BOOK

IV, TITLE I: OBLIGATIONS

Chapter 3: Different Kinds of Obligations ISSUE : WHAT IS IMMEDIATE? When will the
debtor incur default?
INTRODUCTION Ill give you 50,000 pesos ; enforce
Chapter 3 discusses the different types of immediately but WHEN?
obligations o SC: of course it is not LITERALLY
There are 10 types covered by Chapter 3 enforceable at the same time
However, these ARE NOT EXCLUSIVE. from its constitution; debtor
OBLIGATION BASED ON should be given A REASONABLE
Pure Future event that the PERIOD to deliver.
Conditional obligation is attached to o It would depend on PRESTATION,
Term COMPLEXITY, AND LEVEL OF
PERFORMANCE.
Alternative (Relate to Number of prestations;
Compound and complex Ordinarily there is only What is reasonable?
and simple) one but here, there is o A week - reasonable will not
Facultative two or more. accrue a debtor in default

Joint Number of parties
CONDITIONAL OBLIGATIONS: if the obligation is
Solidary involved in the
subject to a future event it is with a term/period
obligation
and condition
Divisible Susceptible of partial
*ONLY FUTURE EVENTS
Indivisible fulfillment or not

With a Penal Clause Particular penalty for
CONDITIONAL TERM
the breach of obligation;
Uncertain future event; CERTAIN to happen
if not done, then the
it may or may not
penalty is laid down
happen

On the FULFILLMENT of On the ARRIVAL of the
PURE AND CONDITIONAL OBLIGATIONS
the obligation obligation
Art. 1179: Pure Obligations

Article 1179. Every obligation whose performance does not
depend upon a future or uncertain event, or upon a past Certainty that it will happen
event unknown to the parties, is demandable at once. Getting married condition
Every obligation which contains a resolutory condition shall Arrival of a particular day (March 15)
also be demandable, without prejudice to the effects of the arrival of a FUTURE event term or period
happening of the event. (1113)
Life of a person certain; not certain when
This is immediately demandable
it will be gone = CONDITION
As soon as the obligation is constituted, it
Your passing the bar, unfortunately is a
becames due and demandable.
CONDITION
Constitution is simultaneous with its

