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Lecture 1: Intro to ObliCon

Law is a necessity, without
1 2 3 4
Law – is a rule of conduct, just and obligatory, promulgated by legitimate authority, and it there will be no order and
of common observance and benefit. peace.
1. Controls, limits, and regulates how a person acts/conducts themselves.
2. Mandatory and must be followed. Absence of law leads to
3. Creation of the law must be done by someone who has power. chaos.
4. Applies to all person of a particular group or class
Control society.
Sources of Law
1. Constutution – 1987 Constitution
- Basis of all laws (most important source)
- All laws promulgated by congress must be compliant with the
constitution.
While laws created by Congress; administrative orders and regulations are
created by different branches of government.

(3) Branches of Government

2. Legislative – generally creates law (enacted law or statute law)
3. Executive – creates administrative orders and regulations to specify the
implementation of law.
4. Judiciary – court decisions (jurisprudence) supreme court decisions as a superior
court on a point of law are binding on all subordinate courts.
5. Custom – habits, practices, and traditions.
- Inferior to law
- Has the force of law when recognized and enforced by the state.
6. Other Sources of Law – (Recommendatory Only)
1) Decisions on Foreign Courts – are not binding in the Philippines because they
were rendered by courts outside the Philippines; foreign countries have
different laws.
If the laws of the foreign country has similarities as the laws of PH,
the interpretation can be used to make court decisions.
2) Opinions of textwriters – authors of law books are already experts on law,
therefore, their opinions can be used/considered.
3) Religious Laws – decisions of religious organizations can be used on how
decisions are rendered by courts, and how legislators and senators will draft
our laws.

How Laws are Enforced

There is a system of courts in the Philippines where complaints are filed, and decisions are
rendered based on presented facts and applicable law.
(3) Three Kinds of Courts
1. Regular Courts – has jurisdiction over “practically” all matters.
Depending on the case it can be filed to:
Municipal/Metropolitan Trial Court
Regional Trial Court
Court of Appeals
Supreme Court
2. Special Courts – there are 2 special courts as of now
Court of Tax Appeals – cases regarding taxes
Sandigan Bayan – cases regarding public officers
Both elevate their cases up to SC
3. Quasi-Judicial Agencies – not technically a court 3 Constitutional
Parts of the Executive that makes court decisions on Commission
specialized portion of law. 1) Civil Service
Example: NLRC – National Labor Relations Commission
Commission, Insurance Commission, SEC – Securities 2) Commission on Election
and Exchange Commission 3) Commission on Audit
Quasi-Judicial Agencies elevate their cases to CTC up to SC
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Classes of Law
1. Substantive Law – laws which create rights.
- Establish rights/obligation of people.
2. Procedural Law - how to enforce the rights/obligations established by substantive
law.

Civil Code General Provisions

1. Ignorance of the law excuses no one from compliance therewith.
2. Laws have no retroactive effect unless the contrary is provided.
3. Rights may be waived, unless the waiver is contrary to law, public order, public
policy, morals, or good customs, or prejudicial to a third person with a right
recognized by law.
4. Laws are repealed only by subsequent ones, and their violation or non-observance
shall not be excused by disuse, or custom or practice to the contrary.
5. No judge or court shall decline to render judgment by reason of the silence, obscurity
or insufficiency of the laws.
6. When the laws speak of years, months, days, or nights, it shall be understood that
years are of 365 days each; months of 30 days; days of 24 hours; and nights of sunset
to sunrise.
If months are designated by their name, they shall be computed by the number of
days which they respectively have.
7. Territoriality – where laws are effective
1) Penal laws and those of public security and safety shall be obligatory upon all
who live or sojourn in the Philippine territory, subject to the principles of
public international law and to treaty stipulations.
2) Laws relating to family rights and duties, or to the status, condition and legal
capacity of persons are binding upon citizens of the Philippines, even though
living abroad.
3) Real property as well as personal property is subject to the law of the
country where it is stipulated.
However, intestate and testamentary successions, both with respect to the
order of succession and to the amount of successional rights and to the
intrinsic validity of testamentary provisions, shall be regulated by the
national law of the person whose succession is under consideration,
whatever may be the nature of the property and regardless of the country
wherein said property may be found.
4) The forms and solemnities of contracts, wills, and other public instruments
shall be governed by the laws of the country in which they are executed.

Abuse of Right Principle

Every person must, in the exercise of his rights and in the performance of his duties, act with
justice, give everyone his due, and observe honesty and good faith.

Lecture 1 Part 2
GENERAL PROVISIONS Art. 1156. An obligation is a juridical necessity to give, to do or not to
do. (n)

Kinds of Obligation accdg to Subject Matter

Real Obligation – The object is a “thing” which the obligor must deliver to the oblige
Transfer of ownership or possession.
To give

Personal Obligation – The object is an “act” which the obligor must do or not do
Positive Personal Obligation “to do”
Negative Personal Obligation “to do”

Nature of Obligations under to the Civil Code

Civil Obligations – includes all topics in ObliCon
Obligations which give to the creditor or obligee a right under law to
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enforce their performance in courts of justice.

Natural Obligations – with juridical necessity
In case of voluntary fulfillment by the debtor, the latter may not recover
what has been delivered or rendered by reason thereof.

4 Elements of Obligation/Essential Requisites of Obligations

1. Active subject (obligee) – to demand
Person who has the power to demand fulfillment of the
obligation.
2. Passive subject (obligor) – to perform
Person who has the duty to perform or cause the fulfillment
of the obligation/
3. Object or prestation – conduct required to be observed.
What needs to be given, done, or not done.
4. Juridical ties or vinculum juris – legal ties
The cause between the passive subject and active subject, by
which reason the passive subject is bound in favor of the
active subject.
“the promise”, without it nothing is binding and compelling
the passive subject to fulfill the obligation.
All (4) four must exist for there to be a valid obligation.

Sources of Obligation
1. Law – rule of conduct, obligatory
Active subject: government
Passive subject: citizens or persons in the Philippines
Object: the conduct demanded by law
Juridical tie: the law itself

Obligations arising from law are not presumed, only those which law clearly
stipulate or express are demandable.

2. Contract – two or more parties came into an agreement. Both agreed to both do
something or render a service in exchange for something else.
Contract has the force of law. If one does not comply, that party is liable.

Contract is law between two parties, a violation in contract is a violation to

the law of the two party. And that violation is enforceable because it is a civil
obligation to perform one’s end of the contract.

