OBLIGATION SORIANO MADE QUICKER. Use at your own risk. ---------------------------------ART. 1156-1162 Obligation - a juridical necessity to give to do or not to do. Requisites Active subject- (obligee) entitled to demand Passive subject- (obligor) has a duty Prestation/Object- subject matter Juridical/Legal tie- efficient cause; binds or connect the parties. Civil obligation is positive law so enforceable by court Natural obligation is based on natural law so not enforcable by court action. KINDS OF OBLIGATION; SUBJECT MATTER Real obligation- to give Personal obligation- to do; not to do. Sources of obligation Law - imposed by law itself Special laws - laws that's not contained in the Civil code Contract - arise from stipulation of the parties; meeting of minds between 2 person Breach of Contract - failure to comply obligation w/o legal reason Compliance in good faith - sincerity and honesty must observed Quasi contract - lawful, voluntary or unilateral act; no one shall be unjustly enriched at the expense of other Negotiorium gestio - voluntary management; without consent of latter. Solutio indebiti - no rights to demand; unduly delivered thru mistake. Crime - civil liability; consequence of criminal offense Quasi delicts - damage caused thru act or omission Civil liability (Delicts) SCOPE Restitution - returning losts things Reparation- claiming the obligation for the family of victim Indemnification - damages ART. 1163-1178 NATURE AND EFFECT OF OBLIGATION Determinate if specific or particually designated; debtor cannot substitute Generic if not determinate; cannot be pointed out; debtor can give anything Why to know? Loss of determinate thing through fortitous event exthinguishes obligation. Obligation of one Obliged to give a determinate thing 1. To take care of thing with the diligence of a good father of family unless agreement or law requires another standard of care 2. To deliver the accessions and accessories Accessions - addition or improvements upon a thing (principal) Accessories - joined to or included with a thing; completion. 3. To deliver the fruits of the thing KINDS OF FRUITS Natural fruits - products of the soil Industrial fruits - produced by lands thru labor Civil fruits - virtue of a juridical relation The creditor has personal right to the fruit from the obligation to deliver arises but no real right to it. Personal right - right to demand; can enforced by 1 person to another Real right - right or interest over specific thing; enforceable against the world REMEDIES OF CREDITOR If the debtor fails to* *deliver determinate thing - compel to make delivery -demand damages *deliver generic thing -ask debtor to comply at debtor expense -demand damages to debtor Grounds for liability to pay damages 1.fraud - (deceit or dolo) intentional dishonesty DOLO INCIDENTE - committed in the performance DOLO CAUSANTE - execution of contracts 2. Negligence - (fault or culpa) voluntary act or omission; no bad faith CULPA CONTRACTUAL - negligence in contracts; breach CULPA AQUILIANA - (civil) not supported preexisting contract; tort or quasi-delict CULPA CRIMINAL - commission of a crime 3. Delay Ordinary - merely failure to perform obligation on time Legal - failure to perform on time which constitue breach of obligation MORA SOLVENDI - debtor's delay; to give or to do MORA ACIPIENDI - creditor's delay; to accept performance COMPENSATIO MORAE - delay of obligors in reciprocal obligation 4. Contravention of the tenor of the obligation - violations of the terms and conditions in obligation Damages 1.Damages -harm done -some of money that may be recovered in reperation for the harm done. Injury -wrongful unlawful tortious act that causes harm to others. 2. Kinds of damages A. Actual or compensatory B. Moral C. Nominal D. Temperate or moderate E. Liquidated damages F. Exemplary or corrective damages 3. Proof of precutionary loss A. Actual - proof is required B. Other damages- proof is nit required. Fortuitous events are those events that cannot be foreseen or if can be forseen is inevitiable. ACTS OF MAN - intentional acts of man ACTS OF GOD (force majeure) independent will of human; flood, earthquake etc. MUTUUM (Simple loan) - same amount of the same kind and quality shall be paid; gratuitous. USURY - receiving imterests in excess of the loan Presumption - inference of fact; arises from usual connection • Conclusive- cannot be contradicted • Disputable- rebuttable Commodatum- essentially gratuitous ART. 1179-1192 (SEC 1) Different kinds of obligation. 1.Pure obligation - not subject to any condition 2. Conditional obligation - consequences are subject in one way to fulfill CONDITION - effectivity or extinguishment of an obligation • Future and uncertain • Past but unknown [[ effect ]] Suspensive - will give rise to an obligation Resolutory - will extinguish an obligation [[ form ]] Express - clearly stated Implied - merely inferred [[ possibility ]] Possible - capable of fulfillment Impossible - not capable [[ cause or origin ]] Potestative - depends upon the will; contracting parties Casual - depends upon chance; third person Mixed - depends partly upon chace and will [[ mode ]] Positive - performance of an act Negative - omission of an act [[ numbers ]] Conjunctive - all must fulfilled Disjunctive - only one or some [[ divisibility ]] Divisible - susceptible Indivisible - not susceptible USUFRUCT - enjoy the uss and fruits of a thing belongs to other. ART. 1193-1998 (SEC 2) 3. Obligation with a period - consequences are subjected to expiration of said period. Period - future and certain event upon arrival; day certain to come [[ effect ]] Suspensive - begins from a day certain of arrival Resolutory - valid up to a day certain; terminated upon arrival [[ source ]] Legal - law Conventional/Voluntary - agreed by the parties Judicial - fixed by the court [[ definiteness ]] Definite - known when it will come Indefinite - not fixed whn to come GENERAL RULE: obligation is not demanable before the lapse of the period ART. 1199-1206 (SEC 3) 4. Alternative obligation - several prestation are due but performsnce is sufficient 5. Facultative obligation - only one prestation are due but debtor may substitute another ART 1207-1222 (SEC 4) 6. Joint obligation- ( mancomunada) to be paid proportionately by different debtors; demanded by creditors; WE PROMISE TO PAY Debtor- each debtor is liable only in proportionate share of the liab. Creditor- each creditor is entitled only in proportionate amount. 