CA51011 – LAW ON OBLIGATIONS AND CONTRACTS

MODULE 1: EPISODE 1

Article 1156 of the Civil Code of the Philippines

• also called “New Civil Code of the Philippines” kasi may lumang civil code (yung galing sa
Spain).
➢ took effect on August 30, 1950
• an obligation is a juridical necessity to give, to do or not do.
➢ as juridical necessity: pag di ka nag-comply sa obligation pwede ka idemanda sa court.
➢ civil obligation specifically.
• a civil obligation is enforceable by court action, unlike natural obligations.
➢ civil obligations: pwede dalhin sa korte pag may reklamo
➢ natural obligations: dating civil obligations pero dahil sa long passage of time yung
karapatan mo over a subject matter is nag-expire (proper term is nag-prescribe
karapatan)
▪ common example of a prescriptive period is yung obligations na nag-aarise from
written contract
▪ under the law, 10 years lang siya nag-eexpire
o ex: nagpautang ka so within 10 years dapat mag-effort ka na to collect yung
pinautang mo kasi pag lumagpas na siya ng 10 years at di mo pa nasisingil,
wala ka na karapatan (yung civil obligation mo is magiging natural
obligation.)
o meaning, may utang pa siya sayo pero pag di siya nagbayad, di mo na siya
madadala sa court since nag-prescribe na
o makakapagbayad na lang may utang sayo kapag gusto niya magbayad
o pwede ka pa rin niya bayaran pero voluntarily na lang
Question:
What if nagbayad siya sayo pero nagipit siya and gusto niya bawiin sayo yung binayad niya, pwede
niya ba bawiin yung binayad niya sayo considering na prescribed na yung utang?
Answer:
NO. Hindi na pwedeng bawiin kasi ang amount na binayad na sa isang nag-prescribe na utang ay
hindi na pwedeng marecover kasi valid payment na yon. Sa natural obligation, hindi ka required
magbayad pero once na nabayaran na, hindi na pwede irecover.

Requisites / Elements of an Obligation

a. Active Subject (creditor or obligee)
➢ the party who has the right to demand performance of the obligation.
➢ nagpapautang
➢ active subject kasi siya mas interesado sa bayaran
b. Passive Subject (debtor or obligor)
➢ the party who is obliged to perform the obligation.
 ➢ umuutang
➢ passive kasi hanggat hindi ka sinisingil nananahimik ka lang kasi ayaw mo mabawasan
pera mo
c. Prestation (object or subject matter)
➢ it may consist of giving, doing, or not doing something.
➢ kailangang gawin
d. Efficient Cause (vinculum juris or juridical tie)
➢ that which binds the parties to an obligation.
➢ reason why kailangan gawin ni passive subject yung obligation niya kay active subject.
Illustration:
▪ Through a contract of loan, Diego borrowed P1,000,000 from Cardo a year ago.
▪ On the maturity date, who/what is the active subject, passive subject, prestation and
the efficient cause?
Answer:
▪ active subject: Cardo kasi siya yung nagpautang
▪ passive subject: Diego kasi siya yung nangutang
▪ prestation: the giving of 1,000,000 (wag mo isagot yung amount alone kasi kailangan
complete – need may giving, doing or not doing something)
▪ efficient cause: contract of loan kasi eto yung nag-bibind (bakit nagbabayad si D kay
C? kasi may contract of loan)

Forms of an obligation:
a. Oral
➢ napag-usapan lang
b. In writing
➢ nakasulat
c. Partly oral and partly in writing

Kinds of obligation according to subject matter:

1. Real Obligations
➢ came from the latin word “res” which means object
➢ real obligations ay yung giving of the object (nasa prestation)
➢ ex: magdeliver ka ng phone, etc
2. Personal Obligations
o Positive Personal Obligation
➢ dito naman yung to do na nasa prestation
➢ ex: kumanta ka sa birthday party
o Negative Personal Obligation
➢ dito yung not to do or not doing something na nasa prestation
➢ ex: wag mo harangan yung gate ng kapitbahay
Sources of Obligation
Article 1157. Obligations arise from:

1. Law
➢ it is a rule of conduct, just and obligatory, laid down by legitimate authority for common
observance and benefit.
▪ Article 1158
o Obligations derived from law are not presumed. Only those expressly
determined in this Code or in special laws are demandable, and shall be
regulated by the precepts of the law which establishes them; and as to what
has not been foreseen, by the provisions of this Book.
o dapat is may specific law na prinomulgate bago mo masabing may
obligation yung tao – hindi pwedeng gawa gawa lang.

What are other laws aside from the New Civil Code na pwede panggalingan ng obligation?

a. Tax Laws (NIRC)

▪ obligation ng tao to pay taxes
b. Family Code of the Philippines
▪ obligation ng magulang na alagaan mga anak especially if menor de edad.
▪ included din pagbibigay ng sustento
▪ civil obligation to hindi lang moral obligation
▪ pero ngayon, criminal liability na yung di pagbibigay ng sustento
2. Contracts
➢ it is the meeting of the minds between two or more persons whereby one binds himself
with respect to the other, to give something or render some service.
▪ Article 1159
o obligations arising from contracts have the force of law between the
contracting parties and should be complied with in good faith.
o pagkakasunduan niyo as long as di lumalabag sa law.
o contract of carriage and contract of loan
3. Quasi-Contracts
➢ they refer to certain lawful, voluntary and unilateral acts giving rise to a juridical relation
to the end that no one shall be unjustly enriched at the expense of another.
➢ quasi-contract = “parang” contract; not full pledged
➢ isa (unilateral) pa lang nakakapagdecide unlike sa contract na dalawa nagdecision na
magpush through

The two common examples are:

o Negotiorium gestio
- This refers to the voluntary administration of the property, business
or affairs of another without his consent or authority. There is now
an obligation to reimburse the gestor for the necessary and useful
expense.
 -ex: nagbakasyon kapitbahay mo sa ibang bansa then nagkaron ng
bagyo sainyo, nasira properties niya. bilang isang concerned na
kapitbahay, pinaayos mo nasira sa bahay niya without their
knowledge – ikaw lang nagdecide on your own.
- because of this, magkakaron ng obligation neighbor mo ng
obligation na ire-imburse yung nagastos mo kahit di ka niya binigyan
ng approval na ipaayos bahay niya.
- ang nagbigay ng consent ay yung law kasi according sa batas, kapag
napunta sa situation na ang isang bagay ay di magawa ng isang tao
at may gumawang iba for that person’s sake, may obligation siya na
ireimburse yon.
- kasi kahit nandon naman yung may-ari, ipaparepair pa rin naman
yon.
o Solutio indebti
- This refers to the payment by mistake of an obligation, in excess of
what should have been paid or payment to a person not due to
receive it.
- for example, nasobrahan yung sukli sayo, obligation mong ibalik yon.
- hindi ka pwedeng makinabang at the expense of another person.
4. Delicts
➢ These are acts or omissions punishable by law. This refer to crimes or felonies defined
under the law to be punishable as such.
➢ nakalagay sa Revised Penal Code (batas tungkol sa krimen)
➢ sa bawat isang crime, meron tayong tinatawag na criminal liability (makukulong ka) and
civil liability (may babayaran ka).
▪ a person that is criminally liable and is also civilly liable.

example:
o crime of arson – nalamang guilty ka – makukulong ka and babayaran mo
damage na cause mo
5. Quasi-Delicts
➢ These are acts or omissions that cause damage to another there being fault or negligence
but without any existing contractual relation between the parties. There is now an
obligation to pay for damages.
➢ also known as tort or culpa aquiliana
➢ “parang” crime
➢ ang meron sa crime na wala sa quasi-delict ay yung intent.
▪ wala kang intention na makasakit pero nakasakit ka pa rin.
▪ reason why nakapagcause ka ng harm is negligence.
▪ ex: may nasagasaan ka kasi nagmamadali ka, need mo bayaran yung fees niya sa
hospital.
 51011 – LAW ON OBLIGATIONS AND CONTRACTS
MODULE 1: EPISODE 2

Nature and Effect of Obligations

Article 1163

➢ Every person obliged to give something is also obliged to take care of it with the proper
diligence of a good father or a family, unless the law or the stipulation of parties
requires another standard of care.
➢ to give something: isang specific object.
➢ ex: nagtitinda ka ng mga pets, may bumili sayo ng isang specific na aso and next week pa
idedeliver, hindi porket bayad ka na, papabayaan mo na lang yung aso. need mo pa rin
alagaan.
➢ unless may mas mataas pang standard of care na gusto ng batas
▪ contract of carriage
o ex: transportation; extraordinary diligence since buhay mo nakasalalay.
mula sa pinanggalingan, obligation ng driver na maihatid ka nang safe.

Determinate/Specific Thing vs. Generic Thing

➢ A thing is considered to be a determinate if it is particularly designated and physically

segregated from all other objects of the same class.
➢ A generic thing is identified only by its specie. The debtor can give anything of the same
class as long as it is of the same kind.
Example:
o bibigyan kita ng car – generic kasi anong klaseng car ba?
o bibigyan kita ng car na Toyota Vios with a plate number of ABC 1234 –
specific
▪ kahit di pangalanan basta sure na ayon yung tinutukoy, specific yon.
Example:
o I will give you a ballpen – general
o I will give you the ballpen I am holding – specific
➢ ang kailangan mo lang alagaan like with the proper diligence of a good father to his family
ay specific thing lamang.

Example:

o I will give you a dog – hindi necessary na alagaan mo nang sobra yung
ibibigay mo kasi pag namatay madami ka pa pwedeng ipalit na aso
therefore nagampanan mo pa rin duty mo kasi may naibigay ka pa rin.
o I will give you my dog named Casper – alagaan mo mabuti kasi nag-iisa lang
si Casper hindi mo siya pwedeng palitan at iba ibigay sa kausap mo.
➢ this is a concept called genus nunquam perit (genus never perishes)
What are the obligations of a debtor obliged to give a determinate thing?

1. To take good care of the thing with the diligence of a good father of a family unless the
law or agreement of the parties requires another standard of care.
2. To deliver the thing.
▪ delivery ng object is what transfers ownership
▪ hindi pagbabayad ang nakakapagpalipat ng ownership. delivery is.
3. To deliver the fruits of the thing.

Kinds of Fruits
➢ Natural Fruits
➢ they are the spontaneous products of the soil and the young and other products of
animals
➢ mga halaman na tumubo na lang na di kailangan ng tao (damong ligaw) at mga anak
ng hayop
➢ Industrial Fruits
➢ they refer to those produced by land of any king through cultivation or labor
➢ palay, mais, tabako

Question: What is the classification of a puppy na pinanganak with the help of the vet?
Answer: Natural fruit pa rin kasi product of animals siya.

➢ Civil Fruits
➢ they refer to fruits that are the result of a juridical relation
➢ ex: interest income na fruit ng loan, rent income na fruit ng pinapa-rent na building
➢ tubo mula sa property

Article 1164
➢ The creditor has a right to the fruits of the thing from the time the obligation to deliver it
arises. However, he shall acquire no real right over it until the same has been delivered to
him.
➢ Sa isang contract of sale, and creditor ay buyer at and debtor ang seller kasi siya yung may
obligation to deliver the object

Illustration:
▪ On August 1, Mr. A promised to give a specific dog to Mr. B. Based on their
agreement, the dog should be delivered to Mr. B on August 15. Unfortunately, the
dog was only delivered on August 31. Unknown to Mr. B, the dog gave birth to 3
puppies on August 21.
Question:
▪ Who should be entitled to the three puppies?
 Answer:
▪ Mr.B. Kasi yung obligation to deliver it ay nag-arise nung Aug. 15 kahit doon pa
nanganak yung dog kay Mr. A. Bakit ganon? Kasi hindi nagging diligent like a father
of a family si Mr. A kasi di niya nadeliver on time yung dog.
▪ Pero if yung dog ay nanganak ng August 10, kay Mr. A yon kasi sa August 15 pa
naman yung date na i-dedeliver yung aso.
Question:
▪ What if walang stated date as to when idedeliver yung dog?
Answer:
▪ For example, if sinabi lang sa contract of sale na immediately need na ideliver, and
di mo agad na-ideliver, sa buyer pa rin yon (Mr.B).

Personal Right vs. Real Right

▪ Personal right is the right to demand from another, the fulfillment of the latter’s
obligation to give, to do or not do.
o For example, about sa dog, hangga’t hindi pa narereceive (naidedeliver ni
seller kay buyer yung specific dog), personal right lang siya.
o Wala pang karapatan si buyer doon sa aso since di pa nai-dedeliver sa
kanya. Ownership is acquired only through delivery.
o Walang karapatan si buyer sa aso. Personal right lang karapatan niya which
is yung pangungulit kay seller na ideliver yung aso.

▪ Real right or interest of a person over a specific thing, without a definitive passive
subject against whom the right may be personally enforced. It is binding against
the whole world.
o Nagkakaron ka lang nito pag nadeliver na yung aso.
o Pwede mo na ilaban since ikaw na owner nung aso. Pag nanakaw pwede
mo kasuhan nagnakaw kasi may real right ka na.

Ownership over properties are acquired and transmitted by delivery.