enforcement
Past event as conditional:
Characterized by IMMEDIATE
DEMANDABILITY Rizal example in Jurado book
Obligations that are immediately demandable: Not the past, it is actually a FUTURE EVENT
a. Art. 1179 (1)- Pure Obligations = EVENT OF DISCOVERY -- a condition that
b. Art. 1179 (2) Resolutory Condition may or may not be fulfilled
c. Art. 1193 (2) Obligation with a resolutory How to know the DISCOVERY be a condition
term or term?
d. Art. 1183 (2) Obligation with a condition o Certain to prove a past fact = term
not to do an impossible thing
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 o Uncertain because what may come Pulubi falls in love with you example
out is different = condition It is a period
Marcos declares MARTIAL LAW on Sept. 21, The period shall be fixed by ART. 1197 :
1972 TERM just show proof that it is Judicial Period
true Joanna borrows money from Julienne
Two ways that the obligation be affected by a example. Julienne must have a remedy.
future event: Article 1197. If the obligation does not fix a period, but from
1. SUSPENSIVE CONDITION its nature and the circumstances it can be inferred that a
period was intended, the courts may fix the duration thereof.
the vinculum DOES NOT EXIST YET
The courts shall also fix the duration of the period when it
existence is suspended until depends upon the will of the debtor.
fulfillment In every case, the courts shall determine such period as may
suspends the conception of the under the circumstances have been probably contemplated by
obligation the parties. Once fixed by the courts, the period cannot be
changed by them. (1128a)
ties does not exist yet
NO RIGHT TO THE PROPERTY YET 3 TYPES OF CONDITIONS ON HOW THEY ARE
Art. 1164 does not apply here FULFILLED:
2. RESOLUTORY CONDITION (Art. 1179 (2)) 1. Potestative (Art. 1182)
A future event will EXTINGUISH the Article 1182. When the fulfillment of the condition depends
obligation upon the sole will of the debtor, the conditional obligation
shall be void. If it depends upon chance or upon the will of a
Immediately demandable
third person, the obligation shall take effect in conformity
You can use my condo UNTIL YOU with the provisions of this Code. (1115)
PASS THE BAR Solely dependent on ONE OF THE WILL OF
* No obligation exists yet in condition or term the THE PARTIES (either creditor or debtor)
moment constituted; no tie yet; tie is established
when the condition or term has arrived 2. Casual
Based on a condition of the WILL OF A
Art. 1164 will apply if DAY IS CERTAIN. Eg: on March THIRD PARTY
14 ; suspensive term -tie is certain Eg: I will give you 50 000 pesos if Dean
Jara decides to sing
1.1 SUSPENSIVE TERM (Art. 1164 applies) Based on CHANCE
Ties is already created before the arrival Eg: I will give you 10,000 pesos if I win
of term the lottery
Only personal right; no real right yet PARTIAL (not mixed) based on a 3rd
Establish cause of action for the person and lottery
existence of the tie 3. MIXED
Tie is established with the constitution; * Why is it very important?
It is only the enforcement that is Art. 1182 when the obligation is with a
suspended ;pending arrival of the term condition solely dependent on the will
2.1 RESOLUTORY TERM of the debtor, IT IS VOID.
Immediately demandable o Even if the condition is fulfilled, it
ART. 1180 : MEANS PERMIT HIM TO DO SO is still void.
Article 1180. When the debtor binds himself to pay when his * Why is it void?
means permit him to do so, the obligation shall be deemed to
The debtor WILL NEVER FULFILL A
be one with a period, subject to the provisions of article 1197.
(n) CONDITION that will create the
It would seem like it is a condition obligation
because ones means to permit him to Not enforceable; not existing
fulfill the obligation is UNCERTAIN. This is a provision that applies only if the
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 POTESTATIVE IS SUSPENSIVE CONDITION Javier v. CA
If it is dependent on the will of the International hotel Corp v. Joaquin
debtor but RESOLUTORY, Art. 1182 will
not apply ; the debtor is interested to ART. 1183 : IMPOSSIBLE CONDITIONS
fulfill the condition until the Article 1183. Impossible conditions, those contrary to good
extinguishment still a valid obligation. customs or public policy and those prohibited by law shall
There is no debtor na matino who would annul the obligation which depends upon them. If the
obligation is divisible, that part thereof which is not affected
want to impose a burden upon him by the impossible or unlawful condition shall be valid.
If potestative is to determine the enforcement of
the obligation with a judicial term where The condition not to do an impossible thing shall be
condition may ask for a judicial period there is a considered as not having been agreed upon. (1116a)
pre-existing obligation. Eg: umutang ako, sir pay me
na lang if you sing (this may be set aside) and ask
ART. 1197 FOR A JUDICIAL PERIOD. Obligation is void
TOLENTINOS OPINION Not only physically impossible, but also not
1. Solely on the will of the creditor VALID contrary to good customs or public policy or
2. PURE POTESTATIVE void law
a. Fulfilled by the sheer manifestation EXCEPTIONS:
of the willingness of the debtor to 1. In cases of pre-existing obligations the
fulfill the condition condition is not valid, not the obligation
b. Simple potestative- not only entail 2. Remunerative donations
the manifestation of the debtor but 3. Divisible obligations of prestations
also OTHER EVENTS no longer in a. Only the portion affected impossible
the WILL POWER OF THE DEBTOR. is VOID
For Jurado and Caguioa, already in a Art. 1183(2)
mixed obli Immediately demandable
NOTE: Osmena v. Rama Case Not to do an impossible thing
EXAMPLE: Becomes a PURE OBLIGATION
I will pay you 50,000 when Dean Jara
and Dean Ulan runs around San Beda in ART. 1184/5: POSITIVE & NEGATIVE CONDITIONS
their underwear 1. Positive Conditions in rel to. Art. 1188 and
If only Dean Jara, obligation not fulfilled 1165(3)
Dean will prevent the fulfillment Fulfillment by DOING AN ACT
deemed fulfilled by virtue of 2 instances legally extinguished
CONSTRUCTIVE FULFILLMENT getting married
ART. 1186: CONSTRUCTIVE FULFILLMENT 2. Negative Conditions
Article 1186. The condition shall be deemed fulfilled when the Fulfill by AVOIDING the act
obligor voluntarily prevents its fulfillment. (1119) NOT getting married
Condition is deemd fulfilled * May ask to fulfill the obligation:
Jet & Jette answers in recit need to qualify 1. If X does NOT A marry in 2016
REQUISITES: Without waiting, C may enforce the
1. If the debtor prevents the fulfillment of the obligation if it is impossible A dies really
obligation cannot marry condition fulfilled
2. If he actually prevents it This is DIFFERENT FROM NEGATIVE
3. He did it to AVOID the obligation OBLIGATIONS ; this type can incur DELAY
Cases: because this is only a condition
Catungal v. Rodriguez EXAMPLE:

