OBLIGATIONS PROVISIONS 1156-1162

BY: ZEBASTIAN VILLARAMA, 1-DLM

BS LEGAL MANAGEMENT, SAN BEDA UNIVERSITY-MANILA

DEFINITION & SOURCES OF OBLIGATION

ARTICLE 1156 - An obligation is a juridical necessity to give, to do, or not to do.
(n)

ESSENTIAL REQUISITES OF OBLIGATION;

(1) Juridical tie or vinculum juris;

(2) Object or prestation;
(3) Active subject, known as the obligee or creditor; and
(4) Passive subject, known as the obligor or debtor

JURIDICAL TIE/VINCULUM JURIS

Roman law term meaning “legal relationship or tie.” It binds the parties essentially to
the object of the obligation, known as the prestation, by virtue of which the debtor is
bound to the creditor to fulfill a determinate prestation. It is also the efficient cause, the
very reason for the existence of the obligation.

PRESTATION
Defined as the particular conduct required to be observed by the obligor and can be
demanded by the obligee. If the obligation is arising from contracts, the object or
subject matter of such obligation could be a thing, a right, or a service. On the other
hand, an object is always a particular conduct of the obligor called “prestation.”

KEY DIFFERENCE IN OBJECTS

OBLIGATIONS ARISING FROM OTHER OBLIGATIONS ARISING FROM

SOURCES OF OBLIGATIONS CONTRACTS

Object is always a particular conduct of Subject matter may either be a thing, a

the obligor called prestation. right, or a service.

REAL OBLIGATIONS - obligation to give;

POSITIVE PERSONAL OBLIGATIONS - obligation to do;
NEGATIVE PERSONAL OBLIGATIONS - obligation not to do
ACTIVE & PASSIVE SUBJECTS
OBLIGEE (CREDITOR) - has the right to demand the prestation; the ACTIVE SUBJECT
since he has the power to demand performance of the prestation; view on the obligation
is a RIGHT or CREDIT.
OBLIGOR (DEBTOR) - compelled to perform the prestation; the PASSIVE SUBJECT
since their action depends upon the action of the creditor; view on the obligation is a
DEBT.

LEGAL SANCTIONS DO NOT INCLUDE IMPRISONMENT OF THE DEBTOR FOR THE MERE
NON-PAYMENT OF A DEBT OR NON-PERFORMANCE OF OBLIGATION (SEC.3, ART.3,
1987 CONSTI).

ARTICLE 1157 - Obligations arise from:

(1) Law;
(2) Contracts;
(3) Quasi-Contracts;
(4) Acts or omissions punishable by law; and
(5) Quasi-delicts. (1089a)

LAW AS A SOURCE OF OBLIGATION - (OBLIGATIO EX LEGE)

ARTICLE 1158 - Obligations derived from law are not presumed. Only those
expressly determined in this Code or in special laws are demandable, which
shall be regulated by the precepts of the law which establishes them; as to
what has not been foreseen, by the provisions of this Book. (1090)

CONTRACTS AS A SOURCE OF OBLIGATION - (OBLIGATIO EX CONTRACTU)

ARTICLE 1159 - Obligations arising from contracts have the force of law
between the contracting parties and should be complied with in good faith.

QUASI-CONTRACTS AS A SOURCE OF OBLIGATION - (OBLIGATIO EX CUASI

CONTRACTU)
ARTICLE 1160 - Obligations derived from quasi-contracts shall be subject to the
provisions of Chapter 1, Title XVII, of this book. (n)
ARTICLE 2142 - Certain lawful, voluntary and unilateral acts give rise to the
juridical relation of quasi-contract to the end that no one shall be unjustly
enriched or benefited at the expense of another
No man shall enrich himself at the expense of another (nemo cum alterius detrimento
locupletari protest)

TYPES OF QUASI-CONTRACT

NEGOTIORUM GESTIO
ARTICLE 2144 - Whoever voluntarily takes charge of the agency or
management of the business or property of another,without any power from
the latter, is obliged to continue the same until the termination of the affair
and its incidents, or to require the person concerned to substitute for him, if
the owner is in a position to do so.

REQUISITES OF NEGOTIORUM GESTIO

(1) A person called the officious manager or gestor, voluntarily assumes the
agency or management of the business or property of another;
(2) The property or business is neglected or abandoned;
(3) There is no authorization from the owner, either expressly or impliedly; and
(4) The assumption of agency or management is done in good faith.

EXCEPTIONS:

(1) When the property or business is not neglected or abandoned; and

(2) If in fact the manager has been tacitly authorized by the owner.

