CIVIL LAW REVIEW 2 Notes [Cecille V. Balondo] [ATTY. CRISOSTOMO A. URIBE] I.

OBLIGATIONS [June 18, 2008] A. IN GENERAL: 1. DEFINITION: Article 1156. an obligation is a

juridical necessity to give, to do or not to do.

Defines CIVIL ; JURID. NECESSITY makes it enforceable by court action; Balane: Book IV starts
w/ an inaccuracy. It gives the impression that obligations & contracts are of the same status, w/c
they are not. A contract is only one of the sources of obligations. Book IV should have been simply
titled "Obligations." Etymology two Latin words, ligare, meaning "to bind" & one party is
determined at the constitution of the obligation Both parties are determined at the time of the
execution of the obligation. while obligor is used in an obligation to do The first two elements must
be determinate or determinable. The following are possible combinations: debtor is used in an
obligation to give while obligee is used in an obligation to do (2) Passive Subject This refers to
the debtor or the obligor. A creditor generally used in an obligation to give economic equivalent
obtained fr. the debtor's patrimony. Essential Elements of an Obligation: (1) Active Subject This
refers to the creditor or the obligee. ob w/c is a proposition used to intensify a verb. Literally
obligare means "to bind securely." Tolentino: the juridical tie between two or more persons, by virtue
of which one of them, the creditor or oblige, has the right to demand of the other, the debtor or
obligor, a definite prestation. Manresa: legal relation established between one party and another
whereby the latter is bound to the fulfillment of a prestation which the former may demand of him.
Arias Ramos: [more complete definition, accdg to T, whch gives the element of responsibility
essential to an ] An is a juridical relation whereby a person (called the creditor) may demand
from another (called the debtor) the observance of a determinate conduct, and in case of breach,
may obtain satisfaction from the assets of the latter. & the subject is determined in accordance w/
his relation to a thingthe other to be determined subsequently in accordance w/ a criteria that is
previously established. & When a person says "I promise to pay you when I like to," there is no
obligation here bec. there is no vinculum juris. Juridical tie, the efficient cause established by the
various sources of s It must have pecuniary value so that if not performed it is converted into
damages. (4) Vinculum juris - the legal tie, whereby upon default or refusal of the debtor to perform,
the creditor can go to court. It must be determinate or determinable. It must be possible. It
must be licit. therefor it changes where the thing passes fr. one person to another. This is a
propertylinked obligation. (3) Object of the obligation - the conduct or activity that must be observed
by the debtor, this is always an activity or conduct, the prestation. Requisites of an object: >
consists in abstaining from some act, e.g. duty not to create a nuisance; Requisites of a prestation:
1. it must be possible, physically and juridically 2. it must be determinate, or atleast determinable;
and 3. it must have a positive equivalent in money. (susceptible of pecuniary appreciation) Positive
Law valid legal laws enacted by the legislative department; Natural not sanctioned by any
action but have a relative juridical effect; enforced by point of view law Examples of natural s:
Support of a natural child Indemnification of a woman seduced Support of relatives, by
consanguinity or affinity CIVIL s Source of binding force incl. all kinds of work or services. E.g.
of employment or professional services. not to do It represents an exclusively private interest It
creates ties that are by nature transitory It involves the power to make the juridical tie effective in
case of non-fulfillment through an 1 real right, orfor the use of the recipient, or for possession, or to
return to its owner; e.g. to deliver the thing in a of sale, deposit, lease, antichresis, pledge and
donation. to do Balane: A better definition would be, An obligation is a juridical relation
(bec. there are 2 parties) whereby a person should engage or refrain fr. engaging in a certain activity
for the satisfaction of the private interests of another, who in case of non-fulfillment of such duty may
obtain fr. the patrimony of the former through proper judicial proceedings the very prestation due or
in default thereof, the economic equivalent (damages) that it represents. (Diaz Piero.) Obligation ()
is a juridical relation whereby a person (called the creditor) may demand from another (debtor) the
observance of determinate conduct, and in case of breach, may obtain satisfaction from the assets
of the latter.

Characteristics of an Obligation: prestation consists in the delivery of a movable or an immovable

thing in order to create a Where there is a right or power to demand, there is a correlative or an
imposition upon a person of a definite conduct. may either be relation established by: 1. Law (e.g.
marital relation giving rise to for support; 2. Bilateral acts (e.g. contracts give rise to the s
stipulated therein) 3. Unilateral acts (e.g. crimes and quasi-delicts) ** All the above 3/4 elements are
agreed upon by commentators as essential elements. The following two are being debated. (i)
Causa debendi/ obligationes (Castan) This is what makes the obligation demandable. This is the
proximate why of an obligation. (ii) Form - This is controversial. This is acceptable only if form means
some manifestation of the intent of the parties. [TOLENTINO: to give by virtue of which the
debtor is bound in favor of the creditor to perform the prestation. Efficient cause / vinculum & do not
grant the right of action to enforce their performance but after voluntary fulfillment by their obligor,
they authorize the retention of what has been delivered or rendered by reason thereof (Art. 1423); 2.

