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8/13/2019 Notes Oblicon1199 1222
1/7
OBLICON 1D BERNARDO
Obligations and ContractsChapter 3 Nature and Effect of ObligationsSection 3 Alternatie Obligations
Article 11!"
A person alternatiel# bound b# different prestations shall co$pletel#perfor$ one of the$%&he creditor cannot be co$pelled to receie part of one and part ofthe other underta'ing%
(inds of Obligation according to OB)EC& *de Leon+,1% Si$ple obligation - there is onl# one prestation.% Co$pound obligation - there are t/o or $ore prestations%
a% Con0unctie - there are seeral prestation and ALL ofthe$ are DE
b% Distributie - one2 t/o2 OR $ore of the prestations isdue
i% Alternatie - severalprestations are dueB&perfor$ance of ONE IS SICIEN&
ii% acultatie - only oneprestation is dueB&the debtor $a# SBS&I&&E another
Based on pluralit#2 obligations $a# be classified into *&olentino+,1% Con0unctie - debtor has to perfor$ seeral prestations2
e4tinguished onl# b# the perfor$ance of all.% Alternatie - there are seeral ob0ects due but fulfill$ent of
one is sufficient5 choice to be deter$ined b# debtor /hogenerallyhas the right of election
3% acultatie - onl# ONE thing is due but the debtor has
RESER6ED the right to substitute it /ith another
Loss of thing ChoiceCon0unctie
Affects obligation
Alternatie
a% Loss of ONE - affectsobligation but DOES NO&e4tinguish obli
b% Loss of all due to debtor -da$ages based on alue ofthing last lost or last serice
7A8 BE granted tocreditor*but if debtor cannotchoose bco9 ofcreditor:s acts2 debtorhas right to rescind
*1.; DE *ob0ect of
obli+ - e4tinguishes obli
NE6ER granted tocreditor
Agoncillo s% )aier - liabilit# of the defendants in cone#ingthe house and lot is SBSIDIAR8 and CONDI&IONAL2dependent upon their failure to pa# the debt in $one#% If theaction to recoer the debt has prescribed2 then the action toco$pel cone#ance is also barred2 since the agree$ent to$a'e that cone#ance /as NO& AN INDE?ENDEN& principalunderta'ing but $erel# a subsidiar# AL&ERNA&I6E pactrelating to the $ethod b# /hich the debt $ight be paid%
Ong >uan Can % Centur# Insurance - the polic# of the
insurance co$pan# is @the co$pan# $a# at its otion reinstateor replace the propert# da$aged or destro#ed2 or an# partthereof2 instead of pa#ing the a$ount of the loss orda$age alid clause2 $a'es the obligation of the co$pan#an alternatie one, either to pa# the a$ount insured or rebuildit%
Article 1.;;&he right of choicebelongs to the debtor2 unless it has beene4pressl# granted to the creditor%&he debtor shall hae no right to choose fro$ prestations /hich arei$possible2 unla/ful or /hich could not hae been the ob0ect of the
obligation%
Right of choice - debtor has right to choose $ethod of$eeting obligation2 NLESS the creditor has e4pressl#resered that right If right of choice is granted to the creditor2 it 7S& BE
E?RESSED2 cannot be $erel# i$plied 7a# also be E?RESSL8 entrusted b# the parties to a third
person
Li$its on Elections *li$itations on the right of choice+
&iu2 Christ# .;1
8/13/2019 Notes Oblicon1199 1222
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OBLICON 1D BERNARDO
1% Indiisible - cannot choose part of one prestation and partof another
.% ?ossible and la/ful - debtor cannot choose i$possible orunla/ful underta'ings
o ?resence of i$possible or unla/ful prestations DO
NO& annul the obligation5 it subsists if there areother la/ful and possible ob0ects
3% Ob0ect of the prestation - cannot choose a prestation/hich could not hae been the ob0ect of the obligation2such as,
a% prestations /hich turn out to be different fro$ /hatthe parties supposed
b% prestations /hich do not sere the purpose of theobligation that /as contracted *li'e choosing futurethings or things that hae gone through an accident/hich gae it a ne/ aspect+
8/13/2019 Notes Oblicon1199 1222
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OBLICON 1D BERNARDO
E4a$ple, A and B solidaril# bind
the$seles to delier a horse or acarabao to C%
A selects horse and co$$unicatesthis to C5 A is no/ bound to delier
horse and can no longer change todelier carabao
B is NO& BOND b# the selection of A
of the horse5 B can choose to delierthe carabao and e4tinguish theobligation
o Hhen B deliers carabao2 A is
