CIVIL LAW BAR REVIEWER FACULTY ADVISER ACADEMICS HEAD SUBJECT HEADS
ATTY. BENJAMIN LERMA PIERRE MARTIN REYES FRANCESCO BENZON ANBOCHI HANNAH STEPHANIE ANG
ATENEO CENTRAL BAR OPERATIONS 2012 ACADEMICS COMMITTEE Academics Head: Pierre Martin Ree!" Unders!d": C#arie!!e Ja$i Mari C%an REVIEW COMMITTEE Head: Y#a G#&ria Marie Para!" Unders!d": 'en '&(a" Mem#ers: Cat%erine De#a R&!a) Eri* La+a,ia) Iri! L-*i,&) Pear# C%ari!!e Ba-!ti!ta" Mina Ree! CIVIL LAW COMMITTEE Heads: Fran*e!*& Ben&n An/&*%i) Hanna% Ste0%anie An(" Unders!d": A#e!!an,ra Vi#*%e!) 'en Patri*1 Ha/ana" V$%!neers: Ria Anne S) J&%n Bene,i*t T) R&!e An(e#i2-e Di&n) Ge&anne C%ri!ti Batta,) Pa&#& ,e G-$an) R&/ert& Mi(-e# Ra$ir&"
CIVIL LAW Ta#%e $& C$nens PRELIMINARY TITLE33333333333333 4 5. E66e*t an, E66e*ti+it &6 La7 8. H-$an Re#ati&n! PERSONS33333333333333333333 39 A. Genera# Pr&+i!i&n! B. Nat-ra# Per!&n! C. J-ri,i*a# Per!&n! D. D&$i*i#e E. Marria(e F. Le(a# Se0arati&n G. Ri(%t! an, O/#i(ati&n! Bet7een H-!/an, an, ;i6e H. Pr&0ert Re#ati&n! Bet7een H-!/an, an, ;i6e I. T%e Fa$i# J. Fa$i# H&$e '. Paternit an, Fi#iati&n L. A,&0ti&n M. S-00&rt N. Parenta# A-t%&rit O. F-nera#! P. S-rna$e <. A/!en*e R. Ci+i# Re(i!ter
PRESCRIPTION33333333333333333 33>9
PROPERTY3333333333333333333 3=> A. C#a!!i6i*ati&n &6 Pr&0ert ?Art!. @5@@59) CC B. O7ner!%i0 ?Art!. @8>@=) CC C. A**e!!i&n! D. <-ietin( Tit#e E. C&&7ner!%i0 F. C&n,&$ini-$ A*t ?RA @>8 G. P&!!e!!i&n H. U!-6r-*t I. Ea!e$ent! J. M&,e! O6 A*2-rin( O7ner!%i0 '. O**-0ati&n
CONTRACTS 3333333333333333333 5
L. Inte##e*t-a# M. D&nati&n Creati&n N. Ot%er M&,e! &6 A*2-irin( O7ner!%i0 O. N-i!an*e
CIVIL LAW REVIEWER
A. De6initi&n B. N& Pre!*ri0ti&n A00#i*a/#e C. Pre!*ri0ti&n &r #i$itati&n &6 a*ti&n! D. Interr-0ti&n OBLIGATIONS 3333333333333333333 98 A. De6initi&n B. E#e$ent! &6 an O/#i(ati&n C. Di66erent 'in,! &6 Pre!tati&n! D. C#a!!i6i*ati&n &6 O/#i(ati&n! E. S&-r*e! &6 &/#i(ati&n! ?Art!. 554554> F. Nat-re an, E66e*t &6 O/#i(ati&n! G. 'in,! &6 Ci+i# O/#i(ati&n! H. J&int an, S&#i,ar O/#i(ati&n I. Etin(-i!%$ent &6 O/#i(ati&n!
A. E!!entia# Re2-i!ite! ?Art. 585 B. 'in,! &6 C&ntra*t! C. F&r$a#it ?Art!. 5=4) 5=4>) 5=49 D. De6e*ti+e C&ntra*t! E. E66e*t &6 *&ntra*t! ?Art. 5=55 SALES 333333333333333333 58= A. Intr&,-*ti&n B. Partie! t& a C&ntra*t &6 Sa#e C. S-/e*t Matter D. O/#i(ati&n! &6 t%e Se##er t& Tran!6er O7ner!%i0 E. Pri*e F. F&r$ati&n &6 C&ntra*t &6 Sa#e
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G. Tran!6er &6 O7ner!%i0 H. Ri!1 &6 L&!! I. D&*-$ent! &6 Tit#e J. Re$e,ie! &6 an Un0ai, Se##er '. Per6&r$an*e &6 C&ntra*t L. ;arrantie! M. Brea*% &6 C&ntra*t N. Etin(-i!%$ent &6 t%e Sa#e O. T%e S-/,i+i!i&n an, C&n,&$ini-$ B-er! Pr&te*ti+e De*ree P. T%e C&n,&$ini-$ A*t SUCCESSION 3333333333333333333 544 A. Genera# Pr&+i!i&n! B. Te!ta$entar S-**e!!i&n C. Le(a# &r Inte!tate S-**e!!i&n D. Pr&+i!i&n! C&$$&n t& Te!tate an, Inte!tate S-**e!!i&n E. Partiti&n an, ,i!tri/-ti&n &6 e!tate LEASE3333333333333333333333 5 A. Lea!e &6 T%in(! B. Lea!e &6 ;&r1 &r Ser+i*e! C. Lea!e &6 R-ra# an, Ur/an Lan,! D. C&ntra*t 6&r Pie*e &6 ;&r1 E. Ri(%t! an, O/#i(ati&n! &6 Le!!&r an, Le!!ee PARTNERSHIP333333333333333333 84 A. C&ntra*t O6 Partner!%i0 B. Ri(%t! an, O/#i(ati&n! &6 Partner!%i0 C. Ri(%t! an, O/#i(ati&n! &6 Partner! A$&n( T%e$!e#+e! D. O/#i(ati&n! &6 Partner!%i0Partner!%i0 t& T%ir, Per!&n! E. Di!!&#-ti&n F. Li$ite, Partner!%i0 AGENCY333333333333333333333 3 885 A. De6initi&n &6 A(en* B. P&7er! C. E0re!! V. I$0#ie, A(en* D. A(en* B E!t&00e#
CIVIL LAW REVIEWER
E. Genera# +!. S0e*ia# A(en* F. A(en* C&-*%e, in Genera# Ter$! G. A(en* Re2-irin( S0e*ia# P&7er &6 Att&rne H. A(en* / O0erati&n &6 La7 I. Ri(%t! an, O/#i(ati&n! &6 Prin*i0a# J. M&,e! &6 Etin(-i!%$ent CREDIT TRANSACTIONS3333333333333333 8=4 A. L&an B. DEPOSIT C. G-arant an, S-ret!%i0 D. P#e,(e E. Rea# M&rt(a(e F. Anti*%re!i! G. C%atte# M&rt(a(e H. <-a!i*&ntra*t! I. C&n*-rren*e an, Pre6eren*e &6 Cre,it! J. In!&#+en* La7 LAND TITLES AND DEEDS 33333333333333 89= A. T&rren! S!te$ B. Re(a#ian D&*trine C. Citien Re2-ire$ent! D. N&nRe(i!tra/#e Pr&0ertie! E. Ori(ina# Re(i!trati&n F. S-/!e2-ent Re(i!trati&n G. Dea#in(! ;it% Unre(i!tere, Lan, TORTS AND DAMAGES33333333333333 =8= B&&1 IT&rt! A. Prin*i0#e! B. C#a!!i6i*ati&n &6 T&rt! C. T%e T&rt6ea!&r D. A*t &6 O$i!!i&n an, It! M&,a#itie! E. Pr&i$ate Ca-!e F. Le(a# In-r G. Intenti&na# T&rt! H. Ne(#i(en*e I. S0e*ia# Lia/i#it in Parti*-#ar A*ti+itie! J. Stri*t Lia/i#it B&&1 IIDa$a(e!
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A. Genera# C&n!i,erati&n! B. A*t-a# an, C&$0en!at&r Da$a(e! C. M&ra# Da$a(e! D. N&$ina# Da$a(e! E. Te$0erate &r M&,erate Da$a(e! F. Li2-i,ate, Da$a(e! G. Ee$0#ar &r C&rre*ti+e Da$a(e! H. Da$a(e! in Ca!e &6 Deat% I. Gra,-ati&n &6 Da$a(e! J. Mi!*e##ane&-! R-#e!
CIVIL LAW REVIEWER
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CIVIL LAW REVIEWER
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CIVIL LAW Wen La/s Ta
TOPICS UNDER THE S,LLABUS A- PRELIMINAR, TITLE 1- E&&ec and E&&eci.i" $& La/ a- Wen %a/s #ec$me e&&eci.e #- Manda$r" e&&ec $& %a/s c- Irrer$aci.i" $& %a/s dWai.er $& ri's e- Reea% $& %a/s &- !dicia% decisi$ns '- Pres!mi$n and A%ica#i%i" $& C!s$m - C$m!ai$n $& Time i- 3$.ernin' %a/s 4- R!%es $n Pr$i#ii.e %a/s 2- H!man Re%ai$ns a- A%icai$n #- D!" $ ac / i 4!sice5 $#ser.e $nes" and '$$d &ai c- Aci$ns &$r #reac $& r$mise $ marr" d- Un4!s enricmen a e e6ense $& $ers e- Ri's $ ers$na% di'ni" and ri.ac" &- Lia#i%i" $& P!#%ic O&&icers 7777777777777777777777777 7777777777777777 CIVIL LAW /ran*% &6 #a7 t%at re(-#ate! re#ati&n! &6 a!!i!tan*e) a-t%&rit an, &/e,ien*e a$&n( 6a$i# $e$/er! a! 7e## a! $e$/er! &6 a !&*iet 6&r t%e 0r&te*ti&n &6 0ri+ate intere!t! NEW CIVIL CODE8 t&&1 e66e*t &n A!'!s (05 19*0
TOPICS UNDER THE S,LLABUS A- PRELIMINAR, TITLE 1- E&&ec and E&&eci.i" $& La/s 7777777777777777777777777 77777777777777777 1- E::ECT AND E::ECTIVIT, O: LAWS a; Wen e La/s Bec$m e E&&eci.e
CIVIL LAW REVIEWER
3enera% R!%e > 54 ,a! a6ter *&$0#eti&n &6 0-/#i*ati&n in OG &r ne7!0a0er &6 (enera# *ir*-#ati&n E6cei$n - T%e #a7 *an 0r&+i,e 6&r it! &7n ,ate &6 e66e*ti+it
#; Manda$r" E&&ec $& La/s • •
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•
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P!#%icai$n is MANDATOR, 6&r a## !tat-te!) in*#-,in( PD! an, E&! AO! an, Re(-#ati&n! $-!t a#!& /e 0-/#i!%e, i6 t%eir 0-r0&!e i! t& en6&r*e &r i$0#e$ent ei!tin( #a7 An i$$e,iate e66e*ti+it *#a-!e ,&e! n&t 0re*#-,e t%e re2-ire$ent &6 0-/#i*ati&n P!#%icai$n m!s #e in &!%% ?&t%er7i!e) it i! n&t ,ee$e, 0-/#i!%e, at a## !in*e it! PURPOSE i! t& in6&r$ t%e 0-/#i* &6 it! *&ntent! N&n0-/#i*ati&n &6 t%e #a7 7&-#, &66en, ,-e 0r&*e!! ?0er!&n! n&t a7are &6 #a7! 7&-#, /e 0re-,i*e, Effect of Publication: T%e 0e&0#e are ,ee$e, t& %a+e *&n*#-!i+e# /een n&ti6ie, &6 t%e #a7 e+en i6 t%e %a+e n&t rea, t%e$.
C$m%iance /i e La/ =ar-(;8 I(n&ran*e &6 t%e #a7 e*-!e! n& &ne 6r&$ *&$0#ian*e t%ere7it% ?Ignorantia juris neminem excusat NOTE: Applies only to mandatory and prohibitory laws (Consunji v. CA, [G.R. 137873 April 20, 2001])
c; Irrer$aci.i" $& La/s =ar- ); 3enera% r!%e8 #a7! are n&t retr&a*ti+e E6cei$ns8 PIERCER; 5. Pena# #a7! 7%en 6a+&ra/#e t& t%e a**-!e, 7%& i! n&t a %a/it-a# ,e#in2-ent &r re*i,i+i!t 8. Inter0retati+e !tat-te! =. ;%en t%e #a7 it!e#6 e0re!!# 0r&+i,e! Excp!ion !o !" xcp!ion# a. Ex post facto #a7 /. ;%en retr&a*ti+it i$0air! t%e &/#i(ati&n! &6 *&ntra*t!
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Re$e,ia# !tat-te! C-rati+e !tat-te! E$er(en* #a7! La7! *reatin( ne7 !-/!tanti+e r i(%t!
C-!t&$! 7%i*% are *&ntrar t& #a7) 0-/#i* &r,er &r 0-/#i* 0&#i* !%a## n&t /e *&-ntenan*e,. A *-!t&$ $-!t /e 0r&+e, a! a 6a*t a**&r,in( t& t%e r-#e! &6 e+i,en*e.
Manda$r" and Pr$i#i$r" %a/s =ar- *;8 3enera% R!%e > A*t! ee*-te, a(ain!t t%e 0r&+i!i&n! &6 $an,at&r &r 0r&%i/it&r #a7! !%a## /e +&i,. E6cei$n > I6 t%e #a7 e0re!!# 0r&+i,e! 6&r t%e +a#i,it &6 a*t! *&$$itte, in +i&#ati&n &6 a $an,at&r &r 0r&%i/it&r 0r&+i!i&n &6 a !tat-te.
; C$m!ai$n $& Tim e Le'a% Peri$ds =Ar- 1(5 as amended #" Sec(15 EO 292; Year 58 $&nt%!" M&nt% = ,a!) -n#e!! re6errin( t& a !0e*i6i* *a#en,ar $&nt%" Da 8@ %&-r!" Ni(%t !-n!et t& !-nri!e
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d; Wai.er $& Ri's = ar-+; LAW 3enera% R!%e> Ri(%t! $a /e 7ai+e, Pena% La/s E6cei$ns > ;%en 7ai+er i! 5- C$nrar" $ %a/5 !#%ic $rder5 !#%ic $%ic"5 m$ra%s5 '$$d c!s$ms ?e.(. 7ai+er &6 6-t-re in%eritan*e) 0&#iti*a# ri(%t!) 6-t-re !-00&rt 8- Pre4!dicia% $ a ird ers$n 7it% a ri(%t re*&(nie, / #a7
e; Reea% $& La/s =ar- ?; 5. E0re!! re 0ea# re0ea# &6 re0ea#in( #a7 7i## n&t re+i+e t%e &#, #a7 ?-n#e!! e0re!!# 0r&+i,e, 8. I$0#ie, re0ea# t%e 0r&+i!i&n! &6 t%e !-/!e2-ent #a7 are in*&$0ati/#e 7it% t%&!e &6 t%e 0re+i&-! #a7 Re@!isies8 5. B&t% #a7! *&+er t%e !a$e !-/e*t $atter 8. T%e #atter #a7 i! re0-(nant t& t%e ear#ier #a7
Sa!s La/s ?re#atin( t& 6a$i# ri(%t! an, ,-tie!) !tat-!) #e(a# *a0a*it Pr$er" La/s
Citien! &6 t%e P%i#i00ine!) in*#-,in( t%&!e #i+in( a/r&a,
La/s $n :$rms and S$%emniie s
F&r$! an, !&#e$nitie! &6 *&ntra*t!) 7i##!) 0-/#i* in!tr-$ent!
&; !dicia% Decisi$ns !d'men $& e C$!rs =Ars- >9; • De*i!i&n! &6 t%e SC 6&r$ 0art &6 t%e #a7 • A## -,(e! &r *&-rt! %a+e t%e ,-t t& ren,er -,($ent e+en in t%e a/!en*e &6 a #a7 '; Pres!mi$n C!s$m =Ars10>12;
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Le6 rei siae8 6&##&7 #a7! &6 t%e 0#a*e 7%ere 0r&0ert i! !it-ate, Le6 %$ci ce%e#rai$nis: 6&##&7 #a7! &6 t%e *&-ntr in 7%i*% t%e are ee*-te,
R!%es $n Pr$i#ii.e La/s =ar- 1?;
3enera% R!%e > Pr&%i/iti+e #a7! *&n*ernin( 0er!&n!) t%eir a*t! &r 0r&0ert an, #a7! 7%i*% %a+e 6&r t%eir &/e*t 0-/#i* &r,er) 0-/#i* 0&#i* &r (&&, *-!t&$! are n&t ren,ere, ine66e*ti+e / #a7!) -,($ent! 0r&$-#(ate, &r *&n+enti&n! a(ree, -0&n in 6&rei(n *&-ntr. E6cei$n8 Ar- 2+ =2; &6 Fa$i# C&,e
2- HUMAN RELATIONS a; A%icai$n
CIVIL LAW REVIEWER
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PRINCIPLE O: ABUSE O: RI3HTS =ART- 19; > ;%en &neK! ri(%t i! eer*i!e, 6&r t%e 0-r0&!e &6 0re-,i*in( &r in-rin( an&t%er
ACCION IN REM VERSO =Ar- 22; a*ti&n 6&r re*&+er &6 7%at %a! /een 0ai, 7it%&-t -!t *a-!e.
Re@!isies E%emens8 5. T%ere i! a %e'a% ri' &r ,-t 8. ;%i*% is e6ercised in /a, 6ait% =. F&r t%e s$%e inen &6 0re-,i*in( &r in-rin( an&t%er Sandards $ $#ser.e in e e6ercise $&
Re@!isies8 5. De6en,ant %a! #een enriced 8. P#ainti66 s!&&ered a %$ss =. Un4!s Enricmen &6 ,e6en,ant i! 7it%&-t -!t &r #e(a# (r&-n, @. P#ainti66 as n$ $er aci$n /a!e, &n *&ntra*t) 2-a!i*&ntra*t) *ri$e) &r 2-a!i,e#i*t
$nes ri's8 5. A*t 7it% -!ti*e 8. Gi+e e+er&ne %i! ,-e =. O/!er+e %&ne!t an, (&&, 6ait%
• !istinguished from solutio indebiti: Mi!ta1e i! an e!!entia# e#e$ent in solutio indebiti /-t n&t in accion in rem "erso.
#; D!" $ Ac /i !s ice5 O#s er.e H$nes" and 3$$d :ai ACTS CONTRA BONUS MORES =ART-21;> ;%en 0er!&n! 7i#6-## *a-!e #&!! &r in-r t& an&t%er E%emens8 5. T%ere i! an ac /ic is %e'a% 8. B-t 7 %i*% i ! c$nrar" t& $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er) &r 0-/#i* 0&#i* =. D&ne 7it% inen $ in4!re
DUT, TO INDEMNI:, ONE :OR DAMA3E TO HIS PROPERT, =Ar- 2(;8 7%en ,e6en,ant 7a! /ene6itte, e+en i6 n&t ,-e t& 6a-#t &r ne(#i(en*e DUT, O: COURTS TO PROTECT A PART, IN A CONTRACT =Ar- 2);8 ;%en !-*% 0art i! at a ,i!a,+anta(e &n a**&-nt &6 %i!: =MI'IMenTO; M&ra# ,e0en,en*e I'n&ran*e In,i(en*e Menta# 7ea1ne!! Ten,er a(e Ot%er %an,i*a0 -
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c; Aci$ns &$r Breac $& Pr$mise $ Marr"
THOU3HTLESS EFTRAVA3ANCE =Ar- 2*; Ma /e 0re+ente, i6 t%e 66 re2-i!ite! are 0re!ent: 5. D-rin( an a*-te 0-/#i* 7ant &r e$er(en* 8. Per!&n !ee1in( t& !t&0 it i! t%e (&+ Kt &r a 0ri+ate *%arita/#e in!tit-ti&n e; Ri's $ Pri.ac"
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Pr$eci$n $& H!man Di'ni" =Ar- 2+; E+er 0er!&n !%a## re!0e*t t%e ,i(nit) 0er!&na#it) 0ri+a* an, 0ea*e &6 $in, &6 &t%er!
3enera% R!%e8 Brea*% &6 0r&$i!e t& $arr i! n&t a*ti&na/#e. E6cei$n8 ;%en &ne 0art %a! a#rea, $a,e rea# e66&rt! t& 0re0are an, !0en, 6&r t%e 7e,,in(. S-*% a*t i! -n-!ti6ia/# *&ntrar t& (&&, *-!t&$! 6&r 7%i*% t%e ,e6en,ant $-!t /e %e#, an!7era/#e 6&r ,a$a(e! in a**&r,an*e 7it% Art. 85 &6 t%e NCC. ($%ss&r v. 'l 12 CRA *+
T%e 6&##&7in( a*t! 0r&,-*e a *a-!e &6 a*ti&n 6&r ,a$a(e!) 0re+enti&n an, &t%er re#ie6: =Pr"MIVe6; 5. Pr"in( int& t%e 0ri+a* &6 an&t%erK! re!i,en*e 8. Me,,#in( 7it% &r ,i!t-r/in( t%e 0ri+ate #i6e &r 6a$i# re#ati&n! &6 an&t%er =. Intri(-in( t& *a-!e an&t%er t& /e a#ienate, 6r&$ 6rien,!
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d; Un4!s Enricmen a e E6ense $& Oers
CIVIL LAW REVIEWER
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&; Lia#i%i" $& P!#%ic O&&icers Re%ie& A'ains P!#%ic O&&icia%s =Ar- 2?; ;%en &ne !-66er! $ateria# &r $&ra# #&!! /e*a-!e a 0-/#i* &66i*er 6ai#! 7it%&-t *a-!e t& 0er6&r$ %i! ,-t) t%e &66i*er i! n&t 0r&te*te, / %i! &66i*e an, i! 0er!&na## #ia/#e.
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IPERSONS
TOPICS UNDER THE S,LLABUS A- 3enera% Pr$.isi$ns 1- !ridica% Caaci" . Caaci" $ Ac 2- Resrici$ns and M$di&icai$ns $n Caaci" $ Ac Pers$ns B- Na!ra% 1- Wen Pers$na%i" Be'ins and Ends 2- R!%es $n S!r.i.$rsi =Ar-)(5 CC . R!%e 1(1 Sec 44; C- !ridica% Pers$ns 1- W$ are !ridica% Pers$ns 2- Wen Pers$na%i" Be'ins and Ends (- Ri's $& !ridica% Pers$ns D- D$mici%e 7777777777777777777777777 77777777777777777 A- 3ENERAL PROVISIONS !ridica% Caaci" .- Caaci" $ Ac
1- =Ar- (?; URIDICAL CAPACIT, Fitne!! t& /e t%e !-/e*t &6 #e(a# re#ati&n! Pa!!i+e In%erent L&!t &n# t%r&-(% ,eat% Can ei!t 7it%&-t *a0a*it t& a*t Cann&t /e #i$ite, &r re!tri*te,
CAPACIT, TO ACT P&7er t& ,& a*t 7it% #e(a# e66e*t! A*ti+e Mere#a*2-ire, L&!t t%r&-(% ,eat% an, &t%er *a-!e! Cann&t ei!t 7it%&-t -ri,i*a# *a0a*it Can /e re!tri*te,) $&,i6ie,) &r #i$ite,
:!%% Ci.i% Ri's8 -ni&n &6 /&t% -ri,i*a# *a0a*it an, *a0a*it t& a*t
2- Resrici$ns $n Caaci" $ Ac =Ar- (; =MInD > ICIP; D& n&t ee$0t t%e in*a0a*itate, 0er!&n 6r&$ *ertain &/#i(ati&n! 5. Min&rti
CIVIL LAW REVIEWER
8. In!anit =. State &6 /ein( Dea6$-te @. I$/e*i#it 4. Ci+i# Inter,i*ti&n . Pr&,i(a#it !tate &6 !2-an,erin( $&ne &r 0r&0ert 7it% a $&r/i, ,e!ire t& 0re-,i*e t%e %eir! &6 a 0er!&n ? #artine$ "% #artine$& ' Phil% '()*
Circ!msances a M$di&" $r Limi Caaci" $ Ac =ar- (9; A(e Pena#t A/!en*e In!anit Pr&,i(a#it In!&#+en* I$/e*i#it Fa$i# Re#ati&n! Tr-!tee!%i0 Dea6$-tene!! A#iena(e CIVIL PERSONALIT, t%e a0tit-,e &6 /ein( t%e !-/e*t) a*ti+e &r 0a!!i+e) &6 ri(%t! an, &/#i(ati&n!
B- NATURAL PERSONS NATURAL PERSONS Na!ra% Pers$ns A %-$an /ein() %a! 0%!i*a# ei!ten*e Pr&,-*t &6 0r&*reati&n
V- URIDICAL PERSONS !ridica% Pers$ns Ei!t! &n# in *&nte$0#ati&n &6 #a7 Pr&,-*t &6 #e(a# 6i*ti&n
1- Wen Pers$na%i" Be'ins and End s Ci.i% Pers$na% i"5 Na!ra% Pers$ns =Ars- )0> )(; 3enera% R!%e > Deter$ine, etin(-i!%e, / ,eat%
/
/irt%)
E6cei$n > T%e *&n*ei+e, *%i#, !%a## /e *&n!i,ere, /&rn 6&r a## 0-r0&!e! 6a+&ra/#e t& it) 0r&+i,e, it /e /&rn #ater -n,er t%e 6&##&7in( *&n,iti&n!: 5. It i! a%i.e a e ime it i! *&$0#ete# ,e#i+ere, 6r&$ t%e $&t%erK! 7&$/ 8. +,T i6 it %a, an inter-terine #i6e &6 #e!! t%an > $&nt%!) $n%" i& i %i.es &$r a %eas 2) $!rs a&er is c$m%ee de%i.er 6r&$ t%e $aterna# 7&$/
2- R!%es $n S!r.i.$rsi D$!#s as $ Order $& Dea8 A! /et7een t7& &r $&re 0er!&n! *a##e, t& !-**ee, ea*% &t%er) i6 t%ere i! ,&-/t a! t& 7%i*% &6 t%e$ ,ie, 6ir!t) 7%&e+er a##e(e! t%e ,eat% &6 0ri&r t& t%e &t%er
Pa'e 11 $& )01
!%a## 0r&+e t%e !a$e. In t%e a/!en*e &6 0r&&6) it i! 0re!-$e, t%at t%e ,ie, at t%e !a$e ti$e an, t%ere !%a## /e n& tran!$i!!i&n &6 ri(%t! 6r&$ &ne t& t%e &t%er. • T%i! r-#e a00#ie! &n# t& *a!e! in+&#+in( !-**e!!i&n
C- URIDICAL PERSONS 1- W$ are !ridica% Pers$ns Ci.i% Pers$na%i"5 !ridica% Pers$ns =Ars- ))> )?; 5. T%e !tate an, it! 0&#iti*a# !-/,i+i!i&n! 8. Ot%er *&r0&rati&n!) in!tit-ti&n!) an, entitie! 6&r 0-/#i* intere!t &r 0-r0&!e) *reate, / #a7 =. C&r0&rati&n!) 0artner!%i0!) an, a!!&*iati&n! 6&r 0ri+ate intere!t &r 0-r0&!e 2- Wen Pers$na%i" Be'ins and Ends • Creati&n: ?5 an, ?8 are *reate, / t%e #a7! *reatin( &r re*&(niin( t%e$) 0ri+ate *&r0&rati&n! are (&+erne, / t%e C&r0. C&,e ?B.P. 9 an, 0artner!%i0 an, a!!&*iati&n! are (&+erne, / t%e 0r&+i!i&n! &6 t%e Ne7 Ci+i# C&,e &n 0artner!%i0! • Etin(-i!%e,: / ter$inati&n &6 ei!ten*e
(- Ri's $& !ridica% Pers$ns 5. 8. =.
A*2-ire an, 0&!!e!! r$er" &6 a## 1in,! In*-r $#%i'ai$ns Brin( ci.i% $r crimina% aci$ns
CITIGENSHIP • In t%e P%i#i00ine -ri!,i*ti&n) 7%at i! 6&##&7e, i! t%e *&n*e0t &6 jus sanguinis ?*itien!%i0 / /#&&, a! &00&!e, t& jus soli ?*itien!%i0 / 0#a*e &6 /irt%
D- DOMICILE DOMICILE = Ars- *0>*1; F&r na!ra% ers$ns ) it i! t%e -
0#a*e &6 %a/it-a# re!i,en*e F&r 4!ridica% ers$ns) it i! 7%ere t%eir #e(a# re0re!entati&n i! e!ta/#i!%e, &r 7%ere t%e eer*i!e t%eir 0rin*i0a# 6-n*ti&n! ?7%en t%e
CIVIL LAW REVIEWER
#a7 *reatin( t%e$ ,&e! n&t 6i t%e ,&$i*i#e
A min$r &$%%$/s e d$mici%e $& is arens • D&$i*i#e &6 &ri(in *an &n# /e #&!t 7%en a *%an(e &6 ,&$i*i#e &**-r!. Re@!iremens &$r e ac@!isii$n $& ne/ d$mici%e8 5. B$di%" resence in a ne7 #&*a#it 8. Intenti&n t& remain t%erein ? animus manendi =. Intenti&n t& a#and$n e $%d ,&$i*i#e ?animus non re"ertendi • T%e %-!/an, an, t%e 7i6e !%a## 6i t%e 6a$i# ,&$i*i#e. In *a!e &6 ,i!a(ree$ent) t%e *&-rt !%a## ,e*i,e
inds $& D$mici%e 5. D&$i*i#e &6 &ri(in re*ei+e, / a 0er!&n at /irt% 8. D&$i*i#e &6 *%&i*e t%e 0#a*e 6ree# *%&!en / a 0er!&n sui juris =. C&n!tr-*ti+e ,&$i*i#e a!!i(ne, t& a *%i#, / #a7 at t%e ti$e &6 %i! /irt%
================================ TOPICS UNDER THE S,LLABUS
E- Marria'e =Ars- 1>*)5 :ami%" C$de; 1- C$nce 2- Essenia% and :$rma% Re@!iremens (- N$n>Essenia% Re@!iremens )- Marria'es Ce%e#raed O!side e Pi%iines a- Va%idi" and E6cei$ns #- :$rei'n Di.$rce *- V$id Marria'es a- V$id % ini!io !nder Ar- (* #- V$id !nder Ar- (+ c- V$id &$r Bein' Inces!$!s !nder Ar- (? d- V$id &$r Reas$n $& P!#%ic P$%ic" !nder Ar- ( e- Imrescrii#i%i" $& aci$n $r de&ense &$r dec%arai$n $& n!%%i" $& marria'e- =Ar- (9;
Pa'e 12 $& )01
&- S!#se@!en Marria'e Wi$! !dicia% Dec%arai$n $& N!%%i" $& Pre.i$!s V$id Marria'e =Ar- )0; +- Ann!%%a#%e Marria'es ?- Pr$ced!re and E&&ecs $& Terminai$n $& Marria'e
E- MARRIA3E
8. &r t%e residence &6 eit%er 0art i! #&*ate, t%at t%ere i! n& $ean! &6 tran!0&rtati&n t& ena/#e !-*% 0art t& a00ear 0er!&na## /e6&re t%e *i+i# re(i!trar) =. c$a#iai$n 6&r 4 ear!) ma" #e t%en t%e $arria(e s$%emniJed 7it%&-t t%e ne*e!!it &6 a $arria(e #i*en!e. ? Aric%e 2? and 2;
1- CONCEPT Marria(e i! 5. A !0e*ia# *&ntra*t 8. &6 0er$anent -ni&n =. Bet7een a $an an, a 7&$an @. Entere, int& in a**&r,an*e 7it% #a7 4. F&r t%e e!ta/#i!%$ent &6 *&n-(a# an, 6a$i# #i6e
2- ESENTIAL AND :ORMAL REUIREMENTS 5. Le'a% caaci" &6 *&ntra*tin( 0artie! a. M-!t /e /et7een a man and /$man /. M-!t /e at #ea!t 1 ear! &#, 8. C$nsen &ree%" 'i.en) IN e PRESENCE &6 t%e !&#e$niin( &66i*er
:$rma% Re@!isies $& Marria'e8 =ALC; 5. A!$ri" &6 !&#e$niin( &66i*er 8. Va#i, $arria(e %icense ?except in *a!e! 7%ere a $arria(e #i*en!e i! n&t re2-ire, • +a#i, &n# 6&r 58 ,a! 6r&$ i!!-e in an 0art &6 t%e P%i#i00ine! =. Marria(e cerem$n 7%ere t%e *&ntra*tin( 0artie! a00ear /e6&re t%e !&#e$niin( &66i*er) 7it% t%eir 0er!&na# ,e*#arati&n t%at t%e ta1e ea*% &t%er a! %-!/an, an, 7i6e in t%e 0re!en*e &6 n&t #e!! t%an t7& 7itn e!!e! &6 #e(a# a(e E&&ecs8 1- A#sence $& essenia% $r &$rma% re@!isies +&i, ab initio E6cei$ns8 a. I6 !&#e $nie, / !na!$riJed ers$n) t%e $arria(e 7i## !ti## /e +a#i, i6 eit%er &r /&t% *&ntra*tin( 0artie! /e#ie+e, in '$$d &ai a e s$%emniJin' &66i*er %a, #e(a# a-t%&rit ?Aric%e (*=2; T%&!e ee$0t 6r&$ t%e #i*en!e re2-ire$ent. I6 eit%er &6 t%e *&ntra*tin( 0artie! are 5. at a $in $& dea ?articulo mortis*)
CIVIL LAW REVIEWER
2- De&ec in an" $& e essenia% re@!isies +&i,a/#e (- Irre'!%ari" in an" $& e &$rma% re@!isies ,&e! n&t a66e*t t%e +a#i ,it &6 t%e $arria(e /-t 7i## $a1e t%e 0art re!0&n!i/#e *i+i##) *ri$ina##) &r a,$ini!trati+e# #ia/#e A!$riJed S$%emniJin' O&&icers8 =PCCCM; 5. In*-$/ent $e$/er &6 t%e 4-,i*iar 7it%in t%e *&-rtK! -ri!,i*ti&n 8. D-# a-t%&rie, rie!t) ra//i) i$a$ &r t%e $ini!ter &6 an *%-r*% &r re#i(i&-! !e*t =. S%i0 ca0tain &r air0#ane *%ie6 &n# in articulo mortis /et7een 0a!!en(er! &r *re7 $e$/er! 7%i#e t%e !%i0 i! at !ea &r t%e 0#ane i! in 6#i(%t an, a#!& ,-rin( !t&0&+er at 0&rt! &6 *a## @. Mi#itar c&$$an,er &6 a -nit t& 7%i*% a *%a0#ain i! a!!i(ne, &n# in articulo mortis /et7een 0er!&n! 7it%in t%e &ne &6 $i#itar &0erati&n! 7%et%er $e$/er! &6 t%e ar$e, 6&r*e! &r *i+i#ian! an, &n# in t%e a/!en*e &6 t%e *%a0#ain 4. C&n!-#(enera#) *&n!-# &r +i*e*&n!-# &n# 7%en *&ntra*tin( 0artie! are /&t% Fi#i0in&! a/r&a, . Ma&r ?L&*a# G&+ern$ent C&,e &6 55 T%e +i*e $a&r) in *a!e t%e $a&r i! te$0&rari# in*a0a*itate, t& ,i!*%ar(e %i! ,-tie!
Marria'es E6em &r$m License Re@!iremens8 5. Marria(e in %r!iculo &or!is ?&ne &6 t%e 0artie! i! at t%e 0&int &6 ,eat% 8. I6 t%e re!i ,en*e &6 eit%er 0art i! !& #&*ate, t%at t%e re i! n$ means $& rans$rai$n $ ena#%e !-*% 0art t& a00ear 0er!&na## /e6&re t%e *i+i# re(i!trar =. Marria(e !&#e$nie, $!side e Pi%iines n$ marria'e %icense is re@!ired //ere t%e *&-ntr 7%ere it 7a! !&#e$nie,
Pa'e 1( $& )01
@.
am$n' M!s%ims $r am$n' Marria(e mem#ers $& enic c!%!ra% c$mm!niies in a**&r,an*e 7it% t%eir *-!t&$! 4. Marria(e /et7een 0er!&n! 7%& %a+e #i+e, t&(et%er a! %-!/a n, an, 7i6e 6&r at %eas &i.e "ears an, 7it%&-t an #e(a# i$0e,i$ent t& $arr ea*% &t%er Ruisi!s# a. Man an, 7&$an $-!t %a+e /een #i+in( t&(et%er a! %-!/an, an, 7i6e 6&r at # eas &i.e "ears #e&$re marria'e /. T%e 0artie! $-!t %a+e n$ %e'a% imedimen t& $arr ea*% &t%er a#sence $& %e'a% *. T%e 6a*t &6 imedimen /et7een t%e 0artie! $-!t /e 0re!ent a e ime $& marria'e e6ec!e an ,. T%e 0artie! $-!t a&&ida.i !tatin( t%at t%e %a+e #i+e, t&(et%er 6&r at #ea!t 6i+e ear! ?an, are 7it%&-t #e(a# i$0e,i$ent t& $arr ea*% &t%er e. Te s$%emniJin' $&&ice r $-!t ee*-te a !7&rn !tate$ent t%at %e %a, a!*ertaine, t%e 2-a#i6i*ati&n! &6 t%e 0artie! an, t%at %e %a, 6&-n, n& #e(a# i$0e,i$ent t& t%eir $arria(e •
N& #e(a# i$0e,i$ent ,-rin( t%e entire 0eri&,:
T%i! 4ear 0eri&, !%&-#, /e a 0eri&, &6 *&%a/itati&n *%ara*terie, / e*#-!i+it $eanin( n& t%ir, 0art 7a! in+&#+e, at an ti$e t%at i!) -n/r&1en. ?Ni-al "s% +ayadog& .)( /01A ')) )222**
AUTHORIGED VENUES :OR MARRIA3E8 3enera% R!%e8 M-!t /e !&#e$nie, 0-/#i*#) an, n&t e#!e7%ere) in t%e: 5. C%a$/er! &6 t%e -,(e &r in &0en *&-rt 8. C%-r*%) *%a0e# &r O66i*e &6 *&n!-#(enera#) *&n!-# &r +i*e *&n!-# E6cei$ns8 5. Marria(e at t%e 0&int &6 ,eat% ? articulo mortis 8. Marria(e in re$&te 0#a*e!
CIVIL LAW REVIEWER
=. Marria(e at a %&-!e &r 0#a*e ,e!i(nate, / t%e 0artie! in a !7&rn !tate$ent -0&n t%eir 7ritten re2-e!t t& t%e !&#e$niin( &66i*er
OTHER REUIREMENTS8 Eier $r B$ Re@!ires Paries 59 ear! &#, an, a/&+e /-t /e#&7 85 85 ear! &#, an, a/&+e /-t /e#&7 84
La*1 &6 *&n!ent La*1 &6 a,+i*e &r *&-n!e##in(
Parenta# *&n!ent Marria(e *&-n!e#in( Parenta# a,+i*e Marria(e *&-n!e#in(
E::ECTS 0arenta# Marria(e i! VOIDABLE 0arenta# $arria(e
NO EFFECT &n t% +a#i,it &6 $arria(e 3owe"er) t%i! 7i## !-!0en, t%e i!!-an*e &6 t%e $arria(e #i*en!e 6&r = $&nt%! 6r&$ t%e *&$0#eti&n &6 0-/#i*ati&n I6 t%e (et $arrie, ,-rin( t%e =$&nt% 0eri&, 7it%&-t a #i*en!e) t%e $arria(e !%a## /e VOID I6 t%e are a/#e t& &/tain a #i*en!e ,-rin( t%e =$&nt% 0eri&,) t%e $arria(e 7i## !ti## /e +a#i, /-t *i+i# an, *ri$ina# #ia/i#it $a atta*%.
(- NON>ESSENTIAL REUIREMENTS Marria'e Ceri&icae ;%i#e a $arria(e *erti6i*ate i! *&n!i,ere, t%e 0ri$ar e+i,en*e &6 a $arita# -ni&n) it i! n&t re(ar,e, a!J-ri!0r-,en*e t%e !&#e an, tea*%e! e*#-!i+e e+i,en*e $arria(e. t%at t%e 6a*t&6&6 $arria(e $a /e 0r&+en / re#e+ant e+i,en *e &t%er t%an t%e $arria(e *erti6i*ate. Hen*e) e+en a 0er!&nK! /irt% *erti6i*ate $a /e re*&(nie, a!
Pa'e 1) $& )01
*&$0etent e+i,en*e &6 t%e $arria(e /et7een %i! 0arent!. ? Anonuvo vs. /n!. Es!%! o %l%noni, [GR 178221, c&r 1, 2010])
)- MARRIA3ES SOLEMNIGED ABROAD a; Va%idi" and E6cei$ns •
3enera% R!%e8 Marria(e! !&#e$nie, &-t!i,e t%e P%i#i00ine! in a**&r,an*e 7it% t%e #a7! &6 t%e 6&rei(n *&-ntr !%a## /e +a#i, %ere ? lex loci celebrationis. Ba!i!: Prin*i0#e &6 *&$it • H&7e+er) i6 !&#e$nie, in!i,e t%e P%i#i00ine C&n!-#ate a/r&a,) P%i#i00ine#a7! $-!t /e &/!er+e, E6cei$ns8 5. ;%ere eit %er &r /&t% 0ar tie! ar e #e%$/ 1 ear! &#, 8. Bi'am$!s &r 0&#(a$&-! $arria(e ?e*e0t Art. @5 &n 0re!-$0ti+e ,eat% &6 !0&-!e (- Misa
. Marria(e .$id &$r reas$ns $& !#%ic $%ic"
•
7ere Fi#i0in& *itien! /-t) #ater &n) &ne &6 t%e$ /e*&$e! nat-ra#ie, a! a 6&rei(n *itien an, &/tain! a ,i+&r*e ,e*ree. T%e Fi#i0in& !0&-!e !%&-#, /e a##&7e, t& re$arr a! i6 t%e &t%er 0art 7a! a 6&rei(ner at t%e ti$e &6 t%e !&#e$niati&n &6 t%e $arria(e. Rpulic v. 4rcio ///, +72 CRA 11+ (2005) F&r t%e !e*&n, 0ara( ra0% &6 Arti*#e 8 t& a00#) a !0&-!e 7%& &/taine, t%e ,i+&r*e $-!t n&t /e a Fi#i0in& at t%e ti$e &6 t%e ,i+&r*e. Ot%er7i!e) t%e ,i+&r*e i! n&t re*&(nie, in t%e P%i#i00ine!. Rpulic v. /6o6, G.R. o. 15277, p!&r 21, 2005 A,,iti&na##) an a*ti&n /a!e, &n t%e !e*&n , 0ara(ra0% &6 Arti*#e 8 &6 t%e Fa$i# C&,e i! n&t #i$ite, t& t%e re*&(niti&n &6 t%e 6&rei(n ,i+&r*e ,e*ree. I6 t%e *&-rt 6in,! t%at t%e ,e*ree *a0a*itate, t%e a#ien !0&-!e t& re$arr) t%e *&-rt! *an ,e*#are t%at t%e Fi#i0in& !0&-!e i! #i1e7i!e *a0a*itate, t& *&ntra*t an&t%er $arria(e. N& *&-rt in t%i! -ri!,i*ti&n) %&7e+er) *an $a1e a !i$i#ar ,e*#arati&n 6&r t%e a#ien !0&-!e ?&t%er t%an t%at a#rea, e!ta/#i!%e, / t%e ,e*ree) 7%&!e !tat-! an, #e(a# *a0a*it are (enera## (&+erne, / %i! nati&na# #a7. C$r!J .sS$- T$mas , G.R. o. 18*571, Auus! 11, 2010
*- VOID MARRIA3ES a; V$id % ini!io !nder Ar- (*
#; :$rei'n Di.$rce Di.$rce #" :$rei'ner>S$!se8 • I6 a Fi#i0in& i! $arrie, t& a 6&rei(ner an, t%e #atter !-/!e2-ent# &/tain! a +a#i, ,i+&r*e a/r&a, *a0a*itatin( %i$%er t& re$arr) t%e Fi#i0in& !0&-!e !%a## #i1e7i!e %a+e t%e *a0a*it t& re$arr -n,er t%e P%i#i00ine #a7. ?Ar- 2+5 ar- 2 • Re@!isies8 a. T%ere i! a .a%id marria'e t%at %a, /een *e#e/rate, /et7een Fi#i0in& *itien an, a 6&rei(ner /. A .a%id di.$rce i! &/taine, a/r&a, / t%e a#ien !0&-!e *a0a*itatin( %i$ &r %er t& re$arr T%e tra,iti&na# r-#e a00#ie! 7%en 0artie! at t%e ti$e &6 *e#e/rati&n are a Fi#i0in& an, an a#ien BUT • T%i! in*#-,e! *a!e! in+&#+in( 0artie! 7%&) at t%e ti$e &6 t%e *e#e/rati&n &6 t%e $arria(e)
CIVIL LAW REVIEWER
5. C&ntra*te, / an 0a rt /e#&7 59 ea r! &#, 8. S&#e$nie, / -na-t%&rie, !&#e$niin( &66i*er ?Except i6 eit%er &r /&t% 0arti e! /e#ie+e, in (&&, 6ait% t%at t%e &66i*er %a, a-t%&rit =. S&#e$nie, 7it%&-t $arria(e #i*en!e ?Except 7%en #i*en!e n&t re2-ire, •
A 0etiti&n t& ,e*#are t%e $arria(e +&i, ,-e t& a/!en*e &6 $arria(e #i*en!e) 6i#e, a&er t%e *&-rt ,enie, a 0etiti&n t& ,e*#are t%e $arria(e +&i, ,-e t& 0!*%&#&(i*a# in*a0a*it) i! #arred #" RES UDICATA. T%ere i! &n# &ne *a-!e &6 a*ti&n 7%i*% i! t%e n-##it &6 $arria(e. Petiti&ner i! e!t&00e, 6r&$ a!!ertin( t%at t%e 6ir!t $arria(e %a, n& $arria(e #i*en!e /e*a-!e %e i$0#ie,# a,$itte, t%e !a$e 7%en %e ,i, n&t 2-e!ti&n t%e a/!en*e &6 a
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$arria(e #i*en!e in t%e 6ir!t *a!e. 9%llion v. Alc%n!%r%, G.R. o. 1+1528, 4c!or 31, 200*
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P!*%&#&(i*a# In*a0a*it $-!t /e -,(e, &n a *a!e t& *a!e /a!i!. It !%&-#, re6er t& n& #e!! t%an a $enta# ?n&t 0%!i*a# in*a0a*it. It $-!t /e *%ara*terie, / a. (ra+it /. -ri,i*a# ante*e,en*e *. in*-ra/i#it. C%r%!in-i%6nco v. i%6nco, ++1 CRA +22 (200+)
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Mere !%&7in( &6 irre*&n*i#a/#e ,i66eren*e! an, *&n6#i*tin( 0er!&na#itie! ,&e! NOT *&n!tit-te 0!*%&#&(i*a# in*a0a*it. C%r%!in-i%6nco v. i%6nco, ++1 CRA +22 (200+)
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Mere !e-a# in6i,e#it &r 0er+er!i&n an, a/an,&n$ent ,& n&t / t%e$!e#+e! *&n!tit-te 0!*%&#&(i*a# in*a0a*it 7it%in t%e *&nte$0#ati&n &6 t%e Fa$i# C&,e. Neit%er *&-#, e$&ti&na# i$$at-rit an, irre!0&n!i/i#it /e e2-ate, 7it% 0!*%&#&(i*a# in*a0a*it. l v. CA +21 CRA +*1 (200+)
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It $-!t /e !%&7n t%at t%e!e a*t! are $ani6e!tati&n! &6 a ,i!&r,ere, 0er!&na#it 7%i*% $a1e re!0&n,ent *&$0#ete# -na/#e t& ,i!*%ar(e t%e e!!entia# &/#i(ati&n! &6 a $arita# !tate. R&&t *a-!e $-!t /e tra*ea/#e 0ri&r t& t%e $arria(e *ere$&n. l v. CA +21 CRA +*1 (200+)
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One &6 t%e e!!entia# $arita# &/#i(ati&n! i! T& 0r&*reate *%i#,ren /a!e, &n t%e -ni+er!a# 0rin*i0#e t%at 0r&*reati&n &6 *%i#,ren t%r&-(% !e-a# *&&0erati&n i! t%e /a!i* en, &6 $arria(e. C&n!tant n&n 6-#6i##$ent &6 t%i! &/#i(ati&n 7i## 6ina## ,e!tr& t%e inte(rit &r 7%&#ene!! &6 t%e $arria(e. T%e !en!e#e!! an, 0r&tra*te, re6-!a# &6 &ne &6 t%e 0artie! t& 6-#6i## t%i! $arita# &/#i(ati&n i! e2-i+a#ent t& 0!*%&#&(i*a# in*a0a*it. C"i 9in :soi v. CA, G.R. o. 1110, %nu%r6 1*, 17
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P!*%&#&(i*a# in*a0a*it i! n&t e2-ate, 7it% in!anit &r t&ta# $enta# ina/i#it t& 6-n*ti&n in a## a!0e*t! &6 %-$an #i6e3it i! a (r&-n, re!tri*te, t& 0!*%&#&(i*a#
@. Bi(a$&-! &r 0&#(a$&-! $arria(e!
E6cei$n8 Ar)1 Marria(e *&ntra*te, / a 0er!&n 7%&!e !0&-!e %a! /een a/!ent 6&r @ ear! ?&r,inar a/!en*e &r 8 ear! ?etra&r,inar a/!en*e) 7%ere !-*% 0er!&n %a! a 7e## 6&-n,e, /e#ie6 t%at %i!%er a/!ent !0&-!e i! a#rea, ,ea,) an, a6ter t%e a/!ent !0&-!e i! -,i*ia## ,e*#are, 0re!-$0ti+e# ,ea,) an, at t%e ti$e &6 t%e $arria(e *ere$&n i! in (&&, 6ait% t&(et%er 7it% t%e !-/!e2-ent !0&-!e 4. Mi!ta1e in i,entit • T%e *&nte$0#ate, $i!ta1e %ere re6er! t& t%e a*t-a# 0%!i*a# i,entit &6 t%e &t%er 0art) an, n&t $ere# $i!ta1e in t%e na$e) *%ara*ter) a(e) &r &t%er attri/-te! &6 t%e 0er!&n. . S-/!e2-ent $arria(e +&i, -n,er Art. 4= - A 0er!&n 7%&!e $arria(e %a! /een ann-##e, $a re$arr a! #&n( a! a6ter t%e $arria(e i! ann-##e,) t%e 0r&0ertie! &6 t%e !0&-!e! $-!t /e 0artiti&ne, an, ,i!tri/-te, an, t%e 0re!-$0ti+e #e(iti$e! &6 t%e *%i#,ren /e ,i!tri/-te,. F-rt%er$&re) t%e -,($ent &6 ann-#$ent &r a/!&#-te n-##it) t%e 0artiti&n an, ,i!tri/-ti&n) an, t%e ,e#i+er &6 t%e 0re!-$0ti+e #e(iti$e! $-!t /e re*&r,e, in t%e a00r&0riate *i+i# re(i!tr an, re(i!trie! &6 0r&0ert. Fai#-re t& *&$0# 7it% t%e!e re2-i!ite! 7i## $a1e t%e !-/!e2-ent $arria(e +&i, ab initio. F-rt%er) 6ai#-re t& re*&r, in t%e 0r&0er re(i!trie! 7i## $ean t%at !-*% 7i## n&t a66e*t t%ir, 0er!&n! ?Art!. 484=
NOTE8 T%e en-$erati&n &6 +&i, $arria(e! -n,er Art. =4 i! n&t e*#-!i+e. #; V$id !nder Ar- (+ ;%ere an &6 t%e 0artie!) 7%& at t%e ti$e &6 t%e *e#e/rati&n &6 t%e $arria(e) 7a! 0!*%&#&(i*a## in*a0a*itate, t& *&$0# 7it% t%e e!!entia# $arita# &/#i(ati&n!) e+en i6 in*a0a*it /e*&$e! $ani6e!t &n# a6ter !&#e$niati&n.
CIVIL LAW REVIEWER
in*a0a*it t& *&$0# 7it% $arita# &/#i(ati&n!. ;r-<rr%ris v. <rr%ris GR o. 1*23*8 (200*)
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A 6in,in( &6 0!*%&#&(i*a# in*a0a*it &n t%e 0art &6 &ne !0&-!e !%&7! n&n *&(nian*e &6 &neK! e!!entia# $arita# &/#i(ati&n) an, t%ere6&re ne(ate! /a, 6ait%. A! a *&n!e2-en*e $&ra# an, ee$0#ar ,a$a(e! *ann&t /e a7ar,e, a(ain!t %i$%er /e*a-! e /a, 6ait% i! an e!!entia# e#e$ent in a7ar,in( $&ra# an, ee$0#ar ,a$a(e!. A7ar, &6 $&ra# ,a$a(e! !%&-#, /e 0re,i*ate,) n&t &n t%e $ere a*t &6 enterin( int& t%e $arria(e) /-t &n !0e*i6i* e+i,en*e t%at i! 7a! ,&ne ,e#i/erate# an, 7it% $a#i*e / a 0art 7%& %a, 1n&7n &6 %i! &r %er ,i!a/i#it an, et 7i##6-## *&n*ea#e, t%e !a$e. =un%vn!ur% v. CA, GR o. 127358, 9%rc" 31, 2005
T%e C&-rt e$0%a!ie! t%at t%e /-r,en 6a##! -0&n 0etiti&ner) n&t -!t t& 0r&+e t%at 0ri+ate re!0&n,ent !-66er! 6r&$ a 0!*%&#&(i*a# ,i!&r,er) /-t a#!& t%at !-*% 0!*%&#&(i*a# ,i!&r,er ren,er! %er tr-# in*&(niti+e &6 t%e /a!i* $arita# *&+enant! t%at *&n*&$itant# $-!t /e a!!-$e, an, ,i!*%ar(e, / t%e 0artie! t& t%e $arria(e. P!*%&#&(i*a# in*a0a*it $-!t /e $&re t%an -!t a ,i66i*-#t) a re6-!a#) &r a ne(#e*t in t%e 0er6&r$an*e &6 !&$e $arita# &/#i(ati&n!. An -n!ati!6a*t&r $arria(e i! n&t a n-## an, +&i, $arria(e. =%cc%6 vs. =%cc%6, GR o. 117318, c&r 1, 2010
URISPRUDENTIAL 3UIDELINES =BRE>I3O>IC; 1epublic "% 0A 4 #olina )5( /01A '6( '667** 5. B-r,en &6 0r&&6 t& !%&7 t%e n-##it &6 $arria(e i! -0&n t%e 0#ainti66 r 8. T%e &&t *a-!e &6 t%e 0!*%&#&(i*a# in*a0a*it $-!t /e: a. Me,i*a## &r *#ini*a## i,enti6ie, /. A##e(e, in t%e *&$0#aint *. S-66i*ient# 0r&+en / e0ert! ,. C#ear# e0#aine, in t%e ,e*i!i&n =. T%e in*a0a*it $-!t /e 0r&+en t& /e e i!tin( at t%e ti$e &6 t%e *e#e/rati&n &6 t%e $arria(e @. S-*% in*a0a*it $-!t /e !%&7n t& /e $e,i*a## &r *#ini*a## 0er$anent &r in*-ra/#e 4. S-*% i##ne!! $-!t /e ' ra+e en&-(% t& /rin( a/&-t t%e ,i!a/i#it &6 t%e 0art t& a!!-$e t%e e!!entia# &/#i(ati&n! &6 $arria(e . E!!entia# $arita# $/#i(ati&n! $-!t /e t%&!e e$/ra*e, / Art. 9>5) a! 7e## a! Art. 88) 885) an, 884 &6 t%e Fa$i# C&,e.
CIVIL LAW REVIEWER
>. Inter0retati&n! (i+en / t%e Nati&na# A00e##ate Matri$&nia# Tri/-na# &6 t%e Cat%&#i* C%-r*% in t%e P%i#i00ine!) 7%i#e n&t *&ntr&##in( &r ,e*i!i+e) !%&-#, /e (i+en (reat re!0e*t / &-r *&-rt! 9. T%e tria# *&-rt $-!t &r, er t%e 0r&!e*-tin( att&rne &r 6i!*a# an, t%e S&#i*it&r Genera# t& a00ear a! c&-n!e# 6&r t%e !tate •
T%e 6&re(&in( (-i,e#ine! ,& n&t re2-ire t%at a 0%!i*ian ea$ine t%e 0er!&n t& /e ,e*#are, 0!*%&#&(i*a## in*a0a*itate,. ;%at i! i$0&rtant i! t%at t%e t&ta#it &6 e+i,en*e *an a,e2-ate# e!ta/#i!% t%e 0artK! 0!*%&#&(i*a# *&n,iti&n. Rpulic v. CA > 9olin%, 2*8 CRA 18 (17)
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In ,eter$inin( i6 &ne &6 t%e *&ntra*tin( 0artie! i! 0!*%&#&(i*a## in*a0a/#e) t%e *&-rt! !%&-#, inter0ret t%e 0r&+i!i&n &n a *a!et&*a!e /a!i!. C&-rt! !%&-#, /e (-i,e, / e0erien*e) t%e 6in,in(! &6 e0ert! an, re!ear*%er! in 0!*%&#&(i*a# ,i!*i0#ine!) an, / ,e*i!i&n! &6 *%-r*% tri/-na#!. : v. :, G.R. o. 1*173, <ru%r6 13, 200
c; V$id &$r Bein' Inces!$!s !nder Ar(? ;%et%er re#ati&n!%i0 i! #e(iti$ate &r i##e(iti$ate: 5. Bet7een a!*en,ant! an, ,e!*en,ant! &6 an ,e(ree 8. Bet7een /r&t%er! an, !i!ter!) 7%et%er 6-## &r %a#6 /#&&,
d; V$id &$r Reas$n $& P!#%ic P$%ic" !nder Ar- ( 5. Bet7een *&##atera# /#&&, re#ati+e! -0 t& t%e @t% *i+i# ,e(ree T%ere i! n& 0r&%i/iti&n re(ar,in( $arria(e! /et7een *&##atera# /#&&, re#ati+e! / %a#6/#&&, 8. Bet7een !te00arent! an, !te 0*%i#,ren =. Bet7een 0arent!in#a7 an, *%i#,renin #a7 @. Bet7een a,&0tin( 0arent an, a,&0te, *%i#, 4. Bet7een !-r+i+in( !0&-!e &6 t%e a,&0ter an, t%e a,&0te, . Bet7een !-r+i+in( !0&-!e &6 t%e a,&0te, an, t%e a,&0ter >. Bet7een a,&0te, an, #e(iti$ate *%i #, &6 a,&0ter 9. Bet7een a,&0te, *%i#,ren &6 !a$e a,&0ter
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. Bet7een 0artie! 7%ere &ne) 7it% t%e intenti&n t& $arr t%e &t%er) 1i##e, t%at &t%er 0er!&nK! !0&-!e &r %i!%er &7n !0&-!e N& 0ri&r *ri$ina# *&n+i*ti&n / t%e *&-rt 6&r t%e 1i##in( i! re2-ire, / t%e #a7 !in*e $ere 0re0&n,eran*e &6 e+i,en*e i! re2-ire, t& 0r&+e t%e 1i##in(.
-In a *a!e 6&r *&n*-/ina(e) t%e a**-!e,
nee, n&t 0re!ent a 6ina# -,($ent ,e*#arin( %i! $arria(e +&i, 6&r %e *an a,,-*e e+i,en*e in t%e *ri$ina# *a!e &6 n-##it &6 %i! $arria(e &t%er t%an 0r&&6 &6 6ina# -,($ent ,e*#arin( %i! $arria(e +&i,. Hen*e) t%e 0en,en* &6 t%e *i+i# a*ti&n 6&r n-##it &6 $arria(e ,&e! n&t 0&!e a 0re-,i*ia# 2-e!ti&n in a *ri$ina# *a!e 6&r *&n*-/ina(e.
Article .( is an exclusi"e list% Un,er t%e ne7 Fa$i# C&,e) t%e 6&##&7in( *an n&7 $arr ea*% &t%er: a. Br&t%erin#a7 an, !i!terin#a7 /. Ste0/r&t%er an, !te0!i!ter *. G-ar,ian an, 7ar, ,. A,&0te, a n, i##e(iti$ate *%i#, &6 t%e a,&0ter e. Partie! 7%& %a+e /een *&n+i*te, &6 a,-#ter &r *&n*-/ina(e
NOTE8 R-A- +99* ?Mai# Or,er Bri,e A*t ,e*#are! a! -n#a76-# t%e 0ra*ti*e &6 $at*%in( Fi#i0in& 7&$en 6&r $arri a(e t& 6&rei(n nati&na#! &n a $ai#&r,er /a!i! an, &t%er !i$i#ar 0ra*ti*e! in*#-,in( t%e a,+erti!e$ent) 0-/#i*ati&n) 0rintin( &r ,i!tri/-ti&n &6 /r&*%-re!) 6#ier!) an, &t%er 0r&0a(an,a $ateria#! in 6-rt%eran*e t%ere&6.
e; Imrescrii#i%i" $& aci$n $r de&ense &$r dec%arai$n $& n!%%i" $& marria'e- =Ar- (9; A $arria(e t%at i! in+a#i, 6r&$ t%e /e(innin( i! n&nei!tent) an, in e66e*t) *ann&t /e ,i!!&#+e,. T%e -,i*ia# ,e*ree t& ,e*#are it! n-##it i! a $ere *&n6ir$ati&n &6 t%e +&i,ne!! &6 t%e $arria(e) %en*e t%i! 0etiti&n i! i$0re!*ri0ti/#e.
&; S!#se@!en Marria'e Wi$! !dicia% Dec%arai$n $& N!%%i" $& Pre.i$!s V$id Marria'e =Ar- )0; -F&r t%e 0-r0&!e! &6 re$arria(e) t%e &n#
#e(a## a**e0ta/#e /a!i! 6&r ,e*#arin( a 0re+i&-! $arria(e an a/!&#-te n-##it i! a 6ina# -,($ent ,e*#arin( !-*% 0re+i&-! $arria(e +&i,) 7%erea!) 6&r 0-r0&!e! &t%er t%an re$arria(e) &t%er e+i,en*e i! a**e0ta/#e
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•H&7e+er) a -,i*ia# ,e*#arati&n &6 n-##it i! n&t nee,e, 7%ere n& $arria(e *ere$&n at a## 7a! 0er6&r$e, / a ,-# a-t%&rie, !&#e$niin( &66i*er a! 7%ere t%e 0artie! $ere# !i(ne, a $arria(e *&ntra*t &n t%eir &7n. T%e $ere !i(nin( &6 a $arria(e *&ntra*t /ear! n& !e$/#an*e t& a +a#i, $arria(e an, t%-! nee,! n& -,i*ia# ,e*#arati&n &6 n-##it. ?ucio 9orio v. ;opl, G.R. o. 1+522*, <ru%r6 *, 200+ •Se*&n, $arria(e i! !ti## /i(a$&-! e+en i6 t%e 6ir!t $arria(e i! -,i*ia## ,e*#are, +&i, a6ter *&ntra*tin( t%e !e*&n, $arria(e) &n# i6 t%e 6ir!t $arria(e &!ten!i/# tran!0ire, a! t%ere 7a! a $arria(e *ere$&n. H&7e+er) i6 t%e 6ir!t $arria(e 7a! +&i, ,-e t& t%e 6a*t t%at n& $arria(e *ere$&n 7a! !&#e$nie, at a##) t%en t%e !e*&n, $arria(e i! n&t /i(a$&-!. 9orio v. ;opl, +22 CRA 37* (200+)
NOTE8 E+en i6 a $arria(e i! +&i,) i m!s #e dec%ared .$id &irs #" &ina% 4!d'men #e&$re e aries $ s!c .$id marria'e can remarr". T%e 0artie! *ann&t ,e*i,e 6&r t%e$!e#+e! t%e in+a#i,it &6 t%eir $arria(e. EFCEPTION8 ;%en t%e 0-r0&!e i! &t%er t%an re$arria(e) a *&##atera# atta*1 &6 t%e $arria(e i! a##&7e,. PRESUMPTION O: DEATH :OR REMARRIA3E =Ar- )1; 3enera% R!%e8 Marria(e *&ntra*te, / an 0er!&n ,-rin( t%e !-/!i!ten*e &6 a 0re+i&-! $arria(e i! VOID E6cei$n8 I6 /e6&re t%e *e#e/rati&n &6 t%e !-/!e2-ent $arria(e: a.T%e 0re+i&-! !0&-!e %a, /een a/!ent 6&r @ *&n!e*-ti+e ear! ?&r,inar a/!en*e &r 8 ear! ?etra&r,inar a/!en*e an,
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/.T%e re$ainin( !0&-!e %a! a 7e##6&-n,e, /e#ie6 t%at t%e a/!ent !0&-!e i! a#rea, ,ea, *.J-,i*ia# ,e*#arati&n &6 0re!-$0ti+e ,eat% - In t%i! *a!e) t%e !-/!e2-ent $arria(e i! +a#i, /-t it !%a## /e a-t&$ati*a## ter$inate, / t%e re*&r,in( &6 t%e a66i,a+it &6 rea00earan*e &6 t%e a/!ent !0&-!e. - ;it%&-t 6i#in( &6 t%e a66i,a+it &6 rea00earan*e) t%ere 7i## ei!t t7& +a#i, $arria(e! ? .a%id #i'am$!s marria'e;
E6cei$n $ e E6cei$n8 I6 /&t% !0&-!e! &6 t%e !-/!e2-ent $arria(e a*te, in /a, 6ait%) !-*% $arria(e i! +&i, ab initio =Ar- )); E&&ec $& Reaearance • T%e !-/!e2-ent /i(a$&-! $arria(e -n,er Art. @5 re$ain! +a#i, ,e!0ite rea00earan*e &6 t%e a/!entee !0&-!e •
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UNLESS5 t%e rea00earan*e $a,e in a !7&rn !tate$ent i! re*&r,e, in t%e *i+i# re(i!tr in t%e 0#a*e 7%ere t%e 0artie! t& t%e !-/!e2-ent $arria(e re!i,e!. In !-*% *a!e) t%e !-/!e2-ent $arria(e i! a-t&$ati*a## ter$inate,. HOWEVER5 i6 t%ere 7a! a 0re+i&-! -,($ent ann-##in( &r ,e*#arin( t%e 6ir!t $arria(e a n-##it) t%e !-/!e2-ent /i(a$&-! $arria(e re$ain! +a#i,.
NOTE8 S-$$ar 0r&*ee,in(! -n,er t%e Fa$i# C&,e are 6ina# an, ee*-t&r 0-r!-ant t& Arti*#e 8@>. Hen*e) !-$$ar 0r&*ee,in( 6&r t%e ,e*#arati&n &6 0re!-$0ti+e ,eat% &6 an a/!ent !0&-!e -n,er Arti*#e @5 &6 t%e Fa$i# C&,e i! n&n a00ea#a/#e. Rpulic v. :%no, G.R. o. 1*10*2, ul6 31, 200
E&&ecs $& Terminai$n $& S!#se@!en Marria'e8 =LDDRI; 5. C%i#,ren &6 t%e !-/!e2-ent $arria(e *&n*ei+e, 0ri&r t& it! ter$inati&n !%a## /e *&n!i,ere, %e(iti$ate 8. T%e a/!&#-te *&$$-nit &r *&n-(a# 0artner!%i0 !%a## /e i!!&#+e, d an, #i2-i,ate, •
I6 eit%er !0&-!e a*te, in /a, 6ait %) %i!%er !%are in t%e net 0r&6it! !%a## /e 6&r6eite,: a. In 6a+&r &6 t%e *&$$&n *%i#,ren
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/. I6 n&ne) in 6a+&r &6 t%e *% i#,ren &6 t%e (-i#t !0&-!e / 0re+i&-! $arria(e *. In ,e6a-#t &6 *%i#,ren) in 6a+&r &6 t%e inn&*ent !0&-!e =. D&nati&n! / rea!&n &6 t%e $arria(e re$ain +a#i, e*e0t i6 t%e ,&nee *&ntra*te, t%e $arria(e in /a, 6ait% @. T%e inn&*ent !0&-!e $a re+&1e t%e ,e!i(nati&n &6 t%e !0&-!e in /a, 6ait% a! t%e /ene6i*iar in an in!-ran*e 0&#i*) e+en i6 ,e!i(nati&n i! !ti0-#ate, a! irre+&*a/#e) an, 4. T%e !0&-!e 7%& *&ntra*te, t%e !-/!e2-ent $arria(e in /a, 6ait% !%a## /e ,i!2-a#i6ie, t& in%erit 6r&$ t%e inn&*ent !0&-!e / te!tate &r inte!tate !-**e!!i&n
NOTE8 T%e a/&+e e66e*t! a00# t& +&i,a/#e /i(a$&-! $arria(e!. E*e0t 6&r ?5) t%e a/&+e e66e*t! a#!& a00# t& $arria(e! 7%i*% are ann-# #e, &r ,e*#are, +&i, ab initio -n,er Art. @.
+- ANNULLABLE MARRIA3ES 3r$!nds &$r Ann!%men =ar- )*;8 =PU::IS; 5. La*1 &6 arenta# *&n!ent 8. Eit%er 0art i! &6 ! n!&-n, $in, =. :ra-,-#ent $ean! &6 &/tainin( *&n!ent &6 eit%er 0art Cir*-$!tan*e! *&n!tit-tin( 6ra-,: =Ar- )+; a. N&n,i!*#&!-re &6 *&n+i*ti&n / 6ina# -,($ent &6 *ri$e in+&#+in( $&ra# t-r0it-,e /. C&n*ea#$ent &6 0re(nan* / an&t%er $an *. C&n*ea#$ent &6 !e-a## tran!$i!!i/#e ,i!ea!e) re(ar,#e!! &6 nat-re) ei!tin( at t%e ti$e &6 $arria(e ,. C&n*ea#$ent &6 ,r-( a,,i*ti&n) %a/it-a# a#*&%&#i!$) %&$&!e-a#it an, #e!/iani!$ @. :&r*e) inti$i,ati&n &r -n,-e in6#-en*e 4. P%!i*a# in*a0a/i#it &6 eit%er 0art t& *&n!-$$ate t%e $arria(e 7it% t%e &t%er) an, !-*% in*a0a*it *&ntin-e! an, a00ear! t& /e in*-ra/#e Re@!isies $& Ann!%men d!e $ Im$ence8 a. I$0&ten*e ei!t! at t%e ti$e &6 t%e *e#e/rati&n &6 $arria(e /. Per$anent •
Pa'e 19 $& )01
*. In*-ra/#e ,. Un1n&7n t& t%e &t%er !0&-!e e. T%e &t%er !0&-!e $-!t n&t a#!& /e i$0&tent • !octrine of Triennial 0ohabitation: Pre!-$0ti&n t%at t%e %-!/an, i! i$0&tent !%&-#, t%e 7i6e !ti## re$ain a +ir(in a6ter = ear! &6 #i+in( t&(et%er 7it% %er %-!/an,. Se -a## T ran!$i!!i/#e . A66#i*ti&n &6 Di!ea!e 6&-n, t& /e !eri&-! an, 7%i*% a00ear! in*-ra/#e El&n!s# a. Ei!tin( at t%e ti$e &6 $arria(e /. Se-a## tran!$i!!i/#e ,i!ea!e *. Seri&-! ,. A00ear! in*-ra/#e
ARTICLE)* T%e STD i! a (r&-n, 6&r ann-#$ent T%e STD ,&e! n&t %a+e t& /e *&n*ea#e,
T%e STD $-!t /e !eri&-! an, in*-ra/#e
T%e STD ,&e! n&t %a+e t& /e !eri&-! an, a00ear! in*-ra/#e
ARTICLE)+ T%e STD i! a t0e &6 6ra-, 7%i*% in t-rn i! a (r&-n, 6&r ann-#$ent T%e STD $-!t /e *&n*ea#e,
CIVIL LAW REVIEWER
Pa'e 20 $& )01
3 RO U N DS : O R A N N UL M EN T La*1 &6 arenta# c&n!ent =PC;
E::ECTS O: TERMINATION O: MARRIA3E W H O C A N : IL E P RE S C RIP T IV E PE R IO D a. Un,era(e ?5985
0art
/. Parent &r (-ar,ian In!anit &6 =INSANIT,;
&ne
0art
Sane!0&-!e
R A T I: ICA T IO N
Free *&%a/itati&n a&er reacin' 21
a. ;it%in 4 ear! a6ter t-rnin( 85 /. Be6&re *%i#, rea*%e! 85 8+ie7!:
Semi$>Di"8 Be6&re ,eat% &6 &t%er 0art
Free*&%a/itati&n a&er insane s$!se re'ains sani"
Dean De% Casi%%$8 ;it%in 4 ear! 6r&$ t%e ti$e t%e ri(%t &r a*ti&n a**r-e! G-ar,ian &6 in!ane !0&-!e
Anti$e #e&$r e e dea $& eier ar"
In!ane !0&-!e
D-rin( t%e %!cid iner.a%&r a6ter re'ainin' sani"a#!& /e6&re ,eat% &6 &t%er 0art
:ra!d
In-re, Part
;it%in 4 ear! a6ter disc$.er"&6 Fra-,
Viiaed c$nsen
In-re, Part
;it%in 4 ear! 6r&$ ti$e 6&r*e) inti$i,ati&n! &r -n,-e in6#-en*e ,i!a00eare, &r *ea!e,
In*a0a/i#it t& C&n!-$$ate Se-a## tran!$i!!i/#e ,i!ea!e ?CONSUMMATESTD
In-re, Part
;it%in 4 ear! a6ter t%e $arria(e *ere$&n
CIVIL LAW REVIEWER
Free *&%a/itati&n e.e n /i & !% %
Pa'e 21 $& )01
BASIS /tatus of children Property 1elations
!onations Propter Nuptias
Insurance /uccessio n
E::ECTS O: VOIDABLE BI3AMOUS MARRIA3E5 DECLARATION O: NULLIT,5 AND ANNULMENT VO ID A B L E B I 3 A M O U S MA R RI A 3 E=A R T - )1; D E CL A RA T IO N O : ANNULMENT NULLIT, C%i#,ren &6 !-/!e2-ent $arria(e *&n*ei+e, /e6&re it! ter$inati&n I%%e'iimaeexcept C%i#,ren *&n*ei+e, &r /&rn /e6&re %e'iimae Art. = an, Art. 4= ann-#$ent ,e*ree %e'iimae ACPCPG !%a## /e #i2-i,ate,. T%e !%are in e ne r$&is &6 Sa$e Sa$e *&$$-nit 0r&0ert &6 t%e !0&-!e 7%& *&ntra*te, t%e $arria(e in /a, 6ait%) !%a## /e &$r&eiedin 6a+&r &6 c$mm$n ci%dren&r i6 t%ere are n&ne) * i%dren $& e '!i%" s$!se #" re.i$!s marria'e &r in ,e6a-#t) e inn$cen s$!se?*&$$&n *%i#,ren Q *%i#,ren &6 (-i#t !0&-!e / 0re+i&-! $arria(e Q inn&*ent !0&-!e S%a## re$ain VALID except Sa$e I6 d$nee *&ntra*te, t%e $arria(e in /a, 6ait%) ,&nati&n ! propter nuptias $a,e t& t% e ,&nee are re.$
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Sa$e
Sa$e Sa$e
Pa'e 22 $& )01
DISTINCTION BETWEEN VOID AND VOIDABLE MARRIA3ES VOID V O ID A BLE Va#i, -nti# ann-##e, Can /e rati6ie, eit%er / 6ree *&%a/itati&n &r 0re!*ri0ti&n
B A SI S As to nature As to susceptibility to ratification As to effect on property
Inei!tent 6r&$ t%e ti$e &6 0er6&r$an*e Cann&t /e rati6ie,
N& *&$$-nit 0r&0ert) &n# *&&7ner!%i0 ?Art 5@>5@9
As to effect on children aa aa
As to how marriage may be impugned
a/. *.
C%i#,ren are i##e(iti$ate Exceptions: In *a!e &6 0!*%&#&(i*a# in*a0a*it ?Art = C%i#,ren /&rn &6 !-/!e2-ent $arria(e ?Art 4= Ma /e atta*1e, direc%" &r c$%%aera%%"/-t 6&r 0-r0&!e &6 re$arria(e) t%ere $-!t /e -,i*ia# ,e*#arati&n &6 n-##it. Can !ti## /e im!'ned e+en a6ter ,eat% &6 0artie! A*ti&n 6&r n-##it ,&e! n&t 0re!*ri/e
CIVIL LAW REVIEWER
A/!&#-te *&$$-nit ei!t! -n#e!! an&t%er !!te$ i! a(ree, -0&n in $arria(e !ett#e$ent ?De6a-#t: ACP C%i#,ren are #e(iti$ate i6 *&n*ei+e, /e6&re ,e*ree &6 ann-#$ent a. Cann&t /e atta*1e, *&##atera##) &n# ,ire*t#) i.e. t%ere $-!t /e a ,e*ree &6 ann-#$ent /. Can n& #&n(er /e i$0-(ne, a6ter ,eat% &6 &ne &6 t%e 0artie! *. A*ti&n 0re!*ri/e!
Pa'e 2( $& )01
?- PROCEDURE AND E::ECTS TERMINATION O: MARRAI3E
O:
#e(a# *%ar(e &6 in!ane
A-M- N$- 02>11>10>SC PROPOSED RULE ON DECLARATION O: ABSOLUTE NULLIT, O: VOID MARRIA3ES AND ANNULMENT O: VOIDABLE MARRIA3ES
*. In!ane !0&-!e In-re, Part
SCOPE8 • Petiti&n! 6&r ,e*#arati&n &6 a/!&#-te n-##it &6 +&i, $arria(e! an, ann-#$ent &6 +&i,a/#e $arria(e! -n,er t%e Fa$i# C&,e • T%e R-#e! &6 C&-rt !%a## a00# !-00#et&ri# PETITION :OR DECLARATION ABSOLUTE NULLIT,8
Wa $ a%%e'e8 I6 /a!e, &n 0!*%&#&(i*a# in*a0a*it) *&$0#ete 6a*t! !%&7in( eit%er &ne i! in*a0a*itate, 6r&$ *&$0#in( 7it% $arita# &/#i(ati&n! at t%e ti$e &6 t%e *e#e/rati&n &6 t%e $arria(e in*#-,in( 0%!i*a# $ani6e!tati&n!) i6 an A*ti&n! &r ,e6en!e! !%a## NOT 0re!*ri/e
PETITION :OR ANNULMENT O: VOIDABLE MARRIA3ES W$ ma" &i%e8 3ROUND PART, TO PRESCRIPTIV :ILE THE E PERIOD SUIT 5. N& Parenta# a. Parent &r a. Anti$e C&n!ent G-ar,ian /e6&re *%ar(e %a+in( Le(a# rea*%e! 85 C%ar(e &6 r!. &#, n&*&n!ent 0art
8. In!anit
/.N& C&n!ent Part a. Sane !0&-!e 7it%&-t 1n&7#e,(e &6 in!anit /. Re#ati+e) (-ar,ian &r 0er!&n %a+in(
/. ;it%in 4 ear! a6ter rea*%in( 85 a. Anti$e /e6&re ,eat% &6 eit%er 0art /. Anti$e /e6&re ,eat% &6 eit%er 0art
CIVIL LAW REVIEWER
@. Vitiate, C&n!ent
In-re, Part
4. In*a0a/i#it t& C&n!-$$ate Se-a## Tran!$itte, Di!ea!e
In-re, Part
O:
W$ ma" &i%e8 !&#e# t%e %-!/an, &r 7i6e
•
=. F ra-,
*. D-rin( #-*i, inter+a# &r a6ter re(ainin( !anit ;it%in 4 ear! 6r&$ ,i!*&+er &6 6ra-, ;it%in 4 ear! 6r&$ ti$e &6 6&r*e) inti$i,ati&n &r -n,-e in6#-en*e ,i!a00eare, &r *ea!e, ;it%in 4 ear! a6ter t%e $arria(e *ere$&n
A- Ven!e8 Fa$i# C&-rt &6 t%e 0r&+in*e &r *it 7%ere t%e 0etiti&ner &r t%e re!0&n,ent %a! /een re!i,in( 6&r at #ea!t $&nt%! 0ri&r t& t%e ,ate &6 6i#in( ?&r n&nre!i,ent re!0&n,ent: 7%ere %e $a /e 6&-n, in t%e P%i#i00ine! AT THE ELECTION OF THE PETITIONER. B- Peii$n sa%% a%%e'e8 5. C$m%ee &acs *&n!tit-tin( t%e *a-!e &6 a*ti&n 8. Names an, a'es &6 t%e *&$$&n *%i#,ren &6 t%e 0artie! an, !0e*i6 t%e re(i$e (&+ernin( t%eir 0r&0ert re#ati&n!) an, t%e 0r&0ertie! in+&#+e, =. Veri&ied an, a**&$0anie, / a *erti6i*ati&n a(ain!t 6&r-$ !%&00in() 7%i*% $-!t /e !i(ne, 0er!&na## / t%e 0etiti&ner • •
Petiti&n $a n&t /e !i(ne, !&#e# / *&-n!e# &r t%r&-(% an att&rnein6a*t I6 0etiti&ner i! in a 6&rei(n *&-ntr) t%e +eri6i*ati&n*erti6i*ati&n !%a## /e a-t%enti*ate, / t%e ,-# a-t%&rie, &66i*er &6 t%e P%i#i00ine e$/a!! &r #e(ati&n) *&n!-# (enera#) *&n!-#) +i*e *&n!-#) &r *&n!-#ar a(ent in !ai, *&-ntr
@. Fi#e, in *&0ie!) a *&0 t& /e !er+e, t& t%e OSG an, t%e O66i*e &6 t%e Cit &r Pr&+in*ia# Pr&!e*-t&r) 7in 4 ,a! 6r&$ t%e ,ate &6 it!
Pa'e 2) $& )01
6i#in( an, !-/$it t& t%e *&-rt 0r&&6 &6 !-*% !er+i*e 7in t%e !a$e 0eri&, •
Fai#-re t& *&$0# 7it% re2-ire$ent! $a /e a (r&-n, 6&r i$$e,iate ,i!$i!!a# &6 t%e 0etiti&n.
C- Ser.ice $& S!mm$ns • G&+erne, / t%e R-#e 5@ &6 t%e R-#e! &6 C&-rt an, t%e 6&##&7in(: 5. Re!0&n,ent *ann&t /e #&*ate, at %i! (i+en a,,re!! &r %i! 7%erea/&-t! are -n1n&7n an, *ann&t /e a!*ertaine, / ,i#i(ent in2-ir: ?a Ser+i*e &6 !-$$&n! / 0-/#i*ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e P%i#i00ine! an, in !-*% 0#a*e! a! t%e *&-rt $a &r,er ?/ Ser+e, at re!0&n,entK! #a!t 1n&7n a,,re!! / re(i!tere, $ai# &r an &t%er $ean! t%e *&-rt $a ,ee$ !-66i*ient 8. S-$$&n! t& /e 0-/#i!%e, !%a## /e *&ntaine, in a *&-rt &r,er 7it% t%e 6&##&7in( ,ata: ?a tit#e &6 t%e *a!e ?/ ,&*1et n-$/er ?* nat-re &6 t%e 0etiti&n ?, 0rin*i0a# (r&-n,! &6 t%e 0etiti&n an, t%e re#ie6! 0rae, 6&r ?e a ,ire*ti+e 6&r t%e re!0&n,ent t& an!7er 7in = ,a! 6r&$ t%e #a!t i!!-e &6 t%e 0-/#i*ati&n
D- M$i$n $ Dismiss8 n$ a%%$/ed5 except 6&r #a*1 &6 -ri!,i*ti&n &+er t%e !-/e*t $atter &r &+er t%e 0artie! ?%&7e+er) an (r&-n, t%at $i(%t 7arrant a ,i!$i!!a# $a /e rai!e, a! an a66ir$ati+e ,e6en!e in an an!7er E- Ans/er • Veri6ie, / t%e re!0&n,ent %i$!e#6 6i#e, 7in 54 ,a! 6r&$ !er+i*e &6 !-$$&n! &r 7in = ,a! 6r&$ t%e #a!t i!!-e &6 0-/#i*ati&n in *a!e &6 !er+i*e &6 !-$$&n! / 0-/#i*ati&n • Fai#-re t& an!7er !%a## NOT $a1e %i$ in ,e6a-#t • C&-rt 7i## &r,er t%e 0-/#i* 0r&!e*-t&r t& in+e!ti(ate i6 t%ere i! *&##-!i&n i6 n& an!7er i! 6i#e, &r 7%en an!7er ,&e! n&t ten,er an i!!-e
CIVIL LAW REVIEWER
:- In.esi'ai$n Re$r $& e P!#%ic Pr$sec!$r • T& /e $a,e 7in 5 $&nt% a6ter t%e re*ei0t &6 t%e *&-rt &r,er • S%a## !tate 7%et%er t%e 0artie! are in *&##-!i&n an, /a!i! 6&r !-*% 6in,in() !er+e *&0ie! t& 0artie! *&-n!e#! ?a t%ere i! *&##-!i&n 0artie! !%a## 6i#e t%eir re!0e*ti+e *&$$ent! 7in 5 ,a! 6r&$ re*ei0t &6 a *&0 ?/ n& *&##-!i&n !et t%e *a!e 6&r 0re tria# • P-/#i* 0r&!e*-t&r !%a## re0re!ent t%e State • In+e!ti(ati&n i! a *&n,iti&n !ine 2-a n&n 6&r 6-rt%er 0r&*ee,in(! in *a!e! 7%ere t%e re!0&n,ent ,&e! n&t an!7er. T%i! i! tr-e e+en i6 ,-rin( t%e %earin( t%e 6i!*a# 0arti*i0ate, an, *r&!!ea$ine, t%e 7itne!!e!. Corpus vs. 4c"o!rn%, +35 CRA ++* (200+)
3- C&-rt $a re2-ire a !&*ia# 7&r1er t& *&n,-*t a *a!e !t-, an, !-/$it re0&rt at #ea!t = ,a! /e6&re t%e 0retria# H- Pre>ria% i! MANDATORY. • N&ti*e 5. N&ti*e &6 0retria# !%a## /e !er+e, t& t%e 0artie!) t%eir *&-n!e#! an, t%e
•
0-/#i* 0r&!e*-t&r) *&ntainin(: ,ate &6 0retria# *&n6eren*e an, &r,er ,ire*tin( t%e 0artie! t& 6i#e 0retria# /rie6) en!-rin( it! re*ei0t / t%e a,+er!e 0art at #ea!t = ,a! /e6&re t%e ,ate &6 0retria# 8. N&ti*e &6 0retria# !%a ## !ti## /e !en t t& re!0&n,ent e+en i6 %e ,i, n&t 6i#e an an!7er Per!&na# A00earan*e 5. Partie! !%&-#, a00 ear 0er!&na## at t%e 0retria# 8. Fai#-re &6 0etiti&ner t& a00ear at t%e 0retria# 0er!&na## 7& t%e +a#i, *a-!e) *a!e ,i!$i!!e, =. Fai#-re t& 6i#e t%e 0retria# /rie6 &r t& *&$0# 7it% it! re2-ire, *&ntent!) *a!e ,i!$i!!e, @. I6 re! 0&n,ent 6i#e, %i! an!7er /-t 6ai#! t& a00ear at t%e 0retria#) t%e *&-rt !%a## re2-ire, 0r&*ee,t& /-t 0-/#i* 0r&!e*-t&r in+e!ti(ate rea!&n 6&r n&na00earan*e ?i6 ,-e t& *&##-!i&n
Pa'e 2* $& )01
•
Pretria# *&n6eren*e C&-rt $a re6er i!!-e! t& $e,iat&r) /-t !%&-#, t%i! 6ai# &r i! n&t a+ai#e, &6) 0r&*ee, 7it% 0retria# *&n6eren*e • Pretria# &r,er 5. Partie! are n&t a##&7e, t& rai!e i!!-e! &r 0re!ent 7itne!!e! an, e+i,en*e &t%er t%an t%&!e !tate, in t%e 0retria# &r,er 8. Partie! %a+e 4 ,a! 6r&$ re*ei0t &6 0retria# &r,er t& $a1e *&rre*ti&n! &r $&,i6i*ati&n! =. P-/#i* 0r&!e*-t&r !%a## a00ear 6&r t%e State t& 0re+ent *&##-!i&n
- Pr$i#ied C$mr$mise ?a Ci+i# !tat-! &6 0er!&n! ?/ Va#i,it &6 $arria(e &r #e(a# !e0ar ati&n ?* An (r&-n, 6&r #e(a# !e0arati&n ?, F-t-re !-00&rt ?e J-ri!,i*ti&n &6 *&-rt! ?6 F-t-re #e(iti$e! - Decisi$n • C&0ie! 7i## /e !er+e, &n t%e 0artie!) in*#-,in( t%e S&#Gen an, 0-/#i* 0r&!e*-t&r • Fina# a6ter e0irati&n &6 54 ,a! 6r&$ n&ti*e t& t%e 0artie! • S%&-#, /e re(i!tere, in t%e Ci+i# Re(i!tr 7%ere t%e $arria(e 7a! *e#e/rate, an, in t%e Ci+i# Re(i!tr &6 t%e 0#a*e 7%ere t%e Fa$i# C&-rt i! #&*ate, L- Aea% • N&t a##&7e, i6 n& $&ti&n 6&r re*&n!i,erati&n &r ne7 tria# i! $a,e 7in 54 ,a! 6r&$ n&ti*e &6 -,($ent M- Dea • Part ,ie! /e6&re entr &6 -,($ent: *a!e *#&!e, an, ter$inate, 7& 0re-,i*e t& t%e !ett#e$ent &6 t%e e!tate in 0r&0er 0r&*ee,in(! in t%e re(-#ar *&-rt! • Part ,ie! a6ter t%e entr &6 -,($ent: /in,in( -0&n t%e 0artie! an, t%eir !-**e!!&r! inintere!t in t%e !ett#e$ent &6 t%e e!tate in t%e re(-#ar *&-rt!. N- Dae $& E&&eci.i"8 Marc 1*5 200(
:- LE3AL SEPARATION 1- 3r$!nds 2- Pr$ced!re (- De&enses )- Li@!idai$n *- E&&ecs $& Le'a% Searai$n Pendene Lie +- Rec$nci%iai$n E&&ecs 777777777777777777777777 777777777777777777 1- 3ROUNDS =PRC>:AL>BILA; 5. Re0eate, %!i*a# +i&#en*e &r (r&!!# a/-!i+e *&n,-*t ,ire*te, a(ain!t 0etiti&ner) a *&$$&n *%i#, &r a *%i#, &6 t%e 0etiti&ner 8. P%!i*a# +i&#en*e &r $&ra# 0re!!-re t& *&$0e# t%e 0etiti&ner t& *%an(e re#i(i&-! &r 0&#iti*a# a66i#iati&n =. Atte$0t &6 re!0&n,ent t& c&rr-0t &r in,-*e t%e 0etiti&ner) a *&$$&n *%i#,) &r a *%i#, &6 t%e 0etiti&ner) t& en(a(e in 0r&!tit-ti&n) &r *&nni+an*e in !-*% *&rr-0ti&n &r in,-*e$ent @. :ina# -,($ent !enten*in( re!0&n,ent t& i$0ri!&n$ent &6 $&re t%an ear! ?e+en i6 0ar,&ne, 4. Dr-( a,,i*ti&n &r %a/it-a# a #*&%&#i!$ . Le!/iani!$ &r %&$&!e-a#it >. S-/!e2-ent i(a$&-! $arria(e # &r 0er+er!i&n 9. Se-a# in6i,e#it . Atte$0t / re! 0&n,ent a(ain!t t%e %i6e &6 t%e 0etiti&ner 5. A/an,&n$ent 6&r $&re t%an 5 ear 7it%&-t -!ti6ia/#e *a-!e 3r$!nds $ Den" Le'a% Searai$nDe&enses $ Le'a% Searai$n8 =C)>D>3RP; 5. C &n,&nati&n • 6ai#-re &6 t%e %-!/an, t& #&&1 6&r %i! a,-#ter&-! 7i6e i! n&t *&n,&nati&n t& 7i6eK! a,-#ter 8. C&n!ent =. C &nni+an*e @. C&##-!i&n 4. M-t-a# ' -i#t . Pre!*ri0ti&n a*ti&n 6&r #e(a# !e0arati&n $-!t 6i#e, 7it%in ear! 6r&$ t%e ti$e &6 t%e/e &**-rren*e &6 6i+e t%e *a-!e &6 a*ti&n
TOPICS UNDER THE S,LLABUS
CIVIL LAW REVIEWER
Pa'e 2+ $& )01
>.
• P
Deat% &6 eit%er 0art ,-rin( t%e 0en,en* &6 t%e *a!e ?%pu-6 v. Eu&io, +3 CRA 177 (172) 9. Re*&n*i#iati&n &6 t%e !0&-!e! ,-rin( t%e 0en,en* &6 t%e *a!e
E&&ecs $& Searai$n8 5. S0&-!e! are entit#e, t& #i+e !e0arate# 8. Marria(e /&n, i! n&t !e+ere, =. Di!!&#-ti&n &6 0r&0ert re(i$e @. F&r6eit-re &6 t%e !% are &6 t%e (-i#t !0&-!e in t%e net 0r&6it! &6 t%e ACPCPG 4. C-!t&, &6 $in&r *%i#,ren t& inn&*ent !0&-!e ?!-/e*t t& Ar- 21( : 0arenta# a-t%&rit !%a## /e eer*i!e, / 0arent ,e!i(nate, / t%e *&-rt • T%e i$0&!e, *-!t&,ia# re(i$e -n,er t%e !e*&n, 0ara(ra0% &6 Arti*#e 85= i! #i$ite, in ,-rati&n) #a!tin( &n# -nti# t%e *%i#,K! !e+ent% ear. Fr&$ t%e ei(%t% ear -nti# t%e *%i#,K! e$an*i0ati&n) t%e #a7 (i+e! t%e !e0arate, 0arent! 6ree,&$) !-/e*t t& t%e -!-a# *&ntra*t-a# #i$itati&n!) t& a(ree &n *-!t&, re(i$e! t%e !ee 6it t& a,&0t. ?!acasin "s% !acasin& 81'5(7(9& ebruary 9& )2'2* . G-i#t !0&-!e i! ,i! 2-a#i6ie, 6r&$ inte!tate !-**e!!i&n an, 0r&+i!i&n! $a,e / inn&*ent !0&-!e in %i! 6a+&r in a 7i## !%a## /e re+&1e, / &0erati&n &6 #a7 >. Inn&*ent !0&- !e $a re+&1e t%e ,&nati&n $a,e / %i$ in 6a+&r &6 t%e &66en,in( !0&-!e. H&7e+er) a#ienati&n!) #ien! an, en*-$/ran*e! re(i!tere, in (&&, 6ait% /e6&re t%e re*&r,in( &6 t%e *&$0#aint 6&r re+&*ati&n in t%e re(i!trie! &6 0r&0ert !%a## /e re!0e*te,. 9. Inn&*ent !0&-!e $a re+&1e ,e!i(nati&n &6 (-i#t !0&-!e a! /ene6i*iar in t%e in!-ran*e 0&#i* e+en i6 !-*% ,e!i(nati&n /e !ti0-#ate, a! irre+&*a/#e
• •
r&*e,-re i! a#$&!t t%e !a$e a! in t%e R-#e &n De*#arati&n &6 A/!&#-te N-##it Ann-#$ent ?see a/&+e Cre,it&r! are 6-rni!%e, *&0ie! &6 t%e 0etiti&n Pretria# !et n&t ear#ier t%an $&nt%! 6r&$ 6i#in( &6 t%e 0etiti&n 6&r 0&!!i/i#it &6 re*&n*i#iati&n ?COOLING OFF PERIOD
E6cei$n8 T%ere i! n& *&&#in(&66 0eri&, i6 t%e (r&-n, a##e(e, are t%&!e -n,er R-A- 92+2 =Vi$%ence A'ains W$men Ci%dren;- T%e *&-rt !%a## 0r&*ee, in t%e $ain *a!e an, &t%er in*i,ent! &6 t%e *a!e a! !&&n a! 0&!!i/#e. R.A. 2*2, c. 1.
•
T%e a/an,&n$ent *&nte$0#ate, i! &ne 7it%&-t -!ti6ia/#e *a-!e 6&r $&re t%an &ne ear. A! it 7a! e!ta/#i!%e, t%at L-*ita #e6t ;i##ia$ ,-e t& %i! a/-!i+e *&n,-*t) !-*% ,&e! n&t *&n!tit-te a/an,&n$ent *&nte$0#ate, / t%e !ai, 0r&+i!i&n. 4n En @i%& vs. 4n, G.R. o. 15320*, 4c!or 23, 200*
TOPICS UNDER THE S,LLABUS 3- RI3HTS AND OBLI3ATIONS BETWEEN HUSBAND AND WI:E 777777777777777777777777 777777777777777777 O#%i'ai$ns $& H!s#and and Wi&e =L 2H2ds; 5. Li+e t&(et%er 8. O/!er+e $-t-a# %&+e) re!0e*t an, 6i,e#it =. Ren,er $-t-a# e#0 an, !-00&rt @. Mana(e$ent &6 t%e &-!e%&#, 4. Fi t%e 6a$i# d &$i*i#e . J&int re!0&n!i/i#it 6& r t%e s-00&rt &6 t%e 6a$i#
2- PROCEDURE :OR LE3AL SEPARATION A-M- N$- 02>11>11>SC PROPOSED RULE ON LE3AL SEPARATION •
T%e R-#e! &6 C&-rt !%a## a00# !-00#et&ri#
W$ ma" &i%e: !&#e# t%e %-!/an, &r 7i6e Wen $ &i%e8 7it%in 4 ear! 6r&$ t%e &**-rren*e &6 an &6 t%e (r&-n,!
CIVIL LAW REVIEWER
Pr$&essi$n 3enera% R!%e > Eit%er !0&-!e $a eer*i!e an #e(iti$ate 0r&6e!!i&n/-!ine!! 7it%&-t t%e *&n!ent &6 t%e &t%er E6cei$n > T%e &t%er !0&-!e $a &/e*t &n +a#i,) !eri&-! an, $&ra# (r&-n,!. In *a!e &6 ,i!a(ree$ent) t%e *&-rt !%a## ,e*i,e 7%et%er a. T%e &/e*ti&n i! 0r&0er AND /. Bene6it %a! a**r-e, t& t%e 6a$i# /e6&re an, a6ter t%e &/e*ti&n.
Pa'e 2? $& )01
• • I6 /ene6it a**r-e, t& t%e 6a$i# before t%e &/e*ti&n) t%e re!-#tin( &/#i(ati&n !%a## /e en6&r*e, a(ain!t t%e !e0arate 0r&0ert &6 t%e !0&-!e 7%& %a! n&t &/taine, *&n!ent • I6 /ene6it a**r- e, t& t%e 6a$i# after t%e &/e*ti&n %a! /een $a,e) t%e re!-#tin( &/#i(ati&n !%a## /e en6&r*e, a(ain!t t%e *&$$-nit 0r&0ert
TOPICS UNDER THE S,LLABUS H- PROPERT, RELATIONS BETWEEN HUSBAND AND WI:E 1- H$/ 3$.erned 2- Marria'e Se%emens (- D$nai$ns #" Reas$n $& Marria'e )- Pr$er" Re%ai$ns $& Uni$n /i Marria'e a-S"sem $& A#s$%!e Marria'e #- C$n4!'a% Parnersi $& 3ains *- Searai$n $& Pr$eries D!rin' Marria'e +- Re'ime $& Searai$n $& Pr$er" 777777777777777777777777 777777777777777777 1- WHAT 3OVERNS PROPERT, RELATIONS BETWEEN SPOUSES 5. Marria(e !ett#e$ent 6-t- re !0&-!e! $a a(ree -0&n t%e re(i$e &6 ACP) CPG) *&$0#ete !e0arati&n &6 0r&0ert) &r an &t%er re(i$e 8. Fa$i# C&,e i6 t% ere i! n& $arria(e !ett#e$ent &r 7%en t%e re(i$e a(ree, -0&n t%erein i! +&i,) t%e !!te$ &6 ACP !%a## (&+ern =. L&*a# *-!t&$!
2- MARRIA3E SETTLEMENT
CIVIL LAW REVIEWER
Re@!isies $& a Va%id Marria'e Se%emen8 ?WSB>TC>CR; 5. In / ritin( 8. S i(ne, / t%e0artie! # =. Ee*-te, e6&re t%e *e#e/rati&n &6 $arria(e @. T& 6 i t %e er$! an, *&n,iti&n! &6 t%eir 0r&0ert re#ati&n! 4. I6 0arenta# c&n!ent i! nee,e, 6&r t%e $arria(e) t%e 0arent(-ar,ian $-!t /e $a,e a 0art t& t%e a(ree$ent . I6 t%e 0art ee*-tin( t%e !ett#e$ent i! -n,er c i+i# inter,i*ti&n &r an &t%er ,i!a/i#it) t%e (-ar,ian a00&inte, / t%e *&-rt $-!t /e $a,e a 0art t& t%e !ett#e$ent >. Re(i!trati&n ?t& /in, =r, 0er!&n!
3enera% R!%e8 Pr&0ert Re#ati&n! are (&+erne, / P%i#i00ine #a7! E6cei$ns8 5. ;%en /&t% are a#ien!) e+en i6 $arrie, in t%e P%i#!. 8. A! t& etrin!i* +a#i,it &6 *&ntra*t! =. C&ntrar !ti0-#ati&n
(- DONATIONS B, REASON O: MARRIA3E =on%!ions ;rop!r up!i%s;
+efore #arriage
3enera% R!%e8 F-t-re !0&-!e! *ann&t ,&nate t& ea*% &t%er $&re t%an 54 &6 t%eir 0re!ent 0r&0ert ?e*e!! !%a## /e *&n!i,ere, +&i, Re@!isies8 5. Ma,e /e6&re *e#e/rati&n &6 $arria(e 8. In *e#e/rati&n &6 $arria(e =. In 6a+&r &6 &ne &r /&t% 6 -t-re !0&-!e! E6cei$n8 I6 t%e are (&+erne, / ACP !uring #arriage 3enera% R!%e8 D&nati&n! $a,e / !0&-!e! t& ea*% &t%er ,-rin( t%e $arria(e are VOID REASON: 5. T& 0r&te*t -n!e*-re, *re,it&r! 6r&$ /ein( ,e6ra-,e, 8. T& 0re+ent !tr&n(er !0&-!e 6r&$ i$0&!in( -0&n t%e 7ea1er &ne t%e tran!6er &6 t%e #atterK! 0r&0ert t& t%e 6&r$er =. T& 0re+ent in,ire*t $&,i6i*ati&n &6 t%e $arria(e !ett#e$ent E6cei$ns8 5. M&,erate (i6t! &n t%e &**a !i&n &6 an 6a$i# re&i*in(
Pa'e 2 $& )01
8. D&nati&n mortis causa •A00#ie! t& *&$$&n #a7 !0&-!e! ?Art. 9>
3r$!nds $ Re.$. D&nee *&$$it! a*t! &6 in(ratit-,e !-*% a!: a. C&$$it! an &66en!e a(ain!t t%e 0er! &n) honor &r 0r&0ert &6 t%e ,&n&r) %i! 7i6e) &r %i! *%i#,ren -n,er %i! 0arenta# a-t%&rit /. I$0-te! t& t%e ,&n&r an criminal offense &r an a*t in+&#+in( $&ra# t-r0it-,e) -n#e!! t%e *ri$e 7a! *&$$itte, a(ain!t t%e ,&nee %i$!e#6) %i! 7i6e) &r %i! *%i#,ren -n,er %i! a-t%&rit *. Un,-# re6-!e! t& support t%e ,&n&r 7%en %e i! #e(a## &r $&ra## /&-n, t& (i+e !-*% !-00&rt DONATION ;R4;:ER ;:/A .ORDINAR, DONATION BASIS
ormaliti es
Present Property
uture Property 8rounds for re"ocatio
DONATIONS
;R4;:ER ;:/A G&+erne, / t%e r-#e! &n &r,inar ,&nati&n! except i6 6-t-re 0r&0ert) it $-!t *&n6&r$ 7it% 6&r$a#itie! &6 7i##!
Ma /e ,&nate, /-t -0 t& 54 &6 ,&n&r! 0re!ent 0r&0ert Ma /e in*#-,e, 0r&+i,e, ,&nati&n i! mortis causa Art. 9 &6 Fa$i# C&,e
ORDINAR, DONATIONS
G&+erne, / r-#e! &n ,&nati&n! ?Art!. >84>>= NCC N& #i$it e*e0t t%at ,&n&r !%a## #ea+e 0r&0ert en&-(% 6&r %i! !-00&rt
n
Prescrii.e Peri$ds &$r :i%in' Aci$n &$r Re.$cai$n $& D$nai$n ;rop!r up!i%s (=%s on I6 $arria(e i! n&t *e#e/rate, Except: ,&nati&n! in $arria(e !ett#e$ent! a-t&$ati*a## +&i, i6 $arria(e n&t *e#e/rate,
I6 $arria(e i! -,i*ia## ,e*#are, +&i,) it ,e0en,!: ?a I6 !-/!e2-ent $arria(e i! +&i, 0-r!-ant t& Art. @ in re#ati&n t& Art!. 48 an, 4=) /e*a-!e *&ntra*te, / a !0&-!e /e6&re 0ri&r +&i, $arria(e i! -,i*ia## ,e*#are, +&i, ?/ J-,i*ia## ,e*#are, +&i, &n (r&-n,! &t%er t%an Art. @ in re#ati&n t& Art!. 48 an, 4= ;%en $arria(e ta1e! 0#a*e 7it%&-t t%e re2-ire, 0arenta# *&n!ent I6 re!&#-t&r *&n,iti&n i! *&$0#ie, 7it% ;%en $arria(e i! ann-##e, an, ,&nee in /a, 6ait% I6 ,&nee *&$$it! an a*t &6 in(ratit-,e In *a!e! &6 #e(a# !e0arati&n
!%. 9%ri%) 4 ear! ?Art. 55@ NCC 6r&$ t%e ti$e $arria(e i! n&t !&#e$nie, &n t%e 6ie, ,ate
B &0erati&n &6 #a7 i6 ,&nee!0&-!e *&ntra*te, !-/!e2-ent +&i, $arria(e in /a, 6ait%
4 ear! 6r&$ 6ina#it &6 -,i*ia# ,e*#arati&n &6 n-##it ?i6 a*ti&n t& re*&+er 0r&0ert 4 ear!
4 ear! 6r&$ %a00enin( &6 *&n,iti&n 4 ear! 6r&$ 6ina#it &6 ,e*ree 5 ear 6r&$ ,&n&rK! 1n&7#e,(e &6 t%at 6a*t 4 ear! 6r&$ t%e ti$e t%e ,e*ree &6 !e0arati&n %a! /e*&$e 6ina#
)- PROPERT, RELATIONS
a. S"sem $& A#s$%!e C$mm!ni"
Cann&t /e in*#-,e,
=ac;
Art!. >) >@) >4 NCC
&6 a $arria(e !ett#e$ent &r 7%en t%e re(i$e a(ree, -0&n i! +&i,.
CIVIL LAW REVIEWER
T%e 0r&0ert re(i$e &6 !0&-!e! in t%e a/!en*e
Pa'e 29 $& )01
@. E
NOTE8 S%a## *&$$en*e at t%e 0re*i!e $&$ent t%at t%e $arria(e i! *e#e/rate,. An !ti0-#ati&n) e0re!! &r i$0#ie,) 6&r t%e *&$$en*e$ent &6 t%e re(i$e at an &t%er ti$e !%a## /e VOID.
4. .
N& 7ai+er &6 ri(%t! a##&7e, ,-rin( t%e $arria(e e*e0t in *a!e &6 -,i*ia# !e0arati&n &6 0r&0ert. T%e 7ai+er $-!t /e in a 0-/#i* in!tr-$ent. >. Pr&0ert a*2-ire, ,-rin( t%e $arria(e) 7%et%er a*2-i!iti&n a00ear! t& %a+e /een $a,e in t%e na$e &6 &ne &r /&t% !0&-!e!) i! PRESUMED t& /e#&n( t& t%e *&$$-nit.
3enera% R!%e8 T%e *&$$-nit 0r&0ert *&n!i!t! &6 a## t%e 0r&0ert &7ne, / t%e !0&-!e! at t%e ti$e &6 t%e *e#e/rati&n &6 t%e $arria(e &r a*2-ire, t%erea6ter. E6cei$nsE6c%!si$ns ro&
Co&&uni!6
;ropr!6#
5.
Pr&0erta*2-ire, /e6&re t%e $arria(e / eit%er !0&-!e 7%& %a! #e(iti$ate ,e!*en,ant! / a 6&r$er $arria(e an, it! 6r-it! an, in*&$e 8. Pr&0ert 6&r 0er!&na# an, e*#-!i+e -!e) e*e0t e7e#r =. Pr&0erta*2-ire, ,-rin( t%e $arria(e / (rat-it&-! tit#e) e*e0t 7%en t%e ,&n&r) te!tat&r) &r (rant&r e0re!!# 0r&+i,e! &t%er7i!e •
En*-$/ran*e &r ,i!0&!iti&n &6 t%e *&$$-nit 0r&0ert 7it%&-t t%e *&n!ent &6 t%e &t%er !0&-!e i! t&ta## +&i,. Bene6it t& t%e 6a$i# $-!t a#7a! /e 0r&+en. Bo&onrDs %vins > ?o%n =%n vs. %ilo, G.R. o. 153802, 9%rc" 11, 2005
Car'es U$n and O#%i'ai$ns $& e ACP8 5. De/t! an, &/#i(ati&n! *&ntra*te, ,-rin( t%e $arria(e: a. B eit%er !0&-!e without the consent &6 t%e &t%er t& t%e etent t%at it /ene6ite, t%e 6a$i# /. B ,e!i(nate, a,$ini!trat&r!0&-!e *. B /&t% !0&-!e! ,. B &ne with the consent &6 t%e &t%er 8. Tae!) #ien!) *%ar(e! an, e0en!e! in*#-,in( $a&r &r $in&r re0air!) -0&n community property t%eir *&$$&n *%i#,ren =. S-00&rt &6 !0&-!e!) an, #e(iti$ate *%i#,ren &6 eit%er !0&-!e
CIVIL LAW REVIEWER
9.
0en!e! &6 #iti(ati&n between spouses -n#e!! t%e !-it i! 6&-n, t& /e (r&-n,#e!! Anten-0tia# ,e/t! 7%i*% re,&-n,e, t& t%e /ene6it &6 t%e 6a$i# Tae! an, e 0en!e! 6&r $ere 0r e!er+ati&n $a,e ,-rin( t%e $arria(e -0&n t%e separate property &6 eit%er !0&-!e -!e, / t%e 6a$i# E0en!e! 6&r 0r&6e!!i&na# &r +&*ati&na# *&-r!e Ot%er anten-0tia# ,e/t!) !-00&rt &6
i##e(iti$ate *%i#,) an, #ia/i#itie! 6&r *ri$e &r ;uasi
Diss$%!i$n $& e ACP8 5. U0&n ,eat% &6 eit%er !0&-!e 8. De*ree &6 # e(a# !e0arati&n =. Marria(e i! ann-##e, &r n-##i6ie, @. J-,i*ia# !e0arati&n &6 0r&0ert ,-rin( t%e $arria(e ?Art!. 5=@5=9 Li@!idai$n $& e ACP8 5. In+ent&r &6 a## 0r&0ertie! a. In+ent&r &6 *&$$-nit 0r&0ert /. In+ent&r &6 !e0arate 0r&0ert &6 t%e 7i6e *. In+ent&r &6 !e0arate 0r&0ert &6 t%e %-!/an, 8. De/t! an, &/#i(ati&n! &6 ACP are 0ai , =. Re$ain,er &6 t%e !e0arate 0r&0ertie! &6 t%e !0&-!e! are ret-rne, t& t%e &7ner @. Net re$ain,er &6 t%e ACP i! ,i+i ,e, e2-a## /et7een %-!/an, an, 7i6e 4. Pre!-$0ti+e #e(iti$e! &6 *%i#,ren are ,e#i+ere, . A,-,i*ati&n &6 *&n-(a# ,7e##in( an, *-!t&, &6 *&$$&n *%i#,ren #- S"sem $& C$n4!'a% Pr$er" $& 3ains =c'; T%e !0&-!e! *&ntri/-te t%e 6&##&7in( t& a *&$$&n 6-n,: 1. Pr&*ee,!) 0r&,-*t!) 6r-it! an, in*&$e &6 !e0arate 0r&0ertie! &6 !0&-!e!
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>. T 2. E+ert%in( a*2-ire, / !0&-!e! t%r&-(%
t%eir e66&rt! 3. E+ert%in( a*2-ire, / !0&-!e! t%r&-(% *%an*e • S%a## *&$$en*e at t%e 0re*i!e $&$ent t%at t%e $arria(e i! *e#e/rate,. An !ti0-#ati&n) e0re!! &r i$0#ie,) 6&r t%e *&$$en*e$ent &6 t%e re(i$e at an &t%er ti$e !%a## /e VOID. •
N& 7ai+er &6 ri(%t! a##&7e, ,-rin( t%e $arria(e e*e0t in *a!e &6 -,i*ia# !e0arati&n &6 0r&0ert. T%e 7ai+er $-!t /e in a 0-/#i* in!tr-$ent.
•
Pr&0ert a*2-ire, ,-rin( t%e $arria(e) 7%et%er a*2-i!iti&n a00ear! t& %a+e /een $a,e in t%e na$e &6 &ne &r /&t% !0&-!e!) i! PRESUMED t& /e *&n-(a#.
•
T%e 0re!-$0ti&n i! n&t re/-tte, / t%e $ere 6a*t t%at t%e *erti6i*ate &6 tit#e &6 t%e 0r&0ert &r t%e ta ,e*#a rati&n i! in t%e na$e &6 &ne &6 t%e !0&-!e!. 'ill%nuv% v. CA,+27 CRA +3 (200+)
•
It i! n&t e+en ne*e!!ar t& 0r&+e t%at t%e 0r&0ertie! 7ere a*2-ire, 7it% 6-n,! &6 t%e 0artner!%i0. T%e 0re!-$0ti&n !%a## !-/!i!t in t%e a/!en*e &6 *#ear) !ati!6a*t&r an, *&n+in*in( e+i,en*e t& &+er*&$e t%e !a$e. C"in v. CA, +23 CRA 371 (200+)
E6c%!si.e Pr$er" in CP38 5. T%at /r&-(%t int& t%e $arria(e a! %i!%er &7n 8. T%at a*2-ire, ,-rin( t%e $arria(e (rat-it&-!# =. T%at a*2-ire, / re,e$0ti&n) /arter &r e*%an(e 7it% e*#-!i+e 0r&0ert @. T%at 0-r*%a!e, 7it% e*#-!i+e $&ne Wa C$nsi!es CP38 5. :r-it! &6 *&n-(a# 0r&0ert ,-e &r re*ei+e, ,-rin( t%e $arria(e an, net 6r-it! &6 !e0arate 0r&0ert 8. T%&!e a*2-ire, t%r&-(% $**-0ati&n =. Li+e!t&*1 in e*e!! &6 7%at 7a! /r&-(%t t& t%e $arria(e @. T%&!e a*2-ire, ,-rin( t%e $arria(e 7it% c&n-(a# 6-n,! 4. S%are in i,,en trea!-re . T%&!e &/taine, 6r&$ #a/&r) in,-!tr) 7&r1 &r 0r&6e!!i&n &6 eit%er &r /&t% !0&-!e
CIVIL LAW REVIEWER
%&!e a*2-ire, / c %an*e
R!%es in Cases $& Imr$.emen $& E6c%!si.e Pr$er"8 GENERAL RULE: T%e &7ner!%i0 &6 i$0r&+e$ent! $a,e &n t%e !e0arate 0r&0ert &6 t%e !0&-!e! at t%e e0en!e &6 t%e 0artner!%i0 &r t%r&-(% e66&rt! &6 /&t% !0&-!e! !%a## 0ertain t& t%e 0artner!%i0. 5. Accession i6 t%e *&!t &6 t%e i$0r&+e$ent an, an re!-#tin( in*rea!e in +a#-e are e2-a# &r #e!! t%an t%e +a#-e &6 t%e entire 0r&0ert at t%e ti$e &6 t%e i$0r&+e$ent) t%e entire 0r&0ert re$ain! t%e e*#-!i+e 0r&0ert &6 t%e &7ner!0&-!e ?!-/e*t t& rei$/-r!e$ent &6 i$0r&+e$ent *&!t 8. 1e"erse Accession i6 t%e *&!t &6 t%e i$0r&+e$ent an, an re!-#tin( in*rea!e in +a#-e are $&re t%an t%e +a#-e &6 t%e entire 0r&0ert at t%e ti$e &6 t%e i$0r&+e$ent) t%e 0r&0ert /e*&$e! *&n-(a# ?!-/e*t t& rei$/-r!e$ent &6 t%e +a#-e &6 t%e 0r&0ert &6 t%e &7ner!0&-!e
Car'es !$n CP38 Sa$e a! t%at -n,er ACP) e*e0t t%at -n,er tae! an, e0en!e! 6&r 0re!er+ati&n &6 !e0arate 0r&0ert &6 eit%er !0&-!e ,-rin( t%e $arria(e Q 0r&0ert nee, n&t /e -!e, / t%e 6a$i# NOTE8 I6 t%e *&n-(a# 0artner!%i0 i! in!-66i*ient) t%e !0&-!e! !%a## /e !&#i,ari# #ia/#e 6&r t%e -n0ai, /a#an*e 7it% t%eir !e0arate 0r&0ertie!. Diss$%!i$n $& CP38 Sa$e a! -n,er ACP Li@!idai$n $& e CP38 5. In+ent&r &6 a## 0r&0ert 8. A$&-nt! a,+an*e, / CP a! 0a$ent 6&r 0er!&na# ,e/t! an, &/#i(ati&n! &6 eit%er !0&-!e are *re,ite, =. Rei$/-r!e$ent 6&r -!e &6 e*# -!i+e 6-n,! @. De/t! an, &/#i(ati&n! &6 t%e CP are 0ai , 4. Re$ain! &6 e*#-!i+e 0r&0ertie! are ret-rne, . In,e$ni6 #&!! &6 ,eteri&r ati&n &6 $&+a/#e! /e#&n(in( t& eit%er !0&-!e -!e, 6&r t%e /ene6it &6 t%e 6a$i# >. Net re$ain,er &6 *&n-(a# 0r&0ert i! ,i+i,e, e2-a## 9. De#i+er &6 *%i#,renK! 0re!-$0ti+e #e(iti$e!
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A,-,i*ati&n &6 *&n-(a# ,7e##in( an, *-!t&, &6 *%i#,ren • Pri&r t& t%e #i2-i,ati&n &6 t%e *&n-(a# 0artner!%i0) t%e intere!t &6 ea*% !0&-!e in t%e *&n- (a# a!!et! i! in*%&ate) a $ere e0e*tan*) 7%i*% *&n!tit-te! neit%er a #e(a# n&r an e2-ita/#e e!tate) an, ,&e! n&t ri0en int& tit#e -nti# a6ter #i2-i,ati&n an, !ett#e$ent. T%e ri(%t &6 t%e %-!/an, &r 7i6e t& &ne%a#6 &6 t%e *&n-(a# a!!et! ,&e! n&t +e!t -nti# t%e ,i!!&#-ti&n an, #i2-i,ati&n &6 t%e *&n-(a# 0artner!%i0 &r a6ter ,i!!&#-ti&n &6 t%e $arria(e an, t%ere are net a!!et! #e6t 7%i*% *an /e ,i+i,e, /et7een t%e !0&-!e! &r t%eir A%los v. re!0e*ti+e %eir!. 9%c%!%n%6, +3 CRA *+ (200+) NOTES8 • Pr&0ert /&-(%t &n in!ta##$ent! 0ai, 0art# 6r&$ e*#-!i+e 6-n,! &6 t%e !0&-! e! an, 0art# 6r&$ *&n-(a# 6-n,!: a. I6 6-## &7ner!%i0 i! +e!te, /e6&re t%e $arria(e it !%a## /e#&n( t& t%e /-er!0&-!e /. I6 6-## &7ner!%i0 7a! +e!te, ,-rin( t%e $arria(e it !%a## /e#&n( t& t%e *&n-(a# 0artner!%i0 ?In an *a!e) t%e a$&-nt a,+an*e, / t%e 0artner!%i0 &r / eit%er/&t% !0&-!e! !%a## /e rei$/-r!e, / t%e &7ner -0&n #i2-i,ati&n •
I6 t%e *&$$-nit &r *&n-(a# 0r&0ertie! are in!-66i*ient) t%e !e0arate 0r&0ertie! !%a## /e !&#i,ari# an, !-/!i,iari# #ia/#e 6&r t%e &/#i(ati&n!
• T%e *&n-(a# 0artner!%i0 0r&0ert !%a## #i1e7i!e /e #ia/#e 6&r t%e 0a$ent &6 t%e 0er!&na# ,e/t! &6 eit%er !0&-!e in!&6ar a! t%e %a+e re,&-n,e, t& t%e /ene6it &6 t%e 6a$i#.
Adminisrai$n and En4$"men $& e ACPCP3 3enera% R!%e8 It !%a## /e#&n( t& /&t% !0&-!e! &int# E6cei$ns8 5. In *a!e! &6 ,i!a(ree$ent) %-!/an,K! ,e*i!i&n !%a## 0re+ai# • ;i6e %a! re*&-r!e t& t%e *&-rt! 7it%in 4 ear!
CIVIL LAW REVIEWER
8. In *a! e &ne !0&-!e i! in*a0a*itate, &r -na/#e t& 0arti*i0ate in t%e a,$ini!trati&n &6 t%e *&$$&n 0r&0ertie!) &t%er !0&-!e $a a!!-$e !&#e 0&7er! • T%e!e 0&7er! ,& n&t in*#-,e: a. ,i!0&!iti&n an, b. en*-$/ran*e B&t% !0&-!e! $-!t a00r&+e an ,i!0&!iti&n &r en*-$/ran*e. An en*-$/ran*e &r ,i!0&!iti&n i! +&i, i6 7it%&-t t%e 7ritten *&n!ent &6 t%e &t%er !0&-!e &r t%e *&-rt a00r&+a#. H&7e+er) t%e tran!a*ti&n !%a## /e *&n!tr-e, a! a *&ntin-in( &66er &n t%e 0art &6 t%e *&n!entin( !0&-!e) 7%i*% $a /e 0er6e*te, a! a /in,in( *&ntra*t -0&n a**e0tan*e / t%e !0&-!e &r *&-rt a00r&+a#.
R!%es $n 3ames $& Cance8 =ACPCP3; ?4# B&rne / t%e #&!er !0&-!e an, !%a## n&t /e *%ar(e, t& t%e *&$$-nit 0r&0ert $//G# F&r$ 0art &6 t%e *&$$-nit 0r&0ert Disinci$n #e/een ACP and CP3 ACP CP3 A## t%e 0r&0ertie! Ea*% !0&-!e retain! &7ne, / t%e %i!%er 0r&0ert !0&-!e! at t%e ti$e /e6&re t%e $arria(e &6 $arria(e /e*&$e an, &n# t%e 6r-it! *&$$-nit 0r&0ert an, in*&$e &6 !-*% 0r&0ertie! /e*&$e 0art &6 t%e *&n-(a# 0r&0ertie! ,-rin( t%e $arria(e U0&n ,i!!&#-ti&n an, U0&n ,i!!&#-ti&n &6 #i2-i,ati&n &6 t%e t%e 0artner!%i0) t%e *&$$-nit 0r&0ert) !e0arate 0r&0ert &6 t%e net re$ain,er i! t%e !0&-!e! are ,i+i,e, e2-a## ret-rne, an, &n# t%e /et7een t%e !0&-!e!. net 0r&6it! &6 t%e 0artner!%i0 are ,i+i,e, e2-a## /et7een t%e !0&-!e! &6 t%eir %eir! c.
Searai$n $& Pr$er"
• Se0arati&n &6 0r&0ert /et7een t%e !0&-!e! ,-rin( t%e $arria(e !%a## n&t ta1e 0#a*e e*e0t / -,i*ia# &r,er.
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5. O
•
J-,i*ia# !e0arati&n &6 0r&0ert $a eit%er /e +&#-ntar &r 6&r !-66i*ient *a-!e.
SU::ICIENT CAUSE :OR SEPARATION O: PROPERT, 5. Petiti&nerK! !0&-!e !enten*e, t& 0ena#t 7it% *i+i# inter,i*ti&n 8. Petiti&nerK! !0&-!e ,e*#are, an a/!entee =. L&!! &6 0arenta# a-t%&rit &6 0etiti&nerK! !0&-!e ,e*#are, / *&-rt
@. A/an,&n$ent &r 6ai#-re t& *&$0# 7it% $arita# &/#i(ati&n! 4. S0&-!e a/-!e, 0&7er &6 a,$ini!trati&n (rante, . At t%e ti$e &6 0etiti&n) !0&-!e! %a+e /een !e0arate, in 6a*t 6&r at #ea!t &ne ear an, re*&n*i#iati&n i! %i(%# i$0r&/a/#e
3ROUNDS :OR REVIVAL O: :ORMER PROPERT, RE3IME 8. Ci+i# inter,i*ti&n ter$inate!
8. A/!ent !0&-!e re a00ear! =. Parenta# a-t%&rit -,i*ia## re!t&re,
@. ;%en !0&-!e 7%& %a! #e6t *&n-(a# %&$e 7it%&-t ,e(ree &6 #e(a# !e0arati&n re!-$e! *&$$&n #i6e 7it% t%e &t%er 4. C&-rt a-t%&rie! t%e re!-$0ti&n &6 a,$ini!trati&n) /ein( !ati!6ie, t%at t%ere 7i## /e n& a/-!e . S0&-!e! re*&n*i#e an, re!-$e *&$$&n #i6e
>. ;%en a6ter +&#-ntar ,i!!&#-ti&n &6 t%e ACP &r CPG %a! /een -,i*ia## ,e*ree,) !0&-!e! a(ree t& re+i+e 6&r$er re(i$e ?n& !-/!e2-ent +&#-ntar !e0arati&n $a /e (rante,
3ROUNDS :OR TRANS:ER O: ADMINISTRATION O: EFCLUSIVE PROPERT, O: EITHER SPOUSE8 =3ACA;
CIVIL LAW REVIEWER
ne !0&-!e /e*&$e! '-ar,ian &6 t%e &t%er 8. One !0&-!e -,i*ia## ,e*#are, a /!ent =. One !0&-!e !enten*e, t& 0en a#t 7it% c i+i# inter,i*ti&n @. One !0&-!e /e*&$e! a 6-(iti+e 6r&$ -!ti*e &r i! %i,in( a! an a **-!e, in a*ri$ina# *a!e
PROPERT, RE3IME O: UNIONS WITHOUT MARRIA3E BASIS ARTICLE 1)? ARTICLE 1) 5. Man an, 7&$an 8. Li+in( 5. Man an, 7&$an t&(et%er a! 8. Li+in( t&(et%er %-!/an, an, a! %-!/an, an, 7i6e 7i6e =. ;it% *a0a*it =. NOT t& $arr *a0a*itate, t& ?7it%&-t #e(a# $arr ?Art.=4?5 i$0e,i$ent -n,er 59 ear! • At #ea!t 59 &#, ear! &#, @. A,-#ter&-! • N$ Art. => Applicabil re#ati&n!%i0 ity ?in*e!t-&-! ?e.(. +&i, *&n*-/ina(e $arria(e 4. Bi(a$&-!0&#( a$&-! $arria(e • N$ Art. =9 ?Art.=4?@ ?+&i, . In*e!t-&-! $arria(e / $arria(e! -n,er rea!&n &6 Art.=> 0-/#i* 0&#i* >. V&i, $arria(e! • N$ / rea!&n &6 /i(a$&-! 0-/#i* 0&#i* @. Ot%er +&i, -n,er Art.=9 $arria(e! #i+ein E*#-!i+e# &7ne," /alaries $arrie, 0art O7ne, in e2-a# and 0r&0ert &6 CPG &6 !%are! wages #e(iti$ate $arria(e Propertie s Re$ain! ac;uired e*#-!i+e Re$ain! e*#-!i+e through 0r&+i,e, t%ere exclusi"e funds Propertie s ac;uired
i! 0r&&6 Pre!-$e, t& /e &/taine, in e2-a# !%are!
On# t%e 0r&0ertie! a*2-ire, / /&t%
while li"ing together
!in*e it i! t& 0re!-$e, %a+e /een a*2-ire,
0artie! t%r&-(% t%eir a*t-a# &int *&ntri/-ti&n &6 $&ne) 0r&0ert)
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t%r&-(% &int e66&rt! I6 &ne 0art ,i, n&t 0arti*i0ate in a*2-i!iti&n) 0re!-$e, t& %a+e *&ntri/-te, t%r&-(% *are an, $aintenan*e &6 6a$i# an, %&-!e%&#,
•
•
&r in,-!tr !%a## /e &7ne, / t%e$ in *&$$&n in 0r&0&rti&n t& t%eir re!0e*ti+e *&ntri/-ti&n!. Pr&0ertie! &7ne, in *&$$&n !%a## /e 0re!-$e, t& /e e2-a#" %&7e+er) 0r&&6 $a /e !%&7n t& !%&7 t%at t%eir *&ntri/-ti&n an, re!0e*ti+e !%are! are n&t e2-a#.