KINDS OF OBLIGATIONS AS TO BASIS s which are contrary to morals and good customs do
not constitute natural s, whatver is paid under such s can be recovered, (apply Art. 1414, 1411,
1412.) (b) CIVIL OBLIGATIONS:

Article 1157. Obligations arise from:

(1) Law; (s ex lege) (2) Contracts; (3) Quasi-contracts; (4) Acts or omissions punished by law; and
(5) Quasi-delicts.

SOURCES OF s: 1. LAW: Article 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. effect From positive law can be enforced by court action or the coercive
power of public authority NATURAL s from equity and natural justice cannot be compelled by court
action but depends upon good conscience of the debtor Enforceability Illicit s & not exclusive
enumeration; some others)

Requisites of Natural :ENFORCEABILITY (a) NATURAL OBLIGATIONS

Article 1423. Obligations are civil or natural. Civil obligations give a right of action to compel their
performance. Natural obligations, not being based on positive law but on equity and natural law, do
not grant a right of action to enforce their performance, but after voluntary fulfillment by the obligor,
they authorize the retention of what has been delivered or rendered by reason thereof. Some natural
obligations are set forth in the following articles.

(Arts. 1423 1430 an w/o a sanction, susceptible of voluntary performance, but not thru
compulsion by legal means. Voluntary fulfillment may be understood as spontaneous, free from
fraud or coercion or it may be understood as meaning without knowledge or free from error; -
w/knowledge that he cannot be compelled to pay ; RATIO: reputation (clan) Natural vs.
Juridical tie Performance by debtor Moral : Natural Exists legal fulfillment an Moral none act
of pure liberality which springs from blood, affection or benevolence entirely domain of morals moral
duty is inexistent in the juridical

Balane: Law as a source of obligation It is my opinion that there is an overlap in the enumeration
bec. all obligations arise fr. law. Law is the only source of obligation, in the ultimate sense. But, as a
proximate source, there are five sources of obligations. Law is both the ultimate1. there is a
juridical tie between two persons 2. the tie is not given effect by law an agreement is not necessary
in order that a party may demand from another the fulfillment of an arising from the application of
a law in the circumstances; & a proximate source of obligations. Sources of Obligations according to
Sanchez Roman.-- Law & Acts. The latter are further classified, as follows: (1) licit acts created by
concurrence of wills (contracts); (2) licit acts either voluntary or involuntary w/o concurrence of wills
(quasi-contract); (3) illicit acts of civil character w/c are not punishable, voluntary or involuntary (torts
& all damages arising fr. delay); (4) illicit acts w/c are voluntary & are punishable by law (crimes)
Baviera: When the source of the obligation is Law, there is no need for an act or omission for the
obligation to arise. CASE: SAGRADA ORDEN VS. NACOCO [91 P 503] of Basis of existence of
Enforceability Within the domain of law True but for certain causes cannot be 2
Plaintiff owned disputed property in Pandacan, Mla whc was acquired during the Japanese
occupation by Taiwan Tekkosho with TCT. When RP was ceded to USA, the same was entrusted to
Alien Property Custodian, APC by the US govt. APC took possession, control and custody under the
Trading with the Enemy Act. APC allowed Copra Export Management Co. to occupy the property for
a fee. RP later made representation with APC to use the same property with warehouse. The
warehouse was repaired by NACOCO and was leased to Dioscoro Sarile. The latter failed to pay
rentals on the property. In an action to recover possession of the property, the court nullified the sale
to T.Tekkosho and cancelled its TCT and ordered reversion of title to plaintiff, and right of recovery
from NACOCO of rentals to the property. ISSUE: WON NACOCO is liable to pay back rentals?
HELD: If def.-appellant (NaCoCo) is liable at all, its obligations must arise fr. any of the 4 sources of
obligations, namely, law, contract or quasi contract, crime, or negligence. (Art. 1089, OCC.) As to
crimes: Def.-appellant is not guilty of any offense at all, bec. it entered into the premises & occupied
it w/ the permission of the entity w/c had the legal control & admin. thereof, the Alien Prop. Admin.
