The Law on

Obligations and
Contract
 Art. 1156
An obligation is a juridical necessity to give, to do or
not to do.
Essential Requisites of an obligation
1. A passive subject (debtor/obligor)- the person who is bound
to the fulfilment of the obligation; he who has a duty.
2. An active subject(creditor/obligee)-the person who is
entitled to demand for the fulfilment of the obligation; he
who has the right
3. Object or prestations- sunject matter of the obligation.
4. A juridical or legal tie(efficient cause)- source of the
obligation
• The word came from the Latin word obligation which means
tying or binding. It is a tie or bond recognized by law by virtue
of which one is bound in favour of another o render
something- and this may consist in giving a thing, doing a
certain act and not doing a certain act.
• Forms of Obligation
1. As a general, the law does not require any form of obligations
arising from contracts for their validity or binding force.
2. Obligations arising from other sources, does not have form at
all.
• Obligation, right and wrong distinguished
1. Obligation is the act or performance which the law will
enforce.
2. Right, is the power which a person has under the law, to
demand from other any prestations.
3. Wrong, in its legal meaning, is the act or omission of one
party in violation of the legal right or the right of another.
Essential elements of a legal wrong or injury:
a. A legal right in favor of a person
b. A correlative legal obligation on the part of another; to
respect or not to violate said right.
c. An act or omission by the latter in violation of said right with
resulting injury or damages to the former.
 Kinds of Obligation
According to the subject matter
1. Real Obligation (Obligation to give)- is that in which the
subject matter is a thing the obligor must deliver to the
obligee.
2. Personal Obligation (Obligation to do or not to do)- is that in
which the subject matter is an act to be done or not to be
done. 2 kinds of personal obligation
• Positive personal obligation
• Negative personal obligation
 Article 1157
Obligation arises from;
1) Law;
2) Contracts;
3) Quasi-contracts;
4) Acts or omission punished by the law;
5) Quasi-delicts
• Sources of Obligation
1. Law- when they are imposed by the law itself.