TITLE 1

OBLIGATIONS

CHAPTER 1
GENERAL PROVISIONS
 Article 1156:
An obligation is a juridical
necessity to give, to do or not to do.

OBLIGATION
- derived form Latin word “obligatio”
means tying or binding.
 Civil Obligation
- obligations which give to the creditor or obligee a
right under the law to enforce the performance in courts
of justice.

Natural Obligation
- 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.; precept based on “do good
and avoid evil”.
 FOUR ESSENTIAL
REQUISITES OF AN
OBLIGATION

1. PASSIVE SUBJECT
- debtor or obligor
- the person who is bound to the fulfillment of the obligation

2. ACTIVE SUBJECT
- creditor or obligee
- the person who is entitled to demand the fulfillment of the
obligation.
3. OBJECT OR PRESTATION
- subject matter of the obligation
- the conduct required to be observed by the debtor. It may
consist in giving, doing or not doing.

4. JURIDICAL OR LEGAL TIE

- efficient cause
- that which binds or connect the parties to the obligation.
- the tie in an obligation can easily determined by knowing the source of
the obligation.
RELATED
TERMS

SPECIFIC OR DETERMINATE THING

- a thing which is particularly designated or physically segregated from all
of the same class.

GENERIC OR INDETERMINATE THING

- a thing which refers only to a class or genus to which it pertains and
cannot be pointed out with particularity.
ACCESSORIES
- things joined to the principal thing for its better use,
embellishment or completion.
ACCESSIONS
- fruits of a thing or anything produced by it, attached or
incorporated thereto as an addition or improvement.
FORMS OF OBLIGATIONS
- refers to the manner in which an
obligation is manifested or incurrent.

Express
Oral
Implied
FORMS
OF Writing General Rule:
OBLIGATIONS Writing - the law does not require any
Partly
form in obligations arising from
Oral
contracts for their validity of
binding force.
- obligations arising from the
sources do not have any form at
all.
OBLIGATION
- the act or performance which the law
will enforce.

RIGHT
- power which a person has under the
law, to demand from another any
prestation.

WRONG
- act or omission of one party in
violation of the legal rights or rights of
another

INJURY
- refer to the wrongful violation of the
legal right of another.
 KINDS OF OBLIGATION
ACCORDING TO THE SUBJECT
MATTER

REAL OBLIGATION
- the subject matter is a thing which the obligor must deliver
to the obligee.
EX: X (the seller) binds himself to deliver a piano to Y.

PERSONAL OBLIGATION
- Obligation to do or not to do
- the subject matter is an act to be done or not to be done.
 TYPES OF PERSONAL
OBLIGATIONS

[Link] PERSONAL OBLIGATION

- Obligation to do or to render service.

EX: X binds himself to repair the piano of Y.

B. NEGATIVE PERSONAL OBLIGATION

- obligation not to do ( which naturally includes
obligations “not to give”

EX: X obliges himself not to build a fence on a certain

portion of his lot in favor of Y who is entitled to a right
of way over said lot.
 ARTICLE 1157:
- Obligations from Law,
Contracts, Quasi-Contracts, Acts or
omission punished by law; and
Quasi- Delicts.

SOURCE OF OBLIGATIONS

1. LAW – when they are imposed by law itself.

EX: Obligation to pay taxes; obligation to support one’s family.
2. CONTRACTS – when they arise from the stipulation of the parties.
EX: The obligation to repay a loan or indebtedness by virtue of an
agreement.
3. QUASI-CONTRACTS – when they arise from lawful, voluntary and
unilateral acts which are enforceable to the end that no one shall be
unjustly enriched or benefited at the expense of another.
EX: The obligation to return money paid by mistake or which is not
due.
4. CRIMES or ACTS OF OMISSIONS PUNISHED BY LAW – when they arise
from civil liability which is the consequence of a criminal offense.
EX: The obligation of a thief to return the car stolen by him; the duty of a
killer to indemnify the heirs of his victim.
5. QUASI-DELICTS OR TORTS – When they arise from damage caused to
another through an act or omission, there being fault or negligence, but no
contractual relation exist between the parties.
EX: The obligation of the head of a family that lives in a building or a part
thereof to answer for damages caused by things thrown or falling from the
same’ the obligation of the possessor of an animal to pay for the damage which
it may have caused.
ARTICLE 1158
- Obligations derived from law are not presumed.
Only those expressly determined in this Code or in
special laws are demandable, and shall be regulated by
the precepts of the law which establishes them.
 ARTICLE 1159
- Obligations arising from contracts
have the force of law between the
contracting parties and should be
complied with in good faith.

