BOC Flashcards

(103 cards)

1
Q
A
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2
Q

What is an obligation as defined in Article 1156 of the Civil Code?

A

A juridical necessity to give, to do or not to do

This definition establishes the fundamental nature of obligations in civil law.

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3
Q

Name the four sources of obligations.

A
  • Law
  • Contracts
  • Quasi-Contracts
  • Delicts

These sources outline where obligations can arise from in legal contexts.

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4
Q

What are the elements of an obligation?

A
  • Active Subject (Obligee/Creditor)
  • Passive Subject (Obligor/Debtor)
  • Prestation (Object)
  • Vinculum Juris (Juridical or Legal Tie)

Each element plays a crucial role in defining the relationship between the parties involved in an obligation.

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5
Q

True or false: Obligations arising from contracts have the force of law between the parties.

A

TRUE

According to Article 1159, obligations from contracts must be complied with in good faith.

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6
Q

What is negotiorum gestio in the context of quasi-contracts?

A

Officious or voluntary management of the property or affairs of another without the knowledge or consent of the latter

This type of quasi-contract arises to prevent unjust enrichment.

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7
Q

What are the kinds of prestations?

A
  • To give
  • To do
  • Not to do

Each kind of prestation defines the nature of the obligation to be fulfilled.

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8
Q

What is the difference between a specific thing and a generic thing in obligations?

A
  • Specific Thing: Identified by individuality
  • Generic Thing: Designated only by its class/species

This distinction affects the debtor’s ability to fulfill the obligation.

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9
Q

What constitutes a breach of obligation?

A
  • Fraud (Dolo)
  • Negligence (Culpa)
  • Delay
  • Contravention of the tenor of the obligation

Breaches can be voluntary or involuntary, affecting the liability of the debtor.

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10
Q

Fill in the blank: An obligation to not to do requires the debtor to _______.

A

Abstain from doing an act

This type of obligation includes the duty not to give.

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11
Q

What are the requisites for mora solvendi?

A
  • Obligation must be liquidated, due, and demandable
  • Non-performance by the debtor on the agreed period
  • Demand by the creditor

These requisites establish the conditions under which the debtor is liable for damages.

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12
Q

What is the effect of acquittal on civil actions?

A

No effect if based on the same facts as the criminal action that ended in acquittal

However, an independent civil action is allowed by law.

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13
Q

What is the difference between a quasi-delict and a crime?

A
  • Quasi-Delict: Private, individual liability
  • Crime: Public, against the State

This distinction affects the nature of liability and the intent required.

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14
Q

What are the requisites of liability for quasi-delict?

A
  • Wrongful act or omission by fault or negligence
  • Damage or injury proven by the claimant
  • Direct causal connection between the fault and the damage

These requisites must be established for a successful claim in quasi-delict.

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15
Q

What is the legal tie in an obligation referred to as?

A

Vinculum Juris

This term describes the connection that binds the parties to the obligation.

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16
Q

What is the effect of contributory negligence on recoverable damages?

A

Reduces or mitigates the recoverable damages

Unless the creditor’s negligence is the proximate cause of the damage.

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17
Q

What is fortuitous event in the context of obligations?

A

An involuntary breach due to unforeseen circumstances

This can exempt the debtor from liability under certain conditions.

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18
Q

What is the penal clause in obligations?

A

A provision that imposes a penalty for non-performance

This clause serves as a deterrent against breach of obligation.

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19
Q

What must the debtor offer for performance to be valid?

A

Offer must be in compliance with the prestation

The offer is essential for the creditor to accept the performance.

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20
Q

What happens if the creditor refuses the performance without just cause?

A

The debtor is liable for damages

This liability exists even if the loss is due to fortuitous events.

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21
Q

For determinate objects, who bears the risk of loss?

A

The debtor shall bear the risk of loss

This applies unless the debtor is exempted from risk due to creditor’s actions.

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22
Q

What reduces the responsibility of the debtor in case of loss?

A

Reduced to fraud and gross negligence

The debtor is exempted from risk of loss borne by the creditor.

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23
Q

What expenses incurred by the debtor are chargeable to the creditor?

A

Expenses for the preservation of the thing after the mora

Mora refers to delay in fulfilling an obligation.

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24
Q

True or false: The debtor must pay interest from the time of delay.

A

FALSE

If the obligation bears interest, the debtor does not have to pay from the time of delay.