3. Quasi-Contracts – not really a contract

One which arises from acts where persons becomes bound to each other but
does not arise from contract.
Lawful voluntary unilateral act
Purpose of quasi-contact: No one will be unjustly enriched in expense of the
other

2 Kinds of Quasi-Contracts
1. Negotiorum gestio – when one person voluntarily manages the property
or affairs of others without the knowledge or consent of the latter.
2. Solutio indebiti – receipt of a thing delivered through mistake by the
person who has no right to receive it.

4. Delicts or crimes – crimes are a source of obligations because when a person becomes
criminally liable he/she is civilly liable.
Civil liability includes:
1. Restitution
2. Reparation for the damage caused
3. Consequential damage

5. Quasi-delicts – not really a delict

Acts committed due to fault or negligence which causes damage to others
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when there is no pre-existing contractual relation between parties.

Quasi-Delicts Crimes
Did not practice due diligence in acting
resulting to damage Intended
No intent There is a malicious intent behind every
To compensate for damage crime.

Criminal negligence – total lack of diligence

Example: drunk driving – voluntarily driving under the influence of alcohol

Lecture 2 Part 1
The Nature and Effect of Obligations

Art. 1163. Every person obliged to give something is also obliged to take care of it with the
proper diligence of a good father of a family, unless the law or the stipulation of the parties
requires another standard of care. (1094a)
- Refers to an obligation specific or determinate thing.
- Talks about giving something.
- Real obligations
2 Classifications
Specific thing (determinate) - particularly designated or physically segregated from others of
the same class.
Generic thing (indeterminate) – pertain to a class of thing. Cannot be identified with
particularity within its class.

Duties of Debtor in Obligation to give a DETERMINATE THING

1. Preservation – duty of the obligor pending delivery to take care of the thing with due
diligence of a good father of a family.
2. Delivery – covers not only the thing itself but also its fruits, accessions, and
accessories.
1. Fruits – anything which come from the thing (principal) ex. Interest

Fruits, accession, and accessories are generally included in the delivery of a

determinate thing unless otherwise stipulated.
3. Damages – (Applicable to both determinate and generic thing) The obligor would be
liable for the damages in case of 1non-fulfillment of the obligation, or 2breach of the
obligation, or in case of 3fraud, 4negligence, or 5delay, or 6performance of the
obligation in contravention of the tenor of its obligation.

Duties of Debtor in Obligation to give a GENERIC THING

1. No obligation/requirement to preserve.
2. Obligor has the duty to deliver the thing in quality intended by the parties,
considering the purpose of the obligation and other circumstance.
3. (Applicable to both determinate and generic thing) The obligor would be liable for
the damages in case of 1non-fulfillment of the obligation, or 2breach of the
obligation, or in case of 3fraud, 4negligence, or 5delay, or 6performance of the
obligation in contravention of the tenor of its obligation.

Kinds of Diligence
1. Ordinary Diligence – diligence of a good father of a family.
Regular care of a thing.
2. Extraordinary Diligence – a level above ordinary
If law or stipulation of the parties provides another standard
of care, said law or stipulation must prevail.

Nothing prevents the parties to agree to extraordinary

diligence but cannot be slighter or no diligence at all be
stipulated.
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Law does not allow complete exemption from liability.

Any stipulation not contrary to the law is valid.

A stipulation of absolute exemption is not valid.

If then, obligor is able to not comply with the obligation or
do it in a half-hazard way.

Right to Fruit – the right to fruit begins from the time of the obligation to deliver.

When does the obligation to deliver arise?

- Generally obligation to deliver is upon perfection of the contract if there is no stipulation
specifying the date of delivery.
- Any fruit that will occur after the perfection of the contract will belong to the obligee.
- The obligation to deliver may also arise if there is a condition imposed (in the obligation),
and the obligation is fulfilled.
- In case of Bilateral Obligation, the right to the fruits will start upon the performance of
one party’s obligation.

Right of the Obligor

Before Delivery – the right of the obligee is only personal
Oblige can only compel the obligor to perform his obligation.

After Delivery – the obligee obtains the real right over the thing, which oblige can enforce
against anyone.

Tradisyon – law requires if the thing is immovable a mode of transfer of ownership through a
symbolic act.
Symbolic acts – by execution of a written agreement. (example: deed of sale)

Real Right – right over a specific thing without a definite passive subject.
Can be enforced to anyone
Possession, ownership, mortgage, etc.

Personal Right – a right only to demand performance from another person as a definite
passive subject.

Remedies of an Obligee
In case of non-performance, regardless if the thing is determinate or generic:
1. The obligee can demand for specific performance or fulfillment of an obligation.
2. Cancel the contract
3. Demand payment of damages
(THESE 3 FOR REAL OBLIGATIONS ONLY, when there is right to deliver)

But in PERSONAL OBLIGATIONS, Art. 3 section 18 – Involuntary servitude is

prohibited.
1
When the obligor does not perform the obligation;
2
When the obligor performs the obligation in a poor manner;
3
When the obligor performs the obligation contrary to the agreement.
Remedies: the obligee can have the obligation performed himself or by another, at
the expense of the obligor.
And ask for payment for damages.

When the obligor perform an act in an obligation not to do.

Remedies: the obligee can have it undone,
And ask for payment for damages.

Damages – additional payment for non-fulfillment of contract/obligation.

- penalty for non-compliance.

If there is delay in the part of the obligor… In a fortuitous event, the obligor is liable.
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DELAY – reasons when damages can be claimed.

- when obligation is already been demanded, but still not delivered or performed.

DELAY BEGINS UPON DEMAND

o If there is no demand, there is no delay.
o Until the obligee does not act or demand delivery, there will be no delay.

Cases when demand is NOT NECESSARY:

o When the law or the obligation provides that demand is unnecessary.
o When the time is of the essence. There is already a scheduled time for when the
obligation must be performed, there is no need to make demand. Because the
nature of the obligation and motive of the establishment of the obligation shows
demand is unnecessary, the time of the performance of the obligation is
determined and understood.
o When the obligation can no longer be performed. Demand is no longer necessary
for the obligor to incur in delay (when the thing incurs damage or in case of
fortuitous event before the obligee can make demand)
o In Bilateral obligations, if one party performs his obligations, the other party
automatically incurs delay.

