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REPUBLICACTNO.386

ANACTTOORDAINANDINSTITUTETHECIVILCODEOFTHEPHILIPPINES

PRELIMINARYTITLE

CHAPTER1
EffectandApplicationofLaws

Article1.ThisActshallbeknownasthe"CivilCodeofthePhilippines."(n)

Article2.LawsshalltakeeffectafterfifteendaysfollowingthecompletionoftheirpublicationintheOfficialGazette,
unlessitisotherwiseprovided.ThisCodeshalltakeeffectoneyearaftersuchpublication.(1a)

Article3.Ignoranceofthelawexcusesnoonefromcompliancetherewith.(2)

Article4.Lawsshallhavenoretroactiveeffect,unlessthecontraryisprovided.(3)

Article5.Actsexecutedagainsttheprovisionsofmandatoryorprohibitorylawsshallbevoid,exceptwhenthelaw
itselfauthorizestheirvalidity.(4a)

Article6. Rights may be waived, unless the waiver is contrary to law, public order, public policy, morals, or good
customs,orprejudicialtoathirdpersonwitharightrecognizedbylaw.(4a)

Article7.Lawsarerepealedonlybysubsequentones,andtheirviolationornonobservanceshallnotbeexcused
bydisuse,orcustomorpracticetothecontrary.

WhenthecourtsdeclaredalawtobeinconsistentwiththeConstitution,theformershallbevoidandthelattershall
govern.

Administrativeorexecutiveacts,ordersandregulationsshallbevalidonlywhentheyarenotcontrarytothelawsor
theConstitution.(5a)

Article8.JudicialdecisionsapplyingorinterpretingthelawsortheConstitutionshallformapartofthelegalsystem
ofthePhilippines.(n)

Article9.Nojudgeorcourtshalldeclinetorenderjudgmentbyreasonofthesilence,obscurityorinsufficiencyof
thelaws.(6)

Article 10. In case of doubt in the interpretation or application of laws, it is presumed that the lawmaking body
intendedrightandjusticetoprevail.(n)

Article11.Customswhicharecontrarytolaw,publicorderorpublicpolicyshallnotbecountenanced.(n)

Article12.Acustommustbeprovedasafact,accordingtotherulesofevidence.(n)

Article13. When the laws speak of years, months, days or nights, it shall be understood that years are of three
hundredsixtyfivedayseachmonths,ofthirtydaysdays,oftwentyfourhoursandnightsfromsunsettosunrise.

If months are designated by their name, they shall be computed by the number of days which they respectively
have.

Incomputingaperiod,thefirstdayshallbeexcluded,andthelastdayincluded.(7a)

Article14.Penallawsandthoseofpublicsecurityandsafetyshallbeobligatoryuponallwholiveorsojourninthe
Philippineterritory,subjecttotheprinciplesofpublicinternationallawandtotreatystipulations.(8a)

Article15. Laws relating to family rights and duties, or to the status, condition and legal capacity of persons are
bindinguponcitizensofthePhilippines,eventhoughlivingabroad.(9a)

Article16.Realpropertyaswellaspersonalpropertyissubjecttothelawofthecountrywhereitisstipulated.
However,intestateandtestamentarysuccessions,bothwithrespecttotheorderofsuccessionandtotheamountof
successionalrightsandtotheintrinsicvalidityoftestamentaryprovisions,shallberegulatedbythenationallawof
thepersonwhosesuccessionisunderconsideration,whatevermaybethenatureofthepropertyandregardlessof
thecountrywhereinsaidpropertymaybefound.(10a)

Article17.Theformsandsolemnitiesofcontracts,wills,andotherpublicinstrumentsshallbegovernedbythelaws
ofthecountryinwhichtheyareexecuted.

WhentheactsreferredtoareexecutedbeforethediplomaticorconsularofficialsoftheRepublicofthePhilippines
inaforeigncountry,thesolemnitiesestablishedbyPhilippinelawsshallbeobservedintheirexecution.

Prohibitivelawsconcerningpersons,theiractsorproperty,andthosewhichhavefortheirobjectpublicorder,public
policyandgoodcustomsshallnotberenderedineffectivebylawsorjudgmentspromulgated,orbydeterminations
orconventionsagreeduponinaforeigncountry.(11a)

Article18. In matters which are governed by the Code of Commerce and special laws, their deficiency shall be
suppliedbytheprovisionsofthisCode.(16a)

CHAPTER2
HumanRelations(n)

Article19.Everypersonmust,intheexerciseofhisrightsandintheperformanceofhisduties,actwithjustice,give
everyonehisdue,andobservehonestyandgoodfaith.

Article20.Everypersonwho,contrarytolaw,wilfullyornegligentlycausesdamagetoanother,shallindemnifythe
latterforthesame.

Article 21. Any person who wilfully causes loss or injury to another in manner that is contrary to morals, good
customsorpublicpolicyshallcompensatethelatterforthedamage.

Article22. Every person who through an act of performance by another, or any other means, acquires or comes
intopossessionofsomethingattheexpenseofthelatterwithoutjustorlegalground,shallreturnthesametohim.

Article23.Evenwhenanactoreventcausingdamagetoanother'spropertywasnotduetothefaultornegligence
ofthedefendant,thelattershallbeliableforindemnityifthroughtheactoreventhewasbenefited.

Article24.Inallcontractual,propertyorotherrelations,whenoneofthepartiesisatadisadvantageonaccountof
hismoraldependence,ignorance,indigence,mentalweakness,tenderageorotherhandicap,thecourtsmustbe
vigilantforhisprotection.

Article25.Thoughtlessextravaganceinexpensesforpleasureordisplayduringaperiodofacutepublicwantor
emergencymaybestoppedbyorderofthecourtsattheinstanceofanygovernmentorprivatecharitableinstitution.

Article26.Everypersonshallrespectthedignity,personality,privacyandpeaceofmindofhisneighborsandother
persons.Thefollowingandsimilaracts,thoughtheymaynotconstituteacriminaloffense,shallproduceacauseof
actionfordamages,preventionandotherrelief:

(1)Pryingintotheprivacyofanother'sresidence

(2)Meddlingwithordisturbingtheprivatelifeorfamilyrelationsofanother

(3)Intriguingtocauseanothertobealienatedfromhisfriends

(4)Vexingorhumiliatinganotheronaccountofhisreligiousbeliefs,lowlystationinlife,placeofbirth,physical
defect,orotherpersonalcondition.

Article27.Anypersonsufferingmaterialormorallossbecauseapublicservantoremployeerefusesorneglects,
without just cause, to perform his official duty may file an action for damages and other relief against the latter,
withoutprejudicetoanydisciplinaryadministrativeactionthatmaybetaken.

Article 28. Unfair competition in agricultural, commercial or industrial enterprises or in labor through the use of
force, intimidation, deceit, machination or any other unjust, oppressive or highhanded method shall give rise to a
rightofactionbythepersonwhotherebysuffersdamage.

Article29.Whentheaccusedinacriminalprosecutionisacquittedonthegroundthathisguilthasnotbeenproved
beyondreasonabledoubt,acivilactionfordamagesforthesameactoromissionmaybeinstituted.Suchaction
requiresonlyapreponderanceofevidence.Uponmotionofthedefendant,thecourtmayrequiretheplaintifftofilea
bondtoanswerfordamagesincasethecomplaintshouldbefoundtobemalicious.

If in a criminal case the judgment of acquittal is based upon reasonable doubt, the court shall so declare. In the
absenceofanydeclarationtothateffect,itmaybeinferredfromthetextofthedecisionwhetherornottheacquittal
isduetothatground.

Article30.Whenaseparatecivilactionisbroughttodemandcivilliabilityarisingfromacriminaloffense,andno
criminalproceedingsareinstitutedduringthependencyofthecivilcase,apreponderanceofevidenceshalllikewise
besufficienttoprovetheactcomplainedof.

Article31.Whenthecivilactionisbasedonanobligationnotarisingfromtheactoromissioncomplainedofasa
felony,suchcivilactionmayproceedindependentlyofthecriminalproceedingsandregardlessoftheresultofthe
latter.

Article32. Any public officer or employee, or any private individual, who directly or indirectly obstructs, defeats,
violates or in any manner impedes or impairs any of the following rights and liberties of another person shall be
liabletothelatterfordamages:

(1)Freedomofreligion

(2)Freedomofspeech

(3)Freedomtowriteforthepressortomaintainaperiodicalpublication

(4)Freedomfromarbitraryorillegaldetention

(5)Freedomofsuffrage

(6)Therightagainstdeprivationofpropertywithoutdueprocessoflaw

(7)Therighttoajustcompensationwhenprivatepropertyistakenforpublicuse

(8)Therighttotheequalprotectionofthelaws

(9) The right to be secure in one's person, house, papers, and effects against unreasonable searches and
seizures

(10)Thelibertyofabodeandofchangingthesame

(11)Theprivacyofcommunicationandcorrespondence

(12)Therighttobecomeamemberofassociationsorsocietiesforpurposesnotcontrarytolaw

(13)TherighttotakepartinapeaceableassemblytopetitiontheGovernmentforredressofgrievances

(14)Therighttobeafreefrominvoluntaryservitudeinanyform

(15)Therightoftheaccusedagainstexcessivebail

(16)Therightoftheaccusedtobeheardbyhimselfandcounsel,tobeinformedofthenatureandcauseof
theaccusationagainsthim,tohaveaspeedyandpublictrial,tomeetthewitnessesfacetoface,andtohave
compulsoryprocesstosecuretheattendanceofwitnessinhisbehalf

(17)Freedomfrombeingcompelledtobeawitnessagainstone'sself,orfrombeingforcedtoconfessguilt,
orfrombeinginducedbyapromiseofimmunityorrewardtomakesuchconfession,exceptwhentheperson
confessingbecomesaStatewitness

(18)Freedomfromexcessivefines,orcruelandunusualpunishment,unlessthesameisimposedorinflicted
inaccordancewithastatutewhichhasnotbeenjudiciallydeclaredunconstitutionaland

(19)Freedomofaccesstothecourts.

In any of the cases referred to in this article, whether or not the defendant's act or omission constitutes a
criminaloffense,theaggrievedpartyhasarighttocommenceanentirelyseparateanddistinctcivilactionfor
damages,andforotherrelief.Suchcivilactionshallproceedindependentlyofanycriminalprosecution(ifthe
latterbeinstituted),andmaybeprovedbyapreponderanceofevidence.

Theindemnityshallincludemoraldamages.Exemplarydamagesmayalsobeadjudicated.
Theresponsibilityhereinsetforthisnotdemandablefromajudgeunlesshisactoromissionconstitutesaviolation
ofthePenalCodeorotherpenalstatute.

Article 33. In cases of defamation, fraud, and physical injuries a civil action for damages, entirely separate and
distinctfromthecriminalaction,maybebroughtbytheinjuredparty.Suchcivilactionshallproceedindependently
ofthecriminalprosecution,andshallrequireonlyapreponderanceofevidence.

Article34. When a member of a city or municipal police force refuses or fails to render aid or protection to any
personincaseofdangertolifeorproperty,suchpeaceofficershallbeprimarilyliablefordamages,andthecityor
municipalityshallbesubsidiarilyresponsibletherefor.Thecivilactionhereinrecognizedshallbeindependentofany
criminalproceedings,andapreponderanceofevidenceshallsufficetosupportsuchaction.

Article35.Whenaperson,claimingtobeinjuredbyacriminaloffense,chargesanotherwiththesame,forwhich
no independent civil action is granted in this Code or any special law, but the justice of the peace finds no
reasonable grounds to believe that a crime has been committed, or the prosecuting attorney refuses or fails to
institutecriminalproceedings,thecomplaintmaybringacivilactionfordamagesagainsttheallegedoffender.Such
civilactionmaybesupportedbyapreponderanceofevidence.Uponthedefendant'smotion,thecourtmayrequire
theplaintifftofileabondtoindemnifythedefendantincasethecomplaintshouldbefoundtobemalicious.

Ifduringthependencyofthecivilaction,aninformationshouldbepresentedbytheprosecutingattorney,thecivil
actionshallbesuspendeduntiltheterminationofthecriminalproceedings.

Article36.Prejudicialquestions,whichmustbedecidedbeforeanycriminalprosecutionmaybeinstitutedormay
proceed,shallbegovernedbyrulesofcourtwhichtheSupremeCourtshallpromulgateandwhichshallnotbein
conflictwiththeprovisionsofthisCode.

See
THEFAMILYCODEOFTHEPHILIPPINES,AsAmendedExecutiveOrder
209
THECHILDANDYOUTHWELFARECODE,AsAmendedPresidential
DecreeNo.603

BOOKI
PERSONS

TITLEI
CIVILPERSONALITY

CHAPTER1
GeneralProvisions

Article37. Juridical capacity, which is the fitness to be the subject of legal relations, is inherent in every natural
personandislostonlythroughdeath.Capacitytoact,whichisthepowertodoactswithlegaleffect,isacquired
andmaybelost.(n)

Article38.Minority,insanityorimbecility,thestateofbeingadeafmute,prodigalityandcivilinterdictionaremere
restrictions on capacity to act, and do not exempt the incapacitated person from certain obligations, as when the
latterarisefromhisactsorfrompropertyrelations,suchaseasements.(32a)

Article39.Thefollowingcircumstances,amongothers,modifyorlimitcapacitytoact:age,insanity,imbecility,the
stateofbeingadeafmute,penalty,prodigality,familyrelations,alienage,absence,insolvencyandtrusteeship.The
consequencesofthesecircumstancesaregovernedinthisCode,othercodes,theRulesofCourt,andinspecial
laws.Capacitytoactisnotlimitedonaccountofreligiousbelieforpoliticalopinion.

Amarriedwoman,twentyoneyearsofageorover,isqualifiedforallactsofcivillife,exceptincasesspecifiedby
law.(n)

CHAPTER2
NaturalPersons

Article40.Birthdeterminespersonalitybuttheconceivedchildshallbeconsideredbornforallpurposesthatare
favorabletoit,provideditbebornlaterwiththeconditionsspecifiedinthefollowingarticle.(29a)
Article41.Forcivilpurposes,thefoetusisconsideredbornifitisaliveatthetimeitiscompletelydeliveredfromthe
mother'swomb.However,ifthefoetushadanintrauterinelifeoflessthansevenmonths,itisnotdeemedbornifit
dieswithintwentyfourhoursafteritscompletedeliveryfromthematernalwomb.(30a)

Article42.Civilpersonalityisextinguishedbydeath.

Theeffectofdeathupontherightsandobligationsofthedeceasedisdeterminedbylaw,bycontractandbywill.
(32a)

Article43.Ifthereisadoubt,asbetweentwoormorepersonswhoarecalledtosucceedeachother,astowhichof
themdiedfirst,whoeverallegesthedeathofonepriortotheother,shallprovethesameintheabsenceofproof,it
ispresumedthattheydiedatthesametimeandthereshallbenotransmissionofrightsfromonetotheother.(33)

CHAPTER3
JuridicalPersons

Article44.Thefollowingarejuridicalpersons:

(1)TheStateanditspoliticalsubdivisions

(2)Othercorporations,institutionsandentitiesforpublicinterestorpurpose,createdbylawtheirpersonality
beginsassoonastheyhavebeenconstitutedaccordingtolaw

(3) Corporations, partnerships and associations for private interest or purpose to which the law grants a
juridicalpersonality,separateanddistinctfromthatofeachshareholder,partnerormember.(35a)

Article45.JuridicalpersonsmentionedinNos.1and2oftheprecedingarticlearegovernedbythelawscreatingor
recognizingthem.

Privatecorporationsareregulatedbylawsofgeneralapplicationonthesubject.

PartnershipsandassociationsforprivateinterestorpurposearegovernedbytheprovisionsofthisCodeconcerning
partnerships.(36and37a)

Article46.Juridicalpersonsmayacquireandpossesspropertyofallkinds,aswellasincurobligationsandbring
civilorcriminalactions,inconformitywiththelawsandregulationsoftheirorganization.(38a)

Article 47. Upon the dissolution of corporations, institutions and other entities for public interest or purpose
mentioned in No. 2 of article 44, their property and other assets shall be disposed of in pursuance of law or the
chartercreatingthem.Ifnothinghasbeenspecifiedonthispoint,thepropertyandotherassetsshallbeappliedto
similar purposes for the benefit of the region, province, city or municipality which during the existence of the
institutionderivedtheprincipalbenefitsfromthesame.(39a)

TITLEII
CITIZENSHIPANDDOMECILE

Article48.ThefollowingarecitizensofthePhilippines:

(1) Those who were citizens of the Philippines at the time of the adoption of the Constitution of the
Philippines

(2)ThoseborninthePhilippinesofforeignparentswho,beforetheadoptionofsaidConstitution,hadbeen
electedtopublicofficeinthePhilippines

(3)ThosewhosefathersarecitizensofthePhilippines

(4) Those whose mothers are citizens of the Philippines and, upon reaching the age of majority, elect
Philippinecitizenship

(5)Thosewhoarenaturalizedinaccordancewithlaw.(n)

Article49. Naturalization and the loss and reacquisition of citizenship of the Philippines are governed by special
laws.(n)
Article50.Fortheexerciseofcivilrightsandthefulfillmentofcivilobligations,thedomicileofnaturalpersonsisthe
placeoftheirhabitualresidence.(40a)

Article51.Whenthelawcreatingorrecognizingthem,oranyotherprovisiondoesnotfixthedomicileofjuridical
persons,thesameshallbeunderstoodtobetheplacewheretheirlegalrepresentationisestablishedorwherethey
exercisetheirprincipalfunctions.(41a)

TITLEIII
MARRIAGE

CHAPTER1
RequisitesofMarriage

Article 52. Marriage is not a mere contract but an inviolable social institution. Its nature, consequences and
incidentsaregovernedbylawandnotsubjecttostipulation,exceptthatthemarriagesettlementsmaytoacertain
extentfixthepropertyrelationsduringthemarriage.(n)

Article53.Nomarriageshallbesolemnizedunlessalltheserequisitesarecompliedwith:

(1)Legalcapacityofthecontractingparties

(2)Theirconsent,freelygiven
consent

(3)Authorityofthepersonperformingthemarriageand

(4)Amarriagelicense,exceptinamarriageofexceptionalcharacter(Sec.1a,art.3613).

Article 54. Any male of the age of sixteen years or upwards, and any female of the age of fourteen years or
upwards,notunderanyoftheimpedimentsmentionedinarticles80to84,maycontractmarriage.(2)

Article55.Noparticularformfortheceremonyofmarriageisrequired,butthepartieswithlegalcapacitytocontract
marriagemustdeclare,inthepresenceofthepersonsolemnizingthemarriageandoftwowitnessesoflegalage,
that they take each other as husband and wife. This declaration shall be set forth in an instrument in triplicate,
signed by signature or mark by the contracting parties and said two witnesses and attested by the person
solemnizingthemarriage.

In case of a marriage on the point of death, when the dying party, being physically unable, cannot sign the
instrumentbysignatureormark,itshallbesufficientforoneofthewitnessestothemarriagetosigninhisname,
whichfactshallbeattestedbytheministersolemnizingthemarriage.(3)

Article56.Marriagemaybesolemnizedby:

(1)TheChiefJusticeandAssociateJusticesoftheSupremeCourt

(2)ThePresidingJusticeandtheJusticesoftheCourtofAppeals

(3)JudgesoftheCourtsofFirstInstance

(4)Mayorsofcitiesandmunicipalities

(5)Municipaljudgesandjusticesofthepeace

(6)Priests,rabbis,ministersofthegospelofanydenomination,church,religionorsect,dulyregistered,as
providedinarticle92and

(7) Ship captains, airplane chiefs, military commanders, and consuls and viceconsuls in special cases
providedinarticles74and75.(4a)

Article57.Themarriageshallbesolemnizedpubliclyintheofficeofthejudgeinopencourtorofthemayororin
thechurch,chapelortemple,asthecasemaybe,andnotelsewhere,exceptincasesofmarriagescontractedon
thepointofdeathorinremoteplacesinaccordancewitharticle72ofthisCode,orincaseofmarriagereferredtoin
article76orwhenoneoftheparentsortheguardianofthefemaleorthelatterherselfifovereighteenyearsofage
requestitinwriting,inwhichcasesthemarriagemaybesolemnizedatahouseorplacedesignatedbysaidparent
orguardianofthefemaleorbythelatterherselfinaswornstatementtothateffect.(5a)
Article58. Save marriages of an exceptional character authorized in Chapter 2 of this Title, but not those under
article 75, no marriage shall be solemnized without a license first being issued by the local civil registrar of the
municipalitywhereeithercontractingpartyhabituallyresides.(7a)

Article59.Thelocalcivilregistrarshallissuetheproperlicenseifeachofthecontractingpartiesswearsseparately
beforehimorbeforeanypublicofficialauthorizedtoadministeroaths,toanapplicationinwritingsettingforththat
suchpartyhasthenecessaryqualificationsforcontractingmarriage.Theapplicants,theirparentsorguardiansshall
notberequiredtoexhibittheirresidencecertificatesinanyformalityinconnectionwiththesecuringofthemarriage
license.Suchapplicationshallinsofaraspossiblecontainthefollowingdata:

(1)Fullnameofthecontractingparty

(2)Placeofbirth

(3)Age,dateofbirth

(4)Civilstatus(single,widoworwidower,ordivorced)

(5)Ifdivorced,howandwhenthepreviousmarriagewasdissolved

(6)Presentresidence

(7)Degreeofrelationshipofthecontractingparties

(8)Fullnameofthefather

(9)Residenceofthefather

(10)Fullnameofthemother

(11)Residenceofthemother

(12) Full name and residence of the guardian or person having charge, in case the contracting party has
neitherfathernormotherandisundertheageoftwentyyears,ifamale,oreighteenyearsifafemale.(7a)

Article 60. The local civil registrar, upon receiving such application, shall require the exhibition of the original
baptismalorbirthcertificatesofthecontractingpartiesorcopiesofsuchdocumentsdulyattestedbythepersons
havingcustodyoftheoriginals.Thesecertificatesorcertifiedcopiesofthedocumentsrequiredbythisarticleneed
not to be sworn to and shall be exempt from the documentary stamp tax. The signature and official title of the
personissuingthecertificateshallbesufficientproofofitsauthenticity.

Ifeitherofthecontractingpartiesisunabletoproducehisbaptismalorbirthcertificateoracertifiedcopyofeither
becauseofthedestructionorlossoftheoriginal,orifitisshownbyanaffidavitofsuchpartyorofanyotherperson
thatsuchbaptismalorbirthcertificatehasnotyetbeenreceivedthoughthesamehasbeenrequestedoftheperson
havingcustodythereofatleastfifteendayspriortothedateoftheapplication,suchpartymayfurnishinlieuthereof
hisresidencecertificateforthecurrentyearoranypreviousyears,toshowtheagestatedinhisapplicationor,inthe
absencethereof,aninstrumentdrawnupandsworntobeforethelocalcivilregistrarconcernedoranypublicofficial
authorizedtosolemnizemarriage.Suchinstrumentshallcontainthesworndeclarationoftwowitnesses,oflawful
age,ofeithersex,settingforththefullname,profession,andresidenceofsuchcontractingpartyandofhisorher
parents,ifknown,andtheplaceanddateofbirthofsuchparty.Thenearestofkinofthecontractingpartiesshallbe
preferredaswitnesses,andintheirdefault,personswellknownintheprovinceorthelocalityfortheirhonestyand
goodrepute.

Theexhibitionofbaptismalorbirthcertificatesshallnotberequirediftheparentsofthecontractingpartiesappear
personallybeforethelocalcivilregistrarconcernedandsweartothecorrectnessofthelawfulageofsaidparties,as
stated in the application, or when the local civil registrar shall, by merely looking at the applicants upon their
personallyappearingbeforehim,beconvincedthateitherorbothofthemhavetherequiredage.(8a)

Article61.Incaseeitherofthecontractingpartiesisawidowedordivorcedperson,thesameshallberequiredto
furnish,insteadofthebaptismalorbirthcertificaterequiredinthelastprecedingarticle,thedeathcertificateofthe
deceasedspouseorthedecreeofthedivorcecourt,asthecasemaybe.Incasethedeathcertificatecannotbe
found,thepartyshallmakeanaffidavitsettingforththiscircumstanceandhisorheractualcivilstatusandthename
andthedateofthedeathofthedeceasedspouse.

Incaseeitherorbothofthecontractingparties,beingneitherwidowednordivorced,arelessthantwentyyearsof
age as regards the male and less than eighteen years as regards the female, they shall, in addition to the
requirementsoftheprecedingarticles,exhibittothelocalcivilregistrar,theconsenttotheirmarriage,oftheirfather,
consent
mother or guardian, or persons having legal charge of them, in the order mentioned. Such consent
consent shall be in
writing,underoathtakenwiththeappearanceoftheinterestedpartiesbeforetheproperlocalcivilregistrarorinthe
form of an affidavit made in the presence of two witnesses and attested before any official authorized by law to
administeroaths.(9a)

Article62. Males above twenty but under twentyfive years of age, or females above eighteen but under twenty
threeyearsofage,shallbeobligedtoasktheirparentsorguardianforadviceupontheintendedmarriage.Ifthey
donotobtainsuchadvice,orifitbeunfavorable,themarriageshallnottakeplacetillafterthreemonthsfollowing
the completion of the publication of the application for marriage license. A sworn statement by the contracting
parties to the effect that such advice has been sought, together with the written advice given, if any, shall
accompanytheapplicationformarriagelicense.Shouldtheparentsorguardianrefusetogiveanyadvice,thisfact
shallbestatedinthesworndeclaration.(n)

Article63.Thelocalcivilregistrarshallpostduringtenconsecutivedaysatthemaindoorofthebuildingwherehe
has his office a notice, the location of which shall not be changed once it has been placed, setting forth the full
names and domiciles of the applicants for a marriage license and other information given in the application. This
notice shall request all persons having knowledge of any impediment to the marriage to advise the local registrar
thereof.Thelicenseshallbeissuedafterthecompletionofthepublication,unlessthelocalcivilregistrarreceives
informationuponanyallegedimpedimenttothemarriage.(10a)

Article64. Upon being advised of any alleged impediment to the marriage, the local civil registrar shall forthwith
makeaninvestigation,examiningpersonsunderoath.Ifheisconvictedthatthereisanimpedimenttothemarriage,
itshallbehisdutytowithholdthemarriagelicense,unlessheisotherwiseorderedbyacompetentcourt.(n)

Article65. The local civil registrar shall demand the previous payment of fees required by law or regulations for
eachlicenseissued.Noothersumshallbecollected,inthenatureofafeeortaxofanykind,fortheissuanceofa
marriagelicense.Marriagelicensesshallbeissuedfreeofchargetoindigentparties,whenbothmaleandfemale
do not each own assessed real property in excess of five hundred pesos, a fact certified to, without cost, by the
provincialtreasurer,orintheabsencethereof,byastatementdulysworntobythecontractingpartiesbeforethe
localcivilregistrar.ThelicenseshallbevalidinanypartofthePhilippinesbutitshallbegoodfornomorethanone
hundredandtwentydaysfromthedateonwhichitisissuedandshallbedeemedcancelledattheexpirationofsaid
periodiftheinterestedpartieshavenotmadeuseofit.(11a)

Article66. When either or both of the contracting parties are citizens or subjects of a foreign country, it shall be
necessary,beforeamarriagelicensecanbeobtained,toprovidethemselveswithacertificateoflegalcapacityto
contractmarriage,tobeissuedbytheirrespectivediplomaticorconsularofficials.(13a)

Article67.Themarriagecertificateinwhichthecontractingpartiesshallstatethattheytakeeachotherashusband
andwife,shallalsocontain:

(1)Thefullnamesanddomicilesofthecontractingparties

(2)Theageofeach

(3)Astatementthatthepropermarriagelicensehasbeenissuedaccordingtolawandthatthecontracting
partieshavetheconsentoftheirparentsincasethemaleisundertwentyorthefemaleundereighteenyears
consent
ofageand

(4) A statement that the guardian or parent has been informed of the marriage, if the male is between the
agesoftwentyandtwentyfiveyears,andthefemalebetweeneighteenandtwentythreeyearsofage.(15a)

Article68.Itshallbethedutyofthepersonsolemnizingthemarriagetofurnishtoeitherofthecontractingparties
oneofthethreecopiesofthemarriagecontractreferredtoinarticle55,andtosendanothercopyofthedocument
notlaterthanfifteendaysafterthemarriagetookplacetothelocalcivilregistrarconcerned,whosedutyitshallbeto
issuetheproperreceipttoanypersonsendingamarriagecontractsolemnizedbyhim,includingmarriagesofan
exceptional character. The official, priest, or minister solemnizing the marriage shall retain the third copy of the
marriagecontract,themarriagelicenseandtheaffidavitoftheinterestedpartyregardingthesolemnizationofthe
marriageinaplaceotherthanthosementionedinarticle57iftherebeanysuchaffidavit,inthefilesthathemust
keep.(16a)

Article69. It shall be the duty of the local civil registrar to prepare the documents required by this Title, and to
administeroathstoallinterestedpartieswithoutanychargeinbothcases.

The documents and affidavits filed in connection with applications for marriage licenses shall be exempt from the
documentarystamptax.(17a)

Article70. The local civil registrar concerned shall enter all applications for marriage licenses filed with him in a
registerbookstrictlyintheorderinwhichthesameshallbereceived.Heshallenterinsaidregisterthenamesof
theapplicants,thedateonwhichthemarriagelicensewasissued,andsuchotherdataasmaybenecessary.(18a)
Article71.AllmarriagesperformedoutsidethePhilippinesinaccordancewiththelawsinforceinthecountrywhere
theywereperformed,andvalidthereassuch,shallalsobevalidinthiscountry,exceptbigamous,polygamous,or
incestuousmarriagesasdeterminedbyPhilippinelaw.(19a)

CHAPTER2
MarriagesofExceptionalCharacter

Article72.Incaseeitherofthecontractingpartiesisonthepointofdeathorthefemalehasherhabitualresidence
ataplacemorethanfifteenkilometersdistantfromthemunicipalbuildingandthereisnocommunicationbyrailroad
or by provincial or local highways between the former and the latter, the marriage may be solemnized without
necessity of a marriage license but in such cases the official, priest, or minister solemnizing it shall state in an
affidavitmadebeforethelocalcivilregistraroranypersonauthorizedbylawtoadministeroathsthatthemarriage
was performed in articulo mortis or at a place more than fifteen kilometers distant from the municipal building
concerned, in which latter case he shall give the name of the barrio where the marriage was solemnized. The
personwhosolemnizedthemarriageshallalsostate,ineithercase,thathetookthenecessarystepstoascertain
the ages and relationship of the contracting parties and that there was in his opinion no legal impediment to the
marriageatthetimethatitwassolemnized.(20)

Article73. The original of the affidavit required in the last preceding article, together with a copy of the marriage
contract,shallbesentbythepersonsolemnizingthemarriagetothelocalcivilregistrarofthemunicipalitywhereit
wasperformedwithintheperiodofthirtydays,aftertheperformanceofthemarriage.Thelocalcivilregistrarshall,
however,beforefilingthepapers,requirethepaymentintothemunicipaltreasuryofthelegalfeesrequiredinarticle
65.(21)

Article74. A marriage in articulo mortis may also be solemnized by the captain of a ship or chief of an airplane
duringavoyage,orbythecommandingofficerofamilitaryunit,intheabsenceofachaplain,duringwar.Theduties
mentioned in the two preceding articles shall be complied with by the ship captain, airplane chief or commanding
officer.(n)

Article 75. Marriages between Filipino citizens abroad may be solemnized by consuls and viceconsuls of the
RepublicofthePhilippines.Thedutiesofthelocalcivilregistrarandofajudgeorjusticeofthepeaceormayorwith
regardtothecelebrationofmarriageshallbeperformedbysuchconsulsandviceconsuls.(n)

Article76.Nomarriagelicenseshallbenecessarywhenamanandawomanwhohaveattainedtheageofmajority
and who, being unmarried, have lived together as husband and wife for at least five years, desire to marry each
other.Thecontractingpartiesshallstatetheforegoingfactsinanaffidavitbeforeanypersonauthorizedbylawto
administeroaths.Theofficial,priestorministerwhosolemnizedthemarriageshallalsostateinanaffidavitthathe
took steps to ascertain the ages and other qualifications of the contracting parties and that he found no legal
impedimenttothemarriage.(n)

Article77. In case two persons married in accordance with law desire to ratify their union in conformity with the
regulations, rites, or practices of any church, sect, or religion it shall no longer be necessary to comply with the
requirementsofChapter1ofthisTitleandanyratificationsomadeshallmerelybeconsideredasapurelyreligious
ceremony.(23)

Article78.MarriagesbetweenMohammedansorpaganswholiveinthenonChristianprovincesmaybeperformed
inaccordancewiththeircustoms,ritesorpractices.Nomarriagelicenseorformalrequisitesshallbenecessary.Nor
shallthepersonssolemnizingthesemarriagesbeobligedtocomplywitharticle92.

However, twenty years after approval of this Code, all marriages performed between Mohammedans or pagans
shall be solemnized in accordance with the provisions of this Code. But the President of the Philippines, upon
recommendation of the Secretary of the Interior, may at any time before the expiration of said period, by
proclamation,makeanyofsaidprovisionsapplicabletotheMohammedanandnonChristianinhabitantsofanyof
thenonChristianprovinces.(25a)

Article79.MixedmarriagesbetweenaChristianmaleandaMohammedanorpaganfemaleshallbegovernedby
the general provision of this Title and not by those of the last preceding article, but mixed marriages between a
MohammedanorpaganmaleandaChristianfemalemaybeperformedundertheprovisionsofthelastpreceding
articleifsodesiredbythecontractingparties,subject,however,inthelattercasetotheprovisionsofthesecond
paragraphofsaidarticle.(26)

CHAPTER3
VoidandVoidableMarriages
Article80.Thefollowingmarriagesshallbevoidfromthebeginning:

(1)Thosecontractedundertheagesofsixteenandfourteenyearsbythemaleandfemalerespectively,even
withtheconsentoftheparents
consent

(2)Thosesolemnizedbyanypersonnotlegallyauthorizedtoperformmarriages

(3)Thosesolemnizedwithoutamarriagelicense,savemarriagesofexceptionalcharacter

(4)Bigamousorpolygamousmarriagesnotfallingunderarticle83,number2

(5)Incestuousmarriagesmentionedinarticle81

(6)Thosewhereoneorbothcontractingpartieshavebeenfoundguiltyofthekillingofthespouseofeitherof
them

(7)Thosebetweenstepbrothersandstepsistersandothermarriagesspecifiedinarticle82.(n)

Article 81. Marriages between the following are incestuous and void from their performance, whether the
relationshipbetweenthepartiesbelegitimateorillegitimate:

(1)Betweenascendantsanddescendantsofanydegree

(2)Betweenbrothersandsisters,whetherofthefullorhalfblood

(3)Betweencollateralrelativesbybloodwithinthefourthcivildegree.(28a)

Article82.Thefollowingmarriagesshallalsobevoidfromthebeginning:

(1)Betweenstepfathersandstepdaughters,andstepmothersandstepsons

(2)Betweentheadoptingfatherormotherandtheadopted,betweenthelatterandthesurvivingspouseof
theformer,andbetweentheformerandthesurvivingspouseofthelatter

(3)Betweenthelegitimatechildrenoftheadopterandtheadopted.(28a)

Article 83. Any marriage subsequently contracted by any person during the lifetime of the first spouse of such
personwithanypersonotherthansuchfirstspouseshallbeillegalandvoidfromitsperformance,unless:

(1)Thefirstmarriagewasannulledordissolvedor

(2)Thefirstspousehadbeenabsentforsevenconsecutiveyearsatthetimeofthesecondmarriagewithout
thespousepresenthavingnewsoftheabsenteebeingalive,oriftheabsentee,thoughhehasbeenabsent
forlessthansevenyears,isgenerallyconsideredasdeadandbelievedtobesobythespousepresentatthe
timeofcontractingsuchsubsequentmarriage,oriftheabsenteeispresumeddeadaccordingtoarticles390
and391.Themarriagesocontractedshallbevalidinanyofthethreecasesuntildeclarednullandvoidbya
competentcourt.(29a)

Article84.Nomarriagelicenseshallbeissuedtoawidowtillafterthreehundreddaysfollowingthedeathofher
husband,unlessinthemeantimeshehasgivenbirthtoachild.(n)

Article85.Amarriagemaybeannulledforanyofthefollowingcauses,existingatthetimeofthemarriage:

(1)Thatthepartyinwhosebehalfitissoughttohavethemarriageannulledwasbetweentheagesofsixteen
andtwentyyears,ifmale,orbetweentheagesoffourteenandeighteenyears,iffemale,andthemarriage
wassolemnizedwithouttheconsentoftheparent,guardianorpersonhavingauthorityovertheparty,unless
consent
afterattainingtheagesoftwentyoreighteenyears,asthecasemaybe,suchpartyfreelycohabitedwiththe
otherandbothlivedtogetherashusbandandwife

(2)Inasubsequentmarriageunderarticle83,number2,thattheformerhusbandorwifebelievedtobedead
wasinfactlivingandthemarriagewithsuchformerhusbandorwifewastheninforce

(3)Thateitherpartywasofunsoundmind,unlesssuchparty,aftercomingtoreason,freelycohabitedwith
theotherashusbandorwife

(4)Thattheconsentofeitherpartywasobtainedbyfraud,unlesssuchpartyafterwards,withfullknowledge
consent
ofthefactsconstitutingthefraud,freelycohabitedwiththeotherasherhusbandorhiswife,asthecasemay
be
 (5)Thattheconsentofeitherpartywasobtainedbyforceorintimidation,unlesstheviolenceorthreathaving
consent
disappeared,suchpartyafterwardsfreelycohabitedwiththeotherasherhusbandorhiswife,asthecase
maybe

(6)Thateitherpartywas,atthetimeofmarriage,physicallyincapableofenteringintothemarriedstate,and
suchincapacitycontinues,andappearstobeincurable.(30a)

Article86.Anyofthefollowingcircumstancesshallconstitutefraudreferredtoinnumber4oftheprecedingarticle:

(1)Misrepresentationastotheidentityofoneofthecontractingparties

(2)Nondisclosureofthepreviousconvictionoftheotherpartyofacrimeinvolvingmoralturpitude,andthe
penaltyimposedwasimprisonmentfortwoyearsormore

(3) Concealment by the wife of the fact that at the time of the marriage, she was pregnant by a man other
thanherhusband.

Noothermisrepresentationordeceitastocharacter,rank,fortuneorchastityshallconstitutesuchfraudaswillgive
groundsforactionfortheannulmentofmarriage.(n)

Article 87. The action for annulment of marriage must be commenced by the parties and within the periods as
follows:

(1)Forcausesmentionedinnumber1ofarticle85,bythepartywhoseparentorguardiandidnotgivehisor
herconsent,withinfouryearsafterattainingtheageoftwentyoreighteenyears,asthecasemaybeorby
consent
theparentorguardianorpersonhavinglegalcharge,atanytimebeforesuchpartyhasarrivedattheageof
twentyoreighteenyears

(2)Forcausesmentionedinnumber2ofarticle85,bythespousewhohasbeenabsent,duringhisorher
lifetimeorbyeitherspouseofthesubsequentmarriageduringthelifetimeoftheother

(3)Forcausesmentionedinnumber3ofarticle85,bythesanespouse,whohadnoknowledgeoftheother's
insanityorbyanyrelativeorguardianofthepartyofunsoundmind,atanytimebeforethedeathofeither
party

(4)Forcausesmentionedinnumber4,bytheinjuredparty,withinfouryearsafterthediscoveryofthefraud

(5) For causes mentioned in number 5, by the injured party, within four years from the time the force or
intimidationceased

(6)Forcausesmentionedinnumber6,bytheinjuredparty,withineightyearsafterthemarriage.(31a)

Article88.Nojudgmentannullingamarriageshallbepromulgateduponastipulationoffactsorbyconfessionof
judgment.

Incaseofnonappearanceofthedefendant,theprovisionsofarticle101,paragraph2,shallbeobserved.(n)

Article89.Childrenconceivedorbornofmarriageswhicharevoidfromthebeginningshallhavethesamestatus,
rightsandobligationsasacknowledgednaturalchildren,andarecallednaturalchildrenbylegalfiction.

Children conceived of voidable marriages before the decree of annulment shall be considered as legitimate and
childrenconceivedthereaftershallhavethesamestatus,rightsandobligationsasacknowledgednaturalchildren,
andarealsocallednaturalchildrenbylegalfiction.(n)

Article90.Whenamarriageisannulled,thecourtshallawardthecustodyofthechildrenasitmaydeembest,and
make provision for their education and support. Attorney's fees and expenses incurred in the litigation shall be
chargedtotheconjugalpartnershipproperty,unlesstheactionfails.(33a)

Article91.Damagesmaybeawardedinthefollowingcaseswhenthemarriageisjudiciallyannulledordeclared
voidfromthebeginning:

(1)Iftherehasbeenfraud,forceorintimidationinobtainingtheconsentofoneofthecontractingparties
consent

(2)Ifeitherpartywas,atthetimeofthemarriage,physicallyincapableofenteringintothemarriedstate,and
theotherpartywasunawarethereof

(3)Ifthepersonsolemnizingthemarriagewasnotlegallyauthorizedtoperformmarriages,andthatfactwas
knowntooneofthecontractingparties,butheorsheconcealeditfromtheother
 (4) If a bigamous or polygamous marriage was celebrated, and the impediment was concealed from the
plaintiffbythepartydisqualified

(5) If in an incestuous marriage, or a marriage between a stepbrother and a stepsister or other marriage
prohibited by article 82, the relationship was known to only one of the contracting parties but was not
disclosedtotheother

(6)Ifonepartywasinsaneandtheotherwasawarethereofatthetimeofthemarriage.(n)

CHAPTER4
AuthoritytoSolemnizeMarriages

Article92.Everypriest,orminister,orrabbiauthorizedbyhisdenomination,church,sect,orreligiontosolemnize
marriageshallsendtothepropergovernmentofficeaswornstatementsettingforthhisfullnameanddomicile,and
that he is authorized by his denomination, church, sect, or religion to solemnize marriage, attaching to said
statement a certified copy of his appointment. The director of the proper government office, upon receiving such
sworn statement containing the information required, and being satisfied that the denomination, church, sect, or
religion of the applicant operates in the Philippines, shall record the name of such priest or minister in a suitable
registerandissuetohimanauthorizationtosolemnizemarriage.Saidpriestorministerorrabbishallbeobligedto
exhibithisauthorizationtothecontractingparties,totheirparents,grandparents,guardians,orpersonsincharge
demandingthesame.Nopriestorministernothavingtherequiredauthorizationmaysolemnizemarriage.(34a)

Article93. Freedom of religion shall be observed by public officials in the issuance of authorization to solemnize
marriages.Consequently,nopublicofficialshallattempttoinquireintothetruthorvalidityofanyreligiousdoctrine
heldbytheapplicantorbyhischurch.(n)

Article94.Thepublicofficialinchargeofregistrationofpriestsandministersshallcanceltheauthorizationissued
toabishop,head,priest,rabbi,pastororministerofthegospelofanydenomination,church,sect,orreligion,onhis
own initiative or at the request of any interested party, upon showing that the church, sect or religion whose
ministers have been authorized to solemnize marriage is no longer in operation. The cancellation of the
authorizationgrantedtoapriest,pastororministershalllikewisebeorderedupontherequestofthebishop,head,
orlawfulauthoritiesofthedenomination,church,sectorreligiontowhichhebelongs.(35a)

Article95.Thepublicofficialinchargeofregistrationofpriestsandministers,withtheapprovaloftheproperhead
ofDepartment,isherebyauthorizedtopreparethenecessaryformsandtopromulgateregulationsforthepurpose
ofenforcingtheprovisionsofthisTitle.Saidofficialmayalsobyregulationsfixandcollectfeesfortheauthorization
ofpriestsandministerstosolemnizemarriages.(36a)

Article 96. The existing laws which punish acts or omissions concerning the marriage license, solemnization of
marriage,authoritytosolemnizemarriages,andotheractsoromissionsrelativetothecelebrationofmarriageshall
remainandcontinuetobeinforce.(n)

TITLEIV
LEGALSEPARATION

Article97.Apetitionforlegalseparationmaybefiled:

(1)ForadulteryonthepartofthewifeandforconcubinageonthepartofthehusbandasdefinedinthePenal
Codeor

(2)Anattemptbyonespouseagainstthelifeoftheother.(n)

Article98.Ineverycasethecourtmusttakesteps,beforegrantingthelegalseparation,towardthereconciliationof
thespouses,andmustbefullysatisfiedthatsuchreconciliationishighlyimprobable.(n)

Article99.NopersonshallbeentitledtoalegalseparationwhohasnotresidedinthePhilippinesforoneyearprior
to the filing of the petition, unless the cause for the legal separation has taken place within the territory of this
Republic.(Sec.2a,ActNo.2710).

Article 100. The legal separation may be claimed only by the innocent spouse, provided there has been no
condonation of or consent
consent to the adultery or concubinage. Where both spouses are offenders, a legal separation
cannot be claimed by either of them. Collusion between the parties to obtain legal separation shall cause the
dismissalofthepetition.(3a,ActNo.2710)
Article 101. No decree of legal separation shall be promulgated upon a stipulation of facts or by confession of
judgment.

Incaseofnonappearanceofthedefendant,thecourtshallordertheprosecutingattorneytoinquirewhetherornot
acollusionbetweenthepartiesexists.Ifthereisnocollusion,theprosecutingattorneyshallintervenefortheState
inordertotakecarethattheevidencefortheplaintiffisnotfabricated.(n)

Article102.Anactionforlegalseparationcannotbefiledexceptwithinoneyearfromandafterthedateonwhich
theplaintiffbecamecognizantofthecauseandwithinfiveyearsfromandafterthedatewhensuchcauseoccurred.
(4a,Act2710)

Article103.Anactionforlegalseparationshallinnocasebetriedbeforesixmonthsshallhaveelapsedsincethe
filingofthepetition.(5a,Act2710)

Article104.Afterthefilingofthepetitionforlegalseparation,thespousesshallbeentitledtoliveseparatelyfrom
eachotherandmanagetheirrespectiveproperty.

The husband shall continue to manage the conjugal partnership property but if the court deems it proper, it may
appointanothertomanagesaidproperty,inwhichcasetheadministratorshallhavethesamerightsanddutiesasa
guardianandshallnotbeallowedtodisposeoftheincomeorofthecapitalexceptinaccordancewiththeordersof
thecourt.(6,Act2710)

Article105.Duringthependencyoflegalseparationproceedingsthecourtshallmakeprovisionforthecareofthe
minorchildreninaccordancewiththecircumstancesandmayordertheconjugalpartnershippropertyortheincome
therefromtobesetasidefortheirsupportandindefaultthereofsaidminorchildrenshallbecaredforinconformity
with the provisions of this Code but the Court shall abstain from making any order in this respect in case the
parents have by mutual agreement, made provision for the care of said minor children and these are, in the
judgmentofthecourt,wellcaredfor.(7a,Act2710)

Article106.Thedecreeoflegalseparationshallhavethefollowingeffects:

(1)Thespousesshallbeentitledtoliveseparatelyfromeachother,butmarriagebondsshallnotbesevered

(2)Theconjugalpartnershipofgainsortheabsoluteconjugalcommunityofpropertyshallbedissolvedand
liquidated,buttheoffendingspouseshallhavenorighttoanyshareoftheprofitsearnedbythepartnershipor
community,withoutprejudicetotheprovisionsofarticle176

(3)Thecustodyoftheminorchildrenshallbeawardedtotheinnocentspouse,unlessotherwisedirectedby
thecourtintheinterestofsaidminors,forwhomsaidcourtmayappointaguardian

(4) The offending spouse shall be disqualified from inheriting from the innocent spouse by intestate
succession.Moreover,provisionsinfavoroftheoffendingspousemadeinthewilloftheinnocentoneshall
berevokedbyoperationoflaw.(n)

Article107.Theinnocentspouse,afteradecreeoflegalseparationhasbeengranted,mayrevokethedonations
byreasonofmarriagemadebyhimorbyhertotheoffendingspouse.Alienationandmortgagesmadebeforethe
notationofthecomplaintforrevocationintheRegistryofPropertyshallbevalid.

Thisactionlapsesafterfouryearsfollowingthedatethedecreebecamefinal.(n)

Article108.Reconciliationstopstheproceedingsforlegalseparationandrescindsthedecreeoflegalseparation
alreadyrendered.

Therevivaloftheconjugalpartnershipofgainsoroftheabsoluteconjugalcommunityofpropertyshallbegoverned
byarticle195.(10a.Act2710)

TITLEV
RIGHTSANDOBLIGATIONSBETWEENHUSBANDANDWIFE

Article 109. The husband and wife are obliged to live together, observe mutual respect and fidelity, and render
mutualhelpandsupport.(56a)

Article110.Thehusbandshallfixtheresidenceofthefamily.Butthecourtmayexemptthewifefromlivingwiththe
husbandifheshouldliveabroadunlessintheserviceoftheRepublic.(58a)
Article111.Thehusbandisresponsibleforthesupportofthewifeandtherestofthefamily.Theseexpensesshall
be met first from the conjugal property, then from the husband's capital, and lastly from the wife's paraphernal
property.Incasethereisaseparationofproperty,bystipulationinthemarriagesettlements,thehusbandandwife
shallcontributeproportionatelytothefamilyexpenses.(n)

Article112.Thehusbandistheadministratoroftheconjugalproperty,unlessthereisastipulationinthemarriage
settlementsconferringtheadministrationuponthewife.Shemayalsoadministertheconjugalpartnershipinother
casesspecifiedinthisCode.(n)

Article113.Thehusbandmustbejoinedinallsuitsbyoragainstthewife,except:

(1)Whentheyarejudiciallyseparated

(2)Iftheyhaveinfactbeenseparatedforatleastoneyear

(3)Whenthereisaseparationofpropertyagreeduponinthemarriagesettlements

(4) If the administration of all the property in the marriage has been transferred to her, in accordance with
articles196and197

(5)Whenthelitigationisbetweenthehusbandandwife

(6)Ifthesuitconcernsherparaphernalproperty

(7)Whentheactionisuponthecivilliabilityarisingfromacriminaloffense

(8)Ifthelitigationisincidentaltotheprofession,occupationorbusinessinwhichsheisengaged

(9)Inanycivilactionreferredtoinarticles25to35and

(10)Inanactionuponaquasidelict.

InthecasesmentionedinNos.7to10,thehusbandmustbejoinedasapartydefendantifthethirdparagraphof
article163isapplicable.(n)

Article114.Thewifecannot,withoutthehusband'sconsentacquireanypropertybygratuitoustitle,exceptfromher
consent
ascendants,descendants,parentsinlaw,andcollateralrelativeswithinthefourthdegree.(n)

Article115.Thewifemanagestheaffairsofthehousehold.Shemaypurchasethingsnecessaryforthesupportof
the family, and the conjugal partnership shall be bound thereby. She may borrow money for this purpose, if the
husband fails to deliver the proper sum. The purchase of jewelry and precious objects is voidable, unless the
transactionhasbeenexpresslyortacitlyapprovedbythehusband,orunlessthepricepaidisfromherparaphernal
property.(62a)

Article116.Whenoneofthespousesneglectshisorherdutiestotheconjugalunionorbringsdanger,dishonoror
materialinjuryupontheother,theinjuredpartymayapplytothecourtforrelief.

Thecourtmaycounseltheoffendertocomplywithhisorherduties,andtakesuchmeasuresasmaybeproper.(n)

Article117.Thewifemayexerciseanyprofessionoroccupationorengageinbusiness.However,thehusbandmay
object,provided:

(1)Hisincomeissufficientforthefamily,accordingtoitssocialstanding,and

(2)Hisoppositionisfoundedonseriousandvalidgrounds.

Incaseofdisagreementonthisquestion,theparentsandgrandparentsaswellasthefamilycouncil,ifany,shallbe
consulted.Ifnoagreementisstillarrivedat,thecourtwilldecidewhatevermaybeproperandinthebestinterestof
thefamily.(n)

TITLEVI
PROPERTYRELATIONSBETWEENHUSBANDANDWIFE

CHAPTER1
GeneralProvisions
Article118.Thepropertyrelationsbetweenhusbandandwifeshallbegovernedinthefollowingorder:

(1)Bycontractexecutedbeforethemarriage

(2)BytheprovisionsofthisCodeand

(3)Bycustom.(1315a)

Article 119. The future spouses may in the marriage settlements agree upon absolute or relative community of
property, or upon complete separation of property, or upon any other regime. In the absence of marriage
settlements, or when the same are void, the system of relative community or conjugal partnership of gains as
establishedinthisCode,shallgovernthepropertyrelationsbetweenhusbandandwife.(n)

Article 120. A minor who according to law may contract marriage, may also execute his or her marriage
settlements but they shall be valid only if the persons designated by law to give consent
consent to the marriage of the
minor take part in the antenuptial agreement. In the absence of the parents or of a guardian, the consent
consent to the
marriagesettlementswillbegivenbythefamilycouncil.(1318a)

Article121. In order that any modification in the marriage settlements may be valid, it must be made before the
celebrationofthemarriage,subjecttotheprovisionsofArt.191.(1319a)

Article122.ThemarriagesettlementsandanymodificationthereofshallbegovernedbytheStatuteofFrauds,and
executedbeforethecelebrationofthemarriage.Theyshallnotprejudicethirdpersonsunlesstheyarerecordedin
theRegistryofProperty.(1321a)

Article 123. For the validity of marriage settlements executed by any person upon whom a sentence of civil
interdiction has been pronounced, the presence and participation of the guardian shall be indispensable, who for
this purpose shall be designated by a competent court, in accordance with the provisions of the Rules of Court.
(1323a)

Article 124. If the marriage is between a citizen of the Philippines and a foreigner, whether celebrated in the
Philippinesorabroad,thefollowingrulesshallprevail:

(1)IfthehusbandisacitizenofthePhilippineswhilethewifeisaforeigner,theprovisionsofthisCodeshall
governtheirrelations

(2)IfthehusbandisaforeignerandthewifeisacitizenofthePhilippines,thelawsofthehusband'scountry
shallbefollowed,withoutprejudicetotheprovisionsofthisCodewithregardtoimmovableproperty.(1325a)

Article 125. Everything stipulated in the settlements or contracts referred to in the preceding articles in
consideration of a future marriage shall be rendered void and without effect whatever, if the marriage should not
take place. However, those stipulations that do not depend upon the celebration of the marriage shall be valid.
(1326a)

CHAPTER2
DonationsbyReasonofMarriage

Article126.Donationsbyreasonsofmarriagearethosewhicharemadebeforeitscelebration,inconsiderationof
thesameandinfavorofoneorbothofthefuturespouses.(1327)

Article127. These donations are governed by the rules on ordinary donations established in Title III of Book III,
exceptastotheirformwhichshallberegulatedbytheStatuteofFraudsandinsofarastheyarenotmodifiedbythe
followingarticles.(1328a)

Article128.Minorsmaymakeandreceivedonationsintheirantenuptialcontract,providedtheyareauthorizedby
thepersonswhoaretogivetheirconsenttothemarriageofsaidminors.(1329a)
consent

Article129.Expressacceptanceisnotnecessaryforthevalidityofthesedonations.(1330)

Article130. The future spouses may give each other in their marriage settlements as much as onefifth of their
presentproperty,andwithrespecttotheirfutureproperty,onlyintheeventofdeath,totheextentlaiddownbythe
provisionsofthisCodereferringtotestamentarysuccession.(1331a)

Article 131. The donor by reason of marriage shall release the property donated from mortgages and all other
encumbrances upon the same, with the exception of easements, unless in the marriage settlements or in the
contractsthecontraryhasbeenstipulated.(1332a)
Article132.Adonationbyreasonofmarriageisnotrevocable,saveinthefollowingcases:

(1)Ifitisconditionalandtheconditionisnotcompliedwith

(2)Ifthemarriageisnotcelebrated

(3)Whenthemarriagetakesplacewithouttheconsentoftheparentsorguardian,asrequiredbylaw
consent

(4)Whenthemarriageisannulled,andthedoneeactedinbadfaith

(5)Uponlegalseparation,thedoneebeingtheguiltyspouse

(6) When the donee has committed an act of ingratitude as specified by the provisions of this Code on
donationsingeneral.(1333a)

Article133.Everydonationbetweenthespousesduringthemarriageshallbevoid.Thisprohibitiondoesnotapply
whenthedonationtakeseffectafterthedeathofthedonor.

Neitherdoesthisprohibitionapplytomoderategiftswhichthespousesmaygiveeachotherontheoccasionofany
familyrejoicing.(1334a)

Article134.Donationsduringthemarriagebyoneofthespousestothechildrenwhomtheotherspousehadby
another marriage, or to persons of whom the other spouse is a presumptive heir at the time of the donation are
voidable,attheinstanceofthedonor'sheirsafterhisdeath.(1335a)

CHAPTER3
ParaphernalProperty

Article 135. All property brought by the wife to the marriage, as well as all property she acquires during the
marriage,inaccordancewitharticle148,isparaphernal.(1381a)

Article136.Thewiferetainstheownershipoftheparaphernalproperty.(1382)

Article137.Thewifeshallhavetheadministrationoftheparaphernalproperty,unlessshedeliversthesametothe
husbandbymeansofapublicinstrumentempoweringhimtoadministerit.

Inthiscase,thepublicinstrumentshallberecordedintheRegistryofProperty.Asforthemovables,thehusband
shallgiveadequatesecurity.(1384a)

Article138.Thefruitsoftheparaphernalpropertyformpartoftheassetsoftheconjugalpartnership,andshallbe
subjecttothepaymentoftheexpensesofthemarriage.

Thepropertyitselfshallalsobesubjecttothedailyexpensesofthefamily,ifthepropertyoftheconjugalpartnership
andthehusband'scapitalarenotsufficienttherefor.(1385a)

Article 139. The personal obligations of the husband can not be enforced against the fruits of the paraphernal
property,unlessitbeprovedthattheyredoundedtothebenefitofthefamily.(1386)

Article140.Amarriedwomanofagemaymortgage,encumber,alienateorotherwisedisposeofherparaphernal
property,withoutthepermissionofthehusband,andappearaloneincourttolitigatewithregardtothesame.(n)

Article141. The alienation of any paraphernal property administered by the husband gives a right to the wife to
requiretheconstitutionofamortgageoranyothersecurityfortheamountofthepricewhichthehusbandmayhave
received.(1390a)

CHAPTER4
ConjugalPartnershipofGains

SECTION1
GeneralProvisions

Article142.Bymeansoftheconjugalpartnershipofgainsthehusbandandwifeplaceinacommonfundthefruits
oftheirseparatepropertyandtheincomefromtheirworkorindustry,anddivideequally,uponthedissolutionofthe
marriage or of the partnership, the net gains or benefits obtained indiscriminately by either spouse during the
marriage.(1392a)

Article143.Allpropertyoftheconjugalpartnershipofgainsisownedincommonbythehusbandandwife.(n)

Article 144. When a man and a woman live together as husband and wife, but they are not married, or their
marriageisvoidfromthebeginning,thepropertyacquiredbyeitherorbothofthemthroughtheirworkorindustryor
theirwagesandsalariesshallbegovernedbytherulesoncoownership.(n)

Article145.Theconjugalpartnershipshallcommencepreciselyonthedateofthecelebrationofthemarriage.Any
stipulationtothecontraryshallbevoid.(1393)

Article146.Waiverofthegainsoroftheeffectsofthispartnershipduringmarriagecannotbemadeexceptincase
ofjudicialseparation.

When the waiver takes place by reason of separation, or after the marriage has been dissolved or annulled, the
same shall appear in a public instrument, and the creditors shall have the right which article 1052 grants them.
(1394a)

Article147.Theconjugalpartnershipshallbegovernedbytherulesonthecontractofpartnershipinallthatisnot
inconflictwithwhatisexpresslydeterminedinthisChapter.(1395)

SECTION2
ExclusivePropertyofEachSpouse

Article148.Thefollowingshallbetheexclusivepropertyofeachspouse:

(1)Thatwhichisbroughttothemarriageashisorherown

(2)Thatwhicheachacquires,duringthemarriage,bylucrativetitle

(3)Thatwhichisacquiredbyrightofredemptionorbyexchangewithotherpropertybelongingtoonlyoneof
thespouses

(4)Thatwhichispurchasedwithexclusivemoneyofthewifeorofthehusband.(1396)

Article149. Whoever gives or promises capital to the husband shall not be subject to warranty against eviction,
exceptincaseoffraud.(1397)

Article150.Propertydonatedorleftbywilltothespouses,jointlyandwithdesignationofdeterminateshares,shall
pertaintothewifeasparaphernalproperty,andtothehusbandascapital,intheproportionspecifiedbythedonoror
testator,andintheabsenceofdesignation,shareandsharealike,withoutprejudicetowhatisprovidedinarticle
753.(1398a)

Article 151. If the donations are onerous, the amount of the charges shall be deducted from the paraphernal
propertyorfromthehusband'scapital,whenevertheyhavebeenbornebytheconjugalpartnership.(1399a)

Article 152. If some credit payable in a certain number of years, or a life pension, should pertain to one of the
spouses, the provisions of articles 156 and 157 shall be observed to determine what constitutes the paraphernal
propertyandwhatformsthecapitalofthehusband.(1400a)

SECTION3
ConjugalPartnershipProperty

Article153.Thefollowingareconjugalpartnershipproperty:

(1)Thatwhichisacquiredbyoneroustitleduringthemarriageattheexpenseofthecommonfund,whether
theacquisitionbeforthepartnership,orforonlyoneofthespouses

(2)Thatwhichisobtainedbytheindustry,orwork,orassalaryofthespouses,orofeitherofthem

(3) The fruits, rents or interests received or due during the marriage, coming from the common property or
fromtheexclusivepropertyofeachspouse.(1401)
Article154.Thatshareofthehiddentreasurewhichthelawawardstothefinderortheproprietorbelongstothe
conjugalpartnership.(n)

Article 155. Things acquired by occupation, such as fishing and hunting, pertain to the conjugal partnership of
gains.(n)

Article156.Wheneveranamountorcreditpayableinacertainnumberofyearsbelongstooneofthespouses,the
sumswhichmaybecollectedbyinstallmentsdueduringthemarriageshallnotpertaintotheconjugalpartnership,
butshallbeconsideredcapitalofthehusbandorofthewife,asthecreditmaybelongtooneortheotherspouse.
(1402)

Article157.Therighttoanannuity,whetherperpetualoroflife,andtherightofusufruct,belongingtooneofthe
spouses shall form a part of his or her separate property, but the fruits, pensions and interests due during the
marriageshallbelongtothepartnership.

The usufruct which the spouses have over the property of their children, though of another marriage, shall be
includedinthisprovision.(1403a)

Article158.Improvements,whetherforutilityoradornment,madeontheseparatepropertyofthespousesthrough
advancementsfromthepartnershiporthroughtheindustryofeitherthehusbandorthewife,belongtotheconjugal
partnership.

Buildings constructed, at the expense of the partnership, during the marriage on land belonging to one of the
spouses,alsopertaintothepartnership,butthevalueofthelandshallbereimbursedtothespousewhoownsthe
same.(1404a)

Article159.Whenevertheparaphernalpropertyorthehusband'scapitalconsists,inwholeorinpart,oflivestock
existinguponthedissolutionofthepartnership,thenumberofanimalsexceedingthatbroughttothemarriageshall
bedeemedtobeoftheconjugalpartnership.(1405a)

Article160.Allpropertyofthemarriageispresumedtobelongtotheconjugalpartnership,unlessitbeprovedthat
itpertainsexclusivelytothehusbandortothewife.(1407)

SECTION4
ChargesUponandObligationoftheConjugalPartnership

Article161.Theconjugalpartnershipshallbeliablefor:

(1)Alldebtsandobligationscontractedbythehusbandforthebenefitoftheconjugalpartnership,andthose
contractedbythewife,alsoforthesamepurpose,inthecaseswhereshemaylegallybindthepartnership

(2)Arrearsorincomedue,duringthemarriage,fromobligationswhichconstituteachargeuponpropertyof
eitherspouseorofthepartnership

(3)Minorrepairsorformerepreservationmadeduringthemarriageupontheseparatepropertyofeitherthe
husbandorthewifemajorrepairsshallnotbechargedtothepartnership

(4)Majororminorrepairsupontheconjugalpartnershipproperty

(5) The maintenance of the family and the education of the children of both husband and wife, and of
legitimatechildrenofoneofthespouses

(6)Expensestopermitthespousestocompleteaprofessional,vocationalorothercourse.(1408a)

Article162.Thevalueofwhatisdonatedorpromisedtothecommonchildrenbythehusband,onlyforsecuring
theirfutureorthefinishingofacareer,orbybothspousesthroughacommonagreement,shallalsobechargedto
theconjugalpartnership,whentheyhavenotstipulatedthatitistobesatisfiedfromthepropertyofoneofthem,in
wholeorinpart.(1409)

Article163.Thepaymentofdebtscontractedbythehusbandorthewifebeforethemarriageshallnotbecharged
totheconjugalpartnership.

Neithershallthefinesandpecuniaryindemnitiesimposeduponthembechargedtothepartnership.

However, the payment of debts contracted by the husband or the wife before the marriage, and that of fines and
indemnities imposed upon them, may be enforced against the partnership assets after the responsibilities
enumeratedinarticle161havebeencovered,ifthespousewhoisboundshouldhavenoexclusivepropertyorifit
shouldbeinsufficientbutatthetimeoftheliquidationofthepartnershipsuchspouseshallbechargedforwhathas
beenpaidforthepurposeabovementioned.(1410)

Article164.Whatevermaybelostduringthemarriageinanykindofgambling,bettingorgame,whetherpermitted
orprohibitedbylaw,shallbebornebytheloser,andshallnotbechargedtotheconjugalpartnership.(1411a)

SECTION5
AdministrationoftheConjugalPartnership

Article165.Thehusbandistheadministratoroftheconjugalpartnership.(1412a)

Article166.Unlessthewifehasbeendeclaredanoncomposmentisoraspendthrift,orisundercivilinterdictionor
isconfinedinaleprosarium,thehusbandcannotalienateorencumberanyrealpropertyoftheconjugalpartnership
withoutthewife'sconsent.Ifsherefusesunreasonablytogiveherconsent,thecourtmaycompelhertograntthe
consent consent
same.

ThisarticleshallnotapplytopropertyacquiredbytheconjugalpartnershipbeforetheeffectivedateofthisCode.
(1413a)

Article167.Incaseofabuseofpowersofadministrationoftheconjugalpartnershippropertybythehusband,the
courts,onpetitionofthewife,mayprovideforreceivership,oradministrationbythewife,orseparationofproperty.
(n)

Article168. The wife may, by express authority of the husband embodied in a public instrument, administer the
conjugalpartnershipproperty.(n)

Article169.Thewifemayalsobyexpressauthorityofthehusbandappearinginapublicinstrument,administerthe
latter'sestate.(n)

Article 170. The husband or the wife may dispose by will of his or her half of the conjugal partnership profits.
(1414a)

Article171. The husband may dispose of the conjugal partnership property for the purposes specified in articles
161and162.(1415a)

Article172.Thewifecannotbindtheconjugalpartnershipwithoutthehusband'sconsentexceptincasesprovided
consent
bylaw.(1416a)

Article173.Thewifemay,duringthemarriage,andwithintenyearsfromthetransactionquestioned,askthecourts
fortheannulmentofanycontractofthehusbandenteredintowithoutherconsent,whensuchconsentisrequired,
consent consent
oranyactorcontractofthehusbandwhichtendstodefraudherorimpairherinterestintheconjugalpartnership
property. Should the wife fail to exercise this right, she or her heirs, after the dissolution of the marriage, may
demandthevalueofpropertyfraudulentlyalienatedbythehusband.(n)

Article174.Withtheexceptionofmoderatedonationsforcharity,neitherhusbandnorwifecandonateanyproperty
oftheconjugalpartnershipwithouttheconsentoftheother.(n)
consent

SECTION6
DissolutionoftheConjugalPartnership

Article175.Theconjugalpartnershipofgainsterminates:

(1)Uponthedeathofeitherspouse

(2)Whenthereisadecreeoflegalseparation

(3)Whenthemarriageisannulled

(4)Incaseofjudicialseparationofpropertyunderarticle191.(1417a)

Article176.Incaseoflegalseparation,theguiltyspouseshallforfeithisorhershareoftheconjugalpartnership
profits,whichshallbeawardedtothechildrenofboth,andthechildrenoftheguiltyspousehadbyapriormarriage.
However,iftheconjugalpartnershippropertycamemostlyorentirelyfromtheworkorindustry,orfromthewages
andsalaries,orfromthefruitsoftheseparatepropertyoftheguiltyspouse,thisforfeitureshallnotapply.
Incasetherearenochildren,theinnocentspouseshallbeentitledtoallthenetprofits.(n)

Article177.Incaseofannulmentofthemarriage,thespousewhoactedinbadfaithorgavecauseforannulment
shallforfeithisorhershareoftheconjugalpartnershipprofits.Theprovisionoftheprecedingarticleshallgovern.
(n)

Article178.Theseparationinfactbetweenhusbandandwifewithoutjudicialapproval,shallnotaffecttheconjugal
partnership,exceptthat:

(1)Thespousewholeavestheconjugalhomeorrefusestolivetherein,withoutjustcause,shallnothavea
righttobesupported

(2)Whentheconsentofonespousetoanytransactionoftheotherisrequiredbylaw,judicialauthorization
consent
shallbenecessary

(3)Ifthehusbandhasabandonedthewifewithoutjustcauseforatleastoneyear,shemaypetitionthecourt
forareceivership,oradministrationbyheroftheconjugalpartnershipproperty,orseparationofproperty.(n)

SECTION7
LiquidationoftheConjugalPartnership

Article179.Uponthedissolutionoftheconjugalpartnership,aninventoryshallbeformed,butsuchinventoryshall
notbenecessary:

(1) If, after the dissolution of the partnership, one of the spouses should have renounced its effects and
consequencesinduetimeor

(2)Whenseparationofpropertyhasprecededthedissolutionofthepartnership.(1418a)

Article180. The bed and bedding which the spouses ordinarily use shall not be included in the inventory. These
effects,aswellastheclothingfortheirordinaryuse,shallbedeliveredtothesurvivingspouse.(1420)

Article181.Theinventoryhavingbeencompleted,theparaphernalpropertyshallfirstbepaid.Then,thedebtsand
chargesagainsttheconjugalpartnershipshallbepaid.(1422a)

Article182. The debts, charges and obligations of the conjugal partnership having been paid the capital of the
husbandshallbeliquidatedandpaidtotheamountofthepropertyinventoried.(1423a)

Article 183. The deductions from the inventoried property having been made as provided in the two preceding
articles,theremainderofsaidpropertyshallconstitutethecreditoftheconjugalpartnership.(1424)

Article184.Thelossordeteriorationofthemovablesbelongingtoeitherspouse,althoughthroughfortuitousevent,
shallbepaidfromtheconjugalpartnershipofgains,shouldtherebeany.

Those suffered by real property shall not be reimbursable in any case, except those on paraphernal property
administeredbythehusband,whenthelosseswereduetohisfault.Heshallpayforthesame.(1425a)

Article185.Thenetremainderoftheconjugalpartnershipofgainsshallbedividedequallybetweenthehusband
and the wife or their respective heirs, unless a different basis of division was agreed upon in the marriage
settlements.(1426a)

Article 186. The mourning apparel of the widow shall be paid for out of the estate of the deceased husband.
(1427a)

Article187. With regard to the formation of the inventory, rules for appraisal and sale of property of the conjugal
partnership,andothermatterswhicharenotexpresslydeterminedinthepresentChapter,theRulesofCourtonthe
administrationofestatesofdeceasedpersonsshallbeobserved.(1428a)

Article188.Fromthecommonmassofpropertysupportshallbegiventothesurvivingspouseandtothechildren
duringtheliquidationoftheinventoriedpropertyanduntilwhatbelongstothemisdeliveredbutfromthisshallbe
deductedthatamountreceivedforsupportwhichexceedsthefruitsorrentspertainingtothem.(1430)

Article189.Whenevertheliquidationofthepartnershipoftwoormoremarriagescontractedbythesameperson
shouldbecarriedoutatthesametime,inordertodeterminethecapitalofeachpartnershipallkindsofproofinthe
absenceofinventoriesshallbeadmittedandincaseofdoubt,thepartnershippropertyshallbedividedbetween
the different partnerships in proportion to the duration of each and to the property belonging to the respective
spouses.(1431)

CHAPTER5
SeparationofPropertyoftheSpousesandAdministrationofPropertybytheWifeDuringtheMarriage

Article 190. In the absence of an express declaration in the marriage settlements, the separation of property
betweenspousesduringthemarriageshallnottakeplacesaveinvirtueofajudicialorder.(1432a)

Article 191. The husband or the wife may ask for the separation of property, and it shall be decreed when the
spouseofthepetitionerhasbeensentencedtoapenaltywhichcarrieswithitcivilinterdiction,orhasbeendeclared
absent,orwhenlegalseparationhasbeengranted.

In case of abuse of powers of administration of the conjugal partnership property by the husband, or in case of
abandonmentbythehusband,separationofpropertymayalsobeorderedbythecourt,accordingtotheprovisions
ofarticles167and178,No.3.

Inallthesecases,itissufficienttopresentthefinaljudgmentwhichhasbeenenteredagainsttheguiltyorabsent
spouse.(1433a)

Thehusbandandthewifemayagreeuponthedissolutionoftheconjugalpartnershipduringthemarriage,subject
tojudicialapproval.Allthecreditorsofthehusbandandofthewife,aswellasoftheconjugalpartnershipshallbe
notifiedofanypetitionforjudicialapprovalorthevoluntarydissolutionoftheconjugalpartnership,sothatanysuch
creditorsmayappearatthehearingtosafeguardhisinterests.Uponapprovalofthepetitionfordissolutionofthe
conjugalpartnership,thecourtshalltakesuchmeasuresasmayprotectthecreditorsandotherthirdpersons.

Afterdissolutionoftheconjugalpartnership,theprovisionsofarticles214and215shallapply.Theprovisionsofthis
Codeconcerningtheeffectofpartitionstatedinarticles498to501shallbeapplicable.(1433a)

Article192.Oncetheseparationofpropertyhasbeenordered,theconjugalpartnershipshallbedissolved,andits
liquidationshallbemadeinconformitywithwhathasbeenestablishedbythisCode.

However,withoutprejudicetotheprovisionsofarticle292,thehusbandandthewifeshallbereciprocallyliablefor
their support during the separation, and for the support and education of their children all in proportion to their
respectiveproperty.

TheshareofthespousewhoisundercivilinterdictionorabsentshallbeadministeredinaccordancewiththeRules
ofCourt.(1434a)

Article193.Thecomplaintforseparationandthefinaljudgmentdeclaringthesame,shallbenotedandrecordedin
theproperregistersofproperty,ifthejudgmentshouldrefertoimmovableproperty.(1437)

Article194.Theseparationofpropertyshallnotprejudicetherightspreviouslyacquiredbycreditors.(1438)

Article195.Theseparationofpropertyceases:

(1)Uponreconciliationofthespouses,incaseoflegalseparation

(2)Whenthecivilinterdictionterminates

(3)Whentheabsentspouseappears

(4)Whenthecourt,attheinstanceofthewife,authorizesthehusbandtoresumetheadministrationofthe
conjugal partnership, the court being satisfied that the husband will not again abuse his powers as an
administrator

(5)Whenthehusband,whohasabandonedthewife,rejoinsher.

Intheabovecases,thepropertyrelationsbetweenthespousesshallbegovernedbythesamerulesasbeforethe
separation,withoutprejudicetotheactsandcontractslegallyexecutedduringtheseparation.

The spouses shall state, in a public document, all the property which they return to the marriage and which shall
constitutetheseparatepropertyofeach.

ThispublicdocumentshallberecordedintheRegistryofProperty.
In the cases referred to in this article, all the property brought in shall be deemed to be newly contributed, even
though all or some may be the same which existed before the liquidation effected by reason of the separation.
(1439a)

Article196. With the conjugal partnership subsisting, the administration of all classes of property in the marriage
maybetransferredbythecourtstothewife:

(1)Whenshebecomestheguardianofherhusband

(2)Whensheasksforthedeclarationofhisabsence

(3)Incaseofcivilinterdictionofthehusband.

Thecourtsmayalsoconfertheadministrationtothewife,withsuchlimitationastheymaydeemadvisable,ifthe
husband should become a fugitive from justice or be in hiding as a defendant in a criminal case, or if, being
absolutelyunabletoadminister,heshouldhavefailedtoprovideforadministration.(1441a)

Article197.Thewifetowhomtheadministrationofallthepropertyofthemarriageistransferredshallhave,with
respecttosaidproperty,thesamepowersandresponsibilitywhichthehusbandhaswhenheistheadministrator,
butalwayssubjecttotheprovisionsofthelastparagraphoftheprecedingarticle.(1442a)

CHAPTER6
SystemofAbsoluteCommunity

Article198.Incasethefuturespousesagreeinthemarriagesettlementsthatthesystemofabsolutecommunity
shallgoverntheirpropertyrelationsduringmarriage,thefollowingprovisionsshallbeofsupplementaryapplication.

Article 199. In the absence of stipulation to the contrary, the community shall consist of all present and future
propertyofthespousesnotexceptedbylaw.

Article200.Neitherspousemayrenounceanyinheritancewithouttheconsentoftheother.Incaseofconflict,the
consent
courtshalldecidethequestion,afterconsultingthefamilycouncil,ifthereisany.

Article201.Thefollowingshallbeexcludedfromthecommunity:

(1)Propertyacquiredbygratuitoustitlebyeitherspouse,whenitisprovidedbythedonorortestatorthatit
shallnotbecomeapartofthecommunity

(2)Propertyinheritedbyeitherhusbandorwifethroughthedeathofachildbyaformermarriage,therebeing
brothersorsistersofthefullbloodofthedeceasedchild

(3) A portion of the property of either spouse equivalent to the presumptive legitime of the children by a
formermarriage

(4)Personalbelongingsofeitherspouse.

However,allthefruitsandincomeoftheforegoingclassesofpropertyshallbeincludedinthecommunity.

Article 202. Antenuptial debts of either spouse shall not be paid from the community, unless the same have
redoundedtothebenefitofthefamily.

Article203.Debtscontractedbybothspousesorbyoneofthemwiththeconsentoftheothershallbepaidfrom
consent
thecommunity.Ifthecommonpropertyisinsufficienttocovercommondebts,thesamemaybeenforcedagainst
theseparatepropertyofthespouses,whoshallbeequallyliable.

Article204. Debts contracted by either spouse without the consent

consent of the other shall be chargeable against the
communitytotheextentthatthefamilymayhavebeenbenefitedthereby.

Article205.Indemnitiesthatmustbepaidbyeitherspouseonaccountofacrimeorofaquasidelictshallbepaid
fromthecommonassets,withoutanyobligationtomakereimbursement.

Article 206. The ownership, administration, possession and enjoyment of the common property belong to both
spousesjointly.Incaseofdisagreement,thecourtsshallsettlethedifficulty.

Article207. Neither spouse may alienate or encumber any common property without the consent
consent of the other. In
caseofunjustifiablerefusalbytheotherspouse,thecourtsmaygrantthenecessaryconsent.
consent
Article208.Theabsolutecommunityofpropertyshallbedissolvedonanyofthegroundsspecifiedinarticle175.

Article209.Whenthereisaseparationinfactbetweenhusbandandwife,withoutjudicialapproval,theprovisions
ofarticle178shallapply.

Article210.Uponthedissolutionandliquidationofthecommunity,thenetassetsshallbedividedequallybetween
the husband and the wife or their heirs. In case of legal separation or annulment of marriage, the provisions of
articles176and177shallapplytothenetprofitsacquiredduringthemarriage.

Article211.LiquidationoftheabsolutecommunityshallbegovernedbytheRulesofCourtontheadministrationof
theestateofdeceasedpersons.

CHAPTER7
SystemofCompleteSeparationofProperty

Article 212. Should the future spouses agree in the marriage settlements that their property relations during
marriage shall be based upon the system of complete separation of property, the following provisions shall
supplementthemarriagesettlements.ARTICLE213.Separationofpropertymayrefertopresentorfutureproperty
orboth.Itmaybetotalorpartial.Inthelattercase,thepropertynotagreeduponasseparateshallpertaintothe
conjugalpartnershipofgains.

Article 214. Each spouse shall own, dispose of, possess, administer and enjoy his or her own separate estate,
withouttheconsentoftheother.Allearningsfromanyprofession,businessorindustryshalllikewisebelongtoeach
consent
spouse.

Article215.Eachspouseshallproportionatelybearthefamilyexpenses.

TITLEVII
THEFAMILY(n)

CHAPTER1
TheFamilyasanInstitution

Article216.Thefamilyisabasicsocialinstitutionwhichpublicpolicycherishesandprotects.

Article217.Familyrelationsshallincludethose:

(1)Betweenhusbandandwife

(2)Betweenparentandchild

(3)Amongotherascendantsandtheirdescendants

(4)Amongbrothersandsisters.

Article218.Thelawgovernsfamilyrelations.Nocustom,practiceoragreementwhichisdestructiveofthefamily
shallberecognizedorgivenanyeffect.

Article219. Mutual aid, both moral and material, shall be rendered among members of the same family. Judicial
andadministrativeofficialsshallfosterthismutualassistance.

Article220.Incaseofdoubt,allpresumptionsfavorthesolidarityofthefamily.Thus,everyintendmentoflawor
factsleanstowardthevalidityofmarriage,theindissolubilityofthemarriagebonds,thelegitimacyofchildren,the
communityofpropertyduringmarriage,theauthorityofparentsovertheirchildren,andthevalidityofdefensefor
anymemberofthefamilyincaseofunlawfulaggression.

Article221.Thefollowingshallbevoidandofnoeffect:

(1)Anycontractforpersonalseparationbetweenhusbandandwife

(2)Everyextrajudicialagreement,duringmarriage,forthedissolutionoftheconjugalpartnershipofgainsor
oftheabsolutecommunityofpropertybetweenhusbandandwife
 (3)Everycollusiontoobtainadecreeoflegalseparation,orofannulmentofmarriage

(4)Anysimulatedalienationofpropertywithintenttodeprivethecompulsoryheirsoftheirlegitime.

Article222.Nosuitshallbefiledormaintainedbetweenmembersofthesamefamilyunlessitshouldappearthat
earnesteffortstowardacompromisehavebeenmade,butthatthesamehavefailed,subjecttothelimitationsin
article2035.

CHAPTER2
TheFamilyHome(n)

SECTION1
GeneralProvisions

Article223.Thefamilyhomeisthedwellinghousewhereapersonandhisfamilyreside,andthelandonwhichitis
situated. If constituted as herein provided, the family home shall be exempt from execution, forced sale or
attachment,exceptasprovidedinarticles232and243.

Article224.Thefamilyhomemaybeestablishedjudiciallyorextrajudicially.

SECTION2
JudicialConstitutionoftheFamilyHome

Article225.ThefamilyhomemaybeconstitutedbyaverifiedpetitiontotheCourtofFirstInstancebytheownerof
theproperty,andbyapprovalthereofbythecourt.

Article226.Thefollowingshallbebeneficiariesofthefamilyhome

(1)Thepersonestablishingthesame

(2)Hisorherspouse

(3)Hisorherparents,ascendants,descendants,brothersandsisters,whethertherelationshipbelegitimate
orotherwise,whoarelivinginthefamilyhomeandwhodependuponhimforsupport.

Article227.Thefamilyhomemayalsobesetupbyanunmarriedpersonwhoistheheadofafamilyorhousehold.

Article 228. If the petitioner is married, the family home may be selected from the conjugal partnership or
community property, or from the separate property of the husband, or, with the consent
consent of the wife, from her
paraphernalproperty.

Article229.Thepetitionshallcontainthefollowingparticulars:

(1)Descriptionoftheproperty

(2)Anestimateofitsactualvalue

(3)Astatementthatthepetitionerisactuallyresidinginthepremises

(4)Theencumbrancesthereon

(5)Thenamesandaddressesofallthecreditorsofthepetitionerandofallmortgageesandotherpersons
whohaveaninterestintheproperty

(6)Thenamesoftheotherbeneficiariesspecifiedinarticle226.

Article230.Creditors,mortgageesandallotherpersonswhohaveaninterestintheestateshallbenotifiedofthe
petition,andgivenanopportunitytopresenttheirobjectionsthereto.Thepetitionshall,moreover,bepublishedonce
aweekforthreeconsecutiveweeksinanewspaperofgeneralcirculation.

Article231.Ifthecourtfindsthattheactualvalueoftheproposedfamilyhomedoesnotexceedtwentythousand
pesos, or thirty thousand pesos in chartered cities, and that no third person is prejudiced, the petition shall be
approved.Shouldanycreditorwhoseclaimisunsecured,opposetheestablishmentofthefamilyhome,thecourt
shallgrantthepetitionifthedebtorgivessufficientsecurityforthedebt.

Article232.Thefamilyhome,afteritscreationbyvirtueofjudicialapproval,shallbeexemptfromexecution,forced
sale,orattachment,except:

(1)Fornonpaymentoftaxesor

(2) In satisfaction of a judgment on a debt secured by a mortgage constituted on the immovable before or
aftertheestablishmentofthefamilyhome.

In case of insolvency of the person constituting the family home, the property shall not be considered one of the
assetstobetakenpossessionofbytheassigneeforthebenefitofcreditors.

Article233.TheorderofthecourtapprovingtheestablishmentofthefamilyhomeshallberecordedintheRegistry
ofProperty.

Article234. When there is danger that a person obliged to give support may lose his or her fortune because of
gravemismanagementoronaccountofriotousliving,hisorherspouse,ifany,andamajorityofthoseentitledtobe
supportedbyhimorbyhermaypetitiontheCourtofFirstInstanceforthecreationofthefamilyhome.

Article235.Thefamilyhomemaybesold,alienatedorencumberedbythepersonwhohasconstitutedthesame,
withtheconsentofhisorherspouse,andwiththeapprovalofthecourt.However,thefamilyhomeshallunderno
consent
circumstancesbedonatedaslongastherearebeneficiaries.Incaseofsale,thepriceorsuchportionthereofas
maybedeterminedbythecourtshallbeusedinacquiringpropertywhichshallbeformedintoanewfamilyhome.
Any sum of money obtained through an encumbrance on the family home shall be used in the interest of the
beneficiaries.Thecourtshalltakemeasurestoimplementthelasttwoprovisions.

Article236.Thefamilyhomemaybedissolveduponthepetitionofthepersonwhohasconstitutedthesame,with
thewrittenconsentofhisorherspouseandofatleastonehalfofalltheotherbeneficiarieswhoareeighteenyears
consent
ofageorover.Thecourtmaygrantthepetitionifitissatisfactorilyshownthatthebestinterestofthefamilyrequires
thedissolutionofthefamilyhome.

Article 237. In case of legal separation or annulment of marriage, the family home shall be dissolved, and the
propertyshallceasetobeexemptfromexecution,forcedsaleorattachment.

Article238. Upon the death of the person who has set up the family home, the same shall continue, unless he
desiredotherwiseinhiswill.Theheirscannotaskforitspartitionduringthefirsttenyearsfollowingthedeathofthe
personconstitutingthesame,unlessthecourtfindspowerfulreasonstherefor.

Article239.Thefamilyhomeshallnotbesubjecttopaymentofthedebtsofthedeceased,unlessinhiswillthe
contraryisstated.However,theclaimsmentionedinarticle232shallnotbeadverselyaffectedbythedeathofthe
personwhohasestablishedthefamilyhome.

SECTION3
ExtrajudicialCreationoftheFamilyHome

Article240. The family home may be extrajudicially constituted by recording in the Registry of Property a public
instrument wherein a person declares that he thereby establishes a family home out of a dwelling place with the
landonwhichitissituated.

Article241.Thedeclarationsettingupthefamilyhomeshallbeunderoathandshallcontain:

(1)Astatementthattheclaimantistheownerof,andisactuallyresidinginthepremises

(2)Adescriptionoftheproperty

(3)Anestimateofitsactualvalueand

(4)Thenamesoftheclaimant'sspouseandtheotherbeneficiariesmentionedinarticle226.

Article242.TherecordingintheRegistryofPropertyofthedeclarationreferredtointhetwoprecedingarticlesis
theoperativeactwhichcreatesthefamilyhome.

Article 243. The family home extrajudicially formed shall be exempt from execution, forced sale or attachment,
except:
 (1)Fornonpaymentoftaxes

(2)FordebtsincurredbeforethedeclarationwasrecordedintheRegistryofProperty

(3)Fordebtssecuredbymortgagesonthepremisesbeforeoraftersuchrecordofthedeclaration

(4) For debts due to laborers, mechanics, architects, builders, materialmen and others who have rendered
serviceorfurnishedmaterialfortheprosecutionofthebuilding.

Article 244. The provisions of articles 226 to 228 and 235 to 238 are likewise applicable to family homes
extrajudiciallyestablished.

Article245.Uponthedeathofthepersonwhohasextrajudiciallyconstitutedthefamilyhome,thepropertyshallnot
beliableforhisdebtsotherthanthosementionedinarticle243.However,hemayprovideinhiswillthatthefamily
homeshallbesubjecttopaymentofdebtsnotspecifiedinarticle243.

Article246.NodeclarationfortheextrajudicialestablishmentofthefamilyhomeshallberecordedintheRegistryof
Propertyiftheestimatedactualvalueofthebuildingandthelandexceedstheamountstatedinarticle231.

Article247.Whenacreditorwhoseclaimisnotmentionedinarticle243obtainsajudgmentinhisfavor,andhehas
reasonable grounds to believe that the family home of the judgment debtor is worth more than the amount
mentionedinarticle231,hemayapplytotheCourtofFirstInstanceforanorderdirectingthesaleoftheproperty
underexecution.

Article248. The hearing on the petition, appraisal of the value of the family home, the sale under execution and
othermattersrelativetotheproceedingsshallbegovernedbysuchprovisionsintheRulesofCourtastheSupreme
Courtshallpromulgateonthesubject,providedtheyarenotinconsistentwiththisCode.

Article249.Atthesaleunderexecutionreferredtointhetwoprecedingarticles,nobidshallbeconsideredunlessit
exceedstheamountspecifiedinarticle231.Theproceedsofthesaleshallbeappliedinthefollowingorder:

(1)Totheamountmentionedinarticle231

(2)Tothejudgmentandthecosts.

Theexcess,ifany,belongstothepersonconstitutingthefamilyhome.

Article250.Theamountmentionedinarticle231thusreceivedbythepersonwhohasestablishedthefamilyhome,
orasmuchthereofasthecourtmaydetermine,shallbeinvestedinconstitutionofanewfamilyhome.Thecourt
shalltakemeasurestoenforcethisprovision.

Article251.Incaseofinsolvencyofthepersoncreatingthefamilyhome,theclaimsspecifiedinarticle243maybe
satisfiednotwithstandingtheinsolvencyproceedings.

Iftheassigneehasreasonablegroundstobelievethattheactualvalueofthefamilyhomeexceedstheamountfixed
inarticle231,hemaytakeactionundertheprovisionsofarticles247,248and249.

CHAPTER3
TheFamilyCouncil(n)

Article252.TheCourtofFirstInstancemay,uponapplicationofanymemberofthefamily,arelative,orafriend,
appoint a family council, whose duty it shall be to advise the court, the spouses, the parents, guardians and the
familyonimportantfamilyquestions.

Article253.Thefamilycouncilshallbecomposedoffivemembers,whoshallberelativesofthepartiesconcerned.
Butthecourtmayappointoneortwofriendsofthefamily.

Article254.Thefamilycouncilshallelectitschairman,andshallmeetatthecallofthelatteroruponorderofthe
court.

TITLEVIII
PATERNITYANDFILIATION
 CHAPTER1
LegitimateChildren

Article255.Childrenbornafteronehundredandeightydaysfollowingthecelebrationofthemarriage,andbefore
threehundreddaysfollowingitsdissolutionortheseparationofthespousesshallbepresumedtobelegitimate.

