If the thing sold has no secret flaws, its failure by an unfortunate occurrence or by the fault of the
vendee would, of course, have to be compensated by the vendee. However, the seller is obligated to
refund the amount charged less the worth of the item at the time of its failure if there were hidden
defects. In other words, according to Clause 1569, the seller is still responsible for his warranty.
The disparity between the price charged for the good and the value at the time of the failure reflects the
harm sustained by the vendor and, at the same time, the amount by which the vendor was enriched at
the expense of the vendor. (10 Manresa238.) If the merchant has behaved in poor conscience, he shall
not be responsible for damages.
In a judicial sale, a property for which a lender provided mortgage funds is in foreclosure and
wants it sold to recover their investment. They do not technically own the home but they can still
force the sale, which makes such a sale different from a traditional seller client relationship
a person or company that is ordered by a court of law to pay money to another person or company.
In one event, the property was sold at the public auction for unpaid real estate taxes. It was held that
the selling of the land by the seller to the purchaser was legal in good conscience for value even though
it did not conform with all the provisions of the law relating to the tax sale of the delinquent lands.
However, the sale of auctions to satisfy a judgement that is null and void is therefore inherently null and
void.
The action for cancelation of the deal or termination of the selling price (Art. 1567.) shall stipulate six
months from the date of delivery of the merchandise delivered. Outside this time, the activity is
forbidden. It follows that the vendee should not be able to sell secret flaws in the thing sold six months
after obtaining it.