Obligations: General Provisions and Classifications

Title I - OBLIGATIONS

General Provisions

• An obligation legally binds someone to give, do, or not do something.
• Juridical necessity means legal compliance is compulsory, with legal sanctions for non-compliance.
• Noncompliance results in legal repercussions/sanctions
• An obligation is a duty of the obligor to satisfy a demandable claim of the obligee, enforceable in court.
• Contracts create obligations, but obligations don't always need a contract.
• Damages compensate the obligee for harm suffered due to a breach of their right

Kinds of Obligation

• Classified by sanction, subject matter, affirmativeness/negativeness, and the person obliged.

Viewpoint of Sanction

• Civil: Enforceable in court, based on law, with sanction via judicial process
• Natural: Not court-enforceable, but authorizes retaining voluntary payment by the debtor, rooted in equity and natural law.
• Moral: Sanctioned by conscience, morality, or religious law.
• A moral obligation can become a civil one

Viewpoint of Subject Matter

• Real: The obligation to give.
• Personal: The obligation to do or not to do

Viewpoint of Affirmative or Negative Obligation

• Positive/Affirmative: Obligation to give or do
• Negative: Obligation not to do, including not giving

Viewpoint of Persons Obliged

• Unilateral: Only one party is bound.
• Bilateral: Both parties are bound. - Reciprocal: Performance depends on the other.
  • Non-reciprocal: Performance is independent.

Elements of Obligation

• Active Subject (Creditor/Obligee): Demands performance.
• Passive Subject (Debtor/Obligor): Bound to perform.
• Prestation: The object, to give, do, or not do; conduct required of the debtor.
• Efficient Cause: Juridical tie binding parties; source of obligation.
• Causa: Why the obligation exists.

Prestation (Object)

• To give: Delivery of a thing
• To do: Covers works or services
• Not to do: Refraining from acts

Requisites of Prestation/Object

• Licit: Lawful, or else it is void
• Possible: Feasible, or else it is void
• Determinate/Determinable: Specified, or else void
• Pecuniary Value: Must have monetary value

Injury versus Damage

• Injury: Wrongful act/omission causing loss/harm.
• Damage: The result of injury (loss, hurt, harm).

Sources of Obligations (Article 1157)

• Law: Imposed by law, expressly or impliedly.
• Contracts: Arises from stipulations, must be complied with in good faith.
• Quasi-contracts: Lawful, voluntary, unilateral acts to prevent unjust enrichment.
• Acts/omissions punished by law: Arises from civil liability due to criminal offenses.
• Quasi-delicts: Damage caused by fault/negligence without a pre-existing contract.

Law (Obligation ex lege)

• Must be expressly/impliedly established, not presumed.
• Civil Code applicable secondarily to obligations from other laws.

Contracts (Obligation ex contractu)

• Meeting of the minds/formal agreement
• Should not violate the law, morals, good customs, public order, or public policy
• Governed by stipulations, clauses, terms, and conditions.

Quasi-Contracts (Obligation ex quasi-contractu)

• Lawful, voluntary, unilateral acts preventing unjust enrichment.
• No consent; consent is presumed.
  • Negotiorum Gestio: Voluntarily managing another's abandoned affairs.
  • Solutio Indebiti: Undue payment when there's no right to demand it.

Delicts (Obligation ex maleficio or ex delicto)

• Arises from civil liability due to criminal offense.
• Governing rules - RPC and penal laws, subject to Civil Code Art 2177. - Civil Code, Preliminary Title on Human Relations. - Civil Code, Title 18 of Book IV on damages.

Criminal Liability

• Restitution: Return of property
• Reparation of damage caused: Determined by court, considering factors like price/sentimental value.
• Indemnification for consequential damages: Includes damage to family/3rd parties due to the crime.

Effect of Acquittal in Criminal Case

• Reasonable doubt: No civil liability
• Exempting circumstances: Civil liability exists
• Preponderance of evidence: Civil liability

Quasi-Delicts/Torts (Obligation ex quasi-delicto/ex quasi-maleficio)

• Damage caused by act/omission, with fault/negligence, but no contract.

Requisites of Quasi-Delict

• Omission
• Negligence
• Damage to the plaintiff
• Direct cause and effect: omission being cause, damage consequence
• No pre-existing contract between parties

Fault or Negligence

• Failure to exercise diligence required by the obligation's nature, considering persons, time, place

Contrasting Delicts and Quasi-Delicts

Other Points

• Article 1162 source of obligation exclusive per Sagrada v. Naccoco - Some commentators believe it isn't; one more possible source is a public offer - Ateneo memory aid
• Enumeration in 1157 not scientific
  • Basically only 2 sources of obligation: law and contract - [quasi-contract, delicts, and quasi-delicts are imposed by law]-Leung Ben v O'Brien

Chapter 2.Nature and Effect Of Obligations

• 1163: Obligation to give something requires diligence of a good father of the family, unless law/stipulation specifies otherwise.