Againstthispresumptionnoevidenceshallbeadmittedotherthanthatofthephysicalimpossibilityofthehusband's
havingaccesstohiswifewithinthefirstonehundredandtwentydaysofthethreehundredwhichprecededthebirth
ofthechild.

Thisphysicalimpossibilitymaybecaused:

(1)Bytheimpotenceofthehusband

(2)Bythefactthatthehusbandandwifewerelivingseparately,insuchawaythataccesswasnotpossible

(3)Bytheseriousillnessofthehusband.(108a)

Article256.Thechildshallbepresumedlegitimate,althoughthemothermayhavedeclaredagainstitslegitimacy
ormayhavebeensentencedasanadulteress.(109)

Article257.Shouldthewifecommitadulteryatoraboutthetimeoftheconceptionofthechild,buttherewasno
physical impossibility of access between her and her husband as set forth in article 255, the child is prima facie
presumedtobeillegitimateifitappearshighlyimprobable,forethnicreasons,thatthechildisthatofthehusband.
Forthepurposesofthisarticle,thewife'sadulteryneednotbeprovedinacriminalcase.(n)

Article258. A child born within one hundred eighty days following the celebration of the marriage is prima facie
presumedtobelegitimate.Suchachildisconclusivelypresumedtobelegitimateinanyofthesecases:

(1)Ifthehusband,beforethemarriage,knewofthepregnancyofthewife

(2)Ifheconsented,beingpresent,totheputtingofhissurnameontherecordofbirthofthechild
consented

(3)Ifheexpresslyortacitlyrecognizedthechildashisown.(110a)

Article259.Ifthemarriageisdissolvedbythedeathofthehusband,andthemothercontractedanothermarriage
withinthreehundreddaysfollowingsuchdeath,theserulesshallgovern:

(1) A child born before one hundred eighty days after the solemnization of the subsequent marriage is
disputably presumed to have been conceived during the former marriage, provided it be born within three
hundreddaysafterthedeathoftheformerhusband:

(2)Achildbornafteronehundredeightydaysfollowingthecelebrationofthesubsequentmarriageisprima
faciepresumedtohavebeenconceivedduringsuchmarriage,eventhoughitbebornwithinthreehundred
daysafterthedeathoftheformerhusband.(n)

Article260.Ifafterajudgmentannullingamarriage,theformerwifeshouldbelieveherselftobepregnantbythe
formerhusband,sheshall,withinthirtydaysfromthetimeshebecameawareofherpregnancy,notifytheformer
husbandorhisheirsofthatfact.Heorhisheirsmayaskthecourttotakemeasurestopreventasimulationofbirth.

Thesameobligationshalldevolveuponawidowwhobelievesherselftohavebeenleftpregnantbythedeceased
husband, or upon the wife who believes herself to be pregnant by her husband from whom she has been legally
separated.(n)

Article261.Thereisnopresumptionoflegitimacyorillegitimacyofachildbornafterthreehundreddaysfollowing
thedissolutionofthemarriageortheseparationofthespouses.Whoeverallegesthelegitimacyortheillegitimacy
ofsuchchildmustprovehisallegation.(n)

Article262.Theheirsofthehusbandmayimpugnthelegitimacyofthechildonlyinthefollowingcases:

(1)Ifthehusbandshoulddiebeforetheexpirationoftheperiodfixedforbringinghisaction

(2)Ifheshoulddieafterthefilingofthecomplaint,withouthavingdesistedfromthesame

(3)Ifthechildwasbornafterthedeathofthehusband.(112)

Article263.Theactiontoimpugnthelegitimacyofthechildshallbebroughtwithinoneyearfromtherecordingof
thebirthintheCivilRegister,ifthehusbandshouldbeinthesameplace,orinapropercase,anyofhisheirs.
Ifheorhisheirsareabsent,theperiodshallbeeighteenmonthsiftheyshouldresideinthePhilippinesandtwo
years if abroad. If the birth of the child has been concealed, the term shall be counted from the discovery of the
fraud.(113a)

Article264.Legitimatechildrenshallhavetheright:

(1)Tobearthesurnamesofthefatherandofthemother

(2)Toreceivesupportfromthem,fromtheirascendantsandinapropercase,fromtheirbrothersandsisters,
inconformitywitharticle291

(3)TothelegitimeandothersuccessionalrightswhichthisCoderecognizesintheirfavor.(114)

CHAPTER2
ProofofFiliationofLegitimateChildren

Article265.ThefiliationoflegitimatechildrenisprovedbytherecordofbirthappearingintheCivilRegister,orby
anauthenticdocumentorafinaljudgment.(115)

Article 266. In the absence of the titles indicated in the preceding article, the filiation shall be proved by the
continuouspossessionofstatusofalegitimatechild.(116)

Article 267. In the absence of a record of birth, authentic document, final judgment or possession of status,
legitimatefiliationmaybeprovedbyanyothermeansallowedbytheRulesofCourtandspeciallaws.(117a)

Article 268. The action to claim his legitimacy may be brought by the child during all his lifetime, and shall be
transmitted to his heirs if he should die during his minority or in a state of insanity. In these cases the heirs shall
haveaperiodoffiveyearswithinwhichtoinstitutetheaction.

Theactionalreadycommencedbythechildistransmitteduponhisdeathtotheheirs,iftheproceedinghasnotyet
lapsed.(118)

CHAPTER3
LegitimatedChildren

Article269.Onlynaturalchildrencanbelegitimated.Childrenbornoutsidewedlockofparentswho,atthetimeof
theconceptionoftheformer,werenotdisqualifiedbyanyimpedimenttomarryeachother,arenatural.(119a)

Article270.Legitimationshalltakeplacebythesubsequentmarriagebetweentheparents.(120a)

Article271.Onlynaturalchildrenwhohavebeenrecognizedbytheparentsbeforeorafterthecelebrationofthe
marriage,orhavebeendeclarednaturalchildrenbyfinaljudgment,maybeconsideredlegitimatedbysubsequent
marriage.

Ifanaturalchildisrecognizedorjudiciallydeclaredasnatural,suchrecognitionordeclarationshallextendtohisor
herbrothersorsistersofthefullblood:Provided,Thattheconsentofthelattershallbeimpliediftheydonotimpugn
consent
the recognition within four years from the time of such recognition, or in case they are minors, within four years
followingtheattainmentofmajority.(121a)

Article272.Childrenwhoarelegitimatedbysubsequentmarriageshallenjoythesamerightsaslegitimatechildren.
(122)

Article273.Legitimationshalltakeeffectfromthetimeofthechild'sbirth.(123a)

Article 274. The legitimation of children who died before the celebration of the marriage shall benefit their
descendants.(124)

Article275.Legitimationmaybeimpugnedbythosewhoareprejudicedintheirrights,whenittakesplaceinfavor
ofthosewhodonothavethelegalconditionofnaturalchildrenorwhentherequisiteslaiddowninthisChapterare
notcompliedwith.(128a)

CHAPTER4
IllegitimateChildren
 SECTION1
RecognitionofNaturalChildren

Article276.Anaturalchildmayberecognizedbythefatherandmotherjointly,orbyonlyoneofthem.(129)

Article277.Incasetherecognitionismadebyonlyoneoftheparents,itshallbepresumedthatthechildisnatural,
iftheparentrecognizingithadlegalcapacitytocontractmarriageatthetimeoftheconception.(130)

Article278.Recognitionshallbemadeintherecordofbirth,awill,astatementbeforeacourtofrecord,orinany
authenticwriting.(131a)

Article279.Aminorwhomaynotcontractmarriagewithoutparentalconsentcannotacknowledgeanaturalchild,
consent
unlesstheparentorguardianapprovestheacknowledgmentorunlesstherecognitionismadeinawill.(n)

Article280.Whenthefatherorthemothermakestherecognitionseparately,heorsheshallnotrevealthenameof
the person with whom he or she had the child neither shall he or she state any circumstance whereby the other
parentmaybeidentified.(132a)

Article281.Achildwhoisofagecannotberecognizedwithouthisconsent.
consent

When the recognition of a minor does not take place in a record of birth or in a will, judicial approval shall be
necessary.

Aminorcaninanycaseimpugntherecognitionwithinfouryearsfollowingtheattainmentofhismajority.(133a)

Article282.Arecognizednaturalchildhastheright:

(1)Tobearthesurnameoftheparentrecognizinghim

(2)Toreceivesupportfromsuchparent,inconformitywitharticle291

(3)Toreceive,inapropercase,thehereditaryportionwhichisdeterminedinthisCode.(134)

Article283.Inanyofthefollowingcases,thefatherisobligedtorecognizethechildashisnaturalchild:

(1)Incasesofrape,abductionorseduction,whentheperiodoftheoffensecoincidesmoreorlesswiththatof
theconception

(2)Whenthechildisincontinuouspossessionofstatusofachildoftheallegedfatherbythedirectactsof
thelatterorofhisfamily

(3)Whenthechildwasconceivedduringthetimewhenthemothercohabitedwiththesupposedfather

(4)Whenthechildhasinhisfavoranyevidenceorproofthatthedefendantishisfather.(n)

Article284.Themotherisobligedtorecognizehernaturalchild:

(1)Inanyofthecasesreferredtointheprecedingarticle,asbetweenthechildandthemother

(2)Whenthebirthandtheidentityofthechildareclearlyproved.(136a)

Article 285. The action for the recognition of natural children may be brought only during the lifetime of the
presumedparents,exceptinthefollowingcases:

(1) If the father or mother died during the minority of the child, in which case the latter may file the action
beforetheexpirationoffouryearsfromtheattainmentofhismajority

(2) If after the death of the father or of the mother a document should appear of which nothing had been
heardandinwhicheitherorbothparentsrecognizethechild.

Inthiscase,theactionmustbecommencedwithinfouryearsfromthefindingofthedocument.(137a)

Article286.Therecognitionmadeinfavorofachildwhodoesnotpossessalltheconditionsstatedinarticle269,or
inwhichtherequirementsofthelawhavenotbeenfulfilled,maybeimpugnedbythosewhoareprejudicedbysuch
recognition.(137)
 SECTION2
OtherIllegitimateChildren

Article287.Illegitimatechildrenotherthannaturalinaccordancewitharticle269andotherthannaturalchildrenby
legalfictionareentitledtosupportandsuchsuccessionalrightsasaregrantedinthisCode.(n)

Article288.Minorchildrenmentionedintheprecedingarticleareundertheparentalauthorityofthemother.(n)

Article 289. Investigation of the paternity or maternity of children mentioned in the two preceding articles is
permittedunderthecircumstancesspecifiedinarticles283and284.(n)

TITLEIX
SUPPORT

Article290.Supportiseverythingthatisindispensableforsustenance,dwelling,clothingandmedicalattendance,
accordingtothesocialpositionofthefamily.

Support also includes the education of the person entitled to be supported until he completes his education or
trainingforsomeprofession,tradeorvocation,evenbeyondtheageofmajority.(142a)

Article291.Thefollowingareobligedtosupporteachothertothewholeextentsetforthintheprecedingarticle:

(1)Thespouses

(2)Legitimateascendantsanddescendants

(3)Parentsandacknowledgednaturalchildrenandthelegitimateorillegitimatedescendantsofthelatter

(4)Parentsandnaturalchildrenbylegalfictionandthelegitimateandillegitimatedescendantsofthelatter

(5)Parentsandillegitimatechildrenwhoarenotnatural.

Brothersandsistersowetheirlegitimateandnaturalbrothersandsisters,althoughtheyareonlyofthehalfblood,
thenecessariesforlife,whenbyaphysicalormentaldefect,oranyothercausenotimputabletotherecipients,the
latter cannot secure their subsistence. This assistance includes, in a proper case, expenses necessary for
elementaryeducationandforprofessionalorvocationaltraining.(143a)

Article292.Duringtheproceedingsforlegalseparation,orforannulmentofmarriage,thespousesandchildren,
shall be supported from the conjugal partnership property. After the final judgment of legal separation, or of
annulment of marriage, the obligation of mutual support between the spouses ceases. However, in case of legal
separation, the court may order that the guilty spouse shall give support to the innocent one, the judgment
specifyingthetermsofsuchorder.(n)

Article293.Inanactionforlegalseparationorannulmentofmarriage,attorney'sfeesandexpensesforlitigation
shallbechargedtotheconjugalpartnershipproperty,unlesstheactionfails.(n)

Article294.Theclaimforsupport,whenproperandtwoormorepersonsareobligedtogiveit,shallbemadeinthe
followingorder:

(1)Fromthespouse

(2)Fromthedescendantsofthenearestdegree

(3)Fromtheascendants,alsoofthenearestdegree

(4)Fromthebrothersandsisters.

Among descendants and ascendants the order in which they are called to the intestate succession of the person
whohasarighttoclaimsupportshallbeobserved.(144)

Article295.Whentheobligationtogivesupportfallsupontwoormorepersons,thepaymentofthesameshallbe
dividedbetweentheminproportiontotheresourcesofeach.

However,incaseofurgentneedandbyspecialcircumstances,thejudgemayorderonlyoneofthemtofurnishthe
supportprovisionally,withoutprejudicetohisrighttoclaimfromtheotherobligorstheshareduefromthem.
Whentwoormorerecipientsatthesametimeclaimsupportfromoneandthesamepersonlegallyobligedtogiveit,
andthelattershouldnothavesufficientmeanstosatisfyall,theorderestablishedintheprecedingarticleshallbe
followed, unless the concurrent obligees should be the spouse and a child subject to parental authority, in which
casethelattershallbepreferred.(145)

Article296.Theamountofsupport,inthecasesreferredtointhefivenumbersofarticle291,shallbeinproportion
totheresourcesormeansofthegiverandtothenecessitiesoftherecipient.(146a)

Article297.Supportinthecasesreferredtointheprecedingarticleshallbereducedorincreasedproportionately,
according to the reduction or increase of the needs of the recipient and the resources of the person obliged to
furnishthesame.(147)ARTICLE298.Theobligationtogivesupportshallbedemandablefromthetimetheperson
who has a right to receive the same needs it for maintenance, but it shall not be paid except from the date it is
extrajudiciallydemanded.

Payment shall be made monthly in advance, and when the recipient dies, his heirs shall not be obliged to return
whathehasreceivedinadvance.(148a)

Article 299. The person obliged to give support may, at his option, fulfill his obligation either by paying the
allowance fixed, or by receiving and maintaining in his house the person who has a right to receive support. The
latteralternativecannotbeavailedofincasethereisamoralorlegalobstaclethereto.(149a)

Article300.Theobligationtofurnishsupportceasesuponthedeathoftheobligor,evenifhemaybeboundtogive
itincompliancewithafinaljudgment.(150)

Article301.Therighttoreceivesupportcannotberenouncednorcanitbetransmittedtoathirdperson.Neither
canitbecompensatedwithwhattherecipientowestheobligor.

However, support in arrears may be compensated and renounced, and the right to demand the same may be
transmittedbyonerousorgratuitoustitle.(151)

Article302.Neithertherighttoreceivelegalsupportnoranymoneyorpropertyobtainedassuchsupportorany
pensionorgratuityfromthegovernmentissubjecttoattachmentorexecution.(n)

Article303.Theobligationtogivesupportshallalsocease:

(1)Uponthedeathoftherecipient

(2) When the resources of the obligor have been reduced to the point where he cannot give the support
withoutneglectinghisownneedsandthoseofhisfamily

(3)Whentherecipientmayengageinatrade,profession,orindustry,orhasobtainedwork,orhasimproved
hisfortuneinsuchawaythathenolongerneedstheallowanceforhissubsistence

(4)Whentherecipient,beheaforcedheirornot,hascommittedsomeactwhichgivesrisetodisinheritance

(5)Whentherecipientisadescendant,brotherorsisteroftheobligorandtheneedforsupportiscausedby
hisorherbadconductorbythelackofapplicationtowork,solongasthiscausesubsists.(152a)

Article304.Theforegoingprovisionsshallbeapplicabletoothercaseswhere,invirtueofthisCodeorofanyother
law,bywill,orbystipulationthereisarighttoreceivesupport,savewhatisstipulated,orderedbythetestatoror
providedbylawforthespecialcase.(153a)

TITLEX
FUNERALS(n)

Article305.Thedutyandtherighttomakearrangementsforthefuneralofarelativeshallbeinaccordancewith
theorderestablishedforsupport,underarticle294.Incaseofdescendantsofthesamedegree,orofbrothersand
sisters,theoldestshallbepreferred.Incaseofascendants,thepaternalshallhaveabetterright.

Article306.Everyfuneralshallbeinkeepingwiththesocialpositionofthedeceased.

Article307.Thefuneralshallbeinaccordancewiththeexpressedwishesofthedeceased.Intheabsenceofsuch
expression, his religious beliefs or affiliation shall determine the funeral rites. In case of doubt, the form of the
funeralshallbedecideduponbythepersonobligedtomakearrangementsforthesame,afterconsultingtheother
membersofthefamily.
Article 308. No human remains shall be retained, interred, disposed of or exhumed without the consent
consent of the
personsmentionedinarticles294and305.

Article309.Anypersonwhoshowsdisrespecttothedead,orwrongfullyinterfereswithafuneralshallbeliableto
thefamilyofthedeceasedfordamages,materialandmoral.

Article310.Theconstructionofatombstoneormausoleumshallbedeemedapartofthefuneralexpenses,and
shallbechargeabletotheconjugalpartnershipproperty,ifthedeceasedisoneofthespouses.

TITLEXI
ParentalAuthority

CHAPTER1
GeneralProvisions

Article 311. The father and mother jointly exercise parental authority over their legitimate children who are not
emancipated. In case of disagreement, the father's decision shall prevail, unless there is a judicial order to the
contrary.

Children are obliged to obey their parents so long as they are under parental power, and to observe respect and
reverencetowardthemalways.

Recognizednaturalandadoptedchildrenwhoareundertheageofmajorityareundertheparentalauthorityofthe
father or mother recognizing or adopting them, and are under the same obligation stated in the preceding
paragraph.

Natural children by legal fiction are under the joint authority of the father and mother, as provided in the first
paragraphofthisarticle.(154a)

Article312.Grandparentsshallbeconsultedbyallmembersofthefamilyonallimportantfamilyquestions.(n)

Article 313. Parental authority cannot be renounced or transferred, except in cases of guardianship or adoption
approvedbythecourts,oremancipationbyconcession.

Thecourtsmay,incasesspecifiedbylaw,depriveparentsoftheirauthority.(n)

Article314.Afoundlingshallbeundertheparentalauthorityofthepersonorinstitutionthathasrearedthesame.
(n)

Article315.Nodescendantcanbecompelled,inacriminalcase,totestifyagainsthisparentsandascendants.(n)

CHAPTER2
EffectofParentalAuthorityUponthePersonsoftheChildren

Article316.Thefatherandthemotherhave,withrespecttotheirunemancipatedchildren:

(1)Thedutytosupportthem,tohavethemintheircompany,educateandinstructtheminkeepingwiththeir
means,andtorepresenttheminallactionswhichmayredoundtotheirbenefit

(2)Thepowertocorrectthemandtopunishthemmoderately.(155)

Article317.Thecourtsmayappointaguardianofthechild'sproperty,oraguardianadlitemwhenthebestinterest
ofthechildsorequires.(n)

Article318.Uponcausebeingshownbytheparents,thelocalmayormayaidthemintheexerciseoftheirauthority
overthechild.Ifthechildistobekeptinachildren'shomeorsimilarinstitutionfornotmorethanonemonth,an
orderofthejusticeofthepeaceormunicipaljudgeshallbenecessary,afterduehearing,wherethechildshallbe
heard.Forhispurpose,thecourtmayappointaguardianadlitem.(156a)

Article319.Thefatherandthemothershallsatisfythesupportforthedetainedchildbuttheyshallnothaveany
interventionintheregimeoftheinstitutionwherethechildisdetained.Theymayliftthedetentionwhentheydeemit
opportune,withtheapprovalofthecourt.(158a)
 CHAPTER3
EffectofParentalAuthorityonthePropertyoftheChildren

Article320.Thefather,orinhisabsencethemother,isthelegaladministratorofthepropertypertainingtothechild
underparentalauthority.Ifthepropertyisworthmorethantwothousandpesos,thefatherormothershallgivea
bondsubjecttotheapprovaloftheCourtofFirstInstance.(159a)

Article321.Thepropertywhichtheunemancipatedchildhasacquiredormayacquirewithhisworkorindustry,or
byanylucrativetitle,belongstothechildinownership,andinusufructtothefatherormotherunderwhomheis
under parental authority and in whose company he lives but if the child, with the parent's consent
consent, should live
independentlyfromthem,heshallbeconsideredasemancipatedforallpurposesrelativetosaidproperty,andhe
shallhaveoveritdominion,usufructandadministration.(160)

Article 322. A child who earns money or acquires property with his own work or industry shall be entitled to a
reasonable allowance from the earnings, in addition to the expenses made by the parents for his support and
education.(n)

Article 323. The fruits and interest of the child's property referred to in article 321 shall be applied first to the
expenses for the support and education of the child. After they have been fully met, the debts of the conjugal
partnershipwhichhaveredoundedtothebenefitofthefamilymaybepaidfromsaidfruitsandinterest.(n)

Article 324. Whatever the child may acquire with the capital or property of the parents belongs to the latter in
ownershipandinusufruct.Butiftheparentsshouldexpresslygranthimallorpartoftheprofitsthathemayobtain,
suchprofitsshallnotbechargedagainsthislegitime.(161)

Article325.Thepropertyorincomedonated,bequeathedordevisedtotheunemancipatedchildfortheexpenses
of his education and instruction shall pertain to him in ownership and usufruct but the father or mother shall
administerthesame,ifinthedonationortestamentaryprovisionthecontraryhasnotbeenstated.(162)

Article326.Whenthepropertyofthechildisworthmorethantwothousandpesos,thefatherormothershallbe
consideredaguardianofthechild'sproperty,subjecttothedutiesandobligationsofguardiansundertheRulesof
Court.(n)

CHAPTER4
ExtinguishmentofParentalAuthority

Article327.Parentalauthorityterminates:

(1)Uponthedeathoftheparentsorofthechild

(2)Uponemancipation

(3)Uponadoptionofthechild

(4)Upontheappointmentofageneralguardian.(167a)

Article328.Themotherwhocontractsasubsequentmarriagelosestheparentalauthorityoverherchildren,unless
thedeceasedhusband,fatherofthelatter,hasexpresslyprovidedinhiswillthathiswidowmightmarryagain,and
hasorderedthatinsuchcasesheshouldkeepandexerciseparentalauthorityovertheirchildren.

The court may also appoint a guardian of the child's property in case the father should contract a subsequent
marriage.(168a)

Article329.Whenthemotherofanillegitimatechildmarriesamanotherthanitsfather,thecourtmayappointa
guardianforthechild.(n)

Article330.Thefatherandinapropercasethemother,shallloseauthorityovertheirchildren:

(1)Whenbyfinaljudgmentinacriminalcasethepenaltyofdeprivationofsaidauthorityisimposeduponhim
orher

(2)Whenbyafinaljudgmentinlegalseparationproceedingssuchlossofauthorityisdeclared.(169a)

Article331.Parentalauthorityissuspendedbytheincapacityorabsenceofthefather,orinapropercaseofthe
mother,judiciallydeclared,andalsobycivilinterdiction.(170)
Article332.Thecourtsmaydeprivetheparentsoftheirauthorityorsuspendtheexerciseofthesameiftheyshould
treat their children with excessive harshness or should give them corrupting orders, counsels, or examples, or
should make them beg or abandon them. In these cases, the courts may also deprive the parents in whole or in
part,oftheusufructoverthechild'sproperty,oradoptsuchmeasuresastheymaydeemadvisableintheinterestof
thechild.(171a)

Article333.Ifthewidowedmotherwhohascontractedasubsequentmarriageshouldagainbecomeawidow,she
shallrecoverfromthismomentherparentalauthorityoverallherunemancipatedchildren.(172)

CHAPTER5
Adoption

Article334.Everypersonofage,whoisinfullpossessionofhiscivilrights,mayadopt.(173a)

Article335.Thefollowingcannotadopt:

(1)Thosewhohavelegitimate,legitimated,acknowledgednaturalchildren,ornaturalchildrenbylegalfiction

(2)Theguardian,withrespecttotheward,beforethefinalapprovalofhisaccounts

(3)Amarriedperson,withouttheconsentoftheotherspouse
consent

(4)Nonresidentaliens

(5)ResidentalienswithwhosegovernmenttheRepublicofthePhilippineshasbrokendiplomaticrelations

(6)Anypersonwhohasbeenconvictedofacrimeinvolvingmoralturpitude,whenthepenaltyimposedwas
sixmonths'imprisonmentormore.(174a)

Article336.Thehusbandandwifemayjointlyadopt.Parentalauthorityshall,insuchcase,beexercisedasifthe
childweretheirownbynature.(n)

Article337.Anyperson,evenifofage,maybeadopted,providedtheadopterissixteenyearsolder.(173a)

Article338.Thefollowingmaybeadopted:

(1)Thenaturalchild,bythenaturalfatherormother

(2)Otherillegitimatechildren,bythefatherormother

(3)Astepchild,bythestepfatherorstepmother.(n)

Article339.Thefollowingcannotbeadopted:

(1)Amarriedperson,withoutthewrittenconsentoftheotherspouse
consent

(2)AnalienwithwhosegovernmenttheRepublicofthePhilippineshasbrokendiplomaticrelations

(3)Apersonwhohasalreadybeenadopted.(n)

Article340.Thewrittenconsentofthefollowingtotheadoptionshallbenecessary:
consent

(1)Thepersontobeadopted,iffourteenyearsofageorover

(2)Theparents,guardianorpersoninchargeofthepersontobeadopted.(n)

Article341.Theadoptionshall:

(1)Givetotheadoptedpersonthesamerightsanddutiesasifhewerealegitimatechildoftheadopter

(2)Dissolvetheauthorityvestedintheparentsbynature

(3)Maketheadoptedpersonalegalheiroftheadopter

(4)Entitletheadoptedpersontousetheadopter'ssurname.(n)

Article342.Theadoptershallnotbealegalheiroftheadoptedperson,whoseparentsbynatureshallinheritfrom
him.(177a)
Article343.Iftheadopterissurvivedbylegitimateparentsorascendantsandbyanadoptedperson,thelattershall
nothavemoresuccessionalrightsthananacknowledgednaturalchild.(n)

Article344. The adopter may donate property, by an act inter vivos or by will, to the adopted person, who shall
acquireownershipthereof.(n)

Article345.TheproceedingsforadoptionshallbegovernedbytheRulesofCourtinsofarastheyarenotinconflict
withthisCode.(n)

Article346.Theadoptionshallberecordedinthelocalcivilregister.(179a)

Article347.Aminororotherincapacitatedpersonmay,throughaguardianadlitem,askfortherescissionofthe
adoptiononthesamegroundsthatcausethelossofparentalauthority.(n)

Article348.Theadoptermaypetitionthecourtforrevocationoftheadoptioninanyofthesecases:

(1)Iftheadoptedpersonhasattemptedagainstthelifeoftheadopter

(2)Whentheadoptedminorhasabandonedthehomeoftheadopterformorethanthreeyears

(3)Whenbyotheractstheadoptedpersonhasdefinitelyrepudiatedtheadoption.(n)

CHAPTER6
SubstituteParentalAuthority(n)

Article349.Thefollowingpersonsshallexercisesubstituteparentalauthority:

(1)Guardians

(2)Teachersandprofessors

(3)Headsofchildren'shomes,orphanages,andsimilarinstitutions

(4)Directorsoftradeestablishments,withregardtoapprentices

(5)Grandparents

(6)Theoldestbrotherorsister.

Article350.Thepersonsnamedintheprecedingarticleshallexercisereasonablesupervisionovertheconductof
thechild.

Article351.Ageneralguardianoraguardianoverthepersonshallhavethesameauthorityovertheward'sperson
astheparents.Withregardtothechild'sproperty,theRulesofCourtonguardianshipshallgovern.

Article352.Therelationsbetweenteacherandpupil,professorandstudent,arefixedbygovernmentregulations
and those of each school or institution. In no case shall corporal punishment be countenanced. The teacher or
professorshallcultivatethebestpotentialitiesoftheheartandmindofthepupilorstudent.

Article 353. Apprentices shall be treated humanely. No corporal punishment against the apprentice shall be
permitted.

Article354.Grandparentsandintheirdefaulttheoldestbrotherorsistershallexerciseparentalauthorityincaseof
death or absence of the child's parents. If the parents are living, or if the child is under guardianship, the
grandparentsmaygiveadviceandcounseltothechild,totheparentsortotheguardian.

Article355.Substituteparentalauthorityshallbeexercisedbythegrandparentsinthefollowingorder:

(1)Paternalgrandparents

(2)Maternalgrandparents.

TITLEXII
CareandEducationofChildren
Article356.Everychild:

(1)Isentitledtoparentalcare

(2)Shallreceiveatleastelementaryeducation

(3)Shallbegivenmoralandcivictrainingbytheparentsorguardian

(4)Hasarighttoliveinanatmosphereconducivetohisphysical,moralandintellectualdevelopment.

Article357.Everychildshall:

(1)Obeyandhonorhisparentsorguardian

(2)Respecthisgrandparents,oldrelatives,andpersonsholdingsubstituteparentalauthority

(3)Exerthisutmostforhiseducationandtraining

(4)Cooperatewiththefamilyinallmattersthatmakeforthegoodofthesame.

Article358.Everyparentandeverypersonholdingsubstituteparentalauthorityshallseetoitthattherightsofthe
childarerespectedandhisdutiescompliedwith,andshallparticularly,bypreceptandexample,imbuethechildwith
highmindedness, love of country, veneration for the national heroes, fidelity to democracy as a way of life, and
attachmenttotheidealofpermanentworldpeace.

Article 359. The government promotes the full growth of the faculties of every child. For this purpose, the
governmentwillestablish,wheneverpossible:

(1)Schoolsineverybarrio,municipalityandcitywhereoptionalreligiousinstructionshallbetaughtaspartof
thecurriculumattheoptionoftheparentorguardian

(2)Puericultureandsimilarcenters

(3)CouncilsfortheProtectionofChildrenand

(4)Juvenilecourts.

Article360.TheCouncilfortheProtectionofChildrenshalllookafterthewelfareofchildreninthemunicipality.It
shall,amongotherfunctions:

(1)Fostertheeducationofeverychildinthemunicipality

(2)Encouragethecultivationofthedutiesofparents

(3)Protectandassistabandonedormistreatedchildren,andorphans

(4)Takestepstopreventjuveniledelinquency

(5)Adoptmeasuresforthehealthofchildren

(6)Promotetheopeningandmaintenanceofplaygrounds

(7)Coordinatetheactivitiesoforganizationsdevotedtothewelfareofchildren,andsecuretheircooperation.

Article361.Juvenilecourtswillbeestablished,asfaraspracticable,ineverycharteredcityorlargemunicipality.

Article362.Wheneverachildisfounddelinquentbyanycourt,thefather,mother,orguardianmayinapropercase
bejudiciallyadmonished.

Article363. In all questions on the care, custody, education and property of children the latter's welfare shall be
paramount.Nomothershallbeseparatedfromherchildundersevenyearsofage,unlessthecourtfindscompelling
reasonsforsuchmeasure.

TITLEXIII
UseofSurnames(n)

Article364.Legitimateandlegitimatedchildrenshallprincipallyusethesurnameofthefather.
Article365.Anadoptedchildshallbearthesurnameoftheadopter.

Article 366. A natural child acknowledged by both parents shall principally use the surname of the father. If
recognizedbyonlyoneoftheparents,anaturalchildshallemploythesurnameoftherecognizingparent.

Article367.Naturalchildrenbylegalfictionshallprincipallyemploythesurnameofthefather.

Article368.Illegitimatechildrenreferredtoinarticle287shallbearthesurnameofthemother.

Article369.Childrenconceivedbeforethedecreeannullingavoidablemarriageshallprincipallyusethesurname
ofthefather.

Article370.Amarriedwomanmayuse:

(1)Hermaidenfirstnameandsurnameandaddherhusband'ssurname,or

(2)Hermaidenfirstnameandherhusband'ssurnameor

(3)Herhusband'sfullname,butprefixingawordindicatingthatsheishiswife,suchas"Mrs."

Article371.Incaseofannulmentofmarriage,andthewifeistheguiltyparty,sheshallresumehermaidenname
andsurname.Ifsheistheinnocentspouse,shemayresumehermaidennameandsurname.However,shemay
choosetocontinueemployingherformerhusband'ssurname,unless:

(1)Thecourtdecreesotherwise,or

(2)Sheortheformerhusbandismarriedagaintoanotherperson.

Article 372. When legal separation has been granted, the wife shall continue using her name and surname
employedbeforethelegalseparation.

Article373.Awidowmayusethedeceasedhusband'ssurnameasthoughhewerestillliving,inaccordancewith
article370.

Article374.Incaseofidentityofnamesandsurnames,theyoungerpersonshallbeobligedtousesuchadditional
nameorsurnameaswillavoidconfusion.

Article375. Incase of identity ofnamesandsurnamesbetweenascendantsanddescendants, the word "Junior"

canbeusedonlybyason.Grandsonsandotherdirectmaledescendantsshalleither:

(1)Addamiddlenameorthemother'ssurname,or

(2)AddtheRomannumeralsII,III,andsoon.

Article376.Nopersoncanchangehisnameorsurnamewithoutjudicialauthority.

Article377.Usurpationofanameandsurnamemaybethesubjectofanactionfordamagesandotherrelief.

Article378.Theunauthorizedorunlawfuluseofanotherperson'ssurnamegivesarightofactiontothelatter.

Article379.Theemploymentofpennamesorstagenamesispermitted,provideditisdoneingoodfaithandthere
isnoinjurytothirdpersons.Pennamesandstagenamescannotbeusurped.

Article380.Exceptasprovidedintheprecedingarticle,nopersonshallusedifferentnamesandsurnames.

TITLEXIV
ABSENCE

CHAPTER1
ProvisionalMeasuresinCaseofAbsence

Article381.Whenapersondisappearsfromhisdomicile,hiswhereaboutsbeingunknown,andwithoutleavingan
agenttoadministerhisproperty,thejudge,attheinstanceofaninterestedparty,arelative,orafriend,mayappoint
apersontorepresenthiminallthatmaybenecessary.
This same rule shall be observed when under similar circumstances the power conferred by the absentee has
expired.(181a)

Article 382. The appointment referred to in the preceding article having been made, the judge shall take the
necessarymeasurestosafeguardtherightsandinterestsoftheabsenteeandshallspecifythepowers,obligations
and remuneration of his representative, regulating them, according to the circumstances, by the rules concerning
guardians.(182)

Article383. In the appointment of a representative, the spouse present shall be preferred when there is no legal
separation.

Iftheabsenteeleftnospouse,orifthespousepresentisaminor,anycompetentpersonmaybeappointedbythe
court.(183a)

CHAPTER2
DeclarationofAbsence

Article384.Twoyearshavingelapsedwithoutanynewsabouttheabsenteeorsincethereceiptofthelastnews,
andfiveyearsincasetheabsenteehasleftapersoninchargeoftheadministrationofhisproperty,hisabsence
maybedeclared.(184)

Article385.Thefollowingmayaskforthedeclarationofabsence:

(1)Thespousepresent

(2)Theheirsinstitutedinawill,whomaypresentanauthenticcopyofthesame

(3)Therelativeswhomaysucceedbythelawofintestacy

(4)Thosewhomayhaveoverthepropertyoftheabsenteesomerightsubordinatedtotheconditionofhis
death.(185)

Article 386. The judicial declaration of absence shall not take effect until six months after its publication in a
newspaperofgeneralcirculation.(186a)

CHAPTER3
AdministrationofthePropertyoftheAbsentee

Article387.Anadministratoroftheabsentee'spropertyshallbeappointedinaccordancewitharticle383.(187a)

Article388.Thewifewhoisappointedasanadministratrixofthehusband'spropertycannotalienateorencumber
thehusband'sproperty,orthatoftheconjugalpartnership,withoutjudicialauthority.(188a)

Article389.Theadministrationshallceaseinanyofthefollowingcases:

(1)Whentheabsenteeappearspersonallyorbymeansofanagent

(2)Whenthedeathoftheabsenteeisprovedandhistestateorintestateheirsappear

(3)Whenathirdpersonappears,showingbyaproperdocumentthathehasacquiredtheabsentee'spropertyby
purchaseorothertitle.

In these cases the administrator shall cease in the performance of his office, and the property shall be at the
disposalofthosewhomayhavearightthereto.(190)

CHAPTER4
PresumptionofDeath

Article390.Afteranabsenceofsevenyears,itbeingunknownwhetherornottheabsenteestilllives,heshallbe
presumeddeadforallpurposes,exceptforthoseofsuccession.

The absentee shall not be presumed dead for the purpose of opening his succession till after an absence of ten
years.Ifhedisappearedaftertheageofseventyfiveyears,anabsenceoffiveyearsshallbesufficientinorderthat
hissuccessionmaybeopened.(n)

Article391.Thefollowingshallbepresumeddeadforallpurposes,includingthedivisionoftheestateamongthe
heirs:

(1)Apersononboardavessellostduringaseavoyage,oranaeroplanewhichismissing,whohasnotbeen
heardofforfouryearssincethelossofthevesseloraeroplane

(2)Apersoninthearmedforceswhohastakenpartinwar,andhasbeenmissingforfouryears

(3) A person who has been in danger of death under other circumstances and his existence has not been
knownforfouryears.(n)

Article392.Iftheabsenteeappears,orwithoutappearinghisexistenceisproved,heshallrecoverhispropertyin
theconditioninwhichitmaybefound,andthepriceofanypropertythatmayhavebeenalienatedortheproperty
acquiredtherewithbuthecannotclaimeitherfruitsorrents.(194)

CHAPTER5
EffectofAbsenceUpontheContingentRightsoftheAbsentee

Article393.Whoeverclaimsarightpertainingtoapersonwhoseexistenceisnotrecognizedmustprovethathe
waslivingatthetimehisexistencewasnecessaryinordertoacquiresaidright.(195)

Article394.Withoutprejudicetotheprovisionoftheprecedingarticle,upontheopeningofasuccessiontowhich
anabsenteeiscalled,hisshareshallaccruetohiscoheirs,unlesshehasheirs,assigns,orarepresentative.They
shallall,asthecasemaybe,makeaninventoryoftheproperty.(196a)

Article395.Theprovisionsoftheprecedingarticleareunderstoodtobewithoutprejudicetotheactionofpetition
forinheritanceorotherrightswhicharevestedintheabsentee,hisrepresentativesorsuccessorsininterest.These
rightsshallnotbeextinguishedsavebylapseoftimefixedforprescription.IntherecordthatismadeintheRegistry
oftherealestatewhichaccruestothecoheirs,thecircumstanceofitsbeingsubjecttotheprovisionsofthisarticle
shallbestated.(197)

Article396.Thosewhomayhaveenteredupontheinheritanceshallappropriatethefruitsreceivedingoodfaithso
longastheabsenteedoesnotappear,orwhilehisrepresentativesorsuccessorsininterestdonotbringtheproper
actions.(198)

TITLEXV
EMANCIPATIONANDAGEOFMAJORITY

CHAPTER1
Emancipation

Article397.Emancipationtakesplace:

(1)Bythemarriageoftheminor

(2)Bytheattainmentofmajority

(3)Bytheconcessionofthefatherorofthemotherwhoexerciseparentalauthority.(314)

Article398.EmancipationtreatedofinNo.3oftheprecedingarticleshallbeeffectedinapublicinstrumentwhich
shallberecordedintheCivilRegister,andunlesssorecorded,itshalltakenoeffectagainstthirdpersons.(316a)

Article399.Emancipationbymarriageorbyvoluntaryconcessionshallterminateparentalauthorityoverthechild's
person.Itshallenabletheminortoadministerhispropertyasthoughhewereofage,buthecannotborrowmoney
oralienateorencumberrealpropertywithouttheconsentofhisfatherormother,orguardian.Hecansueandbe
consent
suedincourtonlywiththeassistanceofhisfather,motherorguardian.(317a)

Article400.Inorderthatemancipationbyconcessionofthefatherorofthemothermaytakeplace,itisrequired
thattheminorbeeighteenyearsofage,andthathegivehisconsentthereto.(318)
consent

Article401.Emancipationisfinalorirrevocable.(319a)
 CHAPTER2
AgeofMajority

Article402.Majoritycommencesupontheattainmentoftheageoftwentyoneyears.

The person who has reached majority is qualified for all acts of civil life, save the exceptions established by this
Codeinspecialcases.(320a)

Article403.Notwithstandingtheprovisionsoftheprecedingarticle,adaughterabovetwentyonebutbelowtwenty
threeyearsofagecannotleavetheparentalhomewithouttheconsentofthefatherormotherinwhosecompany
consent
shelives,excepttobecomeawife,orwhensheexercisesaprofessionorcalling,orwhenthefatherormotherhas
contractedasubsequentmarriage.(321a)

Article404.Anorphanwhoisminormay,attheinstanceofanyrelativeorotherperson,obtainemancipationby
concessionuponanorderoftheCourtofFirstInstance.(322a)

Article405.Fortheconcessionandapprovalreferredtointheprecedingarticleitisnecessary:

(1)Thattheminorbeeighteenyearsofage

(2)Thatheconsenttheretoand
consent

(3)Thattheconcessionbedeemedconvenientfortheminor.

TheconcessionshallberecordedintheCivilRegister.(323a)

Article 406. The provisions of article 399 are applicable to an orphan who has been emancipated according to
article 404. The court will give the necessary approval with respect to the contracts mentioned in article 399. In
litigations,aguardianadlitemfortheminorshallbeappointedbythecourt.(324a)

TITLEXVI
CIVILREGISTER

Article407. Acts, events and judicial decrees concerning the civil status of persons shall be recorded in the civil
register.(325a)

Article408.Thefollowingshallbeenteredinthecivilregister:

(1) Births (2) marriages (3) deaths (4) legal separations (5) annulments of marriage (6) judgments declaring
marriages void from the beginning (7) legitimations (8) adoptions (9) acknowledgments of natural children (10)
naturalization(11)loss,or(12)recoveryofcitizenship(13)civilinterdiction(14)judicialdeterminationoffiliation
(15)voluntaryemancipationofaminorand(16)changesofname.(326a)

Article 409. In cases of legal separation, adoption, naturalization and other judicial orders mentioned in the
precedingarticle,itshallbethedutyoftheclerkofthecourtwhichissuedthedecreetoascertainwhetherthesame
hasbeenregistered,andifthishasnotbeendone,tosendacopyofsaiddecreetothecivilregistryofthecityor
municipalitywherethecourtisfunctioning.(n)

Article410. The books making up the civil register and all documents relating thereto shall be considered public
documentsandshallbeprimafacieevidenceofthefactsthereincontained.(n)

Article411.Everycivilregistrarshallbecivillyresponsibleforanyunauthorizedalterationmadeinanycivilregister,
to any person suffering damage thereby. However, the civil registrar may exempt himself from such liability if he
provesthathehastakeneveryreasonableprecautiontopreventtheunlawfulalteration.(n)

Article412.Noentryinacivilregistershallbechangedorcorrected,withoutajudicialorder.(n)

Article413.Allothermatterspertainingtotheregistrationofcivilstatusshallbegovernedbyspeciallaws.(n)

BOOKII

PROPERTY,OWNERSHIP,ANDITSMODIFICATIONS
 TITLEI
CLASSIFICATIONOFPROPERTY
PRELIMINARYPROVISIONS

Article414.Allthingswhichareormaybetheobjectofappropriationareconsideredeither:

(1)Immovableorrealpropertyor

(2)Movableorpersonalproperty.(333)

CHAPTER1
ImmovableProperty

Article415.Thefollowingareimmovableproperty:

(1)Land,buildings,roadsandconstructionsofallkindsadheredtothesoil

(2) Trees, plants, and growing fruits, while they are attached to the land or form an integral part of an
immovable

(3) Everything attached to an immovable in a fixed manner, in such a way that it cannot be separated
therefromwithoutbreakingthematerialordeteriorationoftheobject

(4)Statues,reliefs,paintingsorotherobjectsforuseorornamentation,placedinbuildingsoronlandsbythe
owner of the immovable in such a manner that it reveals the intention to attach them permanently to the
tenements

(5)Machinery,receptacles,instrumentsorimplementsintendedbytheownerofthetenementforanindustry
or works which may be carried on in a building or on a piece of land, and which tend directly to meet the
needsofthesaidindustryorworks

(6) Animal houses, pigeonhouses, beehives, fish ponds or breeding places of similar nature, in case their
ownerhasplacedthemorpreservesthemwiththeintentiontohavethempermanentlyattachedtotheland,
andformingapermanentpartofittheanimalsintheseplacesareincluded

(7)Fertilizeractuallyusedonapieceofland

(8)Mines,quarries,andslagdumps,whilethematterthereofformspartofthebed,andwaterseitherrunning
orstagnant

(9)Docksandstructureswhich,thoughfloating,areintendedbytheirnatureandobjecttoremainatafixed
placeonariver,lake,orcoast

(10)Contractsforpublicworks,andservitudesandotherrealrightsoverimmovableproperty.(334a)

CHAPTER2
MovableProperty

Article416.Thefollowingthingsaredeemedtobepersonalproperty:

(1)Thosemovablessusceptibleofappropriationwhicharenotincludedintheprecedingarticle

(2)Realpropertywhichbyanyspecialprovisionoflawisconsideredaspersonalty

(3)Forcesofnaturewhicharebroughtundercontrolbyscienceand

(4)Ingeneral,allthingswhichcanbetransportedfromplacetoplacewithoutimpairmentoftherealproperty
towhichtheyarefixed.(335a)

Article417.Thefollowingarealsoconsideredaspersonalproperty:

(1)Obligationsandactionswhichhavefortheirobjectmovablesordemandablesumsand
 (2) Shares of stock of agricultural, commercial and industrial entities, although they may have real estate.
(336a)

Article418. Movable property is either consumable or nonconsumable. To the first class belong those movables
which cannot be used in a manner appropriate to their nature without their being consumed to the second class
belongalltheothers.(337)

CHAPTER3
PropertyinRelationtothePersontoWhomItBelongs

Article419.Propertyiseitherofpublicdominionorofprivateownership.(338)

Article420.Thefollowingthingsarepropertyofpublicdominion:

(1)Thoseintendedforpublicuse,suchasroads,canals,rivers,torrents,portsandbridgesconstructedbythe
State,banks,shores,roadsteads,andothersofsimilarcharacter

(2)ThosewhichbelongtotheState,withoutbeingforpublicuse,andareintendedforsomepublicserviceor
forthedevelopmentofthenationalwealth.(339a)

Article421.AllotherpropertyoftheState,whichisnotofthecharacterstatedintheprecedingarticle,ispatrimonial
property.(340a)

Article422.Propertyofpublicdominion,whennolongerintendedforpublicuseorforpublicservice,shallformpart
ofthepatrimonialpropertyoftheState.(341a)

Article 423. The property of provinces, cities, and municipalities is divided into property for public use and
patrimonialproperty.(343)

Article424.Propertyforpublicuse,intheprovinces,cities,andmunicipalities,consistoftheprovincialroads,city
streets, municipal streets, the squares, fountains, public waters, promenades, and public works for public service
paidforbysaidprovinces,cities,ormunicipalities.

AllotherpropertypossessedbyanyofthemispatrimonialandshallbegovernedbythisCode,withoutprejudiceto
theprovisionsofspeciallaws.(344a)

Article 425. Property of private ownership, besides the patrimonial property of the State, provinces, cities, and
municipalities,consistsofallpropertybelongingtoprivatepersons,eitherindividuallyorcollectively.(345a)

ProvisionsCommontotheThreePrecedingChapters

Article426. Whenever by provision of the law, or an individual declaration, the expression "immovable things or
property,"or"movablethingsorproperty,"isused,itshallbedeemedtoinclude,respectively,thethingsenumerated
inChapter1andChapter2.

Whenever the word "muebles," or "furniture," is used alone, it shall not be deemed to include money, credits,
commercial securities, stocks and bonds, jewelry, scientific or artistic collections, books, medals, arms, clothing,
horses or carriages and their accessories, grains, liquids and merchandise, or other things which do not have as
their principal object the furnishing or ornamenting of a building, except where from the context of the law, or the
individualdeclaration,thecontraryclearlyappears.(346a)

TITLEII
OWNERSHIP

CHAPTER1
OwnershipinGeneral

Article427.Ownershipmaybeexercisedoverthingsorrights.(n)

Article428.Theownerhastherighttoenjoyanddisposeofathing,withoutotherlimitationsthanthoseestablished
bylaw.

Theownerhasalsoarightofactionagainsttheholderandpossessorofthethinginordertorecoverit.(348a)
Article429.Theownerorlawfulpossessorofathinghastherighttoexcludeanypersonfromtheenjoymentand
disposalthereof.Forthispurpose,hemayusesuchforceasmaybereasonablynecessarytorepelorpreventan
actualorthreatenedunlawfulphysicalinvasionorusurpationofhisproperty.(n)

Article 430. Every owner may enclose or fence his land or tenements by means of walls, ditches, live or dead
hedges,orbyanyothermeanswithoutdetrimenttoservitudesconstitutedthereon.(388)

Article431.Theownerofathingcannotmakeusethereofinsuchmannerastoinjuretherightsofathirdperson.
(n)

Article 432. The owner of a thing has no right to prohibit the interference of another with the same, if the
interferenceisnecessarytoavertanimminentdangerandthethreateneddamage,comparedtothedamagearising
totheownerfromtheinterference,ismuchgreater.Theownermaydemandfromthepersonbenefitedindemnityfor
thedamagetohim.(n)

Article 433. Actual possession under claim of ownership raises disputable presumption of ownership. The true
ownermustresorttojudicialprocessfortherecoveryoftheproperty.(n)

Article434.Inanactiontorecover,thepropertymustbeidentified,andtheplaintiffmustrelyonthestrengthofhis
titleandnotontheweaknessofthedefendant'sclaim.(n)

Article 435. No person shall be deprived of his property except by competent authority and for public use and
alwaysuponpaymentofjustcompensation.

Shouldthisrequirementbenotfirstcompliedwith,thecourtsshallprotectand,inapropercase,restoretheowner
inhispossession.(349a)

Article436.Whenanypropertyiscondemnedorseizedbycompetentauthorityintheinterestofhealth,safetyor
security, the owner thereof shall not be entitled to compensation, unless he can show that such condemnation or
seizureisunjustified.(n)ARTICLE437.Theownerofaparceloflandistheownerofitssurfaceandofeverything
under it, and he can construct thereon any works or make any plantations and excavations which he may deem
proper, without detriment to servitudes and subject to special laws and ordinances. He cannot complain of the
reasonablerequirementsofaerialnavigation.(350a)

Article438.Hiddentreasurebelongstotheowneroftheland,building,orotherpropertyonwhichitisfound.

Nevertheless,whenthediscoveryismadeonthepropertyofanother,oroftheStateoranyofitssubdivisions,and
bychance,onehalfthereofshallbeallowedtothefinder.Ifthefinderisatrespasser,heshallnotbeentitledtoany
shareofthetreasure.

Ifthethingsfoundbeofinteresttoscienceorthearts,theStatemayacquirethemattheirjustprice,whichshallbe
dividedinconformitywiththerulestated.(351a)

Article439.Bytreasureisunderstood,forlegalpurposes,anyhiddenandunknowndepositofmoney,jewelry,or
otherpreciousobjects,thelawfulownershipofwhichdoesnotappear.(352)

CHAPTER2
RightofAccession

GENERALPROVISIONS

Article440. The ownership of property gives the right by accession to everything which is produced thereby, or
whichisincorporatedorattachedthereto,eithernaturallyorartificially.(353)

SECTION1
RightofAccessionwithRespecttoWhatisProducedbyProperty

Article441.Totheownerbelongs:

(1)Thenaturalfruits

(2)Theindustrialfruits

(3)Thecivilfruits.(354)
Article442.Naturalfruitsarethespontaneousproductsofthesoil,andtheyoungandotherproductsofanimals.

Industrialfruitsarethoseproducedbylandsofanykindthroughcultivationorlabor.

Civilfruitsaretherentsofbuildings,thepriceofleasesoflandsandotherpropertyandtheamountofperpetualor
lifeannuitiesorothersimilarincome.(355a)

Article 443. He who receives the fruits has the obligation to pay the expenses made by a third person in their
production,gathering,andpreservation.(356)

Article444.Onlysuchasaremanifestorbornareconsideredasnaturalorindustrialfruits.

Withrespecttoanimals,itissufficientthattheyareinthewombofthemother,althoughunborn.(357)

SECTION2
RightofAccessionwithRespecttoImmovableProperty

Article 445. Whatever is built, planted or sown on the land of another and the improvements or repairs made
thereon,belongtotheowneroftheland,subjecttotheprovisionsofthefollowingarticles.(358)

Article 446. All works, sowing, and planting are presumed made by the owner and at his expense, unless the
contraryisproved.(359)

Article447.Theownerofthelandwhomakesthereon,personallyorthroughanother,plantings,constructionsor
workswiththematerialsofanother,shallpaytheirvalueand,ifheactedinbadfaith,heshallalsobeobligedtothe
reparationofdamages.Theownerofthematerialsshallhavetherighttoremovethemonlyincasehecandoso
withoutinjurytotheworkconstructed,orwithouttheplantings,constructionsorworksbeingdestroyed.However,if
the landowner acted in bad faith, the owner of the materials may remove them in any event, with a right to be
indemnifiedfordamages.(360a)

Article448.Theownerofthelandonwhichanythinghasbeenbuilt,sownorplantedingoodfaith,shallhavethe
righttoappropriateashisowntheworks,sowingorplanting,afterpaymentoftheindemnityprovidedforinarticles
546 and 548, or to oblige the one who built or planted to pay the price of the land, and the one who sowed, the
properrent.However,thebuilderorplantercannotbeobligedtobuythelandifitsvalueisconsiderablymorethan
thatofthebuildingortrees.Insuchcase,heshallpayreasonablerent,iftheownerofthelanddoesnotchooseto
appropriatethebuildingortreesafterproperindemnity.Thepartiesshallagreeuponthetermsoftheleaseandin
caseofdisagreement,thecourtshallfixthetermsthereof.(361a)

Article449.Hewhobuilds,plantsorsowsinbadfaithonthelandofanother,loseswhatisbuilt,plantedorsown
withoutrighttoindemnity.(362)

Article450.Theownerofthelandonwhichanythinghasbeenbuilt,plantedorsowninbadfaithmaydemandthe
demolitionofthework,orthattheplantingorsowingberemoved,inordertoreplacethingsintheirformercondition
attheexpenseofthepersonwhobuilt,plantedorsowedorhemaycompelthebuilderorplantertopaythepriceof
theland,andthesowertheproperrent.(363a)

Article451.Inthecasesofthetwoprecedingarticles,thelandownerisentitledtodamagesfromthebuilder,planter
orsower.(n)

Article452. The builder, planter or sower in bad faith is entitled to reimbursement for the necessary expenses of
preservationoftheland.(n)

Article453. If there was bad faith, not only on the part of the person who built, planted or sowed on the land of
another,butalsoonthepartoftheownerofsuchland,therightsofoneandtheothershallbethesameasthough
bothhadactedingoodfaith.

Itisunderstoodthatthereisbadfaithonthepartofthelandownerwhenevertheactwasdonewithhisknowledge
andwithoutoppositiononhispart.(364a)

Article454.Whenthelandowneractedinbadfaithandthebuilder,planterorsowerproceededingoodfaith,the
provisionsofarticle447shallapply.(n)

Article455.Ifthematerials,plantsorseedsbelongtoathirdpersonwhohasnotactedinbadfaith,theownerof
thelandshallanswersubsidiarilyfortheirvalueandonlyintheeventthattheonewhomadeuseofthemhasno
propertywithwhichtopay.
This provision shall not apply if the owner makes use of the right granted by article 450. If the owner of the
materials,plantsorseedshasbeenpaidbythebuilder,planterorsower,thelattermaydemandfromthelandowner
thevalueofthematerialsandlabor.(365a)

Article456. In the cases regulated in the preceding articles, good faith does not necessarily exclude negligence,
whichgivesrighttodamagesunderarticle2176.(n)

Article457.Totheownersoflandsadjoiningthebanksofriversbelongtheaccretionwhichtheygraduallyreceive
fromtheeffectsofthecurrentofthewaters.(336)

Article 458. The owners of estates adjoining ponds or lagoons do not acquire the land left dry by the natural
decreaseofthewaters,orlosethatinundatedbytheminextraordinaryfloods.(367)

Article459.Wheneverthecurrentofariver,creekortorrentsegregatesfromanestateonitsbankaknownportion
oflandandtransfersittoanotherestate,theownerofthelandtowhichthesegregatedportionbelongedretainsthe
ownershipofit,providedthatheremovesthesamewithintwoyears.(368a)

Article460. Trees uprooted and carried away by the current of the waters belong to the owner of the land upon
whichtheymaybecast,iftheownersdonotclaimthemwithinsixmonths.Ifsuchownersclaimthem,theyshall
paytheexpensesincurredingatheringthemorputtingtheminasafeplace.(369a)

Article461. River beds which are abandoned through the natural change in the course of the waters ipso facto
belong to the owners whose lands are occupied by the new course in proportion to the area lost. However, the
ownersofthelandsadjoiningtheoldbedshallhavetherighttoacquirethesamebypayingthevaluethereof,which
valueshallnotexceedthevalueoftheareaoccupiedbythenewbed.(370a)

Article462.Wheneverariver,changingitscoursebynaturalcauses,opensanewbedthroughaprivateestate,
thisbedshallbecomeofpublicdominion.(372a)

Article 463. Whenever the current of a river divides itself into branches, leaving a piece of land or part thereof
isolated, the owner of the land retains his ownership. He also retains it if a portion of land is separated from the
estatebythecurrent.(374)

Article464. Islands which may be formed on the seas within the jurisdiction of the Philippines, on lakes, and on
navigableorfloatableriversbelongtotheState.(371a)

Article465. Islands which through successive accumulation of alluvial deposits are formed in nonnavigable and
nonfloatablerivers,belongtotheownersofthemarginsorbanksnearesttoeachofthem,ortotheownersofboth
marginsiftheislandisinthemiddleoftheriver,inwhichcaseitshallbedividedlongitudinallyinhalves.Ifasingle
islandthusformedbemoredistantfromonemarginthanfromtheother,theownerofthenearermarginshallbethe
soleownerthereof.(373a)

SECTION3
RightofAccessionwithRespecttoMovableProperty

Article466.Whenevertwomovablethingsbelongingtodifferentownersare,withoutbadfaith,unitedinsuchaway
thattheyformasingleobject,theowneroftheprincipalthingacquirestheaccessory,indemnifyingtheformerowner
thereofforitsvalue.(375)

Article467.Theprincipalthing,asbetweentwothingsincorporated,isdeemedtobethattowhichtheotherhas
beenunitedasanornament,orforitsuseorperfection.(376)

Article468.Ifitcannotbedeterminedbytherulegivenintheprecedingarticlewhichofthetwothingsincorporated
istheprincipalone,thethingofthegreatervalueshallbesoconsidered,andasbetweentwothingsofequalvalue,
thatofthegreatervolume.

Inpaintingandsculpture,writings,printedmatter,engravingandlithographs,theboard,metal,stone,canvas,paper
orparchmentshallbedeemedtheaccessorything.(377)

Article469.Wheneverthethingsunitedcanbeseparatedwithoutinjury,theirrespectiveownersmaydemandtheir
separation.

Nevertheless,incasethethingunitedfortheuse,embellishmentorperfectionoftheother,ismuchmoreprecious
thantheprincipalthing,theowneroftheformermaydemanditsseparation,eventhoughthethingtowhichithas
beenincorporatedmaysuffersomeinjury.(378)
Article470.Whenevertheowneroftheaccessorythinghasmadetheincorporationinbadfaith,heshalllosethe
thing incorporated and shall have the obligation to indemnify the owner of the principal thing for the damages he
mayhavesuffered.

Iftheonewhohasactedinbadfaithistheowneroftheprincipalthing,theowneroftheaccessorythingshallhave
a right to choose between the former paying him its value or that the thing belonging to him be separated, even
thoughforthispurposeitbenecessarytodestroytheprincipalthingandinbothcases,furthermore,thereshallbe
indemnityfordamages.

Ifeitheroneoftheownershasmadetheincorporationwiththeknowledgeandwithouttheobjectionoftheother,
theirrespectiverightsshallbedeterminedasthoughbothactedingoodfaith.(379a)

Article471.Whenevertheownerofthematerialemployedwithouthisconsenthasarighttoanindemnity,hemay
consent
demand that this consist in the delivery of a thing equal in kind and value, and in all other respects, to that
employed,orelseinthepricethereof,accordingtoexpertappraisal.(380)

Article472.Ifbythewilloftheirownerstwothingsofthesameordifferentkindsaremixed,orifthemixtureoccurs
by chance, and in the latter case the things are not separable without injury, each owner shall acquire a right
proportionaltothepartbelongingtohim,bearinginmindthevalueofthethingsmixedorconfused.(381)

Article473.Ifbythewillofonlyoneowner,butingoodfaith,twothingsofthesameordifferentkindsaremixedor
confused,therightsoftheownersshallbedeterminedbytheprovisionsoftheprecedingarticle.

If the one who caused the mixture or confusion acted in bad faith, he shall lose the thing belonging to him thus
mixedorconfused,besidesbeingobligedtopayindemnityforthedamagescausedtotheowneroftheotherthing
withwhichhisownwasmixed.(382)

Article474.Onewhoingoodfaithemploysthematerialofanotherinwholeorinpartinordertomakeathingofa
differentkind,shallappropriatethethingthustransformedashisown,indemnifyingtheownerofthematerialforits
value.

If the material is more precious than the transformed thing or is of more value, its owner may, at his option,
appropriatethenewthingtohimself,afterfirstpayingindemnityforthevalueofthework,ordemandindemnityfor
thematerial.

Ifinthemakingofthethingbadfaithintervened,theownerofthematerialshallhavetherighttoappropriatethe
worktohimselfwithoutpayinganythingtothemaker,ortodemandofthelatterthatheindemnifyhimforthevalue
ofthematerialandthedamageshemayhavesuffered.However,theownerofthematerialcannotappropriatethe
workincasethevalueofthelatter,forartisticorscientificreasons,isconsiderablymorethanthatofthematerial.
(383a)

Article475.Intheprecedingarticles,sentimentalvalueshallbedulyappreciated.(n)

CHAPTER3
QuietingofTitle(n)

Article476.Wheneverthereisacloudontitletorealpropertyoranyinteresttherein,byreasonofanyinstrument,
record, claim, encumbrance or proceeding which is apparently valid or effective but is in truth and in fact invalid,
ineffective,voidable,orunenforceable,andmaybeprejudicialtosaidtitle,anactionmaybebroughttoremovesuch
cloudortoquietthetitle.

Anactionmayalsobebroughttopreventacloudfrombeingcastupontitletorealpropertyoranyinteresttherein.

Article477. The plaintiff must have legal or equitable title to, or interest in the real property which is the subject
matteroftheaction.Heneednotbeinpossessionofsaidproperty.

Article478.Theremayalsobeanactiontoquiettitleorremoveacloudtherefromwhenthecontract,instrumentor
otherobligationhasbeenextinguishedorhasterminated,orhasbeenbarredbyextinctiveprescription.

Article479.Theplaintiffmustreturntothedefendantallbenefitshemayhavereceivedfromthelatter,orreimburse
himforexpensesthatmayhaveredoundedtotheplaintiff'sbenefit.

Article480.Theprinciplesofthegenerallawonthequietingoftitleareherebyadoptedinsofarastheyarenotin
conflictwiththisCode.
Article481.Theprocedureforthequietingoftitleortheremovalofacloudtherefromshallbegovernedbysuch
rulesofcourtastheSupremeCourtshallpromulgated.

CHAPTER4
RuinousBuildingsandTreesinDangerofFalling

Article482.Ifabuilding,wall,column,oranyotherconstructionisindangeroffalling,theownershallbeobligedto
demolishitortoexecutethenecessaryworkinordertopreventitfromfalling.

Iftheproprietordoesnotcomplywiththisobligation,theadministrativeauthoritiesmayorderthedemolitionofthe
structureattheexpenseoftheowner,ortakemeasurestoinsurepublicsafety.(389a)

Article483.Wheneveralargetreethreatenstofallinsuchawayastocausedamagetothelandortenementof
anotherortotravelersoverapublicorprivateroad,theownerofthetreeshallbeobligedtofellandremoveitand
shouldhenotdoso,itshallbedoneathisexpensebyorderoftheadministrativeauthorities.(390a)

TITLEIII
COOWNERSHIP

Article 484. There is coownership whenever the ownership of an undivided thing or right belongs to different
persons.

Indefaultofcontracts,orofspecialprovisions,coownershipshallbegovernedbytheprovisionsofthisTitle.(392)

Article485. The share of the coowners, in the benefits as well as in the charges, shall be proportional to their
respectiveinterests.Anystipulationinacontracttothecontraryshallbevoid.

The portions belonging to the coowners in the coownership shall be presumed equal, unless the contrary is
proved.(393a)

Article 486. Each coowner may use the thing owned in common, provided he does so in accordance with the
purposeforwhichitisintendedandinsuchawayasnottoinjuretheinterestofthecoownershiporpreventthe
other coowners from using it according to their rights. The purpose of the coownership may be changed by
agreement,expressorimplied.(394a)

Article487.Anyoneofthecoownersmaybringanactioninejectment.(n)

Article 488. Each coowner shall have a right to compel the other coowners to contribute to the expenses of
preservationofthethingorrightownedincommonandtothetaxes.Anyoneofthelattermayexempthimselffrom
thisobligationbyrenouncingsomuchofhisundividedinterestasmaybeequivalenttohisshareoftheexpenses
andtaxes.Nosuchwaivershallbemadeifitisprejudicialtothecoownership.(395a)

Article489.Repairsforpreservationmaybemadeatthewillofoneofthecoowners,buthemust,ifpracticable,
first notify his coowners of the necessity for such repairs. Expenses to improve or embellish the thing shall be
decideduponbyamajorityasdeterminedinarticle492.(n)

Article490.Wheneverthedifferentstoriesofahousebelongtodifferentowners,ifthetitlesofownershipdonot
specifythetermsunderwhichtheyshouldcontributetothenecessaryexpensesandthereexistsnoagreementon
thesubject,thefollowingrulesshallbeobserved:

(1)Themainandpartywalls,theroofandtheotherthingsusedincommon,shallbepreservedattheexpenseofall
theownersinproportiontothevalueofthestorybelongingtoeach

(2)Eachownershallbearthecostofmaintainingthefloorofhisstorytheflooroftheentrance,frontdoor,common
yardandsanitaryworkscommontoall,shallbemaintainedattheexpenseofalltheownersprorata

(3)Thestairsfromtheentrancetothefirststoryshallbemaintainedattheexpenseofalltheownersprorata,with
theexceptionoftheownerofthegroundfloorthestairsfromthefirsttothesecondstoryshallbepreservedatthe
expenseofall,excepttheownerofthegroundfloorandtheownerofthefirststoryandsoonsuccessively.(396)

Article491.Noneofthecoownersshall,withouttheconsentoftheothers,makealterationsinthethingownedin
consent
common,eventhoughbenefitsforallwouldresulttherefrom.However,ifthewithholdingoftheconsentbyoneor
consent
moreofthecoownersisclearlyprejudicialtothecommoninterest,thecourtsmayaffordadequaterelief.(397a)
Article 492. For the administration and better enjoyment of the thing owned in common, the resolutions of the
majorityofthecoownersshallbebinding.

Thereshallbenomajorityunlesstheresolutionisapprovedbythecoownerswhorepresentthecontrollinginterest
intheobjectofthecoownership.

Shouldtherebenomajority,orshouldtheresolutionofthemajoritybeseriouslyprejudicialtothoseinterestedinthe
propertyownedincommon,thecourt,attheinstanceofaninterestedparty,shallordersuchmeasuresasitmay
deemproper,includingtheappointmentofanadministrator.

Wheneverapartofthethingbelongsexclusivelytooneofthecoowners,andtheremainderisownedincommon,
theprecedingprovisionshallapplyonlytothepartownedincommon.(398)

Article493.Eachcoownershallhavethefullownershipofhispartandofthefruitsandbenefitspertainingthereto,
andhemaythereforealienate,assignormortgageit,andevensubstituteanotherpersoninitsenjoyment,except
whenpersonalrightsareinvolved.Buttheeffectofthealienationorthemortgage,withrespecttothecoowners,
shallbelimitedtotheportionwhichmaybeallottedtohiminthedivisionupontheterminationofthecoownership.
(399)

Article494.Nocoownershallbeobligedtoremaininthecoownership.Eachcoownermaydemandatanytime
thepartitionofthethingownedincommon,insofarashisshareisconcerned.

Nevertheless,anagreementtokeepthethingundividedforacertainperiodoftime,notexceedingtenyears,shall
bevalid.Thistermmaybeextendedbyanewagreement.

Adonorortestatormayprohibitpartitionforaperiodwhichshallnotexceedtwentyyears.

Neithershalltherebeanypartitionwhenitisprohibitedbylaw.

Noprescriptionshallruninfavorofacoownerorcoheiragainsthiscoownersorcoheirssolongasheexpressly
orimpliedlyrecognizesthecoownership.(400a)

Article 495. Notwithstanding the provisions of the preceding article, the coowners cannot demand a physical
division of the thing owned in common, when to do so would render it unserviceable for the use for which it is
intended.Butthecoownershipmaybeterminatedinaccordancewitharticle498.(401a)

Article496.Partitionmaybemadebyagreementbetweenthepartiesorbyjudicialproceedings.Partitionshallbe
governedbytheRulesofCourtinsofarastheyareconsistentwiththisCode.(402)

Article497.Thecreditorsorassigneesofthecoownersmaytakepartinthedivisionofthethingownedincommon
andobjecttoitsbeingeffectedwithouttheirconcurrence.Buttheycannotimpugnanypartitionalreadyexecuted,
unless there has been fraud, or in case it was made notwithstanding a formal opposition presented to prevent it,
withoutprejudicetotherightofthedebtororassignortomaintainitsvalidity.(403)

Article498.Wheneverthethingisessentiallyindivisibleandthecoownerscannotagreethatitbeallottedtooneof
themwhoshallindemnifytheothers,itshallbesoldanditsproceedsdistributed.(404)

Article499.Thepartitionofathingownedincommonshallnotprejudicethirdpersons,whoshallretaintherightsof
mortgage, servitude or any other real rights belonging to them before the division was made. Personal rights
pertainingtothirdpersonsagainstthecoownershipshallalsoremaininforce,notwithstandingthepartition.(405)

Article 500. Upon partition, there shall be a mutual accounting for benefits received and reimbursements for
expensesmade.Likewise,eachcoownershallpayfordamagescausedbyreasonofhisnegligenceorfraud.(n)

Article501.Everycoownershall,afterpartition,beliablefordefectsoftitleandqualityoftheportionassignedto
eachoftheothercoowners.(n)

TITLEIV
SOMESPECIALPROPERTIES

CHAPTER1
Waters
 SECTION1
OwnershipofWaters

Article502.Thefollowingareofpublicdominion:

(1)Riversandtheirnaturalbeds

(2) Continuous or intermittent waters of springs and brooks running in their natural beds and the beds
themselves

(3)Watersrisingcontinuouslyorintermittentlyonlandsofpublicdominion

(4)LakesandlagoonsformedbyNatureonpubliclands,andtheirbeds

(5)Rainwatersrunningthroughravinesorsandbeds,whicharealsoofpublicdominion

(6)Subterraneanwatersonpubliclands

(7)Watersfoundwithinthezoneofoperationofpublicworks,evenifconstructedbyacontractor

(8) Waters rising continuously or intermittently on lands belonging to private persons, to the State, to a
province,ortoacityoramunicipalityfromthemomenttheyleavesuchlands

(9)Thewastewatersoffountains,sewersandpublicestablishments.(407)

Article503.Thefollowingareofprivateownership:

(1)Continuousorintermittentwatersrisingonlandsofprivateownership,whilerunningthroughthesame

(2)Lakesandlagoons,andtheirbeds,formedbyNatureonsuchlands

(3)Subterraneanwatersfoundonthesame

(4)Rainwatersfallingonsaidlands,aslongastheyremainwithintheboundaries

(5)Thebedsofflowingwaters,continuousorintermittent,formedbyrainwater,andthoseofbrooks,crossing
landswhicharenotofpublicdominion.

Ineverydrainoraqueduct,thewater,bed,banksandfloodgatesshallbeconsideredasanintegralpartoftheland
ofbuildingforwhichthewatersareintended.Theownersoflands,throughwhichoralongtheboundariesofwhich
theaqueductpasses,cannotclaimownershipoverit,oranyrighttotheuseofitsbedorbanks,unlesstheclaimis
basedontitlesofownershipspecifyingtherightorownershipclaimed.(408)

SECTION2
TheUseofPublicWaters

Article504.Theuseofpublicwatersisacquired:

(1)Byadministrativeconcession

(2)Byprescriptionfortenyears.

The extent of the rights and obligations of the use shall be that established, in the first case, by the terms of the
concession,and,inthesecondcase,bythemannerandforminwhichthewatershavebeenused.(409a)

Article505.Everyconcessionfortheuseofwatersisunderstoodtobewithoutprejudicetothirdpersons.(410)

Article506.Therighttomakeuseofpublicwatersisextinguishedbythelapseoftheconcessionandbynonuser
forfiveyears.(411a)

SECTION3
TheUseofWatersofPrivateOwnership

Article507.Theownerofapieceoflandonwhichaspringorbrookrises,beitcontinuousorintermittent,mayuse
itswaterswhiletheyrunthroughthesame,butafterthewatersleavethelandtheyshallbecomepublic,andtheir
useshallbegovernedbytheSpecialLawofWatersofAugust3,1866,andbytheIrrigationLaw.(412a)

Article508.Theprivateownershipofthebedsofrainwatersdoesnotgivearighttomakeworksorconstructions
whichmaychangetheircoursetothedamageofthirdpersons,orwhosedestruction,bytheforceoffloods,may
causesuchdamage.(413)

Article509.Noonemayenterprivatepropertytosearchwatersormakeuseofthemwithoutpermissionfromthe
owners,exceptasprovidedbytheMiningLaw.(414a)

Article 510. The ownership which the proprietor of a piece of land has over the waters rising thereon does not
prejudicetherightswhichtheownersoflowerestatesmayhavelegallyacquiredtotheusethereof.(415)

Article511.Everyownerofapieceoflandhastherighttoconstructwithinhisproperty,reservoirsforrainwaters,
providedhecausesnodamagetothepublicortothirdpersons.(416)

SECTION4
SubterraneanWaters

Article 512. Only the owner of a piece of land, or another person with his permission, may make explorations
thereonforsubterraneanwaters,exceptasprovidedbytheMiningLaw.

Explorations for subterranean waters on lands of public dominion may be made only with the permission of the
administrativeauthorities.(417a)

Article513.WatersartificiallybroughtforthinaccordancewiththeSpecialLawofWatersofAugust3,1866,belong
tothepersonwhobroughtthemup.(418)

Article514.Whentheownerofwatersartificiallybroughttothesurfaceabandonsthemtotheirnaturalcourse,they
shallbecomeofpublicdominion.(419)

SECTION5
GeneralProvisions

Article515.Theownerofapieceoflandonwhichtherearedefensiveworkstocheckwaters,oronwhich,duetoa
change of their course, it may be necessary to reconstruct such works, shall be obliged, at his election, either to
makethenecessaryrepairsorconstructionhimself,ortopermitthemtobedone,withoutdamagetohim,bythe
ownersofthelandswhichsufferorareclearlyexposedtosufferinjury.(420)

Article516.Theprovisionsoftheprecedingarticleareapplicabletothecaseinwhichitmaybenecessarytoclear
apieceoflandofmatter,whoseaccumulationorfallmayobstructthecourseofthewaters,tothedamageorperilof
thirdpersons.(421)

Article517.Alltheownerswhoparticipateinthebenefitsarisingfromtheworksreferredtointhetwopreceding
articles, shall be obliged to contribute to the expenses of construction in proportion to their respective interests.
Thosewhobytheirfaultmayhavecausedthedamageshallbeliablefortheexpenses.(422)

Article518.AllmattersnotexpresslydeterminedbytheprovisionsofthisChaptershallbegovernedbytheSpecial
LawofWatersofAugust3,1866,andbytheIrrigationLaw.(425a)

CHAPTER2
Minerals

Article519. Mining claims and rights and other matters concerning minerals and mineral lands are governed by
speciallaws.(427a)

CHAPTER3
TrademarksandTradenames

Article520.Atrademarkortradenamedulyregisteredinthepropergovernmentbureauorofficeisownedbyand
pertainstotheperson,corporation,orfirmregisteringthesame,subjecttotheprovisionsofspeciallaws.(n)
Article521.Thegoodwillofabusinessisproperty,andmaybetransferredtogetherwiththerighttousethename
underwhichthebusinessisconducted.(n)

Article522.Trademarksandtradenamesaregovernedbyspeciallaws.(n)

TITLEV
POSSESSION

CHAPTER1
PossessionandtheKindsThereof

Article523.Possessionistheholdingofathingortheenjoymentofaright.(430a)

Article524.Possessionmaybeexercisedinone'sownnameorinthatofanother.(413a)

Article525.Thepossessionofthingsorrightsmaybehadinoneoftwoconcepts:eitherintheconceptofowner,or
inthatoftheholderofthethingorrighttokeeporenjoyit,theownershippertainingtoanotherperson.(432)

Article 526. He is deemed a possessor in good faith who is not aware that there exists in his title or mode of
acquisitionanyflawwhichinvalidatesit.

Heisdeemedapossessorinbadfaithwhopossessesinanycasecontrarytotheforegoing.

Mistakeuponadoubtfulordifficultquestionoflawmaybethebasisofgoodfaith.(433a)

Article527.Goodfaithisalwayspresumed,anduponhimwhoallegesbadfaithonthepartofapossessorrests
theburdenofproof.(434)

Article528.Possessionacquiredingoodfaithdoesnotlosethischaracterexceptinthecaseandfromthemoment
facts exist which show that the possessor is not unaware that he possesses the thing improperly or wrongfully.
(435a)

Article529.Itispresumedthatpossessioncontinuestobeenjoyedinthesamecharacterinwhichitwasacquired,
untilthecontraryisproved.(436)

Article530. Only things and rights which are susceptible of being appropriated may be the object of possession.
(437)

CHAPTER2
AcquisitionofPossession

Article531.Possessionisacquiredbythematerialoccupationofathingortheexerciseofaright,orbythefact
thatitissubjecttotheactionofourwill,orbytheproperactsandlegalformalitiesestablishedforacquiringsuch
right.(438a)

Article532.Possessionmaybeacquiredbythesamepersonwhoistoenjoyit,byhislegalrepresentative,byhis
agent,orbyanypersonwithoutanypowerwhatever:butinthelastcase,thepossessionshallnotbeconsideredas
acquired until the person in whose name the act of possession was executed has ratified the same, without
prejudicetothejuridicalconsequencesofnegotiorumgestioinapropercase.(439a)

Article533.Thepossessionofhereditarypropertyisdeemedtransmittedtotheheirwithoutinterruptionandfrom
themomentofthedeathofthedecedent,incasetheinheritanceisaccepted.

Onewhovalidlyrenouncesaninheritanceisdeemednevertohavepossessedthesame.(440)

Article534.Onwhosucceedsbyhereditarytitleshallnotsuffertheconsequencesofthewrongfulpossessionof
thedecedent,ifitisnotshownthathewasawareoftheflawsaffectingitbuttheeffectsofpossessioningoodfaith
shallnotbenefithimexceptfromthedateofdeathofthedecedent.(442)

Article535.Minorsandincapacitatedpersonsmayacquirethepossessionofthingsbuttheyneedtheassistance
oftheirlegalrepresentativesinordertoexercisetherightswhichfromthepossessionariseintheirfavor.(443)
Article536.Innocasemaypossessionbeacquiredthroughforceorintimidationaslongasthereisapossessor
whoobjectsthereto.Hewhobelievesthathehasanactionorarighttodepriveanotheroftheholdingofathing,
mustinvoketheaidofthecompetentcourt,iftheholdershouldrefusetodeliverthething.(441a)

Article537.Actsmerelytolerated,andthoseexecutedclandestinelyandwithouttheknowledgeofthepossessorof
athing,orbyviolence,donotaffectpossession.(444)

Article538.Possessionasafactcannotberecognizedatthesametimeintwodifferentpersonalitiesexceptinthe
casesofcopossession.Shouldaquestionariseregardingthefactofpossession,thepresentpossessorshallbe
preferrediftherearetwopossessors,theonelongerinpossessionifthedatesofthepossessionarethesame,the
onewhopresentsatitleandifalltheseconditionsareequal,thethingshallbeplacedinjudicialdepositpending
determinationofitspossessionorownershipthroughproperproceedings.(445)

CHAPTER3
EffectsofPossession

Article539.Everypossessorhasarighttoberespectedinhispossessionandshouldhebedisturbedthereinhe
shallbeprotectedinorrestoredtosaidpossessionbythemeansestablishedbythelawsandtheRulesofCourt.

Apossessordeprivedofhispossessionthroughforcibleentrymaywithintendaysfromthefilingofthecomplaint
presentamotiontosecurefromthecompetentcourt,intheactionforforcibleentry,awritofpreliminarymandatory
injunctiontorestorehiminhispossession.Thecourtshalldecidethemotionwithinthirty(30)daysfromthefiling
thereof.(446a)

Article540. Only the possession acquired and enjoyed in the concept of owner can serve as a title for acquiring
dominion.(447)

Article541.Apossessorintheconceptofownerhasinhisfavorthelegalpresumptionthathepossesseswitha
justtitleandhecannotbeobligedtoshoworproveit.(448a)

Article542.Thepossessionofrealpropertypresumesthatofthemovablestherein,solongasitisnotshownor
provedthattheyshouldbeexcluded.(449)

Article543. Each one of the participants of a thing possessed in common shall be deemed to have exclusively
possessedthepartwhichmaybeallottedtohimuponthedivisionthereof,fortheentireperiodduringwhichtheco
possessionlasted.Interruptioninthepossessionofthewholeorapartofathingpossessedincommonshallbeto
theprejudiceofallthepossessors.However,incaseofcivilinterruption,theRulesofCourtshallapply.(450a)

Article544.Apossessoringoodfaithisentitledtothefruitsreceivedbeforethepossessionislegallyinterrupted.

Naturalandindustrialfruitsareconsideredreceivedfromthetimetheyaregatheredorsevered.

Civilfruitsaredeemedtoaccruedailyandbelongtothepossessoringoodfaithinthatproportion.(451)

Article545.Ifatthetimethegoodfaithceases,thereshouldbeanynaturalorindustrialfruits,thepossessorshall
havearighttoapartoftheexpensesofcultivation,andtoapartofthenetharvest,bothinproportiontothetimeof
thepossession.

Thechargesshallbedividedonthesamebasisbythetwopossessors.

Theownerofthethingmay,shouldhesodesire,givethepossessoringoodfaiththerighttofinishthecultivation
andgatheringofthegrowingfruits,asanindemnityforhispartoftheexpensesofcultivationandthenetproceeds
thepossessoringoodfaithwhoforanyreasonwhatevershouldrefusetoacceptthisconcession,shalllosetheright
tobeindemnifiedinanyothermanner.(452a)

Article546.Necessaryexpensesshallberefundedtoeverypossessorbutonlythepossessoringoodfaithmay
retainthethinguntilhehasbeenreimbursedtherefor.

Usefulexpensesshallberefundedonlytothepossessoringoodfaithwiththesamerightofretention,theperson
whohasdefeatedhiminthepossessionhavingtheoptionofrefundingtheamountoftheexpensesorofpayingthe
increaseinvaluewhichthethingmayhaveacquiredbyreasonthereof.(453a)

Article547. If the useful improvements can be removed without damage to the principal thing, the possessor in
goodfaithmayremovethem,unlessthepersonwhorecoversthepossessionexercisestheoptionunderparagraph
2oftheprecedingarticle.(n)ARTICLE548.Expensesforpureluxuryormerepleasureshallnotberefundedtothe
possessoringoodfaithbuthemayremovetheornamentswithwhichhehasembellishedtheprincipalthingifit
suffers no injury thereby, and if his successor in the possession does not prefer to refund the amount expended.
(454)

Article549.Thepossessorinbadfaithshallreimbursethefruitsreceivedandthosewhichthelegitimatepossessor
could have received, and shall have a right only to the expenses mentioned in paragraph 1 of article 546 and in
article443.Theexpensesincurredinimprovementsforpureluxuryormerepleasureshallnotberefundedtothe
possessorinbadfaith,buthemayremovetheobjectsforwhichsuchexpenseshavebeenincurred,providedthat
thethingsuffersnoinjurythereby,andthatthelawfulpossessordoesnotprefertoretainthembypayingthevalue
theymayhaveatthetimeheentersintopossession.(445a)

Article550.Thecostsoflitigationoverthepropertyshallbebornebyeverypossessor.(n)

Article 551. Improvements caused by nature or time shall always inure to the benefit of the person who has
succeededinrecoveringpossession.(456)

Article552.Apossessoringoodfaithshallnotbeliableforthedeteriorationorlossofthethingpossessed,except
incasesinwhichitisprovedthathehasactedwithfraudulentintentornegligence,afterthejudicialsummons.

Apossessorinbadfaithshallbeliablefordeteriorationorlossineverycase,evenifcausedbyafortuitousevent.
(457a)

Article553.Onewhorecoverspossessionshallnotbeobligedtopayforimprovementswhichhaveceasedtoexist
atthetimehetakespossessionofthething.(458)

Article 554. A present possessor who shows his possession at some previous time, is presumed to have held
possessionalsoduringtheintermediateperiod,intheabsenceofprooftothecontrary.(459)

Article555.Apossessormaylosehispossession:

(1)Bytheabandonmentofthething

(2)Byanassignmentmadetoanothereitherbyonerousorgratuitoustitle

(3)Bythedestructionortotallossofthething,orbecauseitgoesoutofcommerce

(4) By the possession of another, subject to the provisions of article 537, if the new possession has lasted
longerthanoneyear.Buttherealrightofpossessionisnotlosttillafterthelapseoftenyears.(460a)

Article 556. The possession of movables is not deemed lost so long as they remain under the control of the
possessor,eventhoughforthetimebeinghemaynotknowtheirwhereabouts.(461)

Article557. The possession of immovables and of real rights is not deemed lost, or transferred for purposes of
prescriptiontotheprejudiceofthirdpersons,exceptinaccordancewiththeprovisionsoftheMortgageLawandthe
LandRegistrationlaws.(462a)

Article558.Actsrelatingtopossession,executedoragreedtobyonewhopossessesathingbelongingtoanother
asamereholdertoenjoyorkeepit,inanycharacter,donotbindorprejudicetheowner,unlesshegavesaidholder
expressauthoritytodosuchacts,orratifiesthemsubsequently.(463)

Article559.Thepossessionofmovablepropertyacquiredingoodfaithisequivalenttoatitle.Nevertheless,one
whohaslostanymovableorhasbeenunlawfullydeprivedthereof,mayrecoveritfromthepersoninpossessionof
thesame.

Ifthepossessorofamovablelostorwhichtheownerhasbeenunlawfullydeprived,hasacquireditingoodfaithat
apublicsale,theownercannotobtainitsreturnwithoutreimbursingthepricepaidtherefor.(464a)

Article560. Wild animals are possessedonlywhiletheyareunderone'scontroldomesticated or tamed animals

areconsidereddomesticortameiftheyretainthehabitofreturningtothepremisesofthepossessor.(465)

Article561.Onewhorecovers,accordingtolaw,possessionunjustlylost,shallbedeemedforallpurposeswhich
mayredoundtohisbenefit,tohaveenjoyeditwithoutinterruption.(466)

TITLEVI
USUFRUCT
 CHAPTER1
UsufructinGeneral

Article562. Usufruct gives a right to enjoy the property of another with the obligation of preserving its form and
substance,unlessthetitleconstitutingitorthelawotherwiseprovides.(467)

Article563.Usufructisconstitutedbylaw,bythewillofprivatepersonsexpressedinactsintervivosorinalastwill
andtestament,andbyprescription.(468)

Article 564. Usufruct may be constituted on the whole or a part of the fruits of the thing, in favor of one more
persons,simultaneouslyorsuccessively,andineverycasefromortoacertainday,purelyorconditionally.Itmay
alsobeconstitutedonaright,provideditisnotstrictlypersonalorintransmissible.(469)

Article 565. The rights and obligations of the usufructuary shall be those provided in the title constituting the
usufructindefaultofsuchtitle,orincaseitisdeficient,theprovisionscontainedinthetwofollowingChaptersshall
beobserved.(470)

CHAPTER2
RightsoftheUsufructuary

Article566.Theusufructuaryshallbeentitledtoallthenatural,industrialandcivilfruitsofthepropertyinusufruct.
With respect to hidden treasure which may be found on the land or tenement, he shall be considered a stranger.
(471)

Article567.Naturalorindustrialfruitsgrowingatthetimetheusufructbegins,belongtotheusufructuary.

Thosegrowingatthetimetheusufructterminates,belongtotheowner.

Intheprecedingcases,theusufructuary,atthebeginningoftheusufruct,hasnoobligationtorefundtotheowner
any expenses incurred but the owner shall be obliged to reimburse at the termination of the usufruct, from the
proceedsofthegrowingfruits,theordinaryexpensesofcultivation,forseed,andothersimilarexpensesincurredby
theusufructuary.

Theprovisionsofthisarticleshallnotprejudicetherightsofthirdpersons,acquiredeitheratthebeginningoratthe
terminationoftheusufruct.(472)

Article568.Iftheusufructuaryhasleasedthelandsortenementsgiveninusufruct,andtheusufructshouldexpire
beforetheterminationofthelease,heorhisheirsandsuccessorsshallreceiveonlytheproportionateshareofthe
rentthatmustbepaidbythelessee.(473)

Article569. Civil fruits are deemed to accrue daily, and belong to the usufructuary in proportion to the time the
usufructmaylast.(474).

Article 570. Whenever a usufruct is constituted on the right to receive a rent or periodical pension, whether in
moneyorinfruits,orintheinterestonbondsorsecuritiespayabletobearer,eachpaymentdueshallbeconsidered
astheproceedsorfruitsofsuchright.

Whenever it consists in the enjoyment of benefits accruing from a participation in any industrial or commercial
enterprise,thedateofthedistributionofwhichisnotfixed,suchbenefitsshallhavethesamecharacter.

Ineithercasetheyshallbedistributedascivilfruits,andshallbeappliedinthemannerprescribedinthepreceding
article.(475)

Article571. The usufructuary shall have the right to enjoy any increase which the thing in usufruct may acquire
throughaccession,theservitudesestablishedinitsfavor,and,ingeneral,allthebenefitsinherenttherein.(479)

Article572.Theusufructuarymaypersonallyenjoythethinginusufruct,leaseittoanother,oralienatehisrightof
usufruct,evenbyagratuitoustitlebutallthecontractshemayenterintoassuchusufructuaryshallterminateupon
the expiration of the usufruct, saving leases of rural lands, which shall be considered as subsisting during the
agriculturalyear.(480)

Article573. Whenever the usufruct includes things which, without being consumed, gradually deteriorate through
wearandtear,theusufructuaryshallhavetherighttomakeusethereofinaccordancewiththepurposeforwhich
theyareintended,andshallnotbeobligedtoreturnthemattheterminationoftheusufructexceptintheircondition
atthattimebutheshallbeobligedtoindemnifytheownerforanydeteriorationtheymayhavesufferedbyreason
ofhisfraudornegligence.(481)
Article574.Whenevertheusufructincludesthingswhichcannotbeusedwithoutbeingconsumed,theusufructuary
shallhavetherighttomakeuseofthemundertheobligationofpayingtheirappraisedvalueattheterminationof
the usufruct, if they were appraised when delivered. In case they were not appraised, he shall have the right to
returnthesamequantityandquality,orpaytheircurrentpriceatthetimetheusufructceases.(482)

Article575.Theusufructuaryoffruitbearingtreesandshrubsmaymakeuseofthedeadtrunks,andevenofthose
cutofforuprootedbyaccident,undertheobligationtoreplacethemwithnewplants.(483a)

Article576.Ifinconsequenceofacalamityorextraordinaryevent,thetreesorshrubsshallhavedisappearedin
such considerable number that it would not be possible or it would be too burdensome to replace them, the
usufructuarymayleavethedead,fallenoruprootedtrunksatthedisposaloftheowner,anddemandthatthelatter
removethemandcleartheland.(484a)

Article577.Theusufructuaryofwoodlandmayenjoyallthebenefitswhichitmayproduceaccordingtoitsnature.

