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Law11 Finals (Obligations)
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Law11 Finals (Obligations)
Extinguishment of Obligations
- How?
- by payment or performance
- by fortuitous event
- by condonation of the debt
- by confusion or merger of the rights of creditor and debtor
- by compensation
- by novation
- Payment/ Performance
- COMPLETE performance or delivery is required unless:
- if the obligation was partially done, but in good faith
- when the creditor accepts the performance w/o protest, while knowing of its incompleteness
- if it was expressed in the obligation that partial payment is allowed
- if the debt is partially liquidated (known) and unliquidated (unknown)
- (1236) Creditor isn't bound to accept payment by 3rd party w/o interest in the fulfillment of the obligation
- 3rd party who paid may demand reimbursement from the debtor UNLESS he/she paid WITHOUT THE KNOWLEDGE OR CONSENT OF THE DEBTOR
- (1237) Whoever pays for the debtor (WITHOUT his KNOWLEDGE or CONSENT) cannot force the creditor to transfer the creditor's rights to him/her
- (1238) Payment by third person who has no intention of being reimbursed is a DONATION, which requires the CONSENT of the debtor. Payment is still valid.
- Payment by a 3rd person WITH INTEREST: payment must be accepted by creditor if the 3rd party is a GUARANTOR or a SURETY. Both of these are solitarily bound with the debtor
- Guarantor- person who assures the solvency of the debtor
- Surety- insurer of the debt
- Rights by subrogation can be obtained by 3rd person even if payment was made w/o debtor's knowledge or consent
- Guarantor- person who assures the solvency of the debtor
- Payment by a 3rd person WITHOUT INTEREST:
- this person cannot be compelled to fulfill the obligation; creditor may not accept payment unless an agreement allows it
- BUT! If the creditor accepts the 3rd person's payment, the debtor's obligation is extinguished, but there is a NEW obligation between the debtor and 3rd person (amount to be recovered depends if payment was made without or against debtor's will)
- What the 3rd person can collect: based on solutio indebiti
- BUT! If the creditor accepts the 3rd person's payment, the debtor's obligation is extinguished, but there is a NEW obligation between the debtor and 3rd person (amount to be recovered depends if payment was made without or against debtor's will)
- this person cannot be compelled to fulfill the obligation; creditor may not accept payment unless an agreement allows it
- Payment by a 3rd person WITH INTEREST: payment must be accepted by creditor if the 3rd party is a GUARANTOR or a SURETY. Both of these are solitarily bound with the debtor
- (1239) In obligations to give, payment isn't valid if the one who paid does NOT have the right to dispose it, or is incapacitated like a MINOR or INSANE person
- (1240) Payment should be made to the person the obligation has been constituted (or his successor in interest/ any person authorized to receive it)
- (1241) Payment to an incapacitated person is NOT valid, UNLESS: the incapacitated creditor kept the thing delivered OR the payment benefitted the incapacitated creditor
- Payment made to a third person instead of the creditor is NOT valid, UNLESS the payment benefits the creditor (debtor must prove said benefit, unless it need not be proven)
- When does it need NOT to be proven?
- 3rd person acquires creditor's rights
- Payment to 3rd person is approved by creditor
- Estoppel- when because of the creditor, the debtor was led to believe that the 3rd person had authority to receive the payment
- When does it need NOT to be proven?
- Payment made to a third person instead of the creditor is NOT valid, UNLESS the payment benefits the creditor (debtor must prove said benefit, unless it need not be proven)
- (1242) Payment in good faith to anyone with the credit shall release the debtor
- (1243) Payment made to creditor by debtor (after being ordered judicially to not pay) will NOT be valid
- COMPLETE performance or delivery is required unless:
- How?
Informações
- Descrição
- Part 1 of Finals reviewer
- Criado por
- Cristine Joy Kwong
- Visualizações
- 14
- Avaliação