Section 4 Joint and Solidary Obligations

ART. 1207. The concurrence of two or more

creditors or of two or more debtors in one and the same
obligation does not imply that each one of the former
has a right to demand, or that each one of the latter is
bound to render, entire compliance with the prestation.
There is a solidary liability only when the obligation
expressly so states, or when the law or the nature of the
obligation requires solidarity.

ART. 1208. If from the law, or the nature or the

wording of the obligations to which the preceding
article refers the contrary does not appear, the credit or
debt shall be presumed to be divided into as many equal
shares as there are creditors or debtors, the credits or
debts being considered distinct from one another,
subject to the Rules of Court governing the multiplicity
of suits. (1138a)
 Joint Obligation
It is an obligation where there is a concurrence of two or
more debtors or two or more creditors or of several
debtors and creditors, by virtue of which each of the
debtors is liable for a proportionate part of the credit.

Example of different instances

1) A, B, and C borrowed P9, 000 for D. The presumption is that A,
B and C are jointly liable. D can demand only P3, 000 from each
or a total of P9, 000.
2) A borrowed from B, C and D P9, 000. There is one debtor and
three creditors. Each creditor can demand only P3, 000 from A.
3) A and B are liable to C and D for P9, 000. There are two debtors
and two creditors. Each creditor can demand only P4, 500 from
each debtor.
SOLIDARY OBLIGATION

There are solidary liability when

1) The obligation expressly so states, or

2) The law requires solidarity or

3) The nature of the obligation requires solidarity.

 Kinds of Solidary Obligation
1. Passive solidarity on the part of the debtors,
where anyone of them can be made liable for the
fulfillment of the entire obligation.
Example A and B are solidary debtors of C in
the amount of P 10, 000

2. Active solidarity on the part of the creditors,

where anyone of them can demand the
fulfillment of the entire obligation.
Example A is liable to B and C for the amount
of P10, 000. B and C are solidary creditors.
3. Mixed Solidarity solidarity on the part of the
debtors and creditors where each one of the
debtors is liable to render and each one of the
creditors has a right to demand, entire
compliance with the obligation.
Example A and B are solidarity debtors to C
and D, solidary creditors in the amount of P 10,
000.
 Solidarity not presumed

The presumption, where there are two or more

persons in the same obligation, is that it is joint.
The reason is that solidary obligations are very
burdensome for they create unusual rights and
liabilities. Solidarity between debtors increases
their responsibility while solidarity between
creditors presuming that they are bound jointly and
not solidarily.
 ART. 1209.If the division is impossible, the right of
the creditors may be prejudiced only by their
collective acts, and the debt can be enforced only
by proceeding against all the debtors. If one of the
latter should be insolvent, the others shall not be
liable for his share.

Indivisible Joint Obligation

The obligation is joint because the parties are
merely proportionately liable.
It is indivisible because the object or subject matter
is not physically divisible into different parts.
Example
A and B are jointly liable to give C a particular car worth
P100,000. The obligation is joint but since the object is
indivisible, the creditor must proceed against all the joint
debtor. If any of the joint debtors be insolvent, the others
shall not be liable for others. C must wait until the insolvent
debtor can pay.

If B is unwilling to comply with his obligation, the liability to

deliver shall be converted into a liability for damages (to pay
in money). A shall be liable to pay P50,000. and B, the
unwilling debtor shall also be liable also for P50,000 plus
damages. If A suffer damages because of Bs failure to comply,
he may also recover damages from B.
 ART. 1210. The indivisibility of an obligation does not
necessarily give rise to solidarity. Nor does solidarity of itself
imply indivisibility. (n)

Indivisibility as Distinguished from Solidarity

Indivisibility refers to the subject matter while solidarity refers
to the juridical tie between the parties.
Examples:
1. Joint divisible obligation A and B are jointly liable to C for
P10, 000.
2. Joint indivisible obligation A and B are jointly liable to give
C their car.
3. Solidary divisible obligation A and B are solidarily liable to
give C P10, 000.
4. Solidary indivisible obligation A and B are solidarily liable
to give C their car.
 ART. 1211. Solidarity may exist although the creditors
and the debtors may not be bound in the same manner
and by the same periods and conditions.

The solidary character of the obligation is not destroyed

even if the creditors and debtors are bound by different terms
and conditions. The solidarity is still preserved by recognizing
in the creditor the power of claiming from any or all debtors
the payment of the entire obligation.

