Kinds of obligation: (civil code) 1. 2. 3. 4. 5. 6. Pure and conditional With a period Alternative Joint and solidarity Divisible and indivisible With a penal clause Section 1: Pure and conditional obligations civil code art. 1179- 1192 - What are conditions and its types? - What are suspensive and resolutory conditions? - Retroactive effects? - Debtor’s liability during a condition’s pendency 1179 every obligation whose performance does not depend upon a future or uncertain, or upoin a past event unknown to both parties are demandable at once. Every obligation which contains a resolutory condition shall be demandable, without prejudice to the effects of the happening of the event. Pure obligations: - Obligations whose performance is not dependent upond a condition or a period - Demandable at once Example: kirito promised alice a brand new laptop. - no condition or period Conditional obligations: - Obligations whose performance depends upon: future and uncertain events; or - Upon past events unknown to the parties. Example: Kirito promised alice a brand new lapto if alice passes her exam tomorrow. - Has condition and period 1180 When the debtor binds himself to pay when his means permit him to do so, the obligations shall be deemed to be one with the a period , subject to the provisions of the article 1197. Example: Kaneki obliged himself to pay his debt to Touka when his means permit him to do so. - this is an obligation with a period not pure or conditional. Different classification of conditional obligations (1181 and 1182) 1181 In conditional obligations, the acquisition of rights, as well as the extinguishmnet or loss of those already acquired, shall depend upon the happening of the event which constitutes the condition. 1182 When the fulfillment of the condition depends upon the sole will of the debtor, the conditional obligation shall be void. If it depends upon chance or upon the will of a third person, the obligation shall take effect in conformity with the provisions of this Code. According to the effect of the obligation: 1181 1. Suspensive condition - conditions that cause the birth of the obligation. Ex: Taki promised mitsuha a diamond ring if mitsuha graduates valedictorian from her class. 2. Resolutory - conditions that cause the extinguishment of the obligation. (there is already an obligation that takes effect) Ex: Taki bound himself to should Mitsuha’s tuittiom fee until she graduates. According to whose will it depends: 1182 1. Potestative condition - fulfillment depends upon one of the parties ( maybe potestative on the part of creditor or debtor) Debtor: Ex: Kaneki obliged himself to give Touka a specific car if he (Kaneki) will got to the mall tomorrow. - this is protestative - suspensive condition. This is void because the obligation depends upon debtor’s sole will. Ex: Kankei obliged himself to shoulder Touka’s living expenses until he wants. - this is protestative - resolutory condition. Creditor: 1. Kaneki obliged himself to give Touka a golden bracelet if Touka will go to the mall tomorrow. - protestative and suspensive 2. Kaneki let Touka live under his house until Touka wants to go home. - protestative and resolutory. 2. Casual condition - fufillment depends upon chance and/ or will of a third person. Ex: 3. Mixed - fullfillment depends partly upon the will of one of the parties and partly upon chance and/ or will of a third person. Ex: Types of impossible conditions: 1183 Imposible conditions, those contrary to good costumes or publis policy and thos prohibited by law shall annul the obligation which depends upond them. If obligation is divisible, that part of thereof which is not affected by the impossible or unlawful condition shall be valid. The condition not to do an impossible thing shall be considered as not having been agreed upon. Types Impossible conditons: 2 types 1. Physically Impossble conditions - conditions that is naturally impossible to happen/fulfill. Example: fly to the moon, swim across the pacific ocean, not rain in the Philippines for a decade, Resurrect the dead. 2. Legally Impossible conditions - conditions that is naturally possible to happen/ fullfill but is contrary to law, morals, good customs, public order, public policy. Example: Kill X (law), Be the mistress of X (moral), slap your father (good customs), advocate the overthrow of government (public order), Not appear as witness in a criminal case (public policy) Obligations not affected by the impossible conditions: Example: natsu bound himself to give 10,000 to lucy if the latter can win an arm wrestling match against erza. (This is valid) Furthermore, Nattsu promised to pay additional 5,000 if lucy can seriously injure Erza’s arm. (This is Invalid) so it is Partially void. Natsu bound himself to give Lucy 15,000 if the latter can win in an arm wrestling match against Erza and can seriousl injure Erza’s arm. Void Positive and Negative Condition 1184 The condition that some event happen at a determinate time shall extinguish the obligation as soon as the time expires of if has become induitlable that the event will not take place. 