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• Extraordinary diligence
• Ordinary diligence
• Slight diligence
DILIGENCE OF A GOOD FATHER OF A FAMILY
From the nature of their business and for reasons of public policy,
common carriers are bound to observe extraordinary diligence in
relation to the safety of passengers transported by them, according to
the circumstances of each case.
Westwind Shipping Corporation v. UCPB General Insurance Co., Inc. G.R. 200289, 25
November 2013
The creditor has a right to the fruits of the thing from the
time the obligation to deliver it arises. However, he shall
acquire no real right over it until the same has been delivered
to him.
FRUITS OF THE THING
Natural Fruits
Industrial Fruits
Civil Fruits
WHEN THE OBLIGATION TO DELIVER ARISES
Under Art. 1164, the creditor has the right to the fruits of the
specific thing from the time the obligation to deliver arises.
The time the obligation to deliver the thing arises is the due
date or the time when the creditor can demand the performance
of the obligation.
DUE DATE VS. ACTUAL DELIVERY DATE
• Under the New Civil Code, ownership does not pass by mere
stipulation but only by delivery.
KINDS OF DELIVERY
(1) traditio simbolica (symbolical tradition) - (as when the keys of a bodega are given)
(2) traditio longa manu – delivery by mere consent or the pointing of the object. (Ex.
pointing out the car, which is the object of the sale.)
(3) traditio brevi manu – that kind of delivery whereby a possessor of a thing not as
an owner, becomes the possessor as owner.
(4) traditio constitutum possessorium – the opposite of brevi manu; thus, the delivery
whereby a possessor of a thing, as an owner, retains possession no longer as an
owner, but in some other capacity.
(5) tradition by execution of legal forms and solemnities – (like the execution of the
public instrument selling land)
ARTICLE 1165
If the thing is indeterminate or generic, he may ask that the obligation be complied
with at the expense of the debtor.
If the obligor delays, or has promised to deliver the same thing to two or more
persons who do not have the same interest, he shall be responsible for any fortuitous
event until he has effected the delivery.
REMEDIES OF THE CREDITOR WHEN THE DEBTOR
FAILS TO COMPLY WITH HIS OBLIGATION
(1) Undo the act at the expense of the debtor, plus damages; or
(2) When the act cannot be undone, demand damages (Art. 1170).
ARTICLE 1169
Those obliged to deliver or to do something incur in delay from the time the obligee
judicially or extrajudicially demands from them the fulfillment of their obligation.
However, the demand by the creditor shall be necessary in order that delay may exist:
In reciprocal obligations, neither party incurs in delay if the other does not comply or is not
ready to comply in a proper manner with what is incumbent upon him. From the moment one
of the parties fulfills his obligation, delay by the other begins.
Delay (default or mora) – delay in the fulfillment of obligations.
The civil law concept of delay commences from the time the
creditor demands, judicially or extrajudicially, the fulfillment of the
obligation from the debtor.
NO DEMAND, NO DELAY
The following are the requisites before the debtor may be held in
delay:
(1) The obligation is demandable and already liquidated;
(2) The creditor requires the performance judicially or
extrajudicially; and
(3) The debtor does not perform the obligation after the demand of
the creditor because of dolo (malice) or culpa (negligence).
Note: Demand, whether judicial or extrajudicial, is not
required before an obligation becomes due and demandable.
A demand is necessary to put the debtor in delay to make
him liable for interest or damages. (Autocorp group v. Intra
Strata Assurance Corporation, G.R. No, 166662, 27 June 2008)
Atlantic Erectors, Inc. v. Court of Appeals, G.R. No. 170732, 11
October 2012.
When the contractor fails to finish the work within the period
agreed upon by the parties without a justifiable reason and after
the owner makes a demand, the liability for the damages as a
consequence of such default or delay arises.
INTEREST AS DAMAGES
In Resolution No. 796 dated May 16, 2013, the Monetary Board of the
Bangko Sentral ng Pilipinas (BSP) approved the revision of the interest rate to
be imposed on the loan or forbearance of any money, goods, or credits as well
as that allowed in judgments in the absence of an express stipulation. Under
BSP Circular No. 799, effective since July 31, 2013, the legal interest is now 6%
per annum.
KINDS OF DELAY
Exceptions: (a) contrary to public interest (b) contrary to public order; or (c)
prejudicial to a third person. (Art. 6, NCC)
Note: The waiver of action for future fraud is void because it gives a license to
perpetrate fraud without liability, rendering inutile the obligation of the party
(Art. 1171)
ARTICLE 1172
DOLO NEGLIGENCE
(a) There is DELIBERATE intention (a) Although voluntary (that is, not
to cause damage. done thru force) still there is NO
DELIBERATE intention to cause
damage.
(b) Liability arising from dolo (b) Liability due to negligence may
cannot be mitigated or reduced by be reduced in certain cases.
the courts.
(c) Waiver of action to enforce (c) Waiver of an action to enforce
liability due to future fraud is void. liability due to future culpa may in
ARTICLE 1173
If the law or contract does not state the diligence which to be observed in
the performance, that which is expected of a good father of a family shall be
required.
NEGLIGENCE IS THE OMISSION OF DILIGENCE
Svendsen v. People
Chua v.Timan
Svendsen v. People