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Oblicon - Chapter 1
Oblicon - Chapter 1
1157:OBLIGATION SOURCES
Sources of obligations:
1. Law – imposed by law itself. (Ref. 1158:LEGAL OBLIGATIONS)
a. Law
b. Private acts
1) Licit acts – in case of contracts & quasi-contracts
2) Illicit acts – punishable in case of delicts/crimes or not punishable if quasi-delict/torts.
2. Contracts – stipulation of parties. (Ref. 1159:CONTRACTS)
3. Quasi-contract – lawful, voluntary, & unilateral acts enforceable in the sense “no one shall be unjustly enriched or
benefited at the expense of one another” (Ref. 1160:QUASI-CONTRACTS)
5. Crimes/Omission – civil liability arises from criminal offense. (Ref. 1161:CIVIL OBLIGATIONS)
4. Quasi-delicts or torts – damage caused to another being fault/negligence, no contractual relation exist between
the parties.
+ There are really only 2 sources: Law and contracts, the rest mentioned falls in Law.
1159: CONTRACT
Contractual obligations - arise from contracts or voluntary agreement of parties are valid and enforceable & must be
complied in good faith.
Binding force – there will be a force of law between contracting parties, contract must not be against the law to be
valid, because law is still superior to contracts.
Requirement of Valid Contract:
1. all essential elements of obligation
2. Not contrary to law, morals, good customs, public order, and public policy. If it is contrary,
it will be invalid. There is no void contract, it will only become invalid and cannot be enforce or have binding.
Breach of Contract – Contracted may be violated by a party in whole or part. Breach happen when a part fails or
refuses to comply to his obligation without legal reason or justification.
Compliance in Good Faith – Compliance of obligation with sincerity and honesty without taking advantage of the
other party. If non-compliance, a penalty from stipulation will enforce, if there’s not stipulation, remedies are
provided to protect the rights of the oppressed party.
1160: QUSI-CONTRACTS
Article jurisdiction – quasi-contracts or implied (not expressly stipulated) contracts.
Quasi-contracts – lawful, voluntary, & unilateral acts that affect “no one will be unjustly enriched or benefited at the
expense of another.”
Presumed as contracts – even though there is no formal agreement of parties, if there is injustice or unjust
enrichment of the other person in exchange of effort of the other, law will considers they enter a contract.
Kinds of Quasi-contracts
1. Negotiorum Gestio – voluntary management of the property or affairs of other w/o their knowledge or consent.
2. Solutio Indebiti – when there is something unduly delivered by mistake because there is no right to demand.
1162: QUSI-DELICTS
Qusi-delicts – an act or omission that caused damage to another person, property, or rights. Will give rise to
obligation to pay for damages. Was done by being fault or negligence, if by evil intent, will be jurisdiction of criminal.
There should be no pre-existing contractual relation, if there is, it will be the jurisdiction of breach of contract.
Requisites of Quasi-delict:
1. Act of omission
2. Fault/Negligence
3. Damaged caused
4. Direct connection of Cause and effect
5. No pre-existing contractual relation
Crimes | Quasi Delict (Distinguished)
1. Malicious intent/criminal negligence | fault/negligence
2. Purpose is to punish | indemnification of the offended party.
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