public policy are not
countenanced
• Article 12 → Custom must be proved as a fact
• Article 8 → Judicial decisions applying/interpreting laws or Constitution form part
of the legal system

One final memory formula:

CONSTITUTION = highest

LEGISLATION = dominant source

ADMINISTRATIVE RULES = implement

JUDICIAL DECISIONS = interpret

CUSTOM = accepted practice

SUBSTANTIVE = rights/duties

ADJECTIVE = procedure

PUBLIC = State relations

PRIVATE = individual relations

RA 386 = Civil Code

BOOK IV = Obligations & Contracts

INTRODUCTION TO LAW —
COMPREHENSIVE MCQ
60 Items

Choose the letter of the best answer.

PART I — SOURCES OF LAW

1. Which of the following is considered the supreme law of the land in the
Philippines?

A. Legislation

B. Administrative regulations

C. Constitution
D. Judicial decisions

2. The Constitution may best be described as the written instrument that:

A. Regulates only private contracts

B. Establishes, limits, and defines the fundamental powers of government

C. Determines all customs practiced by society

D. Establishes only the judicial branch

3. Why is the Philippine Constitution called the "fundamental" or

"supreme" law?

A. It is the oldest source of Philippine law

B. It is enacted by administrative agencies

C. All other laws and government acts must conform to it

D. It applies only to government officials

4. If a statute enacted by Congress is inconsistent with the Constitution,

which should prevail?

A. The statute

B. The Constitution

C. Administrative regulations

D. Custom

5. Legislation refers to:

A. Habits accepted by society

B. Decisions made exclusively by courts

C. Declaration of legal rules by a competent authority

D. Religious teachings

6. Laws enacted by the legislature are commonly called:

A. Customary laws

B. Enacted laws or statute laws

C. Administrative laws only

D. Natural laws

7. Which of the following is also included in legislation?

A. Personal opinions of lawyers

B. Customs of foreign countries

C. Ordinances enacted by local government units

D. Religious commandments

8. Administrative rules and regulations are primarily issued to:

A. Replace the Constitution

B. Clarify and implement laws

C. Repeal statutes enacted by Congress

D. Create natural laws

9. An administrative regulation is valid only when it:

A. Is more powerful than the Constitution

B. Is consistent with existing laws and the Constitution

C. Conflicts with the law it implements

D. Is based solely on custom

10. Which of the following is considered jurisprudence?

A. A law enacted by Congress

B. A custom practiced by a community

C. Judicial decisions interpreting and applying laws

D. A religious doctrine

11. The doctrine that courts generally follow established decisions on

points of law is known as:

A. Habeas corpus

B. Stare decisis

C. Due process

D. Res judicata

12. Which statement about Supreme Court decisions is correct?

A. The Supreme Court can never change its previous decisions

B. The Supreme Court may reverse or modify its previous rulings

C. Supreme Court decisions apply only to the parties and never have precedential value

D. Supreme Court decisions are always inferior to administrative regulations

13. A custom becomes legally enforceable when it is:

A. Practiced for one day

B. Written in a newspaper

C. Recognized and enforced by the State

D. Approved by every individual

14. Which statement regarding custom is TRUE?

A. Custom automatically overrides written law

B. Custom contrary to public policy is always enforceable

C. Custom must be proved as a fact

D. Custom never has legal significance

15. A court may consider custom particularly when:

A. There is an exactly applicable statute

B. There is no law or statute exactly applicable to the controversy

C. The custom contradicts the Constitution

D. The custom violates public order

16. Which of the following cannot be recognized as a valid custom?

A. A long-established practice consistent with law

B. A practice accepted by society and recognized by the State

C. A practice contrary to law and public policy

D. A local usage relevant to a contract

17. Which of the following is a supplementary rather than a principal

source of law?

