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    Rudith ann Quiachon
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    Obligations with a penal clause

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    21 views5 pages

    Obligations With A Penal Clause

    Uploaded by

    Rudith ann Quiachon

    Copyright:

    © All Rights Reserved
    Download as PDF or read online from Scribd
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    of 5
    _— obligations with a Pen SECTION 6. ‘clanse tal a forced only whe oe at this Code. (11528) lau Meaning of principal and accessory obligations. (0) Principal obation sone which ca standby itt and does not depend for its validity and existence upay ‘nother obligation (@). Accsory obligation is one which is attached toa principal obligation and therefore, cannot stand alone, Meaning of obgton with a penal cla Ane p cle ion eich oti an acnyandratng to pay a previoualy spa ita neo rach ft principal preston ‘ended pati nde lilt ret _ema eee eaning of penal clause, ‘peta ae an cso weighed 0 an slgaton 1 sue restr ably in ae of beach on aon til, ri oy organ ‘Sonplied with purposes of penal clause, “They are (a). toinsure thei performance by creating aneffectve seven agaist breach, making the consequenes of such deters onerous st may be possible (Ylo vs. Chan Pe, trp 194) This the general purpose ofa penal clause; nd (2) to substitute penalty forthe indemnity for damages and the payment of interests in ease of non- aarfance (At. 1225) rt punish the debtor forthe non {Siment oF voltion of is bigaton. he first se the purposes eparation:inthe second, punishment penal clause and condition distinguished. ‘There are notable differences betwen the tw. (Q) The first constitutes an obligation although accessory, while the latter does nat and {@) Therefore the former may become demandable in default of te unperformed obligation and sometimes inty rah it while the latter is never demandable. 8 Manresa 24) Kinds of penal clause. “They ae: () Astodts origin: (a). Legal penal aus. — when itis provided by lawzand ‘Scanned with CamSeanner uv quounen ny comin vhs txt pant parts @) Anise: , a) Some ea hen the penal tle pot dames ec afane~ wien he pray sp ey prent fbr. arin oe 63 ny att ele. any Repay ee ome pnd Whig te net gan ete peal dace ch ‘sre Bane) Penalty substitutes for damages ‘and interest. ‘Asa general nan obigation witha penal claus, past li oe nde dag andthe payment fntrstsin cas of non-compliance. (Ar, 12) Prof of actual damages suffered by the creditors net necessary in ode thatthe penalty may be enforce. (Ast 128) When creditor may recover damages. ‘The cto, ination tothe penalty, may recover lamages and interests: (1) When so stipulated by the partis 12) When the obligor refuses 49 pay the penalty in ‘which asthe creditor may recover legal interest hereon (9) When heoblgors uty of ruin thealliment ofthe bigation (Art. 1225), in which ease the creditor may cover damages caused by such fraud, pT SOF Oca: » EXAMPLE rite ey ene cme bcm Se pra poy gers oe Sool Saeco og cont ae mea LSM a the pea ats vente proves 1 pu atl ey he Powe he damage stena ‘The pot substi st ney re any of PAOLO ns easy eee which case may io oer edamape pace Xap the pea. Y mayen xt thon he int neentg nev dae a Shouts henonpaymente pea sean iY inti bene obligation heakolalefrtc amagescnsné ey ‘col ih te hPa a cxstence nd amount of danogcrs nomic ‘Yee not prove aud oneness When penalty may be enforced. ‘Thepenalty maybeenored only whentisdemandsble Inacordance with the provisions afte Civil Code (hi, pat 2) This means that the penal, as astpulatonin contact isdemandbl only if thee isa breach ofthe olga an itisnot contrary to la, moral, good customs, publica, te publc policy (Ae 1306) ‘Thus, if the obligation cannot be fulfilled due to & fortuitous event, the penalty is not demandabl. Under ‘Article 1229, the penalty may be reduced it niglous for unconscionable or in ese there is part or ier fatiiment © ART.1227. The deblor cannot exempt ims! ‘rom the performance ofthe obligation by paying ‘Scanned with CamSeanner eget sinter e ‘boon expressly orient ofthe obligation Ste sre ec a and the salsiet thas been clearly grantog tim, unless ths ior the creditor has decide ree wm ete ety ect ptermane. acerca ne Reeder ry EXAMPLE Stem de Bein pact esta pn poly ind amount PLO. Unde te aove ari, Scat it py the pay samt frne-corpansoth pang, ‘Sot whenbeieaetgem hen by Bo dome Penal clause presumed subsidiary. Asa general rule the creditor cannot demand the futlment of the obligation andthe satistaction ofthe penalty tthe same tine, The primary purpose of penay {5 to urge the debtor fo the performance of the mala obligation. (0) Whee — Once the obligations ‘ule this purposes tained and, therefore, there isn wate Sipe RIT we get for demanding — on ee tne say ay one Crt tition hea eco decd \dbecome impos sethout his ful. Gee Aw a eae tn the part of the debs, the dace ree ma fad as welll as dam ena covet the Boal 0 well a dames oon Eon Seat cn sutotige spanner “oh genchnsiearatecr ok 2)” MSddst cn wh iabptin onde bench ein et eae me ‘satisfaction of the penalty . me (0) Bhatt ssp dean pment cn ‘aie store mpi tetra Seta le ey nota (©) 1 9 has dhsen and sve he peal, Fhe may no susan reuse alto uation ehihisdeomd wep y both het, However he may sil demand alfiliedaldS t pay the penal (6) the nonulfiinent of he obligation is atibutable fo the Faudcoomite by 8 oth the stpltdperaly and damages seed by By be recovered by him ‘Scanned with CamSeanner “ HE Lav oN OBUEATINS AND . Sem _ When penal cause ot snp pry in is ‘The debor ashe EH EE expres naa formance only when tis ight has Boer y ved me ar nes peformance and Bante hi. (4772) Ii there b ten ot yressly resery mal han ot Sencha ot ei ey Ela fo he ven Sindee St Soc esha Se Ear Bo os er reraanoee

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