General Provisions: Title. I. - Obligations

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Title. I.

- OBLIGATIONS
CHAPTER 1
GENERAL PROVISIONS
Art. 1156. An obligation is a juridical necessity to give, to do or not to
do. (n)
Art. 1157. Obligations arise from:

delivering all its accessions and accessories, even though they may
not have been mentioned. (1097a)
Art. 1167. If a person obliged to do something fails to do it, the same
shall be executed at his cost.
This same rule shall be observed if he does it in contravention of the
tenor of the obligation. Furthermore, it may be decreed that what has
been poorly done be undone. (1098)

(1) Law;
(2) Contracts;

Art. 1168. When the obligation consists in not doing, and the obligor
does what has been forbidden him, it shall also be undone at his
expense. (1099a)

(3) Quasi-contracts;
(4) Acts or omissions punished by law; and

Art. 1169. Those obliged to deliver or to do something incur in delay


from the time the obligee judicially or extrajudicially demands from
them the fulfillment of their obligation.

(5) Quasi-delicts. (1089a)


Art. 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; and as to what has not been foreseen, by the provisions of this
Book. (1090)
Art. 1159. Obligations arising from contracts have the force of law
between the contracting parties and should be complied with in good
faith. (1091a)
Art. 1160. Obligations derived from quasi-contracts shall be subject to
the provisions of Chapter 1, Title XVII, of this Book. (n)
Art. 1161. Civil obligations arising from criminal offenses shall be
governed by the penal laws, subject to the provisions of Article 2177,
and of the pertinent provisions of Chapter 2, Preliminary Title, on
Human Relations, and of Title XVIII of this Book, regulating
damages. (1092a)
Art. 1162. Obligations derived from quasi-delicts shall be governed
by the provisions of Chapter 2, Title XVII of this Book, and by special
laws. (1093a)
CHAPTER 2
NATURE AND EFFECT OF OBLIGATIONS
Art. 1163. Every person obliged to give something is also obliged to
take care of it with the proper diligence of a good father of a family,
unless the law or the stipulation of the parties requires another
standard of care. (1094a)
Art. 1164. The creditor has a right to the fruits of the thing from the
time the obligation to deliver it arises. However, he shall acquire no
real right over it until the same has been delivered to him. (1095)
Art. 1165. When what is to be delivered is a determinate thing, the
creditor, in addition to the right granted him by Article 1170, may
compel the debtor to make the delivery.
If the thing is indeterminate or generic, he may ask that the obligation
be complied with at the expense of the debtor.
If the obligor delays, or has promised to deliver the same thing to two
or more persons who do not have the same interest, he shall be
responsible for any fortuitous event until he has effected the delivery.
(1096)
Art. 1166. The obligation to give a determinate thing includes that of

However, the demand by the creditor shall not be necessary in order


that delay may exist:
(1) When the obligation or the law expressly so declare; or
(2) When from the nature and the circumstances of the obligation it
appears that the designation of the time when the thing is to be
delivered or the service is to be rendered was a controlling motive for
the establishment of the contract; or
(3) When demand would be useless, as when the obligor has rendered
it beyond his power to perform.
In reciprocal obligations, neither party incurs in delay if the other does
not comply or is not ready to comply in a proper manner with what is
incumbent upon him. From the moment one of the parties fulfills his
obligation, delay by the other begins. (1100a)
Art. 1170. Those who in the performance of their obligations are
guilty of fraud, negligence, or delay, and those who in any manner
contravene the tenor thereof, are liable for damages. (1101)
Art. 1171. Responsibility arising from fraud is demandable in all
obligations. Any waiver of an action for future fraud is void. (1102a)
Art. 1172. Responsibility arising from negligence in the performance
of every kind of obligation is also demandable, but such liability may
be regulated by the courts, according to the circumstances. (1103)
Art. 1173. The fault or negligence of the obligor consists in the
omission of that diligence which is required by the nature of the
obligation and corresponds with the circumstances of the persons, of
the time and of the place. When negligence shows bad faith, the
provisions of Articles 1171 and 2201, paragraph 2, shall apply.
If the law or contract does not state the diligence which is to be
observed in the performance, that which is expected of a good father
of a family shall be required. (1104a)
Art. 1174. Except in cases expressly specified by the law, or when it is
otherwise declared by stipulation, or when the nature of the obligation
requires the assumption of risk, no person shall be responsible for
those events which could not be foreseen, or which, though foreseen,
were inevitable. (1105a)
Art. 1175. Usurious transactions shall be governed by special laws.
(n)
Art. 1176. The receipt of the principal by the creditor without