A. Constitution

B. Legislation

C. Judicial decisions

D. Opinions of legal textwriters

PART II — INTERPRETATION AND
APPLICATION OF LAW
18. Under Article 9 of the Civil Code, a judge or court:

A. May refuse to decide whenever there is no specific statute

B. May refuse to decide if the law is difficult to understand

C. Shall not decline to render judgment because of the silence, obscurity, or insufficiency
of the law

D. Must always follow custom instead of deciding the case

19. Under Article 10 of the Civil Code, when there is doubt in the
interpretation or application of laws, it is presumed that:

A. The accused must always lose

B. The lawmaking body intended right and justice to prevail

C. The government must always prevail

D. Custom must automatically prevail

20. The statement "the ultimate end of the law is justice" emphasizes that
courts should:

A. Apply laws mechanically even if the result is unjust

B. Favor interpretations that allow right and justice to prevail

C. Ignore the law whenever they dislike it

D. Always favor the government

21. The principle discussed in Article 10 is especially significant when the
case involves:

A. Only minor inconveniences

B. Life, liberty, or property

C. School uniforms

D. Personal preferences

PART III — SOCIAL CONTROL

22. Law may be viewed as a means of:

A. Economic production

B. Social control

C. Religious worship

D. Political campaigning

23. Which of the following is NOT an example of another organ of social

control?

A. Family

B. School

C. Political party

D. Natural law

24. Which statement best distinguishes legal institutions from

organizations such as churches and clubs?

A. Legal institutions make rules applicable to the entire citizenry within their scope
B. Churches can imprison citizens

C. Clubs create national laws

D. Schools can amend the Constitution

25. A church's rules generally apply:

A. To every person in the Philippines

B. Only to people subject to the church's rules, such as its members

C. To every foreign country

D. To the entire government

26. Which is a major difference between State law and rules of private
organizations?

A. Citizens can freely avoid State law simply by resigning from society

B. Private organizations can imprison people

C. State law has broader application and stronger legal sanctions

D. Private organizations have greater coercive power than the State

27. Which of the following is generally NOT a sanction available to

ordinary private organizations such as clubs?

A. Expulsion

B. Termination of membership

C. Imprisonment

D. Loss of organizational privileges

28. Which of the following is an example of a legal sanction?

A. Public embarrassment only

B. Imprisonment

C. Personal disappointment

D. Social gossip

29. A sanction is REMEDIAL when its primary purpose is to:

A. Punish the violator

B. Indemnify or compensate the person who suffered harm

C. Imprison the offender

D. Remove a person from a club

30. A sanction is PENAL when its primary purpose is to:

A. Compensate the victim

B. Repair damaged property

C. Punish the violator

D. Restore a contract

31. Before the State generally takes action that seriously affects a
person's rights, the person must ordinarily be given a fair opportunity to
be heard. This is associated with:

A. Custom

B. Stare decisis

C. Due process

D. Legislation
PART IV — ORGANIZATION OF COURTS
32. Judicial power in the Philippines is vested in:

A. Congress alone

B. The President alone

C. One Supreme Court and such lower courts as may be established by law

D. Administrative agencies alone

33. The judiciary is one of the:

A. Two branches of government

B. Three main divisions of government

C. Four constitutional commissions

D. Five sources of law

34. Which court is at the apex of the Philippine judicial hierarchy?

A. Court of Appeals

B. Regional Trial Court

C. Sandiganbayan

D. Supreme Court

35. Which of the following is a regular court?

A. Regional Trial Court

B. Securities and Exchange Commission

C. Commission on Audit

D. Insurance Commission
36. Which of the following is a first-level court?

A. Supreme Court

B. Court of Appeals

C. Municipal Trial Court

D. Regional Trial Court

37. Which group consists of courts of general or superior jurisdiction

according to the material?