Article 1166
➢ The obligation to give a determinate thing includes that of delivering all its accessions and
accessories even though they have not been mentioned.

Accessions vs Accessories
▪ To deliver its accessions and accessories even if they have not been mentioned.
▪ Automatic na need madeliver tong dalawa bukod sa fruits kahit hindi nasabi sa
contract or problem.
o Accessions
- They are everything that is incorporated or attached to a thing, either
naturally or artificially.
 -ex: Kapag bumili ka ng lupa sa province, may possibility na yung binili
mong lupa is may nakatanim nap uno ng manga. Hindi kasama sa
contract na may kasamang ganon pero need siya na ideliver. Yung
puno ng manga is an accession.
- Yung puno is hindi lang masasamang ideliver if naka-state sa
contract niyo na hindi kasama yung puno.
- Kasama pa rin siya kahit hindi mentioned kasi accession nga.
o Accessories
- Those joined to or included with the principal thing for the latter’s
better use, perfection or enjoyment.
- May principal thing
- ex: Wristwatch. Ang principal thing ay yung watch and ang
maituturing na accessory is yung strap kasi di mo naman magagamit
nang matino yung watch kung walang strap.
- Kahit walang nabanggit na may inclusion na strap sa inorder mong
wristwatch, automatic na kasama dapat yung strap.

Ano pinaka-difference ng accession and accessory in simple words?

➢ Ang accession pag tinanggal mo sa subject matter, hindi maaapektuhan yung subject
matter while ang accessory, pag tinanggal mo sa principal thing, di na magfu-function
nang maayos.

Remedies of the creditor

Real Obligations

➢ If the debtor fails to perform his obligation to deliver a determinate thing:

▪ To compel the debtor to make a delivery (pilitin to make the delivery kasi di ka na
makakahanap nitong specific thing sa ibang tao; Casper the dog)
▪ To demand damages from debtor
➢ If the debtor fails to perform his obligation to deliver a generic thing:
▪ To ask that the obligation be complied with at the expense of the debtor ( kausapin
pero pag ayaw talaga, pwedeng sa iba ka na bumili pero dapat yung gastos mo
don sasagutin ni seller) (i-compensate)
▪ To demand damages from the debtor

Personal Obligations

➢ If the debtor fails to perform his obligations to do:

▪ If the debtor fails to perform the obligation or performs it but contravenes the
tenor thereof, the creditor may have the obligation executed at the expense of the
debtor or he may also demand damages from the debtor
o hindi mo pwedeng pilitin if ayaw niya kasi may law about involuntary
certitude
 ▪ If the debtor performs the obligation but does it poorly, the creditor may have the
same be undone at debtor’s expense or he may also demand damages from the
debtor.
➢ If the debtor does what has been forbidden him (not do):
▪ The creditor may demand that what has been done be
▪ He may also demand damages from the debtor

CA51011 – LAW ON OBLIGATIONS AND CONTRACTS

MODULE 1: EPISODE 3

Grounds for liability to pay damages:

Article 1170
➢ Those who are in the performance of their obligations are guilty of fraud, negligence, or delay
and those who in any manner contravene the tenor thereof, are liable for damages.

Damages vis-à-vis Injury

➢ Damages refer to the harm done or the sum of money that may be recovered in
preparation for the harm done.
- sum of money na makukuha mo kapalit nung perwisyo sayo.
- pwede gamitin para tukuyin yung harm done
- for example, nasunog bahay niyo because of arson, nadamage yon so
tumutukoy siya sa pinsala dahil sa ginawa ng ibang tao
➢ Injury refers to the wrongful, unlawful or tortuous act which causes loss or harm to
another. It is the legal wrong to be redressed.
- mas focused sa karapatan mo na na-violate
** Pag may nasirang bagay/property, na-violate yung karapatan mo bilang may-ari.
** May bahay kang sinunog, nadamage yung bahay and na-injure yung karapatan mo bilang
owner.
What is the concept of “damnum absque injuria”?

➢ It means “damage without injury”.

➢ Ex: Squatter ka na nakatira sa lupa na hindi sa inyo at kukunin na ng may-ari yung
lupa, magkakaron ng damage yung bahay niyo pero walang injury kasi wala ka naman
karapatan don sa bahay since hindi mo lupa yon.
Kinds of Damages:
a. Actual/Compensatory Damages
- these refer to the pecuniary loss that was actually incurred by the plaintiff
(biktima). It includes the actual value of the loss suffered and profits not
realized.
- ex: nakaaksidente ka ng dumadaan. pag siya na-ospital, yung gastos niya sa
ospital yung actual damages kasi may actual na resibo yon (actual na gastos to
compensate sa nasira).
 - bago makahingi ng danyos yung biktima, need niya ng actual proof.
b. Moral Damages
- they include physical suffering, mental anguish, fright, serious anxiety,
besmirched reputation, wounded feeling, moral shock and social humiliation.
- madalas humihingi nito yung nakaranas ng krimen (abuse, rape, witness or
murder)
Question:
As an accountancy student, malamang naranasan mo na yung mga bagay mentioned
sa moral damages. Now, pwede mo ba i-sue yung UST for moral damages kasi
naramdaman mo yon?

Answer:
NO. Refer to damnum absque injuria. There is damage pero walang injury kasi
expected na yon sa course mo (mahihirapan, pressure, etc) and wala naming pumilit
sayo to take the course.

c. Nominal Damages
- damages awarded to a party whose right has been violated.
- pag hindi ganon kalaki damage and di na need malaman actual damages
- ex: pag nagkabanggaan and nagasgasan ng onti, di mo na dadalhin sa pulis
and makikipag-areglo na lang and tantyahin yung damages.
d. Temperate or Moderate Damages
- they are more than nominal but less than actual damages. The court may award
temperate damages if the court finds some pecuniary loss has been suffered
but its amount cannot, from the nature of the case, be proved with certainty.
e. Liquidated Damages
- damages agreed upon the parties to a contract, to be paid in case of breach.
- hindi na kailangan i-prove na yung effect sayo is nagkakahalaga ng XXX kasi
naka-indicate na yon sa contract.
f. Exemplary or Corrective Damages
- these are imposed by way of example or correction for public good, in addition
to the moral, temperate, liquidated or compensatory damages.
- gumagawa ng karumal-dumal na krimen.
- additional sa moral damage usually to serve as a warning to the public na wag
pamarisan ang ginawang kamalian.

Source of Damages:
1. Fraud
➢ is the deliberate or intentional evasion by the debtor of the normal compliance of his
obligation. (Article 1170).
➢ Article 1170
- refers to fraud committed by the debtor at the time of the performance of the
obligation.
 ➢ Article 1338 – 1344
- refers to fraud employed in obtaining consent.
- nauuna to since bago magkaroon ng contract, pwede na magkaraoon ng
lokohan.

Kinds of Fraud:
A. Fraud in obtaining consent
a. Causal Fraud or Dolo Causante
- Fraud of a serious kind, without which, consent would not have been
given. It renders the contract voidable for it is a defect in one of the
essential elements of a contract, “consent”.
- fraud ang dahilan para makuha yung consent.
- kung wala yung panloloko, wala yung consent.
- ex: bibili ka alak kaso wala sa tindahan. hindi sinabi ng tindera na wala
kaya ang ibinigay niya sayo is suka kasi gusto niya makabenta. nakuha
niya consent mo kasi di ka aware.
b. Incidental Fraud or Dolo Incidente
- this refers to fraud without which consent would have been still given
but the person giving such consent would have agreed on different
terms. It would not render the contact void but the party committing
the fraud shall be liable for damages.
- ex: bibili ka ng alak so sabi mo ate pabili ng alak. merong alak yung
tindera. tinanong mo kung magkano tapos sabi niya 10k yung alak.
tinanong mo why mahal then response niya is 20 years old na yung alak
(nag-age na). dahil inom na inom ka na, binili mo pero in reality, hindi
siya 20 years old na alak but 2 months old lang. may panloloko na
naganap.
- may panloloko pero kahit may panloloko, may consent mo.
Question:
Bibili ka pa rin ba ng alak kahit sinabi nung tinder ana 2 months old lang yung
alak?

Answer:
YES. Kasi bibili ka pa rin naman ng alak pero hindi sa halagang 10k. Papayag
ka pa rin bayaran pero on different terms. Now, the contract is still valid;
however, liable si seller sa damages. Assume na 500 lang ang supposed worth
nung alak, need niya to return yung 9.5k mo.

B. Fraud in the performance of the obligation

➢ This is the deliberate act of evading fulfillment of an obligation in a normal
manner. The party committing fraud shall be liable for the damages.
➢ Di ka naloko sa pagkuha ng consent pero nung i-peperform na doon ka niloko.
 ➢ Ex: Bumili ka ulit ng alak kay tindera at siningil ka na niya ng tama. Walang fraud
sa paghingi ng consent mo. Bago ka umuwi, naki-cr ka muna kay tindera.
Ngayon, na-curious siya sa lasa nung alak kaya tinikman niya. Nabawasan niya
yung alak so ang ginawa niya para di mo mapansin, nilagyan niya tubig.
Panloloko yon.

Rules in waiver of Fraud:

➢ patatawarin mo or i-wawaive mo yung karapatang maghabol sa ginawang panloloko
sayo.
➢ Past Fraud or fraud committed in the past can be waived. Such act is considered
as liberality on the part of the creditor.
- klase ng fraud na pwedeng patawarin since past na.

➢ Future Fraud or fraud still to be committed cannot be waived even if there is an

agreement to the effect. Such stipulation is void for being contrary to public policy.
- ex: kapag niloko ka jowa mo and nangyari yung panloloko nung isang lingo,
pwede mo siya patawarin kasi past fraud na. pero ang hindi pwede
patawarin ay pag sinabi niya na dahil pinatawad mo na siya, magccheat siya.
kapal ng mukha.
- magiging prone to abuse kaya di pwede i-waive.

2. Negligence

➢ Negligence is the omission of that diligence which is required by the nature of the
obligation and corresponds with the circumstance of the person, of the time, and
of the place. It is the failure to observe the required degree of care, precaution and
vigilance that the circumstances justly demand.
- depende dyan sa nakabold.
- ex: pwede ka matulog pero if ikaw ay isang security guard, bawal habang duty.
➢ Diligence to be observed
- if the law or contract does not state the diligence which is to be observed in the
performance of the obligation, the debtor must observe the diligence of a
good father of a family, as required by the nature of the obligation and which
corresponds with the circumstances of the person, of the time, or of the place.

Kinds of Negligence:
➢ Culpa Contractual
- negligence in the performance of a contract. It supposes a preexisting
contractual relationship between the parties. This is negligence in the
performance of the obligation arising from a contract results to damages.
- ex: contract of carriage (obligation of the drivers to bring u home safe and
sound)
 ➢ Culpa Aquiliana
- (civil negligence, or tort or quasi-delict or culpa extra contractual)
- this is quasi delict where the negligence itself is the independent source of the
obligation
- ex: pag may nasagasaan ka na dumadaan w/out intent
➢ Culpa Criminal (Criminal Negligence)
- this is negligence that results in the commission of a crime.
- w/intent.

3. Delay or Default or Mora

➢ Delay is the non-fulfillment of an obligation with respect to time or delay in the

fulfillment of an obligation, contrary to what was agreed upon.
➢ Kinds:
o Mora Solvendi – delay on part of the debtor (pag lagpas na deadline)
o Mora Accipiendi – delay on the part of the creditor. It exists when the
creditor unjustly refuses to accept the thing
o ikaw na binabayaran pero ayaw mo pa tanggapin kasi gusto mo
pa tumakbo yung interest pero bawal to kapag due date na.
o due date = required to accept; di pa due date = di pa required
o Compensatio Morae – delay in reciprocal obligations, both parties are
in default. It is as if there is no delay. (nag-ooffset)

When is there (legal) delay?

➢ As a rule, the debtor incurs delay from the time the creditor demands fulfillment of
the obligation (either judicially or extra-judicially) and the debtor fails to comply with
such demand. Hence, no demand, no delay.

- ordinary delay: pag lagpas na ng due date (ex: dec 31 due date tas jan 1 di pa
bayad)
- legal delay: nagbigay ka konting palugit tas jan 5 tumawag ka and nagdemand
na ng payment pero wala pa rin, may legal delay. if computin tax, interest etc,
sa jan 5 na magsimula not jan 1 kasi jan 5 ka nagdemand ng payment.

Exceptions to the no demand, no delay rule:

When the law or the obligation so provides

➢ When there is an express provision of the law or stipulation by the parties that there
is no need for a demand for the performance of the obligation
➢ ex: pagbabayad ng buwis. April 15 ka dapat nagbabayad. Hindi ka na need
paalalahanan kasi automatic na yan (without the need of demand). By April 16, in legal
delay ka na.
 When the time is of the essence of the contract:
➢ When the designation of the time for the performance of the obligation is the
controlling motive for the establishment of the obligation
➢ ex: nagpagawa ka gown for Aug 21. By Aug 21, wala pa rin dumadating. Di mo na
need magdemand kasi alam na nung pinagawaan mo nung gown na nung Aug 21
need mo na yon.

