Interpretation of Contracts
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INTERPRETATION OF CONTRACTS:
Primacy of Intention: Words ought to be subservient to the intent, not the intent to the
word.Verba intentione non e contradebent inservare.” Look of the contractual intent.
1370 If the terms are clear without any doubt, the literal meaning shall control.
How to determine Intention:
1371 by contemporaneous and subsequent acts; usage and customs of the place:
Ex. A and B entered into a contract entitled Contract of Lease referring to Aas lessor and B as Lessee.
It states that possession and ownership of the land are transferred to B. The title to the land was given
by Ato B who registered the land in his name. Before the date of the contract, B wrote a letter to A