A. Supreme Court, Court of Appeals, and Regional Trial Courts

B. MTC, MCTC, and MeTC only

C. Sandiganbayan and SEC

D. NLRC and LTFRB

38. Which court is specifically known as the special anti-graft court?

A. Court of Appeals

B. Sandiganbayan

C. Court of Tax Appeals

D. Regional Trial Court

39. The Court of Tax Appeals primarily deals with:

A. Labor disputes

B. Tax-related cases

C. Election disputes

D. Criminal cases involving all citizens

40. Which statement about quasi-judicial agencies is correct?

A. They are part of the integrated judicial system

B. They perform functions involving the settlement or adjudication of controversies

C. They can amend the Constitution

D. They are superior to the Supreme Court

41. Which of the following is a quasi-judicial agency?

A. Supreme Court

B. Court of Appeals

C. National Labor Relations Commission

D. Regional Trial Court

42. Why are agencies such as the NLRC and SEC called "quasi-judicial"?

A. They are courts of the same level as the Supreme Court

B. Their functions involve the settlement or adjudication of disputes

C. They create constitutional amendments

D. They exercise legislative power

PART V — CLASSIFICATIONS OF LAW

43. Substantive law is the body of law that:

A. Prescribes court procedures only

B. Creates, defines, and regulates rights and duties

C. Deals only with criminal trials

D. Regulates only government agencies

44. Adjective law is also known as:

A. Natural law

B. Procedural or remedial law

C. Constitutional law

D. Substantive law

45. The primary function of adjective law is to:

A. Create moral standards

B. Define natural rights

C. Provide the procedure for enforcing rights and redressing violations

D. Establish religious doctrines

46. Which of the following is an example of substantive private law?

A. Law on obligations and contracts

B. Rules governing the filing of pleadings

C. Criminal procedure

D. Court filing procedures

47. Which statement BEST describes the relationship between

substantive and adjective law?

A. Substantive law provides rights and duties, while adjective law provides the means to
enforce them

B. Substantive law deals only with courts, while adjective law creates rights

C. They are exactly the same

D. Adjective law is always superior to substantive law

48. Public law primarily regulates:

A. Relations between private individuals only

B. Relations between the State and the people

C. Family relationships only

D. Commercial transactions only

49. Which of the following is an example of public law?

A. Law on obligations and contracts

B. Criminal law

C. Law on sale between private parties

D. Private contracts

50. Constitutional law primarily deals with:

A. Private contracts

B. The relationship between the State and its citizens and the fundamental powers of
government

C. Business transactions

D. Family customs

51. International law primarily governs:

A. Relations among nations or states

B. Contracts between private individuals

C. Local school rules

D. Family relationships
52. Administrative law primarily governs:

A. Religious beliefs

B. The methods by which administrative authorities perform their functions

C. Private contracts only

D. Customs of families

53. Private law primarily regulates:

A. Relations between individuals for private ends

B. Relations between nations

C. The structure of government

D. Criminal punishment by the State

54. Which of the following belongs to private law?

A. Constitutional law

B. Criminal law

C. Law on obligations and contracts

D. International law

55. In private law, the State is generally involved as:

A. A private contracting party in every case

B. An arbiter and enforcer rather than necessarily a party

C. A religious organization

D. A private corporation
PART VI — OBLIGATIONS, CONTRACTS,
AND THE CIVIL CODE
56. The law on obligations and contracts is primarily found in:

A. Republic Act No. 1425

B. Republic Act No. 386

C. Republic Act No. 6713

D. Commonwealth Act No. 1

57. Republic Act No. 386 is also known as the:

A. Revised Penal Code

B. Constitution of the Philippines

C. Civil Code of the Philippines

D. Rules of Court

58. The Civil Code of the Philippines was approved on:

A. December 7, 1889

B. June 18, 1949

C. August 30, 1950

D. January 1, 1946

59. The Civil Code took effect on:

A. June 18, 1949

B. August 30, 1950

C. December 7, 1889
D. July 4, 1946

60. Which statement correctly matches the provisions of Book IV of the

Civil Code?

A. Obligations — Arts. 1–100; Contracts — Arts. 101–200

B. Obligations — Arts. 1156–1304; Contracts — Arts. 1305–1422; Natural Obligations —

Arts. 1423–1430

C. Obligations — Arts. 1305–1422; Contracts — Arts. 1156–1304

D. Obligations — Arts. 1423–1430; Contracts — Arts. 1156–1304

ANSWER KEY
# Answer # Answer # Answer
1 C 21 B 41 C
2 B 22 B 42 B
3 C 23 D 43 B
4 B 24 A 44 B
5 C 25 B 45 C
6 B 26 C 46 A
7 C 27 C 47 A
8 B 28 B 48 B
9 B 29 B 49 B
10 C 30 C 50 B
11 B 31 C 51 A
12 B 32 C 52 B
13 C 33 B 53 A
14 C 34 D 54 C
15 B 35 A 55 B
16 C 36 C 56 B
17 D 37 A 57 C
18 C 38 B 58 B
19 B 39 B 59 B
20 B 40 B 60 B