obligation and contracts (ateneo summer review)

8/12/2019 OBLIGATION AND CONTRACTS (Ateneo Summer Review)

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Title. I. - OBLIGATIONSCHAPTER 1GENERAL PROVISIONS

Art. 1156. An obligation i a !"ri#i$al ne$e it% to gi&e' to #o or not to #o. (n)

Art. 115*. Obligation ari e +ro,

(1) La /(0) Contra$t /( ) 2"a i-$ontra$t /(3) A$t or o,i ion 4"ni e# b% la / an#(5) 2"a i-#eli$t . (1 78a)

Art. 1157. Obligation #eri&e# +ro, la are not 4re ",e#. Onl% t o e e94re l%#eter,ine# in t i Co#e or in 4e$ial la are #e,an#able' an# all be reg"late# b% t e4re$e4t o+ t e la i$ e tabli e t e,/ an# a to at a not been +ore een' b% t e4ro&i ion o+ t i Boo:. (1 8 )

Art. 1158. Obligation ari ing +ro, $ontra$t a&e t e +or$e o+ la bet een t e $ontra$ting4artie an# o"l# be $o,4lie# it in goo# +ait . (1 81a)

Art. 116 . Obligation #eri&e# +ro, ;"a i-$ontra$t all be "b!e$t to t e 4ro&i ion o+C a4ter 1' Title RE AN? E@@ECT O@ OBLIGATIONS

Art. 116 . E&er% 4er on oblige# to gi&e o,et ing i al o oblige# to ta:e $are o+ it it t e4ro4er #iligen$e o+ a goo# +at er o+ a +a,il%' "nle t e la or t e ti4"lation o+ t e4artie re;"ire anot er tan#ar# o+ $are. (1 83a)

Art. 1163. T e $re#itor a a rig t to t e +r"it o+ t e t ing +ro, t e ti,e t e obligation to#eli&er it ari e . Ho e&er' e all a$;"ire no real rig t o&er it "ntil t e a,e a been#eli&ere# to i,. (1 85)

Art. 1165. en at i to be #eli&ere# i a #eter,inate t ing' t e $re#itor' in a##ition tot e rig t grante# i, b% Arti$le 11* ' ,a% $o,4el t e #ebtor to ,a:e t e #eli&er%.

I+ t e t ing i in#eter,inate or generi$' e ,a% a : t at t e obligation be $o,4lie# it att e e94en e o+ t e #ebtor.

I+ t e obligor #ela% ' or a 4ro,i e# to #eli&er t e a,e t ing to t o or ,ore 4er on
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o #o not a&e t e a,e intere t' e all be re 4on ible +or an% +ort"ito" e&ent "ntile a e=e$te# t e #eli&er%. (1 86)

Art. 1166. T e obligation to gi&e a #eter,inate t ing in$l"#e t at o+ #eli&ering all ita$$e ion an# a$$e orie ' e&en t o"g t e% ,a% not a&e been ,entione#. (1 8*a)

Art. 116*. I+ a 4er on oblige# to #o o,et ing +ail to #o it' t e a,e all be e9e$"te# ati $o t.

T i a,e r"le all be ob er&e# i+ e #oe it in $ontra&ention o+ t e tenor o+ t eobligation. @"rt er,ore' it ,a% be #e$ree# t at at a been 4oorl% #one be "n#one.(1 87)

Art. 1167. en t e obligation $on i t in not #oing' an# t e obligor #oe at a been+orbi##en i,' it all al o be "n#one at i e94en e. (1 88a)

Art. 1168. T o e oblige# to #eli&er or to #o o,et ing in$"r in #ela% +ro, t e ti,e t eobligee !"#i$iall% or e9tra!"#i$iall% #e,an# +ro, t e, t e +"l ll,ent o+ t eir obligation.

Ho e&er' t e #e,an# b% t e $re#itor all not be ne$e ar% in or#er t at #ela% ,a% e9i t

(1) en t e obligation or t e la e94re l% o #e$lare/ or

(0) en +ro, t e nat"re an# t e $ir$", tan$e o+ t e obligation it a44ear t at t e#e ignation o+ t e ti,e en t e t ing i to be #eli&ere# or t e er&i$e i to be ren#ere#

a a $ontrolling ,oti&e +or t e e tabli ,ent o+ t e $ontra$t/ or

( ) en #e,an# o"l# be " ele ' a en t e obligor a ren#ere# it be%on# i 4o erto 4er+or,.

In re$i4ro$al obligation ' neit er 4art% in$"r in #ela% i+ t e ot er #oe not $o,4l% or i notrea#% to $o,4l% in a 4ro4er ,anner it at i in$",bent "4on i,. @ro, t e ,o,entone o+ t e 4artie +"l ll i obligation' #ela% b% t e ot er begin . (11 a)

Art. 11* . T o e o in t e 4er+or,an$e o+ t eir obligation are g"ilt% o+ +ra"#'negligen$e' or #ela%' an# t o e o in an% ,anner $ontra&ene t e tenor t ereo+' areliable +or #a,age . (11 1)

Art. 11*1. Re 4on ibilit% ari ing +ro, +ra"# i #e,an#able in all obligation . An% ai&er o+an a$tion +or +"t"re +ra"# i &oi#. (11 0a)

Art. 11*0. Re 4on ibilit% ari ing +ro, negligen$e in t e 4er+or,an$e o+ e&er% :in# o+obligation i al o #e,an#able' b"t "$ liabilit% ,a% be reg"late# b% t e $o"rt ' a$$or#ingto t e $ir$", tan$e . (11 )

Art. 11* . T e +a"lt or negligen$e o+ t e obligor $on i t in t e o,i ion o+ t at #iligen$ei$ i re;"ire# b% t e nat"re o+ t e obligation an# $orre 4on# it t e $ir$", tan$e

o+ t e 4er on ' o+ t e ti,e an# o+ t e 4la$e. en negligen$e o ba# +ait ' t e4ro&i ion o+ Arti$le 11*1 an# 00 1' 4aragra4 0' all a44l%.


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I+ t e la or $ontra$t #oe not tate t e #iligen$e i$ i to be ob er&e# in t e4er+or,an$e' t at i$ i e94e$te# o+ a goo# +at er o+ a +a,il% all be re;"ire#. (11 3a)

Art. 11*3. E9$e4t in $a e e94re l% 4e$i e# b% t e la ' or en it i ot er i e #e$lare#b% ti4"lation' or en t e nat"re o+ t e obligation re;"ire t e a ",4tion o+ ri :' no4er on all be re 4on ible +or t o e e&ent i$ $o"l# not be +ore een' or i$ ' t o"g+ore een' ere ine&itable. (11 5a)

Art. 11*5. > "rio" tran a$tion all be go&erne# b% 4e$ial la . (n)

Art. 11*6. T e re$ei4t o+ t e 4rin$i4al b% t e $re#itor it o"t re er&ation it re 4e$t tot e intere t' all gi&e ri e to t e 4re ",4tion t at ai# intere t a been 4ai#.

T e re$ei4t o+ a later in tall,ent o+ a #ebt it o"t re er&ation a to 4rior in tall,ent 'all li:e i e rai e t e 4re ",4tion t at "$ in tall,ent a&e been 4ai#. (111 a)

Art. 11**. T e $re#itor ' a+ter a&ing 4"r "e# t e 4ro4ert% in 4o e ion o+ t e #ebtor toati +% t eir $lai, ' ,a% e9er$i e all t e rig t an# bring all t e a$tion o+ t e latter +or t ea,e 4"r4o e' a&e t o e i$ are in erent in i 4er on/ t e% ,a% al o i,4"gn t e a$t

i$ t e #ebtor ,a% a&e #one to #e+ra"# t e,. (1111)

Art. 11*7. S"b!e$t to t e la ' all rig t a$;"ire# in &irt"e o+ an obligation aretran ,i ible' i+ t ere a been no ti4"lation to t e $ontrar%. (1110)CHAPTER ?I@@ERENT IN?S O@ OBLIGATIONS

SECTION 1. - P"re an# Con#itional Obligation

Art. 11*8. E&er% obligation o e 4er+or,an$e #oe not #e4en# "4on a +"t"re or"n$ertain e&ent' or "4on a 4a t e&ent "n:no n to t e 4artie ' i #e,an#able at on$e.

E&er% obligation i$ $ontain a re ol"tor% $on#ition all al o be #e,an#able' it o"t4re!"#i$e to t e e=e$t o+ t e a44ening o+ t e e&ent. (111 )

Art. 117 . en t e #ebtor bin# i, el+ to 4a% en i ,ean 4er,it i, to #o o' t eobligation all be #ee,e# to be one it a 4erio#' "b!e$t to t e 4ro&i ion o+ Arti$le118*. (n)

Art. 1171. In $on#itional obligation ' t e a$;"i ition o+ rig t ' a ell a t ee9ting"i ,ent or lo o+ t o e alrea#% a$;"ire#' all #e4en# "4on t e a44ening o+ t ee&ent i$ $on tit"te t e $on#ition. (1113)

Art. 1170. en t e +"l ll,ent o+ t e $on#ition #e4en# "4on t e ole ill o+ t e #ebtor't e $on#itional obligation all be &oi#. I+ it #e4en# "4on $ an$e or "4on t e ill o+ at ir# 4er on' t e obligation all ta:e e=e$t in $on+or,it% it t e 4ro&i ion o+ t i Co#e.(1115)

Art. 117 . I,4o ible $on#ition ' t o e $ontrar% to goo# $" to, or 4"bli$ 4oli$% an#t o e 4ro ibite# b% la all ann"l t e obligation i$ #e4en# "4on t e,. I+ t eobligation i #i&i ible' t at 4art t ereo+ i$ i not a=e$te# b% t e i,4o ible or "nla +"l
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$on#ition all be &ali#.

T e $on#ition not to #o an i,4o ible t ing all be $on i#ere# a not a&ing been agree#"4on. (1116a)

Art. 1173. T e $on#ition t at o,e e&ent a44en at a #eter,inate ti,e all e9ting"it e obligation a oon a t e ti,e e94ire or i+ it a be$o,e in#"bitable t at t e e&ent

ill not ta:e 4la$e. (111*)

Art. 1175. T e $on#ition t at o,e e&ent ill not a44en at a #eter,inate ti,e allren#er t e obligation e=e$ti&e +ro, t e ,o,ent t e ti,e in#i$ate# a ela4 e#' or i+ it

a be$o,e e&i#ent t at t e e&ent $annot o$$"r.

I+ no ti,e a been 9e#' t e $on#ition all be #ee,e# +"l lle# at "$ ti,e a ,a% a&e4robabl% been $onte,4late#' bearing in ,in# t e nat"re o+ t e obligation. (1117)

Art. 1176. T e $on#ition all be #ee,e# +"l lle# en t e obligor &ol"ntaril% 4re&ent it+"l ll,ent. (1118)

Art. 117*. T e e=e$t o+ a $on#itional obligation to gi&e' on$e t e $on#ition a been+"l lle#' all retroa$t to t e #a% o+ t e $on tit"tion o+ t e obligation. Ne&ert ele ' ent e obligation i,4o e re$i4ro$al 4re tation "4on t e 4artie ' t e +r"it an# intere t#"ring t e 4en#en$% o+ t e $on#ition all be #ee,e# to a&e been ,"t"all%$o,4en ate#. I+ t e obligation i "nilateral' t e #ebtor all a44ro4riate t e +r"it an#intere t re$ei&e#' "nle +ro, t e nat"re an# $ir$", tan$e o+ t e obligation it o"l# bein+erre# t at t e intention o+ t e 4er on $on tit"ting t e a,e a #i=erent.

In obligation to #o an# not to #o' t e $o"rt all #eter,ine' in ea$ $a e' t e retroa$ti&ee=e$t o+ t e $on#ition t at a been $o,4lie# it . (110 )

Art. 1177. T e $re#itor ,a%' be+ore t e +"l ll,ent o+ t e $on#ition' bring t e a44ro4riatea$tion +or t e 4re er&ation o+ i rig t.

T e #ebtor ,a% re$o&er at #"ring t e a,e ti,e e a 4ai# b% ,i ta:e in $a e o+ a" 4en i&e $on#ition. (1101a)

Art. 1178. en t e $on#ition a&e been i,4o e# it t e intention o+ " 4en#ing t eeD$a$% o+ an obligation to gi&e' t e +ollo ing r"le all be ob er&e# in $a e o+ t ei,4ro&e,ent' lo or #eterioration o+ t e t ing #"ring t e 4en#en$% o+ t e $on#ition

(1) I+ t e t ing i lo t it o"t t e +a"lt o+ t e #ebtor' t e obligation all be e9ting"i e#/

(0) I+ t e t ing i lo t t ro"g t e +a"lt o+ t e #ebtor' e all be oblige# to 4a% #a,age /it i "n#er too# t at t e t ing i lo t en it 4eri e ' or goe o"t o+ $o,,er$e' or#i a44ear in "$ a a% t at it e9i ten$e i "n:no n or it $annot be re$o&ere#/

( ) en t e t ing #eteriorate it o"t t e +a"lt o+ t e #ebtor' t e i,4air,ent i to beborne b% t e $re#itor/

(3) I+ it #eteriorate t ro"g t e +a"lt o+ t e #ebtor' t e $re#itor ,a% $ oo e bet een t e


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re $i ion o+ t e obligation an# it +"l ll,ent' it in#e,nit% +or #a,age in eit er $a e/

(5) I+ t e t ing i i,4ro&e# b% it nat"re' or b% ti,e' t e i,4ro&e,ent all in"re to t ebene t o+ t e $re#itor/

(6) I+ it i i,4ro&e# at t e e94en e o+ t e #ebtor' e all a&e no ot er rig t t an t atgrante# to t e " "+r"$t"ar%. (1100)

Art. 118 . en t e $on#ition a&e +or t eir 4"r4o e t e e9ting"i ,ent o+ an obligationto gi&e' t e 4artie ' "4on t e +"l ll,ent o+ ai# $on#ition ' all ret"rn to ea$ ot er att e% a&e re$ei&e#.

In $a e o+ t e lo ' #eterioration or i,4ro&e,ent o+ t e t ing' t e 4ro&i ion i$ ' itre 4e$t to t e #ebtor' are lai# #o n in t e 4re$e#ing arti$le all be a44lie# to t e 4art%

o i bo"n# to ret"rn.

