- Statute
- Civil Code
- Article
- Art. 1592
- Topic
- Obligations of the Vendee
- Status
- In force, as amended
- Book
- BOOK IV Obligations and Contracts
- Title
- TITLE VI SALES
- Chapter
- CHAPTER 5 Obligations of the Vendee
- Formerly
- Art. 1504a of the old Civil Code
- Year
- 1949
- Cited by
- Multiple Supreme Court decisions
The provision
In the sale of immovable property, even though it may have been stipulated that upon failure to pay the price at the time agreed upon the rescission of the contract shall of right take place, the vendee may pay, even after the expiration of the period, as long as no demand for rescission of the contract has been made upon him either judicially or by a notarial act. After the demand, the court may not grant him a new term. (1504a)
Intellegal Wiki · In plain terms
In a sale of real property, even where the contract says non-payment automatically rescinds the deal, the buyer can still pay late as long as the seller has not yet formally demanded rescission through a court action or a notarial act. Once that demand is made, however, the court can no longer grant the buyer a new grace period.
An editorially maintained plain-language explanation of this provision — not legal advice.
Intellegal Wiki · How the courts apply it
In Lino R. Topacio v. Hon. Court of Appeals, the Supreme Court held: Money accepted as earnest money is part of the price and proof of a perfected contract of sale (Article 1482); the seller cannot rescind by merely returning the downpayment, without notarial or judicial rescission (Articles 1592, 1191).
One leading Supreme Court case applying this provision.
Cases applying this article
- Heirs of Cayetano Pangan v. Spouses Rogelio Perreras G.R. No. 157374
- Alfonso L. Iringan v. Hon. Court of Appeals G.R. No. 129107
- Lino R. Topacio v. Hon. Court of Appeals G.R. No. 102606
- Laurencio C. Ramel v. Daniel Aquino G.R. No. 133208
- Perla Palma Gil v. Hon. Court of Appeals G.R. No. 127206
- People'S Industrial v. Court of Appeals G.R. No. 112733
- Oscar A. Jacinto v. Rogelio Kaparaz G.R. No. 81158
- Silvestre Dignos v. Hon. Court of Appeals G.R. No. 59266
Other Supreme Court decisions also apply this article.