When demand would be useless as when the obligor has rendered it beyond his power
to reform:
➢ In reciprocal obligations, from the moment one of the parties fulfills his obligation,
delay by other begins notwithstanding the absence of a demand.
➢ ex: nalaman mo na yung seller na bibilhan mo ng isang specific na aso, binenta niya
sa iba. once na ginawa niya yon, no need to demand kasi wala ng sense since nabenta
na niya. dito na agad magstart yung legal delay.

Effects of Delay:
On the part of the debtor:
▪ The debtor shall be liable for the payment of damages
▪ If the obligation consists in the delivery of a determinate thing, he shall be liable even
if the thing is lost due to a fortuitous event
o kapag nasira o namatay ang isang subject matter due to an unforeseen
(fortuitous) event, mawawala liability nung seller pero if siya ay nasa legal delay
na, hindi na matatanggal yung liability niya.

On the part of the creditor:

▪ He shall bear the risk of loss and shall shoulder the expenses for the preservation of
the thing.
o ex: if Sept 1 mo na dapat marereceive yung aso at ayaw mo pa tanggapin, ikaw
na magiging liable sa mangyayari at expenses nung aso from sept 1 onwards
▪ The debtor may resort to the consignation of the thing due.
o consign = court
 CA51011 – LAW ON OBLIGATIONS AND CONTRACTS
MODULE 1: EPISODE 4

Fortuitous Events
Article 1174
➢ Except in cases expressly specified by the law, or when it is otherwise declared by stipulation,
or when the nature of the obligation requires the assumption of risk, no person shall be
responsible for those events which could not be foreseen, or which, though foreseen were
inevitable.
➢ These are events that could not be foreseen or which, though foreseen are inevitable.
It is not enough that the event should not been foreseen or anticipated, but it must
be one impossible to foresee or avoid.

Requisites of fortuitous event to be accepted as a justification for the non-performance of

an obligation to deliver a determinate thing:
➢ The cause must be independent of the debtor’s will
➢ There must be impossibility of foreseeing the event or if it can be foreseen, it must be
impossible to avoid
➢ The occurrence must be of such magnitude as to render it impossible for the debtor
to perform his obligation
➢ The debtor must be free from participation in the non-performance, damage or loss
of the property brought about by the fortuitous event

General Rule: If the foregoing requisites are present in a case, then the debtor shall not be
liable for non-performance of the obligation due to a fortuitous event. His obligation is
extinguished:
➢ Exceptions:
- When the debtor is in delay
o legal delay to (held accountable ka pa rin if for example namatay yung
aso na you failed to deliver ng said date)
- When the debtor promised the same thing to two or more persons who do not
have the same interest
o ex: yung seller ng aso, naipangako mo na ibigay sa dalawang buyer yung
isang specific na tao kasi may hindi mabibigyan nung aso
o magiging liable ka don sa isang buyer kasi may damage
- When the parties stipulate or agree that the debtor will not be exempted from
liability even if non-performance of the obligation is due to a fortuitous event
o may agreement sila na liable parin kahit may unforeseen event
- When the nature of obligation requires the assumption of risk
o ex: insurance company
o since nagbayad ka for insurance, obligation nila yung nasira due to
fortuitous event
- When the thing to be delivered is generic.
o genus never perishes “genus nunquam perit”
Article 1175. Usurious transactions shall be governed by special laws.
➢ Usury (limit) is contracting for or receiving interest in excess of the amount allowed by law
for the loan or use of money, goods, chattels or credits.
➢ Usury is now legally non-existent. Parties are now free to stipulate any amount of interest.
This is due to Central Bank Circular that took No. 905 that took effect on January 1, 1983.
➢ It does not however, give absolute right to the creditor to charge the debtor interest
that is “iniquitous or unconscionable”.
- pero bawal yung sobrang taas na interest (yung naka “”)
- walang limit pero wag abusado sis
➢ Dati may limit lang kung gaano kalaki pwede utangin pero ngayon wala na dahil dyan
sa Central Bank Circular 905.

Article 1176. Presumptions on receipt of principal and installment payments.

➢ The receipt of the principal without reservation as to interest, shall give rise to the
presumption that the interest has been paid.
▪ Ex: pinautang kita 1k and napag-usapan natin na after 1 year, dapat 1.1k na to. kaso
nung magbabayad ka na ang iaabot mo lang sakin ay 1k. kulang ng 100.
▪ pag tinanggap mo yung 1k, ang proper na pagreresibo ditto ay 900 bayad sa principal
and 100 is for interest. hindi mo pwedeng sabihin na yung 1k is for principal lamang
kasi may mag-aarise na presumption na tinanggap mo na 1k na lang bayad niya.
➢ The receipt of a later installment without reservation as to prior installments, shall give rise
to the presumption that prior installments have been paid.
▪ Ex: May utang sayo fren mo sa rent ng 3 buwan – Jan. Feb and March. 5k each month.
Nung nakasalubong mo siya, ang dala lang niyang money ay 5k. Now pano ka
magreresibo? Saang bwan mo ilalagay na paid na siya 5k?
o Sa January. Kasi pag nilagay mo sa March, magkakaron ng presumption na
paid na siya in full.

The foregoing are mere disputable presumptions (not conclusive, pwede kontrahin) and the
creditor may rebut such with clear and convincing evidence to the contrary.
▪ Abala sayo kasi pabaya ka sa paggawa ng resibo.
▪ If mapilit talaga na 1k bayad sa principal, ilagay mo sa resibo na the 100 pesos is not
yet paid.

Article 1177. Different remedies of the creditor to enforce payment of his claims against the
debtor.
➢ ano pwede gawin ng creditor para makasingil.

a. Specific performance
- Exact fulfillment of the obligation by specific or substitute performance with a
right to damages in either case
 - Fille a collection case (kaso) para judge na mag-iindicate na magbayad debtor
sayo
b. Attachment
- Purse the property in the possession of the debtor, except those exempt by the
law.
- Hihilahin ng court yung properties ng debtor mo para mabayaran ka pero
bawal kunin family home niya unless nakasanla, hanapbuhay yung mga
kalabaw etc, damit etc
c. Accion subrogatoria
- To be subrogated to all the rights and actions of the debtor save those which
are inherent in his person
- Ex: May pautang ka ka kay Mr. A and di siya makapagbayad sayo. Si Mr. A
naman may pautang kay Mr. B. Para makasingil ka pwede ka mag-appeal sa
court na instead na magpay si Mr. B kay Mr. A (garnishment), sayo magpapay
si Mr. B ng utang niya kay A.
d. Accion pauliana
- Asking the court to rescind or to impugn all the acts which the debtor may
done to defraud the creditors
- mga ginawang panloloko nung debtor para maiwas sa pagbabayad. pwede i-
cancel ng court yung mga ginawa ng debtor na contract para maloko ka
- gamitin muna yung a,b,c bago gamitin to kasi may maaapektuhan na 3rd person
ditto.

Relativity of Contracts
➢ A contract can only bind the parties who had entered into it or their successors who have
assumed their personality or their juridical position and that, as a consequence, such contract
can neither favor nor prejudice a third person.
➢ Ang maaapektuhan lang ng kontrata ay kung sino ang nakapirma.
➢ Hindi pwede manahin ang utang ng ibang tao (ex: lolo mo madami utang, ayon namana mo
sakanya)
➢ Pwede zero but not negative.

Exceptions are intransmissible rights and obligations:

▪ By their nature as when the special or personal qualifications of the obligor
constitutes one of the principal motives for the establishment of the contract
▪ By stipulation of the parties, as when the contract expressly provides that the
obligor shall perform an act by himself and not through another
▪ By provision of law, as in the case of those arising from a contract of partnership
or of agency.
• ex: May partnership si A and B. Namatay si A. Hindi niya pwede ilipat
yung partnership ni A sa anak niya or sa ibang tao.
 CA51011 – LAW ON OBLIGATIONS AND CONTRACTS
MODULE 2: EPISODE 1

Kinds of Obligations:
1. Pure Obligation
➢ it is one without a term or condition and is demandable immediately.
▪ Article 1179
o Every obligation whose performance does not depend upon a future or
uncertain event or upon a past event unknown to the parties is demandable
at once.
o Example: Sinabi ko sayo na bibigyan kita ng 20k. Ito ay isang pure
obligation: walang kailangang masunod na condition, walang hinihintay na
period of time na dumaan muna.
o Kailan mo ako pwede hingian ng 20k? Immediately Demandable.
2. Conditional Obligation
➢ it is an obligation where its demandability or creation depends on the fulfilment of a
condition.

Classification of Conditions:
a. Suspensive (major)
- a condition where the happening of which will give rise to the obligation, also
known as condition antecedent or condition precedent.
- eto yung mga condition na kapag nangyari na, dito pa ang magkakaron ng
obligation yung nangako.
- ex: sinabi ko sayo na bibigyan kita ng 20k kung makapasa ka ng CPALE. suspensive
condition to kasi yung obligation to give 20k is nakadepende pa sa condition.
- nakadepende kung papasa ka o hindi. if hindi nakapasa, wala akong 20k na ibibigay
sayo.
b. Resolutory (major)
- a condition where the happening of which extinguishes the obligation, also known
as condition subsequent. The obligation is demandable immediately but shall be
extinguished upon the happening of the resolutory condition.
- kabaligtaran ng suspensive.
- pag natupad na yung resulotory condition, titigil na yung obligation ko sayo.
- ex: sinabi ko sayo: “anak, bibigyan kita ng sustento na 5k a month hanggat hindi
ka pa nakakapagtapos ng college.”
- resolutory condition kasi nakadepende kung titigil na yung obligation ko sayo to
give 5k a month if makakatapos ka ng college.
- so, if hindi nakatapos anak mo ng college bibigay ka pa rin 5k a month.
- kalian ako pwede kulitin ng anak ko na bigyan siya ng 5k a month? Demandable
Immediately.
NOTE: Ang isang condition it must be both a future and uncertain event. Pag future and certain kasi
period na yon.

c. Potestative
- a condition that depends upon the will of one of the contracting parties.
▪ Article 1182
o When the fulfillment of a condition depends upon the sole will of the
debtor, the conditional obligation shall be void.
▪ sa isang potestative, di sinasabi if nakadepende sa will of the debtor or credtor.
either of the two.
▪ mavovoid lang if sa will ng debtor.
▪ ex: Bibigyan kita ng 20k pesos kapag gusto ko na. Nakadepende to sa will ng
debtor or ikaw since ikaw yung magbibigay.
▪ Purely potestative condition – will of the debtor. eto yung bawal and void kasi
yung example posibleng hindi magkatotoo. there is a risk na hindi magg-arise
yung obligation.
▪ allowed yung sa will of the creditor. example: bibigyan kita ng 20k kapag gusto mo
na.
d. Casual
- a condition that depends upon chance or upon the will of a third person.
- ex: bibigayan kita ng 20k kapag nagchampion and Los Angeles Lakers.
Nakadepende to sa chance kasi pwede silang matalo and if Manalo man sila
walang assurance na sila yung magcchamp.
- pwede rin upon the will of a third person.
- another example: bibigyan kita ng 20k if sasagutin ka ng nililigawan mo.
nakadepende sa will nung nililigawan mo (3rd person) if sasagutin ka niya. walang
assurance. pag sinagot ka dun mag-aarise obligation ko sayo.
e. Mixed
- a condition that depends partly upon the will of one of the parties and partly upon
the will of a third person.
- ex: bibigyan kita ng 20k kapag nag-apply ka sa SGV at natanggap ka. dalawang
requirement to. nakadepende upon the will of the parties, nakadepende sayo kung
mag-aaply ka and partly upaon chance since nakadepende sa SGV if hire ka nila.
f. Possible (ditto magstart sa slide mga iba pang klase ng condition)
- one that is capable of fulfilment by nature or law.
- ex: bigyan kita 20k pag natapos mo basahin pag natapos mo oblicon na book.
possible mo yon magawa.
g. Impossible
- one that is not capable of fulfilment in its nature, or impossible in law; the effect
would be to nullify both the condition and the obligation.
- two types: impossible by nature and impossible in law
 - impossible by nature: bibigayan kita 20k if nakapagdunk ka mula sa half court
line. Malabo kasi masyadony malayo. pag ganto, walang bias yung pangako kasi
hindi naman talaga kaya.
- impossible by law: bibigyan kita 20k if papatayin mo kaaway ko. kahit possible to
if let’s say na mamamatay tao ka, impossible siya sa mata ng batas kasi bawal ka
pumatay.
- null and void yang mga yan.
h. Positive
- a condition that is supposed to happen or occur something that must be done.
- ex: bibigyan kita 20k if nilinis mo kwarto mo. positive to
i. Negative
- a condition characterized by an event not supposed to happen or something that
must not be done.
- ex: bibigyan kita 20k kapag di ka muna lalabas ng bahay this weekend. negative:
hindi mo dapat gawin. hindi ka dapat lalabas ng bahay, pag natupad yung
obligation

Article 1186. The condition shall be deemed fulfilled when the obligor voluntarily prevents its
fulfilment. (1119)

➢ ex: bibigyan kita 20k kapag sinagot ka na ng niniligawan mo na si Maria. ako yung debtor
na nangangako magbigay and ikaw creditor since ikaw makakatanggap. However, linggid
sa iyong kaalaman, pag wala ka na (creditor), sinisiraan kita kay Maria para maturn-off
sayo and hindi ka sagutin.
➢ Pag nalaman mo na sinisiraan kita kay Maria, the condition shall be deemed fulfilled and
ako na debtor ay magiging liable na sayo kasi ako ay voluntarily na nagpreprevent ng
fulfillment ng condition na ako rin ang nag establish.
➢ Kapag yung nangako at nagbigay ng condition is yung nagpreprevent nung fulfillment
nung condition, it is as if fulfilled na yung condition and liable na yung debtor sa
obligation.