A +or t e obligation to #o an# not to #o' t e 4ro&i ion o+ t e e$on# 4aragra4 o+ Arti$le117* all be ob er&e# a regar# t e e=e$t o+ t e e9ting"i ,ent o+ t e obligation.(110 )

Art. 1181. T e 4o er to re $in# obligation i i,4lie# in re$i4ro$al one ' in $a e one o+ t eobligor o"l# not $o,4l% it at i in$",bent "4on i,.

T e in!"re# 4art% ,a% $ oo e bet een t e +"l ll,ent an# t e re $i ion o+ t e obligation'it t e 4a%,ent o+ #a,age in eit er $a e. He ,a% al o ee: re $i ion' e&en a+ter ea $ o en +"l ll,ent' i+ t e latter o"l# be$o,e i,4o ible.

T e $o"rt all #e$ree t e re $i ion $lai,e#' "nle t ere be !" t $a" e a"t ori ing t e9ing o+ a 4erio#.

T i i "n#er too# to be it o"t 4re!"#i$e to t e rig t o+ t ir# 4er on o a&e a$;"ire#t e t ing' in a$$or#an$e it Arti$le 1 75 an# 1 77 an# t e Fortgage La . (1103)

Art. 1180. In $a e bot 4artie a&e $o,,itte# a brea$ o+ t e obligation' t e liabilit% o+t e r t in+ra$tor all be e;"itabl% te,4ere# b% t e $o"rt . I+ it $annot be #eter,ine#

i$ o+ t e 4artie r t &iolate# t e $ontra$t' t e a,e all be #ee,e# e9ting"i e#'an# ea$ all bear i o n #a,age . (n)

SECTION 0. - Obligation it a Perio#

Art. 118 . Obligation +or o e +"l ll,ent a #a% $ertain a been 9e#' all be#e,an#able onl% en t at #a% $o,e .

Obligation it a re ol"tor% 4erio# ta:e e=e$t at on$e' b"t ter,inate "4on arri&al o+ t e#a% $ertain.

A #a% $ertain i "n#er too# to be t at i$ ," t ne$e aril% $o,e' alt o"g it ,a% notbe :no n en.

I+ t e "n$ertaint% $on i t in et er t e #a% ill $o,e or not' t e obligation i


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$on#itional' an# it all be reg"late# b% t e r"le o+ t e 4re$e#ing Se$tion. (1105a)

Art. 1183. In $a e o+ lo ' #eterioration or i,4ro&e,ent o+ t e t ing be+ore t e arri&al o+t e #a% $ertain' t e r"le in Arti$le 1178 all be ob er&e#. (n)

Art. 1185. An%t ing 4ai# or #eli&ere# be+ore t e arri&al o+ t e 4erio#' t e obligor being"na are o+ t e 4erio# or belie&ing t at t e obligation a be$o,e #"e an# #e,an#able',a% be re$o&ere#' it t e +r"it an# intere t . (1106a)

Art. 1186. ene&er in an obligation a 4erio# i #e ignate#' it i 4re ",e# to a&e beene tabli e# +or t e bene t o+ bot t e $re#itor an# t e #ebtor' "nle +ro, t e tenor o+ t e

a,e or ot er $ir$", tan$e it o"l# a44ear t at t e 4erio# a been e tabli e# in+a&or o+ one or o+ t e ot er. (110*)

Art. 118*. I+ t e obligation #oe not 9 a 4erio#' b"t +ro, it nat"re an# t e $ir$", tan$eit $an be in+erre# t at a 4erio# a inten#e#' t e $o"rt ,a% 9 t e #"ration t ereo+.

T e $o"rt all al o 9 t e #"ration o+ t e 4erio# en it #e4en# "4on t e ill o+ t e#ebtor.

In e&er% $a e' t e $o"rt all #eter,ine "$ 4erio# a ,a% "n#er t e $ir$", tan$ea&e been 4robabl% $onte,4late# b% t e 4artie . On$e 9e# b% t e $o"rt ' t e 4erio#

$annot be $ ange# b% t e,. (1107a)

Art. 1187. T e #ebtor all lo e e&er% rig t to ,a:e " e o+ t e 4erio#

(1) en a+ter t e obligation a been $ontra$te#' e be$o,e in ol&ent' "nle e gi&ea g"arant% or e$"rit% +or t e #ebt/

(0) en e #oe not +"rni to t e $re#itor t e g"arantie or e$"ritie i$ e a4ro,i e#/

( ) en b% i o n a$t e a i,4aire# ai# g"arantie or e$"ritie a+ter t eire tabli ,ent' an# en t ro"g a +ort"ito" e&ent t e% #i a44ear' "nle ei,,e#iatel% gi&e ne one e;"all% ati +a$tor%/

(3) en t e #ebtor &iolate an% "n#erta:ing' in $on i#eration o+ i$ t e $re#itoragree# to t e 4erio#/

(5) en t e #ebtor atte,4t to ab $on#. (1108a)

SECTION . - Alternati&e Obligation

Art. 1188. A 4er on alternati&el% bo"n# b% #i=erent 4re tation all $o,4letel% 4er+or,one o+ t e,.

T e $re#itor $annot be $o,4elle# to re$ei&e 4art o+ one an# 4art o+ t e ot er "n#erta:ing.(11 1)

Art. 10 . T e rig t o+ $ oi$e belong to t e #ebtor' "nle it a been e94re l% grante#


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to t e $re#itor.

T e #ebtor all a&e no rig t to $ oo e t o e 4re tation i$ are i,4o ible' "nla +"lor i$ $o"l# not a&e been t e ob!e$t o+ t e obligation. (11 0)

Art. 10 1. T e $ oi$e all 4ro#"$e no e=e$t e9$e4t +ro, t e ti,e it a been$o,,"ni$ate#. (11 )

Art. 10 0. T e #ebtor all lo e t e rig t o+ $ oi$e en a,ong t e 4re tation ereb%e i alternati&el% bo"n#' onl% one i 4ra$ti$able. (11 3)

Art. 10 . I+ t ro"g t e $re#itor a$t t e #ebtor $annot ,a:e a $ oi$e a$$or#ing to t eter, o+ t e obligation' t e latter ,a% re $in# t e $ontra$t it #a,age . (n)

Art. 10 3. T e $re#itor all a&e a rig t to in#e,nit% +or #a,age en' t ro"g t e +a"lto+ t e #ebtor' all t e t ing i$ are alternati&el% t e ob!e$t o+ t e obligation a&e beenlo t' or t e $o,4lian$e o+ t e obligation a be$o,e i,4o ible.

T e in#e,nit% all be 9e# ta:ing a a ba i t e &al"e o+ t e la t t ing i$#i a44eare#' or t at o+ t e er&i$e i$ la t be$a,e i,4o ible.

?a,age ot er t an t e &al"e o+ t e la t t ing or er&i$e ,a% al o be a ar#e#. (11 5a)

Art. 10 5. en t e $ oi$e a been e94re l% gi&en to t e $re#itor' t e obligation all$ea e to be alternati&e +ro, t e #a% en t e ele$tion a been $o,,"ni$ate# to t e#ebtor.

>ntil t en t e re 4on ibilit% o+ t e #ebtor all be go&erne# b% t e +ollo ing r"le

(1) I+ one o+ t e t ing i lo t t ro"g a +ort"ito" e&ent' e all 4er+or, t e obligation b%#eli&ering t at i$ t e $re#itor o"l# $ oo e +ro, a,ong t e re,ain#er' or t at i$re,ain i+ onl% one "b i t /

(0) I+ t e lo o+ one o+ t e t ing o$$"r t ro"g t e +a"lt o+ t e #ebtor' t e $re#itor ,a%$lai, an% o+ t o e "b i ting' or t e 4ri$e o+ t at i$ ' t ro"g t e +a"lt o+ t e +or,er'

a #i a44eare#' it a rig t to #a,age /

( ) I+ all t e t ing are lo t t ro"g t e +a"lt o+ t e #ebtor' t e $ oi$e b% t e $re#itor all+all "4on t e 4ri$e o+ an% one o+ t e,' al o it in#e,nit% +or #a,age .

T e a,e r"le all be a44lie# to obligation to #o or not to #o in $a e one' o,e or all o+ t e 4re tation o"l# be$o,e i,4o ible. (11 6a)

Art. 10 6. en onl% one 4re tation a been agree# "4on' b"t t e obligor ,a% ren#eranot er in "b tit"tion' t e obligation i $alle# +a$"ltati&e.

T e lo or #eterioration o+ t e t ing inten#e# a a "b tit"te' t ro"g t e negligen$e o+t e obligor' #oe not ren#er i, liable. B"t on$e t e "b tit"tion a been ,a#e' t eobligor i liable +or t e lo o+ t e "b tit"te on a$$o"nt o+ i #ela%' negligen$e or +ra"#.(n)


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SECTION 3. - oint an# Soli#ar% Obligation

Art. 10 *. T e $on$"rren$e o+ t o or ,ore $re#itor or o+ t o or ,ore #ebtor in one an#t e a,e obligation #oe not i,4l% t at ea$ one o+ t e +or,er a a rig t to #e,an#' ort at ea$ one o+ t e latter i bo"n# to ren#er' entire $o,4lian$e it t e 4re tation. T erei a oli#ar% liabilit% onl% en t e obligation e94re l% o tate ' or en t e la or t enat"re o+ t e obligation re;"ire oli#arit%. (11 *a)

Art. 10 7. I+ +ro, t e la ' or t e nat"re or t e or#ing o+ t e obligation to i$ t e4re$e#ing arti$le re+er t e $ontrar% #oe not a44ear' t e $re#it or #ebt all be 4re ",e#to be #i&i#e# into a ,an% are a t ere are $re#itor or #ebtor ' t e $re#it or #ebtbeing $on i#ere# #i tin$t +ro, one anot er' "b!e$t to t e R"le o+ Co"rt go&erning t e,"lti4li$it% o+ "it . (11 7a)

Art. 10 8. I+ t e #i&i ion i i,4o ible' t e rig t o+ t e $re#itor ,a% be 4re!"#i$e# onl% b%t eir $olle$ti&e a$t ' an# t e #ebt $an be en+or$e# onl% b% 4ro$ee#ing again t all t e#ebtor . I+ one o+ t e latter o"l# be in ol&ent' t e ot er all not be liable +or i are.(11 8)

Art. 101 . T e in#i&i ibilit% o+ an obligation #oe not ne$e aril% gi&e ri e to oli#arit%. Nor#oe oli#arit% o+ it el+ i,4l% in#i&i ibilit%. (n)

Art. 1011. Soli#arit% ,a% e9i t alt o"g t e $re#itor an# t e #ebtor ,a% not be bo"n# int e a,e ,anner an# b% t e a,e 4erio# an# $on#ition . (113 )

Art. 1010. Ea$ one o+ t e oli#ar% $re#itor ,a% #o ate&er ,a% be " e+"l to t e ot er 'b"t not an%t ing i$ ,a% be 4re!"#i$ial to t e latter. (1131a)

Art. 101 . A oli#ar% $re#itor $annot a ign i rig t it o"t t e $on ent o+ t e ot er . (n)

Art. 1013. T e #ebtor ,a% 4a% an% one o+ t e oli#ar% $re#itor / b"t i+ an% #e,an#' !"#i$ial or e9tra!"#i$ial' a been ,a#e b% one o+ t e,' 4a%,ent o"l# be ,a#e to i,.(1130a)

Art. 1015. No&ation' $o,4en ation' $on+" ion or re,i ion o+ t e #ebt' ,a#e b% an% o+ t eoli#ar% $re#itor or it an% o+ t e oli#ar% #ebtor ' all e9ting"i t e obligation'it o"t 4re!"#i$e to t e 4ro&i ion o+ Arti$le 1018.

T e $re#itor o ,a% a&e e9e$"te# an% o+ t e e a$t ' a ell a e o $olle$t t e#ebt' all be liable to t e ot er +or t e are in t e obligation $orre 4on#ing to t e,.(113 )

Art. 1016. T e $re#itor ,a% 4ro$ee# again t an% one o+ t e oli#ar% #ebtor or o,e or allo+ t e, i,"ltaneo" l%. T e #e,an# ,a#e again t one o+ t e, all not be an ob ta$le tot o e i$ ,a% "b e;"entl% be #ire$te# again t t e ot er ' o long a t e #ebt a notbeen +"ll% $olle$te#. (1133a)

Art. 101*. Pa%,ent ,a#e b% one o+ t e oli#ar% #ebtor e9ting"i e t e obligation. I+ t oor ,ore oli#ar% #ebtor o=er to 4a%' t e $re#itor ,a% $ oo e i$ o=er to a$$e4t.


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He o ,a#e t e 4a%,ent ,a% $lai, +ro, i $o-#ebtor onl% t e are i$$orre 4on# to ea$ ' it t e intere t +or t e 4a%,ent alrea#% ,a#e. I+ t e 4a%,ent i,a#e be+ore t e #ebt i #"e' no intere t +or t e inter&ening 4erio# ,a% be #e,an#e#.

en one o+ t e oli#ar% #ebtor $annot' be$a" e o+ i in ol&en$%' rei,b"r e i are tot e #ebtor 4a%ing t e obligation' "$ are all be borne b% all i $o-#ebtor ' in4ro4ortion to t e #ebt o+ ea$ . (1135a)

Art. 1017. Pa%,ent b% a oli#ar% #ebtor all not entitle i, to rei,b"r e,ent +ro, i$o-#ebtor i+ "$ 4a%,ent i ,a#e a+ter t e obligation a 4re $ribe# or be$o,e illegal.(n)

Art. 1018. T e re,i ion ,a#e b% t e $re#itor o+ t e are i$ a=e$t one o+ t eoli#ar% #ebtor #oe not relea e t e latter +ro, i re 4on ibilit% to ar# t e $o-#ebtor '

in $a e t e #ebt a# been totall% 4ai# b% an%one o+ t e, be+ore t e re,i ion ae=e$te#. (1136a)

Art. 100 . T e re,i ion o+ t e ole obligation' obtaine# b% one o+ t e oli#ar% #ebtor '#oe not entitle i, to rei,b"r e,ent +ro, i $o-#ebtor . (n)

Art. 1001. I+ t e t ing a been lo t or i+ t e 4re tation a be$o,e i,4o ible it o"t t e+a"lt o+ t e oli#ar% #ebtor ' t e obligation all be e9ting"i e#.

I+ t ere a +a"lt on t e 4art o+ an% one o+ t e,' all all be re 4on ible to t e $re#itor' +ort e 4ri$e an# t e 4a%,ent o+ #a,age an# intere t' it o"t 4re!"#i$e to t eir a$tionagain t t e g"ilt% or negligent #ebtor.

