1. Group 2 De Guzman. Halili. Macaraig. Patupat. Saringan. Villarias.
Deposit
Group 2
De Guzman. Halili. Macaraig. Patupat. Saringan. Villarias.

2. DEPOSIT
constituted from the moment a person receives a thing belonging to another, with the obligation of safely keeping it and of returning the same.(Art. 1962)
Characteristics2
real contract(Art.1963)
unilateral, if gratuitous; bilateral, if for compensation
Purpose
Safekeeping of the thing delivered(Art.1962)

3. Deposit
Mutuum
Safekeeping
Consumption of Subject Matter
Demand the return of the subject matter at will
Wait until the expiration of the period
Movable and immovable property as subject
Only money and any other fungible thing
Deposit
Commodatum
Safekeeping
Transfer of use
May be gratuitous
Essentially and always gratuitous

4. Kinds of Deposit Judicial 2. Extrajudicial(Art.1967) voluntary
necessary
Deposit -generally gratuitous except, through established stipulation or engaged in the business of storing goods

5. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
EXTRAJUDICIAL DEPOSIT
VOLUNTARY DEPOSIT
– delivery is made by the will of the depositor (Art. 1968)
Depositors need not be the owner of the thing deposited.
Art The depositary cannot demand proof of ownership from the depositor.
Deposit Judicial Extrajudicial Voluntary Necessary

6. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Where There Are Several Depositors
Two  or  more  persons  each  claiming  to  be  entitled to the thing deposited may deposit the same with a third person who assumes the obligation to deliver to the one to whom it belongs. (Art. 1968)
The action to compel the depositors to settle their conflicting claims among themselves is covered in Sec. 1 of Rule 63 in the Rules of Court.
Deposit Judicial Extrajudicial Voluntary Necessary

7. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Form of Contract of Deposit
A contract of deposit may be entered into orally or in writing. (Art. 1969)
Deposit Judicial Extrajudicial Voluntary Necessary

8. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Where Depositary Capacitated and the Depositor Incapacitated
The depositary is subject to all the obligations of a depositary, whether or not the depositor is capacitated.
Depositary must return the property to the legal representative of the depositor or the depositor himself if he should acquire capacity.
Deposit Judicial Extrajudicial Voluntary Necessary

9. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Where Depositary Incapacitated and the Depositor Capacitated
The depositary doesn’t incur the obligation of a depositary. However, he is liable:
To  return  the  thing  deposited  while  still  in  his possession
To the  pay the depositor the  amount by  which  he may  have  benefited  himself  with  the  thing  or  its price  subject  to  the  right  of  a  third  person  who acquired the thing in good faith
Deposit Judicial Extrajudicial Voluntary Necessary

10. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
When Depositor Lost Capacity During the Deposit
The thing can be returned only to his guardian or administrator
Deposit Judicial Extrajudicial Voluntary Necessary

11. OBLIGATIONS OF THE DEPOSITARY
Take care of the thing with the proper diligence of a good father of a family unless the stipulation of the parties requires another standard of care (1163)
Be liable for damages if the thing is lost through his fault or negligence (1170)
Return the thing when required (1972)
Deposit Judicial Extrajudicial Voluntary Necessary

12. OBLIGATIONS OF THE DEPOSITARY
Transfer of deposit to third person (Art. 1973)
GR: The depositary may not transfer the deposit to third person (1973)
EXC:
When there is stipulation authorizing the depositary
Exception to exception: When the third person is manifestly careless or unfit
Deposit Judicial Extrajudicial Voluntary Necessary

13. OBLIGATIONS OF THE DEPOSITARY
Change the way of deposit (Art. 1974)
GR: The depositary may not change the way of deposit
EXC:
Under circumstances when he could reasonably presume that the depositor would consent to the change
When there is notice to the depositor and the depositor gives his consent
When delay of decision would cause danger
Deposit Judicial Extrajudicial Voluntary Necessary

14. OBLIGATIONS OF THE DEPOSITARY
Obligation of the depository when he is holding instruments which earn interest (Art. 1975)
(certificates, bonds, securities)
Collect the interest as it becomes due
Take such steps necessary to preserve its value and rights corresponding to it
Article 1975 does not apply to contracts for rent of safety deposit boxes
Deposit Judicial Extrajudicial Voluntary Necessary

15. OBLIGATIONS OF THE DEPOSITARY
The depositary may commingle grain or other articles of same kind and quality. Various depositors shall own proportionate interest in the mass.
(Art. 1976)
Deposit Judicial Extrajudicial Voluntary Necessary

16. OBLIGATIONS OF THE DEPOSITARY
Use of the thing deposited (Art. 1977)
GR: The depositary may not use the thing deposited
EXC:
When he is expressly authorized by the depositor
When usage is for preservation of the thing
When the depositary has permission to use the thing, the contract becomes a loan or commodatum, except when safekeeping is still the purpose
Deposit Judicial Extrajudicial Voluntary Necessary