3 Kinds of Delay
- delay is not only attributable to the obligor but can also be to the obligee.
1. Mora solvendi – delay on the part of the obligor.
When the obligor does not perform his obligation once demand is made or
when he is obliged to deliver.
2. Mora accipiendi – delay on the part of the obligee
When the obligor is ready to perform his obligation but obligee won’t accept
the performance or delivery.
Refusal to receive must be without cause. If there is a basis on the refusal,
there will be no mora accipiendi on the part of the obligee.
3. Compensatio morae – delay on both obligor and obligee.
No actionable default on both parties.
Both liable to each other.

Fixing of a period vs. Automatic Delay

General rule – delay begins upon demand, except when demand is no longer necessary.

The fixing of a period does not automatically incur the parties in delay. The arrival of the
period only makes the obligation demandable. Unless demand is unnecessary.
The obligor does not incur in delay when the period arrives until there is no demand. Unless
the obligation explicitly states that demand is unnecessary.

How does delay ends? (if there is already delay)

1. Upon renunciation – when the obligor no longer require performance even after
demand.
The obligee renounce the period, the delay will cease because of the
agreement on the extension of the period.
2. Prescription – when the right to enforce the obligation prescribes.

FRAUD – delivery evasion of the normal fulfillment of the obligation.

1. Incidental fraud or “dolo incidente” - fraud committed in the performance of an
existing obligation.
Effect: danyos lang ang liability

2. Causal fraud or “dolo causante” – fraud employed when the obligation is executed
without consent would not have been given.
Purpose: to induce the other party to enter into a contract or to accept the
obligation.
Effect: obligation or contract is void from the beginning.

NEGLIGENCE – voluntary act of omission without malice, which prevents the fulfillment of
the obligation.
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3 Kinds of Negligence
1. Contractual Negligence – negligence in the performance of contractual obligations.
Culpa contractual

2. Civil Negligence – negligence against one who has no pre-existing obligation.

Culpa aquiliana

3. Criminal Negligence – negligence resulting from the commission of a crime.

Culpa criminal

In case of MUTUAL NEGLIGENCE, the contract can still continue but negligence of one party
to another and vice-versa will need to be offset.
Mutual Negligence – when one party is negligence and the other party becomes
negligent as well

Fraud must be proved.

Negligence is presumed upon its effects.

Liability for fraud cannot be mitigated.

Liability for negligence can be reduced, unless it is criminal negligence.

DILIGENCE
If a party does not comply with the degree of diligence required under the circumstance or
as agreed upon, the party is liable for damages.

Basis of damages – the measure of liability for damages is to place the innocent party in the
same position as if the obligation was properly performed.
Included in the computation of damages:
1
Natural and probable consequence of the breach of obligation and those
2
circumstances which the parties could have foreseen.

FORTUITOUS EVENT – 1events independent of the obligor’s will which 2could not be foreseen
or if foreseen is inevitable. 3And is such character as to render it impossible for the obligor to
perform his/her obligations.
Additional requirement: that 4there is no concurrent negligence on the part of the obligor.

Difficulty in foreseeing an even does not make it a fortuitous event.

Fortuitous event extinguishes the obligation.

Example: obligor is selling his land to the obligee. But fortuitous event arise such as
the land being subjected to a road widening project.

It is independent of the obligor’s will and cannot have foreseen or if foreseen was
inevitable and it renders the obligation to sell impossible. In this case, the seller or
obligor is not liable.

In a fortuitous even an obligor can still be liable:

o Obligor can still be liable if there is a delay or negligence on his part.
o When expressively provided for law.
o When there is fraud on the part of the obligor.
o When there is contravention on the tenor of the obligation.
o When the obligor promised to deliver the thing to two or more person without the
same interest.
o When the obligation to deliver arises from crime.
o When the thing to be delivered is a generic thing. Genus never perishes unless all
generic thing perishes from the world.
o If it was agreed upon by the parties that a fortuitous event will not extinguish the
obligation and the obligation is still demandable.
o When the nature of the obligation requires the assumption of risk.

Usurious transactions – contracting for or receiving interest in excess of the amount allowed
by law for the loan or use of money, goods, chattels or credits.
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Example: 5,6
- while usury law is suspended, excessive interest may still be reduced by the courts.

Receipt of the principal without reservation on the interest – if there is an obligation to pay
a principal with an obligation also to pay the interest, generally interest should be paid first
before the capital.
If the obligee accepts without reservation on the part of the non-payment of
interest, the interest is presumed to have been paid.

Transmission of Rights
Generally, transmission of rights is allowed unless otherwise stipulated.
Example of TR not allowed: stipulated on lease contract that sublease is prohibited.

Another exemption to transmissibility of rights: when the right to be transmitted is personal

in character, or if the law expressively prohibited.
Example: right to vote

Transmission of right becomes important when an obligor enters into a fraudulent

transaction.
Example: the person loses his land in a case, transfers the right to his sister. The
winner of the case can cancel that and file against the loser and his sister.

Several Rights of the Creditor or Obligee in case Debtor or Obligor performs a fraudulent
act to avoid his liablility:
1. Specific performance – obligee can file a complaint to compel the person to perform
a particular act.
2. Levy on debtors property – obligee can auction the obligor’s property, the profit
from the auction to be used as payment to the creditor or obligee.
3. Exercise the rights of a debtor – ex: debtor has other debtor, and waives his liability
to the creditor. The creditor can cancel the waiver and go directly to the debtor’s
own debtor.
4. The creditor is to ask for recession or cancellation of a fraudulent transaction.

2 Kinds of Actions
1. Accion subragatoria – is a case filed by the creditor on behalf of his negligent debtor
to preserve or recover the debtor’s properties.
After recovering the debtor’s properties, the profit is used a
s payment to the creditor. (third right of the obligee: exercise
the rights of a debtor)
2. Accion pauliana – is recession of a fraudulent contract.
A case is file by the creditor to invalidate acts done by the
debtor to defraud him.
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Lecture 3
Classifications of Obligations

Secondary Classifications
1. Unilateral – there is only one party obliged to perform.
2. Bilateral – both parties are obliged to perform.

1. Real Obligation – to deliver

2. Personal – to do, not to do

1. Determinate – the thing to be delivered is one of its class, unique of its class.
2. Generic – the thing to be delivered is not specified, any of the same kind of the intended
quality.

