Chapter 1: General Provisions CIVIL OBLIGATION – juridical necessity to give, to do, or not to do Examples of Civil Obligations 1. To give – tuition fee 2. To do – taking care of parents to their children 3. Not to do – not to steal JURUDICAL NECESSITY – fulfillment (kailangan gawin kung hindi makakasuhan ka ng court of justice) Examples of NOT Juridical Necessity ( NOT Civil Obligation) 1. Moral Obligation – attending masses 2. Natural Obligation – debt of gratitude Essential Requisites in an Obligation 1. Passive Subject ( debtor or obligor) – PERSON ( taong gagawa ng obligation na kailangan ma fulfill) 2. Active Subject ( creditor or obligee ) – PERSON (demand at magkakatanggap ng gagawin na obligation ng passive subject) 3. Prestation/Object/Subject Matter – ito ung gagawin ng passive subject sa active subject 4. Juridical tie/Vinculum/Vinculum juris – connects the passive subject to active subject Example of Unilateral Naruto is obliged to pay his income taxes Passive Subject = Naruto ( magbabayad ng tax) Active Subject = Philippine Government ( tatanggap ng babayarin ni Naruto) Prestation = to give the money or the tax Juridical tie = Law ( dahil may “Tax Code” na batas na kailangan mag bayad ng sino man na may trabaho) Obligation – juridical necessity to give, to do, or not to do Right – the demand of the person to the other person to get what they need to do Wrong /Cause of Action – hindi pag fulfill ng action na kailangan Example Inosuke did not pay 1000 for the bottle of wine to Tanjiro Plaintiff – magkakaso (Tanjiro) Defendant – kakasuhan ( Inosuke) Cause of action = not paying to Tanjiro Damage = loss on sale of Tanjiro Damages = total or sum of money recoverable (1000 +) may “+” kasi kapag nanalo si Tanjiro sa court mas mataas pa sa 1000 ang marerecover NOTE: Damage and Damages are different Types of Obligations according to prestation 1. Real Obligation – to give 2. Personal Obligation a. Positive Personal – to do b. Negative Personal – not to do Sources of Obligations according to ART. 1157 1. Law – imposed by law (obligations na dapat sundan ng lahat ng tao) 2. Contracts – meeting of minds between two persons ( napagkasunduan) 3. Quasi – contract – not really a contract ( may makakatanggap ng benefit pero na sa kanya kung ibabalik nya ito o hinde) Example: kapag sobra sukli nasa sa iyo kung babalik mo o hinde 4. Acts or omission punished by law – criminal or civil liabilities ( pagkakulong ang gagawin kapag nag commit ng crime na ganito) Delicts – crimes or felony Example: estafa, murder, rape 5. Quasi-delicts – tort or culpa ( negligence or kapabayaan) commonly not causing criminal liabilities but sometimes it is - There is no pre-existing contract Example: The chandelier fell due to negligence causing injuries to the people Tort feasors – sasagot ng mga gastusin sa mga damage na nagawa niya ART. 1158 – there is no obligation unless it is provided with the law (wag I aassume na may obligation) Code – Civil Code Special Laws – mga batas na hindi mahahanap sa Civil Code Example: A private school has no legal obligation to provide clothing assistance to its teachers ART. 1159 – contractual obligation (ART. 1305 – inexplain ano ung contract – a contract is meeting of minds between two persons whereby one binds himself , with respect to the other, to give something or to render some service) Freedom of contract has constitutional and statutory limitations (kailangan di niya kinocontradict o against sa law kungdi magiging illegal/ invalid ang source ) Good Faith – kailangan ng sincerity at honesty to prevent the other parties to take advantage about the contract ( kung ano nakasaad sa contract yun lang dapat) Validity of contract – the contract is valid if there 3 requisites of contract ( Consent, Object, Cause) if not it will be held as void ART. 1160 – quasi-contract ( voluntarily o unilateral acts ito pwedeng ibalik o sabihin ang pagkakamali or hindi sa madaling salita may choice ang isang