Law of Obligations and Contracts

The Law of Obligations and Contracts is the body of rules which deals with the nature and sources of obligations and
the rights and duties arising from agreements and particular contracts.

Republic Act 386 – Civil Code of the Philippines

Books of the Civil Code
Preliminary Title (Art 1 – 36) – Preliminary Title
Book 1 (Art 37 – 413) – Persons
Book 2 (Art 414 – 711) – Property, Ownership and its Modifications
Book 3 (Art 712 – 1155) – Different Modes of Acquiring Ownership
Book 4 (Art 1156 – 2270) – Obligations and Contracts
Article 3 of the Civil Code ‐Ignorance of the law excuses no one from compliance therewith.

TITLE I
OBLIGATIONS
(Arts. 1156-1304, Civil Code)

Chapter 1
GENERAL PROVISIONS
Article 1156. An obligation is a juridical necessity to give, to do or not to do.

Juridical necessity means that the rights and duties arising from an obligation are “legally enforceable”; the courts
may be called upon to ensure the performance of the obligation.

Article 1157. Obligations arise from: (1) Law; (2) Contracts; (3) Quasi‐contracts; (4) Acts or omissions punished by law; and
(5) Quasi‐delicts.

Sources of Obligations
1. Law — when they are imposed by law itself.
Ex: A wife was about to deliver a child. Her neighbor brought her to hospital. Who should pay the hospital bill –
Husband or Neighbor?
Obligations derived from law are not presumed.
Ex. In a newspaper ad, there was an offer to replace 30 sachets of Tide for one Venetian cut Glass until the end of the
year. At the end of the year, you present your tide sachets, but Tide refused to honor it anymore since the ad was
posted more than half a year ago. Decide.
2. Contracts — when they arise from the stipulation of the parties.
Ex: The obligation to repay a loan or indebtedness by virtue of an agreement.
3. Quasi-contracts — juridical relations based on the principle that no one shall be unjustly enriched or benefited at the
expense of another.
Ex: The obligation to return money paid by mistake or which is not due.
4. Crimes or acts or omissions punished by law — when they arise from civil liability which is the consequence of a
criminal offense.
Ex. Support for impregnated rape victim; loss of earning capacity of murder victim
5. Quasi-delicts or torts — when they arise from damage caused to another through an act or omission, there being
fault or negligence, but no contractual relation exists between the parties.
Ex. A 3‐year‐old child was bitten by a dog of her neighbor. As a result, she got infected by rabies and died. Can the
neighbor be held liable for the acts of the dog?
Ex. A signboard hanging out of a building dropped on a car resulting in total wreck. The car owner sues the building
owner and demand to replace the car. Building owner cites the strong wind as force majeure condition indicating no
fault on his part. Decide.

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 Four Essential Requisites of an Obligation
1. A passive subject (debtor or obligor) — the person who is bound to the fulfillment of the obligation
2. An active subject (creditor or obligee) — the person who is entitled to demand the fulfillment of the obligation
3. Object or prestation (subject matter of the obligation) — the conduct required to be observed by the debtor. It
may consist in giving, doing, or not doing.
To have a valid prestation as to make the obligation binding, the object of the prestation must have the following
requisites:
a. it must be possible physically or legally;
b. it must be definite or determinate as to its kind – anything that can be particularly designated or physically
segregated from all other of its kind.
c. it must be capable of monetary or pecuniary estimation.
4. A juridical or legal tie (efficient cause) — that which binds or connects the parties to the obligation. The tie in an
obligation can easily be determined by knowing the source of the obligation.

Scenario: Under a building contract, X bound himself to build a house for Y for P3,000,000.00.
Passive Subject: Active Subject:
Object or prestation: Juridical or legal tie:

Form of obligations: Can be oral, or in writing, or partly oral and partly in writing.

Article 1158. Obligations derived from law are not presumed. Only those expressly determined in this Code or in
special laws are demandable, and shall be regulated by the precepts of the law which establishes them; and as to what
has not been foreseen, by the provisions of this Book.