1. Civil and Natural – based on enforceability

2. Legal1, conventional2, and penal3 –
1) Based on law
2) Based on contracts
3) Based on delicts/crimes

Primary Classification
1. Pure and Conditional Obligation
2. Obligation with a Period
3. Alternative Obligations
4. Joint and Solidary Obligations
5. Divisible and Indivisible Obligations
6. Obligations with a Penal Clause Art. 1306. The contracting
parties may establish such
Art 1306 – Parties may stipulate anything not contrary to law, morals, good customs, public stipulations, clauses, terms
order, and public policy. and conditions as they may
deem convenient, provided
Pure Obligation – with no condition attached they are not contrary to
‒ No date indicating when it is demandable law, morals, good customs,
‒ Immediately demandable once the obligation is established. public order, or public
‒ No condition to perform. policy. (1255a)

Conditional Obligations – subject to future and uncertain event, or a past and unknown
event.
‒ Obligation can only be performed once the condition has
been fulfilled.

Art. 1306 is relevant because depending on the condition, 1306 will apply.

Conditional Obligations are further classified into :

1. Suspensive – the happening of the condition gives rise to the obligation.
Example: “I will give you 1k when you pass Oblicon”
In this case, the condition is SUSPENSIVE because your right to 1k will only
arise once you pass Oblicon.

2. Resolutory – the happening of the condition extinguishes to the obligation.

‒ The obligation is already demandable, but the right to demand it stops
once the condition is fulfilled.
Example: “I will give you 1k every month until you graduate”
Once you graduate, the obligation is EXTINGUISHED.
The obligation to give 1k every month is finished because the resolutory
condition has already happened.

Obligation with a Period – future and certain event.

Example: “I will give you 1k every month until December 2024”
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If the obligation depends on the parties:

Example: the debtor said “I will pay you when I am able”
This is not a conditional obligation, since it is not specific, the law considers this an
obligation with a period, and the period will be fixed by the court.
It is a future and uncertain, it is also based on the will of the debtor.

Potestative Condition – when the happening of that condition is based exclusively on the will
of the debtor.
Example: the debtor said “I will give you 10k when I go to Manila”
In this case, the debtor’s going to Manila is based entirely on his will.
The happening of the condition is based on the debtor, he will decide whether he will
pay or not.

What happens is that the entire obligation becomes void.

Because the potestative condition depends solely on the debtor.

However, if the potestative condition is attached to a pre-existing obligation, it is

only the condition that is rendered invalid.
Example: the pre-existing condition is “I will give you 10k”
The creditor is in Manila.
The obligor said “I will give you the 10k when I go to Manila”
From Pure Obligation to Potestative
The potestative condition is the only one which will be rendered invalid and not the
entire obligation because it originally came from a pure obligation.

REMEMBER:
Potestative condition is based upon the will of the debtor.

A potestative condition upon the will of the debtor only renders the obligation void if the
condition is suspensive.

If it is resolutory, it will not affect the validity of the obligation.

Example: “I will give you 10k if you (creditor) go to Manila”
It is no longer based on the will of the debtor.
If it is already based on the will of the other party (creditor/obligee), it is no longer a
potestative suspensive condition (or based on the will of the debtor).

So, even if it is based on the will of one of the parties, that party is not debtor
anymore, it is now based on the creditor. Even if it is potestative, it is valid.

A potestative condition only renders the obligation void if it is SUPENSIVE and BASED ON THE
WILL OF THE DEBTOR.

If it is SUSPENSIVE POTESTATIVE CONDITION BASED ON THE WILL OF THE CREDITOR, it will

render the obligation valid.

If the POTESTATIVE RESOLUTORY CONDITION is BASED ON THE WILL OF THE CREDITOR, it will
render the obligation invalid.
Example: “I will give you 1k every month until you (creditor) go to Manila”
This is invalid because what the creditor would do is: he’ll never go to Manila, so the
obligation will never stop.

If the POTESTATIVE RESOLUTORY CONDITION is BASED ON THE WILL OF THE DEBTOR, it will
render the obligation valid.
Example: I (debtor) will give you 1k every week until I go to Manila”
The obligation will be finished depending on the debtor because he will decide when
he’ll go to Manila.
SUPENSIVE RESOLUTORY
BASED ON THE WILL OF
INVALID VALID
THE DEBTOR
BASED ON THE WILL OF
VALID INVALID
THE CREDITOR
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If the Obligation is ILLEGAL…

If the condition is positive (to give, to do), it renders the obligation void.

If the condition is negative (not to do), it renders the obligation valid.

If the condition is negative, it renders the obligation pure.

2 Kinds of Impossibility and Illegality

1. Physical Impossibility
Example: “I will give you 1k if you walk from Nasugbu to Manila in 2 mins.”

2. Legal Impossibility – something is legally impossible if it is prohibited by law.

Example: “I will give you 10k if you kill him”
The condition is illegal, so the obligation is void.

In these cases, if it is a real obligation (to give), or a personal positive obligation (to do), it
renders the entire obligation void.

If the illegality or impossibility pertains to a negative personal obligation (not to do), then
it renders the obligation PURE.
Example: “I will give you 10k if you don’t kill him”
In this case, the obligation not to do pertains to an illegal act. So, since it’s not to do an
illegal act, that condition is disregarded and the obligation becomes pure and
immediately demandable.

This is subject to divisibility.

Divisibility – an obligation is divisible if it can be performed separately.

Example: “I will give you laptop and 1 kilo of marijuana”
This is divisible because the giving of the laptop is legal, while the 1 kilo of marijuana
is illegal.
The invalidity will only affect the illegal or impossible portion.

Subsequent article in the Code:

Art. 1266 – The obligation is extinguished if the condition subsequently becomes impossible
or illegal without the obligor’s fault. Art. 1266. The debtor in
Example: for instance, there was no law on illegal firearms. The obligation was “I will obligations to do shall also
give you 10k if you sell me that unlicensed firearm” be released when the
So at the time when there was no firearm law, it is completely valid. prestation becomes legally
But once a firearm law has been passed, making the condition illegal, then that or physically impossible
would not make the obligation extinguished. without the fault of the
obligor. (1184a)
If it becomes impossible and illegal with the obligor’s fault, then he (obligor) would
be liable for damages.
Example: “I will give you 10k if you sell/give me that dog on Nov. 5”
Before Nov. 5, the obligor killed the dog.
The impossibility to deliver the dog is based on the obligor’s fault, then, the obligor
will be liable for damages.

The obligor will only not become liable for damages for subsequent impossibility or
illegality, if such impossibility or illegality happens without the obligor’s fault.