Duties of Debtor

• Preserve/care for the thing due.
  • Diligence of a good father - ordinary care of a reasonable, prudent person.
    • Factors considered- nature, the circumstances of the person, time and place
    • Debtor not liable for fortuitous events/force majeure without negligence/fault.
• Deliver the fruits of a thing
• Deliver accessions/accessories
• Deliver the thing itself
• Answer for damages in case of non-fulfillment/breach

Article 1164

• Creditor has right to fruits from time obligation to deliver arises, but no real right until delivery.

Real Right (jus in re)

• Right over a specific thing
• Enforceable against the whole world

Personal Right (jus ad rem)

• Right to demand fulfillment of a prestation
• Enforceable only against a definite person/group

Transfer of Ownership

• Before delivery, creditor in obligations to give has personal right.
• Ownership transferred by delivery, actual or constructive.
• Remedy without delivery is a complaint for "specific performance and delivery".

Types of Delivery

• Actual Delivery: Grantor to grantee, or possessory acts with grantor's consent.
• Constructive Tradition: Representative/symbolic delivery

Fruits

• Natural
• Industrial
• Civil

Article 1165

• Creditor can compel delivery of determinate thing; for indeterminate/generic thing, compliance at debtor's expense.
• Debtor responsible for fortuitous event if delaying or promising same thing to 2+ persons of differing interest.

Determinate vs. Indeterminate

• Determinate: Capable of particular designation, obligation extinguished by fortuitous event
• Indeterminate: Reference only to class/genus, obligation not extinguished

Remedies for Failure of Delivery (Determinate Thing)

• Specific performance

• Rescission

• Damages

• General rule: no one liable for unforeseen, inevitable events, except where specified by lay, stipulated by the parties, or nature of the obligation requires assumption of risk.

• Indeterminate thing cannot be destroyed by a fortuitous event because genus never perishes.

Article 1166

• Delivering a determinate thing involves delivering all its accessions and accessories, even if not mentioned.
• Accessions: Additions/improvements to the principal thing.
• Accessories: Included for embellishment, better use, completion

Articles 1167 and 1168

• Article 1167: Obligor fails to do required act, it shall be executed at his cost and observed if he does it terms agreed upon
• Article 1168: The obligation must be undone if obligor acts on what has been forbidden to him, and must be at is expense.

Article 1169

• The ones legally bound to deliver must adhere it what is due by the terms of terms agreed upon the contract or else there shall be delay from The time it was due from being demanded from their end
• However there shall be no demand placed when law or it's expressly due, time is of it's essence, Prestation is impossible, or if there is reciprocal demand

Types of Delays

• Ordinary: mere failure to perform at appointed time.
• Legal (Default): Non-fulfillment after extrajudicial/judicial demand

Types of Default:

Mora Solvendi: Delay on part of debtor to fulfill obligation

•  Requisites:
  - Failure to do obligation after date agreed
  - Failure after notification
  - Failure to to comply with request
  

• Effects:
  - The debtor is now liable for damages and interest
  - That the things to be done will be accountable to fortuitous event.
  

• KINDS: o mora solvendi ex re- default in real obligations (to give) o mora solvendi ex persona - default in personal obligations (to do)

• Mora Accipiendi: Delay om part of creditots to accept terms of the agreement.

• Effects: o creditor - liable for damages o creditor - bears the risk of loss of the thing o debtor - not liable for interest from the time of creditor's delay o debtor - release himself from the obligation

• Compensatio Morae: Delay of obligors in reciprocal obligation

Articles 1170

• Those who are non complaint to what's owed either through fraud, neglect or violation, and those who are in any manner contravene the tenor thereof, are liable for damages. o Fraud(dolo) -deliberate intentional evasion of the faithful fulfillment of an obligation’ Deliberately going against an agreement that was put in place. o Negligence (culpa or fault) - voluntary act or omission of diligence, which prevents the normal fulfillment Of the agreements and terms in place.

Delay (Mora)

• Default or tardiness in the performance of an obligation right after it has been made and it due in full.

Contravention to terms of the obligation (violatio)

• the action of violation of the agreements and terms that are in the contract.

Article 1171

• Responsibility that comes from fraud is demand for all, and the same goes void in all fraud coming from one party member .
• However to do so will necessarily render the obligatory force of contracts illusory.
• The law does not prohibit waiver of an action for damages based on fraud already committed.
• Any deliberate deviation from the normal way of fulfilling the obligation may be a proper basis for claim for damages against the guilty party.
• INCIDENTAL FRAUD - committed in the performance of an obligation already existing because of a contract
• CAUSAL FRAUD, the remedy is annulment bec of vitiation of consent.

Article 1172

• Responsibility for performance needs to be demanded, but responsibilities may be regulated by the courts According to circumstances
• negligence depends upon the (a) circumstances of a case good or bad, (b) that it is not as serious as fraud.
• Negligence*: absence of careful thought and or full information and understanding

TEST OF NEGLIGENCE

Did the defendant, in doing the alleged negligent act, use the reasonable care and caution which an ordinary prudent man would have used in the same situation?

