Different kinds of obligation (PRIMARY classification according to the Civil Code)

1. Pure and conditional obligations (Arts. 1179-1192.);

2. Obligations with a period (Arts. 1193-1198.);
3. Alternative (Arts. 1199-1205.) and facultative obligations (Art. 1206.);
4. Joint and solidary obligations (Arts. 1207-1222.);
5. Divisible and indivisible obligations (Arts. 1223-1225.); and
6. Obligations with a penal clause. (Arts. 1226-1230.)

Pure and conditional obligations

PURE obligation

ART. 1179. Every obligation whose performance does not depend upon a future or
uncertain event, or upon a past event unknown to the parties, is demandable at
once.
Every obligation which contains a resolutory condition shall also be demandable,
without prejudice to the effects of the happening of the event.

Pure obligation is one without a condition or term for its fulfillment and therefore
demandable at once.

CONDITIONAL Obligation

ART. 1181. In conditional obligations, the acquisition of rights, as well as the

extinguishment or loss of those already acquired, shall depend upon the
happening of the event which constitutes the condition.

 Conditional obligation is one whose consequences are subject in one way or

another to the fulfillment of a condition.
 Kinds of condition
o Suspensive condition (condition precedent or condition antecedent) - one
the fulfillment of which will give rise to an obligation (or right). The
obligation is suspended until the happening of the condition.
(E.G.: mama: nak palitan tikag I phone if maka grado kag 2.3 sa imong
oblicon.)

NOTE: Doctrine of constructive fulfillment of suspensive condition:

Art. 1186. The condition shall be deemed fulfilled when the obligor
voluntarily prevents it fulfillment.

NOTE: Principle of retroactivity in suspensive condition:

Art. 1187. The effects of a conditional obligation to give, once the
condition has been fulfilled, shall retroact to the day of the
constitution of the obligation. Nevertheless, when the obligation
imposes reciprocal prestations upon the parties, the fruits and
interests during the pendency of the condition shall be deemed to
have been mutually compensated. If the obligation is unilateral, the
debtor shall appropriate the fruits and interests received, unless from
the nature and circumstances of the obligation it should be inferred
that the, intention of the person constituting the same was different.
 In obligations to do and not to do, the courts shall determine, in each
case, the retroactive effect of the condition that has been complied
with.
 Retroactivity of conditional obligation.
E.G. In 2015, X sells his car to Y if Y will pass the CPA exam. In 2019,
Y passes the exam. Y’s ownership of the car will start in 2015, if the
car was sold by X in 2017, Y can file a case against him for breach.
 But fruits in reciprocal obligation are deemed mutually
compensated.
 But fruits in unilateral obligation are appropriated by the obligor,
unless there is a contrary intention.

NOTE: In suspensive condition, the thing will not be delivered if the

condition does not yet meet, now what are the rules governing the
loss, deterioration and improvement of the thing during the
pendency of the condition? Answer:

ART. 1189. When the conditions have been imposed with the
intention of suspending the effi cacy of an obligation to give, the
following rules shall be observed in case of the improvement, loss or
deterioration of the thing during the pendency of the condition:

(1) If the thing is lost without the fault of the debtor, the obligation
shall be extinguished;
(2) If the thing is lost through the fault of the debtor, he shall be
obliged to pay damages; it is understood that the thing is lost
when it perishes, or goes out of commerce, or disappears in such a
way that its existence is unknown or it cannot be recovered;
(3) When the thing deteriorates without the fault of the debtor, the
impairment is to be borne by the creditor;
(4) If it deteriorates through the fault of the debtor, the creditor may
choose between the rescission of the obligation and its fulfi
llment, with indemnity for damages in either case;
(5) If the thing is improved by its nature, or by time, the improvement
shall inure to the benefit of the creditor;
(6) If it is improved at the expense of the debtor, he shall have no
other right than that granted to the usufructuary.

o Resolutory condition (condition subsequent) - one the fulfillment of which

will extinguish an obligation (or right) already existing. Here, obligee’s right
is immediately vested but will be extinguished if the condition take place.

Here the obligation is demandable at once. SEE Art. 1179 par. 2.

(E.G. mama: nak palitan tikag i-phone ayaw lang jud uyaba imong maestro)

What if the resolutory condition takes place/committed?

