1

Chapter 1. General Provisions

I. Definition- Art.1156

A obligation is a juridical necessity to give, to do, or not to do

A. Elements

1. Active Subject (Obligee/ Creditor) – entitled to demand the fulfillment of the obligation, has a
right

2. Passive Subject (Obligor/Debtor) – Bound to fulfill the obligation, has a duty

3. Prestation- “The thing” , giving, doing, not doing

4. Juridical tie- That which binds the parties to the obligation

B. Distinction between natural obligation (1423-1430), Civil obligation (1156-1304), and moral obligation

Natural obligation: not based on positive law but on natural law and equity, does not grant a right of
action for their performance, but after a voluntary fulfillment by the obligor, they authorize the
retention of what has been delivered or rendered by reason thereof.

Example:

1. Performance after civil obligation has prescribed.

D owes C 10k, C enforced the contract after 11 years therefore has prescribed, D still payed C, D
cannot recover what he paid C.

Civil Obligations- Arise from Law, Contract, quasi-contract, delict, quasi-delict, has a right of action

Moral obligation- Not enforceable, based on ethics

C. Classification of obligations

1. Primary classification

a. Pure v Conditional (1179-1192) – pure= immediately demandable, not subject to any

condition, Conditional= there is a condition

b. With a period or term (1193-1198)- Pay x after 10 days , demandable when the day comes

c. Alternative or facultative (1199-1206)- Various prestations are due but the performance of
one is sufficient to comply with the obligation

d. Joint or solidary (1207-1222) – Joint – Proportional debt , 10k, 5ka, 5kb, Solidary- each one of
debtors is bound to render
 2

e. Divisible or indivisible (1223-1225) Divisible = is capable of partial fulfillment, indivisible = not

capable of partial fulfillment

f. With a penal Clause (122-1230) – Accesorry undertaking attached to an obligation to assume

greater liablility in case of breach

2. Secondary Classification

a. Real v Personal = real- A thing that obligor must give to the oblige

b. Determinate v generic- determinate- specific, generic –general

c.Positive (to give/do) , negative ( not to give/do)

d. unilateral and bilateral= unilateral – one party bound to perform prestation, bilateral – both
parties bound to perform prestation

e. Accesory v principal – accessory, in connection with principal , no accessory if no principal, ex.

Interest

II. Sources of obligation – Art 1157

Obligations arise from: 1. Law, 2. Contracts, 3. Quasi-contract, 4. Acts or omission punishable by

law, 5. Quasi-delicts

A. Law (1158)

Obligations derived from law are not presumed. Only those expressly determined in this Code
or in special laws are demandable, and shall be regulated by the precepts of the law which establishes
them; and as to what has not been foreseen, by the provisions of this Book.

B. Contracts

Art. 1159. Obligations arising from contracts have the force of law between the contracting
parties and should be complied with in good faith. (1091a)

A contract is a meeting of minds between two persons whereby one binds himself, with
respect to the other, to give something or to render some service. (1254a)

C. Quasi-Contract (1160)

A juridical relation resulting from lawful, voluntary and unilateral acts by virtue of which the
parties become bound to each other to the end that no one will be unjustly enriched or benefited at the
expense of another

No consent but the same is supplied by fiction of law, law considers them to have entered into
contract without having done so
 3

Examples:

a. Negotiorum gestio (officious management) (2144-2153)

Art. 2144. Whoever voluntarily takes charge of the agency or management of the business or
property of another, without any power from the latter, is obliged to continue the same until the
termination of the affair and its incidents, or to require the person concerned to substitute him, if the
owner is in a position to do so. This juridical relation does not arise in either of these instances:

(1) When the property or business is not neglected or abandoned;

(2) If in fact the manager has been tacitly authorized by the owner.

In the first case, the provisions of Articles 1317, 1403, No. 1, and 1404 regarding unauthorized contracts
shall govern.

