ARTICLE 1156. An obligation is a juridical necessity to give, to do or not to do. (n) MEANING OF OBLIGATION Obligation- derived from the Latin word “obligatio” which means a “tying” or “binding.” Manresa defines the term as “a legal relation established between one party and another, whereby the latter is bound to the fulfillment of a prestation which the former may demand of him.” (8 Manresa 13.) EXPLANATION: MEANING OF JURIDICAL NECESSITY Obligation is a juridical necessity because, in case of noncompliance, the courts of justice may be called upon to enforce its fulfillment or, in default thereof, the economic value that it represents. EXPLANATION: NATURE OF OBLIGATION UNDER THE CIVIL CODE Civil obligations- Obligations which give to the creditor or obligee a right of action in courts of justice to enforce their performance Article 1423- They are to be distinguished from natural obligations which, not being based on positive law but on equity and natural law, do not grant a right of action to enforce their performance although, in case of voluntary fulfillment by the debtor, the latter may not recover what has been delivered or rendered by reason thereof. ESSENTIAL (ELEMENTS) OBLIGATION. REQUISITES OF AN (1) A passive subject (called debtor or obligor) or the person who is bound to the fulfillment of the obligation; he who has a duty; (2) An active subject (called creditor or obligee) or the person who is entitled to demand the fulfillment of the obligation; he who has a right; (3) Object or prestation (subject matter of the obligation) or the conduct required to be observed by the debtor. It may consist in giving, doing, or not doing. (see Art. 1232.) Without the prestation, there is nothing to perform. In bilateral obligations (see Art. 1191.), the parties are reciprocally debtors and creditors; and EXPLANATION (4) A juridical or legal tie (also called efficient cause) or that which binds or connects the parties to the obligation. The tie in an obligation can easily be determined by knowing the source of the obligation. (Art. 1157.) EXPLANATION FORM OF OBLIGATION Art. 1356- As a general rule, the law does not require any form in obligations arising from contracts for their validity or binding force. OBLIGATION, RIGHT & WRONG (CAUSE OF ACTION) DISTINGUISHED (1) Obligation is the act or performance which the law will enforce. (2) Right, on the other hand, is the power which a person has under the law, to demand from another any prestation. (3) A wrong (cause of action), according to its legal meaning, is an act or omission of one party in violation ESSENTIAL ELEMENTS OF CAUSE OF ACTION (a) a legal right in favor of a person (creditor/plaintiff) by whatever means and under whatever law it arises or is created; (b) a correlative legal obligation on the part of another (debtor/defendant) to respect or not to violate said right; and (c) an act or omission in breach or violation of said right by the defendant with consequential injury or damage to the plaintiff for which he may maintain an action for the recovery of damages or other appropriate relief. (see Ma-ao Sugar Central Co. vs. Barrios, 79 Phil. 66 [1948]; Teves vs. People’s Homesite and Housing Corp., 23 SCRA 1141 [1968]; Development Bank of the Phils. vs. Pundogar, 218 SCRA 118 [1993]; Parañaque King Enterprises vs. Court of Appeals, 269 SCRA 727 [1997]; Nadela vs. City of Cebu, 411 SCRA 315 [2003].) INJURY, DAMAGE AND DAMAGES DISTINGUISHED Injury is the illegal invasion of a legal right; it is the wrongful act or omission which causes loss or harm to another, while damage is the loss, hurt, or harm which results from the injury. On the other hand, damages denote the sum of money recoverable as amends for the wrongful act or omission; and EXISTENCE OF ONE WITHOUT THE OTHER There may be injury without damage and damage without injury. (1) Proof of loss for injury. — A wrongful violation of his legal right is not sufficient to entitle a person to sue another in a court of justice for the enforcement or protection of said right. As a rule, there must be, in addition, loss or damage caused to him by the violation of his right. But except for actual or compensatory damages (Art. 2199.), no pecuniary proof is necessary in order that moral, nominal, temperate, liquidated, or exemplary damages may be awarded. (Art. 2216.)