LAW ON OBLIGATIONS Flashcards
ART. 1156
AN OBLIGATION IS A JURIDICAL NECESSITY TO GIVE, TO DO OR NOT TO DO
ACT OR PERFORMANCE WHICH THE LAW WILL ENFORCE
OBLIGATION
THE POWER WHICH A PERSON HAS UNDER THE LAW, TO DEMAND FROM ANOTHER PRESTATION
RIGHT
AN ACT OR OMISSION OF ONE PARTY IN VIOLATION OF THE LEGAL RIGHT OR RIGHTS OF ANOTHER, CAUSING INJURY TO THE LATTER
WRONG( CAUSE OF ACTION)
ILLEGAL INVASION OF A LEGAL RIGHT
INJURY
LOSS, HURT, OR HARM WHICH RESULTS FROM THE INJURY
DAMAGE
DENOTE THE SUM OF THE MONEY RECOVERABLE AS AMENDS FOR WRONGFUL ACT OR OMISSION
DAMAGES
QUI JURE SUO UTITOR MULLUM DAMNUM FACIT
ONE WHO MAKES USE OF HIS LEGAL RIGHT DOES NO INJURY
DAMNUM ABSQUE INJURIA
DAMAGE WITHOUT INJURY - DAMAGE RESULTS FROM A PERSON’S EXERCISING HIS LEGAL RIGHTS
THE PARTY WHO HAS THE RIGHT TO DEMAND PERFORMANCE OF THE OBLIGATION
ACTIVE SUBJECT (CREDITOR OR OBLIGEE)
OBLIGED TO PERFORM THE OBLIGATION
PASSIVE SUBJECT (DEBTOR OR OBLIGOR)
OBJECT OR SUBJECT MATTER OF THE OBLIGATION
PRESTATION
VINCULUM JURIS
LEGAL TIE
LEGAL TIE THAT BINDS THE PARTIES TO AN OBLIGATION
EFFICIENT CAUSE
OBLIGATION TO GIVE
REAL OBLIGATION
SUBJECT MATTER IS AN ACT TO BE DONE OR NOT TO BE DONE
PERSONAL OBLIGATION
OBLIGATION TO DO OR TO RENDER SERVICE
POSITIVE PERSONAL OBLIGATION
OBLIGATION NOT TO DO
NEGATIVE PERSONAL OBLIGATION
Actions based upon a written contract should be brought within ______ from the time the right of action accrues.
10 yrs
The cause of action resulting from breach of contract is dependent
on the ______ of each particular case.
facts
In an action to rescind a contract of sale on installment basis, for
non-payment, the cause of action arises at the time ___________.
the last installment is not paid
Where an overdraft agreement stipulates that the obligation is
payable on demand, the breach starts only when ____________.
demand is made
In a contract of loan with real estate mortgage, whereby the
creditor could unilaterally increase the interest rate, where the creditor
foreclosed the mortgage when the debtor failed to pay the loan, the
cause of action for the annulment of the foreclosure sale should be
counted from the date _____________________________
the debtor discovered the increased interest rate
Sources of Obligation
- Law
- Contracts
- Quasi-Contracts
- Delicts
- Quasi-delicts
a rule of conduct, just and obligatory, laid down by legitimate authority for common
observance and benefit
LAW
meeting of the minds between two or more persons whereby one
binds himself with respect to the other, to give something or to render some service.
CONTRACTS
they refer to certain lawful, voluntary, and unilateral acts giving rise to a
juridical relation to the end that no one shall be unjustly enriched at the expense of another.
QUASI-CONTRACTS
refers to the voluntary administration of the property,
business, or affairs of another without his consent or authority. There is now an obligation
to reimburse the gestor/inofficious manager for the necessary and useful expenses.
Negotiorum Gestio
this refers to the payment by mistake of an obligation, in excess of
what should have been paid or payment to a person not due to receive it.
Solutio Indebiti
acts or omissions punishable by law. This refer to crimes or felonies defined under the
law to be punishable as such.
Delicts
these are acts or omissions that cause damage to
another there being fault or negligence but without any existing contractual relation between the
parties. The obligation created is one of payment for damages.
Quasi-delict (tort or culpa aquiliana)
Requirements of a valid contract.
not contrary to law, morals, good customs, public order, and public
policy.
valid contracts have the force of law between the parties
who are bound to comply therewith in good faith, and neither one
may without the consent of the other, renege therefrom.
BINDING FORCE
A thing is particularly
designated and physically segregated from all other objects of the same class
Determinate thing
What are the obligations of a debtor obliged to give a determinate thing?
- To take good care of the thing with the diligence of a good father of a family unless the law or
agreement of the parties requires another standard of care. - To deliver the thing.
- To deliver the fruits of the thing.
they are the spontaneous products of the soil and the young and
other products of animals.
Natural Fruits
they refer to those produced by land of any kind through
cultivation or labor.
Industrial Fruits
they refer to fruits that are the result of a juridical relation.
Civil Fruits
they are everything that is incorporated or attached to a thing, either
naturally or artificially.