Article 1159. Obligations arising from contracts have the force of law between the contracting parties and should be complied
with in good faith.
A contract is a meeting of minds between two persons whereby one binds himself, with respect to the other, to give
something or to render some service.
[Link] force
[Link] of a valid contract

Compliance in Good Faith

Compliance in good faith means compliance or performance in accordance with the stipulations or terms of the
contract or agreement. Sincerity and honesty must be observed to prevent one party from taking unfair advantage over the
other.

Article 1160. Obligations derived from quasi‐contracts shall be subject to the provisions of Chapter 1, Title XVII of this Book.

Kinds of Quasi-contracts:
Negotiorum gestio ‐ When a person voluntarily takes charge of the management of a business or property of another
that has been neglected or abandoned, without any power from the latter, as a consequence of which, he is obliged to
continue the same until the termination of the affair or to require the owner to substitute him. Ex. NPA infested area
Fishpond
Solutio indebiti ‐ when a person unduly delivers a thing through mistake to another who has no right to demand it.
(Mellon bank vs. Javier ‐ Central in this controversy is the issue as to whether or not a taxpayer who merely states as a
footnote in his income tax return that a sum of money that he erroneously received and already spent is the subject of
a pending litigation and there did not declare it as income is liable to pay the 50% penalty for filing a fraudulent return.)

The requisites of a solutio indebiti are:

(a) There is no right to receive the thing delivered; and

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 (b) The thing was delivered through mistake.

Article 1161. Civil obligations arising from criminal offenses shall be governed by the penal laws, subject to the provisions of
article 2177, and of the pertinent provisions of Chapter 2, Preliminary Title, on Human Relations, and of Title XVIII of this Book,
regulating damages. When a crime is committed, one is liable both criminally and civilly for the consequence of his actions or
omissions.

Scope of Civil Liability:

The extent of the civil liability arising from crimes is governed by the Revised Penal Code and the Civil Code. This civil liability
includes:
(1) Restitution;
(2) Reparation for the damage caused; and
(3) Indemnification for consequential damages.

Article 1162. Obligations derived from quasi‐‐delicts shall be governed by the provisions of Chapter 2, Title XVII of this Book,
and by special laws.

Obligations Arising from Quasi-delicts:

A quasi‐delict is an act or omission by a person which causes damage to another giving rise to an obligation to
pay for the damage done, there being fault or negligence but there is no pre‐existing contractual relation between
the parties.

Requisites of Quasi-delicts:
Before a person can be held liable for quasi‐‐delict, the following requisites must be present:
1. There must be an act or omission;
2. There must be fault or negligence;
3. There must be damage caused;
4. There must be a direct relation of cause and effect between the act or omission and the damage;
5. There is no pre‐existing contractual relation between the parties.

Crime Distinguished from Quasi-delicts:

1. In crime, there is criminal or malicious intent or criminal negligence, while in quasi‐delict, there is only negligence;
2. In crime, the purpose is punishment, while in quasi‐delict, indemnification of the offended party;
3. Crime affects public interest, while quasi‐delict concerns private interest
4. In crime, there are generally two liabilities: criminal and civil, while in quasi‐delict, there is only civil liability;
5. Criminal liability cannot be compromised or settled by the parties themselves, while the liability for quasi‐ delict can
be compromised as any other civil liability;
6. In crime, the guilt of the accused must be proved beyond reasonable doubt, while in quasi‐delict the fault or
negligence of the defendant need only be proved by preponderance (i.e., superior or greater weight) of
evidence.

Some Classifications of Obligations:

According to Subject Matter or Prestation:

1. Real obligation (obligation to give) ‐the subject matter is a thing which the obligor must deliver to the obligee
Ex: X (the seller) binds himself to deliver a piano to Y
2. Personal obligation (obligation to do or not to do) ‐the subject matter is an act to be done or not to be done.

Types of personal obligation:

a) Positive personal obligation ‐obligation to do or to render service

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 Ex: X binds himself to repair the piano of Y.
b) Negative personal obligation ‐ obligation not to do (which naturally includes obligations “not to
give”)
Ex: X obliges himself not to build a fence on a certain portion of his lot in favor of Y who is entitled to a right of
way over the lot.

Ex: The obligation of the head of a family that lives in a building or a part thereof to answer for damages
caused by things thrown or falling from the same; the obligation of the possessor of an animal to pay for the
damage which it may have caused.