1185 Paragraph 1 The condition that some event will not happen at a determinate time shall render the obligation effective from the moment the time indicated has elapses, or if it is become evident that the event cannot occur. Examples: Positive Condition: will do or will give Batra bound himself to give Elizabeth a land if Elizabeth will marry Meliodas within the year. Batra obligation is extinguhised if elizabeth did not marry meliodas or he died within a year. Negative Condition: will not do or will not give Batra bound himself to give Elizabeth a land if Elizabeth will not marry Meliodas within the year. Batra is obligated to do the obligation once the year elapsed or meliodas died within the year. 1185 Paragraph 2 If no time has been fixed, the conditiion shall be deemed fulfilled at such time as may have probably been contemplated, bearing in mind the nature of the obligation. 1186 The condition shall be deemed fulfilled when the obligor voluntary prevents its fulfillment. Conditions are deemed fulfilled examples: Batra bound himself to give elizabeth a land if elizabeth will not marry meliodas until they are both ready to start a family. 1185 deemed fulfilled as such time as may have problablybeen contermplated Batra bound himslef to give Elizabeth a land if elizabeth will marry meliodas within a year ]. They night before the last of the year, batra put drugs on elizabeths food resulting to elizabeth being asleep for 3 days. 1186 deemed dulfilled when the obligor voluntary prevents its fulfillment. Retroactive effects in suspensive conditions: 1187 The effects of a conditional obligation to give, once the condition has been fulfilled, shall retroact to the day of the constitution of the obligation. Nevertheless, when the obligation imposes reciprocal prestations upon the parties, the fruits and interests during the pendency of the condition shall be deemed to have been mutually compensated. If the obligation is unilateral, the debtor shall appropriate the fruits and interests received, unless from the nature and circumstances of the obligation it should be inferred that the intention of the person constituting the same was different. In obligations to do and not to do, the courts shall determine, in each case, the retroactive effect of the condition that has been complied with. Retoractive effects in suspensive conditions To give: has guidelines for the retroactive effect Ex: jan 1, 2019, taki promised mitsuha a specific car if mutsuha graduates valedictorian from her class. Assume Mitsuha graduates valedictorian form her class on April 11, 2019. This is a unilateral decision, the date which mitsuha as-if owned the car as of january 1, 2019. The ownership retroacts so Mitsuha owned it on jan. 1, 2019. Unilateral Obligations - fruits and interest received shall be appropriated by the debtor. Example: On January 1, Miyuki promised Tatsuya to give him an apartment building if Tatsuya passes the board exam. On May 31, Tatsuya passed the said exam. This will retroact to the date of the obligation because the condition nearly suspends the effectiveness of the obligation, so the ownership date of the apartment building acquired by tatsuya is January 1. The rent income from January 1 to May 31 are governed according to 1187 which states that the fruits are appropriated by the debtor which means it is owned by the debtor or Miyuki. Reciprocal Obligations - fruits and interest are deemed mutually compensated. Example: On January 1, Miyuki promised tatsuya to sell him an apartment building if tatsuya passes the board exam. On May 31, Tatsuya passed the said exam. The ownership of the apartment building to Tatsuya will be dated January 1. The rent income and the interest of the cash these are the fruits, which means both have fruits, but under 1187 those are not exchanged (they are set off of each other) which means they are assumed to be already compensated. To do, not to do: the court shall determine the retroactive effect (no retroactive effect if silent) 1188 The creditor may, before the fulfillment of the condition, bring the appropriate actions for the preservation of his right. The debtor may recover what during the same time he has paid by mistake in case of a suspensive condition. Example: Ohma promised Karla a specific dog fro her birthday party. Karla has a right even before her birthday to preserve an action to the dog until her birthday. Which means she has a right for the dog to be fed and well taken care of until she receives it on her birthday. Karla has a 10,000 pesos debt to Ohma payable after 3 years, a year before maturity, having thought that 3 years has already elapsed, paid