Example:
A and B solidarily bound themselves to pay a total of P15, 000 to C, D
and E to the following conditions. Cs share will be due at the end of the
year; D will get his share only after he passes the CPA exams and E will
get his share only after he painted the house of C.
 Example
A and B obliged themselves solidarily to pay E P4000 on
the following conditions: A to pay by installment at the
rate of P500 in September; and B to pay on Christmas
day.
In September to December E can demand only P500
from A each month. E can also make a demand from B
the P500 share of A. But E cannot recover yet the share
of B.
On Christmas day, E may demand P2000 from B. He
may also make a demand from A. Or he may demand the
whole obligation of P4000 from A or B less any amount
paid representing the obligation of A.
 ART. 1212. Each one of the solidary creditors may do whatever may
be useful to the others, but not anything which may be prejudicial to
the latter. (1141a)
ART. 1213. A solidary creditor cannot assign his rights without the
consent of the others.
Solidary Creditors May Do Useful Act; Not Prejudicial Acts
A solidary creditor may do any act beneficial or useful to the others
but he cannot act prejudicial to them.
Example of Beneficial Acts
To interrupt the running of prescription, the act of one solidary
creditor in making a judicial demand upon any of the solidary
debtors is sufficient. (Art. 1155, NCC)
Example of Prejudicial Acts
Should not be performed, otherwise, there will be liability for
damages. However, in the case of remission or condonation, the
solidary creditor is allowed to so remit, and the obligation is
extinguished. But the guilty creditor has the obligation to reimburse
the other creditors share.
 Art. 1214. The debtor may pay any one of the
solidary creditors but if any demand, judicial or
extrajudicial, has been made by one of them,
payment should be made to him.

Payment to Any of the Solidary Creditors

The rule is that the debtor may pay any one of the
creditors. But when a demand is made by any of the
creditors, payment should be made to him who made the
demand, judicially or extra-judicially.

Example
A is liable to B and C P5, 000. A may pay either B or C But if B
made a demand then payment should only be made to him. If A
paid C, B is still entitled to his share from A in case C does not
turn over to B his share.
 ART. 1215. Novation, compensation, confusion or
remission of the debt, made by any of the solidary
creditors or with any of the solidary debtors, shall
extinguish the obligation, without prejudice to the
provisions of article 1219.
The creditor who may have executed any of these
acts, as well as he who collects the debt, shall be liable
to the others for the share in the obligation
corresponding to them.

Liability of Solidary Creditor in case of Novation,

Compensation, Confusion or Remission
When a creditor who executed any of these acts, it is logical
that he is liable to the other solidary creditors for their
corresponding shares considering that such acts are
prejudicial to them. (Art. 1212, NCC)
 Novation substitution of new contract

Confusion meeting in one person of the qualities of

creditor and debtor with respect to the same
obligation.

Compensation simultaneous balancing of two

obligations, two persons are debtor and creditor of
each other.

Condonation or remission gratuitous abandonment

by the creditor of his right against the debtor.
 ART. 1216. The creditor may proceed against any one of the
solidary debtors or some or all of them simultaneously. The
demand made against one of them shall not be an obstacle to
those which may subsequently be directed against the others,
so long as the debt has not been fully collected. (1144a)

Creditor May Proceed Against Any Solidary Debtor

In a solidary obligation, the creditor may proceed against any,
some or all of the solitary creditors simultaneously so long as it
has not been fully collected.
Example

A, B and C solidarily owe D the amount of P9, 000. D can

collect from A or B or C alone or from any two of them or all of
them simultaneously. If demand is made on A, the latter
cannot require D to make a demand also on B and C or to
include them as party defendants as D has the right to proceed
against any one of them.
 ART. 1217. Payment made by one of the solidary debtors
extinguishes the obligation. If two or more solidary
debtors offer to pay, the creditor may choose which offer
to accept.

He who made the payment may claim from his co-

debtors only the share which corresponds to each, with
the interest for the payment already made. If the
payment is made before the debt is due, no interest for
the intervening period may be demanded.

When one of the solidary debtors cannot, because of

his insolvency, reimburse his share to the debtor paying
the obligation, such share shall be borne by all his co-
debtors, in proportion to the debt to each. (1145a)
 Effects of Payment by a Solidary Debtor
Payment is one of the ways by which an obligation is
extinguished and consist in the delivery of the thing or the
rendition of the service which is the object of the
obligation.
Example
A, B and C are solidarily liable to D and E in the amount of
P9, 000 due on Dec. 31. If both A and B offer to pay D on
Dec. 31, the latter may choose which offer to accept. If A
pays the entire amount of P9, 000 on Dec. 31, the obligation
is extinguished.

