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With The Obligation of Safely Keeping It and of Returning The Same. If The Safekeeping of The Thing
With The Obligation of Safely Keeping It and of Returning The Same. If The Safekeeping of The Thing
DEPOSIT
b.
Definition of Deposit (“depositum” Roman law)
ART. 1962. A deposit is constituted from the moment a person receives a thing belonging to another,
with the obligation of safely keeping it and of returning the same. If the safekeeping of the thing
delivered is not the principal purpose of the contract, there is no deposit but some other contract.
Characteristics of Deposit
The contract of deposit is:
(1) It is a real contract because it is perfected by the delivery of the subject matter.
(2) It is generally a unilateral contract. It gives rise to the principal obligation, on the part of the
depositary, to safely keep the thing and to return it. It is only when the depositor has agreed to pay
remuneration to the depositary that the contract will become bilateral and onerous, as the
depositor assumes a primary obligation.
(3) It is a nominate contract, because it has been given a specific name by the Civil Code.
(4) It is a principal contract, because its existence is not dependent on another contract.
(5) It is informal contract, because no particular form is required for the contract.
(6) It is generally gratuitous contract (where the depositor does not pay compensation to the
depositary) but it can be an onerous contract. Under Roman Law, a deposit is a gratuitous
contract; if remuneration is paid by the depositor, the contract becomes a contract of work or
service. Under the Civil Code, a deposit is a gratuitous contract except when there is an agreement
to the contrary, or unless the depositary is engaged in the business of storing goods.
Nature
A contract of deposit is generally gratuitous. Exceptions:
(1) Where there is contrary stipulation. — The first exception is recognized in the general rule in
contracts that the parties may establish any stipulation they may deem convenient provided it is not
contrary to law, morals, good customs, public order, or public policy. (Art. 1306.)
(2) Where depositary engaged in business of storing goods. — The second exception is based on the
fact that the depositary is engaged in the business of storing goods (as in the case of a warehouseman) for
compensation and not out of pure generosity.
(3) Where property saved from destruction without knowledge of the owner. — In involuntary
deposit, where property is saved from destruction during a calamity by another person without the
knowledge of the owner, the latter is bound to pay the former just compensation. (see Arts. 1996[2],
1997, par. 2.)
2. GR: Pay losses incurred by depositary due to the character of the thing deposited.
XPNs:
a. When at the time of deposit, the depositor was not aware of the dangerous character of the thing
or was not expected to know it;
b. When the depositor notified the depositary; or
c. When the depositary was aware of it without advice from the depositor.
3. In case of an onerous deposit, to pay the compensation agreed upon as consideration for the deposit.