Ifthewoodlandisacopseorconsistsoftimberforbuilding,theusufructuarymaydosuchordinarycuttingorfelling
astheownerwasinthehabitofdoing,andindefaultofthis,hemaydosoinaccordancewiththecustomofthe
place,astothemanner,amountandseason.

Inanycasethefellingorcuttingoftreesshallbemadeinsuchmannerasnottoprejudicethepreservationofthe
land.

In nurseries, the usufructuary may make the necessary thinnings in order that the remaining trees may properly
grow.

Withtheexceptionoftheprovisionsoftheprecedingparagraphs,theusufructuarycannotcutdowntreesunlessit
betorestoreorimprovesomeofthethingsinusufruct,andinsuchcaseshallfirstinformtheownerofthenecessity
for the work. (485) ARTICLE 578. The usufructuary of an action to recover real property or a real right, or any
movableproperty,hastherighttobringtheactionandtoobligetheownerthereoftogivehimtheauthorityforthis
purpose and to furnish him whatever proof he may have. If in consequence of the enforcement of the action he
acquiresthethingclaimed,theusufructshallbelimitedtothefruits,thedominionremainingwiththeowner.(486)

Article579.Theusufructuarymaymakeonthepropertyheldinusufructsuchusefulimprovementsorexpensesfor
merepleasureashemaydeemproper,providedhedoesnotalteritsformorsubstancebutheshallhavenoright
to be indemnified therefor. He may, however, remove such improvements, should it be possible to do so without
damagetotheproperty.(487)

Article 580. The usufructuary may set off the improvements he may have made on the property against any
damagetothesame.(488)

Article581.Theownerofpropertytheusufructofwhichisheldbyanother,mayalienateit,buthecannotalterits
formorsubstance,ordoanythingthereonwhichmaybeprejudicialtotheusufructuary.(489)

Article582.Theusufructuaryofapartofathingheldincommonshallexercisealltherightspertainingtotheowner
thereofwithrespecttotheadministrationandthecollectionoffruitsorinterest.Shouldthecoownershipceaseby
reasonofthedivisionofthethingheldincommon,theusufructofthepartallottedtothecoownershallbelongto
theusufructuary.(490)

CHAPTER3
ObligationsoftheUsufructuary

Article583.Theusufructuary,beforeenteringupontheenjoymentoftheproperty,isobliged:

(1)Tomake,afternoticetotheownerorhislegitimaterepresentative,aninventoryofalltheproperty,which
shallcontainanappraisalofthemovablesandadescriptionoftheconditionoftheimmovables

(2)Togivesecurity,bindinghimselftofulfilltheobligationsimposeduponhiminaccordancewiththisChapter.
(491)

Article 584. The provisions of No. 2 of the preceding article shall not apply to the donor who has reserved the
usufructofthepropertydonated,ortotheparentswhoareusufructuariesoftheirchildren'sproperty,exceptwhen
theparentscontractasecondmarriage.(492a)

Article 585. The usufructuary, whatever may be the title of the usufruct, may be excused from the obligation of
makinganinventoryorofgivingsecurity,whennoonewillbeinjuredthereby.(493)
Article586.Shouldtheusufructuaryfailtogivesecurityinthecasesinwhichheisboundtogiveit,theownermay
demand that the immovables be placed under administration, that the movables be sold, that the public bonds,
instrumentsofcreditpayabletoorderortobearerbeconvertedintoregisteredcertificatesordepositedinabankor
public institution, and that the capital or sums in cash and the proceeds of the sale of the movable property be
investedinsafesecurities.

Theinterestontheproceedsofthesaleofthemovablesandthatonpublicsecuritiesandbonds,andtheproceeds
ofthepropertyplacedunderadministration,shallbelongtotheusufructuary.

Furthermore, the owner may, if he so prefers, until the usufructuary gives security or is excused from so doing,
retain in his possession the property in usufruct as administrator, subject to the obligation to deliver to the
usufructuarythenetproceedsthereof,afterdeductingthesumswhichmaybeagreeduponorjudiciallyallowedhim
forsuchadministration.(494)

Article587.Iftheusufructuarywhohasnotgivensecurityclaims,byvirtueofapromiseunderoath,thedeliveryof
thefurniturenecessaryforhisuse,andthatheandhisfamilybeallowedtoliveinahouseincludedintheusufruct,
thecourtmaygrantthispetition,afterdueconsiderationofthefactsofthecase.

The same rule shall be observed with respect to implements, tools and other movable property necessary for an
industryorvocationinwhichheisengaged.

If the owner does not wish that certain articles be sold because of their artistic worth or because they have a
sentimentalvalue,hemaydemandtheirdeliverytohimuponhisgivingsecurityforthepaymentofthelegalinterest
ontheirappraisedvalue.(495)

Article588. After the security has been given by the usufructuary, he shall have a right to all the proceeds and
benefitsfromthedayonwhich,inaccordancewiththetitleconstitutingtheusufruct,heshouldhavecommencedto
receivethem.(496)

Article589.Theusufructuaryshalltakecareofthethingsgiveninusufructasagoodfatherofafamily.(497)

Article590. A usufructuary who alienates or leases his right of usufruct shall answer for any damage which the
thingsinusufructmaysufferthroughthefaultornegligenceofthepersonwhosubstituteshim.(498)

Article591.Iftheusufructbeconstitutedonaflockorherdoflivestock,theusufructuaryshallbeobligedtoreplace
withtheyoungthereoftheanimalsthatdieeachyearfromnaturalcauses,orarelostduetotherapacityofbeasts
ofprey.

Iftheanimalsonwhichtheusufructisconstitutedshouldallperish,withoutthefaultoftheusufructuary,onaccount
ofsomecontagiousdiseaseoranyotheruncommonevent,theusufructuaryshallfulfillhisobligationbydeliveringto
theownertheremainswhichmayhavebeensavedfromthemisfortune.

Shouldtheherdorflockperishinpart,alsobyaccidentandwithoutthefaultoftheusufructuary,theusufructshall
continueonthepartsaved.

Shouldtheusufructbeonsterileanimals,itshallbeconsidered,withrespecttoitseffects,asthoughconstitutedon
fungiblethings.(499a)

Article592.Theusufructuaryisobligedtomaketheordinaryrepairsneededbythethinggiveninusufruct.

Byordinaryrepairsareunderstoodsuchasarerequiredbythewearandtearduetothenaturaluseofthethingand
are indispensable for its preservation. Should the usufructuary fail to make them after demand by the owner, the
lattermaymakethemattheexpenseoftheusufructuary.(500)

Article593. Extraordinary repairs shall be at the expense of the owner. The usufructuary is obliged to notify the
ownerwhentheneedforsuchrepairsisurgent.(501)

Article594.Iftheownershouldmaketheextraordinaryrepairs,heshallhavearighttodemandoftheusufructuary
thelegalinterestontheamountexpendedforthetimethattheusufructlasts.

Shouldhenotmakethemwhentheyareindispensableforthepreservationofthething,theusufructuarymaymake
them but he shall have a right to demand of the owner, at the termination of the usufruct, the increase in value
whichtheimmovablemayhaveacquiredbyreasonoftherepairs.(502a)

Article595.Theownermayconstructanyworksandmakeanyimprovementsofwhichtheimmovableinusufructis
susceptible,ormakenewplantingsthereonifitberural,providedthatsuchactsdonotcauseadiminutioninthe
valueoftheusufructorprejudicetherightoftheusufructuary.(503)
Article596.Thepaymentofannualchargesandtaxesandofthoseconsideredasalienonthefruits,shallbeat
theexpenseoftheusufructuaryforallthetimethattheusufructlasts.(504)

Article597.Thetaxeswhich,duringtheusufruct,maybeimposeddirectlyonthecapital,shallbeattheexpenseof
theowner.

Ifthelatterhaspaidthem,theusufructuaryshallpayhimtheproperinterestonthesumswhichmayhavebeenpaid
in that character and, if the said sums have been advanced by the usufructuary, he shall recover the amount
thereofattheterminationoftheusufruct.(505)

Article598.Iftheusufructbeconstitutedonthewholeofapatrimony,andifatthetimeofitsconstitutiontheowner
has debts, the provisions of articles 758 and 759 relating to donations shall be applied, both with respect to the
maintenanceoftheusufructandtotheobligationoftheusufructuarytopaysuchdebts.

The same rule shall be applied in case the owner is obliged, at the time the usufruct is constituted, to make
periodicalpayments,evenifthereshouldbenoknowncapital.(506)

Article599. The usufructuary may claim any matured credits which form a part of the usufruct if he has given or
givesthepropersecurity.Ifhehasbeenexcusedfromgivingsecurityorhasnotbeenabletogiveit,orifthatgiven
isnotsufficient,heshallneedtheauthorizationoftheowner,orofthecourtindefaultthereof,tocollectsuchcredits.

Theusufructuarywhohasgivensecuritymayusethecapitalhehascollectedinanymannerhemaydeemproper.
Theusufructuarywhohasnotgivensecurityshallinvestthesaidcapitalatinterestuponagreementwiththeowner
indefaultofsuchagreement,withjudicialauthorizationand,ineverycase,withsecuritysufficienttopreservethe
integrityofthecapitalinusufruct.(507)

Article600. The usufructuary of a mortgaged immovable shall not be obliged to pay the debt for the security of
whichthemortgagewasconstituted.

Should the immovable be attached or sold judicially for the payment of the debt, the owner shall be liable to the
usufructuaryforwhateverthelattermaylosebyreasonthereof.(509)

Article601.Theusufructuaryshallbeobligedtonotifytheownerofanyactofathirdperson,ofwhichhemayhave
knowledge, that may be prejudicial to the rights of ownership, and he shall be liable should he not do so, for
damages,asiftheyhadbeencausedthroughhisownfault.(511)

Article602. The expenses, costs and liabilities in suits brought with regard to the usufruct shall be borne by the
usufructuary.(512)

CHAPTER4
ExtinguishmentofUsufruct

Article603.Usufructisextinguished:

(1)Bythedeathoftheusufructuary,unlessacontraryintentionclearlyappears

(2)Bytheexpirationoftheperiodforwhichitwasconstituted,orbythefulfillmentofanyresolutorycondition
providedinthetitlecreatingtheusufruct

(3)Bymergeroftheusufructandownershipinthesameperson

(4)Byrenunciationoftheusufructuary

(5)Bythetotallossofthethinginusufruct

(6)Bytheterminationoftherightofthepersonconstitutingtheusufruct

(7)Byprescription.(513a)

Article604.Ifthethinggiveninusufructshouldbelostonlyinpart,therightshallcontinueontheremainingpart.
(514)

Article605.Usufructcannotbeconstitutedinfavorofatown,corporation,orassociationformorethanfiftyyears.If
it has been constituted, and before the expiration of such period the town is abandoned, or the corporation or
associationisdissolved,theusufructshallbeextinguishedbyreasonthereof.(515a)
Article606.Ausufructgrantedforthetimethatmayelapsebeforeathirdpersonattainsacertainage,shallsubsist
forthenumberofyearsspecified,evenifthethirdpersonshoulddiebeforetheperiodexpires,unlesssuchusufruct
hasbeenexpresslygrantedonlyinconsiderationoftheexistenceofsuchperson.(516)

Article607.Iftheusufructisconstitutedonimmovablepropertyofwhichabuildingformspart,andthelattershould
be destroyed in any manner whatsoever, the usufructuary shall have a right to make use of the land and the
materials.

Thesameruleshallbeappliediftheusufructisconstitutedonabuildingonlyandthesameshouldbedestroyed.
Butinsuchacase,iftheownershouldwishtoconstructanotherbuilding,heshallhavearighttooccupytheland
andtomakeuseofthematerials,beingobligedtopaytotheusufructuary,duringthecontinuanceoftheusufruct,
theinterestuponthesumequivalenttothevalueofthelandandofthematerials.(517)

Article608.Iftheusufructuaryshareswiththeownertheinsuranceofthetenementgiveninusufruct,theformer
shall,incaseofloss,continueintheenjoymentofthenewbuilding,shouldonebeconstructed,orshallreceivethe
interestontheinsuranceindemnityiftheownerdoesnotwishtorebuild.

Should the usufructuary have refused to contribute to the insurance, the owner insuring the tenement alone, the
lattershallreceivethefullamountoftheinsuranceindemnityincaseofloss,savingalwaystherightgrantedtothe
usufructuaryintheprecedingarticle.(518a)

Article609.Shouldthethinginusufructbeexpropriatedforpublicuse,theownershallbeobligedeithertoreplace
itwithanotherthingofthesamevalueandofsimilarconditions,ortopaytheusufructuarythelegalinterestonthe
amountoftheindemnityforthewholeperiodoftheusufruct.Iftheownerchoosesthelatteralternative,heshallgive
securityforthepaymentoftheinterest.(519)

Article 610. A usufruct is not extinguished by bad use of the thing in usufruct but if the abuse should cause
considerableinjurytotheowner,thelattermaydemandthatthethingbedeliveredtohim,bindinghimselftopay
annually to the usufructuary the net proceeds of the same, after deducting the expenses and the compensation
whichmaybeallowedhimforitsadministration.(520)

Article 611. A usufruct constituted in favor of several persons living at the time of its constitution shall not be
extinguisheduntilthedeathofthelastsurvivor.(521)

Article 612. Upon the termination of the usufruct, the thing in usufruct shall be delivered to the owner, without
prejudice to the right of retention pertaining to the usufructuary or his heirs for taxes and extraordinary expenses
whichshouldbereimbursed.Afterthedeliveryhasbeenmade,thesecurityormortgageshallbecancelled.(522a)

TITLEVII
EASEMENTSOFSERVITUDES

CHAPTER1
EasementsinGeneral

SECTION1
DifferentKindsofEasements

Article613.Aneasementorservitudeisanencumbranceimposeduponanimmovableforthebenefitofanother
immovablebelongingtoadifferentowner.

The immovable in favor of which the easement is established is called the dominant estate that which is subject
thereto,theservientestate.(530)

Article614.Servitudesmayalsobeestablishedforthebenefitofacommunity,orofoneormorepersonstowhom
theencumberedestatedoesnotbelong.(531)

Article615.Easementsmaybecontinuousordiscontinuous,apparentornonapparent.

Continuous easements are those the use of which is or may be incessant, without the intervention of any act of
man.

Discontinuouseasementsarethosewhichareusedatintervalsanddependupontheactsofman.
Apparenteasementsarethosewhicharemadeknownandarecontinuallykeptinviewbyexternalsignsthatreveal
theuseandenjoymentofthesame.

Nonapparenteasementsarethosewhichshownoexternalindicationoftheirexistence.(532)

Article616.Easementsarealsopositiveornegative.

A positive easement is one which imposes upon the owner of the servient estate the obligation of allowing
somethingtobedoneorofdoingithimself,andanegativeeasement,thatwhichprohibitstheowneroftheservient
estatefromdoingsomethingwhichhecouldlawfullydoiftheeasementdidnotexist.(533)

Article617.Easementsareinseparablefromtheestatetowhichtheyactivelyorpassivelybelong.(534)

Article618.Easementsareindivisible.Iftheservientestateisdividedbetweentwoormorepersons,theeasement
isnotmodified,andeachofthemmustbearitonthepartwhichcorrespondstohim.

Ifitisthedominantestatethatisdividedbetweentwoormorepersons,eachofthemmayusetheeasementinits
entirety,withoutchangingtheplaceofitsuse,ormakingitmoreburdensomeinanyotherway.(535)

Article619.Easementsareestablishedeitherbylaworbythewilloftheowners.Theformerarecalledlegaland
thelattervoluntaryeasements.(536)

SECTION2
ModesofAcquiringEasements

Article620. Continuous and apparent easements are acquired either by virtue of a title or by prescription of ten
years.(537a)

Article 621. In order to acquire by prescription the easements referred to in the preceding article, the time of
possessionshallbecomputedthus:inpositiveeasements,fromthedayonwhichtheownerofthedominantestate,
orthepersonwhomayhavemadeuseoftheeasement,commencedtoexerciseitupontheservientestateandin
negative easements, from the day on which the owner of the dominant estate forbade, by an instrument
acknowledgedbeforeanotarypublic,theowneroftheservientestate,fromexecutinganactwhichwouldbelawful
withouttheeasement.(538a)

Article 622. Continuous nonapparent easements, and discontinuous ones, whether apparent or not, may be
acquiredonlybyvirtueofatitle.(539)

Article623.Theabsenceofadocumentorproofshowingtheoriginofaneasementwhichcannotbeacquiredby
prescriptionmaybecuredbyadeedofrecognitionbytheowneroftheservientestateorbyafinaljudgment.(540a)

Article624.Theexistenceofanapparentsignofeasementbetweentwoestates,establishedormaintainedbythe
owner of both, shall be considered, should either of them be alienated, as a title in order that the easement may
continueactivelyandpassively,unless,atthetimetheownershipofthetwoestatesisdivided,thecontraryshould
be provided in the title of conveyance of either of them, or the sign aforesaid should be removed before the
executionofthedeed.Thisprovisionshallalsoapplyincaseofthedivisionofathingownedincommonbytwoor
morepersons.(541a)

Article625. Upon the establishment of an easement, all the rights necessary for its use are considered granted.
(542)

Article626. The owner of the dominant estate cannot use the easement except for the benefit of the immovable
originallycontemplated.Neithercanheexercisetheeasementinanyothermannerthanthatpreviouslyestablished.
(n)

SECTION3
RightsandObligationsoftheOwnersoftheDominantandServientEstates

Article627. The owner of the dominant estate may make, at his own expense, on the servient estate any works
necessaryfortheuseandpreservationoftheservitude,butwithoutalteringitorrenderingitmoreburdensome.

For this purpose he shall notify the owner of the servient estate, and shall choose the most convenient time and
mannersoastocausetheleastinconveniencetotheowneroftheservientestate.(543a)
Article628.Shouldtherebeseveraldominantestates,theownersofallofthemshallbeobligedtocontributetothe
expensesreferredtointheprecedingarticle,inproportiontothebenefitswhicheachmayderivefromthework.Any
onewhodoesnotwishtocontributemayexempthimselfbyrenouncingtheeasementforthebenefitoftheothers.

Iftheowneroftheservientestateshouldmakeuseoftheeasementinanymannerwhatsoever,heshallalsobe
obligedtocontributetotheexpensesintheproportionstated,savinganagreementtothecontrary.(544)

Article629.Theowneroftheservientestatecannotimpair,inanymannerwhatsoever,theuseoftheservitude.

Nevertheless, if by reason of the place originally assigned, or of the manner established for the use of the
easement, the same should become very inconvenient to the owner of the servient estate, or should prevent him
frommakinganyimportantworks,repairsorimprovementsthereon,itmaybechangedathisexpense,providedhe
offersanotherplaceormannerequallyconvenientandinsuchawaythatnoinjuryiscausedtherebytotheowner
ofthedominantestateortothosewhomayhavearighttotheuseoftheeasement.(545)

Article 630. The owner of the servient estate retains the ownership of the portion on which the easement is
established,andmayusethesameinsuchamannerasnottoaffecttheexerciseoftheeasement.(n)

SECTION4
ModesofExtinguishmentofEasements

Article631.Easementsareextinguished:

(1)Bymergerinthesamepersonoftheownershipofthedominantandservientestates

(2)Bynonuserfortenyearswithrespecttodiscontinuouseasements,thisperiodshallbecomputedfromthe
dayonwhichtheyceasedtobeusedand,withrespecttocontinuouseasements,fromthedayonwhichan
actcontrarytothesametookplace

(3)Wheneitherorbothoftheestatesfallintosuchconditionthattheeasementcannotbeusedbutitshall
reviveifthesubsequentconditionoftheestatesoreitherofthemshouldagainpermititsuse,unlesswhen
theusebecomespossible,sufficienttimeforprescriptionhaselapsed,inaccordancewiththeprovisionsof
theprecedingnumber

(4)Bytheexpirationofthetermorthefulfillmentofthecondition,iftheeasementistemporaryorconditional

(5)Bytherenunciationoftheownerofthedominantestate

(6)Bytheredemptionagreeduponbetweentheownersofthedominantandservientestates.(546a)

Article632.Theformormannerofusingtheeasementmayprescribeastheeasementitself,andinthesameway.
(547a)

Article633.Ifthedominantestatebelongstoseveralpersonsincommon,theuseoftheeasementbyanyoneof
thempreventsprescriptionwithrespecttotheothers.(548)

CHAPTER2
LegalEasements

SECTION1
GeneralProvisions

Article634. Easements imposed by law have for their object either public use or the interest of private persons.
(549)

Article635. All matters concerning easements established for public or communal use shall be governed by the
speciallawsandregulationsrelatingthereto,and,intheabsencethereof,bytheprovisionsofthisTitle.(550)

Article636.Easementsestablishedbylawintheinterestofprivatepersonsorforprivateuseshallbegovernedby
theprovisionsofthisTitle,withoutprejudicetotheprovisionsofgeneralorlocallawsandordinancesforthegeneral
welfare.
Theseeasementsmaybemodifiedbyagreementoftheinterestedparties,wheneverthelawdoesnotprohibititor
noinjuryissufferedbyathirdperson.(551a)

SECTION2
EasementsRelatingtoWaters

Article637. Lower estates are obliged to receive the waters which naturally and without the intervention of man
descendfromthehigherestates,aswellasthestonesorearthwhichtheycarrywiththem.

Theownerofthelowerestatecannotconstructworkswhichwillimpedethiseasementneithercantheownerofthe
higherestatemakeworkswhichwillincreasetheburden.(552)

Article638.Thebanksofriversandstreams,evenincasetheyareofprivateownership,aresubjectthroughout
their entire length and within a zone of three meters along their margins, to the easement of public use in the
generalinterestofnavigation,floatage,fishingandsalvage.

Estatesadjoiningthebanksofnavigableorfloatableriversare,furthermore,subjecttotheeasementoftowpathfor
theexclusiveserviceofrivernavigationandfloatage.

If it be necessary for such purpose to occupy lands of private ownership, the proper indemnity shall first be paid.
(553a)

Article 639. Whenever for the diversion or taking of water from a river or brook, or for the use of any other
continuousordiscontinuousstream,itshouldbenecessarytobuildadam,andthepersonwhoistoconstructitis
nottheownerofthebanks,orlandswhichmustsupportit,hemayestablishtheeasementofabutmentofadam,
afterpaymentoftheproperindemnity.(554)

Article640.Compulsoryeasementsfordrawingwaterorforwateringanimalscanbeimposedonlyforreasonsof
publicuseinfavorofatownorvillage,afterpaymentoftheproperindemnity.(555)

Article641.Easementsfordrawingwaterandforwateringanimalscarrywiththemtheobligationoftheownersof
theservientestatestoallowpassagetopersonsandanimalstotheplacewheresucheasementsaretobeused,
andtheindemnityshallincludethisservice.(556)

Article642.Anypersonwhomaywishtouseuponhisownestateanywaterofwhichhecandisposeshallhavethe
right to make it flow through the intervening estates, with the obligation to indemnify their owners, as well as the
ownersofthelowerestatesuponwhichthewatersmayfilterordescend.(557)

Article643.Onedesiringtomakeuseoftherightgrantedintheprecedingarticleisobliged:

(1)Toprovethathecandisposeofthewaterandthatitissufficientfortheuseforwhichitisintended

(2)Toshowthattheproposedrightofwayisthemostconvenientandtheleastoneroustothirdpersons

(3)Toindemnifytheowneroftheservientestateinthemannerdeterminedbythelawsandregulations.(558)

Article644.Theeasementofaqueductforprivateinterestcannotbeimposedonbuildings,courtyards,annexes,or
outhouses,oronorchardsorgardensalreadyexisting.(559)

Article645.Theeasementofaqueductdoesnotpreventtheowneroftheservientestatefromclosingorfencingit,
or from building over the aqueduct in such manner as not to cause the latter any damage, or render necessary
repairsandcleaningsimpossible.(560)

Article646.Forlegalpurposes,theeasementofaqueductshallbeconsideredascontinuousandapparent,even
thoughtheflowofthewatermaynotbecontinuous,oritsusedependsupontheneedsofthedominantestate,or
uponascheduleofalternatedaysorhours.(561)

Article647.Onewhoforthepurposeofirrigatingorimprovinghisestate,hastoconstructastoplockorsluicegate
inthebedofthestreamfromwhichthewateristobetaken,maydemandthattheownersofthebankspermitits
construction,afterpaymentofdamages,includingthosecausedbytheneweasementtosuchownersandtothe
otherirrigators.(562)

Article648.Theestablishment,extent,formandconditionsoftheservitudesofwaters,towhichthissectionrefers,
shallbegovernedbythespeciallawsrelatingtheretoinsofarasnoprovisionthereforismadeinthisCode.(563a)
 SECTION3
EasementofRightofWay

Article649.Theowner,oranypersonwhobyvirtueofarealrightmaycultivateoruseanyimmovable,whichis
surrounded by other immovables pertaining to other persons and without adequate outlet to a public highway, is
entitledtodemandarightofwaythroughtheneighboringestates,afterpaymentoftheproperindemnity.

Should this easement be established in such a manner that its use may be continuous for all the needs of the
dominantestate,establishingapermanentpassage,theindemnityshallconsistofthevalueofthelandoccupied
andtheamountofthedamagecausedtotheservientestate.

Incasetherightofwayislimitedtothenecessarypassageforthecultivationoftheestatesurroundedbyothersand
forthegatheringofitscropsthroughtheservientestatewithoutapermanentway,theindemnityshallconsistinthe
paymentofthedamagecausedbysuchencumbrance.

Thiseasementisnotcompulsoryiftheisolationoftheimmovableisduetotheproprietor'sownacts.(564a)

Article650.Theeasementofrightofwayshallbeestablishedatthepointleastprejudicialtotheservientestate,
and,insofarasconsistentwiththisrule,wherethedistancefromthedominantestatetoapublichighwaymaybe
theshortest.(565)

Article651.Thewidthoftheeasementofrightofwayshallbethatwhichissufficientfortheneedsofthedominant
estate,andmayaccordinglybechangedfromtimetotime.(566a)

Article652.Wheneverapieceoflandacquiredbysale,exchangeorpartition,issurroundedbyotherestatesofthe
vendor,exchanger,orcoowner,heshallbeobligedtograntarightofwaywithoutindemnity.

Incaseofasimpledonation,thedonorshallbeindemnifiedbythedoneefortheestablishmentoftherightofway.
(567a)

Article 653. In the case of the preceding article, if it is the land of the grantor that becomes isolated, he may
demandarightofwayafterpayingaindemnity.However,thedonorshallnotbeliableforindemnity.(n)

Article654. If the right of way is permanent, the necessary repairs shall be made by the owner of the dominant
estate.Aproportionateshareofthetaxesshallbereimbursedbysaidownertotheproprietoroftheservientestate.
(n)

Article655.Iftherightofwaygrantedtoasurroundedestateceasestobenecessarybecauseitsownerhasjoined
it to another abutting on a public road, the owner of the servient estate may demand that the easement be
extinguished, returning what he may have received by way of indemnity. The interest on the indemnity shall be
deemedtobeinpaymentofrentfortheuseoftheeasement.

Thesameruleshallbeappliedincaseanewroadisopenedgivingaccesstotheisolatedestate.

In both cases, the public highway must substantially meet the needs of the dominant estate in order that the
easementmaybeextinguished.(568a)

Article656.Ifitbeindispensablefortheconstruction,repair,improvement,alterationorbeautificationofabuilding,
to carry materials through the estate of another, or to raise therein scaffolding or other objects necessary for the
work,theownerofsuchestateshallbeobligedtopermittheact,afterreceivingpaymentoftheproperindemnityfor
thedamagecausedhim.(569a)

Article657.Easementsoftherightofwayforthepassageoflivestockknownasanimalpath,animaltrailorany
other, and those for watering places, resting places and animal folds, shall be governed by the ordinances and
regulationsrelatingthereto,and,intheabsencethereof,bytheusagesandcustomsoftheplace.

Withoutprejudicetorightslegallyacquired,theanimalpathshallnotexceedinanycasethewidthof75meters,and
theanimaltrailthatof37metersand50centimeters.

Wheneveritisnecessarytoestablishacompulsoryeasementoftherightofwayorforawateringplaceforanimals,
theprovisionsofthisSectionandthoseofarticles640and641shallbeobserved.Inthiscasethewidthshallnot
exceed10meters.(570a)

SECTION4
EasementofPartyWall
Article658.TheeasementofpartywallshallbegovernedbytheprovisionsofthisTitle,bythelocalordinancesand
customsinsofarastheydonotconflictwiththesame,andbytherulesofcoownership.(571a)

Article659.Theexistenceofaneasementofpartywallispresumed,unlessthereisatitle,orexteriorsign,orproof
tothecontrary:

(1)Individingwallsofadjoiningbuildingsuptothepointofcommonelevation

(2)Individingwallsofgardensoryardssituatedincities,towns,orinruralcommunities

(3)Infences,wallsandlivehedgesdividingrurallands.(572)

Article660.Itisunderstoodthatthereisanexteriorsign,contrarytotheeasementofpartywall:

(1)Wheneverinthedividingwallofbuildingsthereisawindoworopening

(2)Wheneverthedividingwallis,ononeside,straightandplumbonallitsfacement,andontheother,ithas
similarconditionsontheupperpart,butthelowerpartslantsorprojectsoutward

(3)Whenevertheentirewallisbuiltwithintheboundariesofoneoftheestates

(4) Whenever the dividing wall bears the burden of the binding beams, floors and roof frame of one of the
buildings,butnotthoseoftheothers

(5)Wheneverthedividingwallbetweencourtyards,gardens,andtenementsisconstructedinsuchawaythat
thecopingshedsthewaterupononlyoneoftheestates

(6)Wheneverthedividingwall,beingbuiltofmasonry,hassteppingstones,whichatcertainintervalsproject
fromthesurfaceononesideonly,butnotontheother

(7)Wheneverlandsinclosedbyfencesorlivehedgesadjoinotherswhicharenotinclosed.

Inallthesecases,theownershipofthewalls,fencesorhedgesshallbedeemedtobelongexclusivelytothe
ownerofthepropertyortenementwhichhasinitsfavorthepresumptionbasedonanyoneofthesesigns.
(573)

Article661.Ditchesordrainsopenedbetweentwoestatesarealsopresumedascommontoboth,ifthereisnotitle
orsignshowingthecontrary.

Thereisasigncontrarytothepartownershipwhenevertheearthordirtremovedtoopentheditchortocleanitis
onlyononesidethereof,inwhichcasetheownershipoftheditchshallbelongexclusivelytotheowneroftheland
havingthisexteriorsigninitsfavor.(574)

Article662.Thecostofrepairsandconstructionofpartywallsandthemaintenanceoffences,livehedges,ditches,
anddrainsownedincommon,shallbebornebyalltheownersofthelandsortenementshavingthepartywallin
theirfavor,inproportiontotherightofeach.

Nevertheless, any owner may exempt himself from contributing to this charge by renouncing his partownership,
exceptwhenthepartywallsupportsabuildingbelongingtohim.(575)

Article 663. If the owner of a building, supported by a party wall desires to demolish the building, he may also
renouncehispartownershipofthewall,butthecostofallrepairsandworknecessarytopreventanydamagewhich
thedemolitionmaycausetothepartywall,onthisoccasiononly,shallbebornebyhim.(576)

Article664.Everyownermayincreasetheheightofthepartywall,doingsoathisownexpenseandpayingforany
damagewhichmaybecausedbythework,eventhoughsuchdamagebetemporary.

Theexpensesofmaintainingthewallinthepartnewlyraisedordeepenedatitsfoundationshallalsobepaidforby
himand,inaddition,theindemnityfortheincreasedexpenseswhichmaybenecessaryforthepreservationofthe
partywallbyreasonofthegreaterheightordepthwhichhasbeengivenit.

Ifthepartywallcannotbeartheincreasedheight,theownerdesiringtoraiseitshallbeobligedtoreconstructitat
hisownexpenseand,ifforthispurposeitbenecessarytomakeitthicker,heshallgivethespacerequiredfromhis
ownland.(577)

Article665.Theotherownerswhohavenotcontributedingivingincreasedheight,depthorthicknesstothewall
may,nevertheless,acquiretherightofpartownershiptherein,bypayingproportionallythevalueoftheworkatthe
timeoftheacquisitionandofthelandusedforitsincreasedthickness.(578a)
Article666.Everypartownerofapartywallmayuseitinproportiontotherighthemayhaveinthecoownership,
withoutinterferingwiththecommonandrespectiveusesbytheothercoowners.(579a)

SECTION5
EasementofLightandView

Article 667. No partowner may, without the consent

consent of the others, open through the party wall any window or
apertureofanykind.(580)

Article668.Theperiodofprescriptionfortheacquisitionofaneasementoflightandviewshallbecounted:

(1)Fromthetimeoftheopeningofthewindow,ifitisthroughapartywallor

(2)Fromthetimeoftheformalprohibitionupontheproprietoroftheadjoininglandortenement,ifthewindow
isthroughawallonthedominantestate.(n)

Article 669. When the distances in article 670 are not observed, the owner of a wall which is not party wall,
adjoiningatenementorpieceoflandbelongingtoanother,canmakeinitopeningstoadmitlightattheheightofthe
ceilingjointsorimmediatelyundertheceiling,andofthesizeofthirtycentimeterssquare,and,ineverycase,with
anirongratingimbeddedinthewallandwithawirescreen.

Nevertheless,theownerofthetenementorpropertyadjoiningthewallinwhichtheopeningsaremadecanclose
themshouldheacquirepartownershipthereof,iftherebenostipulationtothecontrary.

He can also obstruct them by constructing a building on his land or by raising a wall thereon contiguous to that
havingsuchopenings,unlessaneasementoflighthasbeenacquired.(581a)

Article 670. No windows, apertures, balconies, or other similar projections which afford a direct view upon or
towardsanadjoininglandortenementcanbemade,withoutleavingadistanceoftwometersbetweenthewallin
whichtheyaremadeandsuchcontiguousproperty.

Neithercansideorobliqueviewsuponortowardssuchconterminouspropertybehad,unlesstherebeadistanceof
sixtycentimeters.

Thenonobservanceofthesedistancesdoesnotgiverisetoprescription.(582a)

Article671.Thedistancereferredtointheprecedingarticleshallbemeasuredincasesofdirectviewsfromthe
outerlineofthewallwhentheopeningsdonotproject,fromtheouterlineofthelatterwhentheydo,andincasesof
obliqueviewfromthedividinglinebetweenthetwoproperties.(583)

Article672.Theprovisionsofarticle670arenotapplicabletobuildingsseparatedbyapublicwayoralley,whichis
notlessthanthreemeterswide,subjecttospecialregulationsandlocalordinances.(584a)

Article 673. Whenever by any title a right has been acquired to have direct views, balconies or belvederes
overlookinganadjoiningproperty,theowneroftheservientestatecannotbuildthereonatlessthanadistanceof
threemeterstobemeasuredinthemannerprovidedinarticle671.Anystipulationpermittingdistanceslessthan
thoseprescribedinarticle670isvoid.(585a)

SECTION6
DrainageofBuildings

Article674.Theownerofabuildingshallbeobligedtoconstructitsrooforcoveringinsuchmannerthattherain
watershallfallonhisownlandoronastreetorpublicplace,andnotonthelandofhisneighbor,eventhoughthe
adjacentlandmaybelongtotwoormorepersons,oneofwhomistheowneroftheroof.Evenifitshouldfallonhis
ownland,theownershallbeobligedtocollectthewaterinsuchawayasnottocausedamagetotheadjacentland
ortenement.(586a)

Article675. The owner of a tenement or a piece of land, subject to the easement of receiving water falling from
roofs,maybuildinsuchmannerastoreceivethewateruponhisownrooforgiveitanotheroutletinaccordance
with local ordinances or customs, and in such a way as not to cause any nuisance or damage whatever to the
dominantestate.(587)

Article676.Whenevertheyardorcourtofahouseissurroundedbyotherhouses,anditisnotpossibletogivean
outletthroughthehouseitselftotherainwatercollectedthereon,theestablishmentofaneasementofdrainagecan
bedemanded,givinganoutlettothewateratthepointofthecontiguouslandsortenementswhereitsegressmay
beeasiest,andestablishingaconduitforthedrainageinsuchmannerastocausetheleastdamagetotheservient
estate,afterpaymentofthepropertyindemnity.(583)

SECTION7
IntermediateDistancesandWorksforCertainConstructionsandPlantings

Article677.Noconstructionscanbebuiltorplantingsmadenearfortifiedplacesorfortresseswithoutcompliance
withtheconditionsrequiredinspeciallaws,ordinances,andregulationsrelatingthereto.(589)

Article 678. No person shall build any aqueduct, well, sewer, furnace, forge, chimney, stable, depository of
corrosive substances, machinery, or factory which by reason of its nature or products is dangerous or noxious,
without observing the distances prescribed by the regulations and customs of the place, and without making the
necessary protective works, subject, in regard to the manner thereof, to the conditions prescribed by such
regulations.Theseprohibitionscannotbealteredorrenouncedbystipulationonthepartoftheadjoiningproprietors.

Intheabsenceofregulations,suchprecautionsshallbetakenasmaybeconsiderednecessary,inordertoavoid
anydamagetotheneighboringlandsortenements.(590a)

Article679.Notreesshallbeplantednearatenementorpieceoflandbelongingtoanotherexceptatthedistance
authorized by the ordinances or customs of the place, and, in the absence thereof, at a distance of at least two
metersfromthedividinglineoftheestatesiftalltreesareplantedandatadistanceofatleastfiftycentimetersif
shrubsorsmalltreesareplanted.

Everylandownershallhavetherighttodemandthattreeshereafterplantedatashorterdistancefromhislandor
tenementbeuprooted.

Theprovisionsofthisarticlealsoapplytotreeswhichhavegrownspontaneously.(591a)

Article680. If the branches of any tree should extend over a neighboring estate, tenement, garden or yard, the
ownerofthelattershallhavetherighttodemandthattheybecutoffinsofarastheymayspreadoverhisproperty,
and,ifitbetherootsofaneighboringtreewhichshouldpenetrateintothelandofanother,thelattermaycutthem
offhimselfwithinhisproperty.(592)

Article681.Fruitsnaturallyfallinguponadjacentlandbelongtotheownerofsaidland.(n)

SECTION8
EasementAgainstNuisance(n)

Article682.Everybuildingorpieceoflandissubjecttotheeasementwhichprohibitstheproprietororpossessor
fromcommittingnuisancethroughnoise,jarring,offensiveodor,smoke,heat,dust,water,glareandothercauses.

Article 683. Subject to zoning, health, police and other laws and regulations, factories and shops may be
maintainedprovidedtheleastpossibleannoyanceiscausedtotheneighborhood.

SECTION9

LateralandSubjacentSupport(n)

Article684.Noproprietorshallmakesuchexcavationsuponhislandastodepriveanyadjacentlandorbuildingof
sufficientlateralorsubjacentsupport.

Article685.Anystipulationortestamentaryprovisionallowingexcavationsthatcausedangertoanadjacentlandor
buildingshallbevoid.

Article686.Thelegaleasementoflateralandsubjacentsupportisnotonlyforbuildingsstandingatthetimethe
excavationsaremadebutalsoforconstructionsthatmaybeerected.

Article 687. Any proprietor intending to make any excavation contemplated in the three preceding articles shall
notifyallownersofadjacentlands.

CHAPTER3
VoluntaryEasements
Article688.Everyownerofatenementorpieceoflandmayestablishthereontheeasementswhichhemaydeem
suitable,andinthemannerandformwhichhemaydeembest,providedhedoesnotcontravenethelaws,public
policyorpublicorder.(594)

Article 689. The owner of a tenement or piece of land, the usufruct of which belongs to another, may impose
thereon,withouttheconsentoftheusufructuary,anyservitudeswhichwillnotinjuretherightofusufruct.(595)
consent

Article 690. Whenever the naked ownership of a tenement or piece of land belongs to one person and the
beneficialownershiptoanother,noperpetualvoluntaryeasementmaybeestablishedthereonwithouttheconsent consent
ofbothowners.(596)

Article691.Inordertoimposeaneasementonanundividedtenement,orpieceofland,theconsentofalltheco
consent
ownersshallberequired.

The consent
consent given by some only, must be held in abeyance until the last one of all the coowners shall have
expressedhisconformity.

Buttheconsentgivenbyoneofthecoownersseparatelyfromtheothersshallbindthegrantorandhissuccessors
consent
nottopreventtheexerciseoftherightgranted.(597a)

Article692.Thetitleand,inapropercase,thepossessionofaneasementacquiredbyprescriptionshalldetermine
therightsofthedominantestateandtheobligationsoftheservientestate.Indefaultthereof,theeasementshallbe
governedbysuchprovisionsofthisTitleasareapplicablethereto.(598)

Article693.Iftheowneroftheservientestateshouldhaveboundhimself,upontheestablishmentoftheeasement,
tobearthecostoftheworkrequiredfortheuseandpreservationthereof,hemayfreehimselffromthisobligationby
renouncinghispropertytotheownerofthedominantestate.(599)

TITLEVIII
NUISANCE(n)

Article694.Anuisanceisanyact,omission,establishment,business,conditionofproperty,oranythingelsewhich:

(1)Injuresorendangersthehealthorsafetyofothersor

(2)Annoysoroffendsthesensesor

(3)Shocks,defiesordisregardsdecencyormoralityor

(4)Obstructsorinterfereswiththefreepassageofanypublichighwayorstreet,oranybodyofwateror

(5)Hindersorimpairstheuseofproperty.

Article695. Nuisance is either public or private. A public nuisance affects a community or neighborhood or any
considerablenumberofpersons,althoughtheextentoftheannoyance,dangerordamageuponindividualsmaybe
unequal.Aprivatenuisanceisonethatisnotincludedintheforegoingdefinition.

Article 696. Every successive owner or possessor of property who fails or refuses to abate a nuisance in that
propertystartedbyaformerownerorpossessorisliablethereforinthesamemannerastheonewhocreatedit.

Article697.Theabatementofanuisancedoesnotprecludetherightofanypersoninjuredtorecoverdamagesfor
itspastexistence.

Article698.Lapseoftimecannotlegalizeanynuisance,whetherpublicorprivate.

Article699.Theremediesagainstapublicnuisanceare:

(1)AprosecutionunderthePenalCodeoranylocalordinance:or

(2)Acivilactionor

(3)Abatement,withoutjudicialproceedings.

Article700.Thedistricthealthofficershalltakecarethatoneoralloftheremediesagainstapublicnuisanceare
availedof.
Article 701. If a civil action is brought by reason of the maintenance of a public nuisance, such action shall be
commencedbythecityormunicipalmayor.

Article702.Thedistricthealthofficershalldeterminewhetherornotabatement,withoutjudicialproceedings,isthe
bestremedyagainstapublicnuisance.

Article703.Aprivatepersonmayfileanactiononaccountofapublicnuisance,ifitisspeciallyinjurioustohimself.

Article704.Anyprivatepersonmayabateapublicnuisancewhichisspeciallyinjurioustohimbyremoving,orif
necessary,bydestroyingthethingwhichconstitutesthesame,withoutcommittingabreachofthepeace,ordoing
unnecessaryinjury.Butitisnecessary:

(1)Thatdemandbefirstmadeupontheownerorpossessorofthepropertytoabatethenuisance

(2)Thatsuchdemandhasbeenrejected

(3)Thattheabatementbeapprovedbythedistricthealthofficerandexecutedwiththeassistanceofthelocal
policeand

(4)Thatthevalueofthedestructiondoesnotexceedthreethousandpesos.

Article705.Theremediesagainstaprivatenuisanceare:

(1)Acivilactionor

(2)Abatement,withoutjudicialproceedings.

Article706.Anypersoninjuredbyaprivatenuisancemayabateitbyremoving,orifnecessary,bydestroyingthe
thing which constitutes the nuisance, without committing a breach of the peace or doing unnecessary injury.
However,itisindispensablethattheprocedureforextrajudicialabatementofapublicnuisancebyaprivateperson
befollowed.

Article707.Aprivatepersonorapublicofficialextrajudiciallyabatinganuisanceshallbeliablefordamages:

(1)Ifhecausesunnecessaryinjuryor

(2)Ifanallegednuisanceislaterdeclaredbythecourtstobenotarealnuisance.

TITLEIX
REGISTRYOFPROPERTY

Article708.TheRegistryofPropertyhasforitsobjecttheinscriptionorannotationofactsandcontractsrelatingto
theownershipandotherrightsoverimmovableproperty.(605)

Article 709. The titles of ownership, or of other rights over immovable property, which are not duly inscribed or
annotatedintheRegistryofPropertyshallnotprejudicethirdpersons.(606)

Article 710. The books in the Registry of Property shall be public for those who have a known interest in
ascertainingthestatusoftheimmovablesorrealrightsannotatedorinscribedtherein.(607)

Article711. For determining what titles are subject to inscription or annotation, as well as the form, effects, and
cancellationofinscriptionsandannotations,themannerofkeepingthebooksintheRegistry,andthevalueofthe
entriescontainedinsaidbooks,theprovisionsoftheMortgageLaw,theLandRegistrationAct,andotherspecial
lawsshallgovern.(608a)

BOOKIII
DIFFERENTMODESOFACQUIRINGOWNERSHIP

PreliminaryProvision

Article712.Ownershipisacquiredbyoccupationandbyintellectualcreation.

Ownership and other real rights over property are acquired and transmitted by law, by donation, by testate and
intestatesuccession,andinconsequenceofcertaincontracts,bytradition.
Theymayalsobeacquiredbymeansofprescription.(609a)

TITLEI
Occupation

Article 713. Things appropriable by nature which are without an owner, such as animals that are the object of
huntingandfishing,hiddentreasureandabandonedmovables,areacquiredbyoccupation.(610)

Article714.Theownershipofapieceoflandcannotbeacquiredbyoccupation.(n)

Article715.Therighttohuntandtofishisregulatedbyspeciallaws.(611)

Article716. The owner of a swarm of bees shall have a right to pursue them to another's land, indemnifying the
possessor of the latter for the damage. If the owner has not pursued the swarm, or ceases to do so within two
consecutive days, the possessor of the land may occupy or retain the same. The owner of domesticated animals
mayalsoclaimthemwithintwentydaystobecountedfromtheiroccupationbyanotherperson.Thisperiodhaving
expired,theyshallpertaintohimwhohascaughtandkeptthem.(612a)

Article717.Pigeonsandfishwhichfromtheirrespectivebreedingplacespasstoanotherpertainingtoadifferent
ownershallbelongtothelatter,providedtheyhavenotbeenenticedbysomearticleorfraud.(613a)

Article718.Hewhobychancediscovershiddentreasureinanother'spropertyshallhavetherightgrantedhimin
article438ofthisCode.(614)

Article719.Whoeverfindsamovable,whichisnottreasure,mustreturnittoitspreviouspossessor.Ifthelatteris
unknown, the finder shall immediately deposit it with the mayor of the city or municipality where the finding has
takenplace.

Thefindingshallbepubliclyannouncedbythemayorfortwoconsecutiveweeksinthewayhedeemsbest.

If the movable cannot be kept without deterioration, or without expenses which considerably diminish its value, it
shallbesoldatpublicauctioneightdaysafterthepublication.

Six months from the publication having elapsed without the owner having appeared, the thing found, or its value,
shall be awarded to the finder. The finder and the owner shall be obliged, as the case may be, to reimburse the
expenses.(615a)

Article720.Iftheownershouldappearintime,heshallbeobligedtopay,asarewardtothefinder,onetenthofthe
sumorofthepriceofthethingfound.(616a)

TITLEII
IntellectualCreation

Article721.Byintellectualcreation,thefollowingpersonsacquireownership:

(1)Theauthorwithregardtohisliterary,dramatic,historical,legal,philosophical,scientificorotherwork

(2)Thecomposerastohismusicalcomposition

(3)Thepainter,sculptor,orotherartist,withrespecttotheproductofhisart

(4)Thescientistortechnologistoranyotherpersonwithregardtohisdiscoveryorinvention.(n)

Article 722. The author and the composer, mentioned in Nos. 1 and 2 of the preceding article, shall have the
ownershipoftheircreationsevenbeforethepublicationofthesame.Oncetheirworksarepublished,theirrightsare
governedbytheCopyrightlaws.

Thepainter,sculptororotherartistshallhavedominionovertheproductofhisartevenbeforeitiscopyrighted.

Thescientistortechnologisthastheownershipofhisdiscoveryorinventionevenbeforeitispatented.(n)

Article 723. Letters and other private communications in writing are owned by the person to whom they are
addressed and delivered, but they cannot be published or disseminated without the consent
consent of the writer or his
heirs.However,thecourtmayauthorizetheirpublicationordisseminationifthepublicgoodortheinterestofjustice
sorequires.(n)
Article724.Speciallawsgoverncopyrightandpatent.(429a)

TITLEIII

DONATION

CHAPTER1
NatureofDonations

Article725. Donation is an act of liberality whereby a person disposes gratuitously of a thing or right in favor of
another,whoacceptsit.(618a)

Article726. When a person gives to another a thing or right on account of the latter's merits or of the services
renderedbyhimtothedonor,providedtheydonotconstituteademandabledebt,orwhenthegiftimposesuponthe
doneeaburdenwhichislessthanthevalueofthethinggiven,thereisalsoadonation.(619)

Article 727. Illegal or impossible conditions in simple and remuneratory donations shall be considered as not
imposed.(n)

Article728.Donationswhicharetotakeeffectuponthedeathofthedonorpartakeofthenatureoftestamentary
provisions,andshallbegovernedbytherulesestablishedintheTitleonSuccession.(620)

Article729.Whenthedonorintendsthatthedonationshalltakeeffectduringthelifetimeofthedonor,thoughthe
property shall not be delivered till after the donor's death, this shall be a donation inter vivos. The fruits of the
property from the time of the acceptance of the donation, shall pertain to the donee, unless the donor provides
otherwise.(n)

Article730.Thefixingofaneventortheimpositionofasuspensivecondition,whichmaytakeplacebeyondthe
natural expectation of life of the donor, does not destroy the nature of the act as a donation inter vivos, unless a
contraryintentionappears.(n)

Article731.Whenapersondonatessomething,subjecttotheresolutoryconditionofthedonor'ssurvival,thereisa
donationintervivos.(n)

Article732.Donationswhicharetotakeeffectintervivosshallbegovernedbythegeneralprovisionsoncontracts
andobligationsinallthatisnotdeterminedinthisTitle.(621)

Article 733. Donations with an onerous cause shall be governed by the rules on contracts and remuneratory
donations by the provisions of the present Title as regards that portion which exceeds the value of the burden
imposed.(622)

Article734.Thedonationisperfectedfromthemomentthedonorknowsoftheacceptancebythedonee.(623)

CHAPTER2
PersonsWhoMayGiveorReceiveaDonation

Article735.Allpersonswhomaycontractanddisposeoftheirpropertymaymakeadonation.(624)

Article736.Guardiansandtrusteescannotdonatethepropertyentrustedtothem.(n)

Article737.Thedonor'scapacityshallbedeterminedasofthetimeofthemakingofthedonation.(n)

Article738.Althosewhoarenotspeciallydisqualifiedbylawthereformayacceptdonations.(625)

Article739.Thefollowingdonationsshallbevoid:

(1)Thosemadebetweenpersonswhowereguiltyofadulteryorconcubinageatthetimeofthedonation

(2)Thosemadebetweenpersonsfoundguiltyofthesamecriminaloffense,inconsiderationthereof

(3)Thosemadetoapublicofficerorhiswife,descendantsandascendants,byreasonofhisoffice.
InthecasereferredtoinNo.1,theactionfordeclarationofnullitymaybebroughtbythespouseofthedonoror
doneeandtheguiltofthedonoranddoneemaybeprovedbypreponderanceofevidenceinthesameaction.(n)

Article740.Incapacitytosucceedbywillshallbeapplicabletodonationsintervivos.(n)

Article741.Minorsandotherswhocannotenterintoacontractmaybecomedoneesbutacceptanceshallbedone
throughtheirparentsorlegalrepresentatives.(626a)

Article 742. Donations made to conceived and unborn children may be accepted by those persons who would
legallyrepresentthemiftheywerealreadyborn.(627)

Article743.Donationsmadetoincapacitatedpersonsshallbevoid,thoughsimulatedundertheguiseofanother
contractorthroughapersonwhoisinterposed.(628)

Article 744. Donations of the same thing to two or more different donees shall be governed by the provisions
concerningthesaleofthesamethingtotwoormoredifferentpersons.(n)

Article745.Thedoneemustacceptthedonationpersonally,orthroughanauthorizedpersonwithaspecialpower
forthepurpose,orwithageneralandsufficientpowerotherwise,thedonationshallbevoid.(630)

Article746.Acceptancemustbemadeduringthelifetimeofthedonorandofthedonee.(n)

Article747.Personswhoacceptdonationsinrepresentationofotherswhomaynotdosobythemselves,shallbe
obligedtomakethenotificationandnotationofwhicharticle749speaks.(631)

Article748.Thedonationofamovablemaybemadeorallyorinwriting.

Anoraldonationrequiresthesimultaneousdeliveryofthethingorofthedocumentrepresentingtherightdonated.

Ifthevalueofthepersonalpropertydonatedexceedsfivethousandpesos,thedonationandtheacceptanceshall
bemadeinwriting.Otherwise,thedonationshallbevoid.(632a)

Article 749. In order that the donation of an immovable may be valid, it must be made in a public document,
specifyingthereinthepropertydonatedandthevalueofthechargeswhichthedoneemustsatisfy.

Theacceptancemaybemadeinthesamedeedofdonationorinaseparatepublicdocument,butitshallnottake
effectunlessitisdoneduringthelifetimeofthedonor.

Iftheacceptanceismadeinaseparateinstrument,thedonorshallbenotifiedthereofinanauthenticform,andthis
stepshallbenotedinbothinstruments.(633)

CHAPTER3
EffectofDonationsandLimitationsThereon

Article 750. The donation may comprehend all the present property of the donor, or part thereof, provided he
reserves,infullownershiporinusufruct,sufficientmeansforthesupportofhimself,andofallrelativeswho,atthe
timeoftheacceptanceofthedonation,arebylawentitledtobesupportedbythedonor.Withoutsuchreservation,
thedonationshallbereducedinpetitionofanypersonaffected.(634a)

Article751.Donationscannotcomprehendfutureproperty.

Byfuturepropertyisunderstoodanythingwhichthedonorcannotdisposeofatthetimeofthedonation.(635)

Article752.Theprovisionsofarticle750notwithstanding,nopersonmaygiveorreceive,bywayofdonation,more
thanhemaygiveorreceivebywill.

Thedonationshallbeinofficiousinallthatitmayexceedthislimitation.(636)

Article753.Whenadonationismadetoseveralpersonsjointly,itisunderstoodtobeinequalshares,andthere
shallbenorightofaccretionamongthem,unlessthedonorhasotherwiseprovided.

Theprecedingparagraphshallnotbeapplicabletodonationsmadetothehusbandandwifejointly,betweenwhom
thereshallbearightofaccretion,ifthecontraryhasnotbeenprovidedbythedonor.(637)

Article754. The donee is subrogated to all the rights and actions which in case of eviction would pertain to the
donor. The latter, on the other hand, is not obliged to warrant the things donated, save when the donation is
onerous,inwhichcasethedonorshallbeliableforevictiontotheconcurrenceoftheburden.
Thedonorshallalsobeliableforevictionorhiddendefectsincaseofbadfaithonhispart.(638a)

Article755.Therighttodisposeofsomeofthethingsdonated,orofsomeamountwhichshallbeachargethereon,
maybereservedbythedonorbutifheshoulddiewithouthavingmadeuseofthisright,thepropertyoramount
reservedshallbelongtothedonee.(639)

Article756.Theownershipofpropertymayalsobedonatedtoonepersonandtheusufructtoanotherorothers,
providedallthedoneesarelivingatthetimeofthedonation.(640a)

Article757.Reversionmaybevalidlyestablishedinfavorofonlythedonorforanycaseandcircumstances,butnot
infavorofotherpersonsunlesstheyarealllivingatthetimeofthedonation.

Any reversion stipulated by the donor in favor of a third person in violation of what is provided in the preceding
paragraphshallbevoid,butshallnotnullifythedonation.(614a)

Article758.Whenthedonationimposesuponthedoneetheobligationtopaythedebtsofthedonor,iftheclause
doesnotcontainanydeclarationtothecontrary,theformerisunderstoodtobeliabletopayonlythedebtswhich
appeartohavebeenpreviouslycontracted.Innocaseshallthedoneeberesponsibleforthedebtsexceedingthe
valueofthepropertydonated,unlessacontraryintentionclearlyappears.(642a)

Article759.Therebeingnostipulationregardingthepaymentofdebts,thedoneeshallberesponsiblethereforonly
whenthedonationhasbeenmadeinfraudofcreditors.

The donation is always presumed to be in fraud of creditors, when at the time thereof the donor did not reserve
sufficientpropertytopayhisdebtspriortothedonation.(643)

CHAPTER4
RevocationandReductionofDonations

Article 760. Every donation inter vivos, made by a person having no children or descendants, legitimate or
legitimatedbysubsequentmarriage,orillegitimate,mayberevokedorreducedasprovidedinthenextarticle,by
thehappeningofanyoftheseevents:

(1)Ifthedonor,afterthedonation,shouldhavelegitimateorlegitimatedorillegitimatechildren,eventhough
theybeposthumous

(2)Ifthechildofthedonor,whomthelatterbelievedtobedeadwhenhemadethedonation,shouldturnout
tobeliving

(3)Ifthedonorsubsequentlyadoptaminorchild.(644a)

Article761.Inthecasesreferredtointheprecedingarticle,thedonationshallberevokedorreducedinsofarasit
exceedstheportionthatmaybefreelydisposedofbywill,takingintoaccountthewholeestateofthedonoratthe
timeofthebirth,appearanceoradoptionofachild.(n)

Article762.Upontherevocationorreductionofthedonationbythebirth,appearanceoradoptionofachild,the
propertyaffectedshallbereturnedoritsvalueifthedoneehassoldthesame.

Ifthepropertyismortgaged,thedonormayredeemthemortgage,bypayingtheamountguaranteed,witharightto
recoverthesamefromthedonee.

Whenthepropertycannotbereturned,itshallbeestimatedatwhatitwasworthatthetimeofthedonation.(645a)

Article763.Theactionforrevocationorreductiononthegroundssetforthinarticle760shallprescribeafterfour
yearsfromthebirthofthefirstchild,orfromhislegitimation,recognitionoradoption,orfromthejudicialdeclaration
offiliation,orfromthetimeinformationwasreceivedregardingtheexistenceofthechildbelieveddead.

Thisactioncannotberenounced,andistransmitted,uponthedeathofthedonor,tohislegitimateandillegitimate
childrenanddescendants.(646a)

Article764.Thedonationshallberevokedattheinstanceofthedonor,whenthedoneefailstocomplywithanyof
theconditionswhichtheformerimposeduponthelatter.

In this case, the property donated shall be returned to the donor, the alienations made by the donee and the
mortgagesimposedthereonbyhimbeingvoid,withthelimitationsestablished,withregardtothirdpersons,bythe
MortgageLawandtheLandRegistrationlaws.
This action shall prescribe after four years from the noncompliance with the condition, may be transmitted to the
heirsofthedonor,andmaybeexercisedagainstthedonee'sheirs.(647a)

Article765.Thedonationmayalsoberevokedattheinstanceofthedonor,byreasonofingratitudeinthefollowing
cases:

(1)Ifthedoneeshouldcommitsomeoffenseagainsttheperson,thehonororthepropertyofthedonor,orof
hiswifeorchildrenunderhisparentalauthority

(2)Ifthedoneeimputestothedonoranycriminaloffense,oranyactinvolvingmoralturpitude,eventhough
he should prove it, unless the crime or the act has been committed against the donee himself, his wife or
childrenunderhisauthority

(3)Ifheundulyrefuseshimsupportwhenthedoneeislegallyormorallyboundtogivesupporttothedonor.
(648a)

Article 766. Although the donation is revoked on account of ingratitude, nevertheless, the alienations and
mortgageseffectedbeforethenotationofthecomplaintforrevocationintheRegistryofPropertyshallsubsist.

Lateronesshallbevoid.(649)

Article767. In the case referred to in the first paragraph of the preceding article, the donor shall have a right to
demandfromthedoneethevalueofpropertyalienatedwhichhecannotrecoverfromthirdpersons,orthesumfor
whichthesamehasbeenmortgaged.

Thevalueofsaidpropertyshallbefixedasofthetimeofthedonation.(650)

Article768.Whenthedonationisrevokedforanyofthecausesstatedinarticle760,orbyreasonofingratitude,or
when it is reduced because it is inofficious, the donee shall not return the fruits except from the filing of the
complaint.

Iftherevocationisbaseduponnoncompliancewithanyoftheconditionsimposedinthedonation,thedoneeshall
return not only the propertybutalsothefruitsthereofwhichhemayhavereceived after having failed to fulfill the
condition.(651)

Article769.Theactiongrantedtothedonorbyreasonofingratitudecannotberenouncedinadvance.Thisaction
prescribeswithinoneyear,tobecountedfromthetimethedonorhadknowledgeofthefactanditwaspossiblefor
himtobringtheaction.(652)

Article770. This action shall not be transmitted to the heirs of the donor, if the latter did not institute the same,
althoughhecouldhavedoneso,andevenifheshoulddiebeforetheexpirationofoneyear.

Neithercanthisactionbebroughtagainsttheheirofthedonee,unlessuponthelatter'sdeaththecomplainthas
beenfiled.(653)

Article771.Donationswhichinaccordancewiththeprovisionsofarticle752,areinofficious,bearinginmindthe
estimatednetvalueofthedonor'spropertyatthetimeofhisdeath,shallbereducedwithregardtotheexcessbut
thisreductionshallnotpreventthedonationsfromtakingeffectduringthelifeofthedonor,norshallitbarthedonee
fromappropriatingthefruits.

ForthereductionofdonationstheprovisionsofthisChapterandofarticles911and912ofthisCodeshallgovern.
(654)

Article 772. Only those who at the time of the donor's death have a right to the legitime and their heirs and
successorsininterestmayaskforthereductionorinofficiousdonations.

Thosereferredtointheprecedingparagraphcannotrenouncetheirrightduringthelifetimeofthedonor,eitherby
expressdeclaration,orbyconsentingtothedonation.
consenting

The donees, devisees and legatees, who are not entitled to the legitime and the creditors of the deceased can
neitheraskforthereductionnoravailthemselvesthereof.(655a)

Article773.If,therebeingtwoormoredonations,thedisposableportionisnotsufficienttocoverallofthem,those
ofthemorerecentdateshallbesuppressedorreducedwithregardtotheexcess.(656)
 TITLEIV
SUCCESSION

CHAPTER1
GeneralProvisions

Article774.Successionisamodeofacquisitionbyvirtueofwhichtheproperty,rightsandobligationstotheextent
ofthevalueoftheinheritance,ofapersonaretransmittedthroughhisdeathtoanotherorotherseitherbyhiswillor
byoperationoflaw.(n)

Article775.InthisTitle,"decedent"isthegeneraltermappliedtothepersonwhosepropertyistransmittedthrough
succession,whetherornotheleftawill.Ifheleftawill,heisalsocalledthetestator.(n)

Article776.Theinheritanceincludesalltheproperty,rightsandobligationsofapersonwhicharenotextinguished
byhisdeath.(659)

Article777.Therightstothesuccessionaretransmittedfromthemomentofthedeathofthedecedent.(657a)

Article778.Successionmaybe:

(1)Testamentary

(2)Legalorintestateor

(3)Mixed.(n)

Article779.Testamentarysuccessionisthatwhichresultsfromthedesignationofanheir,madeinawillexecuted
intheformprescribedbylaw.(n)

Article780.Mixedsuccessionisthateffectedpartlybywillandpartlybyoperationoflaw.(n)

Article781.Theinheritanceofapersonincludesnotonlythepropertyandthetransmissiblerightsandobligations
existingatthetimeofhisdeath,butalsothosewhichhaveaccruedtheretosincetheopeningofthesuccession.(n)

Article782.Anheirisapersoncalledtothesuccessioneitherbytheprovisionofawillorbyoperationoflaw.

Deviseesandlegateesarepersonstowhomgiftsofrealandpersonalpropertyarerespectivelygivenbyvirtueofa
will.(n)

CHAPTER2
TestamentarySuccession

SECTION1
Wills

SUBSECTION1.WillsinGeneral

Article783. A will is an act whereby a person is permitted, with the formalities prescribed by law, to control to a
certaindegreethedispositionofthisestate,totakeeffectafterhisdeath.(667a)

Article784.Themakingofawillisastrictlypersonalactitcannotbeleftinwholeorinparttothediscretionofa
thirdperson,oraccomplishedthroughtheinstrumentalityofanagentorattorney.(670a)

Article785.Thedurationorefficacyofthedesignationofheirs,deviseesorlegatees,orthedeterminationofthe
portionswhichtheyaretotake,whenreferredtobyname,cannotbelefttothediscretionofathirdperson.(670a)

Article786.Thetestatormayentrusttoathirdpersonthedistributionofspecificpropertyorsumsofmoneythathe
may leave in general to specified classes or causes, and also the designation of the persons, institutions or
establishmentstowhichsuchpropertyorsumsaretobegivenorapplied.(671a)

Article 787. The testator may not make a testamentary disposition in such manner that another person has to
determinewhetherornotitistobeoperative.(n)
Article788.Ifatestamentarydispositionadmitsofdifferentinterpretations,incaseofdoubt,thatinterpretationby
whichthedispositionistobeoperativeshallbepreferred.(n)

Article789.Whenthereisanimperfectdescription,orwhennopersonorpropertyexactlyanswersthedescription,
mistakes and omissions must be corrected, if the error appears from the context of the will or from extrinsic
evidence,excludingtheoraldeclarationsofthetestatorastohisintentionandwhenanuncertaintyarisesuponthe
face of the will, as to the application of any of its provisions, the testator's intention is to be ascertained from the
words of the will, taking into consideration the circumstances under which it was made, excluding such oral
declarations.(n)

Article790.Thewordsofawillaretobetakenintheirordinaryandgrammaticalsense,unlessaclearintentionto
usetheminanothersensecanbegathered,andthatothercanbeascertained.

Technical words in a will are to be taken in their technical sense, unless the context clearly indicates a contrary
intention, or unless it satisfactorily appears that the will was drawn solely by the testator, and that he was
unacquaintedwithsuchtechnicalsense.(675a)

Article791. The words of a will are to receive an interpretation which will give to every expression some effect,
ratherthanonewhichwillrenderanyoftheexpressionsinoperativeandoftwomodesofinterpretingawill,thatis
tobepreferredwhichwillpreventintestacy.(n)

Article792. The invalidity of one of several dispositions contained in a will does not result in the invalidity of the
otherdispositions,unlessitistobepresumedthatthetestatorwouldnothavemadesuchotherdispositionsifthe
firstinvaliddispositionhadnotbeenmade.(n)

Article793.Propertyacquiredafterthemakingofawillshallonlypassthereby,asifthetestatorhadpossessedit
atthetimeofmakingthewill,shoulditexpresslyappearbythewillthatsuchwashisintention.(n)

Article794.Everydeviseorlegacyshallcoveralltheinterestwhichthetestatorcoulddeviceorbequeathinthe
propertydisposedof,unlessitclearlyappearsfromthewillthatheintendedtoconveyalessinterest.(n)

Article795. The validity of a will as to its form depends upon the observance of the law in force at the time it is
made.(n)

SUBSECTION2.TestamentaryCapacityandIntent

Article796.Allpersonswhoarenotexpresslyprohibitedbylawmaymakeawill.(662)

Article797.Personsofeithersexundereighteenyearsofagecannotmakeawill.(n)

Article798.Inordertomakeawillitisessentialthatthetestatorbeofsoundmindatthetimeofitsexecution.(n)

Article 799. To be of sound mind, it is not necessary that the testator be in full possession of all his reasoning
faculties,orthathismindbewhollyunbroken,unimpaired,orunshatteredbydisease,injuryorothercause.

It shall be sufficient if the testator was able at the time of making the will to know the nature of the estate to be
disposedof,theproperobjectsofhisbounty,andthecharacterofthetestamentaryact.(n)

Article800.Thelawpresumesthateverypersonisofsoundmind,intheabsenceofprooftothecontrary.

Theburdenofproofthatthetestatorwasnotofsoundmindatthetimeofmakinghisdispositionsisontheperson
whoopposestheprobateofthewillbutifthetestator,onemonth,orless,beforemakinghiswillwaspubliclyknown
to be insane, the person who maintains the validity of the will must prove that the testator made it during a lucid
interval.(n)

Article801.Superveningincapacitydoesnotinvalidateaneffectivewill,noristhewillofanincapablevalidatedby
thesuperveningofcapacity.(n)

Article802.Amarriedwomanmaymakeawillwithouttheconsentofherhusband,andwithouttheauthorityofthe
consent
court.(n)

Article803.Amarriedwomanmaydisposebywillofallherseparatepropertyaswellashershareoftheconjugal
partnershiporabsolutecommunityproperty.(n)

SUBSECTION3.FormsofWills

Article804.Everywillmustbeinwritingandexecutedinalanguageordialectknowntothetestator.(n)
Article805.Everywill,otherthanaholographicwill,mustbesubscribedattheendthereofbythetestatorhimselfor
bythetestator'snamewrittenbysomeotherpersoninhispresence,andbyhisexpressdirection,andattestedand
subscribedbythreeormorecrediblewitnessesinthepresenceofthetestatorandofoneanother.

Thetestatororthepersonrequestedbyhimtowritehisnameandtheinstrumentalwitnessesofthewill,shallalso
sign, as aforesaid, each and every page thereof, except the last, on the left margin, and all the pages shall be
numberedcorrelativelyinlettersplacedontheupperpartofeachpage.

The attestation shall state the number of pages used upon which the will is written, and the fact that the testator
signedthewillandeverypagethereof,orcausedsomeotherpersontowritehisname,underhisexpressdirection,
in the presence of the instrumental witnesses, and that the latter witnessed and signed the will and all the pages
thereofinthepresenceofthetestatorandofoneanother.

Iftheattestationclauseisinalanguagenotknowntothewitnesses,itshallbeinterpretedtothem.(n)

Article806.Everywillmustbeacknowledgedbeforeanotarypublicbythetestatorandthewitnesses.Thenotary
publicshallnotberequiredtoretainacopyofthewill,orfileanotherwiththeofficeoftheClerkofCourt.(n)

Article807.Ifthetestatorbedeaf,oradeafmute,hemustpersonallyreadthewill,ifabletodosootherwise,he
shalldesignatetwopersonstoreaditandcommunicatetohim,insomepracticablemanner,thecontentsthereof.
(n)

Article808.Ifthetestatorisblind,thewillshallbereadtohimtwiceonce,byoneofthesubscribingwitnesses,and
again,bythenotarypublicbeforewhomthewillisacknowledged.(n)

Article809.Intheabsenceofbadfaith,forgery,orfraud,orundueandimproperpressureandinfluence,defects
and imperfections in the form of attestation or in the language used therein shall not render the will invalid if it is
provedthatthewillwasinfactexecutedandattestedinsubstantialcompliancewithalltherequirementsofarticle
805.(n)

Article810.Apersonmayexecuteaholographicwillwhichmustbeentirelywritten,dated,andsignedbythehand
ofthetestatorhimself.Itissubjecttonootherform,andmaybemadeinoroutofthePhilippines,andneednotbe
witnessed.(678,688a)

Article 811. In the probate of a holographic will, it shall be necessary that at least one witness who knows the
handwritingandsignatureofthetestatorexplicitlydeclarethatthewillandthesignatureareinthehandwritingofthe
testator.Ifthewilliscontested,atleastthreeofsuchwitnessesshallberequired.

Intheabsenceofanycompetentwitnessreferredtointheprecedingparagraph,andifthecourtdeemitnecessary,
experttestimonymayberesortedto.(619a)

Article 812. In holographic wills, the dispositions of the testator written below his signature must be dated and
signedbyhiminordertomakethemvalidastestamentarydispositions.(n)

Article813.Whenanumberofdispositionsappearinginaholographicwillaresignedwithoutbeingdated,andthe
lastdispositionhasasignatureandadate,suchdatevalidatesthedispositionsprecedingit,whateverbethetimeof
priordispositions.(n)

Article 814. In case of any insertion, cancellation, erasure or alteration in a holographic will, the testator must
authenticatethesamebyhisfullsignature.(n)

Article815.WhenaFilipinoisinaforeigncountry,heisauthorizedtomakeawillinanyoftheformsestablishedby
thelawofthecountryinwhichhemaybe.SuchwillmaybeprobatedinthePhilippines.(n)

Article 816. The will of an alien who is abroad produces effect in the Philippines if made with the formalities
prescribedbythelawoftheplaceinwhichheresides,oraccordingtotheformalitiesobservedinhiscountry,orin
conformitywiththosewhichthisCodeprescribes.(n)

Article 817. A will made in the Philippines by a citizen or subject of another country, which is executed in
accordancewiththelawofthecountryofwhichheisacitizenorsubject,andwhichmightbeprovedandallowedby
thelawofhisowncountry,shallhavethesameeffectasifexecutedaccordingtothelawsofthePhilippines.(n)

Article818. Two or more persons cannot make a will jointly, or in the same instrument, either for their reciprocal
benefitorforthebenefitofathirdperson.(669)

Article819.Wills,prohibitedbytheprecedingarticle,executedbyFilipinosinaforeigncountryshallnotbevalidin
thePhilippines,eventhoughauthorizedbythelawsofthecountrywheretheymayhavebeenexecuted.(733a)
SUBSECTION4.WitnessestoWills

Article820.Anypersonofsoundmindandoftheageofeighteenyearsormore,andnotblind,deafordumb,and
abletoreadandwrite,maybeawitnesstotheexecutionofawillmentionedinarticle805ofthisCode.(n)

Article821.Thefollowingaredisqualifiedfrombeingwitnessestoawill:

(1)AnypersonnotdomiciledinthePhilippines

(2)Thosewhohavebeenconvictedoffalsificationofadocument,perjuryorfalsetestimony.(n)

Article822.Ifthewitnessesattestingtheexecutionofawillarecompetentatthetimeofattesting,theirbecoming
subsequentlyincompetentshallnotpreventtheallowanceofthewill.(n)

Article823.Ifapersonatteststheexecutionofawill,towhomortowhosespouse,orparent,orchild,adeviseor
legacyisgivenbysuchwill,suchdeviseorlegacyshall,sofaronlyasconcernssuchperson,orspouse,orparent,
orchildofsuchperson,oranyoneclaimingundersuchpersonorspouse,orparent,orchild,bevoid,unlessthere
arethreeothercompetentwitnessestosuchwill.However,suchpersonsoattestingshallbeadmittedasawitness
asifsuchdeviseorlegacyhadnotbeenmadeorgiven.(n)

Article824.Amerechargeontheestateofthetestatorforthepaymentofdebtsdueatthetimeofthetestator's
deathdoesnotpreventhiscreditorsfrombeingcompetentwitnessestohiswill.(n)

SUBSECTION5.CodicilsandIncorporationbyReference

Article825.Acodicilissupplementoradditiontoawill,madeaftertheexecutionofawillandannexedtobetaken
asapartthereof,bywhichdispositionmadeintheoriginalwillisexplained,addedto,oraltered.(n)

Article826.Inorderthatacodicilmaybeeffective,itshallbeexecutedasinthecaseofawill.(n)

Article827.Ifawill,executedasrequiredbythisCode,incorporatesintoitselfbyreferenceanydocumentorpaper,
suchdocumentorpapershallnotbeconsideredapartofthewillunlessthefollowingrequisitesarepresent:

(1)Thedocumentorpaperreferredtointhewillmustbeinexistenceatthetimeoftheexecutionofthewill

(2) The will must clearly describe and identify the same, stating among other things the number of pages
thereof

(3)Itmustbeidentifiedbyclearandsatisfactoryproofasthedocumentorpaperreferredtothereinand

(4)Itmustbesignedbythetestatorandthewitnessesoneachandeverypage,exceptincaseofvoluminous
booksofaccountorinventories.(n)

SUBSECTION6.RevocationofWillsandTestamentaryDispositions

Article828.Awillmayberevokedbythetestatoratanytimebeforehisdeath.Anywaiverorrestrictionofthisright
isvoid.(737a)

Article829.ArevocationdoneoutsidethePhilippines,byapersonwhodoesnothavehisdomicileinthiscountry,
isvalidwhenitisdoneaccordingtothelawoftheplacewherethewillwasmade,oraccordingtothelawofthe
placeinwhichthetestatorhadhisdomicileatthetimeandiftherevocationtakesplaceinthiscountry,whenitisin
accordancewiththeprovisionsofthisCode.(n)

Article830.Nowillshallberevokedexceptinthefollowingcases:

(1)Byimplicationoflawor

(2)Bysomewill,codicil,orotherwritingexecutedasprovidedincaseofwillsor

(3) By burning, tearing, cancelling, or obliterating the will with the intention of revoking it, by the testator
himself,orbysomeotherpersoninhispresence,andbyhisexpressdirection.Ifburned,torn,cancelled,or
obliterated by some other person, without the express direction of the testator, the will may still be
established, and the estate distributed in accordance therewith, if its contents, and due execution, and the
fact of its unauthorized destruction, cancellation, or obliteration are established according to the Rules of
Court.(n)

Article 831. Subsequent wills which do not revoke the previous ones in an express manner, annul only such
dispositionsinthepriorwillsasareinconsistentwithorcontrarytothosecontainedinthelaterwills.(n)
Article832.Arevocationmadeinasubsequentwillshalltakeeffect,evenifthenewwillshouldbecomeinoperative
byreasonoftheincapacityoftheheirs,deviseesorlegateesdesignatedtherein,orbytheirrenunciation.(740a)

Article833.Arevocationofawillbasedonafalsecauseoranillegalcauseisnullandvoid.(n)

Article834.Therecognitionofanillegitimatechilddoesnotloseitslegaleffect,eventhoughthewillwhereinitwas
madeshouldberevoked.(741)

SUBSECTION7.RepublicationandRevivalofWills

Article835.Thetestatorcannotrepublish,withoutreproducinginasubsequentwill,thedispositionscontainedina
previousonewhichisvoidastoitsform.(n)

Article836.Theexecutionofacodicilreferringtoapreviouswillhastheeffectofrepublishingthewillasmodified
bythecodicil.(n)

Article837.Ifaftermakingawill,thetestatormakesasecondwillexpresslyrevokingthefirst,therevocationofthe
secondwilldoesnotrevivethefirstwill,whichcanberevivedonlybyanotherwillorcodicil.(739a)

SUBSECTION8.AllowanceandDisallowanceofWills

Article838.Nowillshallpasseitherrealorpersonalpropertyunlessitisprovedandallowedinaccordancewiththe
RulesofCourt.

Thetestatorhimselfmay,duringhislifetime,petitionthecourthavingjurisdictionfortheallowanceofhiswill.Insuch
case,thepertinentprovisionsoftheRulesofCourtfortheallowanceofwillsafterthetestator'sadeathshallgovern.

TheSupremeCourtshallformulatesuchadditionalRulesofCourtasmaybenecessaryfortheallowanceofwillson
petitionofthetestator.

Subjecttotherightofappeal,theallowanceofthewill,eitherduringthelifetimeofthetestatororafterhisdeath,
shallbeconclusiveastoitsdueexecution.(n)

Article839.Thewillshallbedisallowedinanyofthefollowingcases:

(1)Iftheformalitiesrequiredbylawhavenotbeencompliedwith

(2)Ifthetestatorwasinsane,orotherwisementallyincapableofmakingawill,atthetimeofitsexecution

(3)Ifitwasexecutedthroughforceorunderduress,ortheinfluenceoffear,orthreats

(4)Ifitwasprocuredbyundueandimproperpressureandinfluence,onthepartofthebeneficiaryorofsome
otherperson

(5)Ifthesignatureofthetestatorwasprocuredbyfraud

(6)Ifthetestatoractedbymistakeordidnotintendthattheinstrumenthesignedshouldbehiswillatthetime
ofaffixinghissignaturethereto.(n)

SECTION2
InstitutionofHeir

Article840.Institutionofheirisanactbyvirtueofwhichatestatordesignatesinhiswillthepersonorpersonswho
aretosucceedhiminhispropertyandtransmissiblerightsandobligations.(n)

Article841.Awillshallbevalideventhoughitshouldnotcontainaninstitutionofanheir,orsuchinstitutionshould
notcomprisetheentireestate,andeventhoughthepersonsoinstitutedshouldnotaccepttheinheritanceorshould
beincapacitatedtosucceed.

Insuchcasesthetestamentarydispositionsmadeinaccordancewithlawshallbecompliedwithandtheremainder
oftheestateshallpasstothelegalheirs.(764)

Article842.Onewhohasnocompulsoryheirsmaydisposebywillofallhisestateoranypartofitinfavorofany
personhavingcapacitytosucceed.

One who has compulsory heirs may dispose of his estate provided he does not contravene the provisions of this
Codewithregardtothelegitimeofsaidheirs.(763a)
Article843.Thetestatorshalldesignatetheheirbyhisnameandsurname,andwhentherearetwopersonshaving
thesamenames,heshallindicatesomecircumstancebywhichtheinstitutedheirmaybeknown.

Eventhoughthetestatormayhaveomittedthenameoftheheir,shouldhedesignatehiminsuchmannerthatthere
canbenodoubtastowhohasbeeninstituted,theinstitutionshallbevalid.(772)

Article844.Anerrorinthename,surname,orcircumstancesoftheheirshallnotvitiatetheinstitutionwhenitis
possible,inanyothermanner,toknowwithcertaintythepersoninstituted.

Ifamongpersonshavingthesamenamesandsurnames,thereisasimilarityofcircumstancesinsuchawaythat,
evenwiththeuseofotherproof,thepersoninstitutedcannotbeidentified,noneofthemshallbeanheir.(773a)

Article845.Everydispositioninfavorofanunknownpersonshallbevoid,unlessbysomeeventorcircumstance
hisidentitybecomescertain.However,adispositioninfavorofadefiniteclassorgroupofpersonsshallbevalid.
(750a)

Article846.Heirsinstitutedwithoutdesignationofsharesshallinheritinequalparts.(765)

Article 847. When the testator institutes some heirs individually and others collectively as when he says, "I
designate as my heirs A and B, and the children of C," those collectively designated shall be considered as
individuallyinstituted,unlessitclearlyappearsthattheintentionofthetestatorwasotherwise.(769a)

Article848.Ifthetestatorshouldinstitutehisbrothersandsisters,andhehassomeoffullbloodandothersofhalf
blood,theinheritanceshallbedistributedequallyunlessadifferentintentionappears.(770a)

Article849.Whenthetestatorcallstothesuccessionapersonandhischildrentheyarealldeemedtohavebeen
institutedsimultaneouslyandnotsuccessively.(771)

Article850.Thestatementofafalsecausefortheinstitutionofanheirshallbeconsideredasnotwritten,unlessit
appears from the will that the testator would not have made such institution if he had known the falsity of such
cause.(767a)

Article 851. If the testator has instituted only one heir, and the institution is limited to an aliquot part of the
inheritance,legalsuccessiontakesplacewithrespecttotheremainderoftheestate.

Thesameruleappliesifthetestatorhasinstitutedseveralheirs,eachbeinglimitedtoanaliquotpart,andallthe
partsdonotcoverthewholeinheritance.(n)

Article852. If it was the intention of the testator that the instituted heirs should become sole heirs to the whole
estate,orthewholefreeportion,asthecasemaybe,andeachofthemhasbeeninstitutedtoanaliquotpartofthe
inheritanceandtheiraliquotpartstogetherdonotcoverthewholeinheritance,orthewholefreeportion,eachpart
shallbeincreasedproportionally.(n)

Article853.Ifeachoftheinstitutedheirshasbeengivenanaliquotpartoftheinheritance,andthepartstogether
exceed the whole inheritance, or the whole free portion, as the case may be, each part shall be reduced
proportionally.(n)

Article854.Thepreteritionoromissionofone,some,orallofthecompulsoryheirsinthedirectline,whetherliving
atthetimeoftheexecutionofthewillorbornafterthedeathofthetestator,shallannultheinstitutionofheirbutthe
devisesandlegaciesshallbevalidinsofarastheyarenotinofficious.

Iftheomittedcompulsoryheirsshoulddiebeforethetestator,theinstitutionshallbeeffectual,withoutprejudiceto
therightofrepresentation.(814a)

Article855.Theshareofachildordescendantomittedinawillmustfirstbetakenfromthepartoftheestatenot
disposedofbythewill,ifanyifthatisnotsufficient,somuchasmaybenecessarymustbetakenproportionally
fromthesharesoftheothercompulsoryheirs.(1080a)

Article856.Avoluntaryheirwhodiesbeforethetestatortransmitsnothingtohisheirs.

A compulsory heir who dies before the testator, a person incapacitated to succeed, and one who renounces the
inheritance,shalltransmitnorighttohisownheirsexceptincasesexpresslyprovidedforinthisCode.(766a)

SECTION3
SubstitutionofHeirs
Article857.Substitutionistheappointmentofanotherheirsothathemayenterintotheinheritanceindefaultofthe
heiroriginallyinstituted.(n)

Article858.Substitutionofheirsmaybe:

(1)Simpleorcommon

(2)Brieforcompendious

(3)Reciprocalor

(4)Fideicommissary.(n)

Article859.Thetestatormaydesignateoneormorepersonstosubstitutetheheirorheirsinstitutedincasesuch
heirorheirsshoulddiebeforehim,orshouldnotwish,orshouldbeincapacitatedtoaccepttheinheritance.

Asimplesubstitution,withoutastatementofthecasestowhichitrefers,shallcomprisethethreementionedinthe
precedingparagraph,unlessthetestatorhasotherwiseprovided.(774)

Article860.Twoormorepersonsmaybesubstitutedforoneandonepersonfortwoormoreheirs.(778)

Article861.Ifheirsinstitutedinunequalsharesshouldbereciprocallysubstituted,thesubstituteshallacquirethe
shareoftheheirwhodies,renounces,orisincapacitated,unlessitclearlyappearsthattheintentionofthetestator
wasotherwise.Iftherearemorethanonesubstitute,theyshallhavethesameshareinthesubstitutionasinthe
institution.(779a)

Article862.Thesubstituteshallbesubjecttothesamechargesandconditionsimposedupontheinstitutedheir,
unlessandtestatorhasexpresslyprovidedthecontrary,orthechargesorconditionsarepersonallyapplicableonly
totheheirinstituted.(780)

Article863.Afideicommissarysubstitutionbyvirtueofwhichthefiduciaryorfirstheirinstitutedisentrustedwiththe
obligationtopreserveandtotransmittoasecondheirthewholeorpartoftheinheritance,shallbevalidandshall
take effect, provided such substitution does not go beyond one degree from the heir originally instituted, and
providedfurther,thatthefiduciaryorfirstheirandthesecondheirarelivingatthetimeofthedeathofthetestator.
(781a)

Article864.Afideicommissarysubstitutioncanneverburdenthelegitime.(782a)

Article865.Everyfideicommissarysubstitutionmustbeexpresslymadeinorderthatitmaybevalid.

The fiduciary shall be obliged to deliver the inheritance to the second heir, without other deductions than those
whicharisefromlegitimateexpenses,creditsandimprovements,saveinthecasewherethetestatorhasprovided
otherwise.(783)

Article 866. The second heir shall acquire a right to the succession from the time of the testator's death, even
thoughheshoulddiebeforethefiduciary.Therightofthesecondheirshallpasstohisheirs.(784)

Article867.Thefollowingshallnottakeeffect:

(1)Fideicommissarysubstitutionswhicharenotmadeinanexpressmanner,eitherbygivingthemthisname,
orimposinguponthefiduciarytheabsoluteobligationtodeliverthepropertytoasecondheir

(2)Provisionswhichcontainaperpetualprohibitiontoalienate,andevenatemporaryone,beyondthelimit
fixedinarticle863

(3)Thosewhichimposeupontheheirthechargeofpayingtovariouspersonssuccessively,beyondthelimit
prescribedinarticle863,acertainincomeorpension

(4)Thosewhichleavetoapersonthewholeorpartofthehereditarypropertyinorderthathemayapplyor
investthesameaccordingtosecretinstructionscommunicatedtohimbythetestator.(785a)

Article868. The nullity of the fideicommissary substitution does not prejudice the validity of the institution of the
heirsfirstdesignatedthefideicommissaryclauseshallsimplybeconsideredasnotwritten.(786)

Article869.Aprovisionwherebythetestatorleavestoapersonthewholeorpartoftheinheritance,andtoanother
the usufruct, shall be valid. If he gives the usufruct to various persons, not simultaneously, but successively, the
provisionsofarticle863shallapply.(787a)
Article870.Thedispositionsofthetestatordeclaringallorpartoftheestateinalienableformorethantwentyyears
arevoid.(n)

SECTION4
ConditionalTestamentaryDispositionsandTestamentaryDispositionsWithaTerm

Article871.Theinstitutionofanheirmaybemadeconditionally,orforacertainpurposeorcause.(790a)

Article 872. The testator cannot impose any charge, condition, or substitution whatsoever upon the legitimes
prescribedinthisCode.Shouldhedoso,thesameshallbeconsideredasnotimposed.(813a)

Article873.Impossibleconditionsandthosecontrarytolaworgoodcustomsshallbeconsideredasnotimposed
andshallinnomannerprejudicetheheir,evenifthetestatorshouldotherwiseprovide.(792a)

Article874.Anabsoluteconditionnottocontractafirstorsubsequentmarriageshallbeconsideredasnotwritten
unless such condition has been imposed on the widow or widower by the deceased spouse, or by the latter's
ascendantsordescendants.

Nevertheless,therightofusufruct,oranallowanceorsomepersonalprestationmaybedevisedorbequeathedto
anypersonforthetimeduringwhichheorsheshouldremainunmarriedorinwidowhood.(793a)

Article875.Anydispositionmadeupontheconditionthattheheirshallmakesomeprovisioninhiswillinfavorof
thetestatororofanyotherpersonshallbevoid.(794a)

Article876.Anypurelypotestativeconditionimposeduponanheirmustbefulfilledbyhimassoonashelearnsof
thetestator'sdeath.

Thisruleshallnotapplywhenthecondition,alreadycompliedwith,cannotbefulfilledagain.(795a)

Article877.Iftheconditioniscasualormixed,itshallbesufficientifithappenorbefulfilledatanytimebeforeor
afterthedeathofthetestator,unlesshehasprovidedotherwise.

Shouldithaveexistedorshouldithavebeenfulfilledatthetimethewillwasexecutedandthetestatorwasunaware
thereof,itshallbedeemedascompliedwith.

Ifhehadknowledgethereof,theconditionshallbeconsideredfulfilledonlywhenitisofsuchanaturethatitcanno
longerexistorbecompliedwithagain.(796)

Article878.Adispositionwithasuspensivetermdoesnotpreventtheinstitutedheirfromacquiringhisrightsand
transmittingthemtohisheirsevenbeforethearrivaloftheterm.(799a)

Article879. If the potestative condition imposed upon the heir is negative, or consists in not doing or not giving
something, he shall comply by giving a security that he will not do or give that which has been prohibited by the
testator,andthatincaseofcontraventionhewillreturnwhateverhemayhavereceived,togetherwithitsfruitsand
interests.(800a)

Article 880. If the heir be instituted under a suspensive condition or term, the estate shall be placed under
administrationuntiltheconditionisfulfilled,oruntilitbecomescertainthatitcannotbefulfilled,oruntilthearrivalof
theterm.

