GENERAL PROVISIONS: OBLIGATIONS AS A CONCEPT

1) Categories (Art. 1423)

a) Natural

b) Civil

2) Definition (Art. 1156)

3) Requisites (Ang Yu Asuncion v. CA)

a) Subject-persons

b) Object / Prestation

i) Elements

(1) Possible

(2) Determinate / determinable

(3) Pecuniary value

(4) Legal

ii) Juridical tie

4) Form of obligation

a) General rule: no required form (Art. 1356)

5) Sources of Obligations (Art. 1157)

a) Law (Art. 1158)

b) Contracts (Art 1305 & Art 1159)

c) Quasi-contracts (Art. 2142 & Art. 1160)

d) Delicts (Art. 1161)

e) Quasi-delicts (Art. 1162 & Art. 2176)

6) Transmissibility (Art. 1178)

NATURE AND EFFECT

1) Obligation to give

a) Duties of debtor

i) Determinate

(1) Obligation to deliver (Art. 1165, Art. 1460 & Art. 1244 par. 1)

(2) Obligation to take care of thing (Art. 1163)

 (3) Obligation to deliver of fruits (Art. 1164 & Article 442

(4) Obligation to deliver accessions and accessories (Art. 1166)

ii) Generic

(1) Deliver thing according to the quality intended by the parties (Art. 1246)

(2) Liable for damages in case of fraud, negligence or delay (Art. 1170)

2) Obligation to do (Art. 1167)

a) Situations contemplated in Art. 1167

i) Debtor fails to perform obligation to do

ii) Debtor performs obligation but contrary to the terms

iii) Debtor performs obligation but in a poor manner

b) Rights of creditor

i) Executed at his cost (Art. 1167)

ii) Debtor liable for damages (Art. 1170)

3) Obligation not to do (Art. 1168)

CLASSIFICATION OF OBLIGATIONS

1) Pure and Conditional

a) Pure (Art. 1179)

b) Conditional (Article 1179)

i) Future and uncertain

ii) Unknown past event

c) Definition of condition (Gonzales v. Heirs of Cruz)

d) Kinds of conditional obligations

i) Suspensive or resolutory (Art. 1181)

(1) Suspensive

(a) Rules governing suspensive conditions

(i) Retroactive effect (Art. 1187)

(ii) Right of creditor to preserve his right (Art. 1188)

(iii)Right of debtor to recover payment by mistake (Art. 1188)

 (iv) In case of improvement, loss, deterioration of the thing during pendency of the

condition (Art. 1189)

(2) Resolutory (Art. 1181)

(a) Rules governing resolutory conditions (Art. 1190)

(i) Effect of occurrence in obligations to give

(ii) In case of loss, deterioration or improvement

(iii) In case of obligations to do or not to do

ii) Potestative, Casual or Mixed (Art. 1182)

iii) Impossible (Art. 1183)

iv) Positive or Negative (Arts 1184-1185)

v) Constructive Fulfillment (Art. 1186)

2) Reciprocal Obligations

a) Definition (Vermen Realty Development Corp. v. Court of Appeals)

b) Implied Power to Rescind (Art. 1191)

i) Trigger

ii) Breach contemplated

iii) Distinguished from other types of rescission

iv) Judicial or extrajudicial (U.P. v. De Los Angeles)

v) Subject to rights of third party acquirers (Arts. 1385 & 1388)

vi) In case both parties are in breach (Art. 1192)