Article 1189. Rules in case of loss, deterioration or improvement of determinate things before
the fulfilment of a suspensive condition.

➢ Ex ng suspensive condition: “Ibibigay ko sayo ang aking kotse na may plate number na
ABC123 kapag nakapasa ka sa October 2021 CPA Board Exam.”
➢ suspensive kasi need mo muna matupad.
➢ (500,000 yung worth ng kotse, 13 months pagitan from the time na nangako ako sayo to
the time na pwede mong matupad yung condition) madami pwede manyari sa 13 months
na yon.

When the conditions have been imposed with the intention of suspending the efficacy of
an obligation to give, the following rules shall be observed in case of the improvement,
loss or deterioration of the thing during the pendency of the condition:
• (1) if the thing is lost without the fault of the debtor, the obligation shall be extinguished;

▪ Ex.: “Habang hindi ka pa pumapasa, nasa akin pa rin yung kotse. Habang naka-park
yung kotse ko sa labas, tinamaan ng kidlat yung kotse at sumabog.”

▪ Question: Pagdating October 2021 at pumasa ka sa board exam, may obligation

pa ba ang debtor sayo na magbigay ng kotse?
▪ WALA NA kasi yung pinangakong kotse na may number na ABC123 (dapat
determinate thing) ay nasira nang walang kasalanan si debtor.

• (2) if the thing is lost through the fault of the debtor, he shall be obliged to pay damages, it
is understood that the thing is lost when it perishes, or goes out of commerce, or disappears
in such a way that its existence is unknown or it cannot be recovered;

▪ Ex. “Bibigyan kita ng kotse kapag pumasa ka sa Board Exam.” Ngunit habang
hinihintay na matupad yung condition, ginagamit siya at nabangga ang kotse at
nasira. Dumating yung October 2021, at pumasa ka.
▪ Question: Obligado pa rin ba ako sayo na magbigay ng kotse?
▪ YES, but hindi na yung mismong kotse dahil sa negligence ni debtor. Obliged na
si debtor na magpay ng damages.

Kinds of losses:
a. Physical Loss
▪ when a thing perishes as when a house is burned.
▪ Ex. nasira yung bahay, sumabog yung kotse
b. Legal Loss
▪ goes out of commerce
▪ there was a time na hindi naman bawal ang marijuana, naging bawal lang
siya nung may batas nang nagsasabi na kasama siya sa prohibited drugs.
Kaya nung pinagbawal na, it goes out of commerce, bawal na ibenta sa
market.
c. Civil Loss
▪ blue diamond sa Titanic ay inihagis sa dagat. Hindi siya physical loss dahil
hindi naman nasira o nadurog. Civil loss siya dahil nawala at wala nang
pwedeng makinabang because its existence is unknown or it cannot be
recovered. Alam naman nating nasa ilalim na ng dagat pero hindi na ganun
kadaling i-recover.

• (3) When the thing deteriorates without the fault of the debtor, the impairment is to be borne
by the creditor.

▪ Kapag ang PPE (kotse) ay ginagamit over a certain period of time, mag-depreciate
siya. Habang naghihintay sa October 2021, ginagamit yung kotse kasi if di
gagamitin ng 13 months, masisira baterya. From ₱500,000 naging ₱400,000 na
lang yung value ng kotse dahil nag-depreciate.
 ▪ Question: Pumasa ka sa October 2021 Board Exam, may obligation pa rin ba si
debtor sayo? YES
▪ Required ba ako mag-abono dahil nag-depreciate yung kotse or hayaan na lang
na tig-400,000 na lang yung value nung kotse, sino ang parang ng nawalan ng
₱100,000 na nag-depreciate? Ako ba ang mag-aabono or makuntento ka na dapat
sa halaga nung kotse?
▪ The impairment (100k) is to be borne by the creditor (ikaw). Dahil wala namang
kasalanan si debtor sa pagbaba ng value ng pinangako niyang bagay, wala nang
magagawa si creditor. Hindi pwedeng mag-abono si debtor, dahil kasama ang
pag-deteriorate sa risk na matagal ma-comply yung condition (13 months).

• (4) if it deteriorates through the fault of the debtor, the creditor may choose between the
rescission of the obligation and its fulfilment, with indemnity for damages in either case;

▪ Yung kotse may mga gasgas na dahil nabangga ni debtor, may choice si creditor
kung hindi niya na kukunin yung kotse (recission/ i-cancel na yung usapan pero
magbabayad si debtor ng damages) o kukunin niya yung kotse na may mga gasgas
pero liable pa rin si debtor for damages.

• (5) if the thing is improved by its nature, or by time, the improvement shall inure to the
benefit of the creditor;

▪ Habang hinihintay na matupad yung condition, biglang naging in demand yung

kotse (ex.naging collector’s item or uso). From ₱500,000 bigla naging ₱2,000,000
yung value. Walang ginawa si creditor at debtor pero tumaas yung value in time
▪ Question: Sino dapat ang makinabang sa increase na ₱1,500,000? It shall inure to
the benefit of the creditor. Si creditor na ang makikinabang sa pagtaas, hindi
pwedeng magbigay ng pera si creditor kay debtor dahil sa pagtaas ng value.
▪ Ito ay para maging fair doon sa number 3 since pag nagdepreciate, si creditor pa
rin ang malulugi.

• (6) if it is improved at the expense of the debtor, he shall have no other right than that
granted to the usufructuary.

▪ Usufruct - it is the right to use a certain property but at the same time hindi lang
basta use kais ang pagpapahiram or use lang ay commodatum. Hindi lang basta
gamit, sayo pa mapupunta yung fruits of the thing.
▪ Ex.: Pinahiram/pinatira mo sakin yung bahay niyo. (called commodatum/
pagpapahiram) Pero pagpinahiram mo yung bahay mo at pwede ko pa iparenta sa
iba para kumita ako ay tawag doon ay usufruct. Pinagamit mo na yung bahay at
yung fruits ay ako pa rin makikinabang.
▪ Ang tawag doon sa pinahiram mo ay usufructuary. Habang hindi ko pa binabalik
yung bahay (bagay na hiniram), pwede ko i-improve katulad ng pagpipintura at
 pagpapalagay ng divider. Sa dulo, kailan niyo iconsider kung mababawi niya pa
yung improvements na inilagay niya.
▪ Under the rule, yung mga improvements ma dahil sakin ay mapupunta na sa may-
ari, the only time na pwede kong tanggalin yung improvements ay kung yung mga
idinagdag ay pwede matagal nang hindi nasisira yung subject matter. Any
improvements na dinagdag ko o ako yung nagpagawa ay pwede ma off-set if ever
na may nasira ako or nadamage sa bahay.
▪ Yung pintura, hindi na mababawi dahil masisira yung walls.

▪ Ganon din ang karapatan ng debtor, same sa karapatan ng usufruct sa isang

usufructuary.
▪ Ex.: “Ibibigay ko yung kotse kong ABC123, kapag pumasa ka ng 2021 CPALE.”
Habang hinihintay yung condition, pinapinturahan at pinalagyan ko ng bagong
seat cover. Kapag pumasa ka na sa Board Exam (na-comply mo na yung suspensive
condition), anong karapatan ni debtor sa mga bago niyang idinagdag? Same lang
ng right na ibinibigay sa isang usurfructuary.
▪ Kapag may improvement na idinagdag ang isang usufructuary, pwede niyang
mauwi kung in the process of pagtanggal nito ay hindi masisira yung subject
matter. Ang pwede ko lang iuwi yung seat cover dahil pwede naman kalasin. Ang
benefit na lang ni debtor sa pagpintura sa kotse, kunyari nagasgasan niya yung
kotse habang ginagamit niya, pwedeng pang offset yon. Hindi niya na kailangan
bayaran nang buo yung damages sa pagkakagasgas, i-offset na lang sa gastos
dahil may bago namang pintura.

Article 1191. The power to rescind (cancel) obligations is implied in reciprocal ones, in case one
of the obligors should not comply with what is incumbent (pinangako) upon him.

➢ The injured party may choose between the fulfillment and the rescission of the obligation,
with the payment of damages in either case. He may also seek rescission, even after he
has chosen fulfillment, if the latter should become impossible
- Ex. ng reciprocal obligations: contract of sale (buyer and seller), buyer- obligation
magbayad, seller-kailangan magbigay ng product.
- Pwedeng i-cancel yung obligations pag reciprocal, just in case yung isang party ay
hindi na makapag-comply sa kanyang ipinangako. The injured party may choose
kung i-fulfill o i-cancel yung obligation, with the payment of damages.

Article 1192. In case both parties have committed a breach of the obligation, the liability of the
first infractor shall be equitably tempered by the courts. If it cannot be determined which of the
parties first violated the contract, the same shall be deemed extinguished, and each shall bear
his own damages.

➢ Ex.: contract of sale, yung seller na-delay sa pag-deliver. Iritado si buyer. Pero nung na-
deliver na, na-delay naman si buyer sa pagbabayad. Iritado si seller. May injury silang na-
 cause sa isa’t isa kaya liable sila for damages. Kung ano man ang liability ng first infractor
(seller), dahil na-delay yung pag-deliver, shall be equitably tempered by the courts. Medyo
babawasan yung magiging damages niya kay buyer dahil si buyer din ay may
pagkukulang.
➢ Kung hindi malaman kung sino unang nag-violate, i-ooffset na lang yung atraso niyo sa
isa’t isa and each shall bear his own damages.

CA51011 – LAW ON OBLIGATIONS AND CONTRACTS

MODULE 2: EPISODE 2

Obligations with a period

• An obligation with a period is one whose demandability or extinguishment depends on the
arrival of a period that is certain to come. If a condition is a future and uncertain event, a period
is a future and certain event.
➢ Parehas na future pero sa condition, walang assurance na mangyayari ang bagay na yon.
Sa period sure na mangyayari yon or darating yon.
➢ Ex.: Sure na darating ang December 1,2020
➢ Ex.: Kamatayan ng isang tao
➢ “Bibigyan kita ng ₱20,000 pag namatay na ang kapitbahay nyo.” obligation with a period,
hindi mo lang alam kelan ngunit mangyayari yon. mamamatay pa rin kapitbahay mo no
matter what.
➢ Hindi mo kailangan ma-pinpoint kung kailan mangyayari in the future, ang kailangan lang
ay sigurado na mangyayari yon.

Article 1180. When the debtor binds himself to pay when his means permit him to do so, the
obligation shall be deemed to be one with a period, subject to the provisions of article 1197.

➢ pag sinabi ng debtor na magbabayad siya ng kanyang utang when his means permit him
to do so, hindi ito considered a condition, but a period
➢ Terms for when his means permit him to do so: Little by little, as soon as possible, from
time to time, at any time I have the money
➢ Ex.: “I will pay you ₱5,000 when my means permit me to do so.” Babayaran kita kapag
kaya ko na
▪ one with a period kasi isa siyang future and certain event
▪ magkaiba yung magbabayad kapag gusto ko na (purely potestative (condition)
- void because it depends on the will of the debtor) sa kapag kaya ko na (hindi
pwedeng never niya kakayanin ng debtor, hindi physically possible na mangyari na
never niyang kayanin kasi ang isang tao hanggang siya ay nabubuhay, meron
siyang pag-asa na kayanin mabayaran ang utang) since pwede mamalimos,
magtrabaho etc.
▪ means permit me to do so = kapag kakayanin ko na
▪ kapag never dumating yung kaya ko na ibig sabihin patay ka na ok
Article 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 terminate
upon arrival of the day certain.

➢ “Babayaran ko yung utang ko ₱20,000 pagdating ng December 31,2020.” Kailangan

dumating muna yung period para magbayad ako.
• A day certain is understood to be that which must necessarily come, although it may not
be known when (ex: kamatayan ng tao). If the uncertainty consists in whether the day will
come or not, the obligation is conditional (hindi natin alam if sasagutin ka ng nililigawan mo),
and it shall be regulated by the rules of the preceding Section.
➢ Kamatayan ng tao (one with a period)

Kinds of Period:
1. Suspensive or Ex die
▪ a period with a suspensive effect or the obligation becomes demandable upon the
arrival of the period
o “Babayaran ko yung utang ko ₱20,000 pagdating ng December 31,2020.”
Kailan lang ako magkakaroon ng obligation magbigay ng ₱20,000?
Pagdumating na ang December 31,2020
o Pag dumating na yung period, magkakaroon ng obligation

2. Resolutory or In diem
- a period with a resolutory effect. Here the obligation is demandable upon
perfection but is extinguished upon the lapse of the period
o “Bibigyan kita ng allowance buwan-buwan hanggang ikaw ay mag 18 years
old.” Pag naging 18 years old ka na, doon na titigil ang obligation sayo na
magbigay ng allowance sayo.
o Pag dumating na yung period, mawawala o titigil yung obligation

Article 1194. In case of loss, deterioration or improvement of the thing before the arrival of the
day certain, the rules in article 1189 shall be observed.