Thesameshallbedoneiftheheirdoesnotgivethesecurityrequiredintheprecedingarticle.(801a)

Article881. The appointment of the administrator of the estate mentioned in the preceding article, as well as the
manneroftheadministrationandtherightsandobligationsoftheadministratorshallbegovernedbytheRulesof
Court.(804a)

Article882.Thestatementoftheobjectoftheinstitution,ortheapplicationofthepropertyleftbythetestator,orthe
chargeimposedbyhim,shallnotbeconsideredasaconditionunlessitappearsthatsuchwashisintention.

Thatwhichhasbeenleftinthismannermaybeclaimedatonceprovidedthattheinstitutedheirorhisheirsgive
securityforcompliancewiththewishesofthetestatorandforthereturnofanythingheortheymayreceive,together
withitsfruitsandinterests,ifheortheyshoulddisregardthisobligation.(797a)

Article883.Whenwithoutthefaultoftheheir,aninstitutionreferredtointheprecedingarticlecannottakeeffectin
theexactmannerstatedbythetestator,itshallbecompliedwithinamannermostanalogoustoandinconformity
withhiswishes.
Ifthepersoninterestedintheconditionshouldpreventitsfulfillment,withoutthefaultoftheheir,theconditionshall
bedeemedtohavebeencompliedwith.(798a)

Article 884. Conditions imposed by the testator upon the heirs shall be governed by the rules established for
conditionalobligationsinallmattersnotprovidedforbythisSection.(791a)

Article885. The designation of the day or time when the effects of the institution of an heir shall commence or
ceaseshallbevalid.

In both cases, the legal heir shall be considered as called to the succession until the arrival of the period or its
expiration.Butinthefirstcaseheshallnotenterintopossessionofthepropertyuntilafterhavinggivensufficient
security,withtheinterventionoftheinstitutedheir.(805)

SECTION5
Legitime

Article886.Legitimeisthatpartofthetestator'spropertywhichhecannotdisposeofbecausethelawhasreserved
itforcertainheirswhoare,therefore,calledcompulsoryheirs.(806)

Article887.Thefollowingarecompulsoryheirs:

(1)Legitimatechildrenanddescendants,withrespecttotheirlegitimateparentsandascendants

(2)Indefaultoftheforegoing,legitimateparentsandascendants,withrespecttotheirlegitimatechildrenand
descendants

(3)Thewidoworwidower

(4)Acknowledgednaturalchildren,andnaturalchildrenbylegalfiction

(5)Otherillegitimatechildrenreferredtoinarticle287.

CompulsoryheirsmentionedinNos.3,4,and5arenotexcludedbythoseinNos.1and2neitherdothey
excludeoneanother.

Inallcasesofillegitimatechildren,theirfiliationmustbedulyproved.

Thefatherormotherofillegitimatechildrenofthethreeclassesmentioned,shallinheritfromtheminthemanner
andtotheextentestablishedbythisCode.(807a)

Article888.Thelegitimeoflegitimatechildrenanddescendantsconsistsofonehalfofthehereditaryestateofthe
fatherandofthemother.

Thelattermayfreelydisposeoftheremaininghalf,subjecttotherightsofillegitimatechildrenandofthesurviving
spouseashereinafterprovided.(808a)

Article889.Thelegitimeoflegitimateparentsorascendantsconsistsofonehalfofthehereditaryestatesoftheir
childrenanddescendants.

Thechildrenordescendantsmayfreelydisposeoftheotherhalf,subjecttotherightsofillegitimatechildrenandof
thesurvivingspouseashereinafterprovided.(809a)

Article890. The legitime reserved for the legitimate parents shall be divided between them equally if one of the
parentsshouldhavedied,thewholeshallpasstothesurvivor.

Ifthetestatorleavesneitherfathernormother,butissurvivedbyascendantsofequaldegreeofthepaternaland
maternal lines, the legitime shall be divided equally between both lines. If the ascendants should be of different
degrees,itshallpertainentirelytotheonesnearestindegreeofeitherline.(810)

Article891.Theascendantwhoinheritsfromhisdescendantanypropertywhichthelattermayhaveacquiredby
gratuitoustitlefromanotherascendant,orabrotherorsister,isobligedtoreservesuchpropertyashemayhave
acquiredbyoperationoflawforthebenefitofrelativeswhoarewithinthethirddegreeandwhobelongtotheline
fromwhichsaidpropertycame.(871)

Article892. If only one legitimate child or descendant of the deceased survives, the widow or widower shall be
entitledtoonefourthofthehereditaryestate.Incaseofalegalseparation,thesurvivingspousemayinheritifitwas
thedeceasedwhohadgivencauseforthesame.
Iftherearetwoormorelegitimatechildrenordescendants,thesurvivingspouseshallbeentitledtoaportionequal
tothelegitimeofeachofthelegitimatechildrenordescendants.

Inbothcases,thelegitimeofthesurvivingspouseshallbetakenfromtheportionthatcanbefreelydisposedofby
thetestator.(834a)

Article893.Ifthetestatorleavesnolegitimatedescendants,butleaveslegitimateascendants,thesurvivingspouse
shallhavearighttoonefourthofthehereditaryestate.

Thisfourthshallbetakenfromthefreeportionoftheestate.(836a)

Article 894. If the testator leaves illegitimate children, the surviving spouse shall be entitled to onethird of the
hereditaryestateofthedeceasedandtheillegitimatechildrentoanotherthird.Theremainingthirdshallbeatthe
freedisposalofthetestator.(n)

Article895. The legitime of each of the acknowledged natural children and each of the natural children by legal
fictionshallconsistofonehalfofthelegitimeofeachofthelegitimatechildrenordescendants.

Thelegitimeofanillegitimatechildwhoisneitheranacknowledgednatural,noranaturalchildbylegalfiction,shall
beequalineverycasetofourfifthsofthelegitimeofanacknowledgednaturalchild.

The legitime of the illegitimate children shall be taken from the portion of the estate at the free disposal of the
testator,providedthatinnocaseshallthetotallegitimeofsuchillegitimatechildrenexceedthatfreeportion,and
thatthelegitimeofthesurvivingspousemustfirstbefullysatisfied.(840a)

Article896. Illegitimate childrenwhomaysurvivewithlegitimateparentsorascendantsofthe deceased shall be

entitledtoonefourthofthehereditaryestatetobetakenfromtheportionatthefreedisposalofthetestator.(841a)

Article 897. When the widow or widower survives with legitimate children or descendants, and acknowledged
naturalchildren,ornaturalchildrenbylegalfiction,suchsurvivingspouseshallbeentitledtoaportionequaltothe
legitimeofeachofthelegitimatechildrenwhichmustbetakenfromthatpartoftheestatewhichthetestatorcan
freelydisposeof.(n)

Article898.Ifthewidoworwidowersurviveswithlegitimatechildrenordescendants,andwithillegitimatechildren
otherthanacknowledgednatural,ornaturalchildrenbylegalfiction,theshareofthesurvivingspouseshallbethe
sameasthatprovidedintheprecedingarticle.(n)

Article 899. When the widow or widower survives with legitimate parents or ascendants and with illegitimate
children,suchsurvivingspouseshallbeentitledtooneeighthofthehereditaryestateofthedeceasedwhichmust
betakenfromthefreeportion,andtheillegitimatechildrenshallbeentitledtoonefourthoftheestatewhichshallbe
takenalsofromthedisposableportion.Thetestatormayfreelydisposeoftheremainingoneeighthoftheestate.(n)

Article900. If the only survivor is the widow or widower, she or he shall be entitled to onehalf of the hereditary
estateofthedeceasedspouse,andthetestatormayfreelydisposeoftheotherhalf.(837a)

If the marriage between the surviving spouse and the testator was solemnized in articulo mortis, and the testator
diedwithinthreemonthsfromthetimeofthemarriage,thelegitimeofthesurvivingspouseasthesoleheirshallbe
onethirdofthehereditaryestate,exceptwhentheyhavebeenlivingashusbandandwifeformorethanfiveyears.
Inthelattercase,thelegitimeofthesurvivingspouseshallbethatspecifiedintheprecedingparagraph.(n)

Article 901. When the testator dies leaving illegitimate children and no other compulsory heirs, such illegitimate
childrenshallhavearighttoonehalfofthehereditaryestateofthedeceased.

Theotherhalfshallbeatthefreedisposalofthetestator.(842a)

Article902.Therightsofillegitimatechildrensetforthintheprecedingarticlesaretransmittedupontheirdeathto
theirdescendants,whetherlegitimateorillegitimate.(843a)

Article903. The legitime of the parents who have an illegitimate child, when such child leaves neither legitimate
descendants,norasurvivingspouse,norillegitimatechildren,isonehalfofthehereditaryestateofsuchillegitimate
child.Ifonlylegitimateorillegitimatechildrenareleft,theparentsarenotentitledtoanylegitimewhatsoever.Ifonly
thewidoworwidowersurviveswithparentsoftheillegitimatechild,thelegitimeoftheparentsisonefourthofthe
hereditaryestateofthechild,andthatofthesurvivingspousealsoonefourthoftheestate.(n)

Article904.Thetestatorcannotdeprivehiscompulsoryheirsoftheirlegitime,exceptincasesexpresslyspecified
bylaw.
Neithercanheimposeuponthesameanyburden,encumbrance,condition,orsubstitutionofanykindwhatsoever.
(813a)

Article905. Every renunciation or compromise as regards a future legitime between the person owing it and his
compulsoryheirsisvoid,andthelattermayclaimthesameuponthedeathoftheformerbuttheymustbringto
collationwhatevertheymayhavereceivedbyvirtueoftherenunciationorcompromise.(816)

Article906.Anycompulsoryheirtowhomthetestatorhasleftbyanytitlelessthanthelegitimebelongingtohim
maydemandthatthesamebefullysatisfied.(815)

Article907.Testamentarydispositionsthatimpairordiminishthelegitimeofthecompulsoryheirsshallbereduced
onpetitionofthesame,insofarastheymaybeinofficiousorexcessive.(817)

Article908.Todeterminethelegitime,thevalueofthepropertyleftatthedeathofthetestatorshallbeconsidered,
deductingalldebtsandcharges,whichshallnotincludethoseimposedinthewill.

Tothenetvalueofthehereditaryestate,shallbeaddedthevalueofalldonationsbythetestatorthataresubjectto
collation,atthetimehemadethem.(818a)

Article909.Donationsgiventochildrenshallbechargedtotheirlegitime.

Donationsmadetostrangersshallbechargedtothatpartoftheestateofwhichthetestatorcouldhavedisposedby
hislastwill.

Insofar as they may be inofficious or may exceed the disposable portion, they shall be reduced according to the
rulesestablishedbythisCode.(819a)

Article910.Donationswhichanillegitimatechildmayhavereceivedduringthelifetimeofhisfatherormother,shall
bechargedtohislegitime.

Shouldtheyexceedtheportionthatcanbefreelydisposedof,theyshallbereducedinthemannerprescribedby
thisCode.(847a)

Article911.Afterthelegitimehasbeendeterminedinaccordancewiththethreeprecedingarticles,thereduction
shallbemadeasfollows:

(1)Donationsshallberespectedaslongasthelegitimecanbecovered,reducingorannulling,ifnecessary,
thedevisesorlegaciesmadeinthewill

(2)Thereductionofthedevisesorlegaciesshallbeprorata,withoutanydistinctionwhatever.

Ifthetestatorhasdirectedthatacertaindeviseorlegacybepaidinpreferencetoothers,itshallnotsuffer
anyreductionuntilthelatterhavebeenappliedinfulltothepaymentofthelegitime.

(3)Ifthedeviseorlegacyconsistsofausufructorlifeannuity,whosevaluemaybeconsideredgreaterthan
that of the disposable portion, the compulsory heirs may choose between complying with the testamentary
provisionanddeliveringtothedeviseeorlegateethepartoftheinheritanceofwhichthetestatorcouldfreely
dispose.(820a)

Article912.Ifthedevisesubjecttoreductionshouldconsistofrealproperty,whichcannotbeconvenientlydivided,
it shall go to the devisee if the reduction does not absorb onehalf of its value and in a contrary case, to the
compulsoryheirsbuttheformerandthelattershallreimburseeachotherincashforwhatrespectivelybelongsto
them.

Thedeviseewhoisentitledtoalegitimemayretaintheentireproperty,provideditsvaluedoesnotexceedthatof
thedisposableportionandofthesharepertainingtohimaslegitime.(821)

Article913.Iftheheirsordeviseesdonotchoosetoavailthemselvesoftherightgrantedbytheprecedingarticle,
anyheirordeviseewhodidnothavesuchrightmayexerciseitshouldthelatternotmakeuseofit,theproperty
shallbesoldatpublicauctionattheinstanceofanyoneoftheinterestedparties.(822)

Article914.Thetestatormaydeviseandbequeaththefreeportionashemaydeemfit.(n)

SECTION6
Disinheritance
Article 915. A compulsory heir may, in consequence of disinheritance, be deprived of his legitime, for causes
expresslystatedbylaw.(848a)

Article916.Disinheritancecanbeeffectedonlythroughawillwhereinthelegalcausethereforshallbespecified.
(849)

Article917. The burden of proving the truth of the cause for disinheritance shall rest upon the other heirs of the
testator,ifthedisinheritedheirshoulddenyit.(850)

Article918.Disinheritancewithoutaspecificationofthecause,orforacausethetruthofwhich,ifcontradicted,is
notproved,orwhichisnotoneofthosesetforthinthisCode,shallannultheinstitutionofheirsinsofarasitmay
prejudicethepersondisinheritedbutthedevisesandlegaciesandothertestamentarydispositionsshallbevalidto
suchextentaswillnotimpairthelegitime.(851a)

Article919.Thefollowingshallbesufficientcausesforthedisinheritanceofchildrenanddescendants,legitimateas
wellasillegitimate:

(1)Whenachildordescendanthasbeenfoundguiltyofanattemptagainstthelifeofthetestator,hisorher
spouse,descendants,orascendants

(2) When a child or descendant has accused the testator of a crime for which the law prescribes
imprisonmentforsixyearsormore,iftheaccusationhasbeenfoundgroundless

(3) When a child or descendant has been convicted of adultery or concubinage with the spouse of the
testator

(4) When a child or descendant by fraud, violence, intimidation, or undue influence causes the testator to
makeawillortochangeonealreadymade

(5) A refusal without justifiable cause to support the parent or ascendant who disinherits such child or
descendant

(6)Maltreatmentofthetestatorbywordordeed,bythechildordescendant

(7)Whenachildordescendantleadsadishonorableordisgracefullife

(8)Convictionofacrimewhichcarrieswithitthepenaltyofcivilinterdiction.(756,853,674a)

Article 920. The following shall be sufficient causes for the disinheritance of parents or ascendants, whether
legitimateorillegitimate:

(1)Whentheparentshaveabandonedtheirchildrenorinducedtheirdaughterstoliveacorruptorimmoral
life,orattemptedagainsttheirvirtue

(2)Whentheparentorascendanthasbeenconvictedofanattemptagainstthelifeofthetestator,hisorher
spouse,descendants,orascendants

(3) When the parent or ascendant has accused the testator of a crime for which the law prescribes
imprisonmentforsixyearsormore,iftheaccusationhasbeenfoundtobefalse

(4) When the parent or ascendant has been convicted of adultery or concubinage with the spouse of the
testator

(5)Whentheparentorascendantbyfraud,violence,intimidation,orundueinfluencecausesthetestatorto
makeawillortochangeonealreadymade

(6)ThelossofparentalauthorityforcausesspecifiedinthisCode

(7)Therefusaltosupportthechildrenordescendantswithoutjustifiablecause

(8) An attempt by one of the parents against the life of the other, unless there has been a reconciliation
betweenthem.(756,854,674a)

Article921.Thefollowingshallbesufficientcausesfordisinheritingaspouse:

(1)Whenthespousehasbeenconvictedofanattemptagainstthelifeofthetestator,hisorherdescendants,
orascendants
 (2) When the spouse has accused the testator of a crime for which the law prescribes imprisonment of six
yearsormore,andtheaccusationhasbeenfoundtobefalse

(3)Whenthespousebyfraud,violence,intimidation,orundueinfluencecausethetestatortomakeawillor
tochangeonealreadymade

(4)Whenthespousehasgivencauseforlegalseparation

(5)Whenthespousehasgivengroundsforthelossofparentalauthority

(6)Unjustifiablerefusaltosupportthechildrenortheotherspouse.(756,855,674a)

Article922. A subsequent reconciliation between the offender and the offended person deprives the latter of the
righttodisinherit,andrendersineffectualanydisinheritancethatmayhavebeenmade.(856)

Article923.Thechildrenanddescendantsofthepersondisinheritedshalltakehisorherplaceandshallpreserve
therightsofcompulsoryheirswithrespecttothelegitimebutthedisinheritedparentshallnothavetheusufructor
administrationofthepropertywhichconstitutesthelegitime.(857)

SECTION7
LegaciesandDevises

Article924.Allthingsandrightswhicharewithinthecommerceofmanbebequeathedordevised.(865a)

Article925.Atestatormaychargewithlegaciesanddevisesnotonlyhiscompulsoryheirsbutalsothelegatees
anddevisees.

Thelattershallbeliableforthechargeonlytotheextentofthevalueofthelegacyorthedevisereceivedbythem.
Thecompulsoryheirsshallnotbeliableforthechargebeyondtheamountofthefreeportiongiventhem.(858a)

Article926.Whenthetestatorchargesoneoftheheirswithalegacyordevise,healoneshallbebound.

Shouldhenotchargeanyoneinparticular,allshallbeliableinthesameproportioninwhichtheymayinherit.(859)

Article 927. If two or more heirs take possession of the estate, they shall be solidarily liable for the loss or
destructionofathingdevisedorbequeathed,eventhoughonlyoneofthemshouldhavebeennegligent.(n)

Article928.Theheirwhoisboundtodeliverthelegacyordeviseshallbeliableincaseofeviction,ifthethingis
indeterminateandisindicatedonlybyitskind.(860)

Article929.Ifthetestator,heir,orlegateeownsonlyapartof,oraninterestinthethingbequeathed,thelegacyor
deviseshallbeunderstoodlimitedtosuchpartorinterest,unlessthetestatorexpresslydeclaresthathegivesthe
thinginitsentirety.(864a)

Article930.Thelegacyordeviseofathingbelongingtoanotherpersonisvoid,ifthetestatorerroneouslybelieved
thatthethingpertainedtohim.Butifthethingbequeathed,thoughnotbelongingtothetestatorwhenhemadethe
will,afterwardsbecomeshis,bywhatevertitle,thedispositionshalltakeeffect.(862a)

Article931.Ifthetestatorordersthatathingbelongingtoanotherbeacquiredinorderthatitbegiventoalegatee
or devisee, the heir upon whom the obligation is imposed or the estate must acquire it and give the same to the
legatee or devisee but if the owner of the thing refuses to alienate the same, or demands an excessive price
therefor,theheirortheestateshallonlybeobligedtogivethejustvalueofthething.(861a)

Article932.Thelegacyordeviseofathingwhichatthetimeoftheexecutionofthewillalreadybelongedtothe
legateeordeviseeshallbeineffective,eventhoughanotherpersonmayhavesomeinteresttherein.

Ifthetestatorexpresslyordersthatthethingbefreedfromsuchinterestorencumbrance,thelegacyordeviseshall
bevalidtothatextent.(866a)

Article933.Ifthethingbequeathedbelongedtothelegateeordeviseeatthetimeoftheexecutionofthewill,the
legacyordeviseshallbewithouteffect,eventhoughitmayhavesubsequentlyalienatedbyhim.

If the legatee or devisee acquires it gratuitously after such time, he can claim nothing by virtue of the legacy or
devisebutifithasbeenacquiredbyoneroustitlehecandemandreimbursementfromtheheirortheestate.(878a)

Article934.Ifthetestatorshouldbequeathordevisesomethingpledgedormortgagedtosecurearecoverabledebt
beforetheexecutionofthewill,theestateisobligedtopaythedebt,unlessthecontraryintentionappears.
Thesameruleapplieswhenthethingispledgedormortgagedaftertheexecutionofthewill.

Any other charge, perpetual or temporary, with which the thing bequeathed is burdened, passes with it to the
legateeordevisee.(867a)

Article935.Thelegacyofacreditagainstathirdpersonoroftheremissionorreleaseofadebtofthelegateeshall
beeffectiveonlyasregardsthatpartofthecreditordebtexistingatthetimeofthedeathofthetestator.

Inthefirstcase,theestateshallcomplywiththelegacybyassigningtothelegateeallrightsofactionitmayhave
againstthedebtor.Inthesecondcase,bygivingthelegateeanacquittance,shouldherequestone.

Inbothcases,thelegacyshallcompriseallinterestsonthecreditordebtwhichmaybeduethetestatoratthetime
ofhisdeath.(870a)

Article936.Thelegacyreferredtointheprecedingarticleshalllapseifthetestator,afterhavingmadeit,should
bringanactionagainstthedebtorforthepaymentofhisdebt,evenifsuchpaymentshouldnothavebeeneffected
atthetimeofhisdeath.

Thelegacytothedebtorofthethingpledgedbyhimisunderstoodtodischargeonlytherightofpledge.(871)

Article937.Agenericlegacyofreleaseorremissionofdebtscomprisesthoseexistingatthetimeoftheexecution
ofthewill,butnotsubsequentones.(872)

Article938.Alegacyordevisemadetoacreditorshallnotbeappliedtohiscredit,unlessthetestatorsoexpressly
declares.

Inthelattercase,thecreditorshallhavetherighttocollecttheexcess,ifany,ofthecreditorofthelegacyordevise.
(837a)

Article939.Ifthetestatorordersthepaymentofwhathebelievesheowesbutdoesnotinfactowe,thedisposition
shallbeconsideredasnotwritten.Ifasregardsaspecifieddebtmorethantheamountthereofisorderedpaid,the
excessisnotdue,unlessacontraryintentionappears.

Theforegoingprovisionsarewithoutprejudicetothefulfillmentofnaturalobligations.(n)

Article 940. In alternative legacies or devises, the choice is presumed to be left to the heir upon whom the
obligationtogivethelegacyordevisemaybeimposed,ortheexecutororadministratoroftheestateifnoparticular
heirissoobliged.

Iftheheir,legateeordevisee,whomayhavebeengiventhechoice,diesbeforemakingit,thisrightshallpassto
therespectiveheirs.

Oncemade,thechoiceisirrevocable.

Inthealternativelegaciesordevises,exceptashereinprovided,theprovisionsofthisCoderegulatingobligationsof
the same kind shall be observed, save such modifications as may appear from the intention expressed by the
testator.(874a)

Article941.Alegacyofgenericpersonalpropertyshallbevalideveniftherebenothingsofthesamekindinthe
estate.

Adeviseofindeterminaterealpropertyshallbevalidonlyiftherebeimmovablepropertyofitskindintheestate.

Therightofchoiceshallbelongtotheexecutororadministratorwhoshallcomplywiththelegacybythedeliveryofa
thingwhichisneitherofinferiornorofsuperiorquality.(875a)

Article942.Wheneverthetestatorexpresslyleavestherightofchoicetotheheir,ortothelegateeordevisee,the
formermaygiveorthelattermaychoosewhicheverhemayprefer.(876a)

Article943.Iftheheir,legateeordeviseecannotmakethechoice,incaseithasbeengrantedhim,hisrightshall
passtohisheirsbutachoiceoncemadeshallbeirrevocable.(877a)

Article944.Alegacyforeducationlastsuntilthelegateeisofage,orbeyondtheageofmajorityinorderthatthe
legateemayfinishsomeprofessional,vocationalorgeneralcourse,providedhepursueshiscoursediligently.

Alegacyforsupportlastsduringthelifetimeofthelegatee,ifthetestatorhasnototherwiseprovided.

Ifthetestatorhasnotfixedtheamountofsuchlegacies,itshallbefixedinaccordancewiththesocialstandingand
thecircumstancesofthelegateeandthevalueoftheestate.
If the testator or during his lifetime used to give the legatee a certain sum of money or other things by way of
support,thesameamountshallbedeemedbequeathed,unlessitbemarkedlydisproportionatetothevalueofthe
estate.(879a)

Article945.Ifaperiodicalpension,oracertainannual,monthly,orweeklyamountisbequeathed,thelegateemay
petitionthecourtforthefirstinstallmentuponthedeathofthetestator,andforthefollowingoneswhichshallbedue
atthebeginningofeachperiodsuchpaymentshallnotbereturned,eventhoughthelegateeshoulddiebeforethe
expirationoftheperiodwhichhascommenced.(880a)

Article946.Ifthethingbequeathedshouldbesubjecttoausufruct,thelegateeordeviseeshallrespectsuchright
untilitislegallyextinguished.(868a)

Article947.Thelegateeordeviseeacquiresarighttothepureandsimplelegaciesordevisesfromthedeathofthe
testator,andtransmitsittohisheirs.(881a)

Article948.Ifthelegacyordeviseisofaspecificanddeterminatethingpertainingtothetestator,thelegateeor
devisee acquires the ownership thereof upon the death of the testator, as well as any growing fruits, or unborn
offspringofanimals,oruncollectedincomebutnottheincomewhichwasdueandunpaidbeforethelatter'sdeath.

Fromthemomentofthetestator'sdeath,thethingbequeathedshallbeattheriskofthelegateeordevisee,who
shall, therefore, bear its loss or deterioration, and shall be benefited by its increase or improvement, without
prejudicetotheresponsibilityoftheexecutororadministrator.(882a)

Article949.Ifthebequestshouldnotbeofaspecificanddeterminatething,butisgenericorofquantity,itsfruits
and interests from the time of the death of the testator shall pertain to the legatee or devisee if the testator has
expresslysoordered.(884a)

Article950.Iftheestateshouldnotbesufficienttocoverallthelegaciesordevises,theirpaymentshallbemadein
thefollowingorder:

(1)Remuneratorylegaciesordevises

(2)Legaciesordevisesdeclaredbythetestatortobepreferential

(3)Legaciesforsupport

(4)Legaciesforeducation

(5)Legaciesordevisesofaspecific,determinatethingwhichformsapartoftheestate

(6)Allothersprorata.(887a)

Article951.Thethingbequeathedshallbedeliveredwithallitsaccessoriesandaccessoriesandintheconditionin
whichitmaybeuponthedeathofthetestator.(883a)

Article952.Theheir,chargedwithalegacyordevise,ortheexecutororadministratoroftheestate,mustdeliver
theverythingbequeathedifheisabletodosoandcannotdischargethisobligationbypayingitsvalue.

Legaciesofmoneymustbepaidincash,eventhoughtheheirortheestatemaynothaveany.

Theexpensesnecessaryforthedeliveryofthethingbequeathedshallbefortheaccountoftheheirortheestate,
butwithoutprejudicetothelegitime.(886a)

Article953. The legatee or devisee cannot take possession of the thing bequeathed upon his own authority, but
shall request its delivery and possession of the heir charged with the legacy or devise, or of the executor or
administratoroftheestateshouldhebeauthorizedbythecourttodeliverit.(885a)

Article954.Thelegateeordeviseecannotacceptapartofthelegacyordeviseandrepudiatetheother,ifthelatter
beonerous.

Shouldhediebeforehavingacceptedthelegacyordevise,leavingseveralheirs,someofthelattermayacceptand
theothersmayrepudiatethesharerespectivelybelongingtotheminthelegacyordevise.(889a)

Article 955. The legatee or devisee of two legacies or devises, one of which is onerous, cannot renounce the
onerousoneandaccepttheother.Ifbothareonerousorgratuitous,heshallbefreetoacceptorrenounceboth,or
to renounce either. But if the testator intended that the two legacies or devises should be inseparable from each
other,thelegateeordeviseemusteitheracceptorrenounceboth.
Anycompulsoryheirwhoisatthesametimealegateeordeviseemaywaivetheinheritanceandacceptthelegacy
ordevise,orrenouncethelatterandaccepttheformer,orwaiveoracceptboth.(890a)

Article956.Ifthelegateeordeviseecannotorisunwillingtoacceptthelegacyordevise,orifthelegacyordevise
for any reason should become ineffective, it shall be merged into the mass of the estate, except in cases of
substitutionandoftherightofaccretion.(888a)

Article957.Thelegacyordeviseshallbewithouteffect:

(1)Ifthetestatortransformsthethingbequeathedinsuchamannerthatitdoesnotretaineithertheformor
thedenominationithad

(2) If the testator by any title or for any cause alienates the thing bequeathed or any part thereof, it being
understoodthatinthelattercasethelegacyordeviseshallbewithouteffectonlywithrespecttothepartthus
alienated.Ifafterthealienationthethingshouldagainbelongtothetestator,evenifitbebyreasonofnullity
of the contract, the legacy or devise shall not thereafter be valid, unless the reacquisition shall have been
effectedbyvirtueoftheexerciseoftherightofrepurchase

(3)Ifthethingbequeathedistotallylostduringthelifetimeofthetestator,orafterhisdeathwithouttheheir's
fault. Nevertheless, the person obliged to pay the legacy or devise shall be liable for eviction if the thing
bequeathedshouldnothavebeendeterminateastoitskind,inaccordancewiththeprovisionsofarticle928.
(869a)

Article958.Amistakeastothenameofthethingbequeathedordevised,isofnoconsequence,ifitispossibleto
identifythethingwhichthetestatorintendedtobequeathordevise.(n)

Article959.Adispositionmadeingeneraltermsinfavorofthetestator'srelativesshallbeunderstoodtobeinfavor
ofthosenearestindegree.(751)

CHAPTER3
LegalorIntestateSuccession

SECTION1
GeneralProvisions

Article960.Legalorintestatesuccessiontakesplace:

(1)Ifapersondieswithoutawill,orwithavoidwill,oronewhichhassubsequentlylostitsvalidity

(2)Whenthewilldoesnotinstituteanheirto,ordisposeofallthepropertybelongingtothetestator.Insuch
case, legal succession shall take place only with respect to the property of which the testator has not
disposed

(3)Ifthesuspensiveconditionattachedtotheinstitutionofheirdoesnothappenorisnotfulfilled,oriftheheir
diesbeforethetestator,orrepudiatestheinheritance,therebeingnosubstitution,andnorightofaccretion
takesplace

(4)Whentheheirinstitutedisincapableofsucceeding,exceptincasesprovidedinthisCode.(912a)

Article961.Indefaultoftestamentaryheirs,thelawveststheinheritance,inaccordancewiththeruleshereinafter
setforth,inthelegitimateandillegitimaterelativesofthedeceased,inthesurvivingspouse,andintheState.(913a)

Article962.Ineveryinheritance,therelativenearestindegreeexcludesthemoredistantones,savingtherightof
representationwhenitproperlytakesplace.

Relativesinthesamedegreeshallinheritinequalshares,subjecttotheprovisionsofarticle1006withrespectto
relatives of the full and half blood, and of article 987, paragraph 2, concerning division between the paternal and
maternallines.(912a)

SUBSECTION1.Relationship

Article963.Proximityofrelationshipisdeterminedbythenumberofgenerations.Eachgenerationformsadegree.
(915)

Article964.Aseriesofdegreesformsaline,whichmaybeeitherdirectorcollateral.
Adirectlineisthatconstitutedbytheseriesofdegreesamongascendantsanddescendants.

A collateral line is that constituted by the series of degrees among persons who are not ascendants and
descendants,butwhocomefromacommonancestor.(916a)

Article965.Thedirectlineiseitherdescendingorascending.

Theformerunitestheheadofthefamilywiththosewhodescendfromhim.

Thelatterbindsapersonwiththosefromwhomhedescends.(917)

Article966.Intheline,asmanydegreesarecountedastherearegenerationsorpersons,excludingtheprogenitor.

Inthedirectline,ascentismadetothecommonancestor.Thus,thechildisonedegreeremovedfromtheparent,
twofromthegrandfather,andthreefromthegreatgrandparent.

Inthecollateralline,ascentismadetothecommonancestorandthendescentismadetothepersonwithwhomthe
computationistobemade.Thus,apersonistwodegreesremovedfromhisbrother,threefromhisuncle,whois
thebrotherofhisfather,fourfromhisfirstcousin,andsoforth.(918a)

Article 967. Full blood relationship is that existing between persons who have the same father and the same
mother.

Halfbloodrelationshipisthatexistingbetweenpersonswhohavethesamefather,butnotthesamemother,orthe
samemother,butnotthesamefather.(920a)

Article 968. If there are several relatives of the same degree, and one or some of them are unwilling or
incapacitatedtosucceed,hisportionshallaccruetotheothersofthesamedegree,savetherightofrepresentation
whenitshouldtakeplace.(922)

Article969.Iftheinheritanceshouldberepudiatedbythenearestrelative,shouldtherebeoneonly,orbyallthe
nearestrelativescalledbylawtosucceed,shouldtherebeseveral,thoseofthefollowingdegreeshallinheritintheir
ownrightandcannotrepresentthepersonorpersonsrepudiatingtheinheritance.(923)

SUBSECTION2.RightofRepresentation

Article970.Representationisarightcreatedbyfictionoflaw,byvirtueofwhichtherepresentativeisraisedtothe
placeandthedegreeofthepersonrepresented,andacquirestherightswhichthelatterwouldhaveifhewereliving
orifhecouldhaveinherited.(942a)

Article 971. The representative is called to the succession by the law and not by the person represented. The
representative does not succeed the person represented but the one whom the person represented would have
succeeded.(n)

Article972.Therightofrepresentationtakesplaceinthedirectdescendingline,butneverintheascending.

Inthecollateralline,ittakesplaceonlyinfavorofthechildrenofbrothersorsisters,whethertheybeofthefullor
halfblood.(925)

Article973.Inorderthatrepresentationmaytakeplace,itisnecessarythattherepresentativehimselfbecapable
ofsucceedingthedecedent.(n)

Article974.Wheneverthereissuccessionbyrepresentation,thedivisionoftheestateshallbemadeperstirpes,in
suchmannerthattherepresentativeorrepresentativesshallnotinheritmorethanwhatthepersontheyrepresent
wouldinherit,ifhewerelivingorcouldinherit.(926a)

Article975.Whenchildrenofoneormorebrothersorsistersofthedeceasedsurvive,theyshallinheritfromthe
latterbyrepresentation,iftheysurvivewiththeirunclesoraunts.Butiftheyalonesurvive,theyshallinheritinequal
portions.(927)

Article976.Apersonmayrepresenthimwhoseinheritancehehasrenounced.(928a)

Article977.Heirswhorepudiatetheirsharemaynotberepresented.(929a)

SECTION2
OrderofIntestateSuccession
SUBSECTION1.DescendingDirectLine

Article978.Successionpertains,inthefirstplace,tothedescendingdirectline.(930)

Article 979. Legitimate children and their descendants succeed the parents and other ascendants, without
distinctionastosexorage,andeveniftheyshouldcomefromdifferentmarriages.

Anadoptedchildsucceedstothepropertyoftheadoptingparentsinthesamemannerasalegitimatechild.(931a)

Article980.Thechildrenofthedeceasedshallalwaysinheritfromhimintheirownright,dividingtheinheritancein
equalshares.(932)

Article981.Shouldchildrenofthedeceasedanddescendantsofotherchildrenwhoaredead,survive,theformer
shallinheritintheirownright,andthelatterbyrightofrepresentation.(934a)

Article982.Thegrandchildrenandotherdescendantsshallinheritbyrightofrepresentation,andifanyoneofthem
should have died, leaving several heirs, the portion pertaining to him shall be divided among the latter in equal
portions.(933)

Article 983. If illegitimate children survive with legitimate children, the shares of the former shall be in the
proportionsprescribedbyarticle895.(n)

Article984.Incaseofthedeathofanadoptedchild,leavingnochildrenordescendants,hisparentsandrelatives
byconsanguinityandnotbyadoption,shallbehislegalheirs.(n)

SUBSECTION2.AscendingDirectLine

Article985. In default of legitimate children and descendants of the deceased, his parents and ascendants shall
inheritfromhim,totheexclusionofcollateralrelatives.(935a)

Article986.Thefatherandmother,ifliving,shallinheritinequalshares.

Shouldoneonlyofthemsurvive,heorsheshallsucceedtotheentireestateofthechild.(936)

Article987.Indefaultofthefatherandmother,theascendantsnearestindegreeshallinherit.

Should there be more than one of equal degree belonging to the same line they shall divide the inheritance per
capitashouldtheybeofdifferentlinesbutofequaldegree,onehalfshallgotothepaternalandtheotherhalftothe
maternalascendants.Ineachlinethedivisionshallbemadepercapita.(937)

SUBSECTION3.IllegitimateChildren

Article988.Intheabsenceoflegitimatedescendantsorascendants,theillegitimatechildrenshallsucceedtothe
entireestateofthedeceased.(939a)

Article989.If,togetherwithillegitimatechildren,thereshouldsurvivedescendantsofanotherillegitimatechildwho
isdead,theformershallsucceedintheirownrightandthelatterbyrightofrepresentation.(940a)

Article990.Thehereditaryrightsgrantedbythetwoprecedingarticlestoillegitimatechildrenshallbetransmitted
upontheirdeathtotheirdescendants,whoshallinheritbyrightofrepresentationfromtheirdeceasedgrandparent.
(941a)

Article991.Iflegitimateascendantsareleft,theillegitimatechildrenshalldividetheinheritancewiththem,taking
onehalfoftheestate,whateverbethenumberoftheascendantsoroftheillegitimatechildren.(942,841a)

Article992.Anillegitimatechildhasnorighttoinheritabintestatofromthelegitimatechildrenandrelativesofhis
fatherormothernorshallsuchchildrenorrelativesinheritinthesamemannerfromtheillegitimatechild.(943a)

Article993.Ifanillegitimatechildshoulddiewithoutissue,eitherlegitimateorillegitimate,hisfatherormothershall
succeedtohisentireestateandifthechild'sfiliationisdulyprovedastobothparents,whoarebothliving,they
shallinheritfromhimshareandsharealike.(944a)

Article994.Indefaultofthefatherormother,anillegitimatechildshallbesucceededbyhisorhersurvivingspouse
whoshallbeentitledtotheentireestate.

Ifthewidoworwidowershouldsurvivewithbrothersandsisters,nephewsandnieces,sheorheshallinheritone
halfoftheestate,andthelattertheotherhalf.(945a)

SUBSECTION4.SurvivingSpouse
Article 995. In the absence of legitimate descendants and ascendants, and illegitimate children and their
descendants,whetherlegitimateorillegitimate,thesurvivingspouseshallinherittheentireestate,withoutprejudice
totherightsofbrothersandsisters,nephewsandnieces,shouldtherebeany,underarticle1001.(946a)

Article996.Ifawidoworwidowerandlegitimatechildrenordescendantsareleft,thesurvivingspousehasinthe
successionthesameshareasthatofeachofthechildren.(834a)

Article997.Whenthewidoworwidowersurviveswithlegitimateparentsorascendants,thesurvivingspouseshall
beentitledtoonehalfoftheestate,andthelegitimateparentsorascendantstotheotherhalf.(836a)

Article998.Ifawidoworwidowersurviveswithillegitimatechildren,suchwidoworwidowershallbeentitledtoone
half of the inheritance, and the illegitimate children or their descendants, whether legitimate or illegitimate, to the
otherhalf.(n)

Article 999. When the widow or widower survives with legitimate children or their descendants and illegitimate
childrenortheirdescendants,whetherlegitimateorillegitimate,suchwidoworwidowershallbeentitledtothesame
shareasthatofalegitimatechild.(n)

Article1000.Iflegitimateascendants,thesurvivingspouse,andillegitimatechildrenareleft,theascendantsshall
beentitledtoonehalfoftheinheritance,andtheotherhalfshallbedividedbetweenthesurvivingspouseandthe
illegitimatechildrensothatsuchwidoworwidowershallhaveonefourthoftheestate,andtheillegitimatechildren
theotherfourth.(841a)

Article1001. Should brothers and sisters or their children survive with the widow or widower, the latter shall be
entitledtoonehalfoftheinheritanceandthebrothersandsistersortheirchildrentotheotherhalf.(953,837a)

Article1002.Incaseofalegalseparation,ifthesurvivingspousegavecausefortheseparation,heorsheshallnot
haveanyoftherightsgrantedintheprecedingarticles.(n)

SUBSECTION5.CollateralRelatives

Article1003. If there are no descendants, ascendants, illegitimate children, or a surviving spouse, the collateral
relativesshallsucceedtotheentireestateofthedeceasedinaccordancewiththefollowingarticles.(946a)

Article1004.Shouldtheonlysurvivorsbebrothersandsistersofthefullblood,theyshallinheritinequalshares.
(947)

Article1005. Should brothers and sisters survive together with nephews and nieces, who are the children of the
descendant'sbrothersandsistersofthefullblood,theformershallinheritpercapita,andthelatterperstirpes.(948)

Article1006.Shouldbrotherandsistersofthefullbloodsurvivetogetherwithbrothersandsistersofthehalfblood,
theformershallbeentitledtoasharedoublethatofthelatter.(949)

Article1007.Incasebrothersandsistersofthehalfblood,someonthefather'sandsomeonthemother'sside,are
theonlysurvivors,allshallinheritinequalshareswithoutdistinctionastotheoriginoftheproperty.(950)

Article1008.Childrenofbrothersandsistersofthehalfbloodshallsucceedpercapitaorperstirpes,inaccordance
withtheruleslaiddownforbrothersandsistersofthefullblood.(915)

Article1009. Should there be neither brothers nor sisters nor children of brothers or sisters, the other collateral
relativesshallsucceedtotheestate.

Thelattershallsucceedwithoutdistinctionoflinesorpreferenceamongthembyreasonofrelationshipbythewhole
blood.(954a)

Article1010.Therighttoinheritabintestatoshallnotextendbeyondthefifthdegreeofrelationshipinthecollateral
line.(955a)

SUBSECTION6.TheState

Article1011.IndefaultofpersonsentitledtosucceedinaccordancewiththeprovisionsoftheprecedingSections,
theStateshallinheritthewholeestate.(956a)

Article1012. In order that the State may take possession of the property mentioned in the preceding article, the
pertinentprovisionsoftheRulesofCourtmustbeobserved.(958a)

Article1013.Afterthepaymentofdebtsandcharges,thepersonalpropertyshallbeassignedtothemunicipalityor
city where the deceased last resided in the Philippines, and the real estate to the municipalities or cities,
respectively,inwhichthesameissituated.

IfthedeceasedneverresidedinthePhilippines,thewholeestateshallbeassignedtotherespectivemunicipalities
orcitieswherethesameislocated.

Such estate shall be for the benefit of public schools, and public charitable institutions and centers, in such
municipalitiesorcities.Thecourtshalldistributetheestateastherespectiveneedsofeachbeneficiarymaywarrant.

Thecourt,attheinstanceofaninterestedparty,oronitsownmotion,mayordertheestablishmentofapermanent
trust,sothatonlytheincomefromthepropertyshallbeused.(956a)

Article1014. If a person legally entitled to the estate of the deceased appears and files a claim thereto with the
court within five years from the date the property was delivered to the State, such person shall be entitled to the
possessionofthesame,orifsold,themunicipalityorcityshallbeaccountabletohimforsuchpartoftheproceeds
asmaynothavebeenlawfullyspent.(n)

CHAPTER4
ProvisionsCommontoTestateandIntestateSuccessions

SECTION1
RightofAccretion

Article1015.Accretionisarightbyvirtueofwhich,whentwoormorepersonsarecalledtothesameinheritance,
deviseorlegacy,thepartassignedtotheonewhorenouncesorcannotreceivehisshare,orwhodiedbeforethe
testator,isaddedorincorporatedtothatofhiscoheirs,codevisees,orcolegatees.(n)

Article1016.Inorderthattherightofaccretionmaytakeplaceinatestamentarysuccession,itshallbenecessary:

(1)Thattwoormorepersonsbecalledtothesameinheritance,ortothesameportionthereof,proindiviso
and

(2) That one of the persons thus called die before the testator, or renounce the inheritance, or be
incapacitatedtoreceiveit.(928a)

Article1017.Thewords"onehalfforeach"or"inequalshares"oranyotherswhich,thoughdesignatinganaliquot
part,donotidentifyitbysuchdescriptionasshallmakeeachheirtheexclusiveownerofdeterminateproperty,shall
notexcludetherightofaccretion.

Incaseofmoneyorfungiblegoods,iftheshareofeachheirisnotearmarked,thereshallbearightofaccretion.
(983a)

Article1018.Inlegalsuccessiontheshareofthepersonwhorepudiatestheinheritanceshallalwaysaccruetohis
coheirs.(981)

Article1019.Theheirstowhomtheportiongoesbytherightofaccretiontakeitinthesameproportionthatthey
inherit.(n)

Article1020. The heirs to whom the inheritance accrues shall succeed to all the rights and obligations which the
heirwhorenouncedorcouldnotreceiveitwouldhavehad.(984)

Article1021.Amongthecompulsoryheirstherightofaccretionshalltakeplaceonlywhenthefreeportionisleftto
twoormoreofthem,ortoanyoneofthemandtoastranger.

Shouldthepartrepudiatedbethelegitime,theothercoheirsshallsucceedtoitintheirownright,andnotbythe
rightofaccretion.(985)

Article1022.Intestamentarysuccession,whentherightofaccretiondoesnottakeplace,thevacantportionofthe
institutedheirs,ifnosubstitutehasbeendesignated,shallpasstothelegalheirsofthetestator,whoshallreceiveit
withthesamechargesandobligations.(986)

Article 1023. Accretion shall also take place among devisees, legatees and usufructuaries under the same
conditionsestablishedforheirs.(987a)
 SECTION2
CapacitytoSucceedbyWillorbyIntestacy

Article1024.Personsnotincapacitatedbylawmaysucceedbywillorabintestato.

Theprovisionsrelatingtoincapacitybywillareequallyapplicabletointestatesuccession.(744,914)

Article1025. In order to be capacitated to inherit, the heir, devisee or legatee must be living at the moment the
successionopens,exceptincaseofrepresentation,whenitisproper.

Achildalreadyconceivedatthetimeofthedeathofthedecedentiscapableofsucceedingprovideditbebornlater
undertheconditionsprescribedinarticle41.(n)

Article 1026. A testamentary disposition may be made to the State, provinces, municipal corporations, private
corporations,organizations,orassociationsforreligious,scientific,cultural,educational,orcharitablepurposes.

Allothercorporationsorentitiesmaysucceedunderawill,unlessthereisaprovisiontothecontraryintheircharter
orthelawsoftheircreation,andalwayssubjecttothesame.(746a)

Article1027.Thefollowingareincapableofsucceeding:

(1)Thepriestwhoheardtheconfessionofthetestatorduringhislastillness,ortheministerofthegospelwho
extendedspiritualaidtohimduringthesameperiod

(2)Therelativesofsuchpriestorministerofthegospelwithinthefourthdegree,thechurch,order,chapter,
community,organization,orinstitutiontowhichsuchpriestorministermaybelong

(3)Aguardianwithrespecttotestamentarydispositionsgivenbyawardinhisfavorbeforethefinalaccounts
of the guardianship have been approved, even if the testator should die after the approval thereof
nevertheless, any provision made by the ward in favor of the guardian when the latter is his ascendant,
descendant,brother,sister,orspouse,shallbevalid

(4)Anyattestingwitnesstotheexecutionofawill,thespouse,parents,orchildren,oranyoneclaimingunder
suchwitness,spouse,parents,orchildren

(5) Any physician, surgeon, nurse, health officer or druggist who took care of the testator during his last
illness

(6)Individuals,associationsandcorporationsnotpermittedbylawtoinherit.(745,752,753,754a)

Article1028.Theprohibitionsmentionedinarticle739,concerningdonationsintervivosshallapplytotestamentary
provisions.(n)

Article1029. Should the testator dispose of the whole or part of his property for prayers and pious works for the
benefit of his soul, in general terms and without specifying its application, the executor, with the court's approval
shalldeliveronehalfthereoforitsproceedstothechurchordenominationtowhichthetestatormaybelong,tobe
usedforsuchprayersandpiousworks,andtheotherhalftotheState,forthepurposesmentionedinarticle1013.
(747a)

Article1030.Testamentaryprovisionsinfavorofthepooringeneral,withoutdesignationofparticularpersonsorof
any community, shall be deemed limited to the poor living in the domicile of the testator at the time of his death,
unlessitshouldclearlyappearthathisintentionwasotherwise.

Thedesignationofthepersonswhoaretobeconsideredaspoorandthedistributionofthepropertyshallbemade
bythepersonappointedbythetestatorforthepurposeindefaultofsuchperson,bytheexecutor,andshouldthere
benoexecutor,bythejusticeofthepeace,themayor,andthemunicipaltreasurer,whoshalldecidebyamajorityof
votesallquestionsthatmayarise.Inallthesecases,theapprovaloftheCourtofFirstInstanceshallbenecessary.

Theprecedingparagraphshallapplywhenthetestatorhasdisposedofhispropertyinfavorofthepoorofadefinite
locality.(749a)

Article1031.Atestamentaryprovisioninfavorofadisqualifiedperson,eventhoughmadeundertheguiseofan
onerouscontract,ormadethroughanintermediary,shallbevoid.(755)

Article1032.Thefollowingareincapableofsucceedingbyreasonofunworthiness:

(1)Parentswhohaveabandonedtheirchildrenorinducedtheirdaughterstoleadacorruptorimmorallife,or
attemptedagainsttheirvirtue
 (2) Any person who has been convicted of an attempt against the life of the testator, his or her spouse,
descendants,orascendants

(3) Any person who has accused the testator of a crime for which the law prescribes imprisonment for six
yearsormore,iftheaccusationhasbeenfoundgroundless

(4)Anyheiroffullagewho,havingknowledgeoftheviolentdeathofthetestator,shouldfailtoreportittoan
officer of the law within a month, unless the authorities have already taken action this prohibition shall not
applytocaseswherein,accordingtolaw,thereisnoobligationtomakeanaccusation

(5)Anypersonconvictedofadulteryorconcubinagewiththespouseofthetestator

(6)Anypersonwhobyfraud,violence,intimidation,orundueinfluenceshouldcausethetestatortomakea
willortochangeonealreadymade

(7)Anypersonwhobythesamemeanspreventsanotherfrommakingawill,orfromrevokingonealready
made,orwhosupplants,conceals,oraltersthelatter'swill

(8)Anypersonwhofalsifiesorforgesasupposedwillofthedecedent.(756,673,674a)

Article1033.Thecauseofunworthinessshallbewithouteffectifthetestatorhadknowledgethereofatthetimehe
madethewill,orif,havingknownofthemsubsequently,heshouldcondonetheminwriting.(757a)

Article1034.Inordertojudgethecapacityoftheheir,deviseeorlegatee,hisqualificationatthetimeofthedeath
ofthedecedentshallbethecriterion.

IncasesfallingunderNos.2,3,or5ofarticle1032,itshallbenecessarytowaituntilfinaljudgmentisrendered,
andinthecasefallingunderNo.4,theexpirationofthemonthallowedforthereport.

Iftheinstitution,deviseorlegacyshouldbeconditional,thetimeofthecompliancewiththeconditionshallalsobe
considered.(758a)

Article1035.Ifthepersonexcludedfromtheinheritancebyreasonofincapacityshouldbeachildordescendantof
thedecedentandshouldhavechildrenordescendants,thelattershallacquirehisrighttothelegitime.

Thepersonsoexcludedshallnotenjoytheusufructandadministrationofthepropertythusinheritedbyhischildren.
(761a)

Article1036.Alienationsofhereditaryproperty,andactsofadministrationperformedbytheexcludedheir,before
thejudicialorderofexclusion,arevalidastothethirdpersonswhoactedingoodfaithbutthecoheirsshallhavea
righttorecoverdamagesfromthedisqualifiedheir.(n)

Article 1037. The unworthy heir who is excluded from the succession has a right to demand indemnity or any
expenses incurred in the preservation of the hereditary property, and to enforce such credits as he may have
againsttheestate.(n)

Article1038.Anypersonincapableofsuccession,who,disregardingtheprohibitionstatedintheprecedingarticles,
enteredintothepossessionofthehereditaryproperty,shallbeobligedtoreturnittogetherititsaccessions.

Heshallbeliableforallthefruitsandrentshemayhavereceived,orcouldhavereceivedthroughtheexerciseof
duediligence.(760a)

Article1039.Capacitytosucceedisgovernedbythelawofthenationofthedecedent.(n)

Article1040.Theactionforadeclarationofincapacityandfortherecoveryoftheinheritance,deviseorlegacyshall
bebroughtwithinfiveyearsfromthetimethedisqualifiedpersontookpossessionthereof.Itmaybebroughtbyany
onewhomayhaveaninterestinthesuccession.(762a)

SECTION3
AcceptanceandRepudiationoftheInheritance

Article1041.Theacceptanceorrepudiationoftheinheritanceisanactwhichispurelyvoluntaryandfree.(988)

Article1042.Theeffectsoftheacceptanceorrepudiationshallalwaysretroacttothemomentofthedeathofthe
decedent.(989)
Article1043.Nopersonmayacceptorrepudiateaninheritanceunlessheiscertainofthedeathofthepersonfrom
whomheistoinherit,andofhisrighttotheinheritance.(991)

Article1044.Anypersonhavingthefreedisposalofhispropertymayacceptorrepudiateaninheritance.

Anyinheritancelefttominorsorincapacitatedpersonsmaybeacceptedbytheirparentsorguardians.Parentsor
guardiansmayrepudiatetheinheritancelefttotheirwardsonlybyjudicialauthorization.

Therighttoacceptaninheritancelefttothepoorshallbelongtothepersonsdesignatedbythetestatortodetermine
thebeneficiariesanddistributetheproperty,orintheirdefault,tothosementionedinarticle1030.(992a)

Article1045. The lawful representatives of corporations, associations, institutions and entities qualified to acquire
propertymayacceptanyinheritancelefttothelatter,butinordertorepudiateit,theapprovalofthecourtshallbe
necessary.(993a)

Article1046.Publicofficialestablishmentscanneitheracceptnorrepudiateaninheritancewithouttheapprovalof
thegovernment.(994)

Article1047.Amarriedwomanofagemayrepudiateaninheritancewithouttheconsentofherhusband.(995a)
consent

Article1048.Deafmuteswhocanreadandwritemayacceptorrepudiatetheinheritancepersonallyorthroughan
agent. Should they not be able to read and write, the inheritance shall be accepted by their guardians. These
guardiansmayrepudiatethesamewithjudicialapproval.(996a)

Article1049.Acceptancemaybeexpressortacit.

Anexpressacceptancemustbemadeinapublicorprivatedocument.

Atacitacceptanceisoneresultingfromactsbywhichtheintentiontoacceptisnecessarilyimplied,orwhichone
wouldhavenorighttodoexceptinthecapacityofanheir.

Acts of mere preservation or provisional administration do not imply an acceptance of the inheritance if, through
suchacts,thetitleorcapacityofanheirhasnotbeenassumed.(999a)

Article1050.Aninheritanceisdeemedaccepted:

(1)Iftheheirssells,donates,orassignshisrighttoastranger,ortohiscoheirs,ortoanyofthem

(2)Iftheheirrenouncesthesame,eventhoughgratuitously,forthebenefitofoneormoreofhiscoheirs

(3)Ifherenouncesitforapriceinfavorofallhiscoheirsindiscriminatelybutifthisrenunciationshouldbe
gratuitous, and the coheirs in whose favor it is made are those upon whom the portion renounced should
devolvebyvirtueofaccretion,theinheritanceshallnotbedeemedasaccepted.(1000)

Article 1051. The repudiation of an inheritance shall be made in a public or authentic instrument, or by petition
presentedtothecourthavingjurisdictionoverthetestamentaryorintestateproceedings.(1008)

Article1052.Iftheheirrepudiatestheinheritancetotheprejudiceofhisowncreditors,thelattermaypetitionthe
courttoauthorizethemtoacceptitinthenameoftheheir.

The acceptance shall benefit the creditors only to an extent sufficient to cover the amount of their credits. The
excess,shouldtherebeany,shallinnocasepertaintotherenouncer,butshallbeadjudicatedtothepersonsto
whom,inaccordancewiththerulesestablishedinthisCode,itmaybelong.(1001)

Article 1053. If the heir should die without having accepted or repudiated the inheritance his right shall be
transmittedtohisheirs.(1006)

Article1054.Shouldtherebeseveralheirscalledtotheinheritance,someofthemmayacceptandtheothersmay
repudiateit.(1007a)

Article1055.Ifaperson,whoiscalledtothesameinheritanceasanheirbywillandabintestato,repudiatesthe
inheritanceinhiscapacityasatestamentaryheir,heisunderstoodtohaverepudiateditinbothcapacities.

Shouldherepudiateitasanintestateheir,withoutknowledgeofhisbeingatestamentaryheir,hemaystillacceptit
inthelattercapacity.(1009)

Article1056.Theacceptanceorrepudiationofaninheritance,oncemade,isirrevocable,andcannotbeimpugned,
exceptwhenitwasmadethroughanyofthecausesthatvitiateconsent,orwhenanunknownwillappears.(997)
consent
Article1057.Withinthirtydaysafterthecourthasissuedanorderforthedistributionoftheestateinaccordance
withtheRulesofCourt,theheirs,deviseesandlegateesshallsignifytothecourthavingjurisdictionwhetherthey
acceptorrepudiatetheinheritance.

Iftheydonotdosowithinthattime,theyaredeemedtohaveacceptedtheinheritance.(n)

SECTION4
ExecutorsandAdministrators

Article 1058. All matters relating to the appointment, powers and duties of executors and administrators and
concerningtheadministrationofestatesofdeceasedpersonsshallbegovernedbytheRulesofCourt.(n)

Article 1059. If the assets of the estate of a decedent which can be applied to the payment of debts are not
sufficient for that purpose, the provisions of articles 2239 to 2251 on Preference of Credits shall be observed,
provided that the expenses referred to in article 2244, No. 8, shall be those involved in the administration of the
decedent'sestate.(n)

Article1060.AcorporationorassociationauthorizedtoconductthebusinessofatrustcompanyinthePhilippines
maybeappointedasanexecutor,administrator,guardianofanestate,ortrustee,inlikemannerasanindividual
butitshallnotbeappointedguardianofthepersonofaward.(n)

SECTION5
Collation

Article1061. Every compulsory heir, who succeeds with other compulsory heirs, must bring into the mass of the
estateanypropertyorrightwhichhemayhavereceivedfromthedecedent,duringthelifetimeofthelatter,byway
ofdonation,oranyothergratuitoustitle,inorderthatitmaybecomputedinthedeterminationofthelegitimeofeach
heir,andintheaccountofthepartition.(1035a)

Article1062.Collationshallnottakeplaceamongcompulsoryheirsifthedonorshouldhavesoexpresslyprovided,
orifthedoneeshouldrepudiatetheinheritance,unlessthedonationshouldbereducedasinofficious.(1036)

Article1063.Propertyleftbywillisnotdeemedsubjecttocollation,ifthetestatorhasnototherwiseprovided,but
thelegitimeshallinanycaseremainunimpaired.(1037)

Article 1064. When the grandchildren, who survive with their uncles, aunts, or cousins, inherit from their
grandparents in representation of their father or mother, they shall bring to collation all that their parents, if alive,
wouldhavebeenobligedtobring,eventhoughsuchgrandchildrenhavenotinheritedtheproperty.

Theyshallalsobringtocollationallthattheymayhavereceivedfromthedecedentduringhislifetime,unlessthe
testatorhasprovidedotherwise,inwhichcasehiswishesmustberespected,ifthelegitimeofthecoheirsisnot
prejudiced.(1038)

Article1065.Parentsarenotobligedtobringtocollationintheinheritanceoftheirascendantsanypropertywhich
mayhavebeendonatedbythelattertotheirchildren.(1039)

Article1066.Neithershalldonationstothespouseofthechildbebroughttocollationbutiftheyhavebeengiven
by the parent to the spouses jointly, the child shall be obliged to bring to collation onehalf of the thing donated.
(1040)

Article1067. Expenses for support, education, medical attendance, even in extraordinary illness, apprenticeship,
ordinaryequipment,orcustomarygiftsarenotsubjecttocollation.(1041)

Article1068. Expenses incurred by the parents in giving their children a professional, vocational or other career
shall not be brought to collation unless the parents so provide, or unless they impair the legitime but when their
collation is required, the sum which the child would have spent if he had lived in the house and company of his
parentsshallbedeductedtherefrom.(1042a)

Article1069.Anysumspaidbyaparentinsatisfactionofthedebtsofhischildren,electionexpenses,fines,and
similarexpensesshallbebroughttocollation.(1043a)

Article 1070. Wedding gifts by parents and ascendants consisting of jewelry, clothing, and outfit, shall not be
reducedasinofficiousexceptinsofarastheymayexceedonetenthofthesumwhichisdisposablebywill.(1044)
Article1071.Thesamethingsdonatedarenottobebroughttocollationandpartition,butonlytheirvalueatthe
timeofthedonation,eventhoughtheirjustvaluemaynotthenhavebeenassessed.

Theirsubsequentincreaseordeteriorationandeventheirtotallossordestruction,beitaccidentalorculpable,shall
beforthebenefitoraccountandriskofthedonee.(1045a)

Article1072.Inthecollationofadonationmadebybothparents,onehalfshallbebroughttotheinheritanceofthe
father,andtheotherhalf,tothatofthemother.Thatgivenbyonealoneshallbebroughttocollationinhisorher
inheritance.(1046a)

Article1073.Thedonee'sshareoftheestateshallbereducedbyanamountequaltothatalreadyreceivedbyhim
andhiscoheirsshallreceiveanequivalent,asmuchaspossible,inpropertyofthesamenature,classandquality.
(1047)

Article 1074. Should the provisions of the preceding article be impracticable, if the property donated was
immovable,thecoheirsshallbeentitledtoreceiveitsequivalentincashorsecurities,attherateofquotationand
should there be neither cash or marketable securities in the estate, so much of the other property as may be
necessaryshallbesoldatpublicauction.

Ifthepropertydonatedwasmovable,thecoheirsshallonlyhavearighttoselectanequivalentofotherpersonal
propertyoftheinheritanceatitsjustprice.(1048)

Article1075.Thefruitsandinterestofthepropertysubjecttocollationshallnotpertaintotheestateexceptfromthe
dayonwhichthesuccessionisopened.

Forthepurposeofascertainingtheiramount,thefruitsandinterestofthepropertyoftheestateofthesamekind
andqualityasthatsubjecttocollationshallbemadethestandardofassessment.(1049)

Article1076.Thecoheirsareboundtoreimbursetothedoneethenecessaryexpenseswhichhehasincurredfor
thepreservationofthepropertydonatedtohim,thoughtheymaynothaveaugmenteditsvalue.

Thedoneewhocollatesinkindanimmovablewhichhasbeengiventohimmustbereimbursedbyhiscoheirsfor
the improvements which have increased the value of the property, and which exist at the time the partition if
effected.

Astoworksmadeontheestateforthemerepleasureofthedonee,noreimbursementisduehimforthemhehas,
however,therighttoremovethem,ifhecandosowithoutinjuringtheestate.(n)

Article1077. Should any question arise among the coheirs upon the obligation to bring to collation or as to the
thingswhicharesubjecttocollation,thedistributionoftheestateshallnotbeinterruptedforthisreason,provided
adequatesecurityisgiven.(1050)

SECTION6
PartitionandDistributionoftheEstate

SUBSECTION1.Partition

Article1078.Wheretherearetwoormoreheirs,thewholeestateofthedecedentis,beforeitspartition,ownedin
commonbysuchheirs,subjecttothepaymentofdebtsofthedeceased.(n)

Article 1079. Partition, in general, is the separation, division and assignment of a thing held in common among
thosetowhomitmaybelong.Thethingitselfmaybedivided,oritsvalue.(n)

Article1080.Shouldapersonmakepartitionofhisestatebyanactintervivos,orbywill,suchpartitionshallbe
respected,insofarasitdoesnotprejudicethelegitimeofthecompulsoryheirs.

A parent who, in the interest of his or her family, desires to keep any agricultural, industrial, or manufacturing
enterpriseintact,mayavailhimselfoftherightgrantedhiminthisarticle,byorderingthatthelegitimeoftheother
childrentowhomthepropertyisnotassigned,bepaidincash.(1056a)

Article1081.Apersonmay,byanactintervivosormortiscausa,intrustthemerepowertomakethepartitionafter
hisdeathtoanypersonwhoisnotoneofthecoheirs.

The provisions of this and of the preceding article shall be observed even should there be among the coheirs a
minororapersonsubjecttoguardianshipbutthemandatary,insuchcase,shallmakeaninventoryoftheproperty
oftheestate,afternotifyingthecoheirs,thecreditors,andthelegateesordevisees.(1057a)
Article1082. Every act which is intended to put an end to indivision among coheirs and legatees or devisees is
deemed to be a partition, although it should purport to be a sale, and exchange, a compromise, or any other
transaction.(n)

Article 1083. Every coheir has a right to demand the division of the estate unless the testator should have
expresslyforbiddenitspartition,inwhichcasetheperiodofindivisionshallnotexceedtwentyyearsasprovidedin
article494.Thispowerofthetestatortoprohibitdivisionappliestothelegitime.

Eventhoughforbiddenbythetestator,thecoownershipterminateswhenanyofthecausesforwhichpartnershipis
dissolvedtakesplace,orwhenthecourtfindsforcompellingreasonsthatdivisionshouldbeordered,uponpetition
ofoneofthecoheirs.(1051a)

Article1084. Voluntary heirs upon whom some condition has been imposed cannot demand a partition until the
conditionhasbeenfulfilledbuttheothercoheirsmaydemanditbygivingsufficientsecurityfortherightswhichthe
formermayhaveincasetheconditionshouldbecompliedwith,anduntilitisknownthattheconditionhasnotbeen
fulfilledorcanneverbecompliedwith,thepartitionshallbeunderstoodtobeprovisional.(1054a)

Article1085.Inthepartitionoftheestate,equalityshallbeobservedasfaraspossible,dividingthepropertyinto
lots,orassigningtoeachofthecoheirsthingsofthesamenature,qualityandkind.(1061)

Article1086.Shouldathingbeindivisible,orwouldbemuchimpairedbyitsbeingdivided,itmaybeadjudicatedto
oneoftheheirs,providedheshallpaytheotherstheexcessincash.

Nevertheless, if any of the heirs should demand that the thing be sold at public auction and that strangers be
allowedtobid,thismustbedone.(1062)

Article1087.Inthepartitionthecoheirsshallreimburseoneanotherfortheincomeandfruitswhicheachoneof
themmayhavereceivedfromanypropertyoftheestate,foranyusefulandnecessaryexpensesmadeuponsuch
property,andforanydamagetheretothroughmaliceorneglect.(1063)

Article1088.Shouldanyoftheheirssellhishereditaryrightstoastrangerbeforethepartition,anyoralloftheco
heirsmaybesubrogatedtotherightsofthepurchaserbyreimbursinghimforthepriceofthesale,providedtheydo
sowithintheperiodofonemonthfromthetimetheywerenotifiedinwritingofthesalebythevendor.(1067a)

Article1089.Thetitlesofacquisitionorownershipofeachpropertyshallbedeliveredtothecoheirtowhomsaid
propertyhasbeenadjudicated.(1065a)

Article1090.Whenthetitlecomprisestwoormorepiecesoflandwhichhavebeenassignedtotwoormoreco
heirs,orwhenitcoversonepieceoflandwhichhasbeendividedbetweentwoormorecoheirs,thetitleshallbe
deliveredtotheonehavingthelargestinterest,andauthenticcopiesofthetitleshallbefurnishedtotheotherco
heirsattheexpenseoftheestate.Iftheinterestofeachcoheirshouldbethesame,theoldestshallhavethetitle.
(1066a)

SUBSECTION2.EffectsofPartition

Article1091.Apartitionlegallymadeconfersuponeachheirtheexclusiveownershipofthepropertyadjudicatedto
him.(1068)

Article1092.Afterthepartitionhasbeenmade,thecoheirsshallbereciprocallyboundtowarrantthetitleto,and
thequalityof,eachpropertyadjudicated.(1069a)

Article1093.Thereciprocalobligationofwarrantyreferredtointheprecedingarticleshallbeproportionatetothe
respectivehereditarysharesofthecoheirs,butifanyoneofthemshouldbeinsolvent,theothercoheirsshallbe
liableforhispartinthesameproportion,deductingthepartcorrespondingtotheonewhoshouldbeindemnified.

Thosewhopayfortheinsolventheirshallhavearightofactionagainsthimforreimbursement,shouldhisfinancial
conditionimprove.(1071)

Article1094.Anactiontoenforcethewarrantyamongheirsmustbebroughtwithintenyearsfromthedatetheright
ofactionaccrues.(n)

Article 1095. If a credit should be assigned as collectible, the coheirs shall not be liable for the subsequent
insolvencyofthedebtoroftheestate,butonlyforhisinsolvencyatthetimethepartitionismade.

Thewarrantyofthesolvencyofthedebtorcanonlybeenforcedduringthefiveyearsfollowingthepartition.

Coheirs do not warrant bad debts, if so known to, and accepted by, the distributee. But if such debts are not
assigned to a coheir, and should be collected, in whole or in part, the amount collected shall be distributed
proportionatelyamongtheheirs.(1072a)

Article1096.Theobligationofwarrantyamongcoheirsshallceaseinthefollowingcases:

(1)Whenthetestatorhimselfhasmadethepartition,unlessitappears,oritmaybereasonablypresumed,
thathisintentionwasotherwise,butthelegitimeshallalwaysremainunimpaired

(2)Whenithasbeensoexpresslystipulatedintheagreementofpartition,unlesstherehasbeenbadfaith

(3)Whentheevictionisduetoacausesubsequenttothepartition,orhasbeencausedbythefaultofthe
distributeeoftheproperty.(1070a)

SUBSECTION3.RescissionandNullityofPartition

Article1097.Apartitionmayberescindedorannulledforthesamecausesascontracts.(1073a)

Article1098.Apartition,judicialorextrajudicial,mayalsoberescindedonaccountoflesion,whenanyoneofthe
coheirs received things whose value is less, by at least onefourth, than the share to which he is entitled,
consideringthevalueofthethingsatthetimetheywereadjudicated.(1074a)

Article 1099. The partition made by the testator cannot be impugned on the ground of lesion, except when the
legitimeofthecompulsoryheirsistherebyprejudiced,orwhenitappearsormayreasonablybepresumed,thatthe
intentionofthetestatorwasotherwise.(1075)

Article 1100. The action for rescission on account of lesion shall prescribe after four years from the time the
partitionwasmade.(1076)

Article1101.Theheirwhoissuedshallhavetheoptionofindemnifyingtheplaintifffortheloss,orconsentingtoa
consenting
newpartition.

Indemnity may be made by payment in cash or by the delivery of a thing of the same kind and quality as that
awardedtotheplaintiff.

Ifanewpartitionismade,itshallaffectneitherthosewhohavenotbeenprejudicednorthosehavenotreceived
morethantheirjustshare.(1077a)

Article1102. An heir who has alienated the whole or a considerable part of the real property adjudicated to him
cannotmaintainanactionforrescissiononthegroundoflesion,butheshallhavearighttobeindemnifiedincash.
(1078a)

Article1103.Theomissionofoneormoreobjectsorsecuritiesoftheinheritanceshallnotcausetherescissionof
the partition on the ground of lesion, but the partition shall be completed by the distribution of the objects or
securitieswhichhavebeenomitted.(1079a)

Article1104. A partition made with preterition of any of the compulsory heirs shall not be rescinded, unless it be
proved that there was bad faith or fraud on the part of the other persons interested but the latter shall be
proportionatelyobligedtopaytothepersonomittedthesharewhichbelongstohim.(1080)

Article 1105. A partition which includes a person believed to be an heir, but who is not, shall be void only with
respecttosuchperson.(1081a)

TITLEV
PRESCRIPTION

CHAPTER1
GeneralProvisions

Article1106.Byprescription,oneacquiresownershipandotherrealrightsthroughthelapseoftimeinthemanner
andundertheconditionslaiddownbylaw.

Inthesameway,rightsandconditionsarelostbyprescription.(1930a)

Article1107. Persons who are capable of acquiring property or rights by the other legal modes may acquire the
samebymeansofprescription.
Minorsandotherincapacitatedpersonsmayacquirepropertyorrightsbyprescription,eitherpersonallyorthrough
theirparents,guardiansorlegalrepresentatives.(1931a)

Article1108.Prescription,bothacquisitiveandextinctive,runsagainst:

(1)Minorsandotherincapacitatedpersonswhohaveparents,guardiansorotherlegalrepresentatives

(2)Absenteeswhohaveadministrators,eitherappointedbythembeforetheirdisappearance,orappointedby
thecourts

(3)Personslivingabroad,whohavemanagersoradministrators

(4)Juridicalpersons,excepttheStateanditssubdivisions.

Persons who are disqualified from administering their property have a right to claim damages from their legal
representativeswhosenegligencehasbeenthecauseofprescription.(1932a)

Article1109.Prescriptiondoesnotrunbetweenhusbandandwife,eventhoughtherebeaseparationofproperty
agreeduponinthemarriagesettlementsorbyjudicialdecree.

Neitherdoesprescriptionrunbetweenparentsandchildren,duringtheminorityorinsanityofthelatter,andbetween
guardianandwardduringthecontinuanceoftheguardianship.(n)

Article1110.Prescription,acquisitiveandextinctive,runsinfavorof,oragainstamarriedwoman.(n)

Article1111.Prescriptionobtainedbyacoproprietororacoownershallbenefittheothers.(1933)

Article1112. Persons with capacity to alienate property may renounce prescription already obtained, but not the
righttoprescribeinthefuture.

Prescription is deemed to have been tacitly renounced when the renunciation results from acts which imply the
abandonmentoftherightacquired.(1935)

Article 1113. All things which are within the commerce of men are susceptible of prescription, unless otherwise
provided. Property of the State or any of its subdivisions not patrimonial in character shall not be the object of
prescription.(1936a)

Article1114. Creditors and all other persons interested in making the prescription effective may avail themselves
thereofnotwithstandingtheexpressortacitrenunciationbythedebtororproprietor.(1937)

Article1115.TheprovisionsofthepresentTitleareunderstoodtobewithoutprejudicetowhatinthisCodeorin
speciallawsisestablishedwithrespecttospecificcasesofprescription.(1938)

Article1116.PrescriptionalreadyrunningbeforetheeffectivityofthisCodeshallbegovernedbylawspreviouslyin
forcebutifsincethetimethisCodetookeffecttheentireperiodhereinrequiredforprescriptionshouldelapse,the
presentCodeshallbeapplicable,eventhoughbytheformerlawsalongerperiodmightberequired.(1939)

CHAPTER2
PrescriptionofOwnershipandOtherRealRights

Article1117.Acquisitiveprescriptionofdominionandotherrealrightsmaybeordinaryorextraordinary.

Ordinaryacquisitiveprescriptionrequirespossessionofthingsingoodfaithandwithjusttitleforthetimefixedby
law.(1940a)

Article1118.Possessionhastobeintheconceptofanowner,public,peacefulanduninterrupted.(1941)

Article1119.Actsofpossessorycharacterexecutedinvirtueoflicenseorbymeretoleranceoftheownershallnot
beavailableforthepurposesofpossession.(1942)

Article1120.Possessionisinterruptedforthepurposesofprescription,naturallyorcivilly.(1943)

Article1121.Possessionisnaturallyinterruptedwhenthroughanycauseitshouldceaseformorethanoneyear.

Theoldpossessionisnotrevivedifanewpossessionshouldbeexercisedbythesameadverseclaimant.(1944a)
Article1122.Ifthenaturalinterruptionisforonlyoneyearorless,thetimeelapsedshallbecountedinfavorofthe
prescription.(n)

Article1123.Civilinterruptionisproducedbyjudicialsummonstothepossessor.(1945a)

Article1124.Judicialsummonsshallbedeemednottohavebeenissuedandshallnotgiverisetointerruption:

(1)Ifitshouldbevoidforlackoflegalsolemnities

(2)Iftheplaintiffshoulddesistfromthecomplaintorshouldallowtheproceedingstolapse

(3)Ifthepossessorshouldbeabsolvedfromthecomplaint.

Inallthesecases,theperiodoftheinterruptionshallbecountedfortheprescription.(1946a)

Article1125. Any express or tacit recognition which the possessor may make of the owner's right also interrupts
possession.(1948)

Article1126. Against a title recorded in the Registry of Property, ordinary prescription of ownership or real rights
shallnottakeplacetotheprejudiceofathirdperson,exceptinvirtueofanothertitlealsorecordedandthetime
shallbegintorunfromtherecordingofthelatter.

AstolandsregisteredundertheLandRegistrationAct,theprovisionsofthatspeciallawshallgovern.(1949a)

Article 1127. The good faith of the possessor consists in the reasonable belief that the person from whom he
receivedthethingwastheownerthereof,andcouldtransmithisownership.(1950a)

Article1128.Theconditionsofgoodfaithrequiredforpossessioninarticles526,527,528,and529ofthisCode
are likewise necessary for the determination of good faith in the prescription of ownership and other real rights.
(1951)

Article1129.Forthepurposesofprescription,thereisjusttitlewhentheadverseclaimantcameintopossessionof
thepropertythroughoneofthemodesrecognizedbylawfortheacquisitionofownershiporotherrealrights,butthe
grantorwasnottheownerorcouldnottransmitanyright.(n)

Article1130.Thetitleforprescriptionmustbetrueandvalid.(1953)

Article1131.Forthepurposesofprescription,justtitlemustbeproveditisneverpresumed.(1954a)

Article1132.Theownershipofmovablesprescribesthroughuninterruptedpossessionforfouryearsingoodfaith.

Theownershipofpersonalpropertyalsoprescribesthroughuninterruptedpossessionforeightyears,withoutneed
ofanyothercondition.

Withregardtotherightoftheownertorecoverpersonalpropertylostorofwhichhehasbeenillegallydeprived,as
wellaswithrespecttomovablesacquiredinapublicsale,fair,ormarket,orfromamerchant'sstoretheprovisions
ofarticles559and1505ofthisCodeshallbeobserved.(1955a)

Article 1133. Movables possessed through a crime can never be acquired through prescription by the offender.
(1956a)

Article 1134. Ownership and other real rights over immovable property are acquired by ordinary prescription
throughpossessionoftenyears.(1957a)

Article1135.Incasetheadverseclaimantpossessesbymistakeanareagreater,orlessthanthatexpressedinhis
title,prescriptionshallbebasedonthepossession.(n)

Article1136.Possessioninwartime,whenthecivilcourtsarenotopen,shallnotbecountedinfavoroftheadverse
claimant.(n)

Article 1137. Ownership and other real rights over immovables also prescribe through uninterrupted adverse
possessionthereofforthirtyyears,withoutneedoftitleorofgoodfaith.(1959a)

Article1138.Inthecomputationoftimenecessaryforprescriptionthefollowingrulesshallbeobserved:

(1)Thepresentpossessormaycompletetheperiodnecessaryforprescriptionbytackinghispossessionto
thatofhisgrantororpredecessorininterest
 (2)Itispresumedthatthepresentpossessorwhowasalsothepossessorataprevioustime,hascontinued
tobeinpossessionduringtheinterveningtime,unlessthereisprooftothecontrary

(3)Thefirstdayshallbeexcludedandthelastdayincluded.(1960a)

CHAPTER3
PrescriptionofActions

Article1139.Actionsprescribebythemerelapseoftimefixedbylaw.(1961)

Article1140.Actionstorecovermovablesshallprescribeeightyearsfromthetimethepossessionthereofislost,
unlessthepossessorhasacquiredtheownershipbyprescriptionforalessperiod,accordingtoarticles1132,and
withoutprejudicetotheprovisionsofarticles559,1505,and1133.(1962a)

Article1141.Realactionsoverimmovablesprescribeafterthirtyyears.

This provision is without prejudice to what is established for the acquisition of ownership and other real rights by
prescription.(1963)

Article1142.Amortgageactionprescribesaftertenyears.(1964a)

Article 1143. The following rights, among others specified elsewhere in this Code, are not extinguished by
prescription:

(1)Todemandarightofway,regulatedinarticle649

(2)Tobringanactiontoabateapublicorprivatenuisance.(n)

Article1144.Thefollowingactionsmustbebroughtwithintenyearsfromthetimetherightofactionaccrues:

(1)Uponawrittencontract

(2)Uponanobligationcreatedbylaw

(3)Uponajudgment.(n)

Article1145.Thefollowingactionsmustbecommencedwithinsixyears:

(1)Uponanoralcontract

(2)Uponaquasicontract.(n)

Article1146.Thefollowingactionsmustbeinstitutedwithinfouryears:

(1)Uponaninjurytotherightsoftheplaintiff

(2)Uponaquasidelict

However, when the action arises from or out of any act, activity, or conduct of any public officer involving the
exerciseofpowersorauthorityarisingfromMartialLawincludingthearrest,detentionand/ortrialoftheplaintiff,the
samemustbebroughtwithinone(1)year.(AsamendedbyPDNo.1755,Dec.24,1980.)

Article1147.Thefollowingactionsmustbefiledwithinoneyear:

(1)Forforcibleentryanddetainer

(2)Fordefamation.(n)

Article1148.Thelimitationsofactionmentionedinarticles1140to1142,and1144to1147arewithoutprejudiceto
thosespecifiedinotherpartsofthisCode,intheCodeofCommerce,andinspeciallaws.(n)

Article1149.AllotheractionswhoseperiodsarenotfixedinthisCodeorinotherlawsmustbebroughtwithinfive
yearsfromthetimetherightofactionaccrues.(n)

Article 1150. The time for prescription for all kinds of actions, when there is no special provision which ordains
otherwise,shallbecountedfromthedaytheymaybebrought.(1969)
Article1151.Thetimefortheprescriptionofactionswhichhavefortheirobjecttheenforcementofobligationsto
payprincipalwithinterestorannuityrunsfromthelastpaymentoftheannuityoroftheinterest.(1970a)

Article1152.Theperiodforprescriptionofactionstodemandthefulfillmentofobligationdeclaredbyajudgment
commencesfromthetimethejudgmentbecamefinal.(1971)

Article1153.Theperiodforprescriptionofactionstodemandaccountingrunsfromthedaythepersonswhoshould
renderthesameceaseintheirfunctions.

The period for the action arising from the result of the accounting runs from the date when said result was
recognizedbyagreementoftheinterestedparties.(1972)

Article1154.Theperiodduringwhichtheobligeewaspreventedbyafortuitouseventfromenforcinghisrightisnot
reckonedagainsthim.(n)

Article1155.Theprescriptionofactionsisinterruptedwhentheyarefiledbeforethecourt,whenthereisawritten
extrajudicial demand by the creditors, and when there is any written acknowledgment of the debt by the debtor.
(1973a)

BOOKIV
ObligationsandContracts

TITLEI
Obligations

CHAPTER1
GeneralProvisions

Article1156.Anobligationisajuridicalnecessitytogive,todoornottodo.(n)

Article1157.Obligationsarisefrom:

(1)Law

(2)Contracts

(3)Quasicontracts

(4)Actsoromissionspunishedbylawand

(5)Quasidelicts.(1089a)

Article1158.Obligationsderivedfromlawarenotpresumed.OnlythoseexpresslydeterminedinthisCodeorin
speciallawsaredemandable,andshallberegulatedbythepreceptsofthelawwhichestablishesthemandasto
whathasnotbeenforeseen,bytheprovisionsofthisBook.(1090)

Article1159.Obligationsarisingfromcontractshavetheforceoflawbetweenthecontractingpartiesandshouldbe
compliedwithingoodfaith.(1091a)

Article1160.ObligationsderivedfromquasicontractsshallbesubjecttotheprovisionsofChapter1,TitleXVII,of
thisBook.(n)

Article1161. Civil obligations arising from criminal offenses shall be governed by the penal laws, subject to the
provisionsofarticle2177,andofthepertinentprovisionsofChapter2,PreliminaryTitle,onHumanRelations,and
ofTitleXVIIIofthisBook,regulatingdamages.(1092a)

Article1162.ObligationsderivedfromquasidelictsshallbegovernedbytheprovisionsofChapter2,TitleXVIIof
thisBook,andbyspeciallaws.(1093a)

CHAPTER2
 NatureandEffectofObligations

Article1163.Everypersonobligedtogivesomethingisalsoobligedtotakecareofitwiththeproperdiligenceofa
goodfatherofafamily,unlessthelaworthestipulationofthepartiesrequiresanotherstandardofcare.(1094a)

Article 1164. The creditor has a right to the fruits of the thing from the time the obligation to deliver it arises.
However,heshallacquirenorealrightoverituntilthesamehasbeendeliveredtohim.(1095)

Article1165.Whenwhatistobedeliveredisadeterminatething,thecreditor,inadditiontotherightgrantedhimby
article1170,maycompelthedebtortomakethedelivery.

Ifthethingisindeterminateorgeneric,hemayaskthattheobligationbecompliedwithattheexpenseofthedebtor.

Iftheobligordelays,orhaspromisedtodeliverthesamethingtotwoormorepersonswhodonothavethesame
interest,heshallberesponsibleforanyfortuitouseventuntilhehaseffectedthedelivery.(1096)

Article 1166. The obligation to give a determinate thing includes that of delivering all its accessions and
accessories,eventhoughtheymaynothavebeenmentioned.(1097a)

Article1167.Ifapersonobligedtodosomethingfailstodoit,thesameshallbeexecutedathiscost.

Thissameruleshallbeobservedifhedoesitincontraventionofthetenoroftheobligation.Furthermore,itmaybe
decreedthatwhathasbeenpoorlydonebeundone.(1098)

Article1168.Whentheobligationconsistsinnotdoing,andtheobligordoeswhathasbeenforbiddenhim,itshall
alsobeundoneathisexpense.(1099a)

Article 1169. Those obliged to deliver or to do something incur in delay from the time the obligee judicially or
extrajudiciallydemandsfromthemthefulfillmentoftheirobligation.

However,thedemandbythecreditorshallnotbenecessaryinorderthatdelaymayexist:

(1)Whentheobligationorthelawexpresslysodeclareor

(2)Whenfromthenatureandthecircumstancesoftheobligationitappearsthatthedesignationofthetime
when the thing is to be delivered or the service is to be rendered was a controlling motive for the
establishmentofthecontractor

(3)Whendemandwouldbeuseless,aswhentheobligorhasrendereditbeyondhispowertoperform.

In reciprocal obligations, neither party incurs in delay if the other does not comply or is not ready to comply in a
propermannerwithwhatisincumbentuponhim.Fromthemomentoneofthepartiesfulfillshisobligation,delayby
theotherbegins.(1100a)

Article1170.Thosewhointheperformanceoftheirobligationsareguiltyoffraud,negligence,ordelay,andthose
whoinanymannercontravenethetenorthereof,areliablefordamages.(1101)

Article1171. Responsibility arising from fraud is demandable in all obligations. Any waiver of an action for future
fraudisvoid.(1102a)

Article 1172. Responsibility arising from negligence in the performance of every kind of obligation is also
demandable,butsuchliabilitymayberegulatedbythecourts,accordingtothecircumstances.(1103)

Article1173.Thefaultornegligenceoftheobligorconsistsintheomissionofthatdiligencewhichisrequiredbythe
natureoftheobligationandcorrespondswiththecircumstancesofthepersons,ofthetimeandoftheplace.When
negligenceshowsbadfaith,theprovisionsofarticles1171and2201,paragraph2,shallapply.

Ifthelaworcontractdoesnotstatethediligencewhichistobeobservedintheperformance,thatwhichisexpected
ofagoodfatherofafamilyshallberequired.(1104a)

Article1174.Exceptincasesexpresslyspecifiedbythelaw,orwhenitisotherwisedeclaredbystipulation,orwhen
thenatureoftheobligationrequirestheassumptionofrisk,nopersonshallberesponsibleforthoseeventswhich
couldnotbeforeseen,orwhich,thoughforeseen,wereinevitable.(1105a)

Article1175.Usurioustransactionsshallbegovernedbyspeciallaws.(n)

Article1176.Thereceiptoftheprincipalbythecreditorwithoutreservationwithrespecttotheinterest,shallgive
risetothepresumptionthatsaidinteresthasbeenpaid.
The receipt of a later installment of a debt without reservation as to prior installments, shall likewise raise the
presumptionthatsuchinstallmentshavebeenpaid.(1110a)

Article1177. The creditors, after having pursued the property in possession of the debtor to satisfy their claims,
mayexercisealltherightsandbringalltheactionsofthelatterforthesamepurpose,savethosewhichareinherent
inhispersontheymayalsoimpugntheactswhichthedebtormayhavedonetodefraudthem.(1111)

Article1178.Subjecttothelaws,allrightsacquiredinvirtueofanobligationaretransmissible,iftherehasbeenno
stipulationtothecontrary.(1112)

CHAPTER3
DifferentKindsofObligations

SECTION1
PureandConditionalObligations

Article1179.Everyobligationwhoseperformancedoesnotdependuponafutureoruncertainevent,oruponapast
eventunknowntotheparties,isdemandableatonce.

Everyobligationwhichcontainsaresolutoryconditionshallalsobedemandable,withoutprejudicetotheeffectsof
thehappeningoftheevent.(1113)

Article1180. When the debtor binds himself to pay when his means permit him to do so, the obligation shall be
deemedtobeonewithaperiod,subjecttotheprovisionsofarticle1197.(n)

Article 1181. In conditional obligations, the acquisition of rights, as well as the extinguishment or loss of those
alreadyacquired,shalldependuponthehappeningoftheeventwhichconstitutesthecondition.(1114)

Article1182.Whenthefulfillmentoftheconditiondependsuponthesolewillofthedebtor,theconditionalobligation
shall be void. If it depends upon chance or upon the will of a third person, the obligation shall take effect in
conformitywiththeprovisionsofthisCode.(1115)

Article1183. 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
affectedbytheimpossibleorunlawfulconditionshallbevalid.

Theconditionnottodoanimpossiblethingshallbeconsideredasnothavingbeenagreedupon.(1116a)

Article1184.Theconditionthatsomeeventhappenatadeterminatetimeshallextinguishtheobligationassoonas
thetimeexpiresorifithasbecomeindubitablethattheeventwillnottakeplace.(1117)

Article 1185. The condition that some event will not happen at a determinate time shall render the obligation
effectivefromthemomentthetimeindicatedhaselapsed,orifithasbecomeevidentthattheeventcannotoccur.

If no time has been fixed, the condition shall be deemed fulfilled at such time as may have probably been
contemplated,bearinginmindthenatureoftheobligation.(1118)

Article1186.Theconditionshallbedeemedfulfilledwhentheobligorvoluntarilypreventsitsfulfillment.(1119)

Article1187.Theeffectsofaconditionalobligationtogive,oncetheconditionhasbeenfulfilled,shallretroacttothe
dayoftheconstitutionoftheobligation.Nevertheless,whentheobligationimposesreciprocalprestationsuponthe
parties, the fruits and interests during the pendency of the condition shall be deemed to have been mutually
compensated.Iftheobligationisunilateral,thedebtorshallappropriatethefruitsandinterestsreceived,unlessfrom
thenatureandcircumstancesoftheobligationitshouldbeinferredthattheintentionofthepersonconstitutingthe
samewasdifferent.

Inobligationstodoandnottodo,thecourtsshalldetermine,ineachcase,theretroactiveeffectoftheconditionthat
hasbeencompliedwith.(1120)

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

The debtor may recover what during the same time he has paid by mistake in case of a suspensive condition.
(1121a)
Article1189.Whentheconditionshavebeenimposedwiththeintentionofsuspendingtheefficacyofanobligation
togive,thefollowingrulesshallbeobservedincaseoftheimprovement,lossordeteriorationofthethingduringthe
pendencyofthecondition:

(1)Ifthethingislostwithoutthefaultofthedebtor,theobligationshallbeextinguished

(2)Ifthethingislostthroughthefaultofthedebtor,heshallbeobligedtopaydamagesitisunderstoodthat
thethingislostwhenitperishes,orgoesoutofcommerce,ordisappearsinsuchawaythatitsexistenceis
unknownoritcannotberecovered

(3)Whenthethingdeteriorateswithoutthefaultofthedebtor,theimpairmentistobebornebythecreditor

(4) If it deteriorates through the fault of the debtor, the creditor may choose between the rescission of the
obligationanditsfulfillment,withindemnityfordamagesineithercase

(5)Ifthethingisimprovedbyitsnature,orbytime,theimprovementshallinuretothebenefitofthecreditor

(6) If it is improved at the expense of the debtor, he shall have no other right than that granted to the
usufructuary.(1122)

Article1190. When the conditions have for their purpose the extinguishment of an obligation to give, the parties,
uponthefulfillmentofsaidconditions,shallreturntoeachotherwhattheyhavereceived.