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D agreed to sell a blue car to C if X gets married. D of conflicting claims of both parties in good
also agreed to sell the blue car to A if Y gets faith
married. There is no tie yet until the fulfillment of Two conflicting claims of rights double sale
the condition. In order to protect the rights of C, C Art. 1165 (3)
should have the registration of the car annotated Who would have a better claim in the
that it is subject to a conditional obligation it is a property?
public notice. So between A and C, C has the better This provision is to determine whose right
right. This is by virtue of Art. 1188. The obligation becomes enforceable first
will only exist if X gets married; if in that period, X
does not marry the obligation will not exist. If it EXAMPLE:
does not exist, D or A may ask for the deletion of 1) D agrees to sell a specific thing to C on February
the annotation of C in the title. If C secures Art. 20 if X marries. On March 30, X marries. Rights did
1188, A will now be in bad faith since he is notified not exist until X marries
in advance by the annotation.
On the other hand, D agrees to sell the SAME thing
Article 1188. The creditor may, before the fulfillment to C1 on March 4 if A marries. A gets married on
of the condition, bring the appropriate actions for the March 10. Thus, C1 HAS THE BETTER RIGHT. With
preservation of his right. The debtor may recover what during respect to art. 1187
the same time he has paid by mistake in case of a suspensive
condition. (1121a) 2) D agrees to sell a specifc thing to C to be
delivered on March 5 ( in good faith). D
If the car is LOST through a fortuitous event,
THEREAFTER agrees to sell the SAME specific thing
Art. 1165(3) DOES not apply because THERE IS NO
to C1 to be delivered on March 2 in good faith. C
EXISTING OBLIGATION OR TIE to A may apply to a
HAS A BETTER RIGHT BECAUSE THIS IS AN
term
OBLIGATION WITH A TERM. the tie is established

from the constitution of the obligation .No need to
Art. 1188 tells the creditor that if you want to
wait; tie is already established.
assure the prestation, take action to protect your

rights IN CASE Art.1165(3) happens. Very important
Art. 1188 : RESOLUTION
to annotate
Article 1188. The creditor may, before the fulfillment
of the condition, bring the appropriate actions for the
However, if it is a PERIOD, there is no need for Art. preservation of his right. The debtor may recover what during
1188 because THERE IS ALREADY A TIE EXISTING; the same time he has paid by mistake in case of a suspensive
Art. 1164 only a personal right to the tie condition. (1121a)

Example : wait for 2016 no longer need to wait if This does not apply to obligations in period
it shows that A CANNOT NEVER EVER GET because creditor already has a right from
MARRIEDit is indubitable the constitution of the obligation; no need
to wait
For as long as X may be able to marry, the
annotation of C CANNOT BE DELETED. However, if X Art. 1189: Effect of Loss, Impairment, or
dies, it is indubitable. May ask for the deletion. Deterioration
Article 1189. When the conditions have been imposed with
the intention of suspending the efficacy of an obligation to
ART. 1187 ( read on your own; wala raw kwenta
give, the following rules shall be observed in case of the
LOL) improvement, loss or deterioration of the thing during the
pendency of the condition:
In relation to Art. 1164
(1) If the thing is lost without the fault of the debtor, the
Retroactive effect more on a RESOLUTION
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obligation shall be extinguished;
IMPROVEMENT (Art. 1189(5,6))
(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
If only pending, may use that improvement.
lost when it perishes, or goes out of commerce, or disappears USUFRUCT
in such a way that its existence is unknown or it cannot be
recovered; Art. 1190
Article 1190. When the conditions have for their purpose the
(3) When the thing deteriorates without the fault of the
extinguishment of an obligation to give, the parties, upon the
debtor, the impairment is to be borne by the creditor;
fulfillment of said conditions, shall return to each other what
they have received.
(4) If it deteriorates through the fault of the debtor, the
creditor may choose between the rescission of the obligation
In case of the loss, deterioration or improvement of the thing,
and its fulfillment, with indemnity for damages in either case;
the provisions which, with respect to the debtor, are laid
down in the preceding article shall be applied to the party
(5) If the thing is improved by its nature, or by time, the
who is bound to return.
improvement shall inure to the benefit of the creditor;
As for the obligations to do and not to do, the provisions of
(6) If it is improved at the expense of the debtor, he shall have
the second paragraph of article 1187 shall be observed as
no other right than that granted to the usufructuary. (1122)
regards the effect of the extinguishment of the obligation.
(1123)
*Same as Art. 1194
APPLIES TO: Cases :
1. Suspensive term/condition & resolutory
condition/term (thing with the creditor ; SEBTC v. CA
apply to whoever is in position) Naga Tel. Co v. CA
2. Applies only TO GIVE; not to do or not to do Catungal v. Rodriguez
3. Obligation to give a specific or determinate
thing; not an indeterminate or generic thing ART. 1191: TACIT RESOLUTORY CONDITION
4. Pending fulfillment of a condition
Article 1191. The power to rescind obligations is implied in
NOTE: never use Art. 1189 if the thing is generic reciprocal ones, in case one of the obligors should not comply
with what is incumbent upon him.