reservation with respect to the interest, shall give rise to the


presumption that said interest has been paid.
The receipt of a later installment of a debt without reservation as to
prior installments, shall likewise raise the presumption that such
installments have been paid. (1110a)
Art. 1177. The creditors, after having pursued the property in
possession of the debtor to satisfy their claims, may exercise all the
rights and bring all the actions of the latter for the same purpose, save
those which are inherent in his person; they may also impugn the acts
which the debtor may have done to defraud them. (1111)
Art. 1178. Subject to the laws, all rights acquired in virtue of an
obligation are transmissible, if there has been no stipulation to the
contrary. (1112)
CHAPTER 3
DIFFERENT KINDS OF OBLIGATIONS
SECTION 1. - Pure and Conditional Obligations
Art. 1179. Every obligation whose performance does not depend upon
a future or uncertain event, or upon a past event unknown to the
parties, is demandable at once.
Every obligation which contains a resolutory condition shall also be
demandable, without prejudice to the effects of the happening of the
event. (1113)
Art. 1180. When the debtor binds himself to pay when his means
permit him to do so, the obligation shall be deemed to be one with a
period, subject to the provisions of Article 1197. (n)
Art. 1181. In conditional obligations, the acquisition of rights, as well
as the extinguishment or loss of those already acquired, shall depend
upon the happening of the event which constitutes the condition.
(1114)
Art. 1182. When the fulfillment of the condition depends upon the
sole will of the debtor, the conditional obligation shall be void. If it
depends upon chance or upon the will of a third person, the obligation
shall take effect in conformity with the provisions of this Code. (1115)
Art. 1183. Impossible conditions, those contrary to good customs or
public policy and those prohibited by law shall annul the obligation
which depends upon them. If the obligation is divisible, that part
thereof which is not affected by the impossible or unlawful condition
shall be valid.

voluntarily prevents its fulfillment. (1119)


Art. 1187. The effects of a conditional obligation to give, once the
condition has been fulfilled, shall retroact to the day of the
constitution of the obligation. Nevertheless, when the obligation
imposes reciprocal prestations upon the parties, the fruits and interests
during the pendency of the condition shall be deemed to have been
mutually compensated. If the obligation is unilateral, the debtor shall
appropriate the fruits and interests received, unless from the nature
and circumstances of the obligation it should be inferred that the
intention of the person constituting the same was different.
In obligations to do and not to do, the courts shall determine, in each
case, the retroactive effect of the condition that has been complied
with. (1120)
Art. 1188. The creditor may, before the fulfillment of the condition,
bring the appropriate actions for the preservation of his right.
The debtor may recover what during the same time he has paid by
mistake in case of a suspensive condition. (1121a)
Art. 1189. When the conditions have been imposed with the intention
of suspending the efficacy of an obligation to give, the following rules
shall be observed in case of the improvement, loss or deterioration of
the thing during the pendency of the condition:
(1) If the thing is lost without the fault of the debtor, the obligation
shall be extinguished;
(2) If the thing is lost through the fault of the debtor, he shall be
obliged to pay damages; it is understood that the thing is lost when it
perishes, or goes out of commerce, or disappears in such a way that its
existence is unknown or it cannot be recovered;
(3) When the thing deteriorates without the fault of the debtor, the
impairment is to be borne by the creditor;
(4) If it deteriorates through the fault of the debtor, the creditor may
choose between the rescission of the obligation and its fulfillment,
with indemnity for damages in either case;
(5) If the thing is improved by its nature, or by time, the improvement
shall inure to the benefit of the creditor;
(6) If it is improved at the expense of the debtor, he shall have no
other right than that granted to the usufructuary. (1122)

The condition not to do an impossible thing shall be considered as not


having been agreed upon. (1116a)

Art. 1190. When the conditions have for their purpose the
extinguishment of an obligation to give, the parties, upon the
fulfillment of said conditions, shall return to each other what they
have received.

Art. 1184. The condition that some event happen at a determinate time
shall extinguish the obligation as soon as the time expires or if it has
become indubitable that the event will not take place. (1117)

In case of the loss, deterioration or improvement of the thing, the


provisions which, with respect to the debtor, are laid down in the
preceding article shall be applied to the party who is bound to return.

Art. 1185. The condition that some event will not happen at a
determinate time shall render the obligation effective from the
moment the time indicated has elapsed, or if it has become evident
that the event cannot occur.

As for the obligations to do and not to do, the provisions of the second
paragraph of Article 1187 shall be observed as regards the effect of
the extinguishment of the obligation. (1123)

If no time has been fixed, the condition shall be deemed fulfilled at


such time as may have probably been contemplated, bearing in mind
the nature of the obligation. (1118)
Art. 1186. The condition shall be deemed fulfilled when the obligor

Art. 1191. The power to rescind obligations is implied in reciprocal


ones, in case one of the obligors should not comply with what is
incumbent upon him.
The injured party may choose between the fulfillment and the
rescission of the obligation, with the payment of damages in either

case. He may also seek rescission, even after he has chosen


fulfillment, if the latter should become impossible.
The court shall decree the rescission claimed, unless there be just
cause authorizing the fixing of a period.

This is understood to be without prejudice to the rights of third


persons who have acquired the thing, in accordance with Articles
1385 and 1388 and the Mortgage Law. (1124)

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