(APA) As to QD: Neither was there any negligence on its part. As to Contract: There was also no
privity (of contract or obligation) bet. the APA & Taiwan Tekkosho, w/c had secured the possession
of the prop. fr. the pltff-appellee by the use of duress, such that the Alien Prop. Custodian or its
permittee (def.-appellant) may be held responsible for the supposed illegality of the occupation of the
prop. by said Tekkosho. The APA had the control & admin. of the prop. not as successor to the
interests of the enemy holder of the title, the T. Tekkosho, but by express provision of law. Neither is
it a trustee of the former owner, the pltffappellee herein, but a trustee of the US Govt., in its own
right, to the exclusion of, & against the claim or title of, the enemy owner. From Aug. 1946, when
def.-appellant took possession, to the date of the judgment on 2/28/48, the APA had the absolute
control of the prop. as trustee of the US Govt., w/ power to dispose of it by sale or otherwise, as
though it were the absolute owner. Therefore, even if def. were liable to the APA for rentals, these
would not accrue to the benefit of the pltff., the old owner, but the US Govt. Balane: Is the
enumeration exclusive or merely illustrative? in Art. 1157 skin allergy as a result of using Tide in
taking a bath. The question is: Does P & there must be compliance in good faith (jus gentium.)
CASE: PEOPLE'S CAR VS. COMMANDO SECURITY SCRA 40] [51 Pltff. (People's Car) was in law
liable to its customers for the damages caused the customer's car, w/c had been entrusted into its
custody. Pltff. therefore was in law justified in making good such damages obligations derived fr.
contract has the force of law bet. the contracting parties (jus civili ) supposing the contract is valid
and enforceable, the terms of not contrary to law, morals, GC, PP or PO, the stipulations therewith
shd be given effect. (one of fundamental principles of s) Balane: There are two parts in Art. 1159.
G have any obligation to Carale. If we look at Art. 1157, this situation does not fall in any of the five
sources. So, we know have a problem. The German Civil Code (BGB) covers this situation. The
BGB has a sixth source of obligation, the Auslobung, w/c means a unilateral offer. 2. CONTRACTS:
Article 1159. Obligations arising from contracts have the force of law between the contracting
parties and should be complied with in good faith. Article 1305. 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. Negotiation of is initiated by an OFFER; Autonomy of Will & relying in turn
on def.(Commando Security) to honor its contract & indemnify it for such undisputed damages, w/c
had been caused directly by the unlawful & wrongful acts of def.'s security guard in breach of their
contract. WON commando security is liable to damages in accordance w/ provisions of / whc
provision/ 3.

QUASI-CONTRACTS: Article 1160. Obligations derived from quasi-contracts shall be subject to the
provisions of Chapter 1, Title XVII, of this Book. QUASI-CONTRACT is a juridical relation which
arises from certain unlawful, voluntary and unilateral acts, to the end that no one may be unjustly
enriched or benefited at the expense of another. Doctrine: The sense that the case of Sagrada
Orden tells us is that the enumeration is exclusive. In resolving the issue of whether the def. should
be liable to pay rentals, the SC used the process of exclusion. For there to be an obligation to pay
rentals, that obligation must arise fr. either of the five (5) sources of obligations. If it does not, then
there is no obligation. The clear implication of this ruling is that, these five (5) are the only sources of
obligations. The problem w/ Art. 1157 is that it might not cover all situations. For example: Carale
uses Dove as his soap. He then hears an advertisement fr. Proctor & Gamble that it is offering a nice
tumbler for those who can collect 30 wrappers of Tide before Feb. 29, 1996. So, Carale stopped
using Dove & started using Tide. He was able to consume all 30 wrappers on Feb. 29, 1996. He
then went to Proctor & Gamble (P & G) to exchange the 30 Tide wrappers for a tumbler. But P &
For preservation of Property or Business EXTRA-CONTRACTUAL OBLIGATIONS (s without an
agreement / based in IMPLIED CONSENT) 3 Q: HOW MANY? A: In NCC, 2 nominate and some
innominate QCs a. Quasi-contracts Article 2142. Certain lawful, voluntary and unilateral acts give
rise to the juridical relat Benefits Conferred Voluntarily G told Carale that their tumblers run out of
stock. Carale contracted a The act must be: (1) Lawful thus different from delict which is unlawful;
(2) Voluntary thus different from quasidelict which is based on fault or negligence or lack of
foresight; (3) Unilateral thus different from contract, in which parties agree. e.g. in negotiorum
gestio: ion of quasi-contract to the end that no one shall be unjustly enriched or benefited at the
expense of another. Article 2143. The provisions for quasicontracts in this Chapter do not exclude
other quasi-contracts which may come within the purview of the preceding article. b. Negotiorum
Gestio Article 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:
ELEMENTS (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. one, as an offense against the state, & but not
Felony whc is ltd. To those punished under RPC ): Article 1167. If a person obliged to do something
fails to do it, the same shall be executed at his cost. This same rule shall be observed if he does it in
contravention of the tenor of the obligation. Furthermore, it may be decreed that what has been
poorly done be undone. Balane: Crime as a source of obligation There are many crimes fr. w/c,
civil liability arises in their commission, in addition to the criminal penalty attached to them. This
underlines the two aspects in a crime: When the acquittal is based on ground that the guilt of the
accused has not been proved beyond reasonable doubt, plaintiff has the right to institute a civil
action for damages (culpa aquiliana). Q: Is it possible that even if there is a contract bet. the parties,
a quasi-delict can still be 4
committed by one against the other regarding the area covered by the contract? A: Yes, according to
the case of Araneta v. de Joya, 57 SCRA 59. The same act can give rise to obligations arising fr.
