BREACH OF OBLIGATIONS

Art 1170
Those who in the performance of their obligation are
guilty of
FRAUD
NEGLIGENCE
DELAY
CONTRAVENE the tenor thereof
Are liable for damages.
 1. DEFAULT (LEGAL DELAY)

GR:
To put an obligor in default (mora) there must be a demand
made upon him for the performance of the obligation either
judicially or extra-judicially.

Requisites that the debtor may be in default:

1. Obligation is demandable and already liquidated;

2. The debtor delays performance

3. The creditor demands the performance

EXCEPTION
1. When the law or obligation so expressly declares
2. Time is of the essence
3. Demand is useless
4. Debtor admits he is in default
CLASSES OF MORA
1. MORA SOLVENDI (Default on the part of the debtor)

Requisites:
a. The obligation pertains to the debtor or obligor;

b. The obligation is determinate or liquidated, due and

demandable;
c. The obligation has not been performed on its maturity
date;
d. There is demand Made by the creditor for the
fulfillment of the obligation that is due.
CONSEQUENCES OF MORA SOLVENDI

1. Debtor is liable for damages or

interest;
2. Debtor may bear the risk of loss of
the things even if the loss is due to
fortuitous event.
MORA ACCIPIENDI
-Default on the part of the creditor

Requisites:
1. Offer of performance by a capacitated debtor;

2. Offer must be to comply prestation as it should be performed;

3. Refusal of the creditor without just cause

CONSEQUENCES OF MORA ACCIPIENDI
1. Responsibility of debtor is limited to fraud and
gross negligence;
2. Expenses by debtor for preservation of the thing
after delay is chargeable to creditor
3. If the obligation bears interest, debtor does not
have to pay from time of delay
4. Creditor is liable for damages
5. Debtor may relieve himself of the obligation by
consigning the thing
COMPENSATIO MORAE

-Defaulton the part of both the

debtor/obligor and creditor/obligee
which arises in reciprocal obligations.

Effect: default of one party neutralizes

the default of the other
RECIPROCAL OBLIGATIONS

-Obligations which are created and

established at the same time, out of the
same cause and which results in the
mutual relationship between the
parties.
 PHILIPPINE CHARTER VS CENTRAL
COLLEGES
The civil law concept of delay or default commences
from the time the obligor demands, judicially or
extrajudicially, the fulfillment of the obligation from
the obligee.   In legal parlance, demand is the assertion
of a legal or procedural right.  Hence, DPCC incurred
delay from the time CCP called its attention that it had
breached the contract and extrajudicially demanded the
fulfillment of its commitment against the bonds.
It is the obligor’s culpable delay, not merely
the time element, which gives the obligee
the right to seek the performance of the
obligation.  As such, CCP’s cause of action
accrued from the time that DPCC became
in culpable delay as contemplated in the
surety and performance bonds. 
FRAUD
-intentional evasion of the faithful performance of the
obligation

FUTURE FRAUD cannot be waived as this is against

public policy.
REMEDIES OF DEFRAUDED PARTY
1. Specific Performance
2. Resolution of the Contract
3. Damages in either case
 DOLO CAUSANTE DOLO INCIDENTE
-Fraud during the -Fraud during the
perfection of the contract performance of the
obligation

Purpose of To secure the To evade the

Execution consent of another normal fulfillment
to enter into the of the obligation
contract

Resultant Effect Vitiation of Breach of

consent obligation
Status of the VOIDABLE VALID
Contract
Remedy of Annulment of Damages
Aggrieved Party contract
Plus damages