T%e re(i!trati&n &6 a 0r&0ert in t%e na$e &6 t%e 0ara$&-r 7%& %a, n& in*&$e 7%at!&e+er at t%e ti$e &6 t%e ,&nati&n / an&t%erK! %-!/an, i! tanta$&-nt t& a ,&nati&n 7%i*% i! +&i, -n,er Arti*#e 9> &6 t%e Fa$i# C&,e. T%e 0ara$&-r t%en %&#,! t%e 0r&0ert -n,er a *&n!tr-*ti+e tr-!t -n,er Arti*#e 5@4 in 6a+&r &6 t%e *&n-(a# 0artner!%i0 &6 t%e %-!/an, 7it% t%e #e(iti$ate !0&-!e. o%uino v. R6s, +3+ CRA 2*0 (200+) Un,er Arti*#e 5@9) t%ere $-!t /e 0r&&6 &6 a*t-a# &int *&ntri/-ti&n / /&t% t%e #i+ein 0artner! /e6&re t%e 0r&0ert /e*&$e! *& &7ne, / t%e$ in 0r&0&rti&n t& t%eir *&ntri/-ti&n. Ot%er7i!e) t%ere are n& 0re!-$0ti&n! &6 *&&7ner!%i0 an, e2-a# !%arin(. 'ill%nuv% v. CA, +27 CRA +3 (200+)
:AMIL, /a!i* !&*ia# in!tit-ti&n 7%i*% 0-/#i* 0&#i* *%eri!%e! an, 0r&te*t! • Hen*e) n& !-it /et7een $e$/er! &6 t%e 6a$i# !%a## 0r&!0er -n#e!! earnes e&&$rs t&7ar,! a *&$0r&$i!e %a+e /een $a,e /-t 6ai#e,. • A##e(ati&n &6 earne!t e66&rt! i! JURISDICTIONAL) i6 it i! a/!ent) t%e *&-rt *an ,i!$i!! t%e *a!e. BUT t%i! r-#e i! ina%ica#%e t& t%e 6&##&7in( *a!e!: =CLV> ::; 5. Ci+i# !tat-! &6 0er!&n! 8. An (r&-n, 6&r %e(a# !e0arati&n =. V a#i,it &6 $arria(e &r #e(a# !e0arati&n @. :-t-re !-00&rt 4. -ri!,i*ti&n &6 *&-rt! . :-t-re #e(iti$e :AMIL, RELATIONS INCLUDE8 1. Bet7een %-!/an, an, 7i6e 2. Bet7een 0arent! an, *%i#,ren 3. A$&n( &t%er a!*en,ant! an, ,e!*en,ant! 4. A$&n( /r&t%er! an, !i!ter!) 6-## &r %a#6 /#&&,
TOPICS UNDER S,LLABUS :AMIL, HOME
:AMIL, HOME It i! ,ee$e, *&n!tit-te, 6r&$ •
N& *&&7ner!%i0 ei!t! /et7een 0artie! t& an a,-#ter&-! re#ati&n!%i0. In !-*% a re#ati&n!%i0) it i! ne*e!!ar 6&r ea*% &6 t%e 0artner! t& 0r&+e %i! &r %er a*t-a# *&ntri/-ti&n t& t%e a*2-i!iti&n &6 0r&0ert in &r,er t& /e a/#e t& #a *#ai$ t& an 0&rti&n &6 it. Pre!-$0ti&n! &6 *&&7ner!%i0 an, e2-a# *&ntri/-ti&n ,& n&t a00#. Rivr% v. Birs o 'ill%nuv%, G.R. o. 1+1501, ul6 21, 200*
t%e ti$e it i! &**-0ie, a! a 6a$i# re!i,en*e
BENE:ICIARIES O: A :AMIL, HOME 5. H-!/an, an, 7i6e) &r -n$arrie, %ea, &6 t%e 6a$i# 8. Parent! ?$a in*#-,e 0arentin#a7!) a!*en,ant!) /r&t%er! an, !i!ter! ?#e(iti$atei##e(iti$ate #i+in( in t%e 6a$i# %&$e an, ,e0en,ent &n %ea, &6 6a$i# 6&r !-00&rt
1- MANNER O: CONSTITUTION
TOPICS UNDER S,LLABUS8 I- Te :ami%" =Ars 1)9>1*15 :C;
3UIDELINES8 5. FH i! ,ee$e, *&n!tit-te, 6r&$ ti$e &6 a*t-a# &**-0ati&n a! a 6a$i# re!i,en*e
CIVIL LAW REVIEWER
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8.
8. H
FH $-!t /e &7ne, / 0er!&n *&n!tit-tin( it =. FH $-!t /e 0er$anent @. R-#e a00#ie! t& +a#i,) +&i,a/#e an, e+en t& *&$$&n#a7 $arria(e! -n,er Art!. 5@> an, 5@9 4. FH *&ntin-e! ,e!0ite ,eat% &6 &ne &r $&re !0&-!e! &r -n$arrie, %ea, &6 6a$i# 6&r 5 ear! &r a! #&n( a! t%ere i! a $in&r /ene6i*iar =Ar- 1*9; . On# &ne FH *an /e *&n!tit-te,
i! *#ai$ i! n&t a$&n( t%&!e e*e0te, -n,er Ar- 1** =. He %a! rea!&na/#e (r&-n,! t& /e#ie+e t%at t%e 6a$i# %&$e i! 7&rt% $&re t%an t%e $ai$-$ a$&-nt 6ie, in Ar- 1*?
2- UALI:IED PROPERT,
$-!t 0r&+e t%at t%e a*t-a# +a#-e &6 t%e FH e*ee,! t%e $ai$-$ a$&-nt 6ie, / t%e Fa$i# C&,e) eit%er at t%e ti$e &6 it! *&n!tit-ti&n &r a! a re!-#t &6 i$0r&+e$ent! intr&,-*e, t%erea6ter it! *&n!tit-ti&n. =. I6 *re,it&r 0r&+e! t%at a* t-a# +a#-e e*ee,! t%e $ai$-$ a$&-nt t%e) *&-rt 7i## &r,er it! !a#e in ee*-ti&n. @. I6 FH i! !&#, 6&r $&re t%an t%e +a#-e a##&7e,) t%e 0r&*ee,! !%a## /e a00#ie, a! 6&##&7!: a. Fir!t) t%e &/#i(ati&n! en-$erate, in Ar t. 544 $-!t /e 0ai, ?#i!te, a/&+e /. T%en t%e -,($ent in 6a+&r &6 t%e *re,it&r 7i## /e 0ai,) 0#-! a## t%e *&!t! &6 ee*-ti&n *. T%e e*e!!) i6 an) !%a## /e ,e#i+ere, t& t%e -,($ent ,e/t&r
A*t-a# +a#-e &6 t%e 6a$i# %&$e !%a## n&t e*ee, P=) in URBAN area! an, P8) in RURAL area! ?Art.54>
(- EFEMPTION :ROM EFECUTION 3enera% R!%e8 =Ar- 1*(; T%e 6a$i# %&$e ?FH i! ee$0te, 6r&$: 5. Ee*-ti&n 8. F&r*e, Sa#e =. Atta*%$ent E6cei$ns8 =Ar- 1**; 5. N&n0a$ent &6 tae! 8. De/t! in*-rre, 0ri&r t& *&n!tit-ti&n &6 %&$e =. De/t! !e*-re, / $&rt(a(e! &n t%e 0re$i!e! @. De/t! ,-e #a/ &rer!) $e*%ani*!) ar*%ite*t!) /-i#,er!) $ateria#$en) an, &t%er! 7%& %a+e ren,ere, !er+i*e &r 6-rni!%e, $ateria#! 6&r t%e *&n!tr-*ti&n &6 t%e /-i#,in(
NOTE8 T%e ee$0ti&n i! #i$ite, t& t%e +a#-e a##&7e, / t%e Fa$i# C&,e
)- SALE Sa%e5 A%ienai$n5 D$nai$n5 Assi'nmen5 Or Enc!m#rance O& Te :ami%" H$me 1. T%e 0er!&n 7%& *&n!tit-te, t%e !a$e $-!t (i+e %i!%er 7ritten *&n!ent 2. T%e !0&-!e &6 t%e 0er!&n 7%& *&n!tit-te, t%e 6a$i# %&$e $-!t a#!& (i+e %i!%er 7ritten *&n!ent 3. A $a&rit &6 t%e /ene6i*iarie! &6 #e(a# a(e $-!t a#!& (i+e t%eir 7ritten *&n!ent 4. In *a!e &6 *&n6#i*t) t%e *&-rt !%a## ,e*i,e Re@!isies :$r Credi$r T$ A.ai% O& Te Ri' T$ E6ec!e8 =Ar- 1+0; 5. He $-!t /e a -,($ent *re,it&r
CIVIL LAW REVIEWER
PROCEDURE8 5. Cre,it&r t& 6i#e a $&ti&n in t%e *&-rt 0r&*ee,in( 7%ere %e &/taine, a 6a+&ra/#e 6&r a 7rit &6 ee*-ti&n a(ain!t FH. 8. Hearin( &n t%e $&t i&n 7%ere t%e *re,it&r
TOPICS UNDER S,LLABUS - Paerni" and :i%iai$n =Ars- 1+(> 125 :C; 1- inds $& :i%iai$n 2- Ci%dren #" Na!re a- Le'iimae Ci%dren #- I%%e'iimae Ci%dren c- Le'iimaed Ci%dren (- Aci$ns re'ardin' &i%iai$n a- T$ c%aim &i%iai$n i- Pr$$& $& &i%iai$n ii- Admissi#i%i" $& Scieni&ic Tesin' #- T$ im!'n &i%iai$n )- Ri's $& Le'iimaeLe'iimaedI%%e'iima e Ci%dren 777777777777777777777777 777777777777777777
Pa'e (* $& )01
0r&/ati+e +a#-e. C$nceci$n .- CA5 K3-RN$- 12()*05 A!'- (15 200*
TOPICS UNDER S,LLABUS 3- PATERNIT, AND :ILIATION 1-inds $& :i%iai$n 2 Ci%dren #" Na!re 7777777777777777777777777777 77777777777777777777
1-INDS O: :ILIATION 2-CHILDREN B, NATURE a- Le'iimae Ci%dren LE3ITIMATE CHILDREN >are t%&!e *&n*ei+e, OR /&rn ,-rin( a +a#i, $arria(e. INCLUSIONS8 T%&!e *%i#,ren 7%& are: 5. C&n*ei+e, a! a re!-#t &6 arti6i*ia# in!e$inati&n 8. B&rn &6 a +&i,a/#e $ar ria(e /e6&re ,e* ree &6 ann-#$ent =. C&n*ei+e, &r /&rn /e6&re -,($ent &6 ann-#$ent &r a/!&#-te n-##it -n,er Art. = ?0!*%&#&(i*a# in*a0a*it /e*&$e! 6ina# ee*-t&r @. C&n*ei+e, &r /&rn &6 a !-/!e2-ent $arria(e -n,er Art. 4= ?6ai#-re t& re*&r, t%e -,($ent) 0artiti&n an, ,i!tri/-ti&n &6 0r&0ertie!) an, ,e#i+er &6 *%i#,renK! 0re!-$0ti+e #e(iti$e 4. O6 $&t%er! 7%& $a %a+e ,e*#are, a(ain!t t%eir #e(iti$a* &r 7a! !enten*e, a! an =Ar-1+?; . a,-#tere!! Le(a## a,&0te, >. Le(iti$ate,) *&n*ei+e, an, /&rn &- t!i,e &6 7e,#&*1 &6 0arent! 7it%&-t i$0e,i$ent at t%e ti$e &6 *&n*e0ti&n an, 7%& !-/!e2-ent# $arrie, •
•
A *%i#, /&rn in!i,e a +a#i, $arria(e i! #e(iti$ate. Hen*e a *%i#, /&rn in!i,e a /i(a$&-! $arria(e) 7%i*% i! +&i,) i! *&n!i,ere, a *%i#, -n,er t%e 6ir!t $arria(e) 7%i*% %a! n&t /een n-##i6ie, &r ann-##e,. C$nceci$n .- CA5 K3-R- N$- 12()*05 A!'- (15 200* An a(ree$ent / 0artie! a! t& t%e !tat-! &6 a *%i#, i! +&i,. On# t%e #a7 ,eter$ine! #e(iti$a* &r i##e(iti$a*. T%-!) t%e *%i#,) in ee! &6 t%e #a7) i! #e(iti$ate -n,er t%e 6ir!t $arria(e n&t7it%!tan,in( t%e a,$i!!i&n in 0#ea,in(! / t%e 7i6e an, %i! !e *&n, %-!/an, t%at t%e *%i#, i! t%eir #e(iti$ate !&n. Si$i#ar#) an ,e*#arati&n &6 t%e $&t%er t%at %er *%i#, i! i##e(iti$ate %a! n&
CIVIL LAW REVIEWER
#- I%%e'iimae Ci%dren ILLE3ITIMATE CHILDREN > are t%&!e *&n*ei+e, AND /&rn &-t!i,e a +a#i, $arria(e. E6cei$ns8 T%&!e *%i#,ren 7%& are: 5. B&rn &6 $a rria(e! 7%i*% are +&i, ab initio !-*% a! /i(a$&-! an, in*e!t-&-! $arria(e! an, +&i, $arria(e! / rea!&n &6 0-/#i* 0&#i* 8. B&rn &6 +&i,a/#e $ar ria(e! /&r n a6ter t%e ,e*ree &6 ann-#$ent
c- Le'iimaed Ci%d ren REUISITES :OR LE3ITIMATION8 5. T%e *%i#, 7a! *&n*ei+e, an, /&rn &-t!i,e &6 7e,#&*1 8. T%e 0arent!) at t%e ti$e &6 *%i#,K! *&n*e0ti&n) 7ere n&t ,i!2-a#i6ie, / an i$0e,i$ent t& $arr ea*% &t%er =. T%ere i! a +a #i, $arria(e !-/!e2-ent t& t%e *%i#,K! /irt% • •
•
Le(iti$ati&n ta1e! 0#a*e / t%e !-/!e2-ent $arria(e &6 t%e *%i#,K! 0arent! E66e*t &6 #e(iti$ati&n: - C&n6er! &n t%e *%i#, t%e ri(%t! &6 #e(iti$ate *%i#,ren - Retr&a*t! t& t%e ti$e &6 t%e *%i#,K! /irt% Le(iti$ati&n $a /e i$0-(ne, &n# / t%&!e 7%& are 0re-,i*e, in t%eir ri(%t! 7it%in 4 ear! 6r&$ t%e ti$e t%e *a-!e &6 a*ti&n a**r-e! ?,eat% &6 0arent! &6 #e(iti$ate, *%i#,
(- ACTIONS RE3ARDIN3 :ILIATION a- T$ c%aim &i%iai$n i- Pr$$& $ & &i%iai$n PROO: O: :ILIATION 3enera% R!%e8 =Ar- 1?25 Par- 1; Fi#iati&n &6 #e(iti$ate &r i##e(iti$ate *%i#,ren i! e!ta/#i!%e, / an &6 t%e 6&##&7in(: 5. T%e re*&r, &6 /irt% a00earin( in t%e *i+i#
•
re(i!ter &r a 6ina# -,($ent #ust be prepared by the father% A *erti6i*ate &6 #i+e /irt% 0-r0&rte,#
Pa'e (+ $& )01
2. 2. 2.
•
i,enti6in( t%e 0-tati+e 6at%er i! n&t *&$0etent e+i,en*e &6 0aternit 7%en t%ere i! n& !%&7in( t%at t%e 0-tati+e 6at%er %a, a %an, in t%e 0re0arati&n &6 !ai, *erti6i*ate. T%e #&*a# *i+i# re(i!trar %a! n& a-t%&rit t& re*&r, t%e 0aternit &6 an i##e(iti$ate *%i#, &n t%e in6&r$ati&n &6 a t%ir, 0er!&n. Ca#aania .- CA5 K))1 SCRA 9+ =200); 1ecord of +irth merely prima facie e"idence% In +enite$<+adua "% 0A) it i! 7e## !ett#e, t%at a re*&r, &6 /irt% i! $ere# a 0ri$a 6a*ie e+i,en*e &6 t%e 6a*t! *&ntaine, t%erein. It i! n&t *&n*#-!i+e e+i,en*e &6 t%e tr-t%6-#ne!! &6 t%e !tate$ent! $a,e t%ere / t%e intere!te, 0artie!. 8. An a,$i!!i&n &6 #e(iti$ate &r i##e(iti$ate 6i#iati&n in a 0-/#i* ,&*-$ent &r a 0ri+ate %an,7ritten in!tr-$ent an, !i(ne, / t%e 0arent *&n*erne,
E6cei$n8 =Ar- 1?25 Par- 2; In t%e a/!en*e &6 t%e!e e+i,en*e!) t%e #e(iti$ate 6i#iati&n $a /e 0r&+e, /: 1. O0en an, *&ntin-&-! 0&!!e!!i&n &6 t%e !tat-! &6 a #e(iti$ate ?&r i##e(iti$ate *%i#, •
ini!ion. C&ntin-&-! ,&e! n&t $ean t%at t%e *&n*e!!i&n &6 !tat-! !%a## *&ntin-e 6&re+er /-t &n# t%at it !%a## n&t /e &6 an inter$ittent *%ara*ter 7%i#e it *&ntin-e!. T%e 0&!!e!!i&n &6 !-*% !tat-! $ean! t%at t%e 6at%er %a! treate, t%e *%i#, a! %i! &7n) ,ire*t# an, n&t t%r&-(% &t%er!) !0&ntane&-!# an, 7it%&-t *&n*ea#$ent t%&-(% 7it%&-t 0-/#i*it. Mend$Ja .- CA5
K3-R- N$- +(025 Se- 215 1991 •
Bo !o prov. T%ere $-!t /e e+i,en*e &6 t%e $ani6e!tati&n &6 t%e 0er$anent intenti&n &6 t%e !-00&!e, 6at%er t& *&n!i,er t%e *%i# , a! %i!) / *&ntin-&-! an, *#ear $ani6e!tati&n! &6 0arenta# a66e*ti&n an, *are) 7%i*% *ann&t /e attri/-te, t& 0-re *%arit. S-*% a*t! $-!t /e &6 !-*% a nat-re t%at t%e re+ea# n&t &n# t%e *&n+i*ti&n &6 0aternit) /-t a#!& t%e a00arent ,e!ire t& %a+e an, treat t%e *%i#, a! !-*% in a## re#ati&n! in !&*iet an, in #i6e) n&t a**i,enta##) /-t *&ntin-&-!#. is$n .- CA5
K3-R- N$- 12)*(5 :e#r!ar" 2)5 199
CIVIL LAW REVIEWER
An &t%er e+i,en*e a##&7e, / t%e R-#e! &6 C&-rt an, !0e*ia# #a7! •
T%e ,-e re*&(niti&n &6 an i##e(iti$ate *%i#, in a re*&r, &6 /irt%) a 7i##) a !tate$ent /e6&re a *&-rt &6 re*&r,) &r in an a-t%enti* 7ritin( i!) in it!e#6) a *&n!-$$ate, a*t &6 a*1n&7#e,(e$ent &6 t%e *%i#,) an, n& 6-rt%er *&-rt a*ti&n i! re2-ire,. In 6a*t) an a-t%enti* 7ritin( i! treate, n&t -!t a (r&-n, 6&r *&$0-#!&r re*&(niti&n" it i! in it!e#6 a +&#-ntar re*&(niti&n t%at ,&e! n&t re2-ire a !e0arate a*ti&n 6&r -,i*ia# a00r&+a#. Ecea .- Ecea5 K)2 SCRA 20) =200);
NOTE8 F&r i##e(iti$ate *%i#,ren: 7%en t%e a*ti&n i! /a!e, &n t%e 0ar. 8 &6 Art. 5>8) t%e a*ti&n $a /e /r&-(%t ON=> during the lifetime of the alleged parent
ii- Admissi#i%i" $& S cieni&ic E. idence REUISITES :OR CHILDREN B, ARTI:ICIAL INSEMINATION TO BE CONSIDERED LE3ITIMATE8 =Ar- 1+); 5. T%e arti6i*ia# in!e$inati&n $-!t $a,e &n t%e 7i6e" 8. T%e !0er$ &6 t%e %-!/an,) &r &6 a , &n&r) &r /&t% t%e %-!/an, an, a ,&n&r $-!t /e -!e," =. T%e arti6i*ia# in!e$inati&n %a! /een a-t%&rie, &r rati6ie, / /&t% !0&-!e! &n a 7ritten in!tr-$ent ee*-te, an, !i(ne, / t%e$ /e6&re t%e /irt% &6 t%e *%i#," AND @. T%e 7ritten in!tr-$ent i! re*&r,e, in *i+i# re(i!tr t&(et%er 7it% t%e /irt% *erti6i*ate &6 t%e *%i#,
#- T$ im!'n &i%iai$n WHO MA, IMPU3N THE LE3ITIMAC, O: A CHILD8 3enera% R!%e8 On# t%e %-!/an, *an i$0-(n t%e #e(iti$a* &6 a *%i#, E6cei$ns8 T%e %eir! &6 t%e %-!/an, $a i$0-(n t%e *%i#,K! 6i#iati&n in t%e 6&##&7in( *a!e!: a. I6 t%e %-!/an, ,ie! /e6&re t%e e0irati&n &6 0eri&, 6&r 6i#in( t%e a*ti&n /. I6 t%e %-!/an, ,ie! a6ter 6i#in( 7it%&-t ,e!i!tin( *. I6 t%e *% i#, 7a! /&r n a6ter t%e ,eat % &6 t%e %-!/an,
Pa'e (? $& )01
• L
3ROUNDS TO IMPU3N THE LE3ITIMAC, O: THE CHILD8 E?0=,/I@E =I/T* =PBA; 1. It 7a! %!i*a## i$0&!!i/#e 6&r t%e %-!/an, t& %a+e !e-a# inter*&-r!e 7it% %i! 7i6e 7it%in t%e 6ir!t 58 ,a! &6 t%e = ,a! 7%i*% i$$e,iate# 0re*e,e, t%e /irt% &6 t%e *%i#, /e*a-!e &6: a. P%!i*a# in*a0a*it &6 t%e %-!/an, t& %a+e !e-a# inter*&-r!e 7it% %i! 7i6e /. Fa*t t% at t% e %-!/an, an, 7i6e 7er e #i+in( !e0arate# in !-*% a 7a t%at !e-a# inter*&-r!e 7a! n&t 0&!!i/#e) &r *. Seri&-! i##ne!! &6 t%e %-!/an, 7%i*% a/!&#-te# 0re+ente, inter*&-r!e 2. I6 it ! 0r&+e, t%a t 6&r #i&#&(i*a# &r &t%er !*ienti6i* rea!&n!) t%e *%i#, *&-#, n&t %a+e /een t%at &6 t%e %-!/an,) except in t%e *a!e &6 *%i#,ren *&n*ei+e, t%r&-(% arti6i*ia# in!e$inati&n 3. In *a!e &6 *%i#,ren *&n*ei+e, t%r&-(% arti6i*ia# in!e$inati&n) 7%en t%e 7ritten a-t%&riati&n &r rati6i*ati&n &6 eit%er 0arent 7a! &/taine, t%r&-(% $i!ta1e) 6ra-,) +i&#en*e) inti$i,ati&n) &r -n,-e in6#-en*e PERIODS :OR :ILIN3 O: ACTION TO IMPU3N LE3ITIMAC,8 5. I6 t%e %-!/an, ?&r %i! %eir!) in 0r&0er *a!e! re!i,e! in t%e SAME *it &r $-ni*i0a#it: 7it%in 5 ear 6r&$ 1n&7#e,(e &6 t%e /irt% OR it! re*&r,in( in t%e *i+i# re(i!ter 8. I6 t%e %-!/an, ?&r %i! %eir! ,&e! NOT RESIDE in t%e *it &r $-ni*i0a#it 7%ere t%e *%i#,K! /irt% t&&1 0#a*e &r 7a! re*&r,e, BUT %i! re!i,en*e i! IN THE PHILS.: 7it%in 8 ear! =. I6 t%e *%i#,K! /irt% t&&1 0#a*e &r 7a! re*&r,e, in t%e PHILS. 7%i#e t%e %-!/an, %a! %i! re!i ,en*e ABROAD) &r "ice<"ersa: 7it%in = ear! NOTE8 • T%e 0eri&, !%a## /e *&-nte, 6r&$ t%e 1n&7#e,(e &6 t%e *%i#,K! /irt% &r it! re*&r,in( in t%e *i+i# re(i!ter. HOWEVER) i6 t%e *%i#,K! /irt% 7a! *&n*ea#e, 6r&$ &r 7a! -n1n&7n t& t%e %-!/an, &r %i! %eir!) t%e 0eri&, !%a## /e *&-nte, 6r&$ t%e ,i!*&+er &r 1n&7#e,(e &6 t%e /irt% &6 t%e *%i#, &r &6 t%e a*t &6 re(i!trati&n &6 !ai, /irt%) 7%i*%e+er i! ear#ier.
CIVIL LAW REVIEWER
e(iti$a* CANNOT /e *&##atera## atta*1e, &r i$0-(ne,. It *an /e i$0-(ne, &n# in a ,ire*t !-it 0re*i!e# 6i#e, 6&r t%e 0-r0&!e &6 a!!ai#in( t%e #e(iti$a* &6 t%e *%i#,.
RULE ON STATUS O: A CHILD BORN $/:B/ 300 AF A:TER TERMINATION O: :ORMER MARRIA3E =Ar- 1+;8 R-#e! in t%e a/!en*e &6 0r&&6 t& t%e *&ntrar: 5. I6 t%e *%i#, 7a! /&rn /e6&re 59 ,a! a6ter *e#e/rati&n &6 8 n, $arria(e 0r&+i,e, /&rn 7it%in = ,a! a6ter t%e ter$inati&n &6 t%e 5!t $arria(e: *&n!i,ere, t& %a+e /een *&n*ei+e, ,-rin( t%e &irs marria'e8. I6 t%e *%i#, 7a! /&rn a6ter 59 ,a! 6&##&7in( t%e *e#e/rati&n &6 t%e 8 n, $arria(e 7%et%er /&rn 7it%in = ,a! a6ter ter$inati&n &6 5 !t $arria(e &r a6ter7ar,!: *&n!i,ere, t& %a+e /een *&n*ei+e, ,-rin( t%e sec$nd marria'e-
ACTION TO CLAIM LE3ITIMAC,8 5. T%e *%i#, *an /ri n( t%e a*ti&n ,-rin( %i! #i6eti$e 8. I6 t%e *%i#, ,ie! a6ter rea*%in( $a&rit 7it%&-t 6i#in( an a*ti&n) %i! %eir! *an n& #&n(er 6i#e t%e a*ti&n a6ter ,eat% =. I6 t%e *%i#, ,ie! ,-rin( $in&rit &r in t%e !tate &6 in!anit) %i! %eir! *an 6i#e t%e a*ti&n 6&r %i$ 7it%in 4 ear! 6r&$ t%e *%i#,K! ,eat% @. I6 t%e *%i#, ,ie! a6ter *&$$en*in( t%e a*ti&n) t%e a*ti&n 7i## !-r+i+e an, %i! %eir! 7i## !-/!tit-te 6&r %i$ 4. I6 t% e *%i#, i! a $in&r) in* a0a*itate, &r in!ane) %i! (-ar,ian *an /rin( t%e a*ti&n in %i! /e%a#6
)- RI3HTS O: LE3ITIMATELE3ITIMATEDILLE3ITIMATE CHILDREN RI3HTS O: LE3ITIMATE AND ILLE3ITIMATE CHILDREN LE3ITIMAT BASIS ILLE3ITIMATE E /urname U!e &6 U!e &6 $&t%erK! 6at%er an, !-rna$e $&t%erK! NOTE8 R-A- 92** !-rna$e a$en,e, Art. 5> &6 FC a! &6 Mar*% 5) 8@ *an
Pa'e ( $& )01
-!e 6at%erK! !-rna$e
=egitime
/upport
Action for claim for legitimacy or illegitimacy
Entit#e, t& #e(iti$e an, &t%er !-**e!!i&na# ri(%t! (rante, t& t%e$ / t%e NCC Entit#e, t& re*ei+e !-00&rt 6r&$ 0arent!) a!*en,ant!) an, in 0r&0er *a!e!) /r&t%er! an, !i!ter! -n,er Art. 5>@ Hi!%er 7%&#e #i6eti$e re(ar,#e!! &6 t0e &6 0r&&6 0r&+i,e, -n,er 5>8 Art.
Transmissi ble to heirs under Art%'7.
1ight to inherit ab intesto
Entit#e, &n# t& &6 #e(iti$e &6 #e(iti$ate *%i#,
=. Fat%erK! a,$i!!i&n in 0ri+ate %an,7ritten ,&*-$ent =R-A- 92**5 Sec- 15 e&&eci.e Marc 195 200); NOTE8 T%e 6at%er -n,er R.A. 844) Se*. 5 %a! t%e ri(%t t& 6i#e an a*ti&n t& 0r&+e n&n 6i#iati&n ,-rin( %i! #i6eti$e.
777777777777777777777777777 777777777777777777
TOPICS UNDER S,LLABUS
Re*ei+e !-00&rt a**&r,in( t& t%e 0r&+i!i&n &6 t%e FC
• Hi!%er 7%&#e #i6eti$e re(ar,#e!! &6 t0e &6 0r&&6 0r&+i,e, -n,er Art.5>8 0ar. 5 • ONLY #i6eti$e &6 a##e(e, 0arent 6&r Art. 5>8 0ar. 8
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N& ri(%t t& in%erit ab intesto 6r&$ #e(iti$ate *%i#,ren an, re#ati+e &6 6at%er an, $&t%er -n,er Art. 8 NCC
NOTE8 • U!e t%e !-rna$e &6 t%e $&t%er i6 t%e re2-i!ite! &6 R.A. 844 are n&t *&$0#ie, 7it% • U!e t%e !-rna$e &6 t%e 6at%er i6 t%e *%i#,K! 6i#iati&n %a!eit%er /eent%r&-(%: e0re!!# re*&(nie, / t%e 6at%er) 5. Re*&r, &6 /irt% in *i+i# re(i!ter 8. Fat%erK! a,$i!!i&n in 0-/#i* ,&*-$ent
CIVIL LAW REVIEWER
L- ADOPTION =Ars 1(>19(5 :C; • Iner>c$!nr" Ad$i$n La/ • D$mesic Ad$i$n La/ 1- C$nsr!ci$n 2- !a%i&icai$ns and Dis@!a%i&icai$ns $& Ad$er (- !a%i&icai$ns and Dis@!a%i&icai$ns $& Ad$ed )- Ri's 3raned #" Ad$i$n *- R!%es $n S!ccessi$n +- Rescissi$n $& Ad$i$n 777777777777777777777777 777777777777777777 R-A- 0)(8 INTER>COUNTR, ADOPTION ACT O: 199* 1- CONSTRUCTION INTER>COUNTR, ADOPTION i! t%e !&*i& #e(a# 0r&*e!! &6 a,&0tin( a Fi#i0in& *%i#, / a 6&rei(ner &r a Fi#i0in& *itien 0er$anent# re!i,in( a/r&a, 7%ere t%e 0etiti&n i! 6i#e,) t%e !-0er+i!e, tria# *-!t&, i! -n,erta1en) an, t%e ,e*ree &6 a,&0ti&n i! i!!-e, &-t!i,e t%e P%i#i00ine!. 2UALI:ICATIONS DISUALI:ICATIONS O: ADOPTER
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An a#ien &r a Fi#i0in& *itien 0er$anent# re!i,in( a/r&a, $a 6i#e an a00#i*ati&n 6&r inter*&-ntr a,&0ti&n &6 a Fi#i0in& *%i#, i6: 5. At #ea!t 8> ea r! &6 a( e an, at #e a!t 5 ear! &#,er t%an t%e *%i#, t& /e a,&0te,) at t%e ti$e &6 a00#i*ati&n -n#e!! t%e a,&0ter i! t%e 0arent / nat-re &6 t%e *%i#, t& /e a,&0te, &r t%e !0&-!e &6 !-*% 0arent 8. I6 $arr ie,) %i!%er !0&-!e $-!t &i nt# 6i#e 6&r t%e a,&0ti&n
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Ha! t%e *a0a*it t& a*t an, a!!-$e a## ri(%t! an, re!0&n!i/i#itie! &6 0arenta# a-t%&rit -n,er %i! nati&na# #a7!) an, %a! -n,er(&ne t%e a00r&0riate *&-n!e#in( 6r&$ an a**re,ite, *&-n!e#&r in %i!%er *&-ntr @. Ha! n&t /een *&n+i*te, &6 a *ri $e in+&#+in( $&ra# t-r0it-,e 4. E#i(i/#e t& a,&0t -n,er %i!%er nati&na# #a7 . In a 0&!iti&n t& 0r&+i,e t%e 0r&0er *are an, !-00&rt an, t& (i+e t%e ne*e!!ar $&ra# +a#-e! an, ea$0#e t& a## %i! *%i#,ren)
1- CONSTRUCTION
in*#-,in( t%e *%i#, t& /e a,&0te, >. A(ree! t& -0%&#, t%e /a! i* ri( %t! &6 t% e *%i#, a! e$/&,ie, -n,er P%i#i00ine #a7!) t%e U.N. C&n+enti&n &n t%e Ri(%t! &6 t%e C%i#,) an, t& a/i,e / t%e r-#e! an, re(-#ati&n! i!!-e, t& i$0#e$ent t%e 0r&+i!i&n! &6 t%i! A*t 9. C&$e! 6r&$ a *&-ntr 7it% 7%&$ t%e P%i#i00ine! %a! ,i0#&$ati* re#ati&n! an, 7%&!e (&+ern$ent $aintain! a !i$i#ar# a-t%&rie, an, a**re,ite, a(en* an, t%at a,&0ti&n i! a##&7e, -n,er %i!%er nati&na# #a7! . P&!!e!!e! a## t%e 2-a #i6i*ati&n! an, n& ne &6 t%e ,i!2-a#i6i*ati&n! 0r&+i,e, %erein an, in &t%er a00#i*a/#e P%i#i00ine #a7!
,. Ha! n&t /een *&n+i*te, &6 an *ri$e in+&#+in( $&ra# t-r0it-,e e. E$&ti&na## an, 0!*%&#&(i*a## *a0a/#e &6 *arin( 6&r *%i#,ren) 6. At #ea!t 5 ear! &#,er t%an t%e 0er!&n t& /e a,&0te,) -n#e!!: i. T%e a,&0ter i! t%e nat-ra# 0arent &6 t%e *%i#, t& /e a,&0te,) &r ii. T%e a,&0ter i! t%e !0&-!e &6 t%e #e(iti$ate 0arent &6 t%e 0er!&n t& /e a,&0te, (. In a 0&!iti&n t& !-00&rt an, *are 6&r %i! #e(iti$ate an, i##e(iti$ate *%i#,ren) in 1ee0in( 7it% t%e $ean! &6 t%e 6a$i# )% A?/E a. P&!!e!!in( t%e !a$e 2-a#i6i*ati&n! a! a/&+e !tate, 6&r Fi#i0in& nati&na#! /. Hi!%er *&-ntr %a! ,i0#&$ati*
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2UALI:ICATIONS DISUALI:ICATIONS O: ADOPTER
WHO MA, ADOPT8 '%
WHO MA, BE ADOPTED8 On# a #e(a## 6ree *%i#, $a /e t%e !-/e*t &6 inter*&-ntr a,&0ti&n
re#ati&n! 7it% t%e P%i#i00ine! He!%e %a! /een #i+in( in t%e P%i#i00ine! 6&r at #ea!t = *&ntin-&-! ear! 0ri&r t& t%e 6i#in( &6 t%e a00#i*ati&n 6&r a,&0ti&n an, $aintain! !-*% re!i,en*e -nti# t%e a,&0ti&n ,e*ree i! entere,) ECEPT in t%e *a!e &6: i. A 6&r$er Fi#i0in& *itien 7%& !ee1! t& a,&0t a re#ati+e 7it%in t%e @ t% ,e(ree &6 *&n!an(-init &r a66init" &r ii. One 7%& !ee1! t& a,&0t t%e #e(iti$ate *%i#, &6 %i!%er Fi#i0in& !0&-!e" &r iii. One 7%& i! $arrie, t& a Fi#i0in& *itien an, !ee1! t& a,&0t &int# 7it% %i!%er !0&-!e a re#ati+e 7it%in t%e @ t% ,e(ree &6 *&n!an(-init &r a66init &6 t%e
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LE3ALL,>:REE CHILD > i! a *%i#, 7%& %a! /een +&#-ntari# &r in+&#-ntari# *&$$itte, t& t%e De0art$ent) in a**&r,an*e 7it% t%e C%i#, an, Y&-t% ;e#6are C&,e •
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N& *%i#, !%a## /e $at*%e, t& a 6&rei(n a,&0ti+e 6a$i# -n#e!! it i! !ati!6a*t&ri# !%&7n t%at t%e *%i#, *ann&t /e a,&0te, #&*a## Bualified children: Se*ti&n 84) Arti*#e 9 &6 t%e R-#e! an, Re(-#ati&n! 0r&+i,e: an *%i#, 7%& %a! /een +&#-ntari# &r in+&#-ntari# *&$$itte, t& t%e De0art$ent a! ,e0en,ent) a/an,&ne,) &r ne(#e*te, 0-r!-ant t& t%e 0r&+i!i&n! &6 t%e C%i#, an, Y&-t% ;e#6are C&,e $a /e t%e !-/e*t &6 InterC&-ntr A,&0ti&n
R-A- **28 DOMESTIC ADOPTION ACT
CIVIL LAW REVIEWER
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Fi#i0in& !0&-!e" &r GAR/A 7it% re!0e*t t& t%e 7ar, a6ter t%e ter$inati&n &6 t%e (-ar,ian!%i0
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RULE ON ADOPTION B, SPOUSES 3enera% R!%e8 H-!/an, an, 7i6e !%a## &int# a,&0t E6cei$ns8 1. One !0&-!e !ee1! t& a,&0t t%e #e(iti$ate !&n,a-(%ter &6 t%e &t%er" &r 2. One !0&-!e !ee1! t& a,&0t %i!%er &7n i##e(iti$ate !&n,a-(%ter 3. T%e !0&-!e! are #e(a## !e0arate, 6r&$ ea*% &t%er.
(UALI:ICATIONS DISUALI:ICATIONS O: ADOPTED
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WHO MA, BE ADOPTED8 5. An 0er!&n /e#&7 59 ear! &6 a(e 7%& %a! /een a,$ini!trati+e# &r -,i*ia## ,e*#are, a+ai#a/#e 6&r a,&0ti&n" 8. Le(iti$ate !&n,a-(%ter &6 &ne !0&-!e / t%e &t%er !0&-!e" =. I##e(iti$ate !&n,a-(%ter / a 2-a#i6ie, a,&0ter t& i$0r&+e %i!%er !tat-! t& t%at &6 #e(iti$a*" @. Per!&n &6 #e(a# a(e i6) 0ri&r t& t%e a, &0ti&n) !ai, 0er!&n %a! /een *&n!i!tent# *&n!i,ere, an, treate, / t%e a,&0ter a! %i!%er &7n *%i#, !in*e $in&rit" 4. C%i#, 7%&!e a,&0ti&n %a! /een 0re+ i&-!# re!*in,e," &r . C%i#, 7%&!e /i&#&(i*a# &r a,&0 ti+e 0arent! %a+e ,ie, 0r&+i,e, t%at n& 0r&*ee,in(! !%a## /e initiate, 7it%in $&nt%! 6r&$ t%e ti$e &6 ,eat% &6 !ai, 0arent!.
E::ECTIVIT, O: DECREE O: ADOPTION A ,e*ree &6 a,&0ti&n i! e66e*ti+e a! &6 t%e ,ate t%e &ri(ina# 0etiti&n 7a! 6i#e,. T%i! a#!& a00#ie! in *a!e t%e 0etiti&ner ,ie! /e6&re t%e i!!-an*e &6 t%e ,e*ree &6 a,&0ti&n • ;%ere t%e 0etiti&n 6&r a,&0ti&n 7a! (rante, a6ter t%e *%i#, 1i##e, a (ir#) n& retr&a*ti+e e66e*t $a /e (i+en t& t%e ,e*ree &6 a,&0ti&n !& a! t& i$0&!e a #ia/i#it -0&n t%e a,&0tin( 0arent! a**r-in( at a ti$e 7%en t%e a,&0tin( 0arent! %a, n& a*t-a# &r 0%!i*a## *-!t&, &+er t%e a,&0te, *%i#,. Retr&a*ti+e e66e*t $a 0er%a0! /e (i+en 7%ere !-*% i! e!!entia# t& 0er$it t%e a**r-a# &6 !&$e /ene6it &r a,+anta(e in 6a+&r &6 t%e a,&0te, *%i#,. T& %&#, t%at 0arenta# a-t%&rit %a, /een retr&a*ti+e# #&,(e, in t%e a,&0tin( 0arent! !& a! t& /-r,en t%e$ 7it% #ia/i#it 6&r a t&rt-&-! a*t t%at t%e *&-#, n&t %a+e 6&re!een n&r 0re+ente, 7&-#, /e -n6air an, -n*&n!*i&na/#e. Tamar'$ .- CA5 K3-RN$- *0))5 !ne (5 1992
RI3HTS 3RANTED B, ADOPTION E::ECTS O: ADOPTION8 5. Se+eran*e &6 a## #e(a# tie! /et7een t%e /i&#&(i*a# 0arent! an, t%e a,&0tee an, t%e !a$e !%a## t%en /e +e!te, &n t%e a,&0ter! ECEPT in *a!e! 7%ere t%e /i&#&(i*a# 0arent i! t%e !0&-!e &6 t%e a,&0ter 8. Dee$e, a #e(iti$ate *%i#, &6 t%e a,&0ter =. A*2-ire, re*i0r&*a# ri(%t! an, &/#i(ati&n! ari!in( 6r&$ 0arent*%i#, re#ati&n!%i0 @. Ri(%t t& -!e !-rna$e &6 t%e a,&0ter
4. RULES ON SUCCESSION WRITTEN CONSENT NECESSAR, :OR ADOPTION8 =A>BLISS>A; 5. A,&0tee) i6 5 ear! &6 a(e &r &+er" 8. B i&#&(i*a# 0arent! &6 t%e *%i#,) i6 1n&7n) &r t%e #e(a# (-ar,ian) &r t%e 0r&0er (&+ern$ent in!tr-$enta#it 7%i*% %a! #e(a# *-!t&, &6 t%e *%i#, =. L e(iti$ate *%i#,ren &6 t%e a,&0ter) 5 ear! &#, &r &+er @. I##e(iti$ate *%i#,ren &6 t%e a,&0ter) 5 ear! &#, &r &+er an, #i+in( 7it% %i$ 4. S0&-!e &6 t%e a,&0te,) i6 $arrie, . S0&-!e &6 t%e a,&0ter) i6 $arrie, >. A,&0te, *%i#,ren &6 t%e a,&0ter) 5 ear! &#, &r &+er
CIVIL LAW REVIEWER
In #e(a# an, inte!tate !-**e!!i&n) t%e a,&0ter! an, t%e a,&0tee !%a## %a+e re*i0r&*a# ri(%t! &6 !-**e!!i&n 7it%&-t ,i!tin*ti&n 6r&$ #e(iti$ate 6i#iati&n. H&7e+er) i6 t%e a,&0tee an, %i!%er /i&#&(i*a# 0arent! %a, #e6t a 7i##) t%e #a7 &n te!ta$entar !-**e!!i&n !%a## (&+ern.
. RECISSION O: ADOPTION 3ROUNDS :OR RECISSION O: ADOPTION8 =MASA; 5. Re0eate, 0%!i*a# an, +er/a# m a#treat$ent / t%e a,&0ter! ,e!0ite %a+in( -n,er(&ne *&-n!e#in( 8. Atte$0t &n t%e #i6e &6 t%e a,&0tee
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Se-a# a!!a-#t &r +i&#en*e @. A/an,&n$ent an, 6ai#-re t& *&$0# 7it% 0arenta# &/#i(ati&n!. A,&0ti&n) /ein( in t%e /e!t intere!t &6 t%e *%i#,) !%a## n&t /e !-/e*t t& re!*i!!i&n / t%e a,&0ter On# t%e a,&0tee i! (i+en t%e ri(%t t& re!*in, t%e ,e*ree &6 a,&0ti&n H&7e+er) t%e a,&0ter! $a ,i!in%erit t%e a,&0tee 6&r *a-!e! 0r&+i,e, in Art. 5 NCC E::ECTS O: THE RESCISSION O: THE ADOPTION8 5. T%e 0arenta# a-t%&rit &6 t%e a,&0tee! /i&#&(i*a# 0arent!) i6 1n&7n) OR t%e #e(a# *-!t&, &6 t%e DS;D !%a## /e re!t&re, i6 t%e a,&0tee i! !ti## a $in&r &r in*a0a*itate,. 8. T%e re*i0r&*a# ri(%t! an, &/ #i(ati&n! &6 t%e a,&0ter! an, t%e a,&0tee t& ea*% &t%er !%a## /e etin(-i!%e,. =. T%e *&-rt !%a## &r,er t%e Ci+i# Re(i!trar t& *an*e# t%e a$en,e, *erti6i*ate &6 /irt% &6 t%e a,&0tee an, re!t&re %i!%er &ri(ina# /irt% *erti6i*ate. @. S-**e!!i&n ri(%t! !%a## re+ert t& it! !tat-! 0ri&r t& a,&0ti&n) /-t &n# a! &6 t%e ,ate &6 -,($ent &6 -,i*ia# re!*i!!i&n. Ve!te, ri(%t! a*2-ire, 0ri&r t& -,i*ia# re!*i!!i&n !%a## /e re!0e*te,.
TOPICS UNDER S,LLABUS M- SUPPORT =Ars 19)>20; 1- Wa c$nsi!es s!$r 2- Pers$ns O#%i'ed $ S!$r eac $er a- S$!ses #- Ascendans and Descendans c- Parens and Le'iimae and I%%e'iimae Ci%drenDescendans d- Le'iimaeI%%e'iimae Br$ers and Sisers 2- C$nrac!a% S!$r (- Basis $& S!$r )- Oi$ns $& 3i.er 777777777777777777777777 777777777777777777 1- WHAT CONSTITUTES SUPPORT
CIVIL LAW REVIEWER
SUPPORT *&n!i!t! &6 e+ert%in( in,i!0en!a/#e 6&r: 5. S-!tenan*e 8. D7e##in( =. C#&t%in( @. Me,i*a# atten,an*e 4. E,-*ati&n in*#-,e! !*%&&#in( ?6&r$a# e,-*ati&n &r trainin( ?n&n6&r$a# e,-*ati&n 6&r !&$e 0r&6e!!i&n) tra,e &r +&*ati&n) e+en /e&n, t%e a(e &6 $a&rit . Tran!0&rtati&n in*#-,e! e0en!e! (&in( t& an, 6r&$ !*%&&#) &r t& an, 6r&$ 0#a*e &6 7&r1 =ar- 19); •
Ma1e! n& ,i!tin*ti&n /et7een nat-ra# !-00&rt ?/a!i* ne*e!!itie! an, *i+i# !-00&rt ?t%&!e /e&n, t%e /a!i*!
NOTE8 A$&-nt &6 !-00&rt !%a## /e in 0r&0&rti&n t& t%e $ean! &6 t%e (i+er an, t& t%e nee, &6 t%e re*i0ient
2- PERSONS OBLI3ED TO SUPPORT EACH OTHER Pers$ns O#%i'ed T$ S!$r Eac Oer T$ Te W$%e E6en8 =Ar- 19*;
a- S$!ses #- Ascendans and Descendans c- Parens and Le'iimaeI%%e'iimae Ci%drenDescendans d- Le'iimaeI%%e'iimae Br$ers and Sisers RULES RE3ARDIN3 SUPPORT TO ILLE3ITIMATE BROTHERS AND SISTERS =WHETHER :ULL OR HAL: BLOOD;8 5. I6 t%e &ne a!1in( 6&r !-00&rt i! /e#&7 $a&rit a(e) %e i! entit#e, t& !-00&rt 6r&$ %i! i##e(iti$ate /r&t%er &r !i!ter t& t%e 6-## etent) 7it%&-t an *&n,iti&n 8. I6 t%e &ne a!1 in( 6&r !-0 0&rt i! a#r ea, &6 $a&rit a(e) %e i! entit#e, t& !-00&rt &n# i6 %i! nee, 6&r !-00&rt i! n&t ,-e t& a *a-!e i$0-ta/#e t& %i! 6a-#t &r ne(#i(en*e ? Ar19+
PROPERTIES ARE LIABLE :OR THE SUPPORT O: THAT THE RELATIVES =SOURCES O: MUTUAL SUPPORT; S0&-!e!
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A/!&#-te *&$$-nit &6 *&n-(a# 0artner!%i0 C&$$&n *%i#,ren &6 t%e !0&-!e! C%i#,ren &6 a !0&-!e / an&t%er $arria(e
I##e(iti$ate *%i#,ren &6 eit%er !0&-!e
Le(iti$ate a!*en,ant!) &t%er #e(iti$ate an, i##e(iti$ate ,e!*en,ant!) an, #e(iti$ate an, i##e(iti$ate /r&t%er! an, !i!ter!
A/!&#-te *&$$-nit &r *&n-(a# 0r&0ert A/!&#-te *&$$-nit &r *&n-(a# 0r&0ert Un,er ACP) !e0arate 0r&0ert &6 0arent !0&-!e. B-ta/!&#-te i6 in!-66i*ient) *&$$-nit #ia/#e /-t *&n!i,ere, a! a,+an*e! &n t%e !%are &6 t%e 0arent t& /e 0ai, ,-rin( #i2-i,ati&n Un,er CPG) !e0arate 0r&0ert &6 0arent !0&-!e. B-t i6 in!-66i*ient) *&n-(a# 0artner!%i0 #ia/#e i6 6inan*ia## *a0a/#e) /-t !-00&rt 0ai, !%a## /e ,e,-*te, 6r&$ !%are &6 !0&-!e ,-rin( #i2-i,ati&n Se0arate 0r&0ert &6 t%e &/#i(&r!0&-!e i6 t%e !a$e i! n&t !-66i*ient &r t%ere i! n&ne) t%e a/!&#-te *&$$-nit &r *&n-(a# 0r&0ert !%a## /e #ia/#e i6 6inan*ia## *a0a/#e) 7%i*% !-00&rt !%a## /e ,e,-*te, 6r&$ t%e !%are &6 t%e !0&-!e -0&n #i2-i,ati&n &6 t%e ACP &r CPG
2- CONTRACTUAL SUPPORT (- BASIS O: SUPPORT LE3AC, O: SUPPORT Ba!e, &n #a7
Ee$0t 6r&$ ee*-ti&n an, atta*%$ent
N&t ee$0t 6r&$ atta*%$ent an, ee*-ti&n /e*a-!e it i! n&t a #e(a# &/#i(ati&n Excp!ion: I6 t%e (i+er *&ntra*t! 7it% a 0er!&n 7%&$ %e i! &/#i(e, / #a7 t& !-00&rt) in 7%i*% *a!e &n# t%e e*e!! &6 7%at i! &/#i(e, ?/a!e,
I6 *&ntaine, in a 7i##) a00# t%e r-#e! &6 *&ntra*t-a# !-00&rt /e*a-!e t%ere i! n& $&re &/#i(ati&n &6 !-00&rt t& !0ea1 &6 !in*e t%e (i+er i! a#rea, ,ea,
•
&n nee, *an /e atta*%e, &r !-/e*t t& ee*-ti&n F&##&7 r-#e! &6 *&ntra*t! 7%i*% !a! t%at &/#i(ati&n $-!t /e 6-#6i##e, ?!-00&rt $-!t /e (i+en n& $atter 7%at %a00en! ?e+en i6 &- #&!e &-r &/. BUT i6 t%e *%an(e in *ir*-$!tan*e! are $ani6e!t# /e&n, t%at *&nte$0#ati&n &6 t%e 0artie!) !-00&rt $a /e a,-!te, a**&r,in(#
J-,($ent &6 !-00&rt i! a%/a"s r$.isi$na% in *%ara*ter. Re! J-,i*ata ,&e! n&t a00#. Lam .- C!a5 K)2+ SCRA 29 =200);
)- OPTIONS O: 3IVER Oi$ns O& Te Pers$n 3i.in' S!$r8 5. T& (i+e a 6ie, $&nt%# a##&7an*e" &r 8. T& re*ei+e an, $ai ntain t%e re*i0ient in t%e (i+er! %&$e &r 6a$i# ,7e##in( ?Art. 8@ E6cei$n $ 28 Ei!ten*e &6 #e(a# &r $&ra# &/!ta*#e ORDER O: LIABILIT, I: 2 OR MORE ARE OBLI3ED TO SUPPORT8 1. S0&-!e 2. De!*en,ant! in neare!t ,e(ree 3. A!*en,ant! in neare!t ,e(ree 4. Br&t%er! an, !i!ter! ?Ar- 199
CONTRACTUAL
;%en t%e &/#i(ati&n t& (i+e !-00&rt 6a##!
SUPPORT Ba!e, &n *&ntra*t) !& it *an /e /et7een !tran(er!
-0&n t7& &r $&re t%e 0a$ent t%e !a$e !%a## /e 0er!&n!) ,i+i,e, /et7een t%e$&6in 0r&0&rti&n t& t%e re!&-r*e! &6 ea*%.
CIVIL LAW REVIEWER
Pa'e )( $& )01
H&7e+er) in *a!e &6 -r(ent nee, an, / !0e*ia# *ir*-$!tan*e!) t%e -,(e $a &r,er &n# &ne &6 t%e$ t& 6-rni!% t%e !-00&rt 0r&+i!i&na##) 7it%&-t 0re-,i*e t& %i! ri(%t t& *#ai$ 6r&$ t%e &t%er &/#i(&r! t%e !%are ,-e 6r&$ t%e$. ;%en t7& &r $&re re*i0ient! at t%e !a$e ti$e *#ai$ !-00&rt 6r&$ &ne an, t%e !a$e 0er!&n #e(a## &/#i(e, t& (i+e it) an, t%e &/#i(&r ,&e! n&t %a+e !-66i*ient $ean! t& !ati!6 a## *#ai$!: - T%e &r,er e!ta/#i!%e, in t%e 0re*e,in( arti*#e !%a## /e 6&##&7e,: a. S0&-!e /. De!*en,ant! in neare!t ,e(ree *. A!*en,ant! in neare!t ,e(ree ,. Br&t%er! an, !i!ter! ? Ar- 200 I6 t%e *&n*-rrent &/#i(ee! !%&-#, /e t%e !0&-!e an, a *%i#, !-/e*t t& 0arenta# a-t%&rit) t%e *%i#, !%a## /e 0re6erre,
SOURCES O: SUPPORT DURIN3 PENDIN3 A:TER THE LITI3ATION LITI3ATION MARRIA3E SPOUSES Fr&$ t%e *&$$-nit 0r&0ert a!!et! e*e0t i6 Art. 8= a00#ie!) i.e. i6 t%e *#ai$ant !0&-!e i! t%e (-i#t !0&-!e) N& &/#i(ati&n t& %e!%e 7i## n&t !-00&rt e*e0t i6 /e entit#e, t& t%ere i! #e(a# !-00&rt. rom the !e0arati&n) in communit 7%i*% *a!e t%e I6 t%e !0&-!e! y property *&-rt $a are -n,er CPG) re2-ire t%e (-i#t !-00&rt i! !0&-!e t& (i+e *&n!i,ere, an !-00&rt a,+an*e &6 !-*% !0&-!e! !%are" t%e r-#e ,&e! n&t a00# i6 t%e !0&-!e! are -n,er ACP) /a!e, &n Art 54=
CIVIL LAW REVIEWER
CHILDREN rom the communit y property
Fr&$ t%e *&$$-nit 0r&0ert
Fr&$ t%e !e0arate 0r&0ert &6 t%e !0&-!e!
7777777777777777777777777777 77777777777777777
TOPICS UNDER S,LLABUS N-1-Parena% A!$ri" C$nem 2- O.er Pers$n (- O.er Pr$er" )- S!#si!e and Secia% Parena% A!$ri" *- S!sensi$nTerminai$n $& Parena% A!$ri" +- Lia#i%i" $& Parens &$r Acs $& Ci%dren 777777777777777777777777 777777777777777777 1- CONTEMPT PARENTAL AUTHORIT, = ;A:R/A ;4:E:A; >i! t%e $a!! &6 ri(%t! an, &/#i(ati&n! 7%i*% 0arent! %a+e in re#ati&n t& t%e an, 0r&0ert -nti# t%eir0er!&n e$an*i0ati&n) an,&6 t%eir e+en *%i#,ren a6ter) -n,er *ertain *ir*-$!tan*e!.
Caracerisics O& Parena% A!$ri"8 1. It i! a nat-ra# ri(%t an, ,-t &6 t%e 0arent! ?Ar- 209 2. It *ann&t /e ren&-n*e,) tran!6erre, &r 7ai+e,) e*e0t in *a!e! a-t%&rie, / #a7 ?Ar- 210 3. It i! &int# eer*i!e, / t%e 6at%er an, t%e $&t%er ?Ar- 211 4. It i! 0-re# 0er!&na# an, *ann&t /e eer*i!e, t%r&-(% a(ent! 5. It i! te$0&rar
2- OVER PERSON RULES AS TO THE EFERCISE O: PARENTAL AUTHORIT,8 5. T%e 6at%er an, t%e $&t%er !%a## &int# eer*i!e 0arenta# a-t%&rit &+er t%e 0er!&n! &6 t%eir *&$$&n *%i#,ren. In *a!e &6
Pa'e )) $& )01
,i!a(ree$ent) t%e 6at%er! ,e*i!i&n !%a## 0re+ai#) -n#e!! t%ere i! a -,i*ia# &r,er t& t%e *&ntrar ?Ar- 211 8. I6 t%e *%i#, i! i##e(iti$ate) 0arenta# a-t%&rit i! 7it% t%e $&t%er.
WHO EFERCISES PARENTAL AUTHORIT, Absence of either Parent 0re!ent parent !eath of either S-r+i+in( 0arent parent 1emarriag e of S-r+i+in( 0arent) -n#e!! t%e *&-rt sur"i"ing a00&int! a (-ar,ian parent Parent ,e!i(nate, / t%e *&-rt) ta1in( int& a**&-nt a## re#e+ant *&n!i,erati&n!) e!0e*ia## t%e *%&i*e &6 t%e *%i#, &+er > ear! &#,) -n#e!! t%e 0arent *%&!en i! -n6it GR# A *%i#, -n,er > ear! &6 a(e !%a## n&t /e !e0arate, 6r&$ t%e $&t%er UNLESS t%e *&-rt /eparation 6in,! *&$0e##in( rea!&n! t& of parents &r,er &t%er7i!e ?TENDER Ar!. 213* YEARS DOCTRINE Para$&-nt *&n!i,erati&n in $atter! &6 *-!t&, &6 a *%i#, i! t%e 7e#6are an, 7e##/ein( &6 t%e *%i#, T$n$' .- C$!r $& Aea%s5 K3-R- N$- 12290+5 :e#r!ar" ?5 2002 •
•
In *a!e &6 ,eat%) a/!en*e &r -n!-ita/i#it &6 /&t% 0arent!) t%e !-r+i+in( (ran,0arent !%a## eer*i!e !-/!tit-te 0arenta# a-t%&rit ?Ar- 21) N& ,e!*en,ant !%a## /e *&$0e##e,) in *ri$ina# *a!e!) t& te!ti6 a(ain!t %i! 0arent! &r (ran,0arent!) e*e0t 7%en !-*% te!ti$&n i! in,i!0en!a/#e in a *ri$e a(ain!t t%e ,e6en,ant &r / &ne 0arent a(ain!t t%e &t%er. ?Ar 21*
(- OVER PROPERT, E&&ec O& Parena% A!$ri" U$n Te Pr$er" O& Te 1. T%e 6at%er an,Ci%d8 $&t%er !%a## &int# eer*i!e #e(a# (-ar,ian!%i0 &+er t%e 0r&0ert &6 t%e
CIVIL LAW REVIEWER
2.
3.
$in&r *&$$&n *%i#, 7it%&-t *&-rt a00&int$ent In *a!e &6 ,i!a(ree$ent) t%e 6at%erK! ,e*i!i&n !%a## 0re+ai#) -n#e!! t%ere i! -,i*ia# &r,er t& t%e *&ntrar I6 t%e $ar1et +a#-e &6 t%e 0r&0ert &r t%e ann-a# in*&$e &6 t%e *%i#, e*ee,! P4)) t%e 0arent i! re2-ire, t& 6-rni!% a /&n, &6 n&t #e!! t%an 5 &6 t%e +a#-e &6 t%e *%i#,K! 0r&0ert &r in*&$e
)- SUBSTITUTE AND SPECIAL PARENTAL AUTHORIT, Order O& S!#si!e Parena% A!$ri"8 5. T%e !-r+i+in( (ran,0arent 8. T%e &#,e!t /r& t%er &r !i!ter) &+er 85 ea r! &#,) -n#e!! -n6it &r ,i!2-a#i6ie, =. T%e *%i#,! a*t-a# *-!t&,ian) &+er 85 e ar! &#,) -n#e!! -n6it &r ,i!2-a#i6ie, ? Ar- 21+ •
In *a!e &6 6&-n,#in(!) a/an,&ne, *%i#,ren) ne(#e*te, *%i#,ren) &r a/-!e, *%i#,ren) !-$$ar -,i*ia# 0r&*ee,in(! !%a## /e in!tit-te, !& t%at t%e $a /e entr-!te, t&: a. Hea,! &6 *%i#,renK! %&$e! /. Or0%ana(e!) &r *. Si$i#ar in!tit-ti&n! ,-# a**re,ite, / t%e 0r&0er (&+ern$ent a(en* ? Ar21?
Pers$n E6ercisin' Secia% Parena% A!$ri"8 5. S*%&&# 8. A,$ini!trat&r! an, tea*%er! =. In,i+i,-a#) entit) &r in!tit-ti&n en(a(e, in *%i#, *are Lia#i%i" O& T$se E6ercisin' Secia% Parena% A!$ri" O.er Te Ci%d8 5. T%e are 0ri n*i0a## an, !& #i,ari# #ia/#e 6&r ,a$a(e! *a-!e, / t%e a*t! &r &$i!!i&n! &6 t%e *%i#, 7%i#e -n,er t%eir !-0er+i!i&n) in!tr-*ti&n &r *-!t&,. HO;EVER) t%i! #ia/i#it i! !-/e*t t& t%e ,e6en!e t%at t%e 0er!&n eer*i!in( 0arenta# a-t%&rit eer*i!e, 0r&0er ,i#i(en*e. 8. T%e 0arent! an, -,i*ia# (-a r,ian! &6 t%e $in&r &r t%&!e eer*i!in( !-/!tit-te 0arenta# a-t%&rit &+er t%e $in&r are !-/!i,iari# #ia/#e 6&r !ai, a*t! an, &$i!!i&n! &6 t%e $in&r.
Pa'e )* $& )01
DISTINCTION BETWEEN SUBSTITUTE AND SPECIAL PARENTAL AUTHORIT, SUBSTITUTE SPECIAL PARENTAL PARENTAL AUTHORIT, AUTHORIT, It i! eer*i!e, *&n*-rrent# 7it% t%e 0arenta# a-t%&rit &6 It i! eer*i!e, in t%e 0arent!. T%e *a!e &6 ,eat%) 0arent! te$0&rari# a/!en*e) &r re#in2-i!% 0arenta# -n!-ita/i#it &6 a-t%&rit &+er t%e *%i#, 0arent!. t& t%e 0er!&n 7it% !0e*ia# 0arenta# a-t%&rit.
*- SUSPENSIONTERMINATION O: PARENTAL AUTHORIT, 3r$!nds :$r S!sensi$n O& Parena% A!$ri"8 =CHOBA; 1. C&n+i*ti&n &6 0arent 6&r *ri$e 7it% *i+i# inter,i*ti&n 2. Treat! *%i#, 7it% e*e!!i+e ar!%ne!! an, *r-e#t 3. Gi+e! *&rr-0tin( $ r,er! ) *&-n!e# &r ea$0#e 4. C&$0e#! *%i#, t& #e( 5. S-/e*t! t& &r a##&7! %i$ t& /e !-/e*te, t& a *t! &6 #a!*i+i&-!ne!! •
T%e !-!0en!i&n &r ,e0ri+ati&n $a /e re+&1e, an, t%e 0arenta# a-t%&rit re+i+e, in a *a!e 6i#e, 6&r t%e 0-r0&!e &r in t%e !a$e 0r&*ee,in( i6 t%e *&-rt 6in,! t%at t%e *a-!e t%ere6&re %a! *ea!e, an, 7i## n&t /e re0eate,
3r$!nds :$r Te Permanen Terminai$n O& Parena% A!$ri" 8 5. Deat% &6 0arent! 8. Deat% &6 *%i#, =. E$an*i0ati&n &6 *%i#, @. Parent! eer*i!in( 0arenta# a-t%&rit %a! !-/e*te, t%e *%i#, &r a##&7e, %i$ t& /e !-/e*te, t& !e-a# a/-!e • Le!/iani!$ i! n&t *&$0e##in( rea!&n t& ,e0ri+e t%e $&t%er &6 a *%i#, /e#&7 !e+en ear! &6 a(e. T& ,e0ri+e t%e 7i6e &6 *-!t&,) t%e %-!/an, $-!t *#ear# e!ta/#i!% t%at %er $&ra# #a0!e! %a+e %a, an a,+er!e e66e*t &n t%e 7e#6are &6 t%e *%i#, &r %a+e ,i!tra*te, t%e &66en,in( !0&-!e 6r&$ eer*i!in( 0r&0er 0arenta# *are. ;rit &6
CIVIL LAW REVIEWER
%a/ea! *&r0-! %a! n& #e( t& !tan, &n t& ,e0ri+e t%e $&t%er &6 a *%i#, /e#&7 !e+en ear! &6 a(e) -n#e!! t%ere are *&$0e##in( rea!&n! t& ,& !&. Gu%lr!o v. Gu%lr!o, G.R. o. 15++, un 28, 2005
Cases Were Parena% A!$ri" Ma" Be Re.i.ed8 1. A,&0ti&n &6 *%i#, 2. A00&int$ent &6 (enera# (-ar,ian 3. J-,i*ia# ,e*#arati&n &6 a/an,&n$ent 4. Fina# -,($ent ,i+e!tin( 0arenta# a-t%&rit 5. J-,i*ia# ,e*#arati&n &6 a/!en*e &r in*a0a*it &r 0er!&n eer*i!in( 0arenta# a-t%&rit
+- LIABILIT, O: PARENTS :OR ACTS O: CHILDREN Lia#i%i" O& Parens :$r T$rs C$mmied B" Teir Min$r Ci%dren8 • Parent! an, &t%er 0er!&n! eer*i!in( 0arenta# a-t%&rit !%a## /e *i+i## #ia/#e 6&r t%e in-rie! an, ,a$a(e! *a-!e, / t%e a*t! &r &$i!!i&n! &6 t%eir $in&r! PROVIDED t%e *%i#,ren are #i+in( in t%eir *&$0an an, -n,er t%eir 0arenta# a-t%&rit • T%i! i! !-/e*t t& t%e a00r&0riate ,e6en!e! 0r&+i,e, / #a7 NOTE8 •
•
Parenta# a-t%&rit an, re!0&n!i/i#it are ina#iena/#e an, $a n&t /e tran!6erre, an, ren&-n*e, e*e0t in *a!e! a-t%&rie, / #a7 Parent! $a eer*i!e 0arenta# a-t%&rit &+er t%eir *%i#,K! 0r&0ert
TOPIC UNDER S,LLABUS N- :!nera%s =Ars- (0*>(105CC; O- S!rname =Ars (+)>(05 CC; P- A#sence =Ars- (1>(9+5CC; - Ci.i% Re'iser =Ars- )0?>)1(5CC;
N- :UNERAL 3enera% 3!ide%ines8
Pa'e )+ $& )01
1.
D-t an, ri(%t t& $a1e arran(e$ent in 6-nera#! in a**&r,an*e 7it% Ar- 199 FC: a. S0&-!e /. De!*en,ant! in neare!t ,e(ree *. A!*en,ant! in neare!t ,e(ree ,. Br&t%er! an, !i!ter! 2. T%e 6-nera# !%a## /e in 1ee0in( 7it% t%e !&*ia# 0&!iti&n &6 t%e ,e*ea!e, 3. T%e 6-nera# !%a## /e in a**&r,an*e 7it% t%e e0re!!e, 7i!%e! &6 t%e ,e*ea!e, a. In t%e a/!en*e &6 e0re!!e, 7i!%e!) %i! re#i(i&-! /e#ie6! &r a66i#iati&n !%a## ,eter$ine /. In *a!e &6 ,&-/t) t%e 0er!&n! in Art. 5 &6 FC !%a## ,e*i,e 4. An 0er!&n 7%& ,i!re!0e*t! t%e ,ea, &r a##&7! t%e !a$e !%a## /e #ia/#e 6&r ,a$a(e!
O- SURNAME USE O: SURNAME CHILD CONCERNED Le(iti$ate *%i#, Le(iti$ate, *%i#, A,&0te, *%i#,
I##e(iti$ate *%i#,
SURNAME TO BE USED Fat%erK! !-rna$e Fat%erK! !-rna$e A,&0terK! !-rna$e 5. M&t%erK! !-rna$e" &r 8. Fat%erK! na$e i6 t%e 7ere re*&(nie, t%eir 6at%er in t%e/ re*&r, &6 /irt% &r in an a-t%enti* 7ritin(
C&n*ei+e, 0ri&r t& t%e ann-#$ent &6 t%e $arria(e C&n*ei+e, a6ter t%e ann-#$ent &6 t%e $arria(e
Fat%erK! !-rna$e M&t%erK! !-rna$e
•
Sin*e a #e(iti$ate *%i#, *an a!1 6&r a *%an(e &6 na$e) an a,&0te, *%i#, *an ,& t%e !a$e.
•
T%e intere!t &6 -!ti*e an, &6 t%e *%i#, 0er$it! an i##e(iti$ate *%i#, t& *%an(e %i! na$e a,&0tin( t%e !-rna$e &6 %i! 0arentK! &t%er !0&-!e. Ca%der$n .s- Re!#%ic5 K19 SCRA ?21
WI:E
@alid marriag e
H!s#and is %i.in' =Ar(?0;
H!s#and is dead =Ar(?(; ;i6e i!
S%e *an -!e t%e !-rna$e &6 t%e %-!/an, a! i6 %e 7ere !ti## #i+in( S%e !%a## re!-$e -!in(
t%e (-i#t 0art
%er $ai,en na$e 5. Re!-$e -!in( %er #arriag $ai,en na$e" &r e is 8. C&ntin-e e$0#&in( annulle %er %-!/an,K! !-rna$e ;i6e i! d UNLESS: t%e Art%.7 a. C&-rt ,e*ree! inn&*ent ' &t%er7i!e) &r 0art /. S%e &r t%e 6&r$er %-!/an, i! $arrie, a(ain t& an&t%er 0er!&n C&ntin-e -!in( t%e na$e an, !-rna$e !%e 7a! =egally separated e$0#&in( 0ri&r t& t%e Art%.7)* #e(a# !e0arati&n Laera% .- Re!#%ic5K+ SCRA (*? =19+2; IDENTIT, O: NAMES AND SURNAMES +etween persons Art% .7C*
CIVIL LAW REVIEWER
SURNAME TO BE USED a. Fir!t na$e an, $ai,en na$e %er %-!/an,K! !-rna$e /. Fir!t na$e %er %-!/an,K! !-rna$e *. Her %-!/an,K! 6-## na$e) /-t 0re6iin( a 7&r, in,i*atin( t%at !%e i! %i! 7i6e) !-*% a! Mr! ,. Retain t%e -!e &6 %er $ai,en na$e ?-!e &6 %-!/an,K! !-rna$e i! n&t a ,-t /-t $ere# an &0ti&n &6 t%e 7i6e
Y&-n(er 0er!&n i! &/#i(e, t& -!e !-*% a,,iti&na# na$e OR !-rna$e a! 7i## a+&i, *&n6-!i&n
Pa'e )? $& )01
+etween ascendants and descendants Art% .79*
5. S&n $a -!e t%e 7&r, J-ni&r 8. Gran,!&n! an, &t%er $a#e ,e!*en,ant!) !%a## eit%er : a. A,, a $i,,#e na$e /. A,, t%e $&t%erK! !-rna$e *. A,, t%e R&$an n-$era#! II) III) an, !& &n
P- ABSENCE Pers$ns W$ Ma" Be A$ined B" Wa" O& C$!r Order As Te Reresenai.e O& An A#senee In Case O& Pr$.isi$na% A#sence Or As An Adminisra$r 1. I6 n& #e(a# !e0arati&n) t%e !0&-!e 0re!ent 2. I6 n& !0&-!e &r i6 t%e !0&-!e 0re!ent i! a $in&r) an *&$0etent 0er!&n !0&-!e 7%& i! a00&inte, a! • T%e a,$ini!tratri &6 t%e a/!entee !0&-!eK! 0r&0ert *ann&t a#ienate &r en*-$/er t%e !a$e) &r t%at &6 t%e *&n-(a# 0artner!%i0) 7it%&-t -,i*ia# a-t%&rit. Wen Adminisrai$n Sa%% Cease 5. A/!entee a00ear! 0er!&na## &r / $ea n! an a(ent" 8. &6 Deat% &6 t% e a/!entee i! 0r&+e, an, %i ! e!tate &r inte!tate %eir! a00ear" =. A t%ir, 0er!&n a00ear!) !%&7in( / a 0r&0er ,&*-$ent t%at %e %a! a*2-ire, t%e a/!entee! 0r&0ert / 0-r*%a!e &r &t%er tit#e • T%e 0r&0ert !%a## /e at t%e ,i!0&!a# &6 t%&!e 7%& $a %a+e a ri(%t t%eret&
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Pa'e ) $& )01
ST A3 ES Pr$.isi$na% A#sence A 0er!&n ,i!a00ear! 6r&$ %i! ,&$i*i#e) 7%erea/&-t! are -n1n&7n an, a. He,i,n&t #ea+e an a(ent" &r /.He #e6t an a(ent /-t a(ent! 0&7er %a! e0ire, !dicia% Dec%arai$n $& A#sence Ne*e!!ar 6&r intere!te, 0er!&n! t& /e a/#e t& 0r&te*t t%e intere!t &6 t%e a/!entee
W H ENT O: I L E
W H OM A ,: I L E
R EM ED ,
N& !tat-t&r 0eri&,
;it%&-t a,$ini!trat&r A6ter 8 ear! %a+in( e#a0!e, 7it%&-t an ne7! a/&-t t%e a/!entee &r !in*e t%e #a!t ne7! ;it% a,$ini!trat&r A6ter 4 ear! 6r&$ ti$e &6 ,i!a00earan*e
Pres!mi$n $& dea ORDINARY ABSENCE @ ear! 0er!&n 0re!-$e, ,ea, 6&r 0-r0&!e! &6 re$arria(e &6 t%e !0&-!e 0re!ent • > ear! 0re!-$e, ,ea, 6&r a## 0-r0&!e! ECEPT 6&r t%&!e &6 !-**e!!i&n • 5 ear! 0er!&n 0re!-$e, ,ea, 6&r 0-r0&!e! &6 &0enin( !-**e!!i&n ECEPT i6 %e ,i!a00eare, a6ter t%e a(e &6 >4) an a/!en*e &6 4 ear! i! !-66i*ient ETRAORDINARY ABSENCE a a I6 a 0er!&n r&,e an air0#ane &r !ea +e!!e# #&!t in t%e *&-r!e &6 +&a(e) 6r&$ t%e ti$e &6 #&!! &6 t%e air0#ane &r !ea +e!!e# a a I6 a 0er!&n &ine, t%e ar$e, 6&r*e! 7%& %a! ta1en 0art in 7ar) 6r&$ t%e ti$e %e i! *&n!i,ere, $i!!in( in a*ti&n a a Dan(er &6 ,eat% -n,er &t%er *ir*-$!tan*e!) 6r&$ ti$e &6 ,i!a00earan*e
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T%&!e7%& $a %a+e &+er t%e 0r&0ert &6 t%e a/!entee !&$e ri(%t !-/&r,inate, t& t%e *&n,iti&n &6 t%e a/!entee! ,eat% S0&-!e
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CO M M E N T S
In 0r&+i!i&na# a/!en*e) t%e -,(e FC at t%e in!tan*e &6 an /. J-,i*ia# !e0arati&n &6 intere!te, 0art) a 0r&0ert ?Art. 58) FC re#ati+e) &r a 6rien, *. A-t%&ritt&/e!&#e $a a00&int a a,$ini!trat&r &6 t%e *&n-(a# 0er!&n t& re0re!ent 0artner!%i0 ?Art . 58) FC %i$ in a## t%at $a /e ne*e!!ar. a. ;%en t%e !0&-!e &6 t%e J-,i*ia# ,e*#arati&n &6 a/!entee i! a!1in( 6&r !e0arati&n a/!en*e ,&e! n&t &6 0r&0ert?Art. 5=4) FC ta1e e66e*t -nti# !i /. ;%en t%e !0&-!e &6 t%e $&nt%! a6ter it! a/!entee i! a!1in( t%e C&-rt 0-/#i*ati&n in a t%at t%e a,$ini!trati&n &6 a## ne7!0a0er &6 (enera# *#a!!e! in t%e $arria(e /e *ir*-#ati&n. tran!6erre, t& %er?Art.5@8) FC a.
Re*ei+er!%i0 ?Art. 58)
A*ti&nt&,e*#area0er!&n 0re!-$0ti+e# ,ea, i! 0r&0er &n# 7%en t%e !0&-!e &6 t%e a/!entee 7ant! t& re$arr
E*e0t 6&r 0-r0&!e! &6 re$arria(e) t%ere i! n& nee, 6&r 6i#in( a *a!e t& ,e*#are t%at &ne i! 0re!-$0ti+e# ,ea,. Pre!-$0ti&n &6 ,eat% ta1e! e66e*t / &0erati&n &6 #a7.
• @ ear! 6&r a## 0-r0&!e! in*#-,in( t%&!e &6 &0enin( !-**e!!i&n •
8 ear! 6&r 0-r0&!e! &6 re$arria(e
CIVIL LAW REVIEWER
Pa'e )9 $& )01
- CIVIL RE3ISTER MATTERS RECORDEDENTERED IN THE CIVIL RE3ISTER8 5. A*t!) e+ent! an, -,i*ia# ,e*ree! *&n*ernin( t%e *i+i# !tat-! &6 0er!&n! 8. Birt% =. Marria(e @. Deat% 4. Le(a# !e0arati&n . Ann-#$ent &6 $arria(e >. J-,($ent! ,e*#arin( $arria(e +&i, 6r&$ t%e /e(innin( 9. Le(iti$ati&n . A,&0ti&n 5. A*1n&7#e,(e$ent &6 nat-ra# *%i#,ren 55. Nat-ra#iati&n 58. L&!! &6 *itien!%i0 5=. Re*&+er &6 *itien!%i0 5@. Ci+i# inter,i*ti&n 54. J-,i*ia# ,eter$inati&n 5. V&#-ntar e$an*i0ati&n &6 a $in&r 5>. C%an(e &6 na$e 3enera% R!%e8 Entrie! in t%e *i+i# re(i!ter $a /e *%an(e, &r a#tere, &n# -0&n a -,i*ia# &r,er. E6cei$n: C#eri*a# &r t0 &(ra0%i*a# err&r! &r *%an(e in t%e na$e &r ni*1na$e *an /e *%an(e, a,$ini!trati+e# t%r&-(% +eri6ie, 0etiti&n 7it% t%e #&*a# &66i*e &6 t%e *i+i# re(i!trar. W$ ma" &i%e eii$n8 An 0er!&n %a+in( ,ire*t an, 0er!&na# intere!t in an a*t) e+ent) &r,er &r ,e*ree *&n*ernin( t%e *i+i# !tat-! &6 0er!&n! &r *%an(e &6 na$e PROCEDURAL REUIREMENTS :O R A PETITION :OR CHAN3E O: NAME8 5. = ear! re!i,en* in t%e 0r&+in*e 7%ere *%an(e i! !&-(%t 0ri&r t& t%e 6i#in( 8. M-!t n& t /e 6i #e, 7it%in = ,a! 0r i&r t& an e#e*ti&n =. Petiti&n $-!t /e +eri6ie, PROPER AND REASONABLE CAUSES THAT MA, WARRA NT THE 3RANT O: A PETITION :OR CHAN3E O: :IRST NAMENICNAME8 5. Petiti&nerK! tr-e an, &66i*ia# na$e i! ri,i*-#&-!" 8. Petiti&nerK! tr-e an, &66i*ia# na$e i! tainte, 7it% ,i!%&n&r =. Petiti&nerK! tr-e an, &66i *ia# na$e i! etr e$e# ,i66i*-#t t& 7rite &r 0r&n&-n*e @. Ne7 6ir!t na$e &r ni*1na$e %a! /een %a/it-a## an, *&ntin-&-!# -!e, / t%e 0etiti&ner an, %e %a! /een 0-/#i*# 1n&7n / t%e 6ir!t na$e! an, ni*1na$e! in t%e *&$$-nit
4. ;%en t%e *%an(e i! ne*e!!ar t& a+&i, *&n6-!i&n =Sec- )5 R-A- 90); • R.A. @9 ,&e! n&t !an*ti&n a *%an(e &6 6ir!t na$e &n t%e (r&-n, &6 !e rea!!i(n$ent. Rat%er t%an a+&i,in( *&n6-!i&n) *%an(in( t%e 6ir!t na$e t& $a1e it *&$0ati/#e 7it% t%e !e %e tran!6&r$e, %i$!e#6 int& t%r&-(% !-r(er $a &n# *reate (ra+e *&$0#i*ati&n! in t%e *i+i# re(i!tr an, t%e 0-/#i* intere!t. ilvrio vs. Rpulic, G.R. o. 17+*8, 4c!. 22, 2007 . ;%en t%e re2-e!t 6&r *%a n(e i! a *&n! e2-en*e &6 a *%an(e &6 !tat-!) !-*% a! 7%en a nat-ra# *%i#, i! a*1n&7#e,(e, &r #e(iti$ate,
USURPATION O: NAME i$0#ie! !&$e in-r t& t%e intere!t! &6 t%e &7ner &6 t%e na$e. It *&n!i!t! in t%e 0&!!i/i#it &6 *&n6-!i&n &6 i,entit /et7een t%e &7ner an, t%e -!-r0er. ELEMENTS O: USURPATION O: NAME8 5. An a*t-a# -!e &6 an&t%er! na$e / t%e ,e6en,ant 8. U!e i! -na-t%&rie, =. U!e &6 an&t%er! na$e i! t& ,e!i(nate 0er!&na#it &r t& i,enti6 a 0er!&n REMEDIES AVAILABLE TO THE PERSON WHOSE NAME HAS BEEN USURPED8 1. Ci+i# ?in!&6ar a! 0ri+ate 0er!&n! are *&n*erne, a. In-n*ti&n /. Da$a(e! ?a*t-a# an, $&ra# 2. Cri$ina# ?7%en 0-/#i* a66air! are 0re-,i*e, WHEN USE O: ANOTHERS NAME IS NOT ACTIONABLE8 U!e, a! !ta(e) !*reen) &r 0en na$e) 0r&+i,e,: 5. U!e &6 na$e i! in (&&, 6ait%" an, 8. B -! in( t%e na$e &6 an&t%er) n& in-r i! *a-!e, t& t%at 0er!&n! ri(%t =. ;%en -!e i! $ &ti+ate, / $&,e!t) a ,e!ire t& a+&i, -nne*e!!ar tr&-/#e) &r &t%er rea!&n n&t 0r&%i/ite, / #a7 &r $&ra#! •
T%e #a7 ,&e! n&t a##&7 ,r&00in( &6 $i,,#e na$e 6r&$ re(i!tere, na$e -n#e!! t%ere are -!ti6ia/#e rea!&n! t& ,& !&. Mere *&n+enien*e i! n&t -!ti6ia/#e. Mi,,#e na$e! !er+e t& i,enti6 t%e $ater na# #inea(e 6i#iati&n &6 a 0er!&n a! 7e## a! 6-rt%er ,i!tin(-i!% %i$ 6r&$ &t%er! 7%& $a %a+e t%e !a$e gi"en na$e an, !-rna$e a! %e %a!.
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An i##e(iti$ate *%i#, 7%&!e 6i#iati&n i! n&t re*&(nie, / t%e 6at%er /ear! &n# a (i+en na$e an, %i! $&t%erK! !-rna$e) an, ,&e! n&t %a+e a $i,,#e na$e) -n#e!! #e(iti$ate, &r !-/!e2-ent# a*1n&7#e,(e, / t%e 6at%er in a 0-/#i* ,&*-$ent &r 0ri+ate %an,7ritten
in!tr-$ent. In Re8 Peii$n &$r Can'e $& Name $& Wan'5K3-R- N$- 1*99++5 Marc (05 200*
8. C%an(e &6 6ir!t na$e &r ni*1na$e •
CHAN3E O: ENTRIES IN CIVIL RE3ISTR, WITHOUT UDICIAL WITH UDICIAL AUTHORIT, AUTHORIT, Matter! 7%i*% $a C%an(e &6 !-rna$e /e $a,e / t%e *an &n# /e ,&ne *&n*erne, *it &r t%r&-(% a *&-rt $-ni*i0a# re(i!trar 0r&*ee,in( &r *&n!-# (enera# ECEPT 7%en t%e ?R-A- 90);8 re2-e!t 6&r *%an(e i! 5. C#eri*a# &r err&r t0&(ra0%i*a# • NOT nati&na#it) a(e) *i+i# !tat-! nee,! *&-rt &r,er
a *&n!e2-en*e &6 a *%an(e &6 !tat-!) !-*% a! 7%en a nat-ra# *%i#, i! a*1n&7#e,(e, &r
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•
#e(iti$ate,
I6 t%e *&rre*ti&n i! *#eri*a#: !-$$ar 0r&*ee,in( I6 t%e re*ti6i*ati&n a66e*t! t%e *i+i# !tat-!) *itien!%i0 &r nati&na#it &6 a 0art ?!-/!tantia#: a,+er!aria# 0r&*ee,in( C%an(e &6 !e i! n&t a $ere *#eri*a# &r t0&(ra0%i*a# err&r. T%ere i! n& !0e*ia# a7 in t%e P%i#i00ine! (&+ernin( !e rea!!i(n$ent an, it! e66e *t!. Si%.eri$ .s- Re!#%ic5 K3-RN$- 1?)+95 Oc- 225 200?
NOTE8 T%e ne7 #a 7) R-A- 90) ) a00#ie! &n# t& *#eri*a# an, t0&(ra0%i*a# err&r! in entrie! &6 na$e an, ,&e! n&t $&,i6 t%e r-#e! $enti&ne, a/&+e
II- PROPERT, 777777777777777777777 77777777777777 TOPICS UNDER S,LLABUS A- C%assi&icai$n $& Pr$er" =Ars- )1)> )15 CC; 1- Imm$.a#%e Pr$er" 2- M$.a#%e Pr$er" (- Acc$rdin' $ O/nersi a- P!#%ic D$mini$n #- Pri.ae O/nersi
777777777777777777777 77777777777777 PROPERT,: An &/e*t &r a ri(%t 7%i*% i! a00r&0riate, &r !-!*e0ti/#e &6 a00r&0riati&n / $an) 7it% *a0a*it t& !ati!6 %-$an 7ant! an, nee,!.
A- CLASSI:ICATION O: PROPERT, Re@!isies $& Pr$er"8 =USA; 1- Ui%i" &$r e sais &aci$n $& s$me !man /ans • en,&7! 0r&0ert 7it% +a#-e !-!*e0ti/#e &6 0e*-niar e!ti$ati&n =e-'- 6&&,) !%e#ter) *#&t%in() re*reati&n 2- S!#sani.i" $r indi.id!a%i" • 2-a#it &6 %a+in( ei!ten*e a0art 6r&$ = - 'an &t%er t%in( e /#&&,) 7%en !e0arate, 6r&$ t%e /&, (- Ar$ria#i%i" • !-!*e0ti/i#it &6 /ein( 0&!!e!!e, / $en • n&t !-!*e0ti/#e &6 a00r&0riati&n: I. C&$$&n t%in(! ?res communes • E6cei$n8 t%&!e t%at $a /e a00r&0riate, -n,er *ertain *&n,iti&n! in a #i$ite, 7a ?e.(. E#e*tri*it) &(en II. D-e t& 0%!i*a# i$0&!!i/i#it ?e.(. S-n III. D-e t& #e(a# i$0&!!i/i#it ?e.(. H-$an /&, IV. D-e t& n& &7ner!%i0 ?e.(. 7i#, ani$a#! &r a/an,&n$ent / t%e &7ner. C%assi&icai$n $& Pr$er" 1- M$#i%i" and N$n>m$#i%i" A. I$$&+a/#e M&+a/#e &r 0er!&na# 0r&0ert B. &r rea# 0r&0ert 2- O/nersi A. P-/#i* B. Pri+ate (- A%iena#i%i"
A. ;it%in t%e *&$$er*e &6 $an ?&r 7%i*% $a /e t%e &/e*t! &6 *&ntra*t! &r -,i*ia# tran!a*ti&n! B. O-t!i,e t%e *&$$er*e &6 $an )- E6isence A. Pre!ent 0r&0ert ?res existents B. F-t-re 0r&0ert ? res futurae NOTE8 B&t% 0re!ent an, 6-t-re 0r&0ert $a /e t%e !-/e*t &6 !a#e /-t (enera## n&t t%e !-/e*t &6 ,&nati&n. *- Maeria%i" $r Immaeria%i" A. Tan(i/#e &r *&r0&rea# B. Intan(i/#e &r in*&r0&rea#
+- Deendence $r Im$rance A. Prin*i0a# B. A**e!!&r ?- Caa#i%i" $& S!#si!i$n A. F-n(i/#e *a0a/#e &6 !-/!tit-ti&n / &t%er t%in(! &6 t%e !a$e 2-a#it an, 2-antit B. N&nF-n(i/#e in*a0a/#e &6 !-*% !-/!tit-ti&n) %en*e) t%e i,enti*a# t%in( $-!t /e (i+en &r ret-rne, - Na!re $r De&inieness A. Generi* &ne re6errin( t& a (r&-0 &r *#a!! B. S0e*i6i* &ne re6errin( t& a !in(#e) -ni2-e &/e*t 9- Weer in e C!s$d" $& e C$!r $r :ree A. In custodia legis in t%e *-!t&, &6 t%e *&-rt B. 6ree 0r&0ert
1- IMMOVABLE PROPERT, !ridica% C%assi&icai$n $& Imm$.a#%e Pr$eries8 =NIDA; 5. B" na!re *ann&t /e $&+e, 6r&$ 0#a*e t& 0#a*e /e*a-!e &6 t%eir nat-re =Ar!. +15 p%r 1 > 8 CC; A. #an,) /-i#,in(!) r&a,! an, *&n! tr-*ti&n! &6 a## 1in,! a,%ere, t& !&i# − a !tr-*t-re 7%i*% i! $ere# !-0eri$0&!e, &n t%e !&i# $a /e *&n!i,ere, $&+a/#e. B. $ine!) 2-arrie!) an, !#a( ,-$0!) 7%i#e t%e $atter t%ere&6 6&r$! 0art! &6 t%e /e,) an, 7ater! eit%er r-nnin( &r !ta(nant •
On*e a %&-!e i! ,e$&#i!%e,) it! *%ara*ter a! an i$$&+a/#e *ea!e!. Bicerra .TeneJa5 K+ SCRA +)9 =19+2;
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A $&rt(a(e &6 #an, ne*e!!ari# in*#-,e!) in t%e a/!en*e &6 !ti0-#ati&n &6 t%e i$0r&+e$ent! t%ere&n) /-i#,in(!. Sti## a /-i#,in( / it!e#6 $a /e $&rt(a(e, a0art
6r&$ t%e #an, &n 7%i*% it %a! /een /-i#t. S-*% 7&-#, /e a rea# e!tate $&rt(a(e 6&r t%e /-i#,in( 7&-#, !ti## /e *&n!i,ere, i$$&+a/#e 0r&0ert. Le!n' ,ee .Sr$n' Maciner"5 K(? Pi%- +)) =191; •
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A +a#i, rea# e!tate $&rt(a(e *an /e *&n!tit-te, &n t%e /-i#,in( ere*te, &n t%e #an, /e#&n(in( t& an&t%er. Pr!denia% Ban< .- Panis5 K1*( SCRA (90 =19?; T%e *&ntra*tin( 0artie! $a +a#i,# !ti0-#ate t%at a rea# 0r&0ert /e *&n!i,ere, a! 0er!&na#. A6ter a(reein() t%e are c$nse@!en%" es$ed 6r&$ *#ai$in( &t%er7i!e. H&7e+er) t%ir, 0er!&n! a*tin( in (&&, 6ait% are n&t a66e*te, / it! !ti0-#ati&n *%ara*teriin( t%e !-/e*t $a*%iner a! 0er!&na#. Ser's Pr$d!cs .- PCI Leasin'5 K(2 SCRA 299 =2000;
&6 !i$i#ar nat-re in*#-,in( t%e ani$a#! in t%e!e 0#a*e! Re@!isies8 =OP; I. P#a*e, / t% e &7ner &6 t% e &r %i! a(ent II. Intent t& atta*% t%e$ 0er$anent# t& t%e #an, =. B" desinai$n $&+a/#e 0#a*e, &n i$$&+a/#e 6&r t%e -ti#it it (i+e! t& t%e a*ti+it *arrie, t%ere&n =Ar!. +15 p%r +,5,*,7,; A. Ma*%iner) re*e0ta*#e!) in!tr-$ent! &r i$0#e$ent! inten,e, / &7ner &6 t%e tene$ent &r %i! a(ent 6&r an in,-!tr &r 7&r1! 7%i*% $a /e *arrie, &n in a /-i#,in( 7%i*% tend directly to meet the needs of such worDsindustry − atta*%$ent &r in*&r0&rati&n t& t%e i$$&+a/#e i! n&t e!!entia# Re@!isies8 =COE; I. in,-!tr &r 7&r1! $-!t /e carrie, &n in!i,e t%e /-i#,in( &r &n t%e #an, II. 0#a*e, / t%e $7ner &6 t%e /-i#,in( &r 0r&0ert &r %i! a(ent III. $a*%ine! $-!t /e e !!entia# an, 0rin*i0a# e#e$ent! in *arrin( &-t t%e in,-!tr n&t in*#-,e in*i,enta#! − ,&e! ?$&+a/#e! 7it%&-t 7%i*% t%e /-!ine!!e! *an !ti## *&ntin-e &r *arr &n t%eir 6-n*ti&n!
8. B" inc$r$rai$n e!!entia## $&+a/#e! /-t atta*%e, t& an i$$&+a/#e in a 6ie, $anner t& /e an inte(ra# 0art &6 it =Ar!. +15 p%r 2,3,+,*; A. Tree!) 0#a nt! (r&7in( 6r-it! 7%i#e a,%ere, t& !&i#) i$$&+a/#e − &n*e *-t &r -0r&&te,) t%e *ea!e t& /e i$$&+a/#e! E6ce8 U0r&&te, Ti$/er B. E+ert%in( atta*%e, t& an i$$&+a/#e in a 6ie, $anner t%at it *ann&t /e !e0arate, 7it%&-t /rea1in( t%e $ateria# &r ,eteri&rati&n &6 t%e &/e*t − intent t& atta*% 0er$anent# i! e!!entia# − On te$0&rar !e0arati&n: 8 0&int! &6 +ie7: I. Ma !ti## /e *&n!i,ere, a! i$$&+a/#e I6 t%ere i! intent t& 0-t t%e$ /a*1. II. M&+a/#e /e*a-!e t%e $a teria# 6a*t &6 in*&r0&rati&n i! 7%at ,eter$ine! it! *&n,iti&n C. Stat-e!) re#ie6!) 0aintin( &r &t%er &/e*t! 6&r -!e &r &rna$entati&n Re@!isies8 =OP; I. P#a*e, / t%e &7ner &6 t%e i$$&+a/#e a(ent t%e$ II. Intent t&&r %i! atta*% 0er$anent# t& t%e tene$ent! D. Ani$a# %&-!e!) 0i(e&n %&-!e!) /ee%i+e!) 6i!% 0&n,!) &r /ree,in( 0#a*e!
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E2-i0$ent ,e!tine, &n# t& re0air &r !er+i*e a tran!0&rtati&n /-!ine!! $a n&t /e ,ee$e, rea# 0r&0ert. Mindana$ B!s .- Ci" Assess$r5 K+ SCRA 19? =19+2;
B. 6erti#ier! a*t-a## -!e, &n a 0ie*e &6 #an, C. ,&*1! 6#&atin( !tr-*t-re! inten,e, / t%eir nat-re an, &/e*t t& re$ain at a 6ie, 0#a*e &n a ri+er) #a1e &r *&a!t. @. B" ana%$'"#" %a/ *&ntra*t! 6&r 0-/#i* 7&r1!) !er+it-,e &t%er rea# ri(%t! &+er i$$&+a/#e 0r&0ert =Ar!. +15 p%r 10;
2- MOVABLE PROPERT, M$.a#%e Pr$er"8 =SI:TOS; 5. S -!*e0ti/#e &6 a00r&0riati&n t%at are n&t in*#-,e, in en-$erati&n in i$$&+a/#e!. Ea$0#e • intere!t in t%e /-!ine!! i! 0er!&na# 0r&0ert. In.$%!nar" Ins$%.enc" $& Sr$cec
Gr&7in( *r&0! are *&n!i,ere, i$$&+a/#e -n,er Art. @54?8 /-t 0er!&na# 0r&0ert / C%atte# M&rt(a(e La7. i%l v. '%l, 50 ;"il 512 (127) • H&-!e /-i#t &n #ea!e, #an, $a /e treate, in!&6ar a! t%e 0artie! are *&n*erne, a! 0er!&na# 0r&0ert an, /e t%e &/e*t &6 a *%atte# $&rt(a(e. Na.arr$ .- Re"es5K9 SCRA +( =19+(; :&r*e! &6 nat-re /r&-(%t -n,er *&ntr&# / !*ien*e. Ea$0#e! • E#e*tri*it) (a!) ra!) %eat) #i(%t) &(en) at&$i* ener() 7ater 0&7er et*. • E#e*tri*it) t%e !a$e a! (a!) i! an arti*#e /&-(%t an, !&#, #i1e &t%er 0er!&na# 0r&0ert an, i! *a0a/#e &6 Unied a00r&0riati&n / an&t%er. Saes .- Car%$s5K21 Pi%- (+) =19)+; T%in(! 7%i*% *an /e tran!0&rte, 7& i$0air$ent &6 rea# 0r&0ert 7%ere t%e are 6ie, O/#i(ati&n! 7%i*% %a+e 6&r t%eir &/e*t $&+a/#e! &r ,e$an,a/#e !-$! ?*re,it! • &/#i(ati&n! an, a*ti&n! $-!t /e #e(a## ,e$an,a/#e • ,e$an,a/#e !-$! $-!t /e #i2-i,ate, S %are! &6 !t&*1! &6 a(ri*-#t-ra#) *&$$er*ia# in,-!tria# entitie! a#t%&-(% t%e $a •
=.
@. 4.
.
%a+e rea# e!tate C%assi&icai$n O& M$.a#%es8 1- Acc$rdin' $ na!re a. C&n!-$a/#e *ann&t /e -ti #ie, 7& /ein( *&n!-$e, /. N&n*&n!-$a/#e 8. Acc$rdin' $ ineni$n $& e aries!r$se whether it can be substituted by other things of same Dind& ;uality and ;uantity* a. F-n(i/#e res fungibles* &n# t%e e2-i+a#ent i! ret-rne, /. N&n6-n(i/#e res nec fungibles* i,enti*a# t%in( i! ret-rne,) ,& n&t a,$it &6 !-/!tit-ti&n
Tes T$ Deermine Weer Pr$er" Is Rea% Or Pers$na% 5. ;%et%er t%e 0r&0ert *an /e tr an!0&rte, &r *arrie, 6r&$ 0#a*e t& 0#a*e ?R-#e &6 Descrii$n 8. ;%et%er !-*% *%a n(e &6 #&*ati&n *an /e $a,e 7it%&-t in-rin( t%e i$$&+a/#e t& 7%i*% t%e &/e*t $a /e atta*%e, ?R-#e &6 Descrii$n
=.
;%et%er t%e &/e*t ,&e! n&t 6a## 7it%in an &6 t%e *a!e! en-$erate, in Art. @54 ?R-#e &6 E6c%!si$n
(- ACCORDIN3 TO OWNERSHIP a- P!#%ic D$mini$n P!#%ic D$mini$n &-t!i,e t%e *&$$er*e &6 $en. • INDS: ?USD; A. inten,e, 6&r !#%ic !se *an /e -!e, / t%e 0-/#i* &r e+er/&, B. inten,e, 6&r !0e*i6i* !#%ic ser.ice &6 !tate) 0r&+in*e!) *itie! $-ni*i0a#itie! *an /e -!e, &n# / ,-# a-t%&rie, 0er!&n!) !-*% a! (&+ern$ent /-i#,in(! an, +e%i*#e! C. 6&r t %e de.e%$men $& nai$na% /ea% • Caracerisics8 A. O-t!i,e t%e *&$$er*e &6 $e n *ann&t /e a#ienate, &r #ea!e, &r /e t%e !-/e*t &6 an *&ntra*t B. Cann&t /e a*2-ire, / 0ri+ate in,i+i,-a# &r e+en $-ni*i0a#itie! t%r&-(% 0re!*ri0ti&n C. N&t !-/e*t t& atta*%$ent ee*-ti&n D. Cann&t /e /-r,ene, / +&#-ntar ea!e$ent E. Cann&t /e re(i!tere, -n,er t%e Lan, Re(i!trati&n La7 an, /e t%e !-/e*t &6 a T&rren! Tit#e F. In (enera#) *an /e -!e, / e+er/&, NOTE8 Fi!%0&n,! are *&n!i,ere, a! 0art &6 0-/#i* ,&$ini&n an, *ann&t /e a*2-ire, / 0ri+ate 0er!&n! -n#e!! it i! *&n+erte, int& 0atri$&nia# 0r&0ert. H&7e+er) 6i!%0&n,! $a /e #ea!e, / t%e (&+ern$ent. • Pr&0ertie! 7%i*% t%e (&+ern$ent &7n! 6&r 6-n,a$enta# 0-r0&!e! 6&r ren,erin( (&+ern$ent !er+i*e! are 0r&0ertie! &6 0-/#i* ,&$ini&n. T%e are %e#, / t%e #&*a# (&+ern$ent! 6&r 0-/#i* !er+i*e) /-t at t%e !a$e ti$e) t%e *an /e re$&+e, / t%e State 6r&$ t%e LGU! 7it%&-t %a+in( t& 0a -!t *&$0en!ati&n /e*a-!e t%e LGU! are $ere# a*tin( a! a(ent!. =Ci" $& Gam#$an'a De% N$re .- Pr$.ince $& Gam#$an'a De% N$re;
#- Pri.ae O/nersi INDS8 Parim$nia% r$er" t%e 0r&0ert &6 t%e State &7ne, / it in it! 0ri+ate &r 0r&0rietar *a0a*it) t%e 0r&0ert i! n&t inten,e, 6&r 0-/#i* -!e) &r 6&r
•
!&$e 0-/#i* !er+i*e) &r 6&r t%e ,e+e#&0$ent &6 t%e nati&na# 7ea#t%. G. Ei!t 6&r attainin( e*&n&$i* en,! &6 !tate Pr&0ert &6 0-/#i* ,&$ini&n 7%en n& #&n(er inten,e, 6&r 0-/#i* -!e!er+i*e ,e*#are, 0atri$&nia# =Aric%e )22 NCC; S-/e*t t& 0re!*ri0ti&n Ma /e an &/e*t &6 &r,inar *&ntra*t Ea$0#e: 0r&0ert a*2-ire, in ee*-ti&n an, ta !a#e!) in*&$e! &r rent! &6 t%e State H- Pr$er" & $r L 3Us Pr&0ert 6&r 0-/#i* -!e r&a,!) !treet!) !2-are!) 6&-ntain!) 0-/#i* 7ater!) 0r&$ena,e! an, 0-/#i* 7&r1! 6&r 0-/#i* !er+i*e 0ai, 6&r / t%e LGU! a## &t%er 0r&0ertie! 0&!!e!!e, / LGU! 7it%&-t 0re-,i*e t& !0e*ia# #a7! are *&n!i,ere, 0atri$&nia# NOTE8 Patri$&nia# 0r&0ertie! &6 LGU! *ann&t /e re$&+e, / t%e State 7it%&-t 0ain( -!t *&$0en!ati&n% I. Pr$er" $& Pri.ae O/nersi a## 0r&0ertie! /e#&n(in( t& 0ri+ate 0er!&n! an, t%&!e /e#&n(in( t& t%e State an, an &6 it! 0&#iti*a# !-/,i+i!i&n! 7%i*% are 0atri$&nia# in nat-re
C$n.ersi$n O& Pr$er" O& P!#%ic D$mini$n T$ Parim$nia% Pr$er" 1- Pr$er" $& e Nai $na% 3$.e rnmen • 6&r$a# ,e*#arati&n / t%e ee*-ti+e &r #e(i!#ati+e ,e0art$ent t%at t%e 0r&0ert i! n& #&n(er nee,e, 6&r 0-/#i* -!e &r 6&r 0-/#i* !er+i*e 2- Pr$er" $& $% iica% s! #di.isi$ns • $-!t /e a-t%&rie, / #a7 NOTE8 Sa*re, an, re#i(i&-! &/e*t! are &-t!i,e t%e *&$$er*e &6 $an. T%e are neit% er 0-/#i* n&r 0ri+ate 0art. P&#iti*a# !-/,i+i!i&n! *ann&t re(i!ter a! t%eir &7n an 0art &6 t%e 0-/#i* ,&$ain) UNLESS: 5. (rant %a! /een $a,e 8. 0&!!e!!i&n %a! /een en &e, ,-rin( t%e 0eri&, ne*e!!ar t& e!ta/#i!% a 0re!-$0ti&n &6 &7ner!%i0 A#ien! %a+e n& ri(%t t& a*2-ire an 0-/#i* &r 0ri+ate a(ri*-#t-ra#) *&$$er*ia#) &r re!i,entia# #an,! e*e0t / %ere,itar !-**e!!i&n. Pri+ate in,i+i,-a# %a! !-0eri&r ri(%t &+er t%e 0r&0ert a(ain!t t%e !tate.
T e ri' $& e !#%ic $ !se e ci" srees ma" n$ #e #ar'ained a/a" r$!' c$nrac- R-#e: L&*a# (&+ern$ent *ann&t 7it%,ra7 a 0-/#i* !treet 6r&$ 0-/#i* -!e) -n#e!! it %a! /een (rante, !-*% a-t%&rit / #a7. Dacana" .- Asisi$ r-5K20 SCRA )0) =1992; •
T%e 0&7er t& +a*ate &r 7it%,ra7 a !treet &r a##e 6r&$ 0-/#i* -!e i! ,i!*reti&nar an, !-*% 7i## n&t /e inter6ere, 7it% / t%e *&-rt!. T%e C%arter &6 Ce/- Cit (i+e! !-*% 0&7er t& t%e Cit C&-n*i#. S-*% 7it%,ra7n 0&rti&n t%-! /e*&$e! 0atri$&nia# 0r&0ert 7%i*% *an /e t%e &/e*t &6 an &r,inar *&ntra*t. Ce#! O6"'en .- Berci%%es5 K++ SCRA )1 =19?*;
•
A r$er" c$nin!es $ #e ar $& e !#%ic d$main !ni% ere is a &$rma% dec%arai$n $n e ar $& e '$.ernmen $ /idra/ i &r$m #ein' s!c . An a/an,&n$ent &6 t%e intenti&n t& -!e t%e 0r&0ert 6&r 0-/#i* !er+i*e an, t& $a1e it 0atri$&nia# 0r&0ert $-!t /e ,e6inite. It *ann&t /e in6erre, 6r&$ t%e n&n-!e a#&ne. La!re% .3arcia5 K1? SCRA ?9? =1990;
777777777777777777777777777777 7777777777777777777777
TOPICS UNDER S,LLABUS B- O/nersi =Ars- )2?>)(95 CC; 1- Ri's $& O/nersiLimiai$ns 2D$crines $& Inc$m%ee Pri.i%e'eSe%& He% (- Pres!mi$n $& O/nersi )- R!%e $& Hidden Treas!re 77777777777777777777777777 777777777777777777 OWNERSHIP i! t%e in,e0en,ent ri(%t &6 a 0er!&n t& t%e e*#-!i+e en&$ent an, *&ntr&# &6 a t%in( in*#-,in( it! ,i!0&!iti&n an, re*&+er !-/e*t &n# t& t%e re!tri*ti&n! &r #i$itati&n! e!ta/#i!%e, / #a7 an, t%e ri(%t! &6 &t%er!. TITLE i! t%at 7%i* % *&n!tit-te! a -!t *a-!e &6 e*#-!i+e 0&!!e!!i&n &r 7%i*% i! t%e 6&-n,ati&n &6 &7ner!%i0 &6 0r&0ert. inds O& O/nersi8 5. :ULL OWNERSH IP dominium or jus in re propia* in*#-,e! a## t%e ri(%t! &6 t%e &7ner 8. NAED OWNERSHIP nuda proprietas* 7%ere t%e ri(%t t& t%e -!e an, t%e 6r-it! %a! /een ,enie,
Na1e, &7ner!%i0 -!-6r-*t F-## &7ner!%i0 =. SOLE OWNERSHIP F &7ner!%i0 i! +e!te, &n# in &ne 0er!&n @. CO>OWNERSHIPTENANC, IN COMMON &7ner!%i0 i! +e!te, in t7& &r $&re &7ner!" -nit &6 t%e 0r&0ert) 0#-ra#it &6 t%e !-/e*t! •
1- RI3HTS O: OWNERSHIPLIMITATIONS Se.en Ri's O& O/nersi8 5. A=:E/ ri(%t t& *&n!-$e) tran!6&r$ &r a/-!e / it! -!e 8. ACCE/4E ri(%t t& 6r-it! an, a**e!!&rie! =. /;4E/ ri(%t t& ,i!0&!e) in*#-,in( t%e ri(%t n&t t& ,i!0&!e) &r t& a#ienate @. . '//CA/ ri(%t t& +in,i*ate &r re*&+er Li miai$ns $n e Ri' $& O/nersi8 =CLO3S; 5. t%&!e ari!in( 6r&$ c$n&%ics $& ri.ae ri's ?e.(. t%&!e 7%i*% ta1e 0#a*e in a**e!!i&n *&ntin-a %a/ ?e.(. Le(a# 8. t%&!e i$0&!e, / ea!e$ent =. t%&!e i$0&!e, / t%e $/ner %i$!e#6 ?e.(. V&#-ntar ea!e$ent) 0#e,(e) #ea!e @. t%&!e i$0&!e, / t%e 'ran$r &6 t% e 0r&0ert &n t%e (rantee A. / *&ntra*t ?e.(. ,&nati&n B. / #a!t 7i## 4. t%&!e i$0&!e, in (enera# / t%e Sae A. 0&#i*e 0&7er B. 0&7er &6 t aati&n C. 0&7er &6 e$inent ,&$ain Ri' $& O/nersi n$ a#s$%!e • T%e 7e#6are &6 t%e 0e&0#e i! t%e •
!-0re$e est #a7lex% &6 t%e #an,. /alus populi suprema U!e &-r 0r&0ert !& a! n&t t& i$0air t%e ri(%t! &6 &t%er. /ic utere tuo ut alienum non laedas%
ACTIONS :OR POSSESSION8 MOVABLES Re%e.in Man!a% De%i.er" =re!rn $& a m$.a#%e; • /&t% 0rin*i0a# an, 0r&+i!i&na# re$e, • P#ainti66 !%a## !tate in t%e a66i,a+it t%at %e i! t%e &7ner &6 t%e 0r&0ert *#ai$e,) 0arti*-#ar# ,e!*ri/in( it &r t%at %e i! entit#e, t& 0&!!e!!i&n) an, t%at it i! 7r&n(6-## ,etaine, / t%e &t%er. • PERIOD: @ &r 9 ear! 6r&$ t%e ti$e t%e 0&!!e!!i&n t%ere&6 i! #&!t) in a**&r,an*e 7it% Art. 55=8 • machinery and e;uipment used for an industry and indispensable for the carrying on of such industry& cannot be the subject of reple"in& because they are considered real properties% • property "alidly deposited in custodia legis cannot be the subject of a reple"in suit ACTION
Accion /n!ric !%l
3ROUND
GROUND: ,e0ri+ati&n &6 0&!!e!!i&n t%r&-(%: &&r*e) inti$i,ati&n) strate() %reat) &r stea#t% =:ISTS;
De 6a*t& &r 0%!i*a# 0&!!e!!i&n
nl%u l !%inr (s%"ui co)
Le!!&r0er!&n %a+in( #e(a# ri(%t &+er 0r&0ert ,e0ri+e, &6 !-*% 7%en t%e #e!!ee0er!&n 7it%%&#,in( 0r&0ert re6-!e! t& !-rren,er
P%!i*a# 0&!!e!!i&n
Accion ;ulici%n%
Accion Rinvinic%!ori%
I-
IMMOVABLES ISSUE
CAUSE
0&!!e!!i&n &6 0r&0ert a6ter e0irati&n &6 #ea!eri(%t t& %&#, 0r&0ert Better ri(%t &6 0&!!e!!i&n
Re*&+er &6 ,&$ini&n &6 0r&0ert /a!e, &n &7ner!%i0
P&!!e!!i&n DE FACTO
O;NERSH IP
PERIOD ;it%in 5 ear 6r&$ ?5 -n#a76-# ,e0ri+ati&n) &r 6r&$ ?8 ,i!*&+er) in *a!e &6 !tea#t% &r !trate( ;it%in 5 ear 6r&$ -n#a76-# ,e0ri+ati&n: ,ate &6 #a!t ,e$an, &r #a!t #etter &6 ,e$an,
COURT MTC
MTC
;it%in a 0eri&, De0en,! &6 5 ear!) &n &t%er7i!e t%e ASSESSE rea# ri(%t &6 D VALUE 0&!!e!!i&n i! #&!t =ear! De0en,! &n ASSESSE D VALUE
In4!nci$n Genera## n&t a+ai#a/#e a! a re$e,. ;%en in-n*ti&n i! a##&7e,: A. A*ti&n! 6&r 6&r*i/#e entr
B. Ee*t$ent 0&!!e!!&r a,$itte,# t%e &7ner &r in 0&!!e!!i&n in *&n*e0t &6 &7ner 0&!!e!!&r *#ear# n&t entit#e, t& 0r&0ert etra&r,inar *a!e! 7%ere -r(en*) e0e,ien* an, ne*e!!it !& re2-ire, II- Wri $& $ssessi$n
PROCEEDIN 3S S-$$ar 0r&*ee,in(
S-$$ar 0r&*ee,in(
Ci+i#
;%en 0r&0er: A. Lan, re(i!trati&n *a!e! B. F&re*#&!-re) -,i*ia# &r etra-,i*ia#) &6 $&rt(a(e 0r&+i,e, t%at t%e $&rt(a(&r %a! 0&!!e!!i&n an, n& t%ir, 0art %a! inter+ene, C. Ee*-ti&n !a#e! D. E$inent ,&$ain 0r&*ee,in(! E. Ee*t$ent
2DOCTRINE O: STATE O: NECESSIT, STATE O: NECESSIT, Wi! t%e 0rin*i0#e 7%i*% a-t%&rie! t%e ,e!tr-*ti&n &6 a 0r&0ert 7%i*% i! #e!!er in +a#-e t& a+ert t%e ,an(er 0&i!e, t& an&t%er 0r&0ert t%e +a#-e &6 7%i*% i! $-*% (reater. REUISITES O: STATE NECESSIT,8 5. Inter6eren*e ne*e!!ar t& a+ert an i$$inent ,an(er 8. Da$a(e t& an&t%er $-*% (reater t%an ,a$a(e t& COMPARATIVE DAN3E Dan(er $-!t /e • 0r&0ert (reater t%an ,a$a(e t& 0r&0ert. C&n!i,er t%e e*&n&$i* an, !enti$enta# +a#-e &6 t%e 0r&0ert. • MEASURE O: RATIONAL NECESSIT, t%e #a7 ,&e! n&t re2-ire a 0er!&n a*tin( in a !tate &6 ne*e!!it t& /e 6ree 6r&$ ne(#i(en*e &r $i!ta1e. He $-!t /e (i+en t%e /ene6it &6 rea!&na/#e ,&-/t a! t& 7%et%er %e e$0#&e, rati&na# $ean! t& a+ert t%e t%reatene, in-r% • T%e &7ner &6 t%e !a*ri6i*ia# 0r&0ert i! &/#i(e, t& t&#erate t%e a*t &6 ,e!tr-*ti&n /-t !-/e*t t& %i! rei$/-r!e$ent / a## t%&!e 7%& /ene6ite,. • In *a!e &6 *&n6#i*t /et7een t%e eer*i!e &6 t%e ri(%t &6 !e#6%e#0 an, a 0r&0er an, #i*it !tate &6 ne*e!!it) t%e #atter 0re+ai#! /e*a-!e t%ere i! n& -n#a76-# a((re!!i&n 7%en a 0er!&n &r (r&-0 &6 0er!&n! a*t! 0-r!-ant t& t%e ri(%t (i+en in a !tate &6 ne*e!!it.
(- PRESUMPTION O: OWNERSHIP a; Re@!isies $ Raise e Dis!a#%e Pres!mi$n $& O/nersi8 5. A*t-a# 0&!!e!!i&n &6 t%e 0r&0ert 8. P&!!e!!i&n i! -n,er t%e *#ai$ &6 &7ner!%i0 a. P&!!e!!&r &6 0r&0ert %a! t%e 0re!-$0ti&n &6 tit#e in %i! 6a+&r /. J-,i*ia# 0r&*e!! *&nte$0#ate, 6&r re*& +er &6 0r&0ert: ee*t$ent !-it &r rein+in,i*at&r a*ti&n *. T%e 0er!&n *#ai$in( /etter ri(%t $-!t 0r&+e: a. T%at %e %a! /etter tit#e t& t%e 0r&0ert /. I,entit &6 t%e 0r&0ert ,. One $-!t ,e0en, &n !tren(t% &6 %i! ti t#e an, n&t t%e 7ea1ne!! &6 t%e ,e6en!e
e. A*ti&n i! 6&-n,e, &n 0&!iti+e ri(%t! 6. E+i,en*e re2-ire,: 0re0&n,eran*e e+i,en*e.
&6
#; Eminen D$mai n EMINENT DOMAINWi! t%e !-0eri&r ri(%t &6 t%e State t& a*2-ire 0ri+ate 0r&0ert 7%et%er re(i!tere, &r n&t 6&r 0-/#i* -!e -0&n 0a$ent &6 -!t *&$0en!ati&n. It i! &ne &6 t%e #i$itati&n! &6 t%e ri(%t &6 &7ner!%i0. a. A/!&#-te ne*e!!it 6&r e0r&0riati&n i! n&t re2-ire,. It i! en&-(% t%a t rea!&na/#e ne*e!!it 6&r 0-/#i* -!e i! inten,e,. /. J-!t *&$0en!ati&n i! e2-i+a#ent t& t%e +a#-e &6 t%e #an,. ? #arDet "alue 0#-! conse;uential damages $in-! t%e conse;uential benefits *. T%e $ar1et +a#-e !%&-#, /e ,eter$ine, at t%e ti$e &6 t%e 6i#in( &6 t%e *&$0#aint &r at t%e ti$e &6 ta1in( &6 t%e 0r&0ert) 7%i*%e+er tran!0ire! 6ir!t. ,. T%e &7ner!%i0 &+er t%e 0r&0ert ta1en i! tran!6erre, &n# 7%en t%e -!t *&$0en!ati&n 7it% 0r&0er intere!t %a, /een $a,e E%emens &$r Ta &6 R.A. N&. 4>: In ,eter$inin( -!t *&$0en!ati&n) t%e *&!t &6 a*2-i!iti&n &6 t%e #an,) t%e *-rrent +a#-e &6 #i1e 0r&0ertie!) it! nat-re) a*t-a# -!e an, in*&$e) t%e !7&rn +a#-ati&n / t%e &7ner) t%e ta ,e*#arati&n!) an, t%e a!!e!!$ent $a,e / (&+ern$ent a!!e!!&r!) !%a## /e *&n!i,ere,. T%e !&*ia# an, e*&n&$i* /ene6it! *&ntri/-te, / t%e 6ar$er! an, t%e 6ar$7&r1er! an, / (&+ern$ent t& t%e 0r&0ert a! 7e## a! t%e n&n0a$ent &6 tae! &r #&an! !e*-re, 6r&$ an (&+ern$ent 6inan*in( in!tit-ti&n &n t%e !ai, #an, !%a## /e *&n!i,ere, a! a,,iti&na# 6a*t&r! t& ,eter$ine it! +a#-ati&n.
:$rm!%a #" e DAR in !sin' Seci$n 1? $& RA ++*? =DAR A-O- N$- *5 series $& 199;8 LV Lan, Va#-e CNI Ca0ita#ie, Net In*&$e CS C&$0ara/#e Sa#e! MV Mar1et Va#-e 0er ,e*#arati&n LV 7 =CNI 6 0-+; Q =CS 6 0-(; Q =MV 6 0-1; Pr$ced!re $& E6r$riai$n !nder A'rarian Re&$rm8 LBP i! an a(en* *reate, 0ri$ari# t& 0r&+i,e 6inan*ia# !-00&rt in a## 0%a!e! &6 a(rarian re6&r$ 0-r!-ant t& Se*ti&n >@ &6 Re0-/#i* A*t ?RA N&. =9@@ an, Se*ti&n @ &6 RA N&. 4>. On*e an e0r&0riati&n 0r&*ee,in( 6&r t%e a*2-i!iti&n &6 0ri+ate a(ri*-#t-ra# #an,! i! *&$$en*e, / t%e DAR) t%e in,i!0en!a/#e r&#e &6 LBP /e(in!. N& -,i*ia# ,eter$inati&n &6 -!t *&$0en!ati&n a##&7e, 7it%&-t LBPK! 0arti*i0ati&n. Ta#!ena .- LBP5 K3-R- N$- 10**?5 Se- 2+5 200A#and$nmen $& Pr$er" E6r$riaed8 MCIAA .- T!d!d5 K3-R- N$- 1?)0125 N$.- 1)5 200 ;%en a 0ri+ate #an, i! e0r&0riate, 6&r 0-/#i* -!e an, !-/!e2-ent#) t%e 0-/#i* -!e 7a! a/an,&ne,) it ret-rn! t& it! &7ner -n#e!! t%ere i! a !tat-t&r 0r&+i!i&n t%at 0r&%i/it! it. MCIAA %a! t%e &/#i(ati&n t& ret-rn t& t%e #an,. %a! t%e &/#i(ati&n t& ret-rn: 5. ;%at %e re*ei+e, a! -!t *&$ 0en!ati&n 7it% intere!t *&$0-te, 6r&$ ,e6a-#t. 8. Ne*e!!ar e0en!e! in*-rre, / MCIAA in !-!tainin( #&t an, $&netar +a#-e 6&r !er+i*e! in $ana(in( in!&6ar a! 7a! /ene6itte, !er+i*e! in $ana(in( in!&6ar a! 7a! /ene6itte, F&##&7in( Arti*#e 559> &6 t%e Ci+i# C&,e) t%e MCIAA $a 1ee0 7%ate+er in*&$e &r 6r-it! it $a %a+e &/taine, 6r&$ L&t N&. 99) an, nee, n&t a**&-nt 6&r t%e intere!t! t%at t%e a$&-nt! t%e re*ei+e, a! -!t *&$0en!ati&n $a %a+e earne, in t%e $eanti$e. Re!0&n,ent!) a! *re,it&r!) ,& n&t %a+e t& !ett#e a! 0art &6 t%e 0r&*e!! &6 re!tit-ti&n t%e a00re*iati&n in +a#-e &6 L&t 99 7%i*% i! a nat-ra# *&n!e2-en*e &6 nat-re an, ti$e. )
c; P$%ice P$/er
POLICE POWER i! an&t%er #i$itati&n &6 t%e ri(%t &6 &7ner!%i0 7%erein 0r&0ert $a /e inter6ere, 7it%) e+en ,e!tr&e,) i6 !& ,e$an,e, / t%e 7e#6are &6 t%e *& $$-nit. T%e &7ner &6 t%e 0r&0ert i! n&t entit#e, t& *&$0en!ati&n Re@!isies $& P$%ice P$/er8 =PRO; 5. P-/#i* intere!t 8. R ea!&na/# ne*e!!ar $ean! 6&r t%e a**&$0#i!%$ent &6 a 0-r0&!e =. It i! n&t -n,-# O00re!!i+e -0&n in,i+i,-a#! a. N& ta1in( &6 0r&0ert in+&#+e, /. N& 6inan*ia# *&$0en!ati&n SUR:ACE RI3HTS O: A LANDOWNER W ri(%t t& !-r6a*e e+ert%in( -n,er it &n# a! 6ar a! ne*e!!ar 6&r %i! 0ra*ti*a# intere!t ?Bene6it &r En&$ent 5. Ri(%t! !-/e*t t&: a. Ei!tin( !er+it-,e! &r ea!e$ent! /. S0e*ia# #a7! *. L&*a# &r,inan*e! ,. Rea!&na/#e re2-ire$ent! &6 aeria# na+i(ati&n e. Ri(%t! &6 t%ir, 0er!&n!
)- HIDDEN TREASURE C$nce $& Treas!re8 =HUM; 5. Hi,,en an, -n1n&7n 8. Un1n&7n &7ner =. C&n!i!t! &6 M &ne) e7e#!) &r &t%er 0re*i&-! &/e*t!. ?n&t ra7 $ateria#! Ri' $ Hidden Treas!re8 5. Fin,er i! t%e !a$e a! &7ner &6 t%e 0r&0ert trea!-re t&ta## /e#&n(! t& %i$. 8. Fin,er i! t%ir, 0er!&n an, %e ,i!*&+ere, it / *%an*e 6in,er i! entit#e, t& &ne %a#6 &6 t%e +a#-e &6 t%e trea!-re. =. Fin,er i! an in tr-,er %e i! n&t en tit#e, t& ant%in( @. Fin,er 7a! (i+en e0re!! 0er$i!!i&n / t%e &7ner !-/e*t t& t%e *&ntra*t &6 !er+i*e an, 0rin*i0#e &6 -n-!t enri*%$ent
BASIS
ACCION RE P LE V IN
: O RC IBL E E N T R ,
A*ti&n &r 0r&+i!i&na# re$e, 7%ere t%e *&$0#ainant 0ra! 6&r t%e re*&+er &6 t%e 0&!!e!!i&n &6 t%e 0er!&na# ! 0r&0ert e f NOT APPLICABLE TO i ?a M&+a/#e! ,i!traine, &r n ta1en 6&r a ta a!!e!!$ent &r i 6ine 0-r!-ant t& #a7 t ?/ T%&!e -n,er a 7rit &6 i ee*-ti&n &r 0re#i$inar o atta*%$ent n ?* T%&!e -n,er custodia legis Ghere to MTC &r RTC ,e0en,in( &n t%e file a$&-nt &6 $&ne in+&#+e, Issue Re*&+er &6 0&!!e!!i&n &6 in"ol"ed 0er!&na# 0r&0ert
S-$$ar a*ti&n t& re*&+er $ateria# &r 0%!i*a# 0&!!e!!i&n &6 rea# 0r&0ert 7%en a 0er!&n &ri(ina## in 0&!!e!!i&n 7a! ,e0ri+e, t%ere&6 / ?:ISTS :&r*e) Inti$i,ati&n) Strate() T%reat) &r Stea#t%
Action Prescripti on
<-a!iinRe$ 5 ear 6r&$ ,i!0&!!e!!i&n FIT 6r&$ ,i!0&!!e!!i&n SS 6r&$ ,i!*&+er
Others
InPer!&na$
Ste0!: i. C&$0#aint i! 6i #e, at *&$$en*e$ent &r at an ti$e /e6&re an!7er &6 &t%er 0art ii. C&$0#aint !%&-#, a##e(e O;TA ?&7ner) 7r&n(6-## ta1en) ta1en a(ain!t #a7 iii. Pa /&n, ,&-/#e t%e a$&-nt &6 0r&0ert
CIVIL LAW REVIEWER
MTC Materia# &r 0%!i*a# 0&!!e!!i&n &6 rea# 0r&0ert P&!!e!!i&n ,e 6a*t&
•
•
Ma /e /r&-(%t a(ain!t t%e &7ner in !&$e *a!e! !-*% a! #ea!e C&$0#aint $-!t !tate FISTS &r e#!e it 7&-#, -!t /e an accion publiciana 7%i*% !%&-#, /e 6i#e, 7it% t%e RTC
UN L A W: U L DETAINER A*ti&n /r&-(%t 7%en 0&!!e!!i&n / a #an,#&r,) +en,&r &r +en,ee &r &t%er 0er!&n &6 an #an, &r /-i#,in( i! /ein( -n#a76-## 7it%%e#, a6ter t%e ter$inati&n &r e0irati&n &6 t%e ri(%t t& %&#, 0&!!e!!i&n) / +irt-e &6 a *&ntra*t) e0re!! &r i$0#ie,
ACCION PUBLICIANA It i! t%e 0re#i$inar a*ti&n t& re*&+er a /etter ri(%t t& 0&!!e!!
MTC
RTC
Materia# &r 0%!i*a# 0&!!e!!i&n &6 rea# 0r&0ert P&!!e!!i&n ,e 6a*t&
REINVINDICATORIA A*ti&n t& re*&+er &7ner!%i0 &6 rea# 0r&0ert
RTC
Better ri(%t &6 O7ner!%i0 &6 rea# 0&!!e!!i&n &6 0r&0ert rea# 0r&0ert. P&!!e!!i&n ,e -re <-a!iinRe$ <-a!iinRe$ <-a!iinRe$ 5 ear 6r&$ t%e ti$e 5 ear! 5 &r = ear! t%e 0&!!e!!i&n ,e0en,in( &n /e*a$e -n#a76-# 7%et%er itK! &r,inar #a!t ,ate &6 ,e$an, &r etra&r,inar &r #etter &6 ,e$an, 0re!*ri0ti&n 8 1in,!: • I6 t%ereK! a 6ie, • A**i&n 0eri&, 5 ear 6r&$ a P&!!e!!i&n n&t rein+in,i*at&ria t%r&-(% FISTS t%e e0irati&n &6 t%e *an /e 6i#e, *an /e 6i#e, #ea!e !i$-#tane&-!# I$$e,iate# 7it% FE • I6 t%e rea!&n i! n&n • J-,($ent &6 0a$ent &6 rent &r / 5 ear 0eri&, n&n6-#6i##$ent &6 &7ner!%i0 -!-a## 6&r t%e *&n,iti&n! &6 in*#-,e! t%e ri(%t FE &r UD %a! t%e #ea!e 5 ear &6 0&!!e!!i&n E#a0!e, 6r&$ ,e$an, t&
Pa'e (9 $& )01
i+. S%eri66 ta1e! 0r&0ert +. D&&r! /r&1en i6 ne*e!!ar De6en,antK! re$e,: a a Fi#e a /&n, ,&-/#e t%e a$&-nt) an, a a Gi+e *&0 t& 0#ainti66 Stran(erK! re$e, Fi#e a =r, 0art *#ai$
CIVIL LAW REVIEWER
S%&-#, re$e$/er Arti*#e @=@. In an a*ti&n t& re*&+er &7ner!%i0) t%e 0r&0ert $-!t /e i,enti6ie,) an, t%e 0#ainti66 $-!t re# &n t%e !tren(t% &6 %i! tit#e an, n&t &n t%e 7ea1ne!! &6 t%e ,e6en,antK! *#ai$
•
+a*ate • C&$0#aint 6i#e, 4 ,a! a6ter ,e$an, ?/-i#,in(! &r 54 ,a! ?#an, • Re6er! t& an 1in, &6 #an, • It !%&-#, /e a##e(e, t%at t%e ri(%t t& 0&!!e!! %a, /een ter$inate, an, t%at t%e *&ntin-e, 0&!!e!!i&n 7a! -n#a76-# • N&t t%e re$e, i6 7%at i! !&-(%t i! !0e*i6i* 0er6&r$an*e • De$an, Ne*e!!ar i6 t%ere i! a /rea*% N&t ne*e!!ar i6 t%e 6ie, 0eri&, -!t e0ire!
