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To Receive The Fruits of An Immovable of His Debtor, With The Obligation To Apply Them To The

The document outlines 4 key differences between contracts of antichresis and real mortgages: 1) In antichresis the property is delivered to the creditor while in mortgages the debtor retains possession; 2) Creditors in antichresis acquire the right to fruits while mortgages do not; 3) Creditors in antichresis must pay taxes on the property unless otherwise stipulated, while mortgages have no such obligation; 4) Antichresis contracts obligate creditors to apply fruits to interest then principal while mortgages have no such obligation.

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120 views2 pages

To Receive The Fruits of An Immovable of His Debtor, With The Obligation To Apply Them To The

The document outlines 4 key differences between contracts of antichresis and real mortgages: 1) In antichresis the property is delivered to the creditor while in mortgages the debtor retains possession; 2) Creditors in antichresis acquire the right to fruits while mortgages do not; 3) Creditors in antichresis must pay taxes on the property unless otherwise stipulated, while mortgages have no such obligation; 4) Antichresis contracts obligate creditors to apply fruits to interest then principal while mortgages have no such obligation.

Uploaded by

Mounicha Ambayec
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© © All Rights Reserved
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A contract of antichresis differs from real mortgage in four points: 1) in antichresis, real property

is delivered to the creditor while in real mortgage, debtor usually retains possession of the real
property, 2) in antichresis, creditor acquires only the right to receive the fruits of the property
while in real mortgage, the creditor does not have any right to receive the fruits, 3) in antichresis,
the creditor is obliged to pay the taxes and charges upon the estate unless there is stipulation to
the contrary while in real mortgage, the creditor has no such obligation and lastly, 4) in
antichresis, it is expressly stipulated that the creditor who is given the possession of the property
shall apply all the fruits thereof to the payment of interest, if owing, and thereafter to the
principal. In real mortgage, there is no such obligation for the mortgagee.
For the first point of difference, the contract of antichresis requires the delivery of the
property given as security by the debtor to the antichretic creditor. However, such delivery is
required only in order that the creditor may receive the fruits and not that the contract shall be
binding. Meanwhile, in a contract of mortgage, the mortgagor-debtor, retains possession of the
real property mortgaged as security for the payment of the sum borrowed from the mortgagee-
creditor because by the mortgage, the debtor merely subjects the property to a lien but ownership
thereof is not parted with.
Second, both contracts differ in terms of the right of the creditor to acquire the fruits of the
property. For antichresis, there is an existence of such right for the antichretic creditor but no
such right exist on the part of the mortgagee in contract of real mortgage. However, it must be
duly noted that in antichresis, the creditor acquires only the right to receive the fruits of the
property so it does not produce a real right, while in mortgage, the creditor does not have any
right to receive the fruits, but mortgage creates a real right over the property which is enforceable
against the whole world.
Third, both contracts also differ with regards to the obligation to pay taxes and charges upon
the estate because in antichresis, unless there is a stipulation to the contrary, such obligation
forms part on the obligations of an antichretic creditor yet the mortgagee doesn’t have such
obligation.
Lastly, their fourth point of difference talks about the main obligation of an antichretic creditor
in an antichresis contract that does not exist in real mortgage. This obligation is boldly
emphasized in Article 2132 wherein by the contract of antichresis, the creditor acquires the right
to receive the fruits of an immovable of his debtor, with the obligation to apply them to the
payment of the interest, if owing, and thereafter to the principal of his credit.

References

Book
Sales, Agency and Bailments by Atty. Andrix D. Dominggo, CPA, MBA
Handouts
Topics 8 and 9 (Transcript Notes) by Atty. Dente

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