According to Sanction:
1. Civil obligation ‐ obligations which give to the creditor or obligee a right under the law to enforce their
performance in courts of justice.
2. Natural obligations ‐not being based on positive law but on equity and natural law, do not grant a right of action to
enforce their performance although in case of voluntary fulfillment by the debtor, the latter may not recover
what has been delivered or rendered by reason thereof.; precept based on “do good and avoid evil” .

According to number of parties obliged:

1. Unilateral obligation – only one party is obliged to perform the obligation.
2. Bilateral obligation – two parties are obliged to perform their respective obligations.
a.) Bilateral reciprocal obligation – the parties perform their respective obligations simultaneously.
b.) Bilateral non‐reciprocal obligation – the parties do not have to perform their obligations simultaneously.

Nature and Effect of Obligations

(a) Specific v. Generic Thing

1. Specific is designated or physically segregated from others of the same class.
2. Generic refers to a class or genus and cannot be determined with particularity.

(b) Duties of debtor in delivery of generic thing

1. To deliver a thing which must neither be of superior nor inferior quality
2. To pay damages in case of breach

(c) Duties of debtor in delivery of specific thing

1. To deliver the thing which he has obligated himself to give
2. To take care of the thing with the proper diligence of a good father of a family
¨ the ordinary care that an average or reasonably prudent person exercises over his property
¨ another standard of c are may be required by law or by stipulation of the parties
3. To deliver all the accessions and accessories
4. To pay damages in case of breach

(d) Remedies of Creditors in breach of obligation

1. To give determinate Thing
a. To compel specific performance
b. To recover damages
2. To give Indeterminate Thing
a. To ask for performance of the obligation
b. To ask that obligation be complied with by another at expense of debtor
c. To recover damages

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 3. To do
a. To have the obligation performed at debtor’s expense
b. To recover damages
4. Not to do
a. Undone at his expense
b. To recover damages
(e) Rules on Fruits
1. Kinds of fruits
a. Natural – product of the soil, young and other products of animals
b. Industrial – produced thru cultivation or labor
c. Civil – derived by juridical relations
2. Creditor has rights to the fruits from the time the obligation to deliver arises
3. Real rights acquired only when delivered to him
a. Real rights ‐ right over a specific thing without any passive subject, directed against the whole word.
b. Personal rights – right to demand from another debtor the fulfillment of the latter’s obligation
(f) Accessions and accessories
¨ Accessions – fruits of a thing or additions to or improvement upon a thing
¨ Accessories – joined to or included with the principal thing for better use or completion.
1. Even if not mentioned, accessories follow the principal
2. But obligation to deliver accessions or accessories does not include the principal

(g) Legal Delay

1. From the time obligee judicially or extra‐judicially demand fulfillment; not mere notice
2. No demand from creditor necessary in following cases:
a. When obligation or law expressly so declares
b. Time is of the essence (controlling motive)
c. When demand would be useless
3. In reciprocal obligation, from the moment one party fulfills his obligation, delay by the other begins.
4. Kinds of Delay
a. Mora solvendi – delay on the part of debtor
b. Mora acccipiendi – delay of creditor
c. Compensatio mora – delay in reciprocal obligation
5. Effects of Delay
a. Liable for interest and damages
b. Liable even for fortuitous event when the obligation is to deliver a determinate thing
(h) Fortuitous Events
1. Any event which cannot be foreseen or which though foreseen is inevitable, independent of the will or from
aggravation of the debtor, render impossible the fulfillment of obligation
2. No person shall be responsible for fortuitous events, except:
a. Where expressly specified by law or stipulated in contract
b. When nature of the obligation requires assumption of risk
c. When debtor is guilty of fraud, negligence, delay or contravention of the terms of the obligation
d. When debtor promises to deliver same thing to two or more persons
e. When obligation to deliver arises from criminal offense
f. When obligation is generic
(i) Fraud (deceit or dolo) Deliberate or intentional evasion of the normal fulfillment of an obligation;
1. Dolo incidente (Incidental Fraud) ‐ committed in the performance of pre‐existing obligation, remedy is damages.
2. Dolo causante (Causal Fraud) – Fraud employed at the time of the execution of a contract in order to secure
consent, remedy is annulment bec of vitiation of consent
3. Demandable in all obligations