Pa'e )0 $& )01
2.
================================
TOPICS UNDER THE S,LLABUS C- Accessi$ns 1- Accessi$n Discrea a- Na!ra% :r!is #- Ind!sria% : r!is cCi.i% :r!is 2- Accessi$n C$nin!a a-1 Accessi$n Ind!sria% i- B!i%der P%aner S$/er =BPS; in 3$$d :ai ii- BPS in Bad :ai iii- N$ C%aim $& O/n ersi a-2 Accessi$n Na!ra% a-( :$r Pers$na% Pr$er" i- Ad4!cni$n C$n4!nci$n ii- Mi6!re iii- Seci&icai$n ================================
C- ACCESSION ACCESSIONW i! t%e ri( %t &6 t%e &7ner &6 a t%in() rea# &r 0er!&na#) t& /e*&$e t%e &7ner &6 e+ert%in( 7%i*% i! 0r&,-*e, t%ere/) &r 7%i*% i! in*&r0&rate, &r atta*%e, t%eret&) eit%er nat-ra## &r arti6i*ia##. NOTE# It i! NOT &ne &6 t%e $&,e! &6 a*2-irin( &7ner!%i0 en-$erate, in Arti*#e >58.
U !-6r-*t 3. Lea!e &6 r-ra# #an,! 4. P#e,(e 5. A nti*%re!i!
2- ACCESSION C ONTINUA t%e eten!i&n &6 t%e ri(%t &6 &7ner!%i0 &6 a 0er!&n t& t%at 7%i*% i! in*&r0&rate, &r atta*%e, t& a t%in( 7%i*% /e#&n(! t& !-*% 0er!&n. It $a ta1e 0#a*e:
a- Wi resec $ rea% r$er" a* b*
accession natural industrial
#- Wi resec $ ers$na% r$er" i% adjunction or conjunction ii% commixtion or c onfusion iii% specification
a-1 Accessi$n Ind!sria% PRINCIPLES8 5. A**e!!&r 6&##&7! t%e 0rin*i0a#. 8. T%e in*&r0&rati&n &r -n i&n $-!t /e inti$ate t%at re$&+a# &r !e0arati&n *ann&t /e e66e*te, 7it%&-t !-/!tantia# in-r t& eit%er &r /&t%. =. G&&, 6ait% e&nerate! a 0er!&n 6r&$ 0-niti+e #ia/i#it /-t /a, 6ait% $a (i+e ri!e t& ,ire *&n!e2-en*e!. @. Ba, 6ait% &6 &ne 0art ne-tra#ie! t%e /a, 6ait% &6 t%e &t%er.
2 INDS O: ACCESSION8
4. N& &ne !%&-#, enri*% %i$!e#6 at t%e e0en!e &6 an&t%er.
1- ACCESSION D ISCRETA t%e eten!i&n &6
OBLI3ATIONS8
t%e ri(%t &6 &7ner!%i0 &6 a 0er!&n t& t%e 0r&,-*t! &6 a t%in( 7%i* % /e#&n(! t& !-*% 0er!&n. It ta1e! 0#a*e 7it% re!0e*t t&: a- NATURAL :RUITS !0&ntane&-! 0r&,-*t! &6 t%e !&i# an, t%e &-n( &6 ani$a#!. #- INDUSTRIAL :RUITS t%&!e 0r&,-*e, / #an,! &6 an 1in, t%r&-(% *-#ti+ati&n &r #a/&r. c- CIVIL :RUITS rent! &6 /-i#,in(!) t%e 0ri*e &6 #ea!e &6 #an,! an, &t%er 0r&0ert an, t%e a$&-nt &6 0er0et-a# &r #i6e ann-itie! &r &t%er !i$i#ar in*&$e.
3ENERAL RULE8 A## 6r-it! /e#&n( t& t%e &7ner &6 a t%in(. EFCEPTIONS8 =PULPA; 1. P &!!e!!i&n in (&&, 6ait% / an&t%er
CIVIL LAW REVIEWER )01
i-
3aered :r!is PLANTER
OWNER
Planter in 8ood aith 8*
'ee0! 6r-it!
Planter in +ad aith +*
Rei$/-r!e, 6&r e0en!e! 6&r 0r&,-*ti&n) (at%erin() an, 0re!er+ati&n ?ne*e!!ar e0en!e!
N& nee, t& rei$/-r!e t%e 0#anter &6 e0en!e! !in*e %e retain! t%e 6r-it! Get! 6r-it!) 0a 0#anter ne*e!!ar e0en!e!
Pa'e )1 $&
ii- Sandin' Cr$ s Planter in 8
Planter in +
PLANTER Rei$/-r!e, 6&r e0en!e! 6&r 0r&,-*ti&n) (at%erin() an, 0re!er+ati&n L&!e! e+ert%in(. N& ri(%t t& rei$/-r!e$e nt
OWNER O7n! 6r-it! 0r&+i,e, %e 0a! 0#anter e0en!e! 6&r 0r&,-*ti&n) (at%erin() an, 0re!er+ati&n. forced co< ownership* O7n! 6r-it!
iii. R# 4sprn o Ani&%ls. ;%en t%e $a#e an, 6e$a#e ani$a#! /e#&n( t& ,i66erent &7ner!) -n,er t%e Parti,a!) t%e &7ner &6 t%e 6e$a#e 7a! *&n!i,ere, a#!& t%e &7ner &6 t%e &-n() -n#e!! t%ere i! a *&ntrar *-!t&$ &r !0e*-#ati&n. T%e #e(a# 0re!-$0ti&n) in t%e a/!en*e &6 0r&&6 t& t%e *&ntrar) i! t%at t%e *a#6) a! 7e## a! it! $&t%er /e#&n( t& t%e &7ner &6 t%e #atter) / t%e ri(%t &6 a**reti&n. US .Ca#a%%er$5 K2* Pi% (*+ T%i! i! a#!& in a**&r, 7it% t%e $ai$ pratus se;uitor "entrem ?t%e &66!0rin( 6&##&7! t%e ,a$ &r $&t%er.
Ri' $& Accessi$n /i Resec $ Imm$.a#%es T/$ dis!a#%e res!mi$ns as imr$.emens $n %and8 5. ;&r1! $a,e / t%e &7ner 8. ;&r1! $a,e at t%e &7nerK! e0en!e
OM 7 B: LO 7 B: =as i& #$ in 3:; LO 7 B: OM 7 3:
Excp!ion# OM eer*i!e! t%e ri(%t &6 re$&+a#
Be*&$e! t%e &7ner &6 t%e $ateria#! /-t %e $-!t 0a: '% @alue )% !amages
re$&+a# - 0r&+i,e, n& in-r t& t%e 7&r1 *&n!tr-*te, &r ,e!tr-*ti&n &6 t%e 0#antin(!) et*. 7i## /e *a-!e, 5. Entit#e, t& t%e ABSOLUTE ri(%t &6 re$&+a# an, ,a$a(e! ?7%et%er &r n&t !-/!tantia# in-r i! *a-!e, 8. Entit#e, t& rei$/-r!e$ent an, ,a$a(e! ?in *a!e %e *%&&!e! n&t t& re$&+e
PLANTIN3 V- SOWIN3 1.
2.
PLANTIN3W 0ertain! t& a 0erennia# 6a*t. S&$et%in( t%at 7i## (r&7 an, 0r&,-*e 6r-it! ear a6ter ear 7it%&-t %a+in( t& /e re0#ante,. SOWIN3W 0ertain! t& an ann-a# *r&0. S&$et%in( t%at 7i## (r&7 an, 0r&,-*e 6r-it! an, t%en &- 0#ant a(ain /e6&re it 7i## 0r&,-*e 6r-it! a(ain.
ESSENCE O: DISTIN3UISHMENT In 0#antin(: %aner ma" #e re@!ired $ #!" e %andIn !&7 in(: s$/er ma" #e re@!ired $ a" rens-
$
WHERE LAND AND MATERIALS BELON3 TO DI::ERENT OWNERS Land O/ner O/ner $& =LO; Maeria%s =OM; OM 7 Be*&$e! t%e 5. Entit#e, t& 3: &7ner &6 t%e rei$/-r!e$ent LO 7 $ateria#! /-t - 0r&+i,e, %e ,&e! 3: %e $-!t 0a 6&r n&t re$&+e t%e$ t%eir "alue. 8. Entit#e, t& Or
CIVIL LAW REVIEWER )01
Pa'e )2 $&
WHERE A PERSON BUILDS =IN 3OOD OR IN BAD :AITH; ON
THE LAND O: ANOTHER
LANDOWNER=LO; LO GF B-i#,er GF" Or LO BF B-i#,er BF ?a! i6 /&t% in GF
LO GF B-i#,er BF
BUILDER
OPTIONS: 5. A00r&0riate i$0r&+e$ent! a! %i! &7n a6ter 0ain( 6&r in,e$nit 8. C&$0e# t%e /-i#,er t& /- t%e #an, 7%ere t%e Excp!ion# /-i#,in( %a! /een /-i#t Va#-e &6 #an, Q Va#-e &6 i$0r&+e$ent! rent t& /e 0ai,
I6 /-i#,er 6ai#! t& 0a t%e rent: n& ri(%t &6 retenti&n LO entit#e, t& re$&+a# &6 i$0r&+e$ent OPTIONS: 5. A00r&0riate t%e i$0r&+e$ent! - $-!t 0a 6&r: - a. ne*e!!ar e0en!e! 6&r t%e 0re!er+ati&n &6 t%e #an, - /. ,a$a(e! n& nee, t& 0a 6&r it! +a#-e &r &t%er e0en!e! 8. ri(%t t& ,e$&#i!% &r re$&+a# ,a$a(e! at t%e /-i#,erK! e0en!e
5. Ri(%t t& in,e$ni6i*ati&n a. Ne*e!!ar e0en!e!) 7 ri(%t &6 retenti&n -nti# rei$/-r!e, /. U!e6-# e0en!e!) 7 ri(%t &6 retenti&n 8. Ri(%t &6 re$&+a# i6 t%e t%in( !-66er! n& in-r) an, i6 %i! !-**e!!&r in t%e 0&!!e!!i&n ,&e! n&t 0re6er t& re6-n, t%e a$&-nt e0en,e,.
5. L&!e! 7%at i! /-i#t) 0#ante,) &r !&7n 7it%&-t ri(%t t& in,e$nit 8. Lia/i#it 6&r ,a$a(e! =. Entit#e, t& rei$/-r!e$ent 6&r t%e ne*e!!ar e0en!e! &6 0re!er+ati&n &6 #an,
=. *&$0e# t%e /-i#,er &r 0#anter t& 0a t%e 0ri*e &6 t%e #an,) an, t%e !&7er t%e 0r&0er rent ,a$a(e! 7%et%er &r n&t t%e +a#-e &6 t%e #an, i! *&n!i,era/# $&re t%an t%e +a#-e &6 t%e %&-!e
3enera% R!%e8 LO %a! n& ri(%t &6 re$&+a# &r ,e$&#iti&n. E6cei$n8 O0ti&n &6 ri(%t &6 re$&+a# i! *&$0-#!&r &n t%e 0art &6 t%e LO 7%en /-i#,er 6ai#! t& 0a. REMEDIES8 5. De$&#i!% 7%at %a! /een /-i#t) !&7n) &r 0#ante, 8. C&n!i,er 0ri*e &6 #an, a! an &r,inar $&ne ,e/t &6 t%e /-i#,er $a en6&r*e 0a$ent t%r- an &r,inar a*ti&n 6&r t%e re*&+er &6 a $&ne ,e/t ?#e+ an, ee*-ti&n
CIVIL LAW REVIEWER )01
EFCEPTIONS $ e R!%e $n B!i%ders5 ec=HSBC; 1. B-i#,er) et*. ,&e! n&t *#ai$ &7ner!%i0 &+er t%e #an, /-t 0&!! e!!e! it a! mere B older & agent& usufructuary or tenantH he Dnows that the land is not his%
EFCEPTION TO THE EFCEPTION : Tenant 7%&!e #ea!e i! a/&-t t& e0ire) /-t !ti## !&7!) n&t 1n&7in( t%at t%e *r&0! 7i## n& #&n(er /e#&n( t& %i$
Pa'e )( $&
2.
3. 4.
•
A 0er!&n *&n!tr-*t! a /-i#,in( &n %i! &7n #an,) an, t%e n Sells the land but not the building to another a. n& 2-e!ti&n &6 (&&, 6a it% &r /a , 6ait% &n t%e 0art &6 t%e /-i#,er /. *an /e *&$0e##e, t& re$&+e t%e /-i#,in( *. ne7 &7n er 7i## n& t /e re2 -ire, t& 0a an in,e$nit 6&r t%e /-i#,in( B-i#,er i! a =elligerent occupant B-i#,er) et*. i! a C o
Parties: '% =and owner =O* )% +uilder& planter& sower builder* .% Owner of materials O#* • Ri's $& LO and B!i%der
same as se &$r in e a#%e • Ri's $& OM a% +ad faith i. L&!e! a## ri(%t! t& /e in,e$ni6ie, ii. Can /e #ia/#e 6&r *&n!e2-entia# ,a$a(e! ?a! 7%en t%e $ateria#! are &6 an in6eri&r 2-a#it b% 8ood faith i. Entit#e, t& rei$/-r!e$ent ii. In *a!e &6 in!&#+en* &n t%e 0art &6 t%e /-i#,er LO i! !-/!i,iari# #ia/#e) i6 %e $a1e! -!e &6 t%e $ateria#!.
RULE8 OM #ad &ai5 B!i%der #ad &ai5 LO '$$d &ai 1.
RULES WHEN LANDOWNER SELLS LAND TO A (RD PERSON WHO IS IN BAD :AITH 5. B-i#,er $-!t (& a(ain!t %i$. 8. BUT 7%en t%e = r, 0er!&n 0ai, t%e #an,&7ner: a. B-i#,er $a !ti## 6i#e a *a!e a( ain!t %i$ /. =r, 0er!&n $a 6i#e a =r, 0art *&$0#aint a(ain!t #an,&7ner
2.
Bet7een OM an, B!i%der) (&&, 6ait% $-!t (&+ern. B!i%der $-!t rei $/-r!e OM) /-t in *a!e B!i%der *ann&t 0a) LO 7i## n&t /e !-/!i,iari# #ia/#e /e*a-!e a! t& %i$) OM i! in /a, 6ait%. I6 t%e #!i%der 0a!) %e LO *ann&t a!1 rei$/-r!e$ent 6r&$ /e*a-!e a! t& LO) #!i%der i! in /a, 6ait% LO Can a!1 ,a$a(e! 6r&$ BOTH" %a! t%e *%&i*e t&: a. A00r&0riate 7%at %a! /een /-i#t a! %i! &7n i.
•
A promised to donate a property to +% + constructed his house thereon before the donation% If the property was not donated to him& can + be considered a possessor in good faith Mere 0r&$i!e t& ,&nate t%e 0r&0ert t& B *ann&t *&n+ert %i$ int& a /-i#,er in (&&, 6ait%. At t%e ti$e t%e i$0r&+e$ent 7a! /-i#t) !-*% 0r&$i!e 7a! n&t et 6-#6i##e,) /-t a $ere e0e*tan* &6 &7ner!%i0 t%at $a &r $a n&t /e rea#ie,. I6 at a##) B i! a $ere 0&!!e!!&r / t&#eran*e. A 0er!&n 7%&!e &**-0ati&n &6 a rea#t i! / t&#eran*e &6 it! &7ner! are n&t 0&!!e!!&r! in (&&, 6ait%. Hen*e) %e i! n&t entit#e, t& t%e +a#-e &6 t%e i$0r&+e$ent! /-i#t t%ere&n% Ver$na Pada> i%ari$ .- CA5 K3-R- N$- 1()(295 an!ar" 195 2000
RULES WHEN INVOLVED8
THREE
PARTIES
CIVIL LAW REVIEWER )01
ARE
;it%&-t &6 ane0en!e! in,e$nit 6&r -!e6-#0a$ent &r ne*e!!ar 6&r t%e /-i#,in( ii. ;it% in,e$nit 6&r t%e ne*e!!ar e0en!e! 6&r t%e 0re!er+ati&n &6 t%e #an, /. De$an, t%e ,e$&#iti&n at /-i#,erK! e0en!e *. C&$0e# /-i#,er t& 0a t% e 0ri*e &6 t% e #an, i. ;%et%er t%e #an, i! *&n!i,era/# $&re +a#-a/#e t%an t%e /-i#,in( &r n&t. •
A #e!!ee *ann&t /e a /-i#,er in (&&, 6ait%. He i! e!t&00e, t& ,en %i! #an,#&r,K! tit#e) &r t& a!!ert a /etter tit#e n&t &n# in %i$!e#6) /-t a#!& in !&$e t%ir, 0er!&n 7%i#e %e re$ain! in 0&!!e!!i&n &6 t%e #ea!e, 0re$i!e! an, -nti# %e !-rren,er! 0&!!e!!i&n t%e #an,#&r,. M!nar .- CA5 K2(0 SCRAt&(?2 :rederic$ 3eminian$5
Pa'e )) $&
e a%- .- CA5 e a%-5 K3-R- N$- 120(0(5 !%" 2)5 199+ •
E!t&00e# a00#ie! e+en i6 t%e #e!!&r %a, n& tit#e at t%e ti$e. T%e re#ati&n &6 #e!!&r an, #e!!ee 7a! *reate, an, $a /e a!!erte, n&t &n# / t%e &ri(ina# #e!!&r) /-t a#!& / t%&!e 7%& !-**ee, t& %i! tit#e. A! #e!!ee!) t%e 1ne7 t%at t%eir &**-0ati&n &6 t%e 0re$i!e! 7&-#, *&ntin-e &n# 6&r t%e #i6e &6 t%e #ea!e. T%e *ann&t /e *&n!i,ere, a! 0&!!e!!&r! n&r /-i#,er! in (&&, 6ait%. RacaJa .- S!san Rea%"5 Inc-5 K1 SCRA 11?2 Vda- De Baca%in' .- La'!na5 K*) SCRA 2)( San$s .- CA5 K221 SCRA )2
•
E+en i6 t%e #e!!&r 0r&$i!e, t& !e##) it 7&-#, n&t $a1e t%e #e!!ee 0&!!e!!&r &r /-i#,er in (&&, 6ait% !& a! t& /e *&+ere, / t%e 0r&+i!i&n! &6 Art. @@9 &6 t%e NCC) i6 %e i$0r&+e! t%e #an,. T%e #atter *ann&t rai!e t%e $ere e0e*tan* &6 &7ner!%i0 &6 t%e #an, /e*a-!e t%e a##e(e, 0r&$i!e t& !e## 7a! n&t 6-#6i##e, n&r it! ei!ten*e e+en 0r&+en- =!rad$;
•
T%e &7ner &6 t%e #an, &n 7%i*% a /-i#,in( %a! /een /-i#t in (&&, 6ait% / an&t%er %a! t%e &0ti&n t& /- t%e /-i#,in( &r !e## %i! #an, t& t%e /-i# ,er) %e *ann&t re6-! e t& eer*i!e eit%er &0ti&n % Sarmien$ .A'ana5 K129 SCRA 122 =19);
•
O7ner &6 t%e #an, &n 7%i*% i$0r&+e$ent 7a! /-i#t / an&t%er in (&&, 6ait% i! entit#e, t& re$&+a# &6 i$0r&+e$ent &n# a6ter #an,&7ner *%&!e t& !e## t%e #an, an, t%e /-i#,er re6-!e, t& 0a 6&r t%e !a$e. ;%ere t%e #an,K! +a#-e i! (reater t%an t%e i$0r&+e$ent) t%e #an,&7ner *ann&t *&$0e# t%e /-i#,er t& /- t%e #an ,. A 6&r*e, #ea!e i! t%en *reate, an, t%e *&-rt !%a## 6i t%e ter$! t%ere&6 in *a!e t%e 0artie! ,i!a(ree t%ere&n% Dera .D!m%a$5 K1(+ SCRA )?* =19*;
•
T%e ri(%t t& *%&&!e /et7een a00r&0riatin( t%e i$0r&+e$ent &r !e##in( t%e #an, &n 7%i*% t%e i$0r&+e$ent &6 t%e /-i#,er) 0#anter &r !&7er !tan,!) i! (i+en t& t%e &7ner &6 t%e #an, ?n&t t% e *&-rt Ba%aan
•
I$0r&+e$ent! $a,e 0ri&r t& t%e ann&tati&n &6 t%e n&ti*e &6 lis pendens are ,ee$e, t& %a+e /een $a,e in (&&, 6ait%. A6ter !-*% ann&tati&n) P *an n& #&n(er in+&1e t%e ri(%t! &6 a /-i#,er in (&&, 6ait%. S%&-#, E &0t t& a00r&0riate t%e i$0r&+e$ent! $a,e / P) it !%&-#, &n# /e $a,e t& 0a 6&r t%&!e i$0r&+e$ent! at t%e ti$e (&&, 6ait% ei!te, t& /e 0e((e, at it! *-rrent $ar1et +a#-e. Carrasc$s$ .- CA5 K3-R- N$12(+?25 Decem#er 1)5 200*
.- CA5 K(0) SCRA () =1999;
CIVIL LAW REVIEWER )01
Pa'e )* $&
ACCESSION
Accession Discreta
Natural Fruits
Industrial Fruits
%eal
Civil Fruits
rents of buildings price of leases of "pontaneous products of the soil# $oung and other products of ani!als
Accession Continua
land &propert other a!ount of perpetual or life annuities or other si!ilar inco!e
Accession Industrial
'uilding lanting "o(ing
Accession Natural
Alluviu! Avulsion Change of course of rivers For!ation of islands
ersonal
Ad)unction* "pecification Con)unction
(ISTEP) Inclusion or engraft!ent Soldadura or soldering Te)ido or (eaving Escritura or (riting Pintura or ainting
+i,ed
co!!i,tion confusion
Accessi$n Na!ra% i- A%%!.i!m ALLUVION t%e a**reti&n 7%i*% t%e /an1! &6 ri+er! (ra,-a## re*ei+e 6r&$ t%e e66e*t! &6 t%e *-rrent &6 t%e 7ater! an, 7%i*% /e#&n( t& t%e &7ner! &6 #an,! a,&inin( t%e !ai, /an1!. ACCRETION a*t &r 0r&*e!! / 7%i*% a ri0arian #an, (ra,-a## an, i$0er*e0ti+e# re*ei+e! a,,iti&n $a,e / t%e 7ater t& 7%i*% t%e #an, i! *&nti(-&-!. ESSENTIAL ELEMENTS8 5. De0&!it &r a** -$-#ati&n &6 !&i # &r !e, i$ent $-!t /e (ra,-a# an, i$0er*e0ti/#e. 8. A**reti&n re!-#t! 6r&$ t%e e66e*t! &r a*ti&n &6 t%e *-rrent &6 t%e 7ater! &6 t%e ri+er. =. T%e #an, 7%e re a** reti&n ta1 e! 0#a *e $-! t /e a,a*ent t& t%e /an1 &6 a ri+er. •
Re(i!trati&n -n,er t%e T&rren! S!te$ ,&e! n&t 0r&te*t t%e ri0arian &7ner a(ain!t t%e ,i$in-ti&n &6 t%e area &6 %i! re(i!tere, #an, t%r&-(% (ra,-a# *%an(e! in t%e *&-r!e &6 an a,&inin( !trea$. Via4ar .- CA5 K1+ SCRA )0* =19;
•
Fai#-re t& re(i!ter t%e a*2-ire, a##-+ia # ,e0&!it / a**reti&n 6&r 4 ear! !-/e*te, !ai, a**reti&n t& a*2-i!iti&n t%r&-(% 0re!*ri0ti&n / t%ir, 0er!&n!. Re"nane .- CA5 K20? SCRA ?9) =1992;
•
T%e r-#e! &n a##-+i&n ,& n&t a00# t& $an$a,e &r arti6i*ia# a**reti&n! t& #an,! t%at a,&in *ana#! &r e!ter&! &r arti6i*ia# ,raina(e !!te$. R$n@!i%%$ .- CA5 K19* SCRA )(( =1991;
•
La7 &6 ;ater!: ART. @. Lan,! a,,e, t& t%e !%&re! / a**reti&n! an, a##-+i-$ ,e0&!it! *a-!e, / t%e a*ti&n &6 t%e !ea) 6&r$ 0art &6 t%e 0-/#i* ,&$ai n - ;%en t%e are n& #&n(er 7a!%e, / t%e 7ater! &6 t%e !ea) an, are n&t ne*e!!ar 6&r t%e 0-r0&!e! &6 0-/#i* -ti#it) &r 6&r t%e e!ta/#i!%$ent &6 !0e*ia# in,-!trie!) &r 6&r t%e *&a!t(-ar, !er+i*e) t%e G&+ern$ent !%a## ,e*#are t%e$ t& /e t%e 0r&0ert &6 t%e &7ner! &6 an t%ein*re$ent e!tate! a,a*ent t%eret& an, a! t%ere&6. LanJar .- Dir- O& Lands5 K? SCRA 1*2
ii- A.!%si$n
AVULSION a**reti&n 7%i*% ta1e! 0#a*e 7%en t%e *-rrent &6 a ri+er) *ree1) &r t&rrent !e(re(ate! 6r&$ an e!tate &n it! /an1 a 1n&7n 0&rti&n an, tran!6er! it t& an&t%er e!tate) in 7%i*% *a!e) t%e &7ner &6 t%e e!tate t& 7%i*% t%e !e(re(ate, 0&rti&n /e#&n(e,) retain t%e &7ner!%i0 t%ere&6. ALLUVIUM .s- AVULSION ALLUVIUM AVULSION De0&!it &6 !&i# i! De0&!it &6 !&i# i! !-,,en (ra,-a# an, &r a/r-0t. i$0er*e0ti/#e. S&i# *ann&t /e S&i# i! i,enti6ia/#e an, i,enti6ie,. +eri6ia/#e. De0&!it &6 !&i# /e#&n(! De0&!it &6 !&i# /e#&n(! t& t& t%e &7ner &6 t%e t%e &7ner 6r&$ 7%&!e 0r&0ert t& 7%i*% it i! 0r&0ert it 7a! ,eta*%e,. atta*%e,. ESSENTIAL ELEMENTS8 5. Se(re(ati&n an, tran!6er $-!t /e *a-!e, / t%e C -rrent &6 a ri+er) *ree1 &r t&rrent. 8. Se(re(ati&n an, tra n!6er $-!t /e S -,,en &r a/r-0t. =. T%e 0&rti&n &6 #an, tran!0&rte, $-!t /e n&7n &r i,enti6ia/#e. NOTE8 T%e &7ner !%&-#, re$&+e t%e tran!6erre, 0&rti&n 7it%in t7& ear!" &t%er7i!e) it /e*&$e! 0er$anent# atta*%e,. Ur$$ed Trees 5. Tree! -0r&&te, an, *arrie, a7a / t%e *-rrent &6 t%e 7ater! a. O7ner! ,& n&t *#ai$ t%e$ 7in $&! Be#&n( t& t%e &7ner &6 t%e #an, -0&n 7%i*% t%e $a /e *a!t b. O7ner! *#ai$ t%e$ &7ner! 0a t%e e0en!e! in*-rre, in (at%erin( t%e$ &r 0-ttin( t%e$ in a !a6e 0#a*e iii- Can'e $& Ri.er#ed Re@!isies8 5. T%ere $-!t /e a na t-ra# *%an(e in t%e *&-r!e &6 t%e 7ater! &6 t%e ri+er. 8. T%e *%an(e $-!t /e a/r-0t &r !-,,en. Ri' $& $/ner $& %and $cc!ied #" ne/ ri.er c$!rse: 5. Ri(%t t& &#, /e, i0! & 6a*t& in 0r& 0&rti&n t& area #&!t 8. O7ner &6 a,&inin( #an, t& &#, /e,: ri(%t t& a*2-ire t%e !a$e / 0ain( it! +a#-e Va#-e n&t t& e*ee, t%e +a#-e &6 area &**-0ie, / ne7 /e,
Ne/ Ri.er Banna.i'a#%e $r N$n> &%$aa#%e Ri.ers8 1. I!#an, t& t%e &7ner! &6 t%e $ar(in! &r /an1! &6 t%e ri+er neare!t t& ea*% &6 t%e$. 2. I6 in t%e MIDDLE &6 t%e ri+er ,i+i,e, #&n(it-,ina## in %a#+e! a-( :$r Pers$na% Pr$er" i- Ad4!nci$n C$n4!nci$n ADUNCTION OR CONUNCTION W I! a 0r&*e!! 7%ere/ t7& $&+a/#e t%in(! &7ne, / ,i66erent 0er!&n! are &ine, t&(et%er 7it%&-t /a, 6ait%) in !-*% a 7a t%at t%e 6&r$ a !in(#e &/e*t. Re@!isies8 5. T%e t7& t%in(! /e#&n( t& ,i66erent &7ner!. 8. T%e6&r$a !in(#e &/e*t. =. T%e are in!e0ara/#e" t%at t%eir !e0arati&n 7&-#, i$0air t%eir nat-re &r re!-#t in !-/!tantia# in-r t& eit%er *&$0&nent. CLASSES O: ADUNCTION8 =ISTEP; 5. Inc%!si$n ?en(ra6t$ent i.e. !ettin( a 0re*i&-! !t&ne &n a (&#,en rin( 8. S $%dad!ra ?!&#,erin( i.e. &inin( a 0ie*e &6 $eta# t& an&t%er $eta# :er!minai$ !a$e $eta# a. P%!m#a!ra ,i66erent $eta#! /. =. Te4id$ ?7ea+in( @. E scri!ra ?7ritin( 4. P in!ra ?0aintin( a. O7ner &6 t%e 0rin*i0a#: a. B #a7 /e*&$e! t%e &7ner &6 t% e re!-#tin( &/e*t
/. In,e$ni6ie! t%e &7ner &6 t%e a**e!!&rie! 6&r t%e +a#-e! t%ere&6.
Tes T$ Deermine Princia%8 5. R-#e &6 i$0&rtan*e an, 0-r0&!e 8. Greater +a#-e I6 t%e are &6 -ne2-a# +a#-e =. Greater +&#-$e I6 t%e are &6 e2-a# +a#-e @. Greater $erit! Wen Searai$n A%%$/ed8 5. Searai$n /i$! in4!r" 8. Searai$n /i in4!r" a**e!!&r i! $-*% $&re 0re*i&-! t%an t%e 0rin*i0a#" t%e &7ner &6 t%e 6&r$er $a ,e$an, it! !e0arati&n e+en t%&-(% t%e 0rin*i0a# $a !-66er in-r. =. O/ner $& rincia% in #ad &ai
OP 3: OA 3:
7 7
Or OP 7 B: OA 7 3: OP 73: OA 7 B: OP B: OA 3:
7 7
RULES AS TO OWNERSHIP OWNER O: OWNER O: PRINCIPAL ACCESSOR, =OA; =OP; A*2-ire! t%e Ma ,e$an, a**e!!&r re0arati&n: in,e$ni6ie! a. I6 n& in-r 7i## /e t%e 6&r$er *a-!e, &7ner 6&r it! /. I6 +a#-e &6 +a#-e a**e!!&r i! (reater t%an 0rin*i0a# e+en i6 ,a$a(e! 7i## /e *a-!e, t& 0rin*i0a# ?e0en!e! i! t& t%e &ne 7%& *a-!e, t%e *&n-n*ti&n 5. O7n! t%e 5. L&!e! t%e t%in( a**e!!&r in*&r0&rate, 8. Ri(%t t& 8. In,e$ni6 t%e ,a$a(e! OP 6&r t%e ,a$a(e! OP $a %a+e !-66ere, 5. Pa OA Ri(%t t& *%&&!e +a#-e &6 /et7een a**e!!&r &r 5. OP 0ain( %i$ 8. Prin*i0a# it! +a#-e &r an, a**e!!&r 8. T%at t%e t%in( /e !e0arate, /e#&n(in( t& %i$ /e PLUS !e0arate, e+en Lia/i#it 6&r t%&-(% it /e ,a$a(e! ne*e!!ar t& ,e!tr& t%e 0rin*i0a# t%in(
ii- Mi6!re MIFTUREW ta1e! 0#a*e 7%en t7& &r $&re t%in(! /e#&n(in( t& ,i66erent &7ner! are $ie, &r *&$/ine, t& !-*% etent t%at t%e *&$0&nent! #&!e t%eir i,entit.
INDS8 5. COMMIFTION $it-re &6 !&#i, t%in(! 8. CON:USION $it-re &6 #i2-i, t%in(! RULES8 5. Mit-re / t%e 7i## &6 t%e &7ner! α. Ri(%t! (&+erne, / !ti0-#ati&n! β. ;it%&-t !ti0-#ati&n: ea*% a*2-ire! a ri(%t &r intere!t in 0r&0&rti&n t& t%e +a#-e &6 %i! $ateria# 8. Mit-re *a-!e, / an &7 ner in GF &r / *%an*e a. Ea*% !%are !%a## !ti## /e in 0r& 0&rti&n t& t%e +a#-e &6 t%eir t%in( =. Mit-re *a-!e, / &7ner in BF a. T%e a*t&r 6&r6eit! %i! t%in( /. Lia/#e 6&r ,a$a(e! iii- Seci&icai$n SPECI:ICATION W i$0artin( &6 a ne7 6&r$ t& t%e $ateria# /e#&n(in( t& an&t%er" &r t%e $a1in( &6 t%e $ateria# &6 an&t%er int& a t%in( &6 a ,i66erent 1in,. RULES8 1. ;%en t%e $a1er ?*&n!i,ere, 0rin*i0a# i! in GF a. Ma a00r&0riate /-t $-!t in,e$ni6 t%e &7ner &6 t%e $ateria# /. Ma n&t a00r&0riate 7%en $ateria# tran!6&r$e, Q ne7 t%in(. T%e OM $a: i. A00r&0riate t%e ne7 t%in( !-/e*t t& t%e 0a$ent &6 t%e +a#-e &6 t%e 7&r1) &r ii. De$an, in, e$nit 6&r t%e $ateria# 7it% ,a$a(e! /. ;%en t%e $a1er i! in BF a. OM *an a00r&0riate t%e 7&r1 7it%&-t 0ain( 6&r t%e #a/&r &r in,-!tr /. OM *an ,e $an, in ,e$nit 0#-! ,a$a(e! *. OM *ann&t a00r&0riate i6 t%e +a#-e &6 t%e 7&r1 i! *&n!i,era/# $&re t%an t%e +a#-e &6 t%e $ateria# ,-e t& arti!ti* &r !*ienti6i* i$0&rtan*e COMPARISON O: THE ( T,PES O: ACCESSION O: MOVABLES ADUNCTION MIFTURE SPECI:ICATION In+&#+e! at In+&#+e! at In+&#+e! at #ea!t 8 #ea!t 8 t%in(! #ea!t 8 t%in(! t%in(! A! a r-#e) A! a r-#e) A! a r-#e) a**e!!&r *& a**e!!&r 6&##&7! 6&##&7! &7ner!%i0 0rin*i0a#
0rin*i0a# T%e t%in(! &ine, retain t%eir nat-re
re!-#t! Ma eit%er retain &r #&!e re!0e*ti+e nat-re!
T%e ne7 &/e*t retain! &r 0re!er+e! t%e nat-re &6 t%e &ri(ina# &/e*t
================================ TOPICS UNDER THE S,LLABUS D- !iein' Ti%e ================================ UIETIN3 O: TITLE W i! a re$e, &r 0r&*ee,in( 7%i*% %a! 6&r it! 0-r0&!e an a,-,i*ati&n t%at a *#ai$ &6 tit#e t& rea#t &r an intere!t t%ere&n) a,+er!e t& t%e 0#ainti66) i! in+a#i, &r in&0erati+e) &r &t%er7i!e ,e6e*ti+e an, %en*e) t%e 0#ainti66 an, t%&!e *#ai$in( -n,er %i$ $a 6&re+er /e 6ree &6 an %&!ti#e *#ai$. Reas$ns8 1- Pre+ent #iti(ati&n 2- Pr&te*t tr-e tit#e 0&!!e!!i&n (- Rea# intere!t &6 /&t% 0artie! 7%i*% re2-ire! t%at 0re*i!e !tate &6 tit#e /e 1n&7n ACTION TO UIET TITLE 5. P-t! an en, t& +e ati&-! #iti(ati&n in re! 0e*t t& 0r&0ert in+&#+e," 0#ainti66 a!!ert! %i! &7n e!tate (enera## ,e*#are! t%at ,e6en,antK! *#ai$ i! 7& 6&-n,ati&n 8. Re$e,ia# =. UASI IN REM !-it! a(ain!t a 0arti*-#ar 0er!&n &r 0er!&n! in re!0e*t t& t%e re! Ma n&t /e /r&-(%t 6&r t%e 0-r0&!e &6 !ett#in( a /&-n,ar ,i!0-te! @. A00#i*a/#e t& rea# 0r& 0ert &r an intere!t t%erein. T%e #a7) %&7e+er) ,&e! n&t e*#-,e 0er!&na# 0r&0ert 6r&$ a*ti&n! t& 2-iet tit#e. 4. An a*ti&n t& 2-iet tit#e /r&-(%t / t%e 0e r!&n in 0&!!e!!i&n &6 t%e 0r&0ert i! IMPRESCRIPTIBLE. . I6 %e i! n &t in 0&!!e!!i&n) %e $-!t in+&1e %i! re$e, 7it%in t%e 0re!*ri0ti+e 0eri&,. C%assi&icai$ns: 5. Re$e,ia# a*ti&n t& re$&+e *#&-, &n tit#e 8. Pre+enti+e a*ti&n t& 0re+ent t%e *a!tin( &6 a ?t%reatene, *#&-, &n t%e tit#e. Re@!isies8 =TICR; 5. P#ainti66 $-!t %a+ e a %e'a% $r e@!ia#%e Ti%e $r ineres in t%e rea# 0r&0ert 8. C%$!d in !-*% tit#e
=. S-*% *#&-, $-!t /e ,-e t& !&$e Insr!men5 rec$rd5 c%aim5 enc!m#rance $r r$ceedin' 7%i*% i!: a a00arent# +a#i, / /-t i! in tr-t% in+a# i,) ine66e*ti+e) +&i,a/#e &r -nen6&r*ea/#e * 0re-,i*ia# t& t%e 0#ainti66K! tit#e @. P#ainti66 $-!t Re!rn t& t%e ,e6en,ant a## /ene6it! re*ei+e, 6r&$ t%e #atter &r rei$/-r!e %i$ 6&r e0en!e! t%at $a %a+e re,&-n,e, t& %i! /ene6it
NO APPLICATION TO8 5. <-e!ti&n! in+&#+in( inter0retati&n &6 ,&*-$ent! 8. Mere 7ritten &r &ra# a!!erti&n! &6 *#ai$!) EFCEPT a. I6 $a,e in a #e(a# 0r&*ee,in( /. I6 it i! /e in( a!!erte, t%at t%e in!tr-$ent &6 entr in 0#ainti66K! 6a+&r i! n&t 7%at it 0-r0&rt! t& /e =. B&-n,ar ,i!0-te! @. Dee,! / !tran(er! t& t%e tit#e UNLESS 0-r0&rtin( t& *&n+e t%e 0r&0ert &6 t%e 0#ainti66 4. In!tr-$ent! in+a#i, &n t%eir 6a*e . ;%ere t%e +a# i,it &6 t%e in! tr-$ent in+&#+e! 0-re 2-e!ti&n! &6 #a7 ACTION TO REMOVE CLOUD 5. Inten,e, t& 0r&*-re *an*e##ati&n) ,e#i+er) re#ea!e &6 an in!tr-$ent) en*-$/ran*e) &r *#ai$ *&n!tit-tin( a &n 0#ainti66K! tit#e 7%i*% $a /e -!e , t& in -re &r +e %i$ in t%e en&$ent &6 %i! tit#e 8. Pre+enti+e CLOUDi! a !e$/#an*e &6 tit#e) eit%er #e(a# &r e2-ita/#e) &r a *#ai$ &r a ri(%t in rea# 0r&0ert) a00earin( in !&$e #e(a# 6&r$ /-t 7%i*% i!) in 6a*t) in+a#i, &r 7%i*% 7&-#, /e ine2-ita/#e t& en6&r*e.
E6isence $& C%$!d8 =AIP; 5. In!tr-$ent &r re*&r, &r *#ai$ &r en*-$/ran*e &r 0r&*ee,in( 7%i*% i! A 00arent# +a#i, &r e66e*ti+e In+a#i, ) 8. BUT i!) in tr-t% an, in 6a*t) ine66e*ti+e) +&i,a/#e) &r -nen6&r*ea/#e) &r etin(-i!%e, ?&r ter$inate, &r /arre, / etin*ti+e 0re!*ri0ti&n =. Ma /e Pre-,i*ia# t& t%e tit#e DISTINCTIONS BETWEEN ACTION :OR UIETIN3 O: TITLE AND ACTION :OR REMOVAL O: CLOUD BASIS ACTION TO ACTION TO UIET TITLE REMOVE CLOUD
Purpose
T& en, +eati&-! #iti(ati&n in re!0e*t t& t%e 0r&0ert *&n*erne,
Nature
P#ainti66 a!!ert! &7n *#ai$ an, ,e*#are! t%at t%e *#ai$ &6 t%e ,e6en,ant i! -n6&-n,e, an, *a##! &n t%e ,e6en,ant t& -!ti6 %i! *#ai$ &n t%e 0r&0ert t%at t%e !a$e $a /e ,eter$ine, / t%e *&-rt
Pr&*-re *an*e##ati&n) re#ea!e &6 an in!tr-$ent) en*-$/ran*e &r *#ai$ in t%e 0#ainti66K! tit#e 7%i*% a66e*t! t%e tit#e &r en&$ent &6 t%e 0r&0ert P#ainti66 ,e*#are! %i! &7n *#ai$ an, tit#e) an, at t%e !a$e ti$e in,i*ate! t%e !&-r*e an, nat-re &6 t%e ,e6en,antK! *#ai$) 0&intin( it! ,e6e*t! an, 0ra! 6&r t%e ,e*#arati&n &6 it! in+a#i,it
E6ce8 In &ne *a!e) a 0ie*e &6 #an, 7a! &7ne, / a! a %-!/an, an, 7i6e) an, it 7a! &66ere, 6&r /ai#. T%e ee*-te, a $&rt(a(e in t%e #an, in 6a+&r &6 t%e C&-rt. Later &n) t%e #an, 7a! 6&re*#&!e, an, t%e State 7a! t%e !&#e /i,,er. Dee, &6 Sa#e 7a! i!!-e, in 6a+&r &6 t%e State. T%e &7ner &6 t%e #an, *&-#, n&t re,ee$ it. B-t t%e State ,i, n&t *%an(e t%e tit#e t& /e -n,er it! na$e. Man ear! a6ter t%at) t%e %eir! &6 t%e *&-0#e /r&-(%t an a*ti&n t& 2-iet tit#e. T%e S-0re$e C&-rt ,enie, t%e *#ai$. T%e C&-rt 6ai#-re &6 t%e State t& %a+e it re(i!tere, ,&e! n&t $ean t%at t%e tit#e i! in+a#i,. T%e C&-rt a#!& %e#, t%at t%e ri(%t 6&r a*ti&n t& 2-iet tit#e i! i$0re!*ri0ti/#e so long as the plaintiff is in possession of the property% R!in$!s B!i%din's and Trees in Dan'er $& :a%%in' Lia#i%i" &$r dama'es8 5. C&##a0!e en(ineer) ar*%ite*t &r *&ntra*t&r 8. C&##a0!e re!-#tin( 6r&$ t&ta# &r 0artia# ,a$a(e" n& re0air $a,e &7ner" !tate $a *&$0e# %i$ t& ,e$&#i!% &r $a1e ne*e!!ar 7&r1 t& 0re+ent i6 6r&$ 6a##in( =. I6 n& a*ti&n ,&ne / (&+ern$ent at e0en!e &6 &7ner •
T& *&n!tit-te an Ac $& 3$d: Re@!isies8 5. T%e *a-!e &6 t%e /rea*% &6 &/#i(ati&n $-!t /e in,e0en,ent &6 t%e 7i## &6 t%e ,e/t&r
8. T%e e+ent $-!t /e eit%er -n6 &re!eea/#e &r -na+&i,a/#e =. T%e e+ent $-! t /e !-*% a! t& re n,er it i$0&!!i/#e 6&r t%e ,e/t&r t& 6-#6i## %i! &/#i(ati&n in a n&r$a# $anner @. T%e ,e/t&r $-!t /e 6ree 6&r$ an 0arti*i0ati&n in) &r a((ra+ati&n &6 t%e in-r t& t%e *re,it&r% Na<i% .- CA5 K1)) SCRA *9* =19+;
================================ TOPICS UNDER THE S,LLABUS
E-1C$>$/nersi - E%emens 2- H$/ Creaed (- Ri's $& C$>$/ners a- O/nersi $.er W$%e Pr$er" #- Sa%e A%ienai$n i- O& Indi.id!a% Ineres ii- O& Enire Pr$er" iii- Redemi$n #" O er C$ > $/ners i.- Prescrii$n c- Bene&is :r! is In eres Inc$me d- Use P$ssessi$n e- Mana'emen Adminisrai$n )- Parii$n a- Demanda#%e A n"ime #- Pr$i#ii$n &$r Indi.isi$n *- O#%i'ai$ns $& C$ >$/ners +- Terminai$n ================================
3. 3.
S-**e!!i&n 4. F&rt-it&-! e+ent*%an*e ?i.e.) *&$$iti&n 5. O**-0an* ?i.e.)8 0er!&n! *at*% a 7i#, ani$a# 6. D&nati&n
inds $& C$>$/nersi8 5. Or,inar ri(%t &6 0artiti&n ei!t! 8. C&$0-#!&r n& ri(%t 0artiti&n ei!t! ?0art 7a## =. Le(a# *reate, / #a7 @. C&ntra*t-a# *reate, / *&ntra*t 4. Uni+er!a# &+er -ni+er!a# t%in(! ?*&%eir! . Sin(-#ar &r Parti*-#ar &+er 0arti*-#ar &r !0e*i6i* t%in( >. In*i,enta# ei!t! in,e0en,ent# &6 t%e 7i## &6 t%e 0artie!
DISTIN3UISHED :ROM PARTNERSHIP BASIS =egal personality
Create, / *&ntra*t &r &t%er t%in(!
Purpose
C&##e*ti+e en&$ent &6 a t%in( A(ree$ent 6&r it t& ei!t 6&r 5 ear! +a#i, ?I6 $&re t%an 5 ear!) t%e e*e!! i! +&i,
Term
CO>OWNERSHIP Wi! a 6&r$ &6 &7ner!%i0 7%i*% ei!t! 7%ene+er an -n,i+i,e, t%in( &r ri(%t /e#&n(! t& ,i66erent 0er!&n!.
2- HOW CREATED 1. La7 2. C&ntra*t!
OWNE RSHIP N& #e(a# 0er!&na#it
/ource
E- CO>OWNERSHIP
1- ELEMENTS 5. P#-ra#it &6 !-/e*t! $an &7ner! 8. O/e*t &6 &7ner!%i0 $-!t /e -n,i+i,e, =. Re*&(niti&n &6 i ,ea# !%are!" n& &ne i! a n &7ner &6 a !0e*i6i* 0&rti&n &6 t%e 0r&0ert -nti# it i! 0artiti&ne,.
CO>
1epresentatio n
Effect of death
/ubstitution
PARTNERSH IP Ha! #e(a# &r -ri,i*a# 0er!&na#it Create, / *&ntra*t &n# ?e0re!! &r i$0#ie, Pr&6it N& ter$ #i$it !et / #a7
NOTE8 8 ear! i! t%e $ai$-$ i6 i$0&!e, / t%e te!tat&r &r ,&nee &6 t%e *&$$&n 0r&0ert A! a r-#e) n& $-t-a# re0re!entati&n
A! a r-#e) t%ere i! $-t-a#
N&t ,i!!&#+e, / ,eat% &r in*a0a*it &6 a *&&7ner Can ,i!0&!e &6
re0re!entati& n Di!!&#+e, / t%e ,eat% &r in*a0a*it &6 a 0artner Cann&t
%i! !%are 7it%&-t *&n!ent &6 &t%er! Profits
M-!t a#7a! ,e0en, &n 0r&0&rti&nate !%are!
!-/!tit-te an&t%er a! 0artner in %i! 0#a*e 7it%&-t *&n!ent &6 &t%er! Ma /e !ti0-#ate, -0&n
DISTIN3UISHED :ROM OINT TENANC, BASIS /hares
!isposal of shares
Effect of death
Effect of disability
CO> OWNERSHIP In+&#+e! a 0%!i*a# 7%&#e. B-t t%ere i! an i,ea# ?a/!tra*t ,i+i!i&n" ea*% *&&7ner /ein( t%e &7ner &6 %i! i,ea# !%are Ea*% *&&7ner $a ,i!0&!e &6 %i! i,ea# &r -n,i+i,e, !%are ?7it%&-t /&-n,arie! 7it%&-t t%e &t%erK! *&n!ent !%are (&e! t& %i! &7n %eir!
I6 a *&&7ner i! a $in&r) t%i! ,&e! n&t /ene6it t%e &t%er! 6&r t%e 0-r0&!e &6 0re!*ri0ti&n) an, 0re!*ri0ti&n t%ere6&re r-n! a(ain!t t%e$
iii-
Ea*% *&&7ner $a n&t ,i!0&!e &6 %i! &7n !%are 7it%&-t t%e *&n!ent &6 a## t%e re!t) /e*a-!e %e rea## %a! n& i,ea# !%are !%are (&e! / a**reti&n t& t%e &t%er &int tenant! / +irt-e &6 t%eir !-r+i+&r!%i0 &r jus accrecendi I6 &ne &inttenant i! -n,er #e(a# ,i!a/i#it ?#i1e $in&rit) t%i! /ene6it! t%e &t%er a(ain!t 7%&$ 0re!*ri0ti&n 7i## n&t r-n
#- Sa%e A%ienai$n iO& Indi.id!a% I neres Ri(%t t& a#ienate) a!!i(n &r $&rt(a(e &7n 0art" e*e0t 0er!&na# ri(%t! #i1e ri(%t t& -!e an, %a/itati&n
O& Enire Pr$er" Redemi$n $/ners
#"
Oer
C$>
Ri' $& redemi$n i. Ri(%t t& /e a, -,i*ate, t%in( ?!-/e*t t& ri(%t &6 &t%er! t& /e in,e$ni6ie, ii. Ri(%t t& !% are in 0r &*ee,! &6 !a# e &6 t%in( i6 t%in( i! in,i+i!i/#e an, t%e *ann&t a(ree t%at it /e a##&tte, t& &ne &6 t%e$
OINT TENANC, In+&#+e! a 0%!i*a# 7%&#e. B-t t%ere i! n& i,ea# ?a/!tra*t ,i+i!i&n" ea*% an, a## &6 t%e$ &7n t%e 7%&#e t%in(
(- RI3HTS O: CO>OWNERS a- O/nersi $.er W$%e Pr$er"
o
ii-
NOTE8 •
•
i.-
T& /e eer*i!e, 7in =,a! 6r&$ 7ritten n&ti*e &6 !a#e &6 -n,i+i,e, !%are &6 an&t%er *&&7ner t& a !tran(er Re,e$0ti&n &6 t%e 7%&#e 0r&0ert / a *&&7ner ,&e! n&t +e!t in %i$ !&#e &7ner!%i0 &+er !ai, 0r&0ert. Re,e$0ti&n 7it%in t%e 0eri&, 0re!*ri/e, / #a7 / a *& &7ner 7i## in-re t& t%e /ene6it &6 a## *&&7ner!. Hen*e) it 7i## n&t 0-t an en, t& ei!tin( *& &7ner!%i0. Marian$ .- CA5 K222 SCRA ?(+ =199(;
Prescrii$n
3enera% R!%e > A *&&7ner *ann&t a*2-ire t%e 7%&#e a! a(ain!t t%e &t%er *& &7ner! 0r&0ert / a*2-i!iti+e 0re!*ri0ti&n.
E6cei$n Ghen there is +a#i, re0-,iati&n 0re!*ri0ti&n !%a## !tart 6r&$ !-*% re0-,iati&n E6cei$n $ e E6ce i$n > In *&n!tr-*ti+e tr-!t!) 0re!*ri0ti&n ,&e! n&t r-n i.
A *&&7ner *ann&t !e## t%e 0r&0ert 7it%&-t t%e &t%er *&&7ner!K *&n!ent) &t%er7i!e) t%e !e##in( *&&7nerK! !%are !%a## /e t%e &n# &ne +a#i,. Pa!%mian .CA5 K21* SCRA ++ =1992;
ii.
;%i#e t%e %-!/an, i! t%e re*&(nie, a,$ini!trat&r &6 t%e *&n-(a# 0r&0ert -n,er t%e Ci+i# C&,e) t%ere are in!tan*e! 7%en t%e 7i6e $a a!!-$e a,$ini!trati+e 0&7er! &r a!1 6&r t%e !e0arati&n &6 0r&0ert. ;%ere t%e %-!/an, i! a/!ent an, in*a0a/#e &6 a,$ini!terin( t%e *&n-(a# 0r&0ert) t%e 7i6e $-!t /e e0re!!# a-t%&rie, / t%e %-!/an, &r !ee1 -,i*ia# a-t%&rit t& a!!-$e 0&7er! &6 a,$ini!trati&n. T%-!) an tran!a*ti&n entere, / t%e 7i6e
at 7it%&-t t%e *&-rt &r t%e %-!/an,K! a-t%&rit i! -nen6&r*ea/#e. Bein( an -nen6&r*ea/#e *&ntra*t) t%e 8 n, C&ntra*t i! !-!*e0ti/#e t& rati6i*ati&n. T%e %-!/an, *&ntin-e, re$ittin( 0a$ent! 6&r t%e !ati!6a*ti&n &6 t%e &/#i(ati&n -n,er t%e 2-e!ti&ne, *&ntra*t. T%e!e a*t! *&n!tit-te rati6i*ati&n &6 t%e *&ntra*t. :a#ri'as .- San :rancisc$5 K3-R- N$1*2()+5 N$.- 2*5 200*
c-
Bene&is :r!is Ineres Inc$me Ri(%t t& /ene6it! 0r&0&rti&na# t& re!0e*ti+e intere!t i. Sti0-#ati&n t& *&ntrar i! +&i, Ri(%t t& 6-## &7ner!%i0 &6 %i! 0art an, 6r-it!
o
o
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Use P$ssessi$n Ri(%t t& -!e t%in( *&&7ne, i. F&r 0-r0&!e 6&r 7%i*% it i! inten,e, ii. ;it%&-t 0re-,i*e t& int ere!t &6 &7ner!%i0 iii. ;it%&-t 0re+entin( &t% er *& &7ner! 6r&$ $a1in( -!e t%ere&6
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Mana'emen Adm inisrai$n o
Ri(%t t& *%an(e 0-r0&!e &6 *& &7ner!%i0 / a(ree$ent
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Ri(%t in ee*t$ent in /e%a#6t& &6/rin( &t%er a*ti&n *&&7ner Ri(%t t& *&$0e# *&&7ner! t& *&ntri/-te t& ne*e!!ar e0en!e! 6&r 0re!er+ati&n &6 t%in( an, tae! Ri(%t t& ee$0t %i$!e#6 6r&$ &/#i(ati&n &6 0ain( ne*e!!ar e0en!e! an, tae! / ren&-n*in( %i! !%are in t%e pro indi"iso intere!t" /-t *anKt /e $a,e i6 0re-,i*ia# t& *&&7ner!%i0 Ri(%t t& $a1e re0air! 6&r 0re!er+ati&n &6 t%in(!" *an /e $a,e at 7i## &6 &ne *&&7ner" re*ei+e rei$/-r!e$ent t%ere6r&$" n&ti*e &6 ne*e!!it &6 !-*% re0air! $-!t /e (i+en t& *&&7ner!) i6 0ra*ti*a/#e Ri(%t t& a!1 6&r 0artiti&n anti$e Ri(%t &6 0ree$0ti&n
)- PARTITION a- Demanda#%e An"ime 3enera% R!%e8 N& *&&7ner !%a## /e &/#i(e, t& re$ain in t%e *&&7ner!%i0. Ea*% *&&7ner $a
an ti$e ,e$an, t%e 0artiti&n &6 t%e t%in( &7ne, in *&$$&n) in!&6ar a! %i! !%are i! *&n*erne,.
#- Pr$i#ii$n &$r Indi.isi$n E6cei$n > A *&&7ner $a n&t !-**e!!6-## ,e$an, a 0artiti&n: 5. I6 / a (ree$ent ? 6&r a 0eri&, n &t e*ee,in( 5 ear!) rene7a/#e 0artiti&n i! 0r&%i/ite, 8. ;%en 0 artiti&n i ! 0 r&%i/ite, / a ,&n&r &r te!tat&r ?6&r a 0eri&, n&t e*ee,in( 8 ear! 6r&$ 7%&$ t%e 0r&0ert *a$e =. ;%en 0artiti&n i! 0r&%i/ite, / #a7 @. ;%en a 0%!i*a# 0 artiti&n 7 &-#, ren,er t%e 0r&0ert -n!er+i*ea/#e) /-t in t%i! *a!e) t%e 0r&0ert $a /e a##&tte, t& &ne &6 t%e *&&7ner!) 7%& !%a## in,e$ni6 t%e &t%er!) &r it 7i## /e !&#,) an, t%e 0r&*ee,! ,i!tri/-te, 4. ;%en t%e #e(a# nat-re &6 t%e *&$$&n 0r&0ert ,&e! n&t a##&7 0artiti&n REUISITES O: REPUDIATION8 aa Une2-i+&*a# a*t! &6 re0-,iati&n &6 t%e *& &7ner!%i0 a$&-ntin( t& an &-!ter &6 t%e &t%er *&&7ner! aa P&!iti+e a*t! &6 re0-,iati&n %a+e /een $a,e n&7n a a E+i,en*e i! *#ear an, *&n*#-!i+e a a O0en) *&ntin-&-!) e*#-!i+e) n&t&ri&-! 0&!!e!!i&n
*- OBLI3ATIONS O: CO>OWNERS 5. S%are in *%ar(e! 0r&0&rti&na# t& re!0e*ti+e intere!t" !ti0-#ati&n t& *&ntrar i! +&i, 8. Pa ne*e!!ar e0en!e! an, tae! $a /e eer*i!e, / &n# &ne *&&7ner =. Pa -!e6-# an, #--ri&-! e0en!e! i6 ,eter$ine, / $a&rit @. D-t t& &/tain *&n!ent &6 a## i 6 t%in( i! t& /e a#tere, e+en i6 /ene6i*ia#" re!&rt t& *&-rt i6 n&n*&n!ent i! $ani6e!t# 0re-,i*ia# 4. D-t t& &/tain *&n!ent &6 $a&rit 7it% re(ar,! t& a,$ini!trati&n an, /etter en&$ent &6 t%e t%in(" $a&rit $ean! $a&rit in t%e intere!t n&t in t%e n-$/er &6 *&&7ner!" *&-rt inter+enti&n i6 0re-,i*ia# a00&int$ent &6 a,$ini!trat&r . N& 0re!*ri0ti&n t& r-n in 6a+ &r *&& 7ner a! #&n( a! %e re*&(nie! t%e *&&7ner!%i0" re2-i!ite! 6&r a*2-i!iti&n t%r&-(% 0re!*ri0ti&n ι. He %a! re0-,iate, t%r&-(% -ne2-i+&*a# a*t! ιι. S-*% a*t &6 re0-,iati&n i! $a,e 1n&7n t& &t%er *&&7ner!
ιιι. E+i,en*e $-!t /e *#ear an, *&n+in*in( >. C&&7ner! *ann&t a!1 6&r 0% !i*a# ,i+i!i&n i6 it 7&-#, ren,er t%in( -n!er+i*ea/#e" /-t *an ter$inate *&&7ner!%i0 9. A6ter 0artiti&n) ,-t t& ren,er $-t-a# a**&-ntin( &6 /ene6it! an, rei$/-r!e$ent! 6&r e0en!e! . Un,er Art. @= &6 t%e NCC) ea* % *&&7ner %a! 6-## &7ner!%i0 &6 %i! 0art an, &6 t%e 6r-it! an, /ene6it! 0ertainin( t%eret&) an, %e $a a#ienate) a!!i(n &r $&rt(a(e t%e 0&rti&n 7%i*% $a /e a##&tte, t& %i$ -0&n t%e ter$inati&n &6 t%e *&&7ner!%i0. It a00ear! t%at 7%i#e t%ere i! a !in(#e *erti6i*ate &6 tit#e) t%e t%ree #&t! are ,i!tin(-i!%a/#e 6r&$ ea*% &t%er.
RI3HTS O: (RD PARTIES 5. Cre,it&r! &6 a!! i(nee! $a ta 1e 0ar t in ,i+i!i&n an, &/e*t i6 /ein( e66e*te, 7it%&-t t%eir *&n*-rren*e) /-t *ann&t i$0-(n -n#e!! t%ere i! 6ra-, &r $a,e n&t7it%!tan,in( t%eir 6&r$a# &00&!iti&n 8. N&ninter+en&r! retain ri(%t! &6 $&rt(a(e an, !er+it-,e an, &t%er rea# ri(%t! an, 0er!&na# ri(%t! /e#&n(in( t& t%e$ /e6&re 0artiti&n 7a! $a,e
================================ TOPICS UNDER THE S,LLABUS :- C$nd$mini!m Ac =RA )?2+; ================================ CONDOMINIUM an intere!t in rea# 0r&0ert *&n!i!tin( &6 a !e0arate intere!t in a -nit in a re!i,entia#) *&$$er*ia# &r in,-!tria# /-i#,in( an, an -n,i+i,e, intere!t in *&$$&n) ,ire*t# &r in,ire*t#) in t%e #an, &n 7%i*% it i! #&*ate, an, in &t%er *&$$&n area! &6 t%e /-i#,in(. a. An tran!6er &r *&n+ean*e &6 a -nit &r an a0art$ent &66i*e &r !t&re &r &t%er !0a*e t%erein !%a## in*#-,e t%e tran!6er an, *&n+ean*e &6 t%e -n,i+i,e, intere!t in t%e *&$$&n area! &r in a 0r&0er *a!e) t%e $e$/er!%i0 &r !%are%&#,in(! in t%e *&n,&$ini-$: 0r&+i,e, %&7e+er) t%at 7%ere t%e *&$$&n area! in t%e *&n,&$ini-$ 0r&e*t are %e#, / t%e &7ner! &6 !e0arate -nit! a! *&&7ner! t%ere&6) n& *&n,&$ini-$ -nit t%erein !%a## /e *&n+ee, &r tran!6erre, t& 0er!&n! &t%er t%an Fi#i0in& *itien! &r *&r0&rati&n! at #ea!t &6 t%e *a0ita# !t&*1 &6 7%i*% /e#&n( t& Fi#i0in& *itien!) e*e0t in *a!e! &6 %ere,itar !-**e!!i&n.
3enera% R!%e : C&$$&n area! !%a## re$ain -n,i+i,e,) an, t%ere !%a## /e n& -,i*ia# 0artiti&n t%ere&6 E6cei$ns 5. ;%en t% e 0r&e*t %a! n&t /een re/ -i#t &r re0aire, !-/!tantia## t& it! !tate 0ri&r t& it! ,a$a(e &r ,e!tr-*ti&n = ear! a6ter ,a$a(e &r ,e!tr-*ti&n 7%i*% ren,ere, a $ateria# 0art t%ere&6 -n6it 6&r -!e" 8. ;%en ,a$a(e &r ,e!tr-*ti&n %a! ren,ere, &r $&re &6 t%e -nit! -ntena/#e an, t%at t%e *&n,&$ini-$ &7ner! %&#,in( $&re t%an = intere!t in t%e *&$$&n area! are &00&!e, t& re!t&rati&n &6 t%e 0r&e*t!" =. ;%en t%e 0r &e*t %a! /ee n in ei!ten*e 6&r $&re t%an 4 ear!) an, t%e *&n,&$ini-$ &7ner! %&#,in( in a((re(ate $&re t%an 4 intere!t in t%e *&$$&n area! are &00&!e, t& re!t&rati&n) re$&,e#in( &r $&,erniin(" @. ;%en a 0r&e*t &r a $at eria# 0art t%ere&6 %a! /een *&n,e$ne, &r e0r&0riate, an, t%e 0r&e*t i! n& #&n(er +ia/#e &r t%at t%e *&n,&$ini-$ &7ner! %&#,in( in a((re(ate $&re t%an > intere!t in t%e *&$$&n area! are &00&!e, t& t%e *&ntin-ati&n &6 t%e *&n,&$ini-$ re(i$e. 4. ;%en *&n,iti&n! 6&r 0artiti&n / !a#e !et 6&rt% in t%e ,e*#arati&n &6 re!tri*ti&n! ,-# re(i!tere, %a+e /een $et.
================================ TOPICS UNDER THE S,LLABUS 3- P$ssessi$n 1- E%emens 2- inds (- Re@!iremensT$ Ri en in $ O/nersi )- Ac@!isii.e Pre scrii$n *- Ri's $& Le'a% Pr$cess$r a- Peace&!% Uninerr !ed P$ssessi$n i- C$>$ssessi$n ii- Aci$ns in Case $& Deri.ai$n $& P$ssessi$n #- :r!is i- Ci.i% :r!is ii- Na!ra% Ind!sria% :r!is iii- Pendin' :r!is c- Indemni" &$r E6enses Imr$.emens i- Necessar" ii- Use&!% iii- L!6!ri$!s i.- P$ssessi$n #" Lessee
+- Prescrii$n $& !s Ti%e a- Wen A %ica#%e #- Meanin' $& !s Ti%e ?- P$ssessi$n $& M$.a#%es a- Wen L $s #- Un%a/&!% Deri.ai$n - L$ss $& P$ssessi$n ================================ POSSESSION i! t%e %&#,in( &6 a t%in( &r en&$ent &6 a ri(%t
ELEMENTS
5. a.
O**-0an* a*t-a# &r *&n!tr-*ti+e ?corpus /. Intent t& 0&!!e!! ?animus possidendi *. M-!t /e / +irt-e &6 &neK! &7n ri(%t
E6en $& P$ssessi$n8 5. P%!i*a#a*t-a# &**-0an* in 6a*t &6 t%e 7%&#e &r at #ea!t !-/!tantia## t%e 7%&#e 8. C&n!tr-*ti+e &**-0an* in 0art in t%e na$e &6 t%e 7%&#e -n,er !-*% *ir*-$!tan*e! t%at t%e #a7 eten,! t%e &**-0an* t& t%e 0&!!e!!i&n &6 t%e 7%&#e S!#4ec $& $ssessi$n8 t%in(! &r ri(%t! 7%i*% are !-!*e0ti/#e &6 /ein( a00r&0riate, E6cei$ns8 5. Re! *&$$-ne! 8. Pr&0ert &6 0-/#i* ,&$ini&n =. Di!*&ntin-&-! !er+it-,e! @. N&na00arent !er +it-,e! DE3REES O: POSSESSION8 aa H&#,in( 7& tit#e an, in +i&#ati&n &6 ri(%t &6 &7ner ?(ra$$ati*a# ,e(ree Ex% possession of a thief aa P&!!e!!i&n 7it% -ri,i*a# tit#e /-t n&t t%at &6 &7ner ?-ri,i*a# 0&!!e!!i&n Ex% that of a lessee& pledge& depositary aa P&!!e!!i&n 7it% -!t tit#e /-t n&t 6r&$ tr-e &7ner ?0&!!e!!&r ri(%t Ex% A in goo d faith buys a car from + who deli"ers the same to A but + merely pretended to be the owner a a
P&!!e!!i&n 7it% -!t tit#e 6r&$ tr-e ACUISITION O: POSSESSION :ROM THE VIEWPOINT O: WHO POSSESSES8 5. Pers$na% Re@!isies8 a. Intent t& 0&!!e!!
/. Ca0a*it t& 0&!!e!! *. O/e*t $-!t /e *a0a/#e &6 /ein( 0&!!e!!e, 8. Tr! a!$riJed ers$n =a'en $r %e'a% reresenai.e; Re@!isies8 a. Intent t& 0&!! e!! 6&r 0rin*i0a# ?n&t 6&r a(ent /. A-t%&rit &r *a0a*it t& 0&!!e!! ?6&r an&t%er *. Prin*i0a# %a! intent an, *a0a*it t& 0&!!e!! =. Tr! Una!$riJed ers$n =#! $n%" i&
s!#se@!en%" rai&ied; Re@!isies8 a. Intent t& 0&!!e!! 6&r an&t%er ?t%e 0rin*i0a# /. Ca0a*it &6 0rin*i0a# t& 0&!!e!! *. Rati6i*ati&n / 0 rin*i0a# 2- REUIREMENTSTO RIPEN INTO
OWNERSHIP C%asses $& P$ssessi$n8 5. In * &n*e0t &6 $/ner &7ner %i$!e#6 &r a,+er!e 0&!!e!!&r E&&ecs8 A. Ma /e *&n+erte, int& &7n er!%i0 t%r&-(% a*2-i!iti+e 0re!*ri0ti&n B. Brin( a*ti&n! ne*e!!ar t& 0r&te*t 0&!!e!!i&n C. A!1 6&r in!*ri0ti&n &6 0&!!e!!i&n D. De$an, 6r-it! an, ,a$a(e! 6r&$ &ne -n#a76-## ,etainin( 0r&0ert 8. In *&n*e0t & 6 $%der -!-6r-*t) #e!!ee) /ai#ee in *&$$&,at-$ =. In $nese%& 0er!&na# a*2-i!iti&n A. $-!t %a+e *a0a*it t& a*2-ire 0&!!e!!i&n B. intent t& 0&!!e!! C. 0&!!i/i#it t& a*2-ire 0&!!e!!i&n @. In na$e &6 an$er a(ent" !-/e*t t& a-t%&rit an, rati6i*ati&n i6 n&t a-t%&rie," negotiorum gestio A. @oluntary F a! 7%en an a(ent 0&!!e!!e! 6&r t%e 0rin*i0a# B. Necessary F a! 7%e n a $&t%er 0&!!e!!e! 6&r a *%i#, !ti## in t%e $aterna# 7&$/ C. ,nauthori$ed F t%i! 7i## /e*&$e t%e 0rin*i0a#K! 0&!!e!!i&n &n# a6ter t%ere %a! /een a rati6i*ati&n 7it%&-t 0re-,i*e t& t%e e66e*t! &6 negotiorum gestio •
P&!!e!!i&n an, &7ner!%i0 are ,i!tin*t #e(a# *&n*e0t!. Ownership confers certain rights to the owner ) a$&n( 7%i*% are t%e ri(%t t& en& t%e t%in ( &7ne,
an, t%e ri(%t t& e*#-,e &t%er 0er!&n! 6r&$ 0&!!e!!i&n t%ere&6. On t%e &t%er %an,) possession is ,e6ine, a! the holding of a thing or the enjoyment of a right% Litera##) t& 0&!!e!! $ean! t& a*t-a## an, 0%!i*a## &**-0 a t%in( 7it% &r 7it%&-t a ri(%t. T%-!) a 0er!&n $a /e ,e*#are, an &7ner /-t %e $a n&t /e entit#e, t& 0&!!e!!i&n. Heirs $& R$man S$rian$ .- CA5 K(+( SCRA + =2001;
)- ACUISITIVE PRESCRIPTION POSSESSOR IN 3OOD :AITH i! &ne 7%& i! n&t a7are t%at t%ere ei!t a 6#a7 in t%e tit#e &r $&,e 7* in+a#i,ate! it. POSSESSOR IN BAD :AITH i! &ne 7%& i! a7are &6 ,e6e*t. N$es $n 3$$d :aiBad :ai • Mi!ta1e -0&n a ,&-/t6-#,i66i*-#t 2-e!ti&n &6 #a7 $a /e t%e /a!i! &6 (&&, 6ait% • G&&, 6ait% i! a#7a! 0re!-$e,. B-r,en &6 0r&&6 #ie! &n t%e &ne a##e(in( /a, 6ait% • P&!!e!!i&n i! 0re!-$e, t& /e en&e, in t%e !a$e *%ara*ter in 7%i*% it i! a*2-ire,) -nti# *&ntrar i! 0r&+en. Wa"s $& Ac@!irin' P$ssessi$n 5. Maeria% $cc!ai$n $r e6ercise $& a ri' a. :RA/C/4 =RE'/ 9A 7%en &ne a#rea, in 0&!!e!!i&n &6 a t%in( / a tit#e &t%er t%an &7ner!%i0 *&ntin-e! t& 0&!!e!! t%e !a$e -n,er a ne7 tit#e) t%at &6 &7ner!%i0 /. :RA/C/4 C4:/::9 ;4E4R/9H 7%en t%e &7ner *&ntin-e! in 0&!!e!!i&n &6 t%e 0r&0ert a#ienate, n&t a! &7ner /-t in !&$e &t%er *a0a*it. /. B" e s!#4eci$n $& e in' $r ri' $ $!r /i%% a. :RA/C/4 ?4GA 9A e66e*te, / $ere *&n!ent &r a(ree$ent &6 t%e 0artie! /. :RA/C/4 /9=4?/CA e66e*te, / ,e#i+erin( an &/e*t ?!-*% a! 1e !$/&#iin( t%e 0#a*in( &6 &ne t%in( -n,er t%e *&ntr&# &6 t%e +en,ee *. B" r$er acs and %e'a% &$rma%iies esa#%ised &$r ac@!irin' s!c ri' $& $ssessi$n
POSSESSION THROU3H SUCCESSION
5. P&!!e!!i&n &6 %ere,itar 0r&0ert: a. I6 ACCEPTED ,ee$e, tran!$itte, 7& interr-0ti&n 6r&$ $&$ent &6 ,eat% b. I6 NOT ACCEPTED ,ee$e, ne+e r t& %a+e 0&!!e!!e, t%e !a$e 8. E*e0t 6r&$ ,ate &6 ,eat% &6 ,e*e,ent.
E::ECTS O: BAD :AITH O: DECEDENT ON HEIR 5. Heir !%a## n&t !-66er t%e *&n!e2-en*e! &6 t%e 7r&n(6-# 0&!!e!!i&n &6 t%e ,e*e,ent ?/a, 6ait% i! 0er!&na# EFCEPTION8 7%en %e /e*&$e! a7are &6 t%e 6#a7! a66e*tin( t%e ,e*e,entK! tit#e 8. Interr-0ti&n &6 (&&, 6ait% $a ta1e 0#a*e at t%e ,ate &6 !-$$&n! &r t%at &6 t%e an!7er i6 t%e ,ate &6 !-$$&n! ,&e! n&t a00ear. HO;EVER) t%ere i! a *&ntrar +ie7 e!0&-!in( t%at !-$$&n! i! in!-66i*ient t& $a1e t%e 0&!!e!!&r in /a, 6ait%. 3. E66e*t! &6 0&!!e!!i&n in (&&, 6ait% *&-nte, &n# 6r&$ t%e ,ate &6 t%e ,e*e,entK! ,eat% MINORSINCAPACITATED8 5. Ma a*2-ire MATERIAL 0&! !e!!i&n /-t n&t ri(%t t& 0&!!e!!i&n" 8. Ma &n# a*2-ire t%e$ t%r&-(% (-ar,ian &r #e(a# re0re!entati+e! ACUISITION8 *ann&t /e a*2-ire, t%r&-(% 6&r*e &r inti$i,ati&n 7%en a 0&!!e!!&r &/e*t! t%eret& re!&rt t& *&-rt! •
T%e ee*-ti&n &6 a ,ee, &6 !a#e i! $ere# a 0ri$a 6a*ie 0re!-$0ti&n &6 ,e#i+er &6 0&!!e!!i&n &6 a 0ie*e &6 rea# 0r&0ert) 7%i*% i! ,e!tr&e, 7%en t%e ,e#i+er i! n&t e66e*te, /e*a-!e &6 a #e(a# i$0e,i$ent. Sai, *&n!tr-*ti&n &r !$/&#i* ,e#i+er) /ein( $ere# 0re!-$0ti+e) $a /e ne(ate, / t%e 6ai#-re &6 t%e +en,ee t& ta1e a*t-a# 0&!!e!!i&n &6 t%e #an, !&#,. C$!"$c .- De S$%a5 K3-R- N$- 1*1(225 Oc$#er 2+5 200+
*- RI3HTS O: LE3AL POSSESSOR a- Peace&!% Uninerr!ed P$ssessi$n o
o
Ri(%t t& /e re!0e*te, in %i! 0&!!e!!i&n" i6 ,i!t-r/e, 0r&te*te, / $ean! e!ta/#i!%e, / #a7" !0&#iati&n P&!!e!!i&n a*2-ire, an, en&e, in *&n*e0t &6 &7ner *an !er+e a! tit#e 6&r a*2-i!iti+e 0re!*ri0ti&n
o
o
• P&!!e!!i&n %a! t& /e in *&n*e0t &6 &7ner) 0-/#i*) 0ea*e6-# an, -ninterr-0te, • Tit#e !%&rt &6 &7ner!%i0 Le(a# 0re!-$0ti&n &6 -!t tit#e ?0ri$a 6a*ie 6&r 0er!&n in *&n*e0t &6 &7ner P&!!e!!i&n &6 rea# 0r&0ert 0re!-$e! t%at $&+a/#e! are in*#-,e,
i- C$>$ssessi$n C&0&!!e!!&r! ,ee$e, t& %a+e e*#-!i+e# 0&!!e!!e, 0art 7%i*% $a /e a##&tte, t& %i$" interr-0ti&n in 7%&#e &r in 0art !%a## /e t& t%e 0re-,i*e &6 a##
ii- Aci$ns in Case $& Deri.ai$n $& P$ssessi$n #- :r!is
/. I6 0&!!e!!&r in (&&, 6ait% re6-!e! /arre, 6r&$ in,e$ni6i*ati&n in &t%er $anner
c- Indemni" &$r E6enses Imr$.emens
=.
&+er t%in( -n#e!! ne*e!!ar e0en!e! 0ai, / &7ner N&t entit#e, t& 0a$ent 6&r #--ri&-! e0en!e /-t $a re$&+e t%e$ 0r&+i,e, 0rin*i0a# i! n&t in-re, 0r&+i,e, &7ner ,&e! n&t re6-n, t%e a$&-nt e0en,e,
@. I$ 0r&+e$ent! *a-!e, / nat-re &r ti$e t& in-re t& t%e /ene6it &6 0er!&n 7%& %a! !-**ee,e, in re*&+erin( 0&!!e!!i&n 4. ;i#, ani$a#! 0&!!e!!e, 7%i#e in &neK! *&ntr&#" ,&$e!ti*ate, 0&!!e!!e, i6 t%e retain %a/it &6 ret-rnin( /a*1 %&$e . One 7%& re*&+er!) a**&r,in( t& #a7) 0&!!e!!i&n -n-!t# #&!t i! ,ee$e, t& %a+e en&e, it 7& interr-0ti&n
Lia#i%iies D!ies O& P$ssess$rs 5. Ret-rn &6 6r -it! i6 in /a, 6ait% 6r-it! 8. #e(iti$ate Bear *&!t &60&!!e!!&r #iti(ati&n *&-#, %a+e re*ei+e, =. P&!!e!!&r in (&&, 6ait% n&t #ia/#e 6&r #&!! &r ,eteri&rati&n &r #&!! e*e0t 7%en 6ra-, an, ne(#i(en*e inter+ene, @. P&!!e!!&r in /a, 6ai t% #ia/#e 6&r #& !! &r ,eteri&rati&n e+en i6 *a-!e, / 6&rt-it&-! e+ent 4. Per!&n 7%& re*&+er! 0&!!e!!i&n n&t &/#i(e, t& 0a 6&r i$0r&+e$ent! 7%i*% %a+e *ea!e, t& ei!t at t%e ti$e &6 &**-0ati&n
3enera% R!%e R# possssion %s % %c!# P&!!e!!i&n a! a 6a*t *ann&t /e re*&(nie, at t%e !a$e ti$e in t7& ,i66erent 0er!&na#itie! E6cei$ns8 5. C&0&!!e!!&r t%ere i! n& *&n6#i*t &6 intere!t) /&t% &6 t%e$ a*tin( a! *&&7ner!) a! in t%e *a!e &6 0r&0ert &7ne, &r 0&!!e!!e, in *&$$&n 8. P&!!e!!i&n &6 ,i66erent *&n*e0t! &r ,i66erent ,e(ree!
SUMMAR, O: RULES ON NECESSAR, USE:UL LUFURIOUS POSSESSION POSSESSION B, LESSEE BASIS
I: IN 3OOD :AITH
I: IN BAD :AITH
Necessary Expenses
,seful expenses
=uxurious or Ornamenta l Expenses
5. Ri(%t t& rei$/-r!e$en t 8. Ri(%t &6 retenti&n 5. Ri(%t t& rei$/-r!e$en t &6 eit%er t%e a$&-nt !0ent &r t%e in*rea!e in +a#-e 0#-! +a#-e at &7nerK! &0ti&n ?art. 4@ 8. Ri(%t &6 retenti&n -nti# 0ai, =. Ri(%t &6 re$&+a# ?0r&+i,e, n& !-/!tantia# ,a$a(e &r in-r i! *a-!e, t& t%e 0rin*i0a#) re,-*in( it! +a#-e UNLESS t%e 7inner ?&7ner &r #a76-# 0&!!e!!&r eer*i!e! t%e &0ti&n in ?5 In (enera#) n& ri(%t t& re6-n, &r retenti&n /-t *an re$&+e i6 n& !-/!tantia# in-r i! *a-!e,. H&7e+er) &7ner %a! OPTION t& a##&7: a. P&!!e!!&r t& re$&+e /. Or retain 6&r %i$!e#6 ?t%e &7ner t%e &rna$ent / re6-n,in( t%e a$&-nt !0ent ?art. 4@9
Ri(%t t& rei$/-r!e$ent n& ri(%t &6 retenti&n
5. On *a0ita# *%ar(e, t& &7ner Taxes and 0harges
8. On 6r-it! *%ar(e, t& 0&!!e!!&r
5. On *a0ita# *%ar(e, t& &7ner 8. On 6r-it! *%ar(e, t& &7ner
P&!!e!!&r $-!t ret-rn +a#-e &6 6r-it! a#rea, re*ei+e, a! 7e##
N& ri(%t t& rei$/-r!e$ent
1egarding gathered or se"ered fruits
T& 0&!!e!!&r
0ulti"ation expenses of gathered fruits F n&t rei$/-r!e, t& In (enera#) n& ri(%t &6 re6-n, &r retenti&n /-t *an re$&+e i6 n& !-/!tantia# in-r i! *a-!e,. H&7e+er) &7ner %a! OPTION t& a##&7: 5. P&!!e!!&r t& re$&+e 8. Or retain 6&r %i$!e#6 ?t%e &7ner t%e &rna$ent / re6-n,in( t%e +a#-e it %a! at t%e ti$e &7ner enter! int& 0&!!e!!i&n ?art. 4@
1egarding pending or ungathered fruits
0&!!e!!&r 0r&ratin( /et7een 0&!!e!!&r an, &7ner &6 e0en!e!) net %ar+e!t) an, *%ar(e!
a! +a#-e 6r-it! 7%i*% t%e&6&7ner &r #e(iti$ate 0&!!e!!&r ?n&t t%e 0&!!e!!&r in BF *&-#, %a+e re*ei+e, 7it% ,-e *are &r ,i#i(en*e) MINUS ne*e!!ar e0en!e! 6&r *-#ti+ati&n) (at%erin() an, %ar+e!tin() t& Rei$/-r!e, t& 0&!!e!!&r
T& &7ner
Production expenses of pending fruits F in,e$nit 0r& rata t& 0&!!e!!&r: ?&7nerK! &0ti&n $&ne a##&7in( 6-## *-#ti+ati&n an, (at%erin( &6 a## 6r-it!" i6 0&!!e!!&r
Impro"eme nts no longer existing =iability for accidental loss or deterioratio n Impro"eme nts due to time or nature
re6-!e,) %e !%a## #&!e a## t%e ri(%t t& /e in,e$ni6ie, in an &t%er $anner. N& rei$/-r!e$en t On# i6 a*tin( 7 6ra-,-#ent intent &r ne(#i(en*e) a6ter !-$$&n! T& &7ner &r #a76-# 0&!!e!!&r
N& in,e$nit
5. G &&, 6ait% 8. O7ner +&#-ntari# 0arte, 7it% t% e 0&!!e!!i&n &6 t%e t%in( =. In t%e *&n*e0t &6 &7ner a. P&!!e!!i&n in (&&, 6a it% E2-i+a#ent t& tit#e /. One 7%& %a! #&!t &r %a! /een -n#a76-## ,e0ri+e, &6 it $a re*&+er t%e t%in( 6r&$ 7%&$e+er 0&!!e!!e! it) &r,inari#) 7& rei$/-r!e$ent. *. O7ner $-!t 0r&+e: i. O7ner!%i0 &6 t%e t%in( ii. L&!! &r -n#a76-# ,e0ri+ati&n &r /a, 6ait% &6 t%e 0&!!e!!&r NOTE8 O7ner a*t! ne(#i(ent# &r +&#-ntari# 0art! 7 t%e t%in( &7ne, *ann&t re*&+er 6r&$ 0&!!e!!&r
N& rei$/-r!e$ent
Lia/#e in e+er *a!e
T& &7ner &r #a76-# 0&!!e!!&r
R!%es in case $& c$n&%ic $r dis!e re'ardin' $ssessi$n 5. Pre!ent 0&!!e!!&r !%a## /e 0re6erre, 8. I6 /&t% are 0re!ent) t%e &ne #&n(er in 0&!!e!!i&n =. I6 /&t% /e(an t& 0&!! e!! at t%e !a$ e ti$e) t%e &ne 7%& 0re!ent ?&r %a! tit#e @. I6 /&t% 0re!ent a tit#e) t%e C&-rt 7i## ,eter$ine. ?Meanti$e) t%e t%in( !%a## /e -,i*ia## ,e0&!ite,. A NOTICE O: LIS PENDENS is r$er in e &$%%$/in' cases8 =PORC>; 5. A*ti&n t& r e*&+er 0&!!e!!i&n &6 rea# e!tate 8. A*ti&n t& @-iet tit#e t%eret& =. A*ti&n t& re$&+e c#&-,! t%ere&n @. A*ti&n 6&r artiti&n 4. An $t%er 0r&*ee,in(! &6 an 1in, in C&-rt ,ire*t# a66e*tin( t%e tit#e t& t%e #an, &r t%e -!e &r &**-0ati&n t%ere&6 &6 t%e /-i#,in(! t%ere&n
SUMMAR, O: RECOVER, OR NON> RECOVER, PRINCIPLE O7ner $a5. 6r&$ 0 &!!e!!&r i n / a, re*&+er 7it%&-t 6ait% rei$/-r!e$ent8. 6r&$ 0&!!e!!&r in (&&, 6ait% ?i6 &7ner %a, #&!t t%e 0r&0ert &r /een -n#a76-## ,e0ri+e, &6 it t%e a*2-i!iti&n /ein( 6r&$ a 0ri+ate 0er!&n art. 44 O7ner $a i6 0&!!e!!&r a*2-ire, re*&+er /-t t%e &/e*t in (&&, 6ait% at !%&-#, a 0-/#i* !a#e &r a-*ti&n" REIMBURSE t%e &7ner t& 0a t%e 0ri*e 0&!!e!!&r O7ner *ann&t 5. re*&+er) e+en i6 %e &66er! t& rei$/-r!e ?7%et%er &r n&t t%e &7ner %a, #&!t &r /een -n#a76-## ,e0ri+e, 8.
0ai,. i6 0&!!e!!&r %a, a*2-ire, it in (&&, 6ait% / 0-r*%a!e 6r&$ a $er*%antK! !t&re) &r in 6air!) &r $ar1et! in a**&r,an*e 7it% t%e C&,e &6 C&$$er*e an, !0e*ia# #a7! i6 &7ner i! / %i! *&n,-*t 0re*#-,e, 6r&$ ,enin( t%e !e##erK! a-t%&rit t& !e## =. i6 !e##er %a! +&i,a/#e tit#e 7%i*% %a! n&t /een a+&i,e, at t%e ti$e &6 !a#e t& t%e /-er in (&&, 6ait% 6&r +a#-e an, 7it%&-t n&ti*e &6 t%e !e##er! ,e6e*t in tit#e @.
+- PRESCRIPTION O: UST TITLE ?- POSSESSION O: MOVABLES Re@!isies8
i6 re*&+er i! n& #&n(er 0&!!i/#e /e*a-!e &6 0re!*ri0ti&n 4. i6 !a#e i! !an*ti&ne, / !tat-t&r &r -,i*ia# a-t%&rit
.
i6 0&!!e!!&r %a, &/taine, t%e (&&,! /e*a-!e %e 7a! an inn&*ent 0-r*%a!er 6&r +a#-e an, %&#,er &6 a ne(&tia/#e ,&*-$ent &6 tit#e t& t%e (&&,!
ANIMALS WILD ANIMALS 0&!!e!!&r i! t%e &ne 7%& %a! *&ntr&# &+er t%e$ DOMESTICATED AND TAMED ANIMALS t%e 0&!!e!!&r ,&e! n&t #&!e 0&!!e!!i&n a! #&n( a! %a/it-a## t%e ret-rn t& t%e 0&!!e!!&rK! 0re$i!e! NOTE: F&r &7ner!%i0) t%e &7ner $-!t *#ai$ t%e$ 7it%in 8 ,a! 6r&$ t%eir &**-0ati&n / an&t%er 0er!&n
L$ss O& P$ssessi$n8 =PALA; 5. A/an,&n$ent &6 t%e t%in( ren-n*iati&n &6 ri(%t" intent t& #&!e t%e t%in( 8. A !!i(n$ent $a,e t& an&t%er / &ner&-! &r (rat-it&-! tit#e =. De!tr-*ti&n &r t&ta# %&!! &6 t%e t%in( &r t%in( 7ent &-t &6 *&$$er*e @. P&!!e!!i&n &6 an&t%er i6 ne7 0&!!e!!i&n #a!te, #&n(er t%at 5 ear ?0&!!e!!i&n a! a 6a*t" rea# ri(%t &6 0&!!e!!i&n n&t #&!t e*e0t a6ter 5 ear!
- LOSS O: POSSESSION Acs N$ A&&ecin' P$ssessi$n8 ?n&t ,ee$e, a/an,&n$ent &6 ri(%t!" 0&!!e!!i&n n&t interr-0te, 5. A*t! $ere# t&#erate, 8. C#an,e!tine an, -n1n&7n a*t! =. A*t! &6 +i&#en*e P$ssessi$n N$ L$s Wen8 8. E+en 6& r ti$e /e in( %e $a n&t 1n&7 t% eir 7%erea/&-t!) 0&!!e!!i&n &6 $&+a/#e i! n&t ,ee$e, #&!t =. ;%en a(ent en*-$/ere, 0r&0ert 7it%&-t e0re!! a-t%&rit e*e0t 7%en rati6ie, @. P&!!e!!i&n $a !ti## /e re*&+ere,: a. Un#a76-## ,e0ri+e, &r #&!t /. A*2-ire, a t 0 -/#i* ! a#e i n ( &&, 6ait% 7it% rei$/-r!e$ent *.
Pr&+i!i&n &6 ,i!0&!e #a7 ena/#in( t%ei! a00arent &7ner t& a! i6 %e &7ner ,. Sa#e -n,er &r,er &6 t%e *&-rt e. P-r*%a!e! $a,e at $er*%ant !t&re!) 6air! &r $ar1et! 6. Ne(&tia/#e ,&*-$ent &6 tit#e
P$ssessi$n E@!i.a%en T$ Ti%e8 5. P&!!e!!i&n i! in (&&, 6ait% 8. O7ner %a! +&#-ntari# 0arte, 7it% t%e 0&!!e!!i&n &6 t%e t%in( P&!!e!!&r i! in *&n*e0t &6 an &7ner
================================ TOPICS UNDER THE S,LLABUS H- USU:RUCT 1- Na!reE%emens
2- A%icai$n $ Pers$na% and Rea% Pr$eries (- H$/ c$ nsi!ed )- Ri's $& e Us !&r!c!ar" a- :r!is #- P$ssessi$n and en4$ "mens c- Lease $& r$er" d- Sa%eA%ienai$n $& Us!&r!c!ar" ri's *- O#%i'ai$ns $& e Us!&r!c!ar" a- Be&$re e Us!&r!c c$mmences #- D!rin' e Us!&r!c i- A%erai$n $& &$rm and s!#sance ii- E6ercise $& di%i'ence iii- Reairs i.and Ta6es .- Car' Ins!raes nce +- Terminai$n $& Us !&r!c ================================ USU:RUCT i! t%e ri(%t t& en& t%e 0r&0ert &6 an&t%er 7it% t%e &/#i(ati&n &6 0re!er+in( it! 6&r$ an, !-/!tan*e) -n#e!! t%e tit#e *&n!tit-tin( it &r t%e #a7 &t%er7i!e 0r&+i,e! !asi>!s!&r!c i! t%e -!-6r-*t 0ertainin( t& i$$&+a/#e!. 1- NATUREELEMENTS Caracerisics $r E%emens 5. E!!entia# t%&!e 7it%&-t 7%i*% it *ann&t /e ter$e, -!-6r-*t a. A rea# ri(%t ?7%et%er re(i!tere, in t%e Re(i!tr &6 Pr&0ert &r n&t /. O6 a t e$0&rar n at-re & r ,-rati&n *. P-r0&!e: t& en& t%e /ene6it! an, ,eri+e a## a,+anta(e! 6r&$ t%e &/e*t
a! a *&n!e2-en*e &6 n&r$a# -!e &r e0#&itati&n 8. Nat-ra# t%at 7%i*% &r,inari# i! 0re!ent) /-t a *&ntrar !ti0-#ati&n *an e#i$inate it /e*a-!e it i! n&t e!!entia# a. O/#i(ati&n & 6 * &n!er+in( & r 0re!er+in( t%e 6&r$ an, !-/!tan*e ?+a#-e &6 t%e t%in( =. A**i,enta# t%&!e 7%i*% $a /e 0re!ent &r a/!ent ,e0en,in( -0&n t%e !ti0-#ati&n &6 t%e 0artie! a. ;%et%er it /e a 0-re &r a *&n,iti&na# -!-6r-*t /.
ei!t
*.
0reator
Origin
Can /e *reate, &n# / t%e &7ner) &r / a ,-# a-t%&rie, a(ent) a*tin( in /e%a#6 &6 t%e &7ner Ma /e *reate, / #a7) *&ntra*t) #a!t 7i##) &r 0re!*ri0ti&n
T%e n-$/er &6 ear! it 7i##
;%et%er it i! in 6a+&r &6 &ne 0er!&n &r !e+era#) et*
DISTIN3UISHED :ROM EASEMENT BASIS Object
Extent
0o"erag e
Effect of death
USU:RUCT Ma /e rea# &r 0er!&na# 0r&0ert. Can a#!& /e &n ri(%t!) /-t n&t 0er!&na# ri(%t! ;%at *an /e en&e, %ere are a## -!e! an, 6r-it! &6 t%e 0r&0ert Cann&t /e *&n!tit-te, &n an ea!e$ent" /-t it $a /e *&n!tit-te, &n t%e #an, /-r,ene, / an ea!e$ent U!-a## etin(-i!%e, / ,eat% &6 -!-6r-*t-ar
EASEMENT In+&#+e! &n# rea# 0r&0ert 0ause
Li$ite, t& a 0arti*-#ar -!e 1epairs Ma /e *&n!tit-te, in 6a+&r &r) &r /-r,enin() a 0ie*e &6 #an, %e#, in -!-6r-*t
N&t etin(-i!%e, / t%e ,eat% &6 t%e &7ner &6 t%e ,&$inant e!tate
DISTIN3UISHED :ROM LEASE USU:RUCT LEASE C&+er! a## 6r-it! Genera## *&+er! an, -!e! a! a &n# a 0arti*-#ar &r r-#e !0e*i6i* -!e Nature A#7a! a rea# A rea# ri(%t &n# i6) ri(%t a! in t%e *a!e &6 a #ea!e &+er rea# 0r&0ert) t%e #ea!e i! re(i!tere,) &r i! 6&r $&re t%an 5 ear) &t%er7i!e) it i! &n# a 0er!&na# BASIS Extent
Taxes
As to other things
T%e &7ner i! $&re &r #e!! 0a!!i+e) an, %e a##&7! t%e -!-6r-*t-ar t& en& t%e t%in( (i+en in -!-6r-*t T%e -!-6r-*t-ar %a! t%e ,-t t& $a1e t%e &r,inar re0air! T%e -!-6r-*t-ar 0a! 6&r t%e ann-a# *%ar(e! an, tae! &n t%e 6r-it! A -!-6r-*t-ar $a #ea!e t%e 0r&0ert it!e#6 t& an&t%er
ri(%t T%e #e!!&r $a &r $a n&t /e t%e &7ner a! 7%en t%ere i! a !-/ #ea!e &r 7%en t%e #e!!&r i! &n# a -!-6r-*t-ar Ma /e *reate, a! a r-#e &n# / *&ntra*t" an, / 7a &6 e*e0ti&n / #a7 ?a! in t%e *a!e &6 an i$0#ie, ne7 #ea!e) &r 7%en a /-i#,er %a! /-i#t in (&&, 6ait% &n t%e #an, &6 an&t%er a /-i#,in() 7%en t%e #an, i! *&n!i,era/# 7&rt% $&re in +a#-e t%an t%e /-i#,in( T%e &7ner &r #e!!&r i! $&re &r #e!! a*ti+e) an, %e $a1e! t%e #e!!ee en& t%e t%in( /ein( #ea!e, T%e #e!!ee (enera## %a! n& ,-t t& 0a 6&r re0air! T%e #e!!ee (enera## 0a! n& tae!
T%e #e!!ee *ann&t *&n!tit-te a -!-6r-*t &n t%e 0r&0ert #ea!e,
INDS8 As $ Ori'in a. Le(a# *reate, / #a7 !-*% a! -!-6r-*t &6 0arent! &+er t%e 0r&0ertie! &6 t%eir *%i#,ren /. V&#-ntar &r *&n+enti&na# i. Create, / 7i## &6 t%e 0artie! inter "i"os ii. Create, mortis causa *. Mie, 0art# *reate, / #a7 an , 0art# / 7i##
,. Pre!*ri0ti+e i! &ne a*2-ire, / a t%ir, 0er!&n t%r&-(% *&ntin-&-! -!e &6 t%e -!-6r-*t 6&r t%e 0eri&, re2-ire, / #a7
As $ @!ani" $r e6en a. A! t& 6r-it! i. T&ta# ii. Partia# /. A! t& etent i. Uni+er!a# i6 &+er t%e entire 0atri$&n ii. Parti*-#arSin(-#ar i6 &n# in,i+i,-a# t%in(! are in*#-,e, As $ e n!m#e r $& ers$ns en4$"in' e ri' a. Si$0#e i6 &n# &ne -!-6r-*t-ar en &! t%e ri(%t /. M-#ti0#e i6 !e+e ra# -!-6r-*t-arie! en& t%e ri(%t i. Si$-#tane&-! at t%e !a$e ti$e ii. S-**e!!i+e &ne a6ter t%e &t%er BUT) in t%i! *a!e) i6 t%e -!-6r-*t i! *reate, / ,&nati&n) a## t%e ,&nee! $-!t /e a#i+e) &r at #ea!t a#rea, *&n*ei+e,) at t%e ti$e &6 t%e 0er6e*ti&n &6 t%e ,&nati&n.
As $ e @!a%i" $r
8. U! -6r-*t CANNOT /e *&n!tit-te, &n an &/e*t !-/e*t t& P#e,(e =. U!-6r-*t *an /e *&n!tit-te, &n an &/e*t !-/e*te, 0re+i&-!# t& a Lea!e. @. U!-6r-*t-ar *an #ea!e &-t t%e 0r&0ert t& &t%er 0artie! 4. U!-6r-*t-ar *an *&n!tr-*t i$0r&+e$ent! &+er 0r&0ert !-/e*t t& -!-6r-*t
(- HOW CONSTITUTED H$/ $ c$nsi!e Us!&r!c 5. Le(a# #a7! U!-6r-*t /-t i! n&t e +i,ent in t&,aK! 8. A*t Inter @i"os =. B Pre!*ri0ti&n
)- RI3HTS O: USU:RUCTUAR, a- :r!is #- P$ssessi$n and en4$"mens Ri' $ ci.i%5 na!ra% ind!sria% &r!is $& r$er" =jus runi and jus u!ni; a. Ci+i# Fr-it! a**r-e ,ai# I. Be#&n( t& t %e - !-6r-*t-ar i n 0r&0&rti&n in 0r&0&rti&n t& t%e ti$e t%e -!-6r-*t $a #a!t II. B&t% ! t&*1 , i+i,en,! a n, * a!% ,i+i,en,! are *&n!i,ere, *i+i# 6r-it! /. In,-!tria# an, Nat-ra# Fr-it! I. Fr-it! 0en,in( at the beginning &6 t%e -!-6r-*t Be#&n( t& t%e -!-6r-*t-ar N& ne*e!!it &6 re6-n,in( t%e &7ner 6&r e0en!e! in*-rre,) ?6&r t%e &7ner (a+e t%e -!-6r-*t e+i,ent# 7it%&-t an t%&-(%t &6 /ein( rei$/-r!e, 6&r t%e 0en,in( 6r-it!) &r /e*a-!e t%e +a#-e &6 !ai, 6r-it! $-!t %a+e a#rea, /een ta1en int& *&n!i,erati&n in 6iin( t%e ter$! an, *&n,iti&n! &6 t%e -!-6r-*t) i6 6&r in!tan*e) t%e -!-6r-*t *a$e a/&-t /e*a-!e &6 *&ntra*t • BUT 7it%&-t 0re-,i*e t& t%e ri(%t &6 =r, 0er!&n!. ?T%-!) i6 t%e 6r-it! %a, /een 0#ante, / a 0&!!e!!&r in (&&, 6ait%) t%e 0en,in( *r&0 e0en!e! an, *%ar(e! !%a## /e 0r&rate, /et7een !ai, 0&!!e!!&r an, t%e -!-6r-*t-ar II. Fr-it! 0en,in( at the termination &6 -!-6r-*t • •
• •
Be#&n( t& t%e &7ner BUT t%e &7ner $-!t rei$/-r!e t%e -!-6r-*t-ar 6&r &r,inar *-#ti+ati&n e0en!e! an, 6&r !ee,! an, !i$i#ar e0en!e!) 6r&$ t%e 0r&*ee,! &6 t%e 6r-it!. ?Hen*e) t%e e*e!! &6 e0en!e!
a a
&+er t%e 0r&*ee,! rei$/-r!e,
nee,
n&t
Ri ' $& !s!&r!c!ar" $& /$$d%and &r,inar *-ttin( a! &7ner ,&e! %a/it-a## &r *-!t&$ &6 0#a*e" *ann&t *-t ,&7n tree! -n#e!! it i! 6&r t%e re!t&rati&n &6 i$0r&+e$ent &6 t%in(! in -!-6r-*t $-!t n&ti6 &7ner 6ir!t
/e
c- Lease $& Pr$er" Ri' $ %ease e r$er" 3enera% R!%e8 T%e #ea!e e0ire! at t%e en, &6 t%e -!-6r-*t &r ear#ier E6cei$n8 In t%e *a!e &6 #ea!e! &6 r-ra# #an,! 7%i*% *&ntin-e! 6&r t%e re$ain,er &6 t%e a(ri*-#t-ra# ear".
a a
Ri' $ %ea.e dead5 !r$$ed rees a e dis$sa% $& $/ner 7it% ri(%t t& ,e$an, t%at &7ner !%&-#, *#ear an, re$&+e t%e$ i6 *a-!e, / *a#a$it &r etra&r,inar e+ent i$0&!!i/#e t& re0#a*e t%e$
I6 t%e -!-6r-*t !%&-#, e0ire /e6&re t%e ter$inati&n &6 t%e #ea!e) %e &r %i! %eir! an, !-**e!!&r! !%a## re*ei+e &n# t%e 0r&0&rti&nate !%are &6 t%e rent t%at $-!t /e 0ai, / t%e #e!!ee!. ?Art 49 I6 t%e na1e, &7ner a##&7! t%e #ea!e t& *&ntin-e e+en a6ter t%e e0irati&n &6 t%e -!-6r-*t) %e 7i## /e entit#e, t& t%e renta#! 0ertainin( t& !-*% eten!i&n.
a a
Ri'r $ d $#&! %ir'ni e s$/i nm er r $$$&s 'i.ei6 a!$ i" an -!-6r-*t i! eten,e, t& re*&+er rea# 0r&0ert &r rea# ri(%t
a aa
Ri' $ inr$d!ce !se&!% and %!6!ri$!s e6enses #! /i n$ $#%i'ai$n $& reim#!rsemen $n ar $& $/ner" $a re$&+e i$0r&+e$ent i6 *an /e ,&ne 7it%&-t ,a$a(e
d- Sa%eA%ienai$n ri's
$&
Us!&r!c!ar"
Ri' $ rans&er !s!&r!c!ar" ri's (rat-it&-! &r &ner&-!" /-t i! *&ter$in-! 7it% ter$ &6 -!-6r-*t" /-t *ann&t ,& a*t! &6 &7ner!%i0 !-*% a! a#ienati&n &r *&n+ean*e except 7%en 0r&0ert i!: a. C&n!-$a/#e /. Inten,e, 6&r !a#e *. A00rai!e, 7%en ,e#i+ere," i6 n&t a00rai!e, an, *&n!-$a/#e ret-rn !a$e 2-a#it mutuum*
OTHER RI3HTS O: THE USU:RUCTUAR,8 Ri' $ idden reas!re as sran'er Ri' n$ e6em &r$m e6ec!i$n and can #e s$%d a !#%ic a!ci$n #" $/ner a a
Na
Ri' $ se>$&& imr$.emens a'ains dama'es e made a'ains e r$er" a aa
Ri' $ adminiser /en r$er" is c$> $/ned" i6 *&&7ner!%i0 *ea!e -!-6r-*t &6 0art a##&tte, t& *&&7ner /e#&n(! t& -!-6r-*t-ar n&t a66e*te,
aaa
Ri' $ demand e increase in .a%!e $& r$er" i6 &7ner ,i, n&t !0en, 6&r etra&r,inar re0air!" 7%en -r(ent an, ne*e!!ar 6&r 0re!er+ati&n &6 t%in(
*- OBLI3ATIONS O: THE US U:RUCTUAR, • Pa" e6enses $ (rd ers$ns &$r c!%i.ai$n and r$d!ci$n a #e'innin' $& !s!&r!c" t%&!e 7%& %a+e ri(%t t& 6r-it! !%&-#, rei$/-r!e e0en!e! in*-rre, • 3enera%%"5 !s!&r!c !ar" as n$ %ia#i%i" /en d!e $ /ear and ear5 in' deeri$raes5 $#%i'ed $ re!rn in a sae" except 7%en t%ere i! 6ra-, &r ne(#i(en*e) t%en %e !%a## /e #ia/#e a- Be&$re e Us!&r!c c$mmences Be&$re enerin' in$ Us!&r!c!ar"8 aN$ice $& in.en$r" &6 0r&0ert ?a00rai!a# &6 $&+a/#e! an, ,e!*ri0ti&n #P$sin' $& sec!ri" i. N&t a00#i*a/#e t& 0arent! 7%& are -!-6r-*t-ar &6 *%i#,ren except 7%en 8 n, $arria(e *&ntra*te, ii. 0aucion uratoria 0r&$i!e -n,er &at% t& ,e#i+er:
iii.
A. F-rnit-re ne*e!!ar 6&r t%e -!e &6 t%e -!-6r-*t-ar B. H&-!e in*#-,e, in t%e -!-6r-*t C. I$0#e$ent!) t&&#! an, &t%er $&+a/#e 0r&0ert ne*e!!ar 6&r an in,-!tr &r +&*ati&n 6&r 7%i*% %e i! en(a(e, E*-!e, a ##&7e, / & 7ner) n &t re2-ire, / #a7 &r n& &ne 7i## /e in-re,
:ai%!re $ 'i.e sec!ri"5 $/ner ma" demand a8 A. I$$&+a/#e! /e 0#a*e, -n,er a,$ini!trati&n B. Ne(&tia/#e in!tr-$ent! *an /e *&n+erte, int& re(i!tere, *erti6i*ate! &r ,e0&!ite, in /an1 C. Ca0ita# an, 0r&*ee,! &6 !a#e &6 $&+a/#e! /e in+e!te, in !a6e !e*-ritie! D. Intere!t &n 0r&*ee,! &r 0r&0ert -n,er a,$ini!trati&n /e#&n( t& -!-6r-*t-ar E. O7ner $a re tain 0r&0ert a! a,$i ni!trat&r 7 &/#i(ati&n t& ,e#i+er 6r-it! t& -!-6r-*t-ar -nti# %e (i+e! !-66i*ient !e*-rit F. E66e*t &6 !e* -rit i! retr&a*ti+e t& ,a %e i! entit#e, t& 6r-it! #- D!rin' e Us!&r!c i-
A%erai$n $ & &$rm a nd s! #sance
ii- E6ercise $& d i%i'ence O#%i'ai$n $ e6ercise di%i'ence8 5. Ta1e *a re &6 0r& 0ert a! a (&&, 6a t%er &6 6a$i# 8. Lia/#e 6&r ne(#i(en*e an, 6a-#t &6 0er! &n 7%& !-/!tit-te %i$
iii- Reairs O#%i'ai$n $ ma
OTHER OBLI3ATIONS O: THE USU:RUCTUAR, O#%i'ed $ n$i&" $/ner $& ac $& ( rd 5. ers$n re4!dicia% $ ri's $& $/nersi %e i! #ia/#e i6 %e ,&e! n&t ,& !& 6&r ,a$a(e! a! i6 it 7a! *a-!e, t%r&-(% %i! &7n 6a-#t 8.
RI3HTS O: THE NAED OWNER 5. A#ienate t%in( 8. Cann&t a#ter 6&r$ &r !-/!tan*e =. Cann&t ,& ant%in( 0re-,i*ia# t& -!-6r-*t-ar @. C&n!tr-*t an 7&r1! an, $a1e an i$0r&+e$ent 0r&+i,e, it ,&e! n&t ,i$ini!% +a#-e &r -!-6r-*t &r 0re-,i*e ri(%t &6 -!-6r-*t-ar OBLI3ATIONS O: THE NAED OWNER 5. Etra&r,inar e0en!e!" -!-6r-*t-ar &/#i(e, t& in6&r$ &7ner 7%en -r(ent an, t%ere i! t%e nee, t& $a1e t%e$ 8. E0en!e! a6ter ren-n*iati&n &6 -!-6r-*t =. Tae! an, e0en!e! i$0&!e, ,ire*t# &n *a0ita# @. I6 0r&0ert i! $&rt(a(e,) -!-6r-*t-ar %a! n& &/#i(ati&n t& 0a $&rt(a(e" i6 atta*%e,) &7ner t& /e #ia/#e 6&r 7%ate+er i! #&!t / -!-6r-*t-ar 4. I6 0r& 0ert i! e0r&0riate, 6&r 0-/#i* -!e &7ner &/#i(e, t& eit%er re0#a*e it &r 0a #e(a# intere!t t& -!-6r-*t-ar &6 net 0r&*ee,! &6 t%e !a$e
+- TERMINATION O: USU:RUCT E6in'!ismen $& Us!&r!c8 =PLDTERM; 1. P re!*ri0ti&n -!e / =r, 0er!&n 2. Ter$inati&n &6 ri(%t &6 0er!&n *&n!tit-tin( -!-6r-*t 3. T&ta# %&!! &6 t%in( 4. Deat% &6 -!-6r-*t-ar -n#e!! *&ntrar intenti&n a00ear! 5. E 0irati&n &6 0eri&, &6 -!-6r-*t 6. R en-n*iati&n &6 -!-6r-*t-ar e0re!! 7. Mer(er &6 -!-6r-*t an, &7ner!%i0 •
.- Ins!rance
I6 -!-6r-*t i! *&n!tit-te, &n ani$a#! d!" #$!nd $ re%ace dead anima%s a die &r$m na!ra% ca!ses $r #ecame re" " i6 a## &6 t%e$ 0eri!% 7& 6a-#t /-t ,-e t& *&nta(i&-! ,i!ea!e -n*&$$&n e+ent ,e#i+er re$ain! !a+e," i6 0eri!% in 0art ,-e t& a**i,ent *&ntin-e &n re$ainin( 0&rti&n" i6 &n !teri#e ani$a#! a! i6 6-n(i/#e re0#a*e !a$e 1in, 2-a#it
L&!! in 0art re$ainin( 0art !%a## *&ntin-e t& /e %e#, in -!-6r-*t
•
U!-6r-*t *ann&t /e *&n!tit-te, in 6a+&r &6 a t&7n) *&r0&rati&n &r a!!&*iati&n 6&r $&re t%an 4 ear!
•
U!-6r-*t *&n!tit-te, &n i$$&+a/#e 7%ere/ a /-i#,in( i! ere*te, an, /-i#,in( i! ,e!tr&e, ri(%t t& $a1e -!e &6 #an, an, $ateria#!
•
I6 &7ner 7i!%e! t& *&n!tr-*t a ne7 /-i#,in( 0a -!-6r-*t-ar t%e +a#-e &6 intere!t &6 #an, an, $ateria#!
•
B&t% !%are in in!-ran*e i6 /&t% 0a 0re$i-$" i6 &7ner &n# t%en 0r&*ee,! 7i## (& t& &7ner &n#
•
E66e*t &6 /a, -!e &6 t%e t%in( &7ner $a ,e$an, t%e ,e#i+er &6 an, a,$ini!trati&n &6 t%e t%in( 7it% re!0&n!i/i#it t& ,e#i+er net 6r-it! t& -!-6r-*t-ar at ter$inati&n &6 -!-6r-*t
•
T%in( t& /e ,e#i+ere, t& &7ner 7it% ri(%t &6 retenti&n 6&r tae! an, etra&r,inar e0en!e! 7* !%&-#, /e rei$/-r!e,) !e*-rit &6 $&rt(a(e !%a## /e *an*e##e,
================================ TOPICS UNDER THE S,LLABUS I- EASEMENTS 1- inds $& Easemens 2- Ri's and O#%i'ai$ns (- M$des $& E6in'!ismen )- Le'a% Easemens a- P!#%ic #- Pri.ae i- Waers ii- Ri' $& Wa" iii- Par" Wa%% i.- Li' and Vie/ .- Draina'e $& B!i%din' .i- Inermediae Disances .ii- A'ains N!isance .iii- Laera% and S!#4acen S!$r ================================ EASEMENT i! an en*-$/ran*e i$0&!e, -0&n an i$$&+a/#e 6&r t%e /ene6it &6 an&t%er i$$&+a/#e /e#&n(in( t& a ,i66erent &7ner. T%e i$$&+a/#e in 6a+&r &6 7%i*% t%e ea!e$ent i! e!ta/#i!%e, i!
*a##e, t%e d$minan esae" t%at 7%i*% i! !-/e*t t%eret&) t%e ser.ien esae.
1- INDS a Acc$rdin' $ !r$se $& easemen $r e na!re $& %imiai$n a. P$sii.e &ne 7%i*% i$0&!e! -0&n t%e !er+ient e!tate t%e &/#i(ati&n &6 a##&7in( !&$et%in( t& /e ,&ne &r &6 ,&in( it %i$!e#6 /. Ne'ai.e t%at 7%i*% 0r&%i/it! t%e &7ner &6 t%e !er+ient e!tate 6r&$ ,&in( !&$et%in( 7%i*% %e *&-#, #a76-## ,& i6 t%e ea!e$ent ,i, n&t ei!t / Acc$rdin' $ ar" 'i.en e #ene&i a. Rea% ?&r 0re,ia# 6&r t%e /ene6it &6 an&t%er /e#&n(in( t& a ,i66erent &7ner ?e.(. ea!e$ent &6 7ater 7%ere #&7er e!tate! are &/#i(e, t& a##&7 7ater nat-ra## ,e!*en,in( 6r&$ -00er e!tate! t& 6#&7 int& t%e$ /. Pers$na% 6&r t%e /ene6it &6 &ne &r $&re 0er!&n! &r *&$$-nit ?e.(. ea!e$ent &6 ri(%t &6 7a 6&r 0a!!a(e &6 #i+e!t&*1 * Acc$rdin' $ e manner e" are e6ercised i- C$nin!$!s t%eir -!e i! in*e!!ant &r $a /e in*e!!ant a. 6&r #e(a# 0-r0&!e! 6&r a*2-i!iti+e 0re!*ri0ti&n) t%e ea!e$ent &6 a2-e,-*t i! *&n!i,ere, *&ntin-&-!" ea!e$ent &6 #i(%t an, +ie7 i! a#!& *&ntin-&-! ii- Disc$nin!$!s -!e, at inter+a#! an, ,e0en, -0&n t%e a*t! &6 $an Ex% right of way because it can only be used if a man passes , Acc$rdin' $ /eer $r n$ eir e6isence is indicaed i- Aaren $a1e 1n&7n an, *&ntin-a## 1e0t in +ie7 / eterna# !i(n! t%at re+ea# t%e -!e an, en&$ent &6 t%e !a$e Ex% right of way wh en there is an alley or a permanent path ii- N$n>aaren t%e !%&7 n& eterna# in,i*ati&n &6 t%eir ei!ten*e Ex% easement of not building to more than certain height
DOCTRINE O: APPARENT SI3N Ea!e$ent! are in!e0ara/#e 6r&$ t%e e!tate t& 7%i*% t%e a*ti+e# &r 0a!!i+e# 0ertain. T%e ei!ten*e &6
t%e a00arent !i(n -n,er Art. 8@ i! e2-i+a#ent t& a tit#e. It i! a! i6 t%er e i! an i$0#ie, *&ntra*t /et7een t%e t7& ne7 &7ner! t%at t%e ea!e$ent !%&-#, /e *&n!tit-te,) !in*e n& &ne &/e*te, t& t%e *&ntin-e, ei!ten*e &6 t%e 7in,&7!. A&or v.
Acc$rdin' $ s$!rce $r $ri'in and esa#%ismen $& easemen a. V$%!nar" *&n!tit-te, / 7i## &r a(ree$ent &6 t%e 0artie! &r / a te!tat&r /. Mi6ed *reate, 0art# / a(ree$ent an, 0art# / #a7 *. Le'a% *&n!tit-te, / #a7 6&r 0-/#i* -!e &r 6&r 0ri+ate intere!t
H$/ esa#%ised8 5. B #a7 ?Le(a# 8. B t%e 7i## &6 t%e &7ner! ?V&#-ntar =. T%r&-(% 0re!*ri0ti&n ?&n# 6&r *&ntin-&-! an, a00arent ea!e$ent! •
Re!-#tant#) 7%en t%e *&-rt !a! t%at an ea!e$ent ei!t!) it i! n&t *reatin( &ne. F&r) e+en an in-n*ti&n *ann&t /e -!e, t& *reate &ne a! t%ere i! n& !-*% t%in( a! a -,i*ia# ea!e$ent. T%e *&-rt $ere# ,e*#are! t%e ei!ten*e &6 an ea!e$ent *reate, / t%e 0artie!. ?% 'is!% Associ%!ion v. CA, 278 CRA +8 (17)
Essenia% @!a%iies $& easemens8 aa In*&r0&rea# aa I$0&!e, -0&n *&r0&rea# 0r&0ert aa C&n6er n& ri(%t t& a 0arti*i0ati&n in t%e 0r&6it! ari!in( 6r&$ it a a I$0&!e, 6&r t%e /ene6it &6 *&r0&rea# 0r&0ert a a Ha! 8 ,i!tin*t tene$ent! d$minan and ser.ien esae a a Ca-!e $-!t /e 0er0et-a# 2- RI3HTS AND OBLI3ATIONS a; Ri's O& D$minan O/ner 5. Eer*i!e a## ri( %t! ne*e!!ar 6&r t%e -!e &6 t%e ea!e$ent
8. M a1e an 7&r1! ne*e! !ar 6&r t%e -!e an, 0re!er+ati&n &6 t%e !er+it-,e" !-/e*t t& t%e 6&##&7in( *&n,iti&n!: A. T%e 7&r1! !%a## /e at %i! e 0en!e) are ne*e!!ar 6&r t%e -!e an, 0re!er+ati&n &6 t%e !er+it-,e" B. T%e ,& n&t a#ter &r ren,er t%e !er+it-,e $&re /-r,en!&$e" C. T%e ,&$inant &7n er) /e6&re $a1 in( t%e 7&r1!) $-!t n&ti6 t%e !er+ient &7ner" an, D. T%e !%a## /e ,&ne at t%e $&!t *&n+enient ti$e an, $anner !& t&a! t%e t& *a-!e t%e #ea!t in*&n+enien*e !er+ient &7ner =. Ren&-n*e t%e ea!e$ent i6 %e ,e!ire! t& ee$0t %i$!e#6 6r&$ *&ntri/-ti&n t& ne*e!!ar e0en!e! @. A!1 6&r $an,at&r in-n*ti&n t& 0re+ent i$0air$ent &6 %i! -!e &6 t%e ea!e$ent
#; O#%i'ai$ns O& Te D$minan O/ner 5. N&ti6 t%e !er +ient &7ner &6 7&r 1! ne*e!!ar 6&r t%e -!e an, 0re!er+ati&n &6 t%e !er+it-,e 8. C&ntri/-te t& t%e ne*e!!ar e0en!e! i6 t%ere are !e+era# ,&$inant e!tate! in 0r&0&rti&n t& t%e /ene6it! ,eri+e, 6r&$ t%e 7&r1! =. Cann&t a#ter &r i$0&!e a,,e, /-r,en &n t%e ea!e$ent @. C%&&!e t%e $&!t *&n+enient ti$e an, $anner in $a1in( t%e ne*e!!ar 7&r1! a! t& *a-!e t%e #ea!t in*&n+enien*e t& t%e !er+ient &7ner c; Ri's O& Te Ser.ien O/ner 5. Retain &7ner!%i0 &6 t%e 0& rti&n &n 7%i*% t%e ea!e$ent i! e!ta/#i!%e,) an, $a -!e it in !-*% a $anner a! n&t t& a66e*t t%e eer*i!e &6 t%e ea!e$ent 8. C%an(e t%e 0#a*e &r $anner &6 t%e -!e &6 t%e ea!e$ent) 0r&+i,e, it /e e2-a## *&n+enient =. U!e t%e 0r&0ert !-/ e*t &6 t%e ea!e$ent) -n#e!! t%ere i! an a(ree$ent t& t%e *&ntrar
d; O#%i'ai$ns O& Te Ser.ien O/ner 5. C&ntri/-te t& t%e ne*e!!ar e0en!e! in *a!e %e -!e! t%e ea!e$ ent) -n#e!! t%ere i! an a(ree$ent t& t%e *&ntrar 8. N&t t& i$0air t%e -!e &6 t%e ea!e$ent (- MODES O: EFTIN3UISHMENT H$/ e6in'!ised8 5. Mer(er in t%e !a$e 0er!&n &6 t%e &7ner!%i0 &6 t%e ,&$inant an, !er+ient e!tate!" 8. N&n-!er 6&r 5 ear! α. I6 ,i!*&ntin-&-! ea!e$ent! 0eri&, *&$0-te, 6r&$ t%e ,a it 7a! *ea!e, t& /e -!e,
I6 *&ntin-&-! 0eri&, 6r&$ t%e ,a &n 7%i*% an a*t *&ntrar t& t%e !a$e t&&1 0#a*e E0irati&n &6 t%e ter $ &r 6-# 6i##$ent &6 t%e *&n,iti&n ?i6 te$0&rar &r *&n,iti&na# Ren-n*iati&n &6 t%e &7ner &6 t%e ,&$ inant e!tate Re,e$0ti&n a(ree, -0&n /et7een &7ner! &6 t%e ,&$inant an, !er+ient e!tate! ;%en ei t%er &r /&t% e!tate! 6a## in t& a *&n,iti&n t%at t%e ea!e$ent *ann&t /e -!e," re+i+e, i6 !-/!e2-ent *&n,iti&n !%&-#, a(ain 0er$it it! -!e) -n#e!! !-66i*ient ti$e 6&r 0re!*ri0ti&n %a! e#a0!e, β.
=. @. 4. .
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)-LE3AL EASEMENTS LE3AL EASEMENTS are t%&!e i$0&!e, / #a7 %a+in( 6&r t%eir &/e*t eit%er 0-/#i* -!e &r t%e intere!t &6 0ri+ate 0er!&n!. T%e !%a ## /e (&+erne, / t%e !0e*ia# #a7! an, re(-#ati&n! re#atin( t%eret&) an, in t%e a/!en*e t%ere&6) / t%e Ci+i# C&,e. inds O& Le'a% Easemens: 5. P!#%ic 6&r 0-/#i* &r *&$$-na# -!e 8. Pri.ae 6&r t%e intere!t &6 0ri+ate 0er!&n!0ri+ate -!e) in*#-,in( t%&!e re#atin( t&: ?;RPLDIAL Water! a. Ri(%t &6 ;a /. Part ;a## *. Li(%t an, Vie7 ,. e. Draina(e &6 B-i#,in( Inter$e,iate Di!tan*e! 6. A(ain!t N-i!an*e (. Latera# an, S-/a*ent S-00&rt %.
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a; Easemen Re%ain' T$ Waers L&7er e!tate! are &/#i(e, t& re*ei+e t%e 7ater! 7%i*% nat-ra## an, 7it%&-t t%e inter+enti&n &6 $an ,e!*en, 6r&$ t%e %i(%er e!tate!) a! 7e## a! !t&ne! &r eart% 7%i*% t%e *arr 7it% t%e$ Cann&t *&n!tr-*t 7&r1! 7%i*% 7i## i$0e,e t%e ea!e$ent" neit%er *an t%e &7ner &6 t%e %i(%er e!tate $a1e 7&r1! 7%i*% 7i## in*rea!e t%e /-r,en Ban1! &6 ri+er! an, !trea$!) a#t%&-(% &6 0ri+ate &7ner!%i0) are !-/e*t t%r&-(%&-t t%eir entire #en(t % an, 7it%in a &ne &6 = $eter! a#&n( t%eir $ar(in!) t& t%e ea!e$ent &6 0-/#i* -!e in t%e (enera# intere!t &6 na+i(ati&n) 6#&ata(e) 6i!%in( an, !a#+a(e E!tate! a,&inin( t%e /an1! &6 na+i(a/#e an, 6#&ata/#e ri+er! are) !-/e*t t& t%e ea!e$ent &6 t&70at%) 6&r t%e e*#-!i+e !er+i*e &6 ri+er na+i(ati&n an, 6#&ata(e
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• C& $0-#!&r ea!e$ent! 6&r ,ra7in( &6 7ater an, 6&r 7aterin( ani$a#! *an /e i$0&!e, 6&r rea!&n! &6 0-/#i* -!e in 6a+&r &6 a t&7n &r +i##a(e) a6ter 0a$ent &6 t%e 0r&0er in,e$nit U!e &6 an 7ater / an&ne *an /e ,i!0&!e, / %a+in( t%e 7ater 6#&7 t%r&-(% t%e inter+enin( e!tate! /-t i! &/#i(e, t& ,& t%e 6&##&7in(: 5. Pr&+e t%at %e *an ,i!0&!e &6 t% e 7ater an, t%at it i! !-66i*ient 6&r t%e -!e inten,e,
8. S%&7 t% at t% e 0r&0&!e, ri (%t &6 7a i! t%e $&!t *&n+enient an, #ea!t &ner&-! t& =r, 0er!&n! =. In,e$ni6 t%e &7ner &6 t%e !er+ient e!tate Ea!e$ent &6 a2-e,-*t i! *&ntin-&-! an, a00arent e+en t%&-(% t%e 6#&7 &6 7ater $a n&t /e *&ntin-&-!
#; Easemen O& Ri' O& Wa" Ri(%t (rante, t& a 0er!&n &r *#a!! &6 0er!&n! t& 0a!! &+er t%e #an, &6 an&t%er / -!in( a 0arti*-#ar 0at%7a t%erein) t& rea*% t%e 6&r$erK! e!tate!) 7%i*% %a+e n& a,e2-ate &-t#et t& a 0-/#i* %i(%7a) !-/e*t) %&7e+er t& 0a$ent &6 in,e$nit t& t%e &7ner &6 t%e !er+ient e!tate
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Re@!isies8 =LIPO NA; 5. C#ai$ant $-!t /e an $7ner &6 en*#&!e, i$$&+a/#e &r &ne 7 rea# ri(%t 8. N & a,e2-ate &-t#et t& 0-/#i* %i(%7a =. Ri(%t &6 7a i! a /!&#-te# ne*e!!ar @. Lea!t 0re-,i*ia# 4. I!&#ati&n n&t ,-e t& *#ai$antK! &7n a*t . Pr&0er in,e$nit a. N&t *&$0-#!&r i6 t%e i!&#ati&n &6 t%e i$$&+a/#e i! ,-e t& t%e 0r&0riet&rK! &7n a*t! /. Ri(%t &6 ;a i! (rante, 7it%&-t in,e$nit i6 #an, 7a! a*2-ire, / an, i! !-rr&-n,e, / t%e &t%er e!tate! &6 t%e +en,&r) e*%an(er &r *&&7ner t%r&-(%: i. Sa#e ii. E*%an(e iii. Partiti&n •
B-r,en &6 0r&&6 &6 0r&+in( t%e re2-i!ite! &n t%e &7ner &6 t%e ,&$inant e!tate
EFTIN3UISHMENT8 Le'a% $r c$m!%s$r" ri' $& /a" • ;%en t%e ,&$inant e!tate i! &ine, t& an&t%er e!tate ?!-*% a! 7%en t%e ,&$inant &7ner /&-(%t an a,a*ent e!tate 7%i*% i!
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a/-ttin( a 0-/#i* r&a,) t%e a**e!! /ein( a,e2-ate an, *&n+enient ;%en a ne7 r&a, i! &0ene, (i+in( a**e!! t& t%e i!&#ate, e!tate In /&t% *a!e!: $-!t !-/!tantia## $eet t%e nee,! &6 t%e ,&$inant e!tate. Ot%er7i!e) t%e ea!e$ent $a n&t /e etin(-i!%e,.
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Etin(-i!%$ent NOT ipso facto
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I6 etin(-i!%e,) $-!t ret-rn t%e a$&-nt re*ei+e, ,&$inant 7it%&-t a! anin,e$nit intere!t.t& t%e Intere!t !%a&7ner ## /e ,ee$e, in 0a$ent 6&r t%e rent.
