Which shall apply, the terms of the Contract, or the provisions of RA No. 6552 or otherwise known as "An act to protect buyers of real estate on installments"? Why? Explain with legal basis from the Philippine Civil Code.
Lana and Lina entered into a contract for the purchase of the house and lot on installment basis. The Contract of the parties provided that in the event Lana fails to pay any portion of the the purchase price of the property or the interest thereon as they fall due or otherwise fails to comply with the provisions of the contract, Lina shall have the absolute discretion to rescind and cancel the contract and declare it null and void and all payments made shall be forfeited in favor of Lina as rentals for the use and occupancy of the property. Lana failed to pay and comply with the terms of the contract. Which shall apply, the terms of the Contract, or the provisions of RA No. 6552 or otherwise known as "An act to protect buyers of real estate on installments"? Why? Explain with legal basis from the Philippine Civil Code.
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