I+ t ro"g a +ort"ito" e&ent' t e t ing i lo t or t e 4er+or,an$e a be$o,e i,4o iblea+ter one o+ t e oli#ar% #ebtor a in$"rre# in #ela% t ro"g t e !"#i$ial or e9tra!"#i$ial#e,an# "4on i, b% t e $re#itor' t e 4ro&i ion o+ t e 4re$e#ing 4aragra4 all a44l%.(113*a)

Art. 1000. A oli#ar% #ebtor ,a%' in a$tion le# b% t e $re#itor' a&ail i, el+ o+ all#e+en e i$ are #eri&e# +ro, t e nat"re o+ t e obligation an# o+ t o e i$ are4er onal to i,' or 4ertain to i o n are. it re 4e$t to t o e i$ 4er onall% belongto t e ot er ' e ,a% a&ail i, el+ t ereo+ onl% a regar# t at 4art o+ t e #ebt +or i$t e latter are re 4on ible. (1137a)

SECTION 5. - ?i&i ible an# In#i&i ible Obligation

Art. 100 . T e #i&i ibilit% or in#i&i ibilit% o+ t e t ing t at are t e ob!e$t o+ obligation ini$ t ere i onl% one #ebtor an# onl% one $re#itor #oe not alter or ,o#i+% t e

4ro&i ion o+ C a4ter 0 o+ t i Title. (1138)

Art. 1003. A !oint in#i&i ible obligation gi&e ri e to in#e,nit% +or #a,age +ro, t e ti,ean%one o+ t e #ebtor #oe not $o,4l% it i "n#erta:ing. T e #ebtor o ,a% a&ebeen rea#% to +"l ll t eir 4ro,i e all not $ontrib"te to t e in#e,nit% be%on# t e$orre 4on#ing 4ortion o+ t e 4ri$e o+ t e t ing or o+ t e &al"e o+ t e er&i$e in i$ t eobligation $on i t . (115 )


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Art. 1005. @or t e 4"r4o e o+ t e 4re$e#ing arti$le ' obligation to gi&e #e nite t ingan# t o e i$ are not " $e4tible o+ 4artial 4er+or,an$e all be #ee,e# to bein#i&i ible.

en t e obligation a +or it ob!e$t t e e9e$"tion o+ a $ertain n",ber o+ #a% o+ or:'t e a$$o,4li ,ent o+ or: b% ,etri$al "nit ' or analogo" t ing i$ b% t eir nat"reare " $e4tible o+ 4artial 4er+or,an$e' it all be #i&i ible.

Ho e&er' e&en t o"g t e ob!e$t or er&i$e ,a% be 4 % i$all% #i&i ible' an obligation iin#i&i ible i+ o 4ro&i#e# b% la or inten#e# b% t e 4artie .

In obligation not to #o' #i&i ibilit% or in#i&i ibilit% all be #eter,ine# b% t e $ ara$ter o+t e 4re tation in ea$ 4arti$"lar $a e. (1151a)

SECTION 6. - Obligation it a Penal Cla" e

Art. 1006. In obligation it a 4enal $la" e' t e 4enalt% all "b tit"te t e in#e,nit% +or#a,age an# t e 4a%,ent o+ intere t in $a e o+ non$o,4lian$e' i+ t ere i no ti4"lationto t e $ontrar%. Ne&ert ele ' #a,age all be 4ai# i+ t e obligor re+" e to 4a% t e4enalt% or i g"ilt% o+ +ra"# in t e +"l ll,ent o+ t e obligation.

T e 4enalt% ,a% be en+or$e# onl% en it i #e,an#able in a$$or#an$e it t e4ro&i ion o+ t i Co#e. (1150a)

Art. 100*. T e #ebtor $annot e9e,4t i, el+ +ro, t e 4er+or,an$e o+ t e obligation b%4a%ing t e 4enalt%' a&e in t e $a e ere t i rig t a been e94re l% re er&e# +or i,.Neit er $an t e $re#itor #e,an# t e +"l ll,ent o+ t e obligation an# t e ati +a$tion o+ t e4enalt% at t e a,e ti,e' "nle t i rig t a been $learl% grante# i,. Ho e&er' i+ a+tert e $re#itor a #e$i#e# to re;"ire t e +"l ll,ent o+ t e obligation' t e 4er+or,an$et ereo+ o"l# be$o,e i,4o ible it o"t i +a"lt' t e 4enalt% ,a% be en+or$e#. (115 a)

Art. 1007. Proo+ o+ a$t"al #a,age "=ere# b% t e $re#itor i not ne$e ar% in or#er t att e 4enalt% ,a% be #e,an#e#. (n)

Art. 1008. T e !"#ge all e;"itabl% re#"$e t e 4enalt% en t e 4rin$i4al obligation abeen 4artl% or irreg"larl% $o,4lie# it b% t e #ebtor. E&en i+ t ere a been no4er+or,an$e' t e 4enalt% ,a% al o be re#"$e# b% t e $o"rt i+ it i ini;"ito" or"n$on $ionable. (1153a)

Art. 10 . T e n"llit% o+ t e 4enal $la" e #oe not $arr% it it t at o+ t e 4rin$i4alobligation.

T e n"llit% o+ t e 4rin$i4al obligation $arrie it it t at o+ t e 4enal $la" e. (1155)e% or# Alternati&e Obligation ' ?i&i ible an# In#i&i ible Obligation ' oint an# Soli#ar%

Obligation ' in# o+ Obligation ' Obligation it Perio# ' P"re an# Con#itionalObligation ' it Penal Cla" eCHAPTER 3EISHFENT O@ OBLIGATIONSGENERAL PROVISIONS
http://obligationscontracts.blogspot.com/search/label/Alternative%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Divisible%20and%20Indivisible%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Joint%20and%20Solidary%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Joint%20and%20Solidary%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Kinds%20of%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Obligations%20with%20Periodhttp://obligationscontracts.blogspot.com/search/label/Pure%20and%20Conditional%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Pure%20and%20Conditional%20Obligationshttp://obligationscontracts.blogspot.com/search/label/with%20Penal%20Clausehttp://obligationscontracts.blogspot.com/2008/03/chapter-4_8981.htmlhttp://obligationscontracts.blogspot.com/search/label/Alternative%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Divisible%20and%20Indivisible%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Joint%20and%20Solidary%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Joint%20and%20Solidary%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Kinds%20of%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Obligations%20with%20Periodhttp://obligationscontracts.blogspot.com/search/label/Pure%20and%20Conditional%20Obligationshttp://obligationscontracts.blogspot.com/search/label/Pure%20and%20Conditional%20Obligationshttp://obligationscontracts.blogspot.com/search/label/with%20Penal%20Clausehttp://obligationscontracts.blogspot.com/2008/03/chapter-4_8981.html


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Art. 10 1. Obligation are e9ting"i e#

(1) B% 4a%,ent or 4er+or,an$e

(0) B% t e lo o+ t e t ing #"e

( ) B% t e $on#onation or re,i ion o+ t e #ebt/

(3) B% t e $on+" ion or ,erger o+ t e rig t o+ $re#itor an# #ebtor/

(5) B% $o,4en ation/

(6) B% no&ation.

Ot er $a" e o+ e9ting"i ,ent o+ obligation ' "$ a ann"l,ent' re $i ion' +"l ll,ent o+ a re ol"tor% $on#ition' an# 4re $ri4tion' are go&erne# el e ere in t i Co#e. (1156a)

SECTION 1. - Pa%,ent or Per+or,an$e

Art. 10 0. Pa%,ent ,ean not onl% t e #eli&er% o+ ,one% b"t al o t e 4er+or,an$e' in an%ot er ,anner' o+ an obligation. (n)

Art. 10 . A #ebt all not be "n#er too# to a&e been 4ai# "nle t e t ing or er&i$e ini$ t e obligation $on i t a been $o,4letel% #eli&ere# or ren#ere#' a t e $a e ,a%

be. (115*)

Art. 10 3. I+ t e obligation a been "b tantiall% 4er+or,e# in goo# +ait ' t e obligor ,a%re$o&er a t o"g t ere a# been a tri$t an# $o,4lete +"l ll,ent' le #a,age "=ere#b% t e obligee. (n)

Art. 10 5. en t e obligee a$$e4t t e 4er+or,an$e' :no ing it in$o,4letene orirreg"larit%' an# it o"t e94re ing an% 4rote t or ob!e$tion' t e obligation i #ee,e# +"ll%$o,4lie# it . (n)

Art. 10 6. T e $re#itor i not bo"n# to a$$e4t 4a%,ent or 4er+or,an$e b% a t ir# 4er ono a no intere t in t e +"l ll,ent o+ t e obligation' "nle t ere i a ti4"lation to t e

$ontrar%.

oe&er 4a% +or anot er ,a% #e,an# +ro, t e #ebtor at e a 4ai#' e9$e4t t at i+e 4ai# it o"t t e :no le#ge or again t t e ill o+ t e #ebtor' e $an re$o&er onl%

in o+ar a t e 4a%,ent a been bene $ial to t e #ebtor. (1157a)

Art. 10 *. oe&er 4a% on be al+ o+ t e #ebtor it o"t t e :no le#ge or again t t e illo+ t e latter' $annot $o,4el t e $re#itor to "brogate i, in i rig t ' "$ a t o eari ing +ro, a ,ortgage' g"arant%' or 4enalt%. (1158a)

Art. 10 7. Pa%,ent ,a#e b% a t ir# 4er on o #oe not inten# to be rei,b"r e# b% t e#ebtor i #ee,e# to be a #onation' i$ re;"ire t e #ebtor $on ent. B"t t e 4a%,enti in an% $a e &ali# a to t e $re#itor o a a$$e4te# it. (n)


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Art. 10 8. In obligation to gi&e' 4a%,ent ,a#e b% one o #oe not a&e t e +ree#i 4o al o+ t e t ing #"e an# $a4a$it% to alienate it all not be &ali#' it o"t 4re!"#i$e tot e 4ro&i ion o+ Arti$le 130* "n#er t e Title on Nat"ral Obligation . (116 a)

Art. 103 . Pa%,ent all be ,a#e to t e 4er on in o e +a&or t e obligation a been$on tit"te#' or i "$$e or in intere t' or an% 4er on a"t ori e# to re$ei&e it. (1160a)

Art. 1031. Pa%,ent to a 4er on o i in$a4a$itate# to a#,ini ter i 4ro4ert% all be&ali# i+ e a :e4t t e t ing #eli&ere#' or in o+ar a t e 4a%,ent a been bene $ial to

i,.

Pa%,ent ,a#e to a t ir# 4er on all al o be &ali# in o+ar a it a re#o"n#e# to t ebene t o+ t e $re#itor. S"$ bene t to t e $re#itor nee# not be 4ro&e# in t e +ollo ing$a e

(1) I+ a+ter t e 4a%,ent' t e t ir# 4er on a$;"ire t e $re#itor rig t /

(0) I+ t e $re#itor rati e t e 4a%,ent to t e t ir# 4er on/

( ) I+ b% t e $re#itor $on#"$t' t e #ebtor a been le# to belie&e t at t e t ir# 4er ona# a"t orit% to re$ei&e t e 4a%,ent. (116 a)

Art. 1030. Pa%,ent ,a#e in goo# +ait to an% 4er on in 4o e ion o+ t e $re#it allrelea e t e #ebtor. (1163)

Art. 103 . Pa%,ent ,a#e to t e $re#itor b% t e #ebtor a+ter t e latter a been !"#i$iall%or#ere# to retain t e #ebt all not be &ali#. (1165)

Art. 1033. T e #ebtor o+ a t ing $annot $o,4el t e $re#itor to re$ei&e a #i=erent one'alt o"g t e latter ,a% be o+ t e a,e &al"e a ' or ,ore &al"able t an t at i$ i #"e.

In obligation to #o or not to #o' an a$t or +orbearan$e $annot be "b tit"te# b% anot era$t or +orbearan$e again t t e obligee ill. (1166a)

Art. 1035. ?ation in 4a%,ent' ereb% 4ro4ert% i alienate# to t e $re#itor in ati +a$tiono+ a #ebt in ,one%' all be go&erne# b% t e la o+ ale . (n)

Art. 1036. en t e obligation $on i t in t e #eli&er% o+ an in#eter,inate or generi$t ing' o e ;"alit% an# $ir$", tan$e a&e not been tate#' t e $re#itor $annot #e,an#a t ing o+ "4erior ;"alit%. Neit er $an t e #ebtor #eli&er a t ing o+ in+erior ;"alit%. T e4"r4o e o+ t e obligation an# ot er $ir$", tan$e all be ta:en into $on i#eration.(116*a)

Art. 103*. >nle it i ot er i e ti4"late#' t e e9tra!"#i$ial e94en e re;"ire# b% t e4a%,ent all be +or t e a$$o"nt o+ t e #ebtor. it regar# to !"#i$ial $o t ' t e R"le o+Co"rt all go&ern. (1167a)

Art. 1037. >nle t ere i an e94re ti4"lation to t at e=e$t' t e $re#itor $annot be$o,4elle# 4artiall% to re$ei&e t e 4re tation in i$ t e obligation $on i t . Neit er ,a%


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t e #ebtor be re;"ire# to ,a:e 4artial 4a%,ent .

Ho e&er' en t e #ebt i in 4art li;"i#ate# an# in 4art "nli;"i#ate#' t e $re#itor ,a%#e,an# an# t e #ebtor ,a% e=e$t t e 4a%,ent o+ t e +or,er it o"t aiting +or t eli;"i#ation o+ t e latter. (1168a)

Art. 1038. T e 4a%,ent o+ #ebt in ,one% all be ,a#e in t e $"rren$% ti4"late#' an# i+it i not 4o ible to #eli&er "$ $"rren$%' t en in t e $"rren$% i$ i legal ten#er in t eP ili44ine .

T e #eli&er% o+ 4ro,i or% note 4a%able to or#er' or bill o+ e9$ ange or ot er ,er$antile#o$",ent all 4ro#"$e t e e=e$t o+ 4a%,ent onl% en t e% a&e been $a e#' or

en t ro"g t e +a"lt o+ t e $re#itor t e% a&e been i,4aire#.

