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Law as a rule of conduct, just obligatory, promulgated by which the parties become bound to each other to

legitimate authority, and of common observance and the end that no one will be unjustly enriched or
benefit. benefited at the expense of another.

Article III Sec. 1 No person shall be deprived of life, Negotiorum gestio is the voluntary management of
liberty, or property without due process of law, nor the property or affairs of another without the
shall any person be denied the equal protection of knowledge or consent of the latter.
the laws.
Solutio indebiti is the juridical relation which is
Article 1156 An obligation is a juridical necessity to give, created when something is received when there is
to do or not to do. no right to demand it and it was unduly delivered
through mistake.
Passive subject the person who is bound to the fulfillment
of the obligation; he who has duty. Quasi-delict is an act or omission by a person which
causes damage to another in his person, property,
Active subject the person who is entitled to demand the or rights giving rise to an obligation to pay for the
fulfillment of the obligation; he who has right. damage done, there being fault or negligence but
there is no pre-existing contractual relation
Object or prestation the conduct required to observe by
between the parties.
the debtor. It may consist in giving, doing, or not
doing. Specific/Determinate particularly designated or
physically segregated others of the same class.
Judicial or legal tie that which binds or connects the
parties to the obligation. Generic/Indeterminate it refers only to a class or
genus to which it pertains and cannot be pointed
Right the power which a person has under the law, to
out with particularity.
demand from another any prestation.
Natural fruits are the spontaneous products of the soil
Wrong an act or omission of one party in violation of the
and the young and other products of animals.
legal right or rights of another.
Industrial fruits are those produce by lands of any
Injury wrongful violation of the legal right of another.
kind through cultivation or labor.
Real obligation is that in which the subject matter is thing
Civil fruits are those derived by virtue of a juridical
which the obligor must deliver to the oblige.
relation.
Personal obligation is that in which the subject matter is
Personal rights the right or power of the a person
an act to be done or not to be done.
(creditor) to demand from another (debtor), as a
Contract is meeting of minds between two persons definite passive subject, the fulfillment of the
whereby one binds himself, with respect to the other, latters obligation to give, to do, or not to do.
to give something or to render some service.
Real rights the right or interest of a person over a
Compliance in good faith compliance or performance in specific thing, without a definite passive subject
accordance with the stipulations or terms of the against whom the right may be personally
contract or agreement. enforced.

Quasi-contract is that juridical relation resulting from Accessions are the fruits of a thing or additions to
lawful, voluntary and unilateral acts by virtue of or improvements upon a thing.
Accessories are things joined to or included with Fortuitous event is any event which cannot be
the principal thing for the latters foreseen, or which, though foreseen, is
embellishment, better use, or completion. inevitable.

Ordinary delay is merely the failure to perform an Usury is contracting for or receiving interest in
obligation on time. excess of the amount allowed by law for
the loan use of money, goods, chattels or
Legal delay or default or mora is the failure to credits.
perform an obligation on time which failure
constitutes a breach of the obligation. Presumption the interference of a fact not actually
known arising from its usual connection
Mora solvendi the delay on the part of the debtor with another which is known or proved.
to fulfill his obligation.

Mora accipiendi the delay on the part of the


creditor to accept the performance of the
obligation.

Compensatio morae the delay of the obligors in


reciprocal obligations, the delay of the
obligor cancels the delay of the obligee and
vice versa.

Fraud the deliberate or intentional evasion of the


normal fulfillment of an obligation.

Negligence the omission of that diligence which


is required by the nature of the obligation
and corresponds with the circumstances of
the person, of the time, and of the place.

Contractual negligence negligence in contracts


resulting in their breach. (Culpa
contractual)

Civil negligence negligence which by itself is the


source of an obligation between the parties
not so related before any preexisting
contract. (Culpa aquiliana)

Criminal negligence negligence resulting in the


commission of a crime.

Damages signify the money compensation


awarded to a party for loss or injury
resulting from breach of contract or
obligation by the other.
General divisions of law c. an act or omission by the latter in violation of
said right with resulting injury or damage to the
1. Law which is promulgated and enforced by the former.
state.
Sources of obligations (Article 1157)
2. Law which is not promulgated and enforced by
the state. 1. Law
2. Contracts
Subject of law 3. Quasi-contracts
4. Acts or omissions punished by law
-Divine law
5. Quasi-delicts
-Natural law
-Moral law Sources classified
-Physical law
-State law 1. Those emanating from laws
2. Those emanating from private acts which may be
Sources of law [ C L A J C O ] further subdivided into:
a. Those arising from licit acts
-Constitution
b. Those arising from illicit acts
-Legislation
-Administrative or executive orders, regulations Kinds of quasi-contracts
and rulings.
-Judicial decisions or jurisprudence 1. Negotiorum gestio
-Customs 2. Solutio indebiti
-Other sources
Scope of civil liability [ R R I ]
Branches of law [ L E J ]
1. Restitution
-Legislative create 2. Reparation for the damage caused
-Executive enforce 3. Indemnification for the consequential damages
-Judicial interpret
Requisites of quasi-delict [ A N D D N ]
Requisites of an obligation [ P A O D ]
1. There must be an act or omission
1. Passive subject 2. There must be fault or negligence
2. Active subject
3. Object or prestation 3. There must be damage caused
4. Judicial or legal tie 4. There must be a direct relation or connection of
cause and effect between the act or omission and
Kinds of obligation according to subj matter the damage
5. There is no pre-existing contractual relation
1. Real obligation between the parties
2. Personal obligation

