GE 3141 Course Outline PDF

GE 3141  COURSE OUTLINE I. Overview of Law in General – Hierarchy and Dimensions of Law [2 weeks] 1. Divine, Natural and Man-Made Laws 2. Laws of Nature 3. Principles of Law 4. Constitution, Statutes, Administrative Issuances, Local Ordinances & Jurisprudence 5. Subs...

GE 3141  COURSE OUTLINE I. Overview of Law in General – Hierarchy and Dimensions of Law [2 weeks] 1. Divine, Natural and Man-Made Laws 2. Laws of Nature 3. Principles of Law 4. Constitution, Statutes, Administrative Issuances, Local Ordinances & Jurisprudence 5. Substantive and Remedial Laws GE 3141 GE 3141 Substantive Law v. Remedial Law GE 3141  Substantive Law v. Remedial Law Concept of Remedial Law Remedial Law is that branch of law which prescribes the method of enforcing rights or obtaining redress for their invasion. GE 3141 Substantive Law v. Remedial Law GE 3141 Substantive Law v. Remedial Law GE 3141  Substantive Law v. Remedial Law The Supreme Court's sole prerogative to issue, amend, or repeal procedural rules is limited to the preservation of substantive rights, i.e., the former should not diminish, increase or modify the latter. (Estipona, Jr. v. Lobrigo, G.R. No. 226679. 15 August 2017) Substantive law is that part of the law which creates, defines and regulates rights, or which regulates the right and duties which give rise to a cause of action; that part of the law which courts are established to administer; as opposed to adjective or remedial law, which prescribes the method of enforcing rights or obtain redress for their invasions. (Ibid.) GE 3141  Substantive Law v. Remedial Law The Supreme Court's sole prerogative to issue, amend, or repeal procedural rules is limited to the preservation of substantive rights, i.e., the former should not diminish, increase or modify the latter. (Estipona, Jr. v. Lobrigo, G.R. No. 226679. 15 August 2017) Substantive law is that part of the law which creates, defines and regulates rights, or which regulates the right and duties which give rise to a cause of action; that part of the law which courts are established to administer; as opposed to adjective or remedial law, which prescribes the method of enforcing rights or obtain redress for their invasions. (Ibid.) GE 3141  Obligation An obligation is a juridical necessity to give, to do or not to do. (Article 1156 of the New Civil Code) GE 3141  Essential requisites of an obligation (APOT) a) An active subject, who has the power to demand the prestation, known as the creditor or obligee; b) A passive subject, who is bound to perform the prestation, known as debtor or obligor. c) An object or the prestation which may consist in the act of giving, doing or not doing something. d) The juridical tie/necessity between the two subjects by reason of which the debtor is bound in favor of the creditor to perform the prestation. It is the legal tie which constitutes the source of obligation. GE 3141  What is the difference between obligations and contracts? Contract is the only one of the sources of obligation, while obligations have other sources like laws, quasi-contracts, delicts or quasi-delicts. GE 3141  Source of Obligations (LCQAQ) Obligations arise from: Law; Contracts; Quasi-contracts; Acts or omissions punished by law; Quasi- delicts GE 3141  Arising from Law Examples: It is the duty of the Spouses to support each other. (Art. 291, Family Code) And under the National Internal Revenue Code, it is the duty of every person having an income to pay taxes. GE 3141  Contracts (see separate discussion) Contract is the meeting of minds between two persons whereby one binds himself with respect to the other. Obligations arising from contracts have the force of law between the contracting parties because that which is agreed upon in the contract is the law between them, thus, the agreement should be complied with in good faith. GE 3141  Contracts (see separate discussion) Examples: A contract of lease was executed between Carding as the lessee and Nena(owner) as the lessor for the rent of an apartment. Contract of Sale or Contract of Service GE 3141  QUASI-CONTRACTS The ‘quasi’ literally means ‘as if’ Quasi-contract is the juridical relation resulting from a lawful, unilateral and voluntary act which has for its purpose the payment of indemnity to the end that no one shall unjustly enrich or benefited at the expense of another. GE 3141  QUASI-CONTRACTS Examples of Quasi-contracts 1. Solutio Indebiti (Payment by mistake) It is the juridical relation which arises when a person is obliged to return something received by him through error or mistake. Example: receiving a big amount in your bank account by mistake GE 3141  QUASI-CONTRACTS 2. Negotiorum gestio (management of another’s property) It is the voluntary management or administration by a person of the abandoned business or property of another without any authority or power from the latter. Example: Victor, a wealthy landowner suddenly left for abroad leaving his livestock farm unattended. Ramon, a neighbor of Victor managed the farm thereby incurring expenses. When Victor returns, he has the obligation to reimburse Ramon for the expenses incurred by him and to pay him for his services. GE 3141  Acts or omissions punished by law as a source of obligations (Crimes) While an act or omission is felonious because it is punished by law, the criminal act gives rise to civil liability as it caused damage to another. GE 3141  QUASI-DELICTS Quasi-delict is one where