lOMoAR cPSD| 3774533

682 LEASE

SECTION 2. — Contract for a Piece of Work

ART. 1713. By the contract for a piece of work the

contractor binds himself to execute a piece of work
for the employer, in consideration of a certain price
or compensation. The contractor may either employ
only his labor or skill, or also furnish the material.
(1588a)

Contract for a piece of work distinguished

from lease of service.
Article 1713 defines a contract for a piece of work. This kind
of lease (locatio operis) is distinguished from lease of service (loca-
tio operarum) as follows:
(1) In the first (Arts. 1689, 1700.), the direct object of the con-
tract is the result, the complete and finished work done by the
independent contractor (lessor or promissor), while in the second,
it is the service itself by the hired servant or laborer/employee;
(2) In the first, the person for whom the services are to be
performed controls only the result or end to be accomplished,
while in the second, he also controls the manner and means to be
used to produce the stipulated result;
(3) In the first, the risk is upon the independent contractor,
while in the second, even if the result intended is not accomplished
without fault of the lessor, remuneration is still due for the serv-
ice rendered;
(4) In the first, the price is generally not payable until the work
is completed and accepted, while in the second, it is after the serv-
ice has been performed; and
(5) In the first, there is no relation of employer-employee (al-

682
 lOMoAR cPSD| 3774533

Arts. 1714-1715 WORK AND LABOR 683

Contract for a Piece of Work

though the contract is referred to in the law as employer), while

in the second, such a relation exists. (Art. 1644.)
In both, there is a price certain or compensation and the rela-
tion of principal and agent does not exist between the lessor and
the lessee. (Art. 1644.) There is also no employer-employee rela-
tion between a common carrier and the passenger, or owner or
shipper of goods. (Art. 1722.)

ART. 1714. If the contractor agrees to produce the

work from material furnished by him, he shall deliver
the thing produced to the employer and transfer do-
minion over the thing. This contract shall be governed
by the following articles as well as by the pertinent
provisions on warranty of title and against hidden de-
fects and the payment of price in a contract of sale.
(n)

Material furnished by the contractor.

Here, the contractor furnishes both the material and his labor.
“Some jurists consider this as a contract of sale. Indeed, it is very
similar to sale.’’ (Report of the Code Commission, p. 147.); hence,
he has the obligation:
(1) to deliver the thing produced to the employer;
(2) to transfer dominion over the thing; and
(3) to warrant against eviction and hidden defects. (see Art.
1545, et seq., Part I.)
Accordingly, the contract shall be governed not only by the
provisions of Section 3 but also by the pertinent provisions on
warranty of title and against hidden defects and the payment of
price in a contract of sale.

ART. 1715. The contractor shall execute the work

in such a manner that it has the qualities agreed upon
and has no defects which destroy or lessen its value
or fitness for its ordinary or stipulated use. Should
the work be not of such quality, the employer may
 lOMoAR cPSD| 3774533

684 LEASE Art. 1715

require that the contractor remove the defect or ex-

ecute another work. If the contractor fails or refuses
to comply with this obligation, the employer may have
the defect removed or another work executed, at the
contractor’s cost. (n)

Remedy of employer in case of defects.

The contractor must execute the work in accordance with the
qualities stipulated and without defects which destroy or lessen
its value or fitness for the use intended. (see Art. 1561, Part I.)
If the contractor does not comply with his contract, the em-
ployer may:
(1) require the contractor to remove the defect or execute an-
other; or
(2) have the defect removed or another work executed, at the
expense of the contractor if fails or refuses to do so.
The above rules arise from the nature of the contract. (Report
of the Code Commission, p. 147.)
Article 1715 may be available only when there is proof of de-
fects in the work. In the absence of proof to the contrary the work
is presumed satisfactory. (Ramcar, Inc. vs. Garcia, 4 SCRA 1087
[1962]; see Art. 1169.) The measure of damages for failure to com-
plete a construction, is the amount spent by the owner to com-
plete it and correct its defects. (Marker vs. Garcia, 5 Phil. 557
[1905].)

ILLUSTRATIVE CASE:
Petitioners accepted only the offer of respondent to make a topo-
graphic survey rejecting the offer to make a subdivision survey, and
discrepancies arose as a result of the absence of the latter survey.
Facts: Respondent S offered to make two (2) surveys for
petitioner Philam: a topographic and a subdivision survey of a
45 hectare housing project for the petitioner. For the proposed
subdivision survey, S stated that he would relocate all the
boundary monuments of the project area. Philam accepted the
offer only in so far as the topographic survey is concerned.