The payment of A gives him the right of reimbursement

from B and C P3, 000 each with interest from the date of
payment. However, if C is insolvent, both A and B shall
bear the insolvency in proportion to their shares.
 ART. 1218. Payment by a solidary debtor shall not entitle in
to reimbursement from his co-debtors if such payment is
made after the obligation has prescribed or become illegal.
(n)

Effect of Payment After Obligation Has Prescribed or

Become Illegal
1. Prescription is one where one acquires ownership and other
rights through the lapse of time in the manner and under the
conditions laid down by law.
Example A and B are solidarily indebted to C in the amount of P
10, 000. The debt prescribed. If A paid the debt, he cannot collect
from B his share of the debt. Neither can A recover from C.
2. Becomes Illegal A and B are solidarily bound to deliver medical
drugs to C. the transaction of such medical drugs were later
prohibited by law. Notwithstanding the prohibition, B performed
the obligation by delivering the prohibited drugs. B is not anymore
entitled to reimbursement from A.
 ART. 1219. The remission made by the creditor of the share
which affects one of the solidary debtors does not release
the latter from his responsibility towards the co-debtors, in
case the debt had been totally paid by anyone of them
before the remission was effected. (1146a)

ART. 1220. The remission of the whole obligation obtained

by one of the solidary debtors, does not entitle him to
reimbursement from his co-debtors.

Remission by Creditor
1) If payment if made first, the remission is of no effect. There is
no more to remit.
2) If remission is made prior to the payment and payment is
made, then there is payment by mistake (solutio indebiti).
3) If one of the solidary debtors obtained remission on the
whole obligation, he is not entitled to reimbursement from
his co-debtors because remission is essentially gratuitous.
 ART. 1221. If the thing has been lost or if the prestation
has become impossible without the fault of the solidary
debtors, the obligation shall be extinguished.

If there was fault on the part of any one of them, all shall
be responsible to the creditor, for the price and the
payment of damages and interest, without prejudice to
their action against the guilty or negligent debtor.

If through a fortuitous event, the thing is lost or the

performance has become impossible after one of the
solidary debtors has incurred in delay through the
judicial or extrajudicial demand upon him by the
creditor, the provisions of the preceding paragraph shall
apply. (1147a)
 Rules in Case thing has Been Lost or
Prestation Has Become Impossible
1. If the thing is lost or has become impossible to
perform through a fortuitous event without the fault
of the debtor, the obligation is extinguished.

Example:
A, B and C are solidarily bound to deliver a determinate
car to D. Without any fault on the part of any one of the
debtors, the car was lost through the fortuitous event.
The obligation is extinguished.
 Rules in Case thing has Been Lost or
Prestation Has Become Impossible
2. If in the preceding paragraph, the car was lost through
the fault of anyone of the solidary debtors, anyone of
them may be held liable by D for the price of the car plus
damages. The debtors who did not any fault on the lost of
the car have the right to recover from the co-debtor who
is at fault.

3. The solidary debtors are likewise liable even if the thing

is lost through fortuitous event if the loss occurs after
anyone of the solidary debtors has been in delay. The
debtors, however who were not in delay have the right to
recover from their co-debtors who was responsible due to
his delay.
 ART. 1222. A solidary debtor may, in actions filed by
the creditor, avail himself of all defenses which are
derived from the nature of the obligation and of
those which are personal to him, or pertain to his
own share.

With respect to those which personally belong to

the others, he may avail himself thereof only as
regards that part of the debt for which the latter
are responsible.
Defenses available to a Solidary
Debtor
The defenses available to the solidary debtors if the
creditor proceeds against him alone for the payment of the
entire obligation

1. The defenses derived from the nature of the obligation,

such as fraud prescription, remission illegality or absence of
consideration, payment or performance.

Example
A and B are solidarily liable to C in the amount of P6, 000. The
entire debt was paid by D in an action by C against A, the latter can
raise the defense of payment by virtue of which the obligation was
extinguished.
Defenses available to a Solidary
Debtor
2. Defenses personal to him or pertaining to his own
share, such as minority, insanity and vitiated consent.

3. Defenses which are personal to others, such as

minority, insanity and vitiated consent.