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T%e &n# !er+it-,e 7* a 0ri+ate &7ner i! re2-ire, t& re*&(nie in 6a+&r &6 t%e (&+ern$ent i! t%e ea!e$ent &6 a 0-/#i* %i(%7a) 7a) 0ri+ate 7a e!ta/#i!%e, / #a7) &r an (&+ern$ent *ana# &r #atera# t%at %a! /een 0reei!tin( at t%e ti$e &6 t%e re(i!trati&n &6 t%e #an,. I6 t%e ea!e$ent i! NOT PREEISTING an, i! !&-(%t t& /e i$0&!e, &n# AFTER t%e #an, %a! /een re(i!tere, -n,er t%e Lan, Re(i!trati&n A*t) 0r&0er e0r&0riati&n 0r&*ee,in(! !%&-#, /e %a,) an, -!t *&$0en!ati&n 0ai, t& t%e re(i!tere, &7ner. Esl%%n v. '%. 4norio, G.R. o. 1+*0*2 (2001) Ea!e$ent &6 ri(%t &6 7a i! DISCONTINUOUS. It $a6&&t /e eer*i!e, &n# i6 ae#!eK! 0er!&n #an,. 0a!!e!An &r !et! &n !&$e/&, ea!e$ent &6 ri(%t &6 7a &6 rai#r&a, tra*1! i! ,i!*&ntin-&-! /e*a-!e t%e ri(%t i! eer*i!e, &n# i6 an, 7%en a train &0erati&n / a 0er!&n 0a!!e! &+er an&t%erK! 0r&0ert. =o&co v. '%l, G.R. o. 12+** (2003)
c; Easemen O& A Par" Wa%% A 7a## ere*te, &n t%e #ine /et7een t7& a,&inin( 0r&0ertie! /e#&n(in( t& ,i66erent 0er!&n!) 6&r t%e -!e &6 /&t% e!tate!. • Pre!-$e,) -n#e!! t%ere i! a tit#e) &r eteri&r !i(n) &r 0r&&6 t& t%e *&ntrar: 5. In ,i+i,in( 7a##! &6 a, &inin( /-i#,in(! -0 t& t%e 0&int &6 *&$$&n e#e+ati&n 8. In ,i+i,in( 7a##! &6 (ar,en! &r ar,! !it-ate, in *itie!) t&7n!) &r in r-ra# *&$$-nitie! =. In 6en*e!) 7a##! an, #i+e %e,(e! ,i+i,in( r-ra# #an,!
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E6eri$r si'ns re#!in' res!mi$n8 5. T%ere i! a 7i n,&7 &r &0enin( in t%e ,i+i,in( 7a## &6 /-i#,in(!
8. Di +i,in( 7a## i! &n &ne !i,e !trai(%t an, 0#-$/ &n a## it! 6a*e$ent) an, &n t%e &t%er) it %a! !i$i#ar *&n,iti&n! &n t%e -00er 0art /-t t%e #&7er 0art !#ant! &r 0r&e*t! &-t7ar, =. Entire 7a## i! /-i #t 7it %in t%e /&-n,arie! &6 &ne &6 t%e e!tate! @. T%e ,i+i,in( 7a# # /ear! t%e /-r,en &6 t%e /in,in( /ea$!) 6#&&r! an, r&&6 6ra$e &6 &ne &6 t%e /-i#,in(!) /-t n&t t%&!e &6 t%e &t%er! 4. T%e ,i+i,in( 7a## /et7een *&-rtar,!) (ar,en! an, tene$ent! i! *&n!tr-*te, in !-*% a 7a t%at t%e *&0in( !%e,! t%e 7ater &n# &ne &6 t%e e!tate! . -0&n T%e ,i+i,in( 7a##) /ein( /-i#t / $a!&nr) %a! !te00in( !t&ne!) 7%i*% at *ertain inter+a#! 0r&e*t 6r&$ t%e !-r6a*e &6 &ne !i,e &n#) /-t n&t &n t%e &t%er >. T%e #an,! en*#&!e, / 6en*e! &r #i+e %e,(e! a,&in &t%er! 7%i*% are n&t en*#&!e, In a## t%e!e *a!e!) t%e &7ner!%i0 i! ,ee$e, t& /e#&n( e*#-!i+e# t& t%e &7ner &6 t%e 0r&0ert 7%i*% %a! in it! 6a+&r t%e 0re!-$0ti&n /a!e, &n an &6 t%e!e !i(n!.
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d; Easemen O& Li' And Vie / Peri&, &6 0re!*ri0ti&n 6&r t%e a*2-i!iti&n !%a## /e *&-nte,: 5. Fr&$ t%e ti$e &6 &0e nin( &6 t% e 7in,&7) i6 t%r&-(% a 0art 7a## 8. Fr&$ t%e ti $e &6 t%e 6&r $a# 0r&%i/iti&n -0&n t%e 0r&0riet&r &6 t%e a,&inin( #an,) i6 7in,&7 i! t%r&-(% a 7a## &n t%e ,&$inant e!tate
)- VOLUNTAR, EASEMENTS are t%&!e 7%i*% $a /e e!ta/#i!%e, / t%e &7ner &6 a tene$ent &6 0ie*e &6 #an, a! %e $a ,ee$ !-ita/#e) an, in t%e $anner an, 6&r$ 7%i*% %e $a ,ee$ /e!t) 0r&+i,e, t%at %e ,&e! n&t *&ntra+ene t%e #a7!) 0-/#i* 0&#i* &r 0-/#i* &r,er. ================================
TOPICS UNDER THE S,LLABUS J. M$des $& Ac@!irin' O/nersi 1- M$de .- Ti%e 2- Ori'ina%Deri.ai.e M$des '. Occ!ai$n L. Ine%%ec!a% Creai$n M. D$nai$n 1-- Es sen 2 in ds ia% E%emens (- C$ndii$na% D$n ai$ns a- E&&ec $& Im$ssi#%eI%%e'a% C$ndii$ns
)- Iner Vi. $sM$ris Ca !sa D$nai$ns *- :$rm a- Oner$!s D$nai$ns +- Caaci" a- O& D $n$r #- O& D$nee ?- Re.$cai$n a- Bir5 S !r.i.a% $r Ad$ i$n #- In'rai!de c- N$n>&!%&i%%men $& C$ ndii$n d- Inn $&ici$!s nes s N- OTHER MODES O: ACUIRIN3 OWNERSHIP 1- La/ 2- Prescrii$n O- NUISANCE ================================ MODES O: ACUIRIN3 =OLDTIPS; 5. O **-0ati&n 8. La7 =. D&nati&n @. Tra,iti&n 4. Inte##e*t-a# Creati&n . P re!*ri0ti&n >. S -**e!!i&n
OWNERSHIP8
1- MODE V- TITLE Di&&erence #e/een M$de and Ti%e MODE i! t%e 0r&*e!! &6 a*2-irin( &r tran!6errin( &7ner!%i0 TITLE i! t%e -ri,i*a# a*t) ri(%t &r *&n,iti&n 7%i*% (i+e! t%e -ri,i*a# -!ti6i*ati&n 6&r a $&,e &r $ean! t& t%eir a*2-i!iti&n /-t 7%i*% in it!e#6 i! in!-66i*ient t& 0r&,-*e t%e$ M$de Dire*t# an, i$$e,iate# 0r&,-*e! a rea# ri(%t T%e *a-!e Pr&i$ate *a-!e E!!en*e &6 t%e ri(%t 7%i*% i! t& /e *reate, &r
Ti%e Ser+e! $ere# t& (i+e t%e &**a!i&n 6&r it! a*2-i!iti&n &r ei!ten*e T%e $ean! Re$&te *a-!e Mean! 7%ere/ t%at e!!en*e i! tran!$itte,
tran!$itte,
2- ORI3INALDERIVATIVE MODES Ori'ina% M$de in,e0en,ent &6 an 0re ei!tin( &r 0re*e,in( tit#e &r ri(%t &6 an&t%er
Deri.ai.e M$de &7ner
t%ere 7a! a 0re*e,in(
M$des O& E6in'!isin' O/nersi8 1. A/!&#-te a## 0er!&n! are a66e*te, a. P%!i*a# #&!! &r ,e!tr-*ti&n /. Le(a# #&!! &r ,e!tr-*ti&n ?7%en it (&e! &-t &6 t%e *&$$er*e &6 $an 2. Re#ati+e &n# 6&r *ertain 0er!&n! 6&r &t%er! $a a*2-ire t%eir &7ner!%i0 a. La7 /. S-**e!!i&n *. Tra,iti&n a ! a *&n!e2-en*e & 6 *ertain *&ntra*t! ,. D&nati&n e. A/an,&n$ent 6. De!tr-*ti&n & 6 t %e 0 ri&r t it#e & r ri(%t ?#i1e e0r&0riati&n) re!*i!!i&n) ann-#$ent) 6-#6i##$ent &6 a re!&#-t&r *&n,iti&n (. Pre!*ri0ti&n OCCUPATION i! t%e a*2-i!iti&n &6 &7ner!%i0 / !eiin( *&r0&rea# t%in(! 7* %a+e n& &7ner) $a,e 7it% t%e intenti&n &6 a*2-irin( t%e$) an, a**&$0#i!%e, a**&r,in( t& #e(a# r-#e! Re@!isies8 5. Sei-re &r a00 re%en!i&n • T%e %&#,in( &6 t%e $ateria# i! n&t re2-ire, a! #&n( a! t%ere i! ri(%t &6 8. ,i!0&!iti&n Pr&0ert $-!t /e *&r0&rea# 0er!&na# 0r&0ert =. Pr&0ert $-!t /e !-!*e0ti/#e &6 a00r&0riati&n a. A/an,&ne, 0r&0ert res derelicata) a t%in( i! *&n!i,ere, a/an,&ne, 7%en: i. T%e spes recuperandi ?e0e*tati&n t& re*&+er i! (&ne ii. T%e animo re"ertendi ?intenti&n t& ret-rn &r t& %a+e it ret-rne, %a! /een (i+en -0 / t%e &7ner /. Un&7ne, 0r&0ert res nullius @. ;it%&-t an &7ner 4. Intent t& a00r&0riate . C&$0#ian*e 7it% t%e re2 -i!ite! &r *&n,i ti&n! &6 t%e #a7 • A/an,&n$ent re2-ire! ?5 a *#ear an, a/!&#-te intenti&n ren&-n*e a ri(%t an, &r a *#ai$ &r t& a/an,&nt&a ri(%t &r 0r&0ert" ?8 an eterna# a*t / 7%i*% t%at intenti&n i! e0re!!e, &r *arrie, int& e66e*t. T%e intenti&n t& a/an,&n i$0#ie! a ,e0art-re) 7it% t%e a+&7e, intent &6 ne+er ret-rnin() re!-$in( &r *#ai$in( t%e ri(%t an, t%e intere!t t%at
%a+e /een a/an,&ne, % Case%%an$ .:rancisc$5 K3-R- N$- 1**+)05 Ma" ?5 200
,. I6 6in,er retain! t%e t%in( 6&-n, %e $a /e *%ar(e, 7it% t%e6t e. I6 &7ner i! -n1n&7n) (i+e t& $a&r" $a&r !%a## ann&-n*e 6in,in( &6 t%e $&+a/#e 6&r 8 7ee1! in a 7a %e ,ee$! /e!t 6. I6 &7ner ,&e! n&t a00ear $& nt%! a6ter 0-/#i*ati&n) t%in( 6&-n, !%a## /e a7ar,e, t& t%e 6in,er (. I6 &7ner a00ear!) %e i! &/#i(e, t& 0a t%e 6in,er 55 &6 +a#-e &6 0r&0ert a! 0ri*e %. I6 $&+a/#e i! 0eri!%a/#e &r *ann&t /e 1e0t 7& ,eteri&rati&n &r 7& e0en!e! it !%a##
Tin's S!scei#%e $ Occ!ai$n 5. T%in(! 7* %a! n& &7ner res nullius" a/an,&ne, 8. St&#en 0r&0ert *ann&t /e !-/e*t &6 &**-0ati&n =. Ani$a#! t%at ar e t%e &/e*t &6 %-n tin( an, 6i!%in( NOTE8 H-ntin( an, 6i!%in( are re(-#ate, / !0e*ia# #a7!: A*t 84" Fi!%erie! A*t @= a! a$en,e, / CA 55) CA 5@> an, RA 4" A*t 5@ a! a$en,e, / A*t 594" PD 4=@" M-ni*i0a# &r,inan*e!. inds O& Anima%s a. ;i#, *&n!i,ere, res nullius 7%en n&t et *a0t-re," 7%en *a0t-re, an, e!*a0e, /e*&$e! res nullius a(ain /. D&$e!ti*ate, ani$a#! &ri(ina## 7i#, /-t %a+e /een *a0t-re, an, ta$e," n&7 /e#&n( t& t%eir *a0t-rer" %a! %a/it &6 ret-rnin( t& 0re$i!e! &6 &7ner" /e*&$e! res nullius i6 t%e #&!e t%at %a/it &6 ret-rnin( an, re(ain t%eir &ri(ina# !tate &6 6ree,&$ *. D&$e!ti*ta$e, ani$a#! /&rn an, &r,inari# rai!e, -n,er t%e *are &6 0e&0#e" /e*&$e res nullius 7%en a/an,&ne, / &7ner • •
Hi,,en trea!-re ?&n# 7%en 6&-n, &n t%in(! n&t /e#&n(in( t& an&ne A/an,&ne, $&+a/#e!
Anima%s 5. S7ar$ &6 /ee! &7ner !%a## %a+e ri(%t t& 0-r!-e t%e$ t& an&t%erK! #an, ?&7ner t& i,enti6 #atter 6&r ,a$a(e!) i6 an #an, &7ner !%a## &**-0retain t%e /ee! i6 a6ter 8 ,a!) &7ner ,i, n&t 0-r!-e t%e /ee! 8. D&$e!ti*ate, ani$a#! $a /e re,ee$e, 7it%in 8 ,a! 6r&$ &**-0ati&n &6 an&t%er 0er!&n" i6 n& re,e$0ti&n i! $a,e) t%e !%a## 0ertain t& t%e &ne 7%& *a-(%t t%e$ =. Pi(e&n! an, 6i!% 7%en t%e (& t& an&t%er /ree,in( 0#a*e) t%e !%a## /e &7ne, / t%e ne7 &7ner 0r&+i,e, t%e are n&t enti*e, M$.a#%es8 5. Trea!-re 6&-n, &n an&t%erK! 0r&0ert 8. M&+a/#e 6&-n, 7* i! n$ reas!re: *. M-!t /e ret-rne, t& &7ner
/e !&#, at 0-/#i* a-*ti&n 9 ,a! a6ter t%e 0-/#i*ati&n
O/nersi $& a iece $& %and cann$ #e ac@!ired #" $cc!ai$n • Be*a-!e 7%en a #an, i! 7it%&-t an &7ner) it 0ertain! t& t%e State • Lan, t%at ,&e! n&t /e#&n( t& an&ne i! 0re!-$e, t& /e 0-/#i* #an, • B-t 7%en a 0r&0ert i! 0ri+ate an, it i! a/an,&ne, it *an /e &/e*t &6 &**-0ati&n
- INTELLECTUAL CREATION •
B Arti*#e >88 an, De*ree Inte##e*t-a# Pr&0ert ?P.D. @) t%e a-t%&r) *&$0&!er) arti!t) &r !*ienti!t *an /e *&n!i,ere, a! t%e &7ner &6 t%e *reati&n &r 0r&,-*t e+en i6 it %a! n&t /een *&0ri(%te, &r 0atente,. urado*
•
Letter! &t%er 0ri+ate in 7ritin( an, are &7ne, / t%e*&$$-ni*ati&n! 0er!& n t& 7%&$ t%e are a,,re!!e, an, ,e#i+ere,) /-t t%e *ann&t /e 0-/#i!%e, &r ,i!!e$inate, 7it%&-t t%e *&n!ent &6 t%e 7riter &r %i! %eir! ECEPT 7%en t%e *&-rt !& a-t%&rie i6 t%e 0-/#i* (&&, &r t%e intere!t &6 -!ti*e !& re2-ire!.
- DONATION DONATION i! an a*t &6 #i/era#it 7%ere/ a 0er!&n ,i!0&!e! (rat-it&-!# &6 a t%in( &r ri(%t in 6a+&r &6 an&t%er) 7%& a**e0t! it 1- ESSENTIAL EL EMENTS Caracerisics 5. Uni#atera# &/#i(ati&n i$0&!e, &n t%e ,&n&r 8. C&n!en!-a# 0er6e*te, at ti$ e ,&n&r 1n&7! &6 a**e0tan*e Re@!isies8 =CIDA; a a T%e ,&n&r $-!t %a+e capacity to maDe the donation &6 a t%in( &r ri(%t
a a
!onati"e intent ?animus donandi &r int ent t& $a1e t%e ,&nati&n &-t &6 #i/era#it t& /ene6it t%e ,&nee a a eli"ery ) 7%et%er a*t-a# &r *&n!tr-*ti+e &6 t%e t%in( &r ri(%t ,&nate, a a ,&nee $-!t % ccept &r consent t& ,&nati&n • T%e ,&nati&n i! 0er6e*te, &n*e t%e a**e0tan*e &6 t%e ,&nati&n 7a! $a,e 1n&7n t& t%e ,&n& r. A**&r,in(#) &7ner!%i0 7i## &n# re+ert t& t%e ,&n&r i6 t%e re!&#-t&r *&n,iti&n i! n&t 6-#6i##e,. Juij%% v. CA, 2 CRA *5 (18)
Re@!iremens $& a D$nai$n8 5. S-/e*t $atter ant%in( &6 +a#-e" 0re!ent an, n&t 6-t-re 0r&0ert) $-!t n&t i$0air #e(iti$e 8. Ca-!e ant%in( t& !-00&rt a *&n!i,erati&n) (ener&!it) *%arit) (&&,7i##) 0a!t !er+i*e) ,e/t =. Ca0a*it t& ,&nate) ,i!0&!e an, a**e0t ,&nati&n @. F&r$ ,e0en,! &n +a#-e &6 ,&nati&n 2- INDS a; As $ E&&eci.i" 5. Iner .i.$s ta1e! e66e*t ,-rin( t%e #i6eti$e &6 t%e ,&n&r 8. M$ris Ca!sa ta1e! e66e* t -0&n t%e ,eat% &6 t%e ,&n&r =. Pr$er N!ias $a,e / rea!&n &6 $arria(e an, /e6&re it! *e#e/rati&n) in *&n!i,erati&n &6 t%e !a$e an, in 6a+&r &6 &ne &r /&t% &6 t%e 6-t-re !0&-!e!. DONATION INTER VIVOS Di!0&!iti&n an, a**e0tan*e t& ta1e e66e*t ,-rin( #i6eti$e &6 ,&n&r an, ,&nee A#rea, 0ertain! t& t%e ,&nee -n#e!! t%ere i! a *&ntrar intent
DONATION MORTIS CAUSA Di!0&!iti&n %a00en! -0&n t%e ,eat% &6 ,&n&r
E+en i6 t%ere i! a ter$ &6 e66e*ti+it an, e66e*ti+it i! -0&n t%e ,eat% &6 t%e ,&n&r) !ti## entit#e, t& 6r-it! F&r$a#itie! re2-ire, F&r$a#itie! re2-ire, 6&##&7 #a7 &n 6&##&7 #a7 &n ,&nati&n! an, *ertain !-**e!!i&n t& /e +a#i,) 1in,! &6 ,&nati&n! an, an, ,&nati&n $-!t /e #a7 &n &/#i(ati&n! an, in t%e 6&r$ &6 a 7i## *&ntra*t! ?!-00#et&r Irre+&*a/#e at t%e Re+&*a/#e ad mutuum in!tan*e &6 t%e ,&n&r" ?e*#-!i+e 7i## &6 $a /e re+&1e, &n# ,&n&r / rea!&n! 0r&+i,e, / #a7 Re+&1e, &n# 6&r
rea!&n! 0r&+i,e, 6&r / #a7 ?e*e0t &ner&-! ,&nati&n!
#; As $ C$nsiderai$n 5. Sim%e t%e *a-!e &6 7%i*% i! t%e 0-re #i/era#it &6 t%e ,&n&r in *&n!i,erati&n &6 t%e ,&neeK! $erit! 8. Rem!nera$r" $r c$mensa$r" it i! (i+en &-t &6 (ratit-,e &n a**&-nt &6 t%e !er+i*e! ren,ere, / t%e ,&nee t& t%e ,&n&r) 0r&+i,e, t%e ,& n&t *&n!tit-te a ,e$an,a/#e ,e/t. =. M$da% i$0&!e! -0&n t%e ,&nee a /-r,en #e!! t%an t%e +a#-e &6 t%e (i6t @. Oner$!s t%e +a#-e &6 7%i*% i! *&n!i,ere, t%e e2-i+a#ent &6 t%e *&n!i,erati&n 6&r 7%i*% it i! (i+en an, t%-! (&+erne, / t%e r-#e! &6 &/#i(ati&n! an, *&ntra*t! c; As $ E&& eci.i" $& E6 in'!ismen 5. P!re n&t !-/e*t t& an *&n,iti&n ?-n*ertain e+ent &r 0eri&, 8. C$ndii$na% !-/e*t t& !-!0en!i+e &r re!&#-t&r *&n,iti&n =. Wi a Term !-/e*t t& a 0eri&,) !-!0en!i+e &r re!&#-t&r (- CONDITIONAL DONATIONS E&&ec $& C$ndii$ns C$ndii$na% !-/e*t re!&#-t&r *&n,iti&n
Im$ssi#%eI%%e'a%
t&
!-!0en!i+e
)- INTER VIVOSMORTIS DONATIONS
&r
CAUSA
Iner .i.$s ta1e! e66e*t ,-rin( t%e #i6eti$e &6 t%e ,&n&r M$ris Ca!sa ta1e! e66e*t -0&n t%e ,eat% &6 t%e ,&n&r *- :ORM a- Oner$!s D$na i$ns ONEROUS t%e +a#-e &6 7%i*% i! *&n!i,ere, t%e e2-i+a#ent &6 t%e *&n!i,erati&n 6&r 7%i*% it i! (i+en an, t%-! (&+erne, / t%e r-#e! &6 &/#i(ati&n! an, *&ntra*t! +- CAPACIT, a- O& D $n$r W$ ma" 'i.e d$nai$ns A## 0er!&n! 7%& $a *&ntr a*t an, ,i!0&!e &6 t%eir 0r&0ert [ ,&n&rK! *a0a*it !%a## /e
,eter$ine, a! &6 t%e ti$e &6 t%e $a1in( &6 t%e ,&nati&n
#- O& D$nee W$ ma" acce d$nai$ns 5. Nat-ra# an, -ri ,i*a# 0er!&n! n&t e!0e*ia## ,i!2-a#i6ie, / #a7 8. Min&r! an, &t%er in*a0a*itate, A. B t%e$!e#+e! I. I6 0-re an, !i$0#e ,&nati&n II. I6 it ,&e! n&t re2-ire 7ritten a**e0tan*e B. B (-ar,ian) #e(a# re0re!entati+e! i6 nee,! 7ritten a**e0tan*e I. Nat-ra# (-ar,ian n&t $&re t%an 4) II. C&-rt a00&inte, $&re t%an 4) @. C&n*ei+e, an, -n/&rn *%i#,) re0re!ente, / 0er!&n 7%& 7&-#, %a+e /een (-ar,ian i6 a#rea, /&rn W$ are dis@!a%i&ied $ d$nae 5. G-ar,ian! an, tr-!tee! 7it% re!0e*t t& 0r&0ert entr-!te, t& t%e$ 8. H-!/an, an, 7i6e =. Bet7een 0ara$&-r!0er!&n! (-i#t &6 a,-#ter &r *&n*-/ina(e at t%e ti$e &6 ,&nati&n @. Bet7een 0artie! (-i#t &6 !a$e *ri$ina# &66en!e 4. Ma,e t& 0-/#i* &66i*er!) 7i6e) ,e!*en,ant) a!*en,ant) / rea!&n &6 %i! &66i*e T%e 0r&%i/iti&n a(ain!t ,&nati&n! /et7een !0&-!e! $-!t #i1e7i!e a00# t& ,&nati&n! /et7een 0er!&n! #i+in( t&(et%er in i##i*it re#ati&n!. $a@!in$ .- Re"es5 K3-R- N$1*)+)*5 !%" 1(5 200(
Oer ers$ns dis@!a%i&ied $ recei.e d$nai$ns 5. Prie!t 7%& %ear, *&n6e!!i&n &6 ,& n&r ,-rin( %i! #a!t i##ne!! 8. Re#ati+e! &6 0r ie!t 7it%in @ t% ,e(ree) *%-r*%) &r,er &r *&$$-nit 7%ere 0rie!t /e#&n(! =. P%!i*ian) n-r!e) et*. 7%& t&&1 *are &6 ,&n&r ,-rin( %i! #a!t i##ne!! @. In,i+i,-a#!) *&r0&rati&n! an, a!!&*iati&n! n&t 0er$itte, Acceance a. A**e0tan*e $-!t /e $a,e 0er!&na## &r t%ra(ent /. D&nati&n $a /e $a,e &ra## &r in 7ritin(: • M&+a/#e: 9&222 and below $a /e &ra# &r 7ritten) i6 &ra# it $-!t /e 7it% !i$-#tane&-!
*.
,e#i+er &6 t%in(,&*-$ent a**e0tan*e nee, n&t /e in 7ritin( abo"e 9&222 $-!t /e 7ritten an, a**e0te, a#!& in 7ritin( • I$$&+a/#e $-!t /e in a 0-/#i* in!tr-$ent an, a**e0tan*e $-!t a#!& /e in a 0-/#i* in!tr-$ent ?in !a$e in!tr-$ent &r in &t%er in!tr-$ent" &t%er7i!e it i! +&i, M-!t /e $a,e ,-rin( t%e #i6eti$e &6 t%e ,&n&r an, ,&nee
In *a!e &6 ,&-/t 7it% re(ar, t& nat-re &6 ,&nati&n: in!r vivos
Bad'es $& &or!is c%us%8 8. Tit#e re$ain! 7it% ,&n&r ?6-## &r na1e, &7ner!%i0 an, *&n+ee, &n# -0&n ,eat% =. D&n&r *an re+&1e ad mutuum @. Tran!6er i! +&i, i6 tran!6er&r !-r +i+e! tran!6eree • A ,&nati&n $&rti! *a-!a $-!t *&$0# 7it% t%e 6&r$a#itie! &6 a #a!t 7i## an, te!ta$ent &t%er7i!e) it 7&-#, /e +&i, an, 7&-#, 0r&,-*e n& e66e*t. I6 t%e ,&nati&n i! $a,e in !-*% a 7a t%at t%e 6-## an, na1e, &7ner!%i0 7i## 0a!! t& t%e ,&nee -0&n t%e ,eat% &6 t%e ,&n&r) t%en it i! at t%at ti$e 7%en t%e ,&nati&n 7i## ta1e e66e*t an, it i! t%e ,&nati&n $&rti! *a-!a 7%i*% !%&-#, /e e$/&,ie, in t%e #a!t 7i## an, te!ta$ent. 9%l%s%n v. C%%!in%n, [G.R. o. 13153, un 2, 2002]
SOME RULES ON DETERMINATION WHETHER MORTIS CAUSA OR INTER VIVOS8 5. A ,&nati&n $a,e in *&n!i,erati&n &6 #&+e an, a66e*ti&n &6 t%e ,&n&r an, t%e ,&nee /-t 6-rt%er !ti0-#ate! t%at It became effecti"e upon the death of the donor pro"ided that in the e"ent the donee should die before the donor& the present donation shall be deemed automatically rescinded and of no force and effect% m$ris ca!sa !in*e t%e ri(%t &6 ,i!0&!iti&n i! n&t tran!6erre, t& ,&nee 7%i#e ,&n&r i! !ti## a#i+e. ic% v. CA A ,&nati&n $a,e !ti0-#atin( t%at it 7i## ta1e e66e*t a6ter t%e ,eat% &6 t%e ,&n&r /-t 6-rt%er !ti0-#ate! t%at ?5 t%e ,&n&r 7i## n&t ,i!0&!e n&r ta1e it a7a 6r&$ t%e ,&nee an, t%at ?8 t%e ,&n&r i! 0artin( 7it% t%e /ene6i*ia# &7ner!%i0 7%i#e %e #i+e, iner .i.$s
5.
D$nai$n O& Te Same Tin' T$ 2 Or M$re Di&&eren Pers$ns • R-#e! &n ,&-/#e !a#e 7i## a00#
CLASSI:ICATION O: DONATION INTER VIVOS 5. :r$m e .ie/$in $& m$i.e5 !r$se5 $r ca!se PURE SIMPLE C$nsider a>i$n Merit! &6 ,&nee
La/ $ a%" &$rms La7 &n ,&nati&n!
:$rm $& accea nce Re2-ire, Reser.a i$n /re'ar d $ ers$na% s!$r and %e'iime A00#i*a/# e Warran " a'ains e.ici$n and idden de&ecs In /a, 6ait% &n# Re.$cai $n A00#i*a/# e
REMUNERA TOR,
COND ITION AL Va#-a/#e *&n!i,era ti&n i! i$0&!e, /-t +a#-e i! #e!! t%an +a#-e &6 t%in( ,&nate,
ONEROU S
Li/era#it &r $erit! &6 ,&nee &r /-r,en *%ar(e &6 0a!t !er+i*e! 0r&+i,e, t%e ,& n&t *&n!tit-te ,e$an,a /#e ,e/t La7 &n ,&nati&n!
Va#-a/#e *&n!i,era ti&n (i+en
Etent &6 /-r,en
Re2-ire,
Re2-ire,
A00#i*a/# e
A00#i*a/# e
La7 &n &/#i(ati&n ! i$0&!e, Q O/#iC&n e*e!!Q ,&nati&n Re2-ire,
N&t A00#i*a/# e
In /a, 6ait% &n#
In /a, 6ait% &n#
A00#ie!
A00#i*a/# e
A00#i*a/# e
A00#i*a/# e
8. :r
$m e .ie/$in $& e a
A ,&nati&n 7&-#, n&t /e #e(a## 6ea!i/#e i6 t%e ,&n&r %a! neit%er &7ner!%i0 n&r rea# ri(%t! t%at %e *an tran!$it t& t%e ,&nee. Hemedes .- CA5 K3-R- N$- 10?1(25 Oc$#er 5 200
DOUBLE DONATIONS: R!%e8 Pri&rit in ti$e) 0ri&rit in ri(%t 5. I6 $&+a/#e &ne 7%& 6ir!t ta1e! 0&!!e!!i&n in (&&, 6ait% 8. I6 i$$&+a/#e &ne 7%& re* &r,e, in re(i!tr &6 0r&0ert in (&&, 6ait% • N& in!*ri0ti&n) &ne 7%& 6ir!t t&&1 0&!!e!!i&n in (&&, 6ait% • In a/!en*e t%ere&6) &ne 7%& 0re!ent! &#,e!t tit#e ?- REVOCATION 3r$!nds :$r Re.$cai$n 5. Birt%) A,&0ti&n) Rea00earan*e &6 a *%i #, • Peri&, &6 @ ear! 6r&$ t%e ti$e &6 /irt%) a,&0ti&n &r rea00earan*e t& re+&1e t%e ,&nati&n
Tran!$i!!i/#e t& t%e %eir! &6 t%e ,&n&r i6 t%e ,&n&r ,ie! 7it%in t%e @ ear 0eri&,) in 7%i*% *a!e t%e re$ainin( 0eri&, !%a## a00# t& t%e ,&n&rK! %eir! • Re,-*ti&n !%a## /e /a!e, &n t%e in&66i*i&-!ne!! &6 t%e ,&nati&n 8. N&n6-#6i##$ent &6 t%e *& n,iti&n! =. In(ratit-,e • Cann&t /e 0a!!e, t& t%e ,&n&rK! %eir • Peri&, &6 5 ear 6r&$ 1n&7#e,(e &6 t%e a*t &6 in(ratit-,e) an, it 7a! 0&!!i/#e 6&r %i$ t& /rin( t%e a*ti&n •
3r$!nds :$r Red!ci$n 5. Fai#-re &6 t %e ,&n&r t& re!er+e !-66i*ient $ean! 6&r !-00&rt &6 %i$!e#6 &r ,e0en,ent re#ati+e! 8. Fai#-re &6 ,&n&r t& re!er+e !-66i*ient 0r&0ert t& 0a &66 ei!tin( ,e/t! =. In&66i*i&-!ne!!) t%at i!) t%e ,&nati&n e*ee,! t%at 7%i*% t%e ,&n&r *an (i+e / 7i## @. Birt%) a00earan*e &r a,&0ti&n &6 a *%i#, AUTOMATIC REVOCATION • In *&ntra*t! 0r&+i,in( 6&r a-t&$ati* re+&*ati&n) -,i*ia# inter+enti&n i! ne*e!!ar n&t 6&r 0-r0&!e! &6 &/tainin( a -,i*ia# ,e*#arati&n re!*in,in( a *&ntra*t a#rea, ,ee$e, re!*in,e, / +irt-e &6 an a(ree$ent 0r&+i,in( 6&r re!*i!!i&n e+en 7it%&-t -,i*ia# inter+enti&n) /-t in &r,er t& ,eter$ine 7%et%er &r n&t t%e re!*i!!i&n 7a! 0r&0er t%e !ti0-#ati&n &6 t%e &6 0artie! 0r&+i,in( 6&r a-t&$ati* re+&*ati&n t%e ,ee, &6 ,&nati&n) 7it%&-t 0ri&r -,i*ia# a*ti&n 6&r t%at 0-r0&!e) i! +a#i, !-/e*t t& t%e ,eter$inati&n &6 t%e 0r&0riet &6 t%e re!*i!!i&n !&-(%t. ;%ere !-*% 0r&0riet i! !-!taine,) t%e ,e*i!i&n &6 t%e *&-rt 7i## /e $ere# ,e*#arat&r &6 t%e re+&*ati&n) /-t it i! n&t in it!e#6 t%e Gam#$an'a Barer re+&*at&r a*t. Traders .- P%a'aa5 K3-R- N$- 1))((
Re.$cai$n O& D$nai$ns A66e*t! t%e 7%&#e ,&nati&n • • A00#ie! &n# t& ,&nati&n inter "i"os • N&t a00#i*a/#e t& &ner&-! ,&nati&n! D&n&r *an re+&1e ,&nati&n i6 t%e ,&nee • 6ai#! t& *&$0# 7it% t%e *&n,iti&n! i$0&!e, / t%e ,&n&r. Pre!*ri0ti&n: @ ear! 6r&$ t%e n&n*&$0#ian*e 7it% *&n,iti&n. •
,&nate, a 0ar*e# &6 #an, t& t%e Uni+er!it &n t%e *&n,iti&n t%at t%e #atter 7i## e!ta/#i!% a $e,i*a# *&##e(e na$e, a6ter . A6ter 4 ear!) K! %eir! 6i#e, ann-#$ent 6&r 6ai#-re t& a/i,e / t%e *&n,iti&n. Can t%i! /e re+&1e,X Genera# r-#e i! t%at i6 t%e 0eri&, i! n&t 6ie,
in t%e *&ntra*t) t%e *&-rt *an 6i t%e 0eri&,. H&7e+er) it %a! /een 4 ear!) $&re t%an en&-(% ti$e t& *&$0#. T%e C&-rt re6-!e, t& 6i a 0eri&, an, r-#e, t%at t%e ,&nati&n *an /e re+&1e, 6&r 6ai#-re t& *&$0# 7it% *&n,iti&n. Cenra% Pi%iine Uni.ersi" .CA5 2)+ SCRA *11
Aci$n &$r re.$cai$n #" reas$n $& in'rai!de 5. D&nee *&$$it! &66en!e a(ain!t 0er!&n) %&n&r) 0r&0ert &6 ,&n&r) !0&-!e) *%i#,ren -n,er %i! 0arenta# a-t%&rit 8. D&nee i$0-te! t& ,&n&r an *ri$ina# &66en!e &r an a*t in+&#+in( $&ra# t-r0it-,e e+en i6 %e !%&-#, 0r&+e it -n#e!! a*t*ri$e %a! /een *&$$itte, a(ain!t ,&nee %i$!e#6) !0&-!e &r *%i#,ren -n,er %i! 0arenta# a-t%&rit =. D&nee -n,-# re6 -!e! t& (i+ e !-00&rt t& ,&n&r 7%en #e(a## &r $&ra## /&-n, t& (i+e !-00&rt t& ,&n&r BIRTH O: CHILD Ipso jure re+&*ati&n) n& nee, 6&r a*ti&n) *&-rt ,e*i!i&n i! $ere# ,e*#arat&r Etent: 0&rti&n 7%i*% $a i$0air #e(iti$e &6 %eir! Pr&0ert $-!t /e ret-rne, A#ienati&n$&r t(a(e! ,&ne 0ri&r t& re*&r,in( in Re(i!ter &6 Dee,!: I6 a#rea, !&#, &r *ann&t /e ret-rne, t%e +a#-e $-!t /e ret-rne, I6 $&rt(a(e, ,&n&r $a re,ee$ t%e $&rt(a(e 7it% ri(%t t& re*&+er 6r&$
NON> :UL:ILLMEN T O: CONDITION Nee,! *&-rt a*ti&n
Etent: 7%&#e 0&rti&n /-t *&-rt $a r-#e 0artia# re+&*ati&n &n# Pr&0ert in e*e!! A#ienati&n!$ &rt(a(e! i$0&!e, are +&i, -n#e!! re(i!tere, 7it% Re(i!ter &6 Dee,!
IN3RTITAUD E Nee,! *&-rt a*ti&n
Etent: ;%&#e 0&rti&n ret-rne,
Pr&0ert t& /e ret-rne, Pri&r &ne! are +&i," ,e$an, +a#-e &6 0r&0ert 7%en a#ienate, an, *ann&t /e re*&+ere, &r re,ee$e, 6r&$ =r, 0er!&n!
,&nee Fr-it! t& /e ret-rne, at 6i#in( &6 a*ti&n 6&r re+&*ati&n Pre!*ri0ti&n &6 a*ti&n i! @ ear! 6r&$ /irt%) et*.
A*ti&n *ann&t /e ren&-n*e, Ri(%t &6 a*ti&n tran!$itte, t& %eir!
A*ti&n eten,! t& ,&neeK! %eir!
Fr-it! t& /e ret-rne, at 6i#in( &6 *&$0#ainant Pre!*ri0ti&n i! @ ear! 6r&$ n&n 6-#6i##$ent
A*ti&n *ann&t /e ren&-n*e, in a,+an*e Ri(%t &6 a*ti&n at in!tan*e &6 ,&n&r /-t $a /e tran!$itte, t& %eir! A*ti&n ,&e! n&t eten, t& ,&neeK! %eir!
. E66e*t &6 ,e*# arati&n a! in& 66i*i&-!: t%e ,&nati&n i! ann-##e, &n# a! t& t%e 0&rti&n ,i$ini!%in( t%e #e(iti$e •
Pre!*ri0ti&n i! 5 ear 6r&$ 1n&7#e,(e &6 6a*t an, it 7a! 0&!!i/#e 6&r %i$ t& /rin( a*ti&n
Heir! *ann&t 6i#e a*ti&n
E6cei$n $ r!%e $n inransmissi#i%i" $& aci$n /i re'ard $ re.$cai$n d!e $ in'rai!de8 5. Per!&na# t& t%e ,&n&r" (enera# r-#e i! %eir *ann&t in!tit-te i6 ,&n&r ,i, n&t in!tit-te 8. Heir! *an &n# 6i#e in t%e 6&##&7in( *a!e!: a. D&n&r %a! in!tit-te, 0r&*ee,in(! /-t ,ie! /e6&re /rin(in( *i+i# a*ti&n 6&r re+&*ati&n /. D&n&r a#rea, in!tit-te, *i+i# a*ti&n /-t ,ie,) %eir! *an !-/!tit-te *. D&nee 1i##e, ,&n&r &r %i! in(ratit-,e *a-!e, t%e ,eat% &6 t%e ,&n&r ,. D&n&r ,ie, 7& %a+in( 1n&7n t%e in(ratit-,e ,&ne e. Cri$ina# a*ti&n 6i#e, /-t a/ate, / ,eat% =. Can &n# $a1e %eir! &6 ,&nee #ia/#e i6 *&$0#aint 7a! a#rea, 6i#e, 7%en ,&nee ,ie, In$&&ici$!s d$nai$ns8 5. S%a## /e re,-*e, 7it% re(ar, t& t%e e*e!! 8. A*ti&n t& re,-*e !%a ## /e 6i#e, / %ei r! 7%& %a+e ri(%t t& #e(iti$e at ti$e &6 ,&nati&n =. D&nee!*re,it&r! &6 ,e*ea!e, ,&n&r *ann&t a!1 6&r re,-*ti&n &6 ,&nati&n @. I6 t% ere are 8 &r $& re ,& nati&n: re*ent &ne! !%a## /e !-00re!!e, 4. I6 8 &r $& re ,& nati&n at !a $e ti $e treate, e2-a## an, re,-*ti &n i! pro rata /-t ,&n&r $a i$0&!e 0re6eren*e 7%i*% $-!t /e e0re!!# !tate, in ,&nati&n
Ca-!e &6 a*ti&n ari!in( 6r&$ t%e in&66i*i&-!ne!! &6 ,&nati&n ari!e! &n# -0&n ,eat% &6 t%e ,&n&r) a! t%e +a#-e &6 t%e ,&nati&n 7i## /e *&ntra!te, 7it% t%e net +a#-e &6 t%e e!tate &6 t%e ,&n&r ,e*e,ent. E%$" Imeria% .- CA5K 3-R- N$- 112)( =1999;
Cec<%is :$r D$nai$n: 5. ;%et%er &ner&-! &r (r at-it&-! i6 &ne r&-!) (&+erne, / #a7 &n *&ntra*t! 8. I6 (rat-it&-!) 7%et%er mortis causa &r inter "i"os i6 $&rti! *a-!a) (&+erne, / #a7 &n !-**e!!i&n =. I6 inter "i"os) 7%et%er 0er6e*te, &r n&t ?$a,e 1n&7n t& t%e ,&n&r. I6 n& 0er6e*ti&n) ,&nati&n i! +&i,. @. I6 0er 6e*te,) *%e*1 6&r t%e *a0a*it &6 t%e ,&n&r t& (i+e an, t%e ,&nee t& re*ei+e. I6 n& *a0a*it) ,&nati&n i! +&i,. 4. C&$0#ian*e 7it% Art >@9 ?$&+a/#e an, >@ ?i$$&+a/#e &6 NCC . N&n*&$0#ian*e) ,&nati&n i! +&i,. ILLE3AL AND IMPOSSIBLE CONDITIONS In Si$0#eRe$-nat&r ,&nati&n! !%a## /e *&n!i,ere, a! n&t i$0&!e, =Ar ?2?; In Oner&-!C&ntra*t ann-#! &/#i(ati&n" &/#i(ati&n an, *&n,iti&n! are +&i, =Ar 11(;
N- Oer M$des $& Ac@!irin' O/nersi 1- LAW Re6er! t& t%&!e in!tan*e! 7%ere t%e #a7) in,e0en,ent# &6 t%e &t%er $&,e! &6 a*2-irin( &7ner!%i0) a-t&$ati*a## an, ,ire*t# +e!t! t%e &7ner!%i0 &6 t%e t%in( in a *ertain in,i+i,-a# &n*e t%e 0re!*ri/e, re2-i!ite! &r *&n,iti&n! are 0re!ent &r *&$0#ie, 7it% urado*.
2- PRESCRIPTION PRESCRIPTION i! a $&,e / 7%i*% &ne a*2-ire! &7ner!%i0 an, &t%er rea# ri(%t! t%r- #a0!e &6 ti$e" a#!& a $ean! / 7%i*% &ne #&!e! &7ner!%i0) ri(%t! an, a*ti&n!" retr&a*ti+e 6r&$ t%e $&$ent 0eri&, /e(an t& r-n" 6&-n,e, &n (r&-n,! &6 0-/#i* 0&#i*" re(ar,e, a! a !tat-te &6 re0&!e inds8 5. A*2-i!iti+e 3enera% Re@!isies: A. Ca0a*it t& a*2-ire / 0re!*ri0ti&n
B. T%in( *a0a/#e &6 a*2-i!iti&n / 0re!*ri0ti&n C. P&!!e!!i&n &6 t%in( -n,er *ertain *&n,iti&n! D. La0!e &6 ti$e 0r&+i,e, / #a7 8. Etin*ti+e a#!& *a##e, a! #i$itati&n &6 a*ti&n! 9or%ls v C
W$ ma" ac@!ire #" rescrii$n 5. Per!&n 7%& i! *a0a/#e &6 a* 2-irin( 0r&0ert / &t%er #e(a# $&,e! 8. State =. Min&r! t%r&-(% (-ar,ian! &r 0er!&na## A'ains /$m rescrii$n ma" r!n 5. Min&r! an, in*a0a*itate, 0er!&n 7%& %a+e (-ar,ian! 8. A/!entee! 7%& %a+e a,$ini!trat&r! =. Per!&n! #i+in( a/r&a, 7%& %a+e a,$ini!trat&r! @. J-ri,i*a# 0er!&n! except t%e !tate 7it% re(ar, t& 0r&0ert n&t 0atri$&nia# in *%ara*ter 4. Bet7een %-!/an, an, 7i6e . Bet7een 0arent! an, *%i#,ren ?,-rin( $in&ritin!anit >. Bet7een ( -ar,ian a n, 7 ar, ? ,-rin( (-ar,ian!%i0 9. Bet7een *&%eir!*&&7ner! . Bet7een &7ner &6 0r&0ert an, 0er!&n in 0&!!e!!i&n &6 0r&0ert in *&n*e0t &6 %&#,er
Prescrii$n d$es NOT r!n 5. Bet7een %-!/an, an, 7i6e) e+en t%&-(% t%ere /e a !e0arati&n &6 0r&0ert a(ree, -0&n in t%e $arria(e !ett#e$ent! &r / -,i*ia# ,e*ree 8. Bet7een 0arent! an, *%i#,ren) ,-rin( t%e $in&rit &r in!anit &6 t%e #atter =. Bet7een (-ar,ian a n, 7 ar, , -rin( t%e *&ntin-an*e &6 t%e (-ar,ian!%i0 Tin's s!#4ec $ rescrii$n : a## t%in(! 7it%in t%e *&$$er*e &6 $en 5. Pri+ate 0r&0ert 8. Patri$&nia# 0r&0ert &6 t%e State Tin's n$ s!#4ec $ rescrii$n 5. P-/#i* ,&$ain 8. Intran!$i!!i/#e ri(%t! =. M&+a/#e! 0&!!e!!e, t%r&-(% a *ri$e @. Re(i!tere, #an, Ren!nciai$n $& Prescrii$n Per!&n! 7it% *a0a*it t& a#ienate $a • ren&-n*e 0re!*ri0ti&n a#rea, &/taine, /-t n&t t%e ri(%t t& 0re!*ri/e in t%e 6-t-re • Ma /e e0re!! &r ta*it • Pre!*ri0ti&n i! ,ee$e, t& %a+e /een ta*it# ren&-n*e," ren-n*iati&n re!-#t! 6r&$ t%e a*t! 7* i$0# a/an,&n$ent &6 ri(%t a*2-ire, Cre,it&r! an, 0er!&n! intere!te, in • $a1in( 0re!*ri0ti&n e66e*ti+e $a a+ai# it t%e$!e#+e! n&t7it%!tan,in( e0re!! &r ta*it ren-n*iati&n PRESCRIPTION O: OWNERSHIP AND OTHER REAL RI3HTS inds $& Ac@!isii.e rescrii$n 5. Or,inar a. P&!!e!!i&n in (&&, 6ait% /. J-!t tit#e *. ;it%in ti$e 6ie, / #a7 i. @ ear! 6&r $&+a/#e! ii. 9 ear! 6&r i$$&+a/#e! ,. In *&n*e0t &6 an &7ner e. P-/#i*) 0ea*e6-#) -ninterr-0te, 8. Etra&r,inar a. J-!t tit#e i! 0r&+e, /. ;it%in ti$e 6ie, / #a7 i. 5ear!6&r$&+a/#e! ii. = ear! 6&r i$$&+a/#e! 5. In *&n*e0t &6 an &7ner 8. P-/#i*) 0ea*e6-#) -ninterr-0te,
3OOD :AITH
•
• Re a!&na/#e /e#ie6 t%at 0er!&n 7%& tran!6erre, t%e t%in( i! t%e &7ner an, *&-#, +a#i,# tran!$it &7ner!%i0 M-!t ei!t t%r&-(%&-t t%e entire 0eri&, re2-ire, 6&r 0re!*ri0ti&n
UST TITLE =TRUE and VALID; $-!t /e 0r&+e, an, ne+er 0re!-$e," &n# Titulo 0olorado i! re2-ire, • Titulo 0olorado !-*% tit#e 7%ere t%ere 7a! a $&,e &6 tran!6errin( &7ner!%i0 /-t !&$et%in( i! 7r&n( /e*a-!e t%e (rant&r i! n&t t%e &7ner • Titulo putati"o a 0er!&n /e#ie+e! %e %a! &/taine, tit#e /-t %e %a! n&t /e*a-!e t%ere 7a! n& $&,e &6 a*2-irin( &7ner!%i0) a! 7%en &ne i! in 0&!!e!!i&n &6 a t%in( in t%e $i!ta1en /e#ie6 t%at it %a, /een /e2-eat%e, t& %i$. olino v =i%rns%, 7 ;"il. 232, •
•
10* Tit#e $-!t /e &ne 7%i*% 7&-#, %a+e /een !-66i*ient t& tran!6er &7ner!%i0 i6 (rant&r %a, /een t%e &7ner T%r&-(% &ne &6 t%e $&,e! &6 tran!6errin( &7ner!%i0 /-t t%ere i! +i*e,e6e*t in *a0a*it &6 (rant&r t& tran!$it &7ner!%i0
IN CONCEPT O: OWNER • P&!!e!!i&n n&t / $ere t&#eran*e &6 &7ner /-t a,+er!e t& t%at &6 t%e &7ner • C#ai$ t%at %e &7n! t%e 0r&0ert PUBLIC5 PEACE:UL UNINTERRUPTED M-!t /e 1n&7n t& t%e &7ner &6 t%e • t%in( • A*2-ire, an, $aintaine, 7& +i&#en*e Uninterr-0te, ?n& a*t &6 ,e0ri+ati&n • / &t%er! in t%e en&$ent &6 0r&0ert INTERRUPTION 5. Nat-ra# A. T%r&-(% an *a-!e) 0&!!e!!i&n *ea!e! 6&r $&re t%an 5 ear B. I6 5 ear &6 #e!! a! i6 n & interr-0ti&n 8. Ci+i# A. Pr&,-*e, / - ,i*ia# !-$$&n!" ECEPT: i. V&i, 6&r #a*1 &6 #e(a# !&#e$nitie! ii. P#ainti66 ,e!i!t! 6r&$ *&$0#ainta##&7! 0r&*ee,in(! t& #a0!e iii. P&!!e!!&r i! a/!&#+e, 6r&$ *&$0#aint • E0re!! &r ta*it ren-n*iati&n •
P&!!e!!i&n in 7arti$e
RULES IN COMPUTATION O: PERIOD • Pre!ent 0&!!e!!&r $a ta*1 %i! 0&!!e!!i&n t& t%at &6 %i! (rant&r &r 0re,e*e!!&r in intere!t
• Pre!ent 0&!!e!!&r 0re!-$e, t& /e in *&ntin-&-! 0&!!e!!i&n e+en 7it% inter+enin( ti$e -n#e!! *&ntrar i! 0r&+e, • Fir!t ,a e*#-,e,) #a!t ,a in*#-,e,
TACIN3 PERIOD • T%ere $-!t /e 0ri+it /et7een 0re+i&-! an, 0re!ent 0&!!e!!&r • P&!!i/#e 7%en t%ere i! !-**e!!i&n &6 ri(%t! • I6 *%ara*ter &6 0&!!e!!i&n ,i66erent: 0re,e*e!!&r in /a, 6ai t% 0&!!e!!&r in (&&, 6ait% -!e etra&r,inar 0re!*ri0ti&n PRESCRIPTION O: ACTIONS PRESCRIPTIV ACTION E PERIOD = r! 5. a*ti&n &+er i$$&+a/#e! 6r&$ ti$e 0&!!e!!i&n i! #&!t r!5 5. $ &rt(a(e a*ti&n 8. a*ti&n -0&n 7ritten *&ntra*t =. a*ti&n -0&n &/#i(ati&n *reate, / #a7 @. a*ti&n -0&n a -,($ent 9 r! 5. a*ti&n t& re*&+er $&+a/#e! 6r&$ ti$e 0&!!e!!i&n i! #&!t r! 5. a*ti&n -0&n an &ra# *&ntra*t 8. a*ti&n -0&n a 2-a!i*&ntra*t @r! 5. -0&n in-r t& ri(%t! &6 0#ainti66 8. -0&n a 2-a!i,e#i*t 5 r 4 r!
@. O /!tr-*t! &r inter6ere! 7it% t%e 6ree 0a!!a(e &6 an 0-/#i* %i(%7a &r !treet) &r an /&, &6 7ater 4. Hin,er! &r i$0air! t%e -!e &6 0r&0ert •
inds $& N!isances Acc$rdin' T$ N!m#er $& Pers$ns A&&eced8 5. P!#%ic =$r c$mm$n; n!isance a66e*t! a *&$$-nit &r nei(%/&r%&&, &r *&n!i,era/#e n-$/er &6 0er!&n! 8. Pri.ae n!isance a66e*t! a an in,i+i,-a# &r 6e7 0er!&n! &n#
Oer C%assi&icai$n: 5. N!isance ;r a#7a! a n-i!an*e /e*a-!e &6 it! nat-re re(ar,#e!! &6 #&*ati&n &r !-rr&-n,in(! 8. N!isance ;r Accins n-i!an*e / rea!&n &6 #&*ati&n) !-rr&-n,in( &r in t%e $anner it i! *&n,-*te, &r $ana(e,. DOCTRINE O: ATTRACTIVE NUISANCE8 aa REASON 6&r t%e ,&*trine: &ne 7%& $aintain! &n %i! 0re$i!e! ,an(er&-! in!tr-$enta#itie! &r a00#ian*e! &6 a *%ara*ter #i1e# t& attra*t *%i#,ren in 0#a) an, 7%& 6ai#! t& eer*i!e &r,inar *are t& 0re+ent *%i#,ren 6r&$ 0#ain( t%ere7it% &r re!&rtin( t%eret&) i! #ia/#e t& a *%i#, &6 ten,er ear! 7%& i! in-re,
5. 6&r*i/#e e ntr a n, - n#a76-# ,etainer 8. ,e6a$ati&n 5. &t%er! 7%ere 0eri&,! are n&t 6ie, / #a7
Ri's n$ e6in'!ised #" rescrii$n8 5. De$an, ri(%t &6 7a 8. A/ate 0-/#i*0ri+ate n-i!an*e =. De*#are *&ntra*t +&i, @. Re*&+er 0r&0ert !-/e*t t& e0re!!e, tr-!t 4. Pr&/ate &6 a 7i## . <-iet tit#e
aa
O- NUISANCE NUISANCE i! an a*t) &$i!!i&n) e!ta/#i!%$ent) /-!ine!!) *&n,iti&n &6 0r&0ert) &r ant%in( e#!e 7%i*%: 5. In-re! &r en,a n(er! t%e %ea#t% &r !a6et &6 &t%er! 8. Ann&! &r &66en,! t%e !en!e! =. S%&*1!) ,e6ie! &r ,i!re(ar,! ,e*en* &r $&ra#it
La0!e &6 ti$e *ann&t #e(a#ie an n-i!an*e) 7%et%er 0-/#i* &r 0ri+ate
t%ere/) e+en i6 t%e *%i#, i! te*%ni*a## a tre!0a!!er in t%e 0re$ i!e!. T%e 0rin*i0a# rea!&n 6&r t%e ,&*trine i! t%at t%e *&n,iti&n &r a00#ian*e in 2-e!ti&n a#t%&-(% it! ,an(er i! a00arent t& t%&!e &6 a(e) i! !& enti*in( &r a##-rin( t& *%i#,ren &6 ten,er ear! a! t& in,-*e t%e$ t& a00r&a*%) (et &n &r -!e it) an, t%i! attra*ti+ene!! i! an i$0#ie, in+itati&n t& !-*% *%i#,ren. Bi%lo En!rpriss, /nc. v. =%l%n%n, 1 ;"il. +88 (152) A00#i*ati&n t& /&,ie! &6 7ater (enera## n&t a00#i*a/#e t& /&,ie! &6 7ater) arti6i*ia# a! 7e## a! nat-ra# in t%e a/!en*e &6 !&$e -n-!-a# *&n,iti&n &r arti6i*ia# 6eat-re &t%er t%an t%e $ere 7ater an, it! #&*ati&n.
Remedies a'ains a !#%ic n!isance8 aa Pr&!e*-ti&n -n,er t%e Pena# C&,e &r an #&*a# &r,inan*e aa aa
•
Ci+i# a*ti&n Etra-,i*ia# a/ate$ent A## re$e,ie! $a /e !i$-#tane&-!# 0-r!-e, t& re$&+e a n-i!an*e
Re@!iremens &$r a#aemen $& a !#%icri.ae n!isance #" a ri.ae ers$n8 5. De$an, %a! /een $a,e 8. De$an, %a! /een ree*te, =. A/ate$ent /e a00r&+e, / t%e ,i!tri*t %ea#t% &66i*er an, ee*-te, 7it% t%e a!!i!tan*e &6 t%e #&*a# 0&#i*e @. Va#-e &6 t%e ,e!tr-*ti&n ,&e! n&t e*ee, P= 4. I6 0-/#i* n-i!an*e) it $-!t /e !0e*ia## in-ri&-! t& %i$ A ri.ae ers$n $r a !#%ic $&&icia% e6ra> 4!dicia%%" a#ain' a n!isance sa%% #e %ia#%e &$r dama'es8 aa I6 %e *a-!e! -nne*e!!ar in-r aa I6 an a##e(e, n-i!an*e i! #ater ,e*#are, / t%e *&-rt! t& /e n&t a rea# n-i!an*e Remedies a'ains a ri.ae n!isance8 aa Ci+i# a*ti&n aa A/ate$ent) 7it%&-t -,i*ia# 0r&*ee,in(! NOTE8 5. N& #e(a#iati&n &6 n-i !an*e) 7%et%er 0ri+ate &r 0-/#i*) / 0re!*ri0ti&n 8. E+en i6 n-i!an*e n& #&n(er ei!t!) t%e a((rie+e, 0er!&n $a !ti ## 0-r!-e a *i+i # a*ti&n 6&r ,a$a(e! 6&r t%e in-rie! !-66ere, ,-rin( t%e ei!ten*e &6 n-i!an*e =. S-/!e2-ent &7ner &6 t%e 0r&0ert) %a+in( 6-## 1n&7#e,(e &6 t%e ei!ten*e &6 t%e n-i!an*e) ,i, n&t re$&+e t%e n-i!an*e i! !&#i,ari# #ia/#e 6&r t%e in-rie! an, ,a$a(e! *a-!e, @. O7ner &6 n-i!an*e 0r&0ert i! n&t entit#e, t& *&$0en!ati&n 4. Ci+i# a*ti&n a(ain!t a 0-/#i* n-i!an*e !%a## /e *&$$en*e, / t%e $a&r &6 t%e #&*a#it . A 0ri+ate 0 er!&n $a *&$$en*e a * i+i# a*ti&n t& e#i$inate a 0-/#i* n-i!an*e &n# i6 %e !-66ere, a 0arti*-#ar %ar$ &r in-r 7%i*% i! ,i66erent 6r&$ t%e %ar$ &r ,a$a(e !-66ere, / t%e (enera# 0-/#i* / rea!&n t%ere&6
OBLI3ATIONS A- 3ENERAL PROVISIONS
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2- ELEMENTS O: AN OBLI3ATION
TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS 1- De&inii$n 2- E%emens $& an O#%i'ai$n (- Di&&eren inds $& Presai$n )- C%assi&icai$n $& O#%i'ai$ns
ELEMENTS O: AN OBLI3ATION8 AR:- 11*+ 11+2 =PAVO; A- PASSIVE SUBECT ?&/#i(&r,e/t&r8 &ne 7%&
*-AS$!rces $& O#%i'ai$ns Ar- 11*? B- Na!ra% $#%i'ai$ns C- E6ra>c$nrac!a% $#%i'ai$ns
%a! t%e/&-n, ,-t &6t&(i+in() ,&in( &r n&t ,&in(" 0er!&n t%e 6-#6i##$ent
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C- VINCULUM URIS LE3AL TIE8 t%e e66i*ient *a-!e &r t%e -ri,i*a# tie /et7een t7& !-/e*t! / rea!&n &6 7%i*% t%e ,e/t&r i! /&-n, in 6a+&r &6 t%e *re,it&r t& 0er6&r$ t%e &/#i(ati&n. It *an /e e!ta/#i!%e, / +ari&-! !&-r*e! &6 &/#i(ati&n! ?#a7) *&ntra*t) 2-a!i*&ntra*t!) ,e#i*t!) an, 2-a!i,e#i*t! an, $a ari!e eit%er 6r&$ /i#atera# &r -ni#atera# a*t! &6 0er!&n!.
TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS 1- De&inii$n =========================================
1- DE:INITION
B- ACTIVE SUBECT ?&/#i(ee*re,it&r: &ne in 7%&!e 6a+&r t%e &/#i(ati&n i! *&n!tit-te," 0er!&n entit#e, t& ,e$an,
D- OBECT SUBECT MATTER : t%e 0re!tati&n &r *&n,-*t 7%i*% %a! t& /e &/!er+e, / t%e ,e/t&r&/#i(&r. It i! n&t a t%in( /-t a 0arti*-#ar *&n,-*t &6 t%e ,e/t&r. REUISITES O: A VALID PRESTATION8
OBLI3ATION:
a. Li*it
5. A -ri,i*a# ne*e!!it t& (i+e) t& ,& &r n&t t& ,&. ?Art. 554
/. P&!!i/#e
8. It i! a #e(a# /&n, 7%ere/ *&n!traint i! #ai, -0&n a 0er!&n &r (r&-0 &6 0er!&n! t& a*t &r 6&r/ear &n /e%a#6 &6 an&t%er 0er!&n &r (r&-0 &6 0er!&n!.5
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TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS 2- E%emens $& an O#%i'ai$n 1 Gilliam % Elliot& 0ommentaries on the =aw of
*. Deter$inate Deter$ina/#e ,. M-!t %a+e 0e*-niar +a#-e
An' ,! As!nci$n .s C$!r $& Aea%s K3-RN$- 10912*5 Decem#er 25 199)T%e &/#i(ati&n i! *&n!tit-te, -0&n t%e *&n*-rren*e &6 t%e e!!entia# e#e$ent! t%ere&6) +i.: ?a T%e "inculum juris &r t%e juridical tie 7%i*% i! t%e e66i*ient *a-!e e!ta/#i!%e, / t%e +ari&-! !&-r*e! &6 &/#i(ati&n! ?#a7) *&ntra*t!) 2-a!i*&ntra*t!) ,e#i*t! an, 2-a!i,e#i*t!" ?/ t%e object 7%i*% i! t%e 0re!tati&n &r *&n,-*t) re2-ire, t& /e &/!er+e, ?t& (i+e) t& ,&) &r n&t t& ,&" an, ?* subject
0ontracts& @olume '& '6'. edition& Indianapolis& The +obbs<#errill 0ompany& page 5& citing Anson 0ont% 9& ).%
CIVIL LAW REVIEWER
Pa'e * $& )01
a*ti+e ?&/#i(ee !-/e*t!.
an,
t%e
0a!!i+e
?&/#i(&r
NOTE8 T%e 6&r$ in 7%i*% t%e &/#i(ati&n i! $ani6e!te, i! !&$eti$e! a,,e, a! a 6i6t% e#e$ent. T%i! e#e$ent) %&7e+er) *ann&t /e *&n!i,ere, a! e!!entia# a! t%ere i! n& 0arti*-#ar 6&r$ re2-ire, t& $a1e &/#i(ati&n! /in,in() e*e0t in rare *a!e!.
/. Na!ra% O#%i'ai$ns n&t /a!e, &n 0&!iti+e #a7 /-t &n e2-it an, nat-r a# #a7) ,& n&t (rant a ri(%t &6 a*ti&n t& en6&r*e t%eir 0er6&r$an*e) /-t a6ter +&#-ntar 6-#6i##$ent / t%e &/#i(&r) t%e a-t%&rie retenti&n &6 7%at %a! /een ,e#i+ere, &r ren,ere, / rea!&n t%ere&6. *.
M$ra% O#%i'ai$ns t%&!e t%at *ann&t /e en6&r*e, / a*ti&n /-t 7%i*% are /in,in( &n t%e 0art 7%& $a1e! it in *&n!*ien*e an, nat-ra# #a7.
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B- Vie/$in $& Per&$rmance
TOPICS UNDER THE S,LLABUS
a. P$sii.e O#%i'ai$n t& (i+e" t& ,&.
A- 3ENERAL PROVISIONS
/. Ne'ai.e O#%i'ai$n n&t t& ,&.
(- Di&&eren inds $& Presai$n =========================================
C- Vie/$in $& S!#4ec Maer
(- DI::ERENT INDS O: OBLI3ATION a T& (i+e / T& ,& * N&t t& ,& *&n!i!t! in a/!tainin( 6r&$ !&$e a*t) in*#-,e! n&t t& (i+e) /&t% /ein( ne(ati+e &/#i(ati&n!
a- Pers$na% O#%i'ai$n #- Rea% O #%i'ai$n I.
Deter$inate &r S 0e*i6i*
II. Generi* III. Li$ite, Generi*
D- Vie/$in $& Pers$n O#%i'ed =========================================
α.
Uni%aera% &n# &ne 0art i! /&-n,
TOPICS UNDER THE S,LLABUS
β.
Bi%aera% /&t% 0artie! are /&-n,
A- 3ENERAL PROVISIONS )- C%assi&icai$n $& O#%i'ai$ns =========================================
)- CLASSI:ICATION O: OBLI3ATIONS A- Vie/$in $& Sanci$n a. Ci.i% O#%i'ai$ns (i+e a ri(%t &6 a*ti&n t& *&$0e# t%eir 0er6&r$an*e
CIVIL LAW REVIEWER
Disin'!is a Ci.i% O#%i'ai$n &r$m Na!ra% O#%i'ai$n CIVIL OBLI3ATION
Art. 554
NATURAL OBLI3ATION Art!. 5@8= 5@=
Ba!e, &n 0&!iti+e #a7
Ba!e, &n e2-it an, nat-ra# -!ti*e
En6&r*ea/#e / *&-rt
Cann&t /e *&$0e#e,
Pa'e + $& )01
a*ti&n
/ *&-r a*ti&n /-t ,e0en,! e*#-!i+e# -0&n t%e (&&, *&n!*ien*e &6 t%e ,e/t&r
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TOPICS UNDER THE S,LLABUS
t%eir *&rre#ati+e ri(%t! are (&+erne, / t%e #a7 / 7%i*% t%e are *reate,. •
It $-!t /e e0re!!# &r i$0#ie,# !et 6&rt% an, cann$ #e res!med-
A-2CONTRACTS CONTRACTU; •
A- 3ENERAL PROVISIONS
=OBLI3ATION
EF
A -ri,i*a# *&n+enti&n! $ani6e!te, in #e(a# 6&r$) / +irt-e &6 7%i*% &ne &r $&re 0er!&n! /in, t%e$!e#+e! in 6a+&r an&t%er) &r &t%er!) &r re*i0r&*a##) t& t%e 6-#6i##$ent &6 a 0re!tati&n t& (i+e) t& ,&) &r n&t t& ,&. ?/anche$ 1oman
*- S$!rces $& O#%i'ai$ns =========================================
*- SOURCES O: OBLI3ATION A- ARTICLE :ROM
11*?-
OBLI3ATIONS
•
O#%i'ai$ns ari!in( 6r&$ *&ntra*t! %a+e t%e &$rce $& %a/ #e/een e c$nracin' aries an, !%&-#, /e *&$0#ie, 7it% in (&&, 6ait%. ?Art% ''96
•
T%e ter$! &6 t%e *&ntra*t! ,eter$ine t%e re!0e*ti+e &/#i(ati&n! &6 t%e 0artie!.
•
I6 t%e ter$! &6 t%e *&ntra*t are *#ear an, #ea+e n& ,&-/t -0&n t%e *&ntra*tin( 0artie!K intenti&n) !-*% ter$! !%&-#, /e a00#ie, in t%eir #itera# $eanin(.
•
Neit%er 0art $a -ni#atera## e+a,e %i! &/#i(ati&n in t%e *&ntra*t) -n#e!! t%e *&ntra*t a-t%&rie! it &r t%e &t%er 0art a!!ent!.
•
Partie! $a 6ree# enter int& an !ti0-#ati&n! 0r&+i,e, t%e are n&t *&ntrar t& #a7) $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er &r 0-/#i* 0&#i*.
ARISE
?5 La7" ?8 C&ntra*t!" ?= <-a!i*&ntra*t!" ?@ A*t! &r &$i!!i&n! 0-ni!%e, / #a7" an, ?4 <-a!i,e#i*t!
NOTE: T%e #i!t i! e*#-!i+e ? /agrado Orden "% Nacoco& J8%1% No% =<.7795& une .2& '69)K . H&7e+er) !&$e 7riter! e0re!!# re*&(nie t%at a UNILATERAL PROMISE *an (i+e ri!e t& &/#i(ati&n! ?Tolentino& @olume I@& p% 5).
A-1- LAW =OBLI3ATION EF LE3E; •
T%e #a7 *ann&t ei!t a! a !&-r*e &6 &/#i(ati&n!) -n#e!! t%e a*t! t& 7%i*% it! 0rin*i0#e! $a /e a00#ie, ei!t.
•
On*e t%e ari!in( a*t! &r 6a*t! ei!t) t%e&6 &/#i(ati&n! t%ere6r&$ / +irt-e t%e e0re!! 0r&+i!i&n! &6 t%e #a7 are entire# in,e0en,ent &6 t%e a(ree$ent &6 t%e 0artie!. An, !-*% &/#i(ati&n! an,
CIVIL LAW REVIEWER
A-(- UASI>CONTRACTS =O#%i'ai$n E6 !asi>C$nrac!; • J-ri,i*a# re#ati&n! re!-#tin( 6r&$ lawful& "oluntary and unilateral a*t!) 7%i*% %a! 6&r it! 0-r0&!e) t%e 0a$ent &6 in,e$nit t& t%e en, t%at n& &ne !%a## /e -n-!t# enri*%e, &r /ene6ite, at t%e e0en!e &6 an&t%er.
Pa'e ? $& )01
•
Disin'!ised &r$m $er S$!rces =LUV;
a. T%e a*t (i+in( ri!e t& a 2-a!i*&ntra*t $-!t /e LAW:UL ,i!tin(-i!%in( it 6r&$ ,e#i*t"
VOLUNTAR, /. T%e a*t $-!t /e ,i!tin(-i!%in( it 6r&$ a 2-a!i,e#i*t 7%i*% i! /a!e, &n 6a-#t &r ne(#i(en*e" *.
T%e a*t $-!t /e UNILATERAL ,i!tin(-i!%in( it 6r&$ *&ntra*t 7%i*% i! /a!e, &n a(ree$ent. Tolentino& @olume I@& p% 5(*
%i$!e#6 &6 it in a ,i!tin*t *i+i# a*ti&n &r in *a!e! 7%ere an in,e0en,ent *i+i# a*ti&n i! a##&7e, / #a7.
3OVERNIN3 RULES8 5. Arti*#e! 555= &6 t%e RPC an, &t%er 0ena# #a7! !-/e*t t& Art 85>> Ci+i# C&,e ?2-a!i ,e#i*t" 8. C%a0ter 8) Pre#i$inar tit#e) &n H-$an Re#ati&n! ? Ci+i# C&,e =. Tit#e 59 &6 B&&1 IV &6 t%e Ci+i# C&,e &n ,a$a(e!
SCOPE O: CIVIL LIABILIT, 5. Re!tit-ti&n
INDS O: UASI>CONTRACT
8. Re0arati&n 6&r ,a$a(e *a-!e,
a. Ne'$i$r!m 3esi$ : i! t%e +&#-ntar $ana(e$ent &6 t%e 0r&0ert &r a66air! &6 an&t%er 7it%&-t t%e 1n&7#e,(e &r *&n!ent &6 t%e #atter. ?Art% )'CC
=. In,e$nit 6&r C&n!e2-entia# ,a$a(e!
/. S$%!i$ inde#ii: i! t%e -ri,i*a# re#ati&n) 7%i*% i! *reate, 7%en !&$et%in( i! re*ei+e, 7%en t%ere i! n& ri(%t t& ,e$an, it an, it 7a! -n,-# ,e#i+ere, t%r&-(% $i!ta1e. ? Art% )'C9* T%e re2-i!ite! are: *.
e. Ot%er *a!e! ?Art. 85@85>4
A-)- DELICTS =OBLI3ATION EF MALE:ICIO OR EF DELICTO; • Arti*#e 5 &6 t%e Re+i!e, Pena# C&,e E+er 0er!&n *ri$ina## #ia/#e 6&r a 6e#&n i! a#!& *i+i## #ia/#e.
•
3ENERAL RULE8 T%e a*2-itta# &6 t%e a**-!e, in t%e *ri$ina# *a!e ,&e! n&t 0re-,i*e t%e *i+i# a*ti&n) in 7%i*% t%e &66en,e, 0art $a !ti## /e a/#e t& re*&+er ,a$a(e! / a 0re0&n,eran*e &6 e+i,en*e.
T%ere i! n$ ri' t& re*ei+e t%e t%in( ,e#i+ere,"
,. T%e t%in( 7a! de%i.ered r$!' misa
•
E::ECT O: ACUITTAL IN CRIMINAL CASE
T%e *i+i# #ia/i#it !0rin(! &-t an, i! ,e0en,ent -0&n t%e 6a*t! 7%i*%) i6 tr-e) 7&-#, *&n!tit-te a *ri$e. S-*% *i+i# #ia/i#it i! a ne*e!!ar *&n!e2-en*e &6 *ri$ina# re!0&n!i/i#it) an, i! t& /e ,e*#are, an, (enera## en&$rced in e crimina% r$ceedin' e*e0t 7%ere t%e in-re, 0art re!er+e! %i! ri(%t t& a+ai#
CIVIL LAW REVIEWER
EFCEPTION8 ;%ere t%e -,($ent &6 a*2-itta# *&ntaine, a ,e*#arati&n t%at n& ne(#i(en*e *an /e attri/-te, t& t%e a**-!e, an, t%at t%e 6a*t 6r&$ 7%i*% t%e *i+i# a*ti&n $i(%t ari!e ,i, n&t ei!t
CRIMES WITHOUT CIVIL LIABILIT, 5. C&nte$0t 8. In!-#t! t& 0er!&n! in a-t%&rit =. Ga$/#in( @. Vi&#ati&n! &6 tra66i* re(-#ati&n! !e =eon& )22. ed%&p% ).*
Pa'e $& )01
EFTIN3UISHMENT O: LIABILIT, : T%e *i+i# #ia/i#it 6&r *ri$e! i! etin(-i!%e, / t%e !a$e *a-!e! 0r&+i,e, / t%e Ci+i# C&,e 6&r t%e etin(-i!%$ent &6 &t%er &/#i(ati&n!.
*.
TEST $& NE3LI3ENCE8 ;&-#, a 0r-,ent $an) in t%e 0&!iti&n &6 t%e 0er!&n t& 7%&$ ne(#i(en*e i! attri/-te,) 6&re!ee %ar$ t& t%e 0er!&n in-re, a! a rea!&na/#e *&n!e2-en*e &6 t%e *&-r!e a/&-t t& /e 0-r!-e,X Picar .- Smi5 K(? Pi%- 09
•
A-*- UASI>DELICTTORTS =OBLI3ATION EF UASI>DELICTO EF UASI MALE:ICIO; • It i! an ac $r $missi$n arisin' &r$m &a!% $r ne'%i'ence 7%i*% *a-! e! ,a$a(e t& an&t%er) t%ere /ein( n& 0reei!tin( *&ntra*t-a# re#ati&n! /et7een t%e 0artie! •
ELEMENTS 8 5. T%at t%ere ei!t! a 7r&n(6-# ac $r $missi$n i$0-ta/#e t& t%e ,e6en,ant / rea!&n &6 %i! 6a-#t &r ne(#i(en*e"
An in4!r" t& t%e 0#ainti66 t%r&-(% !-*% 6ai#-re.
B- NATURAL OBLI3ATIONS =Ar!s- 1)2( 1)(0;
NATURAL OBLI3ATIONS 8. T%at t%ere ei!t! a dama'e $r in4!r" ) 7%i*% $-!t /e 0r&+e, / t%e 0er!&n *#ai$in( re*&+er" =. T%at t%ere $-!t /e a direc ca!sa% *&nne*ti&n &r a re#ati&n &6 *a-!e an, e66e*t /et7een t%e 6a-#t &r ne(#i(en*e an, t%e ,a$a(e &r in-r" &r t%at t%e 6a-#t &r ne(#i(en*e /e t%e *a-!e &6 t%e ,a$a(e &r in-r.
DISTINCT :ROM A CRIME: An in-re, 0art &r %i! %eir! %a! t%e *%&i*e &6 eit%er: ?a An a*ti&n t& en6&r*e *i+i# #ia/i#it ari!in( 6r&$ *ri$e -n,er Arti*#e 5 &6 t%e RPC) &r ?/
An a*ti&n 6r&$ 2-a! i,e#i*t -n,er Arti *#e! 85>85@ &6 t%e Ci+i# C&,e.
NE3LI3ENCE: Fai#-re t& &/!er+e 6&r t%e 0r&te*ti&n &6 t%e intere!t! &6 an&t%er 0er!&n) t%at ,e(ree &6 *are) 0re*a-ti&n an, +i(i#an*e 7%i*% t%e *ir*-$!tan*e! -!t# ,e$an,) 7%ere/ !-*% &t%er 0er!&n !-66er! in-r. US .Barrias5 K2( Pi%- )()5 =1912; •
ELEMENTS O: NE3LI3ENCE8 =D:I; a.
A d!" &n t%e 0art &6 t%e ,e6en,ant
$ r$ e aini*&$0#ain!" && &r$m e in4!r" &6ec 7%i*% t%e% #atter /.
A &ai%!re $ er&$rm t%at ,-t" an,
CIVIL LAW REVIEWER
5. T%e are rea# &/#i(ati&n! t& 7%i*% t%e #a7 ,enie! an a*ti&n) /-t 7%i*% t%e ,e/t&r $a 0er6&r$ +&#-ntari#. 8. It i! 0atri$&nia#) an, 0re!-00&!e! a 0re!tati&n. =. T%e /in,in( tie &6 t%e!e &/#i(ati&n! i! in t%e *&n!*ien*e &6 $an) 6&r -n,er t%e #a7) t%e ,& n&t %a+e t%e ne*e!!ar e66i*a* t& (i+e ri!e t& an a*ti&n.
EFAMPLES O: NATURAL OBLI3ATIONS ENUMERATED UNDER THE CIVIL CODE8 5. Per6&r$an*e a6ter t%e *i+i# &/#i(ati&n %a! 0re!*ri/e, 8. Rei$/-r!e$ent & 6 a t %ir, 0 er!&n 6&r a ,e/t t%at %a! 0re!*ri/e, =. Re!tit-ti&n / $in&r a6ter ann-#$ent &6 *&ntra*t @. De#i+er / $i n&r & 6 $ &ne & r 6 -n(i/#e t%in( in 6-#6i##$ent &6 &/#i(ati&n 4.
Per6&r$an*e a6ter a*ti&n t& en6&r*e *i+i#
&/#i(ati&n %a! 6ai#e, . Pa$ent / %eir &6 ,e/t e*ee,in( +a#-e &6 0r&0ert in%erite,
Pa'e 9 $& )01
>. Pa$ent &6 #e(a* a6ter 7i## %a+e /een ,e*#are, +&i,.
ELEMENTS =CDLI; C- EFTRA>CONTRACTUAL OBLI3ATIONS
C-1- ESTOPPEL =Ar!s- 1)(1 1)(9; ESTOPPEL a *&n,iti&n &r !tate / +irt-e &6 7%i*% an a,$i!!i&n &r re0re!entati&n i! ren,ere, *&n*#-!i+e -0&n t%e 0er!&n $a1in( it an, *ann&t /e ,enie, &r ,i!0r&+e, a! a(ain!t t%e 0er!&n re#in( t%ere&n.
5. C$nd!c &n 0art &6 t%e ,e6en,ant) &r &6 &ne -n,er 7%&$ %e *#ai$!) 'i.in' rise $ e si!ai$n &6 7%i*% *&$0#aint i! $a,e an, 6&r 7%i*% t%e *&$0#aint !ee1! a re$e, 8. De%a" in asserin' e c$m%ainans ri's) t%e *&$0#ainant %a+in( 1n&7#e,(e &r n&ti*e) &6 t%e ,e6en,antK! *&n,-*t an, %a+in( /een a66&r,e, t%e &00&rt-nit t& in!tit-te a !-it =. Lac< $&
INDS8 5. E!t&00e# in 0ai! ?/ *&n,-*t a. E!t&00e# / !i#en*e /. E!t&00e# / a**e0tan*e &6 /ene6it!
8. Te*%ni*a# E!t&00e# a. E!t&00e# / ,ee, /. E!t&00e# / re*&r, *.
E!t&00e# / -,($ent
,. E!t&00e# / #a*%e!
C-2- LACHES OR STALE DEMANDS LACHES Fai#-re &r ne(#e*t) 6&r an -nrea!&na/#e an, -ne0#aine, #en(t% &6 ti$e t& ,& t%at 7%i*%) / eer*i!in( ,-e ,i#i(en*e) *&-#, &r !%&-#, %a+e /een ,&ne ear#ier" it i! ne(#i(en*e &r &$i!!i&n t& a!!ert a ri(%t 7it%in rea!&na/#e ti$e 7arrantin( a 0re!-$0ti&n t%at t%e 0art entit#e, t& a!!ert it eit%er %a! a/an,&ne, it &r ,e*#ine, t& a!!ert it
CIVIL LAW REVIEWER
Disin'!is Laces &r$m Prescrii$n LACHES C&n*erne, ,e#a
PRESCRIPTION
7it% e66e*t &6
C&n*erne, 7it% 6a*t &6 ,e#a
<-e!ti&n &6 ine2-it &6 0er$ittin( t%e *#ai$ t& /e en6&r*e,
<-e!ti&n &r $atter &6 ti$e
N&t!tat-t&r
Stat-t&r
A00#ie! in e2-it
A00#ie! at #a7
N&t /a!e, &n a 6ie, ti$e
Ba!e, &n a 6ie, ti$e
END O: DISCUSSION ON TOPIC A- 3ENERAL PROVISIONS ================================
B- NATURE AND E::ECT O: OBLI3ATIONS
================================
TOPICS UNDER THE S,LLABUS B- NATURE AND E::ECT O: OBLI3ATIONS
Pa'e 90 $& )01
1- O#%i'ai$n $ 'i.e A- A deerminae $r seci&ic in' B- An indeerminae $r 'eneric in' 2- O#%i'ai$n $ d$ $r n$ $ d$ (- Breaces $& $#%i'ai$ns A- C$m%ee &ai%!re $ er&$rm B- De&a!% $r De%a" =Ar- 11+9; B-1- M$ra s$%.endi B-2- M$ra acciiendi B-(- C$mesai$ m$rae C- :ra!d C-1- Wai.er $& &!!re &ra!d is .$id =Ar- 11?1; D- Ne'%i'ence D-1- Ordinar" Di%i'ence D-2 E6cei$ns E- C$nra.eni$n $& e en$r $& $#%i'ai$n :- :$r!i$!s E.en )- Remedies $& O#%i'ai$ns A- Seci&ic Per&$rmance A-1- S!#si!ed er&$rmance #" a ird ers$n $n $#%i'ai$n $ de%i.er 'eneric in' and in $#%i'ai$n $ d$5 !n%ess a !re%" ers$na% ac B- Rescissi$n =res$%!i$n in recir$ca% $#%i'ai$ns; C- Dama'es5 in an" e.en D- S!#sidiar" remedies $& credi$rs =Ar- 11??; D-1- Acci$n s!#r$'a$ria D-2- Acci$n a!%iana D-(- Acci$n direca =Ars- 1+*25 1+05 1?295 19(;
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Pers$na% O#%i'ai$ns: &/#i(ati&n! t& ,& &r n&t t& ,&" 7%ere t%e !-/e*t $atter i! an a*t t& /e ,&ne &r n&t t& /e ,&ne a. P&!iti+e &/#i(ati&n t& ,& /. Ne(ati+e &/#i(ati&n n&t t& ,&
Rea% O#%i'ai$ns8 &/#i(ati&n! t& (i+e" 7%ere t%e !-/e*t $atter i! a t%in( 7%i*% t%e &/#i(&r $-!t ,e#i+er t& t%e &/#i(ee a. Deter$inate &r !0e*i6i* &/e*t i! 0arti*-#ar# ,e!i(nate, &r 0%!i*a## !e(re(ate, 6r&$ a## &t%er t%in(! &6 t%e !a$e *#a!! /. Generi* &/e*t i! ,e!i(nate, / it! *#a!! &r (en-! *.
Li$ite, Generi* (eneri* &/e*t! *&n6ine, t& a 0arti*-#ar *#a!! a. E68 An &/#i(ati&n to deli"er one of my horses Tolentino& @olume I@& p% 6'H !e =eon& )22. ed%& p% 7*
1- OBLI3ATION TO 3IVE A- DUTIES O: OBLI3OR IN AN OBLI3ATION TO 3IVE A DETERMINATE THIN3 = Ar!s11+(5 11+)5 11++-; T& 0re!er+e &r ta1e *are &6 t%e t%in( ,-e 7it% t%e di%i'ence $& a '$$d &aer $& a &ami%"
EFCEPTION8 i6 t%e #a7 re2-ire! &r t%e 0artie! !ti0-#ate an&t%er !tan,ar, &6 *are B- DUTIES O: OBLI3OR IN AN OBLI3ATION TO 3IVE A 3ENERIC THIN3 =Ars- 12)+ AND 11?0;
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TOPICS UNDER THE S,LLABUS B- NATURE AND E::ECT O: OBLI3ATIONS 1- O#%i'ai$n $ 'i.e
CIVIL LAW REVIEWER
T& de%i.er e in' $& e @!a%i" inten,e, / t%e 0artie!) ta1in( int& *&n!i,erati&n t%e 0-r0&!e t%e &/#i(ati&n) intent &6 t%e 0artie!) an, &t%er&6*ir*-$!tan*e!" T& #e %ia#%e &$r dama'es in *a!e &6 6ra-,) ne(#i(en*e) &r ,e#a) in t%e 0er6&r$an*e &6 %i! &/#i(ati&n) &r *&ntra+enti&n &6 t%e ten&r t%ere&6.
Pa'e 91 $& )01
5. T& de%i.er e &r!is $& e in' : Ri(%t t& t%e 6r-it! &6 t%e t%in( 6r&$ t%e ti$e t%e &/#i(ati&n t& ,e#i+er it ari!e!H 8. T& de%i.er is accessi$ns and access$ries Art% ''55* a. Accssions a,,iti&n! t& &r i$0r&+e$ent! -0&n a t%in(. E: air conditioner in a car% /. Accssoris t%in(! &ine, t&) &r in*#-,e, 7it% t%e 0rin*i0a# t%in( 6&r it! /etter -!e) e$/e##i!%$ent &r *&$0#eti&n. E: Dey of a houseH frame of a picture !e =eon& )22. ed%& pp% .7<.(*
/. T& ,e$an, rescissi$n &6 t%e &/#i(ati&n 7it% ri(%t t& re*&+er ,a$a(e! *.T& ,e$an, a"men $& dama'es 7%en it i! t%e &n# 6ea!i/#e re$e,
I& e $#%i'$r de%a"s ) &r %a! 0r&$i!e, ,. t& ,e#i+er t%e !a$e t%in( t& t7& &r $&re 0er!&n! 7%& ,& n&t %a+e t%e !a$e intere!t) %e !%a## /e res$nsi#%e &$r an" &$r!i$!s e.en -nti# %e %a! e66e*te, ,e#i+er.
=. T& de%i.er e in' ise%& ?S0e*i6i* Per6&r$an*e @. T& a" dama'es in *a!e &6 /rea*% &6 t%e &/#i(ati&n / rea!&n &6 ,e#a) 6ra-,) ne(#i(en*e &r *&ntra+enti&n &6 t%e ten&r &6 t%e &/#i(ati&n.
NOTE8 In an &/#i(ati&n t& ,e#i+er a ,eter$inate t%in() t%e +er t%in( it!e#6 $-!t /e ,e#i+ere, an, *&n!e2-ent#) &n# t%e ,e/t&r *an *&$0# 7it% t%e &/#i(ati&n.
RI3HTS O: THE CREDITOR TO THE :RUITS
WHEN OBLI3ATION TO DELIVER THE THIN3 AND :RUIT ARISES
5. +efore De#i+er 0er!&na# ri(%t 8. After De#i+er rea# ri(%t
RI3HTS O: THE CREDITOR IN REAL OBLI3ATION TO 3IVE =Ar- 11+*; 1- 3ENERIC REAL OBLI3ATION Obligation to deli"er a generic thing*: a. T& a!1 6&r 0er6&r$an*e &6 t%e &/#i(ati&n /. T& a!1 t%at &/#i(ati&n /e *&$0#ie, 7it% at t%e e0en!e &6 t%e &/#i(&r *. T& re*&+er ,a$a(e! in *a!e &6 /rea*% &6 &/#i(ati&n
NOTE8 A (eneri* rea# &/#i(ati&n *an /e 0er6&r$e, / a t%ir, 0er!&n !in*e t%e &/e*t i! e0re!!e, &n# a**&r,in( t& it! 6a$i# &r (en-!.
2- DETERMINATE OR SPECI:IC REAL OBLI3ATION ?Obligation to deli"er a determinate thing: seci&ic er&$rmance &r a.T& ,e$an, 6-#6i##$ent ?i6 it i! !ti## 0&!!i/#e &6 t%e &/#i(ati&n 7it% a ri(%t t& in,e$nit 6&r ,a$a(e!
CIVIL LAW REVIEWER
5. I6 t%e !&-r*e &6 t%e &/#i(ati&n i! #a7) 2-a!i *&ntra*t) ,e#i*t) 2-a!i,e#i*t) it ari!e! 6r&$ t%e ti$e ,e!i(nate, / t%e #a7 *reatin( &r re(-#atin( t%e$" 8. I6 t%e !&-r*e i! *&ntra*t) it ari!e! 6r&$ t%e ti$e &6 t%e 0er6e*ti&n &6 t%e *&ntra*t ?i.e. $eetin( &6 t%e $in,! /et7een t%e 0artie!) -n#e!! a.t%e 0artie! $a,e a !ti0-#ati&n t& t%e *&ntrar) /. t%e &/#i(ati&n i! !-/e*t t& a !-!0en!i+e *&n,iti&n &r 0eri&," ari!e! -0&n 6-#6i##$ent &6 t%e *&n,iti&n &r arri+a# &6 t%e 0eri&, *.in a *&ntra*t t& !e##) t%e &/#i(ati&n ari!e! 6r&$ t%e 0er6e*ti&n &6 t%e *&ntra*t e+en i6 t%e &/#i(ati&n i! !-/e*t t& a !-!0en!i+e *&n,iti&n &r a !-!0en!i+e 0eri&, 7%ere t%e 0ri*e %a! /een 0ai,
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TOPICS UNDER THE S,LLABUS
Pa'e 92 $& )01
B- NATURE AND E::ECT O: OBLI3ATIONS 2- O#%i'ai$n $ d$ $r n$ $ d$ =========================================
2- OBLI3ATION TO DO OR NOT TO DO RI3HTS O: A CREDITOR IN PERSONAL OBLI3ATION =TO DO OR NOT TO DO;
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TOPICS UNDER THE S,LLABUS B- NATURE AND E::ECT O: OBLI3ATIONS (- Breaces $& $#%i'ai$ns ========================================
(- BREACHES O: OBLI3ATIONS =Ar!s- 11?0 A- POSITIVE PERSONAL OBLI3ATIONS8 5- Per&$rmance a de#$rs ca!se8 T%e &/#i(ee i! entit#e, t& %a+e t%e t%in( ,&ne in a 0r&0er $anner) / %i$!e#6 &r / a t%ir, 0er!&n) at t%e e0en!e &6 t%e ,e/t&r. 8. T& ,e$an, 7%at %a! /een 0&&r# ,&ne /e -n,&ne =. T& re*&+er ,a$a(e! /e*a-!e &6 /rea*% &6 t%e &/#i(ati&n
A-11?); V$%! nar" ,e/t&r in t%e 0er6&r$an*e &6 t%e &/#i(ati&n i! (-i#t &6: 5. De#a? #ora* 8.
Fra-,? !olo
=.
Ne(#i(en*e ? 0ulpa*
@. C&ntra+enti&n &/#i(ati&n
&6
t%e
ten&r
&6
t%e
NOTE8 ,e/t&r i! #ia/#e 6&r ,a$a(e! B- NE3ATIVE PERSONAL OBLI3ATION 5. T& %a+e it -n,&ne at t%e e0en!e &6 t%e &/#i(&r" an,
B- In.$% !nar" ,e/t&r i! -na/#e t& *&$0# 7it% %i! &/#i(ati&n ,-e t& 6&rt-it&-! e+ent!
8. T& a!1 6&r ,a$a(e!
NOTE8 ,e/t&r i! n&t #ia/#e 6&r ,a$a(e! DISTIN3UISH PERSONAL RI3HT :ROM REAL RI3HT PERSONAL
R E AL
us % r&, a ri(%t en6&r*ea/#e &n# a(ain!t a ,e6inite 0er!&n &r (r&-0 &6 0er!&n!
us in re& a ri(%t en6&r*ea/#e a(ain!t t%e 7%&#e 7&r#,
Ri' 0ertainin( t& a 0er!&n $ demand &r$m an$er) a! a ,e6inite 0a!!i+e !-/e*t) e &!%&i%%men $& e resai$n t& (i+e) t& ,& &r n&t t& ,&.
Ri(%t 0ertainin( t& a 0er!&n &+er a !0e*i6i* t%in() 7it%&-t a ,e6inite 0a!!i+e !-/e*t a(ain!t 7%&$ t%e ri(%t $a /e 0er!&na## en6&r*e,
CIVIL LAW REVIEWER
A-1- DE:AULT OR DELA, 3ENERAL RULE8 T%&!e &/#i(e, t& ,e#i+er &r t& ,& !&$et%in( in*-r in ,e#a 6r&$ t%e ti$e t%e &/#i(ee -,i*ia## &r etra-,i*ia## ,e$an,! 6r&$ t%e$ t%e 6-#6i##$ent &6 t%eir &/#i(ati&n. ?Art. 55
EFCEPTION8 De$an, / t%e *re,it&r !%a## n&t /e ne*e!!ar in &r,er t%at ,e#a $a ei!t: ?5 ;%en t%e &/#i(ati&n &r t%e #a7 e0re!!# !& ,e*#are!" ?8 ;%en 6r&$ t%e nat-re an, t%e *ir*-$!tan*e! &6 t%e &/#i(ati&n it a00ear! t%at t%e ,e!i(nati&n
Pa'e 9( $& )01
&6 t%e ti$e 7%en t%e t%in( i! t& /e ,e#i+ere, &r t%e !er+i*e i! t& /e ren,ere, 7a! a *&ntr&##in( $&ti+e 6&r t%e e!ta/#i!%$ent &6 t%e *&ntra*t" &r
5. La7 &r &/#i(ati&n e0re!!# ,e*#are! !&
?= ;%en t%e ,e$an, 7&-#, /e -!e#e!!) a! 7%en t%e &/#i(&r %a! ren,ere, it /e&n, %i! 0&7er t& 0er6&r$.
=. De$an, 7&-#, /e -!e#e!!
In re*i0r&*a# &/#i(ati&n!) neit%er 0art in*-r! in ,e#a i6 t%e &t%er ,&e! n&t *&$0# &r i! n&t rea, t& *&$0# in a 0r&0er $anner 7it% 7%at i! in*-$/ent -0&n %i$. Fr&$ t%e $&$ent &ne &6 t%e 0artie! 6-#6i##! %i! &/#i(ati&n) ,e#a / t%e &t%er /e(in!.
NOTE8 Art. 55 i! a00#i*a/#e &n# 7%en t%e &/#i(ati&n i! t& ,& !&$et%in( &t%er t%an t%e 0a$ent &6 $&ne. In *a!e &6 &/#i(ati&n 6&r 0a$ent &6 !-$ &6 $&ne) t%e intere!t re0#a*e! t%e ,a$a(e!.
INDS O: DELA,8 5. M&ra !&#+en,i ,e#a &r ,e6a-#t *&$$itte, / ,e/t&r 8. M&ra a**i0ien,i ,e#a &r ,e6a-#t *&$$itte, / *re,it&r =. C&$0en!ati& M&rae ,e6a-#t &6 /&t% 0artie! in re*i0r&*a# &/#i(ati&n!
8. Ti$e i! &6 t%e e!!en*e
NOTE8 In re*i0r&*a# &/#i(ati&n!) a 0art ,&e! n&t in*-r in ,e#a 6&r 6ai#-re &6 t%e &t%er 0art t& a!!-$e an, 0er6&r$ t%e &/#i(ati&n i$0&!e, -0&n %i$%er.
A-2- :RAUD =D$%$; It i! t%e ,e#i/erate &r intenti&na# e+a!i&n &6 t%e n&r$a# 6-#6i##$ent &6 an &/#i(ati&n. ? ( #anresa 7) It i! t%e 6ra-, in t%e 0er6&r$an*e &r 6-#6i##$ent &6 an &/#i(ati&n a#rea, ei!tin() a! ,i!tin(-i!%e, 6r&$ t%e 6ra-, re6erre, t& in Arti*#e 5==9 7%i*% i! t%e *a-!e &6 n-##it &6 *&ntra*t! an, 7%i*% ei!t! /e6&re an, at t%e $&$ent &6 *reatin( t%e &/#i(ati&n.
Sams$n .s C$!r $& Aea%s K3-R- N$102)*5 N$.em#er 2*5 199)Ba, 6ait% i! e!!entia## a !tate &6 $in, a66ir$ati+e# &0eratin( 7it% 6-rti+e ,e!i(n &r 7it% !&$e $&ti+e &6 i##7i##. It ,&e! n&t !i$0# *&nn&te /a, -,($ent &r ne(#i(en*e. It i$0&rt! a ,i!%&ne!t 0-r0&!e &r !&$e $&ra# &/#i2-it an, *&n!*i&-! ,&in( &6 7r&n(. +ad faith is thus synonymous with fraud an, in+&#+e! a ,e!i(n t& $i!#ea, &r ,e*ei+e an&t%er) n&t 0r&$0te, / an %&ne!t $i!ta1e a! t& &neK! ri(%t! &r ,-tie!) /-t / !&$e intere!te, &r !ini!ter $&ti+e.
3ENERAL RULE8 An a*ti&n &r !-it *an /e 6i#e, at anti$e a6ter t%e n&n*&$0#ian*e &6 t%e &t%er 0art. H&7e+er) ,a$a(e! &r intere!t !%a## &n# !tart t& r-n a6ter -,i*ia# &r etra-,i*ia# ,e$an,.
EFCEPTION8 In ee*t$ent an, *&n!i(n$ent
T,PES O: :RAUD8
*a!e!) t%e etra-,i*ia# ,e$an, !%&-#, 6ir!t /e $a,e 0ri&r t& t%e 6i#in( &6 a *i+i# !-it.
5. Ca!sa% :ra!d = olo C%us%n!): 6ra-, e$0#&e, in t%e ee*-ti&n &6 t%e *&ntra*t
DEMAND IS NOT NECESSAR, WHEN8
CIVIL LAW REVIEWER
Pa'e 9) $& )01
8.
Incidena% :ra!d = olo /ncin!): 6ra-, in 0er6&r$an*e &6 &/#i(ati&n a#rea, ei!tin( /e*a-!e &6 a *&ntra*t
:RAUD IN THE PER:ORMANCE DOLO INCIDENTE
CAUSAL :RAUD DOLO CAUSANTE =ART- 1((; INDS O: NE3LI3ENCE
=ART- 11?0; Pre!ent
*ir*-$!tan*e! &6 t%e 0er!&n!) &6 t%e ti$e an, &6 t%e 0#a*e Art% ''7.*
,-rin( t%e a er&eci$n &6 *&ntra*t
a. !asi>De%ic = Culp% %uili%n%Iculp%
,-rin( t%e er&$rmance &6 a 0reei!tin( &/#i(ati&n
Pre!ent
P-r0&!e i! t& e.ade t%e n&r$a# &!%&i%%men &6 t%e &/#i(ati&n
P-r0&!e i! t& !e*-re t%e c$nsent &6 an&t%er t& enter int& t%e *&ntra*t
/. C$nrac!a% Ne'%i'ence = Culp% Con!r%c!u%l) F 7r&n( &r ne(#i(en*e in t%e 0er6&r$an*e &6 a &/#i(ati&n*&ntra*t
Re!-#t! in t%e #reac &6 an &/#i(ati&n
Re!-#t! in .iiai$n $& c$ns en +&i,a/#e *&ntra*t
*. Crimina% Ne'%i'ence (Culp% Cri&in%l) K 7r&n( &r ne(#i(en*e in t%e *&$$i!!i&n &6 a *ri$e
Gi+e! ri!e t& a ri(%t in 6a+&r &6 t%e *re,it&r t& re*&+er dama'es
Gi+e! ri!e t& a ri(%t &6 an inn&*ent 0art t& ann!% e c$nrac
NOTE8 uture fraud *ann&t /e 7ai+e,. H&7e+er) t%e #a7 ,&e! n&t 0r&%i/it ren-n*iati&n &6 t%e a*ti&n 6&r ,a$a(e! &n t%e (r&-n, &6 past fraud.
REMEDIES O: DE:RAUDED PART, a.
S0e*i6i* 0er6&r$an*e Art ')..*
b.
Re!&#+e *&ntra*t Art ''6'*
c.
Da$a(e!) in eit%er *a!e
A-(- NE3LI3ENCE =C!%a; •
An +&#-ntar a*t &r &$i!!i&n) t%ere /ein( n& $a#i*e 7%i*% 0re+ent! t%e n&r$a# 6-#6i##$ent &6 an &/#i(ati&n
•
C&n!i!t! in t%e &$i!!i&n &6 t%at ,i#i(en*e 7%i*% i! re2-ire, / t%e nat-re &6 t%e &/#i(ati&n an, *&rre!0&n,! 7it% t%e
CIVIL LAW REVIEWER
x!r% con!r%c!u%l) !&-r*e &6 &/#i(ati&n" 7r&n( &r ne(#i(en*e *&$$itte, in,e0en,ent &6 *&ntra*t an, 7it%&-t *ri$ina# intent
INSTANCES WHERE THE LAW REUIRES A HI3HER STANDARD O: CARE8 C.5. Ban1! a! a /-!ine!! a66e*te, 7it% 0-/#i* intere!t) an, /e*a-!e &6 t%e nat-re &6 it! 6-n*ti&n!) t%e /an1 -n,er &/#i(ati&n $& isi!de$si$rs t%e acc$!ns 7it% t& treat $eti*-#&-! *are) a#7a! %a+in( in $in, t%e 6i,-*iar nat-re &6 t%eir re#ati&n!%i0. ?/imex "% 0A& '(. /01A .52*
EFCEPTION8 Etra&r,inar ,i#i(en*e ,&e! n&t *&+er tran!a*ti&n! &-t!i,e /an1 ,e0&!it!) ie: c$mmercia% ransaci$ns 1eyes "% 0A& .5. /01A 9'* C.8. C&$$&n Carrier! 6r&$ t%e nat-re &6 t%eir /-!ine!! an, 6&r rea!&n! &6 0-/#i* 0&#i*) *&$$&n *arrier! are /&-n, t& &/!er+e etra&r,inar ,i#i(en*e in t%e +i(i#an*e &+er t%e (&&,! an, 6&r t%e !a6et &6 t%e 0a!!en(er! tran!0&rte, / t%e$) a**&r,in( t& a## t%e *ir*-$!tan*e! &6 ea*% *a!e ?Art% '7..*
Di%i'ence $& a '$$d &aer $& a &ami%": &r,inar *are &r t%at ,i#i(en*e 7%i*% an a+era(e &r rea!&na/# 0r-,ent 0er!&n 7&-#, eer*i!e &+er %i! &7n 0r&0ert.
Pa'e 9* $& )01
NOTE8 R-#e &n Stan,ar, &6 Care •
T%at 7%i*% t%e #a7 re2-ire!" &r
•
T%at !ti0-#ate, / t%e 0artie!" &r
•
In t%e a/!en*e &6 t%e t7&) ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i#
AMOUNT O: EVIDENCE
Pre0&n,eran*e &6 e+i,en*e
COMPROMIS E
Can /e *&$0r&$i!e, a! an &t%er *i+i# #ia/i#it Pre!-$0ti&n &6 ne(#i(en*e
PRESUMPTIO N
Pr&&6 /e&n, rea!&na/#e ,&-/t Cri$ina# #ia/i#it *an ne+er /e *&$0r&$i!e, Pre!-$0ti&n &6 inn&*en*e
INDS O: NE3LI3ENCE5 DISTIN3UISHED DISTIN3UISH :RAUD :ROM NE3LI3ENCE
:RAUD NE3LI3ENCE
CULPA AUILIANA Ne(#i(en*e !-/!tanti+e in,e0en,ent
CULPA CONTRACTUAL
i! an,
Ne(#i(en*e $ere# an in*i,ent &6 0er6&r$an*e &6 an &/#i(ati&n
T%ere i! ,e#i/erate intenti&n t& *a-!e ,a$a(e.
T%ere i! n& ,e#i/erate intenti&n t& *a-!e ,a$a(e.
T%ere $a &r $a n&t /e a 0reei!tin( *&ntra*t-a# &/#i(ati&n
T%ere i! a 0reei!tin( *&ntra*t-a# re#ati&n
Lia/i#it *ann&t /e $iti(ate,.
Lia/i#it $a /e $iti(ate,.
S&-r*e &6 t%e &/#i(ati&n i! t%e ne(#i(en*e it!e#6
S&-r*e &6 t%e &/#i(ati&n i! t%e /rea*% &6 t%e *&ntra*t-a# &/#i(ati&n
Pre!-$e, 6r&$ t%e /rea*% &6 a *&ntra*t-a# &/#i(ati&n
M-!t /e *#ear# 0r&+e,
Ne(#i(en*e $-!t /e 0r&+e,
Pr&&6 &6 ei!tin( &6 t%e *&ntra*t an, it! /rea*% i! prima facie !-66i*ient
;ai+er 6&r 6-t-re 6ra-, i! +&i,.
;ai+er 6&r 6-t-re ne(#i(en*e $a /e a##&7e, in *ertain *a!e!
DISTIN3UISH NE3LI3ENCE :ROM CRIME NE3LI3ENCE
t& 7arrant re*&+er Di#i(en*e in t%e !e#e*ti&n an, !-0er+i!i&n &6 t%e e$0#&ee! i! n&t a+ai#a/#e a! a ,e6en!e
CRIME
WHAT IT PUNISHABLE
An a*t 7it% 6a-#t &r ne(#i(en*e
A*t! 0-ni!%a/#e / #a7
CONDITION O: THE MIND LIABILIT, :OR DAMA3ES
Cri$ina# intent -nne*e!!ar
Ne*e!!ar
Da$a(e! $a /e a7ar,e, t& in-re, 0art
NATURE O: THE RI3HT VIOLATED
Vi&#ati&n &6 0ri+ate ri(%t!
S&$e *ri$e! ,& n&t (i+e ri!e t& *i+i# #ia/i#it P-/#i* ri(%t!
CIVIL LAW REVIEWER
Di#i(en*e in t%e !e#e*ti&n an, !-0er+i!i&n &6 t%e e$0#&ee! i! a ,e6en!e
E::ECTS O: CONTRIBUTOR, NE3LI3ENCE O: THE OBLI3EE 3ENERAL RULE : Re,-*e! &r $iti(ate! t%e ,a$a(e! 7%i*% %e *an re*&+er
EFCEPTION8 I6 t%e ne(#i(ent a*t &r &$i!!i&n &6 t%e *re,it&r t%e,a$a(e proximate cause *&$0#aine, &6 t%e e+ent) 7%i*% #e, t&i!t%e &r in-r &6) %e *ann&t re*&+er.
Pa'e 9+ $& )01
E::ECTS O: IMPOSSIBLE CONDITIONS CONDITION
TO i$0&!!i/#e i##e(a#
DO OR
NOT t& D& an
AND
ILLE3AL
E::ECT ON OBLI3ATIO N
E::ECT ON CONDITION
VOID
VOID
5. T%e *a-!e &6 /rea*% i! in,e0en,ent &6 t%e ,e/t&rK! 7i##. 8. T%e e+ent -na+&i,a/#e
$-!t
/e
-n6&re!eea/#e
&r
=. T%e e+ent! ren,er 0er6&r$an*e i$0&!!i/#e @. T%e ,e/t&r $-!t /e 6ree 6r&$ an 0arti*i0ati&n) &r a((ra+ati&n &6 t%e in-r.
VALID
VALID
NOT t& ,& an i$0&!!i/#e t%in(
VALID
DISREGARD CONDITION
C&n,iti&n i! 0re ei!tin( an, NOT ,e0en,ent &n t%e 6-#6i##$ent &6 i$0&!!i/#e *&n,iti&n 6&r ei!ten*e
VALID
VOID
C&n,iti&n IMPOSSIBLE BUT O/#i(ati&n DIVISIBLE
ONLY THE AFFECTED OBLIGATION IS VOID.
I##e(a# T%in(
A-)- CONTRAVENTION O: THE TENOR O: THE OBLI3ATION
NOTE8 In t%e *a!e &6 Re!#%ic .- L!J$n Se.ed$rin' K3-R- N$- L>21?)95 Seem#er 295 19+?5 t%e C&-rt %e#, t%at t%e 0er!&n &/#i(e, t& 0er6&r$ an &/#i(ati&n !%a## n&t /e e*-!e, 6r&$ a 6&rt-it&-! e+ent 7%en t%e nat-re &6 t%e &/#i(ati&n re2-ire! t%e assumption of risD. In &t%er 7&r,!) it i! n&t en&-(% t%at t%e e+ent !%&-#, n&t /e 6&re!een &r anti*i0ate,) /-t it $-!t /e &ne t%at i! i$0&!!i/#e t& 6&re!ee &r t& a+&i,.
========================================
TOPICS UNDER THE S,LLABUS B- NATURE AND E::ECT O: OBLI3ATIONS )- Remedies $& $#%i'ai$ns ========================================
B- :ORTUITOUS EVENT =:$rce Ma4e!re; 3ENERAL RULE8 N& &ne !%&-#, /e %e#, t& a**&-nt 6&r 6&rt-it&-! *a!e!) 7%i*% are t%&!e !it-ati&n! t%at *&-#, n&t /e 6&re!een) &r 7%i*% t%&-(% 6&re!een) 7ere ine+ita/#e.
3ENERAL RULE8 T%e #a7 0r&te*t! t%e *re,it&r!. T%e *re,it&r! are (i+en / #a7 a## 0&!!i/#e re$e,ie! t& en6&r*e !-*% &/#i(ati&n!.
A- SPECI:IC PER:ORMANCE EFCEPTION8 T%ere *&n*-r! a *&rre!0&n,in( 6ra-,) ne(#i(en*e) ,e#a &r +i&#ati&n &r *&ntra+enti&n in an $anner &6 t%e ten&r &6 t%e &/#i(ati&n.
T& ,e$an, seci&ic er&$rmance &r 6-#6i##$ent &6 t%e &/#i(ati&n 7it% a ri(%t t& in,e$nit 6&r ,a$a(e!
B- RESCISSION •
ELEMENTS O: A :ORTUITOUS EVENT8
CIVIL LAW REVIEWER
It $ean! t& a/r&(ate t%e *&ntra*t 6r&$ t%e /e(innin( an, t& re!t&re t%e 0artie! t& t%eir
Pa'e 9? $& )01
re#ati+e 0&!iti&n! a! i6 n& *&ntra*t %a! /een $a,e. •
It i! t& ,e*#are t%e *&ntra*t +&i, at it! in*e0ti&n an, t& 0-t an en, t& it a! t%&-(% it ne+er 7a!.8
•
It i! 0re,i*ate, &n t%e /rea*% &6 6ait% / an 0art t%at +i&#ate! t%e re*i0r&*it /et7een t%e$.
NOTE8 In t%e *a!e &6 Ad$ra#%e .- C$!r $& Aea%s K3-R- N$- 119)++5 N$.em#er 2*5 19995 t%e C&-rt %e#, t%at -n#e!! a ,e/t&r a*te, in 6ra-, &6 %i! *re,it&r) t%e *re,it&r %a! n& ri(%t t& re!*in, a !a#e $a,e / t%e ,e/t&r t& !&$e&ne &n t%e $ere (r&-n, t%at !-*% !a#e 7i## 0re-,i*e t%e *re,it&r!K ri(%t! in *&##e*tin( #ater &n 6r&$ t%e ,e/t&r. T%e *re,it&rK! ri(%t a(ain!t t%e ,e/t&r i! &n# a 0er!&na# ri(%t t& re*ei+e 0a$ent 6&r t%e #&an" it i! n&t a rea# ri(%t &+er t%e #&t !-/e*t &6 t%e ,ee, &6 !a#e tran!6errin( t%e ,e/t&rK! 0r&0ert. =
C- DAMA3ES T& ,e$an, a"men $& dama'es 7%en it i! a 6ea!i/#e re$e,
D- SUSIDIAR, REMEDIES O: CREDITORS 5. Acci$n S!#r$'a$ria a*ti&n 7%i*% t%e *re,it&r $a eer*i!e in t%e 0#a*e &6 %i! ne(#i(ent ,e/t&r in &r,er t& 0re!er+e &r re*&+er 6&r t%e 0atri$&n &6 t%e ,e/t&r t%e 0r&,-*t &6 !-*% a*ti&n) an, t%en &/tain t%ere6r&$ t%e !ati!6a*ti&n &6 %i! &7n *re,it 8. Acci$n Pa!%iana a*ti&n t& re+ &1e &r re!*in, a*t! 7%i*% t%e ,e/t&r $a %a+e ,&ne t& ,e6ra-, %i! *re,it&r. =. Acci$n Direca ?Art!. 548) 59) 5>8 ) 59=
2 SPOUSES VELARDE V. COURT OF APPEALS) G.R. NO. 59=@)
JULY 55)85. 3 MELENCIO S. S TA. MARIA) JR.) OBLIGATIONS AND CONTRACTS: TET AND CASES 55 ?8ND ED. 8=%
CIVIL LAW REVIEWER
END O: DISCUSSION ON TOPIC B- NATURE AND E::ECT O: OBLI3ATIONS ================================
C- INDS O: CIVIL OBLI3ATIONS ================================
TOPICS UNDER THE S,LLABUS C- P!re INDS O: CIVIL OBLI3ATIONS 1O#%i'ai$ns =Ars- 11?9>110; 2- C$ndii$na% O#%i'ai$ns =Ar- 111; A- S!sensi.e C$ndii$n B- Res$%!$r" C$ndii$n C- P$esai.e cas!a% $r mi6ed C-1- O#%i'ai$ns s!#4ec $ $esai.e s!sensi.e c$ndii$ns are .$id =Ar- 112; D- E&&ec $& e aenin' $& s!sensi.e c$ndii$n $r res$%!$r" c$ndii$n =Ar- 11?; D-1- E6en $& rer$aci.i" E- E&&ec $& imr$.emen5 %$ss $r deeri$rai$n $& seci&ic in' #e&$re e aenin' $& a s!sensi.e c$ndii$n in $#%i'ai$n $ d$ $r n$ $ d$ =Ar- 119; :- E&&ec /en a res$%!$r" c$ndii$n in $#%i'ai$n $ d$ $r n$ $ d$ aens and ere is imr$.emen5 %$ss $r deeri$rai$n $& e seci&ic in' =Ar- 11905 ar(; (- O#%i'ai$n /i a eri$d $r a erm =Ar-119(; A- Pres!mi$n a eri$d is &$r e #ene&i $& #$ de#$r and credi$r =Ar- 119+; B- E&&ec i& s!sensi.e eri$d is &$r e #ene&i $& #$ de#$r and credi$r C- E&&ec i& 'i.en $ de#$r a%$ne C-1- Insances /en de#$r %$sses #ene&i $& eri$d =Ar- 119;
Pa'e 9 $& )01
D- Res$%!$r" eri$d E- De&inie $r inde&inie eri$d E-1- Insances /en c$!rs ma" &i6 e eri$d =Ar- 119?; E-2- Credi$r m!s as< c$!r $ se e eri$d #e&$re e can demand a"men )- A%ernai.e $r &ac!%ai.e =Ar1199; A- Di&&erence #e/een a%ernai.e and &ac!%ai.e $#%i'ai$ns B- E&&ec $& %$ss $& seci&ic in's $r im$ssi#i%i" $& er&$rmance $& a%ernai.e5 r$!' &a!% $& de#$rcredi$r $r r$!' &$r!i$!s e.ens =========================================
2- CONDITIONAL OBLI3ATIONS It i! ea*t# t%e re+er!e &6 a 0-re &/#i(ati&n. T%e 0er6&r$an*e in *&n,iti&na# &/#i(ati&n! ,e0en,! -0&n a 6-t-re &r -n*ertain e+ent &r -0&n a 0a!t e+ent -n1n&7n t& 0artie!.
A- RESOLUTOR, CONDITION •
De$an,a/#e at &n*e
•
On*e t%e *&n,iti&n i! e!ta/#i!%e, &r a*1n&7#e,(e,) t%e ri(%t t& ,e$an, 0er6&r$an*e i$$e,iate# ei!t! an, t%ere6&re t%e &/#i(ati&n *&n*&$itant t& t%e ri(%t *an /e ,e$an,e, at &n*e.
•
It i! a#!& 1n&7n a! *&n,iti&n !-/!e2-ent
•
It etin(-i!%e! &/#i(ati&n!
TOPICS UNDER THE S,LLABUS C- INDS O: CIVIL OBLI3ATION 1- P!re O#%i'ai$ns =========================================
1- PURE OBLI3ATIONS It i! an -n2-a#i6ie, &/#i(ati&n 7%i*% i! ,e$an,a/#e i$$e,iate#. It i! an &/#i(ati&n 7%&!e 0er6&r$an*e ,&e! n&t ,e0en, -0&n a 6-t-re an, -n*ertain e+ent) &r 0a!t e+ent -n1n&7n t& t%e 0artie!. ?Art. 55>
=========================================
NOTE8 In *a!e &6 a *&ntra*t 7it% a re*i0r&*a# &/#i(ati&n) t%e &/#i(ati&n &6 &ne i! a re!&#-t&r *&n,iti&n &6 t%e &/#i(ati&n &6 t%e &t%er) t%e n&n 6-#6i##$ent &6 7%i*% entit#e! t%e &t%er 0art t& re!*in, t%e *&ntra*t.
B- SUSPENSIVE CONDITION •
N&t ,e$an,a/#e at &n*e
•
It (i+e! ri!e t& t%e 0er6&r$an*e &6 an &/#i(ati&n ?e. C&ntra*t t& Se##
•
It i! a#!& 1n&7n a! *&n,iti&n 0re*e,ent
•
It (i+e! /irt% t& &/#i(ati&n!
TOPICS UNDER THE S,LLABUS C- INDS O: CIVIL OBLI3ATION
C- POTESTATIVE CONDITION T%e 6-#6i##$ent &6 t%e *&n,iti&n entire# ,e0en,!
2- C$ndii$na% O#%i'ai$ns
-0&n t%e !&#e 7i## &6 t%e ,e/t&r.
=========================================
3ENERAL RULE8 A## 0&te!tati+e *&n,iti&n! are +&i,.
CIVIL LAW REVIEWER
Pa'e 99 $& )01
EFCEPTION8 P&te!tati+e re!&#-t&r *&n,iti&n! are n&t +&i,. I6 t%e 0&te!tati+e *&n,iti&n i! i$0&!e, n&t &n t%e /irt% ?!-!0en!i+e &6 t%e &/#i(ati&n /-t &n it! 6-#6i##$ent ?re!&#-t&r) &n# t%e *&n,iti&n i! a+&i,e,) #ea+in( -na66e*te, t%e &/#i(ati&n it!e#6.
DE::ECT O: SUSPENSIVE RESOLUTOR, CONDITIONS
AND
NOTE8 LOSS %a00en! 7%en t%e t%in( 0eri!%e!) (&e! &-t &6 *&$$er*e) &r it ,i!a00ear! in !-*% a 7a t%at it! ei!ten*e i! -n1n&7n &r it *ann&t /e re*&+ere,. ?Art. 559
E-1- Be&$re e aenin' $& a s!sensi.e c$ndii$n in an $#%i'ai$n $ d$ $r n$ $ d$ =Ar- 119; •
Ar- 11?8 •
•
t%e &/#i(ati&n !%a## /e etin(-i!%e,.
;%en t%e &/#i(ati&n i$0&!e! re*i0r&*a# 0re!tati&n!) t%e 6r-it! an, intere!t! ,-rin( t%e 0en,en* &6 t%e *&n,iti&n !%a## /e ,ee$e, t& %a+e /een $-t-a## *&$0en!ate,. I6 t%e &/#i(ati&n i! -ni#atera#) t%e ,e/t&r &r &/#i(&r !%a## a00r&0riate t%e 6r-it! an, intere!t! re*ei+e,) -n#e!! 6r&$ t%e nat-re an, *ir*-$!tan*e! &6 t%e &/#i(ati&n it !%&-#, /e in6erre, t%at t%e intenti&n &6 t%e 0er!&n *&n!tit-tin( t%e !a$e i! ,i66erent.
D-1- E6en $& Rer$aci.i" • In re!&#-t&r *&n,iti&n!) retr&a*ti+it i! irre#e+ant. •
In !-!0en!i+e *&n,iti&n!) t%e e66e*t &6 a *&n,iti&na# &/#i(ati&n t& (i+e retr&a*t! t& t%e ,a &6 t%e *&n!tit-ti&n &6 t%e &/#i(ati&n ?Art 559>
•
I6 t%e t%in( i! #&!t 7it% t%e 6a-#t &6 ,e/t&r) %e !%a## /e &/#i(e, t& 0a ,a$a(e!.
•
I6 t%e t%in( ,eteri&rate! 7it%&-t t%e 6a-#t &6 ,e/t&r) t%e i$0air$ent i! t& /e /&rne / *re,it&r
•
I6 t%e t%in( ,eteri&rate! 7it% t%e 6a-#t &6 ,e/t&r) t%e *re,it&r $a *%&&!e /et7een re!*i!!i&n &6 t%e &/#i(ati&n an, it! 6-#6i##$ent) 7it% in,e$nit 6&r ,a$a(e! in eit%er *a!e
•
I6 t%e t%in( i$0r &+e! / it! nat-re &r / ti$e) t%e /ene6it !%a## in-re t& t%e /ene6it &6 t%e *re,it&r.
•
I6 t%e t%in( i$0r&+e! at t%e e0en!e &6 ,e/t&r) %e !%a## %a+e n& &t%er ri(%t t%an t%at (rante, t& t%e -!-6r-*t-ar.
E-2- Wen a res$%!$r" c$ndii$n in an $#%i'ai$n $ d$ $r n$ $ d$ aens =Ar11905 ar- (; •
EIMPROVEMENT5 DETERIORATION
I6 t%e t%in( i! #&!t 7it%&-t t%e 6a-#t &6 ,e/t&r)
L O SS5
AN D
C$nsr!ci.e &!%&i%%men > T%e *&n,iti&n !%a## /e ,ee$e, 6-#6i##e, 7%en t%e &/#i(&r ?,e/t&r +&#-ntari# 0re+ent! it! 6-#6i##$ent ?Art. 559
In &/#i(ati&n! t& ,& an, n&t t& ,&) t%e *&-rt !%a## ,eter$ine t%e e66e*t &6 t%e etin(-i!%$ent &6 t%e &/#i(ati&n
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TOPICS UNDER THE S,LLABUS C- INDS O: CIVIL OBLI3ATION
CIVIL LAW REVIEWER )01
Pa'e 100 $&
(- O#%i'ai$ns /i a Peri$d $r Term
INDS O: OBLI3ATIONS WITH A PERIOD8
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5. Acc$rdin' $ e&&ec8 a. Res$%!$r" ?in ,ie$ ,e$an,a/#e at &n*e /-t ter$inate! -0&n arri+a# &6 t%e ,a *ertain
(- OBLI3ATIONS WITH A PERIOD OR TERM
•
WITH A PERIOD An &/#i(ati&n 7%&!e ,e$an,a/i#it &r etin(-i!%$ent ,e0en,! &n a 6-t-re an, *ertain e+ent" !-/e*t t& t%e e0irati&n &6 a ter$ &6 0eri&, ? Arts 55=) 55 • PERIOD Inter+a# &6 ti$e) 7%i*%) eertin( an in6#-en*e &n an &/#i(ati&n a! a *&n!e2-en*e &6 a -ri,i*a# a*t) eit%er !-!0en,! it! ,e$an,a/i#it &r 0r&,-*e! it! etin(-i!%$ent
• Da *ertain t%at 7%i*% $-!t ne*e!!ari# *&$e) a#t%&-(% it $a n&t /e 1n&7n 7%en
/. S!sensi.e ?e ,ie &/#i(ati&n /e*&$e! ,e$an,a/#e &n t%e ,a !ti0-#ate, 8. Acc$rdin' $ s$!rce a. Le'a% 7%en it i! 0r&+i,e, / #a7! /. C$n.eni$na% $r V$%!nar" > 7%en it i! a(ree, t& / t%e 0artie! *. !dicia% 7%en it i! 6ie, / t%e *&-rt =. Acc$rdin' $ de&inieness8
REUISITES8
a.De&inie > 7%en it i! 6ie, &r it i! 1n&7n 7%en it 7i## *&$e
5. F-t-re
/. Inde&inie > 7%en it i! n&t 6ie, &r it i!
8. Certain
n&t 1n&7n 7%en it 7i## *&$e
=. Le(a## an, 0%!i*a## 0&!!i/#e
WHEN STIPULATION SA,S PA,ABLE WHEN ABLE •
;%en t%e &/#i(&r /in,! %i$!e#6 t& 0a 7%en %i! $ean! 0er$it %i$ t& ,& !&) t%e &/#i(ati&n !%a## /e ,ee$e, t& /e &ne 7it% a 0eri&,.
•
Re$e,:
5.
A(ree$ent a$&n( 0artie!
8. C&-rt !%a## 6i 0eri&, &6 0a$ent 7%en 0artie! -na/#e t& a(ree
CIVIL LAW REVIEWER )01
TERM VS- CONDITION5 DISTIN3UISHED T E RM
CONDITION
Inter+a# &6 ti$e 7%i*% i! 6-t-re an, *ertain
Fa*t &r e+ent 7%i*% i! 6-t-re &r -n*ertain &r a 0a!t e+ent -n1n&7n t&
Pa'e 101 $&
t%e 0artie! Ti$e 7* $-!t ne*e!!ari# *&$e a#t%&-(% it $a n&t /e 1n&7n 7%en
F-t-re an, -n*ertain 6a*t &r e+ent 7%i*% $a &r $a n&t %a00en
Eert! an in6#-en*e -0&n t%e ti$e &6 ,e$an,a/i#it &r etin(-i!%$ent &6 an &/#i(ati&n
Eert! an in6#-en*e -0&n t%e +er ei!ten*e &6 t%e &/#i(ati&n it!e#6
D&e! n&t %a+e an retr&a*ti+e e66e*t -n#e!! t%ere i! an a(ree$ent t& t%e *&ntrar
Ha! retr&a*ti+e e66e*t
;%en it i! #e6t e*#-!i+e# t& t%e 7i## &6 t%e ,e/t&r) t%e ei!ten*e &6 t%e &/#i(ati&n i! a66e*te,
;%en it i! #e6t e*#-!i+e# t& t%e 7i## &6 t%e ,e/t&r) t%e &/#i(ati&n i! +&i,
0eri&, %a! /een e!ta/#i!%e, in 6a+&r &6 &ne &r t%e &t%er.
PERIOD :OR CREDITOR •
THE
BENE:IT
O:
THE
Cre,it&r $a ,e$an, t%e 6-#6i##$ent &6 t%e &/#i(ati&n at an ti$e /-t t%e ,e/t&r *ann&t *&$0e# %i$ t& a**e0t /e6&re t%e e0irati&n &6 t%e 0eri&,
PERIOD :OR THE BENE:IT O: THE DEBTOR •
De/t&r $a &00&!e an 0re$at-re ,e$an, &6 t%e *re,it&r /-t %e $a ren& -n*e t%e /ene6it &6 t%e 0eri&, / 0er6&r$in( %i! &/#i(ati&n in a,+an*e ?Manre!a
WHEN DEBTOR LOSES RI3HT TO PERIOD =Ar 119; 5. In!&#+en* 0r&+i,e,
&6
,e/t&r)
-n#e!!
!e*-rit
WHEN COURTS MA, :IF PERIOD8 8. Di, n&t ,e#i+er !e*-rit 0r&$i!e, I6 t%e &/#i(ati&n d$es n$ &i6 a eri$d ) /-t 6r&$ it! nat-re an, *ir*-$!tan*e! it *an /e in&erred t%at a 0eri&, 7a! inten,e, / t%e 0artie!
=. I$0aire, !e*- rit t%r &-(% %i! &7n a*t ! &r t%r&-(% 6&rt-it&-! e+ent -n#e!! %e (i+e! ne7 !e*-ritie! e2-a## !ati!6a*t&r
aa
I6 t%e d!rai$n $& e eri$d deends !$n e /i%% &6 t%e ,e/t&r
@. Vi&#ate! -n,erta1in( in *&n!i,erati&n &6 eten!i&n &6 0eri&,
aa
In *a!e &6 re*i0r&*a# &/#i(ati&n!) 7%en t%ere i! a 4!s ca!se 6&r 6iin( a 0eri&,
4. Atte$0t! t& a/!*&n,
I6 t%e de#$r #inds %i$!e#6 7%en %i! $ean! 0er$it %i$ t& ,& !&
=========================================
aa
aa
TOPICS UNDER THE S,LLABUS PERIOD5 :OR WHOSE BENE:IT
C- INDS O: CIVIL OBLI3ATION
3ENERAL RULE : ;%en a 0eri&, i! ,e!i(nate, 6&r t%e 0er6&r$an*e &r 6-#6i##$ent &6 an
)- A%ernai.e $r :ac!%ai.e O#%i'ai$n
&/#i(ati&n) it i! 0re!-$e, t& %a+e /een e!ta/#i!%e, 6&r t%e /ene6it &6 /&t% 0artie!.