If there is fault by one of the debtors, all debtors are liable. But innocent debtors can recover
from the guilty debtor.
This contemplates as a circumstance, when there are multiple debtors.
If one cause loss/impossibility or illegality, all debtors becomes liable for loss if there
is a fortuitous event, if one of them is in delay.

Happening or not happening of an event at a determinate time

If the condition is the happening or not happening of an event at a determinate time, the
obligation arises for a suspensive condition. Or is extinguished if it is resolutory upon the
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happening of that event at a determinate time.

But suspensive or resolutory condition is also considered fulfilled if it is evident that the
event will no longer happen.
Example: “I will give you 10k each, if you marry each other by 2025”
But before 2025 came, one of obligees married another person.
In this case, it is already evident that the condition will not happen even before 2025
makes the condition fulfilled.

If the obligor voluntarily prevents the fulfillment of the condition, then the condition is
deemed fulfilled.
Example: “I will give you 1k if you sell my land”
The creditor found a buyer, but the obligor donated his land to his sibling to avoid
the obligation of giving 1k.
In this case, the obligor voluntarily prevented the creditor from being able to sell the
property by giving it to someone else.
In this case, the condition is deemed fulfilled and the obligor is still liable to the
creditor for the 1k.

Suspensive and Resolutory Conditions

Suspensive conditions have retroactive effect depending on the kind of obligation.

Retroactive effects as a condition refers to the rights to the fruits of the thing.

If it is a reciprocal obligation and the obligation of both parties arise from the same cause.
Example: on aug. 1, the parties agreed that “I will pay you 1k for that dog”
You are supposed to execute on Nov. 1 (3 months)
In the meantime, the dog gave birth and the 10k earned interest, since the obligation
is reciprocal, the puppy and the interest are deemed mutually compensated.
No need to give the fruits.

If it is unilateral, only one part has the obligation, the obligor retains the fruit.
Example: on aug. 1 “I will give you 10k if I get called on recit by sept. 1”
In this case the fruits of 10k will be retained by the obligor.
That’s the general rule, unless they have an agreement that the interest will be
provided.

General Rule – if the obligation is unilateral and a suspensive condition happens, the obligor
or debtor generally retains the fruits.

Retroactive effect on a personal obligation – the court will determine the retroactive effect if
the obligation is personal.

Generally retroactive effect only applies to REAL obligations (to give)

On the rights of the parties to the fruits upon the fulfillment of a suspensive condition
1. The right of the obligor to the fruits does not begin when the obligation is fulfilled, it
begins/retroacts to the time when the obligation is constituted.
2. In case of reciprocal obligations, the fruits are considered mutually compensated pending
the happening of the condition.
3. In a unilateral obligation, there is no retroactive effect on the fruits, only the principles of
obligation must be performed. Unless there is an agreement to the contrary.

If there is a condition on the obligation:

What rights do they have pending the happening of the condition?
Obligee – (the one who is entitled to receive)
‒ Has the right to the preservation of his rights and of the thing.
Example: “I will give you this dog if you pass oblicon”
While the obligee is not yet passing oblicon, the obligee has the right to compel the
obligor to take care of the dog, pending the happening of the condition.
 13

Obligor – has the right to recover payment made by mistake before delivery is demandable.
But if the obligor delivered knowingly that the condition has not yet been fulfilled,
the obligor is deemed to have waived the condition.
So, regardless if the condition is made or not, the payment cannot be recovered
because the payment was made intentionally.

The payment can only be recovered when the payment is made by mistake.

IMPROVEMENT
What if pending the condition, the thing to be delivered is improved, lost, or deteriorates?
1. If the thing is lost without the obligor’s fault, the obligation is extinguished.
2. If the thing is lost due to the obligor’s fault, the obligor is liable for damages.

1. If the thing deteriorates without the obligor’s fault, the amount of impairment will be
borne by the obligee.
2. If the deterioration is because of the obligor’s fault, the obligee may seek recession or
performance of the obligation, with damages on either case.

1. If the thing improves by nature or by time, without any participation on the part of the
obligor, the improvement will be for the obligee’s benefit.
2. If the thing is improved at the obligor’s expense, the obligor will have usufructuary rights.
Recession (art. 1191)
Usufruct – the right to enjoy the use and fruits of a thing owned by another. – cancellation of contracts.
Example: “I will give you this car if you pass oblicon” - when a party demand for
During the sem, the obligor made improvement on the car. The obligor will have the mutual return of their
usufructuary rights, he can use the car and enjoy its fruits. obligations
Example: “I will give you
Rights of an Obligor in Reciprocal Obligation this dog when you pass
1. Action for fulfillment with damages oblicon”
2. Action for recession with damages The obligor did not take
3. Damages (only) care of the dog when it got
These remedies are alternative sick.
You can only choose one but cannot change it, unless you chose fulfillment and
fulfillment subsequently becomes impossible. The obligee can demand for
Example: the dog got sick and the obligee insisted on the delivery of the dog. Then, the recession or performance,
dog subsequently died. This is the only instance that the obligee can change his remedie. either way the obligee is
entitled to demand for
You cannot claim for recession anymore, if the thing to be delivered has already been damages.
delivered to a third person who acted in good faith.
Example: if the dog falls into the hand of another person, who obtained the dog in
good faith. The dog cannot be recovered (because it’s already in possession of
another person), and that person obtained the dog without knowledge of the
obligation to deliver that dog.

You can only demand recession if the breach is for a material proportion or provision of
the obligation.
Example: “I will give you this car when you pass oblicon”
You passed oblicon, when the car was given to you, there were no tires.
This is a material breach (the intended for the delivery for a working car with wheels
is different than what has been delivered)

If the breach is not material (the difference is only slight from what is intended) you
cannot claim for recession.
Example: oblicon, car
When the car was delivered, the gas has only 200mL of gas.
This is not material enough to be considered as a material breach. You might be able
to claim for damages but not for recession.

REMEMBER: claim for recession can only be done by judicial action. You need to file to court.

