Understanding Obligations and Their Types

Aug 22, 2024

Notes on Obligations

Definition of an Obligation

  • Defined under Article 1156 as a judicial necessity to give, do, or not do.
  • If a debtor fails to perform, the creditor has legal remedies.

Types of Obligations

  1. Civil Obligations
    • Enforceable by law; creditors can seek performance in court.
  2. Natural Obligations
    • Based on voluntariness; cannot be enforced in court.
    • If a debtor voluntarily performs, they cannot recover what was paid.
    • Example: Debt after a 10-year expiry becomes a natural obligation if voluntarily paid.

Essential Elements of Obligations

  • Four essential requisites:
    1. Positive Subject (Debtor/Obligor)
    2. Active Subject (Creditor/Obligee)
    3. Object/Prestation (Subject Matter)
    4. Juridical Tie (Legal Source of Obligation)

Distinction Between Obligation, Right, and Wrong

  • Obligation: Act or performance enforceable by law.
  • Right: Power to demand performance from another party.
  • Wrong: Act or omission violating another's legal rights.

Kinds of Obligations

  1. Real Obligations
    • Obligation to give a thing.
    • Generic Real Obligation: Indeterminate object (e.g., "car").
    • Specific Real Obligation: Determinate object (e.g., "Toyota Fortuner with plate number AAA1434").
  2. Personal Obligations
    • Obligation to do or not do something.
    • Positive Personal Obligation: To do something (e.g., completing a service).
    • Negative Personal Obligation: Not to do something (e.g., non-disclosure agreements).

Sources of Obligations (Article 1157)

  1. Law
  2. Contracts
  3. Quasi-Contracts
  4. Acts or Omissions Punished by Law (Crimes)
  5. Quasi-Delicts

Obligations Arising from Law

  • Example: Obligation to pay taxes.
  • Must be clear that a person is subject to a legal obligation.

Obligations Arising from Contracts

  • Defined by a meeting of minds; have the force of law between parties.
  • Parties' agreements prevail unless contrary to law.

Quasi-Contracts

  • Negotiorum Gestio: Managing another's property without consent.
  • Solution in Debitum: Obligation to return mistakenly received goods.

Obligations Arising from Crimes (Article 1161)

  • Criminally liable individuals are also civilly liable for damages.

Quasi-Delicts (Article 1162)

  • Involves negligence, not intention.
  • Liability arises from damages caused due to negligence.

Distinction Between Crime and Quasi-Delict

  • Crime: Involves malice or intent; punished criminally.

  • Quasi-Delict: No malice; only negligence leads to civil liability.

  • Parties cannot file both a criminal case and a civil case for the same incident.

  • The choice of one remedy excludes the other.