tao dahil hindi naman niya kasalanan ang nangyari) Di pasok sa contract dahil di niya na apply ang isa sa 3 requisites which is the consent ( na nakasaad sa law) Obligation Arising from Quasi- Contracts – lawful , voluntary, and unilateral acts Negotiorum Gestio (ART. 2144 – 2153) – Nominate Quasi Contract (pinangalanan) Voluntary administration of the property or business of another Utang na loob Kailangan masave talaga ang property Walang karapatan na mag demand Example: Kapag nasunugan ng bahay si Kirito tas wala siya sa bahay niya pero andon si Asuna at tinulungan niyang maapula ang sunog may obligasyon si Kirito na bayaran si Asuna. (walang karapatan pala) Solutio Indebiti (ART. 2154 – 2163) – Nominate Quasi Contract (pinangalanan) Wala kang right to receive By mistake Example: Kapag sobra sukli ni Itsuki sa tindahan nakay Itsuki kung ibibigay niya ang sobra o hindi Other Quasi- Contracts (ART. 2164 – 2175) – Innominate Quasi Contract (walang pangalan) Example: Kapag may stranger na tinulungan ang isang batang pinabayaan ng kanyang magulang may karapatan ang stranger na bayaran siya or repaid ng parents ng bata pero pwedi ring hindi ibalik ang kanyang binigay ART. 1161 – binanggit ang mga provisions ng obligations arising from delicts (may karampatang parusa ang nagawang mali o paglabag sa law) Civil Liability Arising from Crimes or Delicts General Rule: Every person criminally liable is also civilly liable Exceptions : In crimes without material damage Example: Drugs, Elections Codes Restitution – pagbabalik ng bagay na ninakaw Reparation – damage sa bagay na kinuha at hindi to possible kung talaga nasira o nawala ang bagay (ibalik o bayaran ang nasira niya) Indemnification – consequential damages or additional damages (Ex: mental damage) ART. 1162 – Quasi-delicts ( kahit na kapabayaan ang nagawa mo kailangan mong panagutan ang nagawa mo basi kung anong injury or dama ge ang natamo ng tao) Quasi – delicts ( ART. 2176 – 2194) – fault or negligence ( kapabayaan) Pwedeng madamay ibang ang ibang tao na may responsibilidad sa pangyayari kahit hindi siya ang gumawa Example : Kapag may kapabayaan ang isang waiter sa restaurant tas naka damage siya ng customer madadamay pati ang manager at owner ng restaurant Requisites 1. 2. 3. 4. 5. There must be an act or omission Such act or omission causes damage to another Damage was cause through fault or negligence Direct connection between the act or omission and the resulting damage There is no pre-existing contractual relation between the parties Chapter 2: Nature and Effects of Obligations ART. 1163 – proper diligence to the obliged something ( kailangan ng pag iingat at pangalagaan ang bagay na kailangang gawin) - Rights of debtor Specific or Determinate - Particularly Designated or Physically Segregated (under 1459) - Individuality debtor cannot substitute the thing without creditor`s consent Example: 100 peso bill with serial number of 1234567 My car with a plate number of ABC 123 Generic or Indeterminate Thing – a thing is indeterminate when it refers only to a class or genus - species the debtor can give the anything of the same class and of the same kind Example: My Lamborgini Car ( maybe he has many Lamborgini that is why it cannot determine which Lamborgini does he mean) 100 peso bill Types of Obligations according to its Prestation 1. Real Obligations (thing) to give specific thing Duties of the debtor: 1. to give and to take care of the thing (ART. 1163) Diligence of a good father of a family – Ordinary care or ordinary diligence or due diligence (might cause negligence if the debtor did not care) 2. 3. 4. 