Session 3 LAW201

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OBLI-CON

(Nature and Effects of


Obligations)

Atty. Arnold V. De Castro


OBLIGATION TO GIVE
OBLIGATION TO GIVE

KINDS OF THING/PROPERTY IN TERMS OF


OWNERSHIP OR POSSESSION
Personal Real

-movable -immovable

- By nature, it can be physically - By nature, it does not need to be


transferred from one place to another physically transferred from one place
for its utilization to another for its utilization
OBLIGATION TO DO & NOT TO DO
BREACHES OF OBLIGATIONS
VOLUNTARY INVOLUNTARY
Default (Mora) Fraud (Dolo) Negligence (Culpa) Fortuitous Event
Elements: intentional evasion of unintentional act which caused 1. Cause of event is
faithful performance of damage independent of
debtor’s will;
1. Obligation must be obligation
2. Event is
due and demandable; unforeseeable or
fraud must be Degree of Diligence Required:
2. Debtor fails to unavoidable;
incidental fraud, or that
perform obligation on 3. Event makes it
which is present during 1. That agreed upon
the date agreed upon; absolutely impossible
NOT prior the 2. In the absence of such, that which for debtor to fulfill
3. Judicial or extra‐
performance of is required by the law obligation in normal
judicial demand made
obligation 3. GR: In the absence of the manner;
by creditor upon 4. Debtor must be free
Waiver of past fraud= foregoing, diligence of a good father
debtor to fulfill from any participation
ALLOWED of a family a.k.a. Ordinary Diligence
obligation; in, or the aggravation
Waiver of future of injury to creditor
4. Debtor’s failure to
fraud= PROHIBITED EXC: When other degree is required
comply with demand.
BREACHES OF OBLIGATIONS
ADDITIONAL POINTS
DELAY FORTUITOUS EVENT
 In reciprocal obligations, neither party Fortuitous Event Force Majeure
incurs in delay if the other does not Act of God Act of Man
comply in a proper manner with what
is incumbent upon him. independent of caused by the
 Pertinent Exceptions where Demand human intervention legitimate or
as Element No. 3 of Delay is not illegitimate acts of
needed: persons other than
(1) The law expressly so dictates; the obligor
(2) Time is of the essence
REMEDIES FOR BREACHES
VOLUNTARY INVOLUNTARY BREACH
BREACH
Creditor can GR: Creditor cannot demand damages
demand
damages from EXC: Creditor can demand damages if:
debtor 1. Allowed by law
2. Nature of obligation requires assumption of risk
3. Allowed by stipulation of parties
4. Debtor, guilty of dolo, malice or bad faith, promised the same
thing to 2/more persons who does not have same interest
5. Debtor contributed to loss
6. Debtor obligor is guilty of fraud, negligence or delay
REMEDIES FOR BREACHES
Other Pertinent Remedies:

1. Specific Performance

2. Rescission/Cancellation in case of Reciprocal Obligations


REFERENCES
A. Books
 De Leon and De Leon. (2021). Obligations and Contracts. Rex Publisher
 Jurado (2020). Obligations and Contracts Reviewer. Rex Printing Company, Inc.
B. Electronic References
 Jurisprudence (n.d.) Retrieved on 13 August 2021 from http://sc.judiciary.gov.ph/decisions/
 Jurisprudence and New Civil Code (n.d.) Retrieved on 13 August 2021 from http://supreme.chanrobles.com/
 Jurisprudence and New Civil Code (n.d.) Retrieved on 13 August 2021 from
https://lawphil.net/judjuris/judjuris.html
 Jurisprudence (n.d.) Retrieved on 13 August 2021 from
https://www.officialgazette.gov.ph/section/judicial/supreme-court/decisions/
C. Others
 Official Gazette of the Republic of the Philippines
 Philippine Reports
 Supreme Court Reports Annotated

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