In the second case, the rules on agency in Title X of this Book shall be applicable. (1888a)

b. Solutio Indebiti (2154-2163)

If something is received when there is no right to demand it, and it was unduly delivered
through mistake, the obligation to return it arises. (1895)

c. other quasi contracts (support by strangers) (2164-2175)

Art. 2164. When, without the knowledge of the person obliged to give support, it is given by a
stranger, the latter shall have a right to claim the same from the former, unless it appears that he gave it
out of piety and without intention of being repaid. (1894a)

Art. 2165. When funeral expenses are borne by a third person, without the knowledge of those relatives
who were obliged to give support to the deceased, said relatives shall reimburse the third person,
should the latter claim reimbursement. (1894a)

Art. 2166. When the person obliged to support an orphan, or an insane or other indigent person unjustly
refuses to give support to the latter, any third person may furnish support to the needy individual, with
right of reimbursement from the person obliged to give support. The provisions of this article apply
when the father or mother of a child under eighteen years of age unjustly refuses to support him.

Art. 2167. When through an accident or other cause a person is injured or becomes seriously ill, and he
is treated or helped while he is not in a condition to give consent to a contract, he shall be liable to pay
for the services of the physician or other person aiding him, unless the service has been rendered out of
pure generosity.

Art. 2168. When during a fire, flood, storm, or other calamity, property is saved from destruction by
another person without the knowledge of the owner, the latter is bound to pay the former just
compensation.
 4

Art. 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.

Art. 2170. When by accident or other fortuitous event, movables separately pertaining to two or more
persons are commingled or confused, the rules on co-ownership shall be applicable.

Art. 2171. The rights and obligations of the finder of lost personal property shall be governed by Articles
719 and 720.

Art. 2172. The right of every possessor in good faith to reimbursement for necessary and useful
expenses is governed by Article 546.

Art. 2173. When a third person, without the knowledge of the debtor, pays the debt, the rights of the
former are governed by Articles 1236 and 1237.

Art. 2174. When in a small community a nationality of the inhabitants of age decide upon a measure for
protection against lawlessness, fire, flood, storm or other calamity, any one who objects to the plan and
refuses to contribute to the expenses but is benefited by the project as executed shall be liable to pay
his share of said expenses.

Art. 2175. Any person who is constrained to pay the taxes of another shall be entitled to reimbursement
from the latter.

D. acts or omissions punishable by law (1161,2177)

Art. 1161. Civil obligations arising from criminal offenses shall be governed by the penal laws, subject
to the provisions of Article 2177, and of the pertinent provisions of Chapter 2, Preliminary Title, on
Human Relations, and of Title XVIII of this Book, regulating damages. (1092a)

Art. 2177. Responsibility for fault or negligence under the preceding article is entirely separate and
distinct from the civil liability arising from negligence under the Penal Code. But the plaintiff cannot
recover damages twice for the same act or omission of the defendant. (n)

1. every person criminally liable is civilly liable, exeptions (rpc 100), extent of civil liability (rpc 104

Article 104. What is included in civil liability. - The civil liability established in Articles 100, 101, 102, and
103 of this Code includes:

1. Restitution;

2. Reparation of the damage caused;

3. Indemnification for consequential damages.

Article 105. Restitution; How made. - The restitution of the thing itself must be made whenever
possible, with allowance for any deterioration, or diminution of value as determined by the court.
 5

The thing itself shall be restored, even though it be found in the possession of a third person who has
acquired it by lawful means, saving to the latter his action against the proper person, who may be liable
to him.

This provision is not applicable in cases in which the thing has been acquired by the third person in the
manner and under the requirements which, by law, bar an action for its recovery.

Article 106. Reparation; How made. - The court shall determine the amount of damage, taking into
consideration the price of the thing, whenever possible, and its special sentimental value to the injured
party, and reparation shall be made accordingly.

Article 107. Indemnification; What is included. - Indemnification for consequential damages shall include
not only those caused the injured party, but also those suffered by his family or by a third person by
reason of the crime.

2. Subsidiary civil liability (rpc 102,103)

Article 102. Subsidiary civil liability of innkeepers, tavernkeepers and proprietors of establishments. - In
default of the persons criminally liable, innkeepers, tavernkeepers, and any other persons or
corporations shall be civilly liable for crimes committed in their establishments, in all cases where a
violation of municipal ordinances or some general or special police regulation shall have been
committed by them or their employees.

Innkeepers are also subsidiarily liable for the restitution of goods taken by robbery or theft within their
houses from guests lodging therein, or for the payment of the value thereof, provided that such guests
shall have notified in advance the innkeeper himself, or the person representing him, of the deposit of
such goods within the inn; and shall furthermore have followed the directions which such innkeeper or
his representative may have given them with respect to the care and vigilance over such goods. No
liability shall attach in case of robbery with violence against or intimidation of persons unless committed
by the innkeeper's employees.