5. deliver the fruits of the thing (ART. 1164) to deliver the accessories and accessions ( ART. 1166) to deliver the thing itself (ART. 1233 and ART. 1244) to answer the damages in case of non-fulfilment or breach (ART. 1170) Example: Nick bound himself to deliver to you his only dog tomorrow ( nasabi na specific dahil nakalagay ung only dog ibig sabihin nag iisa) to give or deliver generic or indeterminate thing Duties of the debtor: 1. deliver a thing which is of the quality intended by the parties 2. to be liable for the damages in case of fraud , negligence, delay, or contravention of the tenor thereof (ART. 1170) Example: Nick bound himself to deliver to you a dog tomorrow ( nasabi na generic dahil walang ine specify kung anong dog ang i dedeliver) 2. Personal Obligations (act) to do (Positive Personal Obligations) Example: Dio obliged himself to wash the Jotaro`s uniform before the school starts not to do ( Negative Personal Obligations) Example: Kars and Wamuu agreed not to build any structure on the boundaries of their properties Why we need to know if it is Real or Personal? Personal converted to Real if the obligation was not fulfilled Remedies are not the same Obligations of the Debtor and Rights and Remedies of Creditors Obligations of the Debtor 1.1 Obligation to give a specific thing To deliver a thing To take care of the thing before delivery To deliver the fruits of the thing To deliver accessions and accessories although they we not mentioned ( ART. 1166) To pay damages if guild of fraud, negligence, delay, or contravention of the terms of obligation (ART. 1170) 1.2 Obligation to deliver a generic thing To deliver the thing To bear the expenses of having someone else comply with the obligation ( par. 2) To pay damages if guild of fraud, negligence, delay, or contravention of the terms of obligation (ART. 1170) Obligations of the Debtor 2.1 Obligations in obligation to do: To do the obligation To bear with the expenses of having someone else comply with the obligation ( ART. 1167 par.1) To undo what has been poorly done ( ART. 1167 par.2) To bear with the expenses of having someone else to undo what has been poorly done (ART. 1167 par.2) To pay damages if guilty of fraud, negligence, delay, or contravention of the terms obligation. ( ART. 1170) 2.2 Obligations in obligation not to do Not to do what has been forbidden To undo what has been done that is forbidden ( ART 1168) To bear expenses of having someone else to undo what has been done that is forbidden ( ART. 1168) To pay damages if guilty of fraud, negligence, delay, or contravention of the terms obligation. ( ART 1170) Rights and Remedies of the Creditor 1. Principal Rights/Remedies Ask Specific Performance – obligation to give specific thing Ask Performance – obligation to give generic thing and obligation to do Ask Substitute Performance – obligation to give generic thing and obligation to do Ask Damages – all obligations Rescission – specific scenarios Attachment and Execution of Debtor`s Properties – usually the last remedy 2. Subsidiary Rights/Remedies Accion Subrogotia – exercise all the rights of the debtor Accion Paulana – to impugn contracts that were entered to defraud the creditor Example: X borrowed from Y amounting 1,000,000 but X have a receivable from W and Z 500,000 each. Creditor = Y Debtor = X ( Accion Subrogotia- lahat ng rights ni X mula kay W and Z mapupunta kay Y) (Accion Poliania – may kakayahan si Y na mapawalang bisa kung si X ay I dodonate nalang ang rights nya kay W and Z) ART. 1164 - Rights of Creditor 1. Natural Fruits – spontaneous product of the soil - nature ( grass, plants , trees and the products without intervention of human labor) 2. Industrial Fruits - produce by lands (vegetables, fruits, rice and all the products produce by land through cultivation or labor ) 3. Civil Fruits – virtue of juridical relation (rent of buildings, interest, connection of debtor to creditor) Rights of the creditor to the fruit - From the time the duty to deliver arises When obligation to deliver arises 1. The right arises from the time the contract is perfected ( ART. 1305, ART. 1315, ART. 1319) 2. Obligation to deliver arises upon the fulfilment of the condition or arrival of the period ( ART. 1179, ART. 1189, ART. 1193) 3. In a contract of sale, the obligation