Pure and Conditional Obligations (1179)

A. Condition - an event which is both future and uncertain upon which the existence or
extinguishment of an obligation is made to depend.

NOTE: IF THE EVENT WILL CERTAINLY, AND THE UNCERTAINTY LIES ON WHEN IT IS
SURE TO HAPPEN, IT IS CALLED A PERIOD, NOT A CONDITION.

B. Pure Obligation - does not contain any condition or term upon which its fulfillment is
made to depend. Immediately demandable by creditor, if debtor does not comply with his
prestation after valid demand, he is placed in default.

C. Conditional Obligation - an obligation which is subject to condition. Its effectivity is

subordinated to the fulfillment or the non-fulfillment of a condition (future and uncertain
event).

Kinds of Conditions:
1. Suspensive - its fulfillment gives rise to the obligation; no fulfillment would mean that no
obligation will rise.
2. Resolutory - happening of condition extinguishes an already existing obligation.

D. Past Events Unknown to the Parties as an Obligation

If the obligation is made conditional to past events, it then appears to be a conditional obligation.
However such events cannot be considered as an obligation since in reality is no longer
uncertain or futuristic; as the event had already happened in the past. The uncertainty is not in
actuality, but only in the minds of the parties who did not know of the transpiration of the
event.

Application:
The only possibility of applying a past event as a condition in a obligation is the future
knowledge or proof of the past event, but not the very past even itself.

E.g. A promised to give B 100k if Rizal had a fair trial by the Spanish authorities. Sufficient
evidence that was presented proved that Rizal indeed had a fair trial. Hence A is obliged to pay
B 100k.

E. Immediate Demandability of Obligation vs. Fulfillment of Obligation

Creditor can immediately demand the performance of obligation, however the attribute of
immediately demandable is not impaired when a reasonable period is granted by a court for its
performance.
E.g. A executed a promissory note without fixing the period of payment to B. Obligation was
declared pure and hence immediately demandable by B the creditor. However the court granted
A a grace period of 10 days. This grant does not infringe on the demandability of the obligation.
Impossible and instantaneous compliance is not contemplated by the law.

F. Traditional Classifications of Conditions.

1.
a. Suspensive - fulfillment of condition causes the birth of rights
contemplated in the obligation
b. Resolutory - fulfillment of condition results to the extinguishment of rights
that have previously arisen from obligation
2.
a. Potestative - performance depends on the will of the debtor (e.g. I'll buy
you a ring when I'm in the mood)
b. Casual - fulfillment of condition depends on chance or will of third person
(e.g. if i win the lotto, I'll buy you a car)
c. Mixed - fulfillment of condition depends partly upon the will of a party to
the obligation and partly upon chance and/or will of third persons (e.g. I'll
give you a ring if I want to, and if A will marry B)
3.
a. Possible - Condition is capable of fulfillment accdg. to nature, law, public
policy or good customs
b. Impossible - condition is not capable of fulfillment according to the same
aforementioned enumeration.
4.
a. Positive - involves the doing of an act
b. Negative - involves the omission of an act
5.
a. Divisible - condition is susceptible of partial performance
b. Indivisible - condition is not susceptible of partial performance
6.
a. Conjunctive - there are several conditions in an obligation and all of
which must be performed.
b. Alternative - there are several conditions in an obligation but only one
should be performed.
7.
a. Express - condition is expressly stated.
b. Implied - condition is not expressly stated but merely inferred from the
conduct of parties.

Fixing of Period as to When Payment Shall be Made (1180)

A. General Rule
When the debtor binds himself to pay using forms of promises or commitment (e.g. as soon as
possible etc.), the obligation is deemed with a period or term.

The moment of payment is dependent on the will of the debtor but not the payment. As the time
of payment is not fixed, the same must be fixed first before any action for collection
should be allowed.

This means that the creditor cannot immediately file an action for collection without first
going to the court for the fixing of the period as to when the debtor shall pay. Otherwise,
the action is dismissible for being premature.

B. Exception: when the prior action of fixing the term or period will only be a formality and
will serve no purpose but delay, an immediate action for collection is allowed.

C. 1180 is Subject to 1197

If obligation does not fix a period but it can be inferred through the nature and circumstances
that a period is intended, the courts may fix a period considering the circumstances
contemplated by the parties. Once fixed by the courts, the parties may never change the
period.

D. Analogous Phrases Indicating a Term or Period

1. Commitment to pay "little by little"
2. "As soon as possible"
3. "As soon as I have money"
4. When creditor agreed "to wait until that debtor could pay the full indebtedness"
5. Obligation to be paid "in partial payments".