In t e ,eanti,e' t e a$tion #eri&e# +ro, t e original obligation all be el# in t eabe%an$e. (11* )

Art. 105 . In $a e an e9traor#inar% inJation or #eJation o+ t e $"rren$% ti4"late# o"l#"4er&ene' t e &al"e o+ t e $"rren$% at t e ti,e o+ t e e tabli ,ent o+ t e obligation

all be t e ba i o+ 4a%,ent' "nle t ere i an agree,ent to t e $ontrar%. (n)

Art. 1051. Pa%,ent all be ,a#e in t e 4la$e #e ignate# in t e obligation.

T ere being no e94re ti4"lation an# i+ t e "n#erta:ing i to #eli&er a #eter,inate t ing't e 4a%,ent all be ,a#e ere&er t e t ing ,ig t be at t e ,o,ent t e obligation a$on tit"te#.

In an% ot er $a e t e 4la$e o+ 4a%,ent all be t e #o,i$ile o+ t e #ebtor.

I+ t e #ebtor $ ange i #o,i$ile in ba# +ait or a+ter e a in$"rre# in #ela%' t ea##itional e94en e all be borne b% i,.

T e e 4ro&i ion are it o"t 4re!"#i$e to &en"e "n#er t e R"le o+ Co"rt. (11*1a)

S>BSECTION 1. - A44li$ation o+ Pa%,ent

Art. 1050. He o a &ario" #ebt o+ t e a,e :in# in +a&or o+ one an# t e a,e$re#itor' ,a% #e$lare at t e ti,e o+ ,a:ing t e 4a%,ent' to i$ o+ t e, t e a,e ," tbe a44lie#. >nle t e 4artie o ti4"late' or en t e a44li$ation o+ 4a%,ent i ,a#e b%t e 4art% +or o e bene t t e ter, a been $on tit"te#' a44li$ation all not be ,a#ea to #ebt i$ are not %et #"e.

I+ t e #ebtor a$$e4t +ro, t e $re#itor a re$ei4t in i$ an a44li$ation o+ t e 4a%,ent i,a#e' t e +or,er $annot $o,4lain o+ t e a,e' "nle t ere i a $a" e +or in&ali#ating t e$ontra$t. (11*0a)

Art. 105 . I+ t e #ebt 4ro#"$e intere t' 4a%,ent o+ t e 4rin$i4al all not be #ee,e# toa&e been ,a#e "ntil t e intere t a&e been $o&ere#. (11* )

Art. 1053. en t e 4a%,ent $annot be a44lie# in a$$or#an$e it t e 4re$e#ing r"le ' or


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i+ a44li$ation $an not be in+erre# +ro, ot er $ir$", tan$e ' t e #ebt i$ i ,o tonero" to t e #ebtor' a,ong t o e #"e' all be #ee,e# to a&e been ati e#.

I+ t e #ebt #"e are o+ t e a,e nat"re an# b"r#en' t e 4a%,ent all be a44lie# to all o+t e, 4ro4ortionatel%. (11*3a)

S>BSECTION 0. - Pa%,ent b% Ce ion

Art. 1055. T e #ebtor ,a% $e#e or a ign i 4ro4ert% to i $re#itor in 4a%,ent o+ i#ebt . T i $e ion' "nle t ere i ti4"lation to t e $ontrar%' all onl% relea e t e #ebtor+ro, re 4on ibilit% +or t e net 4ro$ee# o+ t e t ing a igne#. T e agree,ent i$ ' ont e e=e$t o+ t e $e ion' are ,a#e bet een t e #ebtor an# i $re#itor all be go&erne#b% 4e$ial la . (11*5a)

S>BSECTION . - Ten#er o+ Pa%,ent an# Con ignation

Art. 1056. I+ t e $re#itor to o, ten#er o+ 4a%,ent a been ,a#e re+" e it o"t !" t$a" e to a$$e4t it' t e #ebtor all be relea e# +ro, re 4on ibilit% b% t e $on ignation o+t e t ing or ", #"e.

Con ignation alone all 4ro#"$e t e a,e e=e$t in t e +ollo ing $a e

(1) en t e $re#itor i ab ent or "n:no n' or #oe not a44ear at t e 4la$e o+ 4a%,ent/

(0) en e i in$a4a$itate# to re$ei&e t e 4a%,ent at t e ti,e it i #"e/

( ) en' it o"t !" t $a" e' e re+" e to gi&e a re$ei4t/

(3) en t o or ,ore 4er on $lai, t e a,e rig t to $olle$t/

(5) en t e title o+ t e obligation a been lo t. (11*6a)

Art. 105*. In or#er t at t e $on ignation o+ t e t ing #"e ,a% relea e t e obligor' it ," tr t be anno"n$e# to t e 4er on intere te# in t e +"l ll,ent o+ t e obligation.

T e $on ignation all be ine=e$t"al i+ it i not ,a#e tri$tl% in $on onan$e it t e4ro&i ion i$ reg"late 4a%,ent. (11**)

Art. 1057. Con ignation all be ,a#e b% #e4o iting t e t ing #"e at t e #i 4o al o+ !"#i$ial a"t orit%' be+ore o, t e ten#er o+ 4a%,ent all be 4ro&e#' in a 4ro4er $a e'an# t e anno"n$e,ent o+ t e $on ignation in ot er $a e .

T e $on ignation a&ing been ,a#e' t e intere te# 4artie all al o be noti e# t ereo+.(11*7)

Art. 1058. T e e94en e o+ $on ignation' en 4ro4erl% ,a#e' all be $ arge# again tt e $re#itor. (11*7)

Art. 106 . On$e t e $on ignation a been #"l% ,a#e' t e #ebtor ,a% a : t e !"#ge toor#er t e $an$ellation o+ t e obligation.


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Be+ore t e $re#itor a a$$e4te# t e $on ignation' or be+ore a !"#i$ial #e$laration t at t e$on ignation a been 4ro4erl% ,a#e' t e #ebtor ,a% it #ra t e t ing or t e ",#e4o ite#' allo ing t e obligation to re,ain in +or$e. (117 )

Art. 1061. I+' t e $on ignation a&ing been ,a#e' t e $re#itor o"l# a"t ori e t e #ebtorto it #ra t e a,e' e all lo e e&er% 4re+eren$e i$ e ,a% a&e o&er t e t ing.

T e $o-#ebtor ' g"arantor an# "retie all be relea e#. (1171a)

SECTION 0. - Lo o+ t e T ing ?"e

Art. 1060. An obligation i$ $on i t in t e #eli&er% o+ a #eter,inate t ing all bee9ting"i e# i+ it o"l# be lo t or #e tro%e# it o"t t e +a"lt o+ t e #ebtor' an# be+ore e

a in$"rre# in #ela%.

en b% la or ti4"lation' t e obligor i liable e&en +or +ort"ito" e&ent ' t e lo o+ t et ing #oe not e9ting"i t e obligation' an# e all be re 4on ible +or #a,age . T e

a,e r"le a44lie en t e nat"re o+ t e obligation re;"ire t e a ",4tion o+ ri :.(1170a)

Art. 106 . In an obligation to #eli&er a generi$ t ing' t e lo or #e tr"$tion o+ an%t ing o+t e a,e :in# #oe not e9ting"i t e obligation. (n)

Art. 1063. T e $o"rt all #eter,ine et er' "n#er t e $ir$", tan$e ' t e 4artial lo o+ t e ob!e$t o+ t e obligation i o i,4ortant a to e9ting"i t e obligation. (n)

Art. 1065. ene&er t e t ing i lo t in t e 4o e ion o+ t e #ebtor' it all be 4re ",e#t at t e lo a #"e to i +a"lt' "nle t ere i 4roo+ to t e $ontrar%' an# it o"t4re!"#i$e to t e 4ro&i ion o+ arti$le 1165. T i 4re ",4tion #oe not a44l% in $a e o+eart ;"a:e' Joo#' tor,' or ot er nat"ral $ala,it%. (117 a)

Art. 1066. T e #ebtor in obligation to #o all al o be relea e# en t e 4re tationbe$o,e legall% or 4 % i$all% i,4o ible it o"t t e +a"lt o+ t e obligor. (1173a)

Art. 106*. en t e er&i$e a be$o,e o #iD$"lt a to be ,ani+e tl% be%on# t e$onte,4lation o+ t e 4artie ' t e obligor ,a% al o be relea e# t ere+ro,' in ole or in4art. (n)

Art. 1067. en t e #ebt o+ a t ing $ertain an# #eter,inate 4ro$ee# +ro, a $ri,inalo=en e' t e #ebtor all not be e9e,4te# +ro, t e 4a%,ent o+ it 4ri$e' ate&er ,a% bet e $a" e +or t e lo ' "nle t e t ing a&ing been o=ere# b% i, to t e 4er on o

o"l# re$ei&e it' t e latter re+" e# it o"t !" ti $ation to a$$e4t it. (1175)

Art. 1068. T e obligation a&ing been e9ting"i e# b% t e lo o+ t e t ing' t e $re#itorall a&e all t e rig t o+ a$tion i$ t e #ebtor ,a% a&e again t t ir# 4er on b%

rea on o+ t e lo . (1176)

SECTION . - Con#onation or Re,i ion o+ t e ?ebt

Art. 10* . Con#onation or re,i ion i e entiall% grat"ito" ' an# re;"ire t e a$$e4tan$e


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b% t e obligor. It ,a% be ,a#e e94re l% or i,4lie#l%.

One an# t e ot er :in# all be "b!e$t to t e r"le i$ go&ern inoD$io" #onation .E94re $on#onation all' +"rt er,ore' $o,4l% it t e +or, o+ #onation. (117*)

Art. 10*1. T e #eli&er% o+ a 4ri&ate #o$",ent e&i#en$ing a $re#it' ,a#e &ol"ntaril% b% t e$re#itor to t e #ebtor' i,4lie t e ren"n$iation o+ t e a$tion i$ t e +or,er a# again tt e latter.

I+ in or#er to n"lli+% t i ai&er it o"l# be $lai,e# to be inoD$io" ' t e #ebtor an# ieir ,a% "4 ol# it b% 4ro&ing t at t e #eli&er% o+ t e #o$",ent a ,a#e in &irt"e o+

4a%,ent o+ t e #ebt. (1177)

Art. 10*0. ene&er t e 4ri&ate #o$",ent in i$ t e #ebt a44ear i +o"n# in t e4o e ion o+ t e #ebtor' it all be 4re ",e# t at t e $re#itor #eli&ere# it &ol"ntaril%'"nle t e $ontrar% i 4ro&e#. (1178)

Art. 10* . T e ren"n$iation o+ t e 4rin$i4al #ebt all e9ting"i t e a$$e or% obligation /b"t t e ai&er o+ t e latter all lea&e t e +or,er in +or$e. (118 )

Art. 10*3. It i 4re ",e# t at t e a$$e or% obligation o+ 4le#ge a been re,itte# ent e t ing 4le#ge#' a+ter it #eli&er% to t e $re#itor' i +o"n# in t e 4o e ion o+ t e#ebtor' or o+ a t ir# 4er on o o n t e t ing. (1181a)

SECTION 3. - Con+" ion or Ferger o+ Rig t

Art. 10*5. T e obligation i e9ting"i e# +ro, t e ti,e t e $ ara$ter o+ $re#itor an##ebtor are ,erge# in t e a,e 4er on. (1180a)

Art. 10*6. Ferger i$ ta:e 4la$e in t e 4er on o+ t e 4rin$i4al #ebtor or $re#itorbene t t e g"arantor . Con+" ion i$ ta:e 4la$e in t e 4er on o+ an% o+ t e latter#oe not e9ting"i t e obligation. (118 )

Art. 10**. Con+" ion #oe not e9ting"i a !oint obligation e9$e4t a regar# t e are$orre 4on#ing to t e $re#itor or #ebtor in o, t e t o $ ara$ter $on$"r. (1183)

SECTION 5. - Co,4en ation

Art. 10*7. Co,4en ation all ta:e 4la$e en t o 4er on ' in t eir o n rig t' are$re#itor an# #ebtor o+ ea$ ot er. (1185)

Art. 10*8. In or#er t at $o,4en ation ,a% be 4ro4er' it i ne$e ar%

(1) T at ea$ one o+ t e obligor be bo"n# 4rin$i4all%' an# t at e be at t e a,e ti,e a4rin$i4al $re#itor o+ t e ot er/

(0) T at bot #ebt $on i t in a ", o+ ,one%' or i+ t e t ing #"e are $on ",able' t e%be o+ t e a,e :in#' an# al o o+ t e a,e ;"alit% i+ t e latter a been tate#/

( ) T at t e t o #ebt be #"e/


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(3) T at t e% be li;"i#ate# an# #e,an#able/

(5) T at o&er neit er o+ t e, t ere be an% retention or $ontro&er %' $o,,en$e# b% t ir#4er on an# $o,,"ni$ate# in #"e ti,e to t e #ebtor. (1186)

Art. 107 . Not it tan#ing t e 4ro&i ion o+ t e 4re$e#ing arti$le' t e g"arantor ,a% et"4 $o,4en ation a regar# at t e $re#itor ,a% o e t e 4rin$i4al #ebtor. (118*)

Art. 1071. Co,4en ation ,a% be total or 4artial. en t e t o #ebt are o+ t e a,ea,o"nt' t ere i a total $o,4en ation. (n)

Art. 1070. T e 4artie ,a% agree "4on t e $o,4en ation o+ #ebt i$ are not %et #"e.(n)

Art. 107 . I+ one o+ t e 4artie to a "it o&er an obligation a a $lai, +or #a,age again tt e ot er' t e +or,er ,a% et it o= b% 4ro&ing i rig t to ai# #a,age an# t e a,o"ntt ereo+. (n)

Art. 1073. en one or bot #ebt are re $i ible or &oi#able' t e% ,a% be $o,4en ate#again t ea$ ot er be+ore t e% are !"#i$iall% re $in#e# or a&oi#e#. (n)

Art. 1075. T e #ebtor o a $on ente# to t e a ign,ent o+ rig t ,a#e b% a $re#itor in+a&or o+ a t ir# 4er on' $annot et "4 again t t e a ignee t e $o,4en ation i$ o"l#4ertain to i, again t t e a ignor' "nle t e a ignor a noti e# b% t e #ebtor at t eti,e e ga&e i $on ent' t at e re er&e# i rig t to t e $o,4en ation.

I+ t e $re#itor $o,,"ni$ate# t e $e ion to i, b"t t e #ebtor #i# not $on ent t ereto't e latter ,a% et "4 t e $o,4en ation o+ #ebt 4re&io" to t e $e ion' b"t not o+

"b e;"ent one .