But accdg. to 1306, you can stipulate in your obligation that recession can be claimed
without filing an action to court.
 14

Art. 1191 – power to receive is implied in reciprocal obligation Art. 1191. The power to
‒ Talks about recession for breach of contract or nonperformance. rescind obligations is
implied in reciprocal ones,
Reciprocal Obligation is different from Bilateral Obligations in case one of the obligors
should not comply with
Reciprocal Obligation – the obligations of both parties arise from the same cause. There is a what is incumbent upon
contract. him.
Example: “I will buy your dog for 1k if it wins on the dog show.”
The injured party may
Bilateral Obligations – the obligations of the parties do not arise from the same cause. choose between the
Example: “I will give you 10k when you pass oblicon” and you also made a promise fulfillment and the
that “I will pick you up and drop you until I pass another subject” rescission of the obligation,
There are two specific, distinct obligations which are separate from each other. with the payment of
Each obligation is based on something else. damages in either case. He
may also seek rescission,
There’s only recession if the obligation arise from the same cause (reciprocal) and even after he has chosen
not merely bilateral. fulfillment, if the latter
should become impossible.
Art. 1191 is subject to 1385, 1388
The court shall decree the
Art. 1385 - recession creates the obligation to return the thing and its fruits, and is allowed rescission claimed, unless
only if the party demanding recession can return what he receives. there be just cause
Since recession is a mutual restitution, if you claim recession, you should be ready to authorizing the fixing of a
return what you received. period.
Example: “I will buy your dog for 10k if it wins on the dog show”
The dog suffered an injury. Art. 1385. Rescission
The person who received the dog can only demand recession if he is ready to return creates the obligation to
the dog. return the things which
were the object of the
Recession can only be claimed, if the party claiming recession can return what he received contract, together with
from the reciprocal obligation. Recession includes the right to return the thing as well as its their fruits, and the price
fruits. with its interest;
consequently, it can be
Art. 1388 – acquiring in bad faith. carried out only when he
If the return is impossible, acquiring the thing in bad faith or in fraud of creditor’s will who demands rescission
make the person (third person?) liable for damages. can return whatever he
may be obliged to restore.
RECAP
o The remedies given are alternative and cumulative. Neither shall rescission take
o Recession is subject to the rights of the third person. place when the things
o Recession is allowed only for material breach or substantial violation of the which are the object of the
obligation and not for slight breaches only. contract are legally in the
o Recession can only be claimed through judicial action, except when there is a possession of third persons
stipulation or agreement to the contrary. Or when the contract is still executory (the who did not act in bad faith.
reciprocal obligations are not yet performed).
Art. 1388. Whoever
1911 is important because there is a similar provision in contracts for recession acquires in bad faith the
1. Recession under 1381 – talks about lesion things alienated in fraud of
Lesion – when something is sold by an authorized creditors, shall indemnify
representative for less transactual value. the latter for damages
- agreement of price suffered by them on
account of the alienation,
2. Recession under 1330 – vitiation of consent whenever, due to any
Vitiation of consent – consent to a contract was obtained cause, it should be
through fraud or misinterpretation. impossible for him to return
- even before the agreement was perfected. them.
3. Recession under 1191 – for breach of contract
If there are two or more
Mutual Breach – is when both parties in a reciprocal obligation both commit a breach in their alienations, the first
obligation. acquirer shall be liable first,
There are two instances if there is mutual breach. and so on successively.
1. If the first to commit breach is known, then their (second party) liabilities will be (1298a)
 15

reduced.
2. If the first who commit breach is unknown, the obligation will be extinguished and Art. 1381. The following
both parties will bear their own loses. contracts are rescissible:

(1) Those which are entered

into by guardians whenever
the wards whom they
represent suffer lesion by
more than one-fourth of
the value of the things
which are the object
thereof;

(2) Those agreed upon in

representation of
absentees, if the latter
suffer the lesion stated in
the preceding number;

(3) Those undertaken in

fraud of creditors when the
latter cannot in any other
manner collect the claims
due them;

(4) Those which refer to

things under litigation if
they have been entered
into by the defendant
without the knowledge and
approval of the litigants or
of competent judicial
authority;

(5) All other contracts

specially declared by law to
be subject to rescission.
(1291a)

Art. 1330. A contract where

consent is given through
mistake, violence,
intimidation, undue
influence, or fraud is
voidable. (1265a)
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Lecture 4
Obligation with a Period and Alternative Obligations

Obligation with a Period – is an obligation where fulfillment is fixed on a certain day.

Obligation is demandable only upon arrival of such day.

Period – a future and certain event

o It is sure that the period will arrive.
o It is certain that it will come but it is uncertain when it will come.
o No retroactive effect

Condition - a future and uncertain event or a past unknown event

o Has retroactive effect
o Uncertainty pertains to whether the day will come or not.

Art. 1193. Obligations for whose fulfillment a day certain has been fixed shall be demandable
only when that day comes.

Obligations with a resolutory period take effect at once, but terminates upon arrival of the
day certain.

Obligations with a suspensive period begins upon arrival of the period (the day certain)

A day certain is understood to be that which must necessarily come, although it may not be
known when.

If the uncertainty consists in whether the day will come or not, the obligation is conditional,
and it shall be regulated by the rules of the preceding Section. (1125a)

Kinds of Period
1. Resolutory – the obligation takes effect at once but terminates on the day certain.
Example: “I will pay you 1k until Dec 2025”
Dec 2025 is sure to come
The obligation will start immediately but will stop on the day certain.

2. Suspensive – begins upon arrival of the period.

Demandable upon the arrival of the period.
Example: “I will pay you 1k every week for 4 weeks after 2022”
2022 is sure to end making it a day certain
The obligation will only start on the day certain.

The rules if there was loss, improvement, or deterioration of the thing for conditional
obligation will also apply to obligations with a period.

Recovery
If performance is made before demandability, the obligor can recover what he has given. But
recovery is only allowed if the delivery was made by mistake.

When the delivery is made it is presumed that the obligor is aware of the period. So if the
obligor wants to recover because of a payment before the period arise, obligor needs to
prove that the payment or delivery was made by mistake.
Recovery is allowed (if
When payment has been made or obligation has been performed before delivery and the made by mistake) to
obligor didn’t demand immediately for return of the delivery made by mistake. And the prevent unjust enrichment
period arrived. on the part of the obligee.
Example: “I will pay you 1k on sept. 25”
If the debtor made payment on Sept. 5 by mistake, debtor can recover it. Recovery includes recovery
of the fruits.
But even if it is made by mistake and sept. 25 comes, the debtor cannot recover it
because the debtor is already due for payment.
 17

The fruits, however, from sept 5 to sept 25 can be recovered.

RECOVERY CAN OBLY BE MADE IF IT IS MADE BY MISTAKE.

