IV - Simple Loan/Mutuum

A. General Concepts
B. Obligation to Pay
C. Interest
Conventional Interest
o Escalation Clauses
Interest on Interest
Compensatory, Penalty or Indemnity Interest o Forbearance of Money o
Legal Rate of Interest
Finance Charges

Related laws and issuances

Act No. 2137, Warehouse Receipts Law, Sec. 58;
Act No. 2655, Secs. 1, 7, and 7-a (as inserted by Presidential Decree
No. 1684);
Central Bank Circular No. 416, Series of 1974;
Central Bank Circular No. 799, Series of 2013;
New Civil Code, Arts. 1169, 1226, 1249-50, 1253, 1423, 1933, 1935-
1961, 1980, 2154, 2209,
2212-13, and 2226-7;
Republic Act No. 3765, Secs. 4 and 6;
D. Cases

Angel Jose Warehousing Co., Inc. v. Childa Enterprises, G.R. No. L-25704 /23
SCRA 119, 24 April 1968;
Antonio Tan v. Court of Appeals and Cultural Center of the Philippines, G.R. No.
116285 / 419 Phil 857, 19 October 2001;
Arwood Industries v. D.M. Consunji, Inc., G.R. No. 142277 / 394 SCRA 11, 11
December 2002;
Bobie Rose V. Frias v. Flora San Diego-Sison, G.R. No. 155223 / 520 SCRA 244,
03 April 2007;
BPI Family Bank v. Amado Franco, G.R. No. 123498 / 538 SCRA 184, 23
November 2007;
Cleofe Velez v. Maximo Balzarsa, G.R. No. L-48389 / 73 Phil 630, 27 July 1942;
Cu-Unjieng e Hijos v. Mabalacat Sugar Co., G.R. No. L-32644 / 54 Phil 976, 4
October 1930;
Dario Nacar v. Gallery Frames, G.R. No. 189871, 13 August 2013;
Eastern Shipping Lines, Inc. v. Court of Appeals, G.R. No. 97412 / 234 SCRA 78,
12 July 1994;
Emerito M. Ramos v. Central Bank of the Philippines, G.R. No. L-29352 / 137
SCRA 685, 22 July 1985;
Gil Jardenil v. Hefti Solas, G.R. No. L-47878 / 73 Phil 626, 24 July 1942;
 Hermojina Estores v. Sps. Arturo and Laura Supangan, G.R. No. 175139, 18 April
2012;
Jesus T. David v. Court of Appeals, G.R. No. 115821 /316 SCRA 710, 13 October
1999;
Josue Soncuya v. Juan Azarraga, G.R. No. L-43579 / 65 Phil 635, 14 June 1938;
Leticia Y. Medel v. Court of Appeals, G.R. No. 131622 / 299 SCRA 481, 27
November 1998;
Lirag Textile Mills v. Social Security System, G.R. No. L33205 / 153 SCRA 338, 31
August 1987;
Lucia Tan v. Arador Valdehueza, G.R. No. L-38745 / 66 SCRA 61, 6 August 1975;
Mansueto Cuaton v. Rebecca Salud, G.R. No. 158382, 27 January 2004;
Overseas Bank of Manila v. Vicente Cordero, G.R. No. L-33582 / 113 SCRA 303,
30 March 1982;
Pedro Martinez v. Antonino Ramos, G.R. No. L-9417 / 28 Phil 589, 4 December
1914;
People of the Philippines v. Teresa Puig and Romeo Porras, G.R. No. 173654-
765 / 563 SCRA 564, 28 August 2008;
Philippine National Bank v. Honorable Court of Appeals, G.R. No. 88880 / 196
SCRA 536, 30 April 1991;
Republic of the Philippines v. Jose Grijaldo, G.R. No. L-20240 / 122 Phil 1020 / 15
SCRA 681, 31 December 1965;
Sebastian Siga-an v. Alicia Villanueva, G.R. No. 173227 / 576 SCRA 696, 20
January 2009;
Sentinel Insurance Co., Inc. v. Hon. Court of Appeals, G.R. No. L-52482 / 182
SCRA 517, 23 February 1990;
Severino Tolentino v. Benito Gonzales Sy Chiam, G.R. No. 26085 / 50 Phil 558,
12 August 1927;
Sps. Antonio and Manuela Concepcion v. Court of Appeals, G.R. No. 122079 /
274 SCRA 614, 27 June 1997;
Sps. Ignacio F. and Alice P. Juico v. China Banking Corporation, G.R. No. 187678,
10 April 2013;
The Royal Shirt Factory v. Co Bon Tic, G.R. No. L-6313 / 94 Phil 994, 14 May
1954;
Tolomeo Ligutan v. Hon. Court of Appeals, G.R. No. 138677 / 376 SCRA 560, 12
February 2002;
United Coconut Planters Bank v. Sps. Samuel and Odette Beluso, G.R. No.
159912 / 530 SCRA 567,
17 August 2007;

E. Usury

Usurious Acts
 Remedies Remedy of Debtor
Remedy of Creditor
Related laws and issuances
Act. 2655;
Monetary Board Resolution No. 796, 16 May 2013;
Central Bank Circular No. 905-82, Sec. 1;
New Civil Code, Arts. 1175, 1413, 1957 and 1961;