1.

Tender of Payment and Consignation

a. Definition:
Soco vs. Militante, 123 S 160

b. How Made:
Adelfa Properties vs. Court of Appeals, 240 S 565
Far East Bank v. Diaz Realty, Aug 23, 2001
Torcuator v. Bernabe, 459 S 439

c. Proof of Tender:
Sering v. CA, 371 S 151

d. When Tender of Payment is not Required:

e. Consignation v. Redemption v. Option:

Vda. De Quirino v. Palarca, 29 S 1
Badayos v. CA, March 13, 1992

f. Requisites of Consignation:
Ponce De Leon vs. Syjuco, 90 P 311
Hulganza v. CA, Jan 7, 1987

g. Notice of Consignation, When Excused:

Southwestern University v. Salvador, 90 S 318

h. Effects of Consignation:

Loss of the Thing Due: (Articles 1262 – 1269)

1. Generic v. Specific:
RP v. Grijaldo, Dec 31, 1965

2. Exceptions:
Federation of United NAMARCO Distributors vs. National Marketing, 4 S 867

3. Rebus Sic Stantibus:

PNCC vs. Court of Appeals, May 5, 1997
Naga Telephone vs. Court of Appeals, 73 S 637
U.S. v. Varadero dela Quinta, 40 P 48;
Magat v. CA, 337 S 298

4. Loss v. Inconvenience:
Labayen vs. Talisay-Silay Milling, 52 P 440

Condonation or Remission: (Articles 1270 – 1274 and 748 – 752)

 1. Requisites and Classes:

2. Write-Off v. Condonation:
Soria vs. COA, February 8, 2011

3. Waiver v. Condonation:
Puzon v. Gaerlan, Dec 31, 1965

4. Delivery of Private Document:

Lopez Vito v. Tambunting, 33 P 226

Confusion: (Articles 1275 – 1277)

1. Illustration:
Chittick vs. Court of Appeals, 166 S 219

2. Requisites:
Estate of Mota v. Serra, 47 P 464

3. Effects:
Sochayseng vs. Trujillo, 31 P 153
Yek Ton Lin vs. Court of Appeals, 46 S 473
Enriquez v. Ranola, 60 P 219

Compensation: (Articles 1278 – 1290, Rule 6 of the Rules of Civil Procedure)

1. Concept and Distinctions with Other Means of Extinguishing an Obligation:
Insular Investment vs. Capital One, April 25, 2012

2. Requisites:

a. Debtor and Creditor Relationship:

Garcia vs. Lim Chu Sing, 59 P 562
Soriano vs. Compañia General, 18 S 999
Republic vs. Mambulao, 4 S 622
Tan v. Mendez, Jun 6, 2002
Francia v. IAC, Jun 28, 1988

b. Sum of Money:
Ong vs. Court of Appeals, 177 S 402
Dalton vs. FGR Realty, January 19, 2011

c. Two Debts Due:

Domingo vs. Garlitos, 8 S 443
Perez vs. Court of Appeals, 127 S 636

d. Liquidated and Demandable:

Mialhe vs. Manalili, 6 S 453
 e. No Controversy:
PNB v. Madecor, 363 S 128

3. Legal Compensation:
a. By Operation of Law:
Pioneer Insurance vs. Court of Appeals, 180 S 156
Mindanao Portland Cement v. CA, 120 S 930

b. Requisites:
Sesbreño vs. Court of Appeals, 222 S 466

c. When Not Applicable:

Gullas vs. PNB, 62 P 519;
ICB v. IAC, Jun 30, 1988