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 4. Waiver of future fraud is void

(j) Negligence (culpa) Omission of that diligence which is required by the nature of the obligation, but no malice
1. Culpa contractual – Negligence in the performance of contractual obligation,
a. Pre‐existing contract
b. Liable for damages based on breach of contract
c. Proof of contract and breach is enough for recovery of damage
d. Negligence of employee conclusive presumption of employer’s negligence
e. Proof of due diligence in the selection of employee not a defense
2. Culpa aquiliana – Negligence between parties not so related by any pre‐existing contract,
a. Obligation for damages based on quasi‐delict
b. No pre existing contract
c. Negligence must be proved for recovery of damage
d. Negligence of employee prima facie presumption of employer’s negligence
e. Due diligence in the selection and supervision of employee is a valid defense
3. Can be regulated by the Court depending on circumstance
4. Waiver of future negligence allowed

(k) Presumptions
1. Receipt of principal without reservation as to interest = presumption of interest paid
2. Receipt of later installment of debt without reservation of prior ones = presumption that prior ones paid

(l) Remedies to satisfy claim

1. Exhaust property of debtor
2. Subrogated to rights and actions of debtors, except those inherent to person
3. Impugn all of acts by debtor done to defraud creditor

Kinds of Obligations:

1. Pure obligation is one which is not subject to any conditions and no specific date is mentioned for its fulfillment and
is, therefore, immediately demandable.
Example: Mr. D obliges himself to pay Mr. C 1,000,000. the obligation is immediately demandable because there is no
condition & no date is mentioned for its fulfillment
2. Conditional obligation is one which is superseded by a condition under which it was created and which is not yet
accomplished.
A condition is past event unknown to the parties or a future uncertain event which has an influence on an obligation.

Kinds of conditions:
a.) Suspensive condition – is one the happening of which will give rise to the obligation.
Example: Your father promised to give a car when you graduate.
b.) Resolutory condition – is one the happening of which will extinguish the obligation.
Example: Your father promised to give you a monthly allowance until you graduate.
c.) An express condition is one created by express words. Express conditions are usually denoted by language such as
"if", "on condition that", "provided that", "In the event that", and "subject to" to make an event a condition.
Example: A is to ship sacks of corn to B, and B agrees to either return them if they don't satisfy him, or pay for
them. The contract states, "B's duty to pay for the sacks of corn shall be conditional upon his being satisfied with
them." This is an express condition.
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 d.) Implied condition – A contractual condition that the parties have implicitly agreed to by their conduct or the
nature of the transaction.
Example: Ethel contracts to have Fred build her a lamp; this implies that Ethel will instruct Fred on what kind of
lamp to build, either by choosing from a catalog or perhaps giving Fred plans and with a description. Letting Fred
know what kind of lamp to build is an implied‐in‐fact condition that has to happen before Fred actually has any
duty to build it.

3. Obligation with a period is an obligation which contains a stipulation defining a period in time yet to occur.

Types of Periods:
a. Suspensive period – the obligation begins only upon the arrival of the stipulated date.
Example: Mark is obliged to pay the house amortization starting July 2009.
b. Resolutory period – the obligation is valid only up to the stipulated date.
Example: Tina bound herself to support Ariel until he reaches the age of 21.
4. Alternative obligation is an obligation that has one or more prestations/means to which the obligation can be
fulfilled. Once any one prestation has been accomplished, the obligation is satisfied and terminated.
Example: Gino obliged himself to deliver to Jerick a piano, a TV set or a refrigerator.
5. Facultative obligation is one wherein only one prestation is agreed upon but the debtor may render another in
substitution.
Example: Conrado obliged himself to give Mario a Guess perfume but they agreed that Conrado may substitute CK in
case there is no available stock.
6. Divisible obligation is obligation which is are susceptible to only partial performance. This comes initially on the
agreement by all parties on how the obligation is to be complied with and guided by the provision of law which
imposes the obligation.
Example: A tenant is bound to pay two hundred dollars a year rent to his landlord, the obligation is entire, yet, if his
landlord dies and leaves two sons, each will be entitled to one hundred dollars; or if the landlord sells one undivided
half of the estate yielding the rent, the purchaser will be entitled to receive one hundred dollars, and the seller the
other hundred.
7. Indivisible obligation is an obligation that cannot be subdivided, cannot be performed in part and agreed upon as a
whole and single obligation.