Ohma the 10,000 debt. Solutio indebeti, in addition to the 10,000 Ohma has to pay the interest for the days she held the money. Karla has a right to recover what she has paid in mistake. Conditional Obligations Lost, Deterioration, & Improvement of a thing during the pendency of the condition 1189 When the conditons have been imposed with the intention of suspending the efficacy of an obligation to give, the follwoing rules shall be observed in case of the improvement, loss or deterioration of the thin during the pendency of the condition: 1. If the thing is lost without the fault of the debtor, the obligation shall be extinguished; 2. If the things is lost through the fault of the debtor, he shall be obliged to pay damages; it is understood that the thing is lost when it perishes, or goes out of commerce, or disappears in such a way that its existence is unknown or it cannot be recovered; 3. When the thing deteriorates without the fault of the debtor, the impairment is to be borne by the creditor; 4. If it deteriorates through the fault of the debtor, the creditor may choose between the (cancellation/repel of law) rescission of the obligation and its fulfillment, with indemnity for damages in either case; 5. If the thing is improved by its nature, or by time, the improvement shall inure to the benefit of the creditor; 6. If it is improved at the expense of the debtor, he shall have no other right than that granted to the usufructuary. (debtor can’t get any reimbursement for the improvement, the debtor can offset any improvement to damages he may pay by reason of deterioration of the thing throgh his fault.) 1190 When the conditions have for their purpose the extinguishment of an obligation to give, the parties upon the fulfillment of said conditions, shall return to each other what they have received. In case of the loss, deterioration or improvement of the thing, the provisions which, with respect to the debtor, are laid down in the preceding article shall be applied to the party who is bound to return. As for obligations to do and not to do, the provisions of the second paragraph of Article 1187 shall be observed as regards the effect of the extinguishment of the obligation. 1191 The power to rescind obligations is implied in reciprocal ones, in case one of the obligors should not comply with what is incumbent upon him. The injured party may choose between the fulfillment and the rescission* of the obligation, with the payment of damages in either case. He may also seek rescission, even after he has chosen fulfillment, if the latter should become impossible. (*This remedy in case of breach of obligation should not be confused with rescission in Article 1281, et seq. Under the former provision, a distinction existed between rescission and resolution. (see Note under Art. 1381.)) The court shall decree the rescission claimed, unless there be just cause authorizing the fixing of a period. This is understood to be without prejudice to the rights of third persons who have acquired the thing, in accordance with Articles 1385 and 1388 and the Mortgage Law. Example: reciprocal Okabe sold to Kuriso his flat-screen TV. There was no stipulation regarding delivery of the TV and payment of the price. If okabe delivered the tv then it is demanded that kuriso give his payment on the day of delivery and vice versa. If there is time and condition stated it is non reciprocal Bilateral - has 2 types: reciprocal and non reciprocal 1192 In case both parties have committed a breach of the obligation, the liability of the first infractor shall be equitably tempered by the courts. If it cannot be determined which of the parties first violated the contract, the same shall be deemed extinguished, and each shall bear his own damages. The first who violated the contract is the one who will pay for the damages netted or less of the violation done with the other party. If it cannot be determined who is the first violator then they are both subject to damages and their obligations are extinguished. Section 2: With a periods civil code art. 1193 -1198 - What are periods and its different types? - Condition vs. period - When court can fix a period - Debtor’s liability during a period pendency 1193 Obligations for whose fulfillment a day certain has been fixed, shall be demandable only when that day comes. Obligations with a resolutory period take effect at once, but terminate upon arrival of the day certain. A day certain is understood to be that which must necessarily come, although it may not be known when. If the uncertainty consists in whether the day will come or not, the obligation is conditional, and it shall be regulated by the rules of the preceding Section. Suspensive Period (Ex die) - period that makes the obligation demandable Resolutory Period (In Diem) - period that terminates an obligation. Difference of condition and period: - Conditon is an uncertain event while period is a certiain event. - C affects the existence of the obligation while P affects the demandability of the obligation. - C has retoactive effects, P has no retroactive effects. - C suspensive condition left to the will of the debtor makes the obligation void. While P suspensive period left to the will of the debtor makes the obligation is still valid. - C may refer to a future uncertian event or to past event unknown to both parties. - P refers only to future day certain. Obligations with the period Lost, Deterioration, & Improvement of a thing during the pendency of the condition 1194 In case of loss, deterioration or improvement of the thing before the arrival of the day certain, the rules in Article 1189 shall be observed 1195 Anything paid or delivered before the arrival of the period, the obligor being unaware of the period or believing that the obligation has become due and demandable, may be recovered, with the fruits and interests. 1196 Whenever in an obligation a period is designated, it is presumed to have been established for the benefit of both the creditor and the debtor, unless from the tenor of the same or other circumstances it should appear that the period has been established in favor of one or of the other. General rule: benefit of both creditor and debtor unless stated in favor of the other. Example: sakaido borrowed 500k with 12% interest from kaeru. The principal and interest will mature after 12 mos. Everytime that there are period they are both benefitted. Supposedly Kaeru wanted Sakaido to pay before the 12 mos. Sakaido could have used the money within those 12 mos. But he can’t cause he have to pay it to Kaeru. On the other hand, Kaeru cant get any interest income that was supposedly to accrue for full 12 mos. now that it was already paid. 1198 The debtor shall lose every right to make use of the period: 1. When after the obligation has been contracted, he becomes insolvent, unless he gives a guaranty or security for the debt; Ex: hina need not to wait for the lapse of 1 year (the agreed maturity date of debt) she can demand payment immediately to licht when he becomes insolvent unless licht can present a guarantor or other securities. 2. When he does not furnish to the creditor the guaranties or securities which he has promised; Ex: Hina can demand the loan payment of 400k immediately to Licht if he didn’t deliver the object of pledge to secure the obligation within the date agreed. In this case it is Licht’s car that was stipulated to be delivered after a week. Even though the maturity of the loan is to be paid after 1 year. 3. When by his own acts he has impaired said guaranties or securities after their establishment, and when through a fortuitous event they disappear, unless he immediately gives new ones equally satisfactory; Ex: Licht borrowed 400k to hina to be paid after 1 yr. The loan is secured by mortgage of Licht’s car but hte car got destroyed by Licht. Hina can immediately demand the payment of loan unless Licht can present another security of equal satisfactory. 4. When the debtor violates any undertaking, in consideration of which the creditor agreed to the period; Ex: Licht borrowed money to Hina to be paid 1 yr. They agreed that during the 1 yr period Licht must refrain from gambling. Before the lapse of 1 yr, Licht engaged in gambling activities. Hina can demand payment immediately and need not to wait for 1 yr to lapse. 5. When the debtor attempts to abscond. (if acted implying to escape the obligation) When the court may fix the period? 1197 If the obligation does not fix a period, but from its nature and the circumstances it can be inferred that a period was intended, the courts may fix the duration thereof. The courts shall also fix the duration of the period when it depends upon the will of the debtor. (if the period is void) (if debtor binds himself when his means permit him to do so) In every case, the courts shall determine such period as may under the circumstances have been probably contemplated by the parties. Once fixed by the courts, the period cannot be changed by them. Ex: when a court may fix a period A executed a deed of donation of a land in favor of B university. The donation has its condition that the university must erect a cornerstone in the said land bearing the word “A Campus”. Major categories of kind of obligations: section 1-2 (according to the peculiarity of the prestation) Subcategory kind of obligations: section 3-6 3- according to the number of prestation 4- pertains to if not related to prestation but to the number of parties involved 5 - refers to divisibility of the prestation 6 - refers to the value of the prestation Section 3: Alternative obligations civil code art 1199-1206 - Kinds of obligation according to prestation - Rules regarding alternative obligations - Facultative obligations Different kinds of obligations according to the number of prestation: 1. SImple obligation - only one prestation 2. Compound prestation - two or more prestation a. Conjunctive prestation - all obligation must be fulfilled to exatinguis the obligation. b. Alternative obligation only one prestation must be fulfiled to extinguish the obligation.