I+ t e a ign,ent i ,a#e it o"t t e :no le#ge o+ t e #ebtor' e ,a% et "4 t e$o,4en ation o+ all $re#it 4rior to t e a,e an# al o later one "ntil e a# :no le#ge o+ t e a ign,ent. (1187a)

Art. 1076. Co,4en ation ta:e 4la$e b% o4eration o+ la ' e&en t o"g t e #ebt ,a% be4a%able at #i=erent 4la$e ' b"t t ere all be an in#e,nit% +or e94en e o+ e9$ ange ortran 4ortation to t e 4la$e o+ 4a%,ent. (1188a)

Art. 107*. Co,4en ation all not be 4ro4er en one o+ t e #ebt ari e +ro, a#e4o it", or +ro, t e obligation o+ a #e4o itar% or o+ a bailee in $o,,o#at",.

Neit er $an $o,4en ation be et "4 again t a $re#itor o a a $lai, +or "44ort #"e b%grat"ito" title' it o"t 4re!"#i$e to t e 4ro&i ion o+ 4aragra4 0 o+ Arti$le 1. (10 a)

Art. 1077. Neit er all t ere be $o,4en ation i+ one o+ t e #ebt $on i t in $i&il liabilit%ari ing +ro, a 4enal o=en e. (n)

Art. 1078. I+ a 4er on o"l# a&e again t i, e&eral #ebt i$ are " $e4tible o+$o,4en ation' t e r"le on t e a44li$ation o+ 4a%,ent all a44l% to t e or#er o+ t e


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$o,4en ation. (10 1)

Art. 108 . en all t e re;"i ite ,entione# in Arti$le 10*8 are 4re ent' $o,4en ationta:e e=e$t b% o4eration o+ la ' an# e9ting"i e bot #ebt to t e $on$"rrent a,o"nt'e&en t o"g t e $re#itor an# #ebtor are not a are o+ t e $o,4en ation. (10 0a)

SECTION 6. - No&ation

Art. 1081. Obligation ,a% be ,o#i e# b%

(1) C anging t eir ob!e$t or 4rin$i4al $on#ition /

(0) S"b tit"ting t e 4er on o+ t e #ebtor/

( ) S"brogating a t ir# 4er on in t e rig t o+ t e $re#itor. (10 )

Art. 1080. In or#er t at an obligation ,a% be e9ting"i e# b% anot er i$ "b tit"te t ea,e' it i i,4erati&e t at it be o #e$lare# in "ne;"i&o$al ter, ' or t at t e ol# an# t e

ne obligation be on e&er% 4oint in$o,4atible it ea$ ot er. (10 3)

Art. 108 . No&ation i$ $on i t in "b tit"ting a ne #ebtor in t e 4la$e o+ t e originalone' ,a% be ,a#e e&en it o"t t e :no le#ge or again t t e ill o+ t e latter' b"t not

it o"t t e $on ent o+ t e $re#itor. Pa%,ent b% t e ne #ebtor gi&e i, t e rig t,entione# in Arti$le 10 6 an# 10 *. (10 5a)

Art. 1083. I+ t e "b tit"tion i it o"t t e :no le#ge or again t t e ill o+ t e #ebtor' t ene #ebtor in ol&en$% or non-+"l ll,ent o+ t e obligation all not gi&e ri e to an%liabilit% on t e 4art o+ t e original #ebtor. (n)

Art. 1085. T e in ol&en$% o+ t e ne #ebtor' o a been 4ro4o e# b% t e original #ebtoran# a$$e4te# b% t e $re#itor' all not re&i&e t e a$tion o+ t e latter again t t e originalobligor' e9$e4t en ai# in ol&en$% a alrea#% e9i ting an# o+ 4"bli$ :no le#ge' or:no n to t e #ebtor' en t e #elegate# i #ebt. (10 6a)

Art. 1086. en t e 4rin$i4al obligation i e9ting"i e# in $on e;"en$e o+ a no&ation'a$$e or% obligation ,a% "b i t onl% in o+ar a t e% ,a% bene t t ir# 4er on o #i#not gi&e t eir $on ent. (10 *)

Art. 108*. I+ t e ne obligation i &oi#' t e original one all "b i t' "nle t e 4artieinten#e# t at t e +or,er relation o"l# be e9ting"i e# in an% e&ent. (n)

Art. 1087. T e no&ation i &oi# i+ t e original obligation a &oi#' e9$e4t en ann"l,ent,a% be $lai,e# onl% b% t e #ebtor or en rati $ation &ali#ate a$t i$ are &oi#able.(10 7a)

Art. 1088. I+ t e original obligation a "b!e$t to a " 4en i&e or re ol"tor% $on#ition' t ene obligation all be "n#er t e a,e $on#ition' "nle it i ot er i e ti4"late#. (n)

Art. 1 . S"brogation o+ a t ir# 4er on in t e rig t o+ t e $re#itor i eit er legal or$on&entional. T e +or,er i not 4re ",e#' e9$e4t in $a e e94re l% ,entione# in t i


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Co#e/ t e latter ," t be $learl% e tabli e# in or#er t at it ,a% ta:e e=e$t. (10 8a)

Art. 1 1. Con&entional "brogation o+ a t ir# 4er on re;"ire t e $on ent o+ t e original4artie an# o+ t e t ir# 4er on. (n)

Art. 1 0. It i 4re ",e# t at t ere i legal "brogation

(1) en a $re#itor 4a% anot er $re#itor o i 4re+erre#' e&en it o"t t e #ebtor:no le#ge/

(0) en a t ir# 4er on' not intere te# in t e obligation' 4a% it t e e94re or ta$ita44ro&al o+ t e #ebtor/

( ) en' e&en it o"t t e :no le#ge o+ t e #ebtor' a 4er on intere te# in t e +"l ll,ento+ t e obligation 4a% ' it o"t 4re!"#i$e to t e e=e$t o+ $on+" ion a to t e latter are.(101 a)Art. 1 . S"brogation tran +er to t e 4er on "brogate# t e $re#it it all t e rig tt ereto a44ertaining' eit er again t t e #ebtor or again t t ir# 4er on' be t e% g"arantoror 4o e or o+ ,ortgage ' "b!e$t to ti4"lation in a $on&entional "brogation. (1010a)

Art. 1 3. A $re#itor' to o, 4artial 4a%,ent a been ,a#e' ,a% e9er$i e i rig t +ort e re,ain#er' an# e all be 4re+erre# to t e 4er on o a been "brogate# in i4la$e in &irt"e o+ t e 4artial 4a%,ent o+ t e a,e $re#it. (101 )

Title II. - CONTRACTSCHAPTER 1GENERAL PROVISIONS

Art. 1 5. A $ontra$t i a ,eeting o+ ,in# bet een t o 4er on ereb% one bin#i, el+' it re 4e$t to t e ot er' to gi&e o,et ing or to ren#er o,e er&i$e. (1053a)

Art. 1 6. T e $ontra$ting 4artie ,a% e tabli "$ ti4"lation ' $la" e ' ter, an#$on#ition a t e% ,a% #ee, $on&enient' 4ro&i#e# t e% are not $ontrar% to la ' ,oral 'goo# $" to, ' 4"bli$ or#er' or 4"bli$ 4oli$%. (1055a)

Art. 1 *. Inno,inate $ontra$t all be reg"late# b% t e ti4"lation o+ t e 4artie ' b% t e4ro&i ion o+ Title I an# II o+ t i Boo:' b% t e r"le go&erning t e ,o t analogo"no,inate $ontra$t ' an# b% t e $" to, o+ t e 4la$e. (n)

Art. 1 7. T e $ontra$t ," t bin# bot $ontra$ting 4artie / it &ali#it% or $o,4lian$e$annot be le+t to t e ill o+ one o+ t e,. (1056a)

Art. 1 8. T e #eter,ination o+ t e 4er+or,an$e ,a% be le+t to a t ir# 4er on' o e#e$i ion all not be bin#ing "ntil it a been ,a#e :no n to bot $ontra$ting 4artie . (n)

Art. 1 1 . T e #eter,ination all not be obligator% i+ it i e&i#entl% ine;"itable. In "$$a e' t e $o"rt all #e$i#e at i e;"itable "n#er t e $ir$", tan$e . (n)

Art. 1 11. Contra$t ta:e e=e$t onl% bet een t e 4artie ' t eir a ign an# eir ' e9$e4tin $a e ere t e rig t an# obligation ari ing +ro, t e $ontra$t are not tran ,i ible b%t eir nat"re' or b% ti4"lation or b% 4ro&i ion o+ la . T e eir i not liable be%on# t e &al"e
http://obligationscontracts.blogspot.com/2008/03/title-ii-contracts.htmlhttp://obligationscontracts.blogspot.com/2008/03/title-ii-contracts.html


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o+ t e 4ro4ert% e re$ei&e# +ro, t e #e$e#ent.

I+ a $ontra$t o"l# $ontain o,e ti4"lation in +a&or o+ a t ir# 4er on' e ,a% #e,an# it+"l ll,ent 4ro&i#e# e $o,,"ni$ate# i a$$e4tan$e to t e obligor be+ore it re&o$ation.A ,ere in$i#ental bene t or intere t o+ a 4er on i not "D$ient. T e $ontra$ting 4artie," t a&e $learl% an# #eliberatel% $on+erre# a +a&or "4on a t ir# 4er on. (105*a)

Art. 1 10. In $ontra$t $reating real rig t ' t ir# 4er on o $o,e into 4o e ion o+ t eob!e$t o+ t e $ontra$t are bo"n# t ereb%' "b!e$t to t e 4ro&i ion o+ t e Fortgage Laan# t e Lan# Regi tration La . (n)

Art. 1 1 . Cre#itor are 4rote$te# in $a e o+ $ontra$t inten#e# to #e+ra"# t e,. (n)

Art. 1 13. An% t ir# 4er on o in#"$e anot er to &iolate i $ontra$t all be liable +or#a,age to t e ot er $ontra$ting 4art%. (n)

Art. 1 15. Contra$t are 4er+e$te# b% ,ere $on ent' an# +ro, t at ,o,ent t e 4artie arebo"n# not onl% to t e +"l ll,ent o+ at a been e94re l% ti4"late# b"t al o to all t e$on e;"en$e i$ ' a$$or#ing to t eir nat"re' ,a% be in :ee4ing it goo# +ait ' " agean# la . (1057)

Art. 1 16. Real $ontra$t ' "$ a #e4o it' 4le#ge an# Co,,o#at",' are not 4er+e$te#"ntil t e #eli&er% o+ t e ob!e$t o+ t e obligation. (n)

Art. 1 1*. No one ,a% $ontra$t in t e na,e o+ anot er it o"t being a"t ori e# b% t elatter' or "nle e a b% la a rig t to re4re ent i,.

A $ontra$t entere# into in t e na,e o+ anot er b% one o a no a"t orit% or legalre4re entation' or o a a$te# be%on# i 4o er ' all be "nen+or$eable' "nle it irati e#' e94re l% or i,4lie#l%' b% t e 4er on on o e be al+ it a been e9e$"te#'be+ore it i re&o:e# b% t e ot er $ontra$ting 4art%. (1058a)CHAPTER 0ESSENTIAL RE2>ISITES O@ CONTRACTSGENERAL PROVISIONS

Art. 1 17. T ere i no $ontra$t "nle t e +ollo ing re;"i ite $on$"r

(1) Con ent o+ t e $ontra$ting 4artie /

(0) Ob!e$t $ertain i$ i t e "b!e$t ,atter o+ t e $ontra$t/

( ) Ca" e o+ t e obligation i$ i e tabli e#. (1061)

SECTION 1. - Con ent

Art. 1 18. Con ent i ,ani+e te# b% t e ,eeting o+ t e o=er an# t e a$$e4tan$e "4on t et ing an# t e $a" e i$ are to $on tit"te t e $ontra$t. T e o=er ," t be $ertain an# t ea$$e4tan$e ab ol"te. A ;"ali e# a$$e4tan$e $on tit"te a $o"nter-o=er.

A$$e4tan$e ,a#e b% letter or telegra, #oe not bin# t e o=erer e9$e4t +ro, t e ti,e it


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$a,e to i :no le#ge. T e $ontra$t' in "$ a $a e' i 4re ",e# to a&e been entere#into in t e 4la$e ere t e o=er a ,a#e. (1060a)

Art. 1 0 . An a$$e4tan$e ,a% be e94re or i,4lie#. (n)

Art. 1 01. T e 4er on ,a:ing t e o=er ,a% 9 t e ti,e' 4la$e' an# ,anner o+a$$e4tan$e' all o+ i$ ," t be $o,4lie# it . (n)

Art. 1 00. An o=er ,a#e t ro"g an agent i a$$e4te# +ro, t e ti,e a$$e4tan$e i$o,,"ni$ate# to i,. (n)

Art. 1 0 . An o=er be$o,e ine=e$ti&e "4on t e #eat ' $i&il inter#i$tion' in anit%' orin ol&en$% o+ eit er 4art% be+ore a$$e4tan$e i $on&e%e#. (n)

Art. 1 03. en t e o=erer a allo e# t e o=eree a $ertain 4erio# to a$$e4t' t e o=er,a% be it #ra n at an% ti,e be+ore a$$e4tan$e b% $o,,"ni$ating "$ it #ra al'e9$e4t en t e o4tion i +o"n#e# "4on a $on i#eration' a o,et ing 4ai# or 4ro,i e#.(n)

Art. 1 05. >nle it a44ear ot er i e' b" ine a#&erti e,ent o+ t ing +or ale are not#e nite o=er ' b"t ,ere in&itation to ,a:e an o=er. (n)

Art. 1 06. A#&erti e,ent +or bi##er are i,4l% in&itation to ,a:e 4ro4o al ' an# t ea#&erti er i not bo"n# to a$$e4t t e ig e t or lo e t bi##er' "nle t e $ontrar%a44ear . (n)

Art. 1 0*. T e +ollo ing $annot gi&e $on ent to a $ontra$t

(1) >ne,an$i4ate# ,inor /

(0) In ane or #e,ente# 4er on ' an# #ea+-,"te o #o not :no o to rite. (106 a)Art. 1 07. Contra$t entere# into #"ring a l"$i# inter&al are &ali#. Contra$t agree# to in a

tate o+ #r"n:enne or #"ring a %4noti$ 4ell are &oi#able. (n)

Art. 1 08. T e in$a4a$it% #e$lare# in Arti$le 1 0* i "b!e$t to t e ,o#i $ation#eter,ine# b% la ' an# i "n#er too# to be it o"t 4re!"#i$e to 4e$ial #i ;"ali $atione tabli e# in t e la . (1063)

Art. 1 . A $ontra$t ere $on ent i gi&en t ro"g ,i ta:e' &iolen$e' inti,i#ation'"n#"e inJ"en$e' or +ra"# i &oi#able. (1065a)

Art. 1 1. In or#er t at ,i ta:e ,a% in&ali#ate $on ent' it o"l# re+er to t e "b tan$e o+t e t ing i$ i t e ob!e$t o+ t e $ontra$t' or to t o e $on#ition i$ a&e 4rin$i4all%,o&e# one or bot 4artie to enter into t e $ontra$t.