different sources. For example, Alinea is the owner of a bus co., the Alinea Bus Co., Molina is a
driver of one of the buses of Alinea Bus Co. Lagdameo rode the bus being driven by Molina. As a
result of the reckless driving of Molina, Lagdameo suffered injuries. In this case, Lagdameo has a
choice-he can sue on either contract, quasi-delict or on crime. If he decided to sue on the breach of
the contract of carriage, all he has to prove is the (existence of the contract) SOLUTIO INDEBITI
juridical relation which arise whenever person unduly delivers a thing through or by mistake of
another who has no right to demand it. 4. ACTS OR OMISSIONS PUNISHED BY LAW (DELICT or
CRIMES c. Solutio indebiti Article 2154. when there is it was unduly the obligation If something is
received no right to demand it, and delivered through mistake, to return it arises. Failure of the
plaintiff to reserve in the criminal case his right to file a separate civil action is not fatal to the civil
action after the acquittal of the accused. NEGOTIORUM GESTIO juridical relation which arises
whenever a person voluntarily takes charge of an agency or management of the business or
property of another without any power or authority from the latter. 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.
Baviera: Requisites of enforcing the subsidiary obligation of the employer under the RPC: criminal
case was filed against the EE the act or negligence arose during or in connection w/ the
performance of the latters employment the EE is found guilty of criminal negligence a writ of
execution has been returned unsatisfied, i.e. EE has been found to be insolvent. There is no res
judicata as regards the ER as there is a difference in the COA. Quasi-delict (QD) differs fr. an action
based on delict on the following grounds: QUASI DELICT DELICT it is subsidiary (imputed) ERs
liability is primary in RPC Diligence of good father of In RPC, such defense of the family may be set
up GFF is not available by the ER as a defense A person while not criminally liable may still be civilly
liable when to do can only be performed by debtor he cannot compelled to do so by force, the
only remedy is damages; Article 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.
TITLE V - Civil Liability, RPC: CHAPTER ONE - Persons Civilly Liable for Felonies Article 100. Civil
liability of a person guilty of felony. - Every person criminally liable for a felony is also civilly liable.
[CHAPTER 2, RPC: Includes] What Civil Liability non-compliance with to do, creditor may do it
himself or get a 3rd person at the expense of the debtor; As far as crime is concerned, civil law is
not concerned w/ the penal liability but only w/ the civil liability. Performance at debtors cost two as
an offense against the victim. It is in the latter case that civil liability is recoverable. & that it was not
performed. In this case, he can sue the common carrier but not the driver bec. he has no contract w/
the driver. If he sues on quasi-delict, he can sue both the common carrier & the driver. The defense
of the driver would be diligence in driving (or fortuitous event.) The defense of the common carrier
would be diligence in the selection & supervision of employees. If he sues under crime, he has to
sue the driver. In case the driver is convicted & Notice that the choice of cause of action will
determine three things: the theory of the plaintiff, the defense of the def.has been sentenced to pay
civil liability, the employer (Alinea Bus Co.) is subsidiarily liable. If Molina is insolvent, Alinea Bus Co.
will pay. & the question of whom to sue. has a choice. Provided that he is consistent w/ his theory &
Governed by Art. 1179 (common carrier), Again, remember that in this case, the victim Culpa
contractual, or negligence in the performance of a contractual . NO contractual relation at all
(2) Governed by Arts. 2176-2194 Liability on QD is based on Equity, man is responsible not only
for acts conscious and intentional acts but also for his lack of foresight, care and diligence which
may cause harm to another. ELEMENTS: (1) A duty on the part of the defendant to protect the
plaintiff from the injury of which the latter complains; (2) A failure to perform that duty, and (3) An
injury to the plaintiff through such failure. TEST OF NEGLIGENCE: Would a prudent man, in the
position of the person on who negligence is attributed, foresee harm to the person injured as a
reasonable consequence of the course about to be pursued? KINDS OF NEGLIGENCE: (1) Culpa
aquiliana, also known as culpa extra-contractual, or negligence as a source of , QUASI-DELICT;
provided, further, that he cannot recover damages twice for the same injury. & Baviera: The terms
of the contract cannot be against mandatoryall on contracts (IMPUTED/vicarious & 5. QUASI-
DELICTS: (culpa aquiliana negligence / torts*) [NCC, CHAPTER 2 - Quasi-delicts] / The
responsibility shall cease if they can prove that they have observed diligence of good father of the
family to prevent damage; Article 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 ofprohibitive laws. And if the contract is valid, it shall have the force of
law between the contracting parties. PERSONS LIABLE: LIABILITY, 2180) 1. father / mother 2.