LOSS (Art. 1189(1,2) ) The injured party may choose between the fulfillment and the
1. Perishes/ disappears rescission of the obligation, with the payment of damages in
2. Cannot be found or determined may still either case. He may also seek rescission, even after he has
exist but impossible to retrieve chosen fulfillment, if the latter should become impossible.

3. Goes out the commerce of man no longer The court shall decree the rescission claimed, unless there be
susceptible of private transactions; not just cause authorizing the fixing of a period.
subject to obligations; EG: expropriations,
contraband NOW LOST This is understood to be without prejudice to the rights of
third persons who have acquired the thing, in accordance with

articles 1385 and 1388 and the Mortgage Law. (1124)
DETERIORATION (Art. 1189(3,4))
Value or use of the thing is substantially Reciprocal obligations parties are debtors
affected and creditors to each other
If without fault, can compel creditor to Rescission- SHOULD BE RESOLUTION
accept o Wrong use not rescissible contract
If with fault, creditor has the option to 1)no contemplated in Art. 1354
longer accept and ask for damages and 2) o Action for a resolution
still enforce the obligation and ask for Example: contract of SALE
damages
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TACIT be inferred that a period was intended
Implied in all reciprocal obligations 4. When it depends upon the will of the debtor
Need not express 5. Such period as may under the circumstances
One of the parties do not fulfill the have been properly contemplated by the
obligation that is incumbment upon him parties
Eg: S did not sell the car to B. B will not pay 500,000
to S.
S fulfillment of a condition with a
Art. 1192: BREACH OF PARTIES
resolutory effect to rescind
S does not deliver releases B from the tie- Article 1192. In case both parties have committed a breach of
it is extinguished the obligation, the liability of the first infractor shall be
Q: Does B have a right to extrajudicially resove the equitably tempered by the courts. If it cannot be determined
tie? No need judicial? YES. AUTO. CAN BE DONE which of the parties first violated the contract, the same shall
be deemed extinguished, and each shall bear his own
WITHOUT COURT DECLARATION.
damages. (n)

However, Art. 1191 (3): Once the period is gone, oyu start to worry.
Court needs to declare Period is very important.
Even if resolutory condition, Court may STILL
GRANT the prayer to resolve the contract. Art. 1195: SOLUTIO INDEBITI
Court is NOT BOUND to grant the prayer to Article 1195. Anything paid or delivered before the arrival of
release a party in the tie. If the BREACH IS the period, the obligor being unaware of the period or
believing that the obligation has become due and
NOT SUBSTANTIAL, it may be insignificant
demandable, may be recovered, with the fruits and interests.
no breach. (1126a)
TOLENTINO:
If there is no performance, wholly or ART. 1196
partially, resolution may be done
extrajudicially Art. 1191,par. 1 IF WALA Article 1196. Whenever in an obligation a period is
PANG NAGAGAWA designated, it is presumed to have been established for the
benefit of both the creditor and the debtor, unless from the
If there is performance, wholly or partially, tenor of the same or other circumstances it should appear
NEED A JUDICIAL DECLARATION. that the period has been established in favor of one or of the
*The Courts may still deny the extrajudicial other. (1127)
rescission and fix the period especially when there
is a small breach compared to the totality Presumption on WHOSE benefit is fixed
NEED TO BE A SUBSTANTIAL BREACH. Only a Usually, period is for the benefit of the
substantial breach would justify the grant of prayer. debtor; because the creditor cannot enforce
SC: need a judicial declaration partially or wholly the obligation until the DATE
performance incumbent upon the parties
NOTE: Benefit of BOTH creditor and debtor; if C
INSTANCES WHEN ART. 1197 APPLIES: cannot enforce the obligation to D, D can neither
1. Art. 1180 when his means permit him to compel C to accept the payment; whether
fulfill the obligation expressly or impliedly stated
2. Art. 1191
PAYMENT
The court shall decree the rescission
claimed, unless there be just cause
Not only for the interest of banks
authorizing the fixing of a period.
Tax avoidance legal way of avoiding tax
3. If the obligation does not fix a period, but
liability
from its nature and the circumstances it can
If Bank allows to let you pay, Bank needs to
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 report the interest for the year; bigger Based on the number of prestations
interests The number needed to be fulfilled
Simple Alternative
just one
you give one object
ART. 1197

Article 1197. If the obligation does not fix a period, but from
COMPOUND/COMPLEX ALTERNATIVE
its nature and the circumstances it can be inferred that a Required to fulfill ALL in Several prestations; but
period was intended, the courts may fix the duration thereof. order to extinguish the only need to fulfill one
obligation or none but NOT AT ALL
The courts shall also fix the duration of the period when it
I give you my house EXTINGUISH THE
depends upon the will of the debtor.
and my car both OBLIGATION
In every case, the courts shall determine such period as may needed to be fulfilled
under the circumstances have been probably contemplated by
the parties. Once fixed by the courts, the period cannot be Facultative
changed by them. (1128a)
There is a prestation but allows
SUBSTITUTION