LIABILITIES OF GESTOR
ARTICLE 2147 - The officious manager shall be liable for any fortuitous event:

(1) If he undertakes risky operations which the owner was not

accustomed to embark upon;
(2) If he has preferred his own interest to that of the owner;
(3) If he fails to return the property or business after demand by the
owner;
(4) If he assumed the management in bad faith. (1891a)

ARTICLE 2148 - Except when the management was assumed to save the
property or business from imminent danger, the officious manager shall be
liable for fortuitous events:
 (1) If he is manifestly unfit to carry on the management;
(2) If, by his intervention he prevented a more competent person from
taking up the management. (n)

LIABILITIES OF OWNER TO THE GESTOR

(a) Obligations incurred in his interest;

(b) Necessary and useful expenses; and
(c) Damages suffered by the gestor in the performance of his duties.

SOLUTIO INDEBITI

ARTICLE 2154 - If something is received when there is no right to demand it,

and it was unduly delivered through mistake, the obligation to return it
arises.

APPLICATION OF SOLUTIO INDEBITI

(1) A payment is made when there exists no binding relation between the payor,
who has no duty to pay, and the person who received the payment; and
(2) The payment is made through mistake, and not through liberality or some other
cause.

OTHER FORMS OF QUASI-CONTRACT

(A) GIVING OF LEGAL SUPPORT AND PAYMENT OF FUNERAL EXPENSES

(B) ACTS OF GOOD SAMARITAN
(C) THIRD PERSON PAYS DEBT OR TAXES OF ANOTHER
(D) ACTS IN CONSIDERATION OF GENERAL WELFARE

DELICTS AS A SOURCE OF OBLIGATION - (OBLIGATIO EX DELICTO)

ARTICLE 1161- Civil obligations arising from criminal offenses shall be governed
by the penal laws, subject to the provisions of Article 2177, and of the
pertinent provisions of Chapter 2, Preliminary Title, on Human Relations, and
of Title XVIII of this Book, regulating damages. (1092a)

BASIS OF CIVIL LIABILITY IN CRIMES OR DELICTS

ARTICLE 100 (RPC) - Civil liability of a person guilty of felony. — Every person
criminally liable for a felony is also civilly liable.

CIVIL LIABILITY EXISTS IN A CRIME ONLY IF THERE IS A PRIVATE OFFENDED PARTY

WHO SUFFERED DAMAGE.

WHAT GIVES RISE TO THE CIVIL LIABILITY IS REALLY THE OBLIGATION OF EVERYONE
TO REPAIR OR TO MAKE WHOLE THE DAMAGE CAUSED TO ANOTHER BY REASON OF
HIS ACT OR OMISSION, WHETHER DONE INTENTIONALLY OR NEGLIGENTLY AND
WHETHER OR NOT PUNISHABLE BY LAW (Occena v. Icamina, supra).

CRIMINAL LIABILITY WILL GIVE RISE TO CIVIL LIABILITY ONLY IF THE SAME
FELONIOUS ACT OR OMISSION RESULTS IN DAMAGE OR INJURY TO ANOTHER AND IS
THE DIRECT AND PROXIMATE CAUSE THEREOF (Banal v. Tadeo, Jr., 156 SCRA 325).

EFFECT OF ACQUITTAL OF THE ACCUSED TO CIVIL LIABILITY

KINDS OF ACQUITTAL WITH DIFFERENT EFFECTS ON THE CIVIL LIABILITY OF THE

ACCUSED

(A) ACQUITTAL ON THE GROUND THAT THE ACCUSED IS NOT THE AUTHOR OF THE
ACT OR OMISSION COMPLAINED OF.

RESULT IN CIVIL LIABILITY -> DISABLES CIVIL LIABILITY. A person who has been
found not the perpetrator of any act or omission cannot and can never be held liable
for such act or omission (Manantan v. CA, 350 SCRA 387)

(B) ACQUITTAL BASED ON REASONABLE DOUBT ON THE GUILT OF THE ACCUSED

RESULT IN CIVIL LIABILITY -> RETAINS CIVIL LIABILITY BASED ON THE CRIME. A
person acquitted of a criminal charge is not necessarily free from civil liability because
the quantum of proof required in criminal prosecution (proof beyond reasonable
doubt) is greater than that required for civil liability (mere preponderance of evidence)
(Nuguid v. Nicdao, GR No. 150785, 502 SCRA 93)
IN ORDER TO BE COMPLETELY FREE FROM CIVIL LIABILITY, A PERSON’S ACQUITTAL
MUST BE BASED ON THE FACT THAT HE DID NOT COMMIT THE OFFENSE (Nuguid v.
Nicdao, GR No. 150785, 502 SCRA 93)

RULE OF IMPLIED INSTITUTION

RULE 111, SEC. 1, 2000 ROC - When a criminal action is instituted, the civil action
for the recovery of the civil liability arising from the offense charged is
deemed instituted with criminal action, unless the offended party waives the
civil action, reserves the right to institute it separately or institutes the civil
action prior to the criminal action.