to deliver arises from the time of the perfection of the contract 4. The time performance is determined by the specific provisions law apllicable Example: Nagorder ng baboy si May kay June 1. Contract is perfect ( kapag may kontrata na) 2. Idedeliver na at nakapagbayad na 3. Kapag nanganak ung baboy kay May na dapat iyun who is the creditor dahil nabayaran na 1. Personal Rights – ability to demand a thing - debtor and creditor ( binding the two) Example: Kapag bibili ka ng gamit makikipag bind ka muna sa creditor over that thing 2. Real Rights – interest of person to a thing - creditor only (siya lang nag aasert ng right over the thing) Example: Kapag may lupa ka sayo lang yun at wala kang kaagaw Ownership acquired by delivery - either actual delivery or constructive delivery Actual Delivery - pweding I deliver ang bagay na dinemand example: Lazada and Shopee Constructive Delivery - hindi pweding I deliver ang bagay na dinemand example: House and Lot ART. 1165 – if there is a delay or fortuitous event ( di inaakala) may kailangan gawin ang debtor para sa kapabayaan) 3 Remedies of Creditor in real obligations 1. Demand specific performance with a right to indemnity for damages - Pweding mag demand sa debtor 2. Demand recession or cancellation of obligation with a right to recover damages - Pweding di na ideliver kaya I cacancel nalang 3. Demand the Payment of damages only if it`s the only feasible remedy - kung di na talaga ma deliver kailangan na talagang bayaran Remedies of Obligation to determinate thing 1. It should be clear and the law does not mean that the creditor can use force or violence upon the debtor Remedies of Obligation to generic thing 1. Can be performed by third person to fulfil the obligation at the expense of the debtor ART. 1165 PAR.3 - Only talks about Determinate thing 2 Exception to General Rule: 1. Even there is a delay liable parin ang debtor 2. Even there is a fortuitous event liable parin a debtor ART. 1166 – includes accessions and accessories ( karagdagan na mga bagay o additional na bagay na kasama ng item) Accessions – improvements or additional na pwedeng andon (not necessary) Example: Land (pwedeng magkaroon ng puno) Accessories – additional na ibang bagay na dapat kasama ng bagay na bibilhin para magamit o kaya para mas maging komportabli gamitin (necessary) Example: kapag bumili ng phone kailangan may charger ART. 1167 – kapag na obliga ang tao sa isang bagay pero mas lalong nakaperwisyo ito kailangan niyanag magbayad o ibalik sa dati ang kanyang nagawa ART.1168 – kapag na obliga ka na gawin ang bagay tas nasira mopa tas wala kang kakayahan para ibalik ito sa dati, kailangan ikaw ang kumuha o magbayad sa tao na may kakayahan na gawin ulit ito Different Types of Breaches in Obligations ART. 1170 – fraud, negligence, delay Fraud 1. Casual Fraud (dolo causante) – Fraud in obtaining consent ( fraud from contracts) 2. Incidental Fraud ( dolo incidente) – Fraud in performance of the obligation (fraud while performing the obligation) Negligence 1. Culpa aquiliana (quasi – delict) - minor damage Example : nagda drive ka tas may nabangga kang bata at nagasgas siya 2. Culpa contractual (contract) – may contrata na pinagbabasehan Example: May studyante na napagtripan tas sa oras ng school ibig sabihin non may kapabayaan ang school ng estudyante 3. Culpa criminal (delict) – major damage (namatay) Example: nag da drive tas nakabangga tas may namatay Delay 1. Mora solvendi - delay of debtor 2. Mora accipendi – delay of creditor 3. Compensatio Morae – delay of both creditor and debtor (no delay) Fraud (dolo) – deliberate intent to cause damage or injury to another - liability cannot be mitigated or lessen by the court waiver of action for future fraud is void Negligence (culpa) – lack insufficiency of diligence required in a given situation (a little bit less care) - liability can be mitigated or lessen by the court waiver of action for future negligence may be valid When negligence equivalent to fraud? 