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25
What is the effect of **bad faith** on the debtor's liability?
Debtor is liable for all damages ## Footnote This includes damages that can be reasonably attributed to non-performance.
26
What is the effect of **good faith** on the debtor's liability?
Debtor is liable only for the natural and probable consequences of the breach ## Footnote Any waiver or renunciation made in anticipation of such liability is null and void.
27
Define **Culpa Contractual**.
Negligence incidental to performance of obligation ## Footnote It is substantive and independent of a pre-existing contractual relation.
28
What is **Mora Solvendi**?
Delay on the part of the debtor to fulfill his obligation ## Footnote This applies to obligations to give or to do.
29
What is **Mora Accipiendi**?
Delay on the part of the creditor to accept the performance ## Footnote This can affect the obligations of both parties.
30
What does **Contravention of the Tenor** refer to?
Violation of the terms and conditions stipulated in the obligation ## Footnote Must not be due to a fortuitous event or force majeure.
31
Define **Fortuitous Event (Force Majeure)**.
Any event which could not be foreseen or is inevitable ## Footnote It makes the normal fulfillment of the obligation impossible.
32
What are the **requisites for exemption** from liability in case of a fortuitous event?
* Event must be independent of the debtor’s will * No fraud or negligence ## Footnote Liability may still apply if specified by law or stipulation.
33
What is the **Accion Subrogatoria**?
Right of creditor to exercise all rights and actions of the debtor against third persons ## Footnote This applies when the debtor is indebted to the creditor.
34
What is the **Accion Pauliana**?
Rescission to attack any act of the debtor that is fraudulent to the creditor's rights ## Footnote Requires proof of fraud and that the third person is an accomplice.
35
What is **usury**?
Stipulation of interest rates higher than the ceiling provided by law ## Footnote The Usury Law was repealed by Central Bank Circular No. 905.
36
What is a **pure obligation**?
Effectivity does not depend on the fulfillment of a condition ## Footnote Characterized by being immediately demandable.
37
What is a **conditional obligation**?
Effectivity is subject to the fulfillment of a condition ## Footnote This condition is a future and uncertain event.
38
What is a **suspensive condition**?
Obligation effective only upon fulfillment of the condition ## Footnote The obligee has mere hope or expectancy until the condition is fulfilled.
39
What is the **doctrine of constructive fulfillment**?
Condition deemed fulfilled when the obligor prevents the obligee from complying ## Footnote Must be voluntary or willful prevention.
40
What is a **resolutory condition**?
Obligation becomes demandable immediately after establishment ## Footnote Rights are subject to extinction by the happening of the resolutory condition.
41
What is an **Estative Condition**?
A condition that is certain and does not depend on chance or the will of a third person ## Footnote It is a type of condition that is straightforward and predictable.
42
Define **Casual Condition**.
The fulfillment of the condition depends upon chance and/or upon the will of a third person (Art. 1182) ## Footnote This type of condition introduces uncertainty into the obligation.
43
What is a **Mixed Condition**?
The fulfillment of the condition depends partly upon the will of a party to the obligation and partly upon chance and/or will of a third person ## Footnote This condition combines elements of both casual and certain conditions.
44
What is an **Impossible Condition**?
Conditions which are impossible, contrary to good customs, or public policy shall annul the obligations which depend upon them (Art. 1183) ## Footnote If a pre-existing obligation exists, only the impossible condition is void, but not the obligation.
45
What must occur for an obligation to be demandable?
The sale must be consummated and the price remitted ## Footnote Other conditions, such as the presence of a willing buyer, must also be met.
46
What happens to payments made before the **fulfillment of a condition**?
Whatever may have been paid or delivered shall have to be returned upon the fulfillment of the condition ## Footnote There is no return to the status quo if the condition is not fulfilled.
47
What is the effect of an **impossible or unlawful condition** on an obligation?
Condition and obligation are void because it would sanction illusory obligations ## Footnote This contravenes the principle of mutuality of contracts.
48
What is a **Positive Condition**?
Obligation shall be extinguished as soon as the time expires or if it becomes indubitable that the event will not take place (Art. 1184) ## Footnote This type of condition is time-sensitive.
49
What is a **Negative Condition**?
Obligation shall be rendered effective from the moment the time indicated has lapsed, or if it has become evident that the event will not occur (Art. 1185) ## Footnote This condition is also dependent on time but has a different effect than a positive condition.
50
What are **Reciprocal Obligations**?
Obligations which are established from the same cause, resulting in mutual relationships between creditor and debtor ## Footnote Performance is simultaneous, conditioned upon the fulfillment of the other.
51
What is a **Tacit Resolutory Condition**?
If one party fails to comply, the other has the right to rescind the obligation ## Footnote This right is implied in reciprocal obligations.
52
What is the **effect of loss** on obligations?
If lost without debtor's fault, obligation is extinguished; if with fault, it converts into indemnity for damages (Art. 1192) ## Footnote The courts determine liability based on the circumstances.