ART. 1190. When the conditions have for their purpose the
extinguishment of an obligation to give, the parties upon the
fulfillment of said conditions, shall return to each other what they
have received. (Fulfillment of resolutory condition in real obligation)
 There must be mutual restitution, including the fruits.
 What if the thing has already in the possession of an innocent 3 rd
person?
 (In case of the loss, deterioration or improvement of the thing, the
provisions which, with respect to the debtor, are laid down in the
preceding article shall be applied to the party who is bound to
return.)

As for obligations to do and not to do, the provisions of the second

paragraph of Article 1187 (the court will determine) shall be observed as
regards the effect of the extinguishment of the obligation. (fulfillment
of resolutory obligation in personal obligation)

o Potestative condition (a condition suspensive in nature and which depends

upon the sole will of one of the contracting parties).
ART. 1182. When the fulfillment of the condition depends upon the
sole will of the debtor, the conditional obligation shall be void. If it
depends upon chance or upon the will of a third person, the
obligation shall take effect in conformity with the provisions of this
Code.

Potestative (suspensive) Obligor Both condition and obligation

e.g. “I pay if I will like it”/ “I pay if I sold my are VOID (illusory and against
house” mutuality of contract)
Potestative (resolutory) Obligor VALID
e.g. “you shall not go within 50 meters from
my house”
Potestative (suspensive/resolutory) Obligee VALID
e.g. “I will deliver 100 sack of rice upon
demand”

o Casual condition
ART. 1182. When the fulfillment of the condition depends upon the
sole will of the debtor, the conditional obligation shall be void. If it
depends upon chance or upon the will of a third person, the
obligation shall take effect in conformity with the provisions of this
Code.
 E.G. “I will give you money if I win the lotto”

o Mixed

o Positive condition
ART. 1184. The condition that some event happen at a determinate
time shall extinguish the obligation as soon as the time expires or if it
has become indubitable that the event will not take place.
 E.G. X will buy Y’s land if he can obtain title within a year. If the year
expire without the land being titled, then the obligation of X is
extinguished. (expiration)
 E.G. X will buy Y’s land if he can obtain title within a year. If the land
cannot be titled since it is within public domain, then the obligation
of X is extinguished. (indubitable event)
o Negative condition
ART. 1185. The condition that some event will not happen at a
determinate time shall render the obligation effective from the
moment the time indicated has elapsed, or if it has become
evident that the event cannot occur.
 If no time has been fixed, the condition shall be deemed fulfilled
at such time as may have probably been contemplated, bearing in
mind the nature of the obligation.
 E.G. I will give you a land if you remain childless until you reach 25
years old. If at the age of 25, you remain childless, then you get a
land form me.
 E.G. I will give you a land if you remain childless until you reach 25
years old. If you are infertile, you can get the land.
o Impossible condition
ART. 1183. Impossible conditions, those contrary to good customs
or public policy and those prohibited by law shall annul the
obligation which depends upon them. If the obligation is divisible,
that part thereof which is not affected by the impossible or
unlawful condition shall be valid.
The condition not to do an impossible thing shall be considered as
not having been agreed upon.

Obligation with a Period

Art. 1193. Obligations for whose fulfillment a day certain has been fixed shall be
demandable only when that day comes.
Obligations with a resolutory period take effect at once, but terminate upon
arrival of the day certain.

A day certain is understood to be that which must necessarily come, although it

may not be known when. (definite period) If the uncertainty consists in whether the
day will come or not, (indefinite period) the obligation is conditional and it shall be
regulated by the rules of the preceding Section. (indefinite period is treated as
condition).

Art. 1180. When the debtor binds himself to pay when his means permit him to do
so, the obligation shall be deemed to be one with a period. (what is the remedy? Ans:
Art. 1187 The courts shall also fix the duration of the period when it depends upon the will
of the debtor. In every case the courts shall determine such period as may under the
circumstances have been probably contemplated by the parties. Once fixed by the
courts, the period cannot be changed by them.)

Obligation with a period (dili tong babae) is one dependent to a certain length of time
which determines the effectivity (suspensive) or the extinguishment (resolutory) of
obligations.

Kinds of period or term

 According to effect:
o Suspensive period (ex die). — The obligation begins only from a day
certain upon the arrival of the period (Art. 1193, par. 1)

E.G.

o Resolutory period (in diem). — The obligation is valid up to a day

certain and terminates upon the arrival of the period. (par. 2.)

E.G.
  According to source: Legal period, Conventional or voluntary period, Judicial
period.