➢ Habang hinihintay na dumating yung period, maraming pwedeng mangyari doon sa

ipinangakong subject matter. (Same rules sa condition)

Article 1195. Anything paid or delivered before the arrival of the period, the obligor being
unaware of the period or believing that the obligation has become due and demandable, may be
recovered, with the fruits and interests.

➢ Pag akala nung nagbabayad na dapat na siyang magbayad, pero hindi pa pala - Concept
of solutio indebiti (payment by mistake), pwede mo pang mabawi yung ibinayad mo
including fruits and interests.
➢ Pag napaaga ng bayad pero due date na ng obligation, hindi mo na pwedeng mabawi
yung principal mo pero yung fruits and interest pwede pang mabawi.
Article 1196. Whenever in an obligation, a period is designated, it is presumed to have been
established for the benefit of both the creditor and the debtor, unless from the tenor of the same
or other circumstances it should appear that the period has been established in favor of one or
of the other.
➢ Pag nagset ng period yung creditor and debtor, pag generic ang pagkakasabi ng period,
it is presumed to have been established for the benefit of both the creditor and the debtor
➢ Ex.: pag pinautang mo ako ng ₱20,000 “The ₱20,000 is to be paid on December 31,2020”
liability is payable on Dec. 31,2020

o Yung date na Dec 31,2020 ay na-establish para sa benefit nating dalawa

o Ako yung umutang sayo, hindi mo ako pwedeng pilitin na magbayad nang mas
maaga sa December 31,2020. Hindi rin kita pwedeng pilitin na tanggapin yung
bayad ko nang mas maaga.
o Question: Pwede ba natin pilitin ang isa’t isa (creditor & debtor) na gawin ang mga
dapat natin obligation kahit hindi pa dumarating yung usapang period? NO, dahil
nung sinet-up yung December 31,2020, the presumption is that gagamitin ko (ako
na umutang) yung pera hanggang December 31,2020. Kaya ikaw na nagpautang
sakin, hindi mo pwedeng pilitin nang mas maaga na magbayad ako
o hindi natin pwede magpilit to pay pero pwede naman voluntary.

➢ unless from the tenor of the same or other circumstances it should appear that the period
has been established in favor of one or of the other
o Ex. “Uutang ako sayo ng ₱20,000 payable on or before December 31,2020” - Pag
ganito yung wordings, ang presumption is that the period has been established in
favor of the debtor.
▪ Pag payable on or before, ang presumption ay ikaw na umuutang, pwede
akong magbayad ng Dec. 31,2020 sasagarin ko, pero ikaw pwede kitang
pilitin na tumanggap ng bayad nang mas maaga kasi ang sasabihin ko
covered iyon ng “on or before”
▪ Hindi pwede silingin ng creditor na magbayad nang mas maaga, unless
gusto rin ng debtor. Pag siningil mo ako nang mas maaga at ayaw ko, ang
sasabihin ko sayong option ay yung magbabayad ako ON December
31,2020.
▪ may option si debtor kasi in favor sa kanya yung wording.

o Ex.: “collectible on or before December 31,2020” - the period was established for
the benefit of the creditor
▪ pwedeng sagarin ng creditor on December 31,2020 para ma-maximize yung
kita niya. Pero hindi mo siyang pwedeng awayin pag nangolekta siya before
December 31 dahil sa “before Dec.31” kaya ang presumption is the period
has been established in favor of the creditor
 Instances when the court may fix a period:

1. If the obligation does not fix a period but from its nature and circumstances, it can be
inferred but a period was intended.
2. When the duration of the period depends upon the will of the debtor.
o Obligation na babayaran when my means permit me to do so (kapag kaya
na ng debtor)
o May period talaga sadyang hindi lang talaga alam kung kailan yung kaya
niya na, ang korte na ang nag-ddecide kung kaya na ba talaga ni debtor,
korte na yung mag-set ng period.

Article 1198. The debtor shall lose every right to make use of the period:

1. When after the obligation has been contracted, he becomes insolvent, unless he gives a
guaranty or security for the debt;

➢ Pag nabalitaan mo na yung debtor ay naging insolvent - personal liability niya ay mas
marami na sa kanyang assets, nawawala yung binibigay mo sakin na period. Hindi ko na
pwedeng i-stretch out yung aking utang hanggang Dec. 31,2020, bigla-bigla yung liability
ko sayo magiging due and demandable immediately (mawawala na period). (Desisyon
ng batas para sa protection ng creditor) kung hihintayin pa ang Dec. 31,2020 baka wala
nang natira sa assets ng debtor.
➢ pag insolvent doesn’t necessarily means zero, di lang sapat assets mo to settle a liability
➢ Unless the debtor (nangutang) gives a guaranty or security for the debt: additional
collateral that would give him the benefit to make use of the given period

2. When he does not furnish to the creditor the guaranties or securities which he has promised;

➢ Uutang ka babayaran mo Dec. 31,2020 sasangla mo raw yung lupa o kotse mo, pero hindi
mo naman iniwan. Hindi ka tumutupad sa ipinangako mo, wala na yung period na binigay
sayo, magiging due and demandable agad yung utang.
➢ In short kapag guarantee, need may iwanan.

3. When by his own acts he has impaired said guaranties or securities after their establishment, and
when through a fortuitous event they disappear, unless he immediately gives new ones equally
satisfactory;

➢ Nangako si debtor na isasangla kotse tapos porket nakasangla na yung kotse hindi na
niya inaalagaan. Pag nalaman ito ng creditor, pwede niyang gamitin na valid reason ito
para baliwalain niya na yung period and kolektahin yung utang

4. When the debtor violates any undertaking, in consideration of which the creditor agreed to the
period;
 ➢ Pauutangin kita ng ₱20,000 babayaran ng Dec. 31,2020 as long as hindi ka pupunta ng
casino para ipangsugal yung pera. Ngunit biglang napabalita na nagsusugal ka na sa
casino, yung creditor hindi niya na hihintayin yung period, kokolektahin niya na yung
perang inutang mo dahil baka mas lalong hindi siya makasingil.

5. When the debtor attempts to abscond

➢ Abscond - pagtakas (pupunta ng ibang lugar para hindi na masingil) magiging due and
demandable na agad yung utang mo dahil nag-try ka nang takbuhin yung utang mo.

CA51011 – LAW ON OBLIGATIONS AND CONTRACTS

MODULE 2: EPISODE 3

Kinds of Obligation According to Object:

a. Simple Obligation – where one prestation is due
b. Compound Obligation – where two or more prestations are due.
• Conjunctive - don sa maraming kailangan ibigay, kailangan mo ibigay lahat (all of them
are due)
• Distributive - one where two or more of the prestations is due, hindi lahat kailangan
mong ibigay unlike sa conjuctive na lahat
▪ Alternative obligations - one where several prestations are due but the
performance of one of them is sufficient
▪ Facultative obligations - one where one prestation is due but the debtor can
render another as substitute.
Alternative Obligations
• It is one wherein various prestations are due but the performance of one of them is sufficient.

Article 1199. A person alternatively bound by different prestations shall completely perform one
of them. The creditor cannot be compelled to receive part of one and part of the other
undertaking.
➢ isa lang sa mga pinangako mo ang kailangan mong ibigay. (alternative obligation)
➢ kung gusto tanggapin then good pero kung nangako ka ng 3 magkakaibang bagay, di
mo pwedeng pilitin yung tumatanggap na tanggapin part ni object a sa part ni object c.
as much as possible isa lang talaga.

Article 1200. The right of choice belongs to the debtor, unless it has been expressly granted to
the creditor. The debtor shall have no right to choose those prestations which are impossible,
unlawful or which could not have been the object of obligation.
➢ general rule: sino ang dapat mamili kung anong bagay ang dapat na maibigay kay
creditor?
 ▪ The right of choice belongs to the debtor (umutang), kung sino ang nangakong
magbigay, siya ang may right of choice, siya ang dapat mamili. Unless napag-
usapan nila na yung tatanggap (creditor) ang siyang mamimili kung ano ang dapat
matanggap niya.
➢ The debtor shall have no right to choose those prestations which are impossible, unlawful
or which could not have been the object of obligation.
▪ Ex. Bibigyan kita ng shabu or marijuana or chocolate. Pag ganon ang mga
ipinangako sayo bilang debtor, hindi pwedeng pillin ko ang shabu o marijuana
dahil unlawful iyon. di rin pwede piliin if may impossible dyan.

Article 1201. The choice shall produce no effect except from the time it has been communicated.
➢ Bago sabihin ni debtor kay creditor na itong bagay na ito ang napipili niyang ibigay, yung
obligation ay isa pang alternative obligation kasi may choice pa si debtor, may pwede pa
siyang pagpilian. Ngunit, at the moment na sabihin ni debtor, ang bibigay ko sayo ay
object A (nakapili na). Hindi na ito isang alternative obligation, ito ay isang simple
obligation na (isa na lang ang bibigay mo).
➢ nakapagdecide ka na as a debtor kung ano ibibigay therefore, simple obligation na lang
kasi wala ng choices – isa na lang ibibigay mo

Article 1202. The debtor shall lose the right of choice when among the prestations whereby he is
alternatively bound, only one is practicable.
➢ debtor shall lose the right of choice kapag may nangyari sa mga ipinapangako niya such
as namatay, nasira at yung isa na lang ang practicable
▪ kasi ano pa ng aba ang choice mo kung ang ibang choices ay nasira or namatay
na so simple obligation na lang
▪ It will cease to be an alternative obligation, magiging simple obligation na lang sya

Article 1203. If through the creditor’s acts the debtor cannot make a choice, according to the
terms of the obligation, the latter (debtor) may rescind the contract with damages
➢ dahil sa mga kagagawan ni creditor, hindi na makapili si debtor, pwedeng i-cancel na lang
ni debtor yung kanilang contract w/damages

Article 1204. The creditor shall have a right to indemnity for damages when, through the fault
of the debtor, all the things which are alternatively the object of the obligation have been lost,
or the compliance of the obligation has become impossible.
➢ may karapatan makatanggap si creditor ng damages kung sa kapabayaan ni debtor yung
mga bagay na dapat sana ay maibibigay sa kanya ay hindi na mangyayari dahil naubos
na o nawala dahil sa kasalanan ni debtor.
▪ Pag wala nang maibigay kay creditor (nagpautang), magiging liable si debtor
(nangutang) for damages
 The indemnity shall be fixed taking as a basis the value of the last thing which disappeared,
of that of the service which last became impossible. Damages other than the value of the
last thing or service may also be rendered
▪ when the choice of the object belongs to the debtor at naubos yung mga bagay
dahil sa pagpapabaya ni debtor, ang halaga na dapat ibigay kay creditor is the
value of the last thing which disappeared, of that of the service which last
became impossible. Maliban sa halaga nung huling bagay na nawala, damages can
also be awarded.

Article 1205. When the choice has been expressly given to the creditor, the obligation shall cease
to be alternative from the day when the selection has been communicated to the debtor.
➢ kapag creditor ang mamimili, hindi na alternative obligation from the moment na sabihin
ni creditor yung choice niya kay debtor. Nagiging simple obligation pagkatapos sabihin
yung choice.

Until then the responsibility of the debtor shall be governed by the following rules:
1. If one of the things is lost through a fortuitous event, he (debtor) shall perform the
obligation by delivering that which the creditor should choose from among the
remainder, or that which remains if only one subsists;

2. If the loss of one of the things occur through the fault of the debtor, the creditor may
claim, any of those subsisting, or the price of that which through the fault of the former,
has disappeared, with a right to damages;
▪ Dahil sa kasalanan ni debtor may isang nawala sa mga choices, si creditor pwedeng
mamili sa kung ano ang mga natira o kaya piliin ni creditor yung halaga ng nawala
with a right to damages

3. If all the things are lost through the fault of the debtor, the choice by the creditor shall
fall upon the price of any one of them, also with indemnity for damages.
▪ Pag lahat ng mga bagay na ipinangakong ibigay ay nawala dahil sa kasalanan ni
debtor, si creditor ay pwedeng mamili ng kahit na ano sa halaga nung mga nawala
at pwedeng manghingi ng damages

The same rules shall be applied to obligations to do or not to do in case one, some or all
of the prestations should become impossible.

