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Obligations Under the Philippine Civil Code

Aug 5, 2024

Overview of Obligations under the Civil Code of the Philippines

Introduction

  • Presented by Attorney Javier
  • Educational purpose; not a substitute for legal advice
  • Encourages viewers to study law and textbooks for deeper understanding
  • Sponsored by Digest.ph, an online law library

Definition of Obligation

  • Article 1156: Obligation defined as a judicial necessity to give, do, or not to do.
  • Legal relationship between Creditor and Debtor.
    • Creditor: Has the right to demand performance.
    • Debtor: Must fulfill the obligation.
  • Enforceable in court if there is non-compliance.

Sources of Obligations

  • Article 1157: Sources include:
    • Law: Obligations created by laws (e.g., tax laws).
    • Contracts: Voluntary agreements between parties.
    • Quasi Contracts:
      • Examples:
        • Negotium Gestio (Articles 2144-2153): Management of another's property in urgency (e.g., typhoon).
        • Solutio Indebiti (Articles 2154-2163): Payment made by mistake must be returned.
    • Delicts/Crimes: Civil liability accompanies criminal liability (Article 100).
    • Quasi Delicts: Negligent acts causing damage (Article 2176).

Incidents in the Life of Obligations

Types of Prestations

  • To Give: Real obligations, delivery of a thing.
    • Determinate vs. Generic:
      • Determinate: Specific item (e.g., a specific car).
      • Generic: Class of items (e.g., any car).
  • To Do/Not to Do: Personal obligations.
    • Positive (to do) and negative (not to do) obligations.

Liability for Loss/Damage

  • Article 1174: No liability for losses due to fortuitous events, except in certain circumstances.
  • Determinate things lost without fault of the debtor do not incur liability if not late.
  • Debtor must take care of the item before delivery (Article 1163).

Delivery Requirements

  • Article 1166: Complete delivery includes accessions (natural products) and accessories (items for use/preservation).
  • Creditor's Rights:
    • Before delivery: Personal right to demand.
    • After delivery: Real right to the fruits.

Breach of Obligations

Types of Breach

  • Late or Irregular Performance: Can lead to claims for damages.
  • Specific Performance: Demand compliance or damages depending on type of obligation.
  • Reciprocal Obligations: Both parties must fulfill; breach leads to remedies of either specific performance or rescission.

Delay and Default

  • Legal Delay: Occurs with judicial/extrajudicial demand.
  • Ordinary Delay vs. Legal Delay: Only legal delay constitutes breach (Article 1169).
  • Consequences of Delay:
    • Debtor liable for damages if in delay.
    • Creditor liable for damages if they delay acceptance.

Types of Obligations

  • Pure Obligations: Immediately demandable.
  • Conditional Obligations: Performance depends on uncertain future event (suspensive vs. resolutory).
  • Obligations with a Period: Must wait for a certain due date.
  • Alternative Obligations: Debtor can choose which performance to render.
  • Joint vs. Solidary Obligations:
    • Joint: Each debtor liable only for their share.
    • Solidary: Each debtor liable for the full obligation.

Extinguishing Obligations

Main Modes of Extinction

  • Payment or Performance: Must be complete and to the correct party.
  • Loss of Thing: Only applies to determinate things (not for generic).
  • Condonation: Forgiveness of debt.
  • Confusion: Debtor becomes their own creditor.
  • Compensation: Mutual debts extinguished.
  • Novation: Change in obligation's terms or parties.

Additional Modes of Extinction

  • Death of party, mutual withdrawal, arrival of resolutory period, fulfillment of resolutory condition, compromise, impossibility of fulfillment, fortuitous events, prescription, recession, and nullity of contract.

Conclusion

  • This overview covers the essentials. For more details, refer to textbooks or the full series on obligations.
  • Encourages ongoing study and engagement with legal concepts.