whoever by act or omission causes damage to another, there being fault or negligence, is obliged to pay for the damage done. Example: If Pedro drives his car negligently and because of his negligence hits Jose, who is walking on the sidewalk of the street, inflicting upon him physical injuries. Then Pedro becomes liable for damages based on quasi-delict. GE 3141  Obligation to give (real obligation): 1) Specific (determinate) thing- particularly designated or physically segregated from all other of the same class identified by individuality (cannot be substituted). Ex. To deliver a specific lot number 2) Generic (indeterminate) thing- object is designated only by its class/ genus/ species. (can be substituted by any of the same class and same kind) Ex. Money GE 3141  Duties of the Debtor (Obligor) 1) Preserve or take care of the thing due 2) To deliver the thing itself 3) To deliver the fruits of the thing 4) To deliver the accessions and accessories 5) To pay for damages in case of breach GE 3141  Accession and Accessories (to be discussed in Property Law) Accession – is the right pertaining to the owner of a thing over its products and whatever is attached thereto either naturally or artificially. Example: Accretion which refers to the gradual and addition of sediment to the shore by action of water. Accessories – are those things which are joined attached to the principal object as ornament or to render it perfect. Example: key to a car. GE 3141  Rights of the Creditor (Obligee) 1) To compel delivery of the thing due or specific performance 2) To recover damages in case of breach from the debtor (non-fulfillment of the obligation) 3) Entitled to fruits and interests from the time the obligation to deliver arises GE 3141  Types of fruits (NIC) 1)Natural fruits- the spontaneous products of the soil, and the young and other products of animals (i.e. grass, tress and plants on lands produced without the intervention of man) 2) Industrial fruits- those produced by lands of any kind through cultivation or labor (i.e. vegetables, rice and all products of lands brought about by reason of human labor) 3) Civil fruits- those derived by virtue of a juridical relation (i.e. rents of buildings GE 3141  Default or Delay (Mora) Failure to perform an obligation on time which constitutes breach of the obligation GE 3141  Types of Delay or Mora 1) Mora solvendi- delay on the part of the debtor to fulfill his obligation either to give or to do 2) Mora accipiendi- delay on the part of the creditor to accept the performance of the obligation 3) Compensatio Morae- delay of both parties in reciprocal obligation GE 3141  Fraud in the performance of Obligation - Intentional evasion of the normal fulfillment of an obligation (manloloko) GE 3141  Negligence in the performance of an obligation Omission of that diligence which is required by the nature of obligation (substandard fulfillment of an obligation) Note: In performing an obligation, ordinary diligence required is diligence of a good father GE 3141  Remedies Available to Creditor in Case of Breach, Delay or Fraud 1) Specific performance by the debtor 2) Right to rescind or cancel the contract 3) Damages if debtor is guilty of fraud, negligence or delay GE 3141  Kinds of Damages that can be recovered (MENTAL) 1. Moral 2. Exemplary or corrective 3. Nominal 4. Temperate or moderate 5. Actual or compensatory 6. Liquidated GE 3141  Fortuitous event (force majeure) -a legal excuse for breach of obligation (except delivery of generic things) -a happening independent of the will of the debtor and which makes the normal fulfillment of the obligation impossible GE 3141  Kinds of Force Majeure 1) Act of God- due directly or exclusively to natural causes without human intervention (i.e. calamity, tsunami) 2) Act of Man- essentially an act of man includes unavoidable accidents but no fault or negligence on part of the debtor GE 3141  Kinds of Obligation 1) Pure Obligation- does not depend on any condition or term. 2) Conditional Obligation- subject to a condition and the effectivity of which is subordinated to the fulfillment or non-fulfillment of a future and uncertain event GE 3141  Conditional Obligation *Suspensive Condition- shall only be effective upon the fulfillment of the condition Ex. “I will give you a car if you pass the GE Board exam.” *Resolutory Condition- immediately demandable but subject to threat by the happening of the resolutory condition Ex. “You can stay in my house until you get a job.” GE 3141  Conditional Obligation *Potestative Condition- fulfillment of the condition depends upon the will of one of the contracting parties *Casual Condition- depends on chance or will of a third person *Mixed Condition- partly potestative and partly casual GE 3141  Kinds of Obligation 3) Obligations with a period or term 4) Facultative (one object and can be substituted by another) or Alternative (several objects) Obligation 5) Joint (liable to proportionate share only) or Solidary (all for one, one for all) 6) Divisible or Indivisible Obligation GE 3141  Extinguishment of Obligation 1) Payment (obligation has been done) - Consignation- depositing of object of an obligation in a competent court 2) Condonation or remission of debt 3) Confusion- creditor and debtor becomes one person 4) Compensation- offsetting of two obligations which are reciprocally extinguished if they are of same value 5) Novation- substitution or change of the obligation by subsequent one GE 3141