Art. 1638. By the contract of barter or exchange one of the parties binds himself to give one thing in consideration of the other's promise to give another thing. 

Art. 1639. If one of the contracting parties, having received the thing promised him in barter, should prove that it did not belong to the person who gave it, he cannot be compelled to deliver that which he offered in exchange, but he shall be entitled to damages. 

Art. 1640. One who loses by eviction the thing received in barter may recover that which he gave in exchange with a right to damages, or he may only demand an indemnity for damages. However, he can only make use of the right to recover the thing which he has delivered while the same remains in the possession of the other party, and without prejudice to the rights acquired in good faith in the meantime by a third person. 

Art. 1641. As to all matters not specifically provided for in this Title, barter shall be governed by the provisions of the preceding Title relating to sales. (Civil Code)
What is a contract of barter or exchange?

Barter is a contract whereby one of the parties binds himself to give one thing in consideration of the other's promise to give another thing. (Art. 1638)


 When is the contract of barter perfected?

The contract is perfected from the moment there is a meeting of minds upon the things promised by each party in consideration of the other.
When is the contract of barter consummated?

Barter is consummated from the time of mutual delivery by the contracting parties of the things promised.

What laws govern the contract of barter?

  1. Articles 1638 to 1940 of the Civil Code
  2. Suppletorily, the provisions on sales.


 What is the effect if the giver is not the lawful owner of the thing delivered?

The aggrieved party cannot be compelled to deliver that which he offered in exchange, but he shall be entitled to damages. (Art. 1639)


What are the remedies of a party in a contract of barter if he loses the thing which he had received  in barter by eviction?

 In case of eviction, the injured party is given the option either to:

  1. Recover that which he has given in exchange with a right to damages, or 
  2. Only demand an indemnity for damages.

However, he can only make use of the right to recover the thing which he has delivered while the same remains in the possession of the other party, and without prejudice to the rights acquired in good faith in the meantime by a third person. (Art. 1640)