Incaseoftheloss,deteriorationorimprovementofthething,theprovisionswhich,withrespecttothedebtor,are
laiddownintheprecedingarticleshallbeappliedtothepartywhoisboundtoreturn.

Asfortheobligationstodoandnottodo,theprovisionsofthesecondparagraphofarticle1187shallbeobserved
asregardstheeffectoftheextinguishmentoftheobligation.(1123)

Article1191.Thepowertorescindobligationsisimpliedinreciprocalones,incaseoneoftheobligorsshouldnot
complywithwhatisincumbentuponhim.

The injured party may choose between the fulfillment and the rescission of the obligation, with the payment of
damages in either case. He may also seek rescission, even after he has chosen fulfillment, if the latter should
becomeimpossible.

Thecourtshalldecreetherescissionclaimed,unlesstherebejustcauseauthorizingthefixingofaperiod.

Thisisunderstoodtobewithoutprejudicetotherightsofthirdpersonswhohaveacquiredthething,inaccordance
witharticles1385and1388andtheMortgageLaw.(1124)

Article1192.Incasebothpartieshavecommittedabreachoftheobligation,theliabilityofthefirstinfractorshallbe
equitablytemperedbythecourts.Ifitcannotbedeterminedwhichofthepartiesfirstviolatedthecontract,thesame
shallbedeemedextinguished,andeachshallbearhisowndamages.(n)

SECTION2
ObligationswithaPeriod

Article1193.Obligationsforwhosefulfillmentadaycertainhasbeenfixed,shallbedemandableonlywhenthatday
comes.

Obligationswitharesolutoryperiodtakeeffectatonce,butterminateuponarrivalofthedaycertain.

Adaycertainisunderstoodtobethatwhichmustnecessarilycome,althoughitmaynotbeknownwhen.

Iftheuncertaintyconsistsinwhetherthedaywillcomeornot,theobligationisconditional,anditshallberegulated
bytherulesoftheprecedingSection.(1125a)

Article1194.Incaseofloss,deteriorationorimprovementofthethingbeforethearrivalofthedaycertain,therules
inarticle1189shallbeobserved.(n)

Article1195.Anythingpaidordeliveredbeforethearrivaloftheperiod,theobligorbeingunawareoftheperiodor
believing that the obligation has become due and demandable, may be recovered, with the fruits and interests.
(1126a)

Article1196. Whenever in an obligation a period is designated, it is presumed to have been established for the
benefit of both the creditor and the debtor, unless from the tenor of the same or other circumstances it should
appearthattheperiodhasbeenestablishedinfavorofoneoroftheother.(1127)

Article1197.Iftheobligationdoesnotfixaperiod,butfromitsnatureandthecircumstancesitcanbeinferredthat
aperiodwasintended,thecourtsmayfixthedurationthereof.

Thecourtsshallalsofixthedurationoftheperiodwhenitdependsuponthewillofthedebtor.

In every case, the courts shall determine such period as may under the circumstances have been probably
contemplatedbytheparties.Oncefixedbythecourts,theperiodcannotbechangedbythem.(1128a)

Article1198.Thedebtorshallloseeveryrighttomakeuseoftheperiod:

(1) When after the obligation has been contracted, he becomes insolvent, unless he gives a guaranty or
securityforthedebt

(2)Whenhedoesnotfurnishtothecreditortheguarantiesorsecuritieswhichhehaspromised

(3)Whenbyhisownactshehasimpairedsaidguarantiesorsecuritiesaftertheirestablishment,andwhen
throughafortuitouseventtheydisappear,unlessheimmediatelygivesnewonesequallysatisfactory

(4)Whenthedebtorviolatesanyundertaking,inconsiderationofwhichthecreditoragreedtotheperiod

(5)Whenthedebtorattemptstoabscond.(1129a)

SECTION3
AlternativeObligations

ARTICLE1199.Apersonalternativelyboundbydifferentprestationsshallcompletelyperformoneofthem.

Thecreditorcannotbecompelledtoreceivepartofoneandpartoftheotherundertaking.(1131)

Article1200.Therightofchoicebelongstothedebtor,unlessithasbeenexpresslygrantedtothecreditor.

Thedebtorshallhavenorighttochoosethoseprestationswhichareimpossible,unlawfulorwhichcouldnothave
beentheobjectoftheobligation.(1132)

Article1201.Thechoiceshallproducenoeffectexceptfromthetimeithasbeencommunicated.(1133)

Article 1202. The debtor shall lose the right of choice when among the prestations whereby he is alternatively
bound,onlyoneispracticable.(1134)

Article1203.Ifthroughthecreditor'sactsthedebtorcannotmakeachoiceaccordingtothetermsoftheobligation,
thelattermayrescindthecontractwithdamages.(n)

Article1204.Thecreditorshallhavearighttoindemnityfordamageswhen,throughthefaultofthedebtor,allthe
things which are alternatively the object of the obligation have been lost, or the compliance of the obligation has
becomeimpossible.

Theindemnityshallbefixedtakingasabasisthevalueofthelastthingwhichdisappeared,orthatoftheservice
whichlastbecameimpossible.

Damagesotherthanthevalueofthelastthingorservicemayalsobeawarded.(1135a)

Article1205.Whenthechoicehasbeenexpresslygiventothecreditor,theobligationshallceasetobealternative
fromthedaywhentheselectionhasbeencommunicatedtothedebtor.

Untilthentheresponsibilityofthedebtorshallbegovernedbythefollowingrules:

(1) If one of the things is lost through a fortuitous event, he shall perform the obligation by delivering that
whichthecreditorshouldchoosefromamongtheremainder,orthatwhichremainsifonlyonesubsists

(2)Ifthelossofoneofthethingsoccursthroughthefaultofthedebtor,thecreditormayclaimanyofthose
subsisting, or the price of that which, through the fault of the former, has disappeared, with a right to
damages

(3)Ifallthethingsarelostthroughthefaultofthedebtor,thechoicebythecreditorshallfalluponthepriceof
anyoneofthem,alsowithindemnityfordamages.
Thesamerulesshallbeappliedtoobligationstodoornottodoincaseone,someoralloftheprestationsshould
becomeimpossible.(1136a)

Article1206.Whenonlyoneprestationhasbeenagreedupon,buttheobligormayrenderanotherinsubstitution,
theobligationiscalledfacultative.

Thelossordeteriorationofthethingintendedasasubstitute,throughthenegligenceoftheobligor,doesnotrender
himliable.Butoncethesubstitutionhasbeenmade,theobligorisliableforthelossofthesubstituteonaccountof
hisdelay,negligenceorfraud.(n)

SECTION4
JointandSolidaryObligations

Article1207.Theconcurrenceoftwoormorecreditorsoroftwoormoredebtorsinoneandthesameobligation
doesnotimplythateachoneoftheformerhasarighttodemand,orthateachoneofthelatterisboundtorender,
entire compliance with the prestation. There is a solidary liability only when the obligation expressly so states, or
whenthelaworthenatureoftheobligationrequiressolidarity.(1137a)

Article1208.Iffromthelaw,orthenatureorthewordingoftheobligationstowhichtheprecedingarticlerefersthe
contrary does not appear, the credit or debt shall be presumed to be divided into as many shares as there are
creditorsordebtors,thecreditsordebtsbeingconsidereddistinctfromoneanother,subjecttotheRulesofCourt
governingthemultiplicityofsuits.(1138a)

Article1209.Ifthedivisionisimpossible,therightofthecreditorsmaybeprejudicedonlybytheircollectiveacts,
andthedebtcanbeenforcedonlybyproceedingagainstallthedebtors.Ifoneofthelattershouldbeinsolvent,the
othersshallnotbeliableforhisshare.(1139)

Article1210.Theindivisibilityofanobligationdoesnotnecessarilygiverisetosolidarity.Nordoessolidarityofitself
implyindivisibility.(n)

Article1211.Solidaritymayexistalthoughthecreditorsandthedebtorsmaynotbeboundinthesamemannerand
bythesameperiodsandconditions.(1140)

Article1212. Each one of the solidary creditors may do whatever may be useful to the others, but not anything
whichmaybeprejudicialtothelatter.(1141a)

Article1213.Asolidarycreditorcannotassignhisrightswithouttheconsentoftheothers.(n)
consent

Article1214.Thedebtormaypayanyoneofthesolidarycreditorsbutifanydemand,judicialorextrajudicial,has
beenmadebyoneofthem,paymentshouldbemadetohim.(1142a)

Article1215.Novation,compensation,confusionorremissionofthedebt,madebyanyofthesolidarycreditorsor
withanyofthesolidarydebtors,shallextinguishtheobligation,withoutprejudicetotheprovisionsofarticle1219.

Thecreditorwhomayhaveexecutedanyoftheseacts,aswellashewhocollectsthedebt,shallbeliabletothe
othersfortheshareintheobligationcorrespondingtothem.(1143)

Article 1216. The creditor may proceed against any one of the solidary debtors or some or all of them
simultaneously.Thedemandmadeagainstoneofthemshallnotbeanobstacletothosewhichmaysubsequently
bedirectedagainsttheothers,solongasthedebthasnotbeenfullycollected.(1144a)

Article 1217. Payment made by one of the solidary debtors extinguishes the obligation. If two or more solidary
debtorsoffertopay,thecreditormaychoosewhichoffertoaccept.

He who made the payment may claim from his codebtors only the share which corresponds to each, with the
interestforthepaymentalreadymade.Ifthepaymentismadebeforethedebtisdue,nointerestfortheintervening
periodmaybedemanded.

Whenoneofthesolidarydebtorscannot,becauseofhisinsolvency,reimbursehissharetothedebtorpayingthe
obligation,suchshareshallbebornebyallhiscodebtors,inproportiontothedebtofeach.(1145a)

Article 1218. Payment by a solidary debtor shall not entitle him to reimbursement from his codebtors if such
paymentismadeaftertheobligationhasprescribedorbecomeillegal.(n)

Article1219.Theremissionmadebythecreditorofthesharewhichaffectsoneofthesolidarydebtorsdoesnot
releasethelatterfromhisresponsibilitytowardsthecodebtors,incasethedebthadbeentotallypaidbyanyoneof
thembeforetheremissionwaseffected.(1146a)

Article1220.Theremissionofthewholeobligation,obtainedbyoneofthesolidarydebtors,doesnotentitlehimto
reimbursementfromhiscodebtors.(n)

Article1221.Ifthethinghasbeenlostoriftheprestationhasbecomeimpossiblewithoutthefaultofthesolidary
debtors,theobligationshallbeextinguished.

If there was fault on the part of any one of them, all shall be responsible to the creditor, for the price and the
paymentofdamagesandinterest,withoutprejudicetotheiractionagainsttheguiltyornegligentdebtor.

Ifthroughafortuitousevent,thethingislostortheperformancehasbecomeimpossibleafteroneofthesolidary
debtorshasincurredindelaythroughthejudicialorextrajudicialdemanduponhimbythecreditor,theprovisionsof
theprecedingparagraphshallapply.(1147a)

Article1222.Asolidarydebtormay,inactionsfiledbythecreditor,availhimselfofalldefenseswhicharederived
fromthenatureoftheobligationandofthosewhicharepersonaltohim,orpertaintohisownshare.Withrespectto
thosewhichpersonallybelongtotheothers,hemayavailhimselfthereofonlyasregardsthatpartofthedebtfor
whichthelatterareresponsible.(1148a)

SECTION5
DivisibleandIndivisibleObligations

Article1223.Thedivisibilityorindivisibilityofthethingsthataretheobjectofobligationsinwhichthereisonlyone
debtorandonlyonecreditordoesnotalterormodifytheprovisionsofChapter2ofthisTitle.(1149)

Article1224.Ajointindivisibleobligationgivesrisetoindemnityfordamagesfromthetimeanyoneofthedebtors
does not comply with his undertaking. The debtors who may have been ready to fulfill their promises shall not
contributetotheindemnitybeyondthecorrespondingportionofthepriceofthethingorofthevalueoftheservicein
whichtheobligationconsists.(1150)

Article1225.Forthepurposesoftheprecedingarticles,obligationstogivedefinitethingsandthosewhicharenot
susceptibleofpartialperformanceshallbedeemedtobeindivisible.

When the obligation has for its object the execution of a certain number of days of work, the accomplishment of
workbymetricalunits,oranalogousthingswhichbytheirnaturearesusceptibleofpartialperformance,itshallbe
divisible.

However,eventhoughtheobjectorservicemaybephysicallydivisible,anobligationisindivisibleifsoprovidedby
laworintendedbytheparties.

In obligations not to do, divisibility or indivisibility shall be determined by the character of the prestation in each
particularcase.(1151a)

SECTION6
ObligationswithaPenalClause

Article 1226. In obligations with a penal clause, the penalty shall substitute the indemnity for damages and the
paymentofinterestsincaseofnoncompliance,ifthereisnostipulationtothecontrary.Nevertheless,damagesshall
bepaidiftheobligorrefusestopaythepenaltyorisguiltyoffraudinthefulfillmentoftheobligation.

ThepenaltymaybeenforcedonlywhenitisdemandableinaccordancewiththeprovisionsofthisCode.(1152a)

Article1227.Thedebtorcannotexempthimselffromtheperformanceoftheobligationbypayingthepenalty,save
inthecasewherethisrighthasbeenexpresslyreservedforhim.Neithercanthecreditordemandthefulfillmentof
theobligationandthesatisfactionofthepenaltyatthesametime,unlessthisrighthasbeenclearlygrantedhim.
However,ifafterthecreditorhasdecidedtorequirethefulfillmentoftheobligation,theperformancethereofshould
becomeimpossiblewithouthisfault,thepenaltymaybeenforced.(1153a)

Article1228. Proof of actual damages suffered by the creditor is not necessary in order that the penalty may be
demanded.(n)

Article 1229. The judge shall equitably reduce the penalty when the principal obligation has been partly or
irregularlycompliedwithbythedebtor.Eveniftherehasbeennoperformance,thepenaltymayalsobereducedby
thecourtsifitisiniquitousorunconscionable.(1154a)

Article1230.Thenullityofthepenalclausedoesnotcarrywithitthatoftheprincipalobligation.

Thenullityoftheprincipalobligationcarrieswithitthatofthepenalclause.(1155)

CHAPTER4
ExtinguishmentofObligations

GeneralProvisions

Article1231.Obligationsareextinguished:

(1)Bypaymentorperformance

(2)Bythelossofthethingdue

(3)Bythecondonationorremissionofthedebt

(4)Bytheconfusionormergeroftherightsofcreditoranddebtor

(5)Bycompensation

(6)Bynovation.

Othercausesofextinguishmentofobligations,suchasannulment,rescission,fulfillmentofaresolutorycondition,
andprescription,aregovernedelsewhereinthisCode.(1156a)

SECTION1
PaymentorPerformance

Article1232.Paymentmeansnotonlythedeliveryofmoneybutalsotheperformance,inanyothermanner,ofan
obligation.(n)

Article1233.Adebtshallnotbeunderstoodtohavebeenpaidunlessthethingorserviceinwhichtheobligation
consistshasbeencompletelydeliveredorrendered,asthecasemaybe.(1157)

Article1234. If the obligation has been substantially performed in good faith, the obligor may recover as though
therehadbeenastrictandcompletefulfillment,lessdamagessufferedbytheobligee.(n)

Article1235. When the obligee accepts the performance, knowing its incompleteness or irregularity, and without
expressinganyprotestorobjection,theobligationisdeemedfullycompliedwith.(n)

Article1236.Thecreditorisnotboundtoacceptpaymentorperformancebyathirdpersonwhohasnointerestin
thefulfillmentoftheobligation,unlessthereisastipulationtothecontrary.

Whoever pays for another may demand from the debtor what he has paid, except that if he paid without the
knowledgeoragainstthewillofthedebtor,hecanrecoveronlyinsofarasthepaymenthasbeenbeneficialtothe
debtor.(1158a)

Article1237.Whoeverpaysonbehalfofthedebtorwithouttheknowledgeoragainstthewillofthelatter,cannot
compel the creditor to subrogate him in his rights, such as those arising from a mortgage, guaranty, or penalty.
(1159a)

Article1238.Paymentmadebyathirdpersonwhodoesnotintendtobereimbursedbythedebtorisdeemedtobe
a donation, which requires the debtor's consent
consent. But the payment is in any case valid as to the creditor who has
acceptedit.(n)

Article1239.Inobligationstogive,paymentmadebyonewhodoesnothavethefreedisposalofthethingdueand
capacitytoalienateitshallnotbevalid,withoutprejudicetotheprovisionsofarticle1427undertheTitleon"Natural
Obligations."(1160a)
Article 1240. Payment shall be made to the person in whose favor the obligation has been constituted, or his
successorininterest,oranypersonauthorizedtoreceiveit.(1162a)

Article1241.Paymenttoapersonwhoisincapacitatedtoadministerhispropertyshallbevalidifhehaskeptthe
thingdelivered,orinsofarasthepaymenthasbeenbeneficialtohim.

Paymentmadetoathirdpersonshallalsobevalidinsofarasithasredoundedtothebenefitofthecreditor.Such
benefittothecreditorneednotbeprovedinthefollowingcases:

(1)Ifafterthepayment,thethirdpersonacquiresthecreditor'srights

(2)Ifthecreditorratifiesthepaymenttothethirdperson

(3) If by the creditor's conduct, the debtor has been led to believe that the third person had authority to
receivethepayment.(1163a)

Article1242.Paymentmadeingoodfaithtoanypersoninpossessionofthecreditshallreleasethedebtor.(1164)

Article1243.Paymentmadetothecreditorbythedebtorafterthelatterhasbeenjudiciallyorderedtoretainthe
debtshallnotbevalid.(1165)

Article1244.Thedebtorofathingcannotcompelthecreditortoreceiveadifferentone,althoughthelattermaybe
ofthesamevalueas,ormorevaluablethanthatwhichisdue.

Inobligationstodoornottodo,anactorforbearancecannotbesubstitutedbyanotheractorforbearanceagainst
theobligee'swill.(1166a)

Article1245. Dation in payment, whereby property is alienated to the creditor in satisfaction of a debt in money,
shallbegovernedbythelawofsales.(n)

Article1246.Whentheobligationconsistsinthedeliveryofanindeterminateorgenericthing,whosequalityand
circumstanceshavenotbeenstated,thecreditorcannotdemandathingofsuperiorquality.Neithercanthedebtor
deliver a thing of inferior quality. The purpose of the obligation and other circumstances shall be taken into
consideration.(1167a)

Article1247.Unlessitisotherwisestipulated,theextrajudicialexpensesrequiredbythepaymentshallbeforthe
accountofthedebtor.Withregardtojudicialcosts,theRulesofCourtshallgovern.(1168a)

Article 1248. Unless there is an express stipulation to that effect, the creditor cannot be compelled partially to
receive the prestations in which the obligation consists. Neither may the debtor be required to make partial
payments.

However,whenthedebtisinpartliquidatedandinpartunliquidated,thecreditormaydemandandthedebtormay
effectthepaymentoftheformerwithoutwaitingfortheliquidationofthelatter.(1169a)

Article1249.Thepaymentofdebtsinmoneyshallbemadeinthecurrencystipulated,andifitisnotpossibleto
deliversuchcurrency,theninthecurrencywhichislegaltenderinthePhilippines.

Thedeliveryofpromissorynotespayabletoorder,orbillsofexchangeorothermercantiledocumentsshallproduce
theeffectofpaymentonlywhentheyhavebeencashed,orwhenthroughthefaultofthecreditortheyhavebeen
impaired.

Inthemeantime,theactionderivedfromtheoriginalobligationshallbeheldintheabeyance.(1170)

Article1250.Incaseanextraordinaryinflationordeflationofthecurrencystipulatedshouldsupervene,thevalueof
the currency at the time of the establishment of the obligation shall be the basis of payment, unless there is an
agreementtothecontrary.(n)

Article1251.Paymentshallbemadeintheplacedesignatedintheobligation.

There being no express stipulation and if the undertaking is to deliver a determinate thing, the payment shall be
madewhereverthethingmightbeatthemomenttheobligationwasconstituted.

Inanyothercasetheplaceofpaymentshallbethedomicileofthedebtor.

If the debtor changes his domicile in bad faith or after he has incurred in delay, the additional expenses shall be
bornebyhim.

TheseprovisionsarewithoutprejudicetovenueundertheRulesofCourt.(1171a)
SUBSECTION1.ApplicationofPayments

Article1252.Hewhohasvariousdebtsofthesamekindinfavorofoneandthesamecreditor,maydeclareatthe
timeofmakingthepayment,towhichofthemthesamemustbeapplied.Unlessthepartiessostipulate,orwhen
theapplicationofpaymentismadebythepartyforwhosebenefitthetermhasbeenconstituted,applicationshall
notbemadeastodebtswhicharenotyetdue.

Ifthedebtoracceptsfromthecreditorareceiptinwhichanapplicationofthepaymentismade,theformercannot
complainofthesame,unlessthereisacauseforinvalidatingthecontract.(1172a)

Article1253.Ifthedebtproducesinterest,paymentoftheprincipalshallnotbedeemedtohavebeenmadeuntil
theinterestshavebeencovered.(1173)

Article1254.Whenthepaymentcannotbeappliedinaccordancewiththeprecedingrules,orifapplicationcannot
be inferred from other circumstances, the debt which is most onerous to the debtor, among those due, shall be
deemedtohavebeensatisfied.

If the debts due are of the same nature and burden, the payment shall be applied to all of them proportionately.
(1174a)

SUBSECTION2.PaymentbyCession

Article1255. The debtor may cede or assign his property to his creditors in payment of his debts. This cession,
unlessthereisstipulationtothecontrary,shallonlyreleasethedebtorfromresponsibilityforthenetproceedsofthe
thingassigned.Theagreementswhich,ontheeffectofthecession,aremadebetweenthedebtorandhiscreditors
shallbegovernedbyspeciallaws.(1175a)

SUBSECTION3.TenderofPaymentandConsignation

Article1256.Ifthecreditortowhomtenderofpaymenthasbeenmaderefuseswithoutjustcausetoacceptit,the
debtorshallbereleasedfromresponsibilitybytheconsignationofthethingorsumdue.

Consignationaloneshallproducethesameeffectinthefollowingcases:

(1)Whenthecreditorisabsentorunknown,ordoesnotappearattheplaceofpayment

(2)Whenheisincapacitatedtoreceivethepaymentatthetimeitisdue

(3)When,withoutjustcause,herefusestogiveareceipt

(4)Whentwoormorepersonsclaimthesamerighttocollect

(5)Whenthetitleoftheobligationhasbeenlost.(1176a)

Article1257.Inorderthattheconsignationofthethingduemayreleasetheobligor,itmustfirstbeannouncedto
thepersonsinterestedinthefulfillmentoftheobligation.

The consignation shall be ineffectual if it is not made strictly in consonance with the provisions which regulate
payment.(1177)

Article1258.Consignationshallbemadebydepositingthethingsdueatthedisposalofjudicialauthority,before
whomthetenderofpaymentshallbeproved,inapropercase,andtheannouncementoftheconsignationinother
cases.

Theconsignationhavingbeenmade,theinterestedpartiesshallalsobenotifiedthereof.(1178)

Article1259.Theexpensesofconsignation,whenproperlymade,shallbechargedagainstthecreditor.(1179)

Article1260.Oncetheconsignationhasbeendulymade,thedebtormayaskthejudgetoorderthecancellationof
theobligation.

Beforethecreditorhasacceptedtheconsignation,orbeforeajudicialdeclarationthattheconsignationhasbeen
properlymade,thedebtormaywithdrawthethingorthesumdeposited,allowingtheobligationtoremaininforce.
(1180)

Article1261.If,theconsignationhavingbeenmade,thecreditorshouldauthorizethedebtortowithdrawthesame,
heshallloseeverypreferencewhichhemayhaveoverthething.Thecodebtors,guarantorsandsuretiesshallbe
released.(1181a)
 SECTION2
LossoftheThingDue

Article1262.Anobligationwhichconsistsinthedeliveryofadeterminatethingshallbeextinguishedifitshouldbe
lostordestroyedwithoutthefaultofthedebtor,andbeforehehasincurredindelay.

Whenbylaworstipulation,theobligorisliableevenforfortuitousevents,thelossofthethingdoesnotextinguish
theobligation,andheshallberesponsiblefordamages.Thesameruleapplieswhenthenatureoftheobligation
requirestheassumptionofrisk.(1182a)

Article1263.Inanobligationtodeliveragenericthing,thelossordestructionofanythingofthesamekinddoesnot
extinguishtheobligation.(n)

Article 1264. The courts shall determine whether, under the circumstances, the partial loss of the object of the
obligationissoimportantastoextinguishtheobligation.(n)

Article1265.Wheneverthethingislostinthepossessionofthedebtor,itshallbepresumedthatthelosswasdue
to his fault, unless there is proof to the contrary, and without prejudice to the provisions of article 1165. This
presumptiondoesnotapplyincaseofearthquake,flood,storm,orothernaturalcalamity.(1183a)

Article 1266. The debtor in obligations to do shall also be released when the prestation becomes legally or
physicallyimpossiblewithoutthefaultoftheobligor.(1184a)

Article1267.Whentheservicehasbecomesodifficultastobemanifestlybeyondthecontemplationoftheparties,
theobligormayalsobereleasedtherefrom,inwholeorinpart.(n)

Article1268.Whenthedebtofathingcertainanddeterminateproceedsfromacriminaloffense,thedebtorshall
not be exempted from the payment of its price, whatever may be the cause for the loss, unless the thing having
beenofferedbyhimtothepersonwhoshouldreceiveit,thelatterrefusedwithoutjustificationtoacceptit.(1185)

Article1269.Theobligationhavingbeenextinguishedbythelossofthething,thecreditorshallhavealltherights
ofactionwhichthedebtormayhaveagainstthirdpersonsbyreasonoftheloss.(1186)

SECTION3
CondonationorRemissionoftheDebt

Article1270.Condonationorremissionisessentiallygratuitous,andrequirestheacceptancebytheobligor.Itmay
bemadeexpresslyorimpliedly.

Oneandtheotherkindshallbesubjecttotheruleswhichgoverninofficiousdonations.Expresscondonationshall,
furthermore,complywiththeformsofdonation.(1187)

Article1271.Thedeliveryofaprivatedocumentevidencingacredit,madevoluntarilybythecreditortothedebtor,
impliestherenunciationoftheactionwhichtheformerhadagainstthelatter.

If in order to nullify this waiver it should be claimed to be inofficious, the debtor and his heirs may uphold it by
provingthatthedeliveryofthedocumentwasmadeinvirtueofpaymentofthedebt.(1188)

Article1272.Whenevertheprivatedocumentinwhichthedebtappearsisfoundinthepossessionofthedebtor,it
shallbepresumedthatthecreditordelivereditvoluntarily,unlessthecontraryisproved.(1189)

Article1273.Therenunciationoftheprincipaldebtshallextinguishtheaccessoryobligationsbutthewaiverofthe
lattershallleavetheformerinforce.(1190)

Article1274.Itispresumedthattheaccessoryobligationofpledgehasbeenremittedwhenthethingpledged,after
itsdeliverytothecreditor,isfoundinthepossessionofthedebtor,orofathirdpersonwhoownsthething.(1191a)

SECTION4
ConfusionorMergerofRights

Article1275.Theobligationisextinguishedfromthetimethecharactersofcreditoranddebtoraremergedinthe
sameperson.(1192a)
Article1276. Merger which takes place in the person of the principal debtor or creditor benefits the guarantors.
Confusionwhichtakesplaceinthepersonofanyofthelatterdoesnotextinguishtheobligation.(1193)

Article 1277. Confusion does not extinguish a joint obligation except as regards the share corresponding to the
creditorordebtorinwhomthetwocharactersconcur.(1194)

SECTION5
Compensation

Article1278.Compensationshalltakeplacewhentwopersons,intheirownright,arecreditorsanddebtorsofeach
other.(1195)

Article1279.Inorderthatcompensationmaybeproper,itisnecessary:

(1)Thateachoneoftheobligorsbeboundprincipally,andthathebeatthesametimeaprincipalcreditorof
theother

(2)Thatbothdebtsconsistinasumofmoney,orifthethingsdueareconsumable,theybeofthesamekind,
andalsoofthesamequalityifthelatterhasbeenstated

(3)Thatthetwodebtsbedue

(4)Thattheybeliquidatedanddemandable

(5) That over neither of them there be any retention or controversy, commenced by third persons and
communicatedinduetimetothedebtor.(1196)

Article1280. Notwithstanding the provisions of the preceding article, the guarantor may set up compensation as
regardswhatthecreditormayowetheprincipaldebtor.(1197)

Article1281.Compensationmaybetotalorpartial.Whenthetwodebtsareofthesameamount,thereisatotal
compensation.(n)

Article1282.Thepartiesmayagreeuponthecompensationofdebtswhicharenotyetdue.(n)

Article1283.Ifoneofthepartiestoasuitoveranobligationhasaclaimfordamagesagainsttheother,theformer
maysetitoffbyprovinghisrighttosaiddamagesandtheamountthereof.(n)

Article1284. When one or both debts are rescissible or voidable, they may be compensated against each other
beforetheyarejudiciallyrescindedoravoided.(n)

Article 1285. The debtor who has consented

consented to the assignment of rights made by a creditor in favor of a third
person, cannot set up against the assignee the compensation which would pertain to him against the assignor,
unless the assignor was notified by the debtor at the time he gave his consent,
consent that he reserved his right to the
compensation.

If the creditor communicated the cession to him but the debtor did not consent
consent thereto, the latter may set up the
compensationofdebtsprevioustothecession,butnotofsubsequentones.

Iftheassignmentismadewithouttheknowledgeofthedebtor,hemaysetupthecompensationofallcreditspriorto
thesameandalsolateronesuntilhehadknowledgeoftheassignment.(1198a)

Article1286. Compensation takes place by operation of law, even though the debts may be payable at different
places,butthereshallbeanindemnityforexpensesofexchangeortransportationtotheplaceofpayment.(1199a)

Article 1287. Compensation shall not be proper when one of the debts arises from a depositum or from the
obligationsofadepositaryorofabaileeincommodatum.

Neithercancompensationbesetupagainstacreditorwhohasaclaimforsupportduebygratuitoustitle,without
prejudicetotheprovisionsofparagraph2ofarticle301.(1200a)

Article1288.Neithershalltherebecompensationifoneofthedebtsconsistsincivilliabilityarisingfromapenal
offense.(n)

Article1289.Ifapersonshouldhaveagainsthimseveraldebtswhicharesusceptibleofcompensation,theruleson
theapplicationofpaymentsshallapplytotheorderofthecompensation.(1201)
Article1290.Whenalltherequisitesmentionedinarticle1279arepresent,compensationtakeseffectbyoperation
oflaw,andextinguishesbothdebtstotheconcurrentamount,eventhoughthecreditorsanddebtorsarenotaware
ofthecompensation.(1202a)

SECTION6
Novation

Article1291.Obligationsmaybemodifiedby:

(1)Changingtheirobjectorprincipalconditions

(2)Substitutingthepersonofthedebtor

(3)Subrogatingathirdpersonintherightsofthecreditor.(1203)

Article1292.Inorderthatanobligationmaybeextinguishedbyanotherwhichsubstitutethesame,itisimperative
thatitbesodeclaredinunequivocalterms,orthattheoldandthenewobligationsbeoneverypointincompatible
witheachother.(1204)

Article1293.Novationwhichconsistsinsubstitutinganewdebtorintheplaceoftheoriginalone,maybemade
evenwithouttheknowledgeoragainstthewillofthelatter,butnotwithouttheconsentofthecreditor.Paymentby
consent
thenewdebtorgiveshimtherightsmentionedinarticles1236and1237.(1205a)

Article 1294. If the substitution is without the knowledge or against the will of the debtor, the new debtor's
insolvencyornonfulfillmentoftheobligationsshallnotgiverisetoanyliabilityonthepartoftheoriginaldebtor.(n)

Article1295.Theinsolvencyofthenewdebtor,whohasbeenproposedbytheoriginaldebtorandacceptedbythe
creditor,shallnotrevivetheactionofthelatteragainsttheoriginalobligor,exceptwhensaidinsolvencywasalready
existingandofpublicknowledge,orknowntothedebtor,whenthedelegatedhisdebt.(1206a)

Article 1296. When the principal obligation is extinguished in consequence of a novation, accessory obligations
maysubsistonlyinsofarastheymaybenefitthirdpersonswhodidnotgivetheirconsent.(1207)
consent

Article1297.Ifthenewobligationisvoid,theoriginaloneshallsubsist,unlessthepartiesintendedthattheformer
relationshouldbeextinguishedinanyevent.(n)

Article1298.Thenovationisvoidiftheoriginalobligationwasvoid,exceptwhenannulmentmaybeclaimedonly
bythedebtororwhenratificationvalidatesactswhicharevoidable.(1208a)

Article1299.Iftheoriginalobligationwassubjecttoasuspensiveorresolutorycondition,thenewobligationshall
beunderthesamecondition,unlessitisotherwisestipulated.(n)

Article1300.Subrogationofathirdpersonintherightsofthecreditoriseitherlegalorconventional.Theformeris
notpresumed,exceptincasesexpresslymentionedinthisCodethelattermustbeclearlyestablishedinorderthat
itmaytakeeffect.(1209a)

Article1301.Conventionalsubrogationofathirdpersonrequirestheconsentoftheoriginalpartiesandofthethird
consent
person.(n)

Article1302.Itispresumedthatthereislegalsubrogation:

(1)Whenacreditorpaysanothercreditorwhoispreferred,evenwithoutthedebtor'sknowledge

(2)Whenathirdperson,notinterestedintheobligation,payswiththeexpressortacitapprovalofthedebtor

(3) When, even without the knowledge of the debtor, a person interested in the fulfillment of the obligation
pays,withoutprejudicetotheeffectsofconfusionastothelatter'sshare.(1210a)

Article 1303. Subrogation transfers to the persons subrogated the credit with all the rights thereto appertaining,
either against the debtor or against third person, be they guarantors or possessors of mortgages, subject to
stipulationinaconventionalsubrogation.(1212a)

Article1304.Acreditor,towhompartialpaymenthasbeenmade,mayexercisehisrightfortheremainder,andhe
shallbepreferredtothepersonwhohasbeensubrogatedinhisplaceinvirtueofthepartialpaymentofthesame
credit.(1213)
 TITLEII
CONTRACTS

CHAPTER1
GeneralProvisions

Article1305.Acontractisameetingofmindsbetweentwopersonswherebyonebindshimself,withrespecttothe
other,togivesomethingortorendersomeservice.(1254a)

Article1306. The contracting parties may establish such stipulations, clauses, terms and conditions as they may
deem convenient, provided they are not contrary to law, morals, good customs, public order, or public policy.
(1255a)

Article1307.Innominatecontractsshallberegulatedbythestipulationsoftheparties,bytheprovisionsofTitlesI
andIIofthisBook,bytherulesgoverningthemostanalogousnominatecontracts,andbythecustomsoftheplace.
(n)

Article1308.Thecontractmustbindbothcontractingpartiesitsvalidityorcompliancecannotbelefttothewillof
oneofthem.(1256a)

Article 1309. The determination of the performance may be left to a third person, whose decision shall not be
bindinguntilithasbeenmadeknowntobothcontractingparties.(n)

Article1310. The determination shall not be obligatory if it is evidently inequitable. In such case, the courts shall
decidewhatisequitableunderthecircumstances.(n)

Article1311.Contractstakeeffectonlybetweentheparties,theirassignsandheirs,exceptincasewheretherights
andobligationsarisingfromthecontractarenottransmissiblebytheirnature,orbystipulationorbyprovisionoflaw.
Theheirisnotliablebeyondthevalueofthepropertyhereceivedfromthedecedent.

Ifacontractshouldcontainsomestipulationinfavorofathirdperson,hemaydemanditsfulfillmentprovidedhe
communicatedhisacceptancetotheobligorbeforeitsrevocation.Amereincidentalbenefitorinterestofapersonis
not sufficient. The contracting parties must have clearly and deliberately conferred a favor upon a third person.
(1257a)

Article1312.Incontractscreatingrealrights,thirdpersonswhocomeintopossessionoftheobjectofthecontract
areboundthereby,subjecttotheprovisionsoftheMortgageLawandtheLandRegistrationLaws.(n)

Article1313.Creditorsareprotectedincasesofcontractsintendedtodefraudthem.(n)

Article1314.Anythirdpersonwhoinducesanothertoviolatehiscontractshallbeliablefordamagestotheother
contractingparty.(n)

Article1315.Contractsareperfectedbymereconsent,andfromthatmomentthepartiesareboundnotonlytothe
consent
fulfillmentofwhathasbeenexpresslystipulatedbutalsotoalltheconsequenceswhich,accordingtotheirnature,
maybeinkeepingwithgoodfaith,usageandlaw.(1258)

Article1316.Realcontracts,suchasdeposit,pledgeandcommodatum,arenotperfecteduntilthedeliveryofthe
objectoftheobligation.(n)

Article1317.Noonemaycontractinthenameofanotherwithoutbeingauthorizedbythelatter,orunlesshehas
bylawarighttorepresenthim.

A contract entered into in the name of another by one who has no authority or legal representation, or who has
actedbeyondhispowers,shallbeunenforceable,unlessitisratified,expresslyorimpliedly,bythepersononwhose
behalfithasbeenexecuted,beforeitisrevokedbytheothercontractingparty.(1259a)

CHAPTER2
EssentialRequisitesofContracts

GeneralProvisions

Article1318.Thereisnocontractunlessthefollowingrequisitesconcur:

(1)Consentofthecontractingparties
Consent
 (2)Objectcertainwhichisthesubjectmatterofthecontract

(3)Causeoftheobligationwhichisestablished.(1261)

SECTION1
Consent

Article1319.Consentismanifestedbythemeetingoftheofferandtheacceptanceuponthethingandthecause
Consent
whicharetoconstitutethecontract.Theoffermustbecertainandtheacceptanceabsolute.Aqualifiedacceptance
constitutesacounteroffer.

Acceptancemadebyletterortelegramdoesnotbindtheoffererexceptfromthetimeitcametohisknowledge.The
contract,insuchacase,ispresumedtohavebeenenteredintointheplacewheretheofferwasmade.(1262a)

Article1320.Anacceptancemaybeexpressorimplied.(n)

Article1321.Thepersonmakingtheoffermayfixthetime,place,andmannerofacceptance,allofwhichmustbe
compliedwith.(n)

Article1322.Anoffermadethroughanagentisacceptedfromthetimeacceptanceiscommunicatedtohim.(n)

Article1323. An offer becomes ineffective upon the death, civil interdiction, insanity, or insolvency of either party
beforeacceptanceisconveyed.(n)

Article1324.Whentheoffererhasallowedtheoffereeacertainperiodtoaccept,theoffermaybewithdrawnatany
time before acceptance by communicating such withdrawal, except when the option is founded upon a
consideration,assomethingpaidorpromised.(n)

Article1325. Unless it appears otherwise, business advertisements of things for sale are not definite offers, but
mereinvitationstomakeanoffer.(n)

Article1326.Advertisementsforbiddersaresimplyinvitationstomakeproposals,andtheadvertiserisnotbound
toacceptthehighestorlowestbidder,unlessthecontraryappears.(n)

Article1327.Thefollowingcannotgiveconsenttoacontract:
consent

(1)Unemancipatedminors

(2)Insaneordementedpersons,anddeafmuteswhodonotknowhowtowrite.(1263a)

Article1328.Contractsenteredintoduringalucidintervalarevalid.Contractsagreedtoinastateofdrunkenness
orduringahypnoticspellarevoidable.(n)

Article 1329. The incapacity declared in article 1327 is subject to the modifications determined by law, and is
understoodtobewithoutprejudicetospecialdisqualificationsestablishedinthelaws.(1264)

Article1330.Acontractwhereconsentisgiventhroughmistake,violence,intimidation,undueinfluence,orfraudis
consent
voidable.(1265a)

Article1331.Inorderthatmistakemayinvalidateconsent,itshouldrefertothesubstanceofthethingwhichisthe
consent
object of the contract, or to those conditions which have principally moved one or both parties to enter into the
contract.

Mistake as to the identity or qualifications of one of the parties will vitiate consent
consent only when such identity or
qualificationshavebeentheprincipalcauseofthecontract.

Asimplemistakeofaccountshallgiverisetoitscorrection.(1266a)

Article1332.Whenoneofthepartiesisunabletoread,orifthecontractisinalanguagenotunderstoodbyhim,
andmistakeorfraudisalleged,thepersonenforcingthecontractmustshowthatthetermsthereofhavebeenfully
explainedtotheformer.(n)

Article1333.Thereisnomistakeifthepartyallegingitknewthedoubt,contingencyorriskaffectingtheobjectof
thecontract.(n)

Article1334.Mutualerrorastothelegaleffectofanagreementwhentherealpurposeofthepartiesisfrustrated,
mayvitiateconsent.(n)
consent
Article1335.Thereisviolencewheninordertowrestconsent,seriousorirresistibleforceisemployed.
consent

Thereisintimidationwhenoneofthecontractingpartiesiscompelledbyareasonableandwellgroundedfearofan
imminentandgraveeviluponhispersonorproperty,oruponthepersonorpropertyofhisspouse,descendantsor
ascendants,togivehisconsent.
consent

Todeterminethedegreeofintimidation,theage,sexandconditionofthepersonshallbeborneinmind.

A threat to enforce one's claim through competent authority, if the claim is just or legal, does not vitiate consent
consent.
(1267a)

Article1336. Violence or intimidation shall annul the obligation, although it may have been employed by a third
personwhodidnottakepartinthecontract.(1268)

Article 1337. There is undue influence when a person takes improper advantage of his power over the will of
another, depriving the latter of a reasonable freedom of choice. The following circumstances shall be considered:
theconfidential,family,spiritualandotherrelationsbetweentheparties,orthefactthatthepersonallegedtohave
beenundulyinfluencedwassufferingfrommentalweakness,orwasignorantorinfinancialdistress.(n)

Article1338. There is fraud when, through insidious words or machinations of one of the contracting parties, the
otherisinducedtoenterintoacontractwhich,withoutthem,hewouldnothaveagreedto.(1269)

Article 1339. Failure to disclose facts, when there is a duty to reveal them, as when the parties are bound by
confidentialrelations,constitutesfraud.(n)

Article1340.Theusualexaggerationsintrade,whentheotherpartyhadanopportunitytoknowthefacts,arenot
inthemselvesfraudulent.(n)

Article1341.Amereexpressionofanopiniondoesnotsignifyfraud,unlessmadebyanexpertandtheotherparty
hasreliedontheformer'sspecialknowledge.(n)

Article 1342. Misrepresentation by a third person does not vitiate consent

consent, unless such misrepresentation has
createdsubstantialmistakeandthesameismutual.(n)

Article1343.Misrepresentationmadeingoodfaithisnotfraudulentbutmayconstituteerror.(n)

Article 1344. In order that fraud may make a contract voidable, it should be serious and should not have been
employedbybothcontractingparties.

Incidentalfraudonlyobligesthepersonemployingittopaydamages.(1270)

Article1345.Simulationofacontractmaybeabsoluteorrelative.Theformertakesplacewhenthepartiesdonot
intendtobeboundatallthelatter,whenthepartiesconcealtheirtrueagreement.(n)

Article1346.Anabsolutelysimulatedorfictitiouscontractisvoid.Arelativesimulation,whenitdoesnotprejudicea
thirdpersonandisnotintendedforanypurposecontrarytolaw,morals,goodcustoms,publicorderorpublicpolicy
bindsthepartiestotheirrealagreement.(n)

SECTION2
ObjectofContracts

Article1347.Allthingswhicharenotoutsidethecommerceofmen,includingfuturethings,maybetheobjectofa
contract.Allrightswhicharenotintransmissiblemayalsobetheobjectofcontracts.

Nocontractmaybeenteredintouponfutureinheritanceexceptincasesexpresslyauthorizedbylaw.

Allserviceswhicharenotcontrarytolaw,morals,goodcustoms,publicorderorpublicpolicymaylikewisebethe
objectofacontract.(1271a)

Article1348.Impossiblethingsorservicescannotbetheobjectofcontracts.(1272)

Article 1349. The object of every contract must be determinate as to its kind. The fact that the quantity is not
determinateshallnotbeanobstacletotheexistenceofthecontract,provideditispossibletodeterminethesame,
withouttheneedofanewcontractbetweentheparties.(1273)
 SECTION3
CauseofContracts

Article 1350. In onerous contracts the cause is understood to be, for each contracting party, the prestation or
promiseofathingorservicebytheotherinremuneratoryones,theserviceorbenefitwhichisremuneratedandin
contractsofpurebeneficence,themereliberalityofthebenefactor.(1274)

Article1351.Theparticularmotivesofthepartiesinenteringintoacontractaredifferentfromthecausethereof.(n)

Article1352.Contractswithoutcause,orwithunlawfulcause,producenoeffectwhatever.Thecauseisunlawfulif
itiscontrarytolaw,morals,goodcustoms,publicorderorpublicpolicy.(1275a)

Article1353.Thestatementofafalsecauseincontractsshallrenderthemvoid,ifitshouldnotbeprovedthatthey
werefoundeduponanothercausewhichistrueandlawful.(1276)

Article1354.Althoughthecauseisnotstatedinthecontract,itispresumedthatitexistsandislawful,unlessthe
debtorprovesthecontrary.(1277)

Article1355.Exceptincasesspecifiedbylaw,lesionorinadequacyofcauseshallnotinvalidateacontract,unless
therehasbeenfraud,mistakeorundueinfluence.(n)

CHAPTER3
FormofContracts

Article 1356. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the
essentialrequisitesfortheirvalidityarepresent.However,whenthelawrequiresthatacontractbeinsomeformin
orderthatitmaybevalidorenforceable,orthatacontractbeprovedinacertainway,thatrequirementisabsolute
andindispensable.Insuchcases,therightofthepartiesstatedinthefollowingarticlecannotbeexercised.(1278a)

Article1357.Ifthelawrequiresadocumentorotherspecialform,asintheactsandcontractsenumeratedinthe
following article, the contracting parties may compel each other to observe that form, once the contract has been
perfected.Thisrightmaybeexercisedsimultaneouslywiththeactionuponthecontract.(1279a)

Article1358.Thefollowingmustappearinapublicdocument:

(1)Actsandcontractswhichhavefortheirobjectthecreation,transmission,modificationorextinguishmentof
realrightsoverimmovablepropertysalesofrealpropertyorofaninterestthereinaregovernedbyarticles
1403,No.2,and1405

(2) The cession, repudiation or renunciation of hereditary rights or of those of the conjugal partnership of
gains

(3)Thepowertoadministerproperty,oranyotherpowerwhichhasforitsobjectanactappearingorwhich
shouldappearinapublicdocument,orshouldprejudiceathirdperson

(4)Thecessionofactionsorrightsproceedingfromanactappearinginapublicdocument.

All other contracts where the amount involved exceeds five hundred pesos must appear in writing, even a
privateone.Butsalesofgoods,chattelsorthingsinactionaregovernedbyarticles,1403,No.2and1405.
(1280a)

CHAPTER4
ReformationofInstruments(n)

Article1359.When,therehavingbeenameetingofthemindsofthepartiestoacontract,theirtrueintentionisnot
expressedintheinstrumentpurportingtoembodytheagreement,byreasonofmistake,fraud,inequitableconduct
oraccident,oneofthepartiesmayaskforthereformationoftheinstrumenttotheendthatsuchtrueintentionmay
beexpressed.

Ifmistake,fraud,inequitableconduct,oraccidenthaspreventedameetingofthemindsoftheparties,theproper
remedyisnotreformationoftheinstrumentbutannulmentofthecontract.

Article1360.Theprinciplesofthegenerallawonthereformationofinstrumentsareherebyadoptedinsofarasthey
arenotinconflictwiththeprovisionsofthisCode.
Article 1361. When a mutual mistake of the parties causes the failure of the instrument to disclose their real
agreement,saidinstrumentmaybereformed.

Article 1362. If one party was mistaken and the other acted fraudulently or inequitably in such a way that the
instrumentdoesnotshowtheirtrueintention,theformermayaskforthereformationoftheinstrument.

Article1363.Whenonepartywasmistakenandtheotherkneworbelievedthattheinstrumentdidnotstatetheir
realagreement,butconcealedthatfactfromtheformer,theinstrumentmaybereformed.

Article1364.Whenthroughtheignorance,lackofskill,negligenceorbadfaithonthepartofthepersondraftingthe
instrumentoroftheclerkortypist,theinstrumentdoesnotexpressthetrueintentionoftheparties,thecourtsmay
orderthattheinstrumentbereformed.

Article 1365. If two parties agree upon the mortgage or pledge of real or personal property, but the instrument
statesthatthepropertyissoldabsolutelyorwitharightofrepurchase,reformationoftheinstrumentisproper.

Article1366.Thereshallbenoreformationinthefollowingcases:

(1)Simpledonationsintervivoswhereinnoconditionisimposed

(2)Wills

(3)Whentherealagreementisvoid.

Article1367.Whenoneofthepartieshasbroughtanactiontoenforcetheinstrument,hecannotsubsequentlyask
foritsreformation.

Article1368.Reformationmaybeorderedattheinstanceofeitherpartyorhissuccessorsininterest,ifthemistake
wasmutualotherwise,uponpetitionoftheinjuredparty,orhisheirsandassigns.

Article1369.Theprocedureforthereformationofinstrumentshallbegovernedbyrulesofcourttobepromulgated
bytheSupremeCourt.

CHAPTER5
InterpretationofContracts

Article1370.Ifthetermsofacontractareclearandleavenodoubtupontheintentionofthecontractingparties,the
literalmeaningofitsstipulationsshallcontrol.

If the words appear to be contrary to the evident intention of the parties, the latter shall prevail over the former.
(1281)

Article1371.Inordertojudgetheintentionofthecontractingparties,theircontemporaneousandsubsequentacts
shallbeprincipallyconsidered.(1282)

Article1372.Howevergeneralthetermsofacontractmaybe,theyshallnotbeunderstoodtocomprehendthings
thataredistinctandcasesthataredifferentfromthoseuponwhichthepartiesintendedtoagree.(1283)

Article1373.Ifsomestipulationofanycontractshouldadmitofseveralmeanings,itshallbeunderstoodasbearing
thatimportwhichismostadequatetorenderiteffectual.(1284)

Article1374.Thevariousstipulationsofacontractshallbeinterpretedtogether,attributingtothedoubtfulonesthat
sensewhichmayresultfromallofthemtakenjointly.(1285)

Article1375. Words which may have different significations shall be understood in that which is most in keeping
withthenatureandobjectofthecontract.(1286)

Article1376.Theusageorcustomoftheplaceshallbeborneinmindintheinterpretationoftheambiguitiesofa
contract,andshallfilltheomissionofstipulationswhichareordinarilyestablished.(1287)

Article1377.Theinterpretationofobscurewordsorstipulationsinacontractshallnotfavorthepartywhocaused
theobscurity.(1288)

Article1378.Whenitisabsolutelyimpossibletosettledoubtsbytherulesestablishedintheprecedingarticles,and
thedoubtsrefertoincidentalcircumstancesofagratuitouscontract,theleasttransmissionofrightsandinterests
shallprevail.Ifthecontractisonerous,thedoubtshallbesettledinfavorofthegreatestreciprocityofinterests.
Ifthedoubtsarecastupontheprincipalobjectofthecontractinsuchawaythatitcannotbeknownwhatmayhave
beentheintentionorwilloftheparties,thecontractshallbenullandvoid.(1289)

Article1379.TheprinciplesofinterpretationstatedinRule123oftheRulesofCourtshalllikewisebeobservedin
theconstructionofcontracts.(n)

CHAPTER6
RescissibleContracts

Article1380.Contractsvalidlyagreeduponmayberescindedinthecasesestablishedbylaw.(1290)

Article1381.Thefollowingcontractsarerescissible:

(1) Those which are entered into by guardians whenever the wards whom they represent suffer lesion by
morethanonefourthofthevalueofthethingswhicharetheobjectthereof

(2) Those agreed upon in representation of absentees, if the latter suffer the lesion stated in the preceding
number

(3)Thoseundertakeninfraudofcreditorswhenthelattercannotinanyothermannercollecttheclaimsdue
them

(4) Those which refer to things under litigation if they have been entered into by the defendant without the
knowledgeandapprovalofthelitigantsorofcompetentjudicialauthority

(5)Allothercontractsspeciallydeclaredbylawtobesubjecttorescission.(1291a)

Article1382. Payments made in a state of insolvency for obligations to whose fulfillment the debtor could not be
compelledatthetimetheywereeffected,arealsorescissible.(1292)

Article1383.Theactionforrescissionissubsidiaryitcannotbeinstitutedexceptwhenthepartysufferingdamage
hasnootherlegalmeanstoobtainreparationforthesame.(1294)

Article1384.Rescissionshallbeonlytotheextentnecessarytocoverthedamagescaused.(n)

Article1385.Rescissioncreatestheobligationtoreturnthethingswhichweretheobjectofthecontract,together
with their fruits, and the price with its interest consequently, it can be carried out only when he who demands
rescissioncanreturnwhateverhemaybeobligedtorestore.

Neithershallrescissiontakeplacewhenthethingswhicharetheobjectofthecontractarelegallyinthepossession
ofthirdpersonswhodidnotactinbadfaith.

Inthiscase,indemnityfordamagesmaybedemandedfromthepersoncausingtheloss.(1295)

Article1386. Rescission referred to in Nos. 1 and 2 of article 1381 shall not take place with respect to contracts
approvedbythecourts.(1296a)

Article1387.Allcontractsbyvirtueofwhichthedebtoralienatespropertybygratuitoustitlearepresumedtohave
beenenteredintoinfraudofcreditors,whenthedonordidnotreservesufficientpropertytopayalldebtscontracted
beforethedonation.

Alienationsbyoneroustitlearealsopresumedfraudulentwhenmadebypersonsagainstwhomsomejudgmenthas
beenrenderedinanyinstanceorsomewritofattachmenthasbeenissued.Thedecisionorattachmentneednot
refertothepropertyalienated,andneednothavebeenobtainedbythepartyseekingtherescission.

Inadditiontothesepresumptions,thedesigntodefraudcreditorsmaybeprovedinanyothermannerrecognizedby
thelawofevidence.(1297a)

Article1388.Whoeveracquiresinbadfaiththethingsalienatedinfraudofcreditors,shallindemnifythelatterfor
damagessufferedbythemonaccountofthealienation,whenever,duetoanycause,itshouldbeimpossibleforhim
toreturnthem.

Iftherearetwoormorealienations,thefirstacquirershallbeliablefirst,andsoonsuccessively.(1298a)

Article1389.Theactiontoclaimrescissionmustbecommencedwithinfouryears.
Forpersonsunderguardianshipandforabsentees,theperiodoffouryearsshallnotbeginuntiltheterminationof
theformer'sincapacity,oruntilthedomicileofthelatterisknown.(1299)

CHAPTER7
VoidableContracts

Article1390.Thefollowingcontractsarevoidableorannullable,eventhoughtheremayhavebeennodamageto
thecontractingparties:

(1)Thosewhereoneofthepartiesisincapableofgivingconsenttoacontract
consent

(2)Thosewheretheconsentisvitiatedbymistake,violence,intimidation,undueinfluenceorfraud.
consent

These contracts are binding, unless they are annulled by a proper action in court. They are susceptible of
ratification.(n)

Article1391.Theactionforannulmentshallbebroughtwithinfouryears.

Thisperiodshallbegin:

Incasesofintimidation,violenceorundueinfluence,fromthetimethedefectoftheconsentceases.
consent

Incaseofmistakeorfraud,fromthetimeofthediscoveryofthesame.

And when the action refers to contracts entered into by minors or other incapacitated persons, from the time the
guardianshipceases.(1301a)

Article1392.Ratificationextinguishestheactiontoannulavoidablecontract.(1309a)

Article1393.Ratificationmaybeeffectedexpresslyortacitly.Itisunderstoodthatthereisatacitratificationif,with
knowledgeofthereasonwhichrendersthecontractvoidableandsuchreasonhavingceased,thepersonwhohasa
righttoinvokeitshouldexecuteanactwhichnecessarilyimpliesanintentiontowaivehisright.(1311a)

Article1394.Ratificationmaybeeffectedbytheguardianoftheincapacitatedperson.(n)

Article 1395. Ratification does not require the conformity of the contracting party who has no right to bring the
actionforannulment.(1312)

Article1396.Ratificationcleansesthecontractfromallitsdefectsfromthemomentitwasconstituted.(1313)

Article1397.Theactionfortheannulmentofcontractsmaybeinstitutedbyallwhoaretherebyobligedprincipally
orsubsidiarily.However,personswhoarecapablecannotallegetheincapacityofthosewithwhomtheycontracted
norcanthosewhoexertedintimidation,violence,orundueinfluence,oremployedfraud,orcausedmistakebase
theiractionupontheseflawsofthecontract.(1302a)

Article1398.Anobligationhavingbeenannulled,thecontractingpartiesshallrestoretoeachotherthethingswhich
havebeenthesubjectmatterofthecontract,withtheirfruits,andthepricewithitsinterest,exceptincasesprovided
bylaw.

Inobligationstorenderservice,thevaluethereofshallbethebasisfordamages.(1303a)

Article 1399. When the defect of the contract consists in the incapacity of one of the parties, the incapacitated
personisnotobligedtomakeanyrestitutionexceptinsofarashehasbeenbenefitedbythethingorpricereceived
byhim.(1304)

Article1400.Wheneverthepersonobligedbythedecreeofannulmenttoreturnthethingcannotdosobecauseit
hasbeenlostthroughhisfault,heshallreturnthefruitsreceivedandthevalueofthethingatthetimeoftheloss,
withinterestfromthesamedate.(1307a)

Article1401.Theactionforannulmentofcontractsshallbeextinguishedwhenthethingwhichistheobjectthereof
islostthroughthefraudorfaultofthepersonwhohasarighttoinstitutetheproceedings.

Iftherightofactionisbasedupontheincapacityofanyoneofthecontractingparties,thelossofthethingshallnot
be an obstacle to the success of the action, unless said loss took place through the fraud or fault of the plaintiff.
(1314a)
Article1402.Aslongasoneofthecontractingpartiesdoesnotrestorewhatinvirtueofthedecreeofannulmenthe
isboundtoreturn,theothercannotbecompelledtocomplywithwhatisincumbentuponhim.(1308)

CHAPTER8
UnenforceableContracts(n)

Article1403.Thefollowingcontractsareunenforceable,unlesstheyareratified:

(1) Those entered into in the name of another person by one who has been given no authority or legal
representation,orwhohasactedbeyondhispowers

(2)ThosethatdonotcomplywiththeStatuteofFraudsassetforthinthisnumber.Inthefollowingcasesan
agreement hereafter made shall be unenforceable by action, unless the same, or some note or
memorandum, thereof, be in writing, and subscribed by the party charged, or by his agent evidence,
therefore,oftheagreementcannotbereceivedwithoutthewriting,orasecondaryevidenceofitscontents:

(a)Anagreementthatbyitstermsisnottobeperformedwithinayearfromthemakingthereof

(b)Aspecialpromisetoanswerforthedebt,default,ormiscarriageofanother

(c)Anagreementmadeinconsiderationofmarriage,otherthanamutualpromisetomarry

(d)Anagreementforthesaleofgoods,chattelsorthingsinaction,atapricenotlessthanfivehundred
pesos,unlessthebuyeracceptandreceivepartofsuchgoodsandchattels,ortheevidences,orsome
ofthem,ofsuchthingsinactionorpayatthetimesomepartofthepurchasemoneybutwhenasale
ismadebyauctionandentryismadebytheauctioneerinhissalesbook,atthetimeofthesale,ofthe
amountandkindofpropertysold,termsofsale,price,namesofthepurchasersandpersononwhose
accountthesaleismade,itisasufficientmemorandum

(e)Anagreementfortheleasingforalongerperiodthanoneyear,orforthesaleofrealpropertyorof
aninteresttherein

(f)Arepresentationastothecreditofathirdperson.

(3)Thosewherebothpartiesareincapableofgivingconsenttoacontract.
consent

Article1404. Unauthorized contracts are governed by article 1317 and the principles of agency in Title X of this
Book.

Article1405.ContractsinfringingtheStatuteofFrauds,referredtoinNo.2ofarticle1403,areratifiedbythefailure
toobjecttothepresentationoforalevidencetoprovethesame,orbytheacceptanceofbenefitunderthem.

Article1406.WhenacontractisenforceableundertheStatuteofFrauds,andapublicdocumentisnecessaryfor
itsregistrationintheRegistryofDeeds,thepartiesmayavailthemselvesoftherightunderArticle1357.

Article1407.Inacontractwherebothpartiesareincapableofgivingconsent,expressorimpliedratificationbythe
consent
parent,orguardian,asthecasemaybe,ofoneofthecontractingpartiesshallgivethecontractthesameeffectasif
onlyoneofthemwereincapacitated.

Ifratificationismadebytheparentsorguardians,asthecasemaybe,ofbothcontractingparties,thecontractshall
bevalidatedfromtheinception.

Article1408.Unenforceablecontractscannotbeassailedbythirdpersons.

CHAPTER9
VoidandInexistentContracts

Article1409.Thefollowingcontractsareinexistentandvoidfromthebeginning:

(1) Those whose cause, object or purpose is contrary to law, morals, good customs, public order or public
policy

(2)Thosewhichareabsolutelysimulatedorfictitious

(3)Thosewhosecauseorobjectdidnotexistatthetimeofthetransaction
 (4)Thosewhoseobjectisoutsidethecommerceofmen

(5)Thosewhichcontemplateanimpossibleservice

(6) Those where the intention of the parties relative to the principal object of the contract cannot be
ascertained

(7)Thoseexpresslyprohibitedordeclaredvoidbylaw.

Thesecontractscannotberatified.Neithercantherighttosetupthedefenseofillegalitybewaived.

Article1410.Theactionordefenseforthedeclarationoftheinexistenceofacontractdoesnotprescribe.

Article 1411. When the nullity proceeds from the illegality of the cause or object of the contract, and the act
constitutesacriminaloffense,bothpartiesbeinginparidelicto,theyshallhavenoactionagainsteachother,and
both shall be prosecuted. Moreover, the provisions of the Penal Code relative to the disposal of effects or
instrumentsofacrimeshallbeapplicabletothethingsorthepriceofthecontract.

This rule shall be applicable when only one of the parties is guilty but the innocent one may claim what he has
given,andshallnotbeboundtocomplywithhispromise.(1305)

Article1412.Iftheactinwhichtheunlawfulorforbiddencauseconsistsdoesnotconstituteacriminaloffense,the
followingrulesshallbeobserved:

(1)Whenthefaultisonthepartofbothcontractingparties,neithermayrecoverwhathehasgivenbyvirtue
ofthecontract,ordemandtheperformanceoftheother'sundertaking

(2)Whenonlyoneofthecontractingpartiesisatfault,hecannotrecoverwhathehasgivenbyreasonofthe
contract,oraskforthefulfillmentofwhathasbeenpromisedhim.Theother,whoisnotatfault,maydemand
thereturnofwhathehasgivenwithoutanyobligationtocomplyhispromise.(1306)

Article1413.Interestpaidinexcessoftheinterestallowedbytheusurylawsmayberecoveredbythedebtor,with
interestthereonfromthedateofthepayment.

Article1414.Whenmoneyispaidorpropertydeliveredforanillegalpurpose,thecontractmayberepudiatedby
oneofthepartiesbeforethepurposehasbeenaccomplished,orbeforeanydamagehasbeencausedtoathird
person. In such case, the courts may, if the public interest will thus be subserved, allow the party repudiating the
contracttorecoverthemoneyorproperty.

Article1415. Where one of the parties to an illegal contract is incapable of giving consent,
consent the courts may, if the
interestofjusticesodemandsallowrecoveryofmoneyorpropertydeliveredbytheincapacitatedperson.

Article1416. When the agreement is not illegal per se but is merely prohibited, and the prohibition by the law is
designedfortheprotectionoftheplaintiff,hemay,ifpublicpolicyistherebyenhanced,recoverwhathehaspaidor
delivered.

Article1417.Whenthepriceofanyarticleorcommodityisdeterminedbystatute,orbyauthorityoflaw,anyperson
payinganyamountinexcessofthemaximumpriceallowedmayrecoversuchexcess.

Article1418.Whenthelawfixes,orauthorizesthefixingofthemaximumnumberofhoursoflabor,andacontract
is entered into whereby a laborer undertakes to work longer than the maximum thus fixed, he may demand
additionalcompensationforservicerenderedbeyondthetimelimit.

Article1419.Whenthelawsets,orauthorizesthesettingofaminimumwageforlaborers,andacontractisagreed
uponbywhichalaboreracceptsalowerwage,heshallbeentitledtorecoverthedeficiency.

Article1420.Incaseofadivisiblecontract,iftheillegaltermscanbeseparatedfromthelegalones,thelattermay
beenforced.

Article1421.Thedefenseofillegalityofcontractisnotavailabletothirdpersonswhoseinterestsarenotdirectly
affected.

Article1422.Acontractwhichisthedirectresultofapreviousillegalcontract,isalsovoidandinexistent.

TITLEIII
NATURALOBLIGATIONS
Article1423. Obligations are civil or natural. Civil obligations give a right of action to compel their performance.
Naturalobligations,notbeingbasedonpositivelawbutonequityandnaturallaw,donotgrantarightofactionto
enforcetheirperformance,butaftervoluntaryfulfillmentbytheobligor,theyauthorizetheretentionofwhathasbeen
deliveredorrenderedbyreasonthereof.Somenaturalobligationsaresetforthinthefollowingarticles.

Article 1424. When a right to sue upon a civil obligation has lapsed by extinctive prescription, the obligor who
voluntarilyperformsthecontractcannotrecoverwhathehasdeliveredorthevalueoftheservicehehasrendered.

Article1425. When without the knowledge or against the will of the debtor, a third person pays a debt which the
obligor is not legally bound to pay because the action thereon has prescribed, but the debtor later voluntarily
reimbursesthethirdperson,theobligorcannotrecoverwhathehaspaid.

Article1426.Whenaminorbetweeneighteenandtwentyoneyearsofagewhohasenteredintoacontractwithout
theconsentoftheparentorguardian,aftertheannulmentofthecontractvoluntarilyreturnsthewholethingorprice
consent
received,notwithstandingthefactthathehasnotbeenbenefitedthereby,thereisnorighttodemandthethingor
pricethusreturned.

Article1427.Whenaminorbetweeneighteenandtwentyoneyearsofage,whohasenteredintoacontractwithout
theconsentoftheparentorguardian,voluntarilypaysasumofmoneyordeliversafungiblethinginfulfillmentof
consent
theobligation,thereshallbenorighttorecoverthesamefromtheobligeewhohasspentorconsumeditingood
faith.(1160A)

Article1428. When, after an action to enforce a civil obligation has failed the defendant voluntarily performs the
obligation,hecannotdemandthereturnofwhathehasdeliveredorthepaymentofthevalueoftheservicehehas
rendered.

Article1429. When a testate or intestate heir voluntarily pays a debt of the decedent exceeding the value of the
propertywhichhereceivedbywillorbythelawofintestacyfromtheestateofthedeceased,thepaymentisvalid
andcannotberescindedbythepayer.

Article 1430. When a will is declared void because it has not been executed in accordance with the formalities
requiredbylaw,butoneoftheintestateheirs,afterthesettlementofthedebtsofthedeceased,paysalegacyin
compliancewithaclauseinthedefectivewill,thepaymentiseffectiveandirrevocable.

TITLEIV
ESTOPPEL(n)

Article1431.Throughestoppelanadmissionorrepresentationisrenderedconclusiveuponthepersonmakingit,
andcannotbedeniedordisprovedasagainstthepersonrelyingthereon.

Article1432.Theprinciplesofestoppelareherebyadoptedinsofarastheyarenotinconflictwiththeprovisionsof
thisCode,theCodeofCommerce,theRulesofCourtandspeciallaws.

Article1433.Estoppelmayinpaisorbydeed.

Article1434.Whenapersonwhoisnottheownerofathingsellsoralienatesanddeliversit,andlatertheselleror
grantoracquirestitlethereto,suchtitlepassesbyoperationoflawtothebuyerorgrantee.

Article1435.Ifapersoninrepresentationofanothersellsoralienatesathing,theformercannotsubsequentlyset
uphisowntitleasagainstthebuyerorgrantee.

Article1436. A lessee or a bailee is estopped from asserting title to the thing leased or received, as against the
lessororbailor.

Article1437.Wheninacontractbetweenthirdpersonsconcerningimmovableproperty,oneofthemismisledbya
personwithrespecttotheownershiporrealrightovertherealestate,thelatterisprecludedfromassertinghislegal
titleorinteresttherein,providedalltheserequisitesarepresent:

(1)Theremustbefraudulentrepresentationorwrongfulconcealmentoffactsknowntothepartyestopped

(2)Thepartyprecludedmustintendthattheothershouldactuponthefactsasmisrepresented

(3)Thepartymisledmusthavebeenunawareofthetruefactsand

(4)Thepartydefraudedmusthaveactedinaccordancewiththemisrepresentation.
Article1438.Onewhohasallowedanothertoassumeapparentownershipofpersonalpropertyforthepurposeof
makinganytransferofit,cannot,ifhereceivedthesumforwhichapledgehasbeenconstituted,setuphisowntitle
todefeatthepledgeoftheproperty,madebytheothertoapledgeewhoreceivedthesameingoodfaithandfor
value.

Article1439.Estoppeliseffectiveonlyasbetweenthepartiestheretoortheirsuccessorsininterest.

TITLEV
TRUSTS(n)

CHAPTER1
GeneralProvisions

Article1440.Apersonwhoestablishesatrustiscalledthetrustoroneinwhomconfidenceisreposedasregards
propertyforthebenefitofanotherpersonisknownasthetrusteeandthepersonforwhosebenefitthetrusthas
beencreatedisreferredtoasthebeneficiary.

Article1441.Trustsareeitherexpressorimplied.Expresstrustsarecreatedbytheintentionofthetrustororofthe
parties.Impliedtrustscomeintobeingbyoperationoflaw.

Article1442.Theprinciplesofthegenerallawoftrusts,insofarastheyarenotinconflictwiththisCode,theCode
ofCommerce,theRulesofCourtandspeciallawsareherebyadopted.

CHAPTER2
ExpressTrusts

Article1443.Noexpresstrustsconcerninganimmovableoranyinterestthereinmaybeprovedbyparolevidence.

Article1444.Noparticularwordsarerequiredforthecreationofanexpresstrust,itbeingsufficientthatatrustis
clearlyintended.

Article1445.Notrustshallfailbecausethetrusteeappointeddeclinesthedesignation,unlessthecontraryshould
appearintheinstrumentconstitutingthetrust.

Article1446.Acceptancebythebeneficiaryisnecessary.Nevertheless,ifthetrustimposesnoonerouscondition
uponthebeneficiary,hisacceptanceshallbepresumed,ifthereisnoprooftothecontrary.

CHAPTER3
ImpliedTrusts

Article1447. The enumeration of the following cases of implied trust does not exclude others established by the
generallawoftrust,butthelimitationlaiddowninarticle1442shallbeapplicable.

Article1448.Thereisanimpliedtrustwhenpropertyissold,andthelegalestateisgrantedtoonepartybutthe
priceispaidbyanotherforthepurposeofhavingthebeneficialinterestoftheproperty.Theformeristhetrustee,
while the latter is the beneficiary. However, if the person to whom the title is conveyed is a child, legitimate or
illegitimate,oftheonepayingthepriceofthesale,notrustisimpliedbylaw,itbeingdisputablypresumedthatthere
isagiftinfavorofthechild.

Article1449.Thereisalsoanimpliedtrustwhenadonationismadetoapersonbutitappearsthatalthoughthe
legalestateistransmittedtothedonee,heneverthelessiseithertohavenobeneficialinterestoronlyapartthereof.

Article1450. If the price of a sale of property is loaned or paid by one person for the benefit of another and the
conveyanceismadetothelenderorpayortosecurethepaymentofthedebt,atrustarisesbyoperationoflawin
favorofthepersontowhomthemoneyisloanedorforwhomitsispaid.Thelattermayredeemthepropertyand
compelaconveyancethereoftohim.

Article1451.Whenlandpassesbysuccessiontoanypersonandhecausesthelegaltitletobeputinthenameof
another,atrustisestablishedbyimplicationoflawforthebenefitofthetrueowner.
Article1452.Iftwoormorepersonsagreetopurchasepropertyandbycommonconsentthelegaltitleistakenin
consent
thenameofoneofthemforthebenefitofall,atrustiscreatedbyforceoflawinfavoroftheothersinproportionto
theinterestofeach.

Article1453.Whenpropertyisconveyedtoapersoninrelianceuponhisdeclaredintentiontoholditfor,ortransfer
ittoanotherorthegrantor,thereisanimpliedtrustinfavorofthepersonwhosebenefitiscontemplated.

Article1454.Ifanabsoluteconveyanceofpropertyismadeinordertosecuretheperformanceofanobligationof
thegrantortowardthegrantee,atrustbyvirtueoflawisestablished.Ifthefulfillmentoftheobligationisofferedby
thegrantorwhenitbecomesdue,hemaydemandthereconveyanceofthepropertytohim.

Article1455. When any trustee, guardian or other person holding a fiduciary relationship uses trust funds for the
purchaseofpropertyandcausestheconveyancetobemadetohimortoathirdperson,atrustisestablishedby
operationoflawinfavorofthepersontowhomthefundsbelong.

Article1456.Ifpropertyisacquiredthroughmistakeorfraud,thepersonobtainingitis,byforceoflaw,considered
atrusteeofanimpliedtrustforthebenefitofthepersonfromwhomthepropertycomes.

Article1457.Animpliedtrustmaybeprovedbyoralevidence.

TITLEVI
SALES

CHAPTER1
NatureandFormoftheContract

Article1458.Bythecontractofsaleoneofthecontractingpartiesobligateshimselftotransfertheownershipandto
deliveradeterminatething,andtheothertopaythereforapricecertaininmoneyoritsequivalent.

Acontractofsalemaybeabsoluteorconditional.(1445a)

Article1459.Thethingmustbelicitandthevendormusthavearighttotransfertheownershipthereofatthetimeit
isdelivered.(n)

Article1460.Athingisdeterminatewhenitisparticularlydesignatedorphysicalsegregatedfromallothersofthe
sameclass.

Therequisitethatathingbedeterminateissatisfiedifatthetimethecontractisenteredinto,thethingiscapableof
beingmadedeterminatewithoutthenecessityofaneworfurtheragreementbetweentheparties.(n)

Article1461.Thingshavingapotentialexistencemaybetheobjectofthecontractofsale.

Theefficacyofthesaleofamerehopeorexpectancyisdeemedsubjecttotheconditionthatthethingwillcome
intoexistence.

Thesaleofavainhopeorexpectancyisvoid.(n)

Article 1462. The goods which form the subject of a contract of sale may be either existing goods, owned or
possessedbytheseller,orgoodstobemanufactured,raised,oracquiredbytheselleraftertheperfectionofthe
contractofsale,inthisTitlecalled"futuregoods."

Theremaybeacontractofsaleofgoods,whoseacquisitionbythesellerdependsuponacontingencywhichmay
ormaynothappen.(n)

Article1463.Thesoleownerofathingmaysellanundividedinteresttherein.(n)

Article1464.Inthecaseoffungiblegoods,theremaybeasaleofanundividedshareofaspecificmass,though
thesellerpurportstosellandthebuyertobuyadefinitenumber,weightormeasureofthegoodsinthemass,and
thoughthenumber,weightormeasureofthegoodsinthemass,andthoughthenumber,weightormeasureofthe
goodsinthemassisundetermined.Bysuchasalethebuyerbecomesownerincommonofsuchashareofthe
massasthenumber,weightormeasureboughtbearstothenumber,weightormeasureofthemass.Ifthemass
containslessthanthenumber,weightormeasurebought,thebuyerbecomestheownerofthewholemassandthe
seller is bound to make good the deficiency from goods of the same kind and quality, unless a contrary intent
appears.(n)
Article1465.Thingssubjecttoaresolutoryconditionmaybetheobjectofthecontractofsale.(n)

Article1466. In construing a contract containing provisions characteristic of both the contract of sale and of the
contractofagencytosell,theessentialclausesofthewholeinstrumentshallbeconsidered.(n)

Article1467.Acontractforthedeliveryatacertainpriceofanarticlewhichthevendorintheordinarycourseofhis
business manufactures or procures for the general market, whether the same is on hand at the time or not, is a
contractofsale,butifthegoodsaretobemanufacturedspeciallyforthecustomeranduponhisspecialorder,and
notforthegeneralmarket,itisacontractforapieceofwork.(n)

Article1468.Iftheconsiderationofthecontractconsistspartlyinmoney,andpartlyinanotherthing,thetransaction
shallbecharacterizedbythemanifestintentionoftheparties.Ifsuchintentiondoesnotclearlyappear,itshallbe
consideredabarterifthevalueofthethinggivenasapartoftheconsiderationexceedstheamountofthemoneyor
itsequivalentotherwise,itisasale.(1446a)

Article1469.Inorderthatthepricemaybeconsideredcertain,itshallbesufficientthatitbesowithreferenceto
anotherthingcertain,orthatthedeterminationthereofbelefttothejudgmentofaspecialpersonorpersons.

Shouldsuchpersonorpersonsbeunableorunwillingtofixit,thecontractshallbeinefficacious,unlesstheparties
subsequentlyagreeupontheprice.

Ifthethirdpersonorpersonsactedinbadfaithorbymistake,thecourtsmayfixtheprice.

Wheresuchthirdpersonorpersonsarepreventedfromfixingthepriceortermsbyfaultofthesellerorthebuyer,
thepartynotinfaultmayhavesuchremediesagainstthepartyinfaultasareallowedthesellerorthebuyer,asthe
casemaybe.(1447a)

Article1470.Grossinadequacyofpricedoesnotaffectacontractofsale,exceptasitmayindicateadefectinthe
consent
consent,orthatthepartiesreallyintendedadonationorsomeotheractorcontract.(n)

Article1471.Ifthepriceissimulated,thesaleisvoid,buttheactmaybeshowntohavebeeninrealityadonation,
orsomeotheractorcontract.(n)

Article1472.Thepriceofsecurities,grain,liquids,andotherthingsshallalsobeconsideredcertain,whentheprice
fixedisthatwhichthethingsoldwouldhaveonadefiniteday,orinaparticularexchangeormarket,orwhenan
amount is fixed above or below the price on such day, or in such exchange or market, provided said amount be
certain.(1448)

Article1473.Thefixingofthepricecanneverbelefttothediscretionofoneofthecontractingparties.However,if
thepricefixedbyoneofthepartiesisacceptedbytheother,thesaleisperfected.(1449a)

Article 1474. Where the price cannot be determined in accordance with the preceding articles, or in any other
manner, the contract is inefficacious. However, if the thing or any part thereof has been delivered to and
appropriatedbythebuyerhemustpayareasonablepricetherefor.Whatisareasonablepriceisaquestionoffact
dependentonthecircumstancesofeachparticularcase.(n)

Article1475.Thecontractofsaleisperfectedatthemomentthereisameetingofmindsuponthethingwhichis
theobjectofthecontractandupontheprice.

Fromthatmoment,thepartiesmayreciprocallydemandperformance,subjecttotheprovisionsofthelawgoverning
theformofcontracts.(1450a)

Article1476.Inthecaseofasalebyauction:

(1)Wheregoodsareputupforsalebyauctioninlots,eachlotisthesubjectofaseparatecontractofsale.

(2)Asalebyauctionisperfectedwhentheauctioneerannouncesitsperfectionbythefallofthehammer,or
in other customary manner. Until such announcement is made, any bidder may retract his bid and the
auctioneer may withdraw the goods from the sale unless the auction has been announced to be without
reserve.

(3)Arighttobidmaybereservedexpresslybyoronbehalfoftheseller,unlessotherwiseprovidedbylawor
bystipulation.

(4)Wherenoticehasnotbeengiventhatasalebyauctionissubjecttoarighttobidonbehalfoftheseller,it
shallnotbelawfulforthesellertobidhimselfortoemployorinduceanypersontobidatsuchsaleonhis
behalf or for the auctioneer, to employ or induce any person to bid at such sale on behalf of the seller or
 knowinglytotakeanybidfromtheselleroranypersonemployedbyhim.Anysalecontraveningthisrulemay
betreatedasfraudulentbythebuyer.(n)

Article1477. The ownership of the thing sold shall be transferred to the vendee upon the actual or constructive
deliverythereof.(n)

Article1478.Thepartiesmaystipulatethatownershipinthethingshallnotpasstothepurchaseruntilhehasfully
paidtheprice.(n)

Article1479.Apromisetobuyandselladeterminatethingforapricecertainisreciprocallydemandable.

Anacceptedunilateralpromisetobuyortoselladeterminatethingforapricecertainisbindinguponthepromisorif
thepromiseissupportedbyaconsiderationdistinctfromtheprice.(1451a)

Article1480.Anyinjurytoorbenefitfromthethingsold,afterthecontracthasbeenperfected,fromthemomentof
theperfectionofthecontracttothetimeofdelivery,shallbegovernedbyarticles1163to1165,and1262.

This rule shall apply to the sale of fungible things, made independently and for a single price, or without
considerationoftheirweight,number,ormeasure.

Should fungible things be sold for a price fixed according to weight, number, or measure, the risk shall not be
imputed to the vendee until they have been weighed, counted, or measured and delivered, unless the latter has
incurredindelay.(1452a)

Article1481.Inthecontractofsaleofgoodsbydescriptionorbysample,thecontractmayberescindedifthebulk
ofthegoodsdelivereddonotcorrespondwiththedescriptionorthesample,andifthecontractbebysampleaswell
asdescription,itisnotsufficientthatthebulkofgoodscorrespondwiththesampleiftheydonotalsocorrespond
withthedescription.

Thebuyershallhaveareasonableopportunityofcomparingthebulkwiththedescriptionorthesample.(n)

Article1482.Wheneverearnestmoneyisgiveninacontractofsale,itshallbeconsideredaspartofthepriceand
asproofoftheperfectionofthecontract.(1454a)

Article1483. Subject to the provisions of the Statute of Frauds and of any other applicable statute, a contract of
sale may be made in writing, or by word of mouth, or partly in writing and partly by word of mouth, or may be
inferredfromtheconductoftheparties.(n)

Article1484.Inacontractofsaleofpersonalpropertythepriceofwhichispayableininstallments,thevendormay
exerciseanyofthefollowingremedies:

(1)Exactfulfillmentoftheobligation,shouldthevendeefailtopay

(2)Cancelthesale,shouldthevendee'sfailuretopaycovertwoormoreinstallments

(3)Foreclosethechattelmortgageonthethingsold,ifonehasbeenconstituted,shouldthevendee'sfailure
topaycovertwoormoreinstallments.Inthiscase,heshallhavenofurtheractionagainstthepurchaserto
recoveranyunpaidbalanceoftheprice.Anyagreementtothecontraryshallbevoid.(1454Aa)

Article1485.Theprecedingarticleshallbeappliedtocontractspurportingtobeleasesofpersonalpropertywith
optiontobuy,whenthelessorhasdeprivedthelesseeofthepossessionorenjoymentofthething.(1454Aa)

Article1486.Inthecasereferredtointhetwoprecedingarticles,astipulationthattheinstallmentsorrentspaid
shallnotbereturnedtothevendeeorlesseeshallbevalidinsofarasthesamemaynotbeunconscionableunder
thecircumstances.(n)

Article1487.Theexpensesfortheexecutionandregistrationofthesaleshallbebornebythevendor,unlessthere
isastipulationtothecontrary.(1455a)

Article1488.Theexpropriationofpropertyforpublicuseisgovernedbyspeciallaws.(1456)

CHAPTER2
CapacitytoBuyorSell

Article1489.AllpersonswhoareauthorizedinthisCodetoobligatethemselves,mayenterintoacontractofsale,
savingthemodificationscontainedinthefollowingarticles.
Wherenecessariesarethosesoldanddeliveredtoaminororotherpersonwithoutcapacitytoact,hemustpaya
reasonablepricetherefor.Necessariesarethosereferredtoinarticle290.(1457a)

Article1490.Thehusbandandthewifecannotsellpropertytoeachother,except:

(1)Whenaseparationofpropertywasagreeduponinthemarriagesettlementsor

(2)Whentherehasbeenajudicialseparationofpropertyunderarticle191.(1458a)

Article 1491. The following persons cannot acquire by purchase, even at a public or judicial auction, either in
personorthroughthemediationofanother:

(1)Theguardian,thepropertyofthepersonorpersonswhomaybeunderhisguardianship

(2)Agents,thepropertywhoseadministrationorsalemayhavebeenintrustedtothem,unlesstheconsentof
consent
theprincipalhasbeengiven

(3)Executorsandadministrators,thepropertyoftheestateunderadministration

(4) Public officers and employees, the property of the State or of any subdivision thereof, or of any
governmentownedorcontrolledcorporation,orinstitution,theadministrationofwhichhasbeenintrustedto
themthisprovisionshallapplytojudgesandgovernmentexpertswho,inanymannerwhatsoever,takepart
inthesale

(5) Justices, judges, prosecuting attorneys, clerks of superior and inferior courts, and other officers and
employeesconnectedwiththeadministrationofjustice,thepropertyandrightsinlitigationorlevieduponan
execution before the court within whose jurisdiction or territory they exercise their respective functions this
prohibitionincludestheactofacquiringbyassignmentandshallapplytolawyers,withrespecttotheproperty
andrightswhichmaybetheobjectofanylitigationinwhichtheymaytakepartbyvirtueoftheirprofession

(6)Anyothersspeciallydisqualifiedbylaw.(1459a)

Article1492.Theprohibitionsinthetwoprecedingarticlesareapplicabletosalesinlegalredemption,compromises
andrenunciations.(n)

CHAPTER3
EffectsoftheContractWhentheThingSoldHasBeenLost

Article1493.Ifatthetimethecontractofsaleisperfected,thethingwhichistheobjectofthecontracthasbeen
entirelylost,thecontractshallbewithoutanyeffect.

Butifthethingshouldhavebeenlostinpartonly,thevendeemaychoosebetweenwithdrawingfromthecontract
anddemandingtheremainingpart,payingitspriceinproportiontothetotalsumagreedupon.(1460a)

Article1494.Wherethepartiespurportasaleofspecificgoods,andthegoodswithouttheknowledgeoftheseller
haveperishedinpartorhavewhollyorinamaterialpartsodeterioratedinqualityastobesubstantiallychangedin
character,thebuyermayathisoptiontreatthesale:

(1)Asavoidedor

(2) As valid in all of the existing goods or in so much thereof as have not deteriorated, and as binding the
buyertopaytheagreedpriceforthegoodsinwhichtheownershipwillpass,ifthesalewasdivisible.(n)

CHAPTER4
ObligationsoftheVendor

SECTION1
GeneralProvisions

Article1495.Thevendorisboundtotransfertheownershipofanddeliver,aswellaswarrantthethingwhichisthe
objectofthesale.(1461a)
Article1496.Theownershipofthethingsoldisacquiredbythevendeefromthemomentitisdeliveredtohimin
any of the ways specified in articles 1497 to 1501, or in any other manner signifying an agreement that the
possessionistransferredfromthevendortothevendee.(n)

SECTION2
DeliveryoftheThingSold

Article1497.Thethingsoldshallbeunderstoodasdelivered,whenitisplacedinthecontrolandpossessionofthe
vendee.(1462a)

Article1498.Whenthesaleismadethroughapublicinstrument,theexecutionthereofshallbeequivalenttothe
delivery of the thing which is the object of the contract, if from the deed the contrary does not appear or cannot
clearlybeinferred.

Withregardtomovableproperty,itsdeliverymayalsobemadebythedeliveryofthekeysoftheplaceordepository
whereitisstoredorkept.(1463a)

Article1499. The delivery of movable property may likewise be made by the mere consent
consent or agreement of the
contractingparties,ifthethingsoldcannotbetransferredtothepossessionofthevendeeatthetimeofthesale,or
ifthelatteralreadyhaditinhispossessionforanyotherreason.(1463a)

Article1500.Theremayalsobetraditionconstitutumpossessorium.(n)

Article1501.Withrespecttoincorporealproperty,theprovisionsofthefirstparagraphofarticle1498shallgovern.
Inanyothercasewhereinsaidprovisionsarenotapplicable,theplacingofthetitlesofownershipinthepossession
ofthevendeeortheusebythevendeeofhisrights,withthevendor'sconsent,shallbeunderstoodasadelivery.
consent
(1464)

Article1502.Whengoodsaredeliveredtothebuyer"onsaleorreturn"togivethebuyeranoptiontoreturnthe
goodsinsteadofpayingtheprice,theownershippassestothebuyerondelivery,buthemayrevesttheownership
inthesellerbyreturningortenderingthegoodswithinthetimefixedinthecontract,or,ifnotimehasbeenfixed,
withinareasonabletime.(n)

When goods are delivered to the buyer on approval or on trial or on satisfaction, or other similar terms, the
ownershipthereinpassestothebuyer:

(1)Whenhesignifieshisapprovaloracceptancetothesellerordoesanyotheractadoptingthetransaction

(2)Ifhedoesnotsignifyhisapprovaloracceptancetotheseller,butretainsthegoodswithoutgivingnotice
ofrejection,thenifatimehasbeenfixedforthereturnofthegoods,ontheexpirationofsuchtime,and,ifno
timehasbeenfixed,ontheexpirationofareasonabletime.Whatisareasonabletimeisaquestionoffact.
(n)

Article1503.Whenthereisacontractofsaleofspecificgoods,thesellermay,bythetermsofthecontract,reserve
therightofpossessionorownershipinthegoodsuntilcertainconditionshavebeenfulfilled.Therightofpossession
orownershipmaybethusreservednotwithstandingthedeliveryofthegoodstothebuyerortoacarrierorother
baileeforthepurposeoftransmissiontothebuyer.

Where goods are shipped, and by the bill of lading the goods are deliverable to the seller or his agent, or to the
orderofthesellerorofhisagent,thesellertherebyreservestheownershipinthegoods.But,ifexceptfortheform
ofthebilloflading,theownershipwouldhavepassedtothebuyeronshipmentofthegoods,theseller'spropertyin
thegoodsshallbedeemedtobeonlyforthepurposeofsecuringperformancebythebuyerofhisobligationsunder
thecontract.

Wheregoodsareshipped,andbythebillofladingthegoodsaredeliverabletoorderofthebuyerorofhisagent,
butpossessionofthebillofladingisretainedbythesellerorhisagent,thesellertherebyreservesarighttothe
possessionofthegoodsasagainstthebuyer.

Where the seller of goods draws on the buyer for the price and transmits the bill of exchange and bill of lading
togethertothebuyertosecureacceptanceorpaymentofthebillofexchange,thebuyerisboundtoreturnthebillof
ladingifhedoesnothonorthebillofexchange,andifhewrongfullyretainsthebillofladingheacquiresnoadded
rightthereby.If,however,thebillofladingprovidesthatthegoodsaredeliverabletothebuyerortotheorderofthe
buyer,orisindorsedinblank,ortothebuyerbytheconsigneenamedtherein,onewhopurchasesingoodfaith,for
value,thebilloflading,orgoodsfromthebuyerwillobtaintheownershipinthegoods,althoughthebillofexchange
has not been honored, provided that such purchaser has received delivery of the bill of lading indorsed by the
consigneenamedtherein,orofthegoods,withoutnoticeofthefactsmakingthetransferwrongful.(n)
Article 1504. Unless otherwise agreed, the goods remain at the seller's risk until the ownership therein is
transferredtothebuyer,butwhentheownershipthereinistransferredtothebuyerthegoodsareatthebuyer'srisk
whetheractualdeliveryhasbeenmadeornot,exceptthat:

(1)Wheredeliveryofthegoodshasbeenmadetothebuyerortoabaileeforthebuyer,inpursuanceofthe
contractandtheownershipinthegoodshasbeenretainedbythesellermerelytosecureperformancebythe
buyerofhisobligationsunderthecontract,thegoodsareatthebuyer'sriskfromthetimeofsuchdelivery

(2)Whereactualdeliveryhasbeendelayedthroughthefaultofeitherthebuyerorsellerthegoodsareatthe
riskofthepartyinfault.(n)

Article1505.SubjecttotheprovisionsofthisTitle,wheregoodsaresoldbyapersonwhoisnottheownerthereof,
andwhodoesnotsellthemunderauthorityorwiththeconsentoftheowner,thebuyeracquiresnobettertitletothe
consent
goods than the seller had, unless the owner of the goods is by his conduct precluded from denying the seller's
authoritytosell.