guardians 3. owners/managers 4. employers 5. the State 6. teachers 5
b. 2. 3. tortfeasor believes that the consequences are substantially certain to result from it c. ex. Art.
26, 32 QUASI-DELICTS the fault or negligence of a person who, by his act or omission
connected or not with, but independent from any contractual relation, causes damage to another
person; The omission to do something which ordinarily reasonable men guided by those
considerations whch ordinarily regulate the conduct of human affairs, would do; or doing something
which prudent and reasonable men would not do. this Chapter. (memorize!) Article 1162.
Obligations derived from quasi-delicts shall be governed by the provisions of Chapter 2, Title XVII of
this Book, and by special laws. * Torts is seldom used by SC in juris., it is broader term for
actionable wrong whc may not be negligence, may be malicious tortuous act whc is not anymore
QD. REQUISITES OF LIABILITY (IMPUTED): 1. the fault of negligence of the defendant 2. the
damage suffered or incurred by the plaintiff 3. the relation of the fault or negligence and damage
incurred by the plaintiff Balane: The Code Commission did not choose to use tort. This is bec. tort
does not exactly have the same meaning as quasi-delict. Tort [BROADER] covers intentional torts
w/c in quasi-delict is considered as civil liability arising fr. acts or omissions punishable by law. There
are some QD w/c are not covered by tort. Dean Bocobo suggested the ancient term culpa aquiliana.
But this did not merit the approval of the Code Commission. A TORT is a civil wrong (an actionable
wrong) consisting of a violation of a right or a breach of duty for which the law grants a remedy in
damages or other relief. The right is created by law in favor of a person called a creditor to compel
another called a debtor to observe duty or a prestation either to render what is due him or to refrain
from causing him injury. Classes of Torts According to Manner of Commission 1. Intentional Torts a.
tortfeasor desires to cause the consequences of his act, or & 33 (CC) Negligent Torts: d.
tortfeasors conduct merely creates a forseeable risk of harm which may or may not occur e. Art.
2176 (CC) Strict Liability Torts: f. ex. Art. 2183 & 2187 (CC) tantum, rebuttable). Imputed liability in
NCC is not applicable to obligations arising ex contractu, but only to extra-contractual obligations, or
to use the technical form of expression, that article relates only to culpa aquiliana and not to culpa
contractual. Every legal obligation must of necessity be extra-contractual or contractual. Extra-
contractual obligation has its source in the breach or omission of those mutual duties which civilized
society imposes upon it members, or which arise from these relations, other than contractual, of
certain members of society to others, generally embraced in the concept of status. The fundamental
distinction between obligations of this character and those which arise from contract, rests upon the
fact that in cases of non-contractual obligation it is the wrongful or negligent act or omission itself
which creates the vinculum juris, whereas in contractual relations the vinculum exists independently
of the breach of the voluntary duty assumed by the parties when entering into the contractual
relation. The contract of defendant to transport plaintiff carried with it, by implication, the duty to carry
him in safety and to provide safe means of entering and leaving its trains (contract of carriage). That
duty, being contractual, was direct and immediate, and its non-performance could not be excused by
proof that the fault was morally imputable to defendant's servants. The railroad company's defense
involves the assumption that even granting that the negligent conduct of its servants in placing an
obstruction upon the platform was a breach of its contractual obligation to maintain safe means of
approaching and leaving its trains, the direct and proximate cause of the injury suffered by plaintiff
was his own contributory negligence in failing to wait until the train had come to a complete stop
before alighting (Doctrine of comparative negligence, Rakes doctrine). If the accident was caused by
plaintiff's own negligence, no liability is imposed upon defendant's negligence and plaintiff's
negligence merely contributed to his injury, the damages should be apportioned. It is, therefore,
important to ascertain if defendant was in fact guilty of negligence. The test by which to determine
whether the passenger has been guilty of negligence in attempting to alight from a moving railway
train, is that of ordinary or reasonable care. It is to be considered whether an ordinarily prudent
person, of the age, sex and condition of the passenger, would have acted as the passenger acted
under the circumstances disclosed by the evidence. This care has been defined to be, not the care
which may or should be used by the prudent man generally, but the care which a man of ordinary
prudence would use under similar circumstances, to avoid injury." (Thompson, Commentaries on
Negligence, vol. 3, sec. 3010.) RULING: that the train was barely moving when plaintiff alighted is
shown conclusively by the fact that it came to stop within six meters from the place where he
stepped from it. Thousands of person alight from trains under these conditions every day of the year,
and sustain no injury where the company has kept its platform free from dangerous obstructions.
