Matrix of loss, deterioration, or improvement pending the fulfillment of the suspensive condition

o Note: C is the owner (apply principle of retroactivity where effects retroact to the day the
obligation is constituted)
Without D’s fault Effect
1. Loss Obligation is extinguished
EXC: Stipulation to the contrary

2. Deterioration C must accept thing in its impaired condition (owner bears the
loss)
D not liable for damages
With D’s fault Effect
1. Loss Damages

2. Deterioration C may demand fulfillment plus damages

Improvement by nature
Improvement by D
OR rescission plus damages
For the benefit of the C (principle of retroactivity)
Granted the same rights as a USUFRUCTUARY
1. May remove improvement if removable without
damage/injury to the thing
2. Must deliver improvement together with the thing if not
removable without injury

Matrix of loss, deterioration, or improvement pending the fulfillment of the resolutory condition (Art.
1190)
o Mutual restitution  same rules as Art. 1189 (just opposite effects)
o Right or obligation is EXTINGUISHED upon happening of the resolutory condition
o Law aims to restore to the parties as far as practicable to their positions when the obligation was
constituted. Thus, return what each has received.
o Debtor  Person bound to return the thing
Without D’s fault Effect
1. Loss Obligation to return is extinguished (i.e. resolutory condition
occurred, but a typhoon happened in the meantime = cannot
return thing anymore)
EXC: Stipulation to the contrary

2. Deterioration C must accept thing in its impaired condition.

D not liable for damages.
With D’s fault Effect
1. Loss Damages (i.e. While returning the truck, crashed it somewhere.
With negligence)

2. Deterioration C may demand fulfillment plus damages

OR disregard the condition plus damages
Improvement by nature For the benefit of the C (person whom thing is to be returned)
(principle of retroactivity)
Improvement by D Granted the same rights as a USUFRUCTUARY
1. May remove improvement if removable without
damage/injury to the thing
2. Must deliver improvement together with the thing if not
removable without injury