(option and variant: facultative obligation) 1199 A person alternatively bound by different prestations shall completely perform one of them. The creditor cannot be compelled to receive part of one and part of the other undertaking. Example: Geralt promises to deliver one of the follwoing items to Renfri: assuming all are same quality. a. Specific pc set 1 b. Specific pc set 2 c. Specific pc set 3 Note General rule: choice of the debtor Either one can extinguish the obligation, assume it is in same quality but different model, you cannot deliver pc set of 1 and other component of set 2 as general rule but if the creditor agrees then it is can be delivered. 1200 The right of choice belongs to the debtor, unless it has been expressly granted to the creditor. The debtor shall have no right to choose those prestations which are impossible, unlawful or which could not have been the object of the obligation. Example Geralt promises to deliver one of the follwoing items to Renfri: assume all are specific a. Rock from pluto - impossible b. Laptop c. Tablet General rule: choice of debtor A is physically impossible so it can’t be chosen, art. 1200. B and C can be chosen these remains to be alternative unless the debtor already communicated his choice then it become a simple obligation and it ceases to be alternative obligation. 1201 The choice shall produce no effect except from the time it has been communicated. (no effect if the choice is not communicated, but the if the choice is communicated then it ceases to be alternative obligation it becomes an simple obligation which means 1 prestation chosen by the creditor.) 1202 The debtor shall lose the right of choice when among the prestations whereby he is alternatively bound, only one is practicable. The obligation becomes a simple one if the other choices are impossible. Ex: Geralt promises to deliver one of the follwoing items to Renfri: a. A specific man named Jack from the Titanic b. A specific totoro stuffed toy 5ft in size - simple obligation c. A specific mummy from a sacred pyramid in egypt If all of the choices is impossible then the obligation is void. 1203 If through the creditor’s acts the debtor cannot make a choice according to the terms of the obligation, the latter may rescind the contract with damages. Haruko promised to give Sakuragi one of the following items: a. A specific basketball used by Rukawa b. Haruko’s specific vacation picture with her family c. A specific basketball shoes If Haruko lost the specific picture. The choice remains alternative because it is debtor’s choice to choose between the remaining 2 items. If both the specific picture and the specific basketball shoes were lost by Haruko then it becomes a simple obligation because the debtor has no other choice. 1204 The creditor shall have a right to indemnity for damages when, through the fault of the debtor, all the things which are alternatively the object of the obligation have been lost, or the compliance of the obligation has become impossible. The indemnity shall be fixed taking as a basis the value of the last thing which disappeared, or that of the service which last became impossible. Damages other than the value of the last thing or service may also be awarded. If haruko lost all the items she promised she would choose from she is liable to pay for the value of the last thing lost plus the damages. 1205 When the choice has been expressly given to the creditor, the obligation shall cease to be alternative from the day when the selection has been communicated to the debtor. (same with earlier examples only now the creditor has the choice) Until then the responsibility of the debtor shall be governed by the following rules: (1) If one of the things is lost through a fortuitous event, he shall perform the obligation by delivering that which the creditor should choose from among the remainder, or that which remains if only one subsists; (2) If the loss of one of the things occurs through the fault of the debtor, the creditor may claim any of those subsisting, or the price of that which, through the fault of the former, has disappeared, with a right to damages; (3) If all the things are lost through the fault of the debtor, the choice by the creditor shall fall upon the price of any one of them, also with indemnity for damages. The same rules shall be applied to obligations to do or not to do in case one, some or all of the prestations should become impossible Example: Kyla promises to deliver one of the following items to Mae: a.) The last dress