CONTRACTUAL OBLIGATIONS

A contract is a meeting of minds between two persons whereby one binds

himself, with respect to the others, to give something or to render some
service.

1. Binding force
2. Requirements of a valid contract
3. Breach Of Contract
COMPLIANCE IN GOOD FAITH

- Means compliance or performance in accordance with the stipulation or

terms of the contract or agreement.
- Sincerity and honesty must be observed to prevent one party from taking
unfair advantage over the other.
 ARTICLE 1160
OBLIGATIONS DERIVED FROM
QUASI-CONTRACTS

QUASI-CONTRACT
- The juridical relation resulting from lawful, voluntary and unilateral
acts by virtue of which the parties become bound to each other to
the end that no one will be unjustly by enriched or benefited at the
expense of another,

KINDS OF QUASI-
CONTRACT

NEGOTIORUM
SOLUTIO INDEBITI
GESTIO
 NEGOTIORUM
GESTIO

-refers to the voluntarily management of the property or affairs

of another without the knowledge or consent of the latter.

Example:
 SOLUTIO INDEBITI

- The juridical relation which is created when

something is received when there is no right to
demand it and it was unduly delivered through
mistake.

REQUISITES EXAMPLE

1. There is no right to 2. The thing was

receive the thing delivered through
delivered mistake
 ARTICLE 1161
CIVIL OBLIGATIONS ARISING
FROM CRIMINAL OFFENSE
SHALL BE GOVERNED BY THE
PENAL LAWS

SCOPE OF CIVIL
LIABILITY

1. RESTITUTION [Link] FOR THE 3. INDEMNIFICATION FOR

- refers to DAMAGE CAUSED CONSEQUENTIAL DAMAGES
restoration of the thing - shall be determined - shall include not only
itself even though it be by the Court taking into those caused the injured
found in the possession of party but also those
consideration of the price
suffered by his family or by
a third person who has of the thing and its a third person by reason of
acquired it by lawful sentimental value. the crime.
means.
 PROOF NECESSARY ACQUITTAL OF ACCUSED
a. Criminal Liability – proof beyond a. Acquittal because the accused did
reasonable doubt not do the act complained of- no civil liability.
b. Civil Liability – preponderance of b. Acquittal due to reasonable doubt-
evidence there can still be civil liability.

EMPLOYER’S SUBSIDIARY LIABILITY

- an employer engaged in any kind of
industry shall be subsidiarily liable for
felonies committed by their employees in
the discharge of duties. ( Art. 103, Revised
Penal Code)

PERSON EXEMPT FROM CRIMINAL LIABLITIES PERSON EXEMPT FROM BOTH CIVIL AND
a. An imbecile or insane person CRIMINAL LIABILITY
b. A person under 18 years of age a. Any person who acts in self-defense of
c. Any person who acts under the one-self, of relatives or of strangers.
compulsion of an irresistible force b. Any person who acts in the
d. Any person who acts under the impulse performance of hid duties or obligations.
of an uncontrollable fear of an equal or c. A woman suffering from battered
greater injury. woman syndrome.
 ARTICLE 1162
OBLIGATIONS DERIVED FROM
QUASI-DELICTS

REQUISITES OF
QUASI-DELICTS

4. There must
be a direct
relation or 5. There is no
1. There must 2. There must connection of pre-existing
3. There must
be an act or be fault or cause and contractual
be damage
omission negligence effect between relation
caused;
the act or between the
omission and parties.
the damage
EXAMPLES

While playing softball with his friends, X broke the window glass of Y, his
neighbor. The accident would not have happened had they played a little
farther from the house of Y.
In this case, X under obligation to pay the damage caused to Y by his
act although there is no pre-existing contractual relation between them
because he is guilty of fault or negligence.
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