53
What is the **definition of loss**?
When the thing perishes; goes out of commerce; disappears in such a way that its existence is unknown or it cannot be recovered ## Footnote This definition is crucial for understanding obligations.
54
What distinguishes a **Period from a Condition**?
Period is a future and certain interval of time; condition is a future and uncertain fact or event ## Footnote This distinction affects the demandability and existence of obligations.
55
What is an **Alternative Obligation**?
Several objects are due, but performance of one is sufficient ## Footnote The debtor has the right of choice unless otherwise stipulated.
56
What is a **Facultative Obligation**?
Only one object is due, but the debtor may render another in substitution ## Footnote This type of obligation allows flexibility in performance.
57
What happens when a **debtor loses the right to use a period**?
Debtor becomes insolvent or fails to furnish promised guarantees ## Footnote This can lead to immediate demandability of the obligation.
58
What is the **effect of fortuitous events** on obligations?
Debtor is released from the obligation if all objects are lost; if some remain, debtor must deliver from the remainder ## Footnote This principle protects debtors from unforeseen circumstances.
59
What is a **Joint Obligation**?
An obligation where several creditors or debtors are involved, each creditor can demand and each debtor is bound to render compliance with his proportionate part ## Footnote Also known as *Obligacion Mancomunada*.
60
Under what conditions is an obligation presumed to be **joint**?
* Concurrence of several creditors * Concurrence of several debtors * Concurrence of several creditors and debtors in one obligation ## Footnote Refer to Art. 1207 for legal presumption.
61
Name one **exception** to the presumption of joint obligations.
* Obligation expressly states solidarity * Law requires solidarity * Nature of the obligation requires solidarity * Condition imposed upon heirs or legatees * Solidary responsibility from a final judgment ## Footnote These exceptions clarify when solidarity applies.
62
What is the **principal effect** of joint liability?
* Demand by one creditor affects only that debtor * Interruption of prescription does not benefit other creditors * Vices of obligation do not affect others * Insolvency of one debtor does not increase responsibility of co-debtors ## Footnote Each debtor's liability is independent.
63
What is a **Joint Divisible Obligation**?
Each creditor can demand only for his proportionate share, and each debtor is liable only for his share ## Footnote Presumed to be divided into equal shares among creditors or debtors (Art. 1208).
64
What is a **Joint Indivisible Obligation**?
No creditor can act in representation of others; all debtors must comply together ## Footnote Breach by one debtor converts obligation into indemnity for damages (Art. 1209).
65
What happens in case of breach of a **Joint Indivisible Obligation**?
Obligation can no longer be fulfilled; converted into indemnity for damages ## Footnote This maintains the joint character of the obligation.
66
What is a **Solidary Obligation**?
An obligation where several creditors or debtors are involved, each creditor can demand entire compliance from debtors ## Footnote Known as *Obligacion Solidaria*.
67
What distinguishes **Solidarity** from **Indivisibility**?
* Solidarity: Refers to the legal tie among subjects * Indivisibility: Refers to the prestation object of the obligation ## Footnote Plurality of subjects is required for solidarity but not for indivisibility.
68
What are the **kinds of Solidary Obligations**?
* Active: Solidarity among creditors * Passive: Solidarity among debtors * Mixed: Solidarity among both creditors and debtors ## Footnote Each type has distinct rights and responsibilities.
69
What is the effect of **remission** in solidary obligations?
Total remission of debt in favor of one debtor releases all debtors ## Footnote This applies to the entire obligation.
70
What is a **Penal Clause**?
An accessory undertaking to assume greater liability in case of breach ## Footnote It ensures performance of the obligation.
71
What are the **purposes of a penalty** in obligations?
* Coercive function to ensure performance * Liquidate damages for breach * Punitive function against the obligor ## Footnote These functions highlight the role of penalties in obligations.
72
What is the effect of **payment** in obligations?
Payment means delivery of money or performance of the obligation ## Footnote Refer to Art. 1232 for legal definition.
73
What is a **Divisible Obligation**?
An obligation that can be performed partially ## Footnote The debtor can perform the obligation by parts (Tolentino, 1987).
74
What is an **Indivisible Obligation**?
An obligation that cannot be validly performed in parts ## Footnote This refers to the nature of the obligation itself (Tolentino, 1987).
75
What does **payment** mean according to Art. 1232, Civil Code?
Delivery of money or performance of the obligation ## Footnote Payment encompasses various forms of fulfilling an obligation.
76
What is the **application of payment** as defined in Art. 1252?
* Designation of the debt to which a payment is applied * Preferential right of debtor to select which debt to pay * Application by creditor if debtor does not designate * Application by operation of law if neither party acts ## Footnote Rules on application of payment ensure clarity in debt settlement.
77
What is **payment by cession** as described in Art. 1255?
Debtor abandons all property to creditors for sale proceeds to apply to debts ## Footnote This act is typically associated with insolvency.
78
Define **dation in payment**.