Choice belongs to the DEBTOR

• “I promise to give you a specific dog (P 5,000) or a specific cow (P 10,000) or a specific cat
(P2,000).”
➢ hindi pa nakakapili si debtor kung ano yung ibibigay niya (alternative obligation pa rin)
kasi diba pag nacommunicate na or nakapili na simple obligation na yon not specific
➢ specific thing dapat kasi kung generic pag namatay pwede mo pang palitan ng kapareho
 ➢ specific example kasi di mon a siya pwede palitan pa ok
➢ remember na pag fortuitous event, void na and pag negligence liable ang debtor

*premise or presumption netong mga examples na ito ay hindi pa nacocommunicate yung mga
choice *

1. Dog (FE) >> Cow (FE) >> Cat (FE)

▪ Namatay yung specific na aso dahil sa fortuitous event (tinamaan ng kidlat ),
may obligation pa rin si debtor na magbigay ng isang specific na hayop kay
creditor?
- YES kasi kahit patay na yung specific dog, pwede pa rin siya
makapagcomply sa kanyang pangako na makapagbigay ng kahit isang
hayop dahil nandon pa naman yung cow and cat
- walang effect kasi may option pa naman siya na cow or cat

▪ Bago pa ulit makapili si debtor ng choice niya, namatay naman dahil sa fortuitous
event yung cow, meron pa bang obligation si debtor kay creditor?
- YES kasi sa tatlong ipinangako niya, may isa pang natitira. makakapagbigay
pa rin siya ng isang specific na hayop

▪ Dahil sa pagkamatay nung dalawang choices, ang effect nito ay yung dating
alternative obligation ay naging isang simple obligation na lamang dahil cat na
lang ang natitira

▪ Bago ma-deliver yung cat kay creditor, namatay din sa fortuitous event. May
obligation pa ba si debtor na magbigay ng isang specific na hayop kay creditor?
- NONE dahil ang ikinamatay nung pinakahuling object na pwede niyang
ibigay ay isang fortuitous event. Pag simple obligation na at yung bagay na
ipinangako mo ay namatay o nawala dahil sa isang fortuitous event that
obligation is extinguished.

2. Dog (N) >> Cow (N) >> Cat (N)

▪ Hindi pa nakakapili si debtor, pinabayaan (negligence) ni debtor yung aso at
namatay. May obligation pa rin si debtor na magbigay ng isang specific na hayop
kay creditor?
- YES, dahil kaya pa rin niya magbigay ng isang hayop, mayroon pang
dalawang choices. Walang problema kahit namatay yung dog dahil sa
negligence, dahil may iba pa siyang pinangako

▪ Sa isang alternative obligation at namatay yung specific thing dahil sa negligence,

magiging liable ba si debtor for damages?
- NO, the debtor is not liable for damages unlike sa simple obligation. Dahil
ang pangako lang ni debtor ay bibigyan ng specific dog, specific cow or
 specific cat. Kahit pabayaan ni debtor yung aso, hindi pwedeng mag file for
damages si creditor dahil lang nag-eexpect ka na aso yung ibibigay sayo
dahil the choice belongs to the debtor.
- walang kang karapatan na mag-iiyak dahil namatay yung aso kas inga nasa
choice ng debtor kung anong hayop ibibigay pa sayo. hanggat buhay pa
yung dalawa wag ka mag-inarte
▪ Bago ma-communicate yung choice, namatay naman yung cow dahil sa
negligence. May obligation pa rin si debtor na magbigay ng isang hayop kay
creditor?
- YES, kaya niya pa makapag-comply sa pangako niya dahil buhay pa naman
yung specific na pusa.

▪ Dalawang hayop na yung namatay dahil sa negligence ni debtor, liable na ba siya

for damages?
- NO, the debtor is not liable for damages. The choice belongs to the debtor
kasi. Baka kaya niya hinayaan mamatay yung dalawa kasi baka balak niya
ibigay sayo is pusa talaga.

▪ Bago ma-deliver yung pusa, napabayaan ulit ni debtor at namatay. Makakapag-

comply pa ba si debtor?
- NO, wala nang natira sa pangako niyang hayop rip.

▪ Liable na ba si debtor sa damages?

- YES, dahil hindi na makakapag-comply si debtor
- Magkano ang lumalabas na utang ni debtor?
o Halaga nung huling bagay na nawala. The value of the cat which is
P2,000 plus damages. (Article 1204)

3. Dog (FE) >> Cow (FE) >> Cat (N)

▪ Namatay yung specific na aso dahil sa fortuitous event, may obligation pa rin si
debtor na magbigay ng isang specific na hayop kay creditor?
- YES.
▪ Namatay ulit dahil sa fortuitous event yung cow, meron pa bang obligation si
debtor kay creditor?
- YES kasi sa tatlong ipinangako niya, may tatlo pang natitira.

▪ Namatay naman yung pusa dahil sa kapabayaan ni debtor

- Debtor ay magiging liable para sa halaga ng pinakahuling bagay na
nawala plus damages.

4. Dog (N) >> Cow (N) >> Cat (FE)

▪ Hindi mahalaga kung ano ang ikinamatay nung una at pangalawa, dahil kung ano
man mangyari don, may natitira pang isa. Ang titignan mo ay yung ikinamatay
 ng pangatlo. Kung ang ikinamatay niya ay dahil sa negligence, ang magiging
liability ng debtor ay yung value of the last thing that was lost plus damages.

▪ Pagkatapos mamatay nung dalawa dahil sa negligence, yung specific cat namatay
dahil sa fortuitous event. May liability pa ba si debtor kay creditor?
- NONE, pag ang isang specific thing ay nawala dahil sa fortuitous event, the
obligation will be extinguished.

➢ pwede mo i-conclude na hindi mahalaga yung ikinamatay nung una at pangalawang

animal o object kasi meron pa naming pangatlo. ang dapat mong tingnan is yung last
na bagay/hayop. pag fortuitous event kinamatay ng last, walang liability si debtor
(extinguished yung obligation). pag negligence, halaga nung last na hayop plus damages.

Choice belongs to the CREDITOR

• eto yung exception sa rule kasi diba dapat si debtor ang may choice
• I promise to give you a specific dog (P 5,000) or a specific cow (P 10,000) or a specific cat (P
2,000).”

1. Dog (FE) >> Cow (FE) >> Cat (FE)

▪ Bago makapili si creditor, namatay yung aso dahil sa fortuitous event. May effect
ba to sa liability ni debtor na magbigay ng isang specific na hayop kay creditor?
- NONE, may specific cow and specific cat pa.
- Liable ba si debtor for damages?
o NO, dahil fortuitous event ang dahilan

▪ Namatay ulit yung cow dahil sa fortuitous event, ano effect nito sa liability ni
debtor?
- NONE, may specific cat pa hind inga lang alternative obligation tawag kasi
wala na choice.
- Liable ba si debtor for damages?
o NO, dahil fortuitous event ang ikinamatay.

▪ Namatay yung pusa naman dahil sa fortuitous event, anong effect nito sa
obligation ni debtor kay creditor?
- The obligation will be extinguished.

2. Dog (N) >> Cow (N) >> Cat (N)

▪ Bago makapili si creditor, napabayaan yung aso ni debtor at namatay. May
obligation pa rin ba si debtor kay creditor?
- YES. buhay pa cow and cat

▪ Kung ang ikinamatay o ikinasira nung unang bagay ay negligence, ano ang
natitirang options ni creditor na pwede niyang pagpilian?
 - Select the cow or select the cat (mga natitira) or select the value of the dog
plus damages. (Article 1205)
- di pwedeng pili lang si creditor between cow or cat kais paano if nasa isip
niya pala is yung doggo

▪ Bago ulit makapili si creditor, napabayaan yung cow at namatay. Ano options ni
creditor?
- Select the cat or the value of the dog or the value of the cow plus damages
in either case.

▪ Pag lahat namatay dahil sa kapabayaan ni debtor, creditor can choose the value
of the any of the three things that were lost plus damages. (unlike don sa
choice ni debtor na yung last ang nagmamatter)
▪ Doons a choice belongs to the debtor, bawal mag-inarte si creditor pero if the
choice belongs to the creditor, pwede na.

Facultative Obligations
Article 1206. When only one prestation has been agreed upon, but the obligor may render
another in substitution, the obligation is called facultative .
➢ The loss or deterioration of the thing intended as a substitute, through the negligence of
the obligor, does not render him liable. But once the substitution has been made, the
obligor is liable for the loss of the substitute on account of his delay, negligence or fraud.

“I promise to give you a laptop, but I may give you a cellphone as a substitute.”
• si debtor ang mag-decide kung laptop o cellphone ang ibibigay niya
• sa facultative, choice belongs to the debtor
• Hangga’t walang nagaganap na substitution, hanggang hindi pa sinasabi ni debtor na i-
substitute niya na ang cellphone sa laptop, huwag papansinin yung substitute. Pansinin mol
ang laptop wag yung cp.

Question and Answer:

➢ Kung tinamaan ng kidlat yung laptop (fortuitous event), the obligation is extinguished.
o Pag ang ikinasira ng ipinangakong bagay ay fortuitous event, the obligation is
extinguished
o Sa isang facultative obligation, hanggang walang substitution walang pakialam sa
substitute. Hindi pa naman kasi nasubstitute yung cp bago masira yung laptop.
o Pagnasira yung laptop, ibibigay na lang yung cellphone. Kung ganto yung
obligation, it is an alternative obligation. (I promise to give you a laptop or a
cellphone.)
o Sa facultative, ipapalit niya yung cellphone dahil ayaw niya na ibigay yung laptop,
hindi dahil nasira na yung laptop.
o Ang promise ay ipapalit lang yung cp pag ayaw ibigay yung laptop hindi ipapalit
dahil may nangyaring masama sa laptop kasi alternative obligation na yon.
 ▪ Kapag nasira yung laptop dahil sa negligence, the debtor is liable for damages with the
value of the laptop.
o Hanggat di naisusub yung cp, wala tayong pakialam don. Laptop ang focus.

▪ Nung hindi pa nabibigay yung laptop, nasira yung substitute. May effect ba ang
pagkakasira ng substitute sa obligation to give a laptop?
o NO EFFECT. Substitute lang naman yung phone eh.

▪ But bago may mangyaring aberya, sinabi ni debtor, “Ayoko na pala ibigay yung laptop,
cellphone na lang.” So parang nagswitch sila ngayon. The principal object is now the
cellphone. Bago maibigay yung cellphone nasira dahil sa fortuitous event. Ano effect non
sa obligation ni debtor?
o The obligation is extinguished. Since the principal object now is the cellphone.
Di mo na pwede piliin pa laptop.

▪ If nasira yung cellphone dahil sa negligence, the debtor is liable for damages. (Once mag
switch, wala nang pake sa prior principal object.)
▪ Once nakapag switch na ng principal object, wala ka na pake sa substitute.

CA51011 – LAW ON OBLIGATIONS AND CONTRACTS

MODULE 2: EPISODE 4

Joint and Solidary Obligation

• A joint or solidary obligation is characterized by a concurrence of two or more debtors and/or
two or more creditors in one and the same obligation.

➢ Collective obligation - wherein there are two or more debtors and two or more creditors
o Maaaring may isang umuutang at dalawang taong magkasama yung inuutangan
o Maari din na may dalawang sabay na uutang sa isang tao.
➢ Nakadepende sa kanilang agreement kung magkano ang pwedeng kolektahin ng isang
creditor at kung magkano ang pwedeng utangin ng isang debtor. Nakadepende if joint
or solidary.

Joint Obligation
• This is an obligation where each debtor is liable only for a proportionate portion of the debt and
each creditor is entitled only to a proportionate part of the credit; debt shall be divided into as
many debtors and creditors.
• Other terms for joint obligation are proportionately, pro rata, mancomunada or mancomunada
simple.
• Portion portion ang dito ng bayaran at makokolekta,

Solidary Obligation
• This is an obligation where each is liable for the whole obligation and each creditor is entitled to
demand payment of the entire obligation
 • Other terms are jointly and severally, individually and collectively, in solidum, mancomunada
solidaria and juntos o separadamente.
➢ Pag kayo ay mga solidary debtor, kayo ay liable sa buong utang niyo. Maari kayong
singilan ng buong utang mo.
➢ Pag kayo naman ay solidary creditor, maari niyong kolektahin yung buong pautang niyo.

Kinds of Solidary Obligation

1. Passive Solidarity – this is solidarity on the part of the debtors (umuutang)
2. Active Solidarity – solidarity on the part of the creditors (nagpapautang)
3. Mixed Solidarity – on the part of both the debtors and creditor

Article 1207. The concurrence of two or more creditors or of two or more debtors in one and the
same obligation does not imply that each of the former has a right to demand, or that each one
of the latter is bound to render, entire compliance with the prestation. There is a solidary liability
only when the obligation expressly so states, or when the law or the nature of the obligation
requires solidarity.
➢ if the problem is silent, kung hindi napag usapan ng mga parties kung joint or solidary
ang relationship ng isa’t isa, the relationship of either the debtor and creditor is joint.
➢ Kasi pag solidary need mag-impose ng mas mabigat na obligation sa parties. Burdensome
yung pagkolekta ng bung utang kasi daw kawawa yung debtor.

Article 1208. If from the law, or the nature or the wording of the obligations to which the
preceding article refers the contrary does not appear, the credit or debt shall be presumed to be
divided into as many shares as there are creditors or debtors, the credits or debts being
considered distinct from one another, subject to the Rules of the Court governing the multiplicity
of suits.
➢ ang isang utang ay pinaghahati-hatian ng mga creditor or debtors, nag-iimply to ng the
relationship is joint.
➢ pag solidarity kasi as one. pag joint hati-hati.

