BERUA | GANDAMRA | LOMONDOT | MAPANDI
TITLE XIV: CONCURRENCE & PREFERENCE OF CREDITS(Articles 2236-2251)
CONCURRENCE OF CREDITS, definition.
It implies possession by two or more creditors of equal right or privileges overthe same property or all of the property of a debtor.
PREFERENCE OF CREDIT, definition.
It is the right held by a creditor to be preferred in the payment of his claimabove other out of the debtor’s assets.
CHAPTER 1 : GENERAL PROVISIONSART. 2236
The debtor is liable with all his property, present and future, for thefulfillment of his obligations, subject to the exemptions provided by law.
What can the creditor do if the debtor has no money?
1.Attach property not exempt from attachment;
Properties exempt from attachment:a)The family home, except in certain cases;b)The right to support, annuities, pensions (incertain instances);c)Properties in custodia legis;d)Properties of a municipal corporation used forgovernmental purposes;e)In certain cases, homesteads acquired underthe Public Land Act; andf)Those mentioned in Rule 39, Sec. 13, Rules of Court.2.Exercise accion subrogatoria;
Accion subrogatoria (defn).The right to exercise allrights and actions except those inherent in the person.3.Exercise accion pauliana;
Accion pauliana (defn).Impugn or rescind acts or contractsdone by the debtor to defraud the creditors.4.Ask for dation in solutum, cession, file insolvencyproceedings; and
Datio in solutum (defn).Roman word which implies givingin payment or in clearer terms, it refers to an act of discharging a debt by giving something instead of payingin money. In this method any movable or immovableproperty can be given to the creditor instead of money tosatisfy the creditors claim.