Midterm | Oblicon Exam

• Condition is future and uncertain to happen
• Period is future and certain to happen
• Pure Obligation - an obligation that contains neither condition nor a period. It is demandable at once because it does not depend upon a future or uncertain event or upon a past event unknown to the parties.
• CONDITIONAL OBLIGATION – an obligation that requires the fulfillment of a given condition before such obligation shall be performed by the debtor or before it shall be extinguished.
• Obligation With Suspensive Condition – the obligation is suspended   until the happening of the condition.
• Obligation with Resolutory Condition – the obligation is demandable right away and is already being performed at the moment but it shall be extinguished however upon the happening of the given condition.
• Obligation with Potestative Condition – it is an obligation in which the fulfillment of a condition depends on the sole will of one of the parties.
• OBLIGATION WITH A TERM OR PERIOD – An obligation the fulfillment of which is dependent upon the happening of a future and certain event.
• ALTERNATIVE OBLIGATION – Under this obligation, the option to choose what to pay lies on the debtor, out of various given prestations. However, the debtor may transfer such right of option, to the creditor or to any third person.
• What is a facultative obligation?


  It is an obligation where the debtor has options to choose from as substitutes for the primary prestation.
• Who has the right to choose the option to pay in a facultative obligation?

  The right to choose lies solely with the debtor.
• Can the debtor transfer the right of option to the creditor or a third person in a facultative obligation?

  No, the debtor cannot transfer such right of option.
• What happens if the primary prestation in a facultative obligation is lost or destroyed by a fortuitous event?

  The obligation is deemed extinguished if no final selection has been made and communicated.
• Under what condition is a facultative obligation extinguished when the primary prestation is lost?

  It is extinguished provided that no final selection has been made and communicated at the time of the loss.
• What are the key characteristics of facultative obligations?

  • One primary prestation involved
  • Debtor has options to choose substitutes
  • Right of option lies solely with the debtor
  • Cannot transfer the right of option
  • Obligation extinguished if primary prestation is lost by fortuitous event, provided no selection made
• In Alternative Obligation, all prestations are of equal value and importance. The loss of one object will not extinguish the obligation if no final choice has yet been selected and communicated and other prestations are still present.
• In Facultative Obligation, only the first prestation is of primary importance while others merely serve as substitutes.
• JOINT OBLIGATION – Under this obligation, each debtor is liable to the creditor only up to the extent of his shared obligation. The creditor cannot demand the payment of the entire obligation from only one debtor.
• SOLIDARY OBLIGATION – Under this obligation, the creditor can validly demand the payment of the entire obligation from any one of the given solidary debtors. The chosen debtor who is solidarily liable cannot refuse to pay the entire obligation unless he is insolvent or in case of his death.
• DIVISIBLE OBLIGATION – It is an obligation that is capable of partial performance without violating the very essence and nature of the object of obligation.
•  INDIVISIBLE OBLIGATION – It is an obligation that is NOT capable of partial performance because in doing so it will violate the very essence and nature of the object of obligation.
• OBLIGATION WITH A PENAL CLAUSE – It is an obligation that imposes payment of a penalty, in addition to the legal interest, in case of failure of the debtor to comply with his obligation in due time.
• By Payment Or Performance – Payment means not only the delivery of money but also the performance, in any other manner, of an obligation such as the giving of the promised object or prestation or the doing or not doing of an act.
• By Loss of the Thing Due – As a rule, if what is to be delivered is a specific or determinate thing, and the same is lost or destroyed before delivery by fortuitous event, the obligation is deemed extinguished if there is neither fraud nor legal delay;
• By Condonation or Remission of Debt – It is the absolute renunciation or abandonment by the creditor of the debtor’s obligation. It is essentially gratuitous and requires an expressed or implied acceptance by the debtor, otherwise it is void.  As a rule, renunciation of principal debt shall also extinguish the accessory obligation, but the waiver of the latter shall leave the former in force.
• By Compensation – This mode of extinguishing obligation shall take place when two persons, in their own right, are creditors and debtors of each other.
• By Fulfillment of Resolutory Condition – Under this mode, the obligation is extinguished from the time the resolutory condition is satisfied. 
• In alternative obligation, even if the first prestation or object is lost or destroyed by fortuitous event, the obligation as to the other choices still remains; provided that no alternative has yet been finally selected and communicated at the time of occurrence of the said fortuitous event.
• In Facultative Obligation, the loss of the first prestation will automatically extinguish the obligation if no final choice has yet been made and communicated. In both cases, a communicated final choice will prevail that creates a pure obligation regardless of whether other choices still remain.In
• By Confusion or Merger of Rights – Under this mode, the obligation is extinguished from the time the characters of creditor and debtor are merged in the same person.
• By Novation has 3 ways - By changing the object of the obligation or its principal conditions; By substituting the person of the debtor; By subrogating a third person in the rights of the creditor