Illustrative Examples:
*If the problem is silent, the presumption is that their share in the loan is equal. (Kay Mr X. tig 5k
sila)

1. Mr. X borrowed P 10,000 from Mr. A and Mr. B, joint creditors

• Kung ang relationship ni A and B ay joint creditors, pag nakasalubong ni A si X on
the due date, magkano ang pwedeng kolektahin ni A kay X?
o P 5,000
• Pano kung si B naman ang nakasalubong ni X on the due date, magkano ang
pwedeng kolektahin ni B kay X?
o P 5,000 kasi nga sila ay joint creditors.

2. Mr. X borrowed P 10,000 from Mr. A and Mr. B, solidary creditors.

 • Pag si Mr. A na isang solidary creditor at nakasalubong niya si Mr. X? Magkano ang
pwedeng kolektahin ni A kay X?
o Pwede siyang makakolekta nung buong P 10,000. Hindi pwedeng
tumanggi si Mr. X dahil kaya ni Mr. A kolektahin yung buo bilang isang
solidary creditor, siya ay nag-aact bilang representative nilang dalawa.
(Taken as one si A and B). Ngunit hindi pwedeng solohin ni Mr. A yung
bayad dahil equal sila ni B sa pinautang. Bilang isang solidary creditor, may
kaparatan kang makakolekta ng buo yung pautang pero obligation mong
ibigay yung kalahati kay Mr. B.
o Pwede lang collect bayad ng isa as a representative pero di pwede solohin
ng isa lang yung payment. Karapatan lang ng is ana collect yung pinautang
nang buo pero obligation niya na ibigay yung share ni Mr. B. Sa pagcollect
lang nagkaiba joint and solidary.

3. Mr. X and Mr. Y, joint debtors, borrowed P 30,000 from Mr. A.

• Magkano ang pwedeng kolektahin ni Mr. A kay Mr. X?
o P 15,000. Hindi obligado ang isang debtor na bayaran yung share ng
kasama niya. Kanya-kanya sila ng obligation to pay kay creditor.

4. Mr. X and Mr. Y, solidary debtors, borrowed P 30,000 from Mr. A.

• Magkano ang pwedeng kolektahin ni Mr. A kay Mr. X?
o P 30,000 dahil ang relationship ni X and Y ay solidary. But he is subjected
to reimbursement kay Y, kailangan magbayad ng 15,000 si Y kay X dahil ang
nangyari ay nag-abono si X ng share ni Y sa utang.

1. X, Y, and Z (solidary debtors) borrowed P12,000 from A & B (solidary creditors).

2. X, Y, and Z (joint debtors) borrowed P12,000 from A & B (solidary creditors).
3. X, Y, and Z (solidary debtors) borrowed P12,000 from A & B (joint creditors).
4. X, Y, and Z (joint debtors) borrowed P12,000 from A & B (joint creditors).

A & B Creditors X Y Z Debtors

Magkano ang pwedeng masingil ni A sa Magkano ang required bayaran ni X don sa

mga debtors? maniningil sa kanya which is Mr. A?

1. S - 12,000 (buong amount) kasi

S - 12,000
solidary

• Pero syempre hindi lang sa kanila yung buong amount. Need ibigay ni A kay B yung
share ni B.
• Hindi porket nabayaran n ani X utang nila lahat, doesn’t mean na hindi na siya
babayaran ni Y and Z ang swerte naman kung ganon. Need pa rin mag share ni Y
and Z ng 4k kay X kasi si X yung nag-abono muna.
2. S - 12,000 J - 4,000

• Bakit ganon? Sabi kasi diba si A ay kaya makacollect ng 12k pero pag
nakasalubong niya si X, 4k lang masisingil niya?
▪ Si A kasi kaya lang maka-collect ng 12k PERO it doesn’t mean na kaya niya
kolektahin yon ng buo sa unang taong makakasalubong niya which is X kasi
yung may mga debtors ay may joint relationship.
▪ Yung 12k lang ang kaya ni A na makolekta sa kanilang lahat. For example,
tamad maningil si B kaya si A pinapasingil niya kay X Y and Z. Tig-4k pwede
makuha ni A kay X Y and Z para magtotal sa 12k PERO hindi niya pwedeng
kunin lang yung buong 12k kay X alone kasi nga joint ang relationship ng
debtors and ang solidary lang ay yung sa mga creditors.

• Kung 4,000 ang nakolekta ni A kay X, required ba siyang mag remit/ mag share
ng nakolekta niya kay B, kahit na kulang pa talaga yon sa share nilang tig
6,000?
▪ YES, required siyang i-remit yung kalahati ng 4,000 kay B. Tig-2,000 lang
silang doon. Kapag solidary creditor, nangongolekta ka in behalf of the whole
group (creditors). Kung 4,000 lang ang natanggap mo kailangan mong hatiin
sa B dahil solidary creditor ang relationship niyong dalawa.

• Si X naman na nagbayad ng 4,000, required ba siyang manghingi ng

reimbursement sa kapwa debtor niya?
▪ NO, yung 4,000 na binayaran ni X ay yung share niya talaga sa inutang nila.
Hindi niya kailangan manghingi ng reimbursement dahil yung binayaran niya
ay yung share niya pero pagkatapos non ay hindi na siya masisingil ulit

3. J - 6,000 S - 6,000

• Since joint ang relationship ng creditors, yung share lang nila yung pwede nilang
singilin sa mga debtors. Yung mga debtors naman, since solidary relationship nila,
ang need nilang ibigay kapag isa lang nakasalubong nila sa mga creditors (assume
natin si A yon), ay limited sa kayang singilin ni creditor sa kanila which is yung 6k.
Yung another 6k, ibabayad nila kay B.

• yung buong 6,000 na share ni A ay pwede niyang makolekta kay X alone kasi
solidary debtors sila X Y and Z..

• After makakolekta si A kay X, required bang magshare si A ng kalahati kay B.

▪ NO, no need magremit ng 3,000 si A kay B dahil yung 6,000 na nakolekta
kay X ay yung share talaga ni A sa pinautang nila. DIba nga kasi joint na sila
kaya kanya kanyang singil.
 • Sa 6,000 na binayaran ni X, magkano ang pwede niyang ipareimburse kay Y
and Z?
▪ Tig 2,000 pesos si Y and Z. Dahil solidary sila ang share lang talaga ni X sa
binayaran niyang 6,000 ay 2,000 lang. At pag nakasalubong niya naman si
Mr. B, required na naman siyang magbayad ng 6,000 at pagkatapos ay
manghingi ulit ng reimbursement kay Y and Z na tig 2,000 pesos

4. J - 6,000 J - 2,000

• Yung 6,000 kaya niyang makolekta pag nakasalubong niya silang lahat pero kung
si X lang, 2,000 lang kasi joint debtors sila, walang representative sa bayad at
walang mag-aabono unlike sa solidary. Hindi rin kailangan i-share ni A kay B yung
nakolekta niyang 2,000 kay X dahil joint relationship ang creditor, bawat halaga na
nakokolekta niya ay para sa sarili niya lang
• Wala rin karapatan si X na manghingi ng reimbursement kay Y and Z. At pag
nakasalubong niya si B, required na naman siya magbayad ng 2,000.

Ang share pa rin ni A and B sa pinautang ay tig- 6,000. While ang share ni X, Y and Z sa
inutang ay tig 4,000. Pero nakadepende sa relationship nila sa isa’t isa ang kayang kolektahin
ng mga creditor at ang required bayaran ng mga debtor.
 CA51011 – LAW ON OBLIGATIONS AND CONTRACTS
MODULE 2: EPISODE 5

Article 1209. If the division is impossible, the right of the creditors may be prejudiced only by
their collective acts, and the debt can be enforced only by proceeding against all the debtors. If
one of the latter should be insolvent, the others shall not be liable for his share.
➢ Joint indivisible obligation: ex. Si Mr. A, B and C ay nangako na mag-deliver ng specific
dog worth P6,000 kay Mr. X
o The debt can be enforced only by proceeding against all the debtors. (Kung
divisible kasi pwede namang pumunta na lang si X sa isa-isang creditor)
o Para makapagdemand na ma-perform ang isang joint indivisible obligation,
pupunta si X habang magkakasama si A,B and C, kasi hindi naman niya pwedeng
hingin na isa isa.

➢ What if on the day of delivery, si Mr. C biglang ayaw niya na ibigay yung specific na aso.
Ano ang magiging effect ng pag back-out ni C sa pagdeliver ng specific obligation nila?
o Their obligation to deliver a specific object will be transformed into a MONETARY
OBLIGATION.
o Ang utang nila ay tig-2,000
o But si Mr. C ay liable din for damages. (2,000 plus damages)

➢ If one of the latter should be insolvent, the others shall not be liable for his share.
o Kapag si A ay insolvent niya (naubos na yung assets niya)
o Dahil ba wala nang kakayahan si A na bayaran yung 2,000 na share niya kay X, may
karapatan ba si X na habulin si B or C para sa share ni A?
▪ Walang obligation si B or C para sa part ng utang na hindi na kayang
bayaran ng kasama nilang insolvent na debtor
▪ Hihintayin na lang ni X na maging maayos yung buhay ni A upang
mabayaran siya.

Article 1210. The indivisibility of an obligation does not necessarily give rise to solidarity. Nor
does solidarity of itself may imply indivisibility.
➢ Ang pinag uusapan sa Joint and Solidary ay yung extent ng liability ng isang debtor and
extent ng karapatan ng isang creditor.
➢ Kung hanggang magkano ang kaya mo kolektahin sa isang debtor, (Pwede mo ba
kolektahin yung buo sa kanya?
o Oo kung solidary. Ang pwede mo lang kolektahin sa kanya ay yung share niya
kapag joint.) Samantalang, pwede kang makakolekta ng buong amount kapag
solidary and kapag joint naman ay yung proportionate sayo.

➢ Ang tinutukoy naman sa Divisible and Indivisible ay yung nature ng object, obligation or
prestation.
➢ Maling isipin na kapag obligation ay indivisible ang obligation ay solidary or vice versa.
Article 1211. Solidarity may exist although the creditors and the debtors may not be bound in
the same manner and by the same periods and conditions.
➢ Pwedeng si A, B and C ay may iba´t ibang period or condition. Ang date ng share ni A ay
next week, si B ay next month, at si C ay next year. However, if the problem is silent sabay-
sabay ang due date ng kanilang utang.

Article 1212. Each one of the solidary creditors may do whatever may be useful to others, but
not anything which may be prejudicial to the latter.
➢ Ex. Si A and B ay umutang kay X, Y and Z (solidary creditors.) Ang bawat isa kela X,Y, and
Z ay pwedeng gumawa ng mga bagay na useful sa kanyang mga kasama. Si Mr. X ay
pwedeng gumawa ng mga bagay na makakatulong sa kanyang mga kasama. (The right
to demand payment from A and B para hindi mag-prescribe yung utang sa inyo)
➢ Hindi ka pwedeng gumawa ng bagay na makakasama (prejudicial) sa kapwa creditors mo
(remission/ condonation or pagpapatawad ng utang) Pag pinatawad mo yung utang, you
will now be liable para sa share ni Y and Z.

Article 1213. A solidary creditor cannot assign his rights without the consent of the others.
➢ si A and B ay 6,000 kay X, Y and Z. (solidary creditor.) Hindi pwedeng ilipat ni X yung
karapatan niya to other people without the consent of the other creditors. ——- bounded
by the issue of trust and confidence (pag solidary kasi yung relationship matindi yung
tiwala niyo sa isa´t isa kasi in-authorize mo yung mga kapwa creditors na makakolekta
para sa inyong lahat)
➢ Kung kailangan na talaga ni X ng pera, pwede niyang i-assign kay Y yung share niya. Si Y
na ang magbibigay ng pera kay X and magiging 4,000 na yung share ni Y. (If ganto yung
scenario, hindi na kailangan kunin ni X yung consent ni Z)

Article 1214. The debtor may pay any one of the solidary creditors; but if any demand, judicial
or extrajudicial, has been made by one of them, payment should be made to him
➢ Kung sino unang nag-demand na creditor, yon na lang bayaran.

Article 1215. Novation, compensation, confusion or remission of the debt, made by any of the
solidary creditors or with any of the solidary debtors, shall extinguish the obligation, without
prejudice to the provisions of article 1219.
➢ The creditor who may have executed any of these acts, as well as he who collects the debt,
shall be liable to the others for the share in the obligation corresponding to them.
o required yung creditor na nag-execute ng remission ng debt na magremit don sa
kapwa solidary creditor niya ng kanilang share.

Article 1216. The creditor may proceed against any one of the solidary debtors or some or all of
them simultaneously. The demand made against one of them shall not be an obstacle to those
which may subsequently be directed against the others, so long as the debt has not been fully
collected
 ➢ A, B, C (solidary debtors) ay umutang ng P30,000 kay X
➢ Alam ni X na ang relationship ng mga debtors ay solidary. Yung 30,000 ay pwede niyang
makolekta against any one of them. May karapatan syang maningil ng buong 30,000 kay
A or he can proceed to A mag-collect lang ng 15,000 at puntahan si B upang mangolekta
ng 15,000 pa or he can proceed to all of them nang sabay sabay.
➢ Hindi porket solidary ang relationship ng debtors ay required na laging bayaran ng isa
yung buong utang nila pag siningil siya ng creditor. May right si X na kolektahin yung
buong amount but may option siya na kolektahin lang kung ano ang kaya ni A.