Article 103. Subsidiary civil liability of other persons. - The subsidiary liability established in the next
preceding article shall also apply to employers, teachers, persons, and corporations engaged in any kind
of industry for felonies committed by their servants, pupils, workmen, apprentices, or employees in the
discharge of their duties.

3. implied institution of civil action for th recovery of civil liability arising from criminal offense,
exeptions- waiver, reservation, prior institution of civil action (1-7 rule 111)

Section 1. Institution of criminal and civil actions. — (a) When a criminal action is instituted, the civil
action for the recovery of civil liability arising from the offense charged shall be deemed instituted with
the criminal action unless the offended party waives the civil action, reserves the right to institute it
separately or institutes the civil action prior to the criminal action.
 6

The reservation of the right to institute separately the civil action shall be made before the prosecution
starts presenting its evidence and under circumstances affording the offended party a reasonable
opportunity to make such reservation.

When the offended party seeks to enforce civil liability against the accused by way of moral, nominal,
temperate, or exemplary damages without specifying the amount thereof in the complaint or
information, the filing fees thereof shall constitute a first lien on the judgment awarding such damages.

Where the amount of damages, other than actual, is specified in the complaint or information, the
corresponding filing fees shall be paid by the offended party upon the filing thereof in court.

Except as otherwise provided in these Rules, no filing fees shall be required for actual damages.

No counterclaim, cross-claim or third-party complaint may be filed by the accused in the criminal case,
but any cause of action which could have been the subject thereof may be litigated in a separate civil
action. (1a)

(b) The criminal action for violation of Batas Pambansa Blg. 22 shall be deemed to include the
corresponding civil action. No reservation to file such civil action separately shall be allowed.

Upon filing of the aforesaid joint criminal and civil actions, the offended party shall pay in full the filing
fees based on the amount of the check involved, which shall be considered as the actual damages
claimed. Where the complaint or information also seeks to recover liquidated, moral, nominal,
temperate or exemplary damages, the offended party shall pay additional filing fees based on the
amounts alleged therein. If the amounts are not so alleged but any of these damages are subsequently
awarded by the court, the filing fees based on the amount awarded shall constitute a first lien on the
judgment.

Where the civil action has been filed separately and trial thereof has not yet commenced, it may be
consolidated with the criminal action upon application with the court trying the latter case. If the
application is granted, the trial of both actions shall proceed in accordance with section 2 of this Rule
governing consolidation of the civil and criminal actions. (cir. 57-97)

Section 2. When separate civil action is suspended. — After the criminal action has been commenced,
the separate civil action arising therefrom cannot be instituted until final judgment has been entered in
the criminal action.

If the criminal action is filed after the said civil action has already been instituted, the latter shall be
suspended in whatever stage it may be found before judgment on the merits. The suspension shall last
until final judgment is rendered in the criminal action. Nevertheless, before judgment on the merits is
rendered in the civil action, the same may, upon motion of the offended party, be consolidated with the
criminal action in the court trying the criminal action. In case of consolidation, the evidence already
adduced in the civil action shall be deemed automatically reproduced in the criminal action without
prejudice to the right of the prosecution to cross-examine the witnesses presented by the offended
 7

party in the criminal case and of the parties to present additional evidence. The consolidated criminal
and civil actions shall be tried and decided jointly.

During the pendency of the criminal action, the running of the period of prescription of the civil action
which cannot be instituted separately or whose proceeding has been suspended shall be tolled. (n)

The extinction of the penal action does not carry with it extinction of the civil action. However, the civil
action based on delict shall be deemed extinguished if there is a finding in a final judgment in the
criminal action that the act or omission from which the civil liability may arise did not exist. (2a)

Section 3. When civil action may proceeded independently. — In the cases provided for in Articles 32, 33,
34 and 2176 of the Civil Code of the Philippines, the independent civil action may be brought by the
offended party. It shall proceed independently of the criminal action and shall require only a
preponderance of evidence. In no case, however, may the offended party recover damages twice for the
same act or omission charged in the criminal action. (3a)

Section 4. Effect of death on civil actions. — The death of the accused after arraignment and during the
pendency of the criminal action shall extinguish the civil liability arising from the delict. However, the
independent civil action instituted under section 3 of this Rule or which thereafter is instituted to
enforce liability arising from other sources of obligation may be continued against the estate or legal
representative of the accused after proper substitution or against said estate, as the case may be. The
heirs of the accused may be substituted for the deceased without requiring the appointment of an
executor or administrator and the court may appoint a guardian ad litem for the minor heirs.