=========================================
EFCEPTION: ;%en it a00ear! 6r&$ t%e ten&r &6 t%e &/#i(ati&n &r &t%er *ir*-$!tan*e! t%at t%e
CIVIL LAW REVIEWER )01
Pa'e 102 $&
)- ALTERNATIVE OR :ACULTATIVE OBLI3ATION WHEN CONVERTED OBLI3ATION8
=AR:- 1199 120+;
:ACULTATIVE > &n# &ne 0re!tati&n %a! /een a(ree, -0&n /-t an&t%er $a /e (i+en in !-/!tit-ti&n
E::ECT O: LOSS OR DETERIORA0TION THRU NE3LI3ENCE5 DELA, OR :RAUD O: OBLI3OR8 •
O6 t%in( inten,e, a! !-/!tit-te n& #ia/i#it
•
O6 t%e !-/!tit-te a6ter !-/!tit-ti&n i! $a,e 7it% #ia/i#it
IN
;%en t%e 0er!&n 7%& %a! a ri(%t &6 *%&i*e %a! *&$$-ni*ate, %i! *%&i*e
2.
On# &ne i! 0ra*ti*a/#e
E::ECT O: LOSS O: OBECTS O: ALTERNATIVE OBLI3ATIONS 1-
I& e r i' $ & c $ice # e%$n's $ e de#$r •
I6 t%r&-(% a 6&rt-it&-! e+ent a## 7ere #&!t) ,e/t&r *ann&t /e %e#, #ia/#e 6&r ,a$a(e!
•
I6 5 &r $&re /-t n&t a## &6 t%e t%in(! are #&!t &r &ne &r !&$e /-t n&t a## &6 t%e 0re!tati&n! *ann&t /e 0er6&r$e, ,-e t& 6&rt-it&-! e+ent &r 6a-#t &6 t%e ,e/t&r) *re,it&r *ann&t %&#, t%e ,e/t&r #ia/#e 6&r ,a$a(e! /e*a-!e t%e ,e/t&r *an !ti## *&$0# 7it% %i! &/#i(ati&n
•
I6 a## t%in(!) e*e0t &ne) 7ere #&!t) t%e ,e/t&r $-!t *&$0# / 0er6&r$in( t%at 7%i*% re$ain
•
I6 a## 7ere #&!t / 6a-#t &6 t%e ,e/t&r t%e #ater i! #ia/#e 6&r t%e +a#-e &6 t%e #a!t t%in( &r !er+i*e 7%i*% /e*a$e i$0&!!i/#e
ALTERNATIVE
3ENERAL RULE8 t%e ri(%t &6 *%&i*e /e#&n(! t& ,e/t&r EFCEPTION8 5. E0re!!# (rante, t& *re,it&r 8. E0re!!# (rante, t& t%ir, 0er!&n
LIMITATIONS ON THE RI3HT O: CHOICE O: THE DEBTOR
SIMPLE
1.
ALTERNATIVE /&-n, / ,i66erent 0re!tati&n! /-t &n# &ne i! ,-e
RI3HT O: CHOICE OBLI3ATIONS
TO
2-
I& ri' $& c$ice #e%$n's $ e credi$r
a. I$0&!!i/#e
I6 5 &6 t%e t%in(! i! #&!t t%r&-(% a 6&rt-it&-! e+ent) t%e ,e/t&r !%a## 0er6&r$ t%e &/#i(ati&n / ,e#i+erin( t%at 7%i*% t%e *re,it&r !%&-#, *%&&!e 6r&$
/. Un#a76-#
a$&n( re$ain,er re$ain! t%e i6 &n# 5 !-/!i!t! &r t%at 7%i*%
T%e ,e/t&r !%a## n&t %a+e t%e ri(%t t& *%&&!e t%e 0re!tati&n!) 7%i*% are:
*.
T%&!e 7%i*% *&-#, n&t %a+e /een t%e &/e*t &6 t%e &/#i(ati&n
CIVIL LAW REVIEWER )01
•
•
I6 t%e #&!! &6 5 &6 t%e t%in(! &**-r! t%r&-(% t%e 6a-#t &6 t%e ,e/t&r) t%e
Pa'e 10( $&
*re,it&r $a *#ai$ an &6 t%&!e !-/!i!tin( &r t%e 0ri*e &6 t%at 7%i*%) t%r&-(% t%e 6a-#t &6 t%e 6&r$er) %a! ,i!a00eare, 7it% a ri(%t t& ,a$a(e! •
I6 a## t%e t%in(! are #&!t t%r&-(% t%e 6a-#t &6 t%e ,e/t&r) t%e *%&i*e / t%e *re,it&r !%a## 6a## -0&n t%e 0ri*e &6 an 5 &6 t%e$) a#!& 7it% in,e$nit 6&r ,a$a(e!.
I6 it i! i$0&!!i/#e t& (i+e a## e*e0t &ne) t%e #a!t &ne $-!t !ti## /e (i+en
I6 it i! i$0&!!i/#e t& (i+e t%e 0rin*i0a#) t%e !-/!tit-te ,&e! n&t %a+e t& /e (i+en" i6 it i! i$0&!!i/#e t& (i+e t%e !-/!tit-te) t%e 0rin*i0a# $-!t !ti## /e (i+en
Ri(%t t& *%&&!e $a /e (i+en eit%er t& ,e/t&r &r *re,it&r
T%e ri(%t &6 *%&i*e i! (i+en &n# t& t%e ,e/t&r
REUISITES :OR MAIN3 THE CHOICE: 5. Ma,e 0r&0er# !& t%at *re,it&r &r %i! a( ent 7i## a*t-a## 1n&7 8. Ma,e 7it% 6-## 1n&7#e,(e t%at a !e#e*ti&n i! in,ee, /ein( $a,e =. Ma,e +&#-ntari# an, 6ree# @. Ma,e in ,-e ti$e /e6&re &r -0&n $at-rit
END O: DISCUSSION ON TOPIC C- INDS O: CIVIL OBLI3ATION ================================
D- OINT AND SOLIDAR, OBLI3ATION ================================
4. Ma,e t& a## 0r&0er 0er!&n!
TOPICS UNDER THE S,LLABUS
. Ma,e 7& *&n ,iti&n! -n#e!! a(r ee, / t%e *re,it&r
D- OINT AND SOLIDAR, OBLI3ATION 1- $in =Di.isi#%e; O#%i'ai$n A- C$nc!rrence $& /$ $r m$re credi$rs and$r /$ $r m$re de#$rs A-1- $in $#%i'ai$n is res!med5 !n%ess $er/ise indicaed #" e %a/ $r na!re $& $#%i'ai$n =Ar120?; A-2- O#%i'ai$n res!med $ #e di.ided in$ as man" e@!a% sares as ere are credi$rs $r de#$rs A-(- Eac credi is disinc &r$m $ne an$er5 ere&$re a 4$in de#$r cann$ #e re@!ired $ a" &$r e sare $& an$er /i de#$r5 a%$!' e ma" a" i& e /ans $ =Ar- 1209; A-)- Ins$%.enc" $& a 4$in de#$r5 $ers n$ %ia#%e &$r is sare =Ar1209;
>. Ma /e 7ai+e,) e0re!!# &r i$0#ie,#
DISTIN3UISH ALTERNATIVE :ROM :ACULTATIVE ALTERNATIVE
:ACULTATIVE
Vari&-! t%in(! are ,-e /-t t%e (i+in( 0rin*i0a## &6 &ne i! !-66i*ient
On# &ne t%in( i! ,-e /-t a !-/!tit-te $a /e (i+en t& ren,er 0a$ent6-#6i##$ent ea!
I6 &ne &6 0re!tati&n! i! i##e(a#) &t%er! $a /e +a#i, /-t &/#i(ati&n re$ain!
I6 0rin*i0a# &/#i(ati&n! i! +&i, an, t%ere i! n& ne*e!!it &6 (i+in( t%e !-/!tit-te" n-##it &6 P *arrie! 7it% it n-##it &6 S
2- $in =Indi.isi#%e; O#%i'ai$n
CIVIL LAW REVIEWER )01
Pa'e 10) $&
A- O#%i'ai$n cann$ #e er&$rmed in ars #! de#$rs are #$!nd 4$in%" B- In case $& &ai%!re $& $ne 4$in de#$r $ er&$rm is ar =sare;5 ere is de&a!% #! $n%" e '!i%" sa%% #e %ia#%e &$r dama'es
3ENERAL RULE8 T%e 0re!-$0ti&n &6 t%e #a7 i! t%at an &/#i(ati&n i! a#7a! &int. EFCEPTIONS TO THE PRESUMPTION 5. ;%en e0re!!# !&#i,arit
!tate,
t%at
t%ere
i!
8. ;%en t%e #a7 re2-ire! !&#i,arit
(- S$%idar" O#%i'ai$n A- M!!a% a'enc" am$n' s$%idar" de#$rs =Ars- 121)>121*; B- M!!a% '!aran" am$n' s$%idar" de#$rs =Ars- 121+5 121?5 1222; C- Eac $ne $& s$%idar" credi$rs ma" d$ /ae.er ma" #e !se&!% $ e $ers5 #! n$ an"in' re4!dicia% $ em =Ar- 1212; C-1- E&&ec $& an" n$.ai$n5 c$mensai$n5 c$n&!si$n $r remissi$n $& de# e6ec!ed #" a s$%idar" credi$r )- Di.isi#%e and Indi.isi#%e =Ar122*; *- O#%i'ai$ns /i a Pena% C%a!se =Ars- 122+5 122>12(0; =========================================
TOPICS UNDER THE S,LLABUS D- OINT AND SOLIDAR, OBLI3ATIONS
=========================================
1- OINT =DIVISIBLE; OBLI3ATION OBLI3ATION
=4li%cion
9%ncu&un%%) K T%e 7%&#e &/#i(ati&n i! t& /e 0ai, &r 6-#6i##e, 0r&0&rti&nate# / ,i66erent ,e/t&r! &r ,e$an,e, 0r&0&rti&nate# / t%e ,i66erent &/#i(ee!
CIVIL LAW REVIEWER )01
@. ;%en a *%ar(e &r *&n,iti&n i! i$0&!e, -0&n %eir! &r #e(atee! an, t%e te!ta$ent e0re!!# $a1e! t%e *%ar(e &r *&n,iti&n in !&#i,-$ ?Manre!a 4. ;%en a !&#i ,ar re!0&n!i/i#it i! i$ 0-te, / a 6ina# -,($ent -0&n !e+era# ,e6en,ant! ?8utierre$ "% 8utierre$*
E::ECTS O: OINT LIABILIT, 5. De$an, &n &ne 0r&,-*e! ,e#a &n# 7it% re!0e*t t& t%e ,e/t 8. Interr-0ti&n in 0a$ent / &ne ,&e! n&t /ene6it &r 0re-,i*e t%e &t%er =. Vi*e! &6 &ne , e/t&r t& *re,it&r %a! n& e66e*t &n t%e &t%er! @. In!&#+en* &6 &ne ,e/t&r ,&e! n&t a66e*t &t%er ,e/t&r!
OINT DIVISIBLE OBLI3ATIONS
1- $in =Di.isi#%e; O#%i'ai$n
OINT
=. ;%en t%e nat -re &6 t%e &/# i(ati&n re2-ire! !&#i,arit
5. Ea*% *re,it&r *an ,e$an, 6&r t% e 0a$ent &6 %i! 0r&0&rti&nate !%are &6 t%e *re,it) 7%i#e ea*% ,e/t&r *an /e %e#, #ia/#e &n# 6&r t%e 0a$ent &6 %i! 0r&0&rti&nate !%are &6 t%e ,e/t 8. A &int *re,it&r *ann&t a*t in re0r e!entati&n &6 t%e &t%er *re,i t&r! 7%i#e a &int ,e/t&r *ann&t /e *&$0e##e, t& an!7er 6&r t%e a*t! &r #ia/i#it &6 t%e &t%er ,e/t&r!
Pa'e 10* $&
NOTE8 Un#e!! t%ere i! n& !0e*i6i*ati&n a! t& t%eir 0r&0&rti&nate !%are in t%e *re,it &r in t%e ,e/t) t%e *re,it&r! an, ,e/t&r! in a &int &/#i(ati&n !%a## /e entit#e, &r !%a## $a1e 0a$ent in e2-a# 0r&0&rti&n.
&/e*t &6 &/#i(ati&n
P#-ra#it &6 !-/e*t! i! n&t re2-ire,
P#-ra#it &6 !-/e*t! i! in,i!0en!a/#e
=========================================
In *a!e &6 /rea*%) &/#i(ati&n i! *&n+erte, int& 5 &6 in,e$nit 6&r ,a$a(e! /e*a-!e &6 /rea*%) in,i+i!i/i#it &6 t%e &/#i(ati&n i! ter$inate,
;%en t%ere i! #ia/i#it &n t%e 0art &6 t%e ,e/t&r! /e*a-!e &6 t%e /rea*%) t%e !&#i,arit a$&n( t%e ,e/t&r! re$ain!
TOPICS UNDER THE S,LLABUS D- OINT AND SOLIDAR, OBLI3ATIONS 2- $in =Indi.isi#%e; O#%i'ai$n =========================================
2- OINT =INDIVISIBLE; OBLI3ATION 5. I6 t%ere are 8 &r $&re ,e/t&r!) t%e 6-#6i##$ent &6 &r *&$0#ian*e 7it% t%e &/#i(ati&n re2-ire! t%e *&n*-rren*e &6 a## t%e ,e/t&r!) a#t%&-(% ea*% 6&r %i! &7n !%are. T%e &/#i(ati&n *an /e en6&r*e, &n# / 0r&*ee,in( a(ain!t a## &6 t%e ,e/t&r!. 8. I6 t%ere are 8 &r $&re *re,it&r!) t%e *&n*-rren*e &r *&##e*ti+e a*t &6 a## t%e *re,it&r!) a#t%&-(% ea*% 6&r %i! &7n !%are) i! a#!& ne*e!!ar 6&r t%e en6&r*e$ent &6 t%e
t%e
&6 t%e &/#i(ati&n
PASSIVE SOLIDARITY
SURETYSHIP
Sands &$r s$me $er ers$n Ma" #e reim#!rsed a&er a"men %ia#%e &$r is and c$> $n%" e de#$rs sare rincia%s sare Primar" Sec$ndar" E6ensi$n $& ime5 Re%eased n$ re%eased
=========================================
TOPICS UNDER THE S,LLABUS D- OINT AND SOLIDAR, OBLI3ATIONS
&/#i(ati&n
E::ECT O: BREACH I6 &ne &6 t%e &int ,e/t&r! 6ai#! t& *&$0# 7it% %i! -n,erta1in() t%e &/#i(ati&n *an n& #&n(er /e 6-#6i##e, &r 0er6&r$e,. C&n!e2-ent#) it i! *&n+erte, int& &ne &6 in,e$nit 6&r ,a$a(e!. Inn&*ent &int ,e/t&r !%a## n&t *&ntri/-te t& t%e in,e$nit /e&n, t%eir *&rre!0&n,in( !%are &6 t%e &/#i(ati&n.
(- S$%idar" O#%i'ai$n =========================================
(- SOLIDAR, OBLI3ATION
SOLIDAR, INDIVISIBILIT, DISTIN3UISHED INDIVISIBILIT, Re6er! t& 0re!tati&n *&n!tit-te!
t%e 7%i*% t%e
and
SOLIDARIT,5
OBLI3ATION (4li%cion oli%ri%) $-!t /e e0re!!e, in !ti0-#ati&n &r 0r&+i,e, / #a7 &r / nat-re &6 &/#i(ati&n
SOLIDARIT, Re6er! t& t%e #e(a# tie an, *&n!e2-ent# t& t%e !-/e*t! &r 0artie!
CIVIL LAW REVIEWER )01
5. Aci.e &n t%e 0art &6 *re,it&r &r &/#i(e
E::ECTS8
Pa'e 10+ $&
e. B
•
Deat% &6 5 !&#i,ar *re,it&r tran!$it! !%are t& %eir! ?/-t *&##e*ti+e# •
Ea*% *re,it&r re0re!ent! t%e &t%er in t%e a*t &6 re*&+er &6 0a$ent
•
Cre,it i! ,i+i,e, e2-a## /et7een *re,it&r! a! a$&n( t%e$!e#+e!
•
De/t&r $a 0a an &6 t%e !&#i,ar *re,it&r!
ai#ee! in *&$$&,at-$
•
E::ECTS:
a. Pa$ent $a,e /e 6&re ,e/ t i! ,- e) n& intere!t *an /e *%ar(e,) &t%er7i!e intere!t *an /e *%ar(e, /. In!&#+en* &6 &ne &t% er! are #ia /#e 6&r !%are 0r&rata
8. Passi.e &n t%e 0art &6 ,e/t&r! &r &/#i(&r!
*.
E::ECTS8
I6 ,i66erent ter$! an, *&n,iti&n! *&##e*t &n# 7%at i! ,-e) #ater &n *&##e*t 6r&$ an
•
Ea*% ,e/t&r $a /e re2-e!te, t& 0a 7%&#e &/#i(ati&n 7it% ri(%t t& re*&+er 6r&$ *& ,e/t&r!
,. N& rei$/-r!e$ent i6 0a $ent i! $a, e a6ter 0re!*ri0ti&n &r /e*a$e i##e(a#
•
Interr-0ti&n &6 0re!*ri0ti&n t& &ne *re,it&r a66e*t! a##
e. Re$i!!i&n $a,e a6 ter 0a$ent i! $a,e *&,e/t&r !ti## entit#e, t& rei$/-r!e$ent
•
Intere!t 6r&$ ,e#a &n 5 ,e/t&r i! /&rne / a##
6.
E66e*t &6 in!&#+en* &r ,eat% &6 *&,e/t&r !ti## #ia/#e 6&r 7%&#e a$&-nt
(. Fa-#t &6 an ,e/t&r e+er&ne i! re!0&n!i/#e 0ri*e) ,a$a(e an, intere!t
=. Mi6ed &n t%e 0art &6 t%e &/#i(&r! an, &/#i(ee!) *re,it&r! &r t%e 0art &6 t%e ,e/t&r! an, t%e
%. C&$0#ete 0er!&na# ,e6en!e t&ta# &r 0artia# ? -0 t& a$&-nt &6 !%are &n# i6 n&t 0er!&na# t& %i$
@. C$n.eni$na% a(ree, -0&n / t%e 0artie!
E::ECT O: LOSS OR IMPOSSIBILIT, O: THE PRESTATION8 4. Le'a% K i$0&!e, / #a7 •
Insances /ere s$%idar" $#%i'ai$n8
%a/
1.
I6 7it%&-t 6a-#t n& #ia/i#it
2.
I6 7it% 6a-#t t%ere i! #ia/i#it ?a#!& 6&r ,a$a(e an, intere!t
3.
L&!! ,-e t& 6&rt-it&-! e+ent a6ter ,e6a-#t t%ere i! #ia/i#it ?/e*a-!e &6 ,e6a-#t
im$ses
a. O/#i(ati&n! ari!in( 6r&$ t&rt /. O/#i(ati&n! ari!in( 6r&$ 2-a!i*&ntra*t! *. Le(a# 0r&+i!i&n! re(ar,in( &/#i(ati&n &6 ,e+i!ee! an, #e(atee! ,. Lia/i#it &6 0rin*i0a#!) a**e!!&rie! &6 a 6e#&n
a**&$0#i*e!)
CIVIL LAW REVIEWER )01
an,
NOTE8 T%e #a7 *#ear# 0r&+i,e! t%at t%e *re,it&r 7%& $a %a+e ee*-te, an a*t! $enti&ne, in Art. 5854 ?N&+ati&n) C&$0en!ati&n) Mer(er &r C&n6-!i&n) a! 7e## a! %e &r !%e 7%& *&##e*t! t%e
Pa'e 10? $&
,e/t!) !%a## /e #ia/#e t& t%e &t%er! 6&r t%e !%are in t%e &/#i(ati&n *&rre!0&n,in( t& t%e$.
• In
tenti&n &6 0artie! !%&-#, /e ta1en int& a**&-nt t& ,eter$ine 7%et%er &/#i(ati&n i! ,i+i!i/#e &r n&t
========================================= =========================================
TOPICS UNDER THE S,LLABUS TOPICS UNDER THE S,LLABUS D- OINT AND SOLIDAR, OBLI3ATIONS )- Di.isi#%e and Indi.isi#%e O#%i'ai$n
D- OINT AND SOLIDAR, OBLI3ATIONS *- O#%i'ai$ns /i a Pena% C%a!se
========================================= =========================================
)- DIVISIBLE AND INDIVISIBLE OBLI3ATION
DIVISIBLE < &/#i(ati&n t%at i! *a0a/#e &6 0artia# 0er6&r$an*e •
Ee*-ti&n &6 *ertain n& &6 ,a! 7&r1
•
E0re!!e, / $etri*a# -nit!
•
Nat-re &6 &/#i(ati&n !-!*e0ti/#e &6 0artia# 6-#6i##$ent
INDIVISIBLE &ne n&t *a0a/#e &6 0artia# 0er6&r$an*e •
T& (i+e ,e6inite t%in(!
•
N&t !-!*e0ti/#e &6 0artia# 0er6&r$an*e
•
Pr&+i,e, / #a7
•
Intenti&n &6 0artie!
NOTES8 •
Di+i!i/i#it &r0er6&r$an*e in,i+i!i/i#it &6 re6er! t& t%e &6 t%e t%e &/#i(ati&n 0re!tati&n an, n&t t& t%e t%in( 7%i*% i! t%e &/e*t t%ere&6
CIVIL LAW REVIEWER )01
*- OBLI3ATIONS WITH A PENAL CLAUSE
WITH A PENAL CLAUSE K One t& 7%i*% an a**e!!&r -n,erta1in( i! atta*%e, 6&r t%e 0-r0&!e &6 in!-rin( it! 0er6&r$an*e / +irt-e &6 7%i*% t%e &/#i(&r i! /&-n, t& 0a a !ti0-#ate, in,e$nit &r 0er6&r$ a !ti0-#ate, 0re!tati&n in *a!e &6 /rea*%. PENAL CLAUSE DISTIN3UISHED :ROM CONDITION PENAL CLAUSE CONDITION C&n!tit-te! an &/#i(ati&n De$an,a/#e in ,e6a-#t O/#i(ati&n ei!t! De0en,! &n t%e n&n 0er6&r$an*e &6 t%e 0rin*i0a# &/#i(ati&n
N&t an &/#i(ati&n Ne+er ,e$an,a/#e N& &/#i(ati&n -nti# *&n,iti&n %a00en! Prin*i0a# it!e#6 i! ,e0en,ent &n an -n*ertain e+ent
PENAL CLAUSE DISTI3UISHED :ROM ALTERNATIVE OBLI3ATIONS PENALC LAUSE ALTERNATIVE OBLI3ATIONS On# 5 0re!tati&n Se+era# 0re!tati&n! I$0&!!i/i#it &6 I$0&!!i/i#it &6 5 0rin*i0a# etin(-i!%e! 0re!tati&n ,&e! n&t 0ena#t etin(-i!% t%e &/#i(ati&n De/t&r $a n&t *%&&!e /et7een 0rin*i0a# an, 0ena#t
De/t&r $a *%&&!e a$&n( t%e 0re!tati&n!
Pa'e 10 $&
PENAL CLAUSE DISTIN3UISHED :ROM :ACULTATIVE OBLI3ATION PENAL CLAUSE :ACULTATIVE OBLI3ATION Pena#t &6 0a$ent P&7er t& *%&&!e in #ie- &6 t%e 0re!tati&n i! a/!&#-te 0rin*i0a# $-!t /e e0re!!# (rante, Cre,it&r $a Cre,it&r $a n&t ,e$an, /&t% i6 ,e$an, /&t% 0rin*i0a# e0re!!# (rante, an, 0ena#t
*a!e &6 /rea*% &6 t%e 0rin*i0a# &/#i(ati&n ?0-niti+e.
CHARACTERISTICS O: PENAL CLAUSES8 5. S!#sidiar" > A! a (enera# r-#e) &n# 0ena#t *an /e ,e$an,e,) 0rin*i0a# *ann&t /e ,e$an,e,) e*e0t: Pena#t i! &int &r *-$-#ati+e 8. E6c%!si.e > ta1e! 0#a*e &6 ,a$a(e) ,a$a(e *an &n# /e ,e$an,e, in t%e 66. *a!e!:
PENAL CLAUSE DISTIN3UISHED :ROM 3UARANTEE PENAL CLAUSE 3UARANTEE In!-re 0er6&r$an*e &6 0rin*i0a# &/#i(ati&n A**e!!&r an, !-/!i,iar &/#i(ati&n! O/#i(ati&n t& 0a t%e O/e*t &6 t%e 0ena#t i! ,i66erent 0rin*i0a# an, t%e 6r&$ t%e 0rin*i0a# (-arantee i! t%e &/#i(ati&n !a$e Prin*i0a# an, 0ena#t N& *an /e a!!-$e, / t%e !a$e 0er!&n Pena#t i! etin(-i!%e, G-arantee !-/!i!t! / t%e n-##it &6 t%e e+en i6 t%e 0rin*i0a# 0rin*i0a# &/#i(ati&n i! +&i,a/#e) -nen6&r*ea/#e &r a nat-ra# &ne) !a$e a00#ie! i6 0ena# *#a-!e i! a!!-$e, / a (-arantee
a.
Sti0-#ati&n (rantin( ri(%t
/.
Re6-!a# t& 0a 0ena#t
*.
;it% ,&#& ? n&t &6 *re,it&r
PENALT, AS SUSTITUTE :OR DAMA3ES 3ENERAL RULE8 t%e 0ena#t 6ie, / t%e 0artie! i! &r !-/!tit-te 6&r ,a$a(e! in *a!e &6 /rea*% EFCEPTIONS8 5. ;%en t%ere i! a !ti0-#ati&n t& t%e *&ntrar 8. ;%en t%e ,e/t&r i! !-e, 6&r re6-!a# t& 0a t%e a(ree, 0ena#t" an, =. ;%en ,e/t&r i! (-i#t &6 6ra-,
DOUBLE :UNCTIONS O: PENALT, 5.
t& 0r&+i,e 6&r #i2-i,ate, ,a$a(e!
PURPOSE O: PENALT,8 1. uncion coerciti"a o de garantia F t& in!-re t%e 0er6&r$an*e &6 t%e &/#i(ati&n
8. t& !t ren(t%en t% e *&er*i+e 6&r*e &6 t%e &/#i(ati&n / t%e t%reat &6 (reater re!0&n!i/i#it in t%e e+ent &6 /rea*%
2. uncion li;uidatoria F t& #i2-i,ate t%e a$&-nt &6 ,a$a(e! t& /e a7ar,e, t& t%e
in-re, 0art in *a!e &6 /rea*% &6 t%e 0rin*i0a# &/#i(ati&n ?*&$0en!at&r) an,
INDS O: PENALTIES8 5. =egal *&n!tit-te, / #a7
3. uncion estrictamente penal F in *ertain e*e0ti&na# *a!e!) t& 0-ni!% t%e &/#i(&r in
CIVIL LAW REVIEWER )01
Pa'e 109 $&
8. 0on"entional *&n!tit-te, / a(ree$ent &6 t%e 0artie! =. 0ompensatory e!ta/#i!%e, 6&r t%e 0-r0&!e &6 in,e$ni6in( t%e ,a$a(e! !-66ere, / t%e &/#i(ee &r *re,it&r in *a!e &6 /rea*% &6 t%e &/#i(ati&n @. Puniti"e e!ta/#i!%e, 6&r t%e 0-r0&!e &6 0-ni!%in( t%e &/#i(&r &r ,e/t&r in *a!e &6 /rea*% &6 t%e &/#i(ati&n 4. /ubsidiary or alternati"e in *a!e &6 n&n0er6&r$an*e &n# t%e 0ena#t i! ,e$an,a/#e . oint or cumulati"e /&t% t%e 0rin*i0a# -n,erta1in( an, t%e 0ena#t $a /e ,e$an,e,
CAUSES :OR REDUCTION O: PENALT, : 5. 8.
Partia#irre(-#ar 0er6&r$an*e Pena#t 0r&+i,e, i! ini2-it&-! -n*&n!*i&na/#e
END O: DISCUSSION ON TOPIC D- OINT AND SOLIDAR, OBLI3ATION ================================
E- EFTIN3UISHMENT O: OBLI3ATIONS
E- Tender $& a"men and c$nsi'nai$n =Ars- 12*+>12+1; 2- L$ss $& deerminae in' d!e $r im$ssi#i%i" $r di&&ic!%" $& er&$rmance =Ars- 12+25 12++> 12+?; (- C$nd$nai$n $r remissi$n $& de# A- E6ress c$nd$nai$ns and re@!ired &$rma%i" ere$& =Ar12?0; B- Im%ied =Ars- 12?15 12?25 12?); )- C$n&!si$n $r Mer'er $& Ri's =Ars- 12?*5 12?2; *- C$mensai$n A- inds =Ars- 12?5 12?9; A-1- Le'a% c$mensai$n =Ars12+>1290; A-2- A'reemen =Ar- 122; A-(- V$%!nar" =Ar- 122; A-)- !dicia% =Ar- 12(; A-*- :ac!%ai.e B- O#%i'ai$ns n$ c$mensa#%e =Ars- 12?>12; +- N$.ai$n =Ars- 1291>12;
================================
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS 1- Pa"men =Ars- 12(+>12(; A- Dai$n in a"men =Ar- 12)*; B- :$rm $& a"men =Ar- 12)9; C- E6ra$rdinar" in&%ai$n $r de&%ai$n =Ar- 12*0; D- A%icai$n $& a"men =Ars12*2>12*);
CIVIL LAW REVIEWER )01
=========================================
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS 1- Pa"men =========================================
Princia% M$des8 =PAL>C$C$C$>N$;
Pa'e 110 $&
5. Pa$ent &r 0er6&r$an*e
1- PA,MENT OR PER:ORMANCE
8. L&!! &6 t%e t%in( ,-e
De#i+er &6 $&ne an, 0er6&r$an*e) in an &t%er $anner &6 t%e &/#i(ati&n
=. C&n,&nati&n &r re$i!!i&n &6 ,e/t @. C&n6-!i&n &r $er(er &6 ri(%t! 4. C&$0en!ati&n . N&+ati&n
Oer M$des8 >. Ann-#$ent
REUISITES :OR PA,MENTPER:ORMANCE
VALID
5. Wi resec $ resai$n ise%& a.
I,entit
b.
Inte(rit &r *&$0#etene!!
c.
In,i+i!i/i#it
9. Re!*i!!i&n . F-#6i##$ent &6 re! &#-t&r *&n,iti&n 5. Pre!*ri0ti&n
N$ Saed in e Ci.i% C$de8 55. Deat% &6 a Part in Per!&na# O/#i(ati&n!
8. Wi resec $ aries > $-!t /e $a,e / 0r&0er 0art t& 0r&0er 0art a. Pa"$r 5. Pa&r t%e &ne 0e r6&r$in() %e *an /e t% e ,e/t&r %i$! e#6 &r %i! %eir! &r a!!i(n! &r %i! a(ent) &r an&ne intere!te, in t%e 6-#6i##$ent &6 t%e &/#i(ati&n" *an /e an&ne a! #&n( a! it i! 7it% t%e *re,it&r! *&n!ent
58. M-t-a# De!i!tan*e 8. =RD 0er!&n 5=. C&$0r&$i!e 5@. I$0&!!i/i#it &6 F-#6i##$ent 54. Ha00enin( &6 F&rt-it&-! E+ent 5. Arri+a# &6 Re!&#-t&r Peri&, 5>. ;i## &6 One &6 t%e Partie! D-e t& In,eter$inate D-rati&n &r Nat-re &6 t%e Pre!tati&n Uni#atera# ;it%,ra7a# in Partner!%i0! 59. C%an(e &6 Ci+i# Stat-! 5. Re/-! Si* Stanti/-! ?Art. 58> 8. ;ant &6 Intere!t in S&$e Cir*-$!tan*e!
0a!0er6&r$!
&n#
t%e
*re,it&r! *&n!ent" i6 0er6&r$an*e i! ,&ne a#!& 7it% ,e/t&r! *&n!ent %e ta1e! t%e 0#a*e &6 t%e ,e/t&r. T%ere i! !-/r&(ati&n e*e0t i6 t%e = r, 0er!&n inten,e, it t& /e a ,&nati&n =. =r, 0er!&n 0a!0er6&r$! 7it% *&n!ent &6 *re,it&r /-t n&t 7it% ,e/t&r! *&n!ent) t%e re0a$ent i! &n# t& t%e etent t%at t%e 0a$ent %a! /een /ene6i*ia# t& ,e/t&r /. Pa"ee i. Paee *re,it&r &r &/#i(ee &r !-**e!!&r in intere!t &6 tran!6eree) &r a(ent ii. =r, 0er!&n i6 an &6 t%e 66. *&n*-r: a.It $-!t %a+e &/#i(ee!
re,&-n,e,
t&
t%e
85. A/an,&n$ent in S0e*ia# Ca!e! 88. In!&#+en* J-,i*ia## De*#are, an, De/t&r i! Di!*%ar(e,
CIVIL LAW REVIEWER )01
/. /ene6it an, &n# t& t%e etent &6 !-*% /ene6it
Pa'e 111 $&
*.It 6a##! -n,er art 58@5) 0ar 5)8)= t%e /ene6it i! t&ta# !&) 0er6&r$an*e i! t&ta# iii. An&ne in 0&!!e!!i&n &6 t%e *re,it /-t 7i## a00# &n# i6 ,e/t %a! n&t /een 0re+i&-!# (arni!%e,
PRINCIPLE O: INTE3RIT, =Ar- 12((; 3ENERAL
RULE8
A
,e/t
!%a##
n&t
/e
-n,er!t&&, t& %a+e /een 0ai, -n#e!! a t%in( &r !er+i*e &6 7%i*% t%e &/#i(ati&n *&n!i!t! %a! /een *&$0#ete# ,e#i+ere, &r ren,ere,) a! t%e *a!e $a/e.
EFCEPTIONS: 5. ;%en t%e &/#i(ati&n %a! /een !-/!tantia## 0er6&r$e, in (&&, 6ait% ?Art. 58=@" 8. ;%en t%e &/#i(ee a**e0t! 0er6&r$an*e ,e!0ite it! in*&$0#etene!! &r irre(-#arit an, 7it%&-t e0re!!in( an 0r&te!t &r *&rre*ti&n. ?Art. 58=4
PERSONS :ROM WHOM THE CREDITOR MUST ACCEPT PA,MENT 5. De#$r imse%& &r %i! #e(a# re0re!entati+e 8. An 0er!&n 7%& as &/#i(ati&n ?i.e.) (-arant&r
ineres in t%e
TO WHOM PA,MEN, MUST BE MADE 5. T%e 0er!&n in 7%&!e 6a+&r t%e &/#i(ati&n %a! /een *&n!tit-te, 8. Hi! !-**e!!&rinintere!t =. An 0er!&n a-t%&rie, / #a7 &r / t%e &/#i(ee at t%e ti$e 7%en 0a$ent i! ,-e t& re*ei+e it ?n&t ,-rin( t%e ti$e 7%en t%e &/#i(ati&n i! *&n!tit-te,
PA,MENT TO AN INCAPACITATED PERSON5 VALID I:8 5. In*a0a*itate, 0er!&n 1e0t t%e t%in( ,e#i+ere,) &r 8. In!&6ar a! t%e /ene6i*ia# t& %i$
PA,MENT MADE B, (Rd PERSON •
I6 0a$ent 7a! $a,e without the Dnowledge or against the will: t%e re*&+er i! &n# -0 t& t%e etent &r t%e a$&-nt &6 t%e ,e/t at t%e ti$e &6 t%e 0a$ent" t%e ,e6en!e $a &n# /e a+ai#e, &6 / t%e &/#i(&r
•
I6 0a$ent 7a! with Dnowledge: t%e ri(%t! &6 rei$/-r!e$ent! an, !-/r&(ati&n are a*2-ire, / t%e = r, 0er!&n
CIVIL LAW REVIEWER )01
%a!
/een
PA,MENT TO ( RD PERSON 3ENERAL RULE8 Pa$ent i! n&t +a#i,) e+en t%&-(% $a,e in (&&, 6ait% EFCEPTIONS8 5. Pa$ent 7%i*% re,&-n,e, t& t%e /ene6it &6 t%e &/#i(ee •
r,
=. A = 0er!&n 7%& %a! n$ ineres in e $#%i'ai$n5 7%en t%ere i! a !ti0-#ati&n t& t%e *&ntrar
0a$ent
Instances when the presumption that the payment redounded to the benefit of the obligee:
5. A6ter 0 a$ent) = r, 0er!&n a*2-ire! t%e *re,it&rK! ri(%t! ?!-/r&(ati&n 8.
Cre,it&r rati6ie! 0a$ent t& =
r,
0er!&n
=. B *r e,it&rK! *& n,-*t) ,e/t&r %a! /e en #e, t& $a1e t%e 0a$ent ?e!t&00e# 8. Pa$ent t& t%e 0&!!e!!&r &6 t%e *re,it) 7%en $a,e in (&&, 6ait% •
REUISITES8
Pa$ent / ,e/t&r $-!t /e $a,e in '$$d &ai a a
Pa'e 112 $&
a a
Cre,it&r $-!t /e in $ssessi$n $& e credi an, n&t $ere# t%e e+i,en*e &6 in,e/te,ne!!
E::ECT O: SUBSTANTIAL PER:ORMANCE IN 3OOD :AITH •
O/#i(&r $a re*&+er a! t%&-(% t%ere %a! /een !tri*t an, *&$0#ete 6-#6i##$ent) #e!! ,a$a(e! !-66ere, / t%e &/#i(e
•
Ri(%t t& re!*in, *ann&t /e -!e, 6&r !#i(% t /rea*%
NOTE8 Wi resec $ ime and %ace $& a"men > $-!t /e a**&r,in( t& t%e &/#i(ati&n
WHERE PA,MENT SHOULD BE MADE 5. In t%e 0#a*e ,e!i(nate, in t%e &/#i(ati&n 8. I6 t%e re i! n& e0 re!! !ti0-#ati&n an, t%e -n,erta1in( i! t& ,e#i+er a !0e*i6i* t%in( at t%e 0#a*e 7%ere t%e t%in( $i(%t /e at t%e $&$ent t%e &/#i(ati&n 7a! *&n!tit-te, =. In &t%er *a!e in t%e 0#a*e &6 t%e ,&$i*i#e &6 t%e ,e/t&r
SPECIAL RULES:ORMS O: PA,MENT 5.
A00#i*ati&n &6 Pa$ent!
8. Dati&n in Pa$ent Da*i&n en Pa(& A,-,i*ati&n Da*i&n in S&#-t-$ A,-,i*a*i&n en Pa(& Pa$ent in 'in, Dati&n en Paie$ent
•
Ti$e &6 0a$ent ti$e !ti0-#ate,
=.
Pa$ent / Ce!!i&nCe!!i&n en Pa(&
•
E66e*t &6 0a$ent F etin(-i!% &/#i(ati&n Except: &r,er t& retain ,e/t
@.
Ten,er &6 Pa$ent an, C&n!i(nati&n
SUBSTANTIAL PER:ORMANCE A ,e/t !%a## n&t /e -n,er!t&&, t& %a+e /een 0ai, -n#e!! t%e t%in( &r !er+i*e in 7%i*% t%e &/#i(ati&n *&n!i!t! %a! /een *&$0#ete# ,e#i+ere, &r ren,ere,) a! t%e *a!e $a /e. I6 t%e &/#i(ati&n %a! /een !-/!tantia## 0er6&r$e, in (&&, 6ait%) t%e &/#i(&r $a re*&+er a! t%&-(% t%ere %a, /een a !tri*t an, *&$0#ete 6-#6i##$ent) #e!! ,a$a(e! !-66ere, / t%e &/#i(ee. ;%en t%e &/#i(ee a**e0t! t%e 0er6&r$an*e) 1n&7in( it! in*&$0#etene!! &r irre(-#arit) an, 7it%&-t e0re!!in( an 0r&te!t &r &/e*ti&n) t%e &/#i(ati&n i! ,ee$e, 6-## *&$0#ie, 7it%
A- APPLICATION O: PA,MENTS t%e ,e!i(nati&n &6 t%e ,e/t 7%i*% 0a$ent !%a## /e $a,e) &-t &6 8 &r $&re ,e/t! &7in( t%e !a$e *re,it&r: !ti0-#ati&n &r a00#i*ati&n &6 0art (i+en /ene6it &6 0eri&, O'" t& /e +a#i,: $-!t /e ,e/t&rK! *%&i*e &r 7 *&n!ent &6 ,e/t&r
REUISITES :OR THE APPLICATION O: PA,MENT 8 a. T%ere $-!t /e &n # &ne ,e/t&r an , &n# &ne *re,it&r /. T7& &r $&re ,e/t! &6 t%e !a$e 1in,
•
Atte$0t in G&&, Fait% t& 0er6&r$ 7it%&-t 7i##6-# &r intenti&na# ,e0art-re
•
De+iati&n i! !#i(%t
E?0EPTION: t%ere $a /e a00#i*ati&n &6 0a$ent e+en i6 a## ,e/t! are n&t et ,-e
•
O$i!!i&nDe6e*t i! te*%ni*a# &r -ni$0&rtant
i6:
•
M-!t n&t /e !& $ateria# t%at intenti&n &6 0artie! i! n&t attaine,
CIVIL LAW REVIEWER )01
*.
A## ,e/t! $-!t /e ,-e
i.
Partie! !& !ti0-#ate
Pa'e 11( $&
ii.
;%en a00#i*ati&n &6 0a$ent i! $a,e / t%e 0art 6&r 7%&!e /ene6it t%e ter$ %a! /een *&n!tit-te,
•
I6 ,e/t! are &6 t%e !a$e nat-re an, /-r,en) a00#i*ati&n !%a## /e $a,e t& a## 0r&0&rti&nate#
iii. Pa$ent i! n&t en&-(% t& etin (-i!% a## ,e/t!
,. A$&-nt 0ai, / t%e ,e/t&r i! in!-66i*ient t& *&+er t%e t&ta# a$&-nt &6 a## ,e/t!.
HOW APPLICATION IS MADE8 a.
De/t&r $a1e! t%e ,e!i(nati&n
/. I6 n&t) *re,it&r $a1e! it / !& !tatin( in t%e re*ei0t t%at %e i!!-e! -n#e!! t%ere i! *a-!e 6&r in+a#i,atin( t%e *&ntra*t *.
I6 neit%er t%e ,e/t&r n&r *re,it&r %a! $a,e t%e a00#i*ati&n &r i6 t%e a00#i*ati&n i! n&t +a#i,) t%en a00#i*ati&n) i! $a,e / &0erati&n &6 #a7
WHO MAES APPLICATION O: DEBTS 3ENERAL RULE: De/t&r EFCEPTION: Cre,it&r a. De/t&r 7it%&-t 0r&te!t a**e0t! re*ei0t in 7%i*% *re,it&r !0e*i6ie, e0re!!# an, -n$i!ta1a/# t%e &/#i(ati&n t& 7%i*% !-*% 0a$ent 7a! t& /e a00#ie, ,e/t&r in t%i! *a!e ren&-n*e, t%e ri(%t &6 *%&i*e /. ;%en $&nt%# !tate$ent! 7ere $a,e / t%e /an1 !0e*i6in( t%e a00#i*ati&n an, t%e ,e/t&r !i(ne, !ai, !tate$ent! a00r&+in( t%e !tat-! &6 %er a**& -nt a! t%-! !ent t& %er $&nt%# / t%e /an1 *.
B. DACION EN PA3O 8 $&,e &6 etin(-i!%in( an &/#i(ati&n 7%ere/ t%e ,e/t&r a#ienate! in 6a+&r &6 t%e *re,it&r 0r&0ert 6&r t%e !ati!6a*ti&n &6 $&netar ,e/t" etin(-i!% -0 t& a$&-nt &6 0r&0ert -n#e!! 7 *&ntrar !ti0-#ati&n" A !0e*ia# 6&r$ &6 0a$ent /e*a-!e 5 e#e$ent &6 0a$ent i! $i!!in(: IDENTITY
REUISITES :OR PA3O8
A VALID
DACION EN
a. T%ere $-!t /e t%e 0er6&r$an*e &6 t%e 0re!tati&n in #ie- &6 0a$ent ? animo sol"endi 7%i*% $a *&n!i!t in t%e ,e#i+er &6 a *&r0&rea# t%in( &r a rea# ri(%t &r a *re,it a(ain!t t%e t%ir, 0er!&n /. T%ere $-!t /e !&$e ,i66eren*e /et7een t%e 0re!tati&n ,-e an, t%at 7%i*% i! (i+en in !-/!tit-ti&n ?aliud pro alio *.
T%ere $-!t /e an a(re e$ent /et7een t%e *re,it&r an, ,e/t&r t%at t%e &/#i(ati&n i! i$$e,iate# etin(-i!%e, / rea!&n &6 t%e 0er6&r$an*e &6 a 0re!tati&n ,i66erent 6r&$ t%at ,-e
CONDITIONS :OR A VALID DACION8 a. I6 *re,it&r *&n!ent!) /e*a-!e a !a#e 0re!-00&!e! t%e *&n!ent &6 /&t% 0artie! /. I6 ,a* i&n 7i## n&t 0re-,i*e t%e &t%er *re,it&r! *. I6 ,e/t&r i! n&t -,i*ia## ,e*#are, in!&#+ent
In *a!e n& a00#i*ati&n i! $a,e: •
A00# 0a$ent t& t%e $&!t &ner&-!
CIVIL LAW REVIEWER )01
NOTE8 DACION i! (&+erne, / t%e #a7 &n !a#e!
Pa'e 11) $&
DACION EN PA3O DISTIN3UISHED :ROM PACTUM COMMISORIUM DACION EN PACTUM PA3O COMMISORIUM T%ere i! an Genera##) &n# $ne iner.enin' sin'%e c$nrac a'reemen 7%ere t%e 0artie! !-/!e2-ent an, a(ree t%at in t%e e+ent in,e0en,ent 6r&$ ,e/t&r 6ai#! t& 0a) t%e t%e &ri(ina# $&rt(a(e, &r 0#e,(e, *&ntra*t i! entere, 0r&0ert !%a## int& / t%e 0artie! a!$maica%%" /e t& %a+e t%e a00r&0riate, &r &7ne, 0r&0ert / t%e *re,it&r *&##aterie! in t%e &ri(ina# a(ree$ent a! 0a$ent &6 t%e ,e/t Va#i, V&i,
CCESSION $r ASSI3NMENT =IN :AVOR O: CREDITORS; t%e 0r&*e!! / 7%i*% ,e/t&r tran!6er a## t%e 0r&0ertie! n&t !-/e*t t& ee*-ti&n in 6a+&r &6 *re,it&r! i! t%at t%e #atter $a !e## t%e$ an, t%-!) a00# t%e 0r&*ee,! t& t%eir *re,it! etin(-i!% -0 t& a$&-nt &6 net 0r&*ee,! ? -n#e!! 7 *&ntrar !ti0-#ati&n
INDS O: ASSI3NMENT8 a. Le'a% (&+erne, / t%e in!&#+en* #a7 /. V$%!nar" a(ree$ent &6 *re,it&r!
REUISITES O: VOLUNTAR, ASSI3NMENT8 a. M&re t%an &ne ,e/t /. M&re t%an &ne *re,it&r
DACION EN PA3O DISTIN3UISHED :ROM PLED3E DACION EN PLED3E PA3O De#i+er an, De#i+er /-t n& tran!6er &6 tran!6er &6 &7ner!%i0 &7ner!%i0 Pre!-$e, !in*e #e!! tran!$i!!i&n &6 ri(%t! DACION EN PA3O DISTIN3UISHED :ROM SALE DACIONENPA3O SALE Preei!tin( *re,it N&ne O/#i(ati&n etin(-i!%e, O/#i(ati&n ri!e! Le!! 6ree,&$ in Greater 6ree,&$ ,eter$inin( t%e 0ri*e T&ta# &r 0artia# Pa$ent &6 0ri*e etin(-i!%$ent (enera## t&ta## etin(-i!%e! i6 ,&ne / $i!ta1e) ... re*&+er &6 t%e re*&+er &6 t%e t%in( 0ri*e 0ai, DACION EN PA3O DISTIN3UISHED :ROM ASSI3NMENT DACION EN PA3O ASSI3NMENT S-/!tit-te 6&r$! &6 0er6&r$an*e 5*re,it&r Se+era#*re,it&r! De/t&r n&t 0artia## De/t&r 0artia## in!&#+ent in!&#+ent
*.
C&$0#ete &r 0artia# in!&#+en* &6 ,e/t&r
,. A/an,&n$ent &6 a## ,e/t&rK! 0r&0ert n&t ee$0t 6r&$ ee*-ti&n e. A**e0tan*e &r *&n!ent &n t%e 0art &6 t%e *re,it&r!
E::ECTS O: ASSI3NMENT8 a.
Cre,it&r! ,& n&t /e*&$e t%e &7ner" t%e are $ere# a!!i(nee! 7it% a-t%&rit t& !e##
/.
De/t&r i! re#ea!e, -0 t& t%e a$&-nt &6 t%e net 0r&*ee,! &6 t%e !a#e) -n#e!! t%ere i! a !ti0-#ati&n t& t%e *&ntrar
*.
Cre,it&r! 7i## *&##e*t *re,it! in t%e &r,er &6 0re6eren*e a(ree, -0&n) &r in ,e6a-#t &6 a(ree$ent) in t%e &r,er &r,inari# e!ta/#i!%e, / #a7
DATION IN PA,MENT DISTIN3UISHED :ROM CESSION IN PA,MENT DATION IN PA,MENT
CIVIL LAW REVIEWER )01
CESSION IN
Pa'e 11* $&
PA,MENT One *re,it&r
P#-ra#it &6 *re,it&r!
N&t ne*e!!ari# in !tate &6 6inan*ia# ,i66i*-#t
De/t&r $-!t / 0artia## &r re#ati+e# in!&#+ent
T%in( ,e#i+ere, *&n!i,ere, e2-i+a#ent 0er6&r$an*e
i! a! &6
Uni+er!a#it &6 0r&0ert &6 ,e/t&r i! 7%at i! *e,e,
Pa$ent etin(-i!%e! &/#i(ati&n t& t%e etent &6 t%e +a#-e &6 t%e t%in( ,e#i+ere, a! a(ree, -0&n) 0r&+e, &r i$0#ie, 6r&$ t%e *&n,-*t &6 t%e *re,it&r
Mere# re#ea!e! ,e/t&r 6&r net 0r&*ee,! &6 t%in(! *e,e, &6) a!!i(ne,) -n#e!! t%ere i! a *&ntrar intenti&n
*.
,. A*t-a# ,e0&!itC&n!i(nati&n 7it% 0r&0er -,i*ia# a-t%&ritie! e. S-/!e2-ent n&ti*e &6 C&n!i(nati&n ?8 n, n&ti*e
E::ECTS8 OBLI3ATION
EFTIN3UISHMENT
a. De/t&r $a a!1 -,(e *an*e##ati&n &6 &/#i(ati&n
t&
O: &r,er
/. R-nnin( &6 intere!t i! !-!0en,e, *.
D- TENDER AND CONSI3NATION
TENDER t%e a*t &6 &66erin( t%e *re,it&r 7%at i! ,-e %i$ t&(et%er 7it% a ,e$an, t%at t%e *re,it&r a**e0t t%e !a$e ?;%en *re,it&r re6-!e! 7& -!t *a-!e t& a**e0t 0a$ent) %e /e*&$e! in mora accepiendi an, ,e/t&r i! re#ea!e, 6r&$ re!0&n!i/i#it i6 %e *&n!i(n! t%e t%in( &r !-$ ,-e
Pri&r N&ti*e &6 C&n!i(nati&n %a, /een (i+en t& t%e 0er!&n intere!te, in 0er6&r$an*e &6 &/#i(ati&n ?5!t n&ti*e
Be6&re *re ,it&r a**e0t! &r /e6 &re -,(e ,e*#are! *&n!i(nati&n %a! /een 0r&0er# $a,e) &/#i(ati&n re$ain! ?,e/t&r /ear! ri!1 &6 #&!! at t%e $eanti$e) a6ter a**e0tan*e / *re,it&r &r a6ter -,(e ,e*#are! t%at *&n!i(nati&n %a! /een 0r&0er# $a,e ri!1 &6 #&!! i! !%i6te, t& *re,it&r
CONSI3NATION a##&7e, in:
WO
PRIOR
TENDER
a. Cre,it&r a/!ent &r -n1n&7n ,&e! n&t a00ear at t%e 0#a*e &6 0a$ent
CONSI3NATION t%e a*t &6 ,e0&!itin( t%e t%in( ,-e 7it% t%e *&-rt &r -,i*ia# a-t%&ritie! 7%ene+er t%e *re,it&r *ann&t a**e0t &r re6-!e! t& a**e0t 0a$ent" (enera## re2-ire! 0ri&r ten,er &6 0a$ent
/. In*a0a*itate, t& re*ei+e 0a$ent at t%e ti$e it i! ,-e *.
Re6-!e! t& i!!-e re*ei0t 7& -!t *a-!e
,. 8 &r $& re *re ,it&r *#ai$in( t%e !a $e ri(%t t& *&##e*t
REUISITES O: VALID CONSI3NATION8
e. Tit#e &6 &/#i(ati&n %a! /een #&!t
a. Ei!ten*e &6 +a#i, ,e/t /. C&n!i(nati&n 7a! $a,e /e*a-!e &6 !&$e #e(a# *a-!e 0re+i&-! +a#i, ten,er 7a! -n-!t# re6-!e, &r *ir*-$!tan*e! $a1in( 0re+i&-! ten,er ee$0t
CIVIL LAW REVIEWER )01
TENDER O: PA,MENT DISTIN3UISHED :ROM CONSI3NATION TENDER OF CONSIGNATION PAYMENT
Pa'e 11+ $&
aneceden ac reara$r" e6ra4!dicia%
rincia% ac r$d!ces e e&&ecs $& a"men 4!dicia%
=========================================
ii.
In,ire*t# *a-!e, a! 7%en ,e/t&r i! re2-ire, t& enter a $i#itar ,ra6t
E::ECT O: LOSS IN OBLI3ATION DELIVER A SPECI:IC THIN3
TO
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS
3ENERAL RULE : L&!! !%a## etin(-i!% t%e &/#i(ati&n
2- L$ss $& deerminae in' d!e $r im$ssi#i%i" $r di&&ic!%" $& er&$rmance
EFCEPTIONS:
=========================================
2- LOSS O: DETERMINATE THIN3 OR IMPOSSIBILIT, OR DI::ICULT, O: PER:ORMANCE
a. I6 / #a7 t% e &/#i(&r i! #i a/#e e+en 6&r 6&rt-it&-! e+ent /. I6 / !ti0-#ati&n t%e &/#i(&r i! #ia/#e e+e n 6&r 6&rt-it&-! e+ent *. I6 t%e nat-re &6 t%e &/#i(ati&n re2-ire! t%e a!!-$0ti&n &6 t%e ri!1
LOSS O: THE THIN3 DUE8 0artia# &r t&ta# in*#-,e! i$0&!!i/i#it &6 0er6&r$an*e
,. I6 t% e #&!! &6 t%e t% in( &**-r! a6t er t% e &/#i(&r in*-rre, in ,e#a e. I6 t% e #&!! &6 t%e t% in( &**-r! a6t er t% e &/#i(&r in*-rre, ,e#a 6.
WHEN IS THERE A LOSS
I6 t%e &/#i(&r 0r&$i!e, t& ,e#i+er t%e !a$e t%in( t& t7& &r $&re 0er!&n! 7%& ,& n&t %a+e t%e !a$e intere!t
a. ;%en t%e &/e*t 0eri!%e! ?0%!i*a## /. ;%en it (&e! &-t &6 *&$$er*e *.
;%en it ,i !a00ear! in !-* % a 7a t%at: it! ei!ten*e i! -n1n&7n &r it *ann&t /e re*&+ere,
(. IF t%e &/#i(ati&n i! (eneri*) -n#e!! t%e &/e*t i! a 0arti*-#ar *#a!! &r (r&-0 7it% !0e*i6i* &r ,eter$inate 2-a#itie!
OBLI3ATION TO DELIVER A 3ENERIC THIN3 3ENERAL RULE: N&t etin(-i!%e, WHEN IS THERE PER:ORMANCE:
IMPOSSIBILIT,
O:
a- P"sica% im$ssi#i%i" /. Le'a% im$ssi#i%i" i.
Dire*t# *a-!e, a! 7%en 0r&%i/ite, / #a7
CIVIL LAW REVIEWER )01
EFCEPTIONS# a. I6 t%e (eneri* t%in( i! ,e#i$ite, /. I6 t% e (eneri* t%in( %a! a#rea, /een !e(re(ate, *.
M&netar &/#i(ati&n
Pa'e 11? $&
E::ECT O: IMPOSSIBILIT, PER:ROMANCE IN OBLI3ATION TO DO
O:
0er6&r$an*e" O/#i(&r $a /e re#ea!e, in 7%&#e &r in 0art /a!e, &n t%i! (r&-n,
3ENERAL RULE : De/t&r i! re#ea!e, 7%en 0re!tati&n /e*&$e! #e(a## &r 0%!i*a## i$0&!!i/#e 7it%&-t 6a-#t &n 0art &6 ,e/t&r
REUISITES8
E::ECT O: PARTIAL LOSS
B. T%e 0er6&r$an*e i! etre$e# ,i66i*-#t) /-t
a. ;%en #&!! i! si'ni&ican $a /e en&-(% t& etin(-i!% &/#i(ati&n /. ;%en #&!! insi'ni&ican n&t en&-(% t& etin(-i!% &/#i(ati&n
A. T%e e+ent &r *%an(e *&-#, n&t %a+e /een 6&re!een at t%e ti$e &6 t%e ee*-ti&n &6 t%e *&ntra*t
n&t i$0&!!i/#e ?/e*a-!e i6 it i! i$0&!!i/#e) it i! etin(-i!%e, / i$0&!!i/i#it C. T%e e+ent 7a! n&t ,-e t& t%e a*t &6 an &6 t%e 0artie! D. T%e *&ntra*t i! 6&r a 6-t-re 0re!tati&n
NOTE8
==========================================
•
J-,i*ia# ,eter$inati&n ne*e!!ar
•
oc!rin o norsn Evn!s : T%e *&-rt i! a-t%&rie, t& re#ea!e t%e &/#i(&r) in 7%&#e &r in 0art) 7%en t%e !er+i*e %a! /e*&$e !& ,i66i*-#t a! t& /e $ani6e!t# /e&n, t%e *&nte$0#ati&n &6 t%e 0artie!.
•
&6
etent
i!
oc!rin o ujc!iv /&possiili!6 : T%e &/#i(ati&n -n,&-/te,# /e*&$e! i$0&!!i/#e i6 t%ere i! n& 0%!i*a# &r #e(a# #&!! /-t t%e &/e*t &/#i(ati&n /e#&n(! t& an&t%er 0er!&n" t%e &/#i(&r $-!t in,e$ni6 t%e &/#i(ee 6&r t%e ,a$a(e! !-66ere, / t%e #atter.
WHEN THIN3 IS LOST IN THE POSSESSION O: THE DEBTOR Pres!mi$n8 L&!! ,-e t& ,e/t&rK! 6a-#t ?,i!0-ta/#e E6cei$n8 nat-ra# *a#a$it) eart%2-a1e) 6#&&,) !t&r$
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS (- C$nd$nai$n $r Remissi$n $& De# =========================================
(- CONDONATION OR REMISSION O: DEBT CONDONATIONREMISSION O: THE DEBT (rat-it&-! a/an,&n$ent &6 ,e/t" ri(%t t& *#ai$" ,&nati&n" r-#e! &6 ,&nati&n a00#ie!" e0re!! &r i$0#ie,
REUISITES8 a. T%ere $-!t /e an a(ree$ent /. T%ere $-!t /e a !-/e*t $atter ?&/e*t &6 t%e re$i!!i&n) &t%er7i!e t%ere 7&-#, /e n&t%in( t& *&n,&ne *.
REBUS SIC STANTIBUS8 a(ree$ent i! +a#i, &n# i6 t%e !a$e *&n,iti&n! 0re+ai#in( at ti$e &6 *&ntra*tin( *&ntin-e t& ei!t at t%e ti$e &6
CIVIL LAW REVIEWER )01
Ca-!e &6 *&n!i,erati&n $-!t /e #i/era#it ?E!!entia## (rat-it&-!) an a*t &6 #i/era#it
Pa'e 11 $&
,. Partie! $-!t /e *a0a*itate, an, $-!t *&n!ent" re2-ire! a**e0tan*e / &/#i(&r" i$0#ie, in $&rti! *a-!a an, e0re!!e, inter +i+&! e. F&r$a#itie! &6 a ,& nati&n are re2-ire, in t%e *a!e &6 an e0re!! re$i!!i&n 6.
Re+&*a/#e !-/e*t t& r-#e &n in&66i*i&-! ,&nati&n ? e*e!!i+e) #e(iti$e i! i$0aire, an, in(ratit-,e an, *&n,iti&n n&t 6&##&7e,
(. O/#i(ati&n re$itte, $-!t %a+e /een ,e$an,a/#e at t%e ti$e &6 re$i!!i&n %. ;ai+er! &r re$i!!i&n are n&t t& /e 0re!-$e, (enera##
a. If in hands of joint debt or &n# %i! !%a re i! *&n,&ne, /. If in hands of solidary debtor ,e/t i! *&n,&ne,
7%&#e
*. Tacit +&#-ntar ,e!tr-*ti&n &6 in!tr-$ent / *re,it&r" $a,e t& 0re!*ri/e 7& ,e$an,in(
========================================== T
OPICS UNDER THE S,LLABUS
E- EFTIN3UISHMENT O: OBLI3ATIONS )- C$n&!si$n $r Mer'er =========================================
:ORMS
EFTENT
a. Express 6&r$a#itie! &6 ,&nati&n
a. T&ta#
/. Implied *&n,-*t i! !-66i*ient
/. Partia#
INDS a. Principal a**e!!&r a#!& *&n,&ne,
/. Accessory 0rin*i0a# !ti## &-t!tan,in( *. Accessory obligation of pledge *&n,&ne," 0re!-$0ti&n &n#) re/-tta/#e
)- CON:USION OR MER3ER
CON:USION OR MER3ER8 *%ara*ter &6 ,e/t&r an, *re,it&r i! $er(e, in !a$e 0er!&n 7it% re!0e*t t& !a$e &/#i(ati&n
REUISITES8 a. It $-!t ta1e 0#a*e /et7een 0rin*i0a# ,e/t&r an, 0rin*i0a# *re,it&r &n# /. Mer(er $-!t /e *#ear an, ,e6inite *. T%e &/#i(ati&n in+&#+e, $-!t /e !a$e an, i,enti*a# &ne &/#i(ati&n &n#
REUISITES O: IMPLIED CONDONATION
,. Re+&*a/#e) i6
5. V$%!nar" de%i.er" 0re!-$0ti&n" 7%en e+i,en*e &6 in,e/te,ne!! i! 7 ,e/t&r 0re!-$e, +&#-ntari# ,e#i+er / *re,it&r" re/-tta/#e 8. E&&ec
$&
de%i.er"
$&
e.idence
$&
inde# ednes is c$nc*&n*#-!i&n" %!si$n a+&#-ntar de# is c$ nd$ne d sa#rea, ,e#i+er &6 0ri+ate ,&*-$ent
rea!&n 6&r *&n6-!i&n *ea!e!) t%e &/#i(ati&n i! re+i+e,
=========================================
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS *- C$mensai$n
CIVIL LAW REVIEWER )01
Pa'e 119 $&
=========================================
*- COMPENSATION
COMPENSATION8 Set &66" it i! a $&,e &6 etin(-i!%$ent t& t%e *&n*-rrent a$&-nt t%e &/#i(ati&n &6 0er!&n! 7%& are in t%eir &7n ri(%t re*i0r&*a## ,e/t&r! &r *re,it&r!
,. !dicia# !et &66" -0&n &r,er &6 t%e *&-rt" nee,! 0#ea,in( an, 0r&&6" a## re2-ire$ent! $-!t *&n*-r e*e0t #i2-i,ati&n e. T$a% 7%en 8 ,e/t! are &6 t%e !a$e a$&-nt 6.
Paria% 7%en 8 ,e/t! are n&t &6 t%e !a$e a$&-nt
REUISITES8 a. B&t% 0artie! $-!t /e $-t-a## *re,it&r! an, ,e/t&r! in t%eir &7n ri(%t an, a! 0rin*i0a#! /. B&t% ,e/t! $-!t *&n!i!t in !-$ &6 $&ne &r i6 *&n!-$a/#e ) &6 t%e !a$e 1in, &r 2-a#it *.
B&t% ,e/t! are ,-e
,. B&t% ,e/t! are #i2-i,ate, ,e$an,a/#e ?,eter$ine,
an,
e. Neit%er ,e/t $-!t /e retaine, in a *&ntr&+er! *&$$en*e, / = r, 0er!&n an, *&$$-ni*ate, 7 ,e/t&r ?neit%er ,e/t i! (arni!%e,
1- inds O: COMPENSATION a. Le'a% / &0erati&n &6 #a7" a! #&n( a! 4 re2-i!ite! *&n*-r e+en i6 -n1n&7n t& 0artie! an, i6 0aa/#e in ,i66 0#a*e!" in,e$nit 6&r e0en!e &6 e*%an(e!" e+en i6 n& t e2-a# ,e/t! &n# -0 t& *&n*-rrin( a$&-nt /. C$n.eni$na% a(ree$ent &6 0artie! i! en&-(%) 6&r(et &t%er re2-ire$ent a! #&n( a! /&t% *&n!ente, *.
:ac!%ai.e K &ne 0art %a! *%&i*e &6 *#ai$in(&00&!in( &ne 7%& %a! /ene6it &6 0eri&, $a *%&&!e t& *&$0en!ate: i. ii.
E::ECT O: ASSI3NMENT O: CREDIT TO ( RD PERSON CAN THERE STILL BE COMPENSATION a. I6 $a,e a6ter *&$0en!ati&n t&&1 0#a*e n& e66e*t" *&$0en!ati&n a#rea, 0er6e*te, /. I6 $a,e /e6&re *&$0en!ati&n t&&1 0#a*e ,e0en,! i. Gith consent of debtor ,e/t&r i! e!t&00e, -n#e!! %e re!er+e! %i! ri(%t an, (a+e n&ti*e t& a!!i(nee ii. Gith Dnowledge but wo consent of debtor *&$0en!ati&n $a /e !et -0 a! t& ,e/t! $at-rin( 0ri&r t& a!!i(n$ent iii. Go Dnowledge *&$0en!ati&n $a /e !et-0 &n a## ,e/t! 0ri&r t& %i! 1n&7#e,(e
COMPENSATION DISTIN3UISHED :ROM CON:USION COMPENSATION CON:USION 8 0er!&n!" ea*% i! a &n# 5 0er!&n 7%& i! ,e/t&r an, *re,it&r &6 *re,it&r an, ,e/t&r ea*% &t%er &6 %i$!e#6 8 &/#i(ati&n! in,ire*t 0a$ent
&ne &/#i(ati&n i$0&!!i/i#it &6 0a$ent
N&t a## re2-i!ite! are 0re!ent De0&!it-$" *&$$&,at-$" *ri$ina# &66en!e" *#ai$ 6&r 6-t-re !-00&rt" tae!
CIVIL LAW REVIEWER )01
COMPENSATION DISTIN3UISHED :ROM PA,MENT COMPENSATION PA,MENT *a0a*it n&t *a0a*it t& ,i!0&!e an, ne*e!!ar *a0a*it t& re*ei+e re2-ire,
Pa'e 120 $&
$a /e 0artia# 0er6&r$an*e Si$0#er $&re (-arantee an, #e!! ri!1 $a ta1e 0#a*e / &0erati&n &6 #a7
• C
$-!t /e *&$0#ete 0er6&r$an*e
in+&#+e! a*ti&n &r ,e#i+er &6 t%e a$&-nt 0ai,
%an(in( &/e*t &r 0rin*i0a# *&n,iti&n! •
S-/!tit-tin( 0er!&n &6 ,e/t&r
•
S-/r&(atin( =r, 0er!&n in ri(%t &6 *re,it&r
REUISITES: a.Va#i, &/#i(ati&n
COMPENSATION DISTIN3UISHED :ROM COUNTERCLAIM COMPENSATION COUNTERCLAIM ta1e! 0#a*e / &0erati&n $-!t /e 0#ea,e, &6 #a7 an, etin(-i!%e! t& /e e66e*t-a# re*i0r&*a## 8 *#ai$! a! !&&n a! t%e ei!t !i$-#tane&-!# t& t%e *&n*-rrent a$&-nt!
/. Intent t& etin(-i!% &#, &/#i(ati&n e0re!!e, &r i$0#ie,: *&$0#ete#!-/!tantia## in*&$0ati/#e &#, an, ne7 &/#i(ati&n &n e+er 0&int *.Ca0a*it an, *&n!ent &6 0artie! t& t%e ne7 &/#i(ati&n ,. Va#i, ne7 &/#i(ati&n
2- O#%i'ai$ns N$ C$mensa#%e • ;%en &ne &6 t%e ,e/t! ari!e! 6r&$ a ,e0&!it-$ &r 6r&$ t%e &/#i(ati&n! &6 a ,e0&!itar &r &6 a /a#iee in *&$$&,at-$. ?Art. 589> •
•
E::ECTS O: NOVATION8 a. Etin(-i!%$ent a**e!!&r) e*e0t:
A(ain!t a *re,it&r 7%& %a! a *#ai$ 6&r !-00&rt ,-e / (rat-it&-! tit#e) 7it%&-t 0re-,i*e t& Arti*#e =5 0ar. 8 ?Arti*#e 589>
&6
0rin*i0a#
*arrie!
i. Sti0-#ati&n t& *& ntrar ii. Sti0-#ati&n pour autrui /ene6i*iar *&n!ent!
I6 &ne &6 t%e ,e/t! *&n!i!t! in *i+i# #ia/i#it ari!in( 6r&$ a 0ena# &66en!e. ?Art. 5899
-n#e!!
iii. M&,i6i*at&r n&+ati&n &n#" &/#i(e, t& 7* i! #e!! &ner&-! i+. O#, &/#i(ati&n i! +&i,
=========================================
TOPICS UNDER THE S,LLABUS E- EFTIN3UISHMENT O: OBLI3ATIONS *- N$.ai$n =========================================
*- NOVATION NOVATION8 Etin(-i!%$ent &6 &/#i(ati&n / *reatin( !-/!tit-tin( a ne7 &ne in it! 0#a*e
CIVIL LAW REVIEWER )01
/. O#, &/#i(ati&n !-/!i!t! i6 ne/ $#%i'ai$ n i! .$id $r .$ida#%e /-t ann-##e, a#rea, ?e*e0t: intenti&n &6 0artie! *.
I6 &#, &/#i(ati&n %a! *&n,iti&n i. I6 Res$%!$r" an, it &**-rre, &#, &/#i(ati&n a#rea, etin(-i!%e," n& ne7 &/#i(ati&n !in*e n&t%in( t& n&+ate ii. I6 S!sensi.e an, it ne+er &**-rre, a! i6 n& &/#i(ati&n" a#!& n&t%in( t& n&+ate
Pa'e 121 $&
,. I6 &#, &/#i(ati&n %a! *&n,iti&n) $-!t /e *&$0ati/#e 7it% t%e ne7 &/#i(ati&n" i6 ne7 i! 7& *&n,iti&n ,ee$e, atta*%e, t& ne7
5. !elegante &#, ,e/t&r
e. I6 ne7 &/#i(ati&n %a! *&n,iti&n
=. !elegado ne7 ,e/t&r
8. !elegatario *re,it&r
i. I6 res$%!$r": +a#i,
s!sensi.e an, ,i, ii. I6 n&t $ateria#ie: &#, &/#i(ati&n i! en6&r*e,
INDS O: NOVATION: 5. REALOBECTIVE *%an(e &/e*t) *a-!e*&n!i,erati&n &r 0rin*i0a# *&n,iti&n
2- PERSONALSUBECTIVE i. S!#si!in' ?0a!!i+e
ers$n $& de#$r
• EL;R49//4: initiati+e i! 6r&$ = r, 0er!&n &r ne7 ,e/t&r" ne7 ,e/t&r an, *re,it&r t& *&n!ent" &#, ,e/t&r re#ea!e,
6r&$ &/#i(ati&n" !-/e*t t& 6-## rei$/-r!e$ent an, !-/r&(ati&n i6 $a,e 7 *&n!ent &6 &#, ,e/t&r" i6 7& *&n!ent &r a(ain!t 7i## ) &n# /ene6i*ia# rei$/-r!e$ent" i6 ne7 ,e/t&r i! in!&#+ent) n&t re!0&n!i/#e !in*e 7& %i! *&n!ent
EFPROMISION DISTIN3UISHED :ROM DELE3ACION EFPROMISIO DELE3ACION N Intenti&n: &#, ,e/t&r /e re#ea!e, 6r&$ t%e &/#i(ati&n C&n!ent &6 *re,it&r $a /e e0re!! &r ta*it /-t n&t 0re!-$e, / a**e0tan*e &6 0a$ent 6r&$ t%ir, 0er!&n D&nati&n *ann&t /e 0re!-$e, *&n!ent &6 *&n!ent &6 ,e/t&r *re,it&r an, ?initiate!) *re,it&r an, t%ir, 0er!&n t%ir, 0er!&n" nee, n&t /e (i+en !i$-#tane&-!# (&+erne, / !a$e a00#ie! in t%e t%e r-#e! &6 a/!en*e &6 an a(ree$ent 0a$ent / / &#, an, ne7 ,e/t&r! t%ir, 0er!&n! i6 7& !-/r&(ati&n 1n&7#e,(e &6 ,e/t&r) /ene6i*ia# rei$/-r!e$ent ) n& !-/r&(ati&n ne7 ,e/t&r! in!&#+en* ,&e! n&t $a1e &#, ,e/t&r #ia/#e
2-ite rare • E?EGAC/4: initiati+e &6 &#, ,e/t&r" a## 0artie! t& *&n!ent" 6-## rei$/-r!e$ent" i6 in!&#+ent ne7 ,e/t&r n&t re!0&n!i/#e &#, ,e/t&r /e*a-!e &/#i(ati&n etin(-i!%e, / +a#i, n&+ati&n -n#e!!: in!&#+en* a#rea, ei!tin( an, &6 0-/#i* 1n&7#e,(e &r 1n&7 t& %i$ at ti$e &6 ,e#e(a*i&n
CIVIL LAW REVIEWER )01
!a$e -n#e!! ne7 ,e/t&r i! 1n&7n t& t%e 0-/#i* a! in!&#+ent &r &#, ,e/t&r 1n&7! &6 !-*% in!&#+en* at t%e ti$e &6 ,e#e(a*i&n *re,it&r $a n&t re*&+er 6r&$ &#, ,e/t&r i6 %e 1n&7! &6 !-*% in!&#+en* &6 t%e ne7 ,e/t&r ,e#e(ante ?&#, ,e#e(a,& ?ne7 ,e#e(atari& ?*re,it&r
ii. S!#r$'ain' (rd ers$n $ ri's $& credi$r ? a*ti+e 5. 0on"entional a(ree$ent an, *&n!ent &6 a## 0artie!" *#ear# e!ta/#i!%e,
Pa'e 122 $&
8. =egal < ta1e! 0#a*e / &0erati&n &6 #a7" n& nee, 6&r *&n!ent" n&t 0re!-$e, e*e0t a! 0r&+i,e, 6&r in #a7:
=r, 0er!&n %a! n& &/#i(ati&n t& 0a i6 in!&#+ent
ne7 ,e/t&r i! &/#i(e, t& 0a
PRESUMED WHEN < Cre,it&r 0a! an&t%er 0re6erre, *re,it&r e+en 7& ,e/t&rK! 1n&7#e,(e •
•
=r, 0er!&n n&t intere!te, in &/#i(ati&n 0a!
CONVENTIONAL DISTIN3UISHED
SUBRO3ATION ASSI3NMENT O:
:ROM
7 a00r&+a# &6 ,e/t&r
RI3HTS
Per!&n intere!te, in 6-#6i##$ent &6 &/#i(ati&n 0a! ,e/t e+en 7& 1n&7#e,(e &6 ,e/t&r
CONVENTIONA L SUBRO3ATION
ASSI3NMENT O: RI3HTS
G&+erne, / Art!. 5=5=@
G&+erne, / Art!. 58@ t& 58>
,e/t&rK! *&n!ent i! re2-ire,
,e/t&rK! re2-ire,
etin(-i!%e! t%e &/#i(ati&n an, (i+e! ri!e t& a ne7 &ne
tran!$i!!i&n &6 ri(%t &6 t%e *re,it&r t& t%ir, 0er!&n 7it%&-t $&,i6in( &r etin(-i!%in( t%e &/#i(ati&n
,e6e*t! an, +i*e! in t%e &#,
,e6e*t! an, +i*e! in t%e &#, &/#i(ati&n an, n&t *-re,
•
DI::ERENCE :ROM PA,MENT PERSON .s CHAN3E O: DEBTOR DI::ERENCE :ROM PA,MENT B, (RD PERSON
B,
(
rd
CHAN3E O: DEBTOR
,e/t&r i! n&t ne*e!!ari# re#ea!e, 6r&$ ,e/t
,e/t&r i! re#ea!e,
*an /e ,&ne 7& *&n!ent &6 *re,it&r
nee,! *&n!ent &6 *re,it&r
&ne &/#i(ati&n
t7& &/#i(ati&n!" &ne i! etin(-i!%e, an, ne7 &ne *reate,
&/#i(ati&n *-re,
*&n!ent
i!
n&t
are
ta1e! e66e*t -0&n $&$ent &6 n&+ati&n &r !-/r&(ati&n
a! 6ar a! t%e ,e/t&r i! *&n*erne,) ta1e! e66e*t -0&n n&ti6i*ati&n
END O: DISCUSSION ON TOPIC ================================
e0re!! &r i$0#ie,
CIVIL LAW REVIEWER )01
Pa'e 12( $&
CONTRACTS A- 3ENERAL PROVISIONS ================================
TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS 1- Essenia% Re@!isies =Ar- 12+1;
=2; Pac!m de n$n a%ienand$ =Ar21(0; =(; Pac!m %e$nine =Ar- 1?99; ?- E&&ec $& c$nracs =Ar- 1(11; =========================================
TOPICS UNDER THE S,LLABUS 2-Ainds $& C$nracs C$nsens!a% B- Rea% C- :$rma% $r s$%emn C-1- D$nai$ns =Ars- ?)>?)9; C-2- Parnersi /ere rea% r$er" c$nri#!ed =Ars- 1??15 1??(; C-(- Anicresis =Ar- 21(); C-)- A'enc" $ se%% rea% r$er" $r an ineres erein =Ar- 1?); C-*- Si!%ai$n $ car'e ineres =Ar- 19*+; C-+- Si!%ai$n %imiin' c$mm$n carriers d!" $& e6ra$rdinar" di%i'ence $ $rdinar" di%i'ence =Ar- 1?)); C-?- Cae% m$r'a'e C-- Sa%e $& %ar'e ca%e (- :$rma%i" =Ars- 1(*+5 1(*?5 1(*; )- Re&$rmai$n $& C$nracs *- Inerreai$n $& C$nracs +- De&eci.e C$nracs A- Rescissi#%e c$nracs =Ar- 1(1; A-1- Di&&erence /i rescissi$n =res$%!i$n; !nder Ar- 1191 B- V$ida#%e c$nracs =Ars- 1(2> 1())5 1(90>1)02; C- Unen&$rcea#%e c$nracs =Ars1)0(>1)05 1(1?; D- V$id c$nracs =Ars- 1)095 1()+; =1; Pac!m c$mmiss$ri!m =Ars205 21(05 1(90;
CIVIL LAW REVIEWER )01
A- 3ENERAL PROVISIONS 1- Essenia% Re@!isies =========================================
1- ESSENTIAL REUISITES
ESSENTIAL ELEMENTS8 5. C&n!ent 8. S-/e*t Matter =. C&n!i,erati&n
A- CONSENT CONSENT $eetin( &6 $in,! /et7een 0artie! &n !-/e*t $atter an, *a-!e &6 *&ntra*t" *&n*-rren*e &6 &66er an, a**e0tan*e
REUIREMENTS 8 5. M-!t /e $ani6e!te, / e c$nc!rrence &6 t%e &66er an, 0a$ent 8. Paries are #e(a## *a0a*itate t& enter int& *&ntra*t! =. C$nsen $-!t /e !0&ntane&-!) an, rea#
inte##i(ent)
6ree)
AUTO CONTRACTS > $a,e / a 0er!&n a*tin( in an&t%erK! na$e in &ne *a0a*it
Pa'e 12) $&
COLLECTIVE CONTRACTS > 7i## &6 $a&rit /in,! a $in&rit t& an a(ree$ent n&t7it%!tan,in( t%e &00&!iti&n &6 t%e #atter
CONTRACTS O: ADHES ION > &ne 0art %a! a#rea, a 0re0are, 6&r$ &6 a *&ntra*t) *&ntainin( t%e !ti0-#ati&n! %e ,e!ire!) an, %e !i$0# a!1! t%e &t%er 0art t& a(ree t& t%e$ i6 %e 7ant! t& enter int& t%e *&ntra*t
@. S -/e*t $atter /e*&$e! i##e(a# &r i$0&!!i/#e /e6&re a**e0tan*e i! *&$$-ni*ate,
ACCEPTANCE > $ani6e!tati&n / t%e &66eree &6 %i! a!!ent t& t%e ter$! &6 t%e &66er $-!t /e a/!&#-te
A ;ualified NOTE8 counter
NOTE8 ;e 6&##&7 t%e t%e&r &6 *&(niti&n an, n&t t%e t%e&r &6 $ani6e!tati&n.
acceptance
constitutes
PERIOD :OR ACCEPTANCE 5. State, 6ie, 0eri&, in t%e &66er
Under $!r Ci.i% La/) t%e &66er an, a**e0tan*e *&n*-r &n# 7%en t%e &66er&r *&$e! t& 1n&7) an, n&t 7%en t%e &66eree $ere# $ani6e!t! %i! a**e0tan*e.
O::ER a 0r&0&!a# $a, e / &ne 0art t& an&t%er t& enter int& a *&ntra*t" $-!t /e *ertain &r ,e6inite) *&$0#ete an, intenti&na#
ELEMENTS O: VALID O::ER ELEMENTS O: VALID ACCEPTANCE 5. De6inite-ne2-i+&*a# 8. C&$0#ete-n*&n,iti&na# =. Intenti&na#
WHEN O::ER BECOMES INE::ECTIVE8 5. Deat%) *i+i# inter,i*ti&n) in!anit &r in!&#+en* &6 eit%er 0art /e6&re a**e0tan*e i! *&n+ee, 8. E0re!! &r i$0#ie, re+&*ati&n &6 t%e &6 6er / t%e &66eree =. <-a#i6ie, &r *&n, iti&na# a**e0tan*e &6 t%e &66er) 7%i*% /e*&$e! a *&-nter&66er
CIVIL LAW REVIEWER )01
8. N& !tate, 6ie, 0eri&, a. O&&er is made $ a ers$n resen a**e0tan*e $-!t /e $a,e i$$e,iate# /. O&&er is made $ a ers$n a#sen a**e0tan*e $a /e $a,e 7it%in !-*% ti$e t%at) -n,er n&r$a# *ir*-$!tan*e!) an an!7er *an /e re*ei+e, 6r&$ %i$ $a /e re+&1e, it NOTE8 A**e0tan*e *&$e! t& t%e 1n&7#e,(e &6 t%e /e6&re &66er&r. ?7it%,ra7a# &6 &66er
AMPLI:IED ACCEPTANCE Un,er *ertain *ir*-$!tan*e!) a $ere a$0#i6i*ati&n &n t%e &66er $-!t /e -n,er!t&&, a! an a**e0tan*e &6 t%e &ri(ina# &66er) 0#-! a ne7 &66er) 7%i*% i! *&ntaine, in t%e a$0#i6i*ati&n.
RULE ON COMPLEF O::ERS 5. O&&ers are inerre%aed *&ntra*t i! 0er6e*te, i6 a## t%e &66er! are a**e0te, 8. O&&ers are n$ inerre%aed !in(#e a**e0tan*e &6 ea*% &66er re!-#t! in a 0er6e*te, *&ntra*t -n#e!! t%e &66er&r %a! $a,e it *#ear t%at &ne i! ,e0en,ent -0&n t%e &t%er an, a**e0tan*e &6 /&t% i! ne*e!!ar.
Pa'e 12* $&
•
O&&er in!r pr%sn!s $-!t /e a**e0te, IMMEDIATELY. I6 t%e 0artie! inten,e, t%at t%ere !%&-#, /e an e0re!! a**e0tan*e) t%e *&ntra*t 7i## /e 0er6e*te, &n# -0&n 1n&7#e,(e / t%e &66er&r &6 t%e e0re!! a**e0tan*e / t%e &66eree &6 t%e &66er. An a**e0tan*e 7%i*% i! n&t $a,e in t%e $anner 0re!*ri/e / t%e &66er&r i! NOT EFFECTIVE) BUT A COUNTEROFFER 7%i*% t%e &66er&r $a a**e0t &r ree*t. Ma%#ar$sa .- CA5 K3-R- N$- 12*?+15 Ari% (05 200(
tran!a*ti&n! -n,er t%e C&,e &6 C&$$er*e -!e t%e 9%nis!%!ion :"or6.
;%en t%e &66er&r re6-!e! t& &0en t%e #etter &r te#e(ra$ %e i! %e#, t& %a+e a *&n!tr-*ti+e n&ti*e &6 t%e *&ntent! t%ere&6 an, 7i## /e /&-n, / t%e a**e0tan*e &6 t%e &66eree. ?J-ra,& *itin( Ca!tan
OPTION8 &0ti&n $a /e 7it%,ra7n anti$e /e6&re a**e0tan*e i! *&$$-ni*ate, /-t n&t 7%en !-00&rte, / a *&n!i,erati&n &t%er t%an 0-r*%a!e 0ri*e: &0ti&n $&ne
RULE ON ADVERTISEMENTS AS O::ERS E::ECTS O: OPTION8 B!siness ad.erisemens N&t a ,e6inite &66er) /-t $ere in+itati&n t& $a1e an &66er) -n#e!! it a00ear! &t%er7i!e
Ad.erisemen &$r Bidders &n# in+itati&n t& $a1e 0r&0&!a#! an, a,+erti!er i! n&t /&-n, t& a**e0t t%e %i(%e!t &r #&7e!t /i,,er) -n#e!! a00ear! &t%er7i!e
THE ) THEORIES IN ACCEPTANCE O: O::ER B, TELE3RAM OR LETTER
•
NOT !-00&rte, / in,e0en,ent *&n!i,erati&n t%e &66er&r *an 7it%,ra7 t%e 0ri+i#e(e at an ti$e / *&$$-ni*atin( t%e 7it%,ra7a# /e6&re a**e0tan*e
•
S-00&rte, / in,e0en,ent *&n!i,erati&n t%e &66er&r *ann&t 7it%,ra7 %i! &66er
PERSONS WHO CANNOT 3IVE CONSENT TO A CONTRACT: 5. Min&r!
5. Mani&esai$n 0er6e*te, 6r&$ t%e $&$ent t%e a**e0tan*e i! ,e*#are, &r $a,e 8. E6edii$n 0er6e*te, 6r&$ t%e $&$ent t%e &66eree tran!$it! t%e n&ti6i*ati&n &6 a**e0tan*e =. Recei$n 0er6e*te, 6r&$ t%e $&$ent t%e &66er&r re*ei+e! t%e #etter
8. In!ane &r ,e$ente, 0er!&n!) -n#e!! t%e *&ntra*t 7a! entere, int& ,-rin( a #-*i, inter+a# =. I##iterate! ,e a6$-te! 7% & d$ n$
@. C$'nii$n 0er6e*te, 6r&$ t%e $&$ent t%e a**e0tan*e *&$e! t& t%e 1n&7#e,(e &6 t%e &66er&r
4. Art 5==5 0er!&n -n,er $i! ta1e" $i!ta1e $a ,e0ri+e inte##i(en*e . causante Art 5== 9 0er!&n in ,-*e, / 6r a-, ? dolo
NOTE8 C&ntra*t! -n,er t%e Ci+i# C&,e (enera## a,%ere t& t%e Coni!ion :"or6 7%i#e
CIVIL LAW REVIEWER )01
NOTE: !olus bonus ?-!-a# ea((erati&n! in tra,e are n&t in t%e$!e#+e! 6ra-,-#ent
Pa'e 12+ $&
RULE ON CONTRACTS ENTER ED INTO B, MINORS
$ana(e t%eir 0r&0ert) /e*&$in( an ea! 0re 6&r ,e*eit an, e0#&itati&n ?R-#e 8) Se*.8) R-#e! &6 C&-rt
3ENERAL RULE: VOIDABLE EFCEPTIONS: a. U0&n rea*%in( a(e &6 $a &rit t%e rati6 t%e !a$e /. T%e 7ere entere, -nt& / a (-ar,ian an, t%e *&-rt %a+in( -ri!,i*ti&n %a, a00r&+e, t%e !a$e *.
T%e 7ere *&ntra*t! 6&r ne*e!!itie! !-*% a! 6&&,) /-t %ere t%e 0er!&n! 7%& are /&-n, t& (i+e t%e$ !-00&rt !%&-#, 0a t%ere6&r
,. Min&r i! e!t&00e, an, *ann&t /e a/!&#+e, 6r&$ t%e *&ntra*t t%e entere, int& 6&r %a+in( misreresened is a'e an, $i!#e, t%e &t%er 0art t%r&-(% %i! a*ti+e Mercad$ .s$i!re0re!entati&n. Esiri!5 K(? Pi% 21* B4$E'ER) $in&r! *an !et -0 t%e ,e6en!e &6 $in&rit t& re!i!t t%e *#ai$ 7%en t%ere i! &n# 0a!!i+e $i!re0re!entati&n) a! t%e did n$ disc%$se eir min$ri" /e*a-!e t%e %a, n& -ri,i*a# ,-t t& ,i!*#&!e t%eir ina/i#it. ? Bra'anJa .sDe Vi%%a A#ri%%e5 K10* Pi% )*+
DISUALI:IED TO ENTER INTO CONTRACTS8 ?*&ntra*t! entere, int& are +&i, 5.
T%&!e -n,er *i+i# inter,i*ti&n
8.
H&!0ita#ie, #e0er!
=.
Pr&,i(a#!
@. Dea6 an, ,-$/ 7%& are -na/#e t& rea, an, 7rite 4. T%&!e 7% & / r ea!&n & 6 a( e) , i!ea!e) 7ea1 $in, an, &t%er !i$i#ar *a-!e!) *ann&t 7it%&-t &-t!i,e ai,) ta1e *are &6 t%e$!e#+e! an,
CIVIL LAW REVIEWER )01
INCAPACIT, DISTIN3UISHED DISUALI:ICATION
:ROM
INCAPACIT,
DISUALI:ICATION
Re!train! t%e eer*i!e &6 t%e ri(%t t& *&ntra*t
Re!train! t%e +er ri(%t it!e#6
Ma !ti## enter int& *&ntra*t t%r&-(% 0arent) (-ar,ian &r #e(a# re0re!entati+e
A/!&#-te# ,i!2-a#i6ie,
Ba!e, -0&n !-/e*ti+e *ir*-$!tan*e &6 *ertain 0er!&n
Ba!e, -0&n 0-/#i* 0&#i* an, $&ra#it
C&ntra*t! int& are
C&ntra*t! entere, int& are +&i,
entere, $ere#
+&i,a/#e
CAUSES WHICH VITIATE :REEDOM 1-
Vi$%ence
•
REUISITES a. Irre!i!ti/#e 0%!i*a# 6&r*e /. S-*% 6&r*e i! t%e ,eter$inin( *a-!e 6&r (i+in( *&n!ent
2•
Inimidai$n REUISITES8 /.
Deter$inin( *a-!e 6&r t%e *&ntra*t
*.
T%reatene, a*t i! -n-!t an, -n#a76-#
Pa'e 12? $&
o
,. e.
Rea# an, !eri&-! Pr&,-*e! a 7 e## (r&-n,e, 6ear t%at t%e 0er!&n $a1in( it 7i## *arr it &+er
C a!sa% :ra!d =D$%$ Ca!sane ;> Fra-, in t%e PER:ECTION &6 t%e *&ntra*t
Re%!can c$nsen a *&ntra*t i! +a#i, e+en t%&-(% &ne &6 t%e 0artie! entere, int& it a(ain!t %i! 7i!%e! an, ,e!ire! &r e+en a(ain!t %i! /etter -,($ent. C&ntra*t! are a#!& +a#i, e+en t%&-(% t%e are entere, int& / &ne &6 t%e 0artie! 7it%&-t %&0e &6 a,+anta(e &r 0r&6it. MarineJ .s- H$n'<$n' and San'ai Ban<5 K1* Pi% 2*2
(-
•
De*e0ti&n &6 !eri&-! *%ara*ter) 7it%&-t 7%i*% t%e &t%er 0art 7&-#, n&t %a+e entere, int&
•
It i! t%e *a-!e 7%i*% in,-*e! t%e 0art t& enter int& a *&ntra*t
•
Ren,er! t%e *&ntra*t +&i,a/#e. In!i,i&-! 7&r,! &r $a*%inati&n! are e$0#&e,
•
N&t e$0#&e, / /&t% &r / t%ir, 0er!&n
•
Gr&-n, 6&r ann-#$ent
Misa
N&t &n# 7r&n( *&n*e0ti&n &6 t%e t%in( /-t a#!& t%e #a*1 &6 1n&7#e,(e 7it% re!0e*t t& it ?Manre!a
Incidena% :ra!d =D$%$ Incidene;> Fra-, in t%e PER:ORMANCE &6 an &/#i(ati&n o
•
De*e0ti&n 7%i*% are n&t !eri&-! an, 7it%&-t 7%i*% t%e &t%er 0art 7&-#, !ti## %a+e entere, int& t%e *&ntra*t
a.Misa
•
It i! n&t t%e *a-!e 7%i*% in,-*e, t%e 0art t& enter int& a *&ntra*t
6a*t ,&e! n&t ei!t 7%en in rea#it it ,&e!
•
Ren,er! t%e 0art #ia/#e 6&r ,a$a(e!
T/$ 3enera% inds $& Misa
/. Misa
*-
Und!e in&%!ence •
3enera% R!%e8 Mi!ta1e ,&e! n&t +itiate *&n!ent E6cei$n8 M-t-a# err&r a! t& t%e e66e*t &6 an a(ree$ent 7%en t%e rea# 0-r0&!e &6 t%e 0artie! i! 6r-!trate,
;%en a 0er!&n ta1e! i$0r&0er a,+anta(e &6 %i! 0&7er &+er t%e 7i## &6 an&t%er) ,e0ri+in( t%e #atter &6 a rea!&na/#e 6ree,&$ &6 *%&i*e
SIMULATED CONTRACTS )-
:ra!d •
;%en) t%r&-(% in!i,i&-! 7&r,! &r $a*%inati&n! &6 5 &6 t%e *&ntra*tin( 0artie!) t%e &t%er i! in,-*e, t& enter int& a *&ntra*t 7%i*%) 7it%&-t t%e$) %e 7&-#, n&t %a+e a(ree, t&.
INDS8
CIVIL LAW REVIEWER )01
5.
A#s$%!e n& intenti&n t& /e /&-n, at a##) 6i*titi&-! &n# +&i, 6r&$ /e(innin(
8.
Re%ai.e t%ere i! intenti&n t& /e /&-n, /-t *&n*ea#e," *&n*ea#e, *&ntra*t /in,!: *.
N& 0re-,i*e t& = r, 0er!&n!
,. N&t *&ntrar t& #a7) $&ra#!) et*.
Pa'e 12 $&
WANT O: CAUSE
E::ECT
8. In tran!$i!!i/#e ri(%t!
ABSENCE O: CAUSA
V&i, 0r&,-*e n& #e(a# e66e*t
=. F-t-re in%eritan*e) e*e0t in *a!e! e0re!!# a-t%&rie, / #a7
ILLE3ALIT, O: CAUSA
V&i, 0r&,-*e n& #e(a# e66e*t
@. Ser+i*e! 7%i*% are *& ntrar t& #a 7) $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er &r 0-/#i* 0&#i*
:ALSIT, O: CAUSA
V&i,a/#e 0art $-!t 0r&+e t%at *a-!e i! -ntr-t%6-#" 0re!-$0ti&n &6 +a#i,it /-t
4. I$0&!!i/#e t%in(! &r !er+i*e!
re/-tta/#e
CAUSA NOT STATED IN CONTRACT
Pre!-$e, t& Ei!t /-r,en &6 0r&&6 i! &n t%e 0er!&n a!!ai#in( it! ei!ten*e
INADEUAC , O: CAUSA
D&e! n&t In+a#i,ate C&ntra*t 0er !e E*e0ti&n!: Fra-, Mi!ta1e Un,-e in6#-en*e Ca!e! !0e*i6ie, / #a7
*&ntra*t! entere, 7%en 7ar, !-66er! #e!i&n &6 $&re t%an 84
. O/e*t!
7%i*%
are
n&t
0&!!i/#e
&6
,eter$inati&n a! t& t%eir 1in,
C- CAUSE =CAUSA; CAUSA I$$e,iate) ,ire*t an, $&!t 0r&i$ate rea!&n 7% 0artie! enter int& *&ntra*t REUISITES8 5. It $-!t ei!t 8. It $-!t /e tr-e =. It $-!t /e #i*it
MOTIVE8 B- OBECT REUISITES 8 5. ;it%in t%e *&$$er*e &6 $an eit%er ei!tin( &r in 0&ten*
P-re# 0ri+ate rea!&n" i##e(a#it ,&e! n&t in+a#i,ate *&ntra*t e*e0t 7%en it 0re,eter$ine! 0-r0&!e &6 *&ntra*t" 7%en $er(e, int& &ne
8. Li*it &r n&t *&ntrar t& #a7) (&&, *-!t&$! =. P&!!i/#e @. Deter$inate a! t& it! 1in, &r ,eter$ina/#e 7& nee, t& enter int& a ne7 *&ntra*t
CAUSE DISTIN3UISHED :ROM MOTIVE CAUSE
MOTIVE
Dire*t an, $&!t 0r&i$ate rea!&n &6 a *&ntra*t
In,ire*t rea!&n!
THIN3S WHICH CANNOT BE THE OBECT O:
O/e*ti+e an, -ri,i*a# rea!&n &6 *&ntra*t
P!*%&#&(i*a# &r 0-re# 0er!&na# rea!&n
CONTRACT8 5. T%in(! 7%i *% are &-t !i,e t%e *&$ $er*e &6 $en
Ca-!e -! a#7a! !a$e 6&r ea*% *&ntra*tin( 0art
T%e $&ti+e ,i66er! 6&r ea*% *&ntra*tin( 0art
Le(a#it &r i##e(a#it &6
Le(a#it &r i##e(a#it &6
4. Tran!$i!!i/#e
CIVIL LAW REVIEWER )01
&r
re$&te
Pa'e 129 $&
*a-!e a66e*t! t%e ei!ten*e &r +a#i,it &6 t%e *&ntra*t
$&ti+e ,&e! n&t a66e*t t%e ei!ten*e &r +a#i,it &6 *&ntra*t
A *&ntra*t i! a $eetin( &6 $in,! /et7 een t7& 0er!&n! 7%ere/ &ne /in,! %i$!e#6) 7it% re!0e*t t& t%e &t%er) t& (i+e !&$et%in( &r t& ren,er !&$e !er+i*e
CAUSA IN SOME CONTRACTS8 5. Oner$!s c$nracs t%e 0re!tati&n &6 0r&$i!e &6 a t%in( &r !er+i*e / t%e &t%er 8. Rem!nera$r" c$nracs t%e !er+i*e &r /ene6it re$-nerate, =. P!re Bene&icence $ere #i/era#it &6 t%e ,&n&r &r /ene6a*t&r @. Access$r" i,enti*a# 7it% *a-!e &6 0rin*i0a# *&ntra*t) t%e #&an 7%i*% it ,eri+e, it! #i6e an, ei!ten*e ?e: $&rt(a(e &r 0#e,(e
Wan $& Ca!se > T%ere i! a t&ta# #a*1 &r a/!en*e &6 *a-!e
CONTRACT OBLI3ATION
DISTIN3UISHED
CONTRACT
:a%se Ca!se T%e *a-!e i! !tate, /-t it i! n&t tr-e
OBLI3ATION
One &6 t%e !&-r*e! &6 &/#i(ati&n!
Le(a# tie &r re#ati&n it!e#6
T%ere $-!t /e an &/#i(ati&n
T%ere nee, n&t /e a *&ntra*t
CONTRACT A3REEMENT
DISTIN3UISHED
CONTRACT I%%e'a% Ca!se T%e *a-!e i! *&ntrar t& #a7) $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er an, 0-/#i* 0&#i*
:ROM
:ROM
A3REEMENT
A(ree$ent! en6&r*ea/#e t%r&-(% #e(a# 0r&*ee,in(!
Cann&t /e en6&r*e, / a*ti&n in *&-rt! &6 -!ti*e
S%&-#, %a+e a## t%e re2-i!ite! &6 a *&ntra*t
Nee, n&t %a+e a## t%e re2-i!ite!
T%ere $-!t /e an a(ree$ent
T%ere nee, n&t /e a *&ntra*t
M$ra% O#%i'ai$n as Ca!se A- PRINCIPAL CHARACTERISTICS: • ;%ere t%e $&ra# &/#i(ati&n ari!e! 7%&## 6r&$ et%i*a# *&n!i,erati&n!) -n*&nne*te, 7it% an *i+i# &/#i(ati&n!) it *ann&t *&n!tit-te a !-66i*ient *a-!e &r *&n!i,erati&n t& !-00&rt an &ner&-! *&ntra*t. :iser .s- R$## K+9 Pi%
101 ;%ere !-*% $&ra# &/#i(ati&n i! /a!e, -0&n a 0re+i&-! *i+i# &/#i(ati&n 7%i*% %a! a#rea, /een
/arre, / *&ntra*t t%e !tat-te &6 #i$itati&n! t%e ti$e 7%en t%e i! entere, int&) itat*&n!tit-te! a !-66i*ient *a-!e &r *&n!i,erati&n t& !-00&rt a *&ntra*t Vi%%ar$e% .s- Esrada ?1 Pi% 1)
CIVIL LAW REVIEWER )01
5. A!$n$m" $& /i%%s F 0artie! $a !ti0-#ate ant%in( a! #&n( a! n&t i##e(a#) i$$&ra#) et*. 8. M!!a%i" 0er6&r$an*e &r +a#i,it /in,! /&t% 0artie!" n&t #e6t t& 7i## &6 &ne &6 0artie! =. O#%i'a$r" :$rce and C$nsens!a%i" 0artie! are /&-n, 6r&$ 0er6e*ti&n &6 *&ntra*t" *&ntra*t! are 0er6e*te, / $ere *&n!ent an, 6r&$ t%at $&$ent t%e 0artie! are /&-n, n&t &n# t& t%e 6-#6i##$ent &6 7%at
Pa'e 1(0 $&
%a! /een e0re!!# !ti0-#ate, /-t a#!& t& a## *&n!e2-en*e! 7%i*%) a**&r,in( t& t%eir nat-re $a /e in 1ee0in( 7it% (&&, 6ait%) -!a(e an, #a7. @. F-#6i## 7%at si!%aed
%a!
/een
e6ress%"
4. A## *&n!e2-en*e! 7* $a /e in 1ee0in( 7it% '$$d &ai5 !sa'e and %a/ . Re%ai.i" /in,in( &n# /et7een t%e 0artie!) t%eir a!!i(n!) %eir!" !tran(er! *ann&t ,e$an, en6&r*e$ent
*&ntra*t are /&-n, t%ere/) !-/e*t t& t%e 0r&+i!i&n! &6 t%e M&rt(a(e La7 an, t%e Lan, Re(i!trati&n La7!
D- REUISITES: 5. Ei!ten*e &6 a +a#i, *&ntra*t 8. 'n&7#e,(e &6 t%e *&ntra*t / a = r, 0er!&n r,
=. Inter6eren*e / t%e =
0er!&n
E- TEST O: BEN:ICIAL SITUATION T%e 6aire!t t& ,eter$ine 7%et%er t%e intere!t &6 = r, 0er!&n in a *&ntra*t i! a !ti0-#ati&n 0&-r a-tr-i &r $ere# an in*i,enta# intere!t i! t& re# -0&n t%e intenti&n &6 t%e 0artie! a! ,i!*#&!e, / t%eir *&ntra*t. Deter$ine 7%et%er *&ntra*tin( 0artie! ,e!ire, t& ten,er %i$ !-*% intere!t U" Tam .s- Le$nard5 K(0 Pi% )?1
•
B- EFCEPTION TO RELATIVIT,8 5. A**i&n Pa-#iana 8. A**i&n ,ire*ta =. Sti0-#ati&n 0&-r a-tr-i
C-
REUISITES
O:
STIPULATION
;4R
=========================================
A:R/
5.
Partie!
$-!t
%a+e
*#ear#
an,
TOPICS UNDER THE S,LLABUS
,e#i/erate# *&n6erre, a 6a+&r -0&n a = r, 0er!&n
A- 3ENERAL PROVISIONS
8. T%e ! ti0-#ati&n in 6a+&r & 6 a = r, 0er!&n !%&-#, /e a 0art &6) n&t t%e 7%&#e *&ntra*t
2- inds $& C$nracs
=. T%at t%e 6a+&ra/#e !ti0-#ati&n !%&-#, n&t /e *&n,iti&ne, &r *&$0en!ate, / an 1in, &6 &/#i(ati&n 7%at!&e+er
=========================================
2- INDS O: CONTRACTS 1- As $ er&eci$n $r &$rmai$n
@. Neit%er &6 t %e *&ntra*tin( 0a rtie! /ear! t%e #e(a# re0re!entati&n &r a-t%&riati&n &6 = r, 0art 4. T%e t%ir, 0er!&n *&$$-ni*ate! %i! a**e0tan*e /e6&re re+&*ati&n / t%e &ri(ina# 0artie! .
Art 5=58" Art 5=5@
In *&ntra*t! *reatin( rea# ri(%t!) t%ir, 0er!&n! 7%& *&$e int& 0&!!e!!i&n &6 t%e &/e*t &6 t%e
CIVIL LAW REVIEWER )01
2-
α.
C$nsens!a% 0er6e*te, / a(ree$ent &6 0artie!
β.
Rea% K 0er6e*te, / ,e#i+er *&$$&,at-$) 0#e,(e) ,e0&!it
χ.
:$rma%s$%emn *&n6&r$it t&
?e.(.
0er6e*te, / e!!entia# 6&r$a#itie!
?,&nati&n As $ ca!se
Pa'e 1(1 $&
A
a. Oner$!s 7it% +a#-a/#e *&n!i,erati&n
s $ e ris< in.$%.ed
/. 3ra!i$!s 6&-n,e, &n #i/era#it
a- C$mm!ai.e ea$0#e #ea!e
*. Rem!nerai.e 0re!tati&n i! (i+en 6&r !er+i*e 0re+i&-!# &/#i(ati&n
ren,ere,
n&t
#- A%ea$r" ea$0#e in!-ran*e
a!
9- As $ name $r desi'nai$n
(- As $ im$rance $r deendence $& $ne !$n an$er α.
Princia% *&ntra*t $a !tan, a#&ne
β.
Access$r" ,e0en,! &n an&t%er *&ntra*t 6&r it! ei!ten*e" $a n&t ei!t &n it! &7n
χ.
Preara$r" n&t an en, / it!e#6" a $ean! t%r&-(% 7%i*% 6-t-re *&ntra*t! $a /e $a,e
a- N$minae t%&!e 7%i*% %a+e t%eir &7n ,i!tin*ti+e in,i+i,-a#it an, are re(-#ate, / !0e*ia# 0r&+i!i&n! &6 #a7 #- Inn$minae t%&!e 7%i*% #a*1 in,i+i,-a#it an, are n&t re(-#ate, / !0e*ia# 0r&+i!i&n! &6 #a7
)- As $ aries $#%i'ed a.
Uni%aera% &n# &ne &6 t%e 0artie! %a! an &/#i(ati&n!
b.
Bi%aera% /&t% 0artie! are re2-ire, t& ren,er re*i0r&*a# 0re!tati&n!
*- As $ &$rm a- C$mm$n $r in&$rma% 0arti*-#ar 6&r$ #Secia% $r &$rma% 0arti*-#ar
re2-ire n&
aaaa
D& -t 6a*ia! I (i+e t%at &- $a ,&
aVa
Fa*i& -t ,e! I ,& t%at &- $a (i+e
Va
Fa*i& -t 6a*ia! I ,& t%at &- $a ,&
NOTE8 A**&r,in( t& !&$e a-t%&ritie!) ,& -t ,e! i! n& #&n(er an inn&$inate *&ntra*t. It %a! a#rea, /een (i+en a na$e &6 it! &7n) i.e. /arter &r e*%an(e. ?Art. 5=9
:AGE / A C4:RAC:# 5.
Prearai$n ne(&tiati&n
8.
Per&eci$n/irt%
=.
C$ns!mmai$n 0er6&r$an*e
re2-ire !&$e
F&r$
D& -t ,e! I (i+e t%at &-
a aa
+- As $ eir !r$se a-
Trans&er $& $/nersi
:ORMAL CONTRACTS
#-
C$n.e"ance $& !se
1- D$nai$n
c- Rendii$n $& ser.ice
•
T%e ,&nati&n &6 a $&+a/#e $a /e $a,e &ra## &r in 7ritin( ?Arti*#e >@9
•
An &ra# ,&nati&n re2-ire! t%e !i$-#tane&-! ,e#i+er &6 t%e t%in( &r &6 t%e ,&*-$ent re0re!entin( t%e ri(%t ,&nate,. ?Arti*#e >@9
?- As $ eir s!#4ec maer a- Tin's #- Ser.ices
CIVIL LAW REVIEWER )01
Pa'e 1(2 $&
•
•
I6 t%e +a#-e &6 t%e 0er!&na# 0r&0ert ,&nate, e*ee,! 6i+e t%&-!an, 0e!&!) t%e ,&nati&n an, t%e a**e0tan*e !%a## /e $a,e in 7ritin(. Ot%er7i!e) t%e ,&nati&n !%a## /e +&i,. ?Arti*#e >@9 In &r,er t%at t%e ,&nati&n &6 an i$$&+a/#e $a /e +a#i,) it $-!t /e $a,e in a 0-/#i* ,&*-$ent) !0e*i6in( t%erein t%e 0r&0ert ,&nate, an, t%e +a#-e &6 t%e *%ar( e! 7%i*% t%e ,&nee $-!t !ati!6. ?Arti*#e >@
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T%e a**e0tan*e $a /e $a,e in t%e !a$e ,ee, &6 ,&nati&n &r in a !e0arate 0-/#i* ,&*-$ent) /-t it !%a## n&t ta1e e66e*t -n#e!! it i! ,&ne ,-rin( t%e #i6eti$e &6 t%e ,&n&r. ?Arti*#e >@
•
I6 t%e a**e0tan*e i! $a,e in a !e0arate in!tr-$ent) t%e ,&n&r !%a## /e n&ti6ie, t%ere&6 in an a-t%enti* 6&r$) an, t%i! !te0 !%a## /e n&te, in /&t% in!tr-$ent!. ?Arti*#e >@
A 'enc" $ Se%% Rea% Pr$er" •
Ineres •
•
•
A 0artner!%i0 $a /e *&n!tit-te, in an 6&r$) e*e0t 7%ere i$$&+a/#e 0r&0ert &r rea# ri(%t! are *&ntri/-te, t%eret&) in 7%i*% *a!e a 0-/#i* in!tr-$ent !%a## /e ne*e!!ar. ?Arti*#e 5>>5 A *&ntra*t &6 0artner!%i0 i! +&i,) 7%ene+er i$$&+a/#e 0r&0ert i! *&ntri/-te, t%eret&) i6 an in+ent&r &6 !ai, 0r&0ert i! n&t $a,e) !i(ne, / t%e 0artie!) an, atta*%e, t& t%e 0-/#i* in!tr-$ent. ?Arti*#e 5>>=
A !ti0-#ati&n /et7een t%e *&$$&n *arrier an, t%e !%i00er &r &7ner #i$itin( t%e #ia/i#it &6 t%e 6&r$e r 6&r t%e #&!!) ,e!tr-*ti&n) &r ,eteri&rati&n &6 t%e (&&,! t& a ,e(ree #e!! t%an etra&r,inar ,i#i(en*e !%a## /e +a#i,) 0r&+i,e, it /e: o
In 7ritin() !i(ne, / t%e !%i00er &r &7ner"
o
S-00&rte, / a +a#-a/#e *&n!i,erati&n &t%er t%an t%e !er+i*e ren,ere, / t%e *&$$&n *arrier" an,
o
Rea!&na/#e) -!t an, n&t *&ntrar t& 0-/#i* 0&#i*. ?Arti*#e 5>@@
Cae% M$r'a'e
T%e a$&-nt &6 t%e 0rin*i0a# an, &6 t%e
B a *%atte# $&rt(a(e) 0er!&na# 0r&0ert i! re*&r,e, in t%e C%atte# M&rt(a(e Re(i!ter a! a !e*-rit 6&r t%e 0er6&r$an*e &6 an &/#i(ati&n. I6 t%e $&+a/#e) in!tea, &6 /ein( re*&r,e,) i!
intere!t !%a## !0e*i6ie, 7ritin(" &t%er7i!e) t%e /e *&ntra*t &6 in anti*%re!i! !%a## /e +&i,
,e#i+ere, t& t%e *re,it&r &r a t%ir, 0er!&n) t%e *&ntra*t i! a 0#e,(e an, n&t a *%atte# $&rt(a(e.
•
Anicresis •
N& intere!t !%a## /e ,-e -n#e!! it %a! /een e0re!!# !ti0-#ate, in 7ritin( ?Arti*#e 59>
Ordinar" Di%i'ence
Parnersi •
;%en a !a#e &6 a 0ie*e &6 #an, &r an intere!t t%erein i! t%r&-(% an a(ent) t%e a-t%&rit &6 t%e #atter !%a## /e in 7ritin(" &t%er7i!e) t%e !a#e !%a## /e +&i,. ?Arti*#e 59>@
CIVIL LAW REVIEWER )01
Pa'e 1(( $&
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3 ENERAL RULE: *&ntra*t i! +a#i, an, /in,in( in 7%ate+er 6&r$ 0r&+i,e, t%at = e!!entia# re2-i!ite! *&n*-r
Sa%e $& Lar'e Ca%e •
T%e 6&r$ &6 !a#e &6 #ar(e *att#e !%a## /e (&+erne, / !0e*ia# #a7!. ?Arti*#e 5495 •
EFCEPTIONS
=========================================
a. La7 re2-ire! *&n tra*t t& /e in !&$e 6&r$ 6&r +a#i,it ,&nati&n an, a**e0tan*e &6 rea# 0r&0ert
TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS
/. La7 re2-ire! *&n tra*t t& /e in !&$e
(- :$rma%i"
6&r$ t& /e en6&r*ea/#e Stat-te &6 Fra-,!" *&ntra*t i! +a#i, /-t ri(%t t& en6&r*e *ann&t /e eer*i!e," nee, rati6i*ati&n t& /e en6&r*ea/#e
=========================================
(- :ORM O: CONTRACTS *.
:ORM8 in !&$e 1in, &6 *&ntra*t! &n# a! *&ntra*t! are (enera## *&n!en!-a#" 6&r$ i! a $anner in 7%i*% a *&ntra*t i! ee*-te, &r $ani6e!te,
La7 re2-ire! *& ntra*t t& /e in !& $e 6&r$ 6&r *&n+enien*e *&ntra*t i! +a#i, an, en6&r*ea/#e) nee,e, &n# t& /in, =r, 0artie! E: 0-/#i* ,&*-$ent! nee,e, 6&r t%e 66:
5. In&$rma% $a /e entere, int& 7%ate+er 6&r$ a! #&n( a! t%ere i! *&n!ent) &/e*t an, *a-!e
i. C&ntra*t! 7* &/e*t i! *reati&n) tran!$i!!i&n &r re6&r$ati&n &6 rea# ri(%t! &+er i$$&+a/#e!
8. :$rma% re2-ire, / #a7 t& /e in *ertain !0e*i6ie, 6&r$ !-*% a!: ,&nati&n &6 rea#
ii. Ce!!i&n) re0-,iati&n) ren-n*iati&n &6 %ere,itar ri(%t!CPG
0r&0ert) !ti0-#ati&n t& 0a intere!t) tran!6er &6 #ar(e *att#e) !a#e &6 #an, t%r- a(ent) *&ntra*t &6 anti*%re!i!) *&ntra*t &6 0artner!%i0) re(i!trati&n &6 *%atte# $&rt(a(e) ,&nati&n &6 0er!&na# 0r&0 in e*e!! &6 4)
iii. P&7er t& a,$ini!ter 0r&0ert 6&r an&t%er
=. Rea% *reati&n &6 rea# ri(%t! i$$&+a/#e 0r&0 $-!t /e 7ritten
&+er
i+. Ce!!i&n &6 a*ti&n &6 ri(%t! 0r&*ee,in( 6r&$ an a*t a00earin( in a 0-/#i* in!t. +. A## &t%er ,&*! 7%ere a$&-nt in+&#+e, i! in e*e!! &6 4 ?$-!t /e 7ritten e+en 0ri+ate ,&*!
WHEN :ORM IS IMPORTANT8 5. F&r +a#i,it ?6&r$a#!&#e$n *&ntra*t! 8. F&r en6&r*ea/i#it ?!tat-te &6 6ra- ,! =. F&r *&n+enien*e
CIVIL LAW REVIEWER )01
NOTE8 RA ?92 =E>COMMERCE ACT; 6&r$a# re2-ire$ent! t& $a1e *&ntra*t! e66e*ti+e a! a(ain!t t%ir, 0er!&n! an, t& e!ta/#i!% t%e ei!ten*e &6 a *&ntra*t are ,ee$e, *&$0#ie, 7it% 0r&+i,e, t%at t%e e#e*tr&ni* ,&*-$ent i! -na#tere, an, *an /e a-t%enti*ate, a! t& /e -!ea/#e 6&r 6-t-re re6eren*e.
Pa'e 1() $&
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Re@!isies:
TOPICS UNDER THE S,LLABUS
a.T%ere i! a 7ritten in!tr-$ent
A- 3ENERAL PROVISIONS
/.
)- Re&$rmai$n $& Insr!mens
*.Tr-e intenti&n n&t e0re!!e, in in!tr-$ent ,.
=========================================
T%ere i! $eetin( &6 $in,!
C#ear an, *&n+in*in( 0r&&6
e.Fa*t! 0-t in i!!-e in 0#ea,in(!
)- RE:ORMATION O: INSTRUMENTS NOTE: RE:ORMATION O: CONTRACTS8 re$e, t& *&n6&r$ t& rea# intenti&n &6 0artie! ,-e t& $i!ta1e) 6ra-,) ine2-ita/#e *&n,-*t) a**i,ent
• Pre!*ri/e! in 5 ear! ee*-ti&n &6 in!tr-$ent
6r&$
,ate
&6
• ;%en &ne &6 t%e 0artie! %a! /r&-(%t an a*ti&n t& en6&r*e t%e in!tr-$ent) n& !-/!e2-ent re6&r$ati&n *an /e a!1e,. ?0rin*i0#e &6 e!t&00e#
CAUSES3ROUNDS8 •
1- M!!a%: in!tr-$ent in*#-,e! !&$et%in( 7* !%&-#, n&t /e t%ere &r &$it 7%at !%&-#, /e t%ere a. M-t-a#
Re6&r$ati&n i! /a!e, &n -!ti*e an, e2-it
• ;%en t%ere i! n& $eetin( &6 t%e $in,!) t%e 0r&0er re$e, i! ann-#$ent an, n&t re6&r$ati&n
b. Mi!ta1e &6 6a*t c.
WHEN RE:ORMATION NOT AVAILABLE8
C#ear an, *&n+in*in( 0r&&6
5. Si$0#e ,&nati&n inter +i+&! d. Ca-!e! 6ai#-re &6 in!tr-$ent t& e0re!! tr-e intenti&n
=. ;%en rea# a(ree$ent i! +&i,
2- Uni%aera%
@. E!t&00e# 7%en 0art %a! /r&-(%t !-it t& en6&r*e it
a. One 0art 7a! $i!ta1en /. Ot%er eit%er a*te, 6ra-,-#ent# ine2-ita/# &r 1ne7 /-t *&n*ea#e, *.
Part in (&&, re6&r$ati&n
8. ;i##!
6ait%
$a
a!1
&r
6&r
(- Misa
CIVIL LAW REVIEWER )01
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TOPICS UNDER THE S,LLABUS A- 3ENERAL PROVISIONS *- Inerreai$n $& C$nracs =========================================
Pa'e 1(* $&
*- INTERPRETATION O: CONTRACTS
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3ENERAL RULE8 I6 t%e ter$! &6 t%e *&ntra*t are *#ear an, #ea+e n& ,&-/t -0&n t%e intenti&n &6 t%e *&ntra*tin( 0artie!) t%e #itera# $eanin( &6 it! !ti0-#ati&n! !%a## *&ntr&#. ?Art. 5=>
TOPICS UNDER THE S,LLABUS
EFCEPTION8 It i! a##e(e, an, 0r&+e, t%at t%e intenti&n &6 t%e 0artie! i! &t%er7i!e. Sec- 1( R!%e 1(0 $& e R!%es $& C$!r8 ;%en an in!tr-$ent *&n!i!t! 0art# &6 7ritten 7&r,! an, 0art# &6 a 0rinte, 6&r$) an, t%e t7& are in*&n!i!tent) t%e 6&r$er *&ntr&#! t%e #atter. NOTE8 5. I6 t%e #a7 i! *#ear) t%ere i! n& r&&$ 6&r inter0retati&n 8. In *a!e &6 a$/i(-it) t%e $&!t i$0&rtant (-i,e#ine i! intenti&n &6 t%e 0artie!. =. A$/i(-it i! *&n!tr-e, a(ain!t t%e &ne 7%& *a-!e, it /e*a-!e %e %a, *&ntr&# ?e.(. *&ntra*t &6 a,%e!i&n. H&7e+er) t%i! r-#e ,&e! n&t a00# t& a## *&ntra*t! &6 a,%e!i&n ?e.(. i6 *&ntra*t i! ne(&tiate, @. In &r,er t& -,(e t%e intenti&n &6 t%e *&ntra*tin( 0artie!) t%eir *&nte$0&rane&-! an, !-/!e2-ent a*t! !%a## /e 0rin*i0a## *&n!i,ere,. ?Art. 5=>5 4. ;&r,! 7%i*% $a %a+e ,i66erent !i(ni6i*ati&n! !%a## /e -n,er!t&&, in t%at 7%i*% i! $&!t in 1ee0in( 7it% t%e nat-re an, &/e*t &6 t%e *&ntra*t. ?Art. 5=>4 . T%e inter0retati&n &6 &/!*-re 7&r,! &r !ti0-#ati&n! in a *&ntra*t !%a## n&t 6a+&r t%e 0art 7%& *a-!e, t%e &/!*-rit. ?Art. 5=>> >. I6 t%e *&-rt *ann&t re!&#+e t%e a$/i(-it /a!e, &n t%e e#e$ent! &6 t%e *&ntra*t: a. I6 a (rat-it&-! *&ntra*t) t%e #ea!t tran!$i!!i&n &6 ri(%t! an, intere!t! !%a## 0re+ai# /. I6 an &ner&-! *&ntra*t) ,&-/t !%a## /e !ett#e, in 6a+&r &6 t%e (reate!t re*i0r&*it &6 intere!t 9. T%e 0rin*i0#e! &6 inter0retati&n !tate, in R-#e 58= &6 t%e R-#e! &6 C&-rt !%a## #i1e7i!e /e &/!er+e, in t%e *&n!tr-*ti&n &6 *&ntra*t! In t%e *a!e &6 :e%ie .- Heirs $& Ma6im$ A%d$n K3-R- N$- L>+01?)5 :e#r!ar" 1+5 19(5 t%e C&-rt !tate, t%at t%e ,e!*ri0ti&n t%at a *&ntra*t i! in+a#i, i! n& #&n(er 0re*i!e) !in*e t%e Ci+i# C&,e -!e! !0e*i6i* na$e! in ,e!i(natin( ,e6e*ti+e *&ntra*t ?e.(. re!*i!!i/#e) +&i,a/#e) -nen6&r*ea/#e) an, +&i, &r inei!tent *&ntra*t!
CIVIL LAW REVIEWER )01
A- 3ENERAL PROVISIONS +- De&eci.e C$nracs =========================================
+- DE:ECTIVE CONTRACTS
INDS O: DE:ECTIVE CONTRACTS8
A- RESCISSIBLE CONTRACTS RESCISSIBLE CONTRACTS T%&!e 7%i*% %a+e *a-!e, a 0arti*-#ar e*&n&$i* ,a$a(e eit%er t& &ne &6 t%e 0artie! &r t& a = r, 0er!&n an, 7%i*% $a /e !et a!i,e e+en i6 +a#i,. It $a /e !et a!i,e in 7%&#e &r in 0art) t& t%e etent &6 t%e ,a$a(e *a-!e,
REUISITES8 =a; C$nrac m!s #e rescis si#%e Under Ar 1(1 : C&ntra*t! entere, int& / 0er!&n! eer*i!in( 6i,-*iar *a0a*it: 5. Entere, int& / (-ar,ian 7%ene+er 7ar, !-66er! ,a$a(e / $&re t%an 5@ &6 +a#-e &6 &/e*t 8. A(ree, -0&n in re0 re!entati&n &6 a/! entee!) i6 a/!entee !-66er! #e!i&n / $&re t%an \ &6 +a#-e &6 0r&0ert =. C&ntra*t! 7%ere re!*i!!i&n i! /a! e, &n 6ra -, *&$$itte, &n *re,it&r ?accion pauliana @. O/e*t! &6 #iti(ati&n" *&ntra*t entere, int& / ,e6en,ant 7& 1n&7#e,(e &r a00r&+a# &6 #iti(ant! &r -,i*ia# a-t%&rit 4. Pr&+i,e, 6&r / #a7 Art! 548) 54=@) 54=) 54@8) 544) 54) 54> an, 54
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Art. 548 Unaid se%%er &6 (&&,!) n&t7it%!tan,in( t%at t%e &7ner!%i0 in t%e (&&,! $a %a+e 0a!!e, t& t%e /-er) !-/e*t t& &t%er 0r&+i!i&n! &n Sa#e! Art. 54=@ Un0ai, !e##er %a+in( t%e ri(%t &6 #ien &r %a+in( !t&0 0e, t%e (&&,! in transit& 7%ere %e e6ress%" reser.ed %i! ri(%t t& ,& !& in *a!e t%e /-er !%&-#, $a1e ,e6a-#t) &r t%e /-er %a! /een in de&a!% in e a"men $& e rice &$r an !nreas$na#%e ime
•
•
Art. 54= In t%e !a#e &6 rea# e!tate at a rate &6 a *ertain 0ri*e 6&r a -nit &6 $ea!-re &r n-$/er) at t%e 7i## &6 t%e +en,ee) 7%en t%e in&eri$r .a%!e $& e in' s$%d e6ceeds $ne> en &6 t%e 0ri*e a(ree, -0&n) &r i6 t%e +en,ee 7&-#, n$ a.e #$!' e imm$.a#%e ad e
•
•
Art. 544 S%&-#, t%e +en,ee #&!e) / rea!&n &6 e.ici$n) a 0art &6 t%e t%in( !&#, &6 !-*% i$0&rtan*e) in re#ati&n t& t%e 7%&#e) t%at %e 7&-#, n&t %a+e /&-(%t it 7it%&-t !ai, 0art Art. 54 Ven,ee $a a!1 6&r re*e!!i&n i6 t%e i$$&+a/#e !&#, !%&-#, /e enc!m#ered /i an" n$n>aaren #!rden $r ser.i!de) n&t $enti&ne, in t%e a(ree$ent) &6 !-*% a nat-re t%at it $-!t /e 0re!-$e, t%at t%e +en,ee 7&-#, n&t %a+e a*2-ire, it %a, %e /een a7are t%ere&6
CIVIL LAW REVIEWER )01
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Art. 54 > In *a !e! &6 #reac $& /arran" a(ain!t %i,,en ,e6e*t! &6 &r en*-$/ran*e! -0&n t%e t%in( !&#,
•
Art. 54 9 I6 t%e %ess$r $r %essee s$!%d n$ c$m%" /i eir $#%i'ai$ns) t%e a((rie+e, 0art $a a!1 6&r re!*i!!i&n
ART 1191 COMPARED TO ART 1(1 RESCISSION IN ART 1191
RESCISSION PROPER IN ART 1(1
It i! a 0rin*i0a# a*ti&n reta#iat&r in *%ara*ter
it i! a re$e,
!-/!i,iar
On# (r&-n, i! n&n 0er6&r$an*e &6 &neK! &/#i(ati&n &r 7%at i! in*-$/ent -0&n %i$
T%ere are 4 (r&-n,! t& re!*in,. N&n 0er6&r$an*e / t%e &t%er i! n&t i$0&rtant
A00#ie! &n# re*i0r&*a# &/#i(ati&n
t&
A00#ie! t& /&t% -ni#atera# an, re*i0r&*a# &/#i(ati&n!
On# a 0art t& t%e *&ntra*t $a ,e$an, 6-#6i##$ent &r !ee1 t%e re!*i!!i&n &6 t%e *&ntra*t
E+en a t%ir, 0er!&n 7%& i! 0re-,i*e, / t%e *&ntra*t $a ,e$an, t%e re!*i!!i&n &6 t%e *&ntra*t.
C&-rt $a 6i a 0eri&, &r (rant eten!i&n &6 ti$e 6&r t%e 6-#6i##$ent &6 t%e &/#i(ati&n
C&-rt *ann&t (rant eten!i&n &6 ti$e 6&r 6-#6i##$ent &6 t%e &/#i(ati&n
It! 0-r0&!e i! t& *an*e# t%e *&ntra*t
It! 0-r0&!e i! t& !ee1 re0arati&n 6&r t%e ,a$a(e &r in-r *a-!e,) t%-! a##&7in( 0artia# re!*i!!i&n &6 t%e *&ntra*t
Pa'e 1(? $&
Under Ar- 1(2 Pa$ent! $a,e in a !tate &6 in!&#+en* 5. P#ainti66 %a! n& &t%er $ean! t& &/tain re0arati&n. 8. P#ainti66 $-!t /e a/#e t& r et-rn 7%ate+er %e $a /e &/#i(e, t& ret-rn ,-e t& re!*i!!i&n =. T%e t%in(! $-!t n&t %a+e /een 0a!!e, t& = 0artie! 7%& ,i, n&t a*t in /a, 6ait%
r,
/. t%in( a#rea, in 0&!!e!!i&n &6 0art in (&&, 6ait%" !-/e*t t& in,e$nit &n#" i6 t%ere are 8 &r $&re a#ienati&n! #ia/i#it &6 5!t in6ra*t&r
BAD3ES O: :RAUD a.