7. Solidary obligation- (separadamente) each one of the debtors is bound to render; creditors to demand; I PROMISE TO PAY Passive - debtor; anyone can be liable of fulfillment Active - creditor; anyone can demand fulfillment ART.1223-1225 (SEC 5) Divisible obligation - one is capable of partial performance. Indivisible obligation - not capable of partial performance ART. 1226-1230 (SEC 6) Obligation with penal clause- imposes a greater liability to debtor in case of non compliance. Penal clause - is accessory undertaking. FUNCTION A penal clause is attached to an obligation in order to insure performance amd has double function. 1.To provide for liquidated damages. 2. To streghthen the coercive force of obligation. Kinds of penal clause. [[ origin ]] Legal- Imposed by law Conventional - by agreement of parties. [[ purpose ]] Compensatory - penalty takes place of damages Punitive - imposed merely for breach [[ effect ]] Subsidiary- when only penalty can be imposed Joint- when both obligation and penalty may be imposed. General rule: The penalty takes place of the damages and interest of non compliance. ART. 1231-1261 (SEC 1) Extinguishment of obligations Causes of extinguishment of obligation 1.Payment or performance -not only in money but also in performance or in any mannner of an obligation Special forms of payment Dacion en pago (dation in payment) conveyance of ownership of a thing as an accepted equivalent of performance Judicial cost - statutory amounts alloweds to an action for his expenses incurred in the action Legal tender - currency which debtor can legally compel a creditor to accept in payment Inflation- sharp sudden increase of money Deflation- reduction in volume and circulation of money 2. Application of payment - designation of the debt 3. Payment by cession - assignment or abandonment of all properties of debtor 4. Tender payment- debtor; offering to a creditor the thing or amount due Consignation- depositing the thing with the proper of court ART. 1262-1269 (SEC 2) 2. Loss of the thing due - thing is los if it perishes or goes out of commerce or disapprears in such way that its existense is unknown or cannot be recovered. Includes physical or legal imposibility. Loss effect on obligation 1. Loss of determinate thing Gen rule: will extinguished the obligation except When the loss due to fault of debtor When debtor incures delay When law so provides When stipulayed of parties When nature ob obligation includea assumption of risk. When debts proceeds from criminal offenses. 2. Loss of a generic thing. - will not extinguish obligation exept on delimited generic. 3. Loss in personal obligation(obligation to do) -When the prestation became legally or physically impossible with out fault of debtor the obligation is extinguished. - when the service has become so dificult as to tbe manifestly beyond the contemplation of parties, the onligor will be released wholely or partly in the ibligation. ART. 1270-1274 (SEC 3) 3. Condonation or remission - gratuitous abandonment by creditor REQUISITES: • gratuitous • accepted by obligor • have the capacity • not be inofficious • made expressly; comply with the forms of donation [[ extent ]] Comple - covers entire obligation Partial - not cover entire [[ form ]] Express - made verbally or writing Implied - inferred from conduct [[ date of effectivity ]] Inter vivos - take effect during lifetime of donor Mortis causa - upon death of donor; will of testament ART.1275-1277 (SEC 4) 4. Confusion or merger - meeting in one person the quality of creditor/debtor with respect to same obligation ART. 1278-1290 5. Compensation- when 2 persons become creditors and debtor of each other. [[ extent ]] Total - both are same amount; entirely extinguished Partial - two are different amount; balance remains [[ origins ]] Legal - take place the operation of law; without knowledge Voluntary - take place agreement of parties Judicial - take place by order form a court in a litigation Facultative - can be set up only by 1 of the parties 6. Novation - total or partial extinction thru creation of new one; substition [[ origin ]] Legal - operation of law Conventional - agreement of parties [[ constituted ]] Express - unequivocal terms Implied - old and new are essentially incompatible [[ effect ]] Extinctive - old; extinguished Modificatory - old; modified [[ subject ]] Real - objective; change Personal - subjective; debtor substituted Mixed - both are changed KINDS: Personal Novation Substitution - person of debtor substituted Subrogation - third person is subrogated in the rights of creditor KINDS: Substitution Expromision - take place with his own initiative Delegacion - take place when creditor accepted the third person 7. Abutment 8. Rescission 9 fullfillment of resolutory condition 10 prescription 11 others Partial or modificatory.OBLIGATION SORIANO MADE QUICKER. Use at your own risk. ----------------------------------