Obligations deemed indivisible:

1. Obligations to give definite things;
2. Obligations which are not susceptible of partial performance;
3. Obligations provided by law to be indivisible even if the thing or service is divisible;
4. Obligations intended by the parties to be indivisible even if the thing or service is divisible.

Obligations considered under the law to be divisible:

1. Execution of a number of days of work;
2. Accomplishment of work by metrical units;
3. Analogous things which by nature are susceptible to partial performance;
4. Obligations to pay in installment.

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 8. Obligation with a penal clause is an obligation which stipulate a penalty if in case, the obligation is not met. These
penalties shall substitute for the indemnity for damages and interests associated with non‐compliance.
‐ A penal clause is an accessory undertaking to assume greater liability in case of breach. It is a form of guaranty
for the fulfillment of an obligation by establishing an aggravation of responsibility.
‐ A principal obligation is one that can withstand by itself and does not depend for its validity or existence upon
another obligation.
‐ An accessory obligation is one that is attached to a principal obligation and cannot stand alone.

Purposes of attaching a penal clause:

1. To ensure its performance.
2. To substitute a penalty for the indemnity for damages and the payment of interest in case of non‐
compliance
3. To punish the debtor for non‐compliance of his obligation.

Kinds of penal clause:

1. Subsidiary penal clause – when only the penalty can be demanded.
Ex. Capitol motors agreed in a contract to deliver to Mr. Santos the latest model of Mercedez Benz on
or before February 1, 2009. In case they fail to do so, they’ll have to pay a penalty of Php10,000 to Mr.
Santos.
2. Joint penal clause – when both the principal obligation and the penalty can be enforced.
Ex. ABC Builders Inc. bound themselves to build the 7‐ storey Administration building of XYZ Realty Corp.
for the amount of Php1M in 6 months time. In case of delay in the construction, ABC builders will have
to pay a penalty of Php5,000 for every week’s delay.

9. Joint obligation – the whole liability is to be paid proportionately by the different debtors and is to be demanded also
proportionately by the different creditors.
Example: A and B owe C and D Php10,000.

10. Solidary obligation – Each creditor has a right to demand, and each debtor is bound to render compliance, with the
entire prestation; but as to co‐debtor he is liable only for his share

A. Instances when obligation is solidary:

i. When obligation expressly states so
ii. When law requires solidarity:
1. If 2 or more heirs take possession of estate
2. Partners in partnership
3. If principal allowed agent to act as though he has full power
4. If 2 or more appointed an agent for common undertaking or transaction
5. 2 or more people to whom a thing is loaned
6. 2 or more officious managers, unless management was assumed to save thing from imminent
danger
7. 2 or more persons liable for quas‐ delict
8. 2 or more payees when there has been payment of what is not due
9. Principal, accomplices, and accessories of a felony.
iii. When nature of obligation requires solidarity

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 Ex. Accident fr “Kabit” system
B. “Solidarily”, “Jointly and severally”, in solidum, together and/or separately, “I promise to pay”
C. Creditors and debtors need not be bound in the same manner and by the same periods and conditions
D. Not same as indivisible obligation
i. Solidary refers to vinculum; Indivisibility refers to prestation
ii. Solidary requires plurality of subjects
iii. In solidary, all debtors liable for breach of obligation; In indivisibility, only debtor guilty of breach of
obligation is liable for damage
iv. In indivisible obligation, other debtors not liable for insolvency; if solidary debtor becomes insolvent, the
co‐debtors bore his debt in proportion
E. Solidary creditors may do whatever may be useful to others, but not anything which may be prejudicial to the
others
F. A solidary creditor cannot assign his rights without the consent of the others, except if to co‐creditors
G. Debtor must pay to the creditor who made demand, if none demanded, then he may pay any one of the solidary
creditor
H. Novation, compensation, confusion or remission of a solidary creditor shall extinguish the obligation but the
creditor who did these acts shall be liable to the other creditors
I. No re‐imbursement if payment made after obligation prescribed or illegal
J.. Remission of the whole obligation obtained by a solidary debtor does not entitle him to reimbursement from his
co‐debtors
K. Defenses available to solidary debtors
I. Derived from nature of obligation
§ Payment, fraud, prescription, remission, illegality, non performance of condition
ii. Personal to the debtor
§ Insanity, incapacity, mistake, violence, minority
iii. Personal to the other solidary debtors
§ Partial defense