*&n!i,erati&n &6 t%e *&n+ean*e ina,e2-ate &r 6i*titi&-!
b.
tran!6er 7a! $a,e / a ,e/t&r a6ter a !-it %a! /een /e(-n an, 7%i#e it i! 0en,in( a(ain!t %i$
c.
!a#e -0&n *re,it / an in!&#+ent ,e/t&r
d.
5. T%ere $-!t /e *re ,it ei!tin( 0ri &r t& t%e *e#e/rati&n &6 t%e *&ntra*t.
e+i,en*e &6 in,e/te,ne!! &r *&$0#ete in!&#+en*
e.
8. T%ere $-!t /e 6ra-,) &r at #ea! t) t%e in tent t& *&$$it 6ra-, t& t%e 0re-,i*e &6 t%e *re,it&r !ee1in( re!*i!!i&n
tran!6er &6 a## %i! 0r&0ert / a ,e/t&r 7%en %e i! 6inan*ia## e$/arra!!e, &r in!&#+ent
f.
=. T%e *re,it&r *ann&t in an #e(a# $anner *&##e*t %i! *re,it ?!-/!i,iar *%ara*ter &6 re!*i!!i&n
tran!6er $a,e /et7een 6at%er an, !&n 7%ere t%ere i! 0re!ent an &6 t%e a/&+e *ir*-$!tan*e!
g.
6ai#-re &6 t%e +en,ee t& ta1e e*#-!i+e 0&!!e!!i&n &6 t%e 0r&0ert
@. It $-!t /e $a,e 7it%in t%e 0re!*ri/e, 0eri&, ?&6 @ ear!
REUISITES #e&$re a c$nrac enered in$ in &ra!d $& credi$rs ma" #e rescinded8
@. T%e &/e*t &6 t%e *&ntra*t $-!t n& t /e #e(a## in t%e 0&!!e!!i&n &6 a = r, 0er!&n 7%& ,i, n&t a*t in /a, 6ait%.
i!
B- VOIDABLE CONTRACTS VOIDABLE CONTRACTS >intrin!i* ,e6e*t" +a#i, -nti# ann-##e," ,e6e*t i! ,-e t& +i*e &6 *&n!ent &r #e(a# in*a0a*it
OBLI3ATION CREATED B, THE RESCISSION O: THE CONTRACT8 M!!a% Resi!i$n a. T%in(! 7* ar e t%e &/e*t! &6 t%e *&ntra*t an, t%eir 6r-it! /. Pri*e 7it% intere!t
MUTUAL RESTITUTION NOT WHEN
a. E66e*ti+e -nti# !et a!i,e /. Ma /e a!! ai#e, &r att a*1e, &n# in an a*ti&n 6&r t%at 0-r0&!e
APPLICABLE
a. *re,it&r ,i, n&t re*e i+e ant%in( 6r&$ *&ntra*t
CIVIL LAW REVIEWER )01
CHARACTERISTICS:
*. Can /e *&n6ir$e, ? NOTE: *&n6ir$ati&n i! t%e 0r&0er ter$ 6&r *-rin( t%e ,e6e*t &6 a +&i,a/#e *&ntra*t ,. Can /e a!!ai#e, &n# / t%e 0art 7%&!e *&n!ent 7a! ,e6e*ti+e &r %i! %eir! &r a!!i(n!
Pa'e 1( $&
WHAT CONTRACTS ARE VOIDABLE8
!0&-!e) a!*en,ant! *&er*i&n
&r
,e!*en,ant!
?$&ra#
a. Min&r! /. In!ane -n#e!! a*te, in #-*i, inter+a#
UNDUE IN:LUENCE *. Dea6 $-te 7%& *anKt rea, &r 7rite ,. Per!&n! !0e*ia## inter,i*ti&n
,i!2-a#i6ie,:
*i+i#
Per!&n ta1e! i$0r&0er a,+anta(e &6 %i! 0&7er &+er 7i## &6 an&t%er ,e0ri+in( #atter &6 rea!&na/#e 6ree,&$ &6 *%&i*e
e. In !tate &6 ,r-n1enne!! 6.
In !tate &6 %0n&ti* !0e##
Fa#!e /e#ie6 &6 !&$et%in( 7%i*% i! *&ntrar t& t%e rea# intenti&n &6 t%e 0artie!
T%e ,&*trine &n re%!can c$nse n 0r&+i,e! t%at a *&ntra*t i! !ti## +a#i, e+en i6 &ne &6 t%e 0artie! entere, it a(ain!t %i! 7i!%e! &r e+en a(ain!t %i! /etter -,($ent. C&ntra*t! are a#!& +a#i, e+en t%&-(% t%e are entere, int& / &ne &6 t%e 0artie! 7it%&-t %&0e &6 a,+anta(e &r 0r&6it. MarineJ .s- HSBC5 K12 Pi% 2*2
REUISITES:
:RAUD
a. Re6er! t& t% e !-/e*t &6 t% e t%in( 7%i*% i! t%e &/e*t &6 t%e *&ntra*t
T%r- in!i,i&-! 7&r,! &r $a*%inati&n! &6 *&ntra*tin( 0artie!) &t%er i! in,-*e, t& enter int& *&ntra*t 7& 7* %e 7i## n&t ente r ?,&#& *a-!ante
MISTAE
/. Re6er! t& t%e nat-re &6 t%e *&ntra*t *.
Re6er! t& t%e 0rin*i0a# *&n,iti&n! in an a(ree$ent
,. Err&r a! t& 0er!&n 7%en it i! t% e 0rin*i0a# *&n!i,erati&n &6 t%e *&ntra*t e. Err&r a! t& #e( a# e66 e*t 7%en $i !ta1e i! $-t-a# an, 6r-!trate! t%e rea# 0-r0&!e &6 0artie!
VIOLENCE Seri&-! &r irre!i!ti/#e 6&r*e i! e$0#&e, t& 7re!t *&n!ent
INTIMIDATION
INDS O: :RAUD IN THE PER:ORMANCE O: OBLI3ATION OR CONTRACTS a. Ca!sa% :ra!d ?,&#& *a-!ante ,e*e0ti&n &6 !eri&-! *%ara*ter 7it%&-t 7%i*% t%e &t%er 0art 7&-#, n&t %a+e entere, int&" *&ntra*t i! VOIDABLE ?Art. 5==9 /. Incidena% :ra!d ?,&#& in*i,ente ,e*e0ti&n 7%i*% are n&t !eri&-! an, 7it%&-t 7%i*% t%e &t%er 0art 7&-#, !ti## %a+e entere, int& t%e *&ntra*t" %&#,! t%e (-i#t 0art #ia/#e 6&r DAMAGES ?Art. 5=@@ *. T$%eraed :ra!d in*#-,e! $ini$iin( t%e ,e6e*t! &6 t%e t%in() ea((erati&n &6 it! (&, 2-a#itie! an, (i+in( it 2-a#itie! it ,&e! n&t %a+e" LA;FUL $i!re0re!entati&n
One 0art i! *&$0e##e, / a rea!&na/#e an, 7e##(r&-n,e, 6ear &6 an i$$inent an, (ra+e ,an(er -0&n 0er!&n an, 0r&0ert &6 %i$!e#6)
CIVIL LAW REVIEWER )01
Pa'e 1(9 $&
NOTE8 E6ressi$n $& an $ini$n n&t 6ra-, -n#e!! $a,e / e0ert an, &t%er 0art re#ie, &n t%e 6&r$erK! !0e*ia# 1n&7#e,(e
:ra!d #" ird ers$n ,&e! n&t +itiate *&n!ent" &n# a*ti&n 6&r ,a$a(e! e*e0t i6 t%ere i! *&##-!i&n /et7een &ne 0art an, t%e t%ir, 0er!&n) &r re!-#te, t& !-/!tantia# $i!ta1e) $-t-a# /et7een 0artie!.
CAUSES O: EFTINCTION O: ACTION TO ANNUL a.PRESCRIPTION > 6&r Ann-#$ent
ιιι. T%e in-re, 0art $-!t %a+e ee*-te, an a*t 7%i*% e0re!!# &r i$0#ie,# *&n+e! an intenti&n t& 7ai+e %i! ri(%t
c- LOSS O: THE THIN3 7%i*% i! t%e &/e*t &6 t%e *&ntr a*t t%r&-(% 6ra-, &r 6a-#t &6 t%e 0er!&n 7%& i! entit#e, t& ann-# t%e *&ntra*t
NOTE8 O/e*t i! #&!t t%r&-(% a fortuitous e"ent) t%e *&ntra*t *an !ti## /e ann-##e,) /-t t%e 0er!&n &/#i(e, t& ret-rn t%e !a$e *an /e %e#, #ia/#e &n# 6&r t%e +a#-e &6 t%e t%in( at t%e ti$e &6 t%e #&!!) /-t 7it%&-t intere!t t%ere&n.
Peri&, t& /rin( an a*ti&n
i. Intimidation& "iolence& undue influence @ ear! 6r&$ ti$e ,e6e*t &6 *&n!ent *ea!e! ii.#istaDe& frau d @ ear! 6r&$ ti$e &6 ,i!*&+er iii. Incapacity Fr&$ ti$e (-ar,ian!%i0 *ea!e!
Rati6i*ati&n *#ean!e! t%e *&ntra*t &6 it! ,e6e*t! 6r&$ t%e $&$ent it 7a! *&n!tit-te,.
C- UNEN:ORCEABLE CONTRACT UNENFORCEABLE CONTRACT +a#i, /-t *ann&t *&$0e# it! ee*-ti&n -n#e!! rati6ie," etrin!i* ,e6e*t" 0r&,-*e #e(a# e66e*t! &n# a6ter rati6ie,
INDS: •
Di!*&+er &6 6ra-, $-!t /e re*1&ne, t& %a+e ta1en 0#a*e 6r&$ t%e ti$e t%e ,&*-$ent 7a! re(i!tere, in t%e &66i* e &6 t%e re(i!ter &6 ,ee,!. Re(i!trati&n *&n!tit-te! *&n!tr-*ti+e n&ti*e t& t%e 7%&#e 7&r#,. Caranes .- CA5 K?+ SCRA *1)
i. N& a-t%&rit *&n6erre, ii. In
e*e!! &6 a-t%&rit *&n6erre, ?-#tra +ire!
/. C!ra#%e #" Rai&icai$n > B&t% 0artie! in*a0a/#e &6 (i+in( *&n!ent 8 $in&r &r 8 in!ane 0er!&n!
#- RATI:ICATION REUISITES8 &6 ι. 'n&7#e,(e *&ntra*t +&i,a/#e
a. Una!$riJed $r N$ s!&&icien a!$ri" entere, int& in t%e na$e &6 an&t%er 7%en:
rea!&n
ren,erin(
ιι. S-*% rea!&n $-!t %a+e *ea!e,) e*e0t in *a!e &6 rati6i*ati&n e66e*te, / t%e (-ar,ian t& *&ntra*t! entere, int& / an in*a0a*itate,)
CIVIL LAW REVIEWER )01
*.
C!ra#%e #" Ac Fai#-re t& *&$0# 7it% Stat-te &6 Fra-,!
:A::E 4<
A(ree$ent t& /e 0er6&r$e, 7it%in a ear a6ter $a1in( *&ntra*t
Pa'e 1)0 $&
ii. S0e*ia# 0r&$i!e t& an!7er 6&r ,e/t) ,e6a-#t &r $i!*arria(e &6 an&t%er
CHARACTERISTICS8
iii.
A(ree$ent $a,e in *&n!i,erati&n &6 0r&$i!e t& $arr
a. It 0r&,-*e! n& e66e*t 7%at!&e+er eit%er a(ain!t &r in 6a+&r &6 an&ne
i+.
A(ree$ent 6&r !a#e &6 (&&,!) *%atte#! &r t%in(! in a*ti&n at 0ri*e n&t #e!! t%an 4" e*e0ti&n: a-*ti&n 7%en re*&r,e, !a#e in !a#e! /&&1
/. T%ere i! n& a*ti&n 6&r ann-#$ent ne*e!!ar a! !-*% i! i0!& -re. A -,i*ia# ,e*#arati&n t& t%at e66e*t i! $ere# a ,e*#arati&n
+.
A(ree$ent 6 &r # ea!e & 6 0 r&0ert 6 &r $ &re t%an &ne ear an, !a#e &6 rea# 0r&0ert re(ar,#e!! &6 0ri*e
*.
+i.
Re0re!entati&n a! t& *re,it &6 an&t%er
TWO WA,S O: CURIN3 UNEN:ORCEABLE CONTRACTS8 a. :ai%!re $& de&endan $ $#4ec in ime ) t& t%e 0re!entati&n &6 0ar&#e e+i,en*e in *&-rt) t%e ,e6e*t &6 -nen6&r*ea/i#it i! *-re,
/. Acceance $& #ene&is !nder e c$nrac. I6 t%ere i! 0er6&r$an*e in eit%er 0art an, t%ere i! a**e0tan*e &6 0er6&r$an*e) it ta1e! it &-t &6 -nen6&r*ea/#e *&ntra*t!" a#!& e!t&00e# !et! in / a**e0tin( 0er6&r$an*e) t%e ,e6e*t i! 7ai+e,
NOTES8 •
•
T%e *&ntra*t!a(ree$ent! -n,er t%e Stat-te &6 Fra-,! re2-ire t%at t%e !a$e /e e+i,en*e, / !&$e n&te &r $e$&ran,-$ &r 7ritin() !-/!*ri/e, / t%e 0art *%ar(e, &r / %i! a(ent) &t%er7i!e) t%e !ai, *&ntra*t! !%a## /e -nen6&r*ea/#e.
Te Sa!e $& :ra!ds a%ies $n%" $ e6ec!$r" c$nracs) n&t t& t%&!e t%at are 0artia## &r *&$0#ete# 6-#6i##e,.
D- VOID OR INEFISTENT VOID OR INEISTENT &6 n& #e(a# e66e*t
CIVIL LAW REVIEWER )01
It *ann&t /e *&n6ir$e,) rati6ie, &r *-re,
,. I6 0er 6&r$e,) re!t&rati&n i! in &r,e r) e*e0t i6 0ari ,e#i*t& 7i## a00# e. T%e ri(%t t& !et -0 t%e ,e6en!e &6 n-##it *ann&t /e 7ai+e, 6.
I$0re!*ri0ti/#e
(. An&ne $a in +&1e t%e n- ##it &6 t%e *&ntra*t 7%ene+er it! -ri,i*a# e66e*t! are a!!erte, a(ain!t %i$
INDS O: VOID CONTRACT8 a. T$se %ac
Those wc are absolutely simulated or fictitious F n& *a-!e
ii. Those which cause or object did not exist at the time of the transaction n& *a-!e&/e*t iii. Those whose object is outside the commerce of man n& &/e*t i+. Those
wc
contemplate
an
impossible ser"ice n& &/e*t +. T%&!e 7* intenti&n &6 0artie! re#ati+e t& 0rin*i0a# &/e*t &6 t%e *&ntra*t *ann&t /e a!*ertaine,
Pa'e 1)1 $&
/. Pr$i#ied #" %a/ *.
T$se e6ress%" r$i#ied $r dec%ared .$id #" %a/ C&ntra*t! 7* +i&#ate an #e(a# 0r&+i!i&n) 7%et%er it a$&-nt! t& a *ri$e &r n&t
,. I%%e'a%I%%ici $nes T%&!e 7%&!e *a-!e) &/e*t &r 0-r0&!e i! *&ntrar t& #a7) $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er &r 0-/#i* 0&#i* " E: C&ntra*t t& !e## $ari-ana
OTHER VOID CONTRACTS8 1PACTUM COMMISSORIUM =Ars- 205 21(05 1(90;
B&t% 0artie! are (-i#t) n& a*ti&n a(ain!t ea*% &t%er" t%&!e 7%& *&$e in e2-it $-!t *&$e 7it% *#ean %an,!" a00#ie! &n# t& i##e(a# *&ntra*t! an, n&t t& inei!tent *&ntra*t!" ,&e! n&t a00# 7%en a !-0eri&r 0-/#i* 0&#i* inter+ene
EFCEPTION TO PARI DELICTO RULE I6 0-r0&!e %a! n&t et /een a**&$0#i!%e, an, i6 ,a$a(e %a! n&t /een *a-!e, t& an =r, 0er!&n
OTHER EFCEPTIONS8 a. Pa$ent &6 U!-ri&-! intere!t
ELEMENTS8 5. T%ere !%&-#, /e a 0r&0ert $&rt(a(e, / 7a &6 !e*-rit 6&r t%e 0a$ent &6 t%e 0rin*i0a# &/#i(ati&n. 8. T%ere !%&-#, /e a !ti0-#ati&n 6&r a-t&$ati* a00r&0riati&n / t%e *re,it&r &6 t%e t%in( $&rt(a(e, in *a!e &6 n&n0a$ent &6 t%e 0rin*i0a# &/#i(ati&n 7it%in t%e !ti0-#ate, 0eri&,.
/. 0a$ent &6 $&ne &r ,e#i+er &6 0r&0ert 6&r an i##e(a# 0-r0&!e) 7%ere t%e 0art 7%& 0ai, &r ,e#i+ere, re0-,iate! t%e *&ntra*t /e6&re t%e 0-r0&!e %a! /een a**&$0#i!%e,) &r /e6&re an ,a$a(e %a! /een *a-!e, t& a =r, 0er!&n
2PACTUM DE NON ALIENANDO =Ar21(0;
*.
•
A !ti0-#ati&n 6&r/i,,in( t%e &7ner 6r&$ a#ienatin( t%e i$$&+a/#e $&rt(a(e, !%a## /e +&i,.
•
(-
It i! a *#a-!e in a $&rt(a(e (i+in( t%e $&rt(a(ee t%e ri(%t t& 6&re*#&!e / ee*-t&r 0r&*e!! ,ire*te, !&#e# a(ain!t t%e $&rt(a(&r) an, (i+in( %i$ &r %er t%e ri(%t t& !eie an, !e## t%e $&rt(a(e, 0r&0ert) re(ar,#e!! &6 an !-/!e2-ent a#ienati&n!.
,. a(ree$ent &r *&ntra*t 7%i*% i! n&t i##e(a# 0er !e an, t%e 0r&%i/iti&n i! ,e!i(ne, 6&r t%e 0r&te*ti&n &6 t%e 0#ainti66 e. 0a$ent &6 an a$&-nt in e*e!! &6 t%e $ai$-$ 0ri*e &6 an arti*#e &r *&$$&,it 6ie, / #a7 &r re(-#ati&n / *&$0etent a-t%&rit 6.
PACTUM L EONINA = Ar- 1 ?99;
A !ti0-#ati&n 7%i*% e*#-,e! &ne &r $&re 0artner! 6r&$ an !%are in 0r&6it &r #&!! i! +&i,.
0a$ent &6 $&ne &r ,e#i+er &6 0r&0ert $a,e / an in*a0a*itate, 0er!&n
*&ntra*t 7%ere/ a #a/&rer -n,erta1e! t& 7&r1 #&n(er t%an t%e $ai$-$ n-$/er &6 %&-r! 6ie, / #a7
(. One 7%& #&!t in (a$ /#in( /e*a-!e &6 6ra-,-#ent !*%e$e! 0ra*ti*e, &n %i$ i! a##&7e, t& re*&+er %i! #&!!e! ?Art. =5= RPC e+en i6 (a$/#in( i! 0r&%i/ite,.
INDS O: ILLE3AL CONTRACTS PARI DELICTO DOCTRINE REUISITES O: ILLE3AL CONTRACTS8 a.
CIVIL LAW REVIEWER )01
C&ntra*t i! 6&r an i##e(a# 0-r0&!e
Pa'e 1)2 $&
/.
C&ntra*t $-!t /e re0-,iate, / an &6 t%e 0artie! /e6&re 0-r0&!e i! a**&$0#i!%e, &r ,a$a(e i! *a-!e, t& = r, 0artie!
*.
C&-rt /e#ie+e! t%at 0-/#i* intere!t 7i## /e !er+e, / a##&7in( re*&+er ?,i!*reti&nar -0&n t%e *&-rt /a!e, &n re$&r!e" i##e(a#it i! a**&$0#i!%e, 7%en 0artie! entere, int& *&ntra*t" /e6&re it ta1e! e66e*t 0art 7* i! re$&r!e6-# 0re+ent! it
WHERE LAWS ARE ISSUED TO PROTECT CERTAIN SECTORS8 CONSUMER PROTECTION5 LABOR5 AND USUR, LAW a. C$ns!mer r$eci$n i6 0ri*e &6 *&$$&,it i! ,eter$ine, / !tat-te) an 0er!&n 0ain( an a$&-nt in e*e!! &6 t%e $ai$-$ 0ri*e a##&7e, $a re*&+er !-*% e*e!! /. La#$r i6 #a7 !et! t%e $ini$-$ 7a(e 6&r #a/&rer!) an #a/&rer 7%& a(ree, t& re*ei+e #e!! $a !ti## /e entit#e, t& re*&+er t%e ,e6i*ien*" i6 #a7 !et $a 7&r1in( %&-r! an, #a/&rer 7%& -n,erta1e! t& 7&r1 #&n(er $a ,e$an, a,,iti&na# *&$0en!ati&n
,e!i(nate, 6&r t%e 0r&te*ti&n &6 t%e 0#ainti66 $a re*&+er 7%at %e %a! 0ai, &r ,e#i+ere, / +irt-e &6 0-/#i* 0&#i*
MUTUAL RESTITUTION IN VOID CONTRACTS 3ENERAL RULE8 0artie! !%&-#, ret-rn t& ea*% &t%er 7%at t%e %a+e (i+en / +irt-e &6 t%e +&i, *&ntra*t in *a!e • ;%ere n-##it ar&!e 6r&$ ,e6e*t in e!!entia# e#e$ent!
a. ret-rn &/e*t &6 *&ntra*t an, 6r-it! /. ret-rn 0ri*e 0#-! intere!t
EFCEPTION: N& re*&+er *an /e %a, in *a!e! 7%ere n-##it &6 *&ntra*t ar&!e 6r&$ i##e(a#it &6 *&ntra*t 7%ere 0artie! are in 0ari ,e#i*t&" e6ce 7%en in*a0a*itate, n&t &/# i(e, t& ret-rn 7%at %e (a+e /-t $a re*&+er 7%at %e %a! (i+en &t%er 0art i! #e!! (-i#t &r n&t (-i#t
=========================================
TOPICS UNDER THE S,LLABUS *. Ineres 0ai, in e*e!! &6 t%e intere!t a##&7e, / t%e !s!r" %a/ $a /e re*&+ere, / ,e/t&r 7it% intere!t 6r&$ ,ate &6 0a$ent
A- 3ENERAL PROVISIONS ?- E&&ec $& C$nracs =========================================
E::ECTS O: ILLE3AL CONTRACTS a. I6 &ne 0art i! in*a0a*itate,) *&-rt! $a a##&7 re*&+er &6 $&ne) 0r&0ert ,e#i+ere, / in*a0a*itate, 0er!&n in t%e intere!t &6 -!ti*e" 0ari ,e#i*t& *ann&t a00# /e*a-!e an in*a0a*itate, 0er!&n ,&e! n&t 1n&7 7%at %e i! enterin( int&" -na/#e t& -n,er!tan, t%e *&n!e2-en*e! &6 %i! &7n a*ti&n /. I6 a( ree$ent i! n& t i##e(a# 0er !e /- t $ere# 0r&%i/ite, an, 0r&%i/iti&n i!
CIVIL LAW REVIEWER )01
?- E::ECT O: CONTRACTS C&ntra*t! ta1e e66e*t &n# /et7een t%e 0artie!) t%eir a!!i(n! an, %eir!) e*e0t in *a!e 7%ere t%e ri(%t! an, &/#i(ati&n! ari!in( 6r&$ t%e *&ntra*t are n&t tran!$i!!i/#e / t%eir nat-re) &r / !ti0-#ati&n &r / 0r&+i!i&n &6 #a7. T%e %eir i! n&t #ia/#e /e&n, t%e +a#-e &6 t%e 0r&0ert %e re*ei+e, 6r&$ t%e ,e*e,ent. ?Arti*#e 5=55 I6 a *&ntra*t !%&-#, *&ntain !&$e !ti0-#ati&n in 6a+&r &6 a t%ir, 0er!&n) %e $a ,e$an, it! 6-#6i##$ent 0r&+i,e, %e *&$$-ni*ate, %i!
Pa'e 1)( $&
a**e0tan*e t& t%e &/#i(&r /e6&re it! re+&*ati&n. A $ere in*i,enta# /ene6it &r intere!t &6 a 0er!&n i! n&t !-66i*ient. T%e *&ntra*tin( 0artie! $-!t %a+e *#ear# an, ,e#i/erate# *&n6erre, a 6a+&r -0&n a t%ir, 0er!&n. ?Arti*#e 5=55
CIVIL LAW REVIEWER )01
Pa'e 1)) $&
SALES A- INTRODUCTION ================================
TOPICS UNDER THE S,LLABUS A- Inr$d!ci$n 1- De&inii$n $& sa%es =Ars- 1)*5 1)?0; 2- Essenia% $& a c$nrac $& sa%e =Ar- re@!isies 1*0*; (- Sa'es $& c$nrac $& sa%e )- O#%i'ai$ns creaed =Ar- 11+*; *- Caracerisics $& a c$nrac $& sa%e +- Sa%e is i%e and n$ m$de ?- Sa%e disin'!ised &r$m $er c$nracs - C$nrac $& sa%ec$nrac $ se%% =========================================
2- ELEMENTS O: A CONTRACT O: SALE 5. C&n!ent 8. Deter$inate !-/e*t $atter =. Pri*e *ertain in $&ne &r it! e2-i+a#ent
=========================================
TOPICS UNDER THE S,LLABUS A- INTRODUCTION (- Sa'es $& C$nrac $& Sa%e =========================================
(- STA3ES IN LI:E O: CONTRACT O: SALE 5. 8. =.
Ne(&tiati&n Per6e*ti&n C&n!-$$ati&n
=========================================
TOPICS UNDER THE S,LLABUS
TOPICS UNDER THE S,LLABUS
A- INTRODUCTION
A- INTRODUCTION
)- O#%i'ai$ns creaed =========================================
1- De&inii$n $& Sa%es =========================================
1- DE:INITION O: SALES =Ars- 1)* 1)?0; CONTRACT O: SALE One &6 t%e *&ntra*tin( 0artie! &/#i(ate! imse%& $ rans&er e $/nersi &6 an, t& de%i.er a deerminae in') an, t%e $er $ a" ere&$re a rice cerain in m$ne" &r it! e2-i+a#ent. A *&ntra*t &6 !a#e $a /e a/!&#-te &r *&n,iti&na#. =========================================
)- OBLI3ATIONS CREATED 8 !et! &6 rea# &/#i(ati&n! t& (i+e
O#%i'ai$n $& e Se%%er8 a. t& tran!6er &7ner!%i0 an, /. t& ,e#i+er 0&!!e!!i&n =========================================
TOPICS UNDER THE S,LLABUS A- INTRODUCTION *- Caracerisics $& C$nrac $& Sa%e =========================================
TOPICS UNDER THE S,LLABUS *- CHARACTERISTICS O: CONTRACT O:
A- INTRODUCTION 2- E%emens $& a C$nrac $& Sa%e =========================================
CIVIL LAW REVIEWER )01
SALE8 5. N&$inate 8. Prin*i0a# =. C&n!en!-a# @. Bi#atera#
Pa'e 1)* $&
4. Re*i0r&*a# . Oner&-! >. C&$$-tatit+e 9. Tit#e an, n&t a $&,e
%an, &r n&t
=========================================
TOPICS UNDER THE S,LLABUS A- INTRODUCTION +- Sa%e is Ti%e and n$ M$de =========================================
+- SALE IS TITLE AND NOT MODE
E!!en*e i! !er+i*e E!!en*e i! &/e*t Rea# &/#i(ati&n Per!&na# &/#i(ati&n Te!t! -n,er J-ri!0r-,en*e: GR: IF YES) C$nrac &$r iece $& /$r<5 IF NO) SALE 5. :i&in !s! Un,er art 5@>: 7%et%er t%e t%in( tran!6erre, &n# ei!te, -0&n !0e*ia# &r,er 8. B%i!u%li!6 !s! - i6 $an-6a*t-rer en(a(e! in a*ti+it 7it% t%e nee, t& e$0#& etra&r,inar !1i##! an, e2-i0$ent ?0elestino " 0I1
=========================================
TOPICS UNDER THE S,LLABUS A- INTRODUCTION ?- Sa%e disin'!ised &r$m $er c$nracs ========================================
CONTRACT :OR PIECE Lea!e U!e &6 t%in( i! 6&r a !0e*i6ie, 0eri&, &n# 7it% an &/#i(ati&n t& ret-rn C&n!i,erati&n i! rent Le!!&r nee, n&t /e &7ner
O: WOR Sa#e O/#i(ati&n t& a/!&#-te# tran!6er &7ner!%i0 &6 t%in(
=. %!ur o !" ojc! !s! Ea*% 0r&,-*tK! nat-re &6 ee*-ti&n ,i66er! 6r&$ t%e &t%er!" 0r&,-*t! are n&t &r,inar 0r&,-*t! &6 Man-6a*t-rer ?EEI + CIR
BARTER DISTIN3UISHED :ROM SALE Barer Sa%e C&n!i,erati&n: (i+in( C&n!i,erati&n: (i+in( &6 a t%in( &6 $&ne a! 0a$ent G&+erne, / #a7 &n !a#e!: !0e*ie! &6 t%e (en-! !a#e! I6 *&n!i,erati&n *&n!i!t! 0art# in $&ne an, 0art# / t%in( #&&1 at $ani6e!t intenti&n" I6 intenti&n i! n&t *#ear: I6 intenti&n i! n&t +a#-e &6 t%in( is *#ear: +a#-e &6 t%in( m$re t%an a$&-nt &6 is u%l or lss t%an $&ne /arter a$&-nt &6 $&ne !a#e
C&n!i,erati&n i! 0ri*e Se##er nee,! t& /e &7ner &6 t%in( t& tran!6er &7ner!%i0
DISTIN3UISHED :ROM SALE C$nrac &$r iece $& /$r< G&&,! are t& /e $an-6a*t-re, !0e*ia## 6&r a *-!t&$er an,
Sa%e
-0&n !0e*ia# &r,er an, n&t 6&r t%e (enera# $ar1et
&r,inar *&-r!e &6 /-!ine!! $an-6a*t-re! &r 0r&*-re! 6&r (enera# $ar1et ?7%et%er &n
C&ntra*t 6&r ,e#i+er &6 an arti*#e 7%i*% t%e +en,&r in t%e
CIVIL LAW REVIEWER )01
DATION IN PA,MENT DISTIN3UISHED :ROM SALE Dati&n in Pa$ent Sa#e Preei!tin( *re,it N& 0reei!tin( *re,it O/#i(ati&n! are O/#i(ati&n! are etin(-i!%e, *reate, De/t&rK! *&n!i,erati&n: C&n!i,erati&n &6 etin(-i!%$ent &6 t%e !e##er: 0ri*e ,e/t C&n!i,erati&n &6 Cre,it&rK! *&n!i,erati&n: /-er: a*2-i!iti&n a*2-i!iti&n &6 t%e &/e*t &6 t%e &/e*t
Pa'e 1)+ $&
&66ere, in #ie- &6 t%e &ri(ina# *re,it Le!! 6ree,&$ in ,eter$inin( t%e 0ri*e Pa$ent i! re*ei+e, / t%e ,e/t&r /e6&re t%e *&ntra*t i! 0er6e*te,
A- INTRODUCTION Greater 6ree,&$ in ,eter$inin( t%e 0ri*e B-er !ti## %a! t& 0a t%e 0ri*e
A3ENC, TO SELL DISTIN3UISHED :ROM SALE A'enc"$Se%% Sa%e A(ent n&t &/#i(e, t& 0a 6&r 0ri*e) $ere# &/#i(e, t& ,e#i+er 0ri*e re*ei+e, 6r&$ /-er. Pre0arat&r *&ntra*t Prin*i0a# re$ain! &7ner e+en i6 &/e*t ,e#i+ere, t& a(ent A(ent a!!-$e! n& ri!1#ia/i#it a! #&n( a! 7it%in t%e a-t%&rit (i+en Ma /e re+&1e, -ni#atera## /e*a-!e 6i,-*iar an, e+en i6 re+&1e, 7& (r&-n, A(ent n&t a##&7e, t& 0r&6it Per!&na# C&ntra*t"
- C$nrac $& Sa%eC$nrac $ Se%% =========================================
- C$nrac $& Sa%eC$nrac $ Se%% C&ntra*t &6 Sa#e A/!&#-te Rea# &/#i(ati&n &/#i(ati&n t& (i+e Tit#e 0a!!e! t& t%e /-er -0&n ,e#i+er
B-er 0a! 6&r 0ri*e &6 &/e*t
Prin*i0a# *&ntra*t B-er /e*&$e! &7ner &6 t%in(" in a(en* Se##er 7arrant!
N&t -ni#atera## re+&*a/#e Se##er re*ei+e! 0r&6it Rea# C&ntra*t
N&n0a$ent &6 t%e 0ri*e i! a ne(ati+e re!&#-t&r *&n,iti&n
Re$e,ie! a+ai#a/#e: S0e*i6i* Per6&r$an*e Re!*i!!i&n Da$a(e!
C&ntra*t t& Se## C&n,iti&na# Per!&na# &/#i(ati&n &/#i(ati&n t& ,& O7ner!%i0 i! re!er+e, in t%e !e##er an, 7i## 0a!! t& t%e /-er &n# -0&n 6-## 0a$ent &6 t%e 0ri*e F-## 0a$ent i! a 0&!iti+e !-!0en!i+e *&n,iti&n) t%e 6ai#-re &6 7%i*% i! n&t a /rea*% /-t 0re+ent! t%e &/#i(ati&n &6 t%e +en,&r t& *&n+e tit#e t& ari!e Re$e,ie! a+ai#a/#e: Re!&#-ti&n Da$a(e!
END O: DISCUSSION ON TOPIC A- INTRODUCTION ================================
Re!*i!!i&n i! n&t a+ai#a/#e
DONATION DISTIN3UISED :ROM SALE D$nai$n Sa%e Grat-it&-! &r Oner&-! &ner&-! F&r$a# *&ntra*t C&n!en!-a# *&ntra*t NOTE8 Lease /i $i$n $ #!"8 rea## a *&ntra*t &6 !a#e /-t ,e!i(nate, a! #ea!e in na$e &n#" it i! a !a#e / in!ta##$ent!
B- PARTIES TO A CONTRACT O: SALE ================================
TOPICS UNDER THE S,LLABUS B- Paries $ a C$nrac $& Sa%e 1- Caaci" $& aries =Ars- 1)9> 1)92; 2- A#s$%!e incaaci" =Ars- 1(2?5 1(9?5 1(99; (- Re%ai.e incaaci"8 married ers$ns )- Secia% dis@!a%i&icai$ns =Ars1)91>1)92;
========================================= =========================================
TOPICS UNDER THE S,LLABUS
CIVIL LAW REVIEWER )01
Pa'e 1)? $&
TOPICS UNDER THE S,LLABUS
(- RELATIVE INCAPACIT,
B- PARTIES TO A CONTRACT O: SALE
A- SPOUSES > A !0&-!e $a) 7it%&-t t%e *&n!ent &6 t%e &t%er !0&-!e) enter int& !a#e! tran!a*ti&n! in t%e re(-#ar 0-r!-it &6 t%eir 0r&6e!!i&n) +&*ati&n) &r tra,e. T%e!e *&ntra*t! are +&i,.
1- Caaci" $& Paries =========================================
3ENERAL RULE > A## 0er!&n! 7%& are a-t%&rie, in t%i! C&,e t& &/#i(ate t%e$!e#+e! $a enter int& a *&ntra*t &6 !a#e
3ENERAL RULE8 T%e %-!/an, an, t%e 7i6e *ann&t !e## 0r&0ert t& ea*% &t%er. EFCEPTION8 • ;%en a !e0arati&n &6 0r&0ert 7a! a(ree, -0&n in t%e marria'e se%emen
=========================================
TOPICS UNDER THE S,LLABUS
•
;%en t%ere %a! /een a 4!dicia% searai$n &6 0r&0ert -n,er Art. 55
B- PARTIES TO A CONTRACT O: SALE 2- A#s$%!e Incaaci"
NOTE8 Pr&%i/iti&n #i1e7i!e a00#ie! t& *&$$&n #a7 !0&-!e!
=========================================
B- OTHERS > TRUST RELATIONSHIPS I. Art. 5@5 T7& (r&-0! &6 0artie! 0r&%i/ite, 6r&$ a*2-irin( / 0-r*%a!e *ertain 0r&0ertie!:
2- ABSOLUTE INCAPACIT, MINORS5 INSANE AND DEMENTED PERSONS5 AND DEA:>MUTES •
C&ntra*t! are +&i,a/#e) !-/e*t t& ann!%men $r rai&icai$n
•
A#!& in*#-,e!: -
State &6 ,r-n1enne!!
-
H0n&ti* !0e##
-
NECESSARIES: T%&!e !&#, an, ,e#i+ere, t& a $in&r &r &t%er 0er!&n 7it%&-t *a0a*it t& a*t) %e $-!t 0a a rea!&na/#e 0ri*e t%ere6&re
=========================================
TOPICS UNDER THE S,LLABUS B- PARTIES TO A CONTRACT O: SALE (- Re%ai.e Incaaci" =========================================
CIVIL LAW REVIEWER )01
a. G-ar,ianA(entEe*-t&r! an, A,$ini!trat&r! • Dire*t &r in,ire*t •
Ma /e rati6ie, !in*e &n# 0ri+ate 7r&n( i! in+&#+e,
/. P-/#i* O66i*er! E$0#&ee!O66i*er! &6 C&-rt i. Cann&t /e rati6ie, !in*e 0-/#i* 7r&n( i! in+&#+e, ii. Re2-i!ite! 6&r t%e 0r&%i/iti&n t& a00# t& att&rne!: 5. Ei!ten*e &6 att&rne *#ient re#ati&n!%i0" 8. Pr&0ert i! t%e !-/e*t $atter in #iti(ati&n" =. ;%i#e in #iti(ati&n ?6r&$ 6i#in( &6 *&$0#aint t& 6ina# -,($ent
NOTE8 E*e0ti&n t& t%e 0r&%i/iti&n a(ain!t att&rne!: c$nin'en &ee arran(e$ent 7%ere t%e a$&-nt &6 #e(a# 6ee! i! /a!e, &n a +a#-e &6 0r&0ert in+&#+e, in #iti(ati&n ?rea!&n i! t%at t%e tran!6er &r a!!i(n$ent &6 t%e 0r&0ert ta1e! e66e*t &n# a6ter t%e 6ina#it &6 a 6a+&ra/#e -,($ent II- Le'a% Sa!s $& C$nrac 5. V&i, ?*a!e #a7 (-ar,ian ee*-t&r0-/#i* &66i*er! &66i*er! &6 t%e *&-rt
Pa'e 1) $&
8. V&i,a/#e ?*i+i# *&,e a(ent" VALID i6 7it% *&n!ent
i. ;%et%er t%e !-/e*t $atter i! &6 a t0e an, nat-re t%at ei!t! &r *&-#, /e $a,e t& ei!t t& a##&7 t%e !e##er rea!&na/#e *ertaint &6 /ein( a/#e t& *&$0# 7it% %i! &/#i(ati&n!
=========================================
TOPICS UNDER THE S,LLABUS B- PARTIES TO A CONTRACT O: SALE
ii. Mini$-$ re2-ire$ent & 6 0&tentia# ei!ten*e: ta1in( int& *&n!i,erati&n t%e !tate &6 !*ien*e an, te*%n&#&( at t%e ti$e &6
)- Secia% Dis@!a%i&icai$ns =========================================
)- SPECIAL DISUALI:ICATIONS
END O: DISCUSSION ON TOPIC B- PARTIES TO A CONTRACT O: SALE ================================
C- SUBECT MATTER O: SALE ================================
TOPICS UNDER THE S,LLABUS
0er6e*ti&n &6 t%e *&ntra*t B- Lici B.5. N&t &-t!i,e t%e *&$$er*e &6 $an B.8. I6 i##i*it) *&ntra*t i! +&i, B.=. Pr&%i/ite,: i. Ani$a#! 7it% *&nta(i&-! ,i!ea!e! ii. Sa#e &6 6-t-re in%eritan*e
C- Deerminae $r deermina#%e i. Deter$inate: 0arti*-#ar# ,e!i(nate, &r 0%!i*a## !e(re(ate, 6r&$ a## &t%er! &6 t%e !a$e *#a!!" a#7a! !0e*i6i* ii. Deter$ina/#e: a#7a! (eneri*
C- S!#4ec Maer 1- Re@!isies $& a .a%id s!#4ec
a
T%in(i!*a0a/#e&6 /ein( $a,e ,eter$inate
maer =Ars- 1)*9>1)+*; 2- Paric!%ar
/
;it%&-t t%e ne*e!!it &6 a ne7 &r 6-rt%er *&ntra*t /et7een t%e 0artie!.
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TOPICS UNDER THE S,LLABUS
Emi$ rei seraae Sa#e &6 an e0e*te, t%in(
C- SUBECT MATTER O: SALE 1- Re@!isies $& a .a%id s!#4ec maer =========================================
1- REUISITES O: A VALID SUBECT MATTER
Re@!isies8 1- Tin's A- P$ssi#%e *&ntin(ent
ei!tin()
CIVIL LAW REVIEWER )01
6-t-re)
an,
Sa#e i! !-/e*t t& t%e *&n,iti&n" t%at t%e t%in( 7i## ei!t" i6 it ,&e! n&t) t%ere i! n& *&ntra*t Un*ertaint i! 7it% re(ar, t& t%e 2-antit an, 2-a#it &6 t%e t%in( an, n&t t%e ei!ten*e &6 t%e t%in( O/e*t i! a 6-t-re t%in(
Emi$ sei Sa#e &6 a $ere %&0e &r e0e*tan* t%at t%e t%in( 7i## *&$e t& ei!ten*e" !a#e &6 t%e %&0e it!e#6 Sa#e i! e66e*ti+e e+en i6 t%e t%in( ,&e! n&t *&$e int& ei!ten*e) -n#e!! it i! a +ain %&0e ?Art 5@5 Sa#e &6 a +ain %&0e &r e0e*tan* i! +&i, T%e -n*ertaint i! 7it% re(ar, t& t%e ei!ten*e &6 t%e t%in(
Pa'e 1)9 $& O/e*t i! a 0re!ent t%in( 7%i*% i! t%e %&0e &r e0e*tan*
NOTE8 S-/e*t $atter CAN DETERMINED BY a =r, PARTY.
NOT
/e
================================
TOPICS UNDER THE S,LLABUS
2- Ri's M-!t /e tran!$i!!i/#e) e*e0t: a. F-t-re in%eritan*e /. Ser+i*e
=========================================
TOPICS UNDER THE S,LLABUS C- SUBECT MATTER O: SALE 2- Paric!%ar inds =========================================
D- O#%i'ai$ns $& e Se%%er $ Trans&er O/nersi 1- Sa%e #" a ers$n n$ e $/ner a ime $& de%i.er" =Ars- 1)+25 1*0*5 1)*9; E6cei$ns 2- Sa%e #" a ers$n a.in' a .$ida#%e i%e =Ars- 1*0+5 **9; =========================================
TOPICS UNDER THE S,LLABUS
2- PARTICULAR INDS
D- OBLI3ATIONS O: THE SELLER TO TRANS:ER OWNERSHIP
3OODS THAT MA, BE THE OBECTS O: SALE 5. E6isin' '$$ds (&&,! &7ne, &r 0&!!e!!e, / t%e !e## er at t%e ti$e &6 0er6e*ti&n
1- Sa%e #" a ers$n n$ e $/ner a e ime $& de%i.er"
8. :!!re '$$ds (&&,! t& /e $an-6a*t-re,) rai!e, &r a*2-ire, / t%e !e##er a6ter t%e 0er6e*ti&n &6 t%e *&ntra*t
NOTES8 • <-antit &6 !-/e*t $atter i! n&t e!!entia# 6&r 0er6e*ti&n" $-!t ,eter$ine nat-re an, 2-a#it &6 !-/e*t $atter • Generi* t%in(! $a /e t%e &/e*t &6 !a#e) /-t t%e &/#i(ati&n t& ,e#i+er t%e !-/e*t $atter *an &n# /e *&$0#ie, 7it% 7%en t%e !-/e*t $atter %a! /een $a,e ,eter$inate ?eit%er / 0%!i*a# !e(re(ati&n &r 0arti*-#ar ,e!i(nati&n
END O: DISCUSSION ON TOPIC C- SUBECT MATTER O: SALE ================================
D- OBLI3ATIONS O: THE SELLER TO TRANS:ER OWNERSHIP CIVIL LAW REVIEWER )01
=========================================
1- OBLI3ATION O: THE SELLER TO TRANS:ER OWNERSHIP 3ENERAL RULE8 Se##er nee, n&t /e t%e &7ner &6 t%e !-/e*t $atter at t%e ti$e &6 0er6e*ti&n: !-66i*ient ,e#i+er. t%at %e i! t%e &7ner at t%e ti$e &6
EFCEPTION8 F&re*#&!-re !a#e ?$&rt(a(er $-!t /e a/!&#-te &7ner RULES ON LE3AL E::ECTS O: SALE B, A NON>OWNER 3ENERAL RULE8 Sa#e / n&n&7ner) /-er a*2-ire! n& /etter tit#e t%an !e##er %a,. EFCEPTIONS8 5. O7ner / %i! *&n,-*t i! 0re*#-,e, 6r&$ ,enin( !e##erK! a-t%&rit ?ESTOPPEL 8. C&ntrar i! 0r&+i,e, 6&r in re*&r,in( #a7! ?PD 548 =. Sa#e i! $a,e -n,er !tat-t&r 0&7er &6 !a#e &r -n,er &r,er &6 a *&-rt &6 *&$0etent -ri!,i*ti&n @. Sa#e i! $a,e in a $er*%antK! !t&re in a**&r,an*e 7it% *&,e &6 *&$$er*e an, !0e*ia# #a7!. +ut subject to ANTI<EN0IN8 =AG
TITLE AS TO MOVABLE PROPERTIES
Pa'e 1*0 $&
3ENERAL RULE8 P&!!e!!i&n i! e2-i+a#ent t& tit#e REUISITES8 P&!!e!!i&n &6 $&+a/#e an, G&&, Fait% EFCEPTIONS8 5. O7ner #&!t $&+a/#e &7ner *an re*&+er 7it%&-t rei$/-r!in( 0ri*e 8. O7ner i! -n#a76-## ,e0ri+e, &7ner *an re*&+er 7& rei$/-r!in( 0ri*e EFCEPTIONS TO THE EFCEPTIONS8 5. M&+a/#e i! /&-(%t at 0-/#i* !a#e &7ner *an &n# re*&+er a6ter rei$/-r!in( 0ri*e 8. A*2-ire, in (&&, 6ait% an, 6&r +a#-e 6r&$ a-*ti&n
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TOPICS UNDER THE S,LLABUS E- PRICE 1- Meanin' $& Price =========================================
1- MEANIN3 O: PRICE PRICE T%e !-$ !ti0-#ate, a! t%e e2-i+a#ent &6 t%e t%in( !&#, 6&r an,t%e a#!& e+er ta1en int& *&n!i,erati&n 6iin( &6in*i,ent t%e 0ri*e) 0-t t& t%e ,e/it &6 t%e +en,ee an, a(ree, t& / %i$.
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TOPICS UNDER THE S,LLABUS D- OBLI3ATIONS O: THE SELLER TO TRANS:ER OWNERSHIP 1- Sa%e #" a ers$n a.in' a .$ida#%e i%e ========================================
=========================================
TOPICS UNDER THE S,LLABUS E- PRICE 2- Re@!isies &$r a Va%id Price =========================================
END O: DISCUSSION ON TOPIC D- OBLI3ATIONS O: THE SELLER TO TRANS:ER OWNERSHIP ================================
E- PRICE ================================
TOPICS UNDER THE S,LLABUS E- Price 1- Meanin' $& rice =Ars- 1)+9> 1)?); 2- Re@!isies &$r a .a%id rice (- H$/ rice is deermined )- Inade@!ac" $& rice =Ars- 1(**5 1)?0; *- Wen n$ rice a'reed =Ar- 1)?); +- Manner a'reed !$n$& a"men m!s #e ?- Earnes m$ne" .s- Oi$n m$ne" =Ar- 1)2;
CIVIL LAW REVIEWER )01
2- REUISITES :OR A VALID PRICE8 A- Rea% ;%en at t%e 0er6e*ti&n &6 t%e *&ntra*t &6 !a#e) t%ere i! e+er intenti&n &n t%e /-er t& 0a t%e 0ri*e) an, e+er e0e*tati&n &n t%e 0art &6 t%e !e##er t& re*ei+e !-*% 0ri*e a! t%e +a#-e &6 t%e !-/e*t $atter %e &/#i(ate! %i$!e#6 t& ,e#i+er. ?Te!t &6 intenti&n B- In m$ne" $r is e@!i.a%en C&n!i,erati&n 6&r a +a#i, *&ntra*t &6 !a#e *an /e t%e 0ri*e an, &t%er +a#-a/#e *&n!i,erati&n" at t%e +er #ea!t) a tr-e *&ntra*t &6 !a#e $-!t %a+e 0ri*e a! 0art &6 it! *&n!i,erati&n ?Te!t &6 +a#-e *&n!i,erati&n C- Cerain $r asceraina#%e i- Certain: e0re!!e, an, a(ree, in ter$! &6 !0e*i6i* 0e!&! an,&r *enta+&! ii- A!*ertaina/#e: a. Set / ird ers$ns
Pa'e 1*1 $&
/. Set / t %e c$!rs in *a!e! 7%ere t%e t%ir, 0er!&n 6ie! t%e 0ri*e in /a, 6ait% &r / $i!ta1e *.
Set / re6eren*e t& a de&inie da"5 0arti*-#ar e*%an(e &r $ar1et
,. Set / r e6eren*e t& an$er in ( *ertain e. =u! nvr 6 on p%r!6 t& t%e *&ntra*t ?-n#e!! t%e 0ri*e i! a**e0te, / t%e &t%er 0art
(- H$/ rice is deermined =========================================
(- HOW PRICE IS DETERMINED
=========================================
TOPICS UNDER THE S,LLABUS E- PRICE )- Inade@!ac" $& rice =========================================
N$e8 ;%en t%e =r, 0art i! -n7i##in( t& !et t%e 0ri*e) t%e 0artie! $a n&t a!1 t%e *&-rt t& 6i t%e 0ri*e /e*a-!e t%e *&n,iti&n i$0&!e, &n t%e *&ntra*t %a! n&t %a00ene, et an, t%-!) n& en6&r*ea/#e *&ntra*t %a! ari!en. E::ECT WHERE PRICE IS SIMULATED T%e a*t $a /e !%&7n t& %a+e /een in rea#it a ,&nati&n) &r !&$e &t%er a*t &r *&ntra*t I6 n&t an, neit%er 0art %a, an intenti&n 7%at!&e+er t%at t%e a$&-nt 7i## /e 0ai, ?a/!&#-te# !i$-#ate,: t%e !a#e i! +&i,
I6 i! a rea#i!0ri*e /-t&ne 7%at i! !tate, in t%ere t%e *&ntra*t n&t t%e inten,e, t& /e 0ai, ?&n# re#ati+e# !i$-#ate,: t%e *&ntra*t &6 !a#e i! +a#i, /-t !-/e*t t& re6&r$ati&n ?6a#!e 0ri*e
E::ECT O: NON>PA,MENT O: PRICE NOTE: N&n0a$ent &6 0ri*e ,&e! n&t *an* e# !a#e) a! t%e !a#e i! !ti## *&n!i,ere, 0er6e*te,. B-t it i! a *a-!e 6&r eit%er: 1- S0e*i6i* 0er6&r$an*e &r
)- INADEUAC, O: PRICE E::ECT O: 3ROSS INADEUAC, O: PRICE NOTE8 Mere ina,e2-a* &6 t%e 0ri*e ,&e! n&t a66e*t t%e +a#i,it &6 t%e !a#e 5 e*e0t ?5 ;%en t%ere i! 6ra-,) $i!ta1e) &r -n,-e in6#-en*e in,i*ati+e &6 a ,e6e*t in *&n!ent i! 0re!ent) ?8;%en it !%&7! t%at t%e 0artie! rea## inten,e, a ,&nati&n &r !&$e &t%er a*t &r *&ntra*t. ?=J-,i*ia# !a#e) 7%ere t%e ina,e2-a* i! !%&*1in( t& t%e *&n!*ien*e &6 $an an, t%ere i! !%&7in( t%at in e+ent &6 re!a#e) a /etter 0ri*e *an /e &/taine,. =========================================
TOPICS UNDER THE S,LLABUS E- PRICE *- Wen n$ rice a'reed =========================================
2- Re!*i!!i&n. =========================================
TOPICS UNDER THE S,LLABUS
*- WHEN NO PRICE A3REED N$e8 If there was a failure of the contract to set a price #! e BU,ER as a%read" APPROPRIATED IT5 t%en t%e /-er $-!t 0a a rea!&na/#e 0ri*e ?Arti*#e 5@>@
E- PRICE =========================================
CIVIL LAW REVIEWER )01
Pa'e 1*2 $&
TOPICS UNDER THE S,LLABUS E- PRICE +- Manner $& a"men m!s #e a'reed !$n
M&ne (i+en a! ,i!tin*t *&n!i,erati&n 6&r an &0ti&n *&ntra*t
Part &6 t%e 0-r*%a!e 0ri*e
A00#ie! t& a !a#e n&t 0er6e*te,
Gi+en &n# 7%en t%ere i! a#rea, a !a#e
N&t re2-ire, t& /-
;%en (i+en) /-er i! /&-n, t& 0a t%e /a#an*e
=========================================
+- MANNER O: PA,MENT MUST BE A3REED UPON Manner $& a"men m!s #e a'reed !$n Marne%e'$ .- Banc$ :i%iin$ Sa.in's and M$r'a'e Ban<5 K3-R- N$- 1+1*2)5 an!ar" 2?5 200+
END O: DISCUSSION ON TOPIC E- PRICE
=========================================
TOPICS UNDER THE S,LLABUS E- PRICE
================================
:- :ORMATION O: CONTRACT O: SALE ================================
?- Earnes m$ne" .s- Oi$n m$ne"
TOPICS UNDER THE S,LLABUS
=========================================
?- EARNEST VS- OPTION MONE, EARNEST MONE, 5. M&ne (i+en a! 0art &6 0-r*%a!e 0ri*e 8. A**e0tan*e i! t%e 0 r&&6 t%at *&ntra*t &6 !a#e ei!t! =. N&t%in( in #a7 0 re+ent! 0artie! 6r&$ treatin( earne!t $&ne ,i66erent# @. O#, *&n*e0t: !-/e*t t& 6&r6eit-re 7%en BUYER /a*1! &-t 4. Ne7 *&n*e0t: *ann&t /e 6&r6eite, 0art &6 0-r*%a!e 0ri*e" $-!t /e re!t&re, . <-a#i6i*ati&n: i6 &#, *&n*e0t i! !ti0-#ate, VALID >. Pre!-$0ti&n &6 0er6e*ti&n &6 *&ntra*t &6 !a#e an, !-*% earne!t $&ne a! 0art &6 0-r*%a!e 0ri*e i! ,i!0-ta/#e
OPTION MONE, DISTIN3UISHED :ROM EARNEST MONE, OPTION MONE, EARNEST MONE,
CIVIL LAW REVIEWER )01
:- :$rmai$n $& C$nrac $& Sa%e 1- Preara$r" =Ar- 1)?9; 1-1- O&&er =Ar- 1)?*; 1-2- Oi$n c$nrac =Ars- 1)?95 1(2); 1-(- Ri' $& &irs re&!sa% 1-)- M!!a% r$mise $ #!" and se%% =Ar- 1)?9; 2- Per&eci$n =Ars- 1)?*5 1(195 1(2*5 1(2+; (- :$rma%iies $& e c$nrac =Ar1)0( =d;=e;; =========================================
TOPICS UNDER THE S,LLABUS :- :ORMATION O: CONTRACT O: SALE 1- Preara$r" =========================================
Pa'e 1*( $&
1- PREPARATOR, ( STA3ES IN LI:E O: A CONTRACT O: SALE A- P$%iciaci$nNe'$iai$n Sa'e > &66er i! 6#&ate,) a**e0tan*e i! 6#&ate, /-t t%e ,& n&t $eet" t%e ti$e 7%en 0artie! in,i*ate t%eir intere!t /-t n& *&n*-rren*e &6 &66er an, a**e0tan*e. B- Per&eci$n > *&n*-rren*e &6 a## re2-i!ite!" $eetin( &6 t%e $in,!. C- C$ns!mmai$n > 0artie! 0er6&r$ t%eir re!0e*ti+e -n,erta1in(!
0ai, a !e0arate *&n!i,erati&n) t& /- a *ertain &/e*t 7it%in an a(ree, 0eri&, 4:E# There is n& 0re!-$0ti&n &6 *&n!i,erati&n) it nee,! t& /e 0r&+en
OPTION an -na**e0te, &r -neer*i!e, *&ntra*t-a# &66er
Caracerisics $& Oi$n C$nrac
A- PREPARATOR,
a. N&t t%e *&ntra*t &6 !a#e / it!e#6) !e0arate an, ,i!tin*t
I-
/. N&$inate
RULES8
5. O66er i! 6#&ate,
Pri&r t& a**e0tan*e) $a /e 7it%,ra7n at 7i## / &66er&r
8. O66er 6#&ate, 7it% a 0eri&,
;it%&-t a**e0tan*e) etin(-i!%e, 7%en 0eri&, %a! en,e, an, $a/e 7it%,ra7n at 7i## / &66er&r" ri(%t t& 7it%,ra7 $-!t n&t /e ar/itrar &t%er7i!e) #ia/#e t& ,a$a(e -n,er Art 5) 8) 85 &6 Ci+i# C&,e
=. O66er 6#&ate, 7 *&n,iti&n
Etin(-i!%e, / %a00enin(n&n%a00enin( &6 *&n,iti&n
@. O66er 6#&ate, 7it%&-t
C&ntin-e! t& /e +a#i, ,e0en,in( -0&n *ir*-$!tan*e! &6 ti$e) 0#a*e an, 0er!&n
0eri&,7it%&-t *&n,iti&n 4. O66er i! 6#&ate, an, t%ere i! *&-nter&66er . O66er i! 6#&ate, >. O66er a**e0te,
Ori(ina# &66er i! ,e!tr&e,) t%ere i! a ne7 &66er" *an n&t (& /a*1 t& &ri(ina# &66er
N& a-t%&rit &6 &66er&r t& $&,i6 &66er Pr&*ee, t& 0er6e*te, !ta(e
a/!&#-te#
*.
Prin*i0a# /-t *an /e atta*%e, t& &t%er 0rin*i0a# *&ntra*t!
,. Oner&-! e. C&$$-tati+e 6.
Uni#atera# "ersus *&ntra*t &6 !a#e 7%i*% i! /i#atera#
(. Pre0arat&r
C&n!i,erati&n in an &0ti&n *&ntra*t $a /e ant%in( &6 +a#-e) -n#i1e in !a#e 7%ere it $-!t /e 0ri*e *ertain in $&ne. ? /an #iguel Philippines "% 0ojuangco* H&7 EERCISED: N&ti*e &6 a**e0tan*e !%&-#, /e *&$$-ni*ate, t& &66er&r 7it%&-t a*t-a# 0a$ent a! #&n( a! t%ere i! ,e#i+er &6 0a$ent in *&n!-$$ati&n !ta(e
ELEMENTS O: VALID OPTION CONTRACT a. C&n!ent $eetin( &6 t%e $in,! /. S-/e*t $atter an &0ti&n ri(%t) &r a**e0te, -ni#atera# &66er t& /-) &r a**e0te, -ni#atera# &66er t& !e##: i. a ,eter$inate &/e*t ii. 6&r a 0ri*e *ertain ?in*#-,in( $anner &6 0a$ent *. Pre!tati&n a *&n!i,erati&n !e0arate 6r&$ 0-r*%a!e 0ri*e 6&r &0ti&n (i+en
OPTION CONTRACT > a *&ntra*t (rantin( an e*#-!i+e ri(%t in &ne 0er!&n) 6&r 7%i*% %e %a!
CIVIL LAW REVIEWER )01
Pa'e 1*) $&
SITUATIONS IN AN OPTION CONTRACT8 a- Wi searae c$nsiderai$n
OPTION CONTRACT DISTIN3UISHED :ROM RI3HT O: :IRST RE:USAL Oi$n C$nrac Ri' $& :irs Re&!sa%
i. O0ti&n *&ntra*t i! +a#i, ii. O66er&r *ann&t 7it%,ra7 &66er -nti# a6ter e0ir 0eri&, iii. S-/e*t t& re!*i!!i&n) ,a$a(e! /-t n&t t& !0e*i6i* 0er6&r$an*e /e*a-!e t%i! i! n&t an &/#i(ati&n t& (i+e
#-
Wi$! searae c$nsiderai$n i. OLD RULE &66er i! !ti## +a#i,) /-t &0ti&n *&ntra*t i! +&i, an, n&t !-/e*t t& re!*i!!i&n) ,a$a(e!
Prin*i0a# *&ntra*t" !tan,! &n it! &7n Nee,! !e0arate *&n!i,erati&n S-/e*t $atter an, 0ri*e $-!t /e +a#i, N&t *&n,iti&na# N&t !-/e*t t& !0e*i6i* 0er6&r$an*e
A**e!!&r" *an n&t !tan, &n it! &7n D&e! n&t nee, !e0arate *&n!i,erati&n T%ere $-!t /e !-/e*t $atter /-t 0ri*e n&t i$0&rtant C&n,iti&na# S-/e*t t& !0e*i6i* 0er6&r$an*e
=========================================
ii. NE; RULE: Ri(%t &6 6ir!t re6-!a# re*&(nie, a! a +a#i, &66er
RI3HT O: :IRST RE:USAL8 5. Create! a 0r&$i!e t& enter int& a *&ntra*t &6 !a#e an, it %a! n& !e0arate *&n!i,erati&n) n&t !-/e*t t& !0e*i6i* 0er6&r$an*e /e*a-!e t%ere i! n& *&ntra*t-a# re#ati&n!%i0 %ere an, it i! n&t an &/#i(ati&n t& (i+e ?n&t a rea# *&ntra*t 8. Ne7 ,&*trine: Ma /e !-/e*t t& !0e*i6i* 0er6&r$an*e.
T%e ri(%t &6 6ir!t re6-!a# i! &n# !-/e*t t& !0e*i6i* 0er6&r$an*e in!&6ar a! it i! atta*%e, t& a +a#i, 7ritten 0rin*i0a# *&ntra*t ?e.(. #ea!e. RFR /e*&$e! &ne &6 t%e *&n!i,erati&n! in t%e *&ntra*t. I6 RFR i! +i&#ate,) an, 0r&0ert !&#, t& an&t%er /-er in /a, 6ait%) t%e !a#e t& t%e = r, 0art /-er i! re!*i!!i/#e. T%e 0ri*e 6&r t%e = r, 0art /-er i! t& /e t%e /a!i! 6&r t%e 0ri*e &6 t%e !a#e /a*1 t& t%e &ne 7it% t%e RFR. E@!a$ria% De. .- Ma"&air Teaer5 K(?0 SCRA *+ E66e*t &6 ne7 ,&*trine: t-rne, t%e 7&r#, &6 policitacion -0!i,e ,&7n /e*a-!e 7%i#e +a#i, &0ti&n *&ntra*t i! n&t !-/e*t t& !0e*i6i* 0er6&r$an*e) ri(%t &6 6ir!t re6-!a# 7%i*% ,&e! n&t e+en %a+e a !e0arate *&n!i,erati&n $a /e !-/e*t t& !0e*i6i* 0er6&r$an*e
TOPICS UNDER THE S,LLABUS :- :ORMATION O: CONTRACT O: SALE 2- Per&eci$n $& Sa%es =========================================
2- PER:ECTION O: SALES 3ENERAL RULE8 A *&ntra*t &6 !a#e i! 0er6e*te, at t%e t%e $&$ent i! a i! $eetin( &6 t%e &6 $in,! -0&n t%in(t%ere 7%i*% t%e &/e*t t%e *&ntra*t an, -0&n t%e 0ri*e" *&n!en!-a# *&ntra*t
EFCEPTION: ;%en t%e !a#e i! !-/e*t t& a !-!0en!i+e *&n,iti&n REUIREMENTS8 1- Wen aries are &ace $ &ace 7%en t%ere i! a/!&#-te a**e0tan*e &6 an &66er t%at i! *ertain 2- Wen r! c$rres$ndence $r e%e'ram 7%en t%e &66er&r re*ei+e! &r %a, 1n&7#e,(e &6 t%e a**e0tan*e (- Wen e sa%e is s!#4ec $ a s!sensi.e c$ndii$n 6r&$ $&$ent t%e *&n,iti&n i! 6-#6i##e,
Re*&(nie! re*&+er &6 ,a$a(e /a!e, &n a/-!e &6 ri(%t! ,&*trine
CIVIL LAW REVIEWER )01
Pa'e 1** $&
t%e
NOTES8 <-a#i6ie, a**e0tan*e: $ere *&-nter &66er 7%i*% nee,! t& /e a/!&#-te# a**e0te, t& (i+e ri!e t& 0er6e*te, *&ntra*t &6 !a#e
8. Sa#e &6 #ar(e *att#e" $-!t a#!& /e re(i!tere, 7it% M-ni*i0a# trea!-rer &t%er7i!e VOID
B-!ine!! a,! are $ere in+itati&n! t& $a1e an &66er e*e0t 7%en it a00ear! t& /e &t%er7i!e
=. Sa#e &6 #an, / n&nC%ri!tian i6 n&t a00r&+e, / G&+ern&r VOID
R!%es '$.ernin' a!ci$n sa%es8 5. Sa#e! &6 !e0arate #&t! / a-*ti&n are !e0arate *&ntra*t! &6 !a#e 8. Sa#e i! 0er6e*te, / t%e 6a## &6 t%e %a$$er =. Se##er %a! t%e ri(%t t& /i, at t%e a-*ti&n 0r&+i,e, !-*%e66e*t ri(%t 7a! re!er+e, an, n&ti*e 7a! (i+en t& t%at
Wen &$rm is im$ran &$r en&$rcea#i%i" KSTATUTE O: :RAUDS Aric%e 1)0( =2; a. Per6&r$e, 5 Year: A !a#e a(ree$ent 7%i*% / it! ter$! i! n&t t& /e 0er6&r$e, 7it%in a ear 6r&$ t%e $a1in( t%ere&6"
TOPICS UNDER THE S,LLABUS
/. 4 an, A/&+e: An a(re e$ent 6&r t%e !a#e &6 (&&,!) *%atte#! &r t%in(! in a*ti&n) at a 0ri*e n&t #e!! t%an P4." an,
:- :ORMATION O: CONTRACT O: SALE
*. Sa#e Lan,: A !a#e &6 rea# 0r&0ert &r &6 an intere!t t%erein.
=========================================
(- :$rma%iies $& e C$nrac =========================================
(- :ORMALITIES O: THE CONTRACT :$rm n$ im$ran in .a%idi" $& sa%e A. Sa#e /ein( *&n!en!-a#) $a /e &ra# &r 7ritten) 0er6e*te, / $ere *&n!ent a! t& 0ri*e an, !-/e*t $atter B. I6 0arti*-#ar 6&r$ i! re2-ire, -n,er t%e !tat-te &6 6ra-,!: -
+a#i, an, /in,in( /et7een 0artie! /-t n&t /in,in( t& =r, 0er!&n!
-
Rea!&n: 0-r0&!e! &6 *&n+enien*e &n# an, n&t 6&r +a#i,it an, en6&r*ea/i#it" *a-!e &6 a*ti&n i! (rante, t& !-e an, *&$0e# &t%er 0art t& ee*-te t%e ,&*-$ent
Wen &$rm is im$ran &$r .a%idi" e6cei$n #" seci&ic r$.isi$n $& %a/ 5. P&7er t& !e# # a 0ie*e &6 #an , (rante, t& an a(ent &t%er7i!e VOID
CIVIL LAW REVIEWER )01
EFCEPTIONS TO COVERA3E O: STATUTE IN SALES CONTRACTS8 5. ;RITTEN: ;%en t%ere i! a n&te &r $e$&ran,-$ in 7ritin( an, !-/!*ri/e, t& / 0art &r %i! a(ent ?*&ntain! e!!entia# ter$! &6 t%e *&ntra*t 8. PARTIAL EECUTION: ;%en t%ere %a! /een 0artia# 0er6&r$an*eee*-ti&n ?!e##er ,e#i+er! 7it% intent t& tran!6er tit#ere*ei+e! 0ri*e =. FAILURE TO OBJECT: ;%en t%ere %a! /een 6ai#-re t& &/e*t t& 0re!entati&n &6 e+i,en*e ?&ra# @. ECOMMERCE: ;%en !a#e! are e66e*te, t%r&-(% e#e*tr&ni* *&$$er*e
;%i#e a !a#e &6 #an, a00earin( in a 0ri+ate ,ee, i! /in,in( /et7een t%e 0artie!) it *ann&t /e *&n!i,ere, /in,in( &n t%ir, 0er!&n! i6 n&t e$/&,ie, in a 0-/#i* in!tr-$ent an, re*&r,e, in t%e Re(i!tr &6 Dee,!. Sec!"a .- Vda- De Se%ma5 K3-R- N$- 1(+0215 :e#r!ar" 225 2000
Pa'e 1*+ $&
END O: DISCUSSION ON TOPIC E- :ORMATION O: CONTRACT O: SALE
5. Pre!er+e !-/e*t $atter ?0r&0er ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# -n#e!! #a7 &r 0artie! !ti0-#ate an&t%er !tan,ar, 8. De#i+er tran!6er &7ner!%i0 an, ,e#i+er &/e*t =. De#i+er 6r-it! an, a**e!!&rie! @. ;arrant !-/e*t $atter a(ain!t e+i*ti&n an, %i,,en ,e6e*t! A. De#i+er &6 t%e T%in( Tran!6er &7ner!%i0 ?tradicion *&+er! t7in &/#i(ati&n! &6 t%e !e##er 7%i*% are: 5. T& tran!6er t%e &7ner!%i0" an, 8. T& ,e#i+er a ,eter$inate t%in(
================================
3- TRANS:ER O: OWNERSHIP ================================
TOPICS UNDER THE S,LLABUS 3- Trans&er $& O/nersi 1- Manner $& Trans&er =Ars- 1)??5 1)9+>1*01; 2- Wen de%i.er" d$es n$ rans&er i%e (- inds $& de%i.er" )- D$!#%e sa%es =Ar- 1*)); *- Pr$er" Re'israi$n Decree *-1- Re@!isies &$r re'israi$n $& deed $& sa%e in '$$d &ai *-2- Acc$manied #" .end$rs d!%icae ceri&icae $& i%e5 a"men $& caia% 'ains a65 and d$c!menar" a6 re'israi$n &ees =========================================
B. De#i+er &6 t%e t%in( t&(et%er 7it% t%e 0a$ent &6 t%e 0ri*e) $ar1! t%e *&n!-$$ati&n &6 t%e *&ntra*t &6 !a#e. PNB .- Lin'5 K+9 Pi% +115 Oc$#er *5 192? T%e a*t &6 ,e#i+er $-!t /e *&-0#e, 7it% t%e intenti&n &6 ,e#i+erin( t%e t%in( an, 0-ttin( t%e /-er -n,er *&ntr&#. N$r
TOPICS UNDER THE S,LLABUS 3- TRANS:ER O: OWNERSHIP 2- Wen De%i.er" d$es n$ rans&er Ti%e
=========================================
2- WHEN DELIVER, DOES NOT TRANS:ER TITLE =========================================
TOPICS UNDER THE S,LLABUS
TOPICS UNDER THE S,LLABUS
3- TRANS:ER O: OWNERSHIP
3- TRANS:ER O: OWNERSHIP
(- Di&&eren inds $& De%i.er"
1- Manner $& Trans&er =========================================
1- MANNER O: TRANS:ER NOTE8 Sta(e 7%ere 0artie! /&t% *&$0# 7it% t%eir &/#i(ati&n. OBLI3ATIONS O: THE SELLER
CIVIL LAW REVIEWER )01
=========================================
(- DI::ERENT INDS O: DELIVER, Di&&eren inds $& De%i.er"8 5. A*t-a# &r rea# 7%en t%in( !&#, i! 0#a*e, in t%e *&ntr&# an, 0&!!e!!i&n &6 t%e /-er 8. Le(a# &r C&n!tr-*ti+e *an ta1e !e+era# 6&r$! an, $a /e an $anner !i(ni6in( an a(ree$ent t%at t%e 0&!!e!!i&n i! tran!6erre, 6r&$ t%e +en,&r t& t%e +en,ee.
Pa'e 1*? $&
W HEN EFECUTION O: PUBLIC INSTRUMENT DOES NOT PRODUCE THE E::ECTS O: DELIVER,
C. Di66erent 6&r$! &6 C&n!tr-*ti+e De#i+er C&n!tr-*ti+e ,e#i+er %a! !a$e #e(a# e66e*t a! a*t-a# &r 0%!i*a# ,e#i+er Gi+e! ri!e &n# t& a 0ri$a 6a*ie 0re!-$0ti&n &6 ,e#i+er 7%i*% i! ,e!tr&e, 7%en a*t-a# ,e#i+er i! n&t e66e*te, /e*a-!e &6 a #e(a# i$0e,i$ent. Ten orty 1ealty "% 0ru$
1.
;%en t%ere i! !ti0-#ati&n t& *&ntrar) ee*-ti&n ,&e! n&t 0r&,-*e e66e*t &6 ,e#i+er
2.
;%en at t%e ti$e &6 ee*-ti&n &6 in!tr-$ent) !-/e*t $atter 7a! n&t !-/e*t t& *&ntr&# &6 t%e !e##er
3.
S-/e*t $atter !%&-#, /e 7it%in *&ntr&# &6 !e##er" %e !%&-#, %a+e *a0a*it t& ,e#i+er at t%e ti$e &6 ee*-ti&n &6 0-/#i* in!tr-$ent 7%en %e 7ant! t& e66e*t a*t-a# ,e#i+er
4.
S-*% *a0a*it !%&-#, !-/!i!t 6&r a rea!&na/#e ti$e a6ter ee*-ti&n &6 in!tr-$ent ?rea!&na/#e ti$e ,e0en,! &n *ir*-$!tan*e! &6 0er!&n!) 0#a*e! an, t%in(!
1- Tradii$ L$n'a Man! De#i+er &6 t%in( / $ere a(ree$ent" 7%en SELLER 0&int! t& t%e 0r&0ert 7it%&-t nee, &6 a*t-a## ,e#i+erin(
2- Tradii$ Bre.i Man! Be6&re *&ntra*t &6 !a#e) t%e 7&-#, /e /-er 7a! a#rea, in 0&!!e!!i&n &6 t%e 7&-#, /e !-/e*t $atter &6 !a#e ?e: a! #e!!ee
(- S"m#$%ic de%i.er" A! t& $&+a/#e! e: ,e#i+er &6 t%e 1e! t& a *ar
)- C$nsi!!m $ssessari!m ;%en at t%e ti$e &6 t%e 0er6e*ti&n &6 t%e *&ntra*t &6 !a#e) !e##er %a, 0&!!e!!i&n &6 t%e !-/e*t $atter in t%e *&n*e0t &6 &7ner an, 0-r!-ant t& t%e *&ntra*t) !e##er *&ntin-e! t& %&#, 0%!i*a# 0&!!e!!i&n n& #&n(er in t%e *&n*e0t &6 an &7ner /-t a! a #e!!ee &r an &t%er 6&r$ &6 0&!!e!!i&n &t%er t%an in t%e *&n*e0t &6 &7ner.
*- !asi>radii$n De#i+er &6 ri(%t!) *re,it! &r in*&r0&rea# 0r&0ert) $a,e /: P#a*in( tit#e! &6 &7ner!%i0 in t%e %an,! &6 t%e /-er A##&7in( /-er t& $a1e -!e &6 ri(%t!
+- Tradii$n #" $erai$n $& %a/ T%e ee*-ti&n &6 a 0-/#i* in!tr-$ent i! e2-i+a#ent t& ,e#i+er. B-t t& /e e66e*ti+e) it i! ne*e!!ar t%at t%e +en,&r %a+e !-*% *&ntr&# &+er t%e t%in( !&#, t%at) at t%e $&$ent &6 !a#e) it! $ateria# ,e#i+er *&-#, %a+e /een $a,e. Addis$n .- :e%i65 K( Pi%- )0)
•
T%e 0re!-$0ti&n &6 ,e#i+er 7%en t%e !a#e i! $a,e t%r&-(% a 0-/#i* in!tr-$ent *an /e re/-tte, / *#ear an, *&n+in*in( e+i,en*e. Pre!-$0ti+e ,e#i+er t%r&-(% a 0-/#i* in!tr-$ent *an /e ne(ate, / t%e 6ai#-re &6 t%e +en,ee t& ta1e a*t-a# 0&!!e !!i&n &6 t%e #an, &r t%e *&ntin-e, en&$ent &6 0&!!e!!i&n / t%e +en,&r. San$s .San$s5 K(++ SCRA (9*
De%i.er" $& Access$ries
:r!is
and
Accessi$ns
Ri(%t t& 6r-it! an, a**e!!i&n!a**e!!&rie! a**r-e 6r&$ ti$e !a#e i! 0er6e*te, /-t n& rea# ri(%t &+er it -nti# it i! ,e#i+ere,
De%i.er" Tr$!' Carrier 3ENERAL RULE: ;%ere t%e !e##er i! a-t%&rie, &r re2-ire, t& !en, t%e (&&,! t& t%e /-er) ,e#i+er t& t%e *arrier i! ,e#i+er t& t%e /-er.
EFCEPTIONS8 a *&ntrar intenti&n a00ear! &r i$0#ie, re!er+ati&n &6 &7ner!%i0 -n,er 0ar!. 5)8) = &6 Art. 54=
CIVIL LAW REVIEWER )01
Pa'e 1* $&
Ι.
:AST :REE ALON3 SIDE > ;%en (&&,! ,e#i+ere, a#&n(!i,e t%e !%i0) t%ere i! a#rea, ,e#i+er t& t%e /-er ?t7in e66e*t! ,ee$e, 6-#6i##e,
ΙΙ.
1- C&ntra*t t& !e## 2- Sa#e &n a**e0tan*ea00r&+a# &7ner!%i0 &n# 0a!!e! t& t%e /-er 7%en:
:OB > :REE ON BOARD > S%i0$ent 7%en (&&,! are ,e#i+ere, at !%i0 at 0&int &6 !%i0$ent" ,e#i+er t& *arrier / 0#a*in( (&&,! &n +e!!e# i! ,e#i+er t& /-er
De!tinati&n 7%en (&&,! rea*% t%e 0&rt e+en i6 n&t ,i!e$/ar1e, et 6r&$ t%e +e!!e#) t%ere i! ,e#i+er t& t%e /-er
CI: COST5 INSURANCE5 :REI3HT ;%en /-er 0a! 6&r !er+i*e! &6 *arrier ,e#i+er t& *arrier i! ,e#i+er t& /-er" *arrier i! a(ent &6 t%e /-er.
•
;%en /-er 0a! !e##er t%e 0ri*e 6r&$ $&$ent t%e +e!!e# i! at 0&rt &6 ,e!tinati&n) t%ere i! a#rea, ,e#i+er t& /-er.
•
Ars- 1*225 1*(95 1*)05 1*)15 1*)25
1*)(TIME AND PLACE O: DELIVER,
T%e /-er !i(ni6ie! a00r&+a# t& t%e !e##er) &r
T%e /-er ,&e! n&t !i(ni6 %i! ree*ti&n /-t retain! t%e (&&,!
(- Sa#e &n ret-rn &7ner!%i0 0a!!e! t& t%e /-er /-t %e $a re+e!t &7ner!%i0 t& t%e !e##er / ret-rnin( t%e (&&,! 7it%in ti$e 6ie,. I6 n& ti$e i! 6ie,) 7it%in rea!&na/#e ti$e. NOTE8 ;%& Bear! E0en!e! &6 De#i+erX Se##er SALE DESCRIPTIONSAMPLE
B,
5. Sam%e (&&,! $-!t *&rre!0&n, 7it% !a$0#e !%&7n 8. Descrii$n (&&,! $-!t *&rre!0&n, 7it% ,e!*ri0ti&n &r !a$0#e =. E&&ec i& ere is n$ c$m%iance : RESCISSION $a /e a+ai#e, &6 / t%e /-er
a- F&##&7 !ti0-#ati&n in *&nta*t) &r #- F&##&7 -!a(e in tra,e) &r c- Se##erK! 0#a*e &6 /-!ine!! &r %i! re!i,en*e
OBLI3ATIONS O: BU,ER 1- Pa" e rice o
B-er i! &/#i(ate, t& 0a 0ri*e a**&r,in( t& ter$! a(ree, -0&n re(ar,in( ti$e) 0#a*e an, a$&-nt
o
I6 0a$ent &6 intere!t i! !ti0-#ate, $-!t 0a" i6 a$&-nt &6 intere!t n&t $enti&ne, a00# #e(a# rate
o
;%en /-er ,e6a-#t! *&n!tit-te! /rea*%: !-/e*t t& !0e*i6i* 0er6&r$an*ere!*i!!i&n an, ,a$a(e!" intere!t t& /e 0ai, a#!& 6r&$ ,e6a-#t
d- S0e*i6i* (&&,! 0#a*e 7%ere t%e t%in( i! e- At rea!&na/#e %&-r E::ECTS O: DELIVER, 3ENERAL RULE :
T%e &7ner!%i0 &6 t%e t%in(
!&#, !%a## /e tran!6erre, t& t%et%ere&6. /-er -0&n t%e a*t-a# &r *&n!tr-*ti+e ,e#i+er
EFCEPTION8 ;%en t%e *&ntrar i! !ti0-#ate, !-*% in t%e *a!e! &6:
CIVIL LAW REVIEWER )01
Pa'e 1*9 $&
IREUISITES :OR DOUBLE SALES TO EFIST8 =VOCS;
2- Acce de%i.er" $& in' s$%d a- ;%ere t& a**e0t: at ti$e an, 0#a*e !ti0-#ate, in t%e *&ntra*t" i6 n&ne !0e*i6ie, at t%e ti$e an, 0#a*e &6 ,e#i+er (&&,!" t%ere i! a**e0tan*e 7%en:
5. T7& &r $&re !a#e! tran!a*ti&n! $-!t *&n!tit-te +a#i, !a#e!" 8. T7& &r $&re !a#e! tran!a*ti&n! $-!t 0ertain t& t%e !a$e &/e*t &r !-/e*t $atter"
i. He inti$ate! t& !e##er t%at %e %a! a**e0te,
=. T7& &r $&re /-er! at &,,! &+er t%e
ii. ;%en ,e#i+ere, an, ,&e! an a*t in*&n!i!tent 7it% &7ner!%i0 &6 !e##er
ri(%t6-# &7ner!%i0 &6 t%e !-/e*t $atter $-!t ea*% re0re!ent *&n6#i*tin( intere!t!" an,
iii. Retain! 7it%&-t inti$atin( t& !e##er t%at %e %a! ree*te,
(-
Sa%e $& 3$$ds $n insa%%men 1- G&&,! $-!t /e ,e#i+ere, in 6-##) e*e0t 7%en !ti0-#ate, 2- ;%en n&t ea$ine, / /-er n&t a**e0te, -nti# ea$ine, &r at #ea!t %a, rea!&na/#e ti$e t& ea$ine
•
A**e0tan*e &6 (&&,! in (enera#) a/!ent *&ntrar e0re!! !ti0-#ati&n) ,&e! n&t ,i!*%ar(e !e##er 6r&$ #ia/i#it in *a!e &6 /rea*% &6 7arrantie! ?-n#e!! n& n&ti*e &r 6ai#-re t& (i+e it 7it%in rea!&na/#e ti$e
@. ;%en /-er %a! a ri(%t t& re6-!e (&&,!) n& nee, t& ret-rn" !%a## /e *&n!i,ere, a! ,e0&!itar" -n#e!! t%ere i! !ti0-#ati&n t& t%e *&ntrar =========================================
TOPICS UNDER THE S,LLABUS 3- TRANS:ER O: OWNERSHIP )- D$!#%e Sa%e =========================================
)- DOUBLE SALE 3ENERAL RULE: FIRST IN TIME) PRIORITY IN RIGHT Wen d$es i a%" : 7%en n&t a## re2-i!ite! e$/&,ie, in Art. 54@@ *&n*-r.
CIVIL LAW REVIEWER )01
@. T7& &r $&r e /-er! $-!t ea*% %a+e /&-(%t 6r&$ t%e +er !a$e !e##er. •
I6 n&t a## t%e e#e$ent! are 0re!ent 6&r Art. 54@@ t& a00#) t%e 0rini*i0#e &6 0ri&r te$0&re) 0&ti&r -re &r !i$0# %e 7%& i! 6ir!t in ti$e i! 0re6erre, in ri(%t !%&-#, a00#. Un,i!0-ta/#) %e i! a 0-r*%a!er in (&&, 6ait% /e*a-!e at t%e ti$e %e /&-(%t t%e rea# 0r&0ert) t%ere 7a! !ti## n& !a#e t& a! a !e*&n, +en,ee. C$ns$%idaed R!ra% Ban< .- CA5 Kan1?5 200*
II- RULES ACCORDIN3 TO 1*))8 1- MOVABLE Fir!t t& 0&!!e! in (&&, 6ait%
2- IMMOVABLE 1- Fir!t t& re(i!ter in (&&, 6ait% 2- N& in!*ri0ti&n) 6ir!t t& 0&!!e!! in (&&, 6ait% (- N& in!*ri0ti&n an, n& 0&!!e!!i&n in (&&, 6ait% Per!&n 7%& 0re!ent! &#,e!t tit#e in (&&, 6ait% )- G&&, Fait% &ne 7%& /-! 0r&0ert 7it%&-t n&ti*e t%at an&t%er 0er!&n %a! a ri(%t &r intere!t in !-*% 0r&0ert" &ne 7%& %a! 0ai, 0ri*e /e6&re n&ti*e t%at an&t%er %a! *#ai$ &r intere!t
Pa'e 1+0 $&
I6
III- LIS PENDENS n&ti*e t%at !-/e*t $atter i! in #iti(ati&n IV- ADVERSE CLAIM n&ti*e t%at !&$e/&, i! *#ai$in( /etter ri(%t V- POSSESSION B&t% a*t-a# &r *&n!tr-*ti+e VI- RE3ISTRATION: an entr $a,e in t%e /&&1! &6 t%e re(i!tr) in*#-,in( /&t% re(i!trati&n in it! &r,inar an, !tri*t !en!e) an, *an*e##ati&n) ann&tati&n) an, e+en $ar(ina# n&te!. It i! t%e entr $a,e in t%e re(i!tr 7%i*% re*&r,! !&#e$n# an, 0er$anent# t%e ri(%t &6 &7ner!%i0 an, &t%er rea# ri(%t!. Re(i!tere, -n,er 54@@ a00#ie!
T&rren!
!!te$
N&t re(i!tere, -n,er t%e T&rren! !!te$ 54@@ !ti## a00#ie!
t%e *&n,iti&n i! in t%e nat-re &6 a 0r&$i!e t%at it !%&-#, %a00en) t%e n&n0er6&r$an*e &6 !-*% *&n,iti&n $a /e treate, / t%e &t%er 0art a! /rea*% &6 7arrant.
2- E&&ec i& #!"er as a%read" s$%d e '$$ds 3ENERAL RULE8 T%e -n0a i, !e##erK! ri(%t t& #ien &r !t&00a(e in transitu re$ain! e+en i6 /-er %a! !&#, t%e (&&,! EFCEPTION8 • ;%en t%e !e##er %a! (i+en *&n!ent t%eret&) &r •
;%en t%e /-er i! a 0-r*%a!er in (&&, 6ait% 6&r +a#-e &6 a ne(&tia/#e ,&*-$ent &6 tit#e.
=========================================
TOPICS UNDER THE S,LLABUS I6 8 n, !a#e i! a -,i*ia# !a#e ?/ 7a &6 #e+ &n ee*-ti&n) /-er $ere# !te0! int& t%e !%&e! &6 t%e -,($ent ,e/t&r. O-t!i,e &6 !-*% !it-ati&n $-!t a00# t& *&n6#i*tin(
3- TRANS:ER O: OWNERSHIP )- Pr$er" Re'israi$n Decree =========================================
!a#e! &+er t%e !a$e -nre(i!tere, 0ar*e# &6 #an,. I6 !a#e 5 &**-r! 7%en #an, i! n&t et re(i!tere, an, !a#e 8 i! ,&ne 7%en #an, i! a#rea, re(i!tere, a00# FIRST IN TIME) PRIORITY IN RIGHT. G&&, 6ait% $-!t *&n*-r 7it% re(i!trati&n. T& /e entit#e, t& 0ri&rit) t%e !e*&n, 0-r*%a!er $-!t n&t &n# e!ta/#i!% 0ri&r re*&r,in( &6 %i! ,ee,) /-t $-!t %a+e a*te, in (&&, 6ait%. 3a#rie% .- Ma#ana5 K3R 1)2)0(5 Marc 2+5 200(
CONDITION 1- E&&ec $& N$n>:!%&i%%men $& C$ndii$n T%e &t%er 0art $a a. re6-!e t& 0r&*ee, 7it% t%e *&ntra*t /. 0r&*ee, 7it% t%e *&ntra*t) 7ai+in( t%e 0er6&r$an*e &6 t%e *&n,iti&n
CIVIL LAW REVIEWER )01
)- PROPERT, RE3ISTRATION DECREE
END O: DISCUSSION ON TOPIC 3- TRANS:ER O: OWNERSHIP ================================
H- RIS O: LOSS ================================
TOPICS UNDER THE S,LLABUS H- Ris< $& L$ss 1- 3enera% R!%e =Ars- 12+(5 119; 2- Wen %$ss $cc!rred #e&$re er&eci$n (- Wen %$ss $cc!rred a ime $& er&eci$n =Ars1)9( and )- Wen %$ss $cc!rred a&er1)9); er&eci$n #! #e&$re de%i.er"
Pa'e 1+1 $&
*- Wen $/nersi is rans&erred =Ar- 1*0);
(- A:TER PER:ECTION DELIVER,
BUT
BE:ORE
• L&!! *&n6-!e, !tate =========================================
• Para!: BUYER
TOPICS UNDER THE S,LLABUS
•
H- RIS O: LOSS =========================================
T&#entin&: SELLER
• Deteri&rati&n an, 6r-it! B-er /ear! #&!!"
)- A:TER DELIVER,
1- 3ENERAL RULE • Le(a# *&n!e2-en*e! 6r&$ 0&int &6 0er6e*ti&n are t%e !a$e in /&t% #e(a# !!te$!: -0&n 0er6e*ti&n &6 an -n*&n,iti&na# *&ntra*t &6 !a#e in+&#+in( !0e*i6i* &r ,eter$inate !-/e*t $atter) t%e ri!1 &6 #&!! ,eteri&rati&n an, t%e /ene6it! &6 6r-it! an, i$0r&+e$ent!) 7ere 6r& t%e a**&-nt &6 t%e /-er.
• I6 S-/e*t $atter i! GENERIC) Si$0# re0#a*e ite$.
• 1es perit domino • De#i+er etin(-i!%e! &7ner!%i0 "is< a<"is t%e !e##er an, *reate! a ne7 &ne in 6a+&r &6 t%e /-er
END O: DISCUSSION ON TOPIC H- RIS O: LOSS ================================
I- DOCUMENTS O: TITLE ================================
WHO BEARS RIS DETERIORATION :RUITS8
O:
LOSS
1- BE:ORE PER:ECTION •
1es perit domino
•
O7ner i! !e##er !& !e##er /ear! ri!1 &6 #&!!
2- AT PER:ECTION •
1es perit domino
•
C&ntra*t i! $ere# ine66i*a*i&-! /e*a-!e #&!! &6 t%e !-/e*t $atter ,&e! n&t a66e* t t%e +a#i,it &6 t%e !a#e
•
Se##er *ann&t an$&re *&$0# 7it% &/#i(ati&n !& /-er *ann&t an$&re /e *&$0e##e,-
TOPICS UNDER THE S,LLABUS I- D$c!mens $& Ti%e 1- De&inii$n =Ar- 1+(+; 2- P!r$se $& d$c!mens $& i%e (- Ne'$ia#%e d$c!mens $& i%e )- N$n>ne'$ia#%e d$c!mens $& i%e *- Warranies $& se%%er $& d$c!mens $& i%e =Ar- 1*1+; +- R!%es $n %e."'arnismen $& '$$ds =Ars- 1*1)5 1*195 1*20; =========================================
TOPICS UNDER THE S,LLABUS I- DOCUMENTS O: TITLE 1- De&inii$n =========================================
CIVIL LAW REVIEWER )01
Pa'e 1+2 $&
1- DE:INITION E+en i6 6a*e &6 in!tr-$ent !a! NON NEGOTIABLE) it i! !ti## NEGOTIABLE" #i$itin( 7&r,! ,&e! n&t ,e!tr& ne(&tia/i#it.
DOCUMENTS O: TITLE 5. N&t *reati&n &6 #a7 /-t / $er*%ant! t& a##&7 t%e$ t& ,ea# 7it% $er*%an,i!e 7it%&-t %a+in( t& 0%!i*a## *arr t%e$ ar&-n, 8. Pertain! t& !0e*i6i* t0e &6 $&+a/#e! &n#: GOODS a. D&*-$ent! &6 tit#e !er+e t7& ?8 6-n*ti&n!: i.
E+i,en*e 0&!!e!!i&n t%erein
ii.
&6 &6
ei!ten*e (&&,!
an,
,e!*ri/e,
Me,i-$ / 7%i*% !e##er i! a/#e t& tran!6er 0&!!e!!i&n &6 (&&,!
=. A ,&*-$ent &6 tit#e 7%i*% !tate! t%at t%e (&&,! re6erre, t& t%erein 7i## /e ,e#i+ere, t& t%e /earer) &r t& t%e &r,er &6 an 0er!&n na$e, in !-*% ,&*-$ent @. Ne(&tia/#e / ,e#i+er &r in,&r!e$ent =========================================
TOPICS UNDER THE S,LLABUS I- DOCUMENTS O: TITLE 2- P!r$se $& d$c!mens $& i%e =========================================
2- PURPOSE O: DOCUMENTS =========================================
I6 &r,er in!tr-$ent an, n& en,&r!e$ent 7a! $a,e e2-i+a#ent t& a!!i(n$ent =========================================
TOPICS UNDER THE S,LLABUS I- DOCUMENTS O: TITLE )- N$n>ne'$ia#%e d$c!mens $& i%e =========================================
)- NON>NE3OTIABLE TITLE
(- Ne'$ia#%e d$c!mens $& i%e =========================================
(- NE3OTIABLE DOCUMENTS O: TITLE 5.
De#i+er t& /earer ?ne(&tiati&n / $ere ,e#i+er
8.
De#i+er t& !0e*i6i* 0er!&n &r %i! &r,er ?ne(&tiati&n / en,&r!e$ent ,e#i+er
Im$ran C$nsiderai$ns 1. Ne(&tiati&n (i+e! /etter a!!i(n$ent
ri(%t
t%an
2.
A!!i(nee ta1e! ,&*-$ent 7it% ,e6e*t! &6 t%e a!!i(n&r
3.
O/#i(ati&n &6 /ai#ee /ai#ee i$$e,iate# /&-n, t& t%e ,&*-$ent
i!
=========================================
TOPICS UNDER THE S,LLABUS I- DOCUMENTS O: TITLE *- Warranies $& se%%er $& d$c!mens $& i%e =========================================
Warranies $n Ne'$iai$n
CIVIL LAW REVIEWER )01
O:
E&&ecs $& Una!$riJed Ne'$iai$n The "alidity of the negotiation of a negotiable document is not impaired by the fact that negotiation was done in breach of duty or that the owner of the document was depri"ed of the same by loss& theft& accident& fraud& mistaDe if the person to whom the document is deli"ered is in good faith and without notice of the said irregularities%
TOPICS UNDER THE S,LLABUS I- DOCUMENTS O: TITLE
DOCUMENTS
Pa'e 1+( $&
1- T%e ,&*-$ent i! (en-ine 2- He %a! #e(a# ri(%t t& ne(&tiate &r tran!6er it (- He %a! 1n&7#e,(e &6 n& 6a*t 7%i*% 7&-#, i$0air t%e +a#i,it &r 7&rt% &6 t%e ,&*-$ent )- He %a! ri(%t t& tran!6er tit#e t& (&&,! an, (&&,! are $er*%anta/#e6it
=========================================
TOPICS UNDER THE S,LLABUS
Tran!6er&r%&#,er a*2-ire! tit#e t& (&&,!
A*2-ire! tit#e t& (&&,! a(ain!t tran!6er&r
Bai#ee %a! ,ire*t &/#i(ati&n t& %&#,er a! i6 ,ire*t# ,ea#t 7it% %i$
A*2-ire! ri(%t t& n&ti6 /ai#ee !& t%at %e a*2-ire! &/#i(ati&n &6 /ai#ee t& %&#, (&&,! 6&r %i$
A- SALE B, NON>OWNER OR B, ONE HAVIN3VOIDABLE TITLE 1- PER:ECTION STA3E
I- DOCUMENTS O: TITLE
a- Sa#e / &7ner VALID
+- R!%es $n Le." $r 3arnismen $& 3$$ds =========================================
+- R!%es $& Le."3arnismen $& 3$$ds C$.ered #" D$c!mens $& Ti%e •
NON NE3OTIABLE8 o
N&ti6i*ati&n i! &0erati+e a*t t& tran!6er tit#e0&!!e!!i&n a!!i(nee
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#- Sa#e / n&n&7ner VALID" c- Rea!&n 7% /&t% !a#e! are +a#i,: &7ner!%i0 i! ne*e!!ar &n# at ti$e 7%en tran!6er tit#e t& (&&,!" at 0er6e*ti&n !ta(e) n& &/#i(ati&n &n 0art &6 !e##er t& tran!6er &7ner!%i0 d- La7 &n e!t&00e# 6-rt%er /&#!ter! it: tit#e 0a!!e! / &0erati&n &6 #a7 t& (rantee 7%en 0er!&n 7%& i! n&t &7ner &6 t%e (&&,! !&#, ,e#i+er! it an, #ater &n a*2-ire! tit#e t%eret& e- Sin*e +a#i,) a*ti&n t& ann-# i$0r&0er" t%ere i! a#rea, 0er6e*te, *&ntra*t
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NE3OTIABLE8 o
Cann&t /e #e+ie, &r (arni!%e, 7%en ,&*-$ent! are a#rea, 7it% 0-r*%a!er in (&&, 6ait%) -n#e!!:
o
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o
D&*-$ent i! 0&-n,e, / *&-rt
o
Ne(&tiati&n i! en&ine,
NE3OTIATION
ASSI3NMENT
2- CONSUMMATION STA3E a- C&ntra*t &6 !a#e i! +a#i, /e*a-!e it %a! 0a!!e, 0er6e*te, !ta(e) ,e!0ite !e##er n&t /ein( t%e &7ner &r !e##er %a+in( n& a-t%&rit t& !e## #- ;%at i! +&i, i! t%e tran!6er &6 tit#e &7ner!%i0 ,i, n&t 0a!! c- E66e*t: /-er a*2-ire, n& /etter ri(%t t%an tran!6er&r d- Le(a# e66e*t: CAVEAT EMPTOR BUYER BE;ARE
CIVIL LAW REVIEWER )01
Pa'e 1+) $&
e- Sa#e &6 *&&7ner &6 7%&#e 0r&0ert &r ,e6inite 0&rti&n 3ENERAL RULE8 C&&7ner !e##! 7%&#e 0r&0ert 0ri&r t& 0artiti&n !a#e &6 0r&0ert it!e#6 i! +&i, /-t +a#i, a! t& %i! !0irit-a# !%are
C&&7ner !e##! ,e6inite 0&rti&n t& 0artiti&n !a#e i! +&i, a! t& &t%er *&&7ner /-t +a#i, a! t& %i! !0irit-a# !%are i6 t%e /-er 7&-#, %a+e !ti## /&-(%t !-*% !0irit-a# !%are %a, %e 1n&7n t%at t%e ,e6inite 0&rti&n !&#, 7&-#, n&t /e a*2-ire, / %i$.
- REMEDIES O: UNPAID SELLER ================================
TOPICS UNDER THE S,LLABUS - Remedies $& an Unaid Se%%er 1- De&inii$n $& !naid se%%er =Ar1*2*; 2- Remedies $& !naid se%%er =========================================
TOPICS UNDER THE S,LLABUS EFCEPTIONS TO THE RULE ON THE E::ECT O: SALE O: A DE:INITE PORTION B, A CO> OWNER 5. S-/e*t $atter i! in,i+i!i/#e in nat-re &r / intent" 8. Sa#e &6 a 0arti*-#ar 0&rti&n &6 a 0r&0ert i! 7it% *&n!ent &6 &t%er *&&7ner!" =. C&&7ner !e##! 5 &6 8 *&$$&n#&7ne, #an,! an, ,&e! n&t t-rn &+er &6 t%e 0r&*ee,!) &t%er *&&7ner) / #a7 an, e2-it) %a! e*#-!i+e *#ai$ &+er re$ainin( #an,. B- SALE B, SELLER WITH VOIDABLE TITLE IN 3OOD :AITH and WITHOUT NOTICE O: THE DE:ECT 1- PER:ECTION STA3E
- REMEDIES O: UNPAID SELLER 1- De&inii$n $& !naid se%%er =========================================
1- DE:INITION O: UNPAID SELLER 3ENERAL RULE8 An $an $a n&t ta1e #a7 in %i! &7n %an,!) $-!t !ee1 re$e, t%r&-(% *&-rt!. EFCEPTION8 • DOCTRINE OF SELF HELP • SPECIAL REMEDIES
a. Va#i, !a#e /-er a*2-ire! tit#e &6 (&&,!
2- CONSUMMATION S TA3E Va#i, !a#e i6 tit#e %a! n&t et /een a+&i,e,) /-er /-! (&&,! -n,er 6&##&7in( *&n,iti&n: o
•
in (&&, 6ait%
•
6&r +a#-e
•
7it%&-t n&ti*e &6 !e##erK! ,e6e*t &6 tit#e
REUISITES8 5. S-/e*t $atter (&&,! 8. Se##er i! -n0ai, n&t *&$0#ete# 0ai, &r re*ei+e, ne(&tia/#e in!tr-$ent -n,er a *&n,iti&n an, *&n,iti&n %a! /een /rea*%e, / rea!&n &6 ,i!%&n&r =. P%!i*a# 0&!!e!!i&n i! 7it% !e##er =========================================
TOPICS UNDER THE S,LLABUS
END O: DISCUSSION ON TOPIC I- DOCUMENTS O: TITLE
- REMEDIES O: UNPAID SELLER 2- Remedies $& !naid se%%er =========================================
================================
CIVIL LAW REVIEWER )01
2- REMEDIES O: UNPAID SELLER
Pa'e 1+* $&
T%e 6&##&7in( are t%e !0e*ia# re$e,ie! &6 -n0ai, !e##er: 5. P&!!e!!&r #ien 8. St&00a(e in transitu =. S0e*ia# ri(%t &6 re!a#e @. S0e*ia# ri(%t t& re!*in,
NOTE8 Hierar*%i*a# A00#i*ati&n &n# 7%en -n0ai, !e##er %a! eer*i!e, 0&!!e!!&r #ien &r !t&00a(e in transitu *an t%e !e##er 0r&*ee, 7it% %i! &t%er !0e*ia# ri(%t! &6 re!a#e &r t& re!*in,. P$ssess$r" Lien 5. Se##er n&t /& -n, t& ,e#i+er i6 /-er %a! n&t0ai, %i$t%e0ri*e
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&&,! are in tran!it • Re2-i!ite! 7%en (&&,! are in tran!it
5. Fr&$ t%e ti$e (&&,! are ,e#i+ere, t& *arrier 6&r 0-r0&!e &6 tran!$i!!i&n t& /-er 8. G&&,! ree*te, / /-er an, *arrier *&ntin-e! t& 0&!!e!! t%e$
Wen '$$ds n$ %$n'er in ransi 5. Rea*%e, 0&int &6 ,e!tinati&n
8. Ri(%t t& retain" *an n&t /e a+a i#e, 7%en !e##er ,&e! n&t %a+e *-!t&,
8. Be6&re rea*%in( ,e!tinati&n) /-er &/tain! ,e#i+er &6 t%e (&&,!
=. Eer*i!a/#e &n# *ir*-$!tan*e!:
6&##&7in(
=. G&&,! are !-00&!e, t& %a+e /een ,e#i+ere, t& /-er /-t *arrier re6-!e,
a.
(&&,! !&#, 7it%&-t !ti0-#ati&n a! t& *re,it
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5. O/tain a*t-a# 0&!!e!!i&n &6 (&&,!
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;%en 0art &6 (&&,! $a !ti## eer*i!e ri(%t,e#i+ere,) &n (&&,! -n,e#i+ere,
8. Gi+e n&ti*e &6 t%ere&6 *#ai$ t& *arrier /ai#ee in 0&!!e!!i&n =. N&ti*e / !e##er t& /-er i! n&t re2-ire," n&ti*e t& *arrier i! e!!entia#
Insances /en $ssess$r" %ien %$s8 5. !e##er ,e#i+er! (&&,! t& *arrier 6&r tran!$i!!i&n t& /-er 7it%&-t re!er+in( &7ner!%i0 in (&&,! &r ri(%t t& 0&!!e!! t%e$ 8. /-er &r %i! a(ent #a76-## 0&!!e!!i&n &6 (&&,!
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III- Secia% Ri' $ Rese%% e 3$$ds 5. G&&,! are 0eri!%a/#e 8. !ti0-#ate, t%e ri(%t &6 re!a#e in *a!e /-er ,e6a-#t! in 0a$ent
=. ;ai+er
=. B-er in ,e6a-#t 6&r -nrea!&na/#e ti$e
@. #&!e! #ien 7%en %e 0ar t! 7it% (&&,! ?!ti## %a! !t&00a(e in transitu
@. N&ti*e / !e##er t& /-er n&t e!!entia#
4. n&ti*e / !e##er t& /-er n&t e!!entia#
W" sec ia% T%ere are t%in(! 7%i*% !e##er *ann&t ,& in &r,inar !a#e:
S$a'e In Transi!
CIVIL LAW REVIEWER )01
Pa'e 1++ $&
A. &7ner!%i0 i! 7it% /- er /-t !e##er *an !e## (&&,!
TOPICS UNDER THE S,LLABUS - PER:ORMANCE O: CONTRACT
B. tit#e a**&r,e, t& /-er i! ,e!tr&e, e+en 7it%&-t *&-rt inter+enti&n
1- De%i.er" $& in' s$%d =========================================
Secia% Ri' $ Rescind 5. E0re!!# !ti0-#ate, 8. B-er i! in ,e6a-#t 6&r -nrea!&na/#e ti$e =. N&ti*e nee,e, t& /e (i+en / !e##er t& /-er
W" secia% &7ner!%i0 &6 (&&,! a#rea, 7it% /-er /-t !e##er $a !ti## re!*in," &7ner!%i0 i! ,e!tr&e, e+en 7it%&-t *&-rt inter+enti&n /-t in &r,inar !a#e) nee, t& (& t& *&-rt t& ,e!tr& tran!6er &6 &7ner!%i0 Remedies $& B!"er ;%en Se##er 6ai#! t& ,e#i+er) /-er $a !ee1 SPECIFIC PERFORMANCE ;ITHOUT GIVING SELLER OPTION TO RETAIN GOODS ON PAYMENT OF DAMAGES
END O: DISCUSSION ON TOPIC - REMEDIES O: UNPAID SELLER ================================
- PER:ORMANCE O: CONTRACT ================================
TOPICS UNDER THE S,LLABUS - Per&$rmance $& C$nrac 1- De%i.er" $& in' s$%d =1; Sa%e $& m$.a#%es =Ars- 1*225 1*(?5 1)0; =2; Sa%e $& imm$.a#%es =Ars1*(95 1*)(; =(; Inseci$ns and Acceance 2- Pa"men $& rice =========================================
CIVIL LAW REVIEWER )01
1- DELIVER, O: THIN3 SOLD A. MOVABLES a. De#i+er &6 t%in( 0#-! a**e!!&rie! an, a**e!!i&n! in t%e *&n,iti&n in 7%i*% t%e 7ere -0&n t%e 0er6e*ti&n &6 t%e *&ntra*t in*#-,in( t%e 6r-it! /. ;%en t%e !e##er ,e#i+er! t& t%e /-er a 2-antit &6 (&&,! LESS t%an %e *&ntra*te, t& !e##) /-er %a! t%e &0ti&n t& ree*t &r a**e0t it. a.;%en a**e0t! 7it% 1n&7#e,(e t%at !e##er i! n&t (&in( t& 0er6&r$ *&ntra*t in 6-##) %e $-!t 0a at 0ri*e !ti0-#ate, /. ;%en a**e0t! an, *&n!-$e! /e6&re 1n&7#e,(e t%at /-er 7i## n&t 0er6&r$ *&ntra*t in 6-##) #ia/#e &n# 6&r 6air +a#-e &6 (&&,! ,e#i+ere, c- ;%en !e##er ,e#i+er! t& t%e /-er a 2-antit &6 (&&,! LARGER t%an %e *&ntra*te, t& !e## t%e /-er %a! t%e 6&##&7in( &0ti&n!: i- A**e0t 0er *&ntra*t an, ree*t t%e re!t ii- A**e0t t%e 7%&#e 0a 0ri*e !ti0-#ate, iii- Ee*t 7%&#e i6 !-/e*t $atter i! in,i+i!i/#e d- ;%en t%e !e##er ,e#i+er! t& t%e /-er t%e (&&,! %e *&ntra*te, t& !e##) MIED 7it% (&&,! &6 a ,i66erent ,e!*ri0ti&n n&t in*#-,e, in
Pa'e 1+? $&
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ii. I6
Le!! in area:
• Re!*i!!i&n i-
A**e0t (&&, 7* are in a**&r,an*e 7it% *&ntra*t an, ree*t t%e re!t
• Pr&0&rti&na# re,-*ti&n &6 0ri*e: LAC' IN AREA SHLD NOT BE LESS THAN 55 OF AREA AGREED UPON
ii- Ree*t (&&,! entire# i6 in,i+i!i/#e
iii- I6 Greater in area:
O#%i'ai$ns $& a Vend$r =Ar- 1*(?
A**e0t 0er !ti0-#ati&n an, ree*t t%e re!t
5. T& ,e#i+er t%e !-/e*t $atter 8. T& ,e#i+er t%e 6r-it! an, a**e!!&rie!
A**e0t 7%&#e area 0a at *&ntra*t rate
T%&!e 7%i*% 0ertain! t& t%e +en,ee 6r&$ t%e ,a &n t%e 0er6e*ti&n &6 *&ntra*t
N&t a00#i*a/#e t& -,i*ia# !a#e!
=. T& 0re!er+e t%e !-/e*t $atter
i.- S&#, 6&r #-$0 !-$
In t%e *&n,iti&n in 7%i*% t%e 7ere -0&n t%e 0er6e*ti&n &6 t%e *&ntra*t.
Arti*#e 5@9. An in-r t& &r /ene6it 6r&$ t%e t%in( !&#,) a6ter t%e *&ntra*t %a! /een 0er6e*te,) 6r&$ t%e $&$ent &6 t%e 0er6e*ti&n &6 t%e *&ntra*t t& t%e ti$e &6 ,e#i+er) !%a## /e (&+erne, / arti*#e! 55= t& 554) an, 588. T%i! r-#e !%a## a00# t& t%e !a#e &6 6-n(i/#e t%in(!) $a,e in,e0en,ent# an, 6&r a !in(#e 0ri*e) &r 7it%&-t *&n!i,erati&n &6 t%eir 7ei(%t) n-$/er) &r $ea!-re. S%&-#, 6-n(i/#e t%in(! /e !&#, 6&r a 0ri*e 6ie, a**&r,in( t& 7ei(%t) n-$/er) &r $ea!-re) t%e ri!1 !%a## n&t /e i$0-te, t& t%e +en,ee -nti# t%e %a+e /een 7ei(%e,) *&-nte,) &r $ea!-re, an, ,e#i+ere,) -n#e!! t%e #atter %a! in*-rre, in ,e#a.
•
S&#, 0er -nit &r n-$/er i.
CIVIL LAW REVIEWER )01
0er
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•
I6 area ,e#i+ere, i! eit%er (reater &r #e!!er 0ri*e 7i## n&t /e a,-!te, a**&r,in(#
•
C- INSPECTIONS AND ACCEPTANCE Acce de%i.er" $& in' s$%d •
;%ere t& a**e0t: at ti$e an, 0#a*e !ti0-#ate, in t%e *&ntra*t" i6 n&ne !0e*i6ie, at t%e ti$e an, 0#a*e &6 ,e#i+er (&&,!"
•
T%ere i! a**e0tan*e 7%en: He inti$ate! t& !e##er t%at %e %a! a**e0te,
•
;%en ,e#i+ere, an, ,&e! an a*t in*&n!i!tent 7it% &7ner!%i0 &6 !e##er
I6 t%e !a#e !%&-#, /e $a,e 7it% !tate$ent &6 it! area) rate at *ertain 0ri*e) ,e#i+er a## t%at $a %a+e /een !tate, in t%e *&ntra*t i6 i$0&!!i/#e) re$e,ie! &6 /-er:
;%en 0ri*e in,i*ate,
T%e a*ti&n! ari!in( 6r&$ a/&+e in ,e#i+er &6 i$$&+a/#e! !%a## 0re!*ri/e in !i $&nt%!) *&-nte, 6r&$ t%e ,a &6 ,e#i+er.
B- IMMOVABLES o
•
Pa'e 1+ $&
•
Retain! 7it%&-t inti$atin( t& !e##er t%at %e %a! ree*te,
TOPICS UNDER THE S,LLABUS L- WARRANTIES 1- E6ress /arranies
========================================= =========================================
TOPICS UNDER THE S,LLABUS 1- EFPRESS WARRANTIES
- PER:ORMANCE O: CONTRACT
I- C$ndii$n
2- Pa"men $& rice =========================================
5. ;%en a *&ntra*t *&n tain! a *&n,iti&n) t%e n&n %a00enin( &6 7%i*% 7&-#, n&t *&n!tit-te a /rea*% /-t etin(-i!%e! t%e &/#i(ati&n
2- PA,MENT O: PRICE • B-er i! &/#i(ate, t& 0a 0ri*e a**&r,in( t& ter$! a(ree, -0&n re(ar,in( ti$e) 0#a*e an, a$&-nt • I6 0a$ent &6 intere!t i! !ti0-#ate, $-!t 0a" i6 a$&-nt &6 intere!t n&t $enti&ne, a00# #e(a# rate
Wen #!"er de&a!%s *&n!tit-te! /rea*%: !-/e*t t& !0e*i6i* 0er6&r$an*ere!*i!!i&n an, ,a$a(e!" intere!t t& /e 0ai, a#!& 6r&$ ,e6a-#t
END O: DISCUSSION ON TOPIC - PER:ORMANCE O: CONTRACT ================================
L- WARRANTIES ================================
TOPICS UNDER THE S,LLABUS L- Warranies 1- E6ress /arranies 2- Im%ied /arranies =Ar- 1*)?; (- E&&ecs $& /arranies )- E&&ecs $& /ai.ers *- B!"ers $i$ns in case $& #reac
8. H&7e+er) i6 0art t& t%e !a# e! *&n tra*t %a! 0r&$i!e, t%at t%e *&n,iti&n !%&-#, %a00en &r /e 0er6&r$e,) t%e n&n0er6&r$an*e &6 7%i*% $a /e treate, / 0artie! a! /rea*%
II- Warranies A !tate$ent &r re0re!entati&n $a,e / t%e !e##er *&nte$0&rane&-!# an, a! a 0art &6 t%e *&ntra*t &6 !a#e) %a+in( re6eren*e t& t%e *%ara*ter) 2-a#it) &r tit#e &6 t%e (&&,!) an, / 7%i*% %e 0r&$i!e! &r -n,erta1e! t& in!-re t%at *ertain 6a*t! are &r !%a## /e a! %e t%en re0re!ent!
E6ress Warranies REUISITES8 5. It $-!t /e an a 66ir$ati&n &6 6a *t &r an 0r&$i!e / !e##er re#atin( t& t%e !-/e*t $atter &6 !a#e 8. Nat-ra# ten,en* &6 a66ir$ati&n &r 0r&$i!e i! t& in,-*e /-er t& 0-r*%a!e !-/e*t $atter =. B-er 0-r*%a!e! t%e !-/e*t $atter re#in( t%ere&n @. ;%en /rea*%e,) !e##er i! #ia/#e 6&r ,a$a(e!
$& /arran" =Ar- 1*99; =========================================
CIVIL LAW REVIEWER )01
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1.
V
=========================================
a#-e &6 t%e t%in( at t%e ti$e &6 e+i*ti&n"
TOPICS UNDER THE S,LLABUS 2.
In*&$e &r 6r-it! i6 %e %a! /een &r,ere, t& ,e#i+er t%e t& t%e 0art 7%& 7&n t%e !-it
2- Im%ied /arranies
3.
C&!t &6 t%e !-it
=========================================
4.
E0en!e! &6 t%e *&ntra*t" an,
2- Im%ied Warranies
5.
Da$a(e! an, intere!t! i6 t%e !a#e 7a! in /a, 6ait%
L- WARRANTIES
Dee$e, in*#-,e, in a## *&ntra*t! &6 !a#e 7%et%er 0artie! are a*t-a## a7are &r n&t) 7%et%er t%e 7ere inten,e, &r n&t" / &0erati&n &6 #a7 5. Warran" a se%%er as a ri' $ se%% Re6er! t& *&n!-$$ati&n !ta(e !in*e in *&n!-$$ati&n !ta(e) it i! 7%ere &7ner!%i0 i! tran!6erre, / tra,iti&n
•
N&t a00#i*a/#e t& !%eri66) a-*ti&neer) $&rt(a(ee) 0#e,(e
•
8. Warran" a'ains e.ici$n a a
I$0#ie,) -n#e!! 0r&+i!i&n a00ear! in *&ntra*t
a a
;%en &7ner!%i0 i! tran!6erre,) /-er !%a## en& t%e #e(a# an, 0ea*e6-# 0&!!e!!i&n &6 t%e t%in(
a a
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Re2-i!ite! &6 /rea*% 7arrant a(ain!t e+i*ti&n:
&6
•
B-er i! e+i*te, in 7%&#e &r in 0art 6r&$ t%e !-/e*t $atter &6 !a#e
•
T%ere i! a 6ina# -,($ent
•
Ba!i! &6 e+i*ti&n i! a ri(%t 0ri&r t& !a#e &r an a*t i$0-ta/#e t& +en,&r
•
Se##er %a! /een !-$$&ne, in t%e !-it 6&r e+i*t i&n at t%e in!tan*e &6 /-er" &r $a,e = r, 0art ,e6en,ant t%r&-(% = r, 0art *&$0#aint /r&-(%t / /-er
Vend$rs %ia#i%i" sa%% c$nsiss $& =T$a% E.ici$n; =VICED;
CIVIL LAW REVIEWER )01
Paria% E.ici$n 1- T$ en&$rce .end$rs %ia#i%i" &$r e.ici$n =VICED; 2-
T$ de mand rescissi$n $& c$ nrac . a- N& a00ea# nee,e, n&r a nee, 6&r /-er t& re!i!t e+i*ti&n 6&r ri(%t t& a**r-e" it i! en&-(% t%at t%e a6&re$enti&ne, re2-i!ite! are *&$0#ie, 7it% #- ;arrant *ann&t /e en6&r*e, a6&re$enti&ne, re2-i!ite! *&n*-r
-nti#
c- A00#ie! t& -,i*ia# !a#e" -,($ent ,e/t&r re!0&n!i/#e 6&r e+i*ti&n -n#e!! &t%er7i!e ,e*ree, in -,($ent
d- Ven,&r n&t #ia/#e 6&r e+i*ti&n i6 a,+er!e 0&!!e!!i&n %a, /een *&$$en*e, /e6&re !a#e /-t 0re!*ri0ti+e 0eri&, i! *&$0#ete, a6ter tran!6er e- Ri(%t! &6 /-er 7%en ,e0ri+e, &6 &n# 0art &6 t%e !-/e*t $atter /-t 7&-#, n&t %a+e /&-(%t !-*% 0art i6 n&t in re#ati&n 6&r t%e 7%&#e: 5. Re!*i!!i&n 8. M-t-a# re!tit-ti&n
(- Warran" a'ains enc!m#rances =n$n> aaren; REUISITES8 a- I$$&+a/#e !&#, i! en*-$/ere, 7it% n&n a00arent /-r,en &r !er+it-,e n&t $enti&ne, in t%e a(ree$ent
Pa'e 1?0 $&
#- Nat-re &6 n&na00arent !er+it-,e &r /-r,en i! !-*% t%at it $-!t /e 0re!-$e, t%at t%e /-er 7&-#, n&t %a+e a*2-ire, it %a, %e /een a7are t%ere&6
δ.
Se##er i! n&t a7are !e##er !%&-#, ret-rn 0ri*e an, intere!t an, re6-n, e0en!e! ?n& ,a$a(e!
ε.
B-er $a e#e*t /et7een 7it%,ra7in( 6r&$ *&ntra*t &r ,e$an,in( 0r&0&rti&nate re,-*ti&n &6 0ri*e 7it% ,a$a(e! in eit%er *a!e
φ.
A00#i*a/#e t& -,i*ia# !a#e e*e0t t%at -,($ent ,e/t&r n&t #ia/#e 6&r ,a$a(e!
γ.
A*ti&n t& 0re!*ri/e $&nt%! 6r&$ ,e#i+er &6 !-/e*t $atter
c- ;%en /rea*% &6 7arrant ei!t: /-er $a a!1 6&r re!*i!!i&n &6 in,e$nit d- ;arrant n&t a00#i*a/#e 7%en n&n a00arent /-r,en &r !er+it-,e i! re*&r,e, in t%e Re(i!tr &6 Pr&0ert -n#e!! t%ere i! e0re!! 7arrant t%at t%e t%in( i! 6ree 6r&$ a## /-r,en! an, en*-$/ran*e!
*α.
)- Warran" a'a ins idd en de &ecs •
SELLER d$es n$ /arran de&ec c%v%! &p!or
•
E6ce 7%en %i,,en
aen
1- !-/e*t $atter $a /e $&+a/#e &r i$$&+a/#e
De&ecs $n anima%s E+en in t%e *a!e &6 0r&6e!!i&na# in!0e*ti&n /-t %i,,en ,e6e*t i! &6 !-*% nat-re t%at e0ert 1n&7#e,(e i! n&t !-66i*ient t& ,i!*&+er it ,e6e*t !%a## /e *&n!i,ere, a! REDHIBITORY
β.
I6 +et 6ai#! t& ,i!*&+er t%r&-(% i(n&ran*e &r /a, 6ait%) %e i! #ia/#e 6&r ,a$a(e!
χ.
Sa#e &6 ani$a#! &n tea$! ?8 &r $&re
2- nat-re &6 %i,,en ,e6e*t i! !-*% t%at it !%&-#, t%e&6!-/e*t -n6it 6&rren,er t%e -!e 7%i*% it$atter 7a! inten,e, &r !%& -#, ,i$ini!% it! 6itne!!
(- %a, t%e /-er /een a7are) %e 7&-#, n&t %a+e a*2-ire, it &r 7&-#, %a+e (i+en a #&7er 0ri*e α.
β.
χ.
;%en ,e6e*t i! +i!i/#e &r e+en i6 n&t +i!i/#e /-t /-er i! an e0ert / rea!&n &6 %i! tra,e &r 0r&6e!!i&n) !e##er i! n&t #ia/#e O/#i(ati&n &6 !e##er 6&r /rea*% ,e0en,! &n 7%et%er %e %a! 1n&7 #e,(e &6 !-*% ,e6e*t &r n&t Se##er i! a7are !e##er !%&-#, ret-rn 0ri*e an, re6-n, e0en!e! &6 *&ntra*t 7it% ,a$a(e!
CIVIL LAW REVIEWER )01
δ.
•
;%en &n# &ne i! ,e6e*ti+e) &n# &ne i! 0r&%i/ite, an, n&t t%e &t%er!
•
E*e0ti&n: 7%en it a00ear! /-er 7&-#, n&t %a+e 0-r*%a!e, t%e tea$ 7it%&-t t%e ,e6e*ti+e &ne
•
A00# t& !a#e &6 &t%er t%in(!
Ani$a#! at 6air &r 0-/#i* a-*ti&n • N& 7arrant a(ain!t %i,,en ,e6e*t!
ε.
Sa#e &6 ani$a#! 7it% *&nta(i&-! ,i!ea!e i! +&i,
φ.
Sa#e &6 -n6it ani$a#! •
V&i, i6 -!e !er+i*e 6&r 7%i*% t%e are a*2-ire, %a! /een !tate, in t%e *&ntra*t an, t%e are 6&-n, t& /e -n6it t%ere6&r
Pa'e 1?1 $&
•
Pre!*ri0ti&n &6 a*ti&n: @ ,a! 6r&$ ,ate &6 ,e#i+er t& /-er
•
I6 !a#e i! re!*in,e,) ani$a#! t& /e ret-rne, in !a$e *&n,iti&n 7%en t%e 7ere a*2-ire," /-er !%a## an!7er 6&r in-r #&!! ,-e t& %i! 6a-#t
•
L- WARRANTIES (- E&&ecs $& /arranies =========================================
(- E::ECTS O: WARRANTIES =========================================
B-er $a e#e*t /et7een 7it%,ra7in( 6r&$ !a#e an,
TOPICS UNDER THE S,LLABUS
,e$an,in( re,-*ti&n &6 0ri*e 7it% 0r&0&rti&nate ,a$a(e! in eit%er *a!e
L- WARRANTIES )- E&&ecs $& /ai.ers
Seci&ic Im%ied Warranies in e Sa%e $& 3$$ds A- Warran" as $ &iness and @!a%i" re@!isies8 1- B-er $a1e! 1n&7n t& !e##er t%e 0arti*-#ar 0-r0&!e 6&r 7%i*% (&&,! are a*2-ire, an, it a00ear! t%at t%e /-er re#ie, &n t%e !e##erK! !1i## &r -,($ent 2- G&&,! are /&-(%t / ,e!*ri0ti&n 6r&$ !e##er 7%& ,ea#! in (&&,! &6 t%at ,e!*ri0ti&n (- in *a!e &6 !a#e &6 !0e*i6ie, arti*#e -n,er it! 0atent &r tra,e na$e) n& 7arrant -n#e!! t%ere i! a !ti0-#ati&n t& t%e *&ntrar )- $ea!-re &6 ,a$a(e: ,i66eren*e /et7een +a#-e &6 (&&,! at ti$e &6 ,e#i+er an, +a#-e t%e 7&-#, %a+e %a, i6 t%e %a, an!7ere, t& t%e 7arrant
=========================================
)- E::ECTS O: WAIVER Wai.er in Warran" a'ains e.ici$n Partie! $a in*rea!e &r ,i$ini!% i$0#ie, 7arrant a(ain!t e+i*ti&n" /-t e66e*t ,e0en,! &n (&&, 6ait% &r /a, 6ait% &n t%e 0art &6 t%e !e##er. o
Se##er in /a, 6ait% an, t%ere i! 7ai+er a(ain!t e+i*ti&n n-## an, +&i,
o
B-er 7it%&-t 1n&7#e,(e &6 a 0arti*-#ar ri!1) $a,e (enera# ren-n*iati&n &6 7arrant n&t 7ai+e r /-t $ere# #i$it! #ia/i#it &6 !e##er in *a!e &6 e+i*ti&n ?0a +a#-e &6 !-/e*t $atter at ti$e &6 e+i*ti&n
o
B-er 7it% 1n&7#e, (e &6 ri!1 &6 e+i*ti&n a!!-$e, it! *&n!e2-en*e! an, $a,e a 7ai+er +en,&r n&t #ia/#e ?a00#i*a/#e &n# t& 7ai+er &6 7arrant a(ain!t e+i*ti&n 5. ;ai+er t& a !0e*i6i* *a!e &6 e+i*ti&n 7i0e! &-t 7arrant a! t& t%at !0e*i6i* ri!1 /-t n&t a! t& e+i*ti&n *a-!e, / &t%er rea!&n!.
SALE O: 3OODS B, SAMPLE I6 !e##er i! a ,ea#er in (&&,! &6 t%at 1in,) t%ere i! an i$0#ie, 7arrant t%at t%e (&&,! !%a## /e 6ree 6r&$ ,e6e*t ren,erin( t%e$ -n$er*%anta/#e 7%i*% 7&-#, n&t /e a00arent &n rea!&na/#e ea$inati&n &6 t%e !a$0#e =========================================
Wai.er a'ains Hidden De&ecs i. I6 t%ere %a! /een a !ti0-#ati&n ee$0tin( !e##er 6r&$ %i,,en ,e6e*t! ii. I6 !e##er n&t a7 are &6 %i,,en ,e6e*t! #&!! &6 t%e t%in( ,-e t& !-*% ,e6e*t 7i## n&t $a1e !e##er #ia/#e
TOPICS UNDER THE S,LLABUS
CIVIL LAW REVIEWER )01
Pa'e 1?2 $&
iii. I6 !e##er a7are 7ai+er i! in /a, 6a it%) t%-! !e##er !ti## #ia/#e
B!"ers Oi$n in Case $& Breac Warran"
$&
5. A**e0t (&&,! an, !et -0 /rea*% &6 7arrant / 7a &6 re*&-0$ent in ,i$in-ti&n &r etin*ti&n &6 t%e 0ri*e.
)- Remedies $& e B!"er =1; Sa%e $& m$.a#%e =2; Sa%e $& imm$.a#%es =========================================
TOPICS UNDER THE S,LLABUS
8. A**e0t (&&,! an, $aintain a*ti &n a(ain!t !e##er 6&r ,a$a(e!
M- BREACH O: CONTRACT
=. Re6-!e t& a**e0t (&&,! an, $aintain a*ti&n a(ain!t !e##er 6&r ,a$a(e!
1- Remedies $& e se%%er
@. Re!*in, *&ntra*t &6 !a#e an, re6-!e t& re*ei+e (&&,!ret-rn t%e$ 7%en a#rea, re*ei+e,.