Fi ta:e a to t e i#entit% or ;"ali $ation o+ one o+ t e 4artie ill &itiate $on ent onl%en "$ i#entit% or ;"ali $ation a&e been t e 4rin$i4al $a" e o+ t e $ontra$t.

A i,4le ,i ta:e o+ a$$o"nt all gi&e ri e to it $orre$tion. (1066a)


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Art. 1 0. en one o+ t e 4artie i "nable to rea#' or i+ t e $ontra$t i in a lang"age not"n#er too# b% i,' an# ,i ta:e or +ra"# i allege#' t e 4er on en+or$ing t e $ontra$t," t o t at t e ter, t ereo+ a&e been +"ll% e94laine# to t e +or,er. (n)

Art. 1 . T ere i no ,i ta:e i+ t e 4art% alleging it :ne t e #o"bt' $ontingen$% or ri :a=e$ting t e ob!e$t o+ t e $ontra$t. (n)

Art. 1 3. F"t"al error a to t e legal e=e$t o+ an agree,ent en t e real 4"r4o e o+ t e4artie i +r" trate#' ,a% &itiate $on ent. (n)

Art. 1 5. T ere i &iolen$e en in or#er to re t $on ent' erio" or irre i tible +or$e ie,4lo%e#.

T ere i inti,i#ation en one o+ t e $ontra$ting 4artie i $o,4elle# b% a rea onable an#ell-gro"n#e# +ear o+ an i,,inent an# gra&e e&il "4on i 4er on or 4ro4ert%' or "4on t e

4er on or 4ro4ert% o+ i 4o" e' #e $en#ant or a $en#ant ' to gi&e i $on ent.

To #eter,ine t e #egree o+ inti,i#ation' t e age' e9 an# $on#ition o+ t e 4er on all beborne in ,in#.

A t reat to en+or$e one $lai, t ro"g $o,4etent a"t orit%' i+ t e $lai, i !" t or legal'#oe not &itiate $on ent. (106*a)

Art. 1 6. Violen$e or inti,i#ation all ann"l t e obligation' alt o"g it ,a% a&e beene,4lo%e# b% a t ir# 4er on o #i# not ta:e 4art in t e $ontra$t. (1067)

Art. 1 *. T ere i "n#"e inJ"en$e en a 4er on ta:e i,4ro4er a#&antage o+ i 4o ero&er t e ill o+ anot er' #e4ri&ing t e latter o+ a rea onable +ree#o, o+ $ oi$e. T e+ollo ing $ir$", tan$e all be $on i#ere# t e $on #ential' +a,il%' 4irit"al an# ot errelation bet een t e 4artie ' or t e +a$t t at t e 4er on allege# to a&e been "n#"l%inJ"en$e# a "=ering +ro, ,ental ea:ne ' or a ignorant or in nan$ial #i tre . (n)

Art. 1 7. T ere i +ra"# en' t ro"g in i#io" or# or ,a$ ination o+ one o+ t e$ontra$ting 4artie ' t e ot er i in#"$e# to enter into a $ontra$t i$ ' it o"t t e,' e

o"l# not a&e agree# to. (1068)

Art. 1 8. @ail"re to #i $lo e +a$t ' en t ere i a #"t% to re&eal t e,' a en t e4artie are bo"n# b% $on #ential relation ' $on tit"te +ra"#. (n)

Art. 1 3 . T e " "al e9aggeration in tra#e' en t e ot er 4art% a# an o44ort"nit% to:no t e +a$t ' are not in t e, el&e +ra"#"lent. (n)

Art. 1 31. A ,ere e94re ion o+ an o4inion #oe not igni+% +ra"#' "nle ,a#e b% ane94ert an# t e ot er 4art% a relie# on t e +or,er 4e$ial :no le#ge. (n)

Art. 1 30. Fi re4re entation b% a t ir# 4er on #oe not &itiate $on ent' "nle "$,i re4re entation a $reate# "b tantial ,i ta:e an# t e a,e i ,"t"al. (n)

Art. 1 3 . Fi re4re entation ,a#e in goo# +ait i not +ra"#"lent b"t ,a% $on tit"te error.(n)


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Art. 1 33. In or#er t at +ra"# ,a% ,a:e a $ontra$t &oi#able' it o"l# be erio" an#o"l# not a&e been e,4lo%e# b% bot $ontra$ting 4artie .

In$i#ental +ra"# onl% oblige t e 4er on e,4lo%ing it to 4a% #a,age . (10* )

Art. 1 35. Si,"lation o+ a $ontra$t ,a% be ab ol"te or relati&e. T e +or,er ta:e 4la$een t e 4artie #o not inten# to be bo"n# at all/ t e latter' en t e 4artie $on$eal

t eir tr"e agree,ent. (n)

Art. 1 36. An ab ol"tel% i,"late# or $titio" $ontra$t i &oi#. A relati&e i,"lation' enit #oe not 4re!"#i$e a t ir# 4er on an# i not inten#e# +or an% 4"r4o e $ontrar% to la ',oral ' goo# $" to, ' 4"bli$ or#er or 4"bli$ 4oli$% bin# t e 4artie to t eir realagree,ent. (n)

SECTION 0. - Ob!e$t o+ Contra$t

Art. 1 3*. All t ing i$ are not o"t i#e t e $o,,er$e o+ ,en' in$l"#ing +"t"re t ing ',a% be t e ob!e$t o+ a $ontra$t. All rig t i$ are not intran ,i ible ,a% al o be t eob!e$t o+ $ontra$t .

No $ontra$t ,a% be entere# into "4on +"t"re in eritan$e e9$e4t in $a e e94re l%a"t ori e# b% la .

All er&i$e i$ are not $ontrar% to la ' ,oral ' goo# $" to, ' 4"bli$ or#er or 4"bli$4oli$% ,a% li:e i e be t e ob!e$t o+ a $ontra$t. (10*1a)

Art. 1 37. I,4o ible t ing or er&i$e $annot be t e ob!e$t o+ $ontra$t . (10*0)

Art. 1 38. T e ob!e$t o+ e&er% $ontra$t ," t be #eter,inate a to it :in#. T e +a$t t att e ;"antit% i not #eter,inate all not be an ob ta$le to t e e9i ten$e o+ t e $ontra$t'4ro&i#e# it i 4o ible to #eter,ine t e a,e' it o"t t e nee# o+ a ne $ontra$t bet eent e 4artie . (10* )

SECTION . - Ca" e o+ Contra$t

Art. 1 5 . In onero" $ontra$t t e $a" e i "n#er too# to be' +or ea$ $ontra$ting 4art%'t e 4re tation or 4ro,i e o+ a t ing or er&i$e b% t e ot er/ in re,"nerator% one ' t e

er&i$e or bene t i$ i re,"nerate#/ an# in $ontra$t o+ 4"re bene $en$e' t e ,ereliberalit% o+ t e bene+a$tor. (10*3)

Art. 1 51. T e 4arti$"lar ,oti&e o+ t e 4artie in entering into a $ontra$t are #i=erent+ro, t e $a" e t ereo+. (n)

Art. 1 50. Contra$t it o"t $a" e' or it "nla +"l $a" e' 4ro#"$e no e=e$t ate&er. T e $a" e i "nla +"l i+ it i $ontrar% to la ' ,oral ' goo# $" to, ' 4"bli$ or#er or 4"bli$4oli$%. (10*5a)

Art. 1 5 . T e tate,ent o+ a +al e $a" e in $ontra$t all ren#er t e, &oi#' i+ it o"l#not be 4ro&e# t at t e% ere +o"n#e# "4on anot er $a" e i$ i tr"e an# la +"l. (10*6)


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Art. 1 53. Alt o"g t e $a" e i not tate# in t e $ontra$t' it i 4re ",e# t at it e9i t an#i la +"l' "nle t e #ebtor 4ro&e t e $ontrar%. (10**)

Art. 1 55. E9$e4t in $a e 4e$i e# b% la ' le ion or ina#e;"a$% o+ $a" e all notin&ali#ate a $ontra$t' "nle t ere a been +ra"#' ,i ta:e or "n#"e inJ"en$e. (n)CHAPTER @ORF O@ CONTRACTS

Art. 1 56. Contra$t all be obligator%' in ate&er +or, t e% ,a% a&e been entere#into' 4ro&i#e# all t e e ential re;"i ite +or t eir &ali#it% are 4re ent. Ho e&er' en t ela re;"ire t at a $ontra$t be in o,e +or, in or#er t at it ,a% be &ali# or en+or$eable'or t at a $ontra$t be 4ro&e# in a $ertain a%' t at re;"ire,ent i ab ol"te an#in#i 4en able. In "$ $a e ' t e rig t o+ t e 4artie tate# in t e +ollo ing arti$le $annotbe e9er$i e#. (10*7a)

Art. 1 5*. I+ t e la re;"ire a #o$",ent or ot er 4e$ial +or,' a in t e a$t an#$ontra$t en",erate# in t e +ollo ing arti$le' t e $ontra$ting 4artie ,a% $o,4el ea$ot er to ob er&e t at +or,' on$e t e $ontra$t a been 4er+e$te#. T i rig t ,a% bee9er$i e# i,"ltaneo" l% it t e a$tion "4on t e $ontra$t. (10*8a)

Art. 1 57. T e +ollo ing ," t a44ear in a 4"bli$ #o$",ent

(1) A$t an# $ontra$t i$ a&e +or t eir ob!e$t t e $reation' tran ,i ion' ,o#i $ationor e9ting"i ,ent o+ real rig t o&er i,,o&able 4ro4ert%/ ale o+ real 4ro4ert% or o+ anintere t t erein a go&erne# b% Arti$le 13 ' No. 0' an# 13 5/

(0) T e $e ion' re4"#iation or ren"n$iation o+ ere#itar% rig t or o+ t o e o+ t e $on!"gal4artner i4 o+ gain /

( ) T e 4o er to a#,ini ter 4ro4ert%' or an% ot er 4o er i$ a +or it ob!e$t an a$ta44earing or i$ o"l# a44ear in a 4"bli$ #o$",ent' or o"l# 4re!"#i$e a t ir#4er on/

(3) T e $e ion o+ a$tion or rig t 4ro$ee#ing +ro, an a$t a44earing in a 4"bli$#o$",ent.

All ot er $ontra$t ere t e a,o"nt in&ol&e# e9$ee# &e "n#re# 4e o ," t a44ear inriting' e&en a 4ri&ate one. B"t ale o+ goo# ' $ attel or t ing in a$tion are go&erne#

b% Arti$le ' 13 ' No. 0 an# 13 5. (107 a)e% or# @or, o+ Contra$t

CHAPTER 3RE@ORFATION O@ INSTR>FENTS (n)

Art. 1 58. en' t ere a&ing been a ,eeting o+ t e ,in# o+ t e 4artie to a $ontra$t't eir tr"e intention i not e94re e# in t e in tr",ent 4"r4orting to e,bo#% t eagree,ent' b% rea on o+ ,i ta:e' +ra"#' ine;"itable $on#"$t or a$$i#ent' one o+ t e4artie ,a% a : +or t e re+or,ation o+ t e in tr",ent to t e en# t at "$ tr"e intention,a% be e94re e#.
http://obligationscontracts.blogspot.com/2008/03/chapter-3_1832.htmlhttp://obligationscontracts.blogspot.com/search/label/Form%20of%20Contractshttp://obligationscontracts.blogspot.com/2008/03/chapter-4_5129.htmlhttp://obligationscontracts.blogspot.com/2008/03/chapter-3_1832.htmlhttp://obligationscontracts.blogspot.com/search/label/Form%20of%20Contractshttp://obligationscontracts.blogspot.com/2008/03/chapter-4_5129.html


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I+ ,i ta:e' +ra"#' ine;"itable $on#"$t' or a$$i#ent a 4re&ente# a ,eeting o+ t e ,in# o+ t e 4artie ' t e 4ro4er re,e#% i not re+or,ation o+ t e in tr",ent b"t ann"l,ent o+ t e$ontra$t.

Art. 1 6 . T e 4rin$i4le o+ t e general la on t e re+or,ation o+ in tr",ent are ereb%a#o4te# in o+ar a t e% are not in $onJi$t it t e 4ro&i ion o+ t i Co#e.

Art. 1 61. en a ,"t"al ,i ta:e o+ t e 4artie $a" e t e +ail"re o+ t e in tr",ent to#i $lo e t eir real agree,ent' ai# in tr",ent ,a% be re+or,e#.

Art. 1 60. I+ one 4art% a ,i ta:en an# t e ot er a$te# +ra"#"lentl% or ine;"itabl% in"$ a a% t at t e in tr",ent #oe not o t eir tr"e intention' t e +or,er ,a% a : +or

t e re+or,ation o+ t e in tr",ent.

Art. 1 6 . en one 4art% a ,i ta:en an# t e ot er :ne or belie&e# t at t ein tr",ent #i# not tate t eir real agree,ent' b"t $on$eale# t at +a$t +ro, t e +or,er' t ein tr",ent ,a% be re+or,e#.

Art. 1 63. en t ro"g t e ignoran$e' la$: o+ :ill' negligen$e or ba# +ait on t e 4art o+t e 4er on #ra+ting t e in tr",ent or o+ t e $ler: or t%4i t' t e in tr",ent #oe note94re t e tr"e intention o+ t e 4artie ' t e $o"rt ,a% or#er t at t e in tr",ent bere+or,e#.

Art. 1 65. I+ t o 4artie agree "4on t e ,ortgage or 4le#ge o+ real or 4er onal 4ro4ert%'b"t t e in tr",ent tate t at t e 4ro4ert% i ol# ab ol"tel% or it a rig t o+ re4"r$ a e're+or,ation o+ t e in tr",ent i 4ro4er.