RECOVERY ONLY APPLIES TO REAL OBLIGATIONS.

A PERIOD IS PRESUMED TO HAVE BEEN ESTABLISHED FOR THE BENEFIT OF BOTH PARTIES.
Unless circumstances appear otherwise.
The obligor cannot be compelled to perform early.
The obligee cannot be compelled to accept delivery or performance early.

Example of a circumstance that appears that the period was not made for the benefit
of both parties:
“I promise to you on dec 2022 without interest”
Clearly, the period is given for the benefit of the debtor/obligor.
Even if it is not included in the obligation that it is for the benefit of the
debtor/obligor, from this circumstance of no interest until payment is to be made, it
appears that it is for the sole benefit of the debtor/obligor.

The parties can set the period, other than the parties…

The court may set a period when:

o If no period is fixed, but a period was intended by the parties.
o When the period depends upon the obligor’s will.
If the obligation is based or conditioned upon a potestative resolutory condition.

Once the court has fixed the period to be followed by the parties, the parties cannot change
the period.

If a period was set, and the period has passed already, the parties cannot go to court for the
court to impose a new period. The court cannot extend this period on its own.

If an extension of period is to be made, it will be based upon the agreement of the parties.

The Obligation can be demanded even before the period has lapsed when:
1. When the debtor becomes insolvent, unless he gives a guarantee or security for the debt.
Example: “I promise to pay you 1M before Jan 1 2023”
If the obligor becomes insolvent (before the Jan 1), the obligee can already demand
fulfillment of debt.
Unless the obligor provides guarantee or security.

If there is no collateral given, the debtor can still make use of the period. The only
effect is that the period is mawawala na if the debtor is insolvent with no collateral.
Insolvency – no cash for
2. When the debtor does not furnish guaranties or securities promised. payment. While the debtor
Example: “I will pay you 1M before jan 1 2023, which loan is secured by a mortgage may have property, it
on my property” cannot be easily converted
But the debtor did not give the property as collateral. into cash or payment to
In this case, the creditor need not wait for Jan 1 2023 to demand for payment satisfy the debt or for
because the debtor gave promised a collateral which the debtor did not give. compliance with the
obligation.
3. When the debtor impairs the guarantee or security, or when the guarantee and security
disappears Unless the debtor/obligor
Example: “I will pay you 1M before Jan 1 2023 secured by a mortgage over my provides guarantee or
property” security for the debt.
Then the debtor mortgaged the same property to another person.
So the security is already impaired because the security is not exclusive to the
original creditor anymore.
In this case, the obligation is already demandable even before the arrival of the
period.

The debtor also loses the rights over the period when the guarantee or security
 18

disappears (ex: when it is sold or when it is pulled by the court)

4. When the debtor violates an undertaking which was the reason the creditor agreed to
the period.
Example: “I will pay you 1M on or before Jan 1 2023, and in exchange of the loan, I
promise not sell my property until the debt has been paid”
And the creditor only agreed to this because of the promise not to sell the property.
If the debtor/obligor sells the property, the reason why the creditor agrees that he
will be paid on Jan 1 2023 is gone. So in this case, the debtor can demand payment
immediately.

5. When the debtor attempts to abscond.

If the debtor tries to escape
Example: “I will pay you 1M before Jan 1 2023”
When the debtor received the 1M, the creditor found out that the debtor used the
money to buy land in Singapore and a plane ticket.
In this case, there’s clearly an attempt to escape liability for the loan.
If this happens, the creditor can already demand payment even before Jan 1 2023.

Alternative Obligations - there are multiple objects/prestations. And the obligor,

generally, only has to perform one of them.
Example: “I will give you 10K or 2 dogs”
The obligor can either give 10k or 2 dogs.
If the obligation is alternative, the obligor cannot give half the part of both prestation
(5k and 1 dog).
Obligor must fully comply one of them, so either he gives the 10k or he gives the 2
dogs.
Alternative obligation is a sub classification of compound obligations.

Compound Obligations:
1. Conjunctive – there are several prestations and all of them are due.
Example: “I will give you 10k and 2 dogs”

2. Distributive – there are several prestations but not all are due.

Under distributive:
1) Alternative – there are several prestations due but performance of only one
prestation is already sufficient for the extinguishment of the obligation

2) Facultative – there is only one prestation due but the obligor can substitute it for
another.
Example: “I will give you 10k”
This becomes facultative if the obligor or debtor is given the option to perform a
substitute prestation.
Example of substitute prestation in this instance: Giving of 2 dogs

General Rule: the obligor has the right to choose which prestation he will perform. General Rule: The right to
Unless, the obligor gives the right to choose to the obligee. choose which prestation to
In the example of 10k/2 dogs, the obligor will choose which he will give to the perform belongs to the
obligee. Unless the obligor gives the right to the obligee, then the obligee will debtor, unless expressly
choose. granted to the creditor or
even to a third person.
Rules in choosing/picking the prestation to be performed:
1. The obligor cannot choose an 1unlawful or illegal prestation or 2one which is not the If the option has been
object of the obligation. granted to the creditor and
1
Example: “I will give 10k, 2 dogs, or 1 g of shabu” one or more things are lost
In this case, the obligor cannot choose to give the 1g of shabu because it is illegal. due to his fault before the
So, the obligor can only choose between the 10k or the 2 dogs. choice is made, the creditor
2
Example: the obligation is “I will give you 10k or 2 dogs” may choose the value of the
But the obligor gave 2 cats. The 2 cats is not part of the agreement, it is not a proper thing lost.
substitute agreed upon. Since the 2 cats is not the object of prestation, the obligor
cannot give/deliver it. If the creditor does not
 19

make a selection before the

When the alternatives are lost or only one becomes practicable, the obligor loses the right to period fixed, the debtor’s
choose. duty to perform does not
Example: for instance, there was no comprehensive dangerous drugs act (during the arise.
time of agreement) and the obligation was “I will give you 10k or 1g of shabu”
The obligation only
During the time of the absence of the comprehensive dangerous drugs act, the becomes demandable when
obligor can give the 1g of shabu. the choice has been given
to the creditor, once the
If the obligation was established today, and the next day the comprehensive creditor communicates his
dangerous drugs act was passed, then the obligor can no longer choose the other choice to the debtor.
prestation (1g of shabu) because it is no longer practicable.