Article 1217. Payment made by one of the solidary debtors extinguishes the obligation. If two or
more solidary debtors offer to pay, the creditor may choose which offer to accept. He who made
the payment may claim from his co-debtors only the share which corresponds to each, with the
interest for the payment already made. If the payment is made before the debt is dus, no interest
for the intervening period may be demanded.

He who made the payment may claim from his co-debtors only the share which corresponds to
each, with the interest for the payment already made. If the payment is made before the debt is
dus, no interest for the intervening period may be demanded.

When one of the solidary debtors cannot, because of his insolvency, reimburse his share to the
debtor paying the obligation, such share shall be borne by all his co-debtors, in proportion to
the debt of each.

➢ Nangutang si A and B (solidary debtors) ng 6,000 kay X. Due date ng utang is Sept. 1.
Kung Sept 1 nagbayad si A ng 6,000, pwede siyang makakolekta ng 3,000 kay B which is
yung share ni B sa utang. There is a possibility na matatagalan makabayad si B kay A.
o Ex. Nakapagbayad si B kay A ng Oct. 1, magkano ang dapat bayaran ni B kay A?
Yung 3,000 na inabono ni A para sa kanya at isang buwan na interest.

➢ But if the payment is made before the due, no interest may be demanded.
o Binayaran na agad ni A si X ng 6,000 noong August 1, but ang due date is Sept 1
pa. Magkano ang pwedeng kolektahin ni A kay B na interest? Aug 1- Sept 1 is
called the intervening period, therefore walang obligation si B na magbayad ng
interest.

➢ Kapag si A ay nagbayad ng 6,000 kay X, may karapatan siyang humingi ng reimbursement

ni B. However, nung nanghihingi nang reimbursement si A, insolvent pala si B. Ano ang
effect?
o Dahil hindi na makapagbayad si B, abonodo si A sa share ni B. Wala nang pakialam
si X, sa pagiging insolvent ni B at kung hindi makakolekta si A kay B.
o Ex. Kung tatlo silang solidary debtors (A, B, C) at insolvent si B. Hati dapat si A and
C sa share ni B, pansamantala. Because of the insolvency of B, magkano pa ang
pwede niyang habulin kay C? 1,000 (hati si A and C sa share ni B na 2,000)
Article 1218. Payment by a solidary debtor shall not entitle him to reimbursement from his co-
debtors if such payment is made after the obligation has been prescribed or become illegal.
➢ Hindi alam ni A na prescribe na pala yung utang (naging natural obligation na), nagbayad
pa siya ng 6,000 kay X. Ang payment ng isang solidary debtor pag nag prescribe na yung
utang, shall not be prejudicial kay B. Walang karapatan na manghingi ng 3,000 si A kay B.
Dahil benefit na ni B na nagprescribe na yung utang at nagbayad pa rin si A, tatanggalan
niya ng benefit si B kung sisingilin niya pa ng 3,000

Article 1219. The remission made by the creditor of the share which affects one of the solidary
debtors does not release the latter from his responsibility towards the co-debtors, in case the
debt had been totally paid by anyone of them before the remission was effected.
➢ Nung umaga, nagbayad na si C kay Y. Kaya doon pa lang wala nang utang si A, B, C kay
X and Y. Habang nung hapon, nakasalubong ni A kay X at sabi ni X pinapatawad na nila
yung utang ni A sa kanila. Si C ba ay may karapatan pa rin na mangolekta ng share ni A
na binayaran niya nung umaga?
o Ang ginawang remission ni X kay A nung hapon ay hindi hadlang para hindi na
siya magbayad kay C. Kasi nung nagbayad siya nung umaga, ang presumption ay
obligation pa nilang tatlo yung inutang nila. And dapat wala nang papatawarin na
utang si X kay A dahil nauna yung pagbayad.

Article 1220. The remission of the whole obligation, obtained by one of the solidary debtors,
does not entitle him to reimbursement from his co-debtors.
➢ On the due date, nagkita si A at si X, na-convince niya si X na patawarin na yung utang
nila, yung share nilang lahat. Pwede bang siningil ni A si B and C dahil siya ang nakakuha
ng remission ng utang nila?
o A is not entitled to reimbursement. Kahit si A lang ang nakipag-usap kay X na
patawarin yung utang nila, it would benefit all of the debtor

Article 1221. If the thing has been lost or if the prestation has become impossible without the
fault of the solidary debtors, the obligation shall be extinguished.
➢ Solidary indivisible obligation: A, B and C (solidary debtors) ay nangako na magbigay ng
specific cat na may value ng 6,000 kay X.
➢ Pag namatay yung cat dahil sa fortuitous event, the obligation shall be extinguished.

If there was fault on the part of any one of them, all shall be responsible to the creditor, for the price
and the payment of damages and interest, without prejudice to their action against the guilty or
negligent debtor
➢ Dahil sa pagpapabaya ni C, namatay yung pusa. Kahit walang kamalay malay si A and B
sa negligence ni C, they shall still be liable to the creditor
➢ Ex. Nagkasalubong si A and X, dahil solidary sila required na magbayad si A kay X ng 6,000
plus damages. Kahit inosente siya, dahil solidary sila, sa mata ni X ang kasalanan ng isa ay
 kasalanan ng lahat (treated as one ang solidary) Pero lahat naman ng inabono ni A ay
pwedeng habulin kay C.

If through a fortuitous event, the thing is lost or the performance has become impossible after one of
the solidary debtors has incurred in delay through the judicial or extrajudicial demand upon him by the
creditor, the provisions of the preceding paragraph shall apply.
➢ Exception to the rule na ma-extinguish ang obligation pag nawala yung specific thing due
to fortuitous event: pag in legal delay na yung debtors

Article 1222. A solidary debtor may, in actions filed by the creditor, avail himself of all defenses
which are derived from the nature of the obligation and of those which are personal to him, or
pertain to his own share. With respect to those which personally belong to the others, he may
avail himself thereof only as regards that part of the debt for which the latter are responsible.
➢ Si A and B (solidary debtors) umutang ng 10,000 kay X. Availed valid excuses para hindi
na bayaran ng mga debtor yung utang nila kay creditor.
➢ Derived from the nature of the obligation: yung 10,000 ay nag prescribed. Naalala ni X at
the 11th year at pag kinasuhan ni X yung mga debtors, pwedeng sabihin nila na nag
prescribe na yung utang para sila ay di na magbayad ng utang
➢ Those personal to him or pertain to his own share: Ang pagiging minor or ang pagiging
baliw ay isang valid defense. Hindi sila pwedeng pumasok sa kontrata, kaya hindi
pwedeng siningil ni X si A na 17 years old pa lang. Pag naningil si X kay A, pwedeng
gamitin ni A na minor pa lang sya. But pwede bang sabihin ni X kay A, kung ikaw ay 17,
at dahil solidary kayo bayaran mo na lang yung share ng kasama mo? NO, yung pagiging
minor niya does not only relate sa share niya sa 10,000. Ang tingin din ng batas ay wala
rin siyang kakayahan na bayaran yung share ni B
o Magkano ang pwedeng masingil ni X kay B? 5,000 only Bilang isang solidary
debtor, maari mong gamitin yung defense ng kasama mo kay creditor para hindi
bayaran yung share ni A don sa utang

Divisible and Indivisible Obligations

Divisible Obligation
➢ One that is capable of partial performance. The following are deemed divisible:
o When the obligation has for its object the executive of a certain number of days of
works such as an obligation to work for one month
▪ Ex. Magwork ka for 30 days. Pwedeng hindi diretso such as 10 days ngayon,
20 days next month
o When the obligation has for its object the accomplishment of work by metrical
units such as an obligation to construct a 20-meter long and 2-meter wide wall
o Analogous things which by their nature are susceptible partial performance

Indivisible Obligation
➢ one that is not capable of partial performance. The following obligations are deemed
indivisible
 o Obligations to give definite things such as obligation to deliver a specific cat
o Those not susceptible of partial performance such as an obligation to sing in a
wedding ceremony
o Those where the objective or service is physically divisible but it is indivisible by
provision of law such as the obligation to pay certain taxes
▪ Ang pera by nature is divisible but ang obligation mo to pay taxes ay dapat
isang bagsakan lang

Divisibility and indivisibility ay tumutukoy don sa object, prestation or nature ng kailangan

ibigay na bagay
➢ Example: indivisible obligation- hindi pwedeng mahati hati.
o Obligation to deliver a specific animal. Dapat buo yon
➢ Example: divisible obligation - obligation to pay a loan. Pwedeng hati-hati (three gives)

Article 1224. A joint indivisible obligation gives rise to indemnity for damages from the time
anyone of the debtors does not comply with his undertaking. The debtors who may have been
ready to fulfill their promises shall not contribute to the indemnity beyond the corresponding
portion of the price of the thing or of the value of the service in which the obligation consists.

Obligation with a penal clause

➢ This is an obligation with a penal clause is one which provides for a greater liability on the
part of the debtor in case of non-compliance.
o The accessory undertaking on the part of the debtor is called penal clause. The
penal clause is generally undertaken to insure performance and works as either, or
both, punishment and reparation, There is no need to present proof of actual
damages in order for the penalty to be demanded. (Art. 1228)
▪ There is a possibility in having an obligation with someone na hindi nila
tutuparin yung naipangako nila sayo and para madagdagan yung assurance
na matatanggap mo yung due sayo, nagdadagdag sila ng penal clause
▪ Once na mapag-usapan yung penal clause, hindi na kailangan i-prove of
actual damages na hindi nagawa yung obligation.

Principal Obligation
➢ one in which it can stand by itself
o Kahit wala yung penalty clause, pwedeng matuloy yung obligation

Accessory Obligation
➢ one in which it is attached to a principal obligation and cannot stand alone
o Ex. Kapag hindi ko natapos sa isang buwan yung pagpapatayo ng kubo, pwede
natin lagyan ng penal clause, magbabayad ako ng P20,000 sayo
▪ Pero hindi pwede magkaroon ng usapan na magbabayad ng 20,000 kung
wala naman yung principal obligation
 ▪ The penal clause serves as a punishment and reparation.

Article 1226. In obligations with a penal clause, the penalty shall substitute the indemnity for
damages and the payment of interests in case of noncompliance, if there is no stipulation to the
contrary. Nevertheless, damages shall be paid if the obligor refuses to pay the penalty or is guilty
of fraud in the fulfillment of the obligation.
➢ As a general yung napag-usapan na penalty, yon na yung indemnity for damages and
interest. Unless kung pinag-usapan niyo sa simula na maliban sa penalty pwede pa i-
charge for damages and interest.

Article 1227. The debtor cannot exempt himself from the performance of the obligation by
paying the penalty, save in case where this right has been expressly reserved for him. Neither
can the creditor demand the fulfillment of the obligation and the satisfaction of the penalty at
the same time, unless this right has been clearly granted him. However, if after the creditor has
decided to require the fulfillment of the obligation, the performance thereof should become
impossible without his fault, the penalty may be enforced
➢ Ang obligation mo is itayo yung bahay, hindi pwedeng magbayad ka na lang ng penalty
para hindi mo na itayo yung bahay. Unless ayon yung napag-usapan niyo na kapag ayaw
mo na gawin, magbabayad ka na lang.
➢ Dapat mamili ang creditor kung ano ba talaga yung gusto mo, kung ipagpapatayo ka ng
bahay o bayaran ka na lang ng penalty. General rule na hindi pwedeng sabay na na-fulfill
na yung obligation at magbabayad pa yung penalty. Unless, the right has been clearly
granted, kung napag-usapan niyo.
➢ Pero kung pinili mo ang enforcement of the obligation and hindi pa rin ginawa ng debtor
yung obligation niya, allowed si creditor by law na ituloy na lang yung penalty. Kung hindi
niya ma-avail yung specific performance, papayagan siya ng batas na i-enfotcre na lang
yung penalty

Article 1228. Proof of actual damages suffered by the creditor is not necessary in order that the
penalty may be demanded.

Article 1229. The judge shall equitably reduce the penalty when the principal obligation has been
partly or irregularly complied with the debtor. Even if there has been no performance, the penalty
may also be reduced by the courts if it is iniquitous or unconscionable
➢ tama lang dapat yung penalty in accordance sa principal obligation

Article 1230. The nullity of the penal clause does not carry with it that of the principal obligation.
The nullity of the principal obligation carries with it that of the penal clause
➢ Nahahawa ang accessory kung ano ang classificiation ng principal niya
➢ Kung ang principal obligation ay void, nahahawa yung penal clause dhail nakadepende
sya sa principal
➢ But yung nullity ng penal clause, hindi applicable sa principal obligation
➢ Ex. I will give you a specific car within the month, and yung penalty ko is bigyan ka ng
shabu. The principal obligation is valid while the penal clause is void. Yung pagiging null
ba ng penal clause affects the principal obligation? NO
➢ Ex. Obligation ko is to give you marijuana and pag hindi ko nagawa is to give penalty na
10,000. Walang mali na magbigay ng 10,000. However void yung principal obligation kaya
void na rin yung penalty