Accessions
those joined to or included with the principal thing for the latter’s better
use, perfection, or enjoyment
Accessories
these refer to the pecuniary loss that was actually
incurred by the plaintiff. It includes the actual value of the loss suffered and profits not
realized
Actual / Compensatory Damages
they include physical suffering, mental anguish, fright, serious anxiety,
besmirched reputation, wounded feelings, moral shock, and social humiliation
Moral Damages
there are damages awarded to a party whose right has been violated
Nominal Damages
they are more than nominal but less than actual
damages. The court may award temperate damages if the court finds some pecuniary loss
has been suffered but its amount cannot, from the nature of the case, be proved with
certainty
Temperate or Moderate Damages
damages agreed upon by the parties to a contract, to be paid in
case of breach
Liquidated Damages
These are imposed by way of example or correction
for public good, in addition to the moral, temperate, liquidated, or compensatory damages.
Exemplary or Corrective Damages
the deliberate or intentional evasion by the debtor of the normal
compliance of his obligation
FRAUD
DOLO CAUSANTE
CAUSAL FRAUD
DOLO INCIDENTE
INCIDENTAL FRAUD
fraud of a serious kind, without which, consent
would not have been given. It renders the contract voidable for it is a defect in one of
the essential elements of a contract, consent.
Causal Fraud or Dolo Causante
this refers to fraud without which consent
would have still been given but the person giving such consent would have agreed on
different terms. It would not render the contract void but the party committing the
fraud shall be liable for damages.
Incidental Fraud or Dolo Incidente
this is the deliberate act of evading
fulfillment of an obligation in a normal manner. The party committing fraud shall be liable
for damages.
Fraud in the performance of the obligation
fraud committed in the past _____. Such act is considered as
liberality on the part of the creditor
CAN BE WAIVED
Future Fraud or fraud still to be committed ____ even if there is an
agreement to that effect.
CANNOT BE WAIVED - VOID
It is the failure to observe the required degree of care, precaution, and vigilance that the
circumstances justly demand.
Negligence
if the law or contract does not state the diligence which is to be
observed in the performance of the obligation, the debtor must observe
diligence of a
good father of a family,
negligence in the performance of a contract.
Culpa Contractual
this
is quasi delict where the negligence itself is the independent source of the obligation
to pay damages.
Culpa Aquiliana (civil negligence, or tort or quasi-delict or culpa extra contractual)
This is negligence that results in the commission
of a crime.
Culpa Criminal (criminal negligence)
the non-fulfillment of an obligation with respect to time or delay in the
fulfillment of an obligation, contrary to what was agreed upon.
Delay or Default or Mora
delay on the part of the debtor
Mora Solvendi
delay on the part of the creditor. It exists when the creditor unjustly
refuses to accept the thing
Mora Accipiendi
delay in reciprocal obligations, both parties are in default. It is as
if there is no delay.
Compensatio Morae
As a rule, the debtor incurs delay from the time the creditor _________ of the obligation to give or to do (either judicially or extra-
judicially) and the debtor fails to comply with such demand.
demands fulfillment
there is ____________ in obligations not to do.
no delay
Effects of Delay On the part of the debtor:
i. The debtor shall be liable for the payment of damages.
ii. If the obligation consists in the delivery of a determinate thing, he shall be liable even
if the thing is lost due to a fortuitous event.
Effects of Delay On the part of the creditor:
i. He shall bear the risk of loss and shall shoulder the expenses for the preservation of
the thing.
ii. The debtor may resort to the consignation of the thing due.
those events that could not be foreseen or which, though foreseen are inevitable. It is
not enough that the event should not been foreseen or anticipated, but it must be one impossible
to foresee or avoid.
Fortuitous Events
to be subrogated to all the rights and
actions of the debtor save those which are inherent in his person
Accion subrogatoria
asking the court to rescind or to impugn all
the acts which the debtor may done to defraud the creditors
Accion pauliana
right of the lessor to go directly to sublessee for
unpaid rents of the lessee; right of the laborers or persons who
furnish materials for a piece of work undertaken by a contractor
to go directly to the owner for any unpaid clams due to the
contractor
Accion directa
one without a term or condition and is demandable immediately.
Pure Obligation
an obligation where its demandability or creation depends on the
fulfillment of a condition.
Conditional Obligation
a condition where the happening of which will give rise to the obligation,
also known as condition antecedent or condition precedent.
Suspensive
a condition where the happening of which extinguishes the obligation, also
known as condition subsequent. The obligation is demandable immediately but shall be
extinguished upon the happening of the resolutory condition.
Resolutory
a condition that depends upon the will of one of the contracting parties.
Potestative
a condition that depends upon chance or upon the will of a third person.
Casual
a condition that depends partly upon the will of one of the parties and partly
upon chance or upon the will of a third person.
Mixed
one that is capable of fulfillment by nature or law.
Possible
one that is not capable of fulfillment in its nature. The
effect would be to nullify both the condition and the obligation.
Impossible
a condition that is supposed to happen or occur or something that must be
done.
Positive
a condition characterized by an event not supposed to happen or something
that must not be done.
Negative
one that is capable of partial performance.
Divisible
one that is not capable of partial performance based on the nature of the
obligations or by law or by agreement of the parties.
Indivisible