Obligations in Law

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Questions and Answers

What happens if a creditor accepts a later payment of a debt without objections to previous unpaid installments?

The creditor can still demand full payment of the original debt.

The debtor is relieved of all future obligations.

The creditor loses the right to collect any further payments.

The law presumes the earlier installments have been paid. (correct)

Which of the following acts may creditors challenge as fraudulent?

Reduction of the debtor’s income from work.

The sale of a debtor's primary residence.

The renegotiation of a debtor's loan terms.

The debtor's transfer of assets to family members. (correct)

Which of the following rights cannot a creditor exercise on behalf of a debtor?

Rights tied to the debtor’s employment. (correct)

Rights concerning the debtor’s claims against third parties.

Rights associated with debt repayment contracts.

Rights related to the debtor’s property.

What is meant by the term 'transmissible' in the context of rights acquired from obligations?

Rights can be passed on or transferred to others. Signup and view all the answers

When creditors pursue the debtor's property, what types of assets may they look for?

Any assets or properties owned by the debtor. Signup and view all the answers

How can a creditor collect on a debtor's rights or claims against third parties?

By using those claims to offset the debt owed to them. Signup and view all the answers

Which action is NOT within the creditor's rights when pursuing debts?

Challenging the debtor's family rights. Signup and view all the answers

What is the main purpose of creditors' rights to impugn or invalidate fraudulent acts by the debtor?

To protect creditors from being deceived or losing owed debts. Signup and view all the answers

What is the consequence of the loss of an alternative due to the debtor's fault in an alternative obligation?

The loss does not render the debtor liable. Signup and view all the answers

In a facultative obligation, what happens if the principal prestation is void?

The entire obligation becomes null and void. Signup and view all the answers

What happens when a debtor's security totally disappears due to a fortuitous event?

The creditor may use a remedy to recover the loan. Signup and view all the answers

What defines solidarity among debtors in an obligation?

Each debtor is responsible for the entire obligation. Signup and view all the answers

Under what circumstance does solidarity arise among creditors?

When the law or the nature of the obligation expressly requires it. Signup and view all the answers

What consequence follows if a debtor violates an undertaking in consideration of a loan period?

The creditor has the right to demand immediate payment. Signup and view all the answers

What is the implication when two or more creditors are involved in an obligation without a solidarity arrangement?

Each creditor can only demand their proportionate share. Signup and view all the answers

If a debtor attempts to abscond, what is the likely outcome regarding the obligation?

The obligation becomes immediately demandable. Signup and view all the answers

In the case of alternative obligations, what is true about the debtor's responsibility?

The debtor is bound to fully perform one of the alternatives. Signup and view all the answers

Which statement is true regarding the loss of a substitute in a facultative obligation?

Liability only arises if the loss occurs after substitution. Signup and view all the answers

What defines a simple obligation?

It consists of only one prestation. Signup and view all the answers

If in an alternative obligation one alternative is lost, what can the creditor do?

The creditor must choose another alternative. Signup and view all the answers

Which condition leads to nullity in a facultative obligation?

The principal prestation being void. Signup and view all the answers

What condition must be met for a creditor to demand payment if the debtor’s security deteriorates?

The deterioration must render it completely useless. Signup and view all the answers

Which of the following is NOT a condition that allows a creditor to disregard the period agreed upon for an obligation?

The debtor offers to pay early as a goodwill gesture. Signup and view all the answers

What must a debtor do with a bond at the time of its expiration according to the obligations outlined?

Renew the bond or replace it with an equivalent guarantee. Signup and view all the answers

What defines conventional solidarity?

Agreed upon by the parties involved. Signup and view all the answers

In a situation of real solidarity, what dictates the obligation shared among multiple debtors or creditors?

The nature of the obligation itself. Signup and view all the answers

Under the rules on multiplicity of suits, which of the following is true?

A creditor can sue any one debtor for the entire obligation. Signup and view all the answers

What is a characteristic of legal solidarity?

It is enforced by external legal statutes. Signup and view all the answers

What is the effect when division of obligations among solidary debtors is impossible?

Creditor actions must be collective against all debtors. Signup and view all the answers

Which statement best describes the principle of multiplicity of suits in relation to solidary obligations?

Only one lawsuit is necessary to seek full satisfaction of the debt. Signup and view all the answers

Which of these best exemplifies real solidarity?

A bank requiring joint signatures from borrowers. Signup and view all the answers

What might prejudice the rights of creditors when dealing with solidary obligations?

Collective acts by the creditors themselves. Signup and view all the answers

What can a solidary creditor do in relation to the other creditors?

Act beneficially for the others Signup and view all the answers

Under what condition can a solidary creditor assign their rights to collect a debt?

With consent from all other solidary creditors Signup and view all the answers

What happens if a solidary creditor tries to assign their rights without consent?

The assignment could be considered invalid Signup and view all the answers

How does the debtor pay in a solidary obligation with multiple creditors?

Has the discretion to pay any one of the creditors Signup and view all the answers

What is one primary benefit of non-uniform obligations among parties?

Allows for different performance requirements based on circumstances Signup and view all the answers

What principle protects the collective power of solidary creditors against independent assignments?