1- REMEDIES O: THE SELLER
Wen rescissi$n #" #!"er n$ a%%$/ed8 5. I6 t%e /-er a**e0te, t%e (&&,! 1n&7in( t%e /rea*% &6 7arrant ;ITHOUT 0r&te!t 8. I6 %e 6ai #! t& n&t i6 t%e !e##er 7i t%in a rea!&na/#e ti$e &6 %i! e#e*ti&n t& re!*in, =. I6 %e 6ai#! t& ret-rn &r &66er t& ret-rn t%e (&&,! in !-/!tantia## a! (&&, *&n,iti&n a! t%e 7ere in at t%e ti$e &6 t%e tran!6er &6 &7ner!%i0 t& %i$
END O: DISCUSSION ON TOPIC L- WARRANTIES ================================
M- BREACH O: CONTRACT ================================
=========================================
Remedies $& Unaid Se%%er =Ar- 1)); 5. Ea*t 6-#6i##$ent !%&-#, t%e /-er 6ai# t& 0a. 8. Can*e# t% e !a#e i6 /- er 6ai#! t& 0a 8 &r $&re in!ta##$ent!. =. F&re*#&!e &n *%atte# $&rt(a(e i6 /-er 6ai#! t& 0a 8 &r $&re in!ta##$ent!
=========================================
TOPICS UNDER THE S,LLABUS M- BREACH O: CONTRACT 2- Rec$ La/8 Sa%e $& M$.a#%es $n Insa%%men =========================================
TOPICS UNDER THE S,LLABUS
2- RECTO LAW8 SALE O: MOVABLES ON INSTALLMENT
M- Breac $& C$nrac 1- Remedies $& e se%%er =Ars1+(+5 1*9); =1; Sa%e $& m$.a#%es 2- Rec$ La/8 sa%e $& m$.a#%es $n insa%%men =Ars- 1))>1)+; (- Sa%e $& imm$.a#%es =1; PD 9*?5 sec- 2(5 2) =2;Maceda La/8 sa%e $& imm$.a#%es $n Insa%%men
Incidens8 5. I6 /-er *%&&!e! 6&re*#&!-re) n& 6-rt%er a*ti&n a(ain!t /-er t& re*&+er an -n0ai, /a#an*e &6 t%e 0ri*e
CIVIL LAW REVIEWER )01
8. ;%en i! t% e #a7 a00#i*a/#eX Sa#e &n $&+a/#e! / in!ta##$ent o
Sa%e $n insa%%men8 0a$ent / !e+era# 0artia# 0a$ent! in !$a## a$&-nt
Pa'e 1?( $&
Rai$na%e $& e %a/ : B-er i! #-##e, int& t%in1in( t%at %e *&-#, a66&r, /e*a-!e &6 !$a## a$&-nt! 0er in!ta##$ent an, at t%e !a$e ti$e re$e, a/-!e &6 *&$$er*ia# %&-!e! Na!re $& remedies : a#ternati+e an, n&t *-$-#ati+e C$.era'e: !a#e an, 6inan*in( tran!a*ti&n an, *&ntra*t! &6 #ea!e 7it% &0ti&n t& 0-r*%a!e 3EN ERAL RUL E8 I6n&a#rea, 0er6&r$an*e) *an #&n(er *%&!e *%&&!e!0e*i6i* &t%er re$e,ie! EFCEPTION8 A6ter *%&&!in() it %a! /e*&$e i$0&!!i/#e) re!*i!!i&n $a /e 0-r!-e,
TOPICS UNDER THE S,LLABUS M- BREACH O: CONTRACT (- Sa%e $& Imm$.a#%es =========================================
(- SALE O: IMMOVABLES Remedies $& Se%%er Anicia$r" #reac 5. Se##er %a! rea!&na/#e (r&-n,! t& 6ear #&!! &6 i$$&+a/#e !&#, an, it! 0ri*e) !-e 6&r RESCISSION 8. N&n0a$ent &6 0ri*e) !-e 6&r RE SCISSION
•
T%e 6a*t t%at t%e !e##er ,i, n&t 6&re*#&!e t%e *%atte# $&rt(a(e *&n!tit-te, &n t%e $&+a/#e 0-r*%a!e, &n *re,it) /-t &0te, !0e*i6i* 0er6&r$an*e) 7it% a 0#ea 6&r a 7rit &6 re0#e+in) ,&e! n&t a$&-nt t& a 6&re*#&!-re &6 t%e *%atte# $&rt(a(e t& /e *&+ere, / Art. 5@9@ . Ta4an'%an'i .S$!ern M$$rs5 K101 Pi%- +0+
Rescissi$n 5. ;%en *%&!en) t%ere i! *&rre#ati+e &/#i(ati&n t& re!tit-te 8. B-t !ti0-#ati&n! t%at in!ta##$ent! 0ai, are 6&r6eite, are +a#i, i6 n&t -n*&n!*i&na/#e =. Dee$e, *%&!en 7%en: N&ti*e &6 re!*i!!i&n i! !ent
IMMOVABLES =B, INSTALLMENT; Art 548 A00#ie! &n# t& *&ntra*t &6 !a#e
MACEDA LAW 5. a00#ie! t& COS an, CTS an, Finan*in( 8. C&+era(e: REAL ESTATE ,e6ine, !0a*e +!. CONDO n&t ,e6ine, !0a*e ?7 *&$$&n area! 5. E*#-,e,: a. In,-!tria#
-
Ta1e! 0&!!e!!i&n &6 !-/e*t $atter &6 !a#e
/. C&$$er*ia#
-
Fi#e! a*ti&n 6&r re!*i!!i&n
*.
-
Barrin( e66e*t &n re*&+er &6 /a#an*e
:$rec%$s!re i. Barrin( e66e*t &n re*&+er &6 /a#an*e ii. Etent &6 /arrin( e66e*t: 0-r*%a!e 0ri*e iii. E*e0ti&n: $&rt(a(&r re6-!e! t& ,e#i+er 0r&0ert t& e66e*t 6&re*#&!-re) re*&+er a#!& e0en!e! in*-rre, in att&rne! 6ee!) et*. ?Per+er!e B-erM&rt(a(&r
Sa#e t& tenant! -n,er a(rarian #a7!
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS M- BREACH O: CONTRACT (- Remedies $& e B!"er
=========================================
=========================================
)- REMEDIES O: THE BU,ER
CIVIL LAW REVIEWER )01
Pa'e 1?) $&
• In *a!e &6 !-/,i+i!i&n &r *&n,& 0r&e*t!) !-!0en, 0a$ent.
P!r$se $& %a/ Pr&te*t /-er! in in!ta##$ent! a(ain!t &00re!!i+e *&n,iti&n!
• I6 rea# e!tate ,e+e#&0er 6ai#! t& *&$0# 7it% &/#i(ati&n a**&r,in( t& a00r&+e, 0#an: -
RESCIND
-
SUSPEND PAYMENT COMPLIES
UNTIL
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SELLER
− Si!%ai$n $ c$nrar" is .$id
Ri's 3raned $ B!"ers8 o
5. Pa 7it%&-t intere!t t%e /a#an*e 7it%in (ra*e 0eri&, &6 5 $&nt% 6&r e+er ear &6 in!ta##$ent 0a$ent 8. Gra*e t& /e ee r*i!e, &n*e e+er 4 ear! =. ;%en n& 0a$ent *an*e##e," /-er entit#e, t& 4 &6 7%at %e %a! 0ai, i6 a6ter 4 ear! &6 in!ta##$ent!) 4 6&r e+er ear /-t n&t t& e*ee, &6 t&ta# 0a$ent! $a,e @. Can*e##ati&n t& /e e66e*te, = ,a ! 6r&$ n&ti*e an, -0&n 0a$ent &6 *a!% !-rren,er +a#-e
o
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/-er *an !ti## 0a 7it% in t%e = ,a 0eri&,
7it% intere!t
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CIVIL LAW REVIEWER )01
o
Se## ri(%t! t& an&t%er o
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o
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REMED, O: RESCISSION IN CONTRACTS COVERIN3 IMMOVABLES =Aric%es 1191 1*92; 3ENERAL RULE8 J-,i*ia# EFCEPTION8 Etra -,i*ia# Re!*i!!i&n a##&7e, /-t SUBJECT t& COURT C&n6ir$ati&n. a. a##&7e, i6 !ti0-#ate," /-r ,en t& !-e !%i6t! t& 0art 7%& ,&e! n&t #i1e re!*i!!i&n /. *&-rt !ti## %a! 6ina# !a a! t& 0 r&0riet &6 re!*i!!i&n *. F&r6eit-re &6 a$&-nt! +a#i, /ein( in nat-re &6 0ena# *#a-!e
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.
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>.
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Re!*i!!i&n
.
F-#6i##$ent &6 a re!&#-t&r *&n,iti&n
•
C&ntra*t &6 Sa#e Re!*i!!i&n i! A00#i*a/#e
•
C&ntra*t t& Se## Re!*i!!i&n n&t A00#i*a/#e
•
N&n0a$ent &6 0-r*%a!e 0ri*e 7&-#, a-t&$ati*a## *an*e# e+en 7it%&-t 6-rt%er a*ti&n 6&r re!*i!!i&n
i!
END O: DISCUSSION ON TOPIC M- BREACH O: CONTRACT ================================
N- EFTIN3UISHMENT O: SALE
5. Pre!*ri0ti&n
================================
TOPICS UNDER THE S,LLABUS N- E6in'!ismen $& Sa%e 1- Ca!ses =Ars- 1+005 12(1; 2- C$n.eni$na% redemi$n =Ar1+01; (- E@!ia#%e m$r'a'e =Ars- 1+02> 1+0); )- Disin'!is &r$m $i$n $ #!" =Ar- 1+02; *- Peri$d $& redemi$n =Ar- 1+0+; +- E6ercise $& e ri' $ redeem =Ar- 1+1+; ?- Le'a% redemi$n =Ar- 1+19; - A'e redemi$n =Ar- 1+19;
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS N- EFTIN3UISHMENT O: SALE 2- C$n.eni$na% Redemi$n =========================================
2- CONVENTIONAL REDEMPTION • On# etin(-i!%e! &/#i(ati&n! 0ertainin( t& *&ntra*t &6 !a#e) n&t etin(-i!% *&ntra*t it!e#6" &n# a00#ie! t& *&ntra*t &6 !a#e •
=========================================
TOPICS UNDER THE S,LLABUS N- EFTIN3UISHMENT O: SALE 1- Ca!ses =========================================
T%e ri(%t 7%i*% t%e +en,&r re!er+e! t& %i$!e#6 t& rea*2-ire t%e 0r&0ert !&#, 0r&+i,e, %e ret-rn! t& t%e +en,ee:
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5. CAUSES I3ROUNDS ?!a$e (r&-n,! 7%ere/ &/#i(ati&n! in (enera# are etin(-i!%e,
CIVIL LAW REVIEWER )01
e. An, 6-#6i##! &t%er !ti0-#ati&n! 7%i*% $a %a+e /een a(ree, -0&n
Pa'e 1?+ $&
•
T%e ri(%t i! eer*i!e, &n# /e !e##er in 7%&$ ri(%t i! re*&(nie, in t%e *&ntra*t &r / an 0er!&n t& 7%&$ ri(%t 7a! tran!6erre," $-!t /e in t%e !a$e *&ntra*t
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS
NOTE8 In *a!e &6 ,&-/t in ,eter$inin( 7%et%er it i! an e2-ita/#e $&rt(a(e &r a !a#e a retro) t%e !a#e !%a## /e *&n!tr-e, a! an e2-ita/#e $&rt(a(e. 2- ;%at t& L&&1 6&r in Deter$inin( Nat-re &6 C&ntra*t a. Lan(-a(e &6 t%e *&ntra*t /. C&n,-*t &6 0artie! t& re+ ea# rea# intent
N- EFTIN3UISHMENT O: SALE
(- Re$e, a+ai#a/#e t& +en,&r: a!1 6&r re6&r$ati&n &6 *&ntra*t
(- E@!ia#%e M$r'a'e =========================================
)- Rati&na#e /e%in, 0r&+i!i&n &n E2-ita/#e M&rt(a(e:
(- EUITABLE MORT3A3E
a. Cir*-$+enti&n &6 -!-r #a7
One 7%i*% #a*1! t%e 0r&0er 6&r$a#itie!) 6&r$ &6 7&r,!) &r &t%er re2-i!ite! 0re!*ri/e, / #a7 6&r a $&rt(a(e) /-t !%&7! t%e intenti&n &6 t%e 0artie! t& $a1e t%e 0r&0ert !-/e*t &6 t%e *&ntra*t a! !e*-rit 6&r a ,e/t an, *&nt ain! n&t%in( i$0&!!i/#e *&ntrar t& #a7. Cac$%a .CA5 K20 SCRA )9+
/. Cir*-$+enti&n &6 0r&%i/iti&n a(ain!t pactum commissorium *re,it&r *ann&t a00r&0riate t%e t%in(! (i+en / 7a &6 0#e,(e &r $&rt(a(e" re$e, %ere i! 6&re*#&!-re. T%e rea# intenti&n &6 0artie! i! t%at t%e 0reten,e, 0-r*%a!e 0ri*e i! $&ne #&ane, an, t& !e*-re 0a$ent &6 t%e #&an) !a#e 7it% pacto de retro i! ,ra7n -0
1- A *&ntra*t 7it% ri(%t t& re0-r*%a!e i! ,ee$e, t& /e an e@!ia#%e m$r'a'e i6 t%e 6&##&7in( re2-i!ite! *&n*-r =IPERTI;8 a. Pri*e &6 !a#e 7it% ri(%t t& re0-r*%a!e i! -n-!-a## ina,e2-ate /. Se##er re$ain! in &!!e!!i&n a! #e!!ee &r &t%er7i!e *.
U0&n &r a6ter e0irati&n &6 ri(%t t& re0-r*%a!e) an&t%er in!tr-$ent eten,in( t%e 0eri&, &6 re,e$0ti&n &r (rantin( ne7 0eri&, i! ee*-te,
,. B-er retain! 6&r %i$!e#6 a 0art &6 t%e 0-r*%a!e 0ri*e e. Se##er /in,! %i$!e#6 t& 0a t%in( !&#, 6.
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS N- EFTIN3UISHMENT O: SALE )- Disin'!is &r$m $i$n $ #!" =========================================
)- DISTIN3UISH :ROM OPTION TO BU, OPTION TO PURCHASE > Ri(%t t& re0-r*%a!e t%e t%in( !&#, (rante, t& t%e +en,&r in a !e0arate in!tr-$ent 6r&$ t%e ,ee, &6 !a#e
ae! &n
Rea# intenti&n &6 0artie! i! t& !e*-re t%e 0a$ent &6 a ,e/t &r 0er6&r$an*e &6 &t%er &/#i(ati&n
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS N- EFTIN3UISHMENT O: SALE
CIVIL LAW REVIEWER )01
Pa'e 1?? $&
*- Peri$d $& Redemi$n
TOPICS UNDER THE S,LLABUS
=========================================
N- EFTIN3UISHMENT O: SALE *- PERIOD O: REDEMPTION a. N& 0eri&, a(ree, -0&n @ ear! 6r&$ ,ate &6 *&ntra*t /. Peri&, a(ree, -0&n !%&-#, n&t e*ee, 5 ear!" i6 it e*ee,e,) +a#i, &n# 6&r t%e 6ir!t 5 ear!. *.
;%en 0eri&, t& re, ee$ %a! e 0ire, an, t%ere %a! /een a 0re+i&-! !-it &n t%e nat-re &6 t%e *&ntra*t !e##er !ti## %a! = ,a! 6r&$ 6ina# -,($ent &n t%e /a!i! t%at *&ntra*t 7a! a !a#e 7it% pacto de retro:
,. Rai$na%e: n& re,e$0ti&n ,-e t& err&ne&-! /e#ie6 t%at it i! e2-ita/#e $&rt(a(e 7%i*% *an /e etin(-i!%e, / 0ain( t%e #&an. e. T%i! re6er! t& *a! e! in+&#+in( a tran!a*ti&n 7%ere &ne &6 t%e 0artie! *&nte!t! &r ,enie! t%at t%e tr-e a(ree$ent i! &ne &6 !a#e 7it% t%e ri(%t t& re0-r*%a!e" n&t t& *a!e! 7%ere t%e tran!a*ti&n i! *&n*#-!i+e# a pacto de retro !a#e. 6.
E6am%e: ;%ere a /-er a retr& %&ne!t# /e#ie+e, t%at %e entere, $ere# int& an e2-ita/#e $&rt(a(e) n&t a pacto de retro tran!a*ti&n) an, /e*a-!e &6 !-*% /e#ie6 %e %a, n&t re,ee$e, 7it%in t%e 0r&0er 0eri&,.
NOTE8 ;%en 0eri&, %a! e0ire, an, !e##er a##&7e, t%e 0eri& , &6 re,e$0ti&n t& e0ire !e##er i! at 6a-#t 6&r n&t %a+in( eer* i!e, %i! ri(%t! !& !%&-#, n&t /e (rante, a ne7 0eri&, Ten,er &6 0a$ent i! SUFFICIENT t& *&$0e# re,e$0ti&n) /-t i! n&t in it!e#6 a 0a$ent t%at re#ie+e! t%e +en,&r 6r&$ %i! #ia/i#it t& 0a t%e re,e$0ti&n 0ri*e. PaeJ .- Ma'n$5 3-R- N$- 8> ?925 Ari% 2?5 19)9
7777777777777777777777777 7777777777777777
CIVIL LAW REVIEWER )01
+- E6ercise $& e Ri' $ Redeem =========================================
E::ECT WHEN THERE IS NO REDEMPTION MADE i.
J-ri!0r-,en*e /e 6&re t% e NC C: / -er a retr& a-t&$ati*a## a*2-ire! 6-## &7ner!%i0
ii.
Un,er 0r e!ent ar t 5 >: t% ere $- !t /e -,i*ia# &r,er /e6&re &7ner!%i0 &6 rea# 0r&0ert i! *&n!&#i,ate, in t%e /-er a retr&
HOW IS REDEMPTION E::ECTED Se##er a retr& $-!t 6ir!t 0a t%e 6&##&7in(: o
T%e 0ri*e &6 t%e t%in( !&#,
o
E0en!e! &6 t%e *&ntra*t an, &t%er #e(iti$ate 0a$ent! $a,e / rea!&n &6 t%e !a#e
o
Ne*e!!ar an, -!e6-# e0en!e! $a,e &n t%e t%in( !&#,
o
Va#i, ten,er &6 0a$ent i! !-66i*ient
o
Mere !en,in( &6 n&ti*e 7it%&-t +a#i, ten,er i! in!-66i*ient
o
Fai#-re t& 0a -!e6-# an, -nne*e!!ar e0en!e! entit#e! +en,ee t& retain #an, -n#e!! a*t-a# rei$/-r!e$ent i! $a,e
IN CASE O: MULTI>PARTIES 5. ;%en an -n,i+i,e, t%in( i! !&#, /e*a-!e *&&7ner! *ann&t a(ree t%at it /e a##&tte, t& &ne &6 t%e$ +en,ee a retr& $a *&$0e# t%e +en,&r t& re,ee$ t%e 7%&#e t%in( 8. ;%en an -n ,i+i,e, t%in( i! !& #, / *& &7ner! *&%eir!) +en,&r! a retr& $a &n# eer*i!e %i! ri(%t &+er %i!
Pa'e 1? $&
re!0e*ti+e !%are" +en,ee a retr& $a ,e$an, t%at t%e $-!t *&$e t& an a(ree$ent 6ir!t an, $a n&t /e *&$0e##e, t& *&n!ent t& a 0artia# re,e$0ti&n =. ;%en ri(%t! &6 *&&7ner! &+er an -n,i+i,e, t%in( i! !&#, a! re(ar,! t& t%eir &7n !%are +en,ee retro *ann&t *&$0e# &ne t& re,ee$ t%e 7%&#e 0r&0ert @. S%&-#, &ne &6 t%e *&%eir!*&&7ner! !-**ee, in re,ee$in( t%e 0r&0ert !-*% +en,&r a retr& !%a## /e *&n!i,ere, a! tr-!tee 7it% re!0e*t t& t%e !%are &6 t%e &t%er *&&7ner!*&%eir!.
:RUITS ;%at *&ntr&#! i! t%e !ti0-#ati&n /et7een 0artie! a! re(ar,! t%e 6r-it!" I6 n&ne: a. At ti$e &6 e e*-ti&n &6 t% e !a#e a retr & t%ere are +i!i/#e &r (r&7in( 6r-it! t%ere !%a## /e n& 0r&ratin( at ti$e &6 re,e$0ti&n i6 n& in,e$nit 7a! 0ai, / t%e +en,ee a retr& /. At ti$e &6 ee*-ti&n !a#e a retr& t%ere /e n& 6r-it! /-t t%ere are 6r-it! at ti$e &6 re,e$0ti&n 0r&rate, /et7een +en,&r a retr& an, +en,ee a retr& (i+in( t%e +en,ee a retr& a 0art *&rre!0&n,in( t& t%e ti$e %e 0&!!e!!e, t%e #an,.
PRE>EMPTION REDEMPTION 5. Ari!e! /e6&re !a#e Ari!e! a6ter !a#e 8. N& re!*i!!i&n T%ere *an /e /e*a-!e n& !a#e ei!t! re!*i!!i&n &6 t%e et &ri(ina# !a#e =. T%e a*ti&n i! A*ti&n i! ,ire*te, ,ire*te, a(ain!t a(ain!t /-er 0r&!0e*ti+e !e##er
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS N- EFTIN3UISHMENT O: SALE ?- Le'a% Redemi$n =========================================
?- LE3AL REDEMPTION LE3AL REDEMPTION • On# a00#ie! t& *&ntra*t! &6 !a#e. • T%e ri(%t t& /e !-/r&(ate, -0&n t%e !a$e ter$! an, *&n,iti&n! !ti0-#ate, in t%e *&ntra*t) in t%e 0#a*e &6 &ne 7%& a*2-ire! t%e t%in( / ?5 0-r*%a!e OR ?8 / ,ati&n in 0a$ent OR ?= / &t%er tran!a*ti&n 7%ere/ &7ner!%i0 i! tran!$itte, / &ner&-! tit#e. • T0e! &6 Le(a# Re,e$0ti&n:
a. A$&n( *&%eir! i.
An &6 t% e %eir! !e## %i! %e re,itar ri(%t! t& !tran(er /e6&re 0artiti&n
ii. An &6 t%e *&%eir! $a /e !-/r&(ate, t& t%e ri(%t! &6 t%e 0-r*%a!er / re,ee$in( !ai, %ere,itar ri(%t: rei$/-r!e /-er &6 t%e 0ri*e &6 t%e !a#e iii. C&%eir! %a! 5 $&nt% 6r&$ re* ei0t &6 n&ti*e in 7ritin(
/. A$&n( *&&7ner! i. an &r a## &6 *&&7ner! !e##! t%eir !%are! t& =r, 0er!&n ii. an *&&7ner $a eer*i!e ri(%t &6 re,e$0ti&n / 0ain( rea!&na/#e 0ri*e &6 0r&0ert t& t%e /-er iii. i6 8 &r $&re *&&7ner! ,e!ire t& eer*i!e ri(%t &6 re,e$0ti&n) t%e $a &n# ,& !& in 0r&0&rti&n t& t%e !%are
CIVIL LAW REVIEWER )01
Pa'e 1?9 $&
t%e re!0e*ti+e# %a+e in t%in( &7ne, in *&$$&n
a. Re,e$0ti&n &6 % &$e!tea,! /. P-/#i* Lan, A*t
*.
A$&n( a,&inin( &7ner! i. R-ra# #an, ;%ere 0ie*e &6 r-ra# #an, %a! an area n&t e*ee,in( 5 %e*tare) a,&inin( &7ner %a! ri(%t t& re,ee$ -n#e!! (rantee ,&e! n&t &7n a r-ra# #an,
o
*.
Lan, a*2-ire, -n,er 6ree 0atent %&$e!tea, !-/e*t t& re0-r*%a!e / 7i6e) #e(a# %eir! 7it%in 4 ear! 6r&$ ,ate &6 *&n+ean*e (rante, / #a7) nee, n&t /e !ti0-#ate,
5. Re,e$0ti&n in ta !a#e!
o
I6 t7& &r $&re a,a*ent #&t &7ner! ,e!ire t& eer*i!e ri(%t t& re,ee$) &7ner &6 a,&inin( #&t 7it% !$a##er area !%a## /e 0re6erre,
i. in *a!e &6 ta ,e#in2-en*6ai#-re t& 0a ta a!!e!!$ent!) 0r&0ert i! 6&re*#&!e,
o
I6 t7& &r $&re a,a*ent #it &7ner! ,e!ire t& eer*i!e ri(%t t& re,ee$ an, /&t% %a+e !a$e #&t area) &ne 7%& 6ir!t re2-e!te, !%a## /e (rante,
ii. ,e#in2-ent 0aer %a! 5 ear 6r&$ ,ate &6 !a#e t& re,ee$ / 0ain( t& t%e re+en-e Di!tri*t O66i*er t%e a$&-nt &6 ta ,e#in2-en*ie!) an, intere!t &r 0-r*%a!e 0ri*e.
ii. Ur/an #an, o
o
,.
7%en 0ie*e &6 #an, i! !$a## an, *ann&t /e -!e, 6&r an 0ra*ti*a# 0-r0&!e an, /&-(%t $ere# 6&r !0e*-#ati&n) &7ner &6 a,&inin( #an, *an re,ee$ 8 &r $&re &7ner! &6 a,&inin( #&t ,e!ire t& eer*i!e ri(%t t& re,ee$) &7ner 7%&!e inten,e, -!e i! /e!t -!ti6ie, !%a## /e 0re6erre,.
Sa#e &6 *re,it in #iti(ati&n i. 7%en a *re,it &r &t%er in*&r0&rea# ri(%t in #iti(ati&n i! !&#,) ,e/t&r !%a## %a+e a ri(%t t& etin(-i!% it / rei$/-r!in( t%e a!!i(nee 6&r t%e 0ri*e t%e #atter 0ai, t%ere6&r 0#-! -,i*ia# *&!t!) intere!t
ii. ,e/t&r $a eer*i!e ri(%t 7it%in = ,a! 6r&$ t%e ,ate a!!i(nee ,e$an,! 0a$ent 6r&$ %i$
Ot%er In!tan*e! ;%en Ri(%t &6 Le(a# Re,e$0ti&n i! Grante,
CIVIL LAW REVIEWER )01
8. Re,e$0ti&n / -,($ent ,e/t&r 5 ear 6r&$ ,ate &6 re(i!trati&n &6 *erti6i*ate &6 !a#e t& re,ee$ / 0ain( 0-r*%a!er at 0-/#i* a-*ti&n 7it% intere!t =. Re,e$0ti&n in etra-,i*ia# 6&re*#&!-re 5 ear 6r&$ ,ate &6 !a#e an, re(i!trati&n @. Re,e$0ti&n in -,i*ia# 6&re*#&!-re &6 $&rt(a(e n& ri(%t t& re,ee$ i! (rante, t& ,e/t&r $&rt(a(&r e*e0t 7%en $&rt(a(ee i! /an1 &6 a /an1in( in!tit-ti&n ,a! a6ter 6ina#it &6 -,($ent 4. ;%en Peri&, &6 Re,e$0ti&n Be(in! t& R-n Ri(%t &6 #e(a# 0ree$0ti&n &6 re,e$0ti&n !%a## /e eer*i!e, 7it%in = ,a! 6r&$ n&ti*e / t%e !e##er . H&7 eer*i!e, ten,er &6 0a$ent i! n&t ne*e!!ar" &66er t& re,ee$ i! en&-(%. i.
T%ere i! n & 0r e!*ri/e, 6& r$ 6& r an &66er t& re,ee$ t& /e 0r&0er# e66e*te,. Hen*e) it *an eit%er /e t%r&-(% a 6&r$a# ten,er 7it% *&n!i(nati&n &6 t%e re,e$0ti&n 0ri*e 7it%in t%e 0re!*ri/e, 0eri&,. ;%at i! 0ara$&-nt i! t%e a+ai#$ent &6 t%e
Pa'e 10 $&
6ie, an, ,e6inite 0eri&, 7it%in 7%i*% t& eer*i!e t%e ri(%t &6 #e(a# re,e$0ti&n. ii.
Dee,! &6 !a#e are n&t t& /e re*&r,e, in Re(i!ter &6 Dee,! -n#e!! a**&$0anie, / a66i,a+it &6 !e##er t%at %e %a! (i+en n&ti*e t& a## 0&!!i/#e re,e$0ti&ner!
8. Tran!6er! a## t%e a**e!!&r ri(%t! ?e.( . (-arant) $&rt(a(e) 0#e,(e) 0re6eren*e =. De/t&r *an !et -0 a( ain!t t%e a!! i(nee a## t%e ,e6en!e! %e *&-#, %a+e !et -0 a(ain!t t%e a!!i(n&r
II-
NOTE: ;ritten n&ti*e -n,er Art. 58= i! manda$r" 6&r t%e ri(%t &6 re,e$0ti&n t& *&$$en*e ? PSC .s- Ss- Va%encia5 KA!'!s 195 200(3ENERAL RULE8 A*t-a# 1n&7#e,(e n&t7it%!tan,in() /rien n$ice is si%% re@!ired
III-
7777777777777777
E::ECTS O: ASSI3NMENT
@. C&$0en!ati&n -n#e!! a!!i(n&r 7a! n&ti6ie, / ,e/t&r t%at %e re!er+e, %i! ri(%t t& t%e *&$0en!ati&n
- A'e Redemi$n =========================================
4. De/t&r %a! 1n &7#e,(e /-t n& *&n!ent $a !ti## !et -0 *&$0en!ati&n &6 ,e/t! 0re+i&-! t& a!!i(n$ent /-t n&t t%e !-/!e2-ent &ne!.
9- ASSI3NMENT = Ars - 1+2) 1+();
CIVIL LAW REVIEWER )01
Sa#e &6 *re,it! an, &t%er in*&r0&rea# t%in(!
a!!i(n$ent
N- EFTIN3UISHMENT O: SALE
5. Tran!6er! t%e ri(%t t& *&# #e*t t%e 6-## +a#-e &6 t%e *re,it) e+en i6 %e 0ai, a 0ri*e #e!! t%an !-*% +a#-e
8.
=. De/t&r %a! *&n !ente, t& a!!i(n$ent *ann&t !et -0
TOPICS UNDER THE S,LLABUS
ASSI3NMENT8 T%e &7ner &6 a *re,it tran!6er! t& an&t%er %i! ri(%t! an, a*ti&n! in *&n!i,erati&n &6 a 0ri*e *ertain in $&ne &r it! e2-i+a#ent
Te*%ni*a# ter$ /-t /a!i*a## a !a#e
8. A!!i(n$ent &6 ri(%t! $a,e 7& 1n&7#e,(e &6 ,e/t&r ,e/t&r $a !et -0 a(ain!t a!!i(nee t%e *&$0en!ati&n 7* 7&-#, 0ertain t& %i$ a(ain!t a!!i(n&r &6 a## *re,it! 0ri&r t& a!!i(n$ent an, &6 #ater &ne! -nti# %e %a, 1n&7#e,(e &6 t%e
Art. 58= ,&e! n&t 0re!*ri/e an ,i!tin*ti+e $et%&, 6&r n&ti6in( t%e re,e$0ti&ner. Ec!#an .- CA5 K1) SCRA *0?
7777777777777777777777777
I-
5.
5. La*1 &6 1n& 7#e,(e &r *&n !ent &6 ,e/ t&r n&t e!!entia# 6&r +a#i,it /-t %a! #e(a# e66e*t! ?$eetin( &6 $in,! in a!!i(n$ent *&nte$0#ate! t%at /et7een a!!i(n&r &6 t%e *re,it an, %i! a!!i(nee
EFCEPTION8 ;%en a*t-a# 1n&7#e,(e i! a*2-ire, / *&%eir! #i+in( in !a$e #an, 7it% 0-r*%a!er) &r *&&7ner 7a! $i,,#e$an in !a#e t& =r, 0art. o
WHAT MAES ASSI3NMENT DI::ERENT :ROM SPECIES SALE
IV -
TRANS:ER O: OWNERSHIP 5. B tra,iti&n an, n&t / 0er6e*ti&n 8. B ee*-ti&n &6 0-/#i* in!tr-$ent /e*a-!e intan(i/#e! *ann&t /e 0%!i*a## tran!6erre,
Pa'e 11 $&
=. ;it%&-t ne*e!!it &6 ,e#i+erin( ,&*-$ent e+i,en*in( t%e *re,it.
t%e
@. T%i! r-#e ,&e! n&t a00 # t& ne( &tia/#e ,&*-$ent! an, ,&*-$ent! &6 tit#e 7%i*% are (&+erne, / !0e*ia# #a7!.
V-
7%&#e in (enera# /-t n&t 6&r ea*% &6 t%e +ari&-! 0art!
VII-
E::ECT O: PA,MENT O: DEBTOR A:TER ASSI3NMENT O: CREDIT
BREACH O: WAR RANT,8 LIA BILITIES O: THE ASSI3NOR O: CREDIT :OR VIOLATION O: HIS WARRANTIES 5. A!!i(n&r in (&&, 6ait% Lia/i#it i! #i$ite, t& 0ri*e re*ei+e,) e0en!e! &6 t%e *&ntra*t an, &t%er
1- Be6&re N&ti*e &6 t%e A!!i(n$ent
#e(iti$ate 0a$ent! $a,e / rea!&n &6 t%e a!!e!!$ent 8. A!!i(n&r in /a, 6ait%
Pa$ent t& t%e &ri(ina# *re,it&r i! +a#i, an, ,e/t&r !%a## /e re#ea!e, 6r&$ %i! &/#i(ati&n
Lia/#e ALSO 6&r ?e0en!e! &6 *&ntra*t an, &t%er #e(iti$ate 0a$ent! 0#-! -!e6-# an, ne*e!!ar e0en!e! ,a$a(e!
2- A6ter N&ti*e a. Pa$ent t& t%e &ri (ina# *re,it&r i! n&t +a#i, a! a(ain!t t%e a!!i(nee
VIII-
/. He $a /e $a,e t& 0a a(ain / t%e a!!i(nee
VI -
WARRANTIES O: T HE AS SI3NOR O: CREDIT 5. NO 7arrant a(ain!t %i,,en ,e6e*t NA /e*a-!e intan(i/#e! %a! n& 0%!i*a# ei!ten*e
1.
T%ere $-!t /e a !a#e &r a!!i(n$ent &6 *re,it
2.
T%ere $-!t /e a 0en,in( #iti(ati&n
3.
T%e ,e/t&r $-!t 0a t%e a!!i(nee: a. Pri*e 0ai, / %i$ AND /. J-,i*ia# *&!t! in*-rre, / %i$ AND
8. He 7arrant! t%e ei!ten*e an, #e(a#it &6 *re,it t%ere i! 7arrant e*e0t 7%en e0re!!# !&#, a! a ,&-/t6-# a**&-nt a. NO 7a rrant a! t& t% e !&#+en* &6 ,e/t&r -n#e!! it i! e0re!!# !ti0-#ate, OR -n#e!! t%e in!&#+en* 7a! a#rea, ei!tin( an, &6 0-/#i* 1n&7#e,(e at t%e ti$e &6 t%e a!!i(n$ent /. ;arrant !%a## #a!t 6&r 5 ear &n# *.
*. Intere!t &n t%e 0ri*e 6r&$ t%e ,ate &6 0a$ent 4. T%e ri(%t $-!t /e eer*i!e, / t%e ,e/t&r 7it%in = ,a! 6r&$ t%e ,ate t%e a!!i(nee ,e$an,! ?-,i*ia## &r etra-,i*ia## 0a$ent 6r&$ %i$
NOTE8 •
Pre!-$0ti&n: /-erK! 0-r0&!e i! !0e*-#ati&n an," #a7 7&-#, rat%er /ene6it t%e ,e/t&r &6 !-*% *re,it! rat%er t%an t%e &ne 7%& $ere# !0e*-#ate! 6&r 0r&6it.
•
;%en *re,it &r in*&r0&rea# ri(%t in #iti(ati&n i! a!!i( ne, &r !&#,) ,e/t&r %a! a ri(%t t& etin(-i!% it / rei$/-r!in( t%e a!!i(nee 6&r t%e 0ri*e t%e /-er 0ai, 0#-! intere!t
One 7%& a!!i(n! in%eritan*e ri(%t 7& en-$eratin( ri(%t! !%a## /e an!7era/#e 6&r %i! *%ara*ter a! an %eir
,. One 7%& !e##! 7%&#e &6 *e rtain ri(%t! 6&r a #-$0 !-$) !%a## /e an!7era/#e 6&r #e(iti$a* &6 t%e
CIVIL LAW REVIEWER )01
ASSI3NMENT O: CREDIT OR INCORPOREAL RI3HT IN LITI3ATION > REUISITES8
Pa'e 12 $&
IF-
Ri' $ redeem #" de#$r n$ a.ai%a#%e in e &$%%$/in' insances =n$ c$nsidered sec!%ai.e
5. A!!i(n$ent &6 *re,it in*&r0&rea# ri( %t t& *&%eir &r *&&7ner" t%e #a7 ,&e! n&t 6a+&r *&&7ner!%i0 8. A!!i(n$ent t& *re,it&r in 0a$ent 6&r %i! *re,it • Pre!-$0ti&n i! t%at t%e a!!i(n$ent i!
a/&+e !-!0i*i&n" a!!i(n$ent i! in t%e 6&r$ &6 dacion en pago& t%-! 0er6e*t# #e(a# =. A!!i(n$ent t& 0&!!e!!&r &6 tene$ent &r 0ie*e &6 #an, 7%i*% i! !-/e*t t& t%e ri(%t in #iti(ati&n a!!i(ne,
P.D. 4>: LA; ON SALE OF SUBDIVISION AND CONDOMINIUM
REMEDIES :OR :AILURE O: THE DEVELOPER TO DEVELOP THE SUBDIVISION OR CONDOMINIUM ACCORDIN3 TO THE APPROVED PLAN AND TO COMPL, WITH SUCH WITHIN THE TIME LIMIT•
T%e /-er $a ,e!i!t 6r&$ 6-rt%er 0a$ent
an in!ta##$ent!. A#!&) t%ere 7&-#, /e n& 6&r6eit-re &6 0a!t 0a$ent! in 6a+&r &6 t%e ,e+e#&0er a6ter ,-e n&ti*e %a! /een (i+en. T%e /-er $a ,e$an, rei$/-r!e$ent &6 t%e t&ta# a$&-nt 0ai, in*#-,in( a$&rtiati&n intere!t! /-t e*#-,in( ,e#in2-en* intere!t!) 7it% intere!t t%ere&n at t%e #e(a# rate. ?Se*. 8=) P.D. 4> •
• P-r0&!e i! t& 0re!-$a/# 0re!er+e t%e
tene$ent
Ot%er7i!e: RA 448 ?Ma*e,a La7 7i## a00#.
REUISITES O: SEC ( O: RA +**28
END O: DISCUSSION ON TOPIC N- EFTIN3UISHMENT O: SALE ================================
Fai#-re t& 0a in!ta##$ent! 7a! ,-e t& rea!&n!) &t%er t%an 6ai#-re &6 t%e ,e+e#&0er t& ,e+e#&0 t%e !-/,i+i!i&n &r *&n,&$ini-$ a**&r,in( t& t%e a00r&+e, 0#an an, t& *&$0#
O- THE SUBDIVISION AND CONDOMINIUM BU,ERS PROTECTIVE DECREE
7it% !-*% 7it%in t%e ti$e #i$it) an,) • On# *&+er! re!i,entia# #&t! in*#-,in( *&n,&$ini-$ -nit!) e*#-,in() !a#e! t& tenant!.
================================
TOPICS UNDER THE S,LLABUS Te S!#di.isi$n and C$nd$mini!m B!"ers Pr$eci.e Decree =P-D- 9*?;
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS O- THE SUBDIVISION AND CONDOMINIUM BU,ERS PROTECTIVE DECREE =========================================
CIVIL LAW REVIEWER )01
•
T%e /-er %a! 0ai, at #ea!t t7& ear! &6 in!ta##$ent! •
RI3HTS O: THE BU,ER UNDER RA +**2 WITH AT LEAST TWO =2; ,EARS O: INSTALLMENT: T& 0a) 7it%&-t a,,iti&na# intere!t) t%e -n0ai, in!ta##$ent! ,-e 7it%in t%e t&ta# (ra*e 0eri&, earne, / %i$. Sai, (ra*e 0eri&, i! 6ie, at t%e rate &6 &ne $&nt% (ra*e 0eri&, 6&r e+er &ne ear &6 in!ta##$ent! 0a$ent! $a,e. T%-!) %ere t%e /-er %a! at #ea!t t7& $&nt%! (ra*e 6&r %e !%&-#, %a+e 0ai, at #ea!t t7& ear! &6 in!ta##$ent! t& a+ai# &6 t%e ri(%t! -n,er t%i! !e*ti&n. •
Pa'e 1( $&
T%i! ri(%t! *an &n# /e eer*i!e, &n# &n*e in e+er 6i+e ?4 ear! &6 t%e #i6e &6 t%e *&ntra*t an, it! eten!i&n!) i6 an. T& /e re6-n,e, &6 t%e *a!% !-rren,er +a#-e &6 t%i! 0a$ent! e2-a# t& 4 &6 %i! t&ta# 0a$ent! i6 t%e *&ntra*t i! *an*e##e,. B-t i6 %e %a! 0ai, 6i+e ear! &r $&re) %e i! entit#e, t& an in*rea!e &6 4 e+er ear an, !& &n /-t t%e *a!% !-rren,er +a#-e !%a## n&t e*ee, &6 %i! t&ta# 0a$ent!. McLa!'%in . CA5 K3-R•
END O: DISCUSSION ON TOPIC O- THE SUBDIVISION AND CONDOMINIUM BU,ERS PROTECTIVE DECREE ================================
P- THE CONDOMINIUM ACT ================================
TOPICS UNDER THE S,LLABUS Te C$nd$mini!m Ac =R-A- )?2+;
N$- L>*?**25 Oc 105 19+
THE ACTUAL CANCELLATION O: THE CONTRACT RE:ERRED TO ABOVE SHALL TAE PLACE ONL,8 5. A6ter = ,a! 6r&$ re*ei0t / t%e /-er &6 t%e n&ti*e &6 *an*e##ati&n &r ,e$an, 6&r re!*i!!i&n) AND 8. U0&n 6-## 0a$ent t& t%e /-er &6 t%e *a!% !-rren,er +a#-e In t%e *&$0-tati&n &6 t%e t&ta# n-$/er &6 in!ta##$ent 0a$ent! t%e 6&##&7in( are in*#-,e,:
7777777777777777777777777 7777777777777777 TOPICS UNDER THE S,LLABUS P- THE CONDOMINIUM ACT =========================================
R.A. @>8: THE CONDOMINIUM ACT Re!tri*ti&n! an, A,,iti&na# re2-ire$ent! &n tran!6er &6 *&n,&$ini-$!:
5. ,&7n0a$ent an,
It !%a## in*#-,e t%e tran!6er &r *&n+ean*e &6 t%e -n,i+i,e, intere!t! in t%e *&$$&n area!
8. ,e0&!it &r &0ti&n $&ne
&r $e$/er!%i0 &r !%are%&#,in(! in t%e *&n,&$ini-$ *&r0&rati&n.
•
RI3HTS O: THE BU,ER UNDER RA +**2 WITH LESS THAN 2 ,EARS O: INSTALLMENTS8 •
•
I6 %e %a! 0ai, #e!! t%an t7& ?8 ear! &6 in!ta##$ent!) %e !ti## %a! t%e ri(%t t& 0a 7it%in a (ra*e 0eri&, &6 n&t #e!! t%an !it ? ,a! 6r&$ t%e ,ate t%e in!ta##$ent /e*a$e ,-e. I6 t%e /-er 6ai#! t& 0a t%e in!ta##$ent ,-e at t%e e0irati&n &6 t%e (ra*e 0eri&,) i.e. ,a!) t%e !e##er $a *an*e# t%e *&ntra*t a6ter = ,a! 6r&$ re*ei0t / t%e /-er &6 t%e n&ti*e &6 *an*e##ati&n &r ,e$an, 6&r re!*i!!i&n &6 t%e *&ntra*t / a n&taria# a*t.
•
Me$/er!%i0 in a *&n,&$ini-$ *&r0&rati&n) re(ar,#e!! 7%et%er !t&*1 &r n&n!t&*1) !%a## n&t /e tran!6era/#e !e0arate# 6r&$ t%e *&n,&$ini-$ -nit &6 7%i*% it i! an a00-rtenan*e.
•
N& *&n,&$ini-$ &7nerK! *&0 &6 t%e *erti6i*ate &6 tit#e !%a##) !-/!e2-ent t& t%e &ri(ina# *&n+ean*e) /e re(i!tere, -n#e!! a**&$0anie, / a *erti6i*ate &6 t%e $ana(e$ent /&, &6 t%e 0r&e*t t%at !-*% *&n+ean*e i! in a**&r,an*e 7it% t%e 0r&+i!i&n! &6 t%e ,e*#arati&n &6 re!tri*ti&n! &6 !-*% 0r&e*t.
END O: DISCUSSION ON TOPIC P- THE CONDOMINIUM ACT ================================
Here t%e /-er i! n&t entit#e, t& an re6-n,
CIVIL LAW REVIEWER )01
Pa'e 1) $&
H- SUCCESSION
&6 t%e in%eritan*e eit%er / 7i## &r / &0erati&n &n #a7 ?Art. >98
=================================
TOPICS UNDER THE S,LLABUS I- 3enera% Pr$.isi$ns =Ars- ??)>?0; A- De&inii$n/a is ransmied =Ars- ??)5 ??+5 ?1; B- Wen s!ccessi$n $cc!rs =Ar???; C- inds $& s!ccess$rs8 eirs5 de.isees5 %e'aees =Ar- ?2; =================================
/. GEERA? ;R4'//4 SUCCESSION $&,e &6 a*2-i!iti&n / +irt-e &6 7%i*% t%e 0r&0ert) ri(%t! an, &/#i(ati&n! t& t%e etent &6 t%e +a#-e &6 t%e in%eritan*e) &6 a 0er!&n are tran!$itte, t%r&-(% %i! ,eat% t& an&t%er &r &t%er! eit%er / %i! 7i## &r / &0erati&n &6 #a7. ?Art. >>@
INDS O: HEIRS 5. C$m!%s$r" t%&!e 7%& !-**ee, / 6&r*e &6 #a7 t& !&$e 0&rti&n &6 t%e in%eritan*e) in an a$&-nt 0re,eter$ine, / #a7) &6 7%i*% t%e *ann&t /e ,e0ri+e, / t%e te!tat&r) e*e0t / a +a#i, ,i!in%eritan*e 8. V$%!nar" $r Tesamenar" t%&!e 7%& are in!tit-te, / t%e te!tat&r in %i! 7i##) t& !-**ee, t& t%e 0&rti&n &6 t%e in%eritan*e &6 7%i*% t%e te!tat&r *an 6ree# ,i!0&!e =. Le'a% $r Inesae t%&!e 7%& !-**ee, t& t%e e!tate &6 t%e ,e*e ,ent 7%& ,ie! 7it%&-t a +a#i, 7i##) &r t& t%e 0&rti&n &6 !-*% e!tate n&t ,i!0&!e, &6 / 7i## ii.
INDS O: SUCCESSION ?Ba#ane
!e"isees or =egatees 0er!&n! t& 7%&$ (i6t! &6 rea# &r 0er!&na# 0r&0ert are re!0e*ti+e# (i+en / +irt-e &6 a 7i## ?Art. >98
5. C$m!%s$r"W!-**e!!i&n t& t%e #e(iti$e ?t%i! 0re+ai#! &+er a## 1in,!
NOTE8 T%e ,i!tin*ti&n /et7een %eir! an, ,e+i!ee!#e(atee! are i$0&rtant in t%e!e *a!e!:
8. Tesamenar"W!-**e!!i&n / 7i## a. Preteriti&n =. InesaeW!-**e!!i&n in ,e6a-#t &6 a 7i## /. I$0er6e*t ,i!in%eritan*e @. Mi6edWn&t a ,i!tin*t 1in, rea##) /-t a *&$/inati&n &6 an t7& &r a## &6 t%e 6ir! t t%ree
*.
A6tera*2-ire, 0r&0ertie!
,. A**e0tan*e &r n&nre0-,iati&n !-**e!!i&na# ri(%t!
&6
ELEMENTS O: SUCCESSION II. Ca!sa% E%emen ?Art. >>>
I-
S!#4eci.e E%emen A. Deceden W 0er!&n 7%&!e 0r&0ert i! tran!$itte, t%r&-(% !-**e!!i&n ?Art. >>4
Dea $& e Pers$n H&7e+er) a 0er!&n $a /e 0re!-$e, ,ea, 6&r t%e 0-r0&!e &6 &0enin( %i! !-**e!!i&n ? see rules on presumpti"e death. In t%i! *a!e) !-**e!!i&n i! &n# &6 0r&+i!i&na#
B. S!ccess$rs
*%ara*ter /e*a-!e t%ere i! a#7a! t%e *%an*e t%at t%e a/!entee $a /e a#i+e.
i.
3eirs t%&!e 7%& are *a##e, t& t%e 7%&#e &r t& an a#i2-&t 0&rti&n
CIVIL LAW REVIEWER )01
III. O#4eci.e E%emen ?Art. >>
Pa'e 1* $&
Ineriance i! t%e !-/e*t $atter &6 S-**e!!i&n it in*#-,e!: i.
Pr&0ert a n, ransmissi#%e ri(%t! an, &/#i(ati&n!
RI3HTS EFTIN3UISHED B, DEATH =NOT TRANSMISSIBLE; 5. S-00&rt 8. U!-6r-*t =. T%&!e ari!in( *&n!i,erati&n
6r&$
0er!&na#
@. Per!&na# ea!e$ent! 4. Partner!%i0 ri(%t! . A(en* >. Li6e Ann-it
ii.
Ei!tin( at t%e ime $& is dea
iii. AND t%&!e 7%i*% %a+e t%eret& t%e !-**e!!i&n!in*e ?Art. >95
accr!ed
&0enin(
&6
A&er>Ac@!ired Pr$er" ?Art. >= 3ENERAL RULE8 Pr&0ert a*2-ire, ,-rin( t%e 0eri&, /et7een t%e ee*-ti&n &6 t%e 7i## an, t%e ,eat% &6 t%e te!tat&r i! NOT in*#-,e, a$&n( t%e RE3ARD $ 0r&0ert ,i!0&!e, &6 7it% LE3ACIES and DEVISEES5 n&t t& %eir!. EFCEPTION8 ;%en a *&ntrar intenti&n e0re!!# a00ear! in t%e 7i## S!ccessi$n disin'!ised &r$m Ineriance S!ccessi$n
Ineriance
it.
0er!&n7%&,ie,.
=================================
TOPICS UNDER THE S,LLABUS II- Tesamenar" S!ccessi$n A- Wi%%s =1; In 3enera% =a; De&inii$n and caracerisics =Ars- ?(>??; =2; Tesamenar" caaci" and inen =Ars- ?9+>0(; =a; A'e re@!iremen =Ar- ?9?; =#; S$!ndness $& mind =Ars?9>01; =(; :$rm =a; R!%es '$.ernin' e &$rma% .a%idi" $& /i%%s =Ars- 1?5 1*> 1?5 19; =#; C$mm$n re@!iremens =Ar0); =c; N$aria% /i%%s =d; H$%$'raic /i%%s =e; $in /i%%s =Ars- 1>19; =); C$dici%s =Ars- 2*>2+; =a; De&inii$n and &$rma% re@!iremens =*; Inc$r$rae #" re&erence =Ar2?; =+; Re.$cai$n =Ars- 2>(); =a; inds =Ar- (0; =?; A%%$/ance and disa%%$/ance $& /i%%s =Ars- (>(9; =a; Pr$#ae re@!iremen =Ar(; =#; 3r$!nds &$r den"in' r$#ae =Ar- (9; =================================
Re6er! / t& t%e #e(a# m$de 7%i*% in%eritan*e i! tran!$itte, t& t%e 0er!&n! entit#e, t&
Re6er! t& t%e !ni.ersa%i" &r entiret &6 t%e 0r&0ert) ri(%t! an, &/#i(ati&n! &6 a
CIVIL LAW REVIEWER )01
Pa'e 1+ $&
//. :E:A9E:ARF CCE/4
iii.
Deter$inati&n &6 7%et%er &r n&t t%e te!ta$entar ,i!0&!iti&n i! t& /e &0erati+e
A- WILLS CONCEPT O: A WILL ?Art. >9=
/.
A*t! 7%i*% $a /e entr-!te, t& t% ir, 0er!&n! ?Arti*#e >9>"
5. It i! an a*t" 8. ;%ere/ a 0er!&n i! permitted"
i.
Di!tri/-ti&n &6 !0e*i6i* 0r&0ert &r !-$! &6 $&ne t%at %e $a #ea+e in (enera# t& !0e*i6ie, *#a!!e! &r *a-!e!" an,
ii.
De!i(nati&n &6 t%e 0er!&n!) in!tit-ti&n! &r e!ta/#i!%$ent! t& 7%i*% !-*% 0r&0ert &r !-$! are t& /e (i+en &r a00#ie,.
=. ;it% t%e formalities 0re!*ri/e, / #a7" @. T& control t& a *ertain ,e(ree" 4. %e disposition &6 %i! e!tate" . T& ta1e e66e*t after %i! ,eat%.
INDS O: WILLS8 5. N$aria% an &r,inar &r atte!te, 7i## 8. H$%$'raic a %an,7ritten 7i##
=. FREE AN D VOLUNTARY ACT W an +i*e a66e*tin( te!ta$entar 6ree,&$ *an *a-!e t%e ,i!a##&7an*e &6 t%e 7i##
COMMON REUISITES BETWEEN THE TWO WILLS8 5. M-!t /e in 7ritin( an,
@. FORMAL AND SOLEMN ACT W t%e 6&r$a#itie! are e!!entia# 6&r +a#i,it
8. In a #an(-a(e &r ,ia#e*t 1n&7n t& t%e te!tat&r
4. ACT MORTIS CAUSA ?Art. >9=W ta1e! e66e*t &n# a6ter t%e ,eat% &6 t%e te!tat&r
CHARACTERISTICS O: A WILL8 5. UNILATERAL W ,&e! n&t ne e, t%e a00 r&+a# &6 an &t%er 0er!&n ?i$0#ie, in Art. >9=
8. STRICTLY PERSONAL ACT ?Art. >9@>94 a.
A*t! 7%i*% $a n&t /e #e6t t& t%e ,i!*reti&n &6 t%ir, 0er!&n! ?Art!. >94 an, >9>: i.
ii.
D-rati&n &r e66i*a* &6 t%e ,e!i(nati&n &6 %eir!) ,e+i!ee! &r #e(atee!" Deter$inati&n & 6 t %e 0&rti&n! 7%i*% t%e are t& ta1e) 7%en re6erre, t& / na$e" an,
. AMBULATORY AND REVOCABLE ,-rin( t%e te!tat&rK! #i6eti$e >. INDIVIDUAL ACT W t7& &r $&r e 0er!&n! *ann&t $a1e a !in(#e joint will) eit%er 6&r t%eir re*i0r&*a# /ene6it &r 6&r an&t%er 0er!&n. H&7e+er) !e0arate &r in,i+i,-a## ee*-te, 7i##!) a#t%&-(% *&ntainin( re*i0r&*a# 0r&+i!i&n! ?mutual wills are n&t 0r&%i/ite,) !-/e*t t& t%e r-#e! &n disposicion captatoria.
9. Ee*-te, 7it% ANIMUS TESTANDI
. Ee*-te, 7it% TESTAMENTARY CAPACITY
5. DISPOSITIVE OF PROPERTY
CIVIL LAW REVIEWER )01
Pa'e 1? $&
55. STATUTORY
INTERPRETATION O: WILLS ?Art. >99>@ Un,er#in( Prin*i0#e: Te!ta* i! a#7a! 0re6erre, t& inte!ta*) /e*a-!e t%e 6&r$er i! t%e e0re!! 7i## &6 t%e ,e*e,ent 7%erea! t%e #atter i! &n# %i! i$0#ie, 7i##. 5. Anim!s Tesandi T%e te!t at&rK! intent ?animus testandi*& a! 7e## a! (i+in( e66e*t t& !-*% intent i! 0ri$&r,ia#.
EFCEPT: 7%en t%e intenti&n &6 t%e te!tat&r i! *&ntrar t& #a7) $&ra#! &r 0-/#i* 0&#i*. 8. In *a!e &6 ,&-/t) t%e inter0retati&n / 7%i*% t%e ,i!0&!iti&n i! t& /e &0erati+e &r 7i## !-!tain an, -0%&#, t%e 7i## in a## it! 0art! !%a## /e a,&0te,) 0r&+i,e, t%at it *an /e ,&ne *&n!i!tent# 7it% t%e e!ta/#i!%e, r-#e! &6 #a7.
,i!0&!e, &6. EFCEPT8 ;%en a *&ntrar intenti&n e0re!!# a00ear! &n t%e 7i##.
NOTE8 T%i! r-#e a00#ie! &n# t& #e(a*ie! an, ,e+i!ee! an, n&t t& in!tit-ti&n &6 %eir! NOTE8 T%e +a#i,it &6 a 7i## a! t& it! 6&r$ ,e0en,! -0&n t%e &/!er+an*e &6 the law at the TI#E it was #A!E ?Art. >4 TESTAMENTAR, CAPACIT,Wt%e a/i#it a! 7e## a! t%e 0&7er t& $a1e a 7i## ?$-!t /e 0re!ent at t%e TIME &6 EECUTION: 5. A## 0er!&n! 7%& are n&t e 0re!!# 0r&%i/ite, / #a7 ?Art. > 8. 59 ear! &#, an, a/&+e ?Art. >> =. O6 !&-n, $in,) at t%e ti $e &6 it ! ee*-ti&n ?Art. >9" A te!tat&r i! *&n!i,ere, &6 !&-n, $in, i6 %e 1n&7! at t%e ti$e &6 $a1in( &6 t%e 7i## t%e 6&##&7in(:
a% %!ur &6 t%e e!tate t& /e ,i!0&!e, &6 =. Am#i'!iies in Wi%%s Intrin!i* &r etrin!i* e+i,en*e $a /e -!e, t& a!*ertain t%e te!tat&ria# intent &6 t%e te!tat&r.
b% Pr&0er ojc!s &6 %i! /&-nt c%
EFCEPT8 T%e &ra# ,e*#arati&n! &6 t%e te!tat&r a! t& %i! intenti&n! $-!t /e e*#-,e, /e*a-!e !-*% te!ti$&n 7&-#, /e %ear!a. INDS O: AMBI3UITIES ?Art. >9 I.
Laen $r Inrinsic Am#i'!iies W t%&!e 7%i*% ,& n&t a00ear &n t%e 6a*e &6 t%e 7i## an, i! ,i!*&+ere, &n# / etrin!i* e+i,en*e
II.
Paen $r E6rinsic Am#i'!iies W t%&!e 7%i*% a00ear &n t%e 6a*e &6 t%e 7i## it!e#6
@. A&er Ac@!ired Pr$er" Pr&0ert a*2-ire, ,-rin( t%e 0eri&, /et7een t%e ee*-ti&n &6 t%e 7i## an, t%e ,eat% &6 t%e te!tat&r i! NOT in*#-,e, a$&n( t%e 0r&0ert
CIVIL LAW REVIEWER )01
C"%r%c!r &6 t%e te!ta$entar a*t ?Art. >
LE3AL PRESUMPTION IN :AVOR SOUNDNESS O: MIND ?Art. 98
O:
3enera% R!%e8 T%e #a7 0re!-$e! t%at e+er 0er!&n i! &6 !&-n, $in,) in t%e a/!en*e &6 0r&&6 t& t%e *&ntrar. Excp!ions8
5. ;%en t%e te!tat&r) &ne $&nt% &r #e!! /e6&re t%e ee*-ti&n &6 t%e 7i##) 7a! PUBLICLY 'NO;N t& /e INSANE ?Art. 9" 8. ;%en t%e te!tat&r ee*-te, t%e 7i## a6ter /ein( 0#a*e, -n,er (-ar,ian!%i0 T$rres and L$eJ de B!en$ .s- L$eJ5 K) Pi%- ??2 &r &r,ere, *&$$itte,) in eit%er *a!e) 6&r in!anit ?-n,er R-#e! = an, 55)
Pa'e 1 $&
re!0e*ti+e# &6 t%e R-#e! &6 C&-rt) an, /e6&re !ai, &r,er %a! /een #i6te,. •
S-0er+enin( *a0a*it &r in*a0a*it ,&e! n&t in+a#i,ate an e66e*ti+e 7i##) n&r i! t%e 7i## &6 an in*a0a/#e +a#i,ate, / !-0er+enin( *a0a*it ?Art. 95.
:ORMS O: WILL COMMON :ORMALITIES8 5. E+er 7i## $-!t /e in ;RITING" an, 8. Ee*-te, in a LANGUAGE &r DIALECT 'NO;N t& t%e TESTATOR ?Art. 9@
SPECIAL :ORMALITIES8 I.
NOTARIAL WILL a +a#i, n&taria# 7i##: ?Art. 94
•
C. Ea*% an, e+er 0a(e) e*e0t t%e #a!t) $-!t /e !i(ne, / t%e te!tat&r &r / t%e 0er!&n re2-e!te, / %i$ t& 7rite %i! na$e) an, / t%e in!tr-$enta# 7itne!!e! &6 t%e 7i##) &n t%e #e6t $ar(in. Si(nat-re! &n t%e #e6t $ar(in &n ea*% an, e+er 0a(e NOT REUIRED : i.
In t%e #a!t 0a(e) 7%en t%e 7i## *&n!i!t! &6 t7& &r $&re 0a(e!"
ii.
;%en t% e 7i## *& n!i!t! &6 &n # &n e 0a(e"
iii.
;%en t%e 7i## *&n!i!t! &6 t7& 0a(e!) t%e 6ir!t *&n!i!t! &6 a## t%e te!ta$entar ,i!0&!iti&n an, i! !i(ne, at t%e /&tt&$ / t%e te!tat&r an, t%e 7itn e!!e! an, t%e !e*&n, *&ntain! &n# t%e atte!tati&n *#a-!e ,-# !i(ne, at t%e /&tt&$ / t%e 7itne!!e!.
A. S-/!*ri/e, at t%e en, / t% e te!tat&r %i$!e#6 &r / t%e te!tat&rK! na$e 7ritten / !&$e &t%er 0er!&n in %i! 0re!en*e) an, / %i! e0re!! ,ire*ti&n ;"6sic%l n- 7%ere t%e 7ritin( !t&0! ?oic%l n- 7%ere t%e #a!t te!ta$entar ,i!0&!iti&n en,!
B. Atte!te, !-/!*ri/e, / t%r ee &r $&r e *re,i/#e 7itne!!e! in t%e 0re!en*e &6 t%e te!tat&r an, &6 &ne an&t%er •
Manda$r" Par8 T%e !i(nin( &n e+er 0a(e in t%e 7itne!!e!K 0re!en*e NOTE8 Te!t &6 0re!en*e i! n&t 7%et%er t%e a*t-a## !a7 ea*% &t%er !i(n) /-t 7%et%er t%e $i(%t %a+e !een ea*% &t%er !i(n %a, t%e *%&!en t& ,& !& *&n!i,erin( t%eir $enta# an, 0%!i*a# *&n,iti&n an, 0&!iti&n 7it% re#ati&n t& ea*% &t%er at t%e $&$ent &6 in!*ri0ti&n &6 ea*% !i(nat-re.
CIVIL LAW REVIEWER )01
Direc$r" Par8 T%e 0#a*e &6 t%e !i(nat-re) i.e. t%e #e6t $ar(in" t%e !i(nat-re *an /e a66ie, an7%ere &n t%e 0a(e.
NOTE8 A !tat-te re2-irin( a 7i## t& /e !i(ne, i! !ati!6ie, i6 t%e !i(nat-re i! $a,e / t%e te!tat&r! $ar1. A t%-$/$ar1 i! !-6 6i*ient !i(nat-re. Pa"ad .- T$%enin$5 K+2 Pi% )+ B-t a $ere !i(n &6 t%e *r&!! *ann&t /e a**e0te, a! it ,&e! n&t %a+e t%e tr-!t7&rt%ine!! &6 a t%-$/$ar1 3arcia .- Lac!esa5 K90 Pi% )9 D. Ea*% an, e+er 0a(e &6 t%e 7i## $-!t /e n-$/ere, *&rre#ati+e# in #etter! 0#a*e, &n t%e -00er 0art &6 ea*% 0a(e.
•
Manda$r" Par8 Pa(inati&n $ean! &6 a *&n+enti&na# !!te$.
•
Direc$r" Par8 T%e 0a(inati&n in letters on the upper part &6 ea*%
/
0a(e E. It $-!t *&ntain an atte!tati&n *#a-!e) !tatin( t%e 6&##&7in(:
Pa'e 19 $&
a. T%e n-$/er &6 0 a(e! -!e, -0&n 7%i*% t%e 7i## i! 7ritten /. T%e 6a*t t%at t%e te !tat&r !i(ne, t%e 7i## an, e+er 0a(e) &r *a-!e, !&$e &t%er 0er!&n t& 7rite %i! na$e) -n,er %i! e0re!! ,ire*ti&n) in t%e 0re!en*e &6 t%e in!tr-$enta# 7itne!!e! *. A## t%e in!tr-$enta# 7itne!!e! 7itne!!e, an, !i(ne, t%e 7i## an, a## it! 0a(e! in t%e 0re!en*e &6 t%e te!tat&r an, &6 &ne an&t%er
F. It $-!t /e a*1n&7#e,(e, /e6&re a n&tar 0-/#i* / t%e te!tat&r an, t%e 7itne!!e! ?Art. 9
•
T%e n&tar 0-/#i* *ann&t /e *&-nte, a! &ne &6 t%e atte!tin( 7itne!!e!. Cr!J .Vi%%as$r5 K*) SCRA (1
atte!tati&n *#a-!e at t%e en, &r #a!t 0a(e &6 t%e 7i##
•
T%e atte!tati&n *#a-!e nee, n&t /e 7ritten in a #an(-a(e &r ,ia#e*t 1n&7n t& t%e te!tat&r n&r t& t%e 7itne!!e! !in*e it ,&e! n&t 6&r$ 0art &6 t%e te!ta$entar ,i!0&!iti&n
•
T%e atte!tati&n *#a-!e nee, &n# /e !i(ne, / t%e 7itne!!e! an, n&t / t%e te!tat&r a! it i! a ,e*#arati&n $a,e / t%e 7itne!!e!.
RULE ON SUBSTANTIAL COMPLIANC E ?ART. 9 5. In t%e a/!en*e &6
ATTESTATION .- SUBSCRIPTION Aesai$n An a*t &6 7itne!!in( ee*-ti&n &6 7i## / te!tat&r &r,er t& !ee,&ne an, ta1e n&te $enta## t%&!e int%in(! are 7%i*% t%e !tat-te re2-ire! 6&r t%e ee*-ti&n &6 a 7i## an, t%at t%e !i(nat-re &6 t%e te!tat&r ei!t! a! a 6a*t
!i,e $ar(in &6 e+er 0a(e &6 t%e 7i##
o
/a, 6ait%
o
6&r(er
o
6ra-,
o
-n,-e an, i$0r&0er 0re!!-re an, in6#-en*e
8. De6e*t! an, i$0er6e*ti&n!
S!#scrii$n $an-a# a*t &6 in!tr-$enta# 7itne!!e! in a66iin( t%eir !i(nat-re t& t%e in!tr-$ent
o
in t%e 6&r$ &6 atte!tati&n &r in t%e #an(-a(e -!e, t%erein
=. S%a## n&t ren,er t%e 7i## in+a#i,
ATTESTATION
SUBSCRIPTION
5. a*t &6 t%e !en!e!
5. a*t &6 t%e %an,
8. $enta# a*t
8. $e*%ani*a# a*t
=. P-r0&!e i! t& ren,er a+ai#a/#e 0r&&6 ,-rin( t%e 0r&/ate t%at !-*% 7i## %a, /een ee*-te,
=. P-r0&!e i! 6&r i,enti6i*ati&n
in a**&r,an*e 7it% t%e 6&r$a#itie! 0re!*ri/e, / #a7 @. F&-n, a6ter t%e
@. I6 it i! 0r &+e, t% at t% e 7i## 7a ! in 6a*t ee*-te, an, atte!te, in !-/!tantia# *&$0#ian*e 7it% a## t%e re2-ire$ent! &6 Arti*#e 94.
•
De6e*t! an, i$0er6e*ti&n! *an /e !-00#ie, / an ea$inati&n &6 t%e 7i## it!e#6. Caneda .- CA K222 SCRA ?1
ADDITIONAL REUISITES :OR VALIDIT, @. F&-n, at t%e #e6t
CIVIL LAW REVIEWER )01
Pa'e 190 $&
a. I&
,i!0&!iti&n! 0re*e,in( it) 7%ate+er /e t%e ti$e &6 0ri&r ,i!0&!iti&n!
e Tesa$r #e Dea& $r Dea&>M!e8 i.
Te!tat&r $-!t 0er!&na## rea, t%e 7i##) i6 a/#e t& ,& !&"
ii.
Ot%er7i!e) %e !%a## ,e!i(nate t7& 0er!&n! t& rea, it an, *&$$-ni*ate t& %i$) in !&$e 0ra*ti*a/#e $anner) it! *&ntent! ?Art 9>
•
A %&#&(ra0%i* 7i## i! !-/e*t t& n& &t%er 6&r$) an, $a /e $a,e in &r &-t &6 t%e P%i#i00ine!) an, nee, n&t /e 7itne!!e,. ?Art 95
ELEMENTS O: A CODICIL =ART- 2*;
5. It i! a !-00#e$entar &r a,,iti&n t& a 7i## /. I& e Tesa$r #e B%ind8 T%e 7i## !%a## /e rea, t& t%e te!tat&r t7i*e i.
On*e / &ne 7itne!!e!
&6
t%e
!-/!*ri/in(
ii.
On*e / t%e n&tar 0-/#i* /e6&re 7%&$ t%e 7i## i! a*1n&7#e,(e, ?Art 99
NOTE8 Arti*#e! 9> an, 99 are manda$r") 6ai#-re t& *&$0# 7it% eit%er 7&-#, re!-#t in n-##it an, ,enia# &6 0r&/ate. •
II.
T%e ina,+ertent 6ai#-re &6 &ne 7itne!! t& a66i %i! !i(nat-re t& &ne 0a(e &6 t%e &ri(ina# 7i## ,-e t& t%e !i$-#tane&-! #i6tin( &6 t7& 0a(e! in t%e *&-r!e &6 !i(nin( i! n&t 0er !e !-66i*ient t& -!ti6 ,enia# &6 0r&/ate 7%en t%e ,-0#i*ate 7i## !%&7! !-*% !i(nat-re!. Icasian$ .- Icasian$5 K11 SCRA )22
HOLO3RAPHIC WILL a %&#&(ra0%i* 7i## i! +a#i, i6 it i!: A.
Entire# 7ritten) ,ate,) an, !i(ne, / t%e %an, &6 t%e te!tat&r %i$!e#6
B.
Di!0&!iti&n! &6 t%e te!tat&r 7ritten /e#&7 %i! !i(nat-re $-!t /e daed an, si'ned / %i$ in &r,er t& +a#i,ate t%e te!ta$entar ,i!0&!iti&n!. Art (')*
EFCEPT8 In *a!e &6 ,i!0&!iti&n! a00earin( in a %&#&(ra0%i* 7i## 7%i*% are !i(ne, 7it%&-t /ein( ,ate,) 7%ere t%e #a!t ,i!0&!iti&n %a! a !i(nat-re an, a ,ate) !-*% ,ate +a#i,ate! t%e
8. Ma,e a6ter t%e ee*-ti&n &6 t%e 7i## =. Annee, t& /e ta1en a! a 0art t%ere&6 @. B 7%i*% an ,i!0&!iti&n in t%e &r i(ina# 7i## $a /e e0#aine,) a,,e, t& &r a#tere,
REUISITES :OR INCORPORATION RE:ERENCE ?Art. 98>
5. t%e ,&*-$ent &r 0a0er re6erre, t& in t% e 7i## $-!t /e in ei !ten*e at t%e ti$e &6 t%e ee*-ti&n &6 t%e 7i## 8. t%e 7i## $-! t *#ear# ,e!*ri/e an, i,enti6 t%e !a$e) !tatin( a$&n( &t%er t%in(! t%e n-$/er &6 0a(e! t%ere&6 =. it $-!t /e i,enti6ie, / *#ear an, !ati!6a*t&r 0r&&6 a! t%e ,&*-$ent &r 0a0er re6erre, t& t%erein @. it $- !t /e !i( ne, / t% e te!tat&r an, t% e 7itne!!e! &n ea*% an, e+er 0a(e) e6ce in *a!e &6 +&#-$in&-! /&&1! &6 a**&-nt &r in+ent&rie!
NOTE8 T%e tet &6 Art) 98> !-((e!t! t%at %&#&(ra0%i* 7i##! *ann&t in*&r0&rate ,&*-$ent! / re6 eren*e. Para(ra0% @ re2-ire! t%e !i(nat-re! &6 t%e te!tat&r and witnesses &n e+er 0a(e &6 t%e in*&r0&rate, ,&*-$ent. It !ee$!) t%ere6&re) t%at &n# atte!te, 7i##! *an in*&r0&rate ,&*-$ent! / re6eren*e) !in*e &n# t%e!e are 7itne!!e, ?-n#e!! t%e te!tat&r %a! %i! %&#&(ra0%i* 7i## !-0er6#-&-!# 7itne!!e,
PROBATE O: HOLO3RAPHIC WILL
CIVIL LAW REVIEWER )01
B,
Pa'e 191 $&
A.
T%ere $-!t /e at #ea!t &ne 7itne!!.
EFCEPTION: I& e /i%% is c$nesed ) at #ea!t t%ree &6 !-*% 7itne!!e! !%a## /e re2-ire, ?$ere# ,ire*t&r. In e a#sence $& s!c c$meen /iness an, i6 t%e *&-rt ,ee$! it ne*e!!ar) e0ert te!ti$&n $a /e re!&rte, t&. B.
;%& 1n&7! t%e %an,7ritin( an, !i(nat-re &6 t%e te!tat&r
C.
M-!t e 0#i*it# ,e*#are t%at t% e 7i ## an, t%e !i(nat-re are in t%e %an,7ritin( &6 t%e te!tat&r. ?Art 955
t%e re2-ire$ent t%at it $-!t /e 7%&## 7ritten / t%e te!tat&r
D. I6 t%e in!erti&n $a,e / a t%ir, 0er!&n i! $a,e *&nte$0&rane&-! t& t%e ee*-ti&n &6 t%e 7i##) t%en t%e 7i## i! +&i, /e*a-!e it i! n&t 7ritten entire# / t%e te!tat&r
WHO MA, BE A WITNESS TO A WILL 0er!&n $a /e a 7itne!! 0r&+i,e, %e i!:
An
A. O6 !&-n, $in, B. O6 t%e a(e &6 59 ear! &r $&re C. N&t /#in,) ,ea6 &r ,-$/
NOTE: T%i! arti*#e a00#ie! &n# t& post mortem 0r&/ate! an, n&t t& ante mortem 0r&/ate! !in*e in !-*% *a!e! t%e te!tat&r %i$!e#6 6i#e! t%e 0etiti&n an, 7i## i,enti6 t%e ,&*-$ent %i$!e#6. •
in t%e 0r&/ ate &6 a %&#&(ra0%i* 7i##) t%e ,&*-$ent it!e#6 $-!t /e 0r&,-*e," a #&!t %&#&(ra0%i* 7i## *ann&t /e 0r&/ate,. 3an .- ,a5 K10) Pi% *09 E6cei$n8 ;%en *&0 &6 t%e 7i## i! 0r&,-*e, &r !-r+i+e! R$de%as .- AranJa5 K3-R- N$- L>**095 Decem#er ?5 192
INSERTION5 CANCELLATION5 ERASURE OR ALTERATION IN A HOLO3RAPHIC WILL A. I6 $a,e a6ter t%e ee*-ti&n &6 t%e 7i##) /-t 7it%&-t t%e *&n!ent &6 t%e te!tat&r) !-*% in!erti&n i! *&n!i,ere, a! n&t 7ritten /e*a-!e t%e +a#i,it &6 t%e 7i## *ann&t /e ,e6eate, / t%e $a#i*e &r *a0ri*e &6 a t%ir, 0er!&n
D. A/#e t& rea, an, 7rite E. D&$i*i#e, in t%e P%i#i00ine! F. Ha+e n&t /een *&n+i*te, &6 6a#!i6i*ati&n &6 a ,&*-$ent) 0er-r &r 6a#!e te!ti$&n
LAWS 3OVERNIN3 VALIDIT, O: A WILL 1- :ORMAL VALIDIT, FORMAL VALIDITY
FILIPINO
EECUTED IN PHILIPPINES
?a CC &6 P%i#i00ine!
CIVIL LAW REVIEWER )01
?aCC &6 t%e P%i#i00ine! ?/La7 &6 Hi! C&-ntr
FOREIGN COUNTRY
B. I6 t%e in!erti&n a6ter t%e e e*-ti&n &6 t%e 7i## 7a! 7it% t%e *&n!ent &6 t%e te!tat&r) t%e 7i## re$ain! +a#i, /-t t%e in!erti&n i! +&i,. C. I6 t%e in!erti&n a6ter t%e ee*-ti&n i! +a#i,ate, / t%e te!tat&r / %i! !i(nat-re t%ere&n t%en t%e in!erti&n /e*&$e! 0art &6 t%e 7i##) an,) t%e entire 7i## /e*&$e! +&i,) /e*a-!e &6 6ai#-re t& *&$0# 7it%
ALIEN
?a CC &6 P%i#i00ine!
?a CC &6 P%i#i00ine!
?/ La7 7%ere Ma,e
?/ La7 &6 %i! C&-ntr ?* La7 &6 C&-ntr 7%ere %e re!i,e!
CC Ci+i# C&,e
2- SUBSTANTIVE VALIDIT,
Pa'e 192 $&
ASPECTS O: THE WILL 3OVERNED B, NATIONAL LAW O: THE DECEDENT8
a. ,e*ree &6 # e(a# !e0arati&n /. 0reteriti&n
A- Or,er &6 !-**e!!i&n *.
B- Ca0a*it t& !-**ee, C- A$&-nt &6 !-**e!!i&na# ri(%t!
D- Intrin!i* +a#i,it
#e(a* &r *re ,it a(ain!t t%ir, 0er !&n &r re$i!!i&n &6 ,e/t 7a! 0r&+i,e, in 7i## an, !-/!e2-ent#) te!tat&r /rin(! a*ti&n a(ain!t ,e/t&r
,. !-/!tantia# tran!6&r$ati&n &6 !0e*i6i* t%in( /e2-eat%e,
VALIDIT, O: OINT WILLS •
T7& &r $&re 0er!&n! *ann&t $a1e a 7i## &int#) &r in t%e !a$e in!tr-$ent) eit%er 6&r t%eir re*i0r&*a# /ene6it &r 6&r t%e /ene6it &6 a t%ir, 0er!&n.
NOTE: $in /i%%s ee*-te, / Fi#i0in&! in a 6&rei(n *&-ntr !%a## n$ /e +a# i, in t%e P%i#i00ine!) e+en t%&-(% a-t%&rie, / t%e #a7! &6 t%e *&-ntr 7%ere t%e $a %a+e /een ee*-te,. AMENDMENT5 REVOCATION AND REPUBLICATION O: WILLS
e. 7%en %ei r) ,e+ i!ee &r #e(atee *&$$it! an &6 t%e a*t! &6 -n7&rt%ine!!
8. B t%e ee*-ti&n &6 a 7i##) *&,i*i# &r &t%er 7ritin( ee*-te, a! 0r&+i,e, in *a!e &6 7i##! a.
EFPRESS ;%en t%ere i! a re+&*at&r *#a-!e e0re!!# re+&1in( t%e 0re+i&-! 7i## &r a 0art t%ere&6
/.
IMPLIED ;%en t%e 0r&+i!i&n! t%ere&6 are 0artia## &r entire# in*&n!i!tent 7it% t%&!e &6 t%e 0re+i&-! 7i##!
AMENDMENT O: WILLS 5- N$aria% &n# t%r&-(% a *&,i*i# 8. H$%$'raic in t%ree 7a! A.
B.
C.
Di!0&!iti&n! $a /e a,,e, /e#&7 t%e !i(nat-re) PROVIDED t%at !ai, ,i!0&!iti&n! are a#!& ,ate, an, !i(ne,) an, e+ert%in( i! 7ritten / t%e %an, &6 t%e te!tat&r %i$!e#6 Certain ,i!0&!iti&n! &r a,,iti&na# $atter $a /e !-00re!!e, &r in!erte, PROVIDED t%at !ai, *an*e##ati&n i! !i(ne, / t%e te!tat&r an, 7ritten / t%e %an, &6 t%e te!tat&r %i$!e#6 T%r&-(% a * &,i*i# 7 %i*% $a eit%er /e n&taria# &r %&#&(ra0%i*
REVOCATION O: WILLS 5. B &0erati&n &6 #a 7 in!tan*e! &6 re+ &*ati&n / &0erati&n &6 #a7:
CIVIL LAW REVIEWER )01
=. B /-rnin() tearin() *an*e#in() &r &/#iteratin( t%e 7i## 7it% t%e intenti&n &6 re+&1in( it) / t%e te!tat&r %i$!e#6) &r / !&$e &t%er 0er!&n in %i! 0re!en*e) an, / %i! e0re!! ,ire*ti&n.
REUISITES: a.
Te!ta$entar *a0a*it at t%e ti$e &6 0er6&r$in( t%e a*t &6 ,e!tr-*ti&n"
/.
Intent t& re+&1e ? animus re"ocandi*H
*.
A*t-a# 0%!i*a# a*t &6 ,e!tr-*ti&n"
,.
C&$0#eti&n &6 t% e !- /e*ti+e 0%a!e" AND
e.
Per6&r$e, / t%e te!tat&r %i$!e#6 &r / !&$e &t%er 0er!&n in %i! 0re!en*e an, e0re!! ,ire*ti&n ?T%e #i!t i! NOT e*#-!i+e.
Pa'e 19( $&
DOCTRINE $& PRESUMED REVOCATION8 •
•
;%ere t%e 7i## *ann&t /e 6&-n, 6&##&7in( t%e ,eat% &6 t%e te!tat&r an, it i! !%&7n t%at it 7a! in t%e te!tat&r! 0&!!e!!i&n 7%en #a!t !een) t%e 0re!-$0ti&n i! t%at %e $-!t %a+e ,e!tr&e, it 7it% animus re"ocandi.
•
D$mici% e
P%i#i00ine La7
N$n D$mici% e
?a ;%ere 7i## 7a! $a,e ?/;%ere DOMICILED at ti$e &6 re+&*ati&n
;%ere t%e 7i## *ann&t /e 6&-n, 6&##&7in( t%e ,eat% &6 t%e te!tat&r an, it i! !%&7n t%at t%e te!tat&r %a, rea, a**e!! t& it) t%e 0re!-$0ti&n i! t%at %e $-!t %a+e ,e!tr&e, it 7it% animus re"ocandi.
•
OUTSIDE PHILIPPIN ES
;%ere it i! !%&7n t%at t%e 7i## 7a! in t%e *-!t&, &6 t%e te!tat&r a6ter it! ee*-ti&n) an, !-/!e2-ent#) it 7a! 6&-n, a$&n( t%e te!tat&r! e66e*t! a6ter %i! ,eat% in !-*% a !tate &6 $-ti#ati&n) *an*e##ati&n) &r &/#iterati&n) a! re0re!ent! a !-66i*ient a*t &6 re+&*ati&n 7it%in t%e $eanin( &6 t%e a00#i*a/#e !tat-te) it 7i## /e 0re!-$e,) in t%e a/!en*e &6 e+i,en*e t& t%e *&ntrar) t%at !-*% a*t 7a! 0er6&$e, / t%e te!tat&r 7it% animus re"ocandi.
REVOCATION BASED ILLE3AL CAUSE •
ON
A
:ALSE
OR
Re+&*ati&n /a!e, &n a 6a#!e &r i##e(a# *a-!e i! n-## an, +&i,.
REUISITES:
•
a. T%e *a-!e $-!t /e *&n*rete) 6a*t-a# an, n&t 0-re# !-/e*ti+e /. It $-!t /e 6a#!e *.
T%e te!tat&r $-!t n&t 1n&7 &6 it! 6a#!it
,. It $-!t a0 0ear 6r&$ t%e 7i## t%at t% e te!tat&r i! re+&1in( /e*a-!e &6 t%e *a-!e 7%i*% i! 6a#!e.
Ar!. 832 A re+&*ati&n $a,e in a !-/!e2-ent 7i## !%a## ta1e e66e*t) e+en i6 t%e ne7 7i## !%&-#, /e*&$e in&0erati+e / rea!&n &6 t%e in*a0a*it &6 t%e %eir!) ,e+i!ee! &r #e(atee! ,e!i(nate, t%erein) &r / t%eir ren-n*iati&n.
EFCEPTION: D&*trine &6 De0en,ent Re#ati+e Re+&*ati&n 7%en t%e te!tat&r 0r&+i,e! in t%e !-/!e2-ent 7i## t%at t%e re+&*ati&n &6 t%e 0ri&r &ne i! ,e0en,ent &n t%e *a0a*it &r a**e0tan*e &6 t%e %eir!) ,e+i!ee!) &r #e(atee! in!tit-te, in t%e !-/!e2-ent 7i##. ? M$%$ .5 M$%$5 K90 Pi% (?;
•
Ar!. 83+. T%e re*&(niti&n &6 an i##e(iti$ate *%i#, ,&e! n&t #&!e it! #e(a# e66e*t) e+en t%&-(% t%e 7i## 7%erein it 7a! $a,e !%&-#, /e re+&1e,.
•
Ar!. 837. I6 a6ter $a1in( a 7i##) t%e te!tat&r $a1e! a !e*&n, 7i## e0re!!# re+&1in( t%e 6ir!t) t%e re+&*ati&n &6 t%e !e*&n, 7i## ,&e! n&t re+i+e t%e 6ir!t 7i##) 7%i*% *an /e re+i+e, &n# / an&t%er 7i## &r *&,i*i#.
LAWS WHICH 3OVERN REVOCATION •
LAW :OR REVOCATION IN PHILIPPINES
LAW :ACTS DEMONSTRATIN3 ART (? P%i#i00ine La7
Pi%iine La/
CIVIL LAW REVIEWER )01
• •
In 594) ee*-te, ;i## 5 In 59>) ee*-te, ;i## 8) e0re!!# re+&1in( ;i## 5
Pa'e 19) $&
• In
5. A !0e*ia# 0r&*ee,in( re2-ire, 6&r t%e 0-r0&!e &6 e!ta/#i!%in( t%e +a#i,it &6 t%e 7i##.
5) ee*-te, ;i## =) re+&1in( ;i## 5
CONCLUSION ON THE :ACTS
8. Pr&/ate &6 a 7i## i! manda$r"
•
T%e Re+&*ati&n &6 ;i## 8 / ;i## = ,&e! n&t re+i+e ;i## 5
•
T%i! ,e$&n!trate! t%e t%e&r &6 insan re.$cai$n /e*a-!e t%e re+&*at&r e66e*t &6 t%e !e*&n, 7i## i! i$$e,iate -0&n t%e 6ir!t
=. T%e 0r&/ate *&-rt *an &n# in2-ire int& t%e etrin!i* +a#i,it &6 te!ta$entar 0r&+i!i&n!) 7%i*% in*#-,e t%e 6&##&7in(: a. T%at t% e te!tat&r 7a ! &6 !& -n, an, ,i!0&!in( $in,
7i##
/. T%at %i! *&n!ent 7a! n&t +itiate, *.
NOTE8 T%i! arti*#e &n# a00#ie! 7%ere t%e re+&*ati&n &6 t%e 6ir!t 7i## / t%e !e*&n, 7i## i! e6ress.
REPUBLICATION AND REVIVAL O: WILLS •
I6 t%e te!tat&r 7i!%e! t& re0-/#i!% a 7i## t%at i! +&i, a! t& 6&r$ ) t%e &n# 7a t& re0-/#i!% it i! t& ee*-te a !-/!e2-ent 7i## an, re0r&,-*e it
T%at t%e 7i## 7a! !i(ne, / t%e re2-ire, n-$/er &6 7itne!!
,. T%at t%e 7i## i! (en-ine
EFCEPTION8 T%e 0r&/ate *&-rt $a 0a!! -0&n t%e intrin!i* +a#i,it &6 t%e 7i## 7%en it! 0r&/ate $i(%t /e*&$e an i,#e *ere$&n i6 &n t%e 7i##K! 6a*e it a00ear! t& /e intrin!i*a## +&i,. N!'!id .- N!'!id5 K1? SCRA ))9 INDS O: PROBATE 5. P$s>M$rem ,eat%
•
T%e te!tat&r nee, &n# ee*-te a !-/!e2-ent 7i## &r *&,i*i# re6errin( t& t%e 0re+i&-! 7i## i6 t%e te!tat&r 7i!%e! t& re0-/#i!% a 7i## t%at i! eit%er: a.
/.
V&i, 6&r rea!&n&t%er t%an a 6&r$a# ,e6e*t Pre+i&-!#re+&1e,
REPUBLICATION
R E VI VAL
8. Ane>M$rem ,-rin( %i! #i6eti$e
:INAL DECREE O: PROBATE •
On*e a ,e*ree &6 0r&/ate /e*&$e! 6ina# in a**&r,an*e 7it% t%e r-#e! &6 0r&*e,-re it /e*&$e! 1es udicata
•
It i! *&n*#-!i+e a! t& t%e ,-e ee*-ti&n &6 t%e 7i## ?etrin!i* +a#i,it &n#
DISALLOWANCE O: WILL > (r&-n,! 6&r ,i!a##&7an*e &6 a 7i##:
re+&1e,
5. I6 t%e 6& r$a#itie! re2-ire, / #a7 %a+ e n&t /een *&$0#ie, 7it%"
Ta1e! 0#a*e &0erati&n &6 #a7
C&rre*t! etrin!i* an, etrin!i* ,e6e*t!
Re!t&re! 7i##
ALLOWANCE AND DISALLOWANCE O: WILLS I-
t%e te!tat&rK!
/
Ta1e! 0#a*e / an a*t &6 t%e te!tat&r
a
a6ter
II.
8. I6 t%e te !tat&r 7a! in! ane) &r &t%er7i!e $enta## in*a0a/#e &6 $a1in( a 7i##) at t%e ti$e &6 it! ee*-ti&n"
PROBATE O: A WILL
CIVIL LAW REVIEWER )01
Pa'e 19* $&
=. I6 it 7a! ee*-te, t%r&-(% 6&r*e &r -n,er ,-re!!) &r t%e in6#-en*e &6 6ear) &r t%reat!" @. I6 it 7a! 0r&*-re, / -n,-e an, i$0r&0er 0re!!-re an, in6# -en*e) &n t%e 0art &6 t%e /ene6i*iar &r &6 !&$e &t%er 0er!&n" 4. I6 t%e !i(nat-re &6 t%e te!tat&r 7a! 0r&*-re, / 6ra-," . I6 t%e te!tat&r a*te, / $i! ta1e &r ,i , n&t inten, t%at t%e in!tr-$ent !%&-#, /e %i! 7i## at t%e ti$e &6 a66iin( %i! !i(nat-re t%eret&.?Art 9=
REVOCATION
DISALLOWANCE
V&#-ntar a*t &6 t%e te!tat&r
Gi+en ,e*ree
/
;it% &r 7it%&-t *a-!e
A#7a! *a-!e
Ma /e 0artia# &r t&ta#
A#7a! t&ta# ECEPT 7%en t%e (r&-n, &6 6ra-, &r in6#-en*e 6&r ea$0#e a66e*t! &n# *ertain 0&rti&n! &6 t%e 7i##
6&r
-,i*ia#
a
#e(a#
B- INSTITUTION O: HEIRS INSTITUTION O: HEIR 5. It i! an a*t / +i rt-e &6 7%i *% a te!tat&r ,e!i(nate! in %i! 7i## 8. T%e 0er!&n &r 0er !&n! 7%& are t& !-* *ee, %i$ in %i! 0r&0ert an, tran!$i!!i/#e =. Ri(%t! an, &/#i(ati&n!
/.
Manda$r" i,entit &6 t%e %eir $-!t /e e!ta/#i!%e,) &t%er7i!e +&i, ,i!0&!iti&n) -n#e!! %i! i,entit /e*&$e! *ertain.
NOTE: I6 t%ere i! a$/i(-it in t%e ,e!i(nati&n) t%e ,e!i(nati&n $-!t /e re!&#+e, / ,i!*ernin( t%e te!tat&rK! intent. I6 t%e a$/i(-it *ann&t /e re!&#+e,) inte!ta* t& t%at 0&rti&n re!-#t!. 8. ;i## !0e *i6i*a## a!!i(n! t& !-* % 0er!&n an in*%&ate !%are in t%e e!tate. =. T%e 0er!&n !& na$e, %a! *a0a*it t& !-**ee, @. T%e 7i## i! 6&r$a## +a#i, 4. N& +i*e &6 *&n!ent i! 0re!ent . N& 0reteriti&n re!-#t! 6r&$ t%e e66e*t &6 !-*% 7i##
THREE PRINCIPLES IN THE INSTITUTION O: HEIRS 5. E2-a#it %eir! 7%& are in !tit-te, 7it%&-t a ,e!i(nati&n &6 !%are! in%erit in e2-a# 0art! 8. In,i+i,-a#it %eir! *&##e*ti+e# in!tit-te, are ,ee$e, in,i+i,-a## na$e, -n#e!! a *&ntrar intent i! 0r&+en =. Si$-#taneit 7%en !e+era# %eir! are in!tit-te,) t%e are in!tit-te, !i$-#tane&-!# an, n&t !-**e!!i+e#
RULES ON A PERSONS RI3HT TO DISPOSE O: HIS ESTATE 5. I6 &ne %a! n& *&$0-#!&r %eir!:
REUISITES :OR A VALID INSTITUTION O: HEIR
a. He *an (i +e %i ! e!tate t& an 0e r!&n 2-a#i6ie, t& in%erit -n,er %i$
5. De!i(nati&n in 7i## &6 0er!&n! t& !-**ee,
/. H&7e+er) %e $-!t re!0e*t re!tri*ti&n! i$0&!e, / !0e*ia# #a7!
a.
Direc$r" ,e!i(nati&n &6 na$e an, !-rna$e
CIVIL LAW REVIEWER )01
8. I6 &ne %a! *&$0-#!&r %eir!:
Pa'e 19+ $&
ELEMENTS O: PRETERITION
a.
He *an (i+e &n# t%e ,i!0&!a/#e 0&rti&n t& !tran(er!
/.
Le(iti$e!&6*&$0-#!&r %eir! $-!t /e re!0e*te,
REUISITES :OR THE INSTITUTION O: HEIRS8
ANNULMENT
O:
5. Ca-!e &6 in!tit-ti&n &6 t%e %eir! $-!t /e !tate, in 7i## 8. Ca-!e $-!t /e !%&7n t& /e 6a#!e =. It a00ear! 6r&$ t%e 6a *e &6 t% e 7i## t%at t%e te!tat&r 7&-#, n&t %a+e $a,e t%e in!tit-ti&n %a, %e 1n&7n t%e 6a#!it &6 t%e *a-!e.
RULES ON INSTITUTION O: ALIUOT SHARE LESS THAN OR IN EFCESS O: THE WHOLE ESTATE8 5.
Inte!ta* Re!-#t! i6 a. t%e %eir in! tit-te! an a#i 2-&t 0&r ti&n &6 t%e e!tate /. t& &n# &ne %eir I6 t%e %eir in!tit-te! !e+era# %eir! t& an a#i2-&t 0art &6 t%e
8. Ea*% %eirK! !%are !%a## /e 0r&0&rti&na## in*rea!e,: a. T%ere are $&re t%an &ne in!tit-te, %eir /. T%e te!tat&r inten,e, t%e %eir! t& in%erit t%e 7%&#e e!tate *. T%e a#i2-&t 0art! &6 ea*% !%are ,& n&t *&+er t%e 7%&#e in%eritan*e =.
Ea*% %ei rK! !%are !%a## /e 0r& 0&rti&na## ,e*rea!e,: a. T%ere are $&re t%an &ne in!tit-te, %eir /. T%e te!tat&r inten,e, t%e %eir! t& in%erit t%e 7%&#e e!tate *. T%e a#i2-&t 0art! &6 ea*% !% are e*ee, t%e 7%&#e in%eritan*e
CIVIL LAW REVIEWER )01
5. T%ere $-!t /e an &$i !!i&n &6 &ne ) !&$e &r a## &6 t%e %eir! in t%e 7i## 8. T%e &$i!!i&n $-!t COMPULSORY HEIR
/e
t%at
&6
a
=. C&$0-#!&r %eir &$itte, $-!t /e &6 t%e DIRECT LINE @. T%e &$itte, *&$0-#!&r %eir $-!t /e LIVING at t%e ti$e &6 te!tat&rK! ,eat% &r $-!t at #ea!t %a+e /een CONCEIVED /e6&re t%e te!tat&rK! ,eat% 4. T%e &$i!!i&n $-!t /e *&$0#ete an, t&ta# in *%ara*ter. : T%ere i! n& &$i!!i&n i6 a.
A,e+i!e&r#e(a*%a! /een (i+en t& t%e %eir
/.
A ,&nati&n inter +i+&! %a! /een 0re+i&-!# (i+en t& t%e %eir
*.
Ant%in( i! #e6t 6r&$ t%e in%eritan*e 7%i*% t%e %eir $a (et / 7a &6 inte!ta*
E::ECTS O: PRETERITION8 5. T%e in!tit-ti&n &6 %eir i! ann-##e, 8. De+i!e! an, #e(a*ie! !%a# # re$ain +a# i, a! #&n( a! t%e are n&t in&66i*i&-! =. I6 t%e &$i tte, *&$ 0-#!&r %eir !%& -#, ,ie /e6&re t%e te!tat&r) t%e in!tit-ti&n !%a## /e e66e*t-a#) 7it%&-t 0re-,i*e t& t%e ri(%t &6 re0re!entati&n
DISTIN3UISH PRETERITION :ROM DISINHERITANCE PRETERITION
DISINHERITANCE
De0ri+ati&n &6 a *&$0-#!&r %eir &6 %i!
De0ri+ati&n *&$0-#!&r
&6 &6
#e(iti$e i! ta*it
#e(iti$e i! e0re!!
Pa'e 19? $&
t%e %i!
Ma /e +&#-ntar /-t t%e #a7 0re!-$e! t%at it i! in+&#-ntar
A#7a! +&#-ntar
La7 0re!-$e! t%at t%ere %a! /een $ere# an &+er!i(%t &r $i!ta1e &n t%e 0art &6 t%e te!tat&r
D&ne 7it% a #e(a# *a-!e
O$itte, %eir (et! n&t &n# %i! #e(iti$e /-t
I6 ,i!in%eritan*e i! -n#a76-#) *&$0-#!&r
a#!& %i! !%are in t%e 6ree 0&rti&n n&t ,i!0&!e, &6 / 7a &6 #e(a*ie! &r ,e+i!e!
%eir i! $ere# re!t&re, t& %i! #e(iti$e
t%an &ne !-/!tit-te) t%e !%a## %a+e t%e !a$e !%are in t%e !-/!tit-ti&n a! in t%e in!tit-ti&n @. :ideic$mmissar" S!#si!i$n i6 t%e te!tat&r in!tit-te! an %eir 7it% an &/#i(ati&n t& ,e#i+er t& an&t%er t%e 0r&0ert !& in%erite,. T%e %eir in! tit-te, t& !-* % *&n,iti&n i! *a##e, t%e 6ir!t %eir &r 6i,-*iar %eir) t%e &ne t& re*ei+e t%e 0r&0ert i! t%e 6i,ei*&$$i!!ar &r !e*&n, %eir
REUISITES :OR SUBSTITUTION8
A
:IDEICOMMISSAR,
5. A 6i,-*iar &r 6ir!t %e ir in!tit-te, entr-!te, 7it% t%e ,-a# &/#i(ati&n t& 0re!er+e an, t& tran!$it t& a 6i,ei*&$$i!!ar !-/!tit-te &r !e*&n, %eir t%e 7%&#e &r 0art &6 t%e in%eritan*e
C- SUBSTITUTION O: HEIRS CLASSES O: SUBSTITUTION
8. S-*% !-/ !tit-ti&n $-!t n&t (& /e&n, &ne ,e(ree 6r&$ t%e %eir &ri(ina## in!tit-te,
5. V!%'ar $r Sim%e t%e te!tat&r $a ,e!i(nate &ne &r $&re 0er!&n! t& !-/!tit-te t%e %eir &r %eir! in!tit-te, in *a!e !-*% %eir &r %eir! !%&-#,:
=. T%e 6i,-*iar &r 6ir!t %eir an, t%e !e*&n, %eir are #i+in( an, 2-a#i6ie, t& !-**ee, at t%e ti$e &6 t%e ,eat% &6 t%e te!tat&r
a. ,ie /e6&re %i$ ?PREDECEASE /. !%&-#, n&t 7i!%) ?RENOUNCE &r *. !%&-#, /e in*a0a*itate, t& a**e0t t%e in%eritan*e ?INCAPACITATED •
Resriced sim%e s!#si!i$n> T%e te!tat&r $a #i$it t%e &0erati&n &6 !i$0#e !-/!tit-ti&n / !0e*i6in( &n# &ne &r t7& &6 t%e t%ree *a-!e!.
8. Brie& $r C$mendi$!s t7& &r $&re 0er!&n! $a /e !-/!tit-te, 6&r &ne" an, &ne 0er!&n 6&r t7& &r $&re %eir! =. Recir$ca% i6 %eir! in!tit-te, in -ne2-a# !%are! !%&-#, /e re*i0r&*a## !-/!tit-te,) t%e !-/!tit-te !%a## a*2-ire t%e !%are &6 t%e %eir 7%& ,ie!) ren&-n*e!) &r in*a0a*itate,) -n#e!! it *#ear# a00ear! t%at t%e intenti&n &6 t%e te!tat&r 7a! &t%er7i!e. I6 t%ere are $&re
CIVIL LAW REVIEWER )01
@. T%e 6i,ei*&$$i!!ar !-/!tit-ti&n $-!t /e e0re!!# $a,e 4. T%e 6i,ei*&$$i!!ar !-/!tit-ti&n i! i$0&!e, &n t%e 6ree 0&rti&n &6 t%e e!tate an, ne+er &n t%e #e(iti$e
NOTE8 Pen,in( t%e tran!$i!!i&n &6 t%e 0r&0ert) t%e 6i,-*iar i! entit#e, t& a## t%e ri(%t! &6 a -!-6r-*t-ar a#t%&-(% t%e 6i,ei*&$$i!!ar i! entit#e, t& a## t%e ri(%t! &6 a na1e, &7ner.
D- CONDITIONAL TESTAMENTAR, DISPOSITIONS AND DISPOSITIONS WITH A TERM TESTAMENTAR, DISPOSITIONS 5. C$ndii$n 6-t-re &r -n*ertain e+ent) &r a 0a!t e+ent -n1n&7n t& t%e 0artie!) -0&n
Pa'e 19 $&
7%i*% t%e 0er6&r$an*e &6 an &/#i(ati&n ,e0en,! 8. Term t%e ,a &r ti$e 7%en an &/#i(ati&n eit%er /e*&$e! ,e$an,a/#e &r ter$inate! =. M$da% Insi!i$n t%e !tate$ent &6 t%e in!tit-ti&n" a00#i*ati&n &6 t%e 0r&0ert #e6t / t%e te!tat&r &r t%e *%ar(e i$0&!e, &n %i$
Caa$riaScri!ra @. Dis$sici$n Caa$ria *&n,iti&n t%at t%e %eir !%a## $a1e !&$e 0r&+i!i&n in %i! 7i## &6 t%e te!tat&r &r &6 an &t%er 0er!&n ?0r&%i/ite, /e*a-!e it 7i## $a1e t%e $a1in( &6 t%e 7i## a *&ntra*t-a# a*t
a#rea, an %eir" &ne 7%& *&n,iti&na## i! n&t et an %eir.
RULES ON POTESTATIVE5 CASUAL AND MIFED CONDITIONS 1-
POTESTATIVE
P$sii.e P$esai.e C$ndii$n8 3enera% R!%e $-!t /e 6-#6i##e, a! !&&n a! t%e %eir #earn! &6 t%e te!tat&rK! ,eat% EFCEPTION a.
t%e * &n,iti&n 7a! a#rea, *&$0#ie, 7it% at t%e ti$e t%e %eir #earn! &6 t%e te!tat&rK! ,eat%
/.
t%e * &n,iti&n i ! & 6 ! -*% nat-re t%at it *ann&t /e 6-#6i##e, a(ain
4. Ca!sa% C$ndii$n *&n,iti&n -! *a!-a# i6 it ,e0en,! -0&n *%an*e an,&r -0&n t%e 7i## &6 a t%ir, 0er!&n . Mi6ed C$ndii$n It i! $ie, i6 it ,e0en,! /&t% 0art# -0&n t%e 7i## &6 t%e %eir %i$!e#6 an, -0&n *%an*e an,&r t%e 7i## &6 a t%ir, 0er!&n
Ne'ai.e P$esai.e C$ndii$n8 •
>. P$esai.e C$ndii$n &ne t%e 6-#6i##$ent &6 7%i*% ,e0en,! 0-re# &n %eir 9. S!sensi.e
erm
&ne
t%at
Heir $-!t (i+e !e*-rit t& (-arantee t%e ret-rn &6 t%e +a#-e &6 0r&0ert) 6r-it!) an, intere!t!) in *a!e! &6 *&ntra+enti&n
$ere#
!-!0en,! t%e ,e$an,a/i#it &6 a ri(%t. It i! !-re t& %a00en . Ca!ci$n M!ciana /&n, &r !e*-rit t%at !%&-#, /e (i+en in 6a+&r &6 t%&!e 7%& 7&-#, (et t%e 0r&0ert i6 t%e *&n,iti&n n&t /e *&$0#ie, 7it%
INTERPRETATION •
;%en in ,&-/t 7%et%er t%ere i! a *&n,iti&n &r $ere# a $&,e) *&n!i,er t%e !a$e a! $&,e
•
;%en in ,&-/t a! t& 7%et%er t%ere i! a $&,e &r $ere# a !-((e!ti&n) *&n!i,er !a$e &n# a! a !-((e!ti&n
•
in%erit!
T%e *&n,iti&n !-!0en,! /-t ,&e! n&t &/#i(ate) t%e $&,e &/#i(ate! /-t ,&e! n&t !-!0en,! ?6&r %e 7%& in%erit! 7it% a $&,e i!
2-
CASUAL OR MIFED
P$sii.e •
3ENERAL RULE $a /e 6-#6i##e, at an &t%er ti$e ?/e6&re te!tat&rK! ,eat%) -n#e!! te!tat&r 0r&+i,e! &t%er7i!e.
•
I6 ALREAD, :UL:ILLED at t% e ti$e &6 ee*-ti&n &6 t%e 7i## ii.
I6 t e!tat&r - na7are & 6 6 a*t & 6 6-#6i##$ent ,ee$e, 6-#6i##e,
iii.
I6 te!tat&r a7are t%ere&6 i.
I6 it *an n& #&n(er /e 6-#6i##e, a(ain deemed &!%&i%%ed
ii.
I6 it *an /e 6-#6i##e, a(ain m!s #e &!%&i%%ed a'ain
C&n!tr-*ti+e C&$0#ian*e
CIVIL LAW REVIEWER )01
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• T %e 0&rti&n &6 t%e ,e*e,entK! e!tate re!er+e, / #a7 i! *a##e, t%e %e'iime.
a. i6 *a!-a# n&t a00#i*a/#e /. i6 $ie, i. I6 ,e0en,ent 0art# &n *%a n*e n&t a00#i*a/#e
•
ii. I6 ,e0 en,ent 0ar t# &n 7i# # &6 t%i r, 0art
CLASSES O: COMPULSOR, HEIRS
5. i6 = r, 0art a%ica#%e
intere!te,
8. i6 = r, 0art n&t inte re!te, n$ a%ica#%e
E::ECTS O: SUSPENSIVE CONDITION OR TERM
T%e %eir! 6&r 7%&$ t%e #a7 re!er+e! !-*% 0&rti&n are *a##e, c$m!%s$r" eirs.
5. Primar" t%&!e 7%& %a+e 0re*e,en*e &+er an, e*#-,e &t%er *&$0-#!&r %eir! •
8. Sec$ndar" t%&!e 7%& !-**ee, &n# in t%e a/!en*e &6 t%e 0ri$ar %eir! •
T%e e!tate !%a## /e 0#a*e, -n,er a,$ini!trati&n -nti# 5. *&n,iti&n i! 6-#6i##e, 8. -nti# it /e* &$e! *ertain *&n,iti&n 7i## ne+er /e 6-#6i##e, =. -nti# arri+a# &6 t%e ter$
CONDITIONS PROHIBITIN3 MARRIA3E 5. I6 a 6ir!t $arria(e i! 0r&%i/ite, *&n,iti&n *&n!i,ere, a#7a! a! n&t i$0&!e, 8. I6 a !-/!e2-ent $ar ria(e i! 0r& %i/ite, a! i$0&!e, / t%e ,e*ea!e, !0&-!e &r / %i!%er a!*en,ant! &r ,e!*en,ant! +a#i, =. i6 a !-/!e2-ent $ar ria(e i! 0r& %i/ite, an, i$0&!e, / an&ne e#!e *&n!i,ere, n&t 7ritten
Le(iti$ate *%i#,ren an, ,e!*en,ant! ?#e(iti$ate) 7it% re!0e*t t& t%eir #e(iti$ate 0arent! an, a!*en,ant!
Le(iti$ate 0arent! an, a!*en,ant! ?#e(iti$ate) 7it% re!0e*t t& t%eir #e(iti$ate *%i#,ren an, ,e!*en,ant!
=. C$nc!rrin' t%&!e 7%& !-**ee, t&(et%er 7it% t%e 0ri$ar &r t%e !e*&n,ar *&$0-#!&r %eir! •
;i,&7 &r 7i,&7er ?#e(iti$ate t%e !-r+i+in( !0&-!e re6erre, t& i! t%e !0&-!e &6 t%e ,e*e,ent.
NOTE: a. Mere e!tran(e$ent i! n&t a (r&-n, 6&r t%e ,i!2-a#i6i*ati&n &6 t%e !-r+i+in( !0&-!e a! %eir /. E66e*t &6 ,e*ree &6 #e(a# !e0arati&n: i. On t%e &66en,in( !0&-!e dis@!a%i&ied ii.On t%e inn&*ent !0&-!e n$ e&&ec *. Deat% &6 eit%er !0&-!e ,-rin( t%e 0en,en* &6 a 0etiti&n 6&r #e(a# !e0arati&n dismissa% $& e case • I##e(iti$ate *%i#,ren an, ,e!*en,ant! ?#e(iti$ate &r i##e(iti$ate
E- LE3ITIMES
CIVIL LAW REVIEWER )01
Pa'e 200 $&
Tesa$r is a Le'iimae Pers$n
Tesa$r is an I%%e'iimae Pers$n
Le(iti$ate *%i#,ren an, ,e!*en,ant
Le(iti$ate *%i#,ren an, ,e!*en,ant!
In ,e6a-#t &6 t%e 6&re(&in() #e(iti$ate 0arent! an, a!*en,ant!
I##e(iti$ate 0arent! an, a!*en,ant!
S-r+i+in( !0&-!e
In ,e6a-#t &6 t%e 6&re(&in() i##e(iti$ate 0arent! &n#
I##e(iti$ate *%i#,ren an, ,e!*en,ant
S-r+i+in( !0&-!e
3ENERAL LE3ITIMES
IN
1-
RULES
ASCERTAININ3
Direc descendin' %ine
/. Te!ta$entar ,i!0&!iti&n! $a,e / t %e 0re,e*e!!&r t& t%e *&$0-#!&r %eir) -n#e!! t%e te!tat&r 0r&+i,e! t%at it !%&-#, /e *&n!i,ere, 0art &6 t%e #e(iti$e.
STEPS IN DETERMININ3 THE LE3ITIME O: COMPULSOR, HEIRS8 5. Deter$inati&n &6 t%e (r&!! +a#-e &6 t%e e!tate at t%e ti$e &6 t%e ,eat% &6 t%e te!tat&r" 8. Deter$inati&n &6 a## ,e/t! an, *%ar(e! 7%i*% are *%ar(ea/#e a(ain!t t%e e!tate" =. Deter$inati&n &6 t%e net +a#-e &6 t%e e!tate / ,e,-*tin( a## t%e ,e/t! an, *%ar(e, 6r&$ t%e (r&!! +a#-e &6 t%e e!tate" @. C&##ati&n &r a,,iti&n &6 t%e +a#-e &6 a## ,&nati&n! inter +i+&! t& t%e net +a#-e &6 t%e e!tate" 4. Deter$inati&n &6 t%e a$ &-nt &6 t%e #e( iti$e 6r&$ t%e t&ta# t%-! 6&-n,"
a. R-#e &6 0re6eren*e /et7een #ine! /. R-#e &6 0r&i$it *.
2-
Ri(%t 0re!entati&n ad infinitum &r in *a!e &6 &6 re 0re,e*ea!e) in*a0a*it ,i!in%eritan*e
Direc ascendin' %ine a. R-#e &6 ,i+i!i&n / #ine /. R-#e &6 e2-a# ,i+i!i&n
(-
N$n>imairmen $& %e'iime a. An *&$0-#!&r %eir 7%& 7a! (i+en tit#e #e!! t%an %i! #e(iti$e $a ,e$an, t%at t%e !a$e /e *&$0#ete, ?Art
. I$0-tati&n &6 a## t%e +a#-e &6 a## ,&n ati&n! inter +i+&! $a,e t& *&$0-#!&r %eir! a(ain!t t%eir #e(iti$e! an, &6 t%e +a#-e &6 a## ,&nati&n! inter +i+&! $a,e t& !tran(er! a(ain!t t%e ,i!0&!a/#e 6ree 0&rti&n an, re!t&rati&n t& t%e %ere,itar e!tate i6 t%e ,&nati&n i! in&66i*i&-!. >. I6 #e(iti$e i! i$0aire,) re,-*ti&n! !%a## /e $a,e:
a. I6 t%e 0re ,e*e!!&r (a+ e t%e *&$0-#!&r %eir a ,&nati&n inter +i+&! an, 0r&+i,e, t%at it 7a! n&t *%ar(e, a(ain!t t%e #e(iti$e ?Art 58
CIVIL LAW REVIEWER )01
6&##&7in(
a. irst) re,-*e 0r&rata n&n0re6erre, #e(a*ie! an, ,e+i!e!) an, t%e te!ta$entar ,i!0&!iti&n!. /. /econd) re,-*e 0r& rata t%e 0re6erre, #e(a*ie! an, ,e+i!e! *.
EFCEPTIONS8
t%e
Third) re,-*e t%e ,&nati&n! inter +i+&! a**&r,in( t& t%e in+er!e &r,er &6 t%eir ,ate!
9. Di!tri/-ti&n &6 t%e re!i,-e &6 t%e e!t ate in a**&r,an*e 7it% t%e 7i## &6 t%e te!tat&r.
Pa'e 201 $&
CIVIL LAW REVIEWER )01
Pa'e 202 $&
SHARES O: COMPULSOR, HEIRS
H E IR
LE3ITIME
:REEPORTION
LE3ITIMATECHILDRENDESCENDANTS
12
12
LE3IMITATEPARENTSASCENDANTS
12
12
1 =ONE; LE3ITIMATE
CHILDREN 12
1)
CHILDRENDESCENDANT SURVIVIN3 SPOUSE >1) SPOUSE LE3ITIMATE CHILDREN =LC; SPOUSE
CHILDREN 12 SPOUSE EUAL TO SHARE
WHAT REMAINS
O: 1 =ONE; LC LE3ITIMATE CHILDREN =LC;
LC >12
ILLE3ITIMATE CHILDREN =ILC;
LE3ITIMATE PARENTSASCENDANT SURVIVIN3 SPOUSE
ILC 12 O: SHARE O: 1 =ONE;
WHAT REMAINS =I:
LC
AN,;
LE3ITIMATE PARENTSASCENDANT 12 1) SPOUSE 1)
LE3IMITATE PARENTSASCENDANTS
LE3ITIMATE
ILLE3IMTATE CHILDREN
PARENTSASCENDANTS 12 1) ILLE3IMITATE CHILDREN 1)
ILLE3ITIMATE CHILDREN SURVIVIN3 SPOUSE ILC 1(
1(
SPOUSE 1( LE3IMIATE CHILDRENDESCENDANTS5 SURVIVIN3 SPOUSE ILLE3ITIMATE CHILDREN
LC 12
WHATEVER REMAINS
SPOUSE EUAL TO 1 =ONE; LC ILC 12 O: SHARE O: ONE =1; LC
CIVIL LAW REVIEWER )01
Pa'e 20( $&
LE3ITIMATE PARENTSASCENDANTS5
LE3IMIATE
SURVIVIN3 SPOUSE5 ILLE3ITIMATE
PARENTSASCENDANTS 12
1 ESTATE
CHILDREN SPOUSE 1 ILC 1) SURVIVIN3 SPOUSE
3ENERALL,
12
ARTICULO
12
1(
2(
MORTIS
ILLE3ITIMATE CHILDREN ONL, ILLE3ITIMATP EARENTS ILLE3ITIMATE PARENTS SURVIVIN3 SPOUSE
CIVIL LAW REVIEWER )01
12 12 ILLE3ITIMATE PARENTS 1)
12 12 12
SPOUSE 1)
Pa'e 20) $&
RESERVA TRONCAL RESERVA TRONCAL: T%e re!er+ati&n / +irt-e &6 7%i*% an a!*en,ant 7%& in%erit! 6r&$ %i! ,e!*en,ant an 0r&0ert 7%i*% t%e #atter $a %a+e a*2-ire, / (rat-it&-! tit#e 6r&$ an&t%er a!*en,ant &r a /r&t%er &r !i!ter) i! &/#i(e, t& re!er+e t%e 0r&0ert 6&r t%e /ene6it &6 re#ati+e 7it%in t%e =r, ,e(ree an, 7%& /e#&n( 6r&$ t%e !a$e #ine 6r&$ 7%i*% t%e 0r&0ert *a$e 6r&$. • It *&n!tit-te! a! an e*e0ti&n t& /&t% t%e !!te$ &6 #e(iti$e an, t%e &r,er &6 inte!tate
5.
ORI3INATOR t%e a!*en,ant) /r&t%er &r !i!ter 6r&$ 7%&$ t%e 0r&0&!it-! %a, a*2-ire, t%e 0r&0ert / (rat-it&-! tit#e
8.
PROPOSITUS T%e ,e!*en,ant 7%& ,ie, an, 6r&$ 7%&!e ,eat% t%e re!er+i!ta! in t-rn %a, a*2-ire, t%e 0r&0ert / &0erati&n &6 #a7. T%e !&*a##e, ARBITER OF THE FATE OF THE RESERVA TRONCAL. NOTE8 Pre0&!it-! *an ter$inate t%e re!er+a /: a. S-/!tit-tin( &r a#ienatin( t%e 0r&0ert /. B /e2 -eat%in( &r ,e+ i!in( it eit%er t& t%e 0&tentia# re!er+i!ta &r t& &t%er t%ir, 0er!&n *. B 0artiti&nin( it an, a!!i(nin( t%e 0r&0ert t& 0artie! &t%er t%an t%e re!er+i!ta
!-**e!!i&n.
PURPOSE O: RESERVA TRONCAL8 5. T& re!er+e *ertain 0r&0ertie! in 6a+&r &6 *ertain 0er!&n!" 8. T& 0re+ent 0er!&n &-t!i,e a 6a$i# 6r&$ a*2-irin() / !&$e *%an*e &r a**i,ent) 0r&0ert 7%i*% &t%er7i!e 7&-#, %a+e re$aine, 7it% t%e !ai, 6a$i#" =. T& $aintain a !e0arati&n /et7een 0aterna# an, $aterna# #ine!.
=.
RESERVISTA T%e a!*en,ant) n&t /e#&n(in( t& t%e #ine 6r&$ 7%i*% t%e 0r&0ert *a$e t%at i! t%e &n# *&$0-#!&r %eir an, i! &/#i(e, t& re!er+e t%e 0r&0ert. ?J-!ti*e Vit-(K! Vie7 NOTE8 T&#entin& i! &6 t%e +ie7 t%at e+en i6 t%e re!er+i!ta an, t%e &ri(inat&r /e#&n( t& t%e !a$e #ine) t%ere i! !ti## an &/#i(ati&n t& re!er+e.
@.
RESERVATARIOS T%e re#ati+e &6 t%e 0r&0&!it-! 7it%in t%e = r, ,e(ree an, 7%& /e#&n( t& t%e #ine 6r&$ 7%i*% t%e 0r&0ert *a$e an, 6&r 7%&!e /ene6it re!er+a ti&n i! *&n!tit-te,. T%e $-!t /e re#ate, / /#&&, n&t &n# t& t%e 0r&0&!it-! /-t a#!& t& t%e &ri(inat&r.
REUISITES O: RESERVA TRONCAL 5. T%e 0r&0ert !%&-#, %a+e /een a*2-ire, / $erai$n $& %a/ / an a!*en,ant ?RESERVISTA 6r&$ %i! ,e!*en,ant ?PROPOSITUS -0&n t%e ,eat% &6 t%e #atter. NOTE8 / &0erati&n &6 #a7 i! #i$ite, t& !-**e!!i&n) eit%er / #e(iti$e &r inte!ta* 8.
T%e 0r&0ert !%&-#, %a+e /een 0re+i&-!# a*2-ire, / 'ra!i$!s i%e / t%e 0r&0&!it-! 6r&$ an&t%er a!*en,an t &r 6r&$ a /r&t%er &r !i!ter ?ORIGINATOR -
NOTE: (rat-it&-! en*&$0a!!e! tran!$i!!i&n! / ,&nati&n) re$i!!i&n) an, te!tate &r inte!tate !-**e!!i&n. =.
T%e 0r&0&!it-! !%&-#, %a+e ,ie, 7 it%&-t an #e(iti$ate i!!-e in t%e ,ire*t ,e!*en,in( #ine 7%& *&-#, in%erit 6r&$ %i$. • A## re#ati&n!%i0! $-!t /e #e(iti$ate. Nie.a .- A%ca%a5 K)1 Pi% )9*
@. T%at t%ere are re#ati+e! 7it%in t%e t%ir, ,e(ree /e#&n(in( t& t%e #ine 6r&$ 7%i*% !ai, 0r&0ert *a$e.
PERSONAL ELEMENTS
NOTE8 T%e Ci+i# C&,e ,i, n&t 0r&+i,e 6&r t%e r-#e! &n %&7 t%e re!er+atari&! 7&-#, !-**ee, t& t%e re!er+i!ta. H&7e+er) t%e 6&##&7in( r-#e! &n inte!ta* %a+e /een *&n!i!tent# a00#ie,: a. R-#e & 6 0 re6eren*e / et7een t %e #ine! /. R-#e &60r&i$it *. Ri(%t &6 re0re!entati&n 0r&+i,e, t%at t%e re0re!entati+e i! a re#ati+e 7it%in t%e = r, ,e(ree) an, t%at %e /e#&n(! t& t%e #ine 6r&$ 7%i*% t%e re!er+a/#e 0r&0ert *a$e
,.
6-## / #&&,,&-/#e ! %are r -#e i n Arti*#e 5
•
T%e re!er+i!ta %a, n& 0&7er t& a00&int) / 7i##) 7%i*% re!er+atari&! 7ere t& (et t%e re!er+e, 0r&0ert. 3$nJa%es .- C:I5 K10) Pi% )?9
2 EVENTS TO BE CONSIDERED TO DETERMINE THE RI3HT O: THE RESERVATARIOS OVER THE RESERVABLE PROPERT, Dea $& Pr$$si!s a## 2-a#i6ie, re!er+atari& $ere# a*2-ire an in*%&ate ri(%t. T%e re!er+i!ta! &7n t%e 0r &0ert !-/e*t t& t%e re!&#-t&r *&n,iti&n Dea $& Reser.isa !-r+i+in( 8. re!er+atari&! a*2-ire a 0er6e*t ri(%t. 5.
OBLI3ATIONS O: A RESERVISTA AND THE CORRESPONDIN3 RI3HTS O: THE RESERVATARIOS =A>I>S>A; 5. T& in.en$r" re!er+e, 0r&0ertie! 8. T& ann$ae t%e re!er+a/#e *%ara*ter ?i6 re(i!tere, i$$&+a/#e! in t%e Re(i!tr &6 Pr&0ert 7it%in ,a! 6r&$ a**e0tan*e / t%e re!er+i!ta =. T& araise t%e $&+a/#e! @. T& sec!re / $ean! &6 $&rt(a(e: 5. T%ein,e$nit6&ran ,eteri&rati&n &6 &r ,a$a(e t& t%e 0r&0ert &**a!i&ne, / t%e re!er+i!taK! fault or negligence) an, 8. T%e0a$ent&6t%e +a#-e &6 !-*% re!er+e, $&+a/#e! a! $a /e alienated / t%e re!er+i!ta &ner&-!# an, (rat-it&-!# =. A! re!tit-ti&n 6&r $&+a/#e! not alienated RI3HT O: THE RESERVISTA OVER THE RESERVABLE PROPERT, 5. T%e ri(%t &6 t%e re!er+i!ta &+er t% e re!er+e, 0r&0ert i! &ne &6 &7ner!%i0 8. T%e &7ner!%i0 i! !-/e*t t& a re!&#-t&r *&n,iti&n =. T%e ri(%t &6 &7ner!%i0 i! a#iena/#e @. T%e ri(%t &6 &7ner!%i0 i! re(i!tra/#e
RI3HT O: THE RESERVASTARIOS OVER THE RESERVABLE PROPERT, 5. T%e re!er+atari&! %a+e a ri(%t &6 e0e*tan* &+er t%e 0r&0ert
8. T%e ri(%t i! !-/e*t t& a !-!0en!i+e *&n,iti&n =. T%e ri(%t i! a#i ena/#e) /-t !-/e*t t& t%e !a$e !-!0en!i+e *&n,iti&n @. T%e ri(%t i! re(i!tra/#e
PROPERT, SUBECT TO RESERVATION8 3ENERAL RULE8 It $-!t /e t%e same r$er" 7%i*% t%e re!er+i!ta %a, a*2-ire, / &0erati&n &6 #a7 6r&$ t%e 0r&0&!it-! -0&n t%e #atterK! ,eat% an, 7%i*% t%e #atter) in t-rn %a, a*2-ire, / (rat-it&-! tit#e ,-rin( %i! #i6eti$e 6r&$ an&t%er a!*en,ant) /r&t%er &r !i!ter. EFCEPTION8 S-/!tit-ti&n &6 t%e re!er+a/#e 0r&0ert t%r&-(% !na.$ida#%e necessi": 5. Pr&0ert i! consumable 8. =ost or destroyed t%r&-(% t%e 6a-#t &6 t%e re!er+i!ta =. !eteriorated t%r&-(% t%e !a$e *a-!e @. %a! It /een alienated Reser.a M a6ima M-*% &6 t%e 0&tentia## re!er+a/#e 0r&0ert a! 0&!!i/#e $-!t /e ,ee$e, in*#-,e, in t%e 0art t%at 0a!!e! / &0erati&n &6 #a7
Mai$ie! t%e !*&0e &6 re!er+e
Reser.a M inima E+er !in(#e 0r&0ert in t%e Pre0&!it-! e!tate $-!t /e ,ee$e, t& 0a!!) 0art# / 7i## an, 0art# / &0erati&n &6 #a7) in t%e !a$e 0r&0&rti&n t%at t%e 0art (i+en / 7i## /ear! t& t%e 0art n&t !& (i+en Mini$a 6in,! 7i,er a**e0tan*e %ere
EFTIN3UISHMENT O: RESERVA TRONCAL 5. T%e ,eat% &6 t%e Re!er+i!ta 8. T%e ,eat% &6 t%e a## t%e Re!er+at&ri&! =. ;ai+er &r ren-n*iati&n / a## Re!er+at&ri&!) 0r&+i,e, n&ne i! /&rn !-/!e2-ent# @. T&ta# 6&rt-it&-! #&!! &6 t%e re!er+e, 0r&0ert 4. C&n6-!i&n &r $er(er &6 ri(%t! . Pre!*ri0ti&n &r a,+er!e 0&!!e!!i&n IMPORTANT NOTES8 • A re!er+atari& $a ,i!0&!e &6 %i! e0e*tan* t& t%e re!er+a/#e 0r&0ert ,-rin( t%e 0en,en* &6 t%e re!er +a in it! -n*ertain an, *&n,iti&na# 6&r$. I6 %e ,ie! /e6&re t%e re!er+i!ta) %e %a! n&t tran!$itte,
•
•
ant%in() /-t i6 %e !-r+i+e! !-*% re!er+i!ta) t%e tran!$i!!i&n !%a## /e*&$e e66e*ti+e. A 7i## $a 0re+ent t%e *&n!tit-ti&n &6 a re!er+a. In te!tate !-**e!!i&n) &n# t%e #e(iti$e 0a!!e! / &0erati&n &6 #a7. T%e 0r&0&!it-! $a) / 7i##) &0t t& (i+e t%e #e(iti$e &6 %i! a!*en,ant 7it%&-t (i+in( t& t%e #atter 0r&0ertie! %e %a, a*2-ire, / (rat-it&-! tit#e 6r&$ an&t%er a!*en,ant) &r /r&t%er &r !i!ter. In !-*% *a!e) re!er+a tr&n*a# i! a+&i,e,. H&7er+er) i6 t%e a!*en,ant 7a! n&t
Re$e, i! t& ,e$an, 6&r *&$0#eti&n &6 #e(iti$e
,i!entit#e, 7i## t& $ini$a re*ei+e !-*% 0r&0ertie!) int%et%e re!er+a r-#e ?0r&0&rti&na# re!er+a !%&-#, /e 6&##&7e,. T%e r-#e %&#,! t%at a## 0r&0ertie! 0a!!in( t& t%e re!er+i!ta $-!t /e *&n!i,ere, a! 0a!!in( 0art# / &0erati&n &6 #a7 an, 0art# / 7i## &6 t%e 0r&0&!it-!. T%-!) &ne%a#6 &6 t%e 0r&0ertie! a*2-ire, / (rat-it&-! tit#e !%&-#, /e re!er+a/#e an, t%e &t%er %a#6 !%&-#, /e 6ree.
t%e te!tat&r ,-rin( %i! #i6eti$e) an, n&t t& t%e *%ar(e! &r /-r,en! 7%i*% are *reate, / t%e te!ta$entar ,i!0&!iti&n! 6&-n, in t%e 7i##" =. Deter$inati&n &6 t%e net +a#-e &6 t%e e!tate / ,e,-*tin( a## t%e ,e/t! an, *%ar(e! 6r&$ t%e (r&!! +a#-e &6 t%e e!tate" @. C&##ati&n &r a,,iti&n &6 t%e +a#-e &6 a## ,&nati&n! inter +i+&! t& t%e net +a#-e &6 t%e e!tate" 4. Deter$inati&n &6 t%e a$ &-nt &6 t%e #e( iti$e 6r&$ t%e t&ta# t%-! 6&-n," NOTE8 0r&*ee,! &6 an in!-ran*e 0&#i* 7%ere t%e /ene6i*iar i! a t%ir, 0er!&n &r e+en a *&$0-#!&r %eir /e#&n(! e*#-!i+e# t& t%e /ene6i*iar an, n&t t& t%e e!tate &6 t%e in!-re,. Hen*e) n&t !-/e*t t& *&##ati&n.
