OBLIGATIONS AND CONTRACTS

Extinguishment of Obligations

BSBA MM 2-1

ONLINE QUIZ – Chapter 4, Extinguishment of Obligations

Deadline for Submission: May 15, 2020

MEL BRYAN R. MAPA

BSBA MKT 2-1

FILL IN THE BLANK QUESTIONS

(Provide the missing answer/s. Correct answer is equivalent to 1 Point.)

1. Payment means not only the delivery of money but also the performance, in any
other manner, of an obligation.

2. A debt shall not be understood to have been paid unless the thing or service in
which the obligation consists has been completely delivered or rendered, as the
case may be.

3. If the obligation has been substantially performed in good faith the obligor may
recover as though there had been a strict and complete fulfillment, less damages
suffered by the obligee.

4. He who has various debts of the same kind in favor of one and the same creditor,
may declare at the time of making payment, to which of them the same must be
applied.

5. If the debt produces interest, payment of the principal shall not be deemed to
have been made until the interests have been covered.

6. The debtor may cede or assign his property to his creditors in payment of his
debts.

7. Condonation or remission is essentially gratuitous, and requires the acceptance

by the obligor. It may be made expressly or impliedly.

8. Compensation shall take place when two persons, in their own right, are
creditors and debtors of each other. (1195)

9. In order that an obligation may be extinguished by another which substitute the

same, it is imperative that it be so declared in unequivocal terms or that the old
and the new obligations be on every point incompatible with each other. (1204)

10. Novation which consists in substituting a new debtor in the place of the original
one, may be made even without the knowledge or against the will of the latter,
but not without the consent of the creditor. Payment by the new debtor gives
him the rights mentioned in Articles 1236 and 1237. (1205a)

LEOVIGILDO M. DAYOJA
Course Instructor