The court shall forthwith order said legal representative or representatives to appear and be substituted
within a period of thirty (30) days from notice.

A final judgment entered in favor of the offended party shall be enforced in the manner especially
provided in these rules for prosecuting claims against the estate of the deceased.

If the accused dies before arraignment, the case shall be dismissed without prejudice to any civil action
the offended party may file against the estate of the deceased. (n)

Section 5. Judgment in civil action not a bar. — A final judgment rendered in a civil action absolving the
defendant from civil liability is not a bar to a criminal action against the defendant for the same act or
omission subject of the civil action. (4a)

Section 6. Suspension by reason of prejudicial question. — A petition for suspension of the criminal
action based upon the pendency of a prejudicial question in a civil action may be filed in the office of the
prosecutor or the court conducting the preliminary investigation. When the criminal action has been
filed in court for trial, the petition to suspend shall be filed in the same criminal action at any time
before the prosecution rests. (6a)

Section 7. Elements of prejudicial question. — The elements of a prejudicial question are: (a) the
previously instituted civil action involves an issue similar or intimately related to the issue raised in the
 8

subsequent criminal action, and (b) the resolution of such issue determines whether or not the criminal
action may proceed. (5a)

4. effect of acquittal or death of accused

E. Quasi – delict (culpa aquiliana) (1162,2176)

1. Concept, Requisites

rt. 2176. Whoever by act or omission causes damage to another, there being fault or negligence, is
obliged to pay for the damage done. Such fault or negligence, if there is no pre-existing contractual
relation between the parties, is called a quasi-delict and is governed by the provisions of this Chapter.
(1902a)

1. a act or omission

2. fault or negligence

3. damage caused

4. connection of cause and effect between the act or omission and the damage

5. no pre-existing contracyual relation between the parties

2. compare culpa aquiliana, culpa contractual, culpa criminal

3. Vicarious liability (2180)

Art. 2180. The obligation imposed by Article 2176 is demandable not only for one's own acts or
omissions, but also for those of persons for whom one is responsible.

The father and, in case of his death or incapacity, the mother, are responsible for the damages caused
by the minor children who live in their company.

Guardians are liable for damages caused by the minors or incapacitated persons who are under their
authority and live in their company.

The owners and managers of an establishment or enterprise are likewise responsible for damages
caused by their employees in the service of the branches in which the latter are employed or on the
occasion of their functions.

Employers shall be liable for the damages caused by their employees and household helpers acting
within the scope of their assigned tasks, even though the former are not engaged in any business or
industry.
 9

The State is responsible in like manner when it acts through a special agent; but not when the damage
has been caused by the official to whom the task done properly pertains, in which case what is
provided in Article 2176 shall be applicable.

Lastly, teachers or heads of establishments of arts and trades shall be liable for damages caused by
their pupils and students or apprentices, so long as they remain in their custody.

The responsibility treated of in this article shall cease when the persons herein mentioned prove that
they observed all the diligence of a good father of a family to prevent damage. (1903a)

Compare vicarious liability with 1. Subsidiary civil liability for crime rpc (102/3) and 2. Art 218, 219 family
code

Art. 218. The school, its administrators and teachers, or the

individual, entity or institution engaged in child are shall have
special parental authority and responsibility over the minor child
while under their supervision, instruction or custody.
Authority and responsibility shall apply to all authorized activities
whether inside or outside the premises of the school, entity or
institution. (349a)
Art. 129. Those given the authority and responsibility under the
preceding Article shall be principally and solidarily liable for
damages caused by the acts or omissions of the unemancipated
minor. The parents, judicial guardians or the persons exercising
substitute parental authority over said minor shall be subsidiarily
liable.
The respective liabilities of those referred to in the preceding
paragraph shall not apply if it is proved that they exercised the
proper diligence required under the particular circumstances.
All other cases not covered by this and the preceding articles
shall be governed by the provisions of the Civil Code on quasi-
delicts. (n)