NothinginthisTitle,however,shallaffect:

(1) The provisions of any factors' act, recording laws, or any other provision of law enabling the apparent
ownerofgoodstodisposeofthemasifhewerethetrueownerthereof

(2) The validity of any contract of sale under statutory power of sale or under the order of a court of
competentjurisdiction

(3)Purchasesmadeinamerchant'sstore,orinfairs,ormarkets,inaccordancewiththeCodeofCommerce
andspeciallaws.(n)

Article1506.Wherethesellerofgoodshasavoidabletitlethereto,buthistitlehasnotbeenavoidedatthetimeof
thesale,thebuyeracquiresagoodtitletothegoods,providedhebuysthemingoodfaith,forvalue,andwithout
noticeoftheseller'sdefectoftitle.(n)

Article 1507. A document of title in which it is stated that the goods referred to therein will be delivered to the
bearer,ortotheorderofanypersonnamedinsuchdocumentisanegotiabledocumentoftitle.(n)

Article1508.Anegotiabledocumentoftitlemaybenegotiatedbydelivery:

(1) Where by the terms of the document the carrier, warehouseman or other bailee issuing the same
undertakestodeliverthegoodstothebeareror

(2) Where by the terms of the document the carrier, warehouseman or other bailee issuing the same
undertakestodeliverthegoodstotheorderofaspecifiedperson,andsuchpersonorasubsequentindorsee
ofthedocumenthasindorseditinblankortothebearer.

Where by the terms of a negotiable document of title the goods are deliverable to bearer or where a
negotiable document of title has been indorsed in blank or to bearer, any holder may indorse the same to
himselfortoanyspecifiedperson,andinsuchcasethedocumentshallthereafterbenegotiatedonlybythe
indorsementofsuchindorsee.(n)

Article1509.Anegotiabledocumentoftitlemaybenegotiatedbytheindorsementofthepersontowhoseorderthe
goodsarebythetermsofthedocumentdeliverable.Suchindorsementmaybeinblank,tobearerortoaspecified
person.Ifindorsedtoaspecifiedperson,itmaybeagainnegotiatedbytheindorsementofsuchpersoninblank,to
bearerortoanotherspecifiedperson.Subsequentnegotiationsmaybemadeinlikemanner.(n)

Article1510. If a document of title which contains an undertaking by a carrier, warehouseman or other bailee to
deliver the goods to bearer, to a specified person or order of a specified person or which contains words of like
import,hasplaceduponitthewords"notnegotiable,""nonnegotiable"orthelike,suchdocumentmaynevertheless
benegotiatedbytheholderandisanegotiabledocumentoftitlewithinthemeaningofthisTitle.Butnothinginthis
Title contained shall be construed as limiting or defining the effect upon the obligations of the carrier,
warehouseman, or other bailee issuing a document of title or placing thereon the words "not negotiable," "non
negotiable,"orthelike.(n)

Article1511.Adocumentoftitlewhichisnotinsuchformthatitcanbenegotiatedbydeliverymaybetransferred
by the holder by delivery to a purchaser or donee. A nonnegotiable document cannot be negotiated and the
indorsementofsuchadocumentgivesthetransfereenoadditionalright.(n)

Article1512.Anegotiabledocumentoftitlemaybenegotiated:

(1)Bytheownerthereofor
 (2)Byanypersontowhomthepossessionorcustodyofthedocumenthasbeenentrustedbytheowner,if,
bythetermsofthedocumentthebaileeissuingthedocumentundertakestodeliverthegoodstotheorderof
thepersontowhomthepossessionorcustodyofthedocumenthasbeenentrusted,orifatthetimeofsuch
entrustingthedocumentisinsuchformthatitmaybenegotiatedbydelivery.(n)

Article1513.Apersontowhomanegotiabledocumentoftitlehasbeendulynegotiatedacquiresthereby:

(1)Suchtitletothegoodsasthepersonnegotiatingthedocumenttohimhadorhadabilitytoconveytoa
purchaser in good faith for value and also such title to the goods as the person to whose order the goods
weretobedeliveredbythetermsofthedocumenthadorhadabilitytoconveytoapurchaseringoodfaithfor
valueand

(2)Thedirectobligationofthebaileeissuingthedocumenttoholdpossessionofthegoodsforhimaccording
tothetermsofthedocumentasfullyasifsuchbaileehadcontracteddirectlywithhim.(n)

Article1514.Apersontowhomadocumentoftitlehasbeentransferred,butnotnegotiated,acquiresthereby,as
againstthetransferor,thetitletothegoods,subjecttothetermsofanyagreementwiththetransferor.

Ifthedocumentisnonnegotiable,suchpersonalsoacquirestherighttonotifythebaileewhoissuedthedocument
ofthetransferthereof,andtherebytoacquirethedirectobligationofsuchbaileetoholdpossessionofthegoodsfor
himaccordingtothetermsofthedocument.

Priortothenotificationtosuchbaileebythetransferorortransfereeofanonnegotiabledocumentoftitle,thetitleof
thetransfereetothegoodsandtherighttoacquiretheobligationofsuchbaileemaybedefeatedbythelevyofan
attachment of execution upon the goods by a creditor of the transferor, or by a notification to such bailee by the
transferororasubsequentpurchaserfromthetransferorofasubsequentsaleofthegoodsbythetransferor.(n)

Article1515.Whereanegotiabledocumentoftitleistransferredforvaluebydelivery,andtheindorsementofthe
transferorisessentialfornegotiation,thetransfereeacquiresarightagainstthetransferortocompelhimtoindorse
the document unless a contrary intention appears. The negotiation shall take effect as of the time when the
indorsementisactuallymade.(n)

Article 1516. A person who for value negotiates or transfers a document of title by indorsement or delivery,
including one who assigns for value a claim secured by a document of title unless a contrary intention appears,
warrants:

(1)Thatthedocumentisgenuine

(2)Thathehasalegalrighttonegotiateortransferit

(3)Thathehasknowledgeofnofactwhichwouldimpairthevalidityorworthofthedocumentand

(4) That he has a right to transfer the title to the goods and that the goods are merchantable or fit for a
particularpurpose,wheneversuchwarrantieswouldhavebeenimpliedifthecontractofthepartieshadbeen
totransferwithoutadocumentoftitlethegoodsrepresentedthereby.(n)

Article1517.Theindorsementofadocumentoftitleshallnotmaketheindorserliableforanyfailureonthepartof
thebaileewhoissuedthedocumentorpreviousindorsersthereoftofulfilltheirrespectiveobligations.(n)

Article1518. The validity of the negotiation of a negotiable document of title is not impaired by the fact that the
negotiationwasabreachofdutyonthepartofthepersonmakingthenegotiation,orbythefactthattheownerof
the document was deprived of the possession of the same by loss, theft, fraud, accident, mistake, duress, or
conversion, if the person to whom the document was negotiated or a person to whom the document was
subsequentlynegotiatedpaidvaluethereforingoodfaithwithoutnoticeofthebreachofduty,orloss,theft,fraud,
accident,mistake,duressorconversion.(n)

Article1519.Ifgoodsaredeliveredtoabaileebytheownerorbyapersonwhoseactinconveyingthetitletothem
toapurchaseringoodfaithforvaluewouldbindtheownerandanegotiabledocumentoftitleisissuedforthem
they cannot thereafter, while in possession of such bailee, be attached by garnishment or otherwise or be levied
under an execution unless the document be first surrendered to the bailee or its negotiation enjoined. The bailee
shallinnocasebecompelledtodeliveruptheactualpossessionofthegoodsuntilthedocumentissurrenderedto
himorimpoundedbythecourt.(n)

Article1520. A creditor whose debtor is the owner of a negotiable document of title shall be entitled to such aid
from courts of appropriate jurisdiction by injunction and otherwise in attaching such document or in satisfying the
claimbymeansthereofasisallowedatlaworinequityinregardtopropertywhichcannotreadilybeattachedor
levieduponbyordinarylegalprocess.(n)
Article1521.Whetheritisforthebuyertotakepossessionofthegoodsorofthesellertosendthemtothebuyeris
aquestiondependingineachcaseonthecontract,expressorimplied,betweentheparties.Apartfromanysuch
contract,expressorimplied,orusageoftradetothecontrary,theplaceofdeliveryistheseller'splaceofbusinessif
hehasone,andifnothisresidencebutincaseofacontractofsaleofspecificgoods,whichtotheknowledgeof
the parties when the contract or the sale was made were in some other place, then that place is the place of
delivery.

Wherebyacontractofsalethesellerisboundtosendthegoodstothebuyer,butnotimeforsendingthemisfixed,
thesellerisboundtosendthemwithinareasonabletime.

Wherethegoodsatthetimeofsaleareinthepossessionofathirdperson,thesellerhasnotfulfilledhisobligation
todelivertothebuyerunlessanduntilsuchthirdpersonacknowledgestothebuyerthatheholdsthegoodsonthe
buyer'sbehalf.

Demandortenderofdeliverymaybetreatedasineffectualunlessmadeatareasonablehour.Whatisareasonable
hourisaquestionoffact.

Unlessotherwiseagreed,theexpensesofandincidentaltoputtingthegoodsintoadeliverablestatemustbeborne
bytheseller.(n)

Article1522.Wherethesellerdeliverstothebuyeraquantityofgoodslessthanhecontractedtosell,thebuyer
mayrejectthem,butifthebuyeracceptsorretainsthegoodssodelivered,knowingthatthesellerisnotgoingto
performthecontractinfull,hemustpayforthematthecontractrate.If,however,thebuyerhasusedordisposedof
thegoodsdeliveredbeforeheknowsthatthesellerisnotgoingtoperformhiscontractinfull,thebuyershallnotbe
liableformorethanthefairvaluetohimofthegoodssoreceived.

Wherethesellerdeliverstothebuyeraquantityofgoodslargerthanhecontractedtosell,thebuyermayacceptthe
goodsincludedinthecontractandrejecttherest.Ifthebuyeracceptsthewholeofthegoodssodeliveredhemust
payforthematthecontractrate.

Wherethesellerdeliverstothebuyerthegoodshecontractedtosellmixedwithgoodsofadifferentdescriptionnot
includedinthecontract,thebuyermayacceptthegoodswhichareinaccordancewiththecontractandrejectthe
rest.

Intheprecedingtwoparagraphs,ifthesubjectmatterisindivisible,thebuyermayrejectthewholeofthegoods.

Theprovisionsofthisarticlearesubjecttoanyusageoftrade,specialagreement,orcourseofdealingbetweenthe
parties.(n)

Article1523.Where,inpursuanceofacontractofsale,thesellerisauthorizedorrequiredtosendthegoodstothe
buyer,deliveryofthegoodstoacarrier,whethernamedbythebuyerornot,forthepurposeoftransmissiontothe
buyerisdeemedtobeadeliveryofthegoodstothebuyer,exceptinthecasesprovidedforinarticle1503,first,
secondandthirdparagraphs,orunlessacontraryintentappears.

Unlessotherwiseauthorizedbythebuyer,thesellermustmakesuchcontractwiththecarrieronbehalfofthebuyer
as may be reasonable, having regard to the nature of the goods and the other circumstances of the case. If the
seller omit so to do, and the goods are lost or damaged in course of transit, the buyer may decline to treat the
deliverytothecarrierasadeliverytohimself,ormayholdthesellerresponsibleindamages.

Unlessotherwiseagreed,wheregoodsaresentbythesellertothebuyerundercircumstancesinwhichtheseller
knowsoroughttoknowthatitisusualtoinsure,thesellermustgivesuchnoticetothebuyerasmayenablehimto
insurethemduringtheirtransit,and,ifthesellerfailstodoso,thegoodsshallbedeemedtobeathisriskduring
suchtransit.(n)

Article1524.Thevendorshallnotbeboundtodeliverthethingsold,ifthevendeehasnotpaidhimtheprice,orif
noperiodforthepaymenthasbeenfixedinthecontract.(1466)

Article1525.ThesellerofgoodsisdeemedtobeanunpaidsellerwithinthemeaningofthisTitle:

(1)Whenthewholeofthepricehasnotbeenpaidortendered

(2) When a bill of exchange or other negotiable instrument has been received as conditional payment, and
the condition on which it was received has been broken by reason of the dishonor of the instrument, the
insolvencyofthebuyer,orotherwise.

Inarticles1525to1535theterm"seller"includesanagentofthesellertowhomthebillofladinghasbeenindorsed,
oraconsignororagentwhohashimselfpaid,orisdirectlyresponsiblefortheprice,oranyotherpersonwhoisin
thepositionofaseller.(n)
Article 1526. Subject to the provisions of this Title, notwithstanding that the ownership in the goods may have
passedtothebuyer,theunpaidsellerofgoods,assuch,has:

(1)Alienonthegoodsorrighttoretainthemforthepricewhileheisinpossessionofthem

(2)Incaseoftheinsolvencyofthebuyer,arightofstoppingthegoodsintransituafterhehaspartedwiththe
possessionofthem

(3)ArightofresaleaslimitedbythisTitle

(4)ArighttorescindthesaleaslikewiselimitedbythisTitle.

Where the ownership in the goods has not passed to the buyer, the unpaid seller has, in addition to his other
remedies a right of withholding delivery similar to and coextensive with his rights of lien and stoppage in transitu
wheretheownershiphaspassedtothebuyer.(n)

Article 1527. Subject to the provisions of this Title, the unpaid seller of goods who is in possession of them is
entitledtoretainpossessionofthemuntilpaymentortenderofthepriceinthefollowingcases,namely:

(1)Wherethegoodshavebeensoldwithoutanystipulationastocredit

(2)Wherethegoodshavebeensoldoncredit,butthetermofcredithasexpired

(3)Wherethebuyerbecomesinsolvent.

Thesellermayexercisehisrightofliennotwithstandingthatheisinpossessionofthegoodsasagentorbaileefor
thebuyer.(n)

Article1528.Whereanunpaidsellerhasmadepartdeliveryofthegoods,hemayexercisehisrightoflienonthe
remainder,unlesssuchpartdeliveryhasbeenmadeundersuchcircumstancesastoshowanintenttowaivethe
lienorrightofretention.(n)

Article1529.Theunpaidsellerofgoodsloseshislienthereon:

(1) When he delivers the goods to a carrier or other bailee for the purpose of transmission to the buyer
withoutreservingtheownershipinthegoodsortherighttothepossessionthereof

(2)Whenthebuyerorhisagentlawfullyobtainspossessionofthegoods

(3)Bywaiverthereof.

The unpaid seller of goods, having a lien thereon, does not lose his lien by reason only that he has obtained
judgmentordecreeforthepriceofthegoods.(n)

Article1530.SubjecttotheprovisionsofthisTitle,whenthebuyerofgoodsisorbecomesinsolvent,theunpaid
sellerwhohaspartedwiththepossessionofthegoodshastherightofstoppingthemintransitu,thatistosay,he
mayresumepossessionofthegoodsatanytimewhiletheyareintransit,andhewillthenbecomeentitledtothe
samerightsinregardtothegoodsashewouldhavehadifhehadneverpartedwiththepossession.(n)

Article1531.Goodsareintransitwithinthemeaningoftheprecedingarticle:

(1)Fromthetimewhentheyaredeliveredtoacarrierbyland,water,orair,orotherbaileeforthepurposeof
transmissiontothebuyer,untilthebuyer,orhisagentinthatbehalf,takesdeliveryofthemfromsuchcarrier
orotherbailee

(2) If the goods are rejected by the buyer, and the carrier or other bailee continues in possession of them,
evenifthesellerhasrefusedtoreceivethemback.

Goodsarenolongerintransitwithinthemeaningoftheprecedingarticle:

(1)Ifthebuyer,orhisagentinthatbehalf,obtainsdeliveryofthegoodsbeforetheirarrivalattheappointed
destination

(2)If,afterthearrivalofthegoodsattheappointeddestination,thecarrierorotherbaileeacknowledgesto
thebuyerorhisagentthatheholdsthegoodsonhisbehalfandcontinuesinpossessionofthemasbaileefor
thebuyerorhisagentanditisimmaterialthatfurtherdestinationforthegoodsmayhavebeenindicatedby
thebuyer

(3)Ifthecarrierorotherbaileewrongfullyrefusestodeliverthegoodstothebuyerorhisagentinthatbehalf.
 If the goods are delivered to a ship, freight train, truck, or airplane chartered by the buyer, it is a question
dependingonthecircumstancesoftheparticularcase,whethertheyareinthepossessionofthecarrieras
suchorasagentofthebuyer.

Ifpartdeliveryofthegoodshasbeenmadetothebuyer,orhisagentinthatbehalf,theremainderofthegoodsmay
bestoppedintransitu,unlesssuchpartdeliveryhasbeenundersuchcircumstancesastoshowanagreementwith
thebuyertogiveuppossessionofthewholeofthegoods.(n)

Article1532.Theunpaidsellermayexercisehisrightofstoppageintransitueitherbyobtainingactualpossession
ofthegoodsorbygivingnoticeofhisclaimtothecarrierorotherbaileeinwhosepossessionthegoodsare.Such
noticemaybegiveneithertothepersoninactualpossessionofthegoodsortohisprincipal.Inthelattercasethe
notice,tobeeffectual,mustbegivenatsuchtimeandundersuchcircumstancesthattheprincipal,bytheexercise
ofreasonablediligence,maypreventadeliverytothebuyer.

Whennoticeofstoppageintransituisgivenbythesellertothecarrier,orotherbaileeinpossessionofthegoods,
hemustredeliverthegoodsto,oraccordingtothedirectionsof,theseller.Theexpensesofsuchdeliverymustbe
bornebytheseller.If,however,anegotiabledocumentoftitlerepresentingthegoodshasbeenissuedbythecarrier
or other bailee, he shall not be obliged to deliver or justified in delivering the goods to the seller unless such
documentisfirstsurrenderedforcancellation.(n)

Article1533.Wherethegoodsareofperishablenature,orwherethesellerexpresslyreservestherightofresalein
case the buyer should make default, or where the buyer has been in default in the payment of the price for an
unreasonable time, an unpaid seller having a right of lien or having stopped the goods in transitu may resell the
goods.Heshallnotthereafterbeliabletotheoriginalbuyeruponthecontractofsaleorforanyprofitmadebysuch
resale,butmayrecoverfromthebuyerdamagesforanylossoccasionedbythebreachofthecontractofsale.

Wherearesaleismade,asauthorizedinthisarticle,thebuyeracquiresagoodtitleasagainsttheoriginalbuyer.

Itisnotessentialtothevalidityofresalethatnoticeofanintentiontoresellthegoodsbegivenbythesellertothe
originalbuyer.Butwheretherighttoresellisnotbasedontheperishablenatureofthegoodsoruponanexpress
provisionofthecontractofsale,thegivingorfailuretogivesuchnoticeshallberelevantinanyissueinvolvingthe
questionwhetherthebuyerhadbeenindefaultforanunreasonabletimebeforetheresalewasmade.

Itisnotessentialtothevalidityofaresalethatnoticeofthetimeandplaceofsuchresaleshouldbegivenbythe
sellertotheoriginalbuyer.

Thesellerisboundtoexercisereasonablecareandjudgmentinmakingaresale,andsubjecttothisrequirement
maymakearesaleeitherbypublicorprivatesale.Hecannot,however,directlyorindirectlybuythegoods.(n)

Article 1534. An unpaid seller having the right of lien or having stopped the goods in transitu, may rescind the
transferoftitleandresumetheownershipinthegoods,whereheexpresslyreservedtherighttodosoincasethe
buyershouldmakedefault,orwherethebuyerhasbeenindefaultinthepaymentofthepriceforanunreasonable
time.Thesellershallnotthereafterbeliabletothebuyeruponthecontractofsale,butmayrecoverfromthebuyer
damagesforanylossoccasionedbythebreachofthecontract.

Thetransferoftitleshallnotbeheldtohavebeenrescindedbyanunpaidselleruntilhehasmanifestedbynoticeto
the buyer or by some other overt act an intention to rescind. It is not necessary that such overt act should be
communicatedtothebuyer,butthegivingorfailuretogivenoticetothebuyeroftheintentiontorescindshallbe
relevantinanyissueinvolvingthequestionwhetherthebuyerhadbeenindefaultforanunreasonabletimebefore
therightofrescissionwasasserted.(n)

Article1535. Subject to the provisions of this Title, the unpaid seller's right of lien or stoppage in transitu is not
affected by any sale, or other disposition of the goods which the buyer may have made, unless the seller has
assentedthereto.

If,however,anegotiabledocumentoftitlehasbeenissuedforgoods,noseller'slienorrightofstoppageintransitu
shalldefeattherightofanypurchaserforvalueingoodfaithtowhomsuchdocumenthasbeennegotiated,whether
suchnegotiationbepriororsubsequenttothenotificationtothecarrier,orotherbaileewhoissuedsuchdocument,
oftheseller'sclaimtoalienorrightofstoppageintransitu.(n)

Article1536.Thevendorisnotboundtodeliverthethingsoldincasethevendeeshouldlosetherighttomakeuse
ofthetermsasprovidedinarticle1198.(1467a)

Article1537.Thevendorisboundtodeliverthethingsoldanditsaccessionsandaccessoriesintheconditionin
whichtheywereupontheperfectionofthecontract.

Allthefruitsshallpertaintothevendeefromthedayonwhichthecontractwasperfected.(1468a)
Article1538.Incaseofloss,deteriorationorimprovementofthethingbeforeitsdelivery,therulesinarticle1189
shallbeobserved,thevendorbeingconsideredthedebtor.(n)

Article1539.Theobligationtodeliverthethingsoldincludesthatofplacinginthecontrolofthevendeeallthatis
mentionedinthecontract,inconformitywiththefollowingrules:

If the sale of real estate should be made with a statement of its area, at the rate of a certain price for a unit of
measureornumber,thevendorshallbeobligedtodelivertothevendee,ifthelattershoulddemandit,allthatmay
havebeenstatedinthecontractbut,shouldthisbenotpossible,thevendeemaychoosebetweenaproportional
reductionofthepriceandtherescissionofthecontract,providedthat,inthelattercase,thelackintheareabenot
lessthanonetenthofthatstated.

Thesameshallbedone,evenwhentheareaisthesame,ifanypartoftheimmovableisnotofthequalityspecified
inthecontract.

Therescission,inthiscase,shallonlytakeplaceatthewillofthevendee,whentheinferiorvalueofthethingsold
exceedsonetenthofthepriceagreedupon.

Nevertheless, if the vendee would not have bought the immovable had he known of its smaller area of inferior
quality,hemayrescindthesale.(1469a)

Article1540.If,inthecaseoftheprecedingarticle,thereisagreaterareaornumberintheimmovablethanthat
statedinthecontract,thevendeemayaccepttheareaincludedinthecontractandrejecttherest.Ifheacceptsthe
wholearea,hemustpayforthesameatthecontractrate.(1470a)

Article1541.Theprovisionsofthetwoprecedingarticlesshallapplytojudicialsales.(n)

Article1542. In the sale of real estate, made for a lump sum and not at the rate of a certain sum for a unit of
measureornumber,thereshallbenoincreaseordecreaseoftheprice,althoughtherebeagreaterorlessareaor
numberthanthatstatedinthecontract.

Thesameruleshallbeappliedwhentwoormoreimmovablesassoldforasinglepricebutif,besidesmentioning
theboundaries,whichisindispensableineveryconveyanceofrealestate,itsareaornumbershouldbedesignated
inthecontract,thevendorshallbeboundtodeliverallthatisincludedwithinsaidboundaries,evenwhenitexceeds
theareaornumberspecifiedinthecontractand,shouldhenotbeabletodoso,heshallsufferareductioninthe
price,inproportiontowhatislackingintheareaornumber,unlessthecontractisrescindedbecausethevendee
doesnotaccedetothefailuretodeliverwhathasbeenstipulated.(1471)

Article1543.Theactionsarisingfromarticles1539and1542shallprescribeinsixmonths,countedfromthedayof
delivery.(1472a)

Article1544.Ifthesamethingshouldhavebeensoldtodifferentvendees,theownershipshallbetransferredtothe
personwhomayhavefirsttakenpossessionthereofingoodfaith,ifitshouldbemovableproperty.

Should it be immovable property, the ownership shall belong to the person acquiring it who in good faith first
recordeditintheRegistryofProperty.

Should there be no inscription, the ownership shall pertain to the person who in good faith was first in the
possessionand,intheabsencethereof,tothepersonwhopresentstheoldesttitle,providedthereisgoodfaith.
(1473)

SECTION3
ConditionsandWarranties

Article 1545. Where the obligation of either party to a contract of sale is subject to any condition which is not
performed,suchpartymayrefusetoproceedwiththecontractorhemaywaiveperformanceofthecondition.Ifthe
other party has promised that the condition should happen or be performed, such first mentioned party may also
treatthenonperformanceoftheconditionasabreachofwarranty.

Wheretheownershipinthethinghasnotpassed,thebuyermaytreatthefulfillmentbythesellerofhisobligationto
deliverthesameasdescribedandaswarrantedexpresslyorbyimplicationinthecontractofsaleasaconditionof
theobligationofthebuyertoperformhispromisetoacceptandpayforthething.(n)

Article1546.Anyaffirmationoffactoranypromisebythesellerrelatingtothethingisanexpresswarrantyifthe
natural tendency of such affirmation or promise is to induce the buyer to purchase the same, and if the buyer
purchasesthethingrelyingthereon.Noaffirmationofthevalueofthething,noranystatementpurportingtobea
statementoftheseller'sopiniononly,shallbeconstruedasawarranty,unlessthesellermadesuchaffirmationor
statementasanexpertanditwasrelieduponbythebuyer.(n)

Article1547.Inacontractofsale,unlessacontraryintentionappears,thereis:

(1) An implied warranty on the part of the seller that he has a right to sell the thing at the time when the
ownership is to pass, and that the buyer shall from that time have and enjoy the legal and peaceful
possessionofthething

(2) An implied warranty that the thing shall be free from any hidden faults or defects, or any charge or
encumbrancenotdeclaredorknowntothebuyer.

This article shall not, however, be held to render liable a sheriff, auctioneer, mortgagee, pledgee, or other
personprofessingtosellbyvirtueofauthorityinfactorlaw,forthesaleofathinginwhichathirdpersonhas
alegalorequitableinterest.(n)

SUBSECTION1.WarrantyinCaseofEviction

Article1548. Eviction shall take place whenever by a final judgment based on a right prior to the sale or an act
imputabletothevendor,thevendeeisdeprivedofthewholeorofapartofthethingpurchased.

Thevendorshallanswerfortheevictioneventhoughnothinghasbeensaidinthecontractonthesubject.

Thecontractingparties,however,mayincrease,diminish,orsuppressthislegalobligationofthevendor.(1475a)

Article1549.Thevendeeneednotappealfromthedecisioninorderthatthevendormaybecomeliableforeviction.
(n)

Article 1550. When adverse possession had been commenced before the sale but the prescriptive period is
completedafterthetransfer,thevendorshallnotbeliableforeviction.(n)

Article1551. If the property is sold for nonpayment of taxes due and not made known to the vendee before the
sale,thevendorisliableforeviction.(n)

Article1552.Thejudgmentdebtorisalsoresponsibleforevictioninjudicialsales,unlessitisotherwisedecreedin
thejudgment.(n)

Article1553. Any stipulation exempting the vendor from the obligation to answer for eviction shall be void, if he
actedinbadfaith.(1476)

Article1554.Ifthevendeehasrenouncedtherighttowarrantyincaseofeviction,andevictionshouldtakeplace,
the vendor shall only pay the value which the thing sold had at the time of the eviction. Should the vendee have
made the waiver with knowledge of the risks of eviction and assumed its consequences, the vendor shall not be
liable.(1477)

Article 1555. When the warranty has been agreed upon or nothing has been stipulated on this point, in case
evictionoccurs,thevendeeshallhavetherighttodemandofthevendor:

(1)Thereturnofthevaluewhichthethingsoldhadatthetimeoftheeviction,beitgreaterorlessthanthe
priceofthesale

(2)Theincomeorfruits,ifhehasbeenorderedtodeliverthemtothepartywhowonthesuitagainsthim

(3)Thecostsofthesuitwhichcausedtheeviction,and,inapropercase,thoseofthesuitbroughtagainstthe
vendorforthewarranty

(4)Theexpensesofthecontract,ifthevendeehaspaidthem

(5)Thedamagesandinterests,andornamentalexpenses,ifthesalewasmadeinbadfaith.(1478)

Article 1556. Should the vendee lose, by reason of the eviction, a part of the thing sold of such importance, in
relation to the whole, that he would not have bought it without said part, he may demand the rescission of the
contract but with the obligation to return the thing without other encumbrances that those which it had when he
acquiredit.

Hemayexercisethisrightofaction,insteadofenforcingthevendor'sliabilityforeviction.

Thesameruleshallbeobservedwhentwoormorethingshavebeenjointlysoldforalumpsum,orforaseparate
priceforeachofthem,ifitshouldclearlyappearthatthevendeewouldnothavepurchasedonewithouttheother.
(1479a)

Article1557.Thewarrantycannotbeenforceduntilafinaljudgmenthasbeenrendered,wherebythevendeeloses
thethingacquiredorapartthereof.(1480)

Article1558.Thevendorshallnotbeobligedtomakegoodtheproperwarranty,unlessheissummonedinthesuit
forevictionattheinstanceofthevendee.(1481a)

Article 1559. The defendant vendee shall ask, within the time fixed in the Rules of Court for answering the
complaint,thatthevendorbemadeacodefendant.(1482a)

Article 1560. If the immovable sold should be encumbered with any nonapparent burden or servitude, not
mentionedintheagreement,ofsuchanaturethatitmustbepresumedthatthevendeewouldnothaveacquiredit
hadhebeenawarethereof,hemayaskfortherescissionofthecontract,unlessheshouldprefertheappropriate
indemnity. Neither right can be exercised if the nonapparent burden or servitude is recorded in the Registry of
Property,unlessthereisanexpresswarrantythatthethingisfreefromallburdensandencumbrances.

Withinoneyear,tobecomputedfromtheexecutionofthedeed,thevendeemaybringtheactionforrescission,or
suefordamages.

Oneyearhavingelapsed,hemayonlybringanactionfordamageswithinanequalperiod,tobecountedfromthe
dateonwhichhediscoveredtheburdenorservitude.(1483a)

SUBSECTION2.WarrantyAgainstHiddenDefectsoforEncumbrancesUpontheThingSold

Article1561. The vendor shall be responsible for warranty against the hidden defects which the thing sold may
have,shouldtheyrenderitunfitfortheuseforwhichitisintended,orshouldtheydiminishitsfitnessforsuchuseto
suchanextentthat,hadthevendeebeenawarethereof,hewouldnothaveacquireditorwouldhavegivenalower
priceforitbutsaidvendorshallnotbeanswerableforpatentdefectsorthosewhichmaybevisible,orforthose
whicharenotvisibleifthevendeeisanexpertwho,byreasonofhistradeorprofession,shouldhaveknownthem.
(1484a)

Article1562.Inasaleofgoods,thereisanimpliedwarrantyorconditionastothequalityorfitnessofthegoods,as
follows:

(1)Wherethebuyer,expresslyorbyimplication,makesknowntothesellertheparticularpurposeforwhich
thegoodsareacquired,anditappearsthatthebuyerreliesontheseller'sskillorjudgment(whetherhebe
thegrowerormanufacturerornot),thereisanimpliedwarrantythatthegoodsshallbereasonablyfitforsuch
purpose

(2)Wherethegoodsarebroughtbydescriptionfromasellerwhodealsingoodsofthatdescription(whether
he be the grower or manufacturer or not), there is an implied warranty that the goods shall be of
merchantablequality.(n)

Article1563.Inthecaseofcontractofsaleofaspecifiedarticleunderitspatentorothertradename,thereisno
warrantyastoitsfitnessforanyparticularpurpose,unlessthereisastipulationtothecontrary.(n)

Article1564.Animpliedwarrantyorconditionastothequalityorfitnessforaparticularpurposemaybeannexed
bytheusageoftrade.(n)

Article1565.Inthecaseofacontractofsalebysample,ifthesellerisadealeringoodsofthatkind,thereisan
impliedwarrantythatthegoodsshallbefreefromanydefectrenderingthemunmerchantablewhichwouldnotbe
apparentonreasonableexaminationofthesample.(n)

Article1566.Thevendorisresponsibletothevendeeforanyhiddenfaultsordefectsinthethingsold,eventhough
hewasnotawarethereof.

Thisprovisionshallnotapplyifthecontraryhasbeenstipulated,andthevendorwasnotawareofthehiddenfaults
ordefectsinthethingsold.(1485)

Article1567.Inthecasesofarticles1561,1562,1564,1565and1566,thevendeemayelectbetweenwithdrawing
fromthecontractanddemandingaproportionatereductionoftheprice,withdamagesineithercase.(1486a)

Article1568. If the thing sold should be lost in consequence of the hidden faults, and the vendor was aware of
them,heshallbeartheloss,andshallbeobligedtoreturnthepriceandrefundtheexpensesofthecontract,with
damages. If he was not aware of them, he shall only return the price and interest thereon, and reimburse the
expensesofthecontractwhichthevendeemighthavepaid.(1487a)
Article 1569. If the thing sold had any hidden fault at the time of the sale, and should thereafter be lost by a
fortuitouseventorthroughthefaultofthevendee,thelattermaydemandofthevendorthepricewhichhepaid,less
thevaluewhichthethinghadwhenitwaslost.

Ifthevendoractedinbadfaith,heshallpaydamagestothevendee.(1488a)

Article1570.TheprecedingarticlesofthisSubsectionshallbeapplicabletojudicialsales,exceptthatthejudgment
debtorshallnotbeliablefordamages.(1489a)

Article1571.Actionsarisingfromtheprovisionsoftheprecedingtenarticlesshallbebarredaftersixmonths,from
thedeliveryofthethingsold.(1490)

Article1572.Iftwoormoreanimalsaresoldtogether,whetherforalumpsumorforaseparatepriceforeachof
them,theredhibitorydefectofoneshallonlygiverisetoitsredhibition,andnotthatoftheothersunlessitshould
appearthatthevendeewouldnothavepurchasedthesoundanimaloranimalswithoutthedefectiveone.

Thelattercaseshallbepresumedwhenateam,yokepair,orsetisbought,evenifaseparatepricehasbeenfixed
foreachoneoftheanimalscomposingthesame.(1491)

Article 1573. The provisions of the preceding article with respect to the sale of animals shall in like manner be
applicabletothesaleofotherthings.(1492)

Article1574. There is no warranty against hidden defects of animals sold at fairs or at public auctions, or of live
stocksoldascondemned.(1493a)

Article1575.Thesaleofanimalssufferingfromcontagiousdiseasesshallbevoid.

Acontractofsaleofanimalsshallalsobevoidiftheuseorserviceforwhichtheyareacquiredhasbeenstatedin
thecontract,andtheyarefoundtobeunfittherefor.(1494a)

Article1576.Ifthehiddendefectofanimals,evenincaseaprofessionalinspectionhasbeenmade,shouldbeof
suchanaturethatexpertknowledgeisnotsufficienttodiscoverit,thedefectshallbeconsideredasredhibitory.

But if the veterinarian, through ignorance or bad faith should fail to discover or disclose it, he shall be liable for
damages.(1495)

Article1577. The redhibitory action, based on the faults or defects of animals, must be brought within forty days
fromthedateoftheirdeliverytothevendee.

This action can only be exercised with respect to faults and defects which are determined by law or by local
customs.(1496a)

Article1578.Iftheanimalshoulddiewithinthreedaysafteritspurchase,thevendorshallbeliableifthedisease
whichcausethedeathexistedatthetimeofthecontract.(1497a)

Article 1579. If the sale be rescinded, the animal shall be returned in the condition in which it was sold and
delivered, the vendee being answerable for any injury due to his negligence, and not arising from the redhibitory
faultordefect.(1498)

Article 1580. In the sale of animals with redhibitory defects, the vendee shall also enjoy the right mentioned in
article 1567 but he must make use thereof within the same period which has been fixed for the exercise of the
redhibitoryaction.(1499)

Article1581.Theformofsaleoflargecattleshallbegovernedbyspeciallaws.(n)

CHAPTER5
ObligationsoftheVendee

Article1582.Thevendeeisboundtoacceptdeliveryandtopaythepriceofthethingsoldatthetimeandplace
stipulatedinthecontract.

If the time and place should not have been stipulated, the payment must be made at the time and place of the
deliveryofthethingsold.(1500a)

Article1583.Unlessotherwiseagreed,thebuyerofgoodsisnotboundtoacceptdeliverythereofbyinstallments.
Wherethereisacontractofsaleofgoodstobedeliveredbystatedinstalments,whicharetobeseparatelypaidfor,
and the seller makes defective deliveries in respect of one or more instalments, or the buyer neglects or refuses
withoutjustcausetotakedeliveryoforpayforoneormoreinstalments,itdependsineachcaseonthetermsofthe
contract and the circumstances of the case, whether the breach of contract is so material as to justify the injured
partyinrefusingtoproceedfurtherandsuingfordamagesforbreachoftheentirecontract,orwhetherthebreachis
severable,givingrisetoaclaimforcompensationbutnottoarighttotreatthewholecontractasbroken.(n)

Article1584.Wheregoodsaredeliveredtothebuyer,whichhehasnotpreviouslyexamined,heisnotdeemedto
have accepted them unless and until he has had a reasonable opportunity of examining them for the purpose of
ascertainingwhethertheyareinconformitywiththecontractifthereisnostipulationtothecontrary.

Unlessotherwiseagreed,whenthesellertendersdeliveryofgoodstothebuyer,heisbound,onrequest,toafford
the buyer a reasonable opportunity of examining the goods for the purpose of ascertaining whether they are in
conformitywiththecontract.

Wheregoodsaredeliveredtoacarrierbytheseller,inaccordancewithanorderfromoragreementwiththebuyer,
uponthetermsthatthegoodsshallnotbedeliveredbythecarriertothebuyeruntilhehaspaidtheprice,whether
suchtermsareindicatedbymarkingthegoodswiththewords"collectondelivery,"orotherwise,thebuyerisnot
entitled to examine the goods before the payment of the price, in the absence of agreement or usage of trade
permittingsuchexamination.(n)

Article 1585. The buyer is deemed to have accepted the goods when he intimates to the seller that he has
accepted them, or when the goods have been delivered to him, and he does any act in relation to them which is
inconsistent with the ownership of the seller, or when, after the lapse of a reasonable time, he retains the goods
withoutintimatingtothesellerthathehasrejectedthem.(n)

Article1586.Intheabsenceofexpressorimpliedagreementoftheparties,acceptanceofthegoodsbythebuyer
shallnotdischargethesellerfromliabilityindamagesorotherlegalremedyforbreachofanypromiseorwarrantyin
thecontractofsale.But,if,afteracceptanceofthegoods,thebuyerfailstogivenoticetothesellerofthebreachin
anypromiseofwarrantywithinareasonabletimeafterthebuyerknows,oroughttoknowofsuchbreach,theseller
shallnotbeliabletherefor.(n)

Article1587. Unless otherwise agreed, where goods are delivered to the buyer, and he refuses to accept them,
havingtherightsotodo,heisnotboundtoreturnthemtotheseller,butitissufficientifhenotifiesthesellerthathe
refusestoacceptthem.Ifhevoluntarilyconstituteshimselfadepositarythereof,heshallbeliableassuch.(n)

Article1588.Ifthereisnostipulationasspecifiedinthefirstparagraphofarticle1523,whenthebuyer'srefusalto
accept the goods is without just cause, the title thereto passes to him from the moment they are placed at his
disposal.(n)

Article1589.Thevendeeshalloweinterestfortheperiodbetweenthedeliveryofthethingandthepaymentofthe
price,inthefollowingthreecases:

(1)Shouldithavebeensostipulated

(2)Shouldthethingsoldanddeliveredproducefruitsorincome

(3) Should he be in default, from the time of judicial or extrajudicial demand for the payment of the price.
(1501a)

Article1590.Shouldthevendeebedisturbedinthepossessionorownershipofthethingacquired,orshouldhe
have reasonable grounds to fear such disturbance, by a vindicatory action or a foreclosure of mortgage, he may
suspendthepaymentofthepriceuntilthevendorhascausedthedisturbanceordangertocease,unlessthelatter
givessecurityforthereturnofthepriceinapropercase,orithasbeenstipulatedthat,notwithstandinganysuch
contingency, the vendee shall be bound to make the payment. A mere act of trespass shall not authorize the
suspensionofthepaymentoftheprice.(1502a)

Article1591.Shouldthevendorhavereasonablegroundstofearthelossofimmovablepropertysoldanditsprice,
hemayimmediatelysuefortherescissionofthesale.

Shouldsuchgroundnotexist,theprovisionsofarticle1191shallbeobserved.(1503)

Article1592.Inthesaleofimmovableproperty,eventhoughitmayhavebeenstipulatedthatuponfailuretopay
thepriceatthetimeagreedupontherescissionofthecontractshallofrighttakeplace,thevendeemaypay,even
after the expiration of the period, as long as no demand for rescission of the contract has been made upon him
eitherjudiciallyorbyanotarialact.Afterthedemand,thecourtmaynotgranthimanewterm.(1504a)
Article1593.Withrespecttomovableproperty,therescissionofthesaleshallofrighttakeplaceintheinterestof
the vendor, if the vendee, upon the expiration of the period fixed for the delivery of the thing, should not have
appearedtoreceiveit,or,havingappeared,heshouldnothavetenderedthepriceatthesametime,unlessalonger
periodhasbeenstipulatedforitspayment.(1505)

CHAPTER6
ActionsforBreachofContractofSaleofGoods

Article1594.Actionsforbreachofthecontractofsaleofgoodsshallbegovernedparticularlybytheprovisionsof
thisChapter,andastomattersnotspecificallyprovidedforherein,byotherapplicableprovisionsofthisTitle.(n)

Article 1595. Where, under a contract of sale, the ownership of the goods has passed to the buyer and he
wrongfully neglects or refuses to pay for the goods according to the terms of the contract of sale, the seller may
maintainanactionagainsthimforthepriceofthegoods.

Where,underacontractofsale,thepriceispayableonacertainday,irrespectiveofdeliveryoroftransferoftitle
and the buyer wrongfully neglects or refuses to pay such price, the seller may maintain an action for the price
althoughtheownershipinthegoodshasnotpassed.Butitshallbeadefensetosuchanactionthatthesellerat
anytimebeforethejudgmentinsuchactionhasmanifestedaninabilitytoperformthecontractofsaleonhispartor
anintentionnottoperformit.

Althoughtheownershipinthegoodshasnotpassed,iftheycannotreadilyberesoldforareasonableprice,andif
theprovisionsofarticle1596,fourthparagraph,arenotapplicable,thesellermayoffertodeliverthegoodstothe
buyer,and,ifthebuyerrefusestoreceivethem,maynotifythebuyerthatthegoodsarethereafterheldbytheseller
asbaileeforthebuyer.Thereafterthesellermaytreatthegoodsasthebuyer'sandmaymaintainanactionforthe
price.(n)

Article 1596. Where the buyer wrongfully neglects or refuses to accept and pay for the goods, the seller may
maintainanactionagainsthimfordamagesfornonacceptance.

Themeasureofdamagesistheestimatedlossdirectlyandnaturallyresultingintheordinarycourseofeventsfrom
thebuyer'sbreachofcontract.

Wherethereisanavailablemarketforthegoodsinquestion,themeasureofdamagesis,intheabsenceofspecial
circumstancesshowingproximatedamageofadifferentamount,thedifferencebetweenthecontractpriceandthe
marketorcurrentpriceatthetimeortimeswhenthegoodsoughttohavebeenaccepted,or,ifnotimewasfixedfor
acceptance,thenatthetimeoftherefusaltoaccept.

If, while labor or expense of material amount is necessary on the part of the seller to enable him to fulfill his
obligationsunderthecontractofsale,thebuyerrepudiatesthecontractornotifiesthesellertoproceednofurther
therewith,thebuyershallbeliabletothesellerforlaborperformedorexpensesmadebeforereceivingnoticeofthe
buyer'srepudiationorcountermand.Theprofitthesellerwouldhavemadeifthecontractorthesalehadbeenfully
performedshallbeconsideredinawardingthedamages.(n)

Article1597.Wherethegoodshavenotbeendeliveredtothebuyer,andthebuyerhasrepudiatedthecontractof
sale,orhasmanifestedhisinabilitytoperformhisobligationsthereunder,orhascommittedabreachthereof,the
sellermaytotallyrescindthecontractofsalebygivingnoticeofhiselectionsotodotothebuyer.(n)

Article1598.Wherethesellerhasbrokenacontracttodeliverspecificorascertainedgoods,acourtmay,onthe
applicationofthebuyer,directthatthecontractshallbeperformedspecifically,withoutgivingthesellertheoptionof
retaining the goods on payment of damages. The judgment or decree may be unconditional, or upon such terms
andconditionsastodamages,paymentofthepriceandotherwise,asthecourtmaydeemjust.(n)

Article1599.Wherethereisabreachofwarrantybytheseller,thebuyermay,athiselection:

(1)Acceptorkeepthegoodsandsetupagainsttheseller,thebreachofwarrantybywayofrecoupmentin
diminutionorextinctionoftheprice

(2) Accept or keep the goods and maintain an action against the seller for damages for the breach of
warranty

(3) Refuse to accept the goods, and maintain an action against the seller for damages for the breach of
warranty

(4)Rescindthecontractofsaleandrefusetoreceivethegoodsorifthegoodshavealreadybeenreceived,
returnthemoroffertoreturnthemtothesellerandrecoverthepriceoranypartthereofwhichhasbeenpaid.
 When the buyer has claimed and been granted a remedy in anyone of these ways, no other remedy can
thereafterbegranted,withoutprejudicetotheprovisionsofthesecondparagraphofarticle1191.

Wherethegoodshavebeendeliveredtothebuyer,hecannotrescindthesaleifheknewofthebreachof
warrantywhenheacceptedthegoodswithoutprotest,orifhefailstonotifythesellerwithinareasonabletime
oftheelectiontorescind,orifhefailstoreturnortooffertoreturnthegoodstothesellerinsubstantiallyas
goodconditionastheywereinatthetimetheownershipwastransferredtothebuyer.Butifdeteriorationor
injuryofthegoodsisduetothebreachorwarranty,suchdeteriorationorinjuryshallnotpreventthebuyer
fromreturningorofferingtoreturnthegoodstothesellerandrescindingthesale.

Wherethebuyerisentitledtorescindthesaleandelectstodoso,heshallceasetobeliablefortheprice
uponreturningorofferingtoreturnthegoods.Ifthepriceoranypartthereofhasalreadybeenpaid,theseller
shall be liable to repay so much thereof as has been paid, concurrently with the return of the goods, or
immediatelyafteranoffertoreturnthegoodsinexchangeforrepaymentoftheprice.

Wherethebuyerisentitledtorescindthesaleandelectstodoso,ifthesellerrefusestoacceptanofferof
thebuyertoreturnthegoods,thebuyershallthereafterbedeemedtoholdthegoodsasbaileefortheseller,
but subject to a lien to secure the payment of any portion of the price which has been paid, and with the
remediesfortheenforcementofsuchlienallowedtoanunpaidsellerbyarticle1526.

(5)Inthecaseofbreachofwarrantyofquality,suchloss,intheabsenceofspecialcircumstancesshowing
proximate damage of a greater amount, is the difference between the value of the goods at the time of
deliverytothebuyerandthevaluetheywouldhavehadiftheyhadansweredtothewarranty.(n)

CHAPTER7
ExtinguishmentofSale

Article1600.Salesareextinguishedbythesamecausesasallotherobligations,bythosestatedinthepreceding
articlesofthisTitle,andbyconventionalorlegalredemption.(1506)

SECTION1
ConventionalRedemption

Article1601.Conventionalredemptionshalltakeplacewhenthevendorreservestherighttorepurchasethething
sold,withtheobligationtocomplywiththeprovisionsofarticle1616andotherstipulationswhichmayhavebeen
agreed upon. (1507) ARTICLE 1602. The contract shall be presumed to be an equitable mortgage, in any of the
followingcases:

(1)Whenthepriceofasalewithrighttorepurchaseisunusuallyinadequate

(2)Whenthevendorremainsinpossessionaslesseeorotherwise

(3) When upon or after the expiration of the right to repurchase another instrument extending the period of
redemptionorgrantinganewperiodisexecuted

(4)Whenthepurchaserretainsforhimselfapartofthepurchaseprice

(5)Whenthevendorbindshimselftopaythetaxesonthethingsold

(6)Inanyothercasewhereitmaybefairlyinferredthattherealintentionofthepartiesisthatthetransaction
shallsecurethepaymentofadebtortheperformanceofanyotherobligation.

Inanyoftheforegoingcases,anymoney,fruits,orotherbenefittobereceivedbythevendeeasrentorotherwise
shallbeconsideredasinterestwhichshallbesubjecttotheusurylaws.(n)

Article1603.Incaseofdoubt,acontractpurportingtobeasalewithrighttorepurchaseshallbeconstruedasan
equitablemortgage.(n)

Article1604.Theprovisionsofarticle1602shallalsoapplytoacontractpurportingtobeanabsolutesale.(n)

Article1605.Inthecasesreferredtoinarticles1602and1604,theapparentvendormayaskforthereformationof
theinstrument.(n)
Article1606.Therightreferredtoinarticle1601,intheabsenceofanexpressagreement,shalllastfouryearsfrom
thedateofthecontract.

Shouldtherebeanagreement,theperiodcannotexceedtenyears.

However,thevendormaystillexercisetherighttorepurchasewithinthirtydaysfromthetimefinaljudgmentwas
renderedinacivilactiononthebasisthatthecontractwasatruesalewithrighttorepurchase.(1508a)

Article1607. In case of real property, the consolidation of ownership in the vendee by virtue of the failure of the
vendor to comply with the provisions of article 1616 shall not be recorded in the Registry of Property without a
judicialorder,afterthevendorhasbeendulyheard.(n)

Article1608. The vendor may bring his action against every possessor whose right is derived from the vendee,
evenifinthesecondcontractnomentionshouldhavebeenmadeoftherighttorepurchase,withoutprejudicetothe
provisionsoftheMortgageLawandtheLandRegistrationLawwithrespecttothirdpersons.(1510)

Article1609.Thevendeeissubrogatedtothevendor'srightsandactions.(1511)

Article1610.Thecreditorsofthevendorcannotmakeuseoftherightofredemptionagainstthevendee,untilafter
theyhaveexhaustedthepropertyofthevendor.(1512)

Article1611.Inasalewitharighttorepurchase,thevendeeofapartofanundividedimmovablewhoacquiresthe
wholethereofinthecaseofarticle498,maycompelthevendortoredeemthewholeproperty,ifthelatterwishesto
makeuseoftherightofredemption.(1513)

Article1612.Ifseveralpersons,jointlyandinthesamecontract,shouldsellanundividedimmovablewitharightof
repurchase,noneofthemmayexercisethisrightformorethanhisrespectiveshare.

Thesameruleshallapplyifthepersonwhosoldanimmovablealonehasleftseveralheirs,inwhichcaseeachof
thelattermayonlyredeemthepartwhichhemayhaveacquired.(1514)

Article1613.Inthecaseoftheprecedingarticle,thevendeemaydemandofallthevendorsorcoheirsthatthey
come to an agreement upon the repurchase of the whole thing sold and should they fail to do so, the vendee
cannotbecompelledtoconsenttoapartialredemption.(1515)
consent

Article1614.Eachoneofthecoownersofanundividedimmovablewhomayhavesoldhisshareseparately,may
independently exercise the right of repurchase as regards his own share, and the vendee cannot compel him to
redeemthewholeproperty.(1516)

Article1615.Ifthevendeeshouldleaveseveralheirs,theactionforredemptioncannotbebroughtagainsteachof
themexceptforhisownshare,whetherthethingbeundivided,orithasbeenpartitionedamongthem.

But if the inheritance has been divided, and the thing sold has been awarded to one of the heirs, the action for
redemptionmaybeinstitutedagainsthimforthewhole.(1517)

Article1616.Thevendorcannotavailhimselfoftherightofrepurchasewithoutreturningtothevendeethepriceof
thesale,andinaddition:

(1)Theexpensesofthecontract,andanyotherlegitimatepaymentsmadebyreasonofthesale

(2)Thenecessaryandusefulexpensesmadeonthethingsold.(1518)

Article1617.Ifatthetimeoftheexecutionofthesalethereshouldbeontheland,visibleorgrowingfruits,there
shallbenoreimbursementfororproratingofthoseexistingatthetimeofredemption,ifnoindemnitywaspaidby
thepurchaserwhenthesalewasexecuted.

Should there have been no fruits at the time of the sale and some exist at the time of redemption, they shall be
prorated between the redemptioner and the vendee, giving the latter the part corresponding to the time he
possessedthelandinthelastyear,countedfromtheanniversaryofthedateofthesale.(1519a)

Article1618.Thevendorwhorecoversthethingsoldshallreceiveitfreefromallchargesormortgagesconstituted
bythevendee,butheshallrespecttheleaseswhichthelattermayhaveexecutedingoodfaith,andinaccordance
withthecustomoftheplacewherethelandissituated.(1520)

SECTION2
LegalRedemption
Article1619.Legalredemptionistherighttobesubrogated,uponthesametermsandconditionsstipulatedinthe
contract, in the place of one who acquires a thing by purchase or dation in payment, or by any other transaction
wherebyownershipistransmittedbyoneroustitle.(1521a)

Article1620. A coowner of a thing may exercise the right of redemption in case the shares of all the other co
owners or of any of them, are sold to a third person. If the price of the alienation is grossly excessive, the
redemptionershallpayonlyareasonableone.

Shouldtwoormorecoownersdesiretoexercisetherightofredemption,theymayonlydosoinproportiontothe
sharetheymayrespectivelyhaveinthethingownedincommon.(1522a)

Article1621.Theownersofadjoininglandsshallalsohavetherightofredemptionwhenapieceofruralland,the
areaofwhichdoesnotexceedonehectare,isalienated,unlessthegranteedoesnotownanyruralland.

This right is not applicable to adjacent lands which are separated by brooks, drains, ravines, roads and other
apparentservitudesforthebenefitofotherestates.

If two or more adjoining owners desire to exercise the right of redemption at the same time, the owner of the
adjoining land of smaller area shall be preferred and should both lands have the same area, the one who first
requested the redemption. (1523a) ARTICLE 1622. Whenever a piece of urban land which is so small and so
situatedthatamajorportionthereofcannotbeusedforanypracticalpurposewithinareasonabletime,havingbeen
boughtmerelyforspeculation,isabouttoberesold,theownerofanyadjoininglandhasarightofpreemptionata
reasonableprice.

If the resale has been perfected, the owner of the adjoining land shall have a right of redemption, also at a
reasonableprice.

When two or more owners of adjoining lands wish to exercise the right of preemption or redemption, the owner
whoseintendeduseofthelandinquestionappearsbestjustifiedshallbepreferred.(n)

Article1623.Therightoflegalpreemptionorredemptionshallnotbeexercisedexceptwithinthirtydaysfromthe
notice in writing by the prospective vendor, or by the vendor, as the case may be. The deed of sale shall not be
recorded in the Registry of Property, unless accompanied by an affidavit of the vendor that he has given written
noticethereoftoallpossibleredemptioners.

Therightofredemptionofcoownersexcludesthatofadjoiningowners.(1524a)

CHAPTER8
AssignmentofCreditsandOtherIncorporealRights

Article 1624. An assignment of creditors and other incorporeal rights shall be perfected in accordance with the
provisionsofarticle1475.(n)

Article1625.Anassignmentofacredit,rightoractionshallproducenoeffectasagainstthirdpersons,unlessit
appears in a public instrument, or the instrument is recorded in the Registry of Property in case the assignment
involvesrealproperty.(1526)

Article1626.Thedebtorwho,beforehavingknowledgeoftheassignment,payshiscreditorshallbereleasedfrom
theobligation.(1527)

Article1627.Theassignmentofacreditincludesalltheaccessoryrights,suchasaguaranty,mortgage,pledgeor
preference.(1528)

Article1628.Thevendoringoodfaithshallberesponsiblefortheexistenceandlegalityofthecreditatthetimeof
thesale,unlessitshouldhavebeensoldasdoubtfulbutnotforthesolvencyofthedebtor,unlessithasbeenso
expresslystipulatedorunlesstheinsolvencywaspriortothesaleandofcommonknowledge.

EveninthesecasesheshallonlybeliableforthepricereceivedandfortheexpensesspecifiedinNo.1ofarticle
1616.

Thevendorinbadfaithshallalwaysbeanswerableforthepaymentofallexpenses,andfordamages.(1529)

Article 1629. In case the assignor in good faith should have made himself responsible for the solvency of the
debtor,andthecontractingpartiesshouldnothaveagreeduponthedurationoftheliability,itshalllastforoneyear
only,fromthetimeoftheassignmentiftheperiodhadalreadyexpired.
Ifthecreditshouldbepayablewithinatermorperiodwhichhasnotyetexpired,theliabilityshallceaseoneyear
afterthematurity.(1530a)

Article1630. One who sells an inheritance without enumerating the things of which it is composed, shall only be
answerableforhischaracterasanheir.(1531)

Article 1631. One who sells for a lump sum the whole of certain rights, rents, or products, shall comply by
answeringforthelegitimacyofthewholeingeneralbutheshallnotbeobligedtowarranteachofthevariousparts
ofwhichitmaybecomposed,exceptinthecaseofevictionfromthewholeorthepartofgreatervalue.(1532a)

Article1632.Shouldthevendorhaveprofitedbysomeofthefruitsorreceivedanythingfromtheinheritancesold,
heshallpaythevendeethereof,ifthecontraryhasnotbeenstipulated.(1533)

Article1633.Thevendeeshall,onhispart,reimbursethevendorforallthatthelattermayhavepaidforthedebts
ofandchargesontheestateandsatisfythecreditshemayhaveagainstthesame,unlessthereisanagreementto
the contrary. (1534) ARTICLE 1634. When a credit or other incorporeal right in litigation is sold, the debtor shall
have a right to extinguish it by reimbursing the assignee for the price the latter paid therefor, the judicial costs
incurredbyhim,andtheinterestonthepricefromthedayonwhichthesamewaspaid.

Acreditorotherincorporealrightshallbeconsideredinlitigationfromthetimethecomplaintconcerningthesameis
answered.

Thedebtormayexercisehisrightwithinthirtydaysfromthedatetheassigneedemandspaymentfromhim.(1535)

Article1635.Fromtheprovisionsoftheprecedingarticleshallbeexceptedtheassignmentsorsalesmade:

(1)Toacoheirorcoowneroftherightassigned

(2)Toacreditorinpaymentofhiscredit

(3)Tothepossessorofatenementorpieceoflandwhichissubjecttotherightinlitigationassigned.(1536)

CHAPTER9
GeneralProvisions

Article1636.IntheprecedingarticlesinthisTitlegoverningthesaleofgoods,unlessthecontextorsubjectmatter
otherwiserequires:

(1)"Documentoftitletogoods"includesanybilloflading,dockwarrant,"quedan,"orwarehousereceiptor
orderforthedeliveryofgoods,oranyotherdocumentusedintheordinarycourseofbusinessinthesaleor
transferofgoods,asproofofthepossessionorcontrolofthegoods,orauthorizingorpurportingtoauthorize
thepossessorofthedocumenttotransferorreceive,eitherbyindorsementorbydelivery,goodsrepresented
bysuchdocument.

"Goods"includesallchattelspersonalbutnotthingsinactionormoneyoflegaltenderinthePhilippines.The
termincludesgrowingfruitsorcrops.

"Order"relatingtodocumentsoftitlemeansanorderbyindorsementonthedocuments.

"Qualityofgoods"includestheirstateorcondition.

"Specificgoods"meansgoodsidentifiedandagreeduponatthetimeacontractofsaleismade.

Anantecedentorpreexistingclaim,whetherformoneyornot,constitutes"value"wheregoodsordocuments
oftitlearetakeneitherinsatisfactionthereoforassecuritytherefor.

(2) A person is insolvent within the meaning of this Title who either has ceased to pay his debts in the
ordinary course of business or cannot pay his debts as they become due, whether insolvency proceedings
havebeencommencedornot.

(3)Goodsareina"deliverablestate"withinthemeaningofthisTitlewhentheyareinsuchastatethatthe
buyerwould,underthecontract,beboundtotakedeliveryofthem.(n)

Article 1637. The provisions of this Title are subject to the rules laid down by the Mortgage Law and the Land
RegistrationLawwithregardtoimmovableproperty.(1537a)
 TITLEVII
BARTEROREXCHANGE

Article 1638. By the contract of barter or exchange one of the parties binds himself to give one thing in
considerationoftheother'spromisetogiveanotherthing.(1538a)

Article1639.Ifoneofthecontractingparties,havingreceivedthethingpromisedhiminbarter,shouldprovethatit
didnotbelongtothepersonwhogaveit,hecannotbecompelledtodeliverthatwhichheofferedinexchange,but
heshallbeentitledtodamages.(1539a)

Article1640.Onewholosesbyevictionthethingreceivedinbartermayrecoverthatwhichhegaveinexchange
witharighttodamages,orhemayonlydemandanindemnityfordamages.However,hecanonlymakeuseofthe
righttorecoverthethingwhichhehasdeliveredwhilethesameremainsinthepossessionoftheotherparty,and
withoutprejudicetotherightsacquiredingoodfaithinthemeantimebyathirdperson.(1540a)

Article1641.AstoallmattersnotspecificallyprovidedforinthisTitle,bartershallbegovernedbytheprovisionsof
theprecedingTitlerelatingtosales.(1541a)

TITLEVIII
LEASE

CHAPTER1
GeneralProvisions

ARTICLE1642.Thecontractofleasemaybeofthings,orofworkandservice.(1542)

ARTICLE1643.Intheleaseofthings,oneofthepartiesbindshimselftogivetoanothertheenjoymentoruseofa
thingforapricecertain,andforaperiodwhichmaybedefiniteorindefinite.However,noleaseformorethanninety
nineyearsshallbevalid.(1543a)

ARTICLE1644.Intheleaseofworkorservice,oneofthepartiesbindshimselftoexecuteapieceofworkorto
rendertotheothersomeserviceforapricecertain,buttherelationofprincipalandagentdoesnotexistbetween
them.(1544a)

ARTICLE1645.Consumablegoodscannotbethesubjectmatterofacontractoflease,exceptwhentheyare
merelytobeexhibitedorwhentheyareaccessorytoanindustrialestablishment.(1545a)

CHAPTER2
LeaseofRuralandUrbanLands

SECTION1
GeneralProvisions

Article1646.Thepersonsdisqualifiedtobuyreferredtoinarticles1490and1491,arealsodisqualifiedtobecome
lesseesofthethingsmentionedtherein.(n)

Article1647. If a lease is to be recorded in the Registry of Property, the following persons cannot constitute the
samewithoutproperauthority:thehusbandwithrespecttothewife'sparaphernalrealestate,thefatherorguardian
astothepropertyoftheminororward,andthemanagerwithoutspecialpower.(1548a)

Article1648.EveryleaseofrealestatemayberecordedintheRegistryofProperty.Unlessaleaseisrecorded,it
shallnotbebindinguponthirdpersons.(1549a)

Article1649.Thelesseecannotassigntheleasewithouttheconsentofthelessor,unlessthereisastipulationto
consent
thecontrary.(n)

Article1650.Wheninthecontractofleaseofthingsthereisnoexpressprohibition,thelesseemaysubletthething
leased, in whole or in part, without prejudice to his responsibility for the performance of the contract toward the
lessor.(1550)
Article1651.Withoutprejudicetohisobligationtowardthesublessor,thesublesseeisboundtothelessorforall
actswhichrefertotheuseandpreservationofthethingleasedinthemannerstipulatedbetweenthelessorandthe
lessee.(1551)

Article 1652. The sublessee is subsidiarily liable to the lessor for any rent due from the lessee. However, the
sublessee shall not be responsible beyond the amount of rent due from him, in accordance with the terms of the
sublease,atthetimeoftheextrajudicialdemandbythelessor.

Paymentsofrentinadvancebythesublesseeshallbedeemednottohavebeenmade,sofarasthelessor'sclaim
isconcerned,unlesssaidpaymentswereeffectedinvirtueofthecustomoftheplace.(1552a)

Article1653.Theprovisionsgoverningwarranty,containedintheTitleonSales,shallbeapplicabletothecontract
oflease.

Inthecaseswherethereturnofthepriceisrequired,reductionshallbemadeinproportiontothetimeduringwhich
thelesseeenjoyedthething.(1553)

SECTION2
RightsandObligationsoftheLessorandtheLessee

Article1654.Thelessorisobliged:

(1) To deliver the thing which is the object of the contract in such a condition as to render it fit for the use
intended

(2)Tomakeonthesameduringtheleaseallthenecessaryrepairsinordertokeepitsuitablefortheuseto
whichithasbeendevoted,unlessthereisastipulationtothecontrary

(3)Tomaintainthelesseeinthepeacefulandadequateenjoymentoftheleasefortheentiredurationofthe
contract.(1554a)

Article1655.Ifthethingleasedistotallydestroyedbyafortuitousevent,theleaseisextinguished.Ifthedestruction
ispartial,thelesseemaychoosebetweenaproportionalreductionoftherentandarescissionofthelease.(n)

Article1656.Thelessorofabusinessorindustrialestablishmentmaycontinueengaginginthesamebusinessor
industrytowhichthelesseedevotesthethingleased,unlessthereisastipulationtothecontrary.(n)

Article1657.Thelesseeisobliged:

(1)Topaythepriceoftheleaseaccordingtothetermsstipulated

(2)Tousethethingleasedasadiligentfatherofafamily,devotingittotheusestipulatedandintheabsence
ofstipulation,tothatwhichmaybeinferredfromthenatureofthethingleased,accordingtothecustomofthe
place

(3)Topayexpensesforthedeedoflease.(1555)

Article 1658. The lessee may suspend the payment of the rent in case the lessor fails to make the necessary
repairsortomaintainthelesseeinpeacefulandadequateenjoymentofthepropertyleased.(n)

Article1659.Ifthelessororthelesseeshouldnotcomplywiththeobligationssetforthinarticles1654and1657,
theaggrievedpartymayaskfortherescissionofthecontractandindemnificationfordamages,oronlythelatter,
allowingthecontracttoremaininforce.(1556)

Article1660.Ifadwellingplaceoranyotherbuildingintendedforhumanhabitationisinsuchaconditionthatits
usebringsimminentandseriousdangertolifeorhealth,thelesseemayterminatetheleaseatoncebynotifyingthe
lessor,evenifatthetimethecontractwasperfectedtheformerknewofthedangerousconditionorwaivedtheright
torescindtheleaseonaccountofthiscondition.(n)

Article1661.Thelessorcannotaltertheformofthethingleasedinsuchawayastoimpairtheusetowhichthe
thingisdevotedunderthetermsofthelease.(1557a)

Article1662.Ifduringtheleaseitshouldbecomenecessarytomakesomeurgentrepairsuponthethingleased,
whichcannotbedeferreduntiltheterminationofthelease,thelesseeisobligedtotoleratethework,althoughitmay
beveryannoyingtohim,andalthoughduringthesame,hemaybedeprivedofapartofthepremises.
Iftherepairslastmorethanfortydaystherentshallbereducedinproportiontothetimeincludingthefirstforty
daysandthepartofthepropertyofwhichthelesseehasbeendeprived.

Whentheworkisofsuchanaturethattheportionwhichthelesseeandhisfamilyneedfortheirdwellingbecomes
uninhabitable, he may rescind the contract if the main purpose of the lease is to provide a dwelling place for the
lessee.(1558a)

Article1663. The lessee is obliged to bring to the knowledge of the proprietor, within the shortest possible time,
everyusurpationoruntowardactwhichanythirdpersonmayhavecommittedormaybeopenlypreparingtocarry
outuponthethingleased.

Heisalsoobligedtoadvisetheowner,withthesameurgency,oftheneedofallrepairsincludedinNo.2ofarticle
1654.

In both cases the lessee shall be liable for the damages which, through his negligence, may be suffered by the
proprietor.

Ifthelessorfailstomakeurgentrepairs,thelessee,inordertoavoidanimminentdanger,mayordertherepairsat
thelessor'scost.(1559a)

Article1664.Thelessorisnotobligedtoanswerforamereactoftrespasswhichathirdpersonmaycauseonthe
useofthethingleasedbutthelesseeshallhaveadirectactionagainsttheintruder.

Thereisamereactoftrespasswhenthethirdpersonclaimsnorightwhatever.(1560a)

Article1665. The lessee shall return the thing leased, upon the termination of the lease, as he received it, save
what has been lost or impaired by the lapse of time, or by ordinary wear and tear, or from an inevitable cause.
(1561a)

Article 1666. In the absence of a statement concerning the condition of the thing at the time the lease was
constituted, the law presumes that the lessee received it in good condition, unless there is proof to the contrary.
(1562)

Article1667.Thelesseeisresponsibleforthedeteriorationorlossofthethingleased,unlessheprovesthatittook
placewithouthisfault.Thisburdenofproofonthelesseedoesnotapplywhenthedestructionisduetoearthquake,
flood,stormorothernaturalcalamity.(1563a)

Article1668. The lessee is liable for any deterioration caused by members of his household and by guests and
visitors.(1564a)

Article1669. If the lease was made for a determinate time, it ceases upon the day fixed, without the need of a
demand.(1565)

Article1670.Ifattheendofthecontractthelesseeshouldcontinueenjoyingthethingleasedforfifteendayswith
theacquiescenceofthelessor,andunlessanoticetothecontrarybyeitherpartyhaspreviouslybeengiven,itis
understoodthatthereisanimpliednewlease,notfortheperiodoftheoriginalcontract,butforthetimeestablished
inarticles1682and1687.Theothertermsoftheoriginalcontractshallberevived.(1566a)

Article 1671. If the lessee continues enjoying the thing after the expiration of the contract, over the lessor's
objection,theformershallbesubjecttotheresponsibilitiesofapossessorinbadfaith.(n)

Article1672. In case of an implied new lease, the obligations contracted by a third person for the security of the
principalcontractshallceasewithrespecttothenewlease.(1567)

Article1673.Thelessormayjudiciallyejectthelesseeforanyofthefollowingcauses:

(1) When the period agreed upon, or that which is fixed for the duration of leases under articles 1682 and
1687,hasexpired

(2)Lackofpaymentofthepricestipulated

(3)Violationofanyoftheconditionsagreeduponinthecontract

(4) When the lessee devotes the thing leased to any use or service not stipulated which causes the
deteriorationthereoforifhedoesnotobservetherequirementinNo.2ofarticle1657,asregardstheuse
thereof.

Theejectmentoftenantsofagriculturallandsisgovernedbyspeciallaws.(1569a)
Article1674. In ejectment cases where an appeal is taken the remedy granted in article 539, second paragraph,
shall also apply, if the higher court is satisfied that the lessee's appeal is frivolous or dilatory, or that the lessor's
appealisprimafaciemeritorious.Theperiodoftendaysreferredtoinsaidarticleshallbecountedfromthetimethe
appealisperfected.(n)

Article 1675. Except in cases stated in article 1673, the lessee shall have a right to make use of the periods
establishedinarticles1682and1687.(1570)

Article1676.ThepurchaserofapieceoflandwhichisunderaleasethatisnotrecordedintheRegistryofProperty
may terminate the lease, save when there is a stipulation to the contrary in the contract of sale, or when the
purchaserknowsoftheexistenceofthelease.

Ifthebuyermakesuseofthisright,thelesseemaydemandthathebeallowedtogatherthefruitsoftheharvest
whichcorrespondstothecurrentagriculturalyearandthatthevendorindemnifyhimfordamagessuffered.

Ifthesaleisfictitious,forthepurposeofextinguishingthelease,thesupposedvendeecannotmakeuseoftheright
grantedinthefirstparagraphofthisarticle.Thesaleispresumedtobefictitiousifatthetimethesupposedvendee
demandstheterminationofthelease,thesaleisnotrecordedintheRegistryofProperty.(1571a)

Article1677.Thepurchaserinasalewiththerightofredemptioncannotmakeuseofthepowertoejectthelessee
untiltheendoftheperiodfortheredemption.(1572)

Article1678. If the lessee makes, in good faith, useful improvements which are suitable to the use for which the
leaseisintended,withoutalteringtheformorsubstanceofthepropertyleased,thelessorupontheterminationof
theleaseshallpaythelesseeonehalfofthevalueoftheimprovementsatthattime.Shouldthelessorrefuseto
reimburse said amount, the lessee may remove the improvements, even though the principal thing may suffer
damagethereby.Heshallnot,however,causeanymoreimpairmentuponthepropertyleasedthanisnecessary.

Withregardtoornamentalexpenses,thelesseeshallnotbeentitledtoanyreimbursement,buthemayremovethe
ornamentalobjects,providednodamageiscausedtotheprincipalthing,andthelessordoesnotchoosetoretain
thembypayingtheirvalueatthetimetheleaseisextinguished.(n)

Article1679. If nothing has been stipulated concerning the place and the time for the payment of the lease, the
provisionsorarticle1251shallbeobservedasregardstheplaceandwithrespecttothetime,thecustomofthe
placeshallbefollowed.(1574)

SECTION3
SpecialProvisionsforLeasesofRuralLands

Article1680.Thelesseeshallhavenorighttoareductionoftherentonaccountofthesterilityofthelandleased,
orbyreasonofthelossoffruitsduetoordinaryfortuitouseventsbutheshallhavesuchrightincaseofthelossof
morethanonehalfofthefruitsthroughextraordinaryandunforeseenfortuitousevents,savealwayswhenthereisa
specificstipulationtothecontrary.

Extraordinary fortuitous events are understood to be: fire, war, pestilence, unusual flood, locusts, earthquake, or
otherswhichareuncommon,andwhichthecontractingpartiescouldnothavereasonablyforeseen.(1575)

Article1681.Neitherdoesthelesseehaveanyrighttoareductionoftherentifthefruitsarelostaftertheyhave
beenseparatedfromtheirstalk,rootortrunk.(1576)

Article1682.Theleaseofapieceofruralland,whenitsdurationhasnotbeenfixed,isunderstoodtohavebeenfor
allthetimenecessaryforthegatheringofthefruitswhichthewholeestateleasedmayyieldinoneyear,orwhichit
mayyieldonce,althoughtwoormoreyearshavetoelapseforthepurpose.(1577a)

Article1683.Theoutgoinglesseeshallallowtheincominglesseeorthelessortheuseofthepremisesandother
meansnecessaryforthepreparatorylaborforthefollowingyearand,reciprocally,theincominglesseeorthelessor
isunderobligationtopermittheoutgoinglesseetodowhatevermaybenecessaryforthegatheringorharvesting
andutilizationofthefruits,allinaccordancewiththecustomoftheplace.(1578a)

Article 1684. Land tenancy on shares shall be governed by special laws, the stipulations of the parties, the
provisionsonpartnershipandbythecustomsoftheplace.(1579a)

Article1685.Thetenantonsharescannotbeejectedexceptincasesspecifiedbylaw.(n)
 SECTION4
SpecialProvisionsfortheLeaseofUrbanLands

Article1686.Indefaultofaspecialstipulation,thecustomoftheplaceshallbeobservedwithregardtothekindof
repairsonurbanpropertyforwhichthelessorshallbeliable.Incaseofdoubtitisunderstoodthattherepairsare
chargeableagainsthim.(1580a)

Article1687.Iftheperiodfortheleasehasnotbeenfixed,itisunderstoodtobefromyeartoyear,iftherentagreed
uponisannualfrommonthtomonth,ifitismonthlyfromweektoweek,iftherentisweeklyandfromdaytoday,if
therentistobepaiddaily.However,eventhoughamonthlyrentispaid,andnoperiodfortheleasehasbeenset,
thecourtsmayfixalongertermfortheleaseafterthelesseehasoccupiedthepremisesforoveroneyear.Ifthe
rentisweekly,thecourtsmaylikewisedeterminealongerperiodafterthelesseehasbeeninpossessionforover
sixmonths.Incaseofdailyrent,thecourtsmayalsofixalongerperiodafterthelesseehasstayedintheplacefor
overonemonth.(1581a)

Article1688.Whenthelessorofahouse,orpartthereof,usedasadwellingforafamily,orwhenthelessorofa
store, or industrial establishment, also leases the furniture, the lease of the latter shall be deemed to be for the
durationoftheleaseofthepremises.(1582)

CHAPTER3
WorkandLabor

SECTION1
HouseholdService(n)

Article1689.Householdserviceshallalwaysbereasonablycompensated.Anystipulationthathouseholdserviceis
withoutcompensationshallbevoid.Suchcompensationshallbeinadditiontothehousehelper'slodging,food,and
medicalattendance.

Article1690.Theheadofthefamilyshallfurnish,freeofcharge,tothehousehelper,suitableandsanitaryquarters
aswellasadequatefoodandmedicalattendance.

Article1691.Ifthehousehelperisundertheageofeighteenyears,theheadofthefamilyshallgiveanopportunity
to the house helper for at least elementary education. The cost of such education shall be a part of the house
helper'scompensation,unlessthereisastipulationtothecontrary.

Article1692.Nocontractforhouseholdserviceshalllastformorethantwoyears.However,suchcontractmaybe
renewedfromyeartoyear.

Article1693.Thehousehelper'sclothesshallbesubjecttostipulation.However,anycontractforhouseholdservice
shallbevoidiftherebythehousehelpercannotaffordtoacquiresuitableclothing.

Article1694. The head of the family shall treat the house helper in a just and humane manner. In no case shall
physicalviolencebeuseduponthehousehelper.

Article1695.Househelpersshallnotberequiredtoworkmorethantenhoursaday.Everyhousehelpershallbe
allowedfourdays'vacationeachmonth,withpay.

Article1696. In case of death of the house helper, the head of the family shall bear the funeral expenses if the
househelperhasnorelativesintheplacewheretheheadofthefamilylives,withsufficientmeanstherefor.

Article1697. If the period for household service is fixed neither the head of the family nor the house helper may
terminate the contract before the expiration of the term, except for a just cause. If the house helper is unjustly
dismissed,heshallbepaidthecompensationalreadyearnedplusthatforfifteendaysbywayofindemnity.Ifthe
house helper leaves without justifiable reason, he shall forfeit any salary due him and unpaid, for not exceeding
fifteendays.

Article1698.Ifthedurationofthehouseholdserviceisnotdeterminedeitherbystipulationorbythenatureofthe
service,theheadofthefamilyorthehousehelpermaygivenoticetoputanendtotheservicerelation,accordingto
thefollowingrules:

(1)Ifthecompensationispaidbytheday,noticemaybegivenonanydaythattheserviceshallendatthe
closeofthefollowingday
 (2)Ifthecompensationispaidbytheweek,noticemaybegiven,atthelatestonthefirstbusinessdayofthe
week,thattheserviceshallbeterminatedattheendoftheseventhdayfromthebeginningoftheweek

(3)Ifthecompensationispaidbythemonth,noticemaybegiven,atthelatest,onthefifthdayofthemonth,
thattheserviceshallceaseattheendofthemonth.

Article1699.Upontheextinguishmentoftheservicerelation,thehousehelpermaydemandfromtheheadofthe
family a written statement on the nature and duration of the service and the efficiency and conduct of the house
helper.

SECTION2
ContractofLabor(n)

Article1700.Therelationsbetweencapitalandlaborarenotmerelycontractual.Theyaresoimpressedwithpublic
interest that labor contracts must yield to the common good. Therefore, such contracts are subject to the special
lawsonlaborunions,collectivebargaining,strikesandlockouts,closedshop,wages,workingconditions,hoursof
laborandsimilarsubjects.

Article1701.Neithercapitalnorlaborshallactoppressivelyagainsttheother,orimpairtheinterestorconvenience
ofthepublic.

Article1702.Incaseofdoubt,alllaborlegislationandalllaborcontractsshallbeconstruedinfavorofthesafety
anddecentlivingforthelaborer.

Article1703.Nocontractwhichpracticallyamountstoinvoluntaryservitude,underanyguisewhatsoever,shallbe
valid.

Article1704.Incollectivebargaining,thelaborunionormembersoftheboardorcommitteesigningthecontract
shallbeliablefornonfulfillmentthereof.

Article1705.Thelaborer'swagesshallbepaidinlegalcurrency.

Article1706.Withholdingofthewages,exceptforadebtdue,shallnotbemadebytheemployer.

Article1707.Thelaborer'swagesshallbealienonthegoodsmanufacturedortheworkdone.

Article1708. The laborer's wages shall not be subject to execution or attachment, except for debts incurred for
food,shelter,clothingandmedicalattendance.

Article1709.Theemployershallneitherseizenorretainanytoolorotherarticlesbelongingtothelaborer.

Article1710.DismissaloflaborersshallbesubjecttothesupervisionoftheGovernment,underspeciallaws.

Article 1711. Owners of enterprises and other employers are obliged to pay compensation for the death of or
injuries to their laborers, workmen, mechanics or other employees, even though the event may have been purely
accidentalorentirelyduetoafortuitouscause,ifthedeathorpersonalinjuryaroseoutofandinthecourseofthe
employment.Theemployerisalsoliableforcompensationiftheemployeecontractsanyillnessordiseasecaused
bysuchemploymentorastheresultofthenatureoftheemployment.Ifthemishapwasduetotheemployee'sown
notoriousnegligence,orvoluntaryact,ordrunkenness,theemployershallnotbeliableforcompensation.Whenthe
employee'slackofduecarecontributedtohisdeathorinjury,thecompensationshallbeequitablyreduced.

Article1712.Ifthedeathorinjuryisduetothenegligenceofafellowworker,thelatterandtheemployershallbe
solidarilyliableforcompensation.Ifafellowworker'sintentionalormaliciousactistheonlycauseofthedeathor
injury,theemployershallnotbeanswerable,unlessitshouldbeshownthatthelatterdidnotexerciseduediligence
intheselectionorsupervisionoftheplaintiff'sfellowworker.

SECTION3
ContractforaPieceofWork

Article1713. By the contract for a piece of work the contractor binds himself to execute a piece of work for the
employer,inconsiderationofacertainpriceorcompensation.Thecontractormayeitheremployonlyhislaboror
skill,oralsofurnishthematerial.(1588a)
Article1714.Ifthecontractoragreestoproducetheworkfrommaterialfurnishedbyhim,heshalldeliverthething
produced to the employer and transfer dominion over the thing. This contract shall be governed by the following
articles as well as by the pertinent provisions on warranty of title and against hidden defects and the payment of
priceinacontractofsale.(n)

Article1715.Thecontractshallexecutetheworkinsuchamannerthatithasthequalitiesagreeduponandhasno
defectswhichdestroyorlessenitsvalueorfitnessforitsordinaryorstipulateduse.Shouldtheworkbenotofsuch
quality,theemployermayrequirethatthecontractorremovethedefectorexecuteanotherwork.Ifthecontractfails
orrefusestocomplywiththisobligation,theemployermayhavethedefectremovedoranotherworkexecuted,at
thecontractor'scost.(n)

Article 1716. An agreement waiving or limiting the contractor's liability for any defect in the work is void if the
contractoractedfraudulently.(n)

Article1717.Ifthecontractorboundhimselftofurnishthematerial,heshallsufferthelossiftheworkshouldbe
destroyedbeforeitsdelivery,savewhentherehasbeendelayinreceivingit.(1589)

Article1718.Thecontractorwhohasundertakentoputonlyhisworkorskill,cannotclaimanycompensationifthe
workshouldbedestroyedbeforeitsdelivery,unlesstherehasbeendelayinreceivingit,orifthedestructionwas
caused by the poor quality of the material, provided this fact was communicated in due time to the owner. If the
materialislostthroughafortuitousevent,thecontractisextinguished.(1590a)

Article1719.Acceptanceoftheworkbytheemployerrelievesthecontractorofliabilityforanydefectinthework,
unless:

(1)Thedefectishiddenandtheemployerisnot,byhisspecialknowledge,expectedtorecognizethesame
or

(2)Theemployerexpresslyreserveshisrightsagainstthecontractorbyreasonofthedefect.(n)

Article1720.Thepriceorcompensationshallbepaidatthetimeandplaceofdeliveryofthework,unlessthereisa
stipulation to the contrary. If the work is to be delivered partially, the price or compensation for each part having
beenfixed,thesumshallbepaidatthetimeandplaceofdelivery,intheabsenceifstipulation.(n)

Article1721.If,intheexecutionofthework,anactoftheemployerisrequired,andheincursindelayorfailsto
performtheact,thecontractorisentitledtoareasonablecompensation.

Theamountofthecompensationiscomputed,ontheonehand,bythedurationofthedelayandtheamountofthe
compensation stipulated, and on the other hand, by what the contractor has saved in expenses by reason of the
delayorisabletoearnbyadifferentemploymentofhistimeandindustry.(n)

Article1722.Iftheworkcannotbecompletedonaccountofadefectinthematerialfurnishedbytheemployer,or
because of orders from the employer, without any fault on the part of the contractor, the latter has a right to an
equitablepartofthecompensationproportionallytotheworkdone,andreimbursementforproperexpensesmade.
(n)

Article1723.Theengineerorarchitectwhodrewuptheplansandspecificationsforabuildingisliablefordamages
ifwithinfifteenyearsfromthecompletionofthestructure,thesameshouldcollapsebyreasonofadefectinthose
plansandspecifications,orduetothedefectsintheground.Thecontractorislikewiseresponsibleforthedamages
iftheedificefalls,withinthesameperiod,onaccountofdefectsintheconstructionortheuseofmaterialsofinferior
qualityfurnishedbyhim,orduetoanyviolationofthetermsofthecontract.Iftheengineerorarchitectsupervises
theconstruction,heshallbesolidarilyliablewiththecontractor.

Acceptanceofthebuilding,aftercompletion,doesnotimplywaiverofanyofthecauseofactionbyreasonofany
defectmentionedintheprecedingparagraph.

Theactionmustbebroughtwithintenyearsfollowingthecollapseofthebuilding.(n)

Article 1724. The contractor who undertakes to build a structure or any other work for a stipulated price, in
conformity with plansandspecifications agreeduponwiththelandowner,canneither withdraw from the contract
nordemandanincreaseinthepriceonaccountofthehighercostoflaborormaterials,savewhentherehasbeena
changeintheplansandspecifications,provided:

(1)Suchchangehasbeenauthorizedbytheproprietorinwritingand

(2)Theadditionalpricetobepaidtothecontractorhasbeendeterminedinwritingbybothparties.(1593a)
Article 1725. The owner may withdraw at will from the construction of the work, although it may have been
commenced, indemnifying the contractor for all the latter's expenses, work, and the usefulness which the owner
mayobtaintherefrom,anddamages.(1594a)

Article1726. When a piece of work has been entrusted to a person by reason of his personal qualifications, the
contractisrescindeduponhisdeath.

Inthiscasetheproprietorshallpaytheheirsofthecontractorinproportiontothepriceagreedupon,thevalueof
thepartoftheworkdone,andofthematerialsprepared,providedthelatteryieldhimsomebenefit.

Thesameruleshallapplyifthecontractorcannotfinishtheworkduetocircumstancesbeyondhiscontrol.(1595)

Article1727.Thecontractorisresponsiblefortheworkdonebypersonsemployedbyhim.(1596)

Article1728.Thecontractorisliableforalltheclaimsoflaborersandothersemployedbyhim,andofthirdpersons
fordeathorphysicalinjuriesduringtheconstruction.(n)

Article1729.Thosewhoputtheirlaboruponorfurnishmaterialsforapieceofworkundertakenbythecontractor
haveanactionagainsttheowneruptotheamountowingfromthelattertothecontractoratthetimetheclaimis
made.However,thefollowingshallnotprejudicethelaborers,employeesandfurnishersofmaterials:

(1)Paymentsmadebytheownertothecontractorbeforetheyaredue

(2)Renunciationbythecontractorofanyamountduehimfromtheowner.

Thisarticleissubjecttotheprovisionsofspeciallaws.(1597a)

Article1730.Ifitisagreedthattheworkshallbeaccomplishedtothesatisfactionoftheproprietor,itisunderstood
thatincaseofdisagreementthequestionshallbesubjecttoexpertjudgment.

Iftheworkissubjecttotheapprovalofathirdperson,hisdecisionshallbefinal,exceptincaseoffraudormanifest
error.(1598a)

Article1731.Hewhohasexecutedworkuponamovablehasarighttoretainitbywayofpledgeuntilheispaid.
(1600)

SECTION4
CommonCarriers(n)

SUBSECTION1.GeneralProvisions

Article1732.Commoncarriersarepersons,corporations,firmsorassociationsengagedinthebusinessofcarrying
ortransportingpassengersorgoodsorboth,byland,water,orair,forcompensation,offeringtheirservicestothe
public.

Article1733. Common carriers, from the nature of their business and for reasons of public policy, are bound to
observeextraordinarydiligenceinthevigilanceoverthegoodsandforthesafetyofthepassengerstransportedby
them,accordingtoallthecircumstancesofeachcase.

Suchextraordinarydiligenceinthevigilanceoverthegoodsisfurtherexpressedinarticles1734,1735,and1745,
Nos.5,6,and7,whiletheextraordinarydiligenceforthesafetyofthepassengersisfurthersetforthinarticles1755
and1756.

SUBSECTION2.VigilanceOverGoods

Article1734. Common carriers are responsible for the loss, destruction, or deterioration of the goods, unless the
sameisduetoanyofthefollowingcausesonly:

(1)Flood,storm,earthquake,lightning,orothernaturaldisasterorcalamity

(2)Actofthepublicenemyinwar,whetherinternationalorcivil

(3)Actoromissionoftheshipperorownerofthegoods

(4)Thecharacterofthegoodsordefectsinthepackingorinthecontainers

(5)Orderoractofcompetentpublicauthority.
Article1735.InallcasesotherthanthosementionedinNos.1,2,3,4,and5oftheprecedingarticle,ifthegoods
are lost, destroyed or deteriorated, common carriers are presumed to have been at fault or to have acted
negligently,unlesstheyprovethattheyobservedextraordinarydiligenceasrequiredinarticle1733.

Article 1736. The extraordinary responsibility of the common carrier lasts from the time the goods are
unconditionally placed in the possession of, and received by the carrier for transportation until the same are
delivered, actually or constructively, by the carrier to the consignee, or to the person who has a right to receive
them,withoutprejudicetotheprovisionsofarticle1738.

Article1737.Thecommoncarrier'sdutytoobserveextraordinarydiligenceoverthegoodsremainsinfullforceand
effectevenwhentheyaretemporarilyunloadedorstoredintransit,unlesstheshipperorownerhasmadeuseof
therightofstoppageintransitu.

Article1738.Theextraordinaryliabilityofthecommoncarriercontinuestobeoperativeevenduringthetimethe
goodsarestoredinawarehouseofthecarrierattheplaceofdestination,untiltheconsigneehasbeenadvisedof
the arrival of the goods and has had reasonable opportunity thereafter to remove them or otherwise dispose of
them.

Article1739.Inorderthatthecommoncarriermaybeexemptedfromresponsibility,thenaturaldisastermusthave
beentheproximateandonlycauseoftheloss.However,thecommoncarriermustexerciseduediligencetoprevent
or minimize loss before, during and after the occurrence of flood, storm or other natural disaster in order that the
common carrier may be exempted from liability for the loss, destruction, or deterioration of the goods. The same
dutyisincumbentuponthecommoncarrierincaseofanactofthepublicenemyreferredtoinarticle1734,No.2.

Article1740.Ifthecommoncarriernegligentlyincursindelayintransportingthegoods,anaturaldisastershallnot
freesuchcarrierfromresponsibility.