Essential elements of a legal wrong or injury

a. a legal right in favor of a person


b. a correlative legal obligation on the part of
another
Duties of the debtor in obligation to perform a 2. Obligation to deliver a generic thing can be
determinate thing [ P D D D A ] performed by a third person since the object is
expressed only according to its family or genus.
1. Preserve the thing
2. Deliver the fruits of the thing Situations in Article 1170
3. Deliver the accessions and accessories
4. Deliver the thing itself 1. The debtor fails to perform an obligation to do
5. Answer for damages in case of non-fulfillment or 2. The debtor performs an obligation to do but
breach. contrary to the terms thereof
3. The debtor performs an obligation to do but in
Preserve the thing [ D A F R ] poor manner

a. Diligence of a good father of a family Remedies of the creditor in positive personal


b. Another standard of care obligation.
c. Factors to be considered
d. Reason for debtors obligation 1. If the debtor fails to comply with his obligation
to do, the creditor has the right;
Kinds of fruits [ N I C ]
a. To have the obligation performed by
1. Natural fruits himself or by another
2. Industrial fruits b. To recover damages
3. Civil fruits
2. In case the obligation is done in contravention of
When obligation to deliver the fruit arises [ P S S the terms of the same is poorly done, it may be
A] ordered that it be undone if it is still possible to
undo what was done.
1. Perfection of the contract
2. If the obligation is subject to suspensive or Kinds of delay or default [ M M C ]
condition or period
1. Mora solvendi
3. In a contract of sale
2. Mora accipiendi
4. In obligation to give arising from law, quasi-
3. Compensatio morae
contracts, delicts and quasi-delicts.
Requisites of delay or default by the debtor
Remedies of creditor in real obligation
1. failure of the debtor to perform his obligation on
1. Obligation to deliver a specific thing
the date agreed upon
a. demand specific performance or 2. demand made by the creditor upon the debtor to
fulfillment of the obligation with a right to comply with his obligation
indemnity for damages 3. failure of the debtor to comply with such demand
b. demand rescission or cancellation of the
When demand is not necessary to put the debtor in
obligation also with a right to recover
delay [ O L T D P ]
damages
c. demand payment of damages only, where 1. When obligation so provides
it is the only feasible remedy 2. When law so provides
3. When time is of the essence
4. When demand would be useless
5. When there is performance by a parties in Requisites for recovery of interest
reciprocal obligations
1. the payment of interest must be expressly
stipulated
2. The agreement must be in writing
Grounds for liability 3. The interest must be lawful
1. Fraud Kinds of presumption
2. Negligence
3. Delay 1. Conclusive presumption
4. Contravention of the terms of the obligation 2. Disputable presumption

Kinds of negligence Remedies available to creditor for the satisfaction


of their claims
1. Contractual negligence
2. Civil negligence 1. exact fulfillment with the right to damage
3. Criminal negligence 2. pursue the leviable property of the debtor
3. exercise all the rights and bring all the actions of
Factors to be considered in negligence the debtor except those inherent in or personal to
the person of the latter
1. Nature of obligation
4. ask the court to rescind or impugn acts or
2. Circumstances of person
contracts which the debtor may have done to
3. Circumstances of time
defraud him when he cannot recover his claim
4. Circumstances of place
Transmissibility of rights
Kinds of fortuitous event
1. Prohibited by law
1. Ordinary fortuitous events
a. contract of partnership
2. Extra-ordinary fortuitous events
b. contract of agency
Rules as to liability in case of fortuitous event c. contract of commodatum

1. When expressly specified by law 2. Prohibited by stipulation of the parties


. a. the debtor is guilty of fraud, negligence,
delay or contravention of the tenor of the
obligation
b. the debtor has promise to deliver the
same thing to two or more persons who do
not have the same interest
c. the obligation to deliver a specific thing
arises from a crime
d.the thing to be delivered is generic
2. When declared by stipulation
3. When the nature of the obligation requires the
assumption of risk

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