Académique Documents
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1106. By Prescription:
A.
One acquires ownership and other real rights
through the lapse of time in the manner and under
the conditions laid down by law
This
contracts
B.
states
the
statutory
definition
of
3.
Lack of knowledge or notice on the part of the
defendant that the complainant would assert the right
on which he bases his suit
the former tends only to assure and pave the way for
the celebration of a contract in the future.
b.
Imperfect Promise mere unaccepted offer
4.
Injury or prejudice to the defendant in the
event relief is accorded to the complainant or the suit
is not held barred
c.
Pact a special part of the contract,
sometimes incidental and separable for the principal
agreement
d.
Stipulation similar to a pact; when the
contract is an instrument, it refers to the essential
and dispositive part, as distinguished from the
exposition of the facts and antecedents upon which it
is based.
Title 2: CONTRACTS
1305. A contract is a meeting of minds between
two persons whereby one binds himself, with
Number of Parties:
The Code states two persons; what is
meant actually is two parties. For a contract to
exist, there must be two parties. A party
can be one or more persons.
o
Husband & Wife: Husbands and wives cannot
sell to each other as a protection of the conjugal
partnership. They can however enter into a contract
of agency.
Auto-contractsIt
means
one
person
contracts himself. As a general rule, it is accepted in
our law. The existence of a contract does not depend
on the number of persons but on the number of
parties. There is no general prohibition against autocontracts; hence, it should be held valid.
Contracts of AdhesionContracts prepared by
another, containing provisions that he desires, and
asks the other party to agree to them if he wants to
enter into a contract.
o
Example: transportation tickets. It is valid
contract according to Tolentino because the other
party can reject it entirely.
Characteristics of Contracts: (3 elements)
1.
Essential elements without which there is no
contract; they are:
a.
consent
b.
c.
2.
Natural elements exist as part of the
contract even if the parties do not provide for them,
because the law, as suppletory to the contract,
creates them
3.
Accidental elements those which are agreed
by the parties and which cannot exist without
stipulated
Stages of a Contract: (3 stages)
1.
Preparation, Generation or Policitacion
period of negotiation and bargaining, ending at the
moment of agreement of the parties
2.
Perfection or Birth of the contract the
moment when the parties come to agree on the terms
of the contract
3.
Consummation or Death the fulfillment or
performance of the terms agreed upon in any
contract
the
Principle
of
Freedom to contract:
o
Any person has the liberty to enter into a
contract so long as they are not contrary to law,
morals, good customs, public order or public policy.
The legislature, under the constitution, is prohibited
from enacting laws to prescribe the terms of a legal
contract.
Validity of Stipulations:
Page 44 of 90
o
Any and all stipulations not contrary to law,
morals, good customs, public order or public policy is
valid
Contrary to law:
states
the
may establish
and conditions
provided they
good customs,
autonomous
nature
of
o
Freedom of contract is restricted by law for
the good of the public. It is fundamental postulate
that however broad the freedom of the contracting
parties may be, it does not go so far as to
countenance disrespect for or failure to observe a
legal prescription. The Statute takes precedence.
Examples:
a.
A promissory note which represents a
gambling debt is unenforceable in the hands of the
assignee.
b.
Stipulations to pay usurious interests are void.
c.
A contract between to public service
companies to divide the territory is void because it
impairs the control of the Public
d.
Service Commission.
e.
Agreement to declare valid a law or ordinance
is void.
Contrary to Morals:
Written contracts:
o
Morals mean those generally accepted
principles of morality which have received some kind
of social and practical confirmation.
o
Examples:
a.
a promise to marry or nor to marry, to secure
legal separation, or to adopt a child
b.
a promise to change citizenship, profession,
religion or domicile
c.
a promise not to hold public office or which
limits the performance of official duties
d.
a promise to enter a particular political party
or separate from it
e.
contracts which limit in an excessive manner
the personal or economic freedom of a person to
make an act dependent on money or some pecuniary
value, when it is of such a nature that it should not
depend thereon; payment to kill another.
