[Solved] A sold a car to B on installment basis secured by a chattel mortgage over the thing and a promissory note co-signed by C. A failed to pay four (4) monthly installments. Under the contract in case of non-payment, the vendor can exercise any of the remedies under Art. 1484, NCC and in case of deficiency, the seller can recover the balance. What is the remedy of A?

Q.	A sold a car to B on installment basis secured by a chattel mortgage over the thing and a promissory note co-signed by C. A failed to pay four (4) monthly installments. Under the contract in case of non-payment, the vendor can exercise any of the remedies under Art. 1484, NCC and in case of deficiency, the seller can recover the balance. What is the remedy of A?
A.	A can file an action for the foreclosure of the mortgage and recover the unpaid balance because of the contract.
B.	A can foreclose the mortgage and recover the unpaid balance because the Chattel Mortgage Law does not prohibit recovery.
C.	A can foreclose the mortgage but cannot recover the unpaid balance because it is absolutely prohibited by law.
D.	A can foreclose the mortgage and can recover the unpaid balance from C since B & C are solidarily liable.
Answer» C. A can foreclose the mortgage but cannot recover the unpaid balance because it is absolutely prohibited by law.

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