Art. 1 66. T ere all be no re+or,ation in t e +ollo ing $a e

(1) Si,4le #onation inter &i&o erein no $on#ition i i,4o e#/

(0) ill /

( ) en t e real agree,ent i &oi#.

Art. 1 6*. en one o+ t e 4artie a bro"g t an a$tion to en+or$e t e in tr",ent' e$annot "b e;"entl% a : +or it re+or,ation.

Art. 1 67. Re+or,ation ,a% be or#ere# at t e in tan$e o+ eit er 4art% or i "$$e or inintere t' i+ t e ,i ta:e a ,"t"al/ ot er i e' "4on 4etition o+ t e in!"re# 4art%' or i

eir an# a ign .

Art. 1 68. T e 4ro$e#"re +or t e re+or,ation o+ in tr",ent all be go&erne# b% r"le o+$o"rt to be 4ro,"lgate# b% t e S"4re,e Co"rt.CHAPTER 5INTERPRETATION O@ CONTRACTS

Art. 1 * . I+ t e ter, o+ a $ontra$t are $lear an# lea&e no #o"bt "4on t e intention o+ t e$ontra$ting 4artie ' t e literal ,eaning o+ it ti4"lation all $ontrol.


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I+ t e or# a44ear to be $ontrar% to t e e&i#ent intention o+ t e 4artie ' t e latter all4re&ail o&er t e +or,er. (1071)

Art. 1 *1. In or#er to !"#ge t e intention o+ t e $ontra$ting 4artie ' t eir $onte,4oraneo"an# "b e;"ent a$t all be 4rin$i4all% $on i#ere#. (1070)

Art. 1 *0. Ho e&er general t e ter, o+ a $ontra$t ,a% be' t e% all not be "n#er too#to $o,4re en# t ing t at are #i tin$t an# $a e t at are #i=erent +ro, t o e "4on i$t e 4artie inten#e# to agree. (107 )

Art. 1 * . I+ o,e ti4"lation o+ an% $ontra$t o"l# a#,it o+ e&eral ,eaning ' it all be"n#er too# a bearing t at i,4ort i$ i ,o t a#e;"ate to ren#er it e=e$t"al. (1073)

Art. 1 *3. T e &ario" ti4"lation o+ a $ontra$t all be inter4rete# toget er' attrib"tingto t e #o"bt+"l one t at en e i$ ,a% re "lt +ro, all o+ t e, ta:en !ointl%. (1075)

Art. 1 *5. or# i$ ,a% a&e #i=erent igni $ation all be "n#er too# in t at i$i ,o t in :ee4ing it t e nat"re an# ob!e$t o+ t e $ontra$t. (1076)

Art. 1 *6. T e " age or $" to, o+ t e 4la$e all be borne in ,in# in t e inter4retation o+t e a,big"itie o+ a $ontra$t' an# all ll t e o,i ion o+ ti4"lation i$ are or#inaril%e tabli e#. (107*)

Art. 1 **. T e inter4retation o+ ob $"re or# or ti4"lation in a $ontra$t all not +a&ort e 4art% o $a" e# t e ob $"rit%. (1077)

Art. 1 *7. en it i ab ol"tel% i,4o ible to ettle #o"bt b% t e r"le e tabli e# in t e4re$e#ing arti$le ' an# t e #o"bt re+er to in$i#ental $ir$", tan$e o+ a grat"ito"$ontra$t' t e lea t tran ,i ion o+ rig t an# intere t all 4re&ail. I+ t e $ontra$t ionero" ' t e #o"bt all be ettle# in +a&or o+ t e greate t re$i4ro$it% o+ intere t .

I+ t e #o"bt are $a t "4on t e 4rin$i4al ob!e$t o+ t e $ontra$t in "$ a a% t at it $annotbe :no n at ,a% a&e been t e intention or ill o+ t e 4artie ' t e $ontra$t all ben"ll an# &oi#. (1078)

Art. 1 *8. T e 4rin$i4le o+ inter4retation tate# in R"le 10 o+ t e R"le o+ Co"rt allli:e i e be ob er&e# in t e $on tr"$tion o+ $ontra$t . (n)CHAPTER 6RESCISSIBLE CONTRACTS

Art. 1 7 . Contra$t &ali#l% agree# "4on ,a% be re $in#e# in t e $a e e tabli e# b% la .(108 )

Art. 1 71. T e +ollo ing $ontra$t are re $i ible

(1) T o e i$ are entere# into b% g"ar#ian ene&er t e ar# o, t e% re4re ent"=er le ion b% ,ore t an one-+o"rt o+ t e &al"e o+ t e t ing i$ are t e ob!e$t

t ereo+/

(0) T o e agree# "4on in re4re entation o+ ab entee ' i+ t e latter "=er t e le ion tate#


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in t e 4re$e#ing n",ber/

( ) T o e "n#erta:en in +ra"# o+ $re#itor en t e latter $annot in an% ot er ,anner$olle$t t e $lai, #"e t e,/

(3) T o e i$ re+er to t ing "n#er litigation i+ t e% a&e been entere# into b% t e#e+en#ant it o"t t e :no le#ge an# a44ro&al o+ t e litigant or o+ $o,4etent !"#i$iala"t orit%/

(5) All ot er $ontra$t 4e$iall% #e$lare# b% la to be "b!e$t to re $i ion. (1081a)

Art. 1 70. Pa%,ent ,a#e in a tate o+ in ol&en$% +or obligation to o e +"l ll,ent t e#ebtor $o"l# not be $o,4elle# at t e ti,e t e% ere e=e$te#' are al o re $i ible. (1080)

Art. 1 7 . T e a$tion +or re $i ion i "b i#iar%/ it $annot be in tit"te# e9$e4t en t e4art% "=ering #a,age a no ot er legal ,ean to obtain re4aration +or t e a,e. (1083)

Art. 1 73. Re $i ion all be onl% to t e e9tent ne$e ar% to $o&er t e #a,age $a" e#.(n)

Art. 1 75. Re $i ion $reate t e obligation to ret"rn t e t ing i$ ere t e ob!e$t o+t e $ontra$t' toget er it t eir +r"it ' an# t e 4ri$e it it intere t/ $on e;"entl%' it $anbe $arrie# o"t onl% en e o #e,an# re $i ion $an ret"rn ate&er e ,a% beoblige# to re tore.

Neit er all re $i ion ta:e 4la$e en t e t ing i$ are t e ob!e$t o+ t e $ontra$t arelegall% in t e 4o e ion o+ t ir# 4er on o #i# not a$t in ba# +ait .

In t i $a e' in#e,nit% +or #a,age ,a% be #e,an#e# +ro, t e 4er on $a" ing t e lo .(1085)

Art. 1 76. Re $i ion re+erre# to in No . 1 an# 0 o+ Arti$le 1 71 all not ta:e 4la$e itre 4e$t to $ontra$t a44ro&e# b% t e $o"rt . (1086a)

Art. 1 7*. All $ontra$t b% &irt"e o+ i$ t e #ebtor alienate 4ro4ert% b% grat"ito" titleare 4re ",e# to a&e been entere# into in +ra"# o+ $re#itor ' en t e #onor #i# notre er&e "D$ient 4ro4ert% to 4a% all #ebt $ontra$te# be+ore t e #onation.

Alienation b% onero" title are al o 4re ",e# +ra"#"lent en ,a#e b% 4er on again to, o,e !"#g,ent a been i "e#. T e #e$i ion or atta$ ,ent nee# not re+er to t e

4ro4ert% alienate#' an# nee# not a&e been obtaine# b% t e 4art% ee:ing t e re $i ion.

In a##ition to t e e 4re ",4tion ' t e #e ign to #e+ra"# $re#itor ,a% be 4ro&e# in an%ot er ,anner re$ogni e# b% t e la o+ e&i#en$e. (108*a)

Art. 1 77. oe&er a$;"ire in ba# +ait t e t ing alienate# in +ra"# o+ $re#itor ' allin#e,ni+% t e latter +or #a,age "=ere# b% t e, on a$$o"nt o+ t e alienation' ene&er'#"e to an% $a" e' it o"l# be i,4o ible +or i, to ret"rn t e,.

I+ t ere are t o or ,ore alienation ' t e r t a$;"irer all be liable r t' an# o on


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"$$e i&el%. (1087a)

Art. 1 78. T e a$tion to $lai, re $i ion ," t be $o,,en$e# it in +o"r %ear .

@or 4er on "n#er g"ar#ian i4 an# +or ab entee ' t e 4erio# o+ +o"r %ear all not begin"ntil t e ter,ination o+ t e +or,er in$a4a$it%' or "ntil t e #o,i$ile o+ t e latter i :no n.(1088)CHAPTER *VOI?ABLE CONTRACTS

Art. 1 8 . T e +ollo ing $ontra$t are &oi#able or ann"llable' e&en t o"g t ere ,a% a&ebeen no #a,age to t e $ontra$ting 4artie

(1) T o e ere one o+ t e 4artie i in$a4able o+ gi&ing $on ent to a $ontra$t/

(0) T o e ere t e $on ent i &itiate# b% ,i ta:e' &iolen$e' inti,i#ation' "n#"e inJ"en$eor +ra"#.

T e e $ontra$t are bin#ing' "nle t e% are ann"lle# b% a 4ro4er a$tion in $o"rt. T e% are" $e4tible o+ rati $ation. (n)

Art. 1 81. T e a$tion +or ann"l,ent all be bro"g t it in +o"r %ear .

T i 4erio# all begin

In $a e o+ inti,i#ation' &iolen$e or "n#"e inJ"en$e' +ro, t e ti,e t e #e+e$t o+ t e$on ent $ea e .

In $a e o+ ,i ta:e or +ra"#' +ro, t e ti,e o+ t e #i $o&er% o+ t e a,e.

An# en t e a$tion re+er to $ontra$t entere# into b% ,inor or ot er in$a4a$itate#4er on ' +ro, t e ti,e t e g"ar#ian i4 $ea e . (1 1a)

Art. 1 80. Rati $ation e9ting"i e t e a$tion to ann"l a &oi#able $ontra$t. (1 8a)

Art. 1 8 . Rati $ation ,a% be e=e$te# e94re l% or ta$itl%. It i "n#er too# t at t ere i ata$it rati $ation i+' it :no le#ge o+ t e rea on i$ ren#er t e $ontra$t &oi#able an#

"$ rea on a&ing $ea e#' t e 4er on o a a rig t to in&o:e it o"l# e9e$"te an a$ti$ ne$e aril% i,4lie an intention to ai&e i rig t. (1 11a)

Art. 1 83. Rati $ation ,a% be e=e$te# b% t e g"ar#ian o+ t e in$a4a$itate# 4er on. (n)

Art. 1 85. Rati $ation #oe not re;"ire t e $on+or,it% o+ t e $ontra$ting 4art% o a norig t to bring t e a$tion +or ann"l,ent. (1 10)

Art. 1 86. Rati $ation $lean e t e $ontra$t +ro, all it #e+e$t +ro, t e ,o,ent it a$on tit"te#. (1 1 )

Art. 1 8*. T e a$tion +or t e ann"l,ent o+ $ontra$t ,a% be in tit"te# b% all o aret ereb% oblige# 4rin$i4all% or "b i#iaril%. Ho e&er' 4er on o are $a4able $annot


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allege t e in$a4a$it% o+ t o e it o, t e% $ontra$te#/ nor $an t o e o e9erte#inti,i#ation' &iolen$e' or "n#"e inJ"en$e' or e,4lo%e# +ra"#' or $a" e# ,i ta:e ba et eir a$tion "4on t e e Ja o+ t e $ontra$t. (1 0a)

Art. 1 87. An obligation a&ing been ann"lle#' t e $ontra$ting 4artie all re tore to ea$ot er t e t ing i$ a&e been t e "b!e$t ,atter o+ t e $ontra$t' it t eir +r"it ' an#t e 4ri$e it it intere t' e9$e4t in $a e 4ro&i#e# b% la .

In obligation to ren#er er&i$e' t e &al"e t ereo+ all be t e ba i +or #a,age . (1 a)

Art. 1 88. en t e #e+e$t o+ t e $ontra$t $on i t in t e in$a4a$it% o+ one o+ t e 4artie 't e in$a4a$itate# 4er on i not oblige# to ,a:e an% re tit"tion e9$e4t in o+ar a e abeen bene te# b% t e t ing or 4ri$e re$ei&e# b% i,. (1 3)

Art. 13 . ene&er t e 4er on oblige# b% t e #e$ree o+ ann"l,ent to ret"rn t e t ing$an not #o o be$a" e it a been lo t t ro"g i +a"lt' e all ret"rn t e +r"it re$ei&e#an# t e &al"e o+ t e t ing at t e ti,e o+ t e lo ' it intere t +ro, t e a,e #ate.(1 *a)

Art. 13 1. T e a$tion +or ann"l,ent o+ $ontra$t all be e9ting"i e# en t e t ingi$ i t e ob!e$t t ereo+ i lo t t ro"g t e +ra"# or +a"lt o+ t e 4er on o a a rig t

to in tit"te t e 4ro$ee#ing .