ART. 1198 : Instances where debtor loses right to Art. 1200: RIGHT OF CHOOSE
make use of the period Article 1200. The right of choice belongs to the debtor, unless
it has been expressly granted to the creditor.
Article 1198. The debtor shall lose every right to make use of
the period:
The debtor shall have no right to choose those prestations
which are impossible, unlawful or which could not have been
(1) When after the obligation has been contracted, he
becomes insolvent, unless he gives a guaranty or security for the object of the obligation. (1132)
the
General rule: choice is with the debtor
debt; Exceptions to the rule:
o Creditor may choose
(2) When he does not furnish to the creditor the guaranties or
o Given to a 3rd person ( need an
securities which he has promised;
express declaration)
(3) When by his own acts he has impaired said guaranties or o In the absence of delegation, it
securities after their establishment, and when through a belongs to the debtor.
fortuitous event they disappear, unless he immediately gives
new ones equally satisfactory; D C
(4) When the debtor violates any undertaking, in
o Prestations: horse, dog, cat, mouse
consideration of which the creditor agreed to the period;
(all part of the obligation)
(5) When the debtor attempts to abscond. (1129a) o D needs to fulfill one if ALTERNATIVE
Alternative Obligations may be subject to
SECTION 3: ALTERNATIVE OBLIGATIONS terms & conditions
ART. 1199: ALTERNATIVE OBLIGATIONS
ARTICLE 1199. A person alternatively bound by different Is the right ABSOLUTE?
prestations shall completely perform one of them.
No. There are limitations ; debtor should
The creditor cannot be compelled to receive part of one and
not go against creditor
part of the other undertaking. (1131)


Alternative
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LIMITATIONS: effected, the alternative obligation is extinguished
and is CONVERTED into a simple obligation that is
1. Contrary to law, morals, good customs, enforceable.
public policy, and public order
2. Impossible (1200(2) If there is no communication, there is no
3. Not contemplated to be the object of the cause of action to compel the delivery
obligation never contemplated to be part
of the obligation 1987 Bar Question:
a. Never contemplated to be a part Is it possible for the debtor to incur delay in:
b. Not yet due and demandable (may 1. Personal Negative obligations (No)
be subject to terms and conditions) 2. Obligation with negative conditions (YES)
4. Those due and demandable but 3. Alternative obligations (NO)
enforcement is dependent on the creditor; a. Not enforceable UNTIL choice is
when the period fixed is solely for the made
benefit of the creditor
o only due and demandable insofar as Is the creditor under the mercy of the debtor? What
D is concerned is the legal remedy if the debtor intentionally incurs
o may be declined by C because there delay communication to the creditor?
is a period solely for his benefit
The right to choose is actually AN OBLIGATION TO
5. Debot cannot choose part of one prestation
CHOOSE.
and part of another
> Article 1248. Unless there is an express stipulation Presupposes a choice
to that effect, the creditor cannot be compelled RIGHT is an option to assert or not to assert
partially to receive the prestations in which the it
obligation consists. Neither may the debtor be There is freedom to choose and not to
required to make partial payments.
choose
However, when the debt is in part liquidated It is not a right rather it is an OBLIGATION
and in part unliquidated, the creditor may demand TO DO- TO CHOOSE AND COMMUNICATE
and the debtor may effect the payment of the former
without waiting for the liquidation of the latter. Thus, remedy if debtor delays in choosing and
(1169a) communicating, Art. 1167 fail to do execute at
his own cost

Rights & Duties if all / some are lost:
If the creditor has the right to choose, these
It depends:
limits should also be known
1. Whether or not the loss of the the thing due
Art. 1201: COMMUNICATION took place AFTER the communication
2. To whose right is choosing? Who had the
Article 1201. The choice shall produce no effect except from right to choose?
the time it has been communicated. (1133)
Art. 1202: Only one is practicable
To whom should it be communicated?
Article 1202. The debtor shall lose the right of choice when
Be given by the person who had the right to among the prestations whereby he is alternatively bound,
only one is practicable. (1134)
choose , either debtor or creditor

IF a 3rd person ,3rd person must
If the right belongs to D not cummincate
communicate to debtor and creditor
yet, if the horse or dog is lost regardless of
IMPORTANCE: as soon as communication is how, it becomes a simple obligation, D is

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 obliged to deliver the cat. D C
Prestation: Car
Art. 1203: Choice is rendered impossible Sub: horse
Article 1203. If through the creditor's acts the debtor cannot If alternative, even if the car is lost, the
make a choice according to the terms of the obligation, the obligation is not extinguished because of
latter may rescind the contract with damages. (n) nature
If facultative, if the car is lost, horse is not a
Horse is lost by C ; may cancel ; the nature
part of prestation UNTIL it replaces the
of the obligation has changed. D may cancel
prestation
and make C liable

