CUP 5 (RFBT)

1. is the substitution of one (1) person in the place of a

creditor with reference to a lawful claim or right, giving the former all the rights of the latter,
including the right to employ all remedies to enforce payment.
2. At least how many percent of the voting capital stock shall be owned by citizens of the
Philippines in corporations engaged in the pawnshop business?
3. is a partner who takes active part and known to the public
as partner in the business whether or not he has an actual interest in the firm.
4. The following indorsements appear at the back of a bill of exchange drawn by R:
Pay to A
(Sgd.) P
Pay to B
(Sgd.) A
Pay to C
(Sgd.) B
Pay to D
(Sgd.) C
Pay to E
(Sgd.) D
Pay to C
(Sgd.) E
What indorsements may be stricken out by C? Explain briefly.

5. X died intestate. His administrator filed the estate tax return with the Revenue District Officer
declaring, among others, a deposit of Php. 200,000 with MNP Bank as part of the decedent’s
gross estate. Y, a dedicated BIR examiner, went to MNP Bank equipped with a Letter of
Authority from the BIR Commissioner in order to examine the deposit of X. Z, the bank manager,
refused to give access of X’s deposit records to Y without a court order on the ground that it
would violate the confidential nature of bank deposits under the Bank Secrecy Law.
Who between Y and Z is correct? Explain briefly.
6. is the law that applies to all transactions or contracts
involving the sale or financing of real estate on installment payments, including residential
condominium apartments but excluding industrial lots, commercial buildings and sales to
tenants under the Agrarian Reform Program.
7. is a transaction in cash or other equivalent monetary
instrument involving a total amount in excess of Php. 500,000 within one banking day.
8. X is employed in the government. During his spare time, he used the available materials and
facilities of his department to develop and put into practical use his invention.
Who, as between X and the government, is entitled to the patent on the invention? Explain
briefly.

9. It is a mode of delivery that takes place when the vendor continues in possession of the
property sold not as owner but in some other capacity, as for example, when the vendor stays
as a tenant on the vendee.

10. X maintained with NPQ Bank a current account and a savings account. NPQ Bank underwent
involuntary liquidation ordered by the Bangko Sentral ng Pilipinas due to financial reverses
suffered by the bank. At the time the bank was closed, X’s current account and savings account
had remaining balances of Php. 260,000 and Php. 340,000 respectively.

How much could X recover from his deposits? Explain briefly.