I+ t e rig t o+ a$tion i ba e# "4on t e in$a4a$it% o+ an% one o+ t e $ontra$ting 4artie ' t elo o+ t e t ing all not be an ob ta$le to t e "$$e o+ t e a$tion' "nle ai# lo too:4la$e t ro"g t e +ra"# or +a"lt o+ t e 4lainti=. (1 13a)

Art. 13 0. A long a one o+ t e $ontra$ting 4artie #oe not re tore at in &irt"e o+ t e#e$ree o+ ann"l,ent e i bo"n# to ret"rn' t e ot er $annot be $o,4elle# to $o,4l% it

at i in$",bent "4on i,. (1 7)CHAPTER 7>NEN@ORCEABLE CONTRACTS (n)

Art. 13 . T e +ollo ing $ontra$t are "nen+or$eable' "nle t e% are rati e#

(1) T o e entere# into in t e na,e o+ anot er 4er on b% one o a been gi&en noa"t orit% or legal re4re entation' or o a a$te# be%on# i 4o er /

(0) T o e t at #o not $o,4l% it t e Stat"te o+ @ra"# a et +ort in t i n",ber. In t e+ollo ing $a e an agree,ent erea+ter ,a#e all be "nen+or$eable b% a$tion' "nle t e

a,e' or o,e note or ,e,oran#",' t ereo+' be in riting' an# "b $ribe# b% t e 4art%$ arge#' or b% i agent/ e&i#en$e' t ere+ore' o+ t e agree,ent $annot be re$ei&e#

it o"t t e riting' or a e$on#ar% e&i#en$e o+ it $ontent

(a) An agree,ent t at b% it ter, i not to be 4er+or,e# it in a %ear +ro, t e ,a:ingt ereo+/

(b) A 4e$ial 4ro,i e to an er +or t e #ebt' #e+a"lt' or ,i $arriage o+ anot er/

($) An agree,ent ,a#e in $on i#eration o+ ,arriage' ot er t an a ,"t"al 4ro,i e to


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,arr%/

(#) An agree,ent +or t e ale o+ goo# ' $ attel or t ing in a$tion' at a 4ri$e not le t an&e "n#re# 4e o ' "nle t e b"%er a$$e4t an# re$ei&e 4art o+ "$ goo# an# $ attel '

or t e e&i#en$e ' or o,e o+ t e,' o+ "$ t ing in a$tion or 4a% at t e ti,e o,e 4art o+ t e 4"r$ a e ,one%/ b"t en a ale i ,a#e b% a"$tion an# entr% i ,a#e b% t ea"$tioneer in i ale boo:' at t e ti,e o+ t e ale' o+ t e a,o"nt an# :in# o+ 4ro4ert%

ol#' ter, o+ ale' 4ri$e' na,e o+ t e 4"r$ a er an# 4er on on o e a$$o"nt t e alei ,a#e' it i a "D$ient ,e,oran#",/

(e) An agree,ent o+ t e lea ing +or a longer 4erio# t an one %ear' or +or t e ale o+ real4ro4ert% or o+ an intere t t erein/

(+) A re4re entation a to t e $re#it o+ a t ir# 4er on.

( ) T o e ere bot 4artie are in$a4able o+ gi&ing $on ent to a $ontra$t.

Art. 13 3. >na"t ori e# $ontra$t are go&erne# b% Arti$le 1 1* an# t e 4rin$i4le o+agen$% in Title < o+ t i Boo:.

Art. 13 5. Contra$t in+ringing t e Stat"te o+ @ra"# ' re+erre# to in No. 0 o+ Arti$le 13 'are rati e# b% t e +ail"re to ob!e$t to t e 4re entation o+ oral e&i#en$e to 4ro&e t e a,e'or b% t e a$$e4tan$e o+ bene t "n#er t e,.

Art. 13 6. en a $ontra$t i en+or$eable "n#er t e Stat"te o+ @ra"# ' an# a 4"bli$#o$",ent i ne$e ar% +or it regi tration in t e Regi tr% o+ ?ee# ' t e 4artie ,a% a&ailt e, el&e o+ t e rig t "n#er Arti$le 1 5*.

Art. 13 *. In a $ontra$t ere bot 4artie are in$a4able o+ gi&ing $on ent' e94re ori,4lie# rati $ation b% t e 4arent' or g"ar#ian' a t e $a e ,a% be' o+ one o+ t e$ontra$ting 4artie all gi&e t e $ontra$t t e a,e e=e$t a i+ onl% one o+ t e, erein$a4a$itate#.

I+ rati $ation i ,a#e b% t e 4arent or g"ar#ian ' a t e $a e ,a% be' o+ bot $ontra$ting4artie ' t e $ontra$t all be &ali#ate# +ro, t e in$e4tion.

Art. 13 7. >nen+or$eable $ontra$t $annot be a aile# b% t ir# 4er on .CHAPTER 8VOI? AN? INE


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(5) T o e i$ $onte,4late an i,4o ible er&i$e/

(6) T o e ere t e intention o+ t e 4artie relati&e to t e 4rin$i4al ob!e$t o+ t e $ontra$t$annot be a $ertaine#/

(*) T o e e94re l% 4ro ibite# or #e$lare# &oi# b% la .

T e e $ontra$t $annot be rati e#. Neit er $an t e rig t to et "4 t e #e+en e o+ illegalit%be ai&e#.

Art. 131 . T e a$tion or #e+en e +or t e #e$laration o+ t e ine9i ten$e o+ a $ontra$t #oenot 4re $ribe.

Art. 1311. en t e n"llit% 4ro$ee# +ro, t e illegalit% o+ t e $a" e or ob!e$t o+ t e$ontra$t' an# t e a$t $on tit"te a $ri,inal o=en e' bot 4artie being in 4ari #eli$to' t e%

all a&e no a$tion again t ea$ ot er' an# bot all be 4ro e$"te#. Foreo&er' t e4ro&i ion o+ t e Penal Co#e relati&e to t e #i 4o al o+ e=e$t or in tr",ent o+ a $ri,e

all be a44li$able to t e t ing or t e 4ri$e o+ t e $ontra$t.

T i r"le all be a44li$able en onl% one o+ t e 4artie i g"ilt%/ b"t t e inno$ent one,a% $lai, at e a gi&en' an# all not be bo"n# to $o,4l% it i 4ro,i e. (1 5)

Art. 1310. I+ t e a$t in i$ t e "nla +"l or +orbi##en $a" e $on i t #oe not $on tit"te a$ri,inal o=en e' t e +ollo ing r"le all be ob er&e#

(1) en t e +a"lt i on t e 4art o+ bot $ontra$ting 4artie ' neit er ,a% re$o&er at ea gi&en b% &irt"e o+ t e $ontra$t' or #e,an# t e 4er+or,an$e o+ t e ot er

"n#erta:ing/

(0) en onl% one o+ t e $ontra$ting 4artie i at +a"lt' e $annot re$o&er at e agi&en b% rea on o+ t e $ontra$t' or a : +or t e +"l ll,ent o+ at a been 4ro,i e# i,.

T e ot er' o i not at +a"lt' ,a% #e,an# t e ret"rn o+ at e a gi&en it o"t an%obligation to $o,4l% i 4ro,i e. (1 6)Art. 131 . Intere t 4ai# in e9$e o+ t e intere t allo e# b% t e " "r% la ,a% bere$o&ere# b% t e #ebtor' it intere t t ereon +ro, t e #ate o+ t e 4a%,ent.

Art. 1313. en ,one% i 4ai# or 4ro4ert% #eli&ere# +or an illegal 4"r4o e' t e $ontra$t,a% be re4"#iate# b% one o+ t e 4artie be+ore t e 4"r4o e a been a$$o,4li e#' orbe+ore an% #a,age a been $a" e# to a t ir# 4er on. In "$ $a e' t e $o"rt ,a%' i+ t e4"bli$ intere t ill t " be "b er&e#' allo t e 4art% re4"#iating t e $ontra$t to re$o&ert e ,one% or 4ro4ert%.

Art. 1315. ere one o+ t e 4artie to an illegal $ontra$t i in$a4able o+ gi&ing $on ent't e $o"rt ,a%' i+ t e intere t o+ !" ti$e o #e,an# allo re$o&er% o+ ,one% or 4ro4ert%#eli&ere# b% t e in$a4a$itate# 4er on.

Art. 1316. en t e agree,ent i not illegal 4er e b"t i ,erel% 4ro ibite#' an# t e4ro ibition b% t e la i #e ignate# +or t e 4rote$tion o+ t e 4lainti=' e ,a%' i+ 4"bli$4oli$% i t ereb% en an$e#' re$o&er at e a 4ai# or #eli&ere#.


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Art. 131*. en t e 4ri$e o+ an% arti$le or $o,,o#it% i #eter,ine# b% tat"te' or b%a"t orit% o+ la ' an% 4er on 4a%ing an% a,o"nt in e9$e o+ t e ,a9i,", 4ri$e allo e#,a% re$o&er "$ e9$e .

Art. 1317. en t e la 9e ' or a"t ori e t e 9ing o+ t e ,a9i,", n",ber o+ o"r o+ labor' an# a $ontra$t i entere# into ereb% a laborer "n#erta:e to or: longer t an t e,a9i,", t " 9e#' e ,a% #e,an# a##itional $o,4en ation +or er&i$e ren#ere#be%on# t e ti,e li,it.

Art. 1318. en t e la et ' or a"t ori e t e etting o+ a ,ini,", age +or laborer 'an# a $ontra$t i agree# "4on b% i$ a laborer a$$e4t a lo er age' e all beentitle# to re$o&er t e #e $ien$%.

Art. 130 . In $a e o+ a #i&i ible $ontra$t' i+ t e illegal ter, $an be e4arate# +ro, t elegal one ' t e latter ,a% be en+or$e#.

Art. 1301. T e #e+en e o+ illegalit% o+ $ontra$t i not a&ailable to t ir# 4er on o eintere t are not #ire$tl% a=e$te#.

Art. 1300. A $ontra$t i$ i t e #ire$t re "lt o+ a 4re&io" illegal $ontra$t' i al o &oi#an# ine9i tent.

Title III. - NAT>RAL OBLIGATIONSArt. 130 . Obligation are $i&il or nat"ral. Ci&il obligation gi&e a rig t o+ a$tion to $o,4elt eir 4er+or,an$e. Nat"ral obligation ' not being ba e# on 4o iti&e la b"t on e;"it% an#nat"ral la ' #o not grant a rig t o+ a$tion to en+or$e t eir 4er+or,an$e' b"t a+ter &ol"ntar%+"l ll,ent b% t e obligor' t e% a"t ori e t e retention o+ at a been #eli&ere# orren#ere# b% rea on t ereo+. So,e nat"ral obligation are et +ort in t e +ollo ing arti$le .

Art. 1303. en a rig t to "e "4on a $i&il obligation a la4 e# b% e9tin$ti&e 4re $ri4tion't e obligor o &ol"ntaril% 4er+or, t e $ontra$t $annot re$o&er at e a #eli&ere# ort e &al"e o+ t e er&i$e e a ren#ere#.

Art. 1305. en it o"t t e :no le#ge or again t t e ill o+ t e #ebtor' a t ir# 4er on4a% a #ebt i$ t e obligor i not legall% bo"n# to 4a% be$a" e t e a$tion t ereon a4re $ribe#' b"t t e #ebtor later &ol"ntaril% rei,b"r e t e t ir# 4er on' t e obligor $annotre$o&er at e a 4ai#.

Art. 1306. en a ,inor bet een eig teen an# t ent%-one %ear o+ age o a entere#into a $ontra$t it o"t t e $on ent o+ t e 4arent or g"ar#ian' a+ter t e ann"l,ent o+ t e$ontra$t &ol"ntaril% ret"rn t e ole t ing or 4ri$e re$ei&e#' not it tan#ing t e +a$t t e

e a not been bene te# t ereb%' t ere i no rig t to #e,an# t e t ing or 4ri$e t "ret"rne#.

Art. 130*. en a ,inor bet een eig teen an# t ent%-one %ear o+ age' o a entere#into a $ontra$t it o"t t e $on ent o+ t e 4arent or g"ar#ian' &ol"ntaril% 4a% a ", o+,one% or #eli&er a +"ngible t ing in +"l ll,ent o+ t e obligation' t ere all be no rig t tore$o&er t e a,e +ro, t e obligee o a 4ent or $on ",e# it in goo# +ait . (116 A)

Art. 1307. en' a+ter an a$tion to en+or$e a $i&il obligation a +aile# t e #e+en#ant
http://obligationscontracts.blogspot.com/2008/03/title-iii-natural-obligations.htmlhttp://obligationscontracts.blogspot.com/2008/03/title-iii-natural-obligations.html


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&ol"ntaril% 4er+or, t e obligation' e $annot #e,an# t e ret"rn o+ at e a #eli&ere#or t e 4a%,ent o+ t e &al"e o+ t e er&i$e e a ren#ere#.

Art. 1308. en a te tate or inte tate eir &ol"ntaril% 4a% a #ebt o+ t e #e$e#ente9$ee#ing t e &al"e o+ t e 4ro4ert% i$ e re$ei&e# b% ill or b% t e la o+ inte ta$%+ro, t e e tate o+ t e #e$ea e#' t e 4a%,ent i &ali# an# $annot be re $in#e# b% t e4a%er.

Art. 13 . en a ill i #e$lare# &oi# be$a" e it a not been e9e$"te# in a$$or#an$eit t e +or,alitie re;"ire# b% la ' b"t one o+ t e inte tate eir ' a+ter t e ettle,ent o+

t e #ebt o+ t e #e$ea e#' 4a% a lega$% in $o,4lian$e it a $la" e in t e #e+e$ti&e ill't e 4a%,ent i e=e$ti&e an# irre&o$able.

Title IV. - ESTOPPEL (n)Art. 13 1. T ro"g e to44el an a#,i ion or re4re entation i ren#ere# $on$l" i&e "4ont e 4er on ,a:ing it' an# $annot be #enie# or #i 4ro&e# a again t t e 4er on rel%ingt ereon.

Art. 13 0. T e 4rin$i4le o+ e to44el are ereb% a#o4te# in o+ar a t e% are not in $onJi$tit t e 4ro&i ion o+ t i Co#e' t e Co#e o+ Co,,er$e' t e R"le o+ Co"rt an# 4e$ial

la .

Art. 13 . E to44el ,a% be in 4ai or b% #ee#.

Art. 13 3. en a 4er on o i not t e o ner o+ a t ing ell or alienate an# #eli&er it'an# later t e eller or grantor a$;"ire title t ereto' "$ title 4a e b% o4eration o+ lato t e b"%er or grantee.

Art. 13 5. I+ a 4er on in re4re entation o+ anot er ell or alienate a t ing' t e +or,er$annot "b e;"entl% et "4 i o n title a again t t e b"%er or grantee.

Art. 13 6. A le ee or a bailee i e to44e# +ro, a erting title to t e t ing lea e# orre$ei&e#' a again t t e le or or bailor.

Art. 13 *. en in a $ontra$t bet een t ir# 4er on $on$erning i,,o&able 4ro4ert%' oneo+ t e, i ,i le# b% a 4er on it re 4e$t to t e o ner i4 or real rig t o&er t e reale tate' t e latter i 4re$l"#e# +ro, a erting i legal title or intere t t erein' 4ro&i#e# allt e e re;"i ite are 4re ent

(1) T ere ," t be +ra"#"lent re4re entation or rong+"l $on$eal,ent o+ +a$t :no n tot e 4art% e to44e#/

(0) T e 4art% 4re$l"#e# ," t inten# t at t e ot er o"l# a$t "4on t e +a$t a,i re4re ente#/

( ) T e 4art% ,i le# ," t a&e been "na are o+ t e tr"e +a$t / an#

(3) T e 4art% #e+ra"#e# ," t a&e a$te# in a$$or#an$e it t e ,i re4re entation.

Art. 13 7. One o a

obligation and contracts (ateneo summer review)

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