17. OBLIGATIONS OF THE DEPOSITARY
Loss of the thing deposited through a fortuitous event
GR: The depositary is not liable
EXC: (Art. 1979)
When there is stipulation to the contrary
If he uses the thing without the depositor’s permission
If he delays its return
If he allow others to use it even if he himself is given the authority to use the thing deposited
Fixed, saving, and current deposits of money in banks shall be governed by the provisions concerning simple loan (Art. 1980)
Deposit Judicial Extrajudicial Voluntary Necessary

18. OBLIGATIONS OF THE DEPOSITARY
When the thing deposited is delivered closed and sealed
GR:
The depositary must return it in the same condition
Be liable for damages when the seal is broken through his fault
Keep the secret of the deposit once the seal or lock is broken
EXC:
When it becomes necessary to open a locked box or receptacle, the depository is presumed authorized to do so if the key has been given to him
When opening is necessary to execute the instructions of the depositor
Deposit Judicial Extrajudicial Voluntary Necessary

19. OBLIGATIONS OF THE DEPOSITARY
Obligation of depositary to return products, accessories, and accessions (Art. 1983)
The depositary should return to the depositor [who is the owner or at least represents the owner]
The thing deposited
Its products, accessories, and accessions
The depositary shall be liable for interest
If the what is deposited is money,
Depositary is in delay or he has used the money without permission
Deposit Judicial Extrajudicial Voluntary Necessary

20. OBLIGATIONS OF THE DEPOSITARY
Depositor need not prove his ownership (Art. 1984)
GR: The depositary cannot require the depositor to prove ownership over the thing. To constitute a deposit, the depositor need not be the owner of the thing.
The depositary has an obligation to notify the real owner of the thing deposited if..
1)      The thing deposited is stolen
2)      The depositary knows who its true owner is.
Deposit Judicial Extrajudicial Voluntary Necessary

21. OBLIGATIONS OF THE DEPOSITARY
If the owner does not claim it within one month the depositary shall be relieved of all responsibility by returning the thing deposited to the depositor. If the depositary has reasonable grounds to believe that the thing has not been lawfully acquired by the depositor, the former may return the same.
Deposit Judicial Extrajudicial Voluntary Necessary

22. OBLIGATIONS OF THE DEPOSITARY
Right of two or more depositors to demand return of their respective shares
Thing deposited divisible and depositors not solidary
each depositor can demand only his proportionate share
Obligation is solidary or thing deposited not divisible
- the rules on active solidarity shall apply (Art and 1214), thus the depositary can return the thing to anyone of the solidary depositors unless a demand, judicial or extrajudicial has been made
Deposit Judicial Extrajudicial Voluntary Necessary

23. OBLIGATIONS OF THE DEPOSITARY
3. Return to one of depositors stipulated
- the depositary is bound to return it to the person designated although he has not made any demand for its return
Deposit Judicial Extrajudicial Voluntary Necessary

24. OBLIGATIONS OF THE DEPOSITARY
Person to whom return must be made
The depositary is obliged to return the thing deposited when required to
Depositor
His heirs and successors
Person designated in the contract
2. If the depositor, at time of making the deposit, was incapacitated, the property must be returned to his 
Guardian or administrator
Person who made the deposit
To the depositor himself if he subsequently acquire capacity
3. If depositor subsequently loses capacity during deposit
Thing must be returned to legal representative
Deposit Judicial Extrajudicial Voluntary Necessary

25. OBLIGATIONS OF THE DEPOSITARY
Art. 1986 Depositor lost capacity to contract after deposit
Place of Return (Art. 1987)
Thing must be returned at
At the place stipulated [expenses borne by depositor]
In absence of stipulation, location of thing (even if it is not the same location where the original deposit was made provided no malice on part of depositary in making the transfer) 
Deposit Judicial Extrajudicial Voluntary Necessary

26. OBLIGATIONS OF THE DEPOSITARY
Time of Return
GR: Upon demand, even if there is stipulation as to the fixed time for return, thing deposited must be returned to the depositor
EXC:
When the thing is judicially attached while in the depositary's possession, or 
Depositary notified of the opposition of a 3rd person to the return 
Deposit Judicial Extrajudicial Voluntary Necessary

27. OBLIGATIONS OF THE DEPOSITARY
Right of depositary to return thing deposited (Art. 1989)
GR: The depositary may return the thing deposited even if there is a time stipulated for the return provided that
The deposit is gratuitous
Justifiable reasons exist for its return
If the depositor refuses to receive the thing, the thing may be deposited at the disposal of judicial authority.
If the deposit is for a valuable consideration, depositary has no right to return the thing before expiration of term
Deposit Judicial Extrajudicial Voluntary Necessary

28. OBLIGATIONS OF THE DEPOSITARY
Liability for loss by force majeure or government order (Art. 1990)
GR: Depositary is not liable for loss of thing by force majeure or by government order. If he receives money, he must give to the depositor.
Deposit Judicial Extrajudicial Voluntary Necessary

29. OBLIGATIONS OF THE DEPOSITARY
Alienation in good faith by depositary’s heir (Art. 1991)
Where the depositary’s heir, who is in good faith, have sold the thing which he did not know was deposited, he shall be bound to
Return the Price
Assign his right of action against buyer in case price has not been paid by him
Deposit Judicial Extrajudicial Voluntary Necessary

30. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
OBLIGATIONS OF THE DEPOSITOR
Obligation To Pay Expenses of Preservation (Art. 1992)
Deposit gratuitous
–Depositor is obliged to reimburse the expenses for preservation
Deposit for compensation
–The expenses of preservation are deemed included in the compensation. There can however be a contrary stipulation.
Deposit Judicial Extrajudicial Voluntary Necessary

31. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
OBLIGATIONS OF THE DEPOSITOR
Obligation To Pay Losses Due To Character of the Thing (Art. 1993)
The depositor shall reimburse the depositary EXCEPT when
at  the  time  of  the  constitution  of  the  deposit, depositor was not aware of, or was not expected to know the dangerous character of the thing, or
he notified the depositary  of  the  same,  or
the  latter  was  aware  of  it without advice from the depositor
Deposit Judicial Extrajudicial Voluntary Necessary

32. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
OBLIGATIONS OF THE DEPOSITOR
 Depositary’s Right of Retention (Art.  1994)
The depositary may retain the thing in pledge until the full payment of what may be due him by reason of the deposit. (1780)
Deposit Judicial Extrajudicial Voluntary Necessary

33. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
OBLIGATIONS OF THE DEPOSITOR
Extinguishment of Deposit (Art. 1995)
Upon the loss or destruction of the thing deposited;
In case of a gratuitous deposit, upon the death of either the depositor or the depositary.
There could also be other causes such as return of the thing, novation, merger, expiration of term, fulfillment of resolutory condition (Art. 1231)
Deposit Judicial Extrajudicial Voluntary Necessary

34. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
OBLIGATIONS OF THE DEPOSITOR
Effect of Death of Depositor or Depositary
Deposit gratuitous —the death of either the depositor or depositary extinguishes the deposit.
Deposit for compensation —deposit is not extinguished. The rights and obligations arising therefrom are transmissible to their respective heirs. But the heirs of either party have a right to terminate the deposit even before the expiration of the term.
Deposit Judicial Extrajudicial Voluntary Necessary

35. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
EXTRAJUDICIAL DEPOSIT
NECESSARY DEPOSIT
Made in compliance with a legal obligation (Art. 1996)
GR: (Art. 1997)
Provisions of the law establishing the necessary deposit and,
In case of deficiency, rules of voluntary deposit
Deposit Judicial Extrajudicial Voluntary Necessary

36. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
On the occasion of any calamity (Art. 1996)
GR: (Art. 1997)
Provisions concerning voluntary deposit
Article 2168 – A person is bound to pay just compensation to another who saved his property during a calamity
Deposit Judicial Extrajudicial Voluntary Necessary

37. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Deposit made by travelers in hotels or inns
     Hotel-keepers are held responsible if: (Art. 1998)
previously informed about the effects brought by the guests
Guests took the precautions prescribed by the hotel-keeper
Deposit Judicial Extrajudicial Voluntary Necessary

38. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
 In case of loss/damage to the personal property of guests,
Hotel-keeper LIABLE if:
Hotel-keeper NOT LIABLE if:
Caused by his employees or strangers (Art. 2000)
Force majeure (Art. 2000, 2001)
Caused by act of thief done without the use of arms and irresistible force (Art. 2001)
Due to the acts of guests, his family, servants or visitors (Art. 2002)
**not limited to effects lost/damaged in hotel rooms but also include those lost in hotel annexes (Art. 1999)
Loss arises from the character of the things (Art. 2002)
*Any stipulation suppressing or diminishing the responsibility of hotel-keepers as set forth in the provisions shall be VOID.  (Art. 2003)
*Hotel-keepers have the right to retain the things as a security for the guest’s credits. (Art. 2004)
Deposit Judicial Extrajudicial Voluntary Necessary

39. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
SEQUESTRATION OR JUDICIAL DEPOSIT
–takes place when an attachment or seizure of property in litigation is ordered (Art. 2005)
–auxiliary to a case pending in court
Deposit Judicial Extrajudicial Voluntary Necessary

40. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
Obligation of depositary of sequestrated property
He may not be relieved of his responsibility until the litigation is ended or the court so orders. (Art. 2007)
He has to take care of the property with the diligence of a good father of a family. (Art. 2008)
Deposit Judicial Extrajudicial Voluntary Necessary

41. Judicial Deposit Extrajudicial deposit
Cause or origin
By the will of the court
By the will of the parties
Purpose
As security and to secure the right of a party to recover in case of a favorable judgment
Custody and safekeeping of the thing
Deposit Judicial Extrajudicial Voluntary Necessary

42. Judicial Deposit Extrajudicial deposit
Subject matter
Movable or immovable property (Art. 2006)
Movable property
Remuneration
Always remunerated
Generally gratuitous
In whose behalf it is held
Person who, by the judgment, has a right
Depositor or third person designated
Deposit Judicial Extrajudicial Voluntary Necessary

43. Deposit 1. Judicial 2. Extrajudicial -Voluntary -Necessary
As to the matters not provided for in this Code, judicial sequestration shall be governed by the Rules of Court. (Art. 2009)
Deposit Judicial Extrajudicial Voluntary Necessary