Theory of mutual agency Signup and view all the answers

Which of the following is NOT true about the obligations of debtors in a solidary arrangement?

Debtors can ignore their obligations if one creditor is unable to collect Signup and view all the answers

What aspect of solidarity arrangements accommodates varying circumstances for parties involved?

Flexibility in how creditors and debtors are bound Signup and view all the answers

What happens when one solidary debtor receives a full remission of the entire debt?

The entire obligation is canceled for all debtors. Signup and view all the answers

In which scenario would the forgiven debtor reimburse the paying debtor?

If one of the co-debtors becomes insolvent. Signup and view all the answers

What occurs when the object of an obligation is lost without fault of the solidary debtors?

The obligation is extinguished with no liability. Signup and view all the answers

What is the consequence of a solidary debtor's fault when the prestation becomes impossible?

All debtors are liable for the price and damages. Signup and view all the answers

Which of the following is true regarding reimbursement after a remission?

The forgiven debtor cannot seek reimbursement from others. Signup and view all the answers

If a solidary debtor experiences a fortuitous event, what is the outcome?

The obligation is extinguished without liability. Signup and view all the answers

How does a creditor's remission impact the financial responsibilities of other co-debtors?

Remission eliminates debts for all parties concerned. Signup and view all the answers

What type of liability arises if a solidary debtor causes loss due to fault?

All co-debtors share liability for damages. Signup and view all the answers

Study Notes

Obligations

An obligation is a juridical necessity to give, to do, or not to do. It involves a legal tie. Non-compliance results in legal sanctions.
Obligations arise from: law, contracts, quasi-contracts, acts or omissions punished by law, and quasi-delicts.

Kinds of Obligations

Civil Obligation: Enforceable in court; violation results in judicial action.
Natural Obligation: Not enforceable in court but allows for retention of voluntary payments; based on equity and natural law.
Moral Obligation: Based on conscience or morality (e.g., Catholic promise); sanctions vary.

Kinds of Obligations by Subject Matter

Real Obligation: Obligation to give something.
Personal Obligation: Obligation to do or not to do something.

Kinds of Obligations by Affirmative/Negative

Positive (Affirmative) Obligation: Obligation to perform an action (give or do).
Negative Obligation: Obligation not to do something.

Kinds of Obligations by Persons Obligated

Unilateral: Only one party is bound (e.g., Plato owes Socrates P1,000.)
Bilateral: Both parties are bound (e.g., contract of sale).

Essential Requisites of an Obligatio

Active Subject (Creditor/Obligee): Person demanding performance.
Passive Subject (Debtor/Obligor): Person obligated to perform.
Prestation or Object: The obligation itself (to give, to do, or not to do).
Juridical/Legal Tie: The connection between parties.

Contracts

Contracts have the force of law between parties and should be complied with in good faith.

Quasi-Contracts

Obligations that arise from lawful, voluntary, and unilateral acts,enriching one party at the expense of another. Two types below:
- Negotiorum Gestio: Unauthorized management of another person's abandoned property.
- Solutio Indebiti: Undue payment (receiving something you weren't entitled to).

Delicts

Acts or omissions that are punishable by law.

Quasi-Delicts

Obligations arise from damage cause to another through an act or omission without contractual obligation.

Obligations Arising from Contracts

Contracts primarily established via stipulations, clauses, terms, and conditions.
If a contract's conditions are unconscionable, it might not be fully enforceable.
Interpretation of a contract is a matter of law.
Compliance in good faith is essential, which means adhering to the terms in accordance with stipulations or agreements of the contract.

Conditional Obligations

An obligation with a future or uncertain event, or past event unknown to the parties. It is demandable at once.
Resolutory Conditions: An obligation that terminates a certain future event.
Suspensive Conditions:An obligation that becomes effective when a future event occurs.

Obligations with a Period

When a specific date (period) is fixed for an obligation's fulfillment, it is only enforceable on that exact date.
If an obligation does not state a specific date, the court may determine a suitable period.
A period is a fixed timeframe, which determines the effectivity or extinguishment of an obligation or contract.

Alternative Obligations

The debtor must perform one of the alternative prestations.

Facultative Obligations

Only one prestation is due, but the debtor may substitute another.
In case of loss, the debtor is not necessarily liable for damages to substitutes.

Joint and Solidary Obligations

Joint obligation: Each party is responsible only for their proportionate part of the debt. It is presumed unless stated otherwise.
Solidary obligation: Each party is responsible for the entire debt.

Obligations with a Penal Clause

A penal clause is an accessory obligation that carries a specific penalty for non-performance or breach of the contract's principal obligation. It serves as a substitute for damages.
In cases where there is a penal clause, the specific penalty will substitute damages.

Divisible and Indivisible Obligations

Divisible: Obligations capable of partial performance (e.g., repaying a loan in installments).
Indivisible: Obligations requiring complete performance (e.g., delivering a unique item).

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Description

Explore the different types of obligations in legal terms. This quiz covers civil, natural, and moral obligations, along with their classifications by subject matter. Test your understanding of obligations and their implications in law.