Contrary to Public Order:
o
Public order means the public weal or public
policy. It represents the public, social, and legal
interest in private law that which is permanent and
essential in institutions, which, even if favoring some
individual to whom the right pertains, cannot be left
to his own will. A contract is said to be against public
order if the court finds that the contract as to the
consideration or the thing to be done, contravenes
some established interest of society, or is inconsistent
with sound policy and good morals, or tends clearly to
undermine the security of individual rights.
o
Examples:
a.
Common
carrier
cannot
stipulate
for
exemption for liability unless such exemption is
justifiable and reasonable and the contract is freely
and fairly made.
b.
Payment to intermediaries in securing import
licenses or quota allocations.
c.
Contract of scholarship stipulating that the
student must remain in the same school and that he
waives his right to transfer to another school without
refunding the school
A.
o
Under Rules of Court, judgment may
be executed on motion within 5 years from the date
of its entry or from the date it becomes final and
executory. After the lapse of such time, and before it
is barred by the statute of limitations, it may be
enforced by ordinary action within 10 years
1145.
The
following
actions
must
commenced within six years:
1.
Upon an oral contract
2.
Upon a quasi-contract
be
1.
the plaintiff
2.
The recovery of what
improperly paid (cobro de lo indebido)
Upon a quasi-delict
However, the number of quasicontracts is not only confined in these two but may
be indefinite as may be the number of lawful acts, the
generation of the said obligation
Section 1: Negotiorum Gestio
2.
has
been
o
A suit questioning the removal as
corporate secretary must be brought within 4 years
for the unjustified separation from employment or
illegal dismissal is an injury to the rights of the
plaintiff
o
Action for recovery of damages for taking or
retaining personal property, or incident to trespass
upon real estate prescribes within 4 years
Examples of quasi-delicts:
2.
1.
When the property or business is
not neglected or abandoned
3.
2.
If in fact the manager has been
tacitly authorized by the owner
o
Prescriptive period is counted from
the day quasi-delict occurred or was committed
o
Action against the Central Bank for
tortuous inference, that is, in closing and
liquidating a bank
the plaintiff:
quasi-contract
is
not
an
implied
his
own
3.
If he fails to return the property
or business after demand by the owner
4.
If he assumed the management in
bad faith
First case: the business is simply providing
a warehouse for dolls, the officious manager stored
highly inflammable materials
Second case: same business,
officious manager also stored some of his
the warehouse. During flood, he chose to
goods first before that of the owner, the
manager will be liable for the loss
but the
goods in
save his
officious
Ratificationthe
owner
agrees
to
whatever the officious manager has done
2150. Although the officious management may not
have been expressly ratified, the owner of the
property or business who enjoys the advantages of
the same shall be liable for obligations incurred in his
interest, and shall reimburse the officious manager
for the necessary and useful expenses for the
1.
That he who paid was not under
obligation to do so
2.
That payment was made by reason of
an essential mistake of fact
Principles of equity cannot be applied if there is a
provision of law specifically applicable to a case
2155. Payment by reason of a mistake in the
construction or application of a doubtful or difficult
question of law may come within the scope of the
preceding article.
5.
Legitimate brothers and sisters, whether full or
half-blood
Whenever 2 or more persons are obliged to
give support, the liability shall devolve upon the
following persons in the following order:
1.
Spouses
2.
Descendants in the nearest degree
3.
Ascendants in the nearest degree
4.
Brothers and sisters
2166. When the person obliged to support an orphan,
or an insane or other indigent person unjustly refuses
to give support to the latter, any third person may
furnish support to the needy individual, with right of
reimbursement from the person obliged to give
support. The provisions of this article apply when the
father or mother of a child under eighteen years of
age unjustly refuses to support him.
This has been adopted by Art. 207 of the Family Code
o
When the person obliged to support
another unjustly refuses or fails to give support when
urgently needed by the latter, any third person may
furnish support to the needy individual with a right of
reimbursement from the person obliged to give
support. This article shall apply particularly when the
father or the mother of a child under the age of
majority unjustly refuses to support or fails to give
support to the child when urgently needed