CHAPTER 2: NATURE AND EFFECTS OF OBLIGATION

• What is the obligation of a person obliged to give something according to Article 1163?

  To take care of it with the proper diligence of a good father of a family
• What distinguishes a specific or determinate thing from a generic or indeterminate thing?

  A specific thing is particularly designated or physically segregated, while a generic thing cannot be pointed out with particularity
• How is a determinate thing characterized?

  It has individuality
• How is a generic thing characterized?

  It pertains to a class or genus
• If S's obligation is to deliver a Rolex calendar watch, what type of obligation is it?

  It is a generic real obligation
• What are the duties of a debtor in an obligation to give a determinate thing?

  1. Preserve or take care of the thing
  2. Deliver the fruits of the thing
  3. Deliver the accessions and accessories
  4. Deliver the thing itself
  5. Answer for damages in case of non-fulfillment or breach
• What are Vincent's duties if he binds himself to deliver his only car to Kristoffer?

  He must preserve the car, deliver its fruits, accessions, and the car itself, and answer for damages
• What are the duties of a debtor in an obligation to deliver a generic thing?

  1. Deliver the thing
  2. Answer for damages in case of non-fulfillment or breach
• According to Article 1164, when does the creditor have a right to the fruits of the thing?

  From the time the obligation to deliver it arises
• What are the different kinds of fruits?

  1. Natural fruits
  2. Industrial fruits
  3. Civil fruits
• What are natural fruits?

  Spontaneous products of the soil and young products of animals
• Give an example of natural fruits.

  Grass
• What are industrial fruits?

  Products produced by lands through cultivation or labor
• Give an example of industrial fruits.

  Sugar cane
• What are civil fruits?

  Fruits derived by virtue of a juridical relation
• Give an example of civil fruits.

  Rents of buildings
• What is the right of the creditor to the fruits of the thing?

  The creditor is entitled to the fruits from the time the obligation arises
• When does the obligation to deliver arise?

  At the time of the perfection of the contract
• What happens if S sells his horse to B for P15,000 and the horse gives birth to a colt?

  B has the right to the colt because the obligation arises when the price is paid
• What is the difference between personal rights and real rights?

  • Personal right: Right to demand from another
  • Real right: Right over a specific thing without a definite passive subject
• What does Kristoffer have if Vincent binds himself to deliver his only car?

  Kristoffer has a personal right to demand delivery
• When does Kristoffer acquire real rights over the car?

  When the car has been delivered to him
• How is ownership acquired by delivery?

  • Ownership is acquired and transmitted by tradition or delivery.
• What can the creditor compel the debtor to do when the delivery is a determinate thing?

  To make the delivery
• What can the creditor do if the thing is indeterminate or generic?

  Ask that the obligation be complied with at the expense of the debtor
• What are the remedies of a creditor in a specific real obligation?

  1. Demand specific performance
  2. Demand rescission or cancellation
  3. Demand payment of damages
• What can B do if S refuses to deliver the piano sold for P20,000?

  B can bring an action for fulfillment or rescission with payment of damages
• What can be done in a generic real obligation?

  • It can be performed by a third person since the object is expressed according to its family or genus.
• What happens if a debtor delays or promises delivery to separate creditors?

  The debtor may not be exempt from responsibility due to a fortuitous event
• What are the remedies available to creditors for the satisfaction of their claims?

  1. Exact fulfillment
  2. Pursue the leviable property of the debtor
  3. Exercise all rights and actions of the debtor
  4. Action for rescission
• What does the receipt of the principal by the creditor without reservation imply?

  It implies that the interest has been paid
• What is a disputable presumption?

  It is a presumption that can be rebutted by providing evidence
• What is the general rule regarding the transmissibility of rights acquired in virtue of an obligation?

  All rights are generally transmissible unless stipulated otherwise
• What are intransmissible rights?

  Rights that do not pass on to one’s heirs or assigns
• What is the effect of a prohibited stipulation on the transmissibility of rights?

  It makes the rights intransmissible
• What can creditors do after pursuing the property in possession of the debtor?

  They may exercise all the rights and bring all actions of the debtor
• What is the primary goal of remedies in non-criminal cases?

  To restore the injured party to their original position
• What is the action for rescission?

  It is the act of canceling a contract
• What does subrogation mean?

  It is a legal process where one party assumes the legal rights of another
• What happens if a debtor fails to pay their obligation?

  The creditor may pursue remedies to satisfy their claims