THE CHOICE PRODUCES NO EFFECT UNTIL IT IS COMMUNICATED. The choice does not take
Example: “I will give you 10k or 2 dogs” effect until notice is given
The obligor found 2 dogs worth 8k but hasn’t told the obligee yet that he chooses to to the creditor, after which.
give 2 dogs. As long as the obligor’s choice is not communicated to the obligee, it will It becomes irrevocable.
produce no legal effect. Unless the parties agree to
change the choice.
But once the choice has been communicated, it is fixed and the choice cannot be
changed. The duty to perform does
not arise until
Once the communication has been made, the obligation is now a pure obligation. communication is made,
And the obligor will only perform his chosen prestation that he communicated to his because in this case, it is
obligee. the choice of the obligee.
Unless, of course, the obligee agrees to the obligor’s changing of his choice.

THE PROOF OF THIS METHOD OF COMMUNICATION HAS NO PARTICULAR FORM. So

even if it is said verbally, it is okay as long as it has been communicated. If the obligee has the right
to choose:
When the obligor cannot pick a choice because the obligee prevented him. - if one thing is lost due to a
The obligor may rescind or cancel the contract and ask for damages even if there are fortuitous event, the obligor
other options available. Or perform any of the other prestations. performs the obligee’s
choice.
Example: “I promise to give you 1M or the jersey Steph Curry wore during his first
championship” - if one thing is lost due to
the obligor’s fault, the
The obligor bought the jersey for 800k and was the prestation he was obligee may choose any of
planning/intending to give. the remaining prestations
or the value of the thing
If the obligee voluntarily and knowingly prevented the obligor from picking the other which was lost due to the
obligation, the obligor can cancel the contract and ask for damages. obligor’s fault.
On the jersey
In this case, even if the other option is still available (the 1M) to the obligor because example; if the
he will decide which he’ll give, but since the obligee have done something to prevent obligor burned
the obligor from picking one of the other obligations, he can cancel the obligation Steph’s
and ask for damages. But these remedies are only optional on the part of the The obligee can pick
obligor/debtor. the jersey of
Giannis or Jordan,
The obligee is entitled to damages if all options are lost due to the obligors fault or when or the value of
compliance becomes impossible. Steph’s (because it
Example: “I will give you either the jersey Steph Curry wore during his first was lost due to the
championship or the jersey Giannis wore during his championship” fault of the debtor)
The obligor bought both and burned them, so, the obligor cannot give either object. plus damages in
There are no more options. either case.

In this case, the obligee is entitled to ask for damages. If all the things are
The amount for damages will be based on the value of the last thing which lost or is lost due to the
made impossible by the fault of the debtor. obligor’s fault, the
If the obligor first bought Steph’s jersey and Giannis’ the next day, but the obligee may choose
obligor first burned Giannis’ before Steph’s. So the damages will be based on the value of any of
Steph’s jersey, since it is the last thing which is lost. the prestations lost
 20

plus damages.
If one or more alternatives are lost or becomes impossible due to a fortuitous event and only
one prestation is left, and this last prestation is lost due to the debtor’s fault, the debtor is
liable for the value of that thing.
Example: “I will give either Steph’s jersey, or Giannis’ jersey, or Jordan’s jersey during If all the alternatives are
the championship” lost or becomes impossible
If Steph and Giannis’ jerseys are lost due to a fortuitous event, and Jordan’s is lost as due to the debtor’s fault, he
well because the obligor burned it, he will be liable for the last thing which is lost. shall be liable based on the
Because when the first two things were lost due to a fortuitous event, there are no value of the last thing which
more other prestations(only one remains) so the obligation has been rendered pure was lost.
and simple.
Then the obligor lost the last prestation due to his fault, he is liable for the value of
that last thing.

But if some of the prestations becomes impossible due to the debtor’s fault, and Fortuitous event – an event
then, the remaining becomes impossible due to a fortuitous event, the debtor is not outside the control of the
liable. Because the choice is on the part of the debtor. parties
Example: the obligor burned Steph and Giannis’ jerseys, only one remains.
The debtor has no liability yet because the debtor will choose (he has the
right to choose). It will depend on the
Then the last jersey was stolen, in this case, since the remaining prestation reason for the loss, and the
was lost due to a fortuitous event, even if the first two were lost due to his order of loss.
fault, he will not be liable.
If the first prestations were
lost due to a fortuitous
Rules in case of fraud, negligence, delay, or contravention to the tenor of the event, and the remaining
obligation/agreement. In case of these, the obligee can ask for damages. prestation was lost due to
the fault of the debtor, the
Aside from damages due to loss of choice, the obligee can ask for other kinds of debtor will be liable for the
damages: amount of the last thing
1. Moral which was lost due to his
Example: The obligee suffered anxiety and sleepless nights because of not fault.
obtaining the jersey which the only jersey missing from his collection.
Obligee can ask for moral damages against the obligor. If the first prestation were
lost due to the fault of the
2. Exemplary debtor, and the remaining
3. Nominal prestation (which renders
4. Temperate the obligation pure and
5. Liquidated simple) was lost due to a
fortuitous event, the debtor
is not liable.
Facultative obligation – when there’s only one prestation due but the obligor may substitute
it for another.

The rules on facultative obligation talks about the loss of the principal thing/prestation.
Example: the principal prestation was the obligor will give the creditor Steph Curry’s
jersey during his first championship. The parties agreed that when the jersey cannot
be found and given to the obligee, the shoes will be the substitute.

Principal prestation: jersey

Substitute prestation: shoes

If the principal thing was lost before substitution, the obligation is extinguished.

If the principal thing was lost after the substitution, the obligor will be liable for the
loss if the loss was due to his fault. (This provision prevents fraud on the part of the
obligor – to prevent the obligor from enforcing the substitute if he doesn’t want to
give the principal)

Delay in making the choice of prestation

The right to choose is not lost by the mere fact that the party entitled to choose delays in
making this choice. Even if the choice wasn’t communicated immediately, this doesn’t mean
 21

that he lost his right to choose.

The right of selection passes automatically to the other party when there is delay on the part
of the party entitled to choose.

In case of delay, the other party may also go to court to compel the person to make the
choice to make a choice. Otherwise, the court or the creditor would choose for the debtor.

In case the choice is with the creditor, and he delays in making the choice, the debtor can just
not do anything because the duty to perform in an alternative obligation does not arise until
communication has been made. And if the creditor forgets to give a choice, he can be limited
by prescription.

What happens if the obligation is joint and alternative as well? (topic next lecture)