If all lost, if due to a FORTITOUS EVENT,
JOINT & SOLIDARY OBLIGATIONS
even if because of the debtor no liability
Classification: number of parties
Art. 1204: Effect of Loss of Obli/ choice of debtor General rule: only two parties; a creditor and a
debtor
Article 1204. The creditor shall have a right to indemnity for If two or more parties, two or more
damages when, through the fault of the debtor, all the things creditors, two or more debtors basta
which are alternatively the object of the obligation have been lampas two
lost, or the compliance of the obligation has become Determine if JOINT or SOLIDARY
impossible.
The indemnity shall be fixed taking as a basis the value of the
There is a concurrence of more than 2
last thing which disappeared, or that of the service which last parites
became impossible.
If not because of a fortuitous event lost *LEGEND:
because of debtor, action for damages D1,D2,D3 -- JOINT
arises based on the last existing prestation D1-D2-D3 -- Solidary

JOINT more presumed
SOLIDARY (instances when solidarity is presumed)
ART. 1206: FACULTATIVE 1. Expressly stipulated
Article 1206. When only one prestation has been agreed 2. Law requires solidarity (support of mother
upon, but the obligor may render another in substitution, the
obligation is called facultative.
and father to child in Family Code)
The loss or deterioration of the thing intended as a substitute, 3. Nature of obligation (vicarious obligations;
through the negligence of the obligor, does not render him related to quasi-delicts)
liable. But once the substitution has been made, the obligor is
liable for the loss of the substitute on account of his delay, Whether Joint or Solidary, they really are
negligence or fraud. (n)
several obligations clung together- separate

with each other contract will carry as
Almost similar as alternative
many obligations in one parties
Substitute is NOT A PART of the prestation

Basketball example: first 5- alternative, JOINT
substitutes- bench- facultative 1. Joint Divisible Obligations
Many are due but may be substituted o To determinte obligation if divisible
NOTE: substitution NEEDS TO REPLACE the or indivisible, only criterion is nature
prestation to be enforceable o If it can be divided, it is divisible
CHOICE: by law, belongs to the DEBTOR ; no o If cannot be divided, it is indivisible
delegation to creditor or 3rd party 2. Joint Indivisible OBligations
IF choice is given to the creditor, it is
alternative. *Segway to DIVISIBLE & INDIVISIBLE OBLI

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 DIVISIBLE & INDIVISIBLE OBLIGATIONS creditors may be prejudiced only by their collective acts, and
the debt can be enforced only by proceeding against all the
Whether or not the obligation is sucpetible
debtors. If one of the latter should be insolvent, the others
of partial fulfillment shall not be liable for his share. (1139)
It is always presumed INDIVISIBLE even if
by nature of the obligation is divisible,
always presumed INDIVISIBLE. Horse X is worth 900,000 Pesos
Susceptible of partial performance IS NOT D1,D2,D3 C1,C2,C3
ONLY factor to determine if it is divisible or Prestation: Live HORSE indivisible
indivisible. All must enforce & all must accept
If one of the debtors refuses for any cause,
When divisibility is presumed: there is no performance ; joint indivisible
1. Stipulated by the parties obligation is extinguished and now a Joint
2. Law requires so Divisible obligation with 900,000 pesos.
3. Nature of the obligation requires divisibility. If C refuses to accept, not insist on
accepting, joint indivisible obligation is
extinguished and joint divisible obligation is
Article 1248. Unless there is an express stipulation to that
created the debtor may force to accept
effect, the creditor cannot be compelled partially to receive
the prestations in which the obligation consists. Neither may the properties
the debtor be required to make partial payments. If c1, refuses without just cause, liability for
damages
However, when the debt is in part liquidated and in part
unliquidated, the creditor may demand and the debtor may

