Professional Documents
Culture Documents
I. Introduction to Law
a. a. Sources of Law
i) i) Constitution – Fundamental Law of the land
a. b. Characteristics of Law
- - Rule of Conduct
- - Obligatory
- - Promulgated by legitimate authority
- - Of common observance and benefit
b. c. Organization of courts
- - Supreme Court
- - Court of Appeals, Sandiganbayan, Court of
Tax Appeals
- - Regional Trial Court
- - Metropolitan Trial Court, Municipal Trial
Court
- - Quasi Judicial Bodies
1. 1. Comelec
2. 2. NLRC
3. 3. LTFRC
4. 4. ERB
c. d. Quantum of Evidence
- - Criminal cases: Proof Beyond Reasonable
Doubt
- - Computing time
1. 1. Year is 12 calendar months
2. 2. Month is 30 days, except when it refers
to a calendar month
3. 3. First day excluded, last day included
Weeks 2 to 4 – Obligations
a. General Provision
2. 2. Contracts
3. 3. To Do
a. a. To have the obligation performed at
debtor’s expense
b. b. To recover damages
4. 4. Not to Do
a. a. Undone at his expense
b. b. To recover damages
4. 4. Kinds of Delay
a. a. Mora solvendi – delay on the part of debtor
b. b. Mora acccipiendi – delay of creditor
c. c. Compensatio more – delay in reciprocal
obligation
5. 5. Effects of Delay
a. a. Liable for interest and damages
b. b. Liable even for fortuitous event when the
obligation is to delivery a determinate thing
a. a. Suspensive v. Resolutory
c. c. Impossible Conditions
d. d. Positive v. Negative
e. e. Reciprocal v. Unilateral
7. 7. Facultative Obligation
2. 2. Partners in partnership
3. 3. If principal allowed agent to act
as though he has full power
4. 4. If 2 or more appointed an agent
for common undertaking or transaction
5. 5. 2 or more bailees to whom a
thing is loaned
6. 6. 2 or more officious managers,
unless management was assumed to
save thing from imminent danger
7. 7. 2 or more persons liable for quasi
delict
8. 8. 2 or more payees when there has
been payment of what is not due
9. 9. Principal, accomplices, and
accessories of a felony.
a. a. To insure performance
b. b. To liquidate the amount of damage to be
awarded
c. c. To punish the obligor in case of breach
1. Payment or performance
2. Loss of the thing due
3. Condonation or remission
4. Confusion or merger of the rights of creditor and debtor
5. Compensation
6. Novation
7. Death of a party in personal obligation
8. Annulment or Rescission of contract
9. Arrival of Resolutory period or fulfillment of resolutory conditon
10.Impossibility of fulfillment
11.Prescription
I. Payment
(a) (a) General Provisions Payment
(i) (i) Complete Delivery of money,
performance of obligation
c. c. In case of extraordinary
inflation or deflation, the basis is
the value of currency at the time
obligation is established. (1250)
h. i. Implied remission
- - Delivery of private document evidencing
credit
- - If thing pledge is found in the possession
of debtor or owner of thing
- - Renunciation of principal extinguish
accessory obligation
V. Compensation
a. a. Persons who in their own rights are debtors and
creditors of each other extinguishes the debts to the
concurrent amount
b. b. Guarantor can set up compensation of what
principal debtor may owe creditor
c. c. Compensation may be total or partial
d. d. Parties may agree to compensate debts not yet due
e. e. When one or both debts are rescissible or voidable,
they may be compensated before they are judicially
rescinded or avoided
f. f. Requisites of legal compensation (by operation of
law ):
1. 1. Parties are principal creditors and debtors
of each other
2. 2. Both debts consist in sum of money or
consumable of same kind and quality
3. 3. Both debts are due and demandable
4. 4. Two debts are liquidated (amount is
certain)
5. 5. No retention or controversy commenced by
3rd party
b. g. Compensation after assignment
i.
Assignment made with consent of debtor
Debtor cannot set up compensation against
previous creditor
ii.
Assignment with knowledge but without consent
Debtor can set up compensation for debts
before the notification
Debtor cannot set up compensation with
respect to debts which matured after notification
iii. Assignment
without knowledge of debtor
Debtor can set up compensation for debts
maturing before he learned of assignment
c. h. Compensation cannot take place in following case:
i. Debts
from Contracts of Depositum (A person receives a
thing belonging to another for safekeeping and of
returning the same; not bank deposits)
ii. Debts from
Commodatum (One person delivers to another
something for him to use and return it)
iii. Claims for
support due by gratuitous title
iv. Debts from
Criminal offense
v. Taxes
VI. Novation – extinction of an obligation through the creation of
a new one which substitutes it
a. a. Requisites:
LAW
Morals
Good Customs
Public Order
Public Policy
According to form
–– Common – Do not require particular form
–– Formal – Those which require particular form, like
donation, mortgage
According to cause
–– Onerous – Giving of an equivalent or compensation
–– Gratuitous – Given without compensation, just pure
liberality
According to name
–– Nominate – with specific names or designation in law
–– Innominate – no specific name
Elements of Consent
Concurrence of the offer and the acceptance
o Definite Offer that may be exactly fixed
o Assent to the terms without qualifications or conditions
o Conveyed before the death, civil interdiction, insanity, or
insolvency
o Qualified acceptance is a counter offer
o Perfected when acceptance comes to knowledge of offeror
o Offer can be withdrawn anytime before acceptance, unless
option is founded on consideration
o If offer made thru agent, accepted when communicated to
the agent
Mistake as to person
Violence – Employment of external physical
force, irresistible and serious to wrest consent
Intimidation – Moral compulsion to influence
another to give his consent thru fear of imminent or
grave evil
- - Vices of Declaration
Simulated Contracts
1. Absolute
2. Relative
– Contracting parties conceal their true
intentions
– Real agreement binding on the parties if it does
not prejudice third person
Objects
Cause
Form
Two exceptions:
When Law requires a certain form for validity
When Law requires form for enforcement
Reformation
When the true intention of the parties are not expressed in the
instrument, one of the party may ask for the instrument to be
changed so that true intention may be expressed.
