Professional Documents
Culture Documents
Contracts
Chapter I. General Provisions
A. Definition Art. 1305
B. Elements
1. Essential elements (see Chapter II, infra)
a. Consent
b. Object
c. Cause
2. Natural elements
3. Accidental elements (see D., 3., infra)
C. Characteristics
1. Obligatory force Art. 1308
2. Mutuality Arts. 1308-1310 (see also Art. 1473)
Case
GSIS v. CA, 228 SCRA 183 (1993)
Professional Academic Plans, Inc. Francisco Colayco
and Benjamin Dino vs. Crisostomo (G.R. No. 148599,
March 14, 2005.)
3. Relativity
a) Contracts take effect only between the parties, their assigns
and heirs - Art. 1311
Cases
Manila Railroad Co. v. La Compaia
Trasatlantica, 83 Phil. 875 (1918)
DKC Holdings Corp. v. CA, 329 SCRA 666
(2000)
b) No one may contract in the name of another Art. 1317
Case
Gutierrez Hmnos. v. Orense, 28 Phil. 571
(1914)
D. Parties
1. Auto-contracts
2. Freedom to contract Art. 1306
Cases
Gabriel v. Monte de Piedad, 71 Phil. 497 (1941)
Pakistan International Airlines v. Ople, 190 SCRA 90
(1990)
a. Special disqualifications
1) Art. 87, Family Code
- 22 -
Contrary to morals
Contrary to good customs
Contrary to public order
Contrary to public policy
Cases
Cui v. Arellano, 2 SCRA 205 (1961)
Arroyo v. Berwin, 36 Phil. 386 (1917)
Filipinas Compaia de Seguros v. Mandanas,
17 SCRA 391 (1966)
Bustamante v. Rosel, 319 SCRA 413 (1999)
E. Classification
1. According to subject-matter
a. Things
b. Services
2. According to name
a. Nominate
b. Innominate Art. 1307
Case
Dizon v. Gaborro, 83 SCRA 688 (1978)
Corpuz vs. CA (93 SCRA 424)
3.
4.
5.
6.
1) do ut des
2) do ut facias
3) facio ut facias
4) facio ut des
According to perfection
a. By mere consent (consensual) Art. 1315
b. By delivery of the object (real) Art. 1316
According to its relation to other contracts
a. Preparatory
b. Principal
c. Accessory
According to form
a. Common or informal
b. Special or formal
According to purpose
a. Transfer of ownership, e.g., sale
- 23 -
- 24 -
- 25 -
- 26 -
- 27 -
- 28 -
- 29 -
- 30 -
- 31 -
- 33 -
- 34 -
a. Purpose of Statute
Case
Philippine National Bank v. Philippine
Vegetable Oil Co., 49 Phil. 857 (1927)
b. How ratified Art. 1405
Cases
Carbonnel v. Poncio, et al., 103 Phil. 655
(1958)
First Philippine International Bank vs. CA
(G.R. No. 115849. January 24, 1996)
c. Right of the parties when a contract is enforceable but a
public document is necessary for its registration Art.
1406
3. Contracts executed by parties who are both incapable of giving
consent to a contract
a. Effect of ratification by the parents or guardian of one of
the parties Art. 1407
b. Effect of ratification by the parents or guardian of both
parties Art. 1407
- 35 -
- 36 -
b.
c.
d.
e.
- 37 -
- 38 -
Title V. Trusts
Chapter I. General Provisions
A. Definition
B. Governing rules Art. 1442
C. Parties Art. 1440
1. Trustor
2. Trustee
3. Beneficiary or cestui que trust
D. Kinds Art. 1441
Case
Salao v. Salao, 70 SCRA 168 (1976)
1. Express Trusts
a. Proof required Art. 1443
b. Form Art. 1444
c. Want of trustee Art. 1445
d. Acceptance by the beneficiary Art. 1441
2. Implied Trusts
a. How established Art. 1441
b. How proved Art. 1457
c. Examples Arts. 1448-1456
Cases
Fabian v. Fabian, 22 SCRA 231 (1968)
Bueno v. Reyes, 27 SCRA 1179 (1969)
Tamayo v. Callejo, 46 SCRA 27 (1972)
Heirs of Sanjorjo vs. Quijano (GR. No.
140457. January 19, 2005)
Aznar Brothers Realty Company vs. Aying
(GR No. 144773. May 16, 2005)
- 39 -