effect the payment of the former without waiting for the
liquidation of the latter. (1169a) SOLIDARY
Presume joint over solidary because in a
*Back to Join & Solidary joint obligation it is less burdensome than
D C1, C2, C3 solidary
Debt: 900,000 pesos May pananagutan sila sa isat isa
unless otherwise stipulated, presumption is Debtors are liable to each other; creditors
equal ; proportionate depends on the are agents to each other
express stipulation Hiwahiwalay pa rin different now is you
No matter how joint, it is still distinct from can compel ANY of the creditors for ALL
each other
D may get from C1; C1 may get from D only 3 Types of Solidary Obligations:
his share. 1. PASSIVE SOLIDARY
Two or more debtors solidary bond
D1,D2,D3 C D1-D2-D3 C
Debt: 900,000 pesos o Prestation: 900,000
D3: 300,000 (his share) NOW: C may go to ANY of the
C cannot sue D1 because of the delay of D3 Debtors; C may collect the
WHOLE of 900,000 from D1
D1,D2,D3 C1,C2,C3 2. ACTIVE SOLIDARY
Debt: 900,000 pesos Debtor owes several creditors
There are 9 obligations (3 creditors times 3 D C1-C2-C3
debtors) o C1 may compel to pay all of
Demandable/May be demanded by C/D= 100,000 the shares from D
pesos
3. MIXED SOLIDARY
Article 1209. If the division is impossible, the right of the
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 2 or more creditors and debtors In the term, a juridical tie is already created. In a
D1-D2-D3 C1-C2-C3 condition, the tie is created upon the fulfillment of
o Prestation: 900,000 the condition.
NOTE: Confusing; it does not mean that because
there are solidary debtors, the creditors are The obligation of the debtor to creditor- may only
likewise solidary.NO! Not always solidary creditors be enforced when the condition is fulfilled; there is
and solidary debtors ( in the absence of express and no juridical tie yet. D may not be obliged to pay for
nature) C3 because the condition has not yet been fulfilled

D1D2D3 C1,C2,C3 C1 and C2 may be enforced because their tie
CLAIM ONLY: 300,000 PESOS from any of the already exists
debtors FROM ANY OF the debtors; not extend to
creditors because the creditors are joint. To whom shall payment be made?
If C1 demands, they may only deliver it to C1.
The law encourages the right of the debtor to
whom payment shall be made; creditor also given
NOTE: Solidary obligations with different terms the right to choose.
D1-D2-D3 C1 ( term: jan. 15,2017) , C2
(Condition: x dies), C3 (Condition: b marries)
still solidaryit remains Article 1214. The debtor may pay any one of the solidary
creditors; but if any demand, judicial or extrajudicial, has been
prestation:900,000 made by one of them, payment should be made to him.
(1142a)
Article 1211. Solidarity may exist although the creditors and
Article 1216. The creditor may proceed against any one of the
the debtors may not be bound in the same manner and by the
solidary debtors or some or all of them simultaneously. The
same periods and conditions. (1140)
demand made against one of them shall not be an obstacle to
those which may subsequently be directed against the others,
If on January 15,2017, X is still alive, and B is not yet so long as the debt has not been fully collected. (1144a)
married:
1. How much may be enforced? NOTE: The right of the creditor to choose IS
900,000 D1-D2-D3 due to C GREATER THAN that of the right of the debtor to
Look kung kanino nakalagay ang term. choose
2. As against who?
ANSWER: As against any debtor because it is If debtor does not comply and PAYS
solidary. ANOTHER CREDITOR, rather than to C1 who
Answer to # 1: demanded it- it is an improper payment to
If on January 15,2017, D1 is already due; C1 may an improper party IT WILL NOT
only ask from D1. EXTINGUISH THE LIABILITY
If C1 demands from D1 D1 is macho, C1 is
If it is attacked to C1 on Jan. 15 , 2016- D1-D2-D3- gay and C3 is sexy. D1 wants to pay C3
may give the share that belongs to C1 because Sexy
C1 was the first to demand. D1 pays C3?
D2 may be held liable for his obligation; can C3 Valid? NO.
collect if it belongs to C1? Yes. Because C3 is an Once one of the creditors collect from
agent of C1 debtors, C1 is now obliged to distribute the
share of c2 and c3; C1 NOW A DEBTOR
Answer to #2: JOINTWITH C2 AND C3 however, may
Two terms, one condition

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 only demand a proportion of the share. C3 provisions of article 1219.
may collect from C1.
The creditor who may have
D1 paid all; there is now a new obligation. executed any of these acts, as
D1 has the right to be reimbursed from D2 well as he who collects the
and D3 it is not a joint obligation to their debt, shall be liable to the
proportionate shares others for the share in the
obligation corresponding to
If D1 pays C2, because C1 was the first to
them. (1143)
demand and C1 does not distirubute, it is no
longer the concern of the debtor becaue
the obligation has been extinguished. C1, C2, C3 are mutual the remission of debt
agents of each other the obligation is
Art. 1216 One of the solidary extinguishednot void
IF D1 does not may C1, but pays C3 C3 creditors cannot assign
takes it away and does not pay C1 and C2 his right without the Effect of obligation of
the debtor may still be liable because D1 did consent of others (Article creditor to debtor = C &
not pay to the proper party; it should have 1213. A solidary creditor D extinguish obligation
been paid to C1 cannot assign his rights
without the consent of the
IMPORTANT: know how to pay
others. (n) )
If D1 pays in full, D1 has the right to collect
from D2 and D3 the shares. If D3 is > this is because of
insolvent, may only go to D2; if the inability mutual confidence.
of D3 is insolvency, D1 and D2 will pay the If C1 wants to transfer it
share based on the principal obligation ( if to A, C2 and C3 need to
no stipulation as to the share, presumed know and give consent
equal). Thus: 450,000 pesos. 1:1 share otherwise it is void.
Only because of INSOLVENCY
EXCEPTIONS:
Article 1217. Payment made by one of the solidary debtors
extinguishes the obligation. If two or more solidary debtors C assigns to other
offer to pay, the creditor may choose which offer to accept. creditors without
consent= VALID; this is
He who made the payment may claim from his co-debtors because C2 and C3 are
only the share which corresponds to each, with the interest
co-agents
for the payment already made. If the payment is made before
the debt is due, no interest for the intervening period may be
demanded. Although it recognizes Refers to
the rights of the extinguishment
When one of the solidary debtors cannot, because of his creditor, it is only those
insolvency, reimburse his share to the debtor paying the that are beneficial; if
obligation, such share shall be borne by all his co-debtors, in
detrimental it is VOID.
proportion to the debt of each. (1145a)