There is no reason to believe that plaintiff would have suffered any injury whatever in alighting as he
did had it not been Q: If there is a contract bet. the parties, can there be a quasi-delict committed by
one against the other regarding the area covered by the contract? A: If you look at Art. 2176, you get
the impression that if there is a contract bet. the parties, they cannot be liable for quasi-delict on an
area covered by the contract. The case of Cangco has not really resolve this controversy. Case:
CANGCO VS. MANILA RAILROAD CO. [38 P 768] Balane: There are two important principles that
we learn fr. this case: The difference in concept bet. contract & quasi-delict is that in a contract, there
is a pre-existing juridical tie bet. the parties. Violation of the contract gives rise to liability but not to
the juridical tie. Juridical tie is not borne by a violation. In quasi-delict, it is precisely the wrongful act
w/c gives rise to the juridical tie. Liability & juridical tie are simultaneous. Contracts & quasi-delicts
create two concentric circles w/ quasi-delict as the bigger circle. [Note: There is a little mistake in
Cangco. The SC said that the driver can be sued under culpa contractual. This is wrong. The driver
cannot be sued as he has no privity of contract w/ the passenger.] FACTS: Cangco was an EE of
MRR Co. He takes the train going home from work. That day he alighted from the train while it was
still slightly in motion. He landed on the elevated platform on top of some sacks of watermelon which
made him fall violently, rolled away from the platform under the moving train where he badly crashed
and lacerated his right arm. It happened at night bet 7-8pm and d station was poorly lit. Cangcos
arm was amputated twice. The seriousness of his injury made him file a case for damages vs MRR
Co. HELD: It can not be doubted that the employees of the railroad company were guilty of
negligence in piling these sacks on the platform in the manner above stated; that their presence
caused the plaintiff to fall as he alighted from the train; and that they therefore constituted an
effective legal cause of the injuries sustained by the plaintiff. It necessarily follows that the defendant
company is liable for the damage thereby occasioned unless recovery is barred by the plaintiff's own
contributory negligence. It is important to note that the foundation of the legal liability of the
defendant is the contract of carriage, and that the obligation to respond for the damage which
plaintiff has suffered arises, if at all, from the breach of that contract by reason of the failure of
defendant to exercise due care in its performance. That is to say, its liability is direct and immediate,
differin is that which, in natural and continuous sequence, unbroken by any efficient intervening
cause, produces injury and without which the result would not have occurred. The exemplification by
the Court in one case is simple and explicit; viz: "(T)he proximate legal cause is that acting first and
producing the injury, either immediately or by setting other events in motion, all constituting a natural
and continuous chain of events, each having a close causal connection with its immediate
predecessor, the final event in the chain immediately affecting the injury as a natural and probable
result of the cause which first acted under such circumstances that the person responsible for the
first event should, as an ordinarily prudent and intelligent person, have reasonable ground to expect
at the moment of his act or default that an injury to some person might probably result therefrom." C.
