celaws

• REPUBLIC ACT NO. 386 - Civil Code of the Philippines - Obligations and Contracts
• Enacted and signed

  June 18,1949
• Effective

  August 30,1950
• Parts of the Civil Code on Obligations and Contracts

  • Obligation
  • Sources of Obligation
  • Effects of Obligation
  • Kinds of Obligation
  • Extinguishment of Obligation
• Elements of Obligation


  • Parties
  • Prestation
  • Juridical Tie
• Parties


  • Active subject (creditor/obligee) - one who demands the fulfillment of an obligation
  • Passive subject (debtor/obligor) - one who has the duty to fulfill an obligation
• Prestation


  The conduct to be performed by the passive subject for the active subject
• Juridical Tie


  The relation that binds the parties to an obligation
• Sources of Obligation


  • Law
  • Contract
  • Quasi-contract
  • Delict
  • Quasi-delict
• Law as a source of obligation


  The obligation cannot be presumed and should be expressly or clearly provided for in the law in order to be demandable
• Contract as a source of obligation


  The obligation has the force of law and should be complied with in good faith
• Quasi-contract as a source of obligation


  There is no meeting of the minds between parties, but one party benefited at the expense of the other party
• Quasi-contracts


  • Negotiorum gestio
  • Solutio indebiti
• Delict as a source of obligation


  Civil liability resulting from criminal offense, should be governed by the penal laws
• Quasi-delict as a source of obligation


  Fault or negligence that causes damage on another, with no prior meeting of the minds
• Duties of the debtor in the delivery of a determinate thing

  • Deliver the thing itself
  • Preserve or take care of the thing due with proper diligence
  • Deliver the fruits of the thing from the time the obligation to deliver it arises
  • Deliver the accessions and accessories of the thing
• Duties of the debtor in the delivery of a generic thing


  Deliver the thing which is neither superior nor inferior quality
• The debtor is also liable for damages in case of non-performance or breach of obligation by reason of delay, fraud, negligence, or contravention of the tenor
• Remedies of the creditor in case of breach of obligation in the delivery of a determinate thing

  • Demand specific performance or fulfillment of the obligation by the debt (if it is still possible)
  • Demand rescission or cancellation of the obligation (in certain cases)
• Remedies of the creditor in case of breach of obligation in the delivery of a generic thing

  Demand the delivery of the thing which is neither superior nor inferior quality at the expense of the debtor
• Primary classification of obligations according to the peculiarities of the prestation

  • Pure obligation
  • Conditional obligation
  • Obligation with a period
• Primary classification of obligations according to the number of prestation

  • Simple obligation
  • Compound obligation (Conjunctive obligation, Disjunctive obligation)
• Primary classification of obligations according to the number of parties


  • Individual obligation
  • Collective obligation (Joint obligation, Solidary obligation)
• Primary classification of obligations according to divisibility/indivisibility of the prestation

  • Divisible obligation
  • Indivisible obligation
• Primary classification of obligations according to the value of the prestation


  • Principal obligation
  • Accessory obligation
  • Obligation with a penal clause
• Secondary classification of obligations according to the involvement of the parties


  • Unilateral obligation
  • Bilateral obligation (Reciprocal obligation)
• Secondary classification of obligations according to the nature of the obligation


  • Civil obligation (Legal obligation, Conventional obligation, Penal obligation)
  • Natural obligation
• Secondary classification of obligations according to the nature of the prestation

  • Personal obligation (Positive obligation, Negative obligation)
  • Real obligation (Determinate obligation, Generic obligation, Limited generic obligation)
• Causes of Extinguishment of Obligation


  • Payment or performance
  • Loss of the thing due
  • Condonation or remission of the debt
  • Confusion or merger of the rights of creditor and debtor
  • Compensation
  • Novation
  • Annulment
  • Rescission
  • Prescription
  • Happening of a fortuitous event
  • Arrival of resolutory period
  • Impossibility of fulfillment of the obligation
  • Death of a party in case the obligation is purely personal
  • Compromise
  • Mutual desistance or withdrawal
• Contract


  An agreement through meeting of the minds between two persons whereby one binds himself, with respect to the other, to give something or to render some service
• Force of law


  The legal aspect of an agreement as a contract, meaning you can go to court and ask for a civil action in case of non-compliance
• Good faith


  Fairness and honesty of intention in the performance of the contract, so as to not destroy or injure the right of one of the parties
• Obligation


  The juridical necessity that results when a contract is completed or perfected
• Characteristics of Contract


  • Obligatory
  • Autonomy
  • Mutuality
  • Relativity
  • Consensuality
• Elements of Contract


  • Consent
  • Object
  • Cause (causa)
• Additional Elements of Contract

  • Natural elements
  • Accidental elements
• Stages of Contract


  • Preparatory or conception
  • Perfection or birth
  • Consumption or death
• Forms of Contract


  • Oral agreement
  • Single written agreement
  • Two copies of written agreement
  • Set of signed written agreements
  • Set of unsigned written agreements
  • Private instrument
  • Public instrument
• Reformation of Contract


  Amending or correcting the form of a written instrument to conform to the real intention of the parties
• Requirements for Reformation of Contract

  • Meeting of the minds of the parties
  • Written instrument that does not express the real intention
  • Petition/request for reformation
  • Clear and convincing proof