Requisities
Defective Contracts
o o As to defect
o o Rescissible - Injury or damage
o o Voidable - Vitiation of consent or legal capacity
o o Unenforceable - In excess of authority or do not
complyy with S of Fraud
o o Void - Lack of an element of a valid contract
o o As to effect
o o Rescissible and Voidable - Valid until annulled
o o Unenforceable - Cannot be enforced by action in
court
o o Void - No legal effects at all
Rescissible Contracts
• Partition (1098)
• Result of deterioration (1189)
• Unpaid seller (1526 and 1534)
Badges of Fraud
Voidable Contracts
Where one party is incapable of giving consent to a contract
Where the consent is vitiated by mistake, violence,
intimidation, fraud, undue influence
Convalidation
Prescription (Four years)
From time incapacity ceases
From discovery of such fraud or mistake
Ratification or confirmation
Loss of the thing by thru the fault of the person who has right
to annul
Unenforceable Contracts
Those entered into in the name of another person by one who
has been given no authority or legal representation or who has acted
beyond his powers
Statute of Fraud
––Purpose is to prevent fraud, not to aid the commission of fraud
–– Basic and fundamental principles
Applies only to executory contracts
Cannot apply if action is not for damage bec of violation of
agreement or for specific performance
Exclusive
May be waived
Personal defense
Contracts are not void
Rule of exclusion
Concerns admissibility of evidence, not credibility
Does not apply if action is to claim reformation
Void Contracts
–– No concurrence of offer/acceptance
–– Cause, object, purpose contrary to law, morals, good customs,
public order, or public policy
–– Absolutely simulated or fictitious
–– Cause or object did not exist at the time of the transaction
–– Object outside commerce of men
–– Impossible service
–– Intention of the parties relative to principal object cannot be
ascretained
–– Prohibited or declared void by law
Estoppel
Estoppel by Laches
Estoppel by Laches
Failure or neglect to enforce a right for an
Unreasonable and unexplained length of time
Despite knowledge or notice
EXTINCTIVE PRESCRIPTION
(Arts. 1139-1155)
40 days Redhibitory action based on defects
of animals.
6 months (a) (a) Action for reduction of price for
rescission in case of breach of sale of
real estate, either with a statement
of its area at a certain price for a
unit of measure or number.
(b) (b) Action for warranty against
hidden defects of thing sold.
1 year (a) (a) Action by husband against wife
to impugn child’s legitimacy if
husband is in the same place as
wife.
(b) (b) Action for revocation of donation
for acts of ingratitude.
(c) (c) Action for forcible entry or
unlawful detainer.
(d) (d) Action for defamation.
(e) (e) Action for rescission or for
damages if immovable sold is
encumbered with non-apparent
burden or servitude.
2 years Action to impugn child’s legitimacy if
husband is in the Philippines but
not in same place as wife.
3 years Action to impugn child’s legitimacy if
husband is abroad.
4 years (a) (a) Action for revocation or
reduction of donation based on
supervening birth, appearance or
adoption of a child.
(b) (b) Action for revocation of donation
based on fulfillment of condition.
(c) (c) Action for recovery of movable
(replevin) if possessor is in good
faith.
(d) (d) Action upon injury to rights of
plaintiff.
(e) (e) Action upon a quasi-delict.
(f) (f) Action for rescission of
rescissible contracts.
(g) (g) Action for annulment of voidable
contracts.
5 years (a) (a) Action for legal separation.
(b) (b) Action for annulment of marriage
based on
1. Lack of parental consent.
2. Fraud.
3. Force, intimidation or undue
influence.
4. Physical incapacity and afflicted with
a sexuality transmissible
disease.
(c) (c) Action to claim legitimacy if child
should die during minority or in
state of insanity.
(d) (d) Action for declaration of
incapacity of heir.
(e) (e) Action for warranty of solvency of
debtor if credit is assigned to co-heir
during partition.
(f) (f) All other actions whose periods
are not fixed by law.
6 years (a) (a) Action upon oral contract.
(b) (b) Action upon a quasi-contract.
8 years Action for recovery of movables
(replevin) if possessor is in bad faith.
10 years (a) (a) Action for recovery of possession
of immovables (accion publiciana) if
real right of possession is lost.
(b) (b) Action for recovery of ownership
of immovables (accion
reinvindicatoria) if possessor is in
good faith.
(c) (c) Action upon a mortgage contract.
(d) (d) Action upon a written contract.
(e) (e) Action upon an obligation
created by law.
(f) (f) Action upon a judgment.
Lifetime (a) (a) Action to claim legitimacy.
(b) (b) Action to obtain declaration of
illegitimate filiation.