COMPLIANCE WITH OBLIGATIONS: Article 19. Every person must, in the exercise of his rights and
in the performance of his duties, act with justice, give everyone his due, and observe honesty and
good faith. Article 1163. Every person obliged to give something is also obliged to take care of it with
the proper diligence of a good father of a family, unless the law or the stipulation of the parties
requires another standard of care. Article 1164. The creditor has a right to the fruits of the thing from
the time the obligation to deliver it arises. However, he shall acquire no real right over it until the
same has been delivered to him. Article 1165. When what is to be delivered is a determinate thing,
the creditor, in addition to the right granted him by article 1170, may compel the debtor to make the
delivery. If the thing is indeterminate or generic, he may ask that the obligation be complied with at
the expense of the debtor. If the obligor delays, or has promised to deliver the same thing to two or
more persons who do not have the same interest, he shall be responsible for any fortuitous event
until he has effected the delivery. Article 1166. The obligation to give a determinate thing includes
that of delivering all its accessions and accessories, even though they may not have been
mentioned. Balane: Three types of obligations.-- (1) obligation to give; (2) obligation to do;g
essentially, in legal viewpoint from that presumptive responsibility for the negligence of its servants,
[RESPONDEAT SUPERIOR], which can be rebutted by proof of the exercise of due care in their
selection and supervision. (presumption juris 6
for defendant's negligent failure to perform its duty to provide a safe alighting place. CASE: Where
there could still be QD even when there is contract of carriage GUTIERREZ VS. GUTIERREZ [56
P 177] FACTS: A truck and a car collided on a narrow bridge. A passenger of the truck was injured
and filed a case. The owner of the truck was made defendant although his driver was driving the
truck at that time and he was not a passenger of the truck. The owner of the car was also made
defendant although the driver of the car at the time of the collision was his son, 18 yrs. of age, w/
other members of the family accommodated therein, but not the car owner. HELD: The court found
both drivers negligent. The owner of the truck was made liable for culpa contractual, under the
contract of carriage. The owner of the car was made liable under Art. 2180, imputed liability for culpa
aquiliana. FRAUD dolo involves willfulness or deliberate intent to cause damage or injury to another
the act itself NEGLIGENCE Culpa mere want of care or diligence, not voluntary act or omission (1)
Wrongful act or omission imputable to the defendant by reason of his fault or negligence; (2)
Damage or injury proven by the person claiming recovery; (3) A direct causal connection between
the negligent act and the injury. DOCTRINE OF PROXIMATE CAUSE & 2. substitute performance
- performance at the expense of the debtor damages 3. equivalent performance - grant of Articles
1163 - 1166 cover obligation to give. Three Accessory Obligations: 1. Art. 1163.-- To take care of the
thing w/ the diligence of a good father of a family until actual delivery. 2. Art. 1164.-- To deliver the
fruits to the creditor (fruits produced after obligation to deliver arises.) 3. Art. 1166.-accessories.
Balane: To deliver accessions determinate (specific) or indeterminate (generic) 2. to do real
In all these cases, the creditor has the option of resolution or rescission under Art. 1191. In addition,
he can also claim damages. Article 1244. The debtor of a thing cannot compel the creditor to receive
a different one, although the latter may be of the same value as, or more valuable than that which is
due. In obligations to do or not to do, an act or forbearance cannot be substituted by another act or
forbearance against the obligee's will. Article 1245. Dation in payment, whereby property is alienated
to the creditor in satisfaction of a debt in money, shall be governed by the law of sales. Article 1246.
When the obligation consists in the delivery of an indeterminate or generic thing, whose quality and
circumstances have not been stated, the creditor cannot demand a thing of superior quality. Neither
can the debtor deliver a thing of inferior quality. The purpose of the obligation and other
circumstances shall be taken into consideration. Article 1460. A thing is determinate when it is
particularly designated or physical segregated from all others of the same class. The requisite that a
thing be determinate is satisfied if at the time the contract is entered into, the thing is capable of
being made determinate without the necessity of a new or further agreement between the parties
Article 442. Natural fruits are the spontaneous products of the soil, and the young and other products
of animals. Industrial fruits are those produced by lands of any kind through cultivation or labor. Civil
fruits are the rents of buildings, the price of leases of lands and other property and the amount of
perpetual or life annuities or other similar income NATURE AND EFFECTS OF s OBJECT OF
THE : 1. to give the want or care or diligence A single act may be a crime and a QD at the same
time; (Art. 100, RPC) Injured party cannot recover damages twice for the same act or omission of
defendant; (must choose 1 Rem.) CRIME public right As to nature of Right violat ed Is a Wrong
agains t Crimin al Intent Legal Basis for liabilit y Liabili ty for Dama ges Form of Redre ss Quant um
of Eviden ce Compr omise QUASI-DELICT private right the individual the State not needed Broad
Necessary penal necessary law every QD gives rise to liability for damages reparation for injury
suffered/indemnificatio n/compensation preponderance there are without liability crimes civil
punishment/fine/i mprisonment beyond reasonable doubt criminal liability can never be compromised
can be compromised REQUISITES FOR LIABILITY: (onus) 7
I. Obligation to give A. Specific thing B. Generic thing II. To do III. Not to do (this includes all
negative obligations like obligation not to give.) Kinds of performance.-1. specific performance -
performance by the debtor himself ( applies only to to give ) C. Obligation not to do 1. substitute
performance 2. equivalent performance. (3) obligation not to do. Nature of Act Gives rise to &
Personal right arises fr. the time the obligation to deliver arises whereas the real right does not arise
until actual delivery. Articles 1165 - 1167.-- Remedies Available to the Creditor (specific
performance, substitute performance, equivalent performance.) A. In obligations to give 1. A
determinate thing a. Specific performance b. This is bec. of the principle Non nudis pactis, sed
traditione, dominia rerum transferentur (It is not by mere agreement, but by delivery, is ownership
transferred.) Real right is a right w/c is enforceable against the whole world. He has only the
personal right against the debtor w/ regard to the undelivered fruits. From the time the obligation
arises, the creditor has a personal right against the debtor as to the fruits. But he has no real right
over them until actual delivery. A pure obligation is one w/c is not subject to a condition or a term.