Rules on Period:
1. Advance payment or delivery –
ART. 1195. Anything paid or delivered before the arrival of the period, the
obligor being unaware of the period or believing that the obligation has
become due and demandable, may be recovered, with the fruits and
interests.
o Elements to recover advance payment/delivery (real obligation):
1. Obligation with a period is not yet due and demandable (e.i. period
does not yet arrived)
2. Obligor is innocent of the period/believe that it has become due
3. Obligor fulfilled the obligation
o Effect:
1. Obligor may recover what have been paid/delivered
2. Plus, obligor may recover the fruits and interest up to the date the
obligation becomes due
E.G. loan 100k in Jan.1,2008, payable on Jan.1,2010 with 10%annual
interest. On Jan.1, 2009 you paid 100k plus 20k interest. Here you can
recover, 100k and 10k interest for 2010.

2. Obligation with apparent period

Art. 1197. If the obligation does not fix a period, but from its nature and the
circumstances it can be inferred that a period was intended, the courts may
fix the duration thereof.

The courts shall also fix the duration of the period when it depends upon
the will of the debtor. In every case the courts shall determine such period
as may under the circumstances have been probably contemplated by the
parties. Once fixed by the courts, the period cannot be changed by them.

3. GR: designation of a period is for the benefit of both parties:

Obligee (benefit of a period) Obligor (benefit of a period)
1. He cannot be compelled to 1. He cannot be obliged to fulfill
accept fulfillment of the the obligation prior to the
obligation prior to its period; end of the period;
2. 2. He may oppose any
premature demand from the
oblige
3. If he desire, he may
voluntarily fulfill the
obligation before the period

Exception: if the period is clearly established for one of the parties alone)
( if the period is established for the benefit of the obligor, he may loss his right to
make good of it in the following cases:

ART. 1198. The debtor shall lose every right to make use of the period:

(1) When after the obligation has been contracted, he becomes insolvent,
unless he gives a guaranty or security for the debt;
 (2) When he does not furnish to the creditor the guaranties or securities
which he has promised;

(3) When by his own acts he has impaired said guaranties or securities after
their establishment, and when through a fortuitous event they disappear,
unless he immediately gives new ones equally satisfactory;

(4) When the debtor violates any undertaking, in consideration of which the
creditor agreed to the period;

(5) When the debtor attempts to abscond.

(Differentiate period from condition = it is important for proper action in court)

Alternative obligation

An alternative (or facultative) obligation is one where out of the two or more
prestations which may be given, only one is due.
Rules on alternative obligation:
 The right of choice belongs to the debtor/obligor but (limitations)
o Debtor cannot choose part of one and part of the other (Art. 1199, 1200).
o Debtor cannot choose prestations which are impossible (e.g moon),
unlawful (e.g girl) or that which could not have been an object of obli.
o Debtor cannot choose if only one is practicable (Art. 1202).
o Debtor cannot choose if it is expressly granted to the creditor (Art.
1199,1205)
 When the obligation is expressly granted to the creditor, the
following rule applies before communication of choice:
 If loss without debtor’s fault (e.g fortuitous event)
No damages
 If with fault, creditor may choose including the value
of that lost plus damages (Art. 1205).
 Rescission plus damages may be availed of if the creditor prevents the debtor
from making a choice. (Art. 1203)
 Once the choice has been communicated (to debtor or creditor as the case may
be) the obligation becomes simple obligation.
 Damages may be availed of if things subject to alternative obligations are lost
through the fault of the debtor.
E.G. X will deliver a desk, a phone or a watch. When all of them were lost due to
his fault, Y may recover the value of the thing plus damages.

If the phone and watch were lost due to his fault, and X communicates the desk
but the same was later on lost through fortuitous event, then X’s obligation is
extinguished because it becomes simple obligation to give a definite thing.

Facultative obligation
It is one where only one prestation has been agreed upon but the obligor may render another in
substitution.

Effect of loss

Before substitution Prestation Debtor Participation Effect on obligation

Principal Without fault (F.E.) Extinguished
With fault Debtor liable for
damages
Substitute With or without Debtor not liable
fault
After substitution Principal With or without Debtor not liable
fault
Substitute Without fault Extinguished
With fault Debtor liable for
damages

Number of prestations
Right of choice
Loss through fortuitous event
Nullity of prestation
Alternative Facultative
several prestations are due Only one thing is due but
but compliance with one is substitute is given
sufficient
Debtor, creditor Debtor only
loss of one or loss of the thing due
more of the alternatives extinguishes
through a fortuitous event the obligation
does not extinguish
the obligation
nullity of a prestation nullity of the
does not invalidate the others prestation agreed upon
invalidates the obligation