Article1741. If the shipper or owner merely contributed to the loss, destruction or deterioration of the goods, the
proximate cause thereof being the negligence of the common carrier, the latter shall be liable in damages, which
however,shallbeequitablyreduced.

Article1742.Eveniftheloss,destruction,ordeteriorationofthegoodsshouldbecausedbythecharacterofthe
goods,orthefaultynatureofthepackingorofthecontainers,thecommoncarriermustexerciseduediligenceto
forestallorlessentheloss.

Article1743.Ifthroughtheorderofpublicauthoritythegoodsareseizedordestroyed,thecommoncarrierisnot
responsible,providedsaidpublicauthorityhadpowertoissuetheorder.

Article1744.Astipulationbetweenthecommoncarrierandtheshipperorownerlimitingtheliabilityoftheformer
fortheloss,destruction,ordeteriorationofthegoodstoadegreelessthanextraordinarydiligenceshallbevalid,
provideditbe:

(1)Inwriting,signedbytheshipperorowner

(2)Supportedbyavaluableconsiderationotherthantheservicerenderedbythecommoncarrierand

(3)Reasonable,justandnotcontrarytopublicpolicy.

Article1745.Anyofthefollowingorsimilarstipulationsshallbeconsideredunreasonable,unjustandcontraryto
publicpolicy:

(1)Thatthegoodsaretransportedattheriskoftheownerorshipper

(2)Thatthecommoncarrierwillnotbeliableforanyloss,destruction,ordeteriorationofthegoods

(3)Thatthecommoncarrierneednotobserveanydiligenceinthecustodyofthegoods

(4)Thatthecommoncarriershallexerciseadegreeofdiligencelessthanthatofagoodfatherofafamily,or
ofamanofordinaryprudenceinthevigilanceoverthemovablestransported

(5)Thatthecommoncarriershallnotberesponsiblefortheactsoromissionofhisoritsemployees

(6)Thatthecommoncarrier'sliabilityforactscommittedbythieves,orofrobberswhodonotactwithgrave
orirresistiblethreat,violenceorforce,isdispensedwithordiminished

(7)Thatthecommoncarrierisnotresponsiblefortheloss,destruction,ordeteriorationofgoodsonaccount
of the defective condition of the car, vehicle, ship, airplane or other equipment used in the contract of
carriage.
Article1746. An agreement limiting the common carrier's liability may be annulled by the shipper or owner if the
commoncarrierrefusedtocarrythegoodsunlesstheformeragreedtosuchstipulation.

Article 1747. If the common carrier, without just cause, delays the transportation of the goods or changes the
stipulatedorusualroute,thecontractlimitingthecommoncarrier'sliabilitycannotbeavailedofincaseoftheloss,
destruction,ordeteriorationofthegoods.

Article1748.Anagreementlimitingthecommoncarrier'sliabilityfordelayonaccountofstrikesorriotsisvalid.

Article1749.Astipulationthatthecommoncarrier'sliabilityislimitedtothevalueofthegoodsappearinginthebill
oflading,unlesstheshipperorownerdeclaresagreatervalue,isbinding.

Article1750.Acontractfixingthesumthatmayberecovered.bytheownerorshipperfortheloss,destruction,or
deteriorationofthegoodsisvalid,ifitisreasonableandjustunderthecircumstances,andhasbeenfairlyandfreely
agreedupon.

Article1751.Thefactthatthecommoncarrierhasnocompetitoralongthelineorroute,orapartthereof,towhich
the contract refers shall be taken into consideration on the question of whether or not a stipulation limiting the
commoncarrier'sliabilityisreasonable,justandinconsonancewithpublicpolicy.

Article1752.Evenwhenthereisanagreementlimitingtheliabilityofthecommoncarrierinthevigilanceoverthe
goods, the common carrier is disputably presumed to have been negligent in case of their loss, destruction or
deterioration.

Article 1753. The law of the country to which the goods are to be transported shall govern the liability of the
commoncarrierfortheirloss,destructionordeterioration.

Article1754. The provisions of articles 1733 to 1753 shall apply to the passenger's baggage which is not in his
personal custody or in that of his employee. As to other baggage, the rules in articles 1998 and 2000 to 2003
concerningtheresponsibilityofhotelkeepersshallbeapplicable.

SUBSECTION3.SafetyofPassengers

Article1755. A common carrier is bound to carry the passengers safely as far as human care and foresight can
provide,usingtheutmostdiligenceofverycautiouspersons,withadueregardforallthecircumstances.

Article1756.Incaseofdeathoforinjuriestopassengers,commoncarriersarepresumedtohavebeenatfaultor
to have acted negligently, unless they prove that they observed extraordinary diligence as prescribed in articles
1733and1755.

Article1757.Theresponsibilityofacommoncarrierforthesafetyofpassengersasrequiredinarticles1733and
1755 cannot be dispensed with or lessened by stipulation, by the posting of notices, by statements on tickets, or
otherwise.

Article 1758. When a passenger is carried gratuitously, a stipulation limiting the common carrier's liability for
negligenceisvalid,butnotforwilfulactsorgrossnegligence.

Thereductionoffaredoesnotjustifyanylimitationofthecommoncarrier'sliability.

Article1759.Commoncarriersareliableforthedeathoforinjuriestopassengersthroughthenegligenceorwilful
actsoftheformer'semployees,althoughsuchemployeesmayhaveactedbeyondthescopeoftheirauthorityorin
violationoftheordersofthecommoncarriers.

Thisliabilityofthecommoncarriersdoesnotceaseuponproofthattheyexercisedallthediligenceofagoodfather
ofafamilyintheselectionandsupervisionoftheiremployees.

Article1760.Thecommoncarrier'sresponsibilityprescribedintheprecedingarticlecannotbeeliminatedorlimited
bystipulation,bythepostingofnotices,bystatementsontheticketsorotherwise.

Article1761.Thepassengermustobservethediligenceofagoodfatherofafamilytoavoidinjurytohimself.

Article 1762. The contributory negligence of the passenger does not bar recovery of damages for his death or
injuries,iftheproximatecausethereofisthenegligenceofthecommoncarrier,buttheamountofdamagesshallbe
equitablyreduced.

Article1763.Acommoncarrierisresponsibleforinjuriessufferedbyapassengeronaccountofthewilfulactsor
negligence of other passengers or of strangers, if the common carrier's employees through the exercise of the
diligenceofagoodfatherofafamilycouldhavepreventedorstoppedtheactoromission.
 SUBSECTION4.CommonProvisions

Article1764.DamagesincasescomprisedinthisSectionshallbeawardedinaccordancewithTitleXVIIIofthis
Book, concerning Damages. Article 2206 shall also apply to the death of a passenger caused by the breach of
contractbyacommoncarrier.

Article1765.ThePublicServiceCommissionmay,onitsownmotionoronpetitionofanyinterestedparty,afterdue
hearing,cancelthecertificateofpublicconveniencegrantedtoanycommoncarrierthatrepeatedlyfailstocomply
withhisoritsdutytoobserveextraordinarydiligenceasprescribedinthisSection.

Article 1766. In all matters not regulated by this Code, the rights and obligations of common carriers shall be
governedbytheCodeofCommerceandbyspeciallaws.

TITLEIX
PARTNERSHIP

CHAPTER1
GeneralProvisions

Article1767.Bythecontractofpartnershiptwoormorepersonsbindthemselvestocontributemoney,property,or
industrytoacommonfund,withtheintentionofdividingtheprofitsamongthemselves.

Twoormorepersonsmayalsoformapartnershipfortheexerciseofaprofession.(1665a)

Article1768.Thepartnershiphasajuridicalpersonalityseparateanddistinctfromthatofeachofthepartners,even
incaseoffailuretocomplywiththerequirementsofarticle1772,firstparagraph.(n)

Article1769.Indeterminingwhetherapartnershipexists,theserulesshallapply:

(1)Exceptasprovidedbyarticle1825,personswhoarenotpartnersastoeachotherarenotpartnersasto
thirdpersons

(2)Coownershiporcopossessiondoesnotofitselfestablishapartnership,whethersuchcoownersorco
possessorsdoordonotshareanyprofitsmadebytheuseoftheproperty

(3)Thesharingofgrossreturnsdoesnotofitselfestablishapartnership,whetherornotthepersonssharing
themhaveajointorcommonrightorinterestinanypropertyfromwhichthereturnsarederived

(4)Thereceiptbyapersonofashareoftheprofitsofabusinessisprimafacieevidencethatheisapartner
inthebusiness,butnosuchinferenceshallbedrawnifsuchprofitswerereceivedinpayment:

(a)Asadebtbyinstallmentsorotherwise

(b)Aswagesofanemployeeorrenttoalandlord

(c)Asanannuitytoawidoworrepresentativeofadeceasedpartner

(d)Asinterestonaloan,thoughtheamountofpaymentvarywiththeprofitsofthebusiness

(e) As the consideration for the sale of a goodwill of a business or other property by installments or
otherwise.(n)

Article1770.Apartnershipmusthavealawfulobjectorpurpose,andmustbeestablishedforthecommonbenefit
orinterestofthepartners.

Whenanunlawfulpartnershipisdissolvedbyajudicialdecree,theprofitsshallbeconfiscatedinfavoroftheState,
withoutprejudicetotheprovisionsofthePenalCodegoverningtheconfiscationoftheinstrumentsandeffectsofa
crime.(1666a)

Article1771. A partnership may be constituted in any form, except where immovable property or real rights are
contributedthereto,inwhichcaseapublicinstrumentshallbenecessary.(1667a)

Article1772.Everycontractofpartnershiphavingacapitalofthreethousandpesosormore,inmoneyorproperty,
shall appear in a public instrument, which must be recorded in the Office of the Securities and Exchange
Commission.
Failuretocomplywiththerequirementsoftheprecedingparagraphshallnotaffecttheliabilityofthepartnershipand
themembersthereoftothirdpersons.(n)

Article1773.Acontractofpartnershipisvoid,wheneverimmovablepropertyiscontributedthereto,ifaninventory
ofsaidpropertyisnotmade,signedbytheparties,andattachedtothepublicinstrument.(1668a)

Article 1774. Any immovable property or an interest therein may be acquired in the partnership name. Title so
acquiredcanbeconveyedonlyinthepartnershipname.(n)

Article1775.Associationsandsocieties,whosearticlesarekeptsecretamongthemembers,andwhereinanyone
ofthemembersmaycontractinhisownnamewiththirdpersons,shallhavenojuridicalpersonality,andshallbe
governedbytheprovisionsrelatingtocoownership.(1669)

Article1776.Astoitsobject,apartnershipiseitheruniversalorparticular.

Asregardstheliabilityofthepartners,apartnershipmaybegeneralorlimited.(1671a)

Article1777.Auniversalpartnershipmayrefertoallthepresentpropertyortoalltheprofits.(1672)

Article1778. A partnership of all present property is that in which the partners contribute all the property which
actuallybelongstothemtoacommonfund,withtheintentionofdividingthesameamongthemselves,aswellasall
theprofitswhichtheymayacquiretherewith.(1673)

Article1779.Inauniversalpartnershipofallpresentproperty,thepropertywhichbelongedtoeachofthepartners
atthetimeoftheconstitutionofthepartnership,becomesthecommonpropertyofallthepartners,aswellasallthe
profitswhichtheymayacquiretherewith.

Astipulationforthecommonenjoymentofanyotherprofitsmayalsobemadebutthepropertywhichthepartners
may acquire subsequently by inheritance, legacy, or donation cannot be included in such stipulation, except the
fruitsthereof.(1674a)

Article1780.Auniversalpartnershipofprofitscomprisesallthatthepartnersmayacquirebytheirindustryorwork
duringtheexistenceofthepartnership.

Movable or immovable property which each of the partners may possess at the time of the celebration of the
contractshallcontinuetopertainexclusivelytoeach,onlytheusufructpassingtothepartnership.(1675)

Article 1781. Articles of universal partnership, entered into without specification of its nature, only constitute a
universalpartnershipofprofits.(1676)

Article 1782. Persons who are prohibited from giving each other any donation or advantage cannot enter into
universalpartnership.(1677)

Article 1783. A particular partnership has for its object determinate things, their use or fruits, or a specific
undertaking,ortheexerciseofaprofessionorvocation.(1678)

CHAPTER2
ObligationsofthePartners

SECTION1
ObligationsofthePartnersAmongThemselves

Article 1784. A partnership begins from the moment of the execution of the contract, unless it is otherwise
stipulated.(1679)

Article1785.Whenapartnershipforafixedtermorparticularundertakingiscontinuedaftertheterminationofsuch
termorparticularundertakingwithoutanyexpressagreement,therightsanddutiesofthepartnersremainthesame
astheywereatsuchtermination,sofarasisconsistentwithapartnershipatwill.

Acontinuationofthebusinessbythepartnersorsuchofthemashabituallyactedthereinduringtheterm,without
anysettlementorliquidationofthepartnershipaffairs,isprimafacieevidenceofacontinuationofthepartnership.
(n)

Article1786.Everypartnerisadebtorofthepartnershipforwhateverhemayhavepromisedtocontributethereto.
Heshallalsobeboundforwarrantyincaseofevictionwithregardtospecificanddeterminatethingswhichhemay
havecontributedtothepartnership,inthesamecasesandinthesamemannerasthevendorisboundwithrespect
tothevendee.Heshallalsobeliableforthefruitsthereoffromthetimetheyshouldhavebeendelivered,without
theneedofanydemand.(1681a)

Article 1787. When the capital or a part thereof which a partner is bound to contribute consists of goods, their
appraisalmustbemadeinthemannerprescribedinthecontractofpartnership,andintheabsenceofstipulation,it
shallbemadebyexpertschosenbythepartners,andaccordingtocurrentprices,thesubsequentchangesthereof
beingforaccountofthepartnership.(n)

Article1788.Apartnerwhohasundertakentocontributeasumofmoneyandfailstodosobecomesadebtorfor
theinterestanddamagesfromthetimeheshouldhavecompliedwithhisobligation.

Thesameruleappliestoanyamounthemayhavetakenfromthepartnershipcoffers,andhisliabilityshallbegin
fromthetimeheconvertedtheamounttohisownuse.(1682)

Article1789.Anindustrialpartnercannotengageinbusinessforhimself,unlessthepartnershipexpresslypermits
himtodosoandifheshoulddoso,thecapitalistpartnersmayeitherexcludehimfromthefirmoravailthemselves
ofthebenefitswhichhemayhaveobtainedinviolationofthisprovision,witharighttodamagesineithercase.(n)

Article1790.Unlessthereisastipulationtothecontrary,thepartnersshallcontributeequalsharestothecapitalof
thepartnership.(n)

Article1791.Ifthereisnoagreementtothecontrary,incaseofanimminentlossofthebusinessofthepartnership,
any partner who refuses to contribute an additional share to the capital, except an industrial partner, to save the
venture,shallheobligedtosellhisinteresttotheotherpartners.(n)

Article 1792. If a partner authorized to manage collects a demandable sum which was owed to him in his own
name, from a person who owed the partnership another sum also demandable, the sum thus collected shall be
appliedtothetwocreditsinproportiontotheiramounts,eventhoughhemayhavegivenareceiptforhisowncredit
onlybutshouldhehavegivenitfortheaccountofthepartnershipcredit,theamountshallbefullyappliedtothe
latter.

Theprovisionsofthisarticleareunderstoodtobewithoutprejudicetotherightgrantedtotheotherdebtorbyarticle
1252,butonlyifthepersonalcreditofthepartnershouldbemoreoneroustohim.(1684)

Article 1793. A partner who has received, in whole or in part, his share of a partnership credit, when the other
partnershavenotcollectedtheirs,shallbeobliged,ifthedebtorshouldthereafterbecomeinsolvent,tobringtothe
partnershipcapitalwhathereceivedeventhoughhemayhavegivenreceiptforhisshareonly.(1685a)

Article1794. Every partner is responsible to the partnership for damages suffered by it through his fault, and he
cannotcompensatethemwiththeprofitsandbenefitswhichhemayhaveearnedforthepartnershipbyhisindustry.
However, the courts may equitably lessen this responsibility if through the partner's extraordinary efforts in other
activitiesofthepartnership,unusualprofitshavebeenrealized.(1686a)

Article1795.Theriskofspecificanddeterminatethings,whicharenotfungible,contributedtothepartnershipso
thatonlytheiruseandfruitsmaybeforthecommonbenefit,shallbebornebythepartnerwhoownsthem.

Ifthethingscontributearefungible,orcannotbekeptwithoutdeteriorating,oriftheywerecontributedtobesold,
theriskshallbebornebythepartnership.Intheabsenceofstipulation,theriskofthethingsbroughtandappraised
intheinventory,shallalsobebornebythepartnership,andinsuchcasetheclaimshallbelimitedtothevalueat
whichtheywereappraised.(1687)

Article 1796. The partnership shall be responsible to every partner for the amounts he may have disbursed on
behalf of the partnership and for the corresponding interest, from the time the expense are made it shall also
answer to each partner for the obligations he may have contracted in good faith in the interest of the partnership
business,andforrisksinconsequenceofitsmanagement.(1688a)

Article1797.Thelossesandprofitsshallbedistributedinconformitywiththeagreement.Ifonlytheshareofeach
partnerintheprofitshasbeenagreedupon,theshareofeachinthelossesshallbeinthesameproportion.

Intheabsenceofstipulation,theshareofeachpartnerintheprofitsandlossesshallbeinproportiontowhathe
may have contributed, but the industrial partner shall not be liable for the losses. As for the profits, the industrial
partnershallreceivesuchshareasmaybejustandequitableunderthecircumstances.Ifbesideshisserviceshe
hascontributedcapital,heshallalsoreceiveashareintheprofitsinproportiontohiscapital.(1689a)

Article1798.Ifthepartnershaveagreedtointrusttoathirdpersonthedesignationoftheshareofeachoneinthe
profits and losses, such designation may be impugned only when it is manifestly inequitable. In no case may a
partner who has begun to execute the decision of the third person, or who has not impugned the same within a
periodofthreemonthsfromthetimehehadknowledgethereof,complainofsuchdecision.

Thedesignationoflossesandprofitscannotbeintrustedtooneofthepartners.(1690)

Article 1799. A stipulation which excludes one or more partners from any share in the profits or losses is void.
(1691)

Article1800.Thepartnerwhohasbeenappointedmanagerinthearticlesofpartnershipmayexecuteallactsof
administrationdespitetheoppositionofhispartners,unlessheshouldactinbadfaithandhispowerisirrevocable
withoutjustorlawfulcause.Thevoteofthepartnersrepresentingthecontrollinginterestshallbenecessaryforsuch
revocationofpower.

Apowergrantedafterthepartnershiphasbeenconstitutedmayberevokedatanytime.(1692a)

Article 1801. If two or more partners have been intrusted with the management of the partnership without
specificationoftheirrespectiveduties,orwithoutastipulationthatoneofthemshallnotactwithouttheconsentof
consent
alltheothers,eachonemayseparatelyexecuteallactsofadministration,butifanyofthemshouldopposetheacts
oftheothers,thedecisionofthemajorityshallprevail.Incaseofatie,themattershallbedecidedbythepartners
owningthecontrollinginterest.(1693a)

Article 1802. In case it should have been stipulated that none of the managing partners shall act without the
consent of the others, the concurrence of all shall be necessary for the validity of the acts, and the absence or
consent
disabilityofanyoneofthemcannotbealleged,unlessthereisimminentdangerofgraveorirreparableinjurytothe
partnership.(1694)

Article1803.Whenthemannerofmanagementhasnotbeenagreedupon,thefollowingrulesshallbeobserved:

(1) All the partners shall be considered agents and whatever any one of them may do alone shall bind the
partnership,withoutprejudicetotheprovisionsofarticle1801.

(2) None of the partners may, without the consent

consent of the others, make any important alteration in the
immovablepropertyofthepartnership,evenifitmaybeusefultothepartnership.Butiftherefusalofconsent
consent
bytheotherpartnersismanifestlyprejudicialtotheinterestofthepartnership,thecourt'sinterventionmaybe
sought.(1695a)

Article 1804. Every partner may associate another person with him in his share, but the associate shall not be
admittedintothepartnershipwithouttheconsentofalltheotherpartners,evenifthepartnerhavinganassociate
consent
shouldbeamanager.(1696)

Article1805.Thepartnershipbooksshallbekept,subjecttoanyagreementbetweenthepartners,attheprincipal
place of business of the partnership, and every partner shall at any reasonable hour have access to and may
inspectandcopyanyofthem.(n)

Article1806.Partnersshallrenderondemandtrueandfullinformationofallthingsaffectingthepartnershiptoany
partnerorthelegalrepresentativeofanydeceasedpartnerorofanypartnerunderlegaldisability.(n)

Article1807. Every partner must account to the partnership for any benefit, and hold as trustee for it any profits
derivedbyhimwithouttheconsentoftheotherpartnersfromanytransactionconnectedwiththeformation,conduct,
consent
orliquidationofthepartnershiporfromanyusebyhimofitsproperty.(n)

Article1808.Thecapitalistpartnerscannotengagefortheirownaccountinanyoperationwhichisofthekindof
businessinwhichthepartnershipisengaged,unlessthereisastipulationtothecontrary.

Anycapitalistpartnerviolatingthisprohibitionshallbringtothecommonfundsanyprofitsaccruingtohimfromhis
transactions,andshallpersonallybearallthelosses.(n)

Article1809.Anypartnershallhavetherighttoaformalaccountastopartnershipaffairs:

(1)Ifheiswrongfullyexcludedfromthepartnershipbusinessorpossessionofitspropertybyhiscopartners

(2)Iftherightexistsunderthetermsofanyagreement

(3)Asprovidedbyarticle1807

(4)Wheneverothercircumstancesrenderitjustandreasonable.(n)
 SECTION2
PropertyRightsofaPartner

Article1810.Thepropertyrightsofapartnerare:

(1)Hisrightsinspecificpartnershipproperty

(2)Hisinterestinthepartnershipand

(3)Hisrighttoparticipateinthemanagement(n)

Article1811.Apartneriscoownerwithhispartnersofspecificpartnershipproperty.

Theincidentsofthiscoownershiparesuchthat:

(1)Apartner,subjecttotheprovisionsofthisTitleandtoanyagreementbetweenthepartners,hasanequal
rightwithhispartnerstopossessspecificpartnershippropertyforpartnershippurposesbuthehasnorightto
possesssuchpropertyforanyotherpurposewithouttheconsentofhispartners
consent

(2) A partner's right in specific partnership property is not assignable except in connection with the
assignmentofrightsofallthepartnersinthesameproperty

(3) A partner's right in specific partnership property is not subject to attachment or execution, except on a
claimagainstthepartnership.Whenpartnershippropertyisattachedforapartnershipdebtthepartners,or
any of them, or the representatives of a deceased partner, cannot claim any right under the homestead or
exemptionlaws

(4)Apartner'srightinspecificpartnershippropertyisnotsubjecttolegalsupportunderarticle291.(n)

Article1812.Apartner'sinterestinthepartnershipishisshareoftheprofitsandsurplus.(n)

Article 1813. A conveyance by a partner of his whole interest in the partnership does not of itself dissolve the
partnership, or, as against the other partners in the absence of agreement, entitle the assignee, during the
continuance of the partnership, to interfere in the management or administration of the partnership business or
affairs,ortorequireanyinformationoraccountofpartnershiptransactions,ortoinspectthepartnershipbooksbutit
merely entitles the assignee to receive in accordance with his contract the profits to which the assigning partner
would otherwise be entitled. However, in case of fraud in the management of the partnership, the assignee may
availhimselfoftheusualremedies.

Incaseofadissolutionofthepartnership,theassigneeisentitledtoreceivehisassignor'sinterestandmayrequire
anaccountfromthedateonlyofthelastaccountagreedtobyallthepartners.(n)

Article1814.Withoutprejudicetothepreferredrightsofpartnershipcreditorsunderarticle1827,ondueapplication
toacompetentcourtbyanyjudgmentcreditorofapartner,thecourtwhichenteredthejudgment,oranyothercourt,
maychargetheinterestofthedebtorpartnerwithpaymentoftheunsatisfiedamountofsuchjudgmentdebtwith
interestthereonandmaythenorlaterappointareceiverofhisshareoftheprofits,andofanyothermoneydueor
tofallduetohiminrespectofthepartnership,andmakeallotherorders,directions,accountsandinquirieswhich
thedebtorpartnermighthavemade,orwhichthecircumstancesofthecasemayrequire.

Theinterestchargedmayberedeemedatanytimebeforeforeclosure,orincaseofasalebeingdirectedbythe
court,maybepurchasedwithouttherebycausingadissolution:

(1)Withseparateproperty,byanyoneormoreofthepartnersor

(2)Withpartnershipproperty,byanyoneormoreofthepartnerswiththeconsentofallthepartnerswhose
consent
interestsarenotsochargedorsold.

NothinginthisTitleshallbeheldtodepriveapartnerofhisright,ifany,undertheexemptionlaws,asregardshis
interestinthepartnership.(n)

SECTION3
ObligationsofthePartnerswithRegardtoThirdPersons

Article1815.Everypartnershipshalloperateunderafirmname,whichmayormaynotincludethenameofoneor
moreofthepartners.
Those who, not being members of the partnership, include their names in the firm name, shall be subject to the
liabilityofapartner.(n)

Article1816. All partners, including industrial ones, shall be liable pro rata with all their property and after all the
partnership assets have been exhausted, for the contracts which may be entered into in the name and for the
accountofthepartnership,underitssignatureandbyapersonauthorizedtoactforthepartnership.However,any
partnermayenterintoaseparateobligationtoperformapartnershipcontract.(n)

Article1817.Anystipulationagainsttheliabilitylaiddownintheprecedingarticleshallbevoid,exceptasamong
thepartners.(n)

Article 1818. Every partner is an agent of the partnership for the purpose of its business, and the act of every
partner,includingtheexecutioninthepartnershipnameofanyinstrument,forapparentlycarryingonintheusual
waythebusinessofthepartnershipofwhichheisamemberbindsthepartnership,unlessthepartnersoactinghas
infactnoauthoritytoactforthepartnershipintheparticularmatter,andthepersonwithwhomheisdealinghas
knowledgeofthefactthathehasnosuchauthority.

Anactofapartnerwhichisnotapparentlyforthecarryingonofbusinessofthepartnershipintheusualwaydoes
notbindthepartnershipunlessauthorizedbytheotherpartners.

Exceptwhenauthorizedbytheotherpartnersorunlesstheyhaveabandonedthebusiness,oneormorebutless
thanallthepartnershavenoauthorityto:

(1)Assignthepartnershippropertyintrustforcreditorsorontheassignee'spromisetopaythedebtsofthe
partnership

(2)Disposeofthegoodwillofthebusiness

(3)Doanyotheractwhichwouldmakeitimpossibletocarryontheordinarybusinessofapartnership

(4)Confessajudgment

(5)Enterintoacompromiseconcerningapartnershipclaimorliability

(6)Submitapartnershipclaimorliabilitytoarbitration

(7)Renounceaclaimofthepartnership.

No act of a partner in contravention of a restriction on authority shall bind the partnership to persons having
knowledgeoftherestriction.(n)

Article1819.Wheretitletorealpropertyisinthepartnershipname,anypartnermayconveytitletosuchproperty
by a conveyance executed in the partnership name but the partnership may recover such property unless the
partner'sactbindsthepartnershipundertheprovisionsofthefirstparagraphofarticle1818,orunlesssuchproperty
has been conveyed by the grantee or a person claiming through such grantee to a holder for value without
knowledgethatthepartner,inmakingtheconveyance,hasexceededhisauthority.

Wheretitletorealpropertyisinthenameofthepartnership,aconveyanceexecutedbyapartner,inhisownname,
passestheequitableinterestofthepartnership,providedtheactisonewithintheauthorityofthepartnerunderthe
provisionsofthefirstparagraphofarticle1818.

Wheretitletorealpropertyisinthenameofoneormorebutnotallthepartners,andtherecorddoesnotdisclose
therightofthepartnership,thepartnersinwhosenamethetitlestandsmayconveytitletosuchproperty,butthe
partnershipmayrecoversuchpropertyifthepartners'actdoesnotbindthepartnershipundertheprovisionsofthe
firstparagraphofarticle1818,unlessthepurchaserorhisassignee,isaholderforvalue,withoutknowledge.

Wherethetitletorealpropertyisinthenameofoneormoreorallthepartners,orinathirdpersonintrustforthe
partnership,aconveyanceexecutedbyapartnerinthepartnershipname,orinhisownname,passestheequitable
interestofthepartnership,providedtheactisonewithintheauthorityofthepartnerundertheprovisionsofthefirst
paragraphofarticle1818.

Wherethetitletorealpropertyisinthenameofallthepartnersaconveyanceexecutedbyallthepartnerspasses
alltheirrightsinsuchproperty.(n)

Article1820.Anadmissionorrepresentationmadebyanypartnerconcerningpartnershipaffairswithinthescope
ofhisauthorityinaccordancewiththisTitleisevidenceagainstthepartnership.(n)
Article1821.Noticetoanypartnerofanymatterrelatingtopartnershipaffairs,andtheknowledgeofthepartner
actingintheparticularmatter,acquiredwhileapartnerorthenpresenttohismind,andtheknowledgeofanyother
partner who reasonably could and should have communicated it to the acting partner, operate as notice to or
knowledgeofthepartnership,exceptinthecaseoffraudonthepartnership,committedbyorwiththeconsentof
consent
thatpartner.(n)

Article1822.Where,byanywrongfulactoromissionofanypartneractingintheordinarycourseofthebusinessof
thepartnershiporwiththeauthorityofhiscopartners,lossorinjuryiscausedtoanyperson,notbeingapartnerin
the partnership, or any penalty is incurred, the partnership is liable therefor to the same extent as the partner so
actingoromittingtoact.(n)

Article1823.Thepartnershipisboundtomakegoodtheloss:

(1)Whereonepartneractingwithinthescopeofhisapparentauthorityreceivesmoneyorpropertyofathird
personandmisappliesitand

(2)Wherethepartnershipinthecourseofitsbusinessreceivesmoneyorpropertyofathirdpersonandthe
moneyorpropertysoreceivedismisappliedbyanypartnerwhileitisinthecustodyofthepartnership.(n)

Article1824.Allpartnersareliablesolidarilywiththepartnershipforeverythingchargeabletothepartnershipunder
articles1822and1823.(n)

Article1825.Whenaperson,bywordsspokenorwrittenorbyconduct,representshimself,orconsentstoanother
consents
representinghimtoanyone,asapartnerinanexistingpartnershiporwithoneormorepersonsnotactualpartners,
he is liable to any such persons to whom such representation has been made, who has, on the faith of such
representation, given credit to the actual or apparent partnership, and if he has made such representation or
consented
consentedtoitsbeingmadeinapublicmannerheisliabletosuchperson,whethertherepresentationhasorhas
notbeenmadeorcommunicatedtosuchpersonsogivingcreditbyorwiththeknowledgeoftheapparentpartner
makingtherepresentationorconsentingtoitsbeingmade:
consenting

(1)Whenapartnershipliabilityresults,heisliableasthoughhewereanactualmemberofthepartnership

(2)Whennopartnershipliabilityresults,heisliableproratawiththeotherpersons,ifany,soconsentingto
consenting
thecontractorrepresentationastoincurliability,otherwiseseparately.

Whenapersonhasbeenthusrepresentedtobeapartnerinanexistingpartnership,orwithoneormorepersons
notactualpartners,heisanagentofthepersonsconsentingtosuchrepresentationtobindthemtothesameextent
consenting
and in the same manner as though he were a partner in fact, with respect to persons who rely upon the
representation.Whenallthemembersoftheexistingpartnershipconsenttotherepresentation,apartnershipactor
consent
obligation results but in all other cases it is the joint act or obligation of the person acting and the persons
consenting
consentingtotherepresentation.(n)

Article 1826. A person admitted as a partner into an existing partnership is liable for all the obligations of the
partnership arising before his admission as though he had been a partner when such obligations were incurred,
exceptthatthisliabilityshallbesatisfiedonlyoutofpartnershipproperty,unlessthereisastipulationtothecontrary.
(n)

Article1827.Thecreditorsofthepartnershipshallbepreferredtothoseofeachpartnerasregardsthepartnership
property.Withoutprejudicetothisright,theprivatecreditorsofeachpartnermayasktheattachmentandpublicsale
oftheshareofthelatterinthepartnershipassets.(n)

CHAPTER3
DissolutionandWindingUp

Article1828.Thedissolutionofapartnershipisthechangeintherelationofthepartnerscausedbyanypartner
ceasingtobeassociatedinthecarryingonasdistinguishedfromthewindingupofthebusiness.(n)

Article 1829. On dissolution the partnership is not terminated, but continues until the winding up of partnership
affairsiscompleted.(n)

Article1830.Dissolutioniscaused:

(1)Withoutviolationoftheagreementbetweenthepartners:

(a)Bytheterminationofthedefinitetermorparticularundertakingspecifiedintheagreement
 (b)Bytheexpresswillofanypartner,whomustactingoodfaith,whennodefinitetermorparticularis
specified

(c)Bytheexpresswillofallthepartnerswhohavenotassignedtheirinterestsorsufferedthemtobe
charged for their separate debts, either before or after the termination of any specified term or
particularundertaking

(d) By the expulsion of any partner from the business bona fide in accordance with such a power
conferredbytheagreementbetweenthepartners

(2) In contravention of the agreement between the partners, where the circumstances do not permit a
dissolutionunderanyotherprovisionofthisarticle,bytheexpresswillofanypartneratanytime

(3) By any event which makes it unlawful for the business of the partnership to be carried on or for the
memberstocarryitoninpartnership

(4)Whenaspecificthingwhichapartnerhadpromisedtocontributetothepartnership,perishesbeforethe
delivery in any case by the loss of the thing, when the partner who contributed it having reserved the
ownership thereof, has only transferred to the partnership the use or enjoyment of the same but the
partnershipshallnotbedissolvedbythelossofthethingwhenitoccursafterthepartnershiphasacquired
theownershipthereof

(5)Bythedeathofanypartner

(6)Bytheinsolvencyofanypartnerorofthepartnership

(7)Bythecivilinterdictionofanypartner

(8)Bydecreeofcourtunderthefollowingarticle.(1700aand1701a)

Article1831.Onapplicationbyorforapartnerthecourtshalldecreeadissolutionwhenever:

(1)Apartnerhasbeendeclaredinsaneinanyjudicialproceedingorisshowntobeofunsoundmind

(2)Apartnerbecomesinanyotherwayincapableofperforminghispartofthepartnershipcontract

(3)Apartnerhasbeenguiltyofsuchconductastendstoaffectprejudiciallythecarryingonofthebusiness

(4)Apartnerwilfullyorpersistentlycommitsabreachofthepartnershipagreement,orotherwisesoconducts
himself in matters relating to the partnership business that it is not reasonably practicable to carry on the
businessinpartnershipwithhim

(5)Thebusinessofthepartnershipcanonlybecarriedonataloss

(6)Othercircumstancesrenderadissolutionequitable.

Ontheapplicationofthepurchaserofapartner'sinterestunderarticle1813or1814:

(1)Aftertheterminationofthespecifiedtermorparticularundertaking

(2) At any time if the partnership was a partnership at will when the interest was assigned or when the
chargingorderwasissued.(n)

Article1832.Exceptsofarasmaybenecessarytowinduppartnershipaffairsortocompletetransactionsbegun
butnotthenfinished,dissolutionterminatesallauthorityofanypartnertoactforthepartnership:

(1)Withrespecttothepartners,

(a)Whenthedissolutionisnotbytheact,insolvencyordeathofapartneror

(b)Whenthedissolutionisbysuchact,insolvencyordeathofapartner,incaseswherearticle1833so
requires

(2)Withrespecttopersonsnotpartners,asdeclaredinarticle1834.(n)

Article1833.Wherethedissolutioniscausedbytheact,deathorinsolvencyofapartner,eachpartnerisliableto
hiscopartnersforhisshareofanyliabilitycreatedbyanypartneractingforthepartnershipasifthepartnershiphad
notbeendissolvedunless:
 (1)Thedissolutionbeingbyactofanypartner,thepartneractingforthepartnershiphadknowledgeofthe
dissolutionor

(2)Thedissolutionbeingbythedeathorinsolvencyofapartner,thepartneractingforthepartnershiphad
knowledgeornoticeofthedeathorinsolvency.

Article1834.Afterdissolution,apartnercanbindthepartnership,exceptasprovidedinthethirdparagraphofthis
article:

(1) By any act appropriate for winding up partnership affairs or completing transactions unfinished at
dissolution

(2)Byanytransactionwhichwouldbindthepartnershipifdissolutionhadnottakenplace,providedtheother
partytothetransaction:

(a)Hadextendedcredittothepartnershippriortodissolutionandhadnoknowledgeornoticeofthe
dissolutionor

(b) Though he had not so extended credit, had nevertheless known of the partnership prior to
dissolution, and, having no knowledge or notice of dissolution, the fact of dissolution had not been
advertised in a newspaper of general circulation in the place (or in each place if more than one) at
whichthepartnershipbusinesswasregularlycarriedon.

The liability of a partner under the first paragraph, No. 2, shall be satisfied out of partnership assets alone when
suchpartnerhadbeenpriortodissolution:

(1)Unknownasapartnertothepersonwithwhomthecontractismadeand

(2)Sofarunknownandinactiveinpartnershipaffairsthatthebusinessreputationofthepartnershipcouldnot
besaidtohavebeeninanydegreeduetohisconnectionwithit.

Thepartnershipisinnocaseboundbyanyactofapartnerafterdissolution:

(1) Where the partnership is dissolved because it is unlawful to carry on the business, unless the act is
appropriateforwindinguppartnershipaffairsor

(2)Wherethepartnerhasbecomeinsolventor

(3)Wherethepartnerhasnoauthoritytowinduppartnershipaffairsexceptbyatransactionwithonewho

(a)Hadextendedcredittothepartnershippriortodissolutionandhadnoknowledgeornoticeofhis
wantofauthorityor

(b)Hadnotextendedcredittothepartnershippriortodissolution,and,havingnoknowledgeornotice
ofhiswantofauthority,thefactofhiswantofauthorityhasnotbeenadvertisedinthemannerprovided
foradvertisingthefactofdissolutioninthefirstparagraph,No.2(b).

Nothing in this article shall affect the liability under article 1825 of any person who after dissolution represents
himselforconsentstoanotherrepresentinghimasapartnerinapartnershipengagedincarryingonbusiness.(n)
consents

Article1835.Thedissolutionofthepartnershipdoesnotofitselfdischargetheexistingliabilityofanypartner.

Apartnerisdischargedfromanyexistingliabilityupondissolutionofthepartnershipbyanagreementtothateffect
between himself, the partnership creditor and the person or partnership continuing the business and such
agreementmaybeinferredfromthecourseofdealingbetweenthecreditorhavingknowledgeofthedissolutionand
thepersonorpartnershipcontinuingthebusiness.

Theindividualpropertyofadeceasedpartnershallbeliableforallobligationsofthepartnershipincurredwhilehe
wasapartner,butsubjecttothepriorpaymentofhisseparatedebts.(n)

Article1836.Unlessotherwiseagreed,thepartnerswhohavenotwrongfullydissolvedthepartnershiporthelegal
representativeofthelastsurvivingpartner,notinsolvent,hastherighttowindupthepartnershipaffairs,provided,
however,thatanypartner,hislegalrepresentativeorhisassignee,uponcauseshown,mayobtainwindingupby
thecourt.(n)

Article1837.Whendissolutioniscausedinanyway,exceptincontraventionofthepartnershipagreement,each
partner, as against his copartners and all persons claiming through them in respect of their interests in the
partnership,unlessotherwiseagreed,mayhavethepartnershippropertyappliedtodischargeitsliabilities,andthe
surplus applied to pay in cash the net amount owing to the respective partners. But if dissolution is caused by
expulsionofapartner,bonafideunderthepartnershipagreementandiftheexpelledpartnerisdischargedfromall
partnershipliabilities,eitherbypaymentoragreementunderthesecondparagraphofarticle1835,heshallreceive
incashonlythenetamountduehimfromthepartnership.

When dissolution is caused in contravention of the partnership agreement the rights of the partners shall be as
follows:

(1)Eachpartnerwhohasnotcauseddissolutionwrongfullyshallhave:

(a)Alltherightsspecifiedinthefirstparagraphofthisarticle,and

(b)Theright,asagainsteachpartnerwhohascausedthedissolutionwrongfully,todamagesbreachof
theagreement.

(2)Thepartnerswhohavenotcausedthedissolutionwrongfully,iftheyalldesiretocontinuethebusinessin
the same name either by themselves or jointly with others, may do so, during the agreed term for the
partnershipandforthatpurposemaypossessthepartnershipproperty,providedtheysecurethepaymentby
bondapprovedbythecourt,orpayanypartnerwhohascausedthedissolutionwrongfully,thevalueofhis
interestinthepartnershipatthedissolution,lessanydamagesrecoverableunderthesecondparagraph,No.
1(b)ofthisarticle,andinlikemannerindemnifyhimagainstallpresentorfuturepartnershipliabilities.

(3)Apartnerwhohascausedthedissolutionwrongfullyshallhave:

(a)Ifthebusinessisnotcontinuedundertheprovisionsofthesecondparagraph,No.2,alltherightsof
apartnerunderthefirstparagraph,subjecttoliabilityfordamagesinthesecondparagraph,No.1(b),
ofthisarticle.

(b)Ifthebusinessiscontinuedunderthesecondparagraph,No.2,ofthisarticle,therightasagainst
hiscopartnersandallclaimingthroughtheminrespectoftheirinterestsinthepartnership,tohavethe
valueofhisinterestinthepartnership,lessanydamagecausedtohiscopartnersbythedissolution,
ascertainedandpaidtohimincash,orthepaymentsecuredbyabondapprovedbythecourt,andto
bereleasedfromallexistingliabilitiesofthepartnershipbutinascertainingthevalueofthepartner's
interestthevalueofthegoodwillofthebusinessshallnotbeconsidered.(n)

Article1838.Whereapartnershipcontractisrescindedonthegroundofthefraudormisrepresentationofoneof
thepartiesthereto,thepartyentitledtorescindis,withoutprejudicetoanyotherright,entitled:

(1)Toalienon,orrightofretentionof,thesurplusofthepartnershippropertyaftersatisfyingthepartnership
liabilitiestothirdpersonsforanysumofmoneypaidbyhimforthepurchaseofaninterestinthepartnership
andforanycapitaloradvancescontributedbyhim

(2) To stand, after all liabilities to third persons have been satisfied, in the place of the creditors of the
partnershipforanypaymentsmadebyhiminrespectofthepartnershipliabilitiesand

(3) To be indemnified by the person guilty of the fraud or making the representation against all debts and
liabilitiesofthepartnership.(n)

Article 1839. In settling accounts between the partners after dissolution, the following rules shall be observed,
subjecttoanyagreementtothecontrary:

(1)Theassetsofthepartnershipare:

(a)Thepartnershipproperty,

(b)ThecontributionsofthepartnersnecessaryforthepaymentofalltheliabilitiesspecifiedinNo.2.

(2)Theliabilitiesofthepartnershipshallrankinorderofpayment,asfollows:

(a)Thoseowingtocreditorsotherthanpartners,

(b)Thoseowingtopartnersotherthanforcapitalandprofits,

(c)Thoseowingtopartnersinrespectofcapital,

(d)Thoseowingtopartnersinrespectofprofits.

(3)TheassetsshallbeappliedintheorderoftheirdeclarationinNo.1ofthisarticletothesatisfactionofthe
liabilities.
 (4)Thepartnersshallcontribute,asprovidedbyarticle1797,theamountnecessarytosatisfytheliabilities.

(5) An assignee for the benefit of creditors or any person appointed by the court shall have the right to
enforcethecontributionsspecifiedintheprecedingnumber.

(6)AnypartnerorhislegalrepresentativeshallhavetherighttoenforcethecontributionsspecifiedinNo.4,
totheextentoftheamountwhichhehaspaidinexcessofhisshareoftheliability.

(7)TheindividualpropertyofadeceasedpartnershallbeliableforthecontributionsspecifiedinNo.4.

(8) When partnership property and the individual properties of the partners are in possession of a court for
distribution, partnership creditors shall have priority on partnership property and separate creditors on
individualproperty,savingtherightsoflienorsecuredcreditors.

(9)Whereapartnerhasbecomeinsolventorhisestateisinsolvent,theclaimsagainsthisseparateproperty
shallrankinthefollowingorder:

(a)Thoseowingtoseparatecreditors

(b)Thoseowingtopartnershipcreditors

(c)Thoseowingtopartnersbywayofcontribution.(n)

Article 1840. In the following cases creditors of the dissolved partnership are also creditors of the person or
partnershipcontinuingthebusiness:

(1)Whenanynewpartnerisadmittedintoanexistingpartnership,orwhenanypartnerretiresandassigns(or
therepresentativeofthedeceasedpartnerassigns)hisrightsinpartnershippropertytotwoormoreofthe
partners,ortooneormoreofthepartnersandoneormorethirdpersons,ifthebusinessiscontinuedwithout
liquidationofthepartnershipaffairs

(2) When all but one partner retire and assign (or the representative of a deceased partner assigns) their
rights in partnership property to the remaining partner, who continues the business without liquidation of
partnershipaffairs,eitheraloneorwithothers

(3)Whenanypartnerretiresordiesandthebusinessofthedissolvedpartnershipiscontinuedassetforthin
Nos. 1 and 2 of this article, with the consent
consent of the retired partners or the representative of the deceased
partner,butwithoutanyassignmentofhisrightinpartnershipproperty

(4) When all the partners or their representatives assign their rights in partnership property to one or more
thirdpersonswhopromisetopaythedebtsandwhocontinuethebusinessofthedissolvedpartnership

(5)Whenanypartnerwrongfullycausesadissolutionandtheremainingpartnerscontinuethebusinessunder
theprovisionsofarticle1837,secondparagraph,No.2,eitheraloneorwithothers,andwithoutliquidationof
thepartnershipaffairs

(6)Whenapartnerisexpelledandtheremainingpartnerscontinuethebusinesseitheraloneorwithothers
withoutliquidationofthepartnershipaffairs.

Theliabilityofathirdpersonbecomingapartnerinthepartnershipcontinuingthebusiness,underthisarticle,tothe
creditors of the dissolved partnership shall be satisfied out of the partnership property only, unless there is a
stipulationtothecontrary.

When the business of a partnership after dissolution is continued under any conditions set forth in this article the
creditors of the dissolved partnership, as against the separate creditors of the retiring or deceased partner or the
representativeofthedeceasedpartner,haveapriorrighttoanyclaimoftheretiredpartnerortherepresentativeof
the deceased partner against the person or partnership continuing the business, on account of the retired or
deceased partner's interest in the dissolved partnership or on account of any consideration promised for such
interestorforhisrightinpartnershipproperty.

Nothing in this article shall be held to modify any right of creditors to set aside any assignment on the ground of
fraud.

Theusebythepersonorpartnershipcontinuingthebusinessofthepartnershipname,orthenameofadeceased
partneraspartthereof,shallnotofitselfmaketheindividualpropertyofthedeceasedpartnerliableforanydebts
contractedbysuchpersonorpartnership.(n)
Article1841.Whenanypartnerretiresordies,andthebusinessiscontinuedunderanyoftheconditionssetforthin
theprecedingarticle,orinarticle1837,secondparagraph,No.2,withoutanysettlementofaccountsasbetween
himorhisestateandthepersonorpartnershipcontinuingthebusiness,unlessotherwiseagreed,heorhislegal
representativeasagainstsuchpersonorpartnershipmayhavethevalueofhisinterestatthedateofdissolution
ascertained,andshallreceiveasanordinarycreditoranamountequaltothevalueofhisinterestinthedissolved
partnership with interest,or,athisoptionorattheoptionofhislegalrepresentative, in lieu of interest, the profits
attributable to the use of his right in the property of the dissolved partnership provided that the creditors of the
dissolved partnership as against the separate creditors, or the representative of the retired or deceased partner,
shallhavepriorityonanyclaimarisingunderthisarticle,asprovidedarticle1840,thirdparagraph.(n)

Article 1842. The right to an account of his interest shall accrue to any partner, or his legal representative as
againstthewindinguppartnersorthesurvivingpartnersorthepersonorpartnershipcontinuingthebusiness,atthe
dateofdissolution,intheabsenceofanyagreementtothecontrary.(n)

CHAPTER4
LimitedPartnership(n)

Article 1843. A limited partnership is one formed by two or more persons under the provisions of the following
article,havingasmembersoneormoregeneralpartnersandoneormorelimitedpartners.Thelimitedpartnersas
suchshallnotbeboundbytheobligationsofthepartnership.

Article1844.Twoormorepersonsdesiringtoformalimitedpartnershipshall:

(1)Signandsweartoacertificate,whichshallstate

(a)Thenameofthepartnership,addingtheretotheword"Limited"

(b)Thecharacterofthebusiness

(c)Thelocationoftheprincipalplaceofbusiness

(d)Thenameandplaceofresidenceofeachmember,generalandlimitedpartnersbeingrespectively
designated

(e)Thetermforwhichthepartnershipistoexist

(f)Theamountofcashandadescriptionofandtheagreedvalueoftheotherpropertycontributedby
eachlimitedpartner

(g)Theadditionalcontributions,ifany,tobemadebyeachlimitedpartnerandthetimesatwhichor
eventsonthehappeningofwhichtheyshallbemade

(h)Thetime,ifagreedupon,whenthecontributionofeachlimitedpartneristobereturned

(i)Theshareoftheprofitsortheothercompensationbywayofincomewhicheachlimitedpartnershall
receivebyreasonofhiscontribution

(j)Theright,ifgiven,ofalimitedpartnertosubstituteanassigneeascontributorinhisplace,andthe
termsandconditionsofthesubstitution

(k)Theright,ifgiven,ofthepartnerstoadmitadditionallimitedpartners

(l)Theright,ifgiven,ofoneormoreofthelimitedpartnerstopriorityoverotherlimitedpartners,asto
contributionsorastocompensationbywayofincome,andthenatureofsuchpriority

(m) The right, if given, of the remaining general partner or partners to continue the business on the
death,retirement,civilinterdiction,insanityorinsolvencyofageneralpartnerand

(n)Theright,ifgiven,ofalimitedpartnertodemandandreceivepropertyotherthancashinreturnfor
hiscontribution.

(2)FileforrecordthecertificateintheOfficeoftheSecuritiesandExchangeCommission.

A limited partnership is formed if there has been substantial compliance in good faith with the foregoing
requirements.

Article1845.Thecontributionsofalimitedpartnermaybecashorproperty,butnotservices.
Article1846.Thesurnameofalimitedpartnershallnotappearinthepartnershipnameunless:

(1)Itisalsothesurnameofageneralpartner,or

(2)Priortothetimewhenthelimitedpartnerbecamesuch,thebusinesshasbeencarriedonunderanamein
whichhissurnameappeared.

Alimitedpartnerwhosesurnameappearsinapartnershipnamecontrarytotheprovisionsofthefirstparagraphis
liable as a general partner to partnership creditors who extend credit to the partnership without actual knowledge
thatheisnotageneralpartner.

Article1847.Ifthecertificatecontainsafalsestatement,onewhosufferslossbyrelianceonsuchstatementmay
holdliableanypartytothecertificatewhoknewthestatementtobefalse:

(1)Atthetimehesignedthecertificate,or

(2)Subsequently,butwithinasufficienttimebeforethestatementwasreliedupontoenablehimtocancelor
amendthecertificate,ortofileapetitionforitscancellationoramendmentasprovidedinarticle1865.

Article1848.Alimitedpartnershallnotbecomeliableasageneralpartnerunless,inadditiontotheexerciseofhis
rightsandpowersasalimitedpartner,hetakespartinthecontrolofthebusiness.

Article1849.Aftertheformationofaliftedpartnership,additionallimitedpartnersmaybeadmitteduponfilingan
amendmenttotheoriginalcertificateinaccordancewiththerequirementsofarticle1865.

Article 1850. A general partner shall have all the rights and powers and be subject to all the restrictions and
liabilitiesofapartnerinapartnershipwithoutlimitedpartners.However,withoutthewrittenconsentorratificationof
consent
thespecificactbyallthelimitedpartners,ageneralpartnerorallofthegeneralpartnershavenoauthorityto:

(1)Doanyactincontraventionofthecertificate

(2)Doanyactwhichwouldmakeitimpossibletocarryontheordinarybusinessofthepartnership

(3)Confessajudgmentagainstthepartnership

(4) Possess partnership property, or assign their rights in specific partnership property, for other than a
partnershippurpose

(5)Admitapersonasageneralpartner

(6)Admitapersonasalimitedpartner,unlesstherightsotodoisgiveninthecertificate

(7) Continue the business with partnership property on the death, retirement, insanity, civil interdiction or
insolvencyofageneralpartner,unlesstherightsotodoisgiveninthecertificate.

Article1851.Alimitedpartnershallhavethesamerightsasageneralpartnerto:

(1)Havethepartnershipbookskeptattheprincipalplaceofbusinessofthepartnership,andatareasonable
hourtoinspectandcopyanyofthem

(2)Haveondemandtrueandfullinformationofallthingsaffectingthepartnership,andaformalaccountof
partnershipaffairswhenevercircumstancesrenderitjustandreasonableand

(3)Havedissolutionandwindingupbydecreeofcourt.

Alimitedpartnershallhavetherighttoreceiveashareoftheprofitsorothercompensationbywayofincome,
andtothereturnofhiscontributionasprovidedinarticles1856and1857.

Article1852.Withoutprejudicetotheprovisionsofarticle1848,apersonwhohascontributedtothecapitalofa
business conducted by a person or partnership erroneously believing that he has become a limited partner in a
limited partnership, is not, by reason of his exercise of the rights of a limited partner, a general partner with the
person or in the partnership carrying on the business, or bound by the obligations of such person or partnership,
providedthatonascertainingthemistakehepromptlyrenounceshisinterestintheprofitsofthebusiness,orother
compensationbywayofincome.

Article1853.Apersonmaybeageneralpartnerandalimitedpartnerinthesamepartnershipatthesametime,
providedthatthisfactshallbestatedinthecertificateprovidedforinarticle1844.
Apersonwhoisageneral,andalsoatthesametimealimitedpartner,shallhavealltherightsandpowersandbe
subjecttoalltherestrictionsofageneralpartnerexceptthat,inrespecttohiscontribution,heshallhavetherights
againsttheothermemberswhichhewouldhavehadifhewerenotalsoageneralpartner.

Article 1854. A limited partner also may loan money to and transact other business with the partnership, and,
unless he is also a general partner, receive on account of resulting claims against the partnership, with general
creditors,aproratashareoftheassets.Nolimitedpartnershallinrespecttoanysuchclaim:

(1)Receiveorholdascollateralsecurityanypartnershipproperty,or

(2)Receivefromageneralpartnerorthepartnershipanypayment,conveyance,orreleasefromliabilityifat
the time the assets of the partnership are not sufficient to discharge partnership liabilities to persons not
claimingasgeneralorlimitedpartners.

Thereceivingofcollateralsecurity,orpayment,conveyance,orreleaseinviolationoftheforegoingprovisionsisa
fraudonthecreditorsofthepartnership.

Article 1855. Where there are several limited partners the members may agree that one or more of the limited
partners shall have a priority over other limited partners as to the return of their contributions, as to their
compensationbywayofincome,orastoanyothermatter.Ifsuchanagreementismadeitshallbestatedinthe
certificate,andintheabsenceofsuchastatementallthelimitedpartnersshallstanduponequalfooting.

Article1856.Alimitedpartnermayreceivefromthepartnershiptheshareoftheprofitsorthecompensationbyway
ofincomestipulatedforinthecertificateprovided,thataftersuchpaymentismade,whetherfrompropertyofthe
partnershiporthatofageneralpartner,thepartnershipassetsareinexcessofallliabilitiesofthepartnershipexcept
liabilitiestolimitedpartnersonaccountoftheircontributionsandtogeneralpartners.

Article1857.Alimitedpartnershallnotreceivefromageneralpartneroroutofpartnershippropertyanypartofhis
contributionsuntil:

(1)Allliabilitiesofthepartnership,exceptliabilitiestogeneralpartnersandtolimitedpartnersonaccountof
theircontributions,havebeenpaidorthereremainspropertyofthepartnershipsufficienttopaythem

(2)Theconsentofallmembersishad,unlessthereturnofthecontributionmayberightfullydemandedunder
consent
theprovisionsofthesecondparagraphand

(3)Thecertificateiscancelledorsoamendedastosetforththewithdrawalorreduction.

Subject to the provisions of the first paragraph, a limited partner may rightfully demand the return of his
contribution:

(1)Onthedissolutionofapartnershipor

(2)Whenthedatespecifiedinthecertificateforitsreturnhasarrived,or

(3) After he has six months' notice in writing to all other members, if no time is specified in the
certificate,eitherforthereturnofthecontributionorforthedissolutionofthepartnership.

Intheabsenceofanystatementinthecertificatetothecontraryortheconsentofallmembers,alimitedpartner,
consent
irrespective of the nature of his contribution, has only the right to demand and receive cash in return for his
contribution.

Alimitedpartnermayhavethepartnershipdissolvedanditsaffairswoundupwhen:

(1)Herightfullybutunsuccessfullydemandsthereturnofhiscontribution,or

(2) The other liabilities of the partnership have not been paid, or the partnership property is insufficient for
theirpaymentasrequiredbythefirstparagraph,No.1,andthelimitedpartnerwouldotherwisebeentitledto
thereturnofhiscontribution.

Article1858.Alimitedpartnerisliabletothepartnership:

(1)Forthedifferencebetweenhiscontributionasactuallymadeandthatstatedinthecertificateashaving
beenmade,and

(2)Foranyunpaidcontributionwhichheagreedinthecertificatetomakeinthefutureatthetimeandonthe
conditionsstatedinthecertificate.

Alimitedpartnerholdsastrusteeforthepartnership:
 (1) Specific property stated in the certificate as contributed by him, but which was not contributed or
whichhasbeenwrongfullyreturned,and

(2)Moneyorotherpropertywrongfullypaidorconveyedtohimonaccountofhiscontribution.

Theliabilitiesofalimitedpartnerassetforthinthisarticlecanbewaivedorcompromisedonlybythe
consent of all members but a waiver or compromise shall not affect the right of a creditor of a
consent
partnership who extended credit or whose claim arose after the filing and before a cancellation or
amendmentofthecertificate,toenforcesuchliabilities.

When a contributor has rightfully received the return in whole or in part of the capital of his contribution, he is
neverthelessliabletothepartnershipforanysum,notinexcessofsuchreturnwithinterest,necessarytodischarge
itsliabilitiestoallcreditorswhoextendedcreditorwhoseclaimsarosebeforesuchreturn.

Article1859.Alimitedpartner'sinterestisassignable.

Asubstitutedlimitedpartnerisapersonadmittedtoalltherightsofalimitedpartnerwhohasdiedorhasassigned
hisinterestinapartnership.

Anassignee,whodoesnotbecomeasubstitutedlimitedpartner,hasnorighttorequireanyinformationoraccount
of the partnership transactions or to inspect the partnership books he is only entitled to receive the share of the
profits or other compensation by way of income, or the return of his contribution, to which his assignor would
otherwisebeentitled.

Anassigneeshallhavetherighttobecomeasubstitutedlimitedpartnerifallthemembersconsenttheretoorifthe
consent
assignor,beingthereuntoempoweredbythecertificate,givestheassigneethatright.

Anassigneebecomesasubstitutedlimitedpartnerwhenthecertificateisappropriatelyamendedinaccordancewith
article1865.

Thesubstitutedlimitedpartnerhasalltherightsandpowers,andissubjecttoalltherestrictionsandliabilitiesofhis
assignor,exceptthoseliabilitiesofwhichhewasignorantatthetimehebecamealimitedpartnerandwhichcould
notbeascertainedfromthecertificate.

Thesubstitutionoftheassigneeasalimitedpartnerdoesnotreleasetheassignorfromliabilitytothepartnership
underarticles1847and1858.

Article 1860. The retirement, death, insolvency, insanity or civil interdiction of a general partner dissolves the
partnership,unlessthebusinessiscontinuedbytheremaininggeneralpartners:

(1)Underarightsotodostatedinthecertificate,or

(2)Withtheconsentofallmembers.
consent

Article1861. On the death of a limited partner his executor or administrator shall have all the rights of a limited
partner for the purpose of setting his estate, and such power as the deceased had to constitute his assignee a
substitutedlimitedpartner.

Theestateofadeceasedlimitedpartnershallbeliableforallhisliabilitiesasalimitedpartner.

Article1862.Ondueapplicationtoacourtofcompetentjurisdictionbyanycreditorofalimitedpartner,thecourt
maychargetheinterestoftheindebtedlimitedpartnerwithpaymentoftheunsatisfiedamountofsuchclaim,and
mayappointareceiver,andmakeallotherorders,directionsandinquirieswhichthecircumstancesofthecasemay
require.

The interest may be redeemed with the separate property of any general partner, but may not be redeemed with
partnershipproperty.

Theremediesconferredbythefirstparagraphshallnotbedeemedexclusiveofotherswhichmayexist.

NothinginthisChaptershallbeheldtodeprivealimitedpartnerofhisstatutoryexemption.

Article1863.Insettlingaccountsafterdissolutiontheliabilitiesofthepartnershipshallbeentitledtopaymentinthe
followingorder:

(1)Thosetocreditors,intheorderofpriorityasprovidedbylaw,exceptthosetolimitedpartnersonaccount
oftheircontributions,andtogeneralpartners
 (2)Thosetolimitedpartnersinrespecttotheirshareoftheprofitsandothercompensationbywayofincome
ontheircontributions

(3)Thosetolimitedpartnersinrespecttothecapitaloftheircontributions

(4)Thosetogeneralpartnersotherthanforcapitalandprofits

(5)Thosetogeneralpartnersinrespecttoprofits

(6)Thosetogeneralpartnersinrespecttocapital.

Subject to any statement in the certificate or to subsequent agreement, limited partners share in the partnership
assetsinrespecttotheirclaimsforcapital,andinrespecttotheirclaimsforprofitsorforcompensationbywayof
incomeontheircontributionrespectively,inproportiontotherespectiveamountsofsuchclaims.

Article1864.Thecertificateshallbecancelledwhenthepartnershipisdissolvedoralllimitedpartnersceasetobe
such.

Acertificateshallbeamendedwhen:

(1)Thereisachangeinthenameofthepartnershiporintheamountorcharacterofthecontributionofany
limitedpartner

(2)Apersonissubstitutedasalimitedpartner

(3)Anadditionallimitedpartnerisadmitted

(4)Apersonisadmittedasageneralpartner

(5)Ageneralpartnerretires,dies,becomesinsolventorinsane,orissentencedtocivilinterdictionandthe
businessiscontinuedunderarticle1860

(6)Thereisachangeinthecharacterofthebusinessofthepartnership

(7)Thereisafalseorerroneousstatementinthecertificate

(8)Thereisachangeinthetimeasstatedinthecertificateforthedissolutionofthepartnershiporforthe
returnofacontribution

(9)Atimeisfixedforthedissolutionofthepartnership,orthereturnofacontribution,notimehavingbeen
specifiedinthecertificate,or

(10) The members desire to make a change in any other statement in the certificate in order that it shall
accuratelyrepresenttheagreementamongthem.

Article1865.Thewritingtoamendacertificateshall:

(1) Conform to the requirements of article 1844 as far as necessary to set forth clearly the change in the
certificatewhichitisdesiredtomakeand

(2) Be signed and sworn to by all members, and an amendment substituting a limited partner or adding a
limitedorgeneralpartnershallbesignedalsobythemembertobesubstitutedoradded,andwhenalimited
partneristobesubstituted,theamendmentshallalsobesignedbytheassigninglimitedpartner.

Thewritingtocancelacertificateshallbesignedbyallmembers.

A person desiring the cancellation or amendment of a certificate, if any person designated in the first and
secondparagraphsasapersonwhomustexecutethewritingrefusestodoso,maypetitionthecourttoorder
acancellationoramendmentthereof.

Ifthecourtfindsthatthepetitionerhasarighttohavethewritingexecutedbyapersonwhorefusestodoso,itshall
order the Office of the Securities and Exchange Commission where the certificate is recorded, to record the
cancellationoramendmentofthecertificateandwhenthecertificateistobeamended,thecourtshallalsocauseto
befiledforrecordinsaidofficeacertifiedcopyofitsdecreesettingforththeamendment.

A certificate is amended or cancelled when there is filed for record in the Office of the Securities and Exchange
Commission,wherethecertificateisrecorded:

(1)Awritinginaccordancewiththeprovisionsofthefirstorsecondparagraph,or
 (2)Acertifiedcopyoftheorderofthecourtinaccordancewiththeprovisionsofthefourthparagraph

(3)Afterthecertificateisdulyamendedinaccordancewiththisarticle,theamendedcertifiedshallthereafter
beforallpurposesthecertificateprovidedforinthisChapter.

Article1866. A contributor, unless he is a general partner, is not a proper party to proceedings by or against a
partnership,exceptwheretheobjectistoenforcealimitedpartner'srightagainstorliabilitytothepartnership.

Article1867.AlimitedpartnershipformedunderthelawpriortotheeffectivityofthisCode,maybecomealimited
partnershipunderthisChapterbycomplyingwiththeprovisionsofarticle1844,providedthecertificatesetsforth:

(1) The amount of the original contribution of each limited partner, and the time when the contribution was
madeand

(2)Thatthepropertyofthepartnershipexceedstheamountsufficienttodischargeitsliabilitiestopersonsnot
claimingasgeneralorlimitedpartnersbyanamountgreaterthanthesumofthecontributionsofitslimited
partners.

A limited partnership formed under the law prior to the effectivity of this Code, until or unless it becomes a
limitedpartnershipunderthisChapter,shallcontinuetobegovernedbytheprovisionsoftheoldlaw.

TITLEX
AGENCY

CHAPTER1
Nature,FormandKindsofAgency

Article 1868. By the contract of agency a person binds himself to render some service or to do something in
representationoronbehalfofanother,withtheconsentorauthorityofthelatter.(1709a)
consent

Article1869.Agencymaybeexpress,orimpliedfromtheactsoftheprincipal,fromhissilenceorlackofaction,or
hisfailuretorepudiatetheagency,knowingthatanotherpersonisactingonhisbehalfwithoutauthority.

Agencymaybeoral,unlessthelawrequiresaspecificform.(1710a)

Article1870.Acceptancebytheagentmayalsobeexpress,orimpliedfromhisactswhichcarryouttheagency,or
fromhissilenceorinactionaccordingtothecircumstances.(n)

Article1871.Betweenpersonswhoarepresent,theacceptanceoftheagencymayalsobeimpliediftheprincipal
delivershispowerofattorneytotheagentandthelatterreceivesitwithoutanyobjection.(n)

Article1872.Betweenpersonswhoareabsent,theacceptanceoftheagencycannotbeimpliedfromthesilenceof
theagent,except:

(1)Whentheprincipaltransmitshispowerofattorneytotheagent,whoreceivesitwithoutanyobjection

(2)Whentheprincipalentruststohimbyletterortelegramapowerofattorneywithrespecttothebusinessin
whichheishabituallyengagedasanagent,andhedidnotreplytotheletterortelegram.(n)

Article1873.Ifapersonspeciallyinformsanotherorstatesbypublicadvertisementthathehasgivenapowerof
attorneytoathirdperson,thelattertherebybecomesadulyauthorizedagent,intheformercasewithrespecttothe
personwhoreceivedthespecialinformation,andinthelattercasewithregardtoanyperson.

Thepowershallcontinuetobeinfullforceuntilthenoticeisrescindedinthesamemannerinwhichitwasgiven.(n)

Article1874.Whenasaleofapieceoflandoranyinterestthereinisthroughanagent,theauthorityofthelatter
shallbeinwritingotherwise,thesaleshallbevoid.(n)

Article1875.Agencyispresumedtobeforacompensation,unlessthereisprooftothecontrary.(n)

Article1876.Anagencyiseithergeneralorspecial.

Theformercomprisesallthebusinessoftheprincipal.Thelatter,oneormorespecifictransactions.(1712)
Article 1877. An agency couched in general terms comprises only acts of administration, even if the principal
shouldstatethathewithholdsnopowerorthattheagentmayexecutesuchactsashemayconsiderappropriate,or
eventhoughtheagencyshouldauthorizeageneralandunlimitedmanagement.(n)

Article1878.Specialpowersofattorneyarenecessaryinthefollowingcases:

(1)Tomakesuchpaymentsasarenotusuallyconsideredasactsofadministration

(2) To effect novations which put an end to obligations already in existence at the time the agency was
constituted

(3) To compromise, to submit questions to arbitration, to renounce the right to appeal from a judgment, to
waiveobjectionstothevenueofanactionortoabandonaprescriptionalreadyacquired

(4)Towaiveanyobligationgratuitously

(5) To enter into any contract by which the ownership of an immovable is transmitted or acquired either
gratuitouslyorforavaluableconsideration

(6)Tomakegifts,exceptcustomaryonesforcharityorthosemadetoemployeesinthebusinessmanagedby
theagent

(7) To loan or borrow money, unless the latter act be urgent and indispensable for the preservation of the
thingswhichareunderadministration

(8)Toleaseanyrealpropertytoanotherpersonformorethanoneyear

(9)Tobindtheprincipaltorendersomeservicewithoutcompensation

(10)Tobindtheprincipalinacontractofpartnership

(11)Toobligatetheprincipalasaguarantororsurety

(12)Tocreateorconveyrealrightsoverimmovableproperty

(13)Toacceptorrepudiateaninheritance

(14)Toratifyorrecognizeobligationscontractedbeforetheagency

(15)Anyotheractofstrictdominion.(n)

Article1879.Aspecialpowertosellexcludesthepowertomortgageandaspecialpowertomortgagedoesnot
includethepowertosell.(n)

Article1880.Aspecialpowertocompromisedoesnotauthorizesubmissiontoarbitration.(1713a)

Article1881.Theagentmustactwithinthescopeofhisauthority.Hemaydosuchactsasmaybeconducivetothe
accomplishmentofthepurposeoftheagency.(1714a)

Article1882.Thelimitsoftheagent'sauthorityshallnotbeconsideredexceededshouldithavebeenperformedin
amannermoreadvantageoustotheprincipalthanthatspecifiedbyhim.(1715)

Article1883.Ifanagentactsinhisownname,theprincipalhasnorightofactionagainstthepersonswithwhom
theagenthascontractedneitherhavesuchpersonsagainsttheprincipal.

In such case the agent is the one directly bound in favor of the person with whom he has contracted, as if the
transactionwerehisown,exceptwhenthecontractinvolvesthingsbelongingtotheprincipal.

Theprovisionsofthisarticleshallbeunderstoodtobewithoutprejudicetotheactionsbetweentheprincipaland
agent.(1717)

CHAPTER2
ObligationsoftheAgent

Article1884.Theagentisboundbyhisacceptancetocarryouttheagency,andisliableforthedamageswhich,
throughhisnonperformance,theprincipalmaysuffer.
Hemustalsofinishthebusinessalreadybegunonthedeathoftheprincipal,shoulddelayentailanydanger.(1718)

Article1885.Incaseapersondeclinesanagency,heisboundtoobservethediligenceofagoodfatherofafamily
inthecustodyandpreservationofthegoodsforwardedtohimbytheowneruntilthelattershouldappointanagent
ortakechargeofthegoods.(n)

Article1886.Shouldtherebeastipulationthattheagentshalladvancethenecessaryfunds,heshallbeboundto
dosoexceptwhentheprincipalisinsolvent.(n)

Article1887.Intheexecutionoftheagency,theagentshallactinaccordancewiththeinstructionsoftheprincipal.

Indefaultthereof,heshalldoallthatagoodfatherofafamilywoulddo,asrequiredbythenatureofthebusiness.
(1719)

Article1888.Anagentshallnotcarryoutanagencyifitsexecutionwouldmanifestlyresultinlossordamagetothe
principal.(n)

Article1889.Theagentshallbeliablefordamagesif,therebeingaconflictbetweenhisinterestsandthoseofthe
principal,heshouldpreferhisown.(n)

Article1890.Iftheagenthasbeenempoweredtoborrowmoney,hemayhimselfbethelenderatthecurrentrateof
interest.Ifhehasbeenauthorizedtolendmoneyatinterest,hecannotborrowitwithouttheconsentoftheprincipal.
consent
(n)

Article1891.Everyagentisboundtorenderanaccountofhistransactionsandtodelivertotheprincipalwhatever
hemayhavereceivedbyvirtueoftheagency,eventhoughitmaynotbeowingtotheprincipal.

Everystipulationexemptingtheagentfromtheobligationtorenderanaccountshallbevoid.(1720a)

Article1892.Theagentmayappointasubstituteiftheprincipalhasnotprohibitedhimfromdoingsobutheshall
beresponsiblefortheactsofthesubstitute:

(1)Whenhewasnotgiventhepowertoappointone

(2)Whenhewasgivensuchpower,butwithoutdesignatingtheperson,andthepersonappointedwasnotoriously
incompetentorinsolvent.

Allactsofthesubstituteappointedagainsttheprohibitionoftheprincipalshallbevoid.(1721)

Article1893.InthecasesmentionedinNos.1and2oftheprecedingarticle,theprincipalmayfurthermorebringan
actionagainstthesubstitutewithrespecttotheobligationswhichthelatterhascontractedunderthesubstitution.
(1722a)

Article1894. Theresponsibility oftwoormoreagents,eventhoughtheyhavebeenappointed simultaneously, is

notsolidary,ifsolidarityhasnotbeenexpresslystipulated.(1723)

Article1895.Ifsolidarityhasbeenagreedupon,eachoftheagentsisresponsibleforthenonfulfillmentofagency,
andforthefaultornegligenceofhisfellowsagents,exceptinthelattercasewhenthefellowagentsactedbeyond
thescopeoftheirauthority.(n)

Article1896.Theagentowesinterestonthesumshehasappliedtohisownusefromthedayonwhichhedidso,
andonthosewhichhestillowesaftertheextinguishmentoftheagency.(1724a)

Article1897.Theagentwhoactsassuchisnotpersonallyliabletothepartywithwhomhecontracts,unlesshe
expresslybindshimselforexceedsthelimitsofhisauthoritywithoutgivingsuchpartysufficientnoticeofhispowers.
(1725)

Article 1898. If the agent contracts in the name of the principal, exceeding the scope of his authority, and the
principaldoesnotratifythecontract,itshallbevoidifthepartywithwhomtheagentcontractedisawareofthelimits
of the powers granted by the principal. In this case, however, the agent is liable if he undertook to secure the
principal'sratification.(n)

Article1899.Ifadulyauthorizedagentactsinaccordancewiththeordersoftheprincipal,thelattercannotsetup
theignoranceoftheagentastocircumstanceswhereofhehimselfwas,oroughttohavebeen,aware.(n)

Article1900.Sofarasthirdpersonsareconcerned,anactisdeemedtohavebeenperformedwithinthescopeof
theagent'sauthority,ifsuchactiswithinthetermsofthepowerofattorney,aswritten,eveniftheagenthasinfact
exceededthelimitsofhisauthorityaccordingtoanunderstandingbetweentheprincipalandtheagent.(n)
Article1901. A third person cannot set up the fact that the agent has exceeded his powers, if the principal has
ratified,orhassignifiedhiswillingnesstoratifytheagent'sacts.(n)

Article 1902. A third person with whom the agent wishes to contract on behalf of the principal may require the
presentation of the power of attorney, or the instructions as regards the agency. Private or secret orders and
instructionsoftheprincipaldonotprejudicethirdpersonswhohaverelieduponthepowerofattorneyorinstructions
shownthem.(n)

Article1903.Thecommissionagentshallberesponsibleforthegoodsreceivedbyhiminthetermsandconditions
and as described in the consignment, unless upon receiving them he should make a written statement of the
damageanddeteriorationsufferedbythesame.(n)

Article 1904. The commission agent who handles goods of the same kind and mark, which belong to different
owners, shall distinguish them by countermarks, and designate the merchandise respectively belonging to each
principal.(n)

Article1905.Thecommissionagentcannot,withouttheexpressorimpliedconsentoftheprincipal,selloncredit.
consent
Shouldhedoso,theprincipalmaydemandfromhimpaymentincash,butthecommissionagentshallbeentitledto
anyinterestorbenefit,whichmayresultfromsuchsale.(n)

Article 1906. Should the commission agent, with authority of the principal, sell on credit, he shall so inform the
principal,withastatementofthenamesofthebuyers.Shouldhefailtodoso,thesaleshallbedeemedtohave
beenmadeforcashinsofarastheprincipalisconcerned.(n)

Article1907.Shouldthecommissionagentreceiveonasale,inadditiontotheordinarycommission,anothercalled
aguaranteecommission,heshallbeartheriskofcollectionandshallpaytheprincipaltheproceedsofthesaleon
thesametermsagreeduponwiththepurchaser.(n)

Article1908.Thecommissionagentwhodoesnotcollectthecreditsofhisprincipalatthetimewhentheybecome
dueanddemandableshallbeliablefordamages,unlessheprovesthatheexercisedduediligenceforthatpurpose.
(n)

Article1909.Theagentisresponsiblenotonlyforfraud,butalsofornegligence,whichshallbejudgedwithmoreor
lessrigorbythecourts,accordingtowhethertheagencywasorwasnotforacompensation.(1726)

CHAPTER3
ObligationsofthePrincipal

Article1910. The principal must comply with all the obligations which the agent may have contracted within the
scopeofhisauthority.

Asforanyobligationwhereintheagenthasexceededhispower,theprincipalisnotboundexceptwhenheratifiesit
expresslyortacitly.(1727)

Article1911.Evenwhentheagenthasexceededhisauthority,theprincipalissolidarilyliablewiththeagentifthe
formerallowedthelattertoactasthoughhehadfullpowers.(n)

Article1912. The principal must advance to the agent, should the latter so request, the sums necessary for the
executionoftheagency.

Should the agent have advanced them, the principal must reimburse him therefor, even if the business or
undertakingwasnotsuccessful,providedtheagentisfreefromallfault.

The reimbursement shall include interest on the sums advanced, from the day on which the advance was made.
(1728)

Article1913. The principal must also indemnify the agent for all the damages which the execution of the agency
mayhavecausedthelatter,withoutfaultornegligenceonhispart.(1729)

Article1914.Theagentmayretaininpledgethethingswhicharetheobjectoftheagencyuntiltheprincipaleffects
thereimbursementandpaystheindemnitysetforthinthetwoprecedingarticles.(1730)

Article1915.Iftwoormorepersonshaveappointedanagentforacommontransactionorundertaking,theyshall
besolidarilyliabletotheagentforalltheconsequencesoftheagency.(1731)
Article1916.Whentwopersonscontractwithregardtothesamething,oneofthemwiththeagentandtheother
with the principal, and the two contracts are incompatible with each other, that of prior date shall be preferred,
withoutprejudicetotheprovisionsofarticle1544.(n)

Article1917.Inthecasereferredtointheprecedingarticle,iftheagenthasactedingoodfaith,theprincipalshall
beliableindamagestothethirdpersonwhosecontractmustberejected.Iftheagentactedinbadfaith,healone
shallberesponsible.(n)

Article1918.Theprincipalisnotliablefortheexpensesincurredbytheagentinthefollowingcases:

(1) If the agent acted in contravention of the principal's instructions, unless the latter should wish to avail
himselfofthebenefitsderivedfromthecontract

(2)Whentheexpenseswereduetothefaultoftheagent

(3)Whentheagentincurredthemwithknowledgethatanunfavorableresultwouldensue,iftheprincipalwas
notawarethereof

(4)Whenitwasstipulatedthattheexpenseswouldbebornebytheagent,orthatthelatterwouldbeallowed
onlyacertainsum.(n)

CHAPTER4
ModesofExtinguishmentofAgency

Article1919.Agencyisextinguished:

(1)Byitsrevocation

(2)Bythewithdrawaloftheagent

(3)Bythedeath,civilinterdiction,insanityorinsolvencyoftheprincipaloroftheagent

(4)Bythedissolutionofthefirmorcorporationwhichentrustedoracceptedtheagency

(5)Bytheaccomplishmentoftheobjectorpurposeoftheagency

(6)Bytheexpirationoftheperiodforwhichtheagencywasconstituted.(1732a)

Article1920.Theprincipalmayrevoketheagencyatwill,andcompeltheagenttoreturnthedocumentevidencing
theagency.Suchrevocationmaybeexpressorimplied.(1733a)

Article1921.Iftheagencyhasbeenentrustedforthepurposeofcontractingwithspecifiedpersons,itsrevocation
shallnotprejudicethelatteriftheywerenotgivennoticethereof.(1734)

Article1922.Iftheagenthadgeneralpowers,revocationoftheagencydoesnotprejudicethirdpersonswhoacted
ingoodfaithandwithoutknowledgeoftherevocation.Noticeoftherevocationinanewspaperofgeneralcirculation
isasufficientwarningtothirdpersons.(n)

Article1923.Theappointmentofanewagentforthesamebusinessortransactionrevokesthepreviousagency
fromthedayonwhichnoticethereofwasgiventotheformeragent,withoutprejudicetotheprovisionsofthetwo
precedingarticles.(1735a)

Article1924.Theagencyisrevokediftheprincipaldirectlymanagesthebusinessentrustedtotheagent,dealing
directlywiththirdpersons.(n)

Article1925.Whentwoormoreprincipalshavegrantedapowerofattorneyforacommontransaction,anyoneof
themmayrevokethesamewithouttheconsentoftheothers.(n)
consent

Article1926. A general power of attorney is revoked by a special one granted to another agent, as regards the
specialmatterinvolvedinthelatter.(n)

Article1927.Anagencycannotberevokedifabilateralcontractdependsuponit,orifitisthemeansoffulfillingan
obligationalreadycontracted,orifapartnerisappointedmanagerofapartnershipinthecontractofpartnershipand
hisremovalfromthemanagementisunjustifiable.(n)

Article1928. The agent may withdraw from the agency by giving due notice to the principal. If the latter should
suffer any damage by reason of the withdrawal, the agent must indemnify him therefor, unless the agent should
basehiswithdrawalupontheimpossibilityofcontinuingtheperformanceoftheagencywithoutgravedetrimentto
himself.(1736a)

Article1929.Theagent,evenifheshouldwithdrawfromtheagencyforavalidreason,mustcontinuetoactuntil
theprincipalhashadreasonableopportunitytotakethenecessarystepstomeetthesituation.(1737a)

Article1930. The agency shall remain in full force and effect even after the death of the principal, if it has been
constituted in the common interest of the latter and of the agent, or in the interest of a third person who has
acceptedthestipulationinhisfavor.(n)

Article1931. Anything done by the agent, without knowledge of the death of the principal or of any other cause
which extinguishes the agency, is valid and shall be fully effective with respect to third persons who may have
contractedwithhimingoodfaith.(1738)

Article1932.Iftheagentdies,hisheirsmustnotifytheprincipalthereof,andinthemeantimeadoptsuchmeasures
asthecircumstancesmaydemandintheinterestofthelatter.(1739)

TITLEXI
LOAN

GeneralProvisions

Article1933.Bythecontractofloan,oneofthepartiesdeliverstoanother,eithersomethingnotconsumablesothat
thelattermayusethesameforacertaintimeandreturnit,inwhichcasethecontractiscalledacommodatumor
moneyorotherconsumablething,upontheconditionthatthesameamountofthesamekindandqualityshallbe
paid,inwhichcasethecontractissimplycalledaloanormutuum.

Commodatumisessentiallygratuitous.

Simpleloanmaybegratuitousorwithastipulationtopayinterest.

Incommodatumthebailorretainstheownershipofthethingloaned,whileinsimpleloan,ownershippassestothe
borrower.(1740a)

Article1934. An accepted promise to deliver something by way of commodatum or simple loan is binding upon
parties, but the commodatum or simple loan itself shall not be perfected until the delivery of the object of the
contract.(n)

CHAPTER1
Commodatum

SECTION1
NatureofCommodatum

Article1935.Thebaileeincommodatumacquirestheuseofthethingloanedbutnotitsfruitsifanycompensation
istobepaidbyhimwhoacquirestheuse,thecontractceasestobeacommodatum.(1941a)

Article 1936. Consumable goods may be the subject of commodatum if the purpose of the contract is not the
consumptionoftheobject,aswhenitismerelyforexhibition.(n)

Article1937.Movableorimmovablepropertymaybetheobjectofcommodatum.(n)

Article1938.Thebailorincommodatumneednotbetheownerofthethingloaned.(n)

Article1939.Commodatumispurelypersonalincharacter.Consequently:

(1)Thedeathofeitherthebailororthebaileeextinguishesthecontract

(2)Thebaileecanneitherlendnorleasetheobjectofthecontracttoathirdperson.However,themembers
ofthebailee'shouseholdmaymakeuseofthethingloaned,unlessthereisastipulationtothecontrary,or
unlessthenatureofthethingforbidssuchuse.(n)

Article1940.Astipulationthatthebaileemaymakeuseofthefruitsofthethingloanedisvalid.(n)
 SECTION2
ObligationsoftheBailee

Article1941.Thebaileeisobligedtopayfortheordinaryexpensesfortheuseandpreservationofthethingloaned.
(1743a)

Article1942.Thebaileeisliableforthelossofthething,evenifitshouldbethroughafortuitousevent:

(1)Ifhedevotesthethingtoanypurposedifferentfromthatforwhichithasbeenloaned

(2) If he keeps it longer than the period stipulated, or after the accomplishment of the use for which the
commodatumhasbeenconstituted

(3)Ifthethingloanedhasbeendeliveredwithappraisalofitsvalue,unlessthereisastipulationexempting
thebaileefromresponsibilityincaseofafortuitousevent

(4)Ifhelendsorleasesthethingtoathirdperson,whoisnotamemberofhishousehold

(5)If,beingabletosaveeitherthethingborrowedorhisownthing,hechosetosavethelatter.(1744aand
1745)

Article1943.Thebaileedoesnotanswerforthedeteriorationofthethingloaneddueonlytotheusethereofand
withouthisfault.(1746)

Article1944. The bailee cannot retain the thing loaned on the ground that the bailor owes him something, even
though it may be by reason of expenses. However, the bailee has a right of retention for damages mentioned in
article1951.(1747a)

Article1945.Whentherearetwoormorebaileestowhomathingisloanedinthesamecontract,theyareliable
solidarily.(1748a)

SECTION3
ObligationsoftheBailor

ARTICLE1946.Thebailorcannotdemandthereturnofthethingloanedtillaftertheexpirationoftheperiod
stipulated,oraftertheaccomplishmentoftheuseforwhichthecommodatumhasbeenconstituted.However,ifin
themeantime,heshouldhaveurgentneedofthething,hemaydemanditsreturnortemporaryuse.

In case of temporary use by the bailor, the contract of commodatum is suspended while the thing is in the
possessionofthebailor.(1749a)

Article 1947. The bailor may demand the thing at will, and the contractual relation is called a precarium, in the
followingcases:

(1)Ifneitherthedurationofthecontractnortheusetowhichthethingloanedshouldbedevoted,hasbeen
stipulatedor

(2)Iftheuseofthethingismerelytoleratedbytheowner.(1750a)

Article1948.Thebailormaydemandtheimmediatereturnofthethingifthebaileecommitsanyactofingratitude
specifiedinarticle765.(n)

Article1949.Thebailorshallrefundtheextraordinaryexpensesduringthecontractforthepreservationofthething
loaned,providedthebaileebringsthesametotheknowledgeofthebailorbeforeincurringthem,exceptwhenthey
aresourgentthatthereplytothenotificationcannotbeawaitedwithoutdanger.

If the extraordinary expenses arise on the occasion of the actual use of the thing by the bailee, even though he
actedwithoutfault,theyshallbeborneequallybyboththebailorandthebailee,unlessthereisastipulationtothe
contrary.(1751a)

Article1950.If,forthepurposeofmakinguseofthething,thebaileeincursexpensesotherthanthosereferredto
inarticles1941and1949,heisnotentitledtoreimbursement.(n)

Article1951.Thebailorwho,knowingtheflawsofthethingloaned,doesnotadvisethebaileeofthesame,shallbe
liabletothelatterforthedamageswhichhemaysufferbyreasonthereof.(1752)
Article1952.Thebailorcannotexempthimselffromthepaymentofexpensesordamagesbyabandoningthething
tothebailee.(n)

CHAPTER2
SimpleLoanorMutuum

Article1953.Apersonwhoreceivesaloanofmoneyoranyotherfungiblethingacquirestheownershipthereof,
andisboundtopaytothecreditoranequalamountofthesamekindandquality.(1753a)

Article 1954. A contract whereby one person transfers the ownership of nonfungible things to another with the
obligationonthepartofthelattertogivethingsofthesamekind,quantity,andqualityshallbeconsideredabarter.
(n)

Article1955.Theobligationofapersonwhoborrowsmoneyshallbegovernedbytheprovisionsofarticles1249
and1250ofthisCode.

Ifwhatwasloanedisafungiblethingotherthanmoney,thedebtorowesanotherthingofthesamekind,quantity
andquality,evenifitshouldchangeinvalue.Incaseitisimpossibletodeliverthesamekind,itsvalueatthetimeof
theperfectionoftheloanshallbepaid.(1754a)

Article1956.Nointerestshallbedueunlessithasbeenexpresslystipulatedinwriting.(1755a)

Article 1957. Contracts and stipulations, under any cloak or device whatever, intended to circumvent the laws
againstusuryshallbevoid.Theborrowermayrecoverinaccordancewiththelawsonusury.(n)

Article1958.Inthedeterminationoftheinterest,ifitispayableinkind,itsvalueshallbeappraisedatthecurrent
priceoftheproductsorgoodsatthetimeandplaceofpayment.(n)

Article1959. Without prejudice to the provisions of article 2212, interest due and unpaid shall not earn interest.
However,thecontractingpartiesmaybystipulationcapitalizetheinterestdueandunpaid,whichasaddedprincipal,
shallearnnewinterest.(n)

Article1960.Iftheborrowerpaysinterestwhentherehasbeennostipulationtherefor,theprovisionsofthisCode
concerningsolutioindebiti,ornaturalobligations,shallbeapplied,asthecasemaybe.(n)

Article1961.UsuriouscontractsshallbegovernedbytheUsuryLawandotherspeciallaws,sofarastheyarenot
inconsistentwiththisCode.(n)

TITLEXII
DEPOSIT

CHAPTER1
DepositinGeneralanditsDifferentKinds

Article1962. A deposit is constituted from the moment a person receives a thing belonging to another, with the
obligationofsafelykeepingitandofreturningthesame.Ifthesafekeepingofthethingdeliveredisnottheprincipal
purposeofthecontract,thereisnodepositbutsomeothercontract.(1758a)

Article1963.Anagreementtoconstituteadepositisbinding,butthedeposititselfisnotperfecteduntilthedelivery
ofthething.(n)

Article1964.Adepositmaybeconstitutedjudiciallyorextrajudicially.(1759)

Article1965.Adepositisagratuitouscontract,exceptwhenthereisanagreementtothecontrary,orunlessthe
depositaryisengagedinthebusinessofstoringgoods.(1760a)

Article1966.Onlymovablethingsmaybetheobjectofadeposit.(1761)

Article1967.Anextrajudicialdepositiseithervoluntaryornecessary.(1762)
 CHAPTER2
VoluntaryDeposit

SECTION1
GeneralProvisions

Article1968.Avoluntarydepositisthatwhereinthedeliveryismadebythewillofthedepositor.Adepositmayalso
bemadebytwoormorepersonseachofwhombelieveshimselfentitledtothethingdepositedwithathirdperson,
whoshalldeliveritinapropercasetotheonetowhomitbelongs.(1763)

Article1969.Acontractofdepositmaybeenteredintoorallyorinwriting.(n)

Article 1970. If a person having capacity to contract accepts a deposit made by one who is incapacitated, the
former shall be subject to all the obligations of a depositary, and may be compelled to return the thing by the
guardian,oradministrator,ofthepersonwhomadethedeposit,orbythelatterhimselfifheshouldacquirecapacity.
(1764)

Article1971.Ifthedeposithasbeenmadebyacapacitatedpersonwithanotherwhoisnot,thedepositorshallonly
haveanactiontorecoverthethingdepositedwhileitisstillinthepossessionofthedepositary,ortocompelthe
latter to pay him the amount by which he may have enriched or benefited himself with the thing or its price.
However,ifathirdpersonwhoacquiredthethingactedinbadfaith,thedepositormaybringanactionagainsthim
foritsrecovery.(1765a)

SECTION2
ObligationsoftheDepositary

Article1972.Thedepositaryisobligedtokeepthethingsafelyandtoreturnit,whenrequired,tothedepositor,orto
hisheirsandsuccessors,ortothepersonwhomayhavebeendesignatedinthecontract.Hisresponsibility,with
regardtothesafekeepingandthelossofthething,shallbegovernedbytheprovisionsofTitleIofthisBook.

