Elaisa Mae V.

Sebastian

BSACC-1 BLK 1

ASSIGNMENT FOR MODULE 2, PART 2

Laws on Obligation and Contract

QUESTION:

What are the essential requisites of an Obligation? Give an example to illustrate them.

1. Active subject - It is the party (creditor or obligee) who has the right to demand the
performance of an obligation.

2. Passive subject - It is the one (debtor or obligor) who is obliged to perform the
obligation.

3. Prestation - It is the object of the obligation. It is what the obligation is all about either
to give, to do, not to do, or a combination.

4. Efficient Cause - The juridical tie that binds the parties to an obligation. It is what
binds the parties (e.g. contracts, quasi contracts).

For example, Romeo signed a loan contract with Juliet in order to borrow money from
her to spend on Juliet's courtship. Juliet, in turn, agreed to lend Romeo money.

Romeo is the passive subject in the preceding example, while Juliet is the active
subject. Their prestation is the borrowed money, and their efficient cause is the loan
contract. Because all of the essential requirements of an obligation are present, such a
contract creates an obligation.