Articles 1156 to 1304 of the Civil Code of the Philippines I Obligations Articles 1156 to 1304 of the Civil Code of the Philippines

Concept /definition: - a juridical relation whereby a person called the creditor may demand form another (called the debtor) the observance of a determinate conduct and in case of breach, may obtain satisfaction from the assets of the latter

2. Sources Law Contracts Quasi- contracts Acts or omissions punished by law Quasi-delicts

3. Nature and effects of obligations Diligence of a good father of a family – standard of care Right to fruits Concept and nature of delay Need for demand Liability for damages- fraud, negligence, delay , breach of the obligations

4. Different Kinds of Obligations: Pure Conditional With a term Alternative Joint Solidary Divisible Indivisible With a penal clause

5. Extinguishment of obligations Payment or performance Loss of the Thing due Condonation or remission of debt Confusion or merger of the rights of creditor and debtor Compensation Novation Annulment, recission, fufillment of resolutory condition and prescription

Payment or performance Requisites: (1) person who pays, (2) the person to whom payment is made (3) thing to be paid (4) manner, time and place of payment

Substantial performance- good faith in the performance, without any willful or intentional departure therefrom. Estoppel of creditor Right of third person Payment to incapacitated

Dation in payment Novation by change of object Delivery of transmission of ownership of a thing by the debtor to the creditor as an accepted equivalent of the performance of the obligation Governed by the law on sales

Legal tender Such currency which in a given jurisdiction can be used for the payment of debts, public and private which cannot be refused by creditor: Payment by check –not a legal tender A check, whether a manager ‘s check or ordinary check, is not a legal tender, and an offer of check in payment of a debt is not a valid legal tender of payment and may be refused receipt by the obligee or creditor ( Citibank N.A. Vs. Sabeniano ,504 SCRA 378 , October 16, 2008)

Application of Payments Right of the debtor Payment of interest Most onerous debts Tender of Payment and Consignation Application of Payments

Loss of the thing due Effect of fortuitous event Loss of determinate Loss of Generic thing Effect of Partial Loss

Condonation or remission of debt Confusion or merger of the rights of creditor and debtor Compensation Novation

Articles 1305 to 1422 of the Civil Code of the Philippines II Contracts Articles 1305 to 1422 of the Civil Code of the Philippines

Definition /concepts Requisites of contracts: Form of Contracts Consent Objects Cause Form of Contracts Interpretation of Contracts

Defective Contracts: Rescissible Voidable Unenforceable Void

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