Modes of Extinguishing Obligations

1. Payment or performance
2. Loss of the thing due
(a) Lost – when perished, went out of commerce, or disappear in such a way that its existence unknown or cannot be
recovered, or becomes legally or physically impossible to perform, or so difficult as to be manifestly beyond the
contemplation of the parties.
(b) The obligation to deliver specific thing is extinguished if
1. Without the fault of debtor, and
2. Debtor not in delay
(c) Fortuitous events or force majure
(d) In case of partial loss the court shall determine whether it is so important as to extinguish the obligation
(e) In case lost when the thing is in the possession of debtor, presumption is it is his fault
§ Except earthquake, flood, storm or other natural calamity
(f) Creditor shall have right to go against any third person responsible for the loss.
3. Condonation or remission
a. Act of liberality by virtue of which creditor abandons his right
§ Gratuitous
§ Accepted by debtor

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 § Obligation must be demandable
§ Parties must be capacitated
§ Donation not inofficious
§ Forms in express condonation
b. 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

4. Confusion or merger of the rights of creditor and debtor

§ Creditor and Debtor merged in the same person
1. Between principal debtor and principal creditor
2. Complete and definite merger
a. Merger of debtor and creditor benefits the guarantor
b. Extinguish only the portion of the joint obligation corresponding to the creditor and debtor merged
c. Merger of one solidary debtor with creditor extinguishes obligation
5. Compensation
a. Persons who in their own rights are debtors and creditors of each other extinguishes the debts to the concurrent
amount
b. Guarantor can set up compensation of what principal debtor may owe creditor
c. Compensation may be total or partial
d. Parties may agree to compensate debts not yet due
e. When one or both debts are rescissible or voidable, they may be compensated before they are judicially
rescinded or avoided
f. Requisites of legal compensation (by operation of law ):
1. Parties are principal creditors and debtors of each other
2. Both debts consist in sum of money or consumable of same kind and quality
3. Both debts are due and demandable
4. Two debts are liquidated (amount is certain)
5. No retention or controversy commenced by 3rd party
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
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
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 v. Taxes
6. Novation – extinction of an obligation through the creation of a new one which substitutes it
a. Requisites:
i. Previous valid obligation
ii. Agreement to enter new obligation
iii. Extinguishments of old
iv. Creation of new valid obligation
b. Must be declared in unequivocal terms
c. Or incompatible on every point – Test: Whether old and new contract can stand together each having its own
independent existence
d. Substitution of Debtor
i. Expromission – Without the knowledge or consent of debtor, at the instance of the new debtor
1. Payment by new debtor gives him right to beneficial reimbursement
2. Insolvency or non fulfillment of obligation by new debtor will not give rise to liability of old debtor
ii. Delegacion – Substitution made at the instance of old debtor
1. Payment by new debtor entitles him to reimbursement and subrogation
2. Non fulfillment of obligation by new debtor will not give rise to liability of old debtor
3. Insolvency of new debtor will revive action against old debtor if insolvency was already existing and of
public knowledge, or known to the debtor when he delegated his debt
e. If new obligation is void, the original one shall subsists
f. If original obligation is void, novation is void; except when annulment may be claimed only by debtor or when
voidable acts have been ratified
g. Subrogation – Substitution of Debtor
i. Conventional – By express agreement of the old creditor, debtor and the new creditor
ii. Legal –Without agreement, by operation of law
1. When creditor pays another creditor who is preferred, even without the debtor’s knowledge
2. When a third person, not interested in the obligation, pays with the express or tacit approval of debtor
3. When a third person interested in the fulfillment of obligation pays, even without the knowledge of
debtor
7. Death of a party in personal obligation
8. Annulment or Rescission of contract
9. Arrival of Resolutory period or fulfillment of resolutory condition
10. Impossibility of fulfillment
11. Prescription

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