Ifthedepositisgratuitous,thisfactshallbetakenintoaccountindeterminingthedegreeofcarethatthedepositary
mustobserve.(1766a)

Article 1973. Unless there is a stipulation to the contrary, the depositary cannot deposit the thing with a third
person.Ifdepositwithathirdpersonisallowed,thedepositaryisliableforthelossifhedepositedthethingwitha
personwhoismanifestlycarelessorunfit.Thedepositaryisresponsibleforthenegligenceofhisemployees.(n)

Article1974. The depositary may change the way of the deposit if under the circumstances he may reasonably
presumethatthedepositorwouldconsenttothechangeifheknewofthefactsofthesituation.However,beforethe
consent
depositary may make such change, he shall notify the depositor thereof and wait for his decision, unless delay
wouldcausedanger.(n)

Article 1975. The depositary holding certificates, bonds, securities or instruments which earn interest shall be
bound to collect the latter when it becomes due, and to take such steps as may be necessary in order that the
securitiesmaypreservetheirvalueandtherightscorrespondingtothemaccordingtolaw.

Theaboveprovisionshallnotapplytocontractsfortherentofsafetydepositboxes.(n)

Article1976.Unlessthereisastipulationtothecontrary,thedepositarymaycomminglegrainorotherarticlesof
the same kind and quality, in which case the various depositors shall own or have a proportionate interest in the
mass.(n)

Article 1977. The depositary cannot make use of the thing deposited without the express permission of the
depositor.

Otherwise,heshallbeliablefordamages.

However,whenthepreservationofthethingdepositedrequiresitsuse,itmustbeusedbutonlyforthatpurpose.
(1767a)

Article1978.Whenthedepositaryhaspermissiontousethethingdeposited,thecontractlosestheconceptofa
depositandbecomesaloanorcommodatum,exceptwheresafekeepingisstilltheprincipalpurposeofthecontract.

Thepermissionshallnotbepresumed,anditsexistencemustbeproved.(1768a)
Article1979.Thedepositaryisliableforthelossofthethingthroughafortuitousevent:

(1)Ifitissostipulated

(2)Ifheusesthethingwithoutthedepositor'spermission

(3)Ifhedelaysitsreturn

(4)Ifheallowsotherstouseit,eventhoughhehimselfmayhavebeenauthorizedtousethesame.(n)

Article1980.Fixed,savings,andcurrentdepositsofmoneyinbanksandsimilarinstitutionsshallbegovernedby
theprovisionsconcerningsimpleloan.(n)

Article1981. When the thing deposited is delivered closed and sealed, the depositary must return it in the same
condition,andheshallbeliablefordamagesshouldthesealorlockbebrokenthroughhisfault.

Faultonthepartofthedepositaryispresumed,unlessthereisprooftothecontrary.

As regards the value of the thing deposited, the statement of the depositor shall be accepted, when the forcible
openingisimputabletothedepositary,shouldtherebenoprooftothecontrary.However,thecourtsmaypassupon
thecredibilityofthedepositorwithrespecttothevalueclaimedbyhim.

When the seal or lock is broken, with or without the depositary's fault, he shall keep the secret of the deposit.
(1769a)

Article 1982. When it becomes necessary to open a locked box or receptacle, the depositary is presumed
authorizedtodoso,ifthekeyhasbeendeliveredtohimorwhentheinstructionsofthedepositorasregardsthe
depositcannotbeexecutedwithoutopeningtheboxorreceptacle.(n)

Article1983.Thethingdepositedshallbereturnedwithallitsproducts,accessoriesandaccessions.

Should the deposit consist of money, the provisions relative to agents in article 1896 shall be applied to the
depositary.(1770)

Article1984.Thedepositarycannotdemandthatthedepositorprovehisownershipofthethingdeposited.

Nevertheless,shouldhediscoverthatthethinghasbeenstolenandwhoitstrueowneris,hemustadvisethelatter
ofthedeposit.

Iftheowner,inspiteofsuchinformation,doesnotclaimitwithintheperiodofonemonth,thedepositaryshallbe
relievedofallresponsibilitybyreturningthethingdepositedtothedepositor.

Ifthedepositaryhasreasonablegroundstobelievethatthethinghasnotbeenlawfullyacquiredbythedepositor,
theformermayreturnthesame.(1771a)

Article1985.Whentherearetwoormoredepositors,iftheyarenotsolidary,andthethingadmitsofdivision,each
onecannotdemandmorethanhisshare.

Whenthereissolidarityorthethingdoesnotadmitofdivision,theprovisionsofarticles1212and1214shallgovern.
However, if there is a stipulation that the thing should be returned to one of the depositors, the depositary shall
returnitonlytothepersondesignated.(1772a)

Article1986.Ifthedepositorshouldlosehiscapacitytocontractafterhavingmadethedeposit,thethingcannotbe
returnedexcepttothepersonswhomayhavetheadministrationofhispropertyandrights.(1773)

Article1987.Ifatthetimethedepositwasmadeaplacewasdesignatedforthereturnofthething,thedepositary
musttakethethingdepositedtosuchplacebuttheexpensesfortransportationshallbebornebythedepositor.

Ifnoplacehasbeendesignatedforthereturn,itshallbemadewherethethingdepositedmaybe,evenifitshould
notbethesameplacewherethedepositwasmade,providedthattherewasnomaliceonthepartofthedepositary.
(1774)

Article1988.Thethingdepositedmustbereturnedtothedepositorupondemand,eventhoughaspecifiedperiod
ortimeforsuchreturnmayhavebeenfixed.

Thisprovisionshallnotapplywhenthethingisjudiciallyattachedwhileinthedepositary'spossession,orshouldhe
havebeennotifiedoftheoppositionofathirdpersontothereturnortheremovalofthethingdeposited.Inthese
cases,thedepositarymustimmediatelyinformthedepositoroftheattachmentoropposition.(1775)
Article1989.Unlessthedepositisforavaluableconsideration,thedepositarywhomayhavejustifiablereasonsfor
not keeping the thing deposited may, even before the time designated, return it to the depositor and if the latter
shouldrefusetoreceiveit,thedepositarymaysecureitsconsignationfromthecourt.(1776a)

Article1990.Ifthedepositarybyforcemajeureorgovernmentorderlosesthethingandreceivesmoneyoranother
thinginitsplace,heshalldeliverthesumorotherthingtothedepositor.(1777a)

Article1991.Thedepositor'sheirwhoingoodfaithmayhavesoldthethingwhichhedidnotknowwasdeposited,
shall only be bound to return the price he may have received or to assign his right of action against the buyer in
casethepricehasnotbeenpaidhim.(1778)

SECTION3
ObligationsoftheDepositor

Article1992.Ifthedepositisgratuitous,thedepositorisobligedtoreimbursethedepositaryfortheexpenseshe
mayhaveincurredforthepreservationofthethingdeposited.(1779a)

Article 1993. The depositor shall reimburse the depositary for any loss arising from the character of the thing
deposited,unlessatthetimeoftheconstitutionofthedeposittheformerwasnotawareof,orwasnotexpectedto
knowthedangerouscharacterofthething,orunlesshenotifiedthedepositaryofthesame,orthelatterwasaware
ofitwithoutadvicefromthedepositor.(n)

Article1994.Thedepositarymayretainthethinginpledgeuntilthefullpaymentofwhatmaybeduehimbyreason
ofthedeposit.(1780)

Article1995.Adeposititsextinguished:

(1)Uponthelossordestructionofthethingdeposited

(2)Incaseofagratuitousdeposit,uponthedeathofeitherthedepositororthedepositary.(n)

CHAPTER3
NecessaryDeposit

Article1996.Adepositisnecessary:

(1)Whenitismadeincompliancewithalegalobligation

(2)Whenittakesplaceontheoccasionofanycalamity,suchasfire,storm,flood,pillage,shipwreck,orother
similarevents.(1781a)

Article1997.ThedepositreferredtoinNo.1oftheprecedingarticleshallbegovernedbytheprovisionsofthelaw
establishingit,andincaseofitsdeficiency,bytherulesonvoluntarydeposit.

ThedepositmentionedinNo.2oftheprecedingarticleshallberegulatedbytheprovisionsconcerningvoluntary
depositandbyarticle2168.(1782)

Article1998.Thedepositofeffectsmadebytravellersinhotelsorinnsshallalsoberegardedasnecessary.The
keepersofhotelsorinnsshallberesponsibleforthemasdepositaries,providedthatnoticewasgiventothem,orto
their employees, of theeffectsbroughtbytheguestsandthat,onthepartofthe latter, they take the precautions
whichsaidhotelkeepersortheirsubstitutesadvisedrelativetothecareandvigilanceoftheireffects.(1783)

Article1999.Thehotelkeeperisliableforthevehicles,animalsandarticleswhichhavebeenintroducedorplaced
intheannexesofthehotel.(n)

Article2000. The responsibility referred to in the two preceding articles shall include the loss of, or injury to the
personal property of the guests caused by the servants or employees of the keepers of hotels or inns as well as
strangersbutnotthatwhichmayproceedfromanyforcemajeure.Thefactthattravellersareconstrainedtorelyon
thevigilanceofthekeeperofthehotelsorinnsshallbeconsideredindeterminingthedegreeofcarerequiredof
him.(1784a)

Article2001.Theactofathieforrobber,whohasenteredthehotelisnotdeemedforcemajeure,unlessitisdone
withtheuseofarmsorthroughanirresistibleforce.(n)
Article2002.Thehotelkeeperisnotliableforcompensationifthelossisduetotheactsoftheguest,hisfamily,
servantsorvisitors,orifthelossarisesfromthecharacterofthethingsbroughtintothehotel.(n)

Article2003.Thehotelkeepercannotfreehimselffromresponsibilitybypostingnoticestotheeffectthatheisnot
liable for the articles brought by the guest. Any stipulation between the hotelkeeper and the guest whereby the
responsibilityoftheformerassetforthinarticles1998to2001issuppressedordiminishedshallbevoid.(n)

Article2004.Thehotelkeeperhasarighttoretainthethingsbroughtintothehotelbytheguest,asasecurityfor
creditsonaccountoflodging,andsuppliesusuallyfurnishedtohotelguests.(n)

CHAPTER4

SequestrationorJudicialDeposit

Article2005.Ajudicialdepositorsequestrationtakesplacewhenanattachmentorseizureofpropertyinlitigation
isordered.(1785)

Article2006.Movableaswellasimmovablepropertymaybetheobjectofsequestration.(1786)

Article2007. The depositary of property or objects sequestrated cannot be relieved of his responsibility until the
controversywhichgaverisetheretohascometoanend,unlessthecourtsoorders.(1787a)

Article2008. The depositary of property sequestrated is bound to comply, with respect to the same, with all the
obligationsofagoodfatherofafamily.(1788)

Article2009.AstomattersnotprovidedforinthisCode,judicialsequestrationshallbegovernedbytheRulesof
Court.(1789a)

TITLEXIII
ALEATORYCONTRACTS

GeneralProvision

Article 2010. By an aleatory contract, one of the parties or both reciprocally bind themselves to give or to do
somethinginconsiderationofwhattheothershallgiveordouponthehappeningofaneventwhichisuncertain,or
whichistooccuratanindeterminatetime.(1790)

CHAPTER1
Insurance

Article 2011. The contract of insurance is governed by special laws. Matters not expressly provided for in such
speciallawsshallberegulatedbythisCode.(n)

Article 2012. Any person who is forbidden from receiving any donation under article 739 cannot be named
beneficiaryofalifeinsurancepolicybythepersonwhocannotmakeanydonationtohim,accordingtosaidarticle.
(n)

CHAPTER2
Gambling

Article2013. A game of chance is that which depends more on chance or hazard than or skill or ability. For the
purposesofthefollowingarticles,incaseofdoubtagameisdeemedtobeoneofchance.(n)

Article2014.Noactioncanbemaintainedbythewinnerforthecollectionofwhathehaswoninagameofchance.
Butanyloserinagameofchancemayrecoverhislossfromthewinner,withlegalinterestfromthetimehepaidthe
amountlost,andsubsidiarilyfromtheoperatorormanagerofthegamblinghouse.(1799a)

Article2015.Ifcheatingordeceitiscommittedbythewinner,he,andsubsidiarilytheoperatorormanagerofthe
gamblinghouse,shallpaybywayofexemplarydamages,notlessthantheequivalentofthesumlost,inadditionto
thelatteramount.Ifboththewinnerandtheloserhaveperpetratedfraud,noactionforrecoverycanbebroughtby
either.(n)

Article2016.Iftheloserrefusesorneglectstobringanactiontorecoverwhathasbeenlost,hisorhercreditors,
spouse, descendants or other persons entitled to be supported by the loser may institute the action. The sum
therebyobtainedshallbeappliedtothecreditors'claims,ortothesupportofthespouseorrelatives,asthecase
maybe.(n)

Article2017.Theprovisionsofarticle2014and2016applywhentwoormorepersonsbetinagameofchance,
althoughtheytakenoactivepartinthegameitself.(1799a)

Article2018.Ifacontractwhichpurportstobeforthedeliveryofgoods,securitiesorsharesofstockisenteredinto
withtheintentionthatthedifferencebetweenthepricestipulatedandtheexchangeormarketpriceatthetimeofthe
pretendeddeliveryshallbepaidbythelosertothewinner,thetransactionisnullandvoid.Thelosermayrecover
whathehaspaid.(n)

Article 2019. Betting on the result of sports, athletic competitions, or games of skill may be prohibited by local
ordinances.(n)

Article2020.Theloserinanygamewhichisnotoneofchance,whenthereisnolocalordinancewhichprohibits
bettingtherein,isunderobligationtopayhisloss,unlesstheamountthereofisexcessiveunderthecircumstances.
Inthelattercase,thecourtshallreducethelosstothepropersum.(1801a)

CHAPTER3
LifeAnnuity

Article2021.Thealeatorycontractoflifeannuitybindsthedebtortopayanannualpensionorincomeduringthe
lifeofoneormoredeterminatepersonsinconsiderationofacapitalconsistingofmoneyorotherproperty,whose
ownershipistransferredtohimatoncewiththeburdenoftheincome.(1802a)

Article2022.Theannuitymaybeconstituteduponthelifeofthepersonwhogivesthecapital,uponthatofathird
person,oruponthelivesofvariouspersons,allofwhommustbelivingatthetimetheannuityisestablished.

Itmayalsobeconstitutedinfavorofthepersonorpersonsuponwhoselifeorlivesthecontractisenteredinto,orin
favorofanotherorotherpersons.(1803a)

Article2023.Lifeannuityshallbevoidifconstituteduponthelifeofapersonwhowasalreadydeadatthetimethe
contractwasenteredinto,orwhowasatthattimesufferingfromanillnesswhichcausedhisdeathwithintwenty
daysfollowingsaiddate.(1804)

Article2024.Thelackofpaymentoftheincomeduedoesnotauthorizetherecipientofthelifeannuitytodemand
thereimbursementofthecapitalortoretakepossessionofthepropertyalienated,unlessthereisastipulationtothe
contraryheshallhaveonlyarightjudiciallytoclaimthepaymentoftheincomeinarrearsandtorequireasecurity
forthefutureincome,unlessthereisastipulationtothecontrary.(1805a)

Article2025.Theincomecorrespondingtotheyearinwhichthepersonenjoyingitdiesshallbepaidinproportion
tothedaysduringwhichhelivediftheincomeshouldbepaidbyinstallmentsinadvance,thewholeamountofthe
installmentwhichbegantorunduringhislifeshallbepaid.(1806)

Article2026.Hewhoconstitutesanannuitybygratuitoustitleuponhisproperty,mayprovideatthetimetheannuity
is established that the same shall not be subject to execution or attachment on account of the obligations of the
recipientoftheannuity.Iftheannuitywasconstitutedinfraudofcreditors,thelattermayaskfortheexecutionor
attachmentoftheproperty.(1807a)

Article 2027. No annuity shall be claimed without first proving the existence of the person upon whose life the
annuityisconstituted.(1808)

TITLEXIV
COMPROMISESANDARBITRATIONS

CHAPTER1
Compromises
Article2028.Acompromiseisacontractwherebytheparties,bymakingreciprocalconcessions,avoidalitigation
orputanendtoonealreadycommenced.(1809a)

Article2029.Thecourtshallendeavortopersuadethelitigantsinacivilcasetoagreeuponsomefaircompromise.
(n)

Article2030.Everycivilactionorproceedingshallbesuspended:

(1)Ifwillingnesstodiscussapossiblecompromiseisexpressedbyoneorbothpartiesor

(2) If it appears that one of the parties, before the commencement of the action or proceeding, offered to
discussapossiblecompromisebuttheotherpartyrefusedtheoffer.

Thedurationandtermsofthesuspensionofthecivilactionorproceedingandsimilarmattersshallbegovernedby
such provisions of the rules of court as the Supreme Court shall promulgate. Said rules of court shall likewise
providefortheappointmentanddutiesofamicablecompounders.(n)

Article2031.Thecourtsmaymitigatethedamagestobepaidbythelosingpartywhohasshownasinceredesire
foracompromise.(n)

Article 2032. The court's approval is necessary in compromises entered into by guardians, parents, absentee's
representatives,andadministratorsorexecutorsofdecedent'sestates.(1810a)

Article2033.Juridicalpersonsmaycompromiseonlyintheformandwiththerequisiteswhichmaybenecessaryto
alienatetheirproperty.(1812a)

Article2034.Theremaybeacompromiseuponthecivilliabilityarisingfromanoffensebutsuchcompromiseshall
notextinguishthepublicactionfortheimpositionofthelegalpenalty.(1813)

Article2035.Nocompromiseuponthefollowingquestionsshallbevalid:

(1)Thecivilstatusofpersons

(2)Thevalidityofamarriageoralegalseparation

(3)Anygroundforlegalseparation

(4)Futuresupport

(5)Thejurisdictionofcourts

(6)Futurelegitime.(1814a)

Article2036.Acompromisecomprisesonlythoseobjectswhicharedefinitelystatedtherein,orwhichbynecessary
implicationfromitstermsshouldbedeemedtohavebeenincludedinthesame.

Ageneralrenunciationofrightsisunderstoodtoreferonlytothosethatareconnectedwiththedisputewhichwas
thesubjectofthecompromise.(1815)

Article 2037. A compromise has upon the parties the effect and authority of res judicata but there shall be no
executionexceptincompliancewithajudicialcompromise.(1816)

Article2038. A compromise in which there is mistake, fraud, violence, intimidation, undue influence, or falsity of
documents,issubjecttotheprovisionsofarticle1330ofthisCode.

However,oneofpartiescannotsetupamistakeoffactasagainsttheotherifthelatter,byvirtueofthecompromise,
haswithdrawnfromalitigationalreadycommenced.(1817a)

Article2039.Whenthepartiescompromisegenerallyonalldifferenceswhichtheymighthavewitheachother,the
discoveryofdocumentsreferringtooneormorebutnottoallofthequestionssettledshallnotitselfbeacausefor
annulmentorrescissionofthecompromise,unlesssaiddocumentshavebeenconcealedbyoneoftheparties.

Butthecompromisemaybeannulledorrescindedifitrefersonlytoonethingtowhichoneofthepartieshasno
right,asshownbythenewlydiscovereddocuments.(n)

Article2040.Ifafteralitigationhasbeendecidedbyafinaljudgment,acompromiseshouldbeagreedupon,either
orbothpartiesbeingunawareoftheexistenceofthefinaljudgment,thecompromisemayberescinded.
Ignorance of a judgment which may be revoked or set aside is not a valid ground for attacking a compromise.
(1819a)

Article2041.Ifoneofthepartiesfailsorrefusestoabidebythecompromise,theotherpartymayeitherenforcethe
compromiseorregarditasrescindedandinsistuponhisoriginaldemand.(n)

CHAPTER2
Arbitrations

Article2042.Thesamepersonswhomayenterintoacompromisemaysubmittheircontroversiestooneormore
arbitratorsfordecision.(1820a)

Article2043. The provisions of the preceding Chapter upon compromises shall also be applicable to arbitrations.
(1821a)

Article 2044. Any stipulation that the arbitrators' award or decision shall be final, is valid, without prejudice to
articles2038,2039,and2040.(n)

Article2045.Anyclausegivingoneofthepartiespowertochoosemorearbitratorsthantheotherisvoidandofno
effect.(n)

Article2046.Theappointmentofarbitratorsandtheprocedureforarbitrationshallbegovernedbytheprovisionsof
suchrulesofcourtastheSupremeCourtshallpromulgate.(n)

TITLEXV
GUARANTY

CHAPTER1
NatureandExtentofGuaranty

Article2047.Byguarantyaperson,calledtheguarantor,bindshimselftothecreditortofulfilltheobligationofthe
principaldebtorincasethelattershouldfailtodoso.

If a person binds himself solidarily with the principal debtor, the provisions of Section 4, Chapter 3, Title I of this
Bookshallbeobserved.Insuchcasethecontractiscalledasuretyship.(1822a)

Article2048.Aguarantyisgratuitous,unlessthereisastipulationtothecontrary.(n)

Article2049.Amarriedwomanmayguaranteeanobligationwithoutthehusband'sconsent,butshallnotthereby
consent
bindtheconjugalpartnership,exceptincasesprovidedbylaw.(n)

Article 2050. If a guaranty is entered into without the knowledge or consent

consent, or against the will of the principal
debtor,theprovisionsofarticles1236and1237shallapply.(n)

Article2051.Aguarantymaybeconventional,legalorjudicial,gratuitous,orbyoneroustitle.

Itmayalsobeconstituted,notonlyinfavoroftheprincipaldebtor,butalsoinfavoroftheotherguarantor,withthe
latter'sconsent,orwithouthisknowledge,orevenoverhisobjection.(1823)
consent

Article2052.Aguarantycannotexistwithoutavalidobligation.

Nevertheless, a guaranty may be constituted to guarantee the performance of a voidable or an unenforceable

contract.Itmayalsoguaranteeanaturalobligation.(1824a)

Article2053.Aguarantymayalsobegivenassecurityforfuturedebts,theamountofwhichisnotyetknownthere
can be no claim against the guarantor until the debt is liquidated. A conditional obligation may also be secured.
(1825a)

Article2054.Aguarantormaybindhimselfforless,butnotformorethantheprincipaldebtor,bothasregardsthe
amountandtheonerousnatureoftheconditions.

Shouldhehaveboundhimselfformore,hisobligationsshallbereducedtothelimitsofthatofthedebtor.(1826)
Article2055. A guaranty is not presumed it must be express and cannot extend to more than what is stipulated
therein.

Ifitbesimpleorindefinite,itshallcompromisenotonlytheprincipalobligation,butalsoallitsaccessories,including
thejudicialcosts,providedwithrespecttothelatter,thattheguarantorshallonlybeliableforthosecostsincurred
afterhehasbeenjudiciallyrequiredtopay.(1827a)

Article2056.Onewhoisobligedtofurnishaguarantorshallpresentapersonwhopossessesintegrity,capacityto
bind himself, and sufficient property to answer for the obligation which he guarantees. The guarantor shall be
subjecttothejurisdictionofthecourtoftheplacewherethisobligationistobecompliedwith.(1828a)

Article2057.Iftheguarantorshouldbeconvictedinfirstinstanceofacrimeinvolvingdishonestyorshouldbecome
insolvent,thecreditormaydemandanotherwhohasallthequalificationsrequiredintheprecedingarticle.Thecase
isexceptedwherethecreditorhasrequiredandstipulatedthataspecifiedpersonshouldbetheguarantor.(1829a)

CHAPTER2
EffectsofGuaranty

SECTION1
EffectsofGuarantyBetweentheGuarantorandtheCreditor

Article2058.Theguarantorcannotbecompelledtopaythecreditorunlessthelatterhasexhaustedalltheproperty
ofthedebtor,andhasresortedtoallthelegalremediesagainstthedebtor.(1830a)

Article2059.Theexcussionshallnottakeplace:

(1)Iftheguarantorhasexpresslyrenouncedit

(2)Ifhehasboundhimselfsolidarilywiththedebtor

(3)Incaseofinsolvencyofthedebtor

(4) When he has absconded, or cannot be sued within the Philippines unless he has left a manager or
representative

(5) If it may be presumed that an execution on the property of the principal debtor would not result in the
satisfactionoftheobligation.(1831a)

Article2060. In order that the guarantor may make use of the benefit of exclusion, he must set it up against the
creditoruponthelatter'sdemandforpaymentfromhim,andpointouttothecreditoravailablepropertyofthedebtor
withinPhilippineterritory,sufficienttocovertheamountofthedebt.(1832)

Article2061.Theguarantorhavingfulfilledalltheconditionsrequiredintheprecedingarticle,thecreditorwhois
negligentinexhaustingthepropertypointedoutshallsuffertheloss,totheextentofsaidproperty,fortheinsolvency
ofthedebtorresultingfromsuchnegligence.(1833a)

Article2062.Ineveryactionbythecreditor,whichmustbeagainsttheprincipaldebtoralone,exceptinthecases
mentioned in article 2059, the former shall ask the court to notify the guarantor of the action. The guarantor may
appearsothathemay,ifhesodesire,setupsuchdefensesasaregrantedhimbylaw.Thebenefitofexcussion
mentioned in article 2058 shall always be unimpaired, even if judgment should be rendered against the principal
debtorandtheguarantorincaseofappearancebythelatter.(1834a)

Article 2063. A compromise between the creditor and the principal debtor benefits the guarantor but does not
prejudicehim.Thatwhichisenteredintobetweentheguarantorandthecreditorbenefitsbutdoesnotprejudicethe
principaldebtor.(1835a)

Article2064.Theguarantorofaguarantorshallenjoythebenefitofexcussion,bothwithrespecttotheguarantor
andtotheprincipaldebtor.(1836)

Article2065.Shouldtherebeseveralguarantorsofonlyonedebtorandforthesamedebt,theobligationtoanswer
forthesameisdividedamongall.Thecreditorcannotclaimfromtheguarantorsexcepttheshareswhichtheyare
respectivelyboundtopay,unlesssolidarityhasbeenexpresslystipulated.
Thebenefitofdivisionagainstthecoguarantorsceasesinthesamecasesandforthesamereasonsasthebenefit
ofexcussionagainsttheprincipaldebtor.(1837)

SECTION2
EffectsofGuarantyBetweentheDebtorandtheGuarantor

Article2066.Theguarantorwhopaysforadebtormustbeindemnifiedbythelatter.

Theindemnitycomprises:

(1)Thetotalamountofthedebt

(2)Thelegalintereststhereonfromthetimethepaymentwasmadeknowntothedebtor,eventhoughitdid
notearninterestforthecreditor

(3)Theexpensesincurredbytheguarantorafterhavingnotifiedthedebtorthatpaymenthadbeendemanded
ofhim

(4)Damages,iftheyaredue.(1838a)

Article2067.Theguarantorwhopaysissubrogatedbyvirtuethereoftoalltherightswhichthecreditorhadagainst
thedebtor.

Iftheguarantorhascompromisedwiththecreditor,hecannotdemandofthedebtormorethanwhathehasreally
paid.(1839)

Article 2068. If the guarantor should pay without notifying the debtor, the latter may enforce against him all the
defenseswhichhecouldhavesetupagainstthecreditoratthetimethepaymentwasmade.(1840)

Article 2069. If the debt was for a period and the guarantor paid it before it became due, he cannot demand
reimbursementofthedebtoruntiltheexpirationoftheperiodunlessthepaymenthasbeenratifiedbythedebtor.
(1841a)

Article2070.Iftheguarantorhaspaidwithoutnotifyingthedebtor,andthelatternotbeingawareofthepayment,
repeats the payment, the former has no remedy whatever against the debtor, but only against the creditor.
Nevertheless,incaseofagratuitousguaranty,iftheguarantorwaspreventedbyafortuitouseventfromadvising
the debtor of the payment, and the creditor becomes insolvent, the debtor shall reimburse the guarantor for the
amountpaid.(1842a)

Article2071.Theguarantor,evenbeforehavingpaid,mayproceedagainsttheprincipaldebtor:

(1)Whenheissuedforthepayment

(2)Incaseofinsolvencyoftheprincipaldebtor

(3) When the debtor has bound himself to relieve him from the guaranty within a specified period, and this
periodhasexpired

(4)Whenthedebthasbecomedemandable,byreasonoftheexpirationoftheperiodforpayment

(5)Afterthelapseoftenyears,whentheprincipalobligationhasnofixedperiodforitsmaturity,unlessitbeof
suchnaturethatitcannotbeextinguishedexceptwithinaperiodlongerthantenyears

(6)Iftherearereasonablegroundstofearthattheprincipaldebtorintendstoabscond

(7)Iftheprincipaldebtorisinimminentdangerofbecominginsolvent.

Inallthesecases,theactionoftheguarantoristoobtainreleasefromtheguaranty,ortodemandasecuritythat
shallprotecthimfromanyproceedingsbythecreditorandfromthedangerofinsolvencyofthedebtor.(1834a)

Article 2072. If one, at the request of another, becomes a guarantor for the debt of a third person who is not
present, the guarantor who satisfies the debt may sue either the person so requesting or the debtor for
reimbursement.(n)
 SECTION3.
EffectsofGuarantyasBetweenCoGuarantors

Article2073.Whentherearetwoormoreguarantorsofthesamedebtorandforthesamedebt,theoneamong
themwhohaspaidmaydemandofeachoftheothersthesharewhichisproportionallyowingfromhim.

Ifanyoftheguarantorsshouldbeinsolvent,hisshareshallbebornebytheothers,includingthepayer,inthesame
proportion.

The provisions of this article shall not be applicable, unless the payment has been made by virtue of a judicial
demandorunlesstheprincipaldebtorisinsolvent.(1844a)

Article2074.Inthecaseoftheprecedingarticle,thecoguarantorsmaysetupagainsttheonewhopaid,thesame
defenseswhichwouldhavepertainedtotheprincipaldebtoragainstthecreditor,andwhicharenotpurelypersonal
tothedebtor.(1845)ARTICLE2075.Asubguarantor,incaseoftheinsolvencyoftheguarantorforwhomhebound
himself,isresponsibletothecoguarantorsinthesametermsastheguarantor.(1846)

CHAPTER3
ExtinguishmentofGuaranty

Article2076. The obligation of the guarantor is extinguished at the same time as that of the debtor, and for the
samecausesasallotherobligations.(1847)

Article 2077. If the creditor voluntarily accepts immovable or other property in payment of the debt, even if he
shouldafterwardslosethesamethrougheviction,theguarantorisreleased.(1849)

Article2078.Areleasemadebythecreditorinfavorofoneoftheguarantors,withouttheconsentoftheothers,
consent
benefitsalltotheextentoftheshareoftheguarantortowhomithasbeengranted.(1850)

Article2079.Anextensiongrantedtothedebtorbythecreditorwithouttheconsentoftheguarantorextinguishes
consent
theguaranty.Themerefailureonthepartofthecreditortodemandpaymentafterthedebthasbecomeduedoes
notofitselfconstituteanyextensionoftimereferredtoherein.(1851a)

Article2080.Theguarantors,eventhoughtheybesolidary,arereleasedfromtheirobligationwheneverbysome
actofthecreditortheycannotbesubrogatedtotherights,mortgages,andpreferenceofthelatter.(1852)

Article2081.Theguarantormaysetupagainstthecreditorallthedefenseswhichpertaintotheprincipaldebtor
andareinherentinthedebtbutnotthosethatarepersonaltothedebtor.(1853)

CHAPTER4
LegalandJudicialBonds

Article2082.Thebondsmanwhoistobeofferedinvirtueofaprovisionoflaworofajudicialordershallhavethe
qualificationsprescribedinarticle2056andinspeciallaws.(1854a)

Article2083.Ifthepersonboundtogiveabondinthecasesoftheprecedingarticle,shouldnotbeabletodoso,a
pledgeormortgageconsideredsufficienttocoverhisobligationshallbeadmittedinlieuthereof.(1855)

Article2084.Ajudicialbondsmancannotdemandtheexhaustionofthepropertyoftheprincipaldebtor.

Asubsuretyinthesamecase,cannotdemandtheexhaustionofthepropertyofthedebtororofthesurety.

TITLEXVI
PLEDGE,MORTGAGEANDANTICHRESIS

CHAPTER1
ProvisionsCommontoPledgeandMortgage

Article2085.Thefollowingrequisitesareessentialtothecontractsofpledgeandmortgage:

(1)Thattheybeconstitutedtosecurethefulfillmentofaprincipalobligation
 (2)Thatthepledgorormortgagorbetheabsoluteownerofthethingpledgedormortgaged

(3)Thatthepersonsconstitutingthepledgeormortgagehavethefreedisposaloftheirproperty,andinthe
absencethereof,thattheybelegallyauthorizedforthepurpose.

Thirdpersonswhoarenotpartiestotheprincipalobligationmaysecurethelatterbypledgingormortgagingtheir
ownproperty.(1857)

Article2086.Theprovisionsofarticle2052areapplicabletoapledgeormortgage.(n)

Article2087.Itisalsooftheessenceofthesecontractsthatwhentheprincipalobligationbecomesdue,thethings
inwhichthepledgeormortgageconsistsmaybealienatedforthepaymenttothecreditor.(1858)

Article2088.Thecreditorcannotappropriatethethingsgivenbywayofpledgeormortgage,ordisposeofthem.
Anystipulationtothecontraryisnullandvoid.(1859a)

Article2089.Apledgeormortgageisindivisible,eventhoughthedebtmaybedividedamongthesuccessorsin
interestofthedebtororofthecreditor.

Therefore,thedebtor'sheirwhohaspaidapartofthedebtcannotaskfortheproportionateextinguishmentofthe
pledgeormortgageaslongasthedebtisnotcompletelysatisfied.

Neithercanthecreditor'sheirwhoreceivedhisshareofthedebtreturnthepledgeorcancelthemortgage,tothe
prejudiceoftheotherheirswhohavenotbeenpaid.

Fromtheseprovisionsisexceptedthecaseinwhich,therebeingseveralthingsgiveninmortgageorpledge,each
oneofthemguaranteesonlyadeterminateportionofthecredit.

Thedebtor,inthiscase,shallhavearighttotheextinguishmentofthepledgeormortgageastheportionofthedebt
forwhicheachthingisspeciallyanswerableissatisfied.(1860)

Article2090.Theindivisibilityofapledgeormortgageisnotaffectedbythefactthatthedebtorsarenotsolidarily
liable.(n)

Article2091.Thecontractofpledgeormortgagemaysecureallkindsofobligations,betheypureorsubjecttoa
suspensiveorresolutorycondition.(1861)

Article 2092. A promise to constitute a pledge or mortgage gives rise only to a personal action between the
contractingparties,withoutprejudicetothecriminalresponsibilityincurredbyhimwhodefraudsanother,byoffering
inpledgeormortgageasunencumbered,thingswhichheknewweresubjecttosomeburden,orbymisrepresenting
himselftobetheownerofthesame.(1862)

CHAPTER2
Pledge

Article 2093. In addition to the requisites prescribed in article 2085, it is necessary, in order to constitute the
contract of pledge, that the thing pledged be placed in the possession of the creditor, or of a third person by
commonagreement.(1863)

Article 2094. All movables which are within commerce may be pledged, provided they are susceptible of
possession.(1864)

Article 2095. Incorporeal rights, evidenced by negotiable instruments, bills of lading, shares of stock, bonds,
warehousereceiptsandsimilardocumentsmayalsobepledged.Theinstrumentprovingtherightpledgedshallbe
deliveredtothecreditor,andifnegotiable,mustbeindorsed.(n)

Article2096.Apledgeshallnottakeeffectagainstthirdpersonsifadescriptionofthethingpledgedandthedateof
thepledgedonotappearinapublicinstrument.(1865a)

Article2097.Withtheconsentofthepledgee,thethingpledgedmaybealienatedbythepledgororowner,subject
consent
tothepledge.Theownershipofthethingpledgedistransmittedtothevendeeortransfereeassoonasthepledgee
consents
consentstothealienation,butthelattershallcontinueinpossession.(n)

Article2098.Thecontractofpledgegivesarighttothecreditortoretainthethinginhispossessionorinthatofa
thirdpersontowhomithasbeendelivered,untilthedebtispaid.(1866a)
Article2099.Thecreditorshalltakecareofthethingpledgedwiththediligenceofagoodfatherofafamilyhehas
arighttothereimbursementoftheexpensesmadeforitspreservation,andisliableforitslossordeterioration,in
conformitywiththeprovisionsofthisCode.(1867)

Article 2100. The pledgee cannot deposit the thing pledged with a third person, unless there is a stipulation
authorizinghimtodoso.

Thepledgeeisresponsiblefortheactsofhisagentsoremployeeswithrespecttothethingpledged.(n)

Article2101.Thepledgorhasthesameresponsibilityasabailorincommodatuminthecaseunderarticle1951.(n)

Article2102.Ifthepledgeearnsorproducesfruits,income,dividends,orinterests,thecreditorshallcompensate
whathereceiveswiththosewhichareowinghimbutifnoneareowinghim,orinsofarastheamountmayexceed
that which is due, he shall apply it to the principal. Unless there is a stipulation to the contrary, the pledge shall
extendtotheinterestandearningsoftherightpledged.

Incaseofapledgeofanimals,theiroffspringshallpertaintothepledgororownerofanimalspledged,butshallbe
subjecttothepledge,ifthereisnostipulationtothecontrary.(1868a)

Article2103.Unlessthethingpledgedisexpropriated,thedebtorcontinuestobetheownerthereof.

Nevertheless,thecreditormaybringtheactionswhichpertaintotheownerofthethingpledgedinordertorecoverit
from,ordefenditagainstathirdperson.(1869)

Article2104.Thecreditorcannotusethethingpledged,withouttheauthorityoftheowner,andifheshoulddoso,
or should misuse the thing in any other way, the owner may ask that it be judicially or extrajudicially deposited.
When the preservation of the thing pledged requires its use, it must be used by the creditor but only for that
purpose.(1870a)

Article2105.Thedebtorcannotaskforthereturnofthethingpledgedagainstthewillofthecreditor,unlessand
untilhehaspaidthedebtanditsinterest,withexpensesinapropercase.(1871)

Article2106.Ifthroughthenegligenceorwilfulactofthepledgee,thethingpledgedisindangerofbeinglostor
impaired,thepledgormayrequirethatitbedepositedwithathirdperson.(n)

Article2107.Iftherearereasonablegroundstofearthedestructionorimpairmentofthethingpledged,withoutthe
faultofthepledgee,thepledgormaydemandthereturnofthething,uponofferinganotherthinginpledge,provided
the latter is of the same kind as the former and not of inferior quality, and without prejudice to the right of the
pledgeeundertheprovisionsofthefollowingarticle.

Thepledgeeisboundtoadvisethepledgor,withoutdelay,ofanydangertothethingpledged.(n)

Article2108.If,withoutthefaultofthepledgee,thereisdangerofdestruction,impairment,ordiminutioninvalueof
the thing pledged, he may cause the same to be sold at a public sale. The proceeds of the auction shall be a
securityfortheprincipalobligationinthesamemannerasthethingoriginallypledged.(n)

Article 2109. If the creditor is deceived on the substance or quality of the thing pledged, he may either claim
anotherthinginitsstead,ordemandimmediatepaymentoftheprincipalobligation.(n)

Article2110.Ifthethingpledgedisreturnedbythepledgeetothepledgororowner,thepledgeisextinguished.Any
stipulationtothecontraryshallbevoid.

Ifsubsequenttotheperfectionofthepledge,thethingisinthepossessionofthepledgororowner,thereisaprima
facie presumption that the same has been returned by the pledgee. This same presumption exists if the thing
pledgedisinthepossessionofathirdpersonwhohasreceiveditfromthepledgororowneraftertheconstitutionof
thepledge.(n)

Article 2111. A statement in writing by the pledgee that he renounces or abandons the pledge is sufficient to
extinguishthepledge.Forthispurpose,neithertheacceptancebythepledgororowner,northereturnofthething
pledgedisnecessary,thepledgeebecomingadepositary.(n)

Article 2112. The creditor to whom the credit has not been satisfied in due time, may proceed before a Notary
Publictothesaleofthethingpledged.Thissaleshallbemadeatapublicauction,andwithnotificationtothedebtor
andtheownerofthethingpledgedinapropercase,statingtheamountforwhichthepublicsaleistobeheld.Ifat
the first auction the thing is not sold, a second one with the same formalities shall be held and if at the second
auction there is no saleeither,thecreditormayappropriatethethingpledged.In this case he shall be obliged to
giveanacquittanceforhisentireclaim.(1872a)
Article 2113. At the public auction, the pledgor or owner may bid. He shall, moreover, have a better right if he
shouldofferthesametermsasthehighestbidder.

Thepledgeemayalsobid,buthisoffershallnotbevalidifheistheonlybidder.(n)

Article2114.Allbidsatthepublicauctionshalloffertopaythepurchasepriceatonce.Ifanyotherbidisaccepted,
thepledgeeisdeemedtohavebeenreceivedthepurchaseprice,asfarasthepledgororownerisconcerned.(n)

Article2115.Thesaleofthethingpledgedshallextinguishtheprincipalobligation,whetherornottheproceedsof
thesaleareequaltotheamountoftheprincipalobligation,interestandexpensesinapropercase.Ifthepriceof
thesaleismorethansaidamount,thedebtorshallnotbeentitledtotheexcess,unlessitisotherwiseagreed.Ifthe
price of the sale is less, neither shall the creditor be entitled to recover the deficiency, notwithstanding any
stipulationtothecontrary.(n)

Article2116.Afterthepublicauction,thepledgeeshallpromptlyadvisethepledgororowneroftheresultthereof.
(n)

Article2117.Anythirdpersonwhohasanyrightinortothethingpledgedmaysatisfytheprincipalobligationas
soonasthelatterbecomesdueanddemandable.(n)

Article2118.Ifacreditwhichhasbeenpledgedbecomesduebeforeitisredeemed,thepledgeemaycollectand
receivetheamountdue.Heshallapplythesametothepaymentofhisclaim,anddeliverthesurplus,shouldthere
beany,tothepledgor.(n)

Article2119. If two or more things are pledged, the pledgee may choose which he will cause to be sold, unless
thereisastipulationtothecontrary.Hemaydemandthesaleofonlyasmanyofthethingsasarenecessaryforthe
paymentofthedebt.(n)ARTICLE2120.Ifathirdpartysecuresanobligationbypledginghisownmovableproperty
undertheprovisionsofarticle2085heshallhavethesamerightsasaguarantorunderarticles2066to2070,and
articles2077to2081.Heisnotprejudicedbyanywaiverofdefensebytheprincipalobligor.(n)

Article2121.Pledgescreatedbyoperationoflaw,suchasthosereferredtoinarticles546,1731,and1994,are
governedbytheforegoingarticlesonthepossession,careandsaleofthethingaswellasontheterminationofthe
pledge.However,afterpaymentofthedebtandexpenses,theremainderofthepriceofthesaleshallbedelivered
totheobligor.(n)

Article2122.Athingunderapledgebyoperationoflawmaybesoldonlyafterdemandoftheamountforwhichthe
thingisretained.Thepublicauctionshalltakeplacewithinonemonthaftersuchdemand.If,withoutjustgrounds,
thecreditordoesnotcausethepublicsaletobeheldwithinsuchperiod,thedebtormayrequirethereturnofthe
thing.(n)

Article2123.Withregardtopawnshopsandotherestablishments,whichareengagedinmakingloanssecuredby
pledges,thespeciallawsandregulationsconcerningthemshallbeobserved,andsubsidiarily,theprovisionsofthis
Title.(1873a)

CHAPTER3
Mortgage

Article2124.Onlythefollowingpropertymaybetheobjectofacontractofmortgage:

(1)Immovables

(2)Alienablerealrightsinaccordancewiththelaws,imposeduponimmovables.

Nevertheless,movablesmaybetheobjectofachattelmortgage.(1874a)

Article2125.Inadditiontotherequisitesstatedinarticle2085,itisindispensable,inorderthatamortgagemaybe
validlyconstituted,thatthedocumentinwhichitappearsberecordedintheRegistryofProperty.Iftheinstrumentis
notrecorded,themortgageisneverthelessbindingbetweentheparties.

Thepersonsinwhosefavorthelawestablishesamortgagehavenootherrightthantodemandtheexecutionand
therecordingofthedocumentinwhichthemortgageisformalized.(1875a)

Article2126.Themortgagedirectlyandimmediatelysubjectsthepropertyuponwhichitisimposed,whoeverthe
possessormaybe,tothefulfillmentoftheobligationforwhosesecurityitwasconstituted.(1876)
Article2127.Themortgageextendstothenaturalaccessions,totheimprovements,growingfruits,andtherentsor
incomenotyetreceivedwhentheobligationbecomesdue,andtotheamountoftheindemnitygrantedorowingto
the proprietor from the insurers of the property mortgaged, or in virtue of expropriation for public use, with the
declarations,amplificationsandlimitationsestablishedbylaw,whethertheestateremainsinthepossessionofthe
mortgagor,oritpassesintothehandsofathirdperson.(1877)

Article 2128. The mortgage credit may be alienated or assigned to a third person, in whole or in part, with the
formalitiesrequiredbylaw.(1878)

Article2129.Thecreditormayclaimfromathirdpersoninpossessionofthemortgagedproperty,thepaymentof
the part of the credit secured by the property which said third person possesses, in the terms and with the
formalitieswhichthelawestablishes.(1879)

Article2130.Astipulationforbiddingtheownerfromalienatingtheimmovablemortgagedshallbevoid.(n)

Article 2131. The form, extent and consequences of a mortgage, both as to its constitution, modification and
extinguishment, and as to other matters not included in this Chapter, shall be governed by the provisions of the
MortgageLawandoftheLandRegistrationLaw.(1880a)

CHAPTER4
Antichresis

Article2132.Bythecontractofantichresisthecreditoracquirestherighttoreceivethefruitsofanimmovableofhis
debtor,withtheobligationtoapplythemtothepaymentoftheinterest,ifowing,andthereaftertotheprincipalofhis
credit.(1881)

Article2133.Theactualmarketvalueofthefruitsatthetimeoftheapplicationthereoftotheinterestandprincipal
shallbethemeasureofsuchapplication.(n)

Article2134.Theamountoftheprincipalandoftheinterestshallbespecifiedinwritingotherwise,thecontractof
antichresisshallbevoid.(n)

Article2135.Thecreditor,unlessthereisastipulationtothecontrary,isobligedtopaythetaxesandchargesupon
theestate.

Heisalsoboundtobeartheexpensesnecessaryforitspreservationandrepair.

Thesumsspentforthepurposesstatedinthisarticleshallbedeductedfromthefruits.(1882)

Article2136.Thedebtorcannotreacquiretheenjoymentoftheimmovablewithoutfirsthavingtotallypaidwhathe
owesthecreditor.

But the latter, in order to exempt himself from the obligations imposed upon him by the preceding article, may
alwayscompelthedebtortoenteragainupontheenjoymentoftheproperty,exceptwhenthereisastipulationto
thecontrary.(1883)

Article2137.Thecreditordoesnotacquiretheownershipoftherealestatefornonpaymentofthedebtwithinthe
periodagreedupon.

Everystipulationtothecontraryshallbevoid.Butthecreditormaypetitionthecourtforthepaymentofthedebtor
thesaleoftherealproperty.Inthiscase,theRulesofCourtontheforeclosureofmortgagesshallapply.(1884a)

Article2138.Thecontractingpartiesmaystipulatethattheinterestuponthedebtbecompensatedwiththefruitsof
thepropertywhichistheobjectoftheantichresis,providedthatifthevalueofthefruitsshouldexceedtheamountof
interestallowedbythelawsagainstusury,theexcessshallbeappliedtotheprincipal.(1885a)

Article2139.Thelastparagraphofarticle2085,andarticles2089to2091areapplicabletothiscontract.(1886a)

CHAPTER5
ChattelMortgage

Article2140.Byachattelmortgage,personalpropertyisrecordedintheChattelMortgageRegisterasasecurity
fortheperformanceofanobligation.Ifthemovable,insteadofbeingrecorded,isdeliveredtothecreditororathird
person,thecontractisapledgeandnotachattelmortgage.(n)
Article2141.TheprovisionsofthisCodeonpledge,insofarastheyarenotinconflictwiththeChattelMortgage
Lawshallbeapplicabletochattelmortgages.(n)

TITLEXVII
EXTRACONTRACTUALOBLIGATIONS

CHAPTER1
Quasicontracts

Article2142. Certain lawful, voluntary and unilateral acts give rise to the juridical relation of quasicontract to the
endthatnooneshallbeunjustlyenrichedorbenefitedattheexpenseofanother.(n)

Article2143. The provisions for quasicontracts in this Chapter do not exclude other quasicontracts which may
comewithinthepurviewoftheprecedingarticle.(n)

SECTION1
NegotiorumGestio

Article 2144. Whoever voluntarily takes charge of the agency or management of the business or property of
another,withoutanypowerfromthelatter,isobligedtocontinuethesameuntiltheterminationoftheaffairandits
incidents,ortorequirethepersonconcernedtosubstitutehim,iftheownerisinapositiontodoso.Thisjuridical
relationdoesnotariseineitheroftheseinstances:

(1)Whenthepropertyorbusinessisnotneglectedorabandoned

(2)Ifinfactthemanagerhasbeentacitlyauthorizedbytheowner.

In the first case, the provisions of articles 1317, 1403, No. 1, and 1404 regarding unauthorized contracts shall
govern.

Inthesecondcase,therulesonagencyinTitleXofthisBookshallbeapplicable.(1888a)

Article2145.Theofficiousmanagershallperformhisdutieswithallthediligenceofagoodfatherofafamily,and
paythedamageswhichthroughhisfaultornegligencemaybesufferedbytheownerofthepropertyorbusiness
undermanagement.

Thecourtsmay,however,increaseormoderatetheindemnityaccordingtothecircumstancesofeachcase.(1889a)

Article2146.Iftheofficiousmanagerdelegatestoanotherpersonallorsomeofhisduties,heshallbeliableforthe
actsofthedelegate,withoutprejudicetothedirectobligationofthelattertowardtheownerofthebusiness.

The responsibility of two or more officious managers shall be solidary, unless the management was assumed to
savethethingorbusinessfromimminentdanger.(1890a)

Article2147.Theofficiousmanagershallbeliableforanyfortuitousevent:

(1)Ifheundertakesriskyoperationswhichtheownerwasnotaccustomedtoembarkupon

(2)Ifhehaspreferredhisowninteresttothatoftheowner

(3)Ifhefailstoreturnthepropertyorbusinessafterdemandbytheowner

(4)Ifheassumedthemanagementinbadfaith.(1891a)

Article2148.Exceptwhenthemanagementwasassumedtosavepropertyorbusinessfromimminentdanger,the
officiousmanagershallbeliableforfortuitousevents:

(1)Ifheismanifestlyunfittocarryonthemanagement

(2)Ifbyhisinterventionhepreventedamorecompetentpersonfromtakingupthemanagement.(n)

Article2149.Theratificationofthemanagementbytheownerofthebusinessproducestheeffectsofanexpress
agency,evenifthebusinessmaynothavebeensuccessful.(1892a)
Article2150.Althoughtheofficiousmanagementmaynothavebeenexpresslyratified,theownerofthepropertyor
business who enjoys the advantages of the same shall be liable for obligations incurred in his interest, and shall
reimbursetheofficiousmanagerforthenecessaryandusefulexpensesandforthedamageswhichthelattermay
havesufferedintheperformanceofhisduties.

Thesameobligationshallbeincumbentuponhimwhenthemanagementhadforitspurposethepreventionofan
imminentandmanifestloss,althoughnobenefitmayhavebeenderived.(1893)

Article 2151. Even though the owner did not derive any benefit and there has been no imminent and manifest
dangertothepropertyorbusiness,theownerisliableasunderthefirstparagraphoftheprecedingarticle,provided:

(1)Theofficiousmanagerhasactedingoodfaith,and

(2)Thepropertyorbusinessisintact,readytobereturnedtotheowner.(n)

Article2152.Theofficiousmanagerispersonallyliableforcontractswhichhehasenteredintowiththirdpersons,
eventhoughheactedinthenameoftheowner,andthereshallbenorightofactionbetweentheownerandthird
persons.Theseprovisionsshallnotapply:

(1)Iftheownerhasexpresslyortacitlyratifiedthemanagement,or

(2)Whenthecontractreferstothingspertainingtotheownerofthebusiness.(n)

Article2153.Themanagementisextinguished:

(1)Whentheownerrepudiatesitorputsanendthereto

(2)Whentheofficiousmanagerwithdrawsfromthemanagement,subjecttotheprovisionsofarticle2144

(3)Bythedeath,civilinterdiction,insanityorinsolvencyoftheownerortheofficiousmanager.(n)

SECTION2
SolutioIndebiti

Article 2154. If something is received when there is no right to demand it, and it was unduly delivered through
mistake,theobligationtoreturnitarises.(1895)

Article2155.Paymentbyreasonofamistakeintheconstructionorapplicationofadoubtfulordifficultquestionof
lawmaycomewithinthescopeoftheprecedingarticle.(n)

Article2156.Ifthepayerwasindoubtwhetherthedebtwasdue,hemayrecoverifheprovesthatitwasnotdue.
(n)

Article 2157. The responsibility of two or more payees, when there has been payment of what is not due, is
solidary.(n)

Article2158.Whenthepropertydeliveredormoneypaidbelongstoathirdperson,thepayeeshallcomplywiththe
provisionsofarticle1984.(n)

Article 2159. Whoever in bad faith accepts an undue payment, shall pay legal interest if a sum of money is
involved,orshallbeliableforfruitsreceivedorwhichshouldhavebeenreceivedifthethingproducesfruits.

Heshallfurthermorebeanswerableforanylossorimpairmentofthethingfromanycause,andfordamagestothe
personwhodeliveredthething,untilitisrecovered.(1896a)

Article 2160. He who in good faith accepts an undue payment of a thing certain and determinate shall only be
responsiblefortheimpairmentorlossofthesameoritsaccessoriesandaccessionsinsofarashehastherebybeen
benefited.Ifhehasalienatedit,heshallreturnthepriceorassigntheactiontocollectthesum.(1897)

Article2161.Asregardsthereimbursementforimprovementsandexpensesincurredbyhimwhoundulyreceived
thething,theprovisionsofTitleVofBookIIshallgovern.(1898)

Article2162.Heshallbeexemptfromtheobligationtorestorewho,believingingoodfaiththatthepaymentwas
beingmadeofalegitimateandsubsistingclaim,destroyedthedocument,orallowedtheactiontoprescribe,orgave
up the pledges, or cancelled the guaranties for his right. He who paid unduly may proceed only against the true
debtorortheguarantorswithregardtowhomtheactionisstilleffective.(1899)
Article2163.Itispresumedthattherewasamistakeinthepaymentifsomethingwhichhadneverbeendueorhad
alreadybeenpaidwasdeliveredbuthefromwhomthereturnisclaimedmayprovethatthedeliverywasmadeout
ofliberalityorforanyotherjustcause.(1901)

SECTION3
OtherQuasiContracts*

Article2164.When,withouttheknowledgeofthepersonobligedtogivesupport,itisgivenbyastranger,thelatter
shall have a right to claim the same from the former, unless it appears that he gave it out of piety and without
intentionofbeingrepaid.(1894a)

Article2165. When funeral expenses are borne by a third person, without the knowledge of those relatives who
wereobligedtogivesupporttothedeceased,saidrelativesshallreimbursethethirdperson,shouldthelatterclaim
reimbursement.(1894a)

Article2166.Whenthepersonobligedtosupportanorphan,oraninsaneorotherindigentpersonunjustlyrefuses
togivesupporttothelatter,anythirdpersonmayfurnishsupporttotheneedyindividual,withrightofreimbursement
from the person obliged to give support. The provisions of this article apply when the father or mother of a child
undereighteenyearsofageunjustlyrefusestosupporthim.

Article 2167. When through an accident or other cause a person is injured or becomes seriously ill, and he is
treatedorhelpedwhileheisnotinaconditiontogiveconsenttoacontract,heshallbeliabletopayfortheservices
consent
ofthephysicianorotherpersonaidinghim,unlesstheservicehasbeenrenderedoutofpuregenerosity.

Article 2168. When during a fire, flood, storm, or other calamity, property is saved from destruction by another
personwithouttheknowledgeoftheowner,thelatterisboundtopaytheformerjustcompensation.

Article 2169. When the government, upon the failure of any person to comply with health or safety regulations
concerning property, undertakes to do the necessary work, even over his objection, he shall be liable to pay the
expenses.

Article2170.Whenbyaccidentorotherfortuitousevent,movablesseparatelypertainingtotwoormorepersons
arecommingledorconfused,therulesoncoownershipshallbeapplicable.

Article2171.Therightsandobligationsofthefinderoflostpersonalpropertyshallbegovernedbyarticles719and
720.

Article2172. The right of every possessor in good faith to reimbursement for necessary and useful expenses is
governedbyarticle546.

Article2173.Whenathirdperson,withouttheknowledgeofthedebtor,paysthedebt,therightsoftheformerare
governedbyarticles1236and1237.

Article2174.Wheninasmallcommunityamajorityoftheinhabitantsofagedecideuponameasureforprotection
againstlawlessness,fire,flood,stormorothercalamity,anyonewhoobjectstotheplanandrefusestocontributeto
theexpensesbutisbenefitedbytheprojectasexecutedshallbeliabletopayhisshareofsaidexpenses.

Article2175.Anypersonwhoisconstrainedtopaythetaxesofanothershallbeentitledtoreimbursementfromthe
latter.

CHAPTER2
Quasidelicts

Article2176.Whoeverbyactoromissioncausesdamagetoanother,therebeingfaultornegligence,isobligedto
pay for the damage done. Such fault or negligence, if there is no preexisting contractual relation between the
parties,iscalledaquasidelictandisgovernedbytheprovisionsofthisChapter.(1902a)

Article2177.Responsibilityforfaultornegligenceundertheprecedingarticleisentirelyseparateanddistinctfrom
thecivilliabilityarisingfromnegligenceunderthePenalCode.Buttheplaintiffcannotrecoverdamagestwiceforthe
sameactoromissionofthedefendant.(n)

Article2178.Theprovisionsofarticles1172to1174arealsoapplicabletoaquasidelict.(n)
Article2179.Whentheplaintiff'sownnegligencewastheimmediateandproximatecauseofhisinjury,hecannot
recoverdamages.Butifhisnegligencewasonlycontributory,theimmediateandproximatecauseoftheinjurybeing
thedefendant'slackofduecare,theplaintiffmayrecoverdamages,butthecourtsshallmitigatethedamagestobe
awarded.(n)

Article2180.Theobligationimposedbyarticle2176isdemandablenotonlyforone'sownactsoromissions,but
alsoforthoseofpersonsforwhomoneisresponsible.

Thefatherand,incaseofhisdeathorincapacity,themother,areresponsibleforthedamagescausedbytheminor
childrenwholiveintheircompany.

Guardiansareliablefordamagescausedbytheminorsorincapacitatedpersonswhoareundertheirauthorityand
liveintheircompany.

Theownersandmanagersofanestablishmentorenterprisearelikewiseresponsiblefordamagescausedbytheir
employeesintheserviceofthebranchesinwhichthelatterareemployedorontheoccasionoftheirfunctions.

Employers shall be liable for the damages caused by their employees and household helpers acting within the
scopeoftheirassignedtasks,eventhoughtheformerarenotengagedinanybusinessorindustry.

TheStateisresponsibleinlikemannerwhenitactsthroughaspecialagentbutnotwhenthedamagehasbeen
causedbytheofficialtowhomthetaskdoneproperlypertains,inwhichcasewhatisprovidedinarticle2176shall
beapplicable.

Lastly,teachersorheadsofestablishmentsofartsandtradesshallbeliablefordamagescausedbytheirpupilsand
studentsorapprentices,solongastheyremainintheircustody.

Theresponsibilitytreatedofinthisarticleshallceasewhenthepersonshereinmentionedprovethattheyobserved
allthediligenceofagoodfatherofafamilytopreventdamage.(1903a)

Article2181.Whoeverpaysforthedamagecausedbyhisdependentsoremployeesmayrecoverfromthelatter
whathehaspaidordeliveredinsatisfactionoftheclaim.(1904)

Article2182.Iftheminororinsanepersoncausingdamagehasnoparentsorguardian,theminororinsaneperson
shallbeanswerablewithhisownpropertyinanactionagainsthimwhereaguardianadlitemshallbeappointed.(n)

Article2183. The possessor of an animal or whoever may make use of the same is responsible for the damage
which it may cause, although it may escape or be lost. This responsibility shall cease only in case the damage
shouldcomefromforcemajeureorfromthefaultofthepersonwhohassuffereddamage.(1905)

Article2184. In motor vehicle mishaps, the owner is solidarily liable with his driver, if the former, who was in the
vehicle,couldhave,bytheuseoftheduediligence,preventedthemisfortune.Itisdisputablypresumedthatadriver
wasnegligent,ifhehadbeenfoundguiltyofrecklessdrivingorviolatingtrafficregulationsatleasttwicewithinthe
nextprecedingtwomonths.

Iftheownerwasnotinthemotorvehicle,theprovisionsofarticle2180areapplicable.(n)

Article2185.Unlessthereisprooftothecontrary,itispresumedthatapersondrivingamotorvehiclehasbeen
negligentifatthetimeofthemishap,hewasviolatinganytrafficregulation.(n)

Article2186. Every owner of a motor vehicle shall file with the proper government office a bond executed by a
governmentcontrolledcorporationoroffice,toanswerfordamagestothirdpersons.Theamountofthebondand
othertermsshallbefixedbythecompetentpublicofficial.(n)

Article2187.Manufacturersandprocessorsoffoodstuffs,drinks,toiletarticlesandsimilargoodsshallbeliablefor
death or injuries caused by any noxious or harmful substances used, although no contractual relation exists
betweenthemandtheconsumers.(n)

Article 2188. There is prima facie presumption of negligence on the part of the defendant if the death or injury
resultsfromhispossessionofdangerousweaponsorsubstances,suchasfirearmsandpoison,exceptwhenthe
possessionorusethereofisindispensableinhisoccupationorbusiness.(n)

Article2189.Provinces,citiesandmunicipalitiesshallbeliablefordamagesforthedeathof,orinjuriessufferedby,
anypersonbyreasonofthedefectiveconditionofroads,streets,bridges,publicbuildings,andotherpublicworks
undertheircontrolorsupervision.(n)

Article2190.Theproprietorofabuildingorstructureisresponsibleforthedamagesresultingfromitstotalorpartial
collapse,ifitshouldbeduetothelackofnecessaryrepairs.(1907)
Article2191.Proprietorsshallalsoberesponsiblefordamagescaused:

(1)Bytheexplosionofmachinerywhichhasnotbeentakencareofwithduediligence,andtheinflammation
ofexplosivesubstanceswhichhavenotbeenkeptinasafeandadequateplace

(2)Byexcessivesmoke,whichmaybeharmfultopersonsorproperty

(3)Bythefallingoftreessituatedatornearhighwaysorlanes,ifnotcausedbyforcemajeure

(4) By emanations from tubes, canals, sewers or deposits of infectious matter, constructed without
precautionssuitabletotheplace.(1908)

Article 2192. If damage referred to in the two preceding articles should be the result of any defect in the
constructionmentionedinarticle1723,thethirdpersonsufferingdamagesmayproceedonlyagainsttheengineer
orarchitectorcontractorinaccordancewithsaidarticle,withintheperiodthereinfixed.(1909)

Article2193.Theheadofafamilythatlivesinabuildingorapartthereof,isresponsiblefordamagescausedby
thingsthrownorfallingfromthesame.(1910)

Article2194.Theresponsibilityoftwoormorepersonswhoareliableforquasidelictissolidary.(n)

TITLEXVIII
DAMAGES1

CHAPTER1
GeneralProvisions

Article2195.TheprovisionsofthisTitleshallberespectivelyapplicabletoallobligationsmentionedinarticle1157.

Article 2196. The rules under this Title are without prejudice to special provisions on damages formulated
elsewhere in this Code. Compensation for workmen and other employees in case of death, injury or illness is
regulatedbyspeciallaws.Rulesgoverningdamageslaiddowninotherlawsshallbeobservedinsofarastheyare
notinconflictwiththisCode.

Article2197.Damagesmaybe:

(1)Actualorcompensatory

(2)Moral

(3)Nominal

(4)Temperateormoderate

(5)Liquidatedor

(6)Exemplaryorcorrective.

Article2198.Theprinciplesofthegenerallawondamagesareherebyadoptedinsofarastheyarenotinconsistent
withthisCode.

CHAPTER2
ActualorCompensatoryDamages

Article2199.Exceptasprovidedbylaworbystipulation,oneisentitledtoanadequatecompensationonlyforsuch
pecuniarylosssufferedbyhimashehasdulyproved.Suchcompensationisreferredtoasactualorcompensatory
damages.

Article2200.Indemnificationfordamagesshallcomprehendnotonlythevalueofthelosssuffered,butalsothatof
theprofitswhichtheobligeefailedtoobtain.(1106)

Article2201.Incontractsandquasicontracts,thedamagesforwhichtheobligorwhoactedingoodfaithisliable
shallbethosethatarethenaturalandprobableconsequencesofthebreachoftheobligation,andwhichtheparties
haveforeseenorcouldhavereasonablyforeseenatthetimetheobligationwasconstituted.

Incaseoffraud,badfaith,maliceorwantonattitude,theobligorshallberesponsibleforalldamageswhichmaybe
reasonablyattributedtothenonperformanceoftheobligation.(1107a)

Article2202. In crimes and quasidelicts, the defendant shall be liable for all damages which are the natural and
probable consequences of the act or omission complained of. It is not necessary that such damages have been
foreseenorcouldhavereasonablybeenforeseenbythedefendant.

Article2203.Thepartysufferinglossorinjurymustexercisethediligenceofagoodfatherofafamilytominimize
thedamagesresultingfromtheactoromissioninquestion.

Article2204.Incrimes,thedamagestobeadjudicatedmayberespectivelyincreasedorlessenedaccordingtothe
aggravatingormitigatingcircumstances.

Article2205.Damagesmayberecovered:

(1)Forlossorimpairmentofearningcapacityincasesoftemporaryorpermanentpersonalinjury

(2)Forinjurytotheplaintiff'sbusinessstandingorcommercialcredit.

Article2206.Theamountofdamagesfordeathcausedbyacrimeorquasidelictshallbeatleastthreethousand
pesos,eventhoughtheremayhavebeenmitigatingcircumstances.Inaddition:

(1)Thedefendantshallbeliableforthelossoftheearningcapacityofthedeceased,andtheindemnityshall
bepaidtotheheirsofthelattersuchindemnityshallineverycasebeassessedandawardedbythecourt,
unless the deceased on account of permanent physical disability not caused by the defendant, had no
earningcapacityatthetimeofhisdeath

(2)Ifthedeceasedwasobligedtogivesupportaccordingtotheprovisionsofarticle291,therecipientwhois
not an heir called to the decedent's inheritance by the law of testate or intestate succession, may demand
support from the person causing the death, for a period not exceeding five years, the exact duration to be
fixedbythecourt

(3)Thespouse,legitimateandillegitimatedescendantsandascendantsofthedeceasedmaydemandmoral
damagesformentalanguishbyreasonofthedeathofthedeceased.

Article2207.Iftheplaintiff'spropertyhasbeeninsured,andhehasreceivedindemnityfromtheinsurancecompany
fortheinjuryorlossarisingoutofthewrongorbreachofcontractcomplainedof,theinsurancecompanyshallbe
subrogated to the rights of the insured against the wrongdoer or the person who has violated the contract. If the
amountpaidbytheinsurancecompanydoesnotfullycovertheinjuryorloss,theaggrievedpartyshallbeentitledto
recoverthedeficiencyfromthepersoncausingthelossorinjury.

Article 2208. In the absence of stipulation, attorney's fees and expenses of litigation, other than judicial costs,
cannotberecovered,except:

(1)Whenexemplarydamagesareawarded

(2)Whenthedefendant'sactoromissionhascompelledtheplaintifftolitigatewiththirdpersonsortoincur
expensestoprotecthisinterest

(3)Incriminalcasesofmaliciousprosecutionagainsttheplaintiff

(4)Incaseofaclearlyunfoundedcivilactionorproceedingagainsttheplaintiff

(5)Wherethedefendantactedingrossandevidentbadfaithinrefusingtosatisfytheplaintiff'splainlyvalid,
justanddemandableclaim

(6)Inactionsforlegalsupport

(7)Inactionsfortherecoveryofwagesofhouseholdhelpers,laborersandskilledworkers

(8)Inactionsforindemnityunderworkmen'scompensationandemployer'sliabilitylaws

(9)Inaseparatecivilactiontorecovercivilliabilityarisingfromacrime

(10)Whenatleastdoublejudicialcostsareawarded
 (11) In any other case where the court deems it just and equitable that attorney's fees and expenses of
litigationshouldberecovered.

Inallcases,theattorney'sfeesandexpensesoflitigationmustbereasonable.

Article 2209. If the obligation consists in the payment of a sum of money, and the debtor incurs in delay, the
indemnityfordamages,therebeingnostipulationtothecontrary,shallbethepaymentoftheinterestagreedupon,
andintheabsenceofstipulation,thelegalinterest,whichissixpercentperannum.(1108)

Article2210.Interestmay,inthediscretionofthecourt,beallowedupondamagesawardedforbreachofcontract.

Article2211.Incrimesandquasidelicts,interestasapartofthedamagesmay,inapropercase,beadjudicatedin
thediscretionofthecourt.

Article2212. Interest due shall earn legal interest from the time it is judicially demanded, although the obligation
maybesilentuponthispoint.(1109a)

Article2213.Interestcannotberecovereduponunliquidatedclaimsordamages,exceptwhenthedemandcanbe
establishedwithreasonablecertainty.

Article 2214. In quasidelicts, the contributory negligence of the plaintiff shall reduce the damages that he may
recover.

Article2215.Incontracts,quasicontracts,andquasidelicts,thecourtmayequitablymitigatethedamagesunder
circumstancesotherthanthecasereferredtointheprecedingarticle,asinthefollowinginstances:

(1)Thattheplaintiffhimselfhascontravenedthetermsofthecontract

(2)Thattheplaintiffhasderivedsomebenefitasaresultofthecontract

(3) In cases where exemplary damages are to be awarded, that the defendant acted upon the advice of
counsel

(4)Thatthelosswouldhaveresultedinanyevent

(5)Thatsincethefilingoftheaction,thedefendanthasdonehisbesttolessentheplaintiff'slossorinjury.

CHAPTER3
OtherKindsofDamages

Article 2216. No proof of pecuniary loss is necessary in order that moral, nominal, temperate, liquidated or
exemplarydamages,maybeadjudicated.Theassessmentofsuchdamages,exceptliquidatedones,islefttothe
discretionofthecourt,accordingtothecircumstancesofeachcase.

SECTION1
MoralDamages

Article 2217. Moral damages include physical suffering, mental anguish, fright, serious anxiety, besmirched
reputation, wounded feelings, moral shock, social humiliation, and similar injury. Though incapable of pecuniary
computation,moraldamagesmayberecoverediftheyaretheproximateresultofthedefendant'swrongfulactfor
omission.

Article 2218. In the adjudication of moral damages, the sentimental value of property, real or personal, may be
considered.

Article2219.Moraldamagesmayberecoveredinthefollowingandanalogouscases:

(1)Acriminaloffenseresultinginphysicalinjuries

(2)Quasidelictscausingphysicalinjuries

(3)Seduction,abduction,rape,orotherlasciviousacts

(4)Adulteryorconcubinage
 (5)Illegalorarbitrarydetentionorarrest

(6)Illegalsearch

(7)Libel,slanderoranyotherformofdefamation

(8)Maliciousprosecution

(9)Actsmentionedinarticle309

(10)Actsandactionsreferredtoinarticles21,26,27,28,29,30,32,34,and35.

Theparentsofthefemaleseduced,abducted,raped,orabused,referredtoinNo.3ofthisarticle,mayalsorecover
moraldamages.

The spouse, descendants, ascendants, and brothers and sisters may bring the action mentioned in No. 9 of this
article,intheordernamed.

Article2220.Willfulinjurytopropertymaybealegalgroundforawardingmoraldamagesifthecourtshouldfind
that,underthecircumstances,suchdamagesarejustlydue.Thesameruleappliestobreachesofcontractwhere
thedefendantactedfraudulentlyorinbadfaith.

SECTION2
NominalDamages

Article 2221. Nominal damages are adjudicated in order that a right of the plaintiff, which has been violated or
invadedbythedefendant,maybevindicatedorrecognized,andnotforthepurposeofindemnifyingtheplaintifffor
anylosssufferedbyhim.

Article2222. The court may award nominal damages in every obligation arising from any source enumerated in
article1157,orineverycasewhereanypropertyrighthasbeeninvaded.

Article2223. The adjudication of nominal damages shall preclude further contest upon the right involved and all
accessoryquestions,asbetweenthepartiestothesuit,ortheirrespectiveheirsandassigns.

SECTION3
TemperateorModerateDamages

Article 2224. Temperate or moderate damages, which are more than nominal but less than compensatory
damages,mayberecoveredwhenthecourtfindsthatsomepecuniarylosshasbeensufferedbutitsamountcan
not,fromthenatureofthecase,beprovidedwithcertainty.

Article2225.Temperatedamagesmustbereasonableunderthecircumstances.

SECTION4
LiquidatedDamages

Article2226.Liquidateddamagesarethoseagreeduponbythepartiestoacontract,tobepaidincaseofbreach
thereof.

Article2227.Liquidateddamages,whetherintendedasanindemnityorapenalty,shallbeequitablyreducedifthey
areiniquitousorunconscionable.

Article 2228. When the breach of the contract committed by the defendant is not the one contemplated by the
parties in agreeing upon the liquidated damages, the law shall determine the measure of damages, and not the
stipulation.

SECTION5
ExemplaryorCorrectiveDamages
Article2229.Exemplaryorcorrectivedamagesareimposed,bywayofexampleorcorrectionforthepublicgood,in
additiontothemoral,temperate,liquidatedorcompensatorydamages.

Article2230.Incriminaloffenses,exemplarydamagesasapartofthecivilliabilitymaybeimposedwhenthecrime
was committed with one or more aggravating circumstances. Such damages are separate and distinct from fines
andshallbepaidtotheoffendedparty.

Article2231.Inquasidelicts,exemplarydamagesmaybegrantedifthedefendantactedwithgrossnegligence.

Article2232.Incontractsandquasicontracts,thecourtmayawardexemplarydamagesifthedefendantactedina
wanton,fraudulent,reckless,oppressive,ormalevolentmanner.

Article2233. Exemplary damages cannot be recovered as a matter of right the court will decide whether or not
theyshouldbeadjudicated.

Article2234.Whiletheamountoftheexemplarydamagesneednotbeproved,theplaintiffmustshowthatheis
entitledtomoral,temperateorcompensatorydamagesbeforethecourtmayconsiderthequestionofwhetherornot
exemplarydamagesshouldbeawarded.Incaseliquidateddamageshavebeenagreedupon,althoughnoproofof
loss is necessary in order that such liquidated damages may be recovered, nevertheless, before the court may
considerthequestionofgrantingexemplaryinadditiontotheliquidateddamages,theplaintiffmustshowthathe
would be entitled to moral, temperate or compensatory damages were it not for the stipulation for liquidated
damages.

Article2235.Astipulationwherebyexemplarydamagesarerenouncedinadvanceshallbenullandvoid.

TITLEXII
CONCURRENCEANDPREFERENCEOFCREDITS

CHAPTER1
GeneralProvisions

Article2236.Thedebtorisliablewithallhisproperty,presentandfuture,forthefulfillmentofhisobligations,subject
totheexemptionsprovidedbylaw.(1911a)

Article2237.InsolvencyshallbegovernedbyspeciallawsinsofarastheyarenotinconsistentwiththisCode.(n)

Article2238.Solongastheconjugalpartnershiporabsolutecommunitysubsists,itspropertyshallnotbeamong
theassetstobetakenpossessionofbytheassigneeforthepaymentoftheinsolventdebtor'sobligations,except
insofar as the latter have redounded to the benefit of the family. If it is the husband who is insolvent, the
administrationoftheconjugalpartnershiporabsolutecommunitymay,byorderofthecourt,betransferredtothe
wifeortoathirdpersonotherthantheassignee.(n)

Article2239.Ifthereisproperty,otherthanthatmentionedintheprecedingarticle,ownedbytwoormorepersons,
oneofwhomistheinsolventdebtor,hisundividedshareorinterestthereinshallbeamongtheassetstobetaken
possessionofbytheassigneeforthepaymentoftheinsolventdebtor'sobligations.(n)

Article2240. Property held by the insolvent debtor as a trustee of an express or implied trust, shall be excluded
fromtheinsolvencyproceedings.(n)

CHAPTER2
ClassificationofCredits

Article 2241. With reference to specific movable property of the debtor, the following claims or liens shall be
preferred:

(1)Duties,taxesandfeesduethereontotheStateoranysubdivisionthereof

(2)Claimsarisingfrommisappropriation,breachoftrust,ormalfeasancebypublicofficialscommittedinthe
performanceoftheirduties,onthemovables,moneyorsecuritiesobtainedbythem

(3)Claimsfortheunpaidpriceofmovablessold,onsaidmovables,solongastheyareinthepossessionof
thedebtor,uptothevalueofthesameandifthemovablehasbeenresoldbythedebtorandthepriceisstill
 unpaid, the lien may be enforced on the price this right is not lost by the immobilization of the thing by
destination,providedithasnotlostitsform,substanceandidentityneitheristherightlostbythesaleofthe
thingtogetherwithotherpropertyforalumpsum,whenthepricethereofcanbedeterminedproportionally

(4)Creditsguaranteedwithapledgesolongasthethingspledgedareinthehandsofthecreditor,orthose
guaranteedbyachattelmortgage,uponthethingspledgedormortgaged,uptothevaluethereof

(5) Credits for the making, repair, safekeeping or preservation of personal property, on the movable thus
made,repaired,keptorpossessed

(6)Claimsforlaborers'wages,onthegoodsmanufacturedortheworkdone

(7)Forexpensesofsalvage,uponthegoodssalvaged

(8)Creditsbetweenthelandlordandthetenant,arisingfromthecontractoftenancyonshares,ontheshare
ofeachinthefruitsorharvest

(9)Creditsfortransportation,uponthegoodscarried,forthepriceofthecontractandincidentalexpenses,
untiltheirdeliveryandforthirtydaysthereafter

(10) Credits for lodging and supplies usually furnished to travellers by hotel keepers, on the movables
belongingtotheguestaslongassuchmovablesareinthehotel,butnotformoneyloanedtotheguests

(11) Credits for seeds and expenses for cultivation and harvest advanced to the debtor, upon the fruits
harvested

(12)Creditsforrentforoneyear,uponthepersonalpropertyofthelesseeexistingontheimmovableleased
andonthefruitsofthesame,butnotonmoneyorinstrumentsofcredit

(13)Claimsinfavorofthedepositorifthedepositaryhaswrongfullysoldthethingdeposited,upontheprice
ofthesale.

In the foregoing cases, if the movables to which the lien or preference attaches have been wrongfully taken, the
creditormaydemandthemfromanypossessor,withinthirtydaysfromtheunlawfulseizure.(1922a)

Article 2242. With reference to specific immovable property and real rights of the debtor, the following claims,
mortgagesandliensshallbepreferred,andshallconstituteanencumbranceontheimmovableorrealright:

(1)Taxesdueuponthelandorbuilding

(2)Fortheunpaidpriceofrealpropertysold,upontheimmovablesold

(3) Claims of laborers, masons, mechanics and other workmen, as well as of architects, engineers and
contractors, engaged in the construction, reconstruction or repair of buildings, canals or other works, upon
saidbuildings,canalsorotherworks

(4)Claimsoffurnishersofmaterialsusedintheconstruction,reconstruction,orrepairofbuildings,canalsor
otherworks,uponsaidbuildings,canalsorotherworks

(5)MortgagecreditsrecordedintheRegistryofProperty,upontherealestatemortgaged

(6)Expensesforthepreservationorimprovementofrealpropertywhenthelawauthorizesreimbursement,
upontheimmovablepreservedorimproved

(7)CreditsannotatedintheRegistryofProperty,invirtueofajudicialorder,byattachmentsorexecutions,
uponthepropertyaffected,andonlyastolatercredits

(8)Claimsofcoheirsforwarrantyinthepartitionofanimmovableamongthem,upontherealpropertythus
divided

(9)Claimsofdonorsorrealpropertyforpecuniarychargesorotherconditionsimposeduponthedonee,upon
theimmovabledonated

(10)Creditsofinsurers,uponthepropertyinsured,fortheinsurancepremiumfortwoyears.(1923a)

Article2243.Theclaimsorcreditsenumeratedinthetwoprecedingarticlesshallbeconsideredasmortgagesor
pledges of real or personal property, or liens within the purview of legal provisions governing insolvency. Taxes
mentionedinNo.1,article2241,andNo.1,article2242,shallfirstbesatisfied.(n)
Article2244.Withreferencetootherproperty,realandpersonal,ofthedebtor,thefollowingclaimsorcreditsshall
bepreferredintheordernamed:

(1) Proper funeral expenses for the debtor, or children under his or her parental authority who have no
propertyoftheirown,whenapprovedbythecourt

(2) Credits for services rendered the insolvent by employees, laborers, or household helpers for one year
precedingthecommencementoftheproceedingsininsolvency

(3)Expensesduringthelastillnessofthedebtororofhisorherspouseandchildrenunderhisorherparental
authority,iftheyhavenopropertyoftheirown

(4) Compensation due the laborers or their dependents under laws providing for indemnity for damages in
casesoflaboraccident,orillnessresultingfromthenatureoftheemployment

(5)Creditsandadvancementsmadetothedebtorforsupportofhimselforherself,andfamily,duringthelast
yearprecedingtheinsolvency

(6)Supportduringtheinsolvencyproceedings,andforthreemonthsthereafter

(7)Finesandcivilindemnificationarisingfromacriminaloffense

(8) Legal expenses, and expenses incurred in the administration of the insolvent's estate for the common
interestofthecreditors,whenproperlyauthorizedandapprovedbythecourt

(9)Taxesandassessmentsduethenationalgovernment,otherthanthosementionedinarticles2241,No.1,
and2242,No.1

(10)Taxesandassessmentsdueanyprovince,otherthanthosereferredtoinarticles2241,No.1,and2242,
No.1

(11)Taxesandassessmentsdueanycityormunicipality,otherthanthoseindicatedinarticles2241,No.1,
and2242,No.1

(12)Damagesfordeathorpersonalinjuriescausedbyaquasidelict

(13)Giftsduetopublicandprivateinstitutionsofcharityorbeneficence

(14) Credits which, without special privilege, appear in (a) a public instrument or (b) in a final judgment, if
theyhavebeenthesubjectoflitigation.Thesecreditsshallhavepreferenceamongthemselvesintheorderof
priorityofthedatesoftheinstrumentsandofthejudgments,respectively.(1924a)

Article2245. Credits of any other kind or class, or by any other right or title not comprised in the four preceding
articles,shallenjoynopreference.(1925)

CHAPTER3
OrderofPreferenceofCredits

Article 2246. Those credits which enjoy preference with respect to specific movables, exclude all others to the
extentofthevalueofthepersonalpropertytowhichthepreferencerefers.

Article 2247. If there are two or more credits with respect to the same specific movable property, they shall be
satisfiedprorata,afterthepaymentofduties,taxesandfeesduetheStateoranysubdivisionthereof.(1926a)

Article2248. Those credits which enjoy preference in relation to specific real property or real rights, exclude all
otherstotheextentofthevalueoftheimmovableorrealrighttowhichthepreferencerefers.

Article2249.Iftherearetwoormorecreditswithrespecttothesamespecificrealpropertyorrealrights,theyshall
be satisfied pro rata, after the payment of the taxes and assessments upon the immovable property or real right.
(1927a)

Article2250. The excess, if any, after the payment of the credits which enjoy preference with respect to specific
property, real or personal,shallbeaddedtothefreepropertywhichthedebtormay have, for the payment of the
othercredits.(1928a)

Article2251. Those credits which do not enjoy any preference with respect to specific property, and those which
enjoypreference,astotheamountnotpaid,shallbesatisfiedaccordingtothefollowingrules:
 (1)Intheorderestablishedinarticle2244

(2)Commoncreditsreferredtoinarticle2245shallbepaidprorataregardlessofdates.(1929a)

TRANSITIONALPROVISIONS

Article2252.ChangesmadeandnewprovisionsandruleslaiddownbythisCodewhichmayprejudiceorimpair
vestedoracquiredrightsinaccordancewiththeoldlegislationshallhavenoretroactiveeffect.

ForthedeterminationoftheapplicablelawincaseswhicharenotspecifiedelsewhereinthisCode,thefollowing
articlesshallbeobserved:(Pars.1and2,TransitionalProvisions).

Article2253.TheCivilCodeof1889andotherpreviouslawsshallgovernrightsoriginating,undersaidlaws,from
actsdoneoreventswhichtookplaceundertheirregime,eventhoughthisCodemayregulatetheminadifferent
manner, or may not recognize them. But if a right should be declared for the first time in this Code, it shall be
effectiveatonce,eventhoughtheactoreventwhichgivesrisetheretomayhavebeendoneormayhaveoccurred
underpriorlegislation,providedsaidnewrightdoesnotprejudiceorimpairanyvestedoracquiredright,ofthesame
origin.(Rule1)

Article 2254. No vested or acquired right can arise from acts or omissions which are against the law or which
infringeupontherightsofothers.(n)

Article2255.Theformerlawsshallregulateactsandcontractswithaconditionorperiod,whichwereexecutedor
enteredintobeforetheeffectivityofthisCode,eventhoughtheconditionorperiodmaystillbependingatthetime
thisbodyoflawsgoesintoeffect.(n)

Article2256.Actsandcontractsundertheregimeoftheoldlaws,iftheyarevalidinaccordancetherewith,shall
continue to be fully operative as provided in the same, with the limitations established in these rules. But the
revocation or modification of these acts and contracts after the beginning of the effectivity of this Code, shall be
subjecttotheprovisionsofthisnewbodyoflaws.(Rule2a)

Article2257. Provisions of this Code which attach a civil sanction or penalty or a deprivation of rights to acts or
omissionswhichwerenotpenalizedbytheformerlaws,arenotapplicabletothosewho,whensaidlawswerein
force,mayhaveexecutedtheactorincurredintheomissionforbiddenorcondemnedbythisCode.

Ifthefaultisalsopunishedbythepreviouslegislation,thelessseveresanctionshallbeapplied.

IfacontinuousorrepeatedactoromissionwascommencedbeforethebeginningoftheeffectivityofthisCode,and
thesamesubsistsorismaintainedorrepeatedafterthisbodyoflawshasbecomeoperative,thesanctionorpenalty
prescribed in this Code shall be applied, even though the previous laws may not have provided any sanction or
penaltytherefor.(Rule3a)

Article2258.ActionsandrightswhichcameintobeingbutwerenotexercisedbeforetheeffectivityofthisCode,
shall remain in full force in conformity with the old legislation but their exercise, duration and the procedure to
enforcethemshallberegulatedbythisCodeandbytheRulesofCourt.Iftheexerciseoftherightoroftheaction
was commenced under the old laws, but is pending on the date this Code takes effect, and the procedure was
differentfromthatestablishedinthisnewbodyoflaws,thepartiesconcernedmaychoosewhichmethodorcourse
topursue.(Rule4)

Article2259.ThecapacityofamarriedwomantoexecuteactsandcontractsisgovernedbythisCode,evenifher
marriagewascelebratedundertheformerlaws.(n)

Article2260.ThevoluntaryrecognitionofanaturalchildshalltakeplaceaccordingtothisCode,evenifthechild
wasbornbeforetheeffectivityofthisbodyoflaws.(n)

Article2261. The exemption prescribed in article 302 shall also be applicable to any support, pension or gratuity
alreadyexistingorgrantedbeforethisCodebecomeseffective.(n)

Article2262.Guardiansofthepropertyofminors,appointedbythecourtsbeforethisCodegoesintoeffect,shall
continuetoactassuch,notwithstandingtheprovisionsofarticle320.(n)

Article2263.Rightstotheinheritanceofapersonwhodied,withorwithoutawill,beforetheeffectivityofthisCode,
shallbegovernedbytheCivilCodeof1889,byotherpreviouslaws,andbytheRulesofCourt.Theinheritanceof
those who, with or without a will, die after the beginning of the effectivity of this Code, shall be adjudicated and
distributedinaccordancewiththisnewbodyoflawsandbytheRulesofCourtbutthetestamentaryprovisionsshall
be carried out insofar as they may be permitted by this Code. Therefore, legitimes, betterments, legacies and
bequestsshallberespectedhowever,theiramountshallbereducedifinnoothermannercaneverycompulsory
heirbegivenhisfullshareaccordingtothisCode.(Rule12a)

Article2264.Thestatusandrightsofnaturalchildrenbylegalfictionreferredtoinarticle89andillegitimatechildren
mentionedinarticle287,shallalsobeacquiredbychildrenbornbeforetheeffectivityofthisCode.(n)

Article2265.TherightofretentionofrealorpersonalpropertyarisingafterthisCodebecomeseffective,includes
thosethingswhichcameintothecreditor'spossessionbeforesaiddate.(n)

Article2266.Thefollowingshallhavenotonlyprospectivebutalsoretroactiveeffect:

(1)Article315,wherebyadescendantcannotbecompelled,inacriminalcase,totestifyagainsthisparents
andascendants

(2)Articles101and88,providingagainstcollusionincasesoflegalseparationandannulmentofmarriage

(3)Articles283,284,and289,concerningtheproofofillegitimatefiliation

(4)Article838,authorizingtheprobateofawillonpetitionofthetestatorhimself

(5)Articles1359to1369,relativetothereformationofinstruments

(6)Articles476to481,regulatingactionstoquiettitle

(7)Articles2029to2031,whicharedesignedtopromotecompromises.(n)

Article2267.Thefollowingprovisionsshallapplynotonlytofuturecasesbutalsotothosependingonthedatethis
Codebecomeseffective:

(1)Article29,Relativetocriminalprosecutionswhereintheaccusedisacquittedonthegroundthathisguilthasnot
beenprovedbeyondreasonabledoubt

(2)Article33,concerningcasesofdefamation,fraud,andphysicalinjuries.(n)

Article2268.SuitsbetweenmembersofthesamefamilywhicharependingatthetimethisCodegoesintoeffect
shall be suspended, under such terms as the court may determine, in order that compromise may be earnestly
sought,or,incaseoflegalseparationproceedings,forthepurposeofeffecting,ifpossible,areconciliation.(n)

Article 2269. The principles upon which the preceding transitional provisions are based shall, by analogy, be
appliedtocasesnotspecificallyregulatedbythem.(Rule13a)

REPEALINGCLAUSE

Article2270.Thefollowinglawsandregulationsareherebyrepealed:

(1)ThosepartsandprovisionsoftheCivilCodeof1889whichareinforceonthedatewhenthisnewCivil
Codebecomeseffective:

(2) The provisions of the Code of Commerce governing sales, partnership, agency, loan, deposit and
guaranty

(3)TheprovisionsoftheCodeofCivilProcedureonprescriptionasfarasinconsistentwiththisCodeand

(4) All laws, Acts, parts of Acts, rules of court, executive orders, and administrative regulations which are
inconsistentwiththisCode.(n)

Approved:June18,1949.

Footnotes

*New,exceptarticles2164and2165.

1.New,exceptarticles2200,2201,2209,and2212.

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