Business Law

Quizzes:

(a) While the car of John Prats was parked by the roadside, it was bumped at the rear by a
jeep belonging to Isabel Oli. Only the car of John Prats suffered damage. Under the
circumstances, does it follow that Isabel Oli is liable to John Prats for the damage?

o Yes, Isabel Oli is liable to John Prats for the damage. Isabel is the obligor and
Prats as the obligee, therefore, it is Isabel Oli’s obligation to pay for the
damages on John Prat’s car.

(b) In the same problem, has John Prats the right to ask indemnity from Maja Salvador,
employer of John Prats, on the ground that when the accident occurred, John Prats was
then on his way to transact business with a client of Maja Salvador?

o No, Prats has no right to ask indemnity from Maja Salvador. It was Isabel Oli
who damaged Prat’s car, there is no need to involve Maja because there is no
law regarding to this kind of situation. Only the obligor, Isabel Oli, has to
fulfill the obligation.

(c) Jahziel Manabat, borrowed P 100,000 from Mia Forbes (Creditor). On the due date of
the loan, Jahziel Manabat could not pay Mia Forbes, because he lost to a robber the
P100,000.00 intended for Mia Forbes. In addition, he suffered financial reverses, and he
was short of cash even for his current family’s needs. Is Jahziel Manabat justified to
refuse to pay Mia Forbes?

o No, Jahziel Manabat is not justified to refuse to pay Mia Forbes. It was not
Mia’s fault that the money Jahziel was supposed to pay got stolen. Mia is the
obligee and Jahziel is the obligor. Jahziel can talk Mia Forbes about extending
the due date of the loan, but she is not allowed to refuse to paying her debt.