CASE: re Art. 1179, par. 2 PAY V. PALANCA [57 SCRA 618] From the manner in w/c the P/N was
executed, it would appear that petitioner was hopeful that the satisfaction of his credit could be
realized either through the debtor sued receiving cash payment fr. the estate of the late Carlos
Palanca presumptively as one of the heirs, or, as expressed therein, "upon demand."
(ALTERNATIVE ) There is nothing in the record that would indicate whether or not the first
alternative was fulfilled. What is undeniable is that on 8/26/67, more than 15 yrs. after the execution
of the P/N on 1/30/52, this petition was filed. The defense interposed was prescription. Its merit is
rather obvious. Art. 1179, par. 1 says so. xxx The obligation being due was intended, the courts
may fix the duration thereof. The courts shall also fix the duration of the period when it depends
upon the will of the debtor. In every case, the courts shall determine such period as may under the
circumstances have been probably contemplated by the parties. Once fixed by the courts, the period
cannot be changed by them. belongs to a person who may demand from another, as a definite
passive subject, the fulfillment of a prestation. is the power by a person over a specific thing,
susceptible of being exercised against the whole world. PERSONAL RIGHT e.g. extra ordinary
diligence required in Common carriers (2) Stipulation of Parties (3) Presumed: diligence of a Good
father of the Family if none is specified/expressed by law or agreement. REAL RIGHT not totally
generic nor specific; oblig. To deliver one of SEVERAL things; does not have designation nor
physical segregation; Rule re Fortuitous Events still apply. DETERMINATION OF DILIGENCE
REQUIRED: (1) LAW In an to deliver a generic thing, the object is determinable; when delivered
it becomes determinate. DELIMITED GENERIC is one that is indicated only by its kinds, without
being distinguished from others of the same kind. (indeterminate) the to deliver arises only if the
creditor is entitled; 8
(3) Art. 1166 delivery of the accessions and of the accessories (Art 440); b. GENERIC THING
natural / industrial / civil The reason for this is that specific performance will give rise to involuntary
servitude. do) REAL : a. DETERMINATE particularly designated from a particular class;
PRINCIPAL to give (to deliver) a determinate thing; ACCESSORY exists even when not
expressly stipulated; (1) Art. 1163 to take care of the thing with proper diligence of a good father of
the family; (2) Art. 1164 to deliver the fruits; (441) only equivalent performance is available In an
obligation to do w/c is not personal: a. substitute performance b. equivalent performance Note: In
obligations to do, specific performance is not available. positive (to do) or negative (not to B. In an
obligation to do, make a distinction: In obligation to do, w/c is purely personal personal
Equivalent performance 2. A generic thing, all remedies are available 3. not to do & The condition
must be suspensive, potestative We are talking here of a suspensive condition. First sentence of
Art. 1182.- running of Rx.pd. starts immediately upon creation of the ; Article 1179. Every
obligation whose performance does not depend upon a future or uncertain event, or upon a past
event unknown to the parties, is demandable at once. Q: Does the happening of a condition give rise
to the ? A: Not necessarily, only if suspensive condi.; if resolutory condi, the happening
exctinguishes the ; Q: In an with a TERM will the answer above be the same? A: b.
CONDITIONAL Article 1181. In conditional obligations, the acquisition of rights, as well as the
extinguishment or loss of those already acquired, shall depend upon the happening of the event
which constitutes the condition. Article 1182. When the fulfillment of the condition depends upon the
sole will of the debtor, the conditional obligation shall be void. If it depends upon chance or upon the
will of a third person, the obligation shall take effect in conformity with the provisions of this Code.
Balane: demandable at once demandable (bec. Of the phrase upon demand), it would appear
that the filing of the suit after 15 yrs. was much too late. PURE & From the moment the to
deliver a determinate thing arises, the creditors earns a personal right over the thing and its fruits,
but only delivery or tradition transfers ownership that is a real right over the thing against the whole
world. For failure to deliver, the creditors remedy is not reivindicacion but specific performance.
[CHAPTER 2: Right of Accession GENERAL PROVISIONS] Article 440. The ownership of
property gives the right by accession to everything which is produced thereby, or which is
incorporated or attached thereto, either naturally or artificially. Kinds of Fruits; 1) CIVIL derived by
virtue of juridical relation 2) Natural spontaneous products of the soil and the young and other
products of animals; 3) Industrial produced by lands of any kind through cultivation or labor or by
reason of human labor. Ddepends on the sole will of the debtor.