made by Mae’s favorite designer that recently deceased. b.) A lizard named Baby Majimbo. c.) A specific limited edition LV bag signed by Rosmar. If Kyla lost the lizard due to a fortuitous event like a lightning, then it still remains to be an alternative obligation given that Kyla can still choose between the remaining 2 the prestation she is going to deliver. (goes the same if creditor’s choice) If Kyla lost both Baby Majimbo and the specific dress due to fortuitous event like fire because of the lightning then Kyla loses the right of choice it becomes a simple obligation because she has no other choice but to give the specific bag signed by Rosmar. (goes the same if creditor’s choice) The obligation is extinguished if it is fortuitious event when all is lost, this is both for whether it is creditor and debtor choice. 1206 When only one prestation has been agreed upon, but the obligor may render another in substitution, the obligation is called facultative. The loss or deterioration of the thing intended as a substitute, through the negligence of the obligor, does not render him liable. But once the substitution has been made, the obligor is liable for the loss of the substitute on account of his delay, negligence or fraud. Section 4: Joint and solidary obligations civil code art. 1207 - 1222 - Joint vs solidary obligations - Rules regrading joint and solidary obligation - When creditor remitted solidary debtors’ debt - Solidarity exist even though bound by different periods and conditions - Joint indivisible obligations 1207 The concurrence of two or more creditors or of two or more debtors in one and the same obligation does not imply that each one of the former has a right to demand, or that each one of the latter is bound to render, entire compliance with the prestations. There is a solidary liability only when the obligation expressly so states, or when the law or the nature of the obligation requires solidarity. (1137a) A joint obligation is one where the whole obligation is to be paid or fulfi lled proportionately by the different debtors and/or is to be demanded proportionately by the different creditors. (Art. 1208.) (2) Joint liability - Other words used for joint obligations are: mancum, mancomunada; mancomunadamente; pro rata; proportionately; pro rata, jointly; conjoint; “we promise to pay” signed by two or more persons. A solidary obligation is one where each one of the debtors is bound to render, and/or each one of the creditors has a right to demand entire compliance with the prestation. Every solidary obligation has these characteristics: unity of object and plurality of ties. The prestation due, or to which a right exists, is one and the same thing Kinds of obligations according to the number of parties: 1. Individual obligation. — one where there is only one obligor and one obligee; and 2. Collective obligation. — one where there are two or more debtors and/or two or more creditors. It may be joint or solidary. In a collective obligation, there are two relations involved: that between the creditor and the debtors (or the creditors and the debtor, or the creditors and the debtors) and that among the creditors and/or debtors themselves. 1208 If from the law, or the nature or the wording of the obligations to which the preceding article refers the contrary does not appear, the credit or debt shall be presumed to be divided into as many equal shares as there are creditors or debtors, the credits or debts being considered distinct from one another, subject to the Rules of Court governing the multiplicity of suits. 1209 If the division is impossible, the right of the creditors may be prejudiced only by their collective acts, and the debt can be enforced only by proceeding against all the debtors. If one of the latter should be insolvent, the others shall not be liable for his share. A joint indivisible obligation. The obligation is joint because the parties are merely proportionately liable. It is indivisible because the object or subject matter is not physically divisible into different parts. (see Art. 1225, par. 1.) In other words, it is joint as to liabilities of the debtors or rights of the creditors but indivisible as to compliance. 1210 The indivisibility of an obligation does not necessarily give rise to solidarity. Nor does solidarity of itself imply indivisibility. 1211 Solidarity may exist although the creditors and the debtors may not be bound in the same manner and by the same periods and conditions Kinds of solidary obligation according to the legal tie: 1. Uniform. — when the parties are bound by the same stipulations or clauses; or 2. Non-uniform or varied. — when the parties are not subject to the same stipulations or clauses An obligation may be joint on the side of the creditors and solidary on the side of the debtors, or vice versa. 