Does not affect

ART. 1212 ART. 1215
Provision: Each one of the Provision: Novation, obligation of C1 to
solidary creditors may do compensation, confusion or distirubte to C2 and C3 ;
whatever may be useful to remission of the debt, made face the consequences
the others, but not anything by any of the solidary as though he collected
which may be prejudicial to creditors or with any of the
the amount.
the latter. (1141a) solidary debtors, shall
extinguish the obligation,
without prejudice to the
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Beneficial act: 2. General
IF C1 exerts effort to any debtor to pay the
amount In solidum solidary
joint & severally liable solidary
Detrimental Act:
C1 (gay) tells D1 (macho) to give hilig ko . *Study well on our own
D1 consents it. Pinatawad= remission of
debt Article 1219. The remission made by the creditor of
If c2 and c3 has nothing to do with the the share which affects one of the solidary debtors
condonation of the TOTAL obligation, not does not release the latter from his responsibility
know or they know but objected. Art. 1212 towards the co-debtors, in case the debt had been
it is VOID totally paid by anyone of them before the remission
was effected. (1146a)
May D1 who was responsible for the remission of
debt, who beneifited D2 and D3 reiumbers? NO. Article 1220. The remission of the whole obligation,
obtained by one of the solidary debtors, does not
*Read on our own entitle him to reimbursement from his co-debtors.
Article 1217. Payment made by one of the solidary debtors (n)
extinguishes the obligation. If two or more solidary debtors
offer to pay, the creditor may choose which offer to accept.
OBLIGATION WITH A PENAL CLAUSE
He who made the payment may claim from his co-debtors
Purposes:
only the share which corresponds to each, with the interest
for the payment already made. If the payment is made before 1. in order to strengthen the coercive power of
the debt is due, no interest for the intervening period may be the obligation
demanded. 2. to provide for a liquidated and a pre-
determined penalty in case of breach
When one of the solidary debtors cannot, because of his

insolvency, reimburse his share to the debtor paying the
obligation, such share shall be borne by all his co-debtors, in Art. 1226(1): Effect of Penalty
proportion to the debt of each. (1145a)

Article 1218. Payment by a solidary debtor shall not entitle Article 1226. In obligations with a penal clause, the penalty
him to reimbursement from his co-debtors if such payment is shall substitute the indemnity for damages and the payment
made after the obligation has prescribed or become illegal. (n) of interests in case of noncompliance, if there is no stipulation
to the contrary. Nevertheless, damages shall be paid if the
Because solidary, debtor liable to each obligor refuses to pay the penalty or is guilty of fraud in the
creditor fulfillment of the obligation.
Debtor may use as defense to the others the
The penalty may be enforced only when it is demandable in
defense of other solidary debtors in that accordance with the provisions of this Code. (1152a)
amount
substitutes the indemnity for damages
DEFENSES: penal clause may be enforced
1. Personal may still ask for damages?
Evade paying show debtor to whom
that defense perpetrates General rule: C can no longer enforce another
Defense that only a minor. amount aside from the stipulated penal clause
D3 is a minor the other debtors
may use that defense but only with Exception to the rule: Art. 1226
respect to his share


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Art. 1227: Limitation upon the Right of the debtor

Article 1227. The debtor cannot exempt himself from the

performance of the obligation by paying the penalty, save in
the case where this right has been expressly reserved for him.
Neither can the creditor demand the fulfillment of the
obligation and the satisfaction of the penalty at the same
time, unless this right has been clearly granted him. However,
if after the creditor has decided to require the fulfillment of
the obligation, the performance thereof should become
impossible without his fault, the penalty may be enforced.
(1153a)

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