Oblicon Finals 1

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DIFFERENT

KINDS OF
OBLIGATIONS
I. PURE OBLIGATIONS

II. CONDITIONAL OBLIGATIONS

III. OBLIGATIONS WITH A PERIOD


Section 1. Pure and Conditional
Obligation
Pure Obligations

Article 1179. Every obligation whose performance does not depend upon a future or
uncertain event, or upon a past event unknown to the parties, is demandable at once.

• not subject to any condition


• no specific date
• immediately demadable
Conditional Obligations

Every obligation which contains a resolutory condition shall also be demandable,


without prejudice to the effects of the happening of the event. (1113)

• subject to the fulfillment of a condition


• CONDITION is a future and uncertain event; it may be a past event but unknown to the
parties
• A condition may be suspensive or resolutory
“I PROMISE TO PAY YOU WHEN I
LIKE.”
IS THE OBLIGATION
VALID?

IS THE CONDITION VALID?


Article 1182. When the fulfillment of the condition depends
upon the sole will of the debtor, the conditional obligation shall
be void.

If it depends upon chance or upon the will of a third person, the


obligation shall take effect in conformity with the provisions of
this Code. (1115)
CHANCE

“I WILL PAY YOU AS SOON AS I PASS


THE BAR EXAMS AND BECOME A
LAWYER.”

IS THE OBLIGATION
VALID?
WILL OF A
THIRD
PERSON

“I WILL PAY YOU AS SOON AS MY


DAUGHTER GIVES ME THE MONEY.”

IS THE OBLIGATION
VALID?
POTESTATIVE CONDITION
• Depends upon the sole will of the debtor in a
suspensive condition- VOID condition
• Depends upon the sole will of the debtor in a case
where there is already an existing obligation - VALID
obligation but VOID condition
• Depends upon the will of the creditor - valid condition
and obligation
• Depends upon chance or the will of a third person -
VALID
Section 2. Obligation with a
Period
“I WILL PAY YOU WHEN MY MEANS
PERMIT ME TO DO SO.”

IS THE OBLIGATION
VALID?
Article 1180. When the debtor binds himself to
pay when his means permit him to do so, the
obligation shall be deemed to be one with a
period, subject to the provisions of article 1197.
(n)
Article 1197. If the obligation does not fix a period,
but from its nature and the circumstances it can
be inferred that a period was intended, the courts
may fix the duration thereof.
The courts shall also fix the duration of the period
when it depends upon the will of the debtor.
In every case, the courts shall determine such
period as may under the circumstances have
been probably contemplated by the parties. Once
fixed by the courts, the period cannot be changed
by them. (1128a)
KINDS OF CONDITION

1. SUSPENSIVE
2. RESOLUTORY
Article 1181. In conditional obligations, the acquisition of rights, as well as the
extinguishment or loss of those already acquired, shall depend upon the happening of
the event which constitutes the condition. (1114)

EFFECTS:
• Acquisition of rights (suspensive condition)
• Loss of rights already acquired (resolutory
condition)
Article 1184. The condition that some event happen at a determinate time shall
extinguish the obligation as soon as the time expires or if it has become indubitable
that the event will not take place. (1117)

• Positive suspensive condition


Article 1185. The condition that some event will not happen at a determinate time
shall render the obligation effective from the moment the time indicated has elapsed,
or if it has become evident that the event cannot occur.

If no time has been fixed, the condition shall be deemed fulfilled at such time as may
have probably been contemplated, bearing in mind the nature of the obligation. (1118)

• Negative suspensive condition


Article 1186. The condition shall be deemed fulfilled when the obligor voluntarily
prevents its fulfillment. (1119)
Article 1187. The effects of a conditional obligation to give, once the condition has
been fulfilled, shall retroact to the day of the constitution of the obligation.
Nevertheless, when the obligation imposes reciprocal prestations upon the parties, the
fruits and interests during the pendency of the condition shall be deemed to have been
mutually compensated. If the obligation is unilateral, the debtor shall appropriate the
fruits and interests received, unless from the nature and circumstances of the
obligation it should be inferred that the intention of the person constituting the same
was different.

In obligations to do and not to do, the courts shall determine, in each case, the
retroactive effect of the condition that has been complied with. (1120)

• The condition is merely an incidental element of a contract.


Article 1188. The creditor may, before the fulfillment of the condition, bring the
appropriate actions for the preservation of his right.

The debtor may recover what during the same time he has paid by mistake in case of
a suspensive condition. (1121a)

• Paragraph 1 applies to obligation with resolulory condition.


Article 1189. When the conditions have been imposed with the intention of suspending the efficacy of an obligation to
give, the following rules shall be observed in case of the improvement, loss or deterioration of the thing during the
pendency of the condition:

(1) If the thing is lost without the fault of the debtor, the obligation shall be extinguished;

(2) If the thing is lost through the fault of the debtor, he shall be obliged to pay damages; it is understood that the thing
is lost when it perishes, or goes out of commerce, or disappears in such a way that its existence is unknown or it
cannot be recovered;

(3) When the thing deteriorates without the fault of the debtor, the impairment is to be borne by the creditor;

(4) If it deteriorates through the fault of the debtor, the creditor may choose between the rescission of the obligation
and its fulfillment, with indemnity for damages in either case;

(5) If the thing is improved by its nature, or by time, the improvement shall inure to the benefit of the creditor;

(6) If it is improved at the expense of the debtor, he shall have no other right than that granted to the usufructuary.
(1122)
IMPOSSIBLE CONDITION
Article 1183. Impossible conditions, those contrary to good customs or public policy
and those prohibited by law shall annul the obligation which depends upon them. If
the obligation is divisible, that part thereof which is not affected by the impossible or
unlawful condition shall be valid.

The condition not to do an impossible thing shall be considered as not having been
agreed upon. (1116a)

• Refers to suspensive condition

TWO KINDS OF IMPOSSIBLE CONDITIONS


• Physically impossible conditions
• Legally impossible conditions

• If the condition is negative, that is, not to do an impossible thing, the obligation is
pure and valid.
• Divisible obligation, only the affected obligatoin is void.
LEGALLY IMPOSSIBLE
CONDITION
“I WILL PAY YOU ONE MILLION PESOS
WHEN YOU BECOME SUCCESSFUL IN
KILLING MY HUSBAND’S MISTRESS.”

IS THE OBLIGATION VALID?

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