1212 Each one of the solidary creditors may do whatever may be useful to the others, but not anything which may be prejudicial to the latter A solidary creditor may do any act benefi cial or useful to the others but he cannot perform any act prejudicial to them. If he performs such act and as a result the obligation is extinguished, he shall be responsible to the others for damages. As far as the debtor or debtors are concerned, the act shall be valid and binding. 1213 A solidary creditor cannot assign his rights without the consent of the others. In the absence of consent given by the others, a solidary creditor cannot assign his rights to a third person. The reason behind this prohibition is that each creditor represents the others and the assignee may not have the confi dence of the original solidary creditors considering that the assignee after receiving payment may not give the shares of the others Suppose a solidary creditor did assign his rights, will payment to the assignee extinguish the obligation? Article 1213 seems to imply that such assignment is invalid. 1214 The debtor may pay any one of the solidary creditors; but if any demand, judicial or extrajudicial, has been made by one of them, payment should be made to him. The rule is that the debtor may pay any one of the solidary creditors. But when a demand, judicial or extra-judicial, has been made by one of them, to avoid confusion, as well as prejudice to the more diligent creditor, payment should be made to him; otherwise, the obligation will not be extinguished except insofar as the creditor-payee’s share is concerned in case the latter does not give to the other creditors their shares in the payment. The demand has the effect of terminating the mutual agency among the solidary creditors. Article 1214 is applicable not only in cases of active solidarity but also where the solidarity is mixed although the singular “debtor” is employed. In case of mixed solidarity, the debtor upon whom no demand has been made, may pay any one of the solidary creditors. 1215 Novation, compensation, confusion or remission of the debt, made by any of the solidary creditors or with any of the solidary debtors, shall extinguish the obligation, without prejudice to the provisions of Article 1219. The creditor who may have executed any of these acts, as well as he who collects the debt, shall be liable to the others for the share in the obligation corresponding to them. 1216 The creditor may proceed against any one of the solidary debtors or some or all of them simultaneously. The demand made against one of them shall not be an obstacle to those which may subsequently be directed against the others, so long as the debt has not been fully collected. 1217 Payment made by one of the solidary debtors extinguishes the obligation. If two or more solidary debtors offer to pay, the creditor may choose which offer to accept. He who made the payment may claim from his co-debtors only the share which corresponds to each, with the interest for the payment already made. If the payment is made before the debt is due, no interest for the intervening period may be demanded. When one of the solidary debtors cannot, because of his insolvency, reimburse his share to the debtor paying the obligation, such share shall be borne by all his co-debtors, in proportion to the debt of each. 1218 Payment by a solidary debtor shall not entitle him to reimbursement from his co-debtors if such payment is made after the obligation has prescribed or become illegal. 1219 The remission made by the creditor of the share which affects one of the solidary debtors does not release the latter from his responsibility towards the co-debtors, in case the debt had been totally paid by anyone of them before the remission was effected. 1220 The remission of the whole obligation, obtained by one of the solidary debtors, does not entitle him to reimbursement from his co-debtors. 1221 If the thing has been lost or if the prestation has become impossible without the fault of the solidary debtors, the obligation shall be extinguished. If there was fault on the part of any one of them, all shall be responsible to the creditor, for the price and the payment of damages and interest, without prejudice to their action against the guilty or negligent debtor. If through a fortuitous event, the thing is lost or the performance has become impossible after one of the solidary debtors has incurred in delay through the judicial or extra-judicial demand upon him by the creditor, the provisions of the preceding paragraph shall apply. 