An Obligation is a juridical necessity to give, 1.

Active Subject (Creditor or Obligee) - has the right

to do or not to do 2. Passive Subject (Debtor or Obligor) - has the duty

3. Object or Prestation (Subject Matter) - To give, to do or

not to do
Latin word OBLIGATIO means tying or binding
4. Juridical or Legal Tie (Efficient Cause) - what binds the
parties

Non-compliance may result to mediation of courts of justice

The power a person has to demand from another person
to enforce fulfillment for the aggrieved party

Is an act or omission of one party in violation of the rights of

another 1. Real Obligations - to give an object

2. Personal Obligation - to do or not to do

1. A right in favor of a person A. Positive Personal - to do

2. A correlative legal obligation B. Negative Personal - not to do

3. An act or omission in violation of said right resulting to

injury or damage

1. Law - imposed by the law

1. From the Law
2. Contracts - arises from the stipulation of parties
2. From Private Acts
3. Quasi - Contracts - arises from lawful, voluntary and
unilateral acts A. Licit Acts - Contracts and Quasi-Contracts

4. Crimes - acts or omission punishable by law Illicit Acts - Crimes and Quasi-Delicts

5. Quasi-Delicts or Torts - there being fault causing damage

without pre - existing relation

Is a juridical relation arising from lawful, voluntary and

Performance in accordance to the stipulation of terms of the unilateral act; no unjust enrichment at the expense of
obligation another
 - Is an act or omission that causes damage to another person
being caused by fault or negligence without pre-existing
relation between the parties

1. Negotiorum Gestio - the voluntary management of

property of others without the consent or knowledge of the
owner 1. Act or Omission

2. Solutio Indebiti - is created if received something without 2. Fault or Negligence

the right or if it was unduly delivered through a mistake 3. Damage caused

4. Direct relation of the act or omission to the damage

5. No pre-existing contractual relation

C: Malicious Intent; QD: Negligence

C:Punishment; QD: Indemnification

1. Restitution C: Public Interest; QD: Private Interest
2. Reparation for the Damage caused C: Criminal and Civil Liabilities; QD: Civil Liability
3. Indemnification for consequential damages C: Resolved by Court of Justice; QD: Resolved by Parties

C: Guilt beyond Reasonable Doubt; QD: Preponderance of

Evidence

- A meeting of minds between two parties with respect to

CHAPTER 1: GENERAL PROVISION
giving something, to render or not render services

Obligations which are enforced by the law; Civil Code and

CHAPTER 2: NATURE AND EFFECT OF OBLIGATIONS
other Special Laws

- Can be specifically separated from other object

- Cannot be pointed out with particularity
- Can be identified by its individuality
1. Preserve the thing

2. Deliver the Fruits of the Object

- The ordinary care or diligence which a person may exercise
3. Deliver the Accessories and Accessions
over his own property
4. Deliver the Thing Itself

5. Answer for damages in case of non-fulfillment or breach

Natural Fruits - spontaneous products, young and products

of animals
1. Delivery of the object which is of the quality intended by
the parties

2. To be liable for damages in case of fraud, negligence, Industrial Fruits - produced through cultivation or labor
delay, contravention of the tenor

Civil Fruits - by virtue of juridical relation

Birth of contract or the meeting of the minds of two parties The power of a creditor to demand from the debtor

1. Demand specific performance or fulfillment with a right

- Interest of a person over a specific thing for indemnification of charges

- Can be used against the world 2. Rescission or cancellation with right to receive damages

3. Demand payment of damages only

- Are the fruits of a thing or additions to or improvements - Are things joined to or included with the principal thing for
upon a thing the latter’s embellishments, better use, or completion

Ordinary Delay - the failure of performance of the obligation Mora Solvendi - the delay on the part of the debtor
on time More Accipiendi - The delay on the part of the creditor
Legal Delay - failure to perform an obligation on time which Compensatio Morae - the delay of the obligors in reciprocal
failure constitutes a breach of the obligation obligations
 1. When the obligation so provides

1. Failure of the debtor to perform his obligation on the date 2. When the law so provides
agreed upon
3. When time is of the essence
2. Demand made by the creditor to comply
4. When demand would be useless
3. Failure of the debtor to comply with the demand
5. When there is performance by a party in reciprocal
obligations

1. Fraud (Deceit or Dolo) - the deliberate or intentional

1. Deliberate intention to cause damage; No intention to
evasion of the normal fulfillment of the obligation
cause damage
2. Negligence (Fault or Culpa) - a voluntary act or omission,
2. Waiver of liability for future fraud is void; Waiver may be
there being no bad faith which prevents fulfillment
allowed
3. Delay - the failure of performance of the obligation on
3. Must be clearly proved; Presumed from the violation of
time
the obligation
4. Contravention of the terms of the obligation - violation of
4. Liability is not reducible; Liability is reducible
the terms and conditions in the obligation

Contractual Negligence (Culpa Contractual) - Negligence

which results to breach of a contract

Civil Negligence (Culpa Aquiliana) - Negligence which - Is the inability to provide protection for the interests of
creates an obligation with unrelated parties another person, whereby results to injury of the other

Criminal Negligence (Culpa Criminal) - Negligence which

results to a comission of a crime

1. Nature of the obligation

2. Circumstance of the person - Is the monetary compensation given to the party which
3. Circumstance of the time suffered injury by a breach of contract

4. Circumstance of the place

- Agreed upon by the parties

- What the law requires (Extra-ordinary Diligence) - Is any event unforeseen, or is foreseen but is inevitable

- Diligence of a good father of a family

Acts of Man - is an event independent of the obligor but not

Ordinary Fortuitous - common and can be foresee
of other human will
Extra-ordinary Fortuitous - uncommon and cannot be
Acts of God - events independent of the will of every human
foreseen
being
1. Independent of the human will or the debtor’s
1. When expressly specified by the law
2. Could not be foreseen, or if foreseen is inevitable
2. When declared by the stipulation
3. Renders the debtor incapable of fulfilling the obligation
3. When the nature of the obligation requires the
4. No participation from the debtor in the injury made to the assumption of risk
creditor

A contract whereby one of the parties delivers to another the

same amount of the same kind and quality shall be paid. - Receipt of interest in excess of the amount allowed by law
Payment of interest must be stipulated for it to be for the loan
demandable

1. Payment of interest must be expressly stipulated

Inference of a fact not actually known arising from its usual
2. The agreement must be in writing
connection with another which is known or proved
3. The interest must be lawful

1. Prohibited by law

A. By the contract of partnership

Conclusive - cannot be contradicted
B. By the contract of agency
Disputable - can be contradicted or rebutted by presenting
C. By the contract of commodatum
proof

2. Prohibited by stipulation of the parties

1. When debtor is guilty of fraud, negligence, delay, or

contravention of the tenor

2. The debtor has promised to deliver a specific thing to two

or more person

3. The obligation to deliver a specific thing arises from a

crime

4. The thing to be delivered is generic