Q.

A and B entered into a contract for A to manufacture boxes to be used by B for his export business. B paid the amount of P2M, but A failed to manufacture the boxes despite repeated follow-up of the immediate production of the boxes. B filed a complaint for reimbursement of the P2M.

A. The action will not prosper because of lack of demand by B for A to fulfill his obligation;
B. The action will prosper because the follow-up is the equivalent of demand to comply;
C. The action will prosper because in reciprocal obligations rescission is implied in case of non-performance;
D. The action will prosper, otherwise, A will enrich himself at the expense of B.
Answer» C. The action will prosper because in reciprocal obligations rescission is implied in case of non-performance;
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