Delivery of a thing by debtor to creditor as equivalent performance of obligation ## Footnote This is also known as *dacion en pago*.
79
What is the difference between **tender of payment** and **consignation**?
* Tender: Offer of immediate performance to creditor * Consignation: Deposit of obligation in court due to creditor's refusal ## Footnote Tender is preparatory, while consignation is a principal act.
80
When is **tender and refusal not required** according to Art. 1259?
* Creditor is absent or unknown * Creditor is incapacitated * Creditor refuses receipt without just cause * Multiple claims to collect exist * Title of obligation is lost ## Footnote These conditions allow for alternative payment methods.
81
What are the **requisites for application of payment**?
* Plurality of debts * Debts of the same kind * Debts owed to the same creditor by the same debtor * All debts must be due ## Footnote These conditions ensure proper application of payments.
82
What is the effect of **partial loss** as described in Art. 1264?
Does not extinguish obligation; the thing due shall be delivered in its present condition ## Footnote Obligation remains unless the loss renders the thing useless.
83
What is **condonation**?
Creditor renounces enforcement of obligation, extinguishing it either wholly or partially ## Footnote Renunciation must be gratuitous and accepted by the debtor.
84
What is **confusion** in the context of obligations?
Meeting of creditor and debtor qualities in one person ## Footnote This results in the extinguishment of the obligation.
85
What is **compensation**?
Offsetting of two obligations that extinguish each other if of the same value ## Footnote Compensation can be total or partial depending on the amounts.
86
What are the **requisites for novation**?
* Previous valid obligation * Agreement of all parties to new obligation * Extinguishment of old obligation * Validity of new obligation ## Footnote Novation must be expressly stated or implied through incompatibility.
87
What are the **requisites** for **novation**?
* A previous valid obligation * Agreement of all parties to the new obligation * Extinguishment of the old obligation * Validity of the new obligation ## Footnote Novation is not presumed; it can be express or implied.
88
True or false: **Express novation** requires parties to disclose their intent to extinguish the old obligation.
TRUE ## Footnote Implied novation does not require a specific form but must show incompatibility between the old and new obligations.
89
What is the **test of incompatibility** in novation?
* Old and new obligation can stand together: no novation * Old and new obligation cannot stand together: novation exists ## Footnote Incompatibility is key to determining if novation has occurred.
90
What is **facultative compensation**?
* Compensation at the option of a creditor * Unilateral, does not depend on agreement of parties ## Footnote It occurs when legal compensation cannot take place due to missing legal requisites.
91
If the **original obligation is void**, what happens to the **novated obligation**?
No novation ## Footnote If the new obligation is also void, the old obligation subsists unless annulment is claimed.
92
What are the effects of **expromision**?
* Old debtor is released * New debtor can demand reimbursement from original debtor ## Footnote Insolvency of the new debtor does not revive the old obligation if the old debtor did not agree to expromision.
93
What are the **requisites** for **delegacion**?
* Consent of the creditor * Consent of the new debtor * Knowledge or consent of the old debtor is not required ## Footnote Delegacion involves the substitution of the debtor.
94
What happens if the **new debtor becomes insolvent** in a **delegacion**?
Revives the obligation of the old debtor if it was anterior and public ## Footnote The new debtor can demand reimbursement from the original debtor.
95
In **objective novation**, what changes occur?
* Change of the subject matter * Change of causa or consideration * Change of principal conditions or terms ## Footnote These changes are essential for the new obligation to be valid.
96
What is the difference between **conventional subrogation** and **legal subrogation**?
* Conventional: by agreement of the parties * Legal: by operation of law ## Footnote Legal subrogation is not presumed except in specific circumstances.
97
What are the **effects of total subrogation**?
* Transfers credit with all rights against debtor or third persons * Obligation is not extinguished ## Footnote Defenses against the old creditor are retained unless waived.
98
When is **payment** considered valid?
* Payment made to creditor or authorized person * Payment made in good faith to any person in possession of credit ## Footnote Payment must be made when the obligation is due and demandable.
99
What is the **general rule** for **where payment is to be made**?
In the place designated in the obligation ## Footnote If no place is designated, it is the domicile of the debtor.
100
What happens if the **debtor changes domicile** in bad faith?
Additional expenses shall be borne by the debtor ## Footnote This applies if the debtor incurs delay after changing domicile.
101
When can a debtor **pay before the due date**?
If the period is for the benefit of the debtor ## Footnote Payment can be made when the creditor makes a demand.
102
What is the effect of **substantial performance in good faith**?
Obligation is deemed extinguished if accepted by creditor ## Footnote This applies unless the creditor had no knowledge of the incompleteness.
103
What is the **identity** in the context of obligations?
The very prestation promised to be done or not to be done ## Footnote Substitution cannot be done against the creditor's will.