NEGLEGENCE TYPES

Basis *Culpa Aguillana *Cupla contractrual DEFINITION *NEGLECTION BETWEEN NOT A PRE EXISTING NEGECTION * NEGELECTION OF TERMS AND AGREEMENT IN FULL FORCE NATURE IF NEGLIGENCE *DIRECT/ SUBSTANTIAL AND INDEPENDENT * NOT complete or proper defense in the selection of employees. PRESUMTION negligence * injures party most prove : negligence of the defendant

• That's are IS PRESUMPTION: defendant must PROVE was negligence out the terms of the contract. NOT

Article 1173

• If law does not say the degree of care, be on the look out for if a good family man shall be obliged.
• GOOD fathers don't abandon, instead they want to product their family / diligence TYPES NEGLIGENCE
• DUE DILIGENCE REQIRUIED
• PARTY AGGREED NOTE DILLIGENCE is the other positive on Neglection
• Fraud negeltion*
• There Is Delbert interred to cause damage (fraud) * THERE IS NO DELIBERATE action or damage neglection
• Libility connote demoted **(Fraud) * Waives for future action may be allowed in some negligence

Article 1174

• Unless express the law states otherwise for stipulations*. If their I was in evitable events no person shall be responsible FORTUITOUS EVENT means That it can not be for seen if even seen it's in evitable

• It is absolutely dependable and humane inter vents GOD FORCE MAJEURE is when the in event is caused by LEGATE or person

• This leads to certain obligations from liability from the will • Not seen • No influence • No adding (help)

Exemptions

• (1) there is an express stipulation that he shall be liable even non-performance due to gratuitous events (2) When the nature of the obligation Requires the assumption of risk (Three) when the obligor is in delay

((5)) when the possessor Is in bad faith in the thing lest the deteriorated due to fortunate event (six) When The obligor contributed to list of thing

Article1175

• Usuriest trans actions shall be governed by spicsial laws* [Usuries, contracting for or receving interest in expenses of the amount ALLOWED/ BY WAY OF THE LOAN FOR BY USER of money or goods.
• Simple ONE is when the the other parties delivers that another in the same agreement from the same kind but only to be of a high quality shall be paid.*

Article 1176.

• The receipt of The principal by the credit will -Give rise the presumption the interest has been paid

Note *Presumtions , to make sure ride that interest and dates are covered by their pay ment

In short

• "after you have purchased the inventory and having used debt will result the same and make the in their all rights and in this actions will be to defraud" * "Remedies is made for (or able)to their creditors of section 1 is ex action and 2 is to exast *
• (10) When is has the power over the things and have been taken *
• In all other case **

Article 1178

• **Subjet these laws are their all rights must be followed, if not stated. 1 can't pass to action on pure rights, personal

Chapter 3: DIFFEERENT KINDS OF OBLIGATION

• Pure means you agree

• If you don't that means you are now not in agreement with this article*

Article 1179

• All obligation whose performance doe depend of a future is know *
• Condition means an event which is Both Futura and uncertain for what's to come*
• PURE OBLIGATION*
• it is not contains in terms of obligation

###Conditional or Obligations depend on the (debtors)

• Means to do so. That what it all really is*

• Suspend to that'l or to happened • Debitor for what to happened

Article 1181

• in conditions is the a quids lion as as to those already a quid, they can't depend on the the even is constitution can get* •(is not the same ) the right of and they depend if the hAppening

TYPES OF CONSTITUTION OF ARTICLE

• POTESTATAIVE a suspensive is when it Deponds on either sides ( debt and credit and so on)

• casul : the condition to the this persons *
• Mixed : de ponds part way*

##Article 1183

• Imposisble condition shall not allowed if they aren't with the order it it divisible*

ARticle 1184

• (1) As soon as it Expired and out that the event will take
• (2) The same to where it's from that's it * "TIMES what'S happens for the obligations that must

##Article 1185

• In an event of time that I'll not happen so from them *
• Not for being a part of some then so* " This is an EVENT"

Article 1186

• *The condition may have happen when the obligor has Voluntarily proven *
• PREVENING action / volintarily and then PREVENTS to*

##Article 1187

• It that condition*
• it SHALL retroactive, but the amount that the amount should've been compensated

##Article 1189

• *The conditions ( the rules you must apply in regards those cases) will come with that time *
• Obligatio is (1 to 2) damaged or to (damages)*
• "the rule here I all (1 with time and when"* "damages time to give when Loss the debt will change
• Improvment
• A: time inprovemt B: is expenses of debt and to create*

Article 1190(1) all this will show a clear in case of change. All this with the party how bond to this will return (3)*

• Reciprocal, one will give as to (4) for the the (do can't) *

##Article 1191

• (1) is when all is well and it from each (2) the injured (3)The court **

• (4) Is without and this you understand and that the is in accordance

##Article 1 (3) If you CAN'T use a certain part of it . Then then you not using it.**** ##Article 1 (4) If you Can't used certain amount you CANT pay the price.** ##Article 1 (5) If your no.1 then the other party does . The

• *(THREE WAYS)
• (WHAT EVER YOU ALREADY RECEIVED)***