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Chapter three

plurality of debtors or creditors


Means the existence of more than one debtor/ creditor in a K.
1. Plurality of debtors /co-debtors
Their oblgn- b/n themselves & the creditor depends on the
nature of oblgn assumed in z K.
Debtors may agree to be bound by one of the f/g ways:
1.1 joint obligation- all co-debtors are jointly liable for the
oblgn-
-Separate claim can be opposed
/mandatory joinder of defendants, cpc 36, 43/
1.2 several obligation- each debtor is liable only to the extent
of his share
-A debtor can oppose a claim beyond his share
1.3 joint & several obligation/liability/ or solidary oblgn
Each debtor is liable not only for his share, but also, the whole
debt , depending on the will of the creditor.
• Each debtor is liable to z whole debt in r/n to z
creditor, but only to his share in r/n to his co- debtors
• There is a reimbursement from others co-debtors
The Ethiopian C.C. focused on the z 3rd type of joint
obligation /1896-1909/
However, it didn’t disregared the existence of the 1 st
two oblgns- based on agreement or designation of the
law.
eg-divisible obgns- are several /1918
- indivisible oblgns- are joint /1917
However, the phrase “ -----regarding joint oblgn-----’’ in
art.1917 should be amended to be “--- joint & several
oblgn------’’ since there is no provision dealing with
joint oblgn.
Defenses against creditor
• In Case of Joint & several oblgn
– Capacity & consent- personal /individual/
– Novation & remission can be common defenses
unless concern specific debtor
– Merger & setoff – can’t be raised by others unless it
rest on the debtor with whom setoff is made or
become a creditor.
– Common defenses- period of limitation, total
performance, nullity based on object & form /1808(2)
Obligations other than joint and several
obligation
A-indivisible oblgn-
are oblgns-the corporal/ intellectual division of their
object is legally/ physically impossible. /1917/
Eg. shares, debentures, bonds /com.code 328 & 438/
One co- debtor can’t be forced to perform his share or
the whole debt
-it should be performed totally from all co-debtors
B- divisible obligation /11918-

-are oblgns- which are neither joint nor indivisible owing to


their nature.
-are divided b/n co-debtors.
-are several oblgns-
Each debtor is liable only up to his share.
Excepn- surety of one debtor for z other
2-plurality of creditors /co-
creditors/
• Creditor is holder of right/ entitled to claim rights/
• Their right against z debtor or b/n them depends on the nature
of right assumed under z K
• They can assume in 3 ways
– Jointly entitled- all creditors should join the claim
– Severally entitled- each creditor can claim his share only
– Jointly & severally entitled- either one of the creditors or all can claim
the whole payment.
– Payment of the whole debt to 1 will release the debtor.
• Ethiopian C.C. /1910/
• Unless otherwise agreed/ provided by law, joint
creditors are not jointly and severally entitled
claim
• Art. 1911 & f/g deal on joint & severally entitled
creditors

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