Chapter 10: The Law of Obligations Flashcards
Obligation (definition) (Hint: debtor and creditor)
The term obligation refers to the relationship between a debtor and a creditor (under duty to carry out performance). They thus imply a liability.
Art 1173 CC – Sources of obligations
Obligations arise from a contract, unlawful acts and other acts capable of producing obligations.
N.B. The object of obligations must be economically valuable or correspond to an interest at law.
Due performance (definition) (hint: 5 things must match)
Due performance must match the fulfillment of the obligation exactly (in terms of method, place, time, person carrying out performance, person benefitting from performance).
“Best effort performance” (definition)
In some cases, “best effort performance” is sufficient, where acting according to due diligence is enough to satisfy performance. Otherwise, there is “obligation of results”.
Non-performance (definition)
Non-performance is when performance is incomplete or inexact. This makes the debtor liable for damages, unless he can prove that it was due to a supervening & objective impossibility.
Coercive enforcement of performance (definition)
To obtain satisfaction, a creditor can ask a court for coercive enforcement of performance.
Limitations to compensation for damages (hint: chapter 7, law of obligations)
Compensation for damages is limited to the damage that could be predicted at time of contract. There must be adequate causation of non-performance (only liable for immediate consequences).
Termination of obligations
- Obligations may be terminated due to novation (parties change), declaration of acquittance, set-off, merger or supervening impossibilities.
Plurality of performances
Sometimes there are a plurality of performances required by the debtor. Sometimes, he is allowed to carry out “alternative” or “elective” obligations.