1222 A solidary debtor may, in actions filed by the creditor, avail himself of all defenses which are derived from the nature of the obligation and of those which are personal to him, or pertain to his own share. With respect to those which personally belong to the others, he may avail himself thereof only as regards that part of the debt for which the latter are responsible. Section 5: Divisible and indivisible obligations civil code art. 1223- 1225 - When oblagations are divisible and indivisible - Kinds of indivisibility - Divisibility distinguished from joint and solidary obligations 1223 The divisibility or indivisibility of the things that are the object of obligations in which there is only one debtor and only one creditor does not alter or modify the provisions of Chapter 2 of this Title. 1. A divisible obligation is one the object of which, in its delivery or performance, is capable of partial fulfi llment. 2. An indivisible obligation is one the object of which, in its delivery or performance, is not capable of partial fulfi llment In determining whether an obligation is divisible or not, the controlling circumstance is not the possibility or impossibility of partial prestation but the purpose of the obligation or the intention of the parties. Hence, even though the object or service may be physically divisible, an obligation is indivisible if so provided by law or intended by the parties. However, if the object is not physically divisible or the service is not susceptible of partial performance (Art. 1225, par. 1.), the obligation is always indivisible, the intention of the parties to the contrary notwithstanding. This rule is absolute. An obligation is presumed indivisible where there is only one creditor and only one debtor KInds of division: 1. Qualitative division or one based on quality, not on number or quantity of the things that are the object of the obligation. 2. Quantitative division or one based on quantity rather than on quality. Kinds of indivisibility: 1. Legal indivisibility. — where a specifi c provision of law declares as indivisible, obligations which, by their nature, are divisible (Art. 1225, par. 3.); 2. Conventional indivisibility. — where the will of the parties makes as indivisible, obligations which, by their nature, are divisible (Ibid.); and 3. Natural indivisibility. — where the nature of the object or prestation does not admit of division, e.g., to give a particular car, to sing a song, etc 1224 A joint indivisible obligation gives rise to indemnity for damages from the time anyone of the debtors does not comply with his undertaking. The debtors who may have been ready to fulfi ll their promises shall not contribute to the indemnity beyond the corresponding portion of the price of the thing or of the value of the service in which the obligation consists. 1225 For the purposes of the preceding articles, obligations to give defi nite things and those which are not susceptible of partial performance shall be deemed to be indivisible. When the obligation has for its object the execution of a certain number of days of work, the accomplishment of work by metrical units, or analogous things which by their nature are susceptible of partial performance, it shall be divisible. However, even though the object or service may be physically divisible, an obligation is indivisible if so provided by law or intended by the parties. In obligations not to do, divisibility or indivisibility shall be determined by the character of the prestation in each particular case. Section 6: Obligation with a penal clause civil code art 1229 -1230 - What is a penal clause? - Principal vs accessory obligations - When penalty is not a substitute for damages and interest 1226 In obligations with a penal clause, the penalty shall substitute the indemnity for damages and the payment of interests in case of noncompliance, if there is no stipulation to the contrary. Nevertheless, damages shall be paid if the obligor refuses to pay the penalty or is guilty of fraud in the fulfi llment of the obligation. The penalty may be enforced only when it is demandable in accordance with the provisions of this Code. 1227 The debtor cannot exempt himself from the performance of the obligation by paying the penalty, save in the case where this right has been expressly reserved for him. Neither can the creditor demand the fulfi llment of the obligation and the satisfaction of the penalty at the same time, unless this right has been clearly granted him. However, if after the creditor has decided to require the fulfi llment of the obligation, the performance thereof should become impossible without his fault, the penalty may be enforced. 1228 Proof of actual damages suffered by the creditor is not necessary in order that the penalty may be demanded. 1229 The judge shall equitably reduce the penalty when the principal obligation has been partly or irregularly complied with by the debtor. Even if there has been no performance, the penalty may also be reduced by the courts if it is iniquitous or unconscionable 1230 The nullity of the penal clause does not carry with it that of the principal obligation. The nullity of the principal obligation carries with it that of the penal clause.