PRINCIPLE O: UNIMPAIRMENT O: THE LE3ITIME O: THE COMPULSOR, HEIR 5. 3enera% R!%e8 T%e te!tat&r *ann&t ,e0ri+e %i! *&$0-#!&r %eir! &6 t%eir #e(iti$e. E6cei$n8 +a#i, ,i!in%eritan*e 8. 3enera% R!%e8 He *ann&t i$0&!e -0&n t%e !a$e an /-r,en) en*-$/ran*e) *&n,iti&n)
•
&r !-/!tit-ti&n &6 an 1in, 7%at!&e+er. E6cei$n8 e0re!! 0r&%i/iti&n &6 t%e 0artiti&n &6 t%e e!tate 6&r a 0eri&, n&t e*ee,in( 8 ear!. Ren-n*iati&n &r *&$0r&$i!e a! re(ar,! 6-t-re #e(iti$e /et7een t%e 0er!&n &7in( it an, %i! *&$0-#!&r %eir i! .$idi.
ii.
T%eri(%t!&6t%e%eir! are $ere# in*%&ate /e*a-!e it i! &n# 0er6e*te, -0&n t%e te!tat&rK! ,eat%. Hen*e) t%ere i! !ti## n&t%in( t& ren&-n*e. N& *&ntra*t $a /e entere, int& 7it% re!0e*t t& 6-t-re in%eritan*e e*e0t in *a!e! e0re!!# a-t%&rie, / #a7.
E::ECTS O: INCOMPLETE LE3ITIME Inc$m%ee Le'iime Preerii$n Heir n&t entire# T&ta# &$i!!i&n &6 t%e 6&r(&tten %eir Le!! t%an t%e 0&rti&n T&ta# ,e0ri+ati&n &6 &6 t%e #e(iti$e #e(iti$e
E66e*t i! t%e t&ta# ann-#$ent &6 t%e in!tit-ti&n &6 %eir!
STEPS IN DETERMININ3 THE LE3ITIME O: COMPULSOR, HEIRS I: THERE ARE DONATIONS8 5. Deter$inati&n &6 t%e (r&!! +a#-e &6 t%e e!tate at t%e ti$e &6 t%e ,eat% &6 t%e te!tat&r" 8. Deter$inati&n &6 a## ,e/t! an, *%ar(e! 7%i*% are *%ar(ea/#e a(ain!t t%e e!tate t%i! re6er! t& t%e 0reei!tin( &/#i(ati&n! &6
. I$0-tati&n +a#-e &6 a## ,&nati&in! +i+&! $a,e&6 t&t%e *&$0-#!&r %eir! a(ain!t inter t%eir #e(iti$e an, &6 t%e +a#-e &6 a## ,&nati&n! inter +i+&! $a,e t& !tran(er! a(ain!t t%e ,i!0&!a/#e 6ree 0&rti&n an, re!t&rati&n t& t%e %ere,itar e!tate i6 t%e ,&nati&n i! in&66i*i&-!" an, >. Di!tri/-ti&n &6 t%e re!i,-e &6 t%e e!t ate in a**&r,an*e 7it% t%e 7i## &6 t%e te!tat&r.
REDUCTION O: TESTAMENTAR, DISPOSITIONS AND DONATIONS T%e &r,er &6 0re6eren*e i! a! 6&##&7!: 5. Le(iti$e &6 *&$0-#!&r %eir! 8. D&nati&n inter +i+&! =. Pre6erentia# #e(a*ie! &r ,e+i!e! @. A## &t%er #e(a*ie! &r ,e+i!e! I6 a6ter !ati!6in( t%e #e(iti$e &6 t%e *&$0-#!&r %eir!) t%e ,i!0&!a/#e 0&rti&n i! !-66i*ient t& *&+er ,&nati&n! inter +i+&! /-t n&t t%e #e(a*ie! an, ,e+i!e!) t%e r-#e i! t%at !-*% #e(a*ie! an, ,e+i!e! 7i## /e re,-*e, 0r& rate) a6ter !ati!6in( t%&!e 0re6erentia# &ne!.
DISINHERITANCE CAUSES O: VACANC, IN SUCCESSION 5. Di!in%eritan*e T%e te!tat&r *reate! it %i$!e#6 8. Re0-,iati&n T%e % eir ,&e! !&$et%in( =. In*a0a*itPre,e*ea!e S&$et%in( %a00en! t& t%e %eir HOW VACANCIES ARE :ILLED 5. S-/!tit-ti&n 8. Re0re!entati&n =. A**reti&n DISINHERITANCE 5. Heir i! /ein( ,e0ri+e, &6 %i! #e(iti$e. 8. On# in *a!e! &6 te!tate !-**e!!i&n. NOTE8 C&-nter0art in inte!tate i! -n7&rt%ine!!. =. E+en i6 +a#i,# ,i!in%erite,) %eir *an !ti## /e +a#i,# re!t&re, in t%e #e(iti$e / RECONCILIATION. @. Re*&n*i#iati&n 7%en in !0ea1in( ter$! a(ain) n& 0arti*-#ar 6&r$ 4. In -n7&rt%ine!!) t%ere $-!t a 0ar,&n in 7ritin( t& re$&+e in*a0a*it t& in%erit. H&7e+er) it ,&e! n&t %a+e t& /e in a 7i##. . I6 (r&-n,! 6&r ,i!in%eritan*e an, -n7&rt%ine!! are *&$$&n) re*&n*i#iati&n ,&e! n&t era!e t%e 6a*t t%at t%e %eir i! -n7&rt%. >. A! #&n ( a! t%e re i! re*&n*i#iati&n) it !%& -#, /e *&n!i,ere, t& %a+e re+&1e, t%e in%eritan*e a! 7e## a! t%e -n7&rt%ine!!. 9. Ine66e*ti+e ,i!in%eritan*e +. Preteriti&n REUIREMENTS :OR VAL I D DISINHERITANCE 5. E66e*te, &n# t%r&-(% a +a#i, 7i##" NOTE8 ;i## *&ntainin( ,i!in%eritan*e $-!t /e 0r&/ate,. 8. F&r a *a-!e e0re!!# !tate, / #a7" =. Ca-!e $-!t /e e0re!!# !tate in t%e 7i# # it!e#6" @. Ca-!e $-!t /e *ertain an, tr-e" 4. Un*&n,iti&na#" . T&ta#" AND >. T%e %eir ,i!in%erite, $-!t /e ,e! i(nate, in !-*% a $anner t%at t%ere *an /e n& ,&-/t a! t& %i! i,entit.
E::ECTS O: DISINHERITANCE 5. T&ta# e*#-!i&n &6 t%e *&$0-#!&r %eir in 6r&$ t%e in%eritan*e) 7%i*% in*#-,e! %i! #e(iti$e) %i! inte!tate 0&rti&n) an, an
te!ta$entar ,i!0&!iti&n $a,e in a 0ri&r 7i##.
NOTE8 T%ere6&re) t%e %eir #&!e! %i! %e'iime- A! t& t%e &ree $ri$n) it 0a!!e! t%r&-(% S-/!tit-ti&n) A**reti&n) an, Inte!ta*. 8. T%e *%i#,ren &r ,e!*en,ant! &6 t%e 0er !&n ,i!in%erite, !%a## ta1e %i! &r %er 0#a*e an, !%a## 0re!er+e t%e ri(%t! &6 *&$0-#!&r %eir! 7it% re!0e*t t& t%e #e(iti$e. NOTE8 T%e ,i!in%erite, %eir *an /e re0re!ente, in t%e #e(iti$e. a. On# in t%e ,e!*en,in( #ine) ne+er in t%e a!*en,in( /. In *&##atera# #ine) &n# 7it% re!0e*t t& ne0%e7! an, nie*e!. =. T%e ,i!in%erite, 0arent! !%a## n&t %a+e t% e -!-6r-*t &r a,$ini!trati&n &6 t%e 0r&0ert 7%i*% *&n!tit-te! t%e #e(iti$e.
3ROUNDS :OR DISINHERITANCE 3r$!nds &$r Disineriance C$mm$n T$ A%% C$m!%s$r" Heirs 1- Aem $n e %i& e $& es a$r5 s $!se5 ascendan5 descendan a. C&n+i*ti&n ne*e!!ar /. In * a!e & 6 ! 0&-!e) ( i+in( * a-!e 6 &r #e(a# !e0arati&n) n& *&n+i*ti&n nee,e, *. In*#-,e /&t% atte$0te, an, 6r-!trate,. ,. Atte$0t &n #i6e &6 re#ati+e!) $a /e *&n!-$$ate,. 2- Acc!sai$n $& a crime /i e na%" $& si6 "ears $r m$rea. Pena#t i$0&!a/#e) n&t a*t-a## i$0&!e,. /. Ma,e / t%e %eir in a 0r&*ee,in( a! a *&$0#ainant &r 7itne!! in a *ri$ina# *a!e. *. F&-n, t& /e (r&-n,#e!!) 6a#!e. ,. Gr&-n,#e!! *&-rt !% &-#, $a1e a 0&!iti+e 6in,in( t%at t%e te!tat&r %a! n&t *&$$itte, t%e *ri$e. It i! t%en 6a#!e. e. C%i!$i! n &t t%e &ne re6erre, %ere) it i! &-t!i,e *ri$ina# 0r&*ee,in(. (- Ind!ce esa$r $ ma
*.
It ,&e! n&t 0-ni!% t%e re!-#t /-t t%e inter6eren*e in t%e $a1in(*%an(in( &6 t%e 7i##. ,. ;i## ,i!in%eritan*e ?7i## $a1in( e. ;i## a$en,e, 7i## ,i!in%eritan*e ?7i## *%an(in( )- S!$r !n4! si&ia#%" n$ 'i.e na. M-!t 0r&+e &/#i(ati&n t& (i+e !-00&rt /. S0&-!e!: $-t-a# &/#i(ati&n t& (i+e !-00&rt *. Rea!&n $-!t /e -n-!ti6ia/#e
3r$!nds &$r Disineriance C$mm$n #e/een Ascendans and D escendans Ad!%er" and C$nc!#ina'e 7it% t%e • !0&-!e &6 t%e te!tat&r 5. It $- !t /e t%e %eir 7% & *&$$itte, !-*% #iai!&n 8. ;it% t%e #e(a# !0&-!e &6 t%e te!tat&r =. N&t ne*e!!ari# in*e!t-&-! @. A00#i*a/#e t& /&t% #e(iti$ate an, i##e(iti$ate ,e!*en,ant 3r$!nds &$r Disineriance C$mm$n Ascendan and S$!se L$ss $& arena% a!$ri" 5. Ca-!e!: A rt!. 8 =) 8 =5) 8 =8 & 6 t %e Fa$i# C&,e 8. A!*en,ant &6 te!tat&r =. S0&-!e % a! ( i+en * a-!e 6 &r # &!! & 6 a-t%&rit. @. 0arenta#N& a *t-a# , e0ri+ati&n) / -t i t $ -!t ei!t. It $ean! t%at t%e a*t i! *&$$itte, 7%i*% $a /e a *a-!e 6&r #&!! &6 0arenta# a-t%&rit &+er t%eir *&$$&n *%i#,ren) ECEPT 6&r t%&!e en-$erate, in A. 4. T%ere are n& *&$$&n (r&-n,! /et7een !0&-!e an, ,e!*en,ant!.
3r$!nds &$r Disineriance On%" a'ains Descendan 1- Ma%reamen $& esa$r a. B 7&r, !#an,er) &66en!i+e #an(-a(e) in!-#t) #i/e#. Ma /e !0&1en &r 7ritten. /. B ,ee, n& nee, 6&r +i&#en*e) !&$et%in( 7%i*% *a-!e, t%e te!tat&r t& /e %-$i#iate,. Lain( %an,! i6 n&t -n,er atte$0t &n #i6e. 2- Leadin' a dis'race&!% %i&e ?&r ,i!%&ne!t
i.e.) ,a-(%ter #i+in( 7it% a $arrie, $an) e!ta6a,&ra) 0r&!tit-te!) ,r-( ,ea#er!) ,r-( a,,i*t. (- C$mmissi$n $& cri me /i c carries /i i e ena%" $& ci.i% inerdici$n a. De!*en,ant *&n +i*te, &6 *ri$e 7it% *i+i# inter,i*ti&n. Ne*e!!ari# i$0&!a/#e) n&t a*t-a## i$0&!e,. /. Re*#-!i&n te$0&ra#) re*#-!i&n 0er0et-a.
3r$!nd &$r Disineriance On%" a'ains Ascendans =Parens; 1- A#and$nmen #" arens a. ;i##6-## #e 6t t% e *% i#,ren t& 6 en, 6& r t%e$!e#+e! /. A/,i*ati&n &6 0arenta# ,-tie!. *. On# re6er! t& a/an,&ne, *%i#,. ,. In,-*e, ,a-(%ter! t& #ea, a ,i!(ra*e6-# #i6e a#!& a00#i*a/#e t& !&n!. 2- Aem $n e %i&e $& $ne aren a'ains an$er arena. /.
Parent +. 0arent E+en i6 0arent! a re n&t $arrie,) it i! !ti## a (r&-n,. *. N& n ee, 6& r * &n+i*ti&n. A! # &n( a ! t%e %eir *an 0r&+e t%at t%ere i! an atte$0t. ,. T%e , & n &t n ee, t & / e ! 0&-!e!. H&7e+er) t%e te!tat&r $-!t /e a *&$$&n *%i#,.
3r$!nds &$r Disineriance On%" a'ains s$!se re&ers $ %e'a% s$!ses $n%"5 %e'a%%" married $ eac $er 1- 3i.in' ca!se &$r %e'a% searai$n a. N& nee, 6&r 0re+i&-! *&n+i*ti&n /. Pr&+e in6i,e#it i6 *a-!e i! *&nte!te, *. N& nee, t& 0r&+e (r&-n,! -n#e!! *&nte!te, / t%e %eir. ,. Le(a# !e 0arati&n in !tit-te, /- t n& t ter$inate,) O' e. I6 t%ere i! a#rea, a ,e*ree: i. Gr&-n, i! *&n*#-!i+e ii. B-t) t%ere i! a nee, t& ,i!in%erit E66e*t!: G -i#t ! 0&-!e i ! n &t entit#e, t& in%erit. See 5 *a-!e! -n,er t%e Fa$i# C&,e. iii.
6.
8. S!$r re6-!a# t& (i+e !-00&rt t& t%e *%i#,ren a. O66en,e, t%e te!tat&r /. C&$$&n *%i#,ren &6 t%e te!tat&r an, t%e !0&-!e *. S0&-!e re6-!e! t& (i+e !-00&rt t& t%e *%i#, ,. Parent! !%are in !-00&rt &6 t%eir *&$$&n *%i#,ren. Re6-!a# &6 t%e &t%er !0&-!e *a-!e! ,a$a(e t& t%e &t%er. ?te!tat&r
3ROUND
CH I L D
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ASCEND
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SPOUSE
$
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e
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ascendan5 descendan Acc!sai$n $& a crime /i ena%" $& si6 "ears Ind!ce
esa$r
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3r$!nds
Seci&ic
Paric!%ar Heir
$
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1-Ma%reamen $& esa$r 2-
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Leadin'
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dis'race&!% %i&e (-
e
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C$mmissi$n /i
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IMPER:ECT DISINHERITANCE8 Di!in%eritan*e 7%i*% ,&e! n&t %a+e &ne &r $&re &6 t%e e!!entia# re2-i!ite! 6&r it! +a#i,it. E::ECTS O: IMPER:ECT DISINHERITANCE 5. I6 t%e te!tat&r %a, $a,e ,i!0&!iti&n &6 t%e entire e!tate" ann-#$ent &6 t%e te!ta$entar ,i!0&!iti&n &n# in !& 6ar a! t%e 0re-,i*e t%e #e(iti$e &6 t%e 0er!&n ,i!in%erite," ,&e! n&t a66e*t t%e ,i!0&!iti&n! &6 t%e te!tat&r 7it% re!0e*t t& t%e 6ree 0&rti&n 8. I6 t %e t e!tat&r , i, n &t ,i!0&!e &6 t%e 6ree 0&rti&n" *&$0-#!&r %eir (i+en a## t%at %e i! entit#e, t& re*ei+e a! i6 t%e ,i!in%eritan*e %a! n&t /een $a,e) 7it%&-t 0re-,i*e t& #a76-# ,i!0&!iti&n! $a,e / t%e te!tat&r in 6a+&r &6 &t%er! =. De+i!ee!) #e(a*ie! an, &t%er te!ta$entar ,i!0&!iti&n! !%a## /e +a#i, t& !-*% etent a! 7i## n&t i$0air t%e #e(iti$e
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•
•
•
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IMPER:ECT DISINHERITANCE Per!&n ,i!in%erite, $a /e an *&$0-#!&r %eir EPRESS INTENTIONAL 0artia# ann-#$ent in!tit-ti&n &6 %eir!
&6
PRETERITION T%e 0er!&n &$itte, $-!t /e a *&$0-#!&r %eir in t%e ,ire*t #ine IMPLIED EITHER intenti&na# &r -nintenti&na# E66e*t: t&ta# ann-#$ent &6 in!tit-ti&n &6 %eir!
E+en i6 +a#i,# ,i!in%erite,) %eir *an !ti## /e +a#i,# re!t&re, in t%e #e(iti$e / RECONCILIATION. A !-/!e2-ent re*&n*i#iati&n /et7een t%e &66en,er an, t%e &66en,e, 0er!&n ,e0ri+e! t%e #atter &6 t%e ri(%t t& ,i!in%erit an, ren,er! ine66e*t-a# an ,i!in%eritan*e t%at $a %a+e /een $a,e. ?Art. 88 Re*&n*i#iati&n 7%en in !0ea1in( ter$! a(ain) n& 0arti*-#ar 6&r$ re2-ire,) it $a /e e0re!! &r ta*it. H&7e+er) $ere *i+i#it 7%i*% $a *%ara*terie t%eir re#ati&n!%i0 i! n&t en&-(%. In &r,er 6&r re*&n*i#iati&n t& /e e66e*ti+e) t%e te!tat&r $-!t 0ar,&n t%e ,i!in%erite, %eir. S-*% 0ar,&n $-!t !0e*i6 i*a## re6er t& t%e %eir an, t& t%e a*t! *a-!in( t%e ,i!in%eritan*e. T%e %eir $-!t a**e0t t%e 0ar,&n. In -n7&rt%ine!!) t%ere $-!t a 0ar,&n in 7ritin( t& re$&+e in*a0a*it t& in%erit. H&7e+er) it ,&e! n&t %a+e t& /e in a 7i##. I6 (r&-n,! 6&r ,i!in%eritan*e an, -n7&rt%ine!! are *&$$&n) re*&n*i#iati&n ,&e! n&t era!e t%e 6a*t t%at t%e %eir i! -n7&rt%. ;%at t%en i! t%e e66e*t &6 a !-/!e2-ent re*&n*i#iati&n -0&n t%e %eirK! *a0a*it t& !-**ee,X 5. I6,i!in%eritan*e%a! /een a00#ie!)$a,e: t%e ine66e*ti+e 8.
R-#e &n re*&n*i#iati&n ,i!in%eritan*e /e*&$e!
I6,i!in%eritan*e%a! n&t /een $a,e: T%e r-#e &n re*&n*i#iati&n ,&e! n&t a00#) t%e %eir *&ntin-e! t& /e in*a0a*itate, t& !-**ee, -n#e!! t%e te!tat&r 0ar,&ne, %i$ -n,er Art. 5==.
REVOCATION O: DISINHERITANCE 5. Re*&n*i#iati&n NOTE8 T%i! re6er! t& t%e re!-$0ti&n &6 (en-ine *&r,ia# re#ati&n!%i0 /et7een t%e te!tat&r an, t%e ,i!in%erite, %eir) a00r&i$atin( t%at 7%i*% 0re+ai#e, /e6&re t%e te!tat&r #earne, &6 t%e *a-!e 6&r ,i!in%eritan*e) re*i0r&*a## $ani6e!te, / t%eir a*ti&n! !-/!e2-ent t& t%e a*t &6 ,i!in%eritan*e. 8. S-/!e2-ent i n!tit-ti&n & 6 t%e ,i!in%erite, %eir
LE3ACIES AND DEVISES PERSONS CHAR3ED WITH LE3ACIES AND DEVISES8 5. 8. =. @.
C&$0-#!&r %eir" V&#-ntar %eir" Le(atee &r ,e+i!ee" E!tate.
=. *&ntain! t%e ,i!in%eritan*e N-##it &6 t%e 7i## 7%i*%
•
I6 t%e 7i## i! !i#ent a! t& 7%& !%a## 0a &r ,e#i+er t%e #e(a*,e+i!e) 5. I6 t%ere i! an a,$ini!trati&n 0r&*ee,in(!) t%ere i! a 0re!-$0ti&n t%at !-*% #e(a* &r ,e+i!e
NOTES8
•
•
•
*&n!tit-te! a *%ar(e a(ain!t t%e ,e*e,entK! e!tate 8. I6 t%ere i! n& a,$ini!trati&n 0r&*ee,in(!) it i! a *%ar(e -0&n t%e %eir! ?Art. 8) 0ar. 8 Sin*e #e(a*ie! an, ,e+i!e! are t& /e ta1en 6r&$ t%e ,i!0 &!a/#e 6ree 0&rti&n &6 t%e e!tate) t%e 0r&+i!i&n! &n in!tit-ti&n &6 %eir! are (enera## a00#i*a/#e t& t%e$ T%e #e(atee!,e+i!ee! !%a## /e #ia/#e 6&r t%e *%ar(e t& t%e etent &6 t%e +a#-e &6 t%e #e(a*,e+i!e re*ei+e,. T%e *&$0-#!&r %eir !%a## NOT /e #ia/#e 6&r t%e *%ar(e /e&n, t%e ,i!0&!a/#e 0&rti&n (i+en t& %i$. It !%&-#, n&t a66e*t %i! #e(iti$e.
ORDER O: PA,MENT IN CASE ESTATE IS INSU::ICIENT TO COVER ALL LE3ACIES AND DEVICES 5. Re$-nerat&r #e(a*ie! &r ,e+i!e! 8. Le(a*ie! &r ,e+ i!e! ,e*#are, / t%e te! tat&r t& /e 0re6erentia# =. Le(a*ie! 6&r S-00&rt @. Le(a*ie! 6&r E,-*ati&n 4. Le(a*ie! &r ,e+i!e! &6 a !0e*i6i*) ,eter$inate t%in( 7%i*% 6&r$! a 0art &6 t%e . e!tate >. A## &t%er!) 0r&rata WHEN LE3AC,DEVISE CAN BE REVOED B, OPERATION O: LAW 5. I6 t%e te!tat&r tran!6&r$ t%e t%in( /e2-eat%e, &r ,e+i!e, in !-*% a $anner t%at it ,&e! n&t retain it! 6&r$ an, ,en&$inati&n 8. I6 t%e te!tat&r) / an tit#e &r 6&r an *a-!e) a#ienate! t%e t%in( /e2-eat%e, &r ,e+i!e, &r an 0art t%ere&6 =. I6 t%e t%in( /e2-eat%e, &r ,e+i!e, i! t&ta## #&!t ,-rin( t%e #i6eti$e &6 t%e te!tat&r) &r a6ter %i! ,eat% 7it%&-t t%e %eirK! 6a-#t @. I6 t% e #e(a* i! a *re,it a(ain!t a t%ir, 0er!&n &r t%e re$i!!i&n &6 a ,e/t) an, t%e te!tat&r) !-/!e2-ent t& t%e $a1in( &6 t%e 7i## /rin(! an a*ti&n a(ain!t !-*% ,e/t&r 6&r 0a$ent
3ROUNDS :OR REVOCATION O: LE3ACIES OR DEVISES
5. Te!tat&r tran!6&r$! t%e t%i n( /e2-eat%e, in !-*% a $anner it ,&e! n&t retain eit%er t%e 6&r$ &r t%e ,en&$inati&n it %a,. 8. T%e te!tat&r / an ti t#e &r 6& r an *a-!e a#ienate! t%e t%in( /e2-eat%e,) &r an 0art t%ere&6) it /ein( -n,er!t&&, t%at in t%e #atter *a!e t%e #e(a* &r ,e+i!e !%a## /e 7it%&-t &n# 7it% re!0e*t t& t%e 0art a#ienate, EFCEPT8 7%en t%e t%in( !%&-#, a(ain /e#&n( t& t%e te!tat&r a6ter a#ienati&n. =. T%e t%in( /e2-eat%e, i! t&ta## #&!t ,-r in( t%e #i6eti$e &6 t%e te!tat&r) &r a6ter %i! ,eat% 7it%&-t t%e %eir! 6a-#t" @. Ot%er Ca-!e!: n-##it &6 t%e 7i##" n&n*&$0#ian*e 7it% !-!0en!i+e *&n,iti&n! a66e*tin( t%e /e2-e!t!" !a#e &6 t%e t%in( t& 0a t%e ,e/t! &6 t%e ,e*ea!e, ,-rin( t%e !ett#e$ent &6 %i! e!tate.
VALIDIT, AND E::ECT O: LE3AC, Tin' $/ned in ar #" esa$r Art% 6)6*
Genera# R-#e: C&n+e! &n# intere!t &r 0art &7ne, / te!tat&r Excp!ion: i6 te!tat&r &t%er7i!e 0r&+i,e!
5. He $a *&n+e $&re t%an 7%at %e &7n! t%e !tate !%&-#, tr t& a*2-ire t%e 0art &r intere!t &7ne, / &t%er 0artie!. I6 &t%er 0artie! are -n7i##in( t& a#ienate) t%e e!tate !%&-#, (i+e t%e #e(atee,e+i!ee t%e $&netar e2-i+a#ent ?ana#&( 7it% Arti*#e =5 8. He $a *&n+e #e!! t%an 7%at %e &7n! ?Arti*#e >@
Tin' $/ned #" an$er Arts% 6.2<6.'*
3enera% R!%e8 5. I& esa$r $rdered ac@!isii$n $& e in' > t%e &r,er !%&-#, /e *&$0#ie, 7it%. I6 t%e &7ner i! -n7i##in( t& 0art 7it% t%e t%in() t%e #e(atee,e+i!ee !%&-#, /e (i+en t%e $&netar e2-i+a#ent 8. I6 te!tat&r err$ne$!s%" #e%ie.ed a e in' #e%$n'ed $ im #e(a*,e+i*e i! +&i, Excp!ion# i6 te!tat&r a*2-ire t%e t%in( &ner&-!# &r (rat-it&-!# a6ter $a1in( &6 t%e ,i!0&!iti&n) ,i!0&!iti&n i! +a#i,ate,
=. I& esa$r *&,e i! !i#ent /-t ,i!0&!iti&n !%&-#, /e *&n!i,ere, +a#i, t%ere i! an i$0#ie, &r,er t& a*2-ire an, ,&-/t! $-!t /e re!&#+e, in 6a+&r &6 inte!ta*
Tin' a%read" $/ned $ e %e'aeede.isee Arts 6.)<6..*
5.
I6 t%in( a#rea, #e%$n'ed $ %e'aeede.isee at ti$e &6 ee*-ti&n &6 7i## #e(a*,e+i!e i! +&i,
8.
I6 t%in( 7a! $/ned #" an$er ers$n at ti$e &6 $a1in( t%e 7i## an, t%erea6ter it i! a*2-ire, / #e(atee,e+i!ee: a.
I6 te!tat&r err&ne&-!# /e#ie+e, t%at %e &7ne, t%e t%in( #e(a* ,e+i!e i! +&i,
/.
I6 te!tat&r 7a! n&t in err&r i.
ii.
I6 t%in( 7a! a*2-ire, &ner&-!# / LD LD entit#e, t& /e rei$/-r!e, I6 t%in( 7a! a*2-ire, (rat-it&-!# / LD n&t%in( i! ,-e
=.
I6 t%in( 7a! $/ned #" esa$r at ti$e 7i## 7a! $a,e an, LD a*2-ire, t%e t%in( 6r&$ %i$ t%erea6ter #a7 i! !i#ent Ba#ane LD ,ee$e, re+&1e, T&#entin& n& intenti&n t& re+&1e ?BUT i6 t%e te!tat&r %a! n&t a#ienate, t%e t%in( ,ire*t# t& t%e LD) /-t t& a = r, 0er!&n an, t%e 6&r$er -!t a*2-ire, it 6r&$ t%e #atter) t%ere i! an intenti&n t& re+&1e
Le'ac"De.ise $ rem$.e an enc!m#rance $.er a in'
Va#i,) i6 t%e en*-$/ran*e *an /e re$&+e, 6&r a *&n!i,erati&n
#e%$n'in' $ esa$r =Ar 9(2 ar 2; Le'ac"De.ise $& a in' %ed'ed $r m$r'a'ed Article 6.C*
T%e en*-$/ran*e $-!t /e re$&+e, / 0ain( t%e ,e/t -n#e!! t%e te!tat&r inten,e, &t%er7i!e
=================================
TOPICS UNDER THE S,LLABUS III- Le'a% $r Inesae S!ccessi$n =Ars- 9+0>101); A- 3enera% r$.isi$ns =Ars- 9+0> 9+9; =1; Re%ai$nsi =Ars- 9+(>9+9; =2; Ri' $& reresenai$n =Ars9?0>9??; B- Order $& inesae s!ccessi$n =Ars- 9?>101)5 992; ================================= III- 3ENERAL PROVISIONS ON LE3AL OR INTESTATE SUCCESSION LE3AL OR INTESTATE SUCCESSION8 T%at 7%i*% i! e66e*te, / &0erati&n &6 #a7 in t%e a/!en*e &r ,e6a-#t &6 a 7i##. CAUSES O: INTESTATE SUCCESSION IN 3ENERAL 1-
2-
In e a#sence $& a%ica#%e .a%id /i%% a. Ann-#$ent & 6 i n!tit-ti&n & 6 %eir!. /. ;%en 7i## #&!e! it! +a#i,it. *. Te!tat&r , i, n&t $a1e an 7i##. ,. ;i##n&t0r&/ate,. e. Re+&*ati&n. 6. Preteriti&n In e a#sence $& @!a%i&ied eirs Partia# i n!tit-ti&n & 6 % eir. I n !-*% *a!e) inte!ta* ta1e! 0#a*e a! t& t%e -n,i!0&!e, 0&rti&n ?$ie, !-**e!!i&n /. Ine66e*ti+e , i!in%eritan*e ? a 0&rti&n *. Pre,e*ea!e ,. Re0-,iati&n?&ne&r a## e. In*a0a*it 6. Di!in%eritan*e (. In!tit-ti&n !-/e*t t& *&n,iti&n! i. S-!0en!i+e *&n,iti&n , i, n&t %a00en ii. Re!&#-t&r *&n,iti&n %a00en!. iii. E0irati&n &6 ter$ &r 0eri&, &6 in!tit-ti&n i+. N&n*&$0#ian*e &r i$0&!!i/i#it &6 *&$0#ian*e 7it% t%e 7i##. a.
BASIC PRINCIPLES SUCCESSION
IN
INTESTATE
1- Inesae eirs a%/a"s re%aed #" #%$$dE*e0t: a. S0&-!e n&t re#ate, / /#&&,) !tran(er in t%e 6a$i# /. A,&0ti+e re#ati&n a, &0tera,&0te,) 6i*ti&n / #a7 *reate, / a,&0ti&n) 0-re# 0er!&na# *. State in t %e e +ent n & % eir * an in%erit. 2- R!%e $& Pr$ 6imi" T e nearer e6c%!des neare!t ,e(ree e &arer t%e re#ati+e e*#-,e t%e 6art%er &ne) !a+in( t%einri(%t &6 re0re!entati&n 7%en it 0r&0er# ta1e! 0#a*e.
NOTE8 T%i! i! !-/e*t t& r-#e &6 0re6eren*e /et7een #ine!. In *a!e &6 ,i!0&!iti&n $a,e -n,er Art. 4 in (enera# ter$! in 6a+&r &r t%e te!tat&rK! re#ati+e!) &n# r-#e &6 0r&i$it a00#ie!. (- R!%e $& Pre&erence Be/een Lines Direc %ine is a%/a"s re&erred $.er c$%%aera% %ines. T%e ,ire*t ,e!*en,in( #ine !%a## e*#-,e t%&!e in t%e ,ire*t a!*en,in( an, *&##atera# #ine!) an, t%&!e in t%e ,ire*t a!*en,in( #ine !%a##) in t-rn) e*#-,e t%&!e in t%e *&##atera# #ine. )- R!%e $ & e@!a% di.isi$n t%e re#ati+e! 7%& are in t%e !a$e ,e(ree !%a## in%erit in e2-a# !%are! !a$e *#a!! Excp!ion# a. Descendin' %ine ,i66eren*e in *#a!! in t%e *a!e! &6 #e(iti$ate &r i##e(iti$ate 6i#iati&n. i. In * a!e & 6 0 aterna#$aterna# #ine! ii. C&##atera# %a#6 &r 6-## /#&&, /. Ascendin' %ine t%e !%are! are ,i+i,e, e2-a## /et7een $aterna# an, 0aterna# #ine!) 7%i*% *&-#, re!-#t t& -ne2-a# !%are! 7%en t%ere i! &n# &ne (ran,0arent in t%e $aterna# #ine 7%i#e /&t% (ran,0arent! !-r+i+e, in t%e 0aterna# !i,e. *. Di+i!i&n a$&n( /r&t%er! an, !i!ter!) !&$e &6 7%&$ are &6 t%e 6-## an, &t%er! &6 %a#6 /#&&," an, ,. Di+i!i&n in *a!e! 7%ere t%e ri(%t &6 re0re!entati&n ta1e! 0#a*e.
*- R!%e $& Bar rier #e /een e %e' iimae &ami%" and e i%%e'iimae &ami%" t%e i##e(iti$ate 6a$i# *ann&t in%erit / inte!tate !-**e!!i&n 6r&$ t%e #e(iti$ate 6a$i# an, +i*e+er!a.
+- R!%e $& D$!#%e Sare &$r &!%% #%$$d c$%%aera%s 7%en 6-## an, %a#6/#&&, /r&t%er! &r !i!ter!) ne0%e7! &r nie*e!) !-r+i+e) t%e 6-## /#&&, !%a## ta1e a 0&rti&n in t%e in%eritan*e ,&-/t t%at &6 t%e %a#6/#&&,. NOTE8 In a## *a!e! 7%ere t%ere %a! /een an in!tit-ti&n &6 %eir!) 6&##&7 t%e I-S-R-A-I- &r,er In!tit-ti&n 6ai#!) &6 ustice Paras. I6 t%e S-/!tit-ti&n &**-r!. I6 t%ere i! n& !- /!tit-te) ri(%t &6 Re0re!entati&n a00#ie! in t%e ,ire*t ,e!*en,in( #ine t& t%e #e(iti$e &6 t%e +a*an* i! *a-!e, / 0re,e*ea!e) in*a0a*it &r ,i!in%eritan*e. ri(%t &6 re2-i!ite! t& A**reti&n a00#ie! t%e 6ree 0&rti&nT%e 7%en t%e in Arti*#e 55 are 0re!ent. I6 t%ere i! n& !-/!tit-te) an, t%e ri(%t &6 re0re!entati&n &r a**reti&n ,&e! n&t a00#) t%e r-#e &6 Inte!tate !-**e!!i&n !%a## ta1e &+er.
t%&!e &6 t%e 6&##&7in( ,e(ree !%a## in%erit in t%eir &7n ri(%t ?0er *a0ita an, cann$ reresen t%e 0er!&n re0-,iatin( t%e in%eritan*e.
REPRESENTATION8 A ri(%t *reate, / 6i*ti&n &6 #a7) / +irt-e &6 7%i*% t%e re0re!entati+e i! rai!e, t& t%e 0#a*e an, ,e(ree &6 t%e 0er!&n re0re!ente,) an, a*2-ire! t%e ri(%t! 7%i*% t%e #atter 7&-#, %a+e i6 %e 7ere #i+in( &r i6 %e *&-#, %a+e in%erite,. INSTANCES OCCURS8
WHEN
REPRESENTATION
5. Pre,e*ea!e 8. In*a0a*it &6 Un7&rt%ine!! =. Di!in%eritan*e
NOTE8 In *a!e &6 re0-,iati&n) a**reti&n ta1e! 0#a*e.
RULES ON RELATIONSHIP •
5.
N-$/er &6 (enerati&n! ,eter$ine! 0r&i$it 8. Ea*% (enerati&n 6&r$! a ,e(ree =. A !erie! &6 ,e(ree! 6&r$! a #ine @. A#ine$a/e,ire*t &r *&##atera#. A ,ire*t #ine i! t%at *&n!tit-te, / t%e !erie! &6 ,e(ree! a$&n( a!*en,ant! an, ,e!*en,ant! ?a!*en,in( an, ,e!*en,in( 4. *&n!tit-te, / t%e !erie! A*&##atera# #inei!t%at &6 ,e(ree! a$&n( 0er!&n! 7%& are n&t a!*en,ant! &r ,e!*en,ant!) /-t 7%& *&$e 6r&$ a *&$$&n an*e!t&r. . F-## /#&&,: !a$e 6at%er an, $&t%er) %a#6 /#&&,: &n# &ne &6 eit%er 0arent i! t%e !a$e. >. Ina,&0ti&n)t%e#e(a# 6i#iati&n i! 0er!&na# an, ei!t! &n# /et7een a,&0ter an, t%e a,&0te,. T%e a,&0te, i! ,ee$e, a #e(iti$ate *%i#, &6 t%e a,&0ter.
E::ECTS O: INCAPACIT, OR REPUDIATION 1.
I6 t%ere are !e+era# re#ati+e! &6 t%e !a$e ,e(ree an, &n &r $&re &6 t%e$ are !n/i%%in' &r incaaciaed t& !-**ee,) %i! 0&rti&n !%a## a**r-e t& t%e &t%er! &6 t%e !a$e ,e(ree ? ri' $& accrei$n !a+e t%e
ri'0#a*e. $& reresenai$n 7%en it !%&-#, ta1e 2.
I6 t%e in%eritan*e !%&-#, /e re!diaed / t%e neare!t re#ati+e ) !%&-#, t%ere /e &n# &ne) &r / a## t%e neare!t re#ati+e! *a##e, / #a7 t& !-**ee,) !%&-#, t%ere /e !e+era#)
A#t%&-(% a ren&-n*er *ann&t /e re0re!ente,) %e *an re0re!ent t%e 0er!&n 7%&!e in%eritan*e %e %a! ren&-n*e,. Sa"s$n .- CA5 K20* SCRA (2)
CHARACTERISTICS O: REPRESENTATION 5. A ri(%t &6 !-/r&(ati&n 8. E*e0ti&n t& t%e r-#e &n 0r& i$it an, e2-a# ,i+i!i&n =. Ca##e, t& !-**e!!i&n / #a7 @. Re0re!entati+e !-**ee,! t%e ,e*e,ent an, NOT t%e 0er!&n re0re!ente, 4. Ta1e! 0#a*e 7%en t%ere i! +a*an* in t%e in%eritan*e /r&-(%t a/&-t / 0re,e*ea!e) in*a0a*it) &r ,i!in%eritan*e . A! a (en era# r-#e) eer*i!e, &n# / t%e (ran,*%i#,ren &6 t%e ,e*e,ent
TESTAMENTAR,
INTESTATE
$"n :%s ;l%c COMPULSORY HEIR: LEGAL HEIR:
,ie! /e6&re t%e te!tat&r
,ie! /e6&re te!tat&r
t%e
i! -n7&rt% t& !-**ee,
i! -n7&rt% !-**ee,
t&
i! ,i!in%erite, Ec!s pon :" ivision A*2-ire! t%e ri(%t A*2-ire! t%e ri(%t 7it% re!0e*t t& t%e 7it% re!0e*t t& t%e #e(iti$e entire #e(a# 0&rti&n Per!tir0e! Per!tir0e!
IN WHAT INDS O: SUCCESSION REPRESENTATION OPERATES 5.
•
Le'iimes T%e *%i#,ren an, ,e!*en,ant! &6 t%e 0er!&n ,i!in%erite, !%a## ta1e %i! &r %er 0#a*e an, !%a## 0re!er+e t%e ri(%t! &6 *&$0-#!&r %eir 7it% re!0e*t t& t%e #e(iti$e ? Art 6). An, &n# 7%en t%e %eir t& /e re0re!ente,: a. Pre,e*ea!e) /e*&$e! in*a0a*itate,) &r ,i!in%erite,%eir. / t%e te!tat&r. /. 7a! I! a *&$0-#!&r *. N& ri(%t &6 re0re!entati&n i6 t%e %e ir t& /e re0re!ente, i! a +&#-ntar %eir.
2•
Inesae s!ccessi$n Re0re!entati&n &**-r! in a## inte!tate e!tate. A## #e(a# %eir! $a /e re0re!ente, 7%en 0r&0er. ?It i! n&t 0r&0er &n# 7%en t%e %eir t& /e re0re!ente, re0-,iate, %i! !%are in t%e in%eritan*e
OUTLINE O: RULES8 IND O: HEIR C$m!%s$r"
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Le'a%
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/nc%p%ci!6
Rnunci%!ion
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Re0re!entati&n
NO Re0re!entati&n
Re0re!entati&n
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Tran!$it! n&t%in("
N&t a00#i*a/#e
NO Re0re!entati&n
NO Re0re!entati&n
NO Re0re!entati&n
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Tran!$it! n&t%in("
Tran!$it! n&t%in("
Re0re!entati&n
Re0re!entati&n
NO Re0re!entati&n
IN WHAT LINES DOES REPRESENTATION OBTAIN
=.
5. Le'iime in t%e ,ire*t ,e!*en,in( #ine &n#.
N&t a00#i*a/#e
An ad$ed *%i#, *an neit%er re0re!ent n&r /e re0re!ente, •
Re0re!entati&n ,&e! n&t ei!t in t%e a!*en,in( #ine. Hen*e) t%e 6at%er *ann&t re0re!ent t%e !&n in t%e in%eritan*e 6r&$ t%e (ran,6at%er. 8.
isin"ri!%nc
Tran!$it! n&t%in("
T%e rati&na#e 7% an a,&0te, *%i#, *an neit%er re0re!ent &r /e re0re!ente, i! /e*a-!e t%e #e(a# re#ati&n!%i0 *reate, / t%e a,&0ti&n i! !tri*t# /et7een t%e a,&0ter an, t%e a,&0te,. Te$ica .De% Va%5 K1( SCRA )0+
Inesac": a. In t%e ,ire*t ,e!*en,in( #ine.
UALI:ICATIONS TO REPRESENT
/.
5. T%e re0re!entati+e %i$!e#6 $-!t *a0a*it t& !-**ee, t%e deceden
In t %e *& ##atera# # ine) it t a1e! 0 #a*e &n# in 6a+&r &6 t%e *%i#,ren &6 /r&t%er &r !i!ter! ?nie*e! an, ne0%e7! &6 t%e ,e*e,ent) n&t (ran,nie*e! &r (ran, ne0%e7!) 7%et%er &6 t%e 6-## &r %a#6 /#&&,) an, &n# i6 t%e *&n*-r 7it% at #ea!t 5 -n*#e &r a-nt.
8. T%e re0re!entati+e nee, n&t /e 2-a# i6ie, t& !-**ee, t%e 0er!&n re0re!ente,.
HOW REPRESENTATION OPERATES
NOTE8 I6 a## t%e /r&t%er! an, !i!ter! are ,i!2-a#i6ie,) t%e ne0%e7! an, nie*e! !%a## in%erit 0er *a0ita. REPRESENTATION O: ADOPTED CHILDREN
ILLE3ITIMATE
OR
5. re0re!ente, i! legitimate I6t%e *%i#,t&#e(iti$ate /e $n%" *%i#,ren an, ,e!*en,ant! *an re0re!ent %i$. 8. I6t%e*%i#,t&/e re0re!ente, i! i##e(iti$ate #$ #e(iti$ate an, i##e(iti$ate *%i#,ren,e!*en,ant! *an re0re!ent %i$.
%a+e
Di+i!i&n !%a## /e $a,e PER STIRPES.
:ac!a% Si!ai$n
Di.isi$n
I6 a## t%e *%i#,ren are ,i!2-a#i6ie,
A## (ran,*%i#,ren !ti## in%erit er sires
I6 a## t%e /r&t%er!
Ne0%e7! an, nie*e!
!i!ter! ,i!2-a#i6ie,
in%erit er caia
are
THE SUCCESSIONAL BARRIER •
An i##e(iti$ate *%i#, %a! n& ri(%t t& in%erit ab intestato 6r&$ t%e #e(iti$ate
*%i#,ren an, re#ati+e! &6 %i! 6at%er &r $&t%er" n&r !%a## !-*% *%i#,ren &r re#ati+e! in%erit in t%e !a$e $anner 6r&$ t%e i##e(iti$ate *%i#,. Art 66)* •
T%e Barrier r-#e &n# a00#ie! i6 t%ere i! a #e(iti$ate an, i##e(iti$ate re#ati&n. E6am%e: A i! t%e #e(iti$ate !&n &6 B. C i! t%e i##e(iti$ate !&n &6 A. C *ann&t in%er it 6r&$ B i6 A 0re,e*ea!e!) &r /e*&$e! in*a0a*itate, &r /e ,i!in%erite, / B.
E::ECTS O: REPUDIATION 5. B re0re!entati+e ri(%t &6 re0re!entati&n i! 0re!ent Example: A *%i#, 7%& re0-,iate! %i! in%eritan*e 7%en %i! 6at%er ,ie, $a !ti## re0re!ent t%e #atter 7%en %i! (ran,6at%er ,ie!. 8. B %eir n& ri(%t &6 re0re!entati&n
ORDER O: INTESTATE SUCCESSION INTESTATE HEIRS8 T%&!e 7%& are *a##e, / #a7 t& t%e !-**e!!i&n eit%er in t%e a/!en*e &6 a 7i## &r &6 2-a#i6ie, %eir!) an, 7%& are ,ee$e, *a##e, /a!e, &n t%e 0re!-$e, 7i## &6 t%e ,e*e,ent. RE3ULAR ORDER O: SUCCESSION 5. Le(iti$ate C%i#,renDe!*en,ant! 8. I##e(iti$ate C%i#,renDe!*en,ant! =. Le(iti$ate Parent! A!*en,ant! @.
I##e(iti$ate Parent!
4. S-r+i+in( S0&-!e 4. Br&t%er!) Si!ter!) Ne0%e7!) Nie*e! . Ot%er C&##atera#! t& t%e 4t% ,e(ree >. State
NOTE8 De*e,ent i! a #e(iti$ate 0er!&n ORDER O: SUCCESSION ?I6 ,e!*en,ent i! a #e(iti$ate 0er!&n 5. Le(iti$ate C%i#,renDe!*en,ant! 8. I##e(iti$ate C%i#,renDe!*en,ant! =. I##e(iti$ate Parent! @. S-r+i+in( S0&-!e 4. Br&t%er!) Si!ter!) Ne0%e7!) Nie*e!
. State
RULES O: EFCLUSION AND CONCURRENCE Inesae Heir
E FCLUDES
CONCURS WITH ELC?E =F
Le(iti$ate *%i#,ren an, Le(iti$ate ,e!*en,ant!
A!*en,ant!) *&##atera#! an, !tate
N& &ne
I##e(iti$ate *%i#,ren an, De!*en,ant!
I##e(iti$ate 0arent!) *&##atera#!
N& &ne
S-r+i+in( !0&-!e I##e(iti$ate *%i#,ren S-r+i+in( !0&-!e Le(iti$ate
an, !tate
*%i#,ren an, #e(iti$ate 0arent!
Le(iti$ate 0arent! an, #e(iti$ate a!*en,ant!
C&##atera#! an, !tate
Le(iti$ate *%i#,ren
I##e(iti$ate *%i#,ren an, !-r+i+in( !0&-!e
I##e(iti$ate 0a rent!
C&##atera#! an, !tate
Le(iti$ate *%i#,ren an, i##e(iti$ate *%i#,ren
S-r+i+in( !0&-!e
S-r+i+in( !0&-!e
C&##atera#! &t%er t%an !i/#in(!) ne0%e7! an, nie*e!
N& &ne
Le(iti$ate *%i#,ren I##e(iti$ate *%i#,ren Le(iti$ate 0arent! an, I##e(iti$ate 0arent!
Si/#in(!) ne0%e7! nie*e!
A## &t%er *&##atera#! an, !tate
Le(iti$ate *%i#,ren) i##e(iti$ate *%i#,ren)
S-r+i+in( !0&-!e
Le(iti$ate 0arent! an, i##e(iti$ate 0arent! Ot%er *&##atera#! 7it%in 4t% ,e(ree
C&##atera# re$&ter in ,e(ree an, !tate
Le(iti$ate *%i#,ren I##e(iti$ate *%i#,ren Le(iti$ate 0arent! I##e(iti$ate
C&##atera#! in t%e !a$e ,e(ree
0arent! an, S-r+i+in( !0&-!e State
N&&ne
E+er&ne
N&&ne
SUMMAR, O: INTESTATE SHARES HEIR LE3ITIMATE CHILDREN
LE3ITIME
:REEPORTION
TOTAL
=12;
=12;
100
=12;
=12;
100
DESCENDANTS LE3IMITATE PARENTS ASCENDANTS 1 =ONE; LE3ITIMATE CHILDRENDESCENDANT SURVIVIN3 SPOUSE LE3ITIMATE CHILDREN =LC; SPOUSE
LE3ITIMATE CHILDREN =LC; ILLE3ITIMATE CHILDREN =ILC;
LE3ITIMATE PARENTSASCENDANT SURVIVIN3 SPOUSE
CHILDREN12 SPOUSE >1)
SPOUSE >1)
CHILDREN 12
LC > 12 ILC 12 O: SHARE O: 1 =ONE; LC
WHAT REMAINS =I: AN,;
LE3ITIMATE PARENTSASCEN DANT 12
LE3ITIMATE PARENTSASCEN DANTS 12
SPOUSE > 12 ENTIRE ESTATE IS DIVIDED EUALL, BETWEEN TOTAL NUMBER O: CHILDREN SPOUSE
SPOUSE EUAL TO SHARE O: 1 =ONE; LC
SPOUSE 1) LE3IMITATE PARENTSASCENDANTS ILLE3IMTATE CHILDREN
CHILDREN 12
WHOLE ESTATE DIVIDED B, THE RATIO O: 281 :OR EACH LE3ITIMATE CHILD AS COMPARED TO THE ILLE3ITIMATE CHILD PARENT 12
SPOUSE >1)
SPOUSE > 12 PARENTS > 12
ILLE3IMITATE CHILDREN 1) ILLE3ITIMATE CHILDREN SURVIVIN3 SPOUSE
ILC1(
ILLE3ITIMATE CHILDREN > 1) ILC>1+
SPOUSE 1( LE3IMIATE CHILDRENDESCENDANTS5 SURVIVIN3 SPOUSE ILLE3ITIMATE CHILDREN
SPOUSE 5
LC 12 SPOUSE EUAL TO 1 =ONE; LC
SPOUSE 58
281 :OR EACH LE3ITIMATE CHILD AS COMPARED TO THE ILLE3ITIMATE CHILD
LE3IMIATE PARENTSASCEN DANTS 12 SPOUSE 1
ILC>12
WHOLE ESTATE DIVIDED B, THE RATIO O:
ILC 12 O: SHARE O: ONE =1; LC
LE3ITIMATE PARENTSASCENDANTS5 SURVIVIN3 SPOUSE5 ILLE3ITIMATE CHILDREN
ILC > 12
LE3ITIMATE PARENTS > 12 SPOUSE > 1) ILC > 1) SPOUSE > 1
ILC 1) SURVIVIN3 SPOUSE
3ENERA LL,
=12;
=12;
100
ARTICUL O MORTIS
=1(;
=2(;
100
ILLE3ITIMATECHILDRENONL,
=12;
ILLE3ITIMATEPARENTS ILLE3ITIMATE PARENTS SURVIVIN3 SPOUSE
=12; ILLE3ITIMATE PARENTS 1) SPOUSE 1)
SIBLIN3S5 NEPHEWS NIECE
=12;
?58
=12; ILLE3ITIMATE PARENTS > 1) SPOUSE > 1)
?58
100 100 ILLE3IMITATE PARENTS > 12 SPOUSE > 12
5
SPOUSE 12 NEPHEWSSIB LIN3S 12 SURVIVIN3 SPOUSE5 SIBLIN3S5
SPOUSE =12;
NEPHEWSSIBLIN3S =12;
NEPHEWS NIECES
WHEN DECEDENT HAS NO HEIRS 1Assi'nmena nd Dis$sii$n $& Asses a. i6 ,e*e,ent i! a re!i,ent &6 t%e P%i#i00ine! at an ti$e i. Per!&na# 0r&0ert t& t%e $-ni*i0a#it &6 #a!t re!i,en*e ii. Rea# 0r&0ert 7%ere !it-ate, /. I6 ,e*e,ent 7a! ne+er a re!i,ent &6 t%e P%i#i00ine! Per!&na# an, rea# 0r&0ert 7%ere re!0e*t6-## !it-ate,
9. A ren&-n*er *an re0re!ent) /-t *an n&t /e re0re!ente, . A 0er!&n 7%& *ann&t re0re!ent a near re#ati+e *ann&t a#!& re0re!ent a re#ati+e 6at%er in ,e(ree.
2- $ #e Used H $/ Pr$er" is a. F&r t%e /ene6it &6 0-/#i* e,-*ati&na# an, *%arita/#e in!tit-ti&n! in t%e re!0e*ti+e $-ni*i0a#itie!*itie! /. A#ternati+e#) a t t %e i n!tan*e & 6 an intere!te, 0art) &r motu proprio) t%e *&-rt $a &r,er t%e 0er$anent tr-!t 6&r t%e /ene6it &6 t%e in!tit-ti&n! *&n*erne,
,i!0&!a/#e #e(iti$e!. 6ree 0&rti&n /-t ne+er t%e 8. I6 a$&n( t%e *&n*-rrin( inte!tate %eir! t%ere are *&$0-#!&r %eir!) 7%&!e #e(a# &r inte!tate 0&rti&n! e*ee, t%eir re!0e*ti+e #e(it$e!) t%en t%e a$&-nt &6 t%e te!ta$entar ,i!0&!iti&n $-!t /e ,e,-*te, 6r&$ t%e ,i!0&!a/#e 6ree 0&rti&n) t& /e /&rne / a## t%e inte!tate %eir! in t%e 0r&0&rti&n! t%at t%e are entit#e, t& re*ei+e 6r&$ !-*% ,i!0&!a/#e 6ree 0&rti&n a! inte!tate %eir!. =. I6 t%e inte!tate !%are &6 a *& $0-#!&r %eir i! e2-a# t& %i! #e(iti$e) t%en t%e a$&-nt &6 t%e te!ta$entar ,i!0&!iti&n $-!t /e ,e,-*te, &n# 6r&$ t%e inte!tate !%are! &6 t%e &t%er!) in t%e 0r&0&rti&n! !tate, a/&+e. @. I6 t%e te!ta$entar ,i!0&!iti&n! *&n!-$e t%e entire ,i!0&!a/#e 6ree 0&rti&n) t%en t%e inte!tate %eir! 7%& are *&$0-#!&r %eir! 7i## (et &n# t%eir #e(iti$e) an, t%&!e 7%& are
CARDINAL PRINCIPLES O: INTESTATE SUCCESSION ?B J-!ti*e Para! 5. E+en i6 t%ere i! an &r,er &6 inte!tate !-**e!!i&n) t%e *&$0-#!&r %eir! are ne+er e*#-,e,. T%e Ci+i# C&,e 6&##&7! t%e *&n*-rren*e t%e&r) n&t t%e e*#-!i&n t%e&r. 8. Ri(%t &6 Re0r e!entati&n in t%e *&## atera# #ine &**-r! &n# in inte!tate !-**e!!i&n) ne+er in te!ta$entar !-**e!!i&n /e*a-!e a
=. @.
4.
.
>.
+&#-ntar *ann&t ?*&##atera# %eir re#ati+e! are /e n&t re0re!ente, *&$0-#!&r %eir! T%e inte!tate !%are! are eit %er e2-a# t& &r (reater t%an t%e #e(iti$e. 8eneral 1ule: Gran, C%i#,ren a#7a! in%erit / Ri(%t &6 Re0re!entati&n) 0r&+i,e, re0re!entati&n i! 0r&0er. Exception: ;%ene+er a## t%e *%i#,ren re0-,iate) t%e (ran,*%i#,ren in%erit in t%eir &7n ri(%t /e*a-!e Ri(%t &6 Re0re!entati&n 7&-#, n&t /e 0r&0er Ne0%e7! an, nie*e! in%erit eit%er / Ri(%t &6 Re0re!entati&n &r in t%eir O7n Ri(%t a. Ri(%t &6 Re0re!entati&n 7%en t%e *&n*-r 7it% a-nt! an, -n*#e! ?0r&+i,e, t%at Ri(%t &6 Re0re!entati&n i! 0r&0er /. O7n Ri(%t: 7%en t%e ,& n&t *&n*-r 7it% a-nt! an, -n*#e! I##e(iti$ate C%i#,ren an, De!*en,ant! &6 #e(iti$ate! *ann&t re0re!ent /e*a-!e &6 t%e /arrier) /-t /&t% t%e I##e(iti$ate an, Le(iti$ate C%i#,ren an, De!*en,ant! &6 I##e(iti$ate! *an. T%ere *an /e re!er+a tr&n*a# in inte!tate !-**e!!i&n
MIFED SUCCESSION OR PARTIAL INTESTAC, Mi6ed S!ccessi$n: S-**e!!i&n t%at i! e66e*te, 0art# / 7i## an, 0art# / &0erati&n &6 #a7. R!%es8 5. T%e #a7 &6 #e(iti$e! $-!t /e /r &-(%t int& &0erati&n in 0artia# inte!ta* /e*a-!e t%e te!ta$entar ,i!0&!iti&n! *an a66e*t &n# t%e
n&t *&$0-#!&r %eir! 7i## (et n&t%in(. =================================
TOPICS UNDER THE S,LLABUS IV- Pr$.isi$ns C$mm$n $ Tesae and Inesae S!ccessi$n =Ars- 101*> 110*; A- Ri' $& accrei$n =Ars- 101*> 102(; =1; De&inii$n and re@!isies =Ars101*>101+; B- Caaci" $ s!cceed #" /i%% $r inesac" =Ars- 102)>10)0; =1; Pers$ns incaa#%e $& s!cceedin' =Ars- 102?5 ?(95 10(2; =2; Un/$riness .sDisineriance C- Acceance and re!diai$n $& e ineriance =Ars- 10)1>10*?; D- C$%%ai$n =Ars- 90>9105 10+1> 10+2; E- Parii$n and disri#!i$n $&
esae =Ars- 10?>110*; =1; Parii$n =Ars- 10?95 100; =2; Parii$n iner .i.$s =(; E&&ecs $& arii$n =Ars- 10915 109?5 11005 110)>110*; =================================
IV- PROVISIONS COMMON TO TESTATE AND INTESTATE SUCCESSION RI3HT TO ACCRETION8 ;%en t7& &r $&re 0er!&n! are *a##e, t& t%e !a$e in%eritan*e) ,e+i!ee) &r #e(a*) t%e 0art a!!i(ne, t& &ne 7%& ren&-n*e &r *ann&t re*ei+e %i! !%are &r 7%& ,ie, /e6&re t%e te!tat&r) i! a,,e, &r in*&r0&rate, t& t%at &6 %i! *&%eir!) *& ,e+i!ee!) &r *&#e(atee! 1- In Tesamenar" S!ccessi$n a. Pre,e*ea!e /. In*a0a*it *. Re0-,iati&n ,. N&n6-#6i##$ent &6 !-!0en!i+e *&n,iti&n i$0&!e, -0&n in!tit-te, %eir e. Ine66e*ti+e te!ta$entar ,i!0&!iti&n 2- In Inesae S!ccessi$n a. Pre,e*ea!e &6 a #e( a# %eir ?&n# 7%en re0re!entati&n ,&e! n&t a00# /. In*a0a*it &6 #e(a# %eir ?&n# 7%en re0re!entati&n ,&e! n&t a00# *. Re0-,iati&n / a # e(a# %eir ELEMENTS O: ACCRETION IN TESTAMENTAR, SUCCESSION 5. T7& &r $&re 0er!&n! are *a##e, t& t%e !a$e in%eritan*e) &r t& t%e !a$e 0&rti&n t%ere&6) 0r& in,i+i!& ?ali;uot share a. In *a!e! &6 #e( a* &r ,e+ i!e) a! #& n( a! t%ere i! n& !0e*i6i* ,e!i(nati&n &6 t%e !0e*i6i* !%are &6 ea*% #e(a* &r ,e+i!e. /. N&t ne*e!!ari# e2-a#. *. On*e a *er tain !0e*i6i* 0art &6 t% e 6ree 0&rti&n %a! a#rea, /een !0e*i6i*a## ear$ar1e,) t%ere i! n& a**reti&n an, t%ere i! n& e0re!! 0r&+i!i&n &n a**reti&n. ,. B-t) it i! &1 a t& ea r$ar1 0ar t! &6 t% e 6ree 0&rti&n a! #&n( a! n& !0e*i6i* 0r&0ert %a! /een ,e!i(nate,. NOTE8 T%e %eir t& 7%&$ t%e 0&rti&n (&e! / t%e ri(%t &6 a**reti&n ta1e! it in t%e !a$e 0r&0&rti&n t%at t%e in%erit 8. Ren-n*iati&n) 0re,e*ea!e &r in*a0a*it &6 &ne ?&r $&re /-t #e!! t%an a## &6 t%e
in!tit-te, %eir! t%at re!-#t t& a +a*an* in t%e in%eritan*e) #e(a* &r ,e+i!e.
:UNDAMENTAL PRINCIPLES IN ACCRETION 5. A**reti&n in te !tate !-**e!!i&n &n# ta1 e! 0#a*e in t%e 6ree 0&rti&n. N& a**reti&n in t%e #e(iti$e /e*a-!e 7%en t%e *&$0-#!&r %eir re0-,iate! %i! #e(iti$e) t%e &t%er *& *&$0-#!&r %eir in%erit! t%e re0-,iate, !%are in t%eir &7n ri(%t an, n&t t%r&-(% a**reti&n. I6 t%e *a-!e &6 t%e +a*an* i! PID) re0re!entati&n 7i## &**-r. 8. A**reti&n a#!& ta1e! 0#a*e in *a!e! &6 ,e+i!ee! an, #e(atee! an, -!-6r-*t-arie! -n,er %eir!. t%e !a$e *&n,iti&n! e!ta/#i!%e, 6&r =. A**reti&n i! !-/&r,inate t& !-/!tit-ti&n) /e*a-!e !-/!tit-te! are in!tit-te, / t%e te!tat&r" %en*e) e0re!! 7i## 0re+ai#! &+er 0re!-$e, 7i##. NOTE8 i6 t%ere i! neit%er a**reti&n n&r !-/!tit-ti&n in te!ta$entar !-**e!!i&n) t%e 0art #e6t +a*ant 7i## #a0!e int& te!ta* @. T%e &ne t%at t%e %ei r (et! 6r&$ a**reti&n *an /e ren&-n*e, !e0arate 6r&$ t%e in%eritan*e attri/-te, t& t%e %eir 7%& 7i## ren&-n*e, t%e a**r-e, in%eritan*e.
SUMMAR,8 I. In te!ta$entar !-**e!!i&n: 5. Le(iti$e: • In *a!e &6 0re,e*ea!e &6 an %eir) t%ere i! re0re!entati&n i6 t%ere are *%i#,ren &r ,e!*en,ant!" i6 n&ne) t%e &t%er! in t%eir &7n ri(%t!. In *a!ein%erit &6 in*a0a*it) re!-#t! are t%e !a$e a! in 0re,e*ea!e. • In *a!e &6 ,i!in%eritan*e) re!-#t! are t%e !a$e a! in 0re,e*ea!e. • In *a!e &6 re0-,iati&n / an %eir) t%e &t%er! in%erit in t%eir &7n ri(%t!. 8. Di!0&!a/#e 6ree 0&rti&n: • A**reti&n ta1e! 0#a*e 7%en re2-i!ite! are 0re!ent) /-t i6 !-*% re2-i!ite! are n&t 0re!ent) t%e &t%er! in%erit in t%eir &7n ri(%t. •
II. In inte!tate !-**e!!i&n: • In *a!e &6 0re,e*ea!e) t%ere i! re0re!entati&n i6 t%ere are *%i#,ren &r ,e!*en,ant!" i6 n&ne) t%e &t%er! in%erit in t%eir &7n ri(%t!. • In *a!e &6 in*a0a*it) re!-#t! are t%e !a$e a! in 0re,e*ea!e. • In *a!e &6 re0-,iati&n) t%ere i! a#7a! a**reti&n.
CAPACIT, TO SUCCEED T%e 6&##&7in( are *a0a/#e &6 !-**ee,in(: 1- Na!ra% Pe rs$ns
a.
Genera# R-#e $-!t /e ?5 #i+in( 7%en !-**e!!i&n &0en!) an, ?8 n&t in*a0a*itate, &r ,i!2-a#i6ie, / #a7 t& !-**ee,. NOTE8 It i! en&-(% t%at t%e %eir) ,e+i!ee &r #e(atee /e a#rea, *&n*ei+e, in a**&r,an*e 7it% Art! @ an, @5) t& /e *&n!i,ere, #i+in(. /. I6 in!tit-ti&n !-/e*t t& a !-!0en!i+e *&n,iti&n !-**e!!&r $-!t /e #i+in( /&t% 7%en deceden dies an, 7%en t%e c$ndii$n aens *. I6 in!tit-ti&n !-/e*t t& a !-!0en!i+e ter$ $-!t /e a#i+e &n# at
in*a0a*itate, i! a *&$0-#!&r %eir) it ,&e! n&t a66e*t t%e #e(iti$e /-t &n# t%e 6ree 0&rti&n. 2.
t%e $&$ent ,eat%) !-**e!!&r nee, &6 n&t ,e*e,entK! /e a#i+e 7%en t%e ter$ arri+e!.
7i6e) rea!&n,e!*en,ant! &6 %i! &66i*e. an, a!*en,ant!) /
NOTE8 P&!!i/#e &n# in te!ta$entar !-**e!!i&n. T%ere6&re) i6 t%e &ne in*a0a*itate, i! a *&$0-#!&r %eir) it ,&e! n&t a66e*t t%e #e(iti$e /-t &n# t%e 6ree 0&rti&n.
2- !ridica% Pers$ns Or(aniati&n! &r a!!&*iati&n! 7%i*% 0&!!e!! -ri,i*a# 0er!&na#it
WHO ARE INCAPABLE O: SUCCEEDIN3 A- ABSOLUTE INC APACIT, 5. T%&!e n&t #i+in( at t%e ti$e &6 ,eat% e*e0t Art!. 58) 58>) an, 5= 8. T%&!e 7%& *ann&t /e i,enti6ie, -n*ertain 0er!&n! ?Art. 9@4 =. T%&!e 7%& are n&t 0er$itte, / #a7 t& in%erit ?Art. 58>
T%&!e r$i#ied !nder Ar ?(9 6r&$ (i+in( an, re*ei+in( ,&nati&n 6r&$ ea*% &t%er /a!e, &n M&ra#it &r P-/#i* P&#i* a. T%&!e $a,e /e t7een 0er! &n! 7%& 7er e (-i#t &6 a,-#ter &r *&n*-/ina(e at t%e ti$e &6 t%e ,&nati&n" /. T%&!e $a,e /et7een 0er!&n! 6&-n, (-i#t &6 t%e !a$e *ri$ina# &66en!e) in *&n!i,erati&n t%ere&6" *. T%&!e $a ,e t& a 0-/#i* &66i*er &r %i !
B- RELATIVE INC APACIT, 1. T%&!e Pr&%i/ite, -n,er Ar 102? ,-e t& Un,-e In6#-en*e &r Intere!t
T%e 6&##&7in( are in*a0a/#e &6 !-**ee,in( / rea!&n &6 !n/$riness8 a. Parent! 7%& %a+e a/an,&ne, t%eir *%i#,ren &r in,-*e, t%eir ,a-(%ter! t& #ea, a *&rr-0t &r i$$&ra# #i6e) &r atte$0te, a(ain!t t%eir +irt-e" /. An 0er!&n 7%& %a ! /een *&n+i*te, &6 an atte$0t a(ain!t t%e #i6e &6 t%e te!tat&r) %i! &r %er !0&-!e) ,e!*en,ant!) &r a!*en,ant!" *. An 0er!&n 7%& %a! a**-!e, t%e te!tat&r
a. Prie!t %ear,%i!t%e#a!t *&n6e!!i&n &6 t%e te!tat&r7%& ,-rin( i##ne!!) &r t%e $ini!ter &6 t%e (&!0e# 7%& eten,e, !0irit-a# ai, t& %i$ ,-rin( t%e !a$e 0eri&, /. Re#ati+e! &6 !-* % 0rie!t &r $in i!ter &6 t%e (&!0e# 7it%in t%e @ t% ,e(ree) t%e *%-r*%) &r,er) *%a0ter) *&$$-nit) &r(aniati&n) &r in!tit-ti&n t& 7%i*% !-*% 0rie!t &r $ini!ter $a /e#&n( *. G-ar,ian 7it% re!0e*t t& te!ta$entar ,i!0&!iti&n! (i+en / a 7ar, in %i! 6a+& r /e6&re t%e 6ina# a**&-nt! &6 t%e (-ar,ian!%i0 %a+e /een a00r&+e,) e+en i6 t%e te!tat&r !%&-#, ,ie a6ter t%e a00r&+a# t%ere&6" EFCEPT i6 t%e (-ar ,ian i! %i! a!*e n,ant) ,e!*en,ant) /r&t%er) !i!ter) &r !0&-!e ,. Atte!tin( 7itne!! t& ee *-ti&n &6 7i## ) t%eir !0&-!e!) 0arent!) *%i#,ren &r an &ne *#ai$in( -n,er !-*% 7itne!!) !0&-!e) 0arent! &r *%i#,ren
&6 a *ri$e 6&r 7%i*% #a7 &r 0re!*ri/e! i$0ri!&n$ent 6&r !it%e ear! $&re) i6 t%e a**-!ati&n %a! /een 6&-n, (r&-n,#e!!" ,. An %eir &6 6-## a(e 7%&) %a+in( 1n&7#e,(e &6 t%e +i&#ent ,eat% &6 t%e te!tat&r) !%&-#, 6ai# t& re0&rt it t& an &66i*er &6 t%e #a7 7it%in a $&nt%) -n#e!! t%e a-t%&ritie! %a+e a#rea, ta1en a*ti&n" t%i! 0r&%i/iti&n !%a## n&t a00# t& *a!e! 7%erein) a**&r,in( t& #a7) t%ere i! n& &/#i(ati&n t& $a1e an a**-!ati&n" e. An 0er!&n *&n+i*te, &6 a,-#ter &r *&n*-/ina(e 7it% t%e !0&-!e &6 t%e te!tat&r" 6. An 0er!&n 7%& / 6ra-,) +i&#en*e) inti$i,ati&n) &r -n,-e in6#-en*e !%&-#, *a-!e t%e te!tat&r t& $a1e a 7i## &r t& *%an(e &ne a#rea, $a,e" (. An 0er!&n 7%& / t%e !a$e $ean!
e. P%!i*ian) !-r(e&n) n-r!e) %ea#t% &66i*er &r ,r-((i!t 7%& t&&1 *are &6 t%e te!tat&r ,-rin( %i! #a!t i##ne!! 6. In,i+i,-a#!) a!!&*iati&n!) an, *&r0&rati&n! n&t 0er$itte, / #a7 t& in%erit NOTE8 P&!!i/#e &n# in te!ta$entar !-**e!!i&n. T%ere6&re) i6 t%e &ne
0re+ent! an&t%er $a1in( a 7i##) &r 6r&$ re+&1in( &ne6r&$ a#rea, $a,e) &r 7%& !-00#ant!) *&n*ea#!) &r a#ter! t%e #atter! 7i##" %. An 0er!&n 7%& 6a#!i6ie! &r 6&r(e! a !-00&!e, 7i## &6 t%e ,e*e,ent. ?>4) >=) >@a
3.
NOTE: T%e *a-!e &6 -n7&rt%ine!! !%a## /e 7it%&-t e66e*t i6 t%e te!tat&r %a, 1n&7#e,(e t%ere&6 at t%e ti$e %e $a,e t%e 7i##) &r i6) %a+in( 1n&7n &6 t%e$ !-/!e2-ent#) %e !%&-#, *&n,&ne t%e$ in 7ritin(. T%i! i! a00#i*a/#e t& /&t% te!ta$entar an, #e(a# !-**e!!i&n. It i! t&ta# in t%e !en!e t%at it eten,! n&t &n# t& t%e 6ree 0&rti&n /-t a#!& t& t%e #e(iti$e. 4.
@. A te!ta$entar 0r&+i!i&n in 6a+&r &6 a ,i!2-a#i6ie, 0er!&n) e+en t%&-(% $a,e -n,er t%e (-i!e &6 an &ner&-! *&ntra*t) &r $a,e t%r&-(% an inter$e,iar) !%a## /e +&i,. ?Art. >44
MANNER O: ACCEPTANCE O: INHERITANCE 5. E6ress a. P-/#i* D&*-$ent /. Pri+ate ;ritin(
B Oerai$n $& La/ T%e $&$ent t%e te!tat&r -!e! &ne &6 t%e a*t! &6 -n7&rt%ine!! a! a *a-!e 6&r ,i!in%eritan*e) %e t%ere/
8. Taci Acceance &ne re!-#tin( 6r&$ a*t! / 7%i*% t%e intenti&n t& a**e0t i! ne*e!!ari# i$0#ie, &r 7%i*% &ne 7&-#, %a+e
!-/$it! itre*&n*i#iati&n t& t%e r-#e! &n ren,er! ,i!in%eritan*e. T%-!) t%e ,i!in%eritan*e ine66e*ti+e.
n& ri(%t t& /e ,& 0re!-$e, e*e0t in t%e &6 an&6 %eir. It *an 6r&$*a0a*it *ertain a*t! t%e %eir !-*% a!: a. ;%en %ei r !e##!) ,&n ate!) &r a!!i(n! %i! ri(%t. /. ;%en %eir ren&-n*e! it 6&r t%e /ene6it &6 &ne &r $&re %eir!. *. ;%en ren-n*iati&n i! in 6a+&r &6 a## %eir! in,i!*ri$inate# 6&r *&n!i,erati&n ,. Ot%er a*t! &6 ta*it a**e0tan*e: i. Heir ,e$an,! 0artiti&n &6 t %e in%eritan*e ii. Heir a#ienate! !&$e & /e*t! & 6 t%e in%eritan*e iii. Un,er Arti*#e 54>) 6ai#-re t& !i(ni6 a**e0tan*e &r re0-,iati&n 7it%in = ,a! a6ter an &r,er &6 ,i!tri/-ti&n / t%e 0r&/ate *&-rt.
PARDON O: ACTS O: UNWORTHINESS EFPRESS IMPLIED Ma,e / t%e ee*-ti&n E66e*te, 7%en te!tat&r &6 a ,&*-$ent &r an $a1e! a 7i## in!tit-tin( 7ritin( in 7%i*% t%e t%e -n7&rt% %eir 7it% ,e!*en,ent *&n,&ne! 1n&7#e,(e &6 t%e t%e *a-!e &6 in*a0a*it *a-!e &6 in*a0a*it Cann&t /e re+&1e, Re+&1e, 7%en t%e te!tat&r re+&1e! t%e 7i## &r t%e in!tit-ti&n
TIME TO DETERMINE THE CAPACIT, 3ENERAL RULE8 at t%e $&$ent &6 t%e ,eat% &6 t%e ,e!*e,ent. EFCEPTION8 a. T%&!e ,i!2-a#i6ie, -n,er Art. 5=8 ?8)=)4 7%erein it i! ne*e!!ar t& 7ait -nti# 6ina# -,($ent i! ren,ere, /. T%&!e ,i!2-a#i6ie, -n,er Art.5=8 ?@ 7%erein it i! ne*e!!ar t& 7ait 6&r t%e e0irati&n 6&r t%e $&nt% a##&7e, 6&r re0&rt *. I6 t%e in!tit-ti&n &6 t%e %eir!) #e(a* &r ,e+i!e i! *&n,iti&na#) t%e ti$e &6 *&$0#ian*e 7it% t%e *&n,iti&n !%a## /e *&n!i,ere,. NOTE8 T%e a*ti&n 6&r a ,e*#arati&n &6 in*a0a*it an, re*&+er &6 t%e in%eritan*e) ,e+i!e &r #e(a* !%a## /e 4 ear! 6r&$ t%e ti$e t%e ,i!2-a#i6ie, 0er!&n t&&1 0&!!e!!i&n t%ere&6. ADDITIONAL NOTES 5. T%e *a0a*it t& !-**ee, i! (&+erne, / t%e #a7 &6 t%e nati&n &6 t%e ,e*e,ent. 8. Per!&n! n&t in*a0a*itate, / #a7 $a !-**ee, / 7i## &r a/ intestato. =. I6 t%e %eir e*#-,e, 6r&$ t%e in%eritan*e / rea!&n &6 in*a0a*it i! a *&$0-#!&r %eir) an, i6 !-*% *&$0-#!&r %eir %a! *%i#,ren &r ,e!*en,ant) t%e #atter !%a## a*2-ire t%e in*a0a*itate, %eirK! ri(%t t& t%e #e(iti$e ?/ re0re!entati&n..
CHARACTERISTICS O: REPUDIATION 5. an, V&#-ntar 8. Free Irre+&*a/#e &n*e A*t $a,e an, *ann&t /e i$0-(ne,) e*e0t in *a!e! +itiatin( *&n!ent. =. Retr&a*ti+e
REUISITES :OR A VALID REPUDIATION 3eir repudiating must be certain of two things before repudiating: a. Deat% &6 t%e 0er!&n 6r&$ 7%&$ %e i! t& in%erit" /. Ri(%t t& t%e in%eritan*e. •
W$ ma" acce $r re!diae X An 0er!&n %a+in( t%e 6ree ,i!0&!a# &6 %i! 0r&0ert UNLESS %e i! in*a0a*itate, !-*% a! 7%en %e i! a $in&r) ,ea6$-te 7%& *ann&t rea, an, 7rite) -,i*ia## ,e*#are, in!&#+ent) -n,er *i+i# inter,i*ti&n) in 7%i*% *a!e! %i! '!ardian $r reresenai.e !%a## /e t%e &ne t& a**e0t &ri!re0-,iate. H&7e+er) -,i*ia# a-t%&riati&n ne*e!!ar in *a!e &6 re0-,iati&n.
I& e #ene&iciar" aens $ #e e POOR8 a. A**e0tan*e 0er!&n ,e!i(nate, / t%e te!tat&r t& ,eter$ine t%e /ene6i*iarie! an,
t& ,i!tri/-te t%e 0r&0ert. In ,e6a-#t t%ere&6) t%e ee*-t&r. /. Re0-,iati&n /ene6i*iarie! t%e$!e#+e! &n*e t%e are ,eter$ine,
I& e #ene&iciar" aens $ #e a CORPORATION5 ASSOCIATION5 INSTITUTION5 OR ENTIT,8 a. A**e0tan*e #e(a# re0re!entati+e /. Re0-,iati&n #e(a# re0re!entati+e 7it% -,i*ia# a-t%&riati&n I& e #ene&iciar" aens $ #e a MARRIED WOMAN8 !%e $a eit%er a**e0t &r re0-,iate *&n!ent t%e in%eritan*e 7it%&-t %er %-!/an,K! is re!diai$n made X • H $/ T%e re0-,iati&n &6 t%e in%eritan*e !%a## /e $a,e in: a. a !#%ic d$c!men > a*1n&7#e,(e, /e6&re a n&tar 0-/#i*) &r /. a!enic insr!men e2-i+a#ent t& an in,-/ita/#e 7ritin( &r a 7ritin( 7%&!e a-t%enti*it i! a,$itte, &r 0r&+e,) &r *. / a eii$n 0re!ente, t& t%e *&-rt %a+in( -ri!,i*ti&n &+er t%e te!ta$entar &r inte!tate 0r&*ee,in(!.
RATIO8 T%e #a7 *&n!i,er! t%at t%e a*t &6 re0-,iati&n i! $&re !&#e$n t%at t%e a*t &6 a**e0tan*e an, t%at re0-,iati&n 0r&,-*e! $&re +i&#ent an, ,i!t-r/in( *&n!e2-en*e!. •
•
I6 t%e %eir re0-,iate! t%e in%eritan*e t& t%e 0re-,i*e &6 %i! &7n *re,it&r!) t%e #atter 0etiti&n t%e *&-rt t& a-t%&rie t%e$$a t& a**e0t it in t%e na$e &6 t%e %eir. I6 an %eir i! /&t% a te!tate an, #e(a# %eir) re0-,iati&n &6 t%e in%eritan*e a! a te!tate %eir) %e i! -n,er!t&&, t& %a+e re0-,iate, in /&t% *a0a*itie!. H&7e+er) !%&-#, %e re0-,iate a! a #e(a# %eir) 7it%&-t 1n&7#e,(e &6 /ein( a te!tate %eir) %e $a !ti## a**e0t t%e in%eritan*e a! a #e(a# %eir.
NOTES8 I6 ren&-n*e, in 6a+&r &6 &t%er %eir!) ,&e! it $ean a**e0tan*eX It ,e0en,!: I& seci&ic eir 7%et%er &r n&t a. ren&-n*in( %eir re*ei+e! ant%in() *&n!i,ere, a! a**e0tan*e &n t%e 0art &6 t%e %eir. T%ere are t7& tran!6er!. I& 'ra!i$!s /. i. In 6a+&r &6 a## %i! *& %eir! in,i!*ri$inate# t%ere i! re0-,iati&n
ii.
/e*a-!e %eir ,ee$e, t& %a+e n&t a**e0te,. Hen*e) a**reti&n ta1e! 0#a*e. In 6a+&r &6 a## *&%eir! /-t in 0r&0&rti&n ,i66erent 6r&$ t%&!e t%e
iii.
*. • • •
7&-#, re*ei+e / a**reti&n: *&n!i,ere, a! ta*it a**e0tan*e. I6 (rat-it&-! in 6a+&r &6 &ne &r !&$e &6 %i! *&%eir! ,ee$e, *&n+ean*e in 6a+&r &6 t%e *&%eir! !0e*i6ie,) %en*e t%ere i! a**e0tan*e. I& $ner$!s%": T%ere i! n& re0-,iati&n Tran!6er *&n!i,ere, t& /e 7it% *&n!i,erati&n T%ere are a#!& ta i$0#i*ati&n! /e*a-!e t%ere are t7& tran!6er!.
E::ECTS O: ACCEPTANCE AND REPUDIATION 3enera% R!%e8 irre+&*a/#e E6cei$n8 5. i6 $a,e t%r&-(% an &6 t% e *a-!e! t%at +itiate! *&n!ent ?$i!ta1e) +i&#en*e) inti$i,ati&n) -n,-e in6#-en*e an, 6ra-, 8. 7%en an -n1n&7n 7i## a00ear! COLLATION8 t%e a*t / +irt-e &6 7%i*%) t%e 0er!&n! 7%& *&n*-r in t%e in%eritan*e /rin( /a*1 t& t%e *&$$&n %ere,itar $a!! t%e 0r&0ert 7%i*% t%e %a+e re*ei+e, 6r&$ %i$) !& t%at a ,i+i!i&n $a /e e66e*te, a**&r,in( t& #a7 an, t%e 7i## &6 t%e te!tat&r. T$ c$%%ae i! t& /rin( /a*1 &r t& ret-rn t& t%e %ere,itar $a!!) in 6a*t &r / 6i*ti&n) 0r&0ert 7%i*% *a$e 6r&$ t%e e!tate &6 t%e ,e*e,ent) ,-rin( %i! #i6eti$e) /-t 7%i*% t%e #a7 *&n!i,er! a! an a,+an*e 6r&$ t%e in%eritan*e PROPERTIES OR RI3HTS RECEIVED B, COMPULSOR, HEIR NOT SUBECT TO COLLATION 5. Pr&0ert #e6t / 7i## 8. Pr&0ert 7%i*% $a %a +e /een ,&na te, / an a!*en,ant &6 t%e *&$0-#!&r %eir =. Pr&0ert ,&nate, t& t%e !0&-!e &6 t%e *&$0-#!&r %eir @. E0en!e! 6&r !-00&rt) e,-*ati&n) $e,i*a# atten,an*e e+en in etra&r,inar i##ne!!) a00renti*e!%i0) &r,inar e2-i0$ent &r *-!t&$ar (i6t! 4. E0en!e! in*-rre, / 0are nt! in (i+i n( t%eir *%i#,ren a 0r&6e!!i&na#) +&*ati&na#) &r &t%er *areer . ;e,,in( (i6t! *&n!i!tin( &6 e7e#r) *#&t%in( an, &-t6it) (i+en / 0arent! &r a!*en,ant!) !& #&n( a! t%e ,& n&t e*ee, 55 &6 t%e ,i!0&!a/#e 0&rti&n
OPERATIONS RELATED TO COLLATION 5. C$%%ai$n a,,in( t& t%e $a!! &6 t%e %ere,itar e!tate t%e +a#-e &6 t%e ,&nati&n &r (rat-it&-! ,i!0&!iti&n
8. Im!in' $r Car'in' *re,itin( t%e ,&nati&n a! an a,+an*e &n t%e #e(iti$e ?i6 t%e ,&nee i! a *&$0-#!&r %eir &r &n t%e 6ree 0&rti&n ?i6 t%e ,&nee i! a !tran(er =. Red!ci$n ,eter$inin( t& 7%at etent t%e ,&nati&n 7i## re$ain an, t& 7%at etent it i! e*e!!i+e &r in&66i*i&-! @. Resi!i$n ret-rn &r 0a$ent &6 t%e e*e!! t& t%e $a!! &6 %ere,itar e!tate.
PERSONS OBLI3ATED TO COLLATE 3ENERAL RULE8 *&$0-#!&r %eir! EFCEPTION8 a. ;%en t %e t e!tat&r ! %&-#,
PARTITION AND DISTRIBUTION : T%e !e0arati&n) ,i+i!i&n an, a!!i(n$ent &6 a t%in( %e#, in *&$$&n a$&n( t%&!e t& 7%&$ it $a /e#&n(. It in*#-,e! e+er a*t 7%i*% i! inten,e, t& 0-t an en, t& in,i+i!i&n a$&n( *&%eir!) an, #e(atee! &r ,e+i!ee!) a#t%&-(% it !%&-#, 0-r0&rt t& /e a !a#e) e*%an(e) *&$0r&$i!e) &r an &t%er tran!a*ti&n. It i! n&t !-/e*t t& an 6&r$ WHO MA, E::ECT PARTITION i. De*e,ent%i$!e#6 ,-rin( %i! #i6eti$e / an a*t inter +i+&! &r / 7i##" ii. Heirt%e$!e#+e!" r,
an, /. %a+e !& e0re!!# ;%en0r&+i,e," t %e * &$0-#!&r % eir !%&-#, %a+e re0-,iate, %i! in%eritan*e •
Gran,*%i#,ren 7%& !-r+i+e 7it% t%eir -n*#e!) a-nt!) &r 6ir!t *&-!in!) an, in%erit / ri(%t &6 re0re!entati&n.
NOTE8 Gran,*%i#,ren $a in%erit 6r&$ (ran,0arent in t%eir &7n ri(%t ?i.e. %eir! net in ,e(ree an, n&t / ri(%t &6 re0re!entati&n i6 t%eir 0arent re0-,iate! t%e in%eritan*e &6 t%e (ran,0arent) a! n& #i+in( 0er!&n *an /e re0re!ente, e*e0t in *a!e! &6 ,i!in%eritan*e an, in*a0a*it. ?In !-*% *a!e!) (ran,*%i#,ren are n&t &/#i(e, t& /rin( t& *&##ati&n 7%at t%eir 0arent %a! re*ei+e, (rat-it&-!# 6r&$ t%eir (ran,0arent WHAT TO COLLATE 5. An 0r&0ert &r ri (%t re*ei+e, / (r at-it&-! ,-rin( te!tat&rK! #i6eti$e 8. tit#e A## t%at t%et%e $a %a+e re* ei+e, 6r&$ t% e ,e*e,ent ,-rin( %i! #i6eti$e =. A## t%at t%eir 0arent! 7&-#, %a+e /r&-(%t t& *&##ati&n i6 a#i+e.
iii.
C&$0etent*&-rt"= 0er!&n ,e!i(nate, / t%e ,e*e,ent
WHO CAN DEMAND PARTITION 5. C&$0-#!&r %eir" 8. V&#-ntar %eir =. Le(atee &r ,e+i!ee" @. An 0er!&n 7%& %a! a*2-ire, intere!t in t%e e!tate WHEN PARTITION CANNOT BE DEMANDED =PAPU; 5. ;%en e 0re!!# Pr&%i/ite, / t%e te!tat&r %i$!e#6 6&r a 0eri&, n&t e*ee,in( 8 ear!" 8. ;%en t% e *& %eir! A(ree, t%at t%e e!tate !%a## n&t /e ,i+i,e, 6&r a 0eri&, n&t e*ee,in( 5 ear!) rene7a/#e 6&r an&t%er 5 ear!" =. ;%en Pr&%i/ite, / #a7" @. ;%en t& 0ar titi&n t%e e!tate 7&-#, ren,er it Un!er+i*ea/#e 6&r t%e -!e 6&r 7%i*% it i! inten,e,. NOTE8 •
PROPERTIES NOT SUBECT TO COLLATION 5. A/!&#-te# n& *&##ati&n e0en!e! 6&r !-00&rt) e,-*ati&n ?e#e$entar an, !e*&n,ar &n#) $e,i*a# atten,an*e) e+en in etra&r,inar i##ne!!) a00renti*e!%i0) &r,inar e2-i0$ent &r *-!t&$ar (i6t!. 8. Genera## n&t i$0-ta/#e t& #e(i ti$e: a. E0en!e! in* -rre, / 0ar ent! in (i+in( t%eir *%i#,ren 0r&6e!!i&na#) +&*ati&na# &r &t%er *areer -n#e!! t%e 0arent! !& 0r&+i,e) &r -n#e!! t%e i$0air t%e #e(iti$e /. ;e,,in( (i6t! / 0arent! an, a!*en,ant! e7e#r) *#&t%in() an, *&n!i!tin( &-t6it e*e0t&67%en t%e e*ee, 55 &6 t%e !-$ ,i!0 &!a/#e / 7i##.
PARTITION AND DISTRIBUTION
•
Parii$n Iner Vi.$s it i! &ne t%at $ere# a##&*ate! !0e*i6i* ite$! &r 0ie*e! &6 0r&0ert &n t%e /a!i! &6 t%e 0r& in,i+i!& !%are! 6ie, / #a7 &r (i+en -n,er t%e 7i## t& %eir! &r !-**e!!&r!. Partiti&n i! n&t it!e#6 a $&,e &6 a*2-irin( &7ner!%i0) n&r a tit#e t%ere6&re) t%i! 0artiti&n) /ein( 0re,i*ate, &n !-**e!!i&n) ne*e!!itate! re#ati&n!%i0 t& t%e ,e*e,ent ?in *a!e &6 inte!ta* &r a 7i## ,-# 0r&/ate, ?in *a!e &6 te!ta*. A 0artiti&n inter +i+&! $a,e in 6a+&r &r inte!tate %eir! *&-#, /e &0erati+e. Di!0&!iti&n!) %&7e+er) t& n&ninte!tate %eir! $a !-66er an i$0e,i$ent -n#e!! /a!e, &n a,i!0&!iti&n! +a#i, 7i##) are e*e0 t 0er%a0! 7%en !-*% inten,e, t& ta1e e66e*t ,-rin( t%e #i6e &6 t%e te!tat&r an, t%e 6&r$a#itie! &6 ,&nati&n! are 0r&0er# *&$0#ie, 7it%.
PROHIBITION TO PARTITION 5. T%e 0r&%i/iti&n t& 0artiti&n 6&r a 0eri&, n&t e*ee,in( 8 ear! *an /e i$0&!e, &n t%e #e(iti$e. 8. I6 t%e 0r&%i/iti&n t& 0artiti&n i! 6&r $&re t%an 8 ear!) t%e e*e!! i! +&i,. =. E+en i6 a 0r&% i/iti&n i! i$0&!e,) t%e %eir! / $-t-a# a(ree$ent *an !ti## $a1e t%e 0artiti&n.
8. Bet7een !e+era# tr-e %ei r! an, a $i!ta1en %eir tran!$i!!i&n t& $i!ta1en %eir i! VOID =. T%r&-(% err&r &r $i!ta1e" !%are &6 tr-e %eir i! a##&tte, t& $i!ta1en %eir 0artiti&n !%a## n&t /e re!*in,e, -n#e!! t%ere i! /a, 6ait% &r 6ra-, &n t%e 0art &6 t%e &t%er 0er!&n! intere!te,) /-t t%e #atter !%a## /e 0r&0&rti&nate# &/#i(e, t& 0a t%e tr-e %eir &6 %i! !%are
LE3AL REDEMPTION IN :AVOR O: CO> HEIRS T%e ri(%t &6 #e(a# re,e$0ti&n 0re,i*ate, -0&n t%e 6a*t t%at t%e !a#e $a,e / t%e *& %eir i! e66e*te, /e6&re t%e 0arti ti&n &6 t%e e!tate /-t a6ter t%e ,eat% &6 t%e ,e*e,ent.
NOTE8 Partiti&n 7it% re!0e*t t& t%e $i!ta1en %eir i! VOID.
Re@!isies8 5. T%ere $-!t /e !e+era# *&%eir! 8. T%at&ne&6t%e$ !e##! %i! ri(%t t& a !tran(er =. T%at t%e !a#e i! $a,e /e6&re t%e 0artiti&n @. T%att%eri(%t&6 re,e$0ti&n $-!t /e eer*i!e, / &ne &r $&re &6 t%e *&%eir! 7it%in 5 $&nt% 6r&$ t%e ti$e t%e 7ere n&ti6ie, in 7ritin( / t%e *&%eir +en,&r 4. T%e +en,ee i! rei$/-r!e, 6&r t%e 0ri*e &6 t%e !a#e. E::ECTS O: PARTITION
A VOID WILL MA, BE A VALID PARITION 5. I6 t%e 7i## 7a! in 6a*t a 0artiti&n" an, 8. I6 t%e /ene6i*iarie! in t%e +&i, 7i## 7ere #e(a# %eir! IMPORTANT PERIODS TO REMEMBER PERIODS TO REMEMBER ON PARTITION 5 $&nt% &r #e!! Te!tat&r) i6 0-/#i*# 1n&7n /e6&re $a1in( a t& /e in!ane) /-r,en &6 7i## 0r&&6 i! &n t%e &ne *#ai$in( +a#i,it &6 t%e 7i## 8 ear! Mai$-$ 0eri&, te!tat&r *an 0r&%i/it a#ienati&n &6 ,i!0&!iti&n! 4 ear! 6r&$ T& *#ai$ 0r&0ert ,e#i+er t& t%e e!*%eate, t& t%e State State 5$&nt% T& re0&rt 1n&7#e,(e &6 +i&#ent ,eat% &6 ,e*e,ent #e!t %e /e *&n!i,ere,
C&n6er! %eir t%e e*#-!i+e &7ner!%i0-0&n &6 t%e ea*% 0r&0ert a,-,i*ate,. A6ter t%e 0artiti&n) t%e *&%eir! !%a## /e re*i0r&*a## /&-n, t& 7arrant t%e tit#e t& ?7arrant a(ain!t e+i*ti&n an, t%e 2-a#it &6 ?7arrant a(ain!t %i,,en ,e6e*t!) ea*% 0r&0ert a,-,i*ate,. • T%e &/#i(ati&n &6 7arrant !%a## *ea!e in t%e 6&##&7in( *a!e!: i. ;%en t%e te!tat&r %i$!e#6 %a! $a,e t%e 0artiti&n -n#e!! %i! intenti&n 7a! &t%er7i!e) /-t t%e #e(iti$e !%a## a#7a! re$ain -ni$0aire,. ii. ;%en it %a! /een e0re!!# !ti0-#ate, in t%e a(ree$ent &6 0artiti&n) -n#e!! t%ere %a! /een /a, 6ait%. iii. ;%en t%e e+i*ti&n 7a! ,-e t& a *a-!e !-/!e2-ent t& t%e 0artiti&n) &r %a! /een *a-!e, / t%e 6a-#t &6 t%e ,i!tri/-tee &6 t%e 0r&0ert.
4 ear! 6r&$ t%e ti$e ,i!2-a#i6ie, 0er!&n t&&1 0&!!e!!i&n = ,a! 6r&$ i!!-an*e &6 &r,er &6 ,i!tri/-ti&n
E::ECTS O: INCLUSION O: INTRUDER IN PARTITION 5. Bet7een a tr-e %ei r an, !e+era# $i!ta1en %eir! Partiti&n i! VOID
@ ear! 0artiti&n
• •
-n7&rt% A*ti&n 6&r ,e*#arati&n &6 in*a0a*it 6&r re*&+er &6 t%e in%eritan*e) ,e+i!e &r #e(a* M-!t !i(ni6 a**e0tan*ere0-,iati&n &t%er7i!e) ,ee$e, a**e0te, 5 $&nt% 6&r$ Ri(%t t& re0-r*%a!e 7ritten n&ti*e &6 %ere,itar ri(%t! !&#, t& a !a#e !tran(er / a *&%eir 5 ear! T& en6&r*e 7arrant &6 tit#e2-a#it &6 0r&0ert a,-,i*ate, t& *&%eir 6r&$ t%e ti$e ri(%t &6 a*ti&n a**r-e! 4 ear! 6r&$ T& en6&r*e 7arrant &6 0artiti&n !&#+en* &6 ,e/t&r &6 t%e e!tate at t%e ti$e 0artiti&n 6&r$
i! $a,e 6&r re!*i!!i&n A*ti&n 0artiti&n &n a**&-nt #e!i&n
END O: DISCUSSION
&6 &6
III- LEASE 7777777777777777777777777 77777777 TOPIC UNDER THE S,LLABUS8 A- Lease $& Tin's B- Lease $& W$r< $r Ser.ices C- Lease $& R!ra% and Ur#an Lands 1- !a%i&ied ers$ns 2- Re'israi$n (- Pr$i#ii$ns D- C$nrac &$r Piece $& W$r< E- Ri's and O#%i'ai$ns $& Less$r and Lessee 7777777777777777777777777 77777777 CONTRACT O: LEASE i! a *&ntra*t / 7%i*% &ne 0er!&n /in,! %i$!e#6 t& (rant te$0&rari#) t%e -!e &6 a t%in( &r t%e ren,erin( &6 !&$e !er+i*e t& an&t%er 7%& -n,erta1e! t& 0a !&$e rent) *&$0en!ati&n) &r 0ri*e Caracerisics O& Lease O& Tin's8 =CLONS> PEP>TP; 5. C&n!en!-a# 8. Le!!&r nee, n&t /e t%e &7ner =. Oner&-! @. N&$inate 4. S-/e*t $atter $-!t /e 7it%in t%e *&$$er*e &6 $an ?i.e. n&t /e#&n(in( t& 0-/#i* ,&$ain . Prin*i0a# *&ntra*t >. P-r0&!e i! t & a# #&7 En&$ent &r -!e &6 a t%in( 9. P-r0&!e t& 7%i*% t%e t%in( 7i## /e ,e+&te, !%&-#, n&t /e i$$&ra# . Peri&, i! Te$0&rar 5. Peri&, $a /e ,e6inite &r in,e6inite NOTE8 Per!&n! ,i!2-a#i6ie, t& /- -n,er Art!. 5@ an, 5@5 &6 t%e Ci+i# C&,e are a#!& ,i!2-a#i6ie, t& /e*&$e #e!!ee! &6 t%e t%in(! $enti&ne, t%erein. ?Art. 5@) NCC inds O& Lease 1- Lease $& in's =/e er imm$ .a#%e $r m$.a#%e r$er"; • One &6 t%e 0artie! /in,! %i$!e#6 t& (i+e t& an&t%er t%e en&$ent &r -!e &6 a t%in( • F&r a 0ri*e *ertain an, • F&r a 0eri&, 7%i*% $a /e ,e6inite &r in,e6inite NOTE8 H&7e+er) n& #ea!e 6&r $&re t%an ear! !%a## /e +a#i,. 3enera% R!%e8 T%e *&nt ra*t &6 #ea!e $a /e $a,e &ra## E6cei$n8 Lea!e &6 rea# 0r&0ert 6&r $&re t%an 5 ear ?$-!t /e in 7ritin( t& *&$0# 7it% Stat-te &6 Fra-,!
2- Lease $& /$r < =c$nrac &$r a iece $& /$r<; One &6 t%e 0artie! /in,! %i$!e#6 t& 0r&,-*e a re!-#t &-t &6 %i! 7&r1 &r #a/&r F&r a 0ri*e *ertain D!ies O& A C$nrac$r W$ :!rnises W$r< And Maeria% 5. D-t t& ,e#i+er 8. D-t t& tran!6er &7ner!%i0 =. D-t t& 7arrant e+i*ti&n an, %i,,en ,e6e*t!
Remedies O& Em%$"er In Case De&ecs • A!1 *&nt ra*t&r t& re$&+e t%eO&,e6e*t &r t& ee*-te an&t%er 7&r1 • I6 *&ntra*t&r 6ai#! &r re6-!e! t& re$&+e t%e ,e6e*t) e$0#&er *an a!1 an&t%er 0er!&n t& ,& it at t%e *&ntra*t&rK! e0en!e. (- Lease $& ser.ice One 0art /in,! %i$!e#6 t& ren,er t& t%e &t%er !&$e !er+i*e F&r a 0ri*e *ertain CONTRACT :OR A PIECE O: WOR =?oc%!io 4pris; T%e &/e*t &6 *&ntra*t i! t%e re!-#t &6 t%e 7&r1 7it%&-t *&n!i,erin( t%e #a/&r t%at 0r&,-*e, it I6 t%e re!-#t 0r&$i!e, i! n&t a**&$0#i!%e,) t%e #e!!&r i! n&t entit#e, t& *&$0en!ati&n
E%emens
O&
CONTRACT O: LEASE O: SERVICE =?oc%!io 4pr%ru&;
CONTRACT O: LEASE O: THIN3
T%e &/e*t &6 *&ntra*t i! t%e
T%e &/e*t &6 *&ntra*t
!er+i*e it!e#6 an, n&t t%e re!-#t 7%i*% it (enerate!
i! a t%in(
E+en i6 t%e re!-#t inten,e, i! n&t attaine,) t%e !er+i*e! &6 t%e #e!!&r $-!t !ti## /e 0ai,. In *a!e &6 /rea*%) n& a*ti&n 6&r !0e*i6i* 0er6&r$an*e
Le!!&r %a! t& ,e#i+er t%e t%in( #ea!e,. In *a!e &6 /rea*%) t%ere *an /e an a*ti&n 6&r !0e*i6i* 0er6&r$an*e
A
Tenanc"
A'reemen
=PACAPS; 5. Paries are t%e #an,&7ner an, t%e tenant &r a(ri*-#t-ra# #e!!ee 8. S-/e*t $atter &6 t%e re#ati&n!%i0 i! an a'ric!%!ra% %and
=. T%ere i! c$nsen /et7een t%e 0artie! t& t%e re#ati&n!%i0. @. P-r0&!e &6 t%e re# ati&n!%i0 i! t& /r in( a/&-t a'ric!%!ra% r$d!ci$n 4. T%ere i! ers$na% c!%i.ai$n &n t%e 0art &6 t%e tenant &r a(ri*-#t-ra# #e!!ee an, . Har+e!t i! sared /et7een t%e #an,&7ner an, t%e tenant &r a(ri*-#t-ra# #e!!ee.
NOTE: A/!en*e &6 an &6 t%e e#e$ent! 7i## n&t $a1e t%e a##e(e, tenant a ,e 6a*t& tenant. RENT i! t%e *&$0en!ati&n eit%er in $&ne) 0r&+i!i&n!) *%atte#!) &r #a/&r) re*ei+e, / t%e #e!!&r 6r&$ t%e #e!!ee.
REUISITES8 5. M-!t n$ #e &icii$!s $r n$mina% ) &t%er7i!e t%e *&ntra*t i! *&n!i,ere, e!!entia## (rat-it&-! 8. M-!t/e caa#%e $& deerminai$n =. Ma /e in t%e 6&r$ &6 0r&,-*t!) 6r-it!) &r *&n!tr-*ti&n) a! #&n( a! it as .a%!e •
• •
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O7ner %a! t%e ri(%t t& 6i t%e rent /e*a-!e t%e *&ntra*t i! *&n!en!-a# an, n&t i$0&!e, / #a7. In*rea!in( t%e rent i! NOT an a/!&#-te ri(%t &6 t%e #e!!&r. I6 t%e rent i! 6ie, 6&r t%e 6ir!t ti$e) *&-rt! *ann&t inter6ere) /-t i6 it i! a rene7a#) t%e *&-rt! *an !ett#e t%e ,i!a(ree$ent!. T%ere /ein( n& a(ree$ent &n t%e rea!&na/#e *&$0en!ati&n t%at a #e!!ee $-!t 0a 6&r it! *&ntin-in( -!e an, &**-0ati&n &6 t%e 0re$i!e! a6ter t%e ter$inati&n &6 t%e #ea!e) it 7a! 0r&0er 6&r t%e #&7er *&-rt! t& ,eter$ine t%e !a$e. MATERCCO .- :irs Land%in< Asia De.e%$men C$r$rai$n5 K3-R- N$1?*+? =200?; In #ea!e &6 r-ra# #an,!) #e!!ee %a! n& ri(%t t& a re,-*ti&n &6 t%e rent &n a**&-nt &6 t%e !teri#it &6 #an, #ea!e,) &r / rea!&n &6 t%e #&!! &6 6r-it! ,-e t& &r,inar 6&rt-it&-! e+ent!) e*e0t 7%en t%e #&!! $&re t%an &6 t%e 6r-it! i! t%r&-(% etra&r,inar an, -n6&re!een 6&rt-it&-! e+ent! -n#e!! t%ere /e !ti0-#ati&n t& t%e *&ntrar.
LEASE DISTIN3UISHED :ROM USU:RUCT LEASE USU:RUCT O7ner!%i0 &n t%e O7ner!%i0 &6 t%e t%in( 0art &6 t%e #e!!&r i! &n t%e 0art &6 t%e n&t ne*e!!ar t& (rant&r i! ne*e!!ar t& *&n!tit-te a *&ntra*t *&n!tit-te a -!-6r-*t &6 #ea!e It i! (enera## a It i! a#7a! a rea# ri(%t 0er!&na# ri(%t an, i! a rea# ri(%t &n# / e*e0ti&n
It i! #i$ite, t& t%e -!e !0e*i6ie, in t%e *&ntra*t Le!!&r 0#a*e! an, $aintain! t%e #e!!ee in t%e 0ea*e6-# en&$ent &6 t%e t%in( It! ter$ i! (enera## 6&r a ,e6inite 0eri&, It $a /e *reate, / *&ntra*t a! a (enera# r-#e Le!!ee %a! n& ,-t
It in*#-,e! a## 0&!!i/#e -!e! an, en&$ent &6 t%e t%in( O7ner a##&7! t%e -!-6r-*t-ar t& -!e an, en& t%e 0r&0ert
t& $a1e re0air! Le!!ee %a! n& ,-t t& 0a tae! Le!!ee *ann&t *&n!tit-te a -!-6r-*t &6 t%e 0r&0ert #ea!e,
t& $a1e re0air! U!-6r-*t-ar %a! a ,-t t& 0a tae! U!-6r-*t-ar $a *&n!tit-te a !-/#ea!e
It! ter$ $a /e 6&r an in,e6inite 0eri&, It $a /e *reate, / #a7) *&ntra*t) #a!t 7i## &r 0re!*ri0ti&n U!-6r-*t-ar %a! ,-t
LEASE DISTIN3UISHED :ROM SALE LEASE SALE On# t%e -!e &r O7ner!%i0 i! tran!6erre, en&$ent i! tran!6erre, Tran!6er i! Tran!6er i! 0er$anent te$0&rar Le!!&r nee, n&t /e Se##er $-!t /e t%e t%e &7ner &7ner at t%e ti$e t%e 0r&0ert i! ,e#i+ere, T%e 0ri*e &6 t%e U!-a##) t%e !e##in( 0ri*e &/e*t ?,i!tin(-i!%e, i! $enti&ne, 6r&$ t%e rent i! -!-a## n&t $enti&ne, LEASE O: SERVICE DISTIN3UISHED :ROM A3ENC, LEASE O: A3ENC, SERVICES It i! /a!e, &n It i! /a!e, &n e$0#&$ent re0re!entati&n t%e #e!!&r &6 a(ent re0re!ent! %i! !er+i*e! ,&e! n&t 0rin*i0a# an, enter int& re0re!ent %i! -ri,i*a# a*t! e$0#&er n&r ,&e! %e ee*-te -ri,i*a# a*t! Prin*i0a# *&ntra*t Pre0arat&r *&ntra*t 3enera% R!%e8 A #ea!e &6 rea# 0r& 0ert i! a 0er!&na# ri(%t E6cei$ns8 5. I6 it i! 6&r $& re t% an &ne ear an , t& /e en6&r*ea/#e it $-!t /e in 7ritin( 8. I6 it i! re( i!tere, 7i t% Re( i!tr &6 Pr&0 ert) re(ar,#e!! &6 it! 0eri&,
E&&ecs I& Lease O& Rea% Pr$er" Is N$ Re'isered8 5. T%e #ea!e i! n&t /in,in( &n t%ir, 0er!&n! 8. S-*% t%ir, 0er!&n i! a##&7e, t& ter $inate t%e #ea!e in *a!e %e /-! t%e 0r&0ert 6r&$ t%e &7ner#e!!&r =. A*t-a# 1n&7#e,(e &6 ei!t en*e an, ,-r ati&n &6 #ea!e i! e2-i+a#ent t& re(i!trati&n @. Stran(er 1n&7! &6 t%e ei!ten*e &6 t%e #ea!e) /-t 7a! #e, t& /e#ie+e t%at t%e #ea!e 7&-#, e0ire !&&n &r /e6&re t%e ne7 #ea!e in 6a+&r &6 %i$ /e(in!) t%e !tran(er *an !ti## /e *&n!i,ere, inn&*ent Pers$ns Dis@!a%i&ied T$ Bec$me Lessees8 1. H-!/an, an, 7i6e *ann&t #ea!e t& ea*% &t%er t%eir !e0arate 0r&0ertie! ?E*e0ti&n: !e0arati&n &6 0r&0ert 2. T%&!e ,i!2-a#i6ie, ,-e t& 6i,-*iar re#ati&n!%i0 • G-ar,ian: 7ar, • A(ent: 0rin*i0a# • Ee*-t&r an, a,$ini!trat&r! • P-/#i* &66i*er: !tate 0r&0ert • J-!ti*e!-,(e!: 0r&0ert -n,er #iti(ati&n • Ot%er! ,i!2-a#i6ie, / #a7 Lease B" :i%iin$s • Ma #ea!e #an,! &6 public domain 7it% an area &6 4 %e*tare! an, $a a*2-ire n&t $&re t%an 58 %e*tare! Lease B" C$r$rai$ns •
At Fi#i0in&&7ne,) $a #an,! &6 #ea!t public domain 6&r a 0eri&, &6 #ea!e 84 ear!) rene7a/#e 6&r n&t $&re t%an 84 ear!" t%e area n&t t& e*ee, $&re t%an 5) %e*tare!
R!%es On Lease O& Tin's Wen Lessee Is An A%ien 5. ear #i$it a00#ie! t& a#ien! a! #&n( a! it i! a #ea!e &6 personal property 8. A#ien! CANNOT #ea!e public lands& an, *ann&t a*2-ire 0ri+ate #an,! e*e0t t%r&-(% !-**e!!i&n =. I6 #ea!e &6 real property pri"ate lands*) $ai$-$ &6 84 ear! rene7a/#e 6&r an&t%er 84 ear! ?P.D. >5= @. Un,er t%e In+e!t&rK! Lea !e A*t &6 5 4) t%e 84ear 0eri&, 7a! eten ,e, t& 4 ear! rene7a/#e 6&r an&t%er 84 ear! 0r&+i,e, t%e 6&##&7in( *&n,iti&n! are $et: a. Le!!ee $-!t $a1e in+e!t$ent! /. I6 Lea!e i! are a00r&+e, / DTI DTI *an ter$inate it *. ter$! +i&#ate,)
NOTE8 t%e ILA ,i, n&t ,& a7a 7it% P.D. >5=. Un,er ILA t%e *&n!ent &6 DTI i! re2-ire,) 7%i#e in P.D. >5= it i! n&t.
E- Ri's and O#%i'ai$ns $& Less$r and Lessee O#%i'ai$ns O& Te Less$r (Ar! 1*5+) =DNM; 5. T& DELIVER THE THIN3 7%i*% i! t%e &/e*t &6 t%e *&ntra*t in !-*% *&n,iti&n a! t& ren,er it 6it 6&r t%e -!e inten,e, 8. T& $a1e &n t%e !a$e ,-rin( t%e #ea!e a## t%e NECESSAR, REPAIRS in &r,er t& 1ee0 it !-ita/#e 6&r t%e -!e t& 7%i*% it %a! /een ,e+&te,) -n#e!! t%ere i! a !ti0-#ati&n t& t%e *&ntrar =. T& MAINTAIN THE LESSEE IN THE PEACE:UL AND ADEUATE ENO,MENT O: THE LEASE 6&r t%e entire ,-rati&n &6 t%e *&ntra*t T%i! i! tr-e &n# i6 t%e *&ntra*t i! +a#i,. ;%ere t%e *&ntra*t i! +&i,) 6&r %a+in( an ei!tent *&ntra*t &6 #ea!e) t%e #e!!&r %a! n& ri(%t t& #ea!e t%e !a$e 0r&0ert. Bercer$ .- Cai$% De.e%$men C$r$rai$n5K 3-RN $1*)?+* =200?; Na!re O& Te D!" O& Te Less$r T$ Mainain Peace&!% P$ssessi$n O& Te Premises B" Te Less$r T%i! i! $ere# a 7arrant t%at t%e #e!!ee !%a## n&t /e ,i!t-r/e, in %i! #e(a#) an, n&t 0%!i*a#) 0&!!e!!i&n. C"u% : v. Cour! o App%ls, +2 CRA +18
O#%i'ai$ns O& Te Lessee =Ar- 1+*?; =PUP; PA, THE PRICE &6 t%e #ea!e a**&r,in( t& 5. t%e ter$! !ti0-#ate, USE THE THIN3 #ea!e, a! a ,i#i(ent 6at%er &6 a 6a$i# ,e+&tin( it t& t%e -!e !ti0-#ate,) an, in t%e a/!en*e &6 !ti0-#ati&n) t& t%at 7%i*% $a /e in6erre, 6r&$ t%e nat-re &6 t%e t%in( #ea!e,) a**&r,in( t& t%e *-!t&$ &6 t%e 0#a*e PA, THE EFPENSES 6&r t%e ,ee, &6 =. #ea!e 8.
Ri's O& Te Lessee 5. Ri(%t t& /e re!0e*te, in %i! 0&!!e!!i&n 8. Ri(%t t& /e re!t&re, t& !ai, 0&!!e!!i&n / t%e $ean! e!ta/#i!%e, / #a7 &r / t%e R-#e! &6 C&-rt) !%&-#, %e /e ,i!t-r/e, t%erein Remedies Wen Less$r Or Lessee D$es N$ C$m%" Wi Teir O#%i'ai$ns 5. Re!*i!!i&n an, ,a$a(e! &r 8. Da$a(e! 7%i#e a##&7in( t%e *&ntra*t t& re$ain in 6&r*e
Remed" O& Lessee Is Less$r Re&!ses T$ Acce Te Rena%s T& $a1e a 0r&0er ten,er &6 0a$ent an, *&n!i(nati&n in &r,er t& etin(-i!% t%e ,e/t
R!%es On Can'in' Te :$rm O& Te Lease T%e #e!!&r *an a#ter t%e t%in( #ea!e, 0r&+i,e, t%ere i! n& i$0air$ent &6 t%e -!e t& 7%i*% t%e t%in( i! ,e+&te, -n,er t%e ter$! &6 t%e #ea!e A#terati&n *an a#!& /e $a,e / t%e #e!!ee !& #&n( a! t%e +a#-e &6 t%e 0r&0ert i! n&t !-/!tantia## i$0aire, R!%es In Case O& Ur'en Reairs T%e #e!!ee i! &/#i(e, t& t&#erate t%e 7&r1) a#t%&-(% it $a /e +er ann&in( t& %i$ an, a#t%&-(% ,-rin( t%e !a$e ti$e %e $a /e -
,e0ri+e, &6$&re a 0artt%an &6 t%e i6 re0air! #a!t 6&r n&t @ 0re$i!e!) ,a! I6 re0air! #a!t 6&r @ ,a! &r $&re) #e!!ee *an a!1 6&r re,-*ti&n &6 t%e rent in 0r&0&rti&n t& t%e ti$e in*#-,in( t%e 5 !t @ ,a! an, t%e 0art &6 t%e 0r&0ert &6 7%i*% %e i! ,e0ri+e,.
NOTE8 In eit%er *a!e) re!*i!!i&n $a /e a+ai#e, &6 i6 t%e $ain 0-r0&!e &6 t%e #ea!e i! t& 0r&+i,e a ,7e##in( 0#a*e an, t%e 0r&0ert /e*&$e! -nin%a/ita/#e. E&&ecs I& Less$r :ai%s T$ Ma
NOTE8 Le!!ee %a! n& ri(%t &6 retenti&n &6 t%e 0re$i!e! i6 t%e #e!!&r ,&e! n&t 0a. Hi! &n# ri(%t i! ri(%t &6 re$&+a# i6 #e!!&r ,&e! &0t n&t t& 0a an, a00r&0riate. inds O& Tresass In Lease8 5. Tre!0a!! in 6a*t ? perturbacion de mere hecho: Le!!&r i! n&t #ia/#e 6&r t%e $ere 6a*t &6 a tre!0a!! &r tre!0a!! in 6a*t $a,e / a t%ir, 0er!&n &6 a #ea!e, 0r&0ert. Mere 6a*t &r $ere a*t &6 tre!0a!! i! 7%en t%e t%ir, 0er!&n *#ai$! n& ri(%t 7%ate+er P%!i*a# en&$ent i! re,-*e, 8. Tre!0a!! in #a7 ? perturbacion de derecho: A t%ir, 0er!&n *#ai$! #e(a# ri(%t t& en& t%e 0re$i!e! Le!!&r 7i## /e %e#, #ia/#e
D!rai$n O& Lease 5. Lea!e $a /e 6&r a ,eter$inate ti$e &r 6ie, 0eri&, Lea!e 7i## /e 6&r t%e !ai, 0eri&, an, it en,! &n t%e ,a 6ie, 7it%&-t nee, &6 a ,e$an, 8. Lea!e $a /e 7it%&-t a 6ie, 0eri&, a. F&r r-ra# #an,! ?Art. 598 It !%a## /e 6&r a## ti$e ne*e!!ar 6&r t%e (at%erin( &6 6r-it! 7%i*% t%e 7%&#e e!tate $a ie#, in 5 ear) &r 7%i*% it $a ie#, &n*e /. F&r -r/an #an,! ?Art. 59> I6 rent i! 0ai, ,ai#) #ea!e i! 6r&$ ,a -
t& ,a i! 0ai, 7ee1#) #ea!e i! 6r&$ I6 rent 7ee1 t& 7ee1 I6 rent i! 0ai, $&nt%#) #ea!e i! 6r&$ $&nt% t& $&nt% I6 rent i! 0ai, ear#) #ea!e i! 6r&$ ear t& ear
R!%es On E6ensi$n O& Te Lease Peri$d 5. I6 a #ea!e *&ntra*t 6&r a ,e 6inite ter$ a##&7! #e!!ee t& eten, t%e ter$) t%ere i! n& ne*e!!it 6&r #e!!ee t& ,-# n&ti6 #e!!&r &6 %i! ,e!ire t& !& eten, t%e ter$) -n#e!! t%e *&ntrar i! !ti0-#ate,. 8. $a /e eten,e, a! !t i0-#ati&n: #e!!ee *an eten, 7it%&-t #e!!&rK! *&n!ent /-t #e!!ee $-!t n&ti6 #e!!&r. =. $a /e et en,e, 6&r ear!) a(r ee, -0&n / /&t% 0artie! a! !ti0-#ati&n: t%i! $-!t /e inter0rete, in 6a+&r &6 t%e #e!!ee. Hen*e) &r,inari# t%e $a #e!!ee) at t%e en, &6 t%e &ri(ina# 0eri&,) eit%er: a. #ea+e t%e 0re$i!e! /. re$ain in 0&!!e!!i&n @. In *&&7ner!%i0) a!!ent &6 *&&7ner i! nee,e," &t%er7i!e) it i! +&i, &r ine66e*ti+e a! a(ain!t n&n*&n!entin( *&&7ner!.
4. ;%ere a**&r,in( t& t%e ter$! &6 t%e *&ntra*t) t%e #ea!e *an /e eten,e, &n# / t%e 7ritten *&n!ent &6 t%e 0artie! t%eret&) n& ri(%t &6 eten!i&n *an ri!e 7it%&-t !-*% 7ritten *&n!ent.
IMPLIED NEW LEASE =:%ci!% Rconucion; Lea!e t%at ari!e! i6 at t%e en, &6 t%e *&ntra*t t%e #e!!ee !%&-#, *&ntin-e en&in( t%e t%in( #ea!e, 6&r 54 ,a! 7it% t%e a*2-ie!*en*e &6 t%e #e!!&r) -n#e!! a n&ti*e t& t%e *&ntrar %a, 0re+i&-!# /een (i+en / eit%er 0art. Peri&, &6 t%e i$0#ie, ne7 #ea!e i! n&t t%at
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&6 t%e &ri(ina# *&ntra*t /-t 59> t%e ti$e e!ta/#i!%e, in Art! 598 an, ? see !uration of =ease abo"e Ot%er ter$! &6 t%e &ri(ina# *&ntra*t are re+i+e, e*e0t &0ti&n t& 0-r*%a!e in *a!e !-*% 7a! in t%e &ri(ina# *&ntra*t
NOTE: Ter$! t%at are re+i +e, are &n# t%&!e 7%i*% are (er$ane t& t%e en&$ent &6 0&!!e!!i&n) /-t n&t t%&!e 7it% re!0e*t t& !0e*ia# a(ree$ent! 7%i*% are / nat-re 6&rei(n t& t%e ri(%t &6 &**-0an* &r en&$ent in%erent in a *&ntra*t &6 #ea!e !-*% a! an &0ti&n t& 0-r*%a!e t%e #ea!e, 0re$i!e!. DiJ$n .- Ma'sa"sa"5 K3-R- N$- 2((99 =19?);
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an, 6&r a! #&n( a! %e *an 0a t%e renta#! an, it! in*rea!e!. T%i! i! n&t 0er$i!!i/#e" it i! a 0-re# 0&te!tati+e *&n,iti&n /e*a-!e it #ea+e! t%e e66e*ti+it an, en&$ent &6 #ea!e%&#, ri(%t! t& t%e !&#e an, e*#-!i+e 7i## &6 t%e #e!!ee.
SUBLEASE A #e!!ee $a !-/#ea!e t%e t%in( #ea!e, -n#e!! t%ere i! an express 0r&%i/iti&n t& ,& !& Re$e, &6 #e!!&r i6 #e!!ee +i&#ate! 0r&%i/iti&n: a*ti&n 6&r re!*i!!i&n &6 t%e #ea!e an, ,a$a(e! -
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I6 t%e 0r&%i/iti&n !-/#ea!e i! n&t /-t &n# implied)t&t%e !-/# ea!e 7i##e0re!! !ti## /e a##&7e, D-rati&n &6 !-/#ea!e *ann&t /e #&n(er t%an t%at &6 t%e #ea!e t& 7%i*% it i! ,e0en,ent T%e 0r&%i/iti&n a(ain!t !-/#ea!in( $a n&t e$/ra*e t%e ta1in( in &6 /&ar,er!. 9%ll%r! v. Cour! o App%ls, G.R. o. 85108 (18) In a !-/#ea!e arran(e$ent) t%ere are t7& ,i!tin*t #ea!e!: t%e 0rin*i0a# #ea!e an, t%e !-/#ea!e.
Re@!isies :$r Im%ied Ne/ Lease8 5. T%e ter$ &6 t%e &ri(ina# *&ntra*t %a! EFPIRED 8. T%e # e!!&r HAS NOT 3IVEN THE LESSEE a
SUBLEASE DISTIN3UISHED :ROM AN ASSI3NMENT O: A LEASE SUBLEASE ASSI3NMENT Le!!ee re$ain! a Le!!ee i! ,i!a!!&*iate, 0art in t%e *&ntra*t 6r&$ t%e &ri(ina# *&ntra*t &6 #ea!e T7& #ea!e! an, t7& On# &ne ?#e!!&r
t& +a*ate CONTINUED ENO,IN3 THE =. n&ti*e T%e # e!!ee THIN3 LEASED :OR AT LEAST 1* DA,S 7it% t%e a*2-ie!*en*e &6 t%e #e!!&r
,i!tin*t -ri,i*a# re#ati&n!%i0 ?#e!!&r #e!!ee an, !-/#e!!&r !-/#e!!ee
Wen Tere Is N$ Im%ied Ne/ Lease8 5. ;%en /e6&re &r a6t er t%e e 0irati&n &6 t%e ter$) THERE IS A NOTICE TO VACATE (i+en / eit%er 0art 8. ;%en t%ere i! NO DE:INITE :IFED PERIOD IN THE ORI3INAL LEASE CONTRACT a! in t%e *a!e &6 !-**e!!i+e rene7a#! EFTENSION DISTIN3UISHED :ROM RENEWAL EFTENSION O: RENEWAL O: LEASE LEASE CONTRACT CONTRACT Ori(ina# *&ntra*t Ori(ina# *&ntra*t *ea!e! !-/!i!t! t& ei!t Create! a,,iti&na# Create! a ne7 *&ntra*t ter$
PERPETUAL LEASE A #ea!e *&ntra*t 0r&+i,in( t%at t%e #e!!ee *an !ta in t%e 0re$i!e! 6&r a! #&n( a! %e 7ant!
S-/#e!!ee ,&e! n&t %a+e an ,ire*t a*ti&n a(ain!t t%e #e!!&r S-/#ea!in( i! a##&7e, -n#e!! t%ere i! an e0re!! 0r&%i/iti&n
a!!i(nee 7%& /e*&$e! t%e #e!!ee /e*a-!e #e!!ee tran!$it! a/!&#-te# %i! ri(%t! an, %i! 0er!&na#it ,i!a00ear! A!!i(nee %a! a ,ire*t a*ti&n a(ain!t t%e #e!!&r) t%ere /ein( n&+ati&n A!!i(n$ent i! n&t a##&7e, -n#e!! t%e #e!!&r (i+e! %i! *&n!ent
NOTE8 T%e !-/#e!!ee i! 0ri$ari# #ia/#e t& %i! !-/#e!!&r an, &n# a *&-rt *an etin(-i!% &r $&,i6 t%i! 0ri$ar #ia/i#it i6 t%e !-/#e!!&r *&nte!t! t%e 0re ter$inati&n &6 t%e 0rin*i0a# #ea!e / t%e #e!!&r. Tami$ .- Tics$n5 3-R- N$1*)9* =200) ; Circ!msances Wen A S!#%essee Is Made Lia#%e T$ Te Less$r8 5. F&r a## a*t! 7%i*% a66e*t t%e -!e an, 0re!er+ati&n &6 t%e t%in( #ea!e, in t%e
$anner !ti0-#ate, /et7een t%e #e!!&r an, t%e #e!!ee 8. F&r an rent ,-e t& t%e #e!!&r 6r&$ t%e #e!!ee 7%i*% t%e #atter 6ai#e, t& 0a • S-/#e!!ee i! !-/!i,iari# #ia/#e • S-/#e!!ee !%a## n&t /e re!0&n!i/#e /e&n, a$&-nt &6 rent ,-e 6r&$ %i$) in a**&r,an*e 7it% t%e ter$! &6 t%e !-/#ea!e) at t%e ti$e &6 t%e etra-,i*ia# ,e$an, / t%e #e!!&r
3r$!nds :$r E4ecmen 5. ;%en t%e 0eri&, a(ree, -0&n &r t%at 7%i*% i! 6ie, 6&r t%e ,-rati&n &6 #ea!e! ?Art!. 598 an, 59> %a! e0ire, ?see D-rati&n &6 Lea!e La*1 &6 0a$ent &6 t%e 0ri*e !ti0-#ate, In *a!e #e!!&r re6-!e! t& a**e0t renta#!) #e!!ee !%&-#, $a1e ten,er &6 0a$ent) an, *&n!i(nati&n &t%er7i!e t%ere i! n& 0a$ent ;i##in(ne!! t& 0a i! n&t 0a$ent =. Vi&#ati&n &6 an &6 t%e *&n,iti&n! a(ree, -0&n in t%e *&ntra*t @. ;%en t%e #e!!ee ,e+&te! t%in( #ea!e, t& an -!e &r !er+i*e n&t !ti0-#ate, 7%i*% *a-!e! t%e ,eteri&rati&n t%ere&6) &r i6 %e ,&e! n&t &/!er+e t%e re2-ire$ent in Art 54>. 8.
R.A. 3+1 - A AC: E:A=?/B/G RE<4R9 / :BE REG?A:/4 4< RE: 4< CER:A/ RE/E:/A? /:, ;R4'//G :BE 9ECBA/9 :BERE<4R A <4R 4:BER ;R;4E (A;;R4'E ?A: EC. 21, 2005)
Limiai$ns Im$sed U$n Te Less$r :$r Te Pr$eci$n O& Te Lessee =SECS- (5 * AND ; 5. T%e re nt &6 a n re !i,entia# -n it *& +ere, / t%i! A*t !%a## n&t /e in*rea!e, / $&re t%an 5 ann-a## a! #&n( a! t%e -nit i! &**-0ie, / t%e !a$e #e!!ee. ;%en t%e re!i,entia# -nit /e