Civil action which is deemed instituted with the criminal action is one which is based on
the delict (Casupanan v. Laroya, GR No. 145391, 2002).

EFFECT OF DEATH OF ACCUSED PENDING APPEAL

In People v. Bayotas, the Supreme Court ruled that the civil liability arising from the
crime or delict (or civil liability ex delicto) is also extinguished by the death of the
accused along with his criminal liability.

QUASI-DELICTS AS A SOURCE OF OBLIGATION - (OBLIGATIO EX CUASI DELICTO)

ARTICLE 1162 - Obligations derived from quasi-delicts shall be governed by the

provisions of Chapter 2, Title XVII of this Book, and by special laws, (1093a)

REQUISITES OF CLAIM BASED ON QUASI-DELICT

(1) Damage suffered by the plaintiff;

(2) Fault or negligence of the defendant; and
(3) Connection of the cause and effect between the fault or negligence of the
defendant and the damage incurred by the plaintiff (Dy Teban Trading, Inc. v.
Ching, 555 SCRA 373)

PROHIBITION AGAINST DOUBLE RECOVERY

ARTICLE 2177 - Responsibility for fault or negligence under the preceding
article is entirely separate and distinct from the civil liability arising from
negligence under the Penal Code. But the plaintiff cannot recover damages
twice for the same act or omission of the defendant.

EFFECT OF PRE-EXISTING CONTRACTUAL RELATIONS

As a general rule stated in Article 2176 of the NCC, existence of a contract between
parties prior to the occurrence of the fault or negligence precludes the commission of
quasi-delict. However, the liability may itself be deemed to arise from quasi-delicts. The
acts which break the contract may also be a quasi-delict (Coca-Cola Bottlers
Philippines, Inc. v. CA, GR No. 110295).

THE ACT THAT BREAKS THE CONTRACT CAN BE CONSIDERED ALSO A TORT (Light
Rail Transit Authority v. Navidad, 397 SCRA 75)

LIABILITY OF EMPLOYER FOR ACT OR OMISSION OF HIS EMPLOYEE

A taxi driver drove recklessly and caused injuries to the passenger. The taxi is owned by
an operator, not by the taxi driver. The three (3) possible obligations are; (1) contract of
carriage, (2) delict or crime, (3) and quasi-delict. WHEN AND ON WHAT OBLIGATION IS
THE OPERATOR (EMPLOYER) LIABLE FOR THE ACTIONS OF THE TAXI DRIVER?

RECOVERY UNDER CONTRACT OF CARRIAGE

CIVIL LIABILITY PASSES ON THE EMPLOYER. Under the law on common carriage, the
common carrier is presumed to have been at fault or to have acted negligently in case
of death or injuries to passengers (Art. 1756, NCC). Such liability applies even if such
death or injury to passengers is through the negligence or willful acts of his employees,
acting beyond the scope of their authority or in violation of the orders of the common
carrier (Art. 1759, par 1., NCC). The driver is not a party to the contract of carriage and
may not be held liable under the contract. The proof of non-performance of the contract
existence of the same is sufficient prima facie to warrant recovery.

RECOVERY UNDER DELICT OR CRIME

LIABILITY PASSES ON THE EMPLOYEE DIRECTLY & PRIMARILY. THE EMPLOYER IS

SUBSIDIARY LIABLE. In proving the enforcement of subsidiary liability of the employer,
evidence must exist establishing that: (1) they are indeed the employers of the
convicted employees; (2) they are engaged in some type of industry; (3) the crime was
committed by the employees in the discharge of their duties; and (4) the execution
against the latter has not been satisfied due to insolvency (Joaquin v. Aniceto, 120
Phil 1110)

RECOVERY UNDER QUASI-DELICT

THE OFFENDED PARTY MAY CHOOSE TO RECOVER ONLY FROM THE EMPLOYEE FOR
NEGLIGENCE AS PER ART. 2176 OF NCC, OR DIRECTLY FROM EMPLOYER PURSUANT
TO THE LATTER’S VICARIOUS LIABILITY UNDER ART. 2180 OF NCC, OR FROM BOTH.