1. When there is “Gross Negligence” (Gross Negligence Culpa – Aquiliana Culpa- Contractual Culpa – Criminal Unilateral Obligations – only one of the party is liable ( isa lang ang may pananagutan) General Rule: No demand, no delay Example: Rowan promised to give his dog named “Ben” to Alan to be delivered on September 15,2020. Alan did not demand to get the dog on September 15,2020 but he did not get ( Rowan is not delay) Alan demanded to get the dog on September 15,2020 but he did not get ( Rowan is delay) Exceptions: 1. The law or obligation so declare Example: Payment of taxes (does not need to demand) (law so provides) 2. Time is the controlling motive for the establishment of obligation The dog Ben is talented to perform in Alan`s birthday and he is obliged to deliver it at Alan on September 15,2020. (kailangan talagang I deliver on time ito kasi wala ng kwenta kung I dedeliver pa ito above September 15,2020) 3. Demand would be useless Supposed the dog “Ben” died and it did not delivered. ( kinokonsindera parin itong delay) Reciprocal Obligations – bilateral obligation means both parties are liable ( dalawa ang may pananagutan) Example: Adam sold his only car to Byron for P 150 000. There was no agreement regarding the time of delivery and time of payment. General Rule: When one party fulfils his obligation, delay on the other start. Sa example ( kailangan bayaran at I deliver ang car para maiwasan ang pag ka delay) Exceptions: Different days for the performance of respective obligations are fixed by the parties Fortuitous Event (Caso fortuito) 1. The cause of the breach is independent of the debtor`s will (di kontrolado ng taong gagawa or debtor) 2. The event is unforeseeable or unavoidable (kidlat di mo mapepredict o maiiwasan) 3. The event is such to render it impossible to the debtor to fulfil his obligation in a normal manner 4. The debtor did not take part in causing the injury to the creditor General Rule: No one is liable for fortuitous event Exemptions: 1. The law or stipulation expressly so declare ( may ibang sitwasyon na liable tulad ng paghihiram ng laptop sa kaibigan tas nasira) 2. Nature of the obligation requires the assumption of risk ( Example tulad ng isang building nag kasunog liable sya sa mga damages or injury ng mga taong nasa loob) 3. Obligation is other than obligation to give a specific thing (kailangan ung specific thing ang I deliver) 4. Debtor is already in delay (kapag delay na delay na talaga example kapag diniliver dapat ang gadeget ng February 21,2021 pero na deliver ng February 22,2021 delay na kahit masira pa on the spot ang gadget sa Februarry 22,2021 Damages 1. Actual or Compensatory (kailangan mapatunayan na damage sila in terms of money tulad ng sales nawalan dahil sa copyright so kailangan nila ng proof na copyrighted sila.) 2. Moral (physical suffering, fright, serious anxiety) 3. Nominate ( kailangan mapatunayan na may nalabag sa rights ng isang tao) 4. Temperate or Moderate ( di alam ung money na damage) 5. Exemplary or Corrrective ( ito ay nagiging daan para di na gayahin ng iba tulad ng nakaw) 6. Liquidated ( example kapag di nakapag bayad sa loan kailangan ng penalty) Presumptions – assume a fact is true until there is an evidence that approves or disproves 2 Kinds of Presumptions 1. Presumptions – cannot be rebutted by additional evidence or argument 2. Disputable Presumptions – can be rebutted by additional evidence or argument Transmissibility of Rights General Rule: All rights acquired in the virtue of an obligation are transmissible (ung rights ay pweding I transfer sa iba) Exceptions: 1. Exempted by law (Right to vote during elections di pwedeng iba ang mag vote para sa iyo) 2. Exempted by stipulation ( Scholarships di ito pwedeng itransfer sa ibang istudyante) 3. Not transmissible by nature ( Right to attend your wedding ceremony kailangan ikaw dapat ang pumunta sa wedding mo) SECTION 1 – PURE AND CONDITIONAL OBLIGATIONS