Payment of loan

ByThe Manila Times

November 8, 2019

Dear PAO,

My best friend for 15 years discussed with me her intention of putting up a

business. Unfortunately, she didn’t have enough capital to start her business.

Hence, she solicited some money from me. Being the good friend I was and

due to our long-standing friendship, I acceded and gave her half of what she

was asking. In return, I asked her to execute a promissory note as evidence of

the amount she borrowed from me. Two years have passed and I haven’t

heard anything from her. I decided to review the promissory note she

executed and was surprised to find out that the amount is payable “when her

means permit.” Will I still be able to collect money from my former best
friend?
Paolo

Dear Paolo,

To answer your question, we shall refer to Article 1180 of the New Civil

Code, which reads as follows:

“Article 1180. When the debtor binds himself to pay when his means permit
him to do so, the obligation shall be deemed to be one with a period, subject

to the provisions of article 1197.” (Emphasis supplied)

In connection with the cited provisions, your remedy is to go to court and ask

that a period be fixed for the payment of the debt. Moreover, Article 1197

provides that the Courts may fix a period if such was intended from the

nature of the obligation and may also fix the duration of the period when such

depends on the will of the debtor.

This opinion is solely based on the facts you have narrated and our

appreciation of the same. Thus, the opinion may vary when the facts are

changed or further elaborated. We hope that we were able to enlighten you on

the matter.