no longer bound to delieran#thing
Condition or &er$ - part# /ho $a'es selection cannot sub0ectthat selection to a condition or ter$2 NLESS &=E O&=ER?AR&8 CONSEN&S
Effect of Choice Li$its the obligation to the ob0ect or prestation selected2
/ith all the conseFuences that the la/ proides Obligation is conerted to a SI7?LE obligation *onl# 1
prestation+ Once choiceGselection is CO77NICA&ED2 beco$es
IRRE6OCABLE5 part# /ho $a'es the choice is bound b# hischoice
o cannot be allo/ed to choose an alternatie2 een if
the alternatie /as preiousl# aailable to hi$o CANNO& be changed b# eitherpart#
o Reason, to allo/ a change after it has been
co$$unicated /ill e4pose the other part# toda$ages arising fro$ preparations he $a# hae$ade on the assu$ption *e4pectanc#+ that /hathas been co$$unicated is the one that /ill beperfor$ed
Error Ignorance of the alternaties and the right to choose
Debtor perfor$s one of the prestations /ithout 'no/ingthe alternaties and his right to choose
o &his is NO& considered a co$$unication of his
selectiono NO& a binding perfor$ance
o Reason, there is pa#$ent of /hat is not dueo Re$ed#, debtor can RECO6ER that has been
perfor$ed erroneousl#5 in accordance /ith the la/on Fuasicontracts
?roisions on Fuasi contracts in Ciil Code,Chapter 12 &itle 12 Articles .1estio - bet/een o/ner
and officious $anager
Solutio Indebiti - obligation to return/hat has been undul# paid ordeliered
Other Fuasi contracts li'e .1Kie the right to choose to
other part#
>er$an - right to chooseA&O7A&ICALL8 ?ASSES to otherpart#5 /hen a suit is filed2 thede$and for perfor$ance $ust bealternatie and the 0udg$ent $ustalso be in alternatie for$%
o As long as 0udg$ent is not #et
e4ecutor#2 debtor $a# stille4ercise his right to choose
o Once 0udg$ent has been
satisfied b# e4ecution *+
debtor can no longer choose5the creditor$a# enforcee4ecution of the 0udg$ent forAN8 of the prestations%
o Acceptable to the ?hils is the >er$an theor# -
debtor cannot paral#9e re$ed# of the creditor b#refusing to $a'e a selection5 if debtor does notselect2 the choice can be $ade OR =I7 b# thecreditor in accordance /ith Art11K
Art 11K - person obliged to do so$ethingand fails to do it2 the sa$e shall be e4ecuted
at his cost5 sa$e rule if he does it incontraention of the tenor of the obligationand /hat has been poorl# done $a# bedecreed to be undone
In such case2 debtor is dee$ed to hae
/aied his right to choose in faor ofcreditor
B& 0ustice and eFuit# $a# still 0ustif# thegranting of a period to the debtor to $a'ehis choice before creditor is allo/ed tochoose
Article 1.;.&he debtor shall lose the right of choice /hen a$ong the prestations/hereb# he is alternatiel# bound2 onl# one is practicable
Obligation beco$es si$ple
If all the prestations2 e4cept ONE2 are i$possible orunla/ful2 it follo/s that debtor can choose and perfor$onl# that one that re$ains possible and la/ful
Obligations ceases to be alternatie Si$ple obligation to perfor$ that onl# feasible or
practicable prestation NO&E, i$possibilit# of the other prestations $ust NO& be
due to creditor:s acts5 if so2 then 1.;3 /ill appl#
Art 1.;. onl# pertains to the debtor:s right to choose5 Creditoris granted right to choose in Art 1.;J2 /hen onl# oneprestation re$ains practicable either due to fortuitous eent
or to the fault of the debtor
Article 1.;3If through the creditor:s acts2 the debtor cannot $a'e a choice inaccordance /ith the ter$s of the obligation2 the latter $a# rescindthe contract /ith da$ages
Basis, principles of 0ustice2 debtor $a# hae /anted to choosethat prestation destro#ed or rendered i$possible b# thecreditor
&iu2 Christ# .;1
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OBLICON 1D BERNARDO
Rescission is not auto$atic5 e4ercised at the o&tion of thede"tor%
Re$edies of the debtor in case prestation is lost or destro#edor rendered i$possible to perfor$ b# the creditor,
1% Rescission of contract /ith da$ages.% Selection of the one re$aining2 if onl# one is possible3% Selection of one a$ong those still re$aining2 if seeral are
still possible
Article 1.;IS=ED5 debtor not liable forda$ages
If one or $ore beco$e i$possible b# fortuitous eent2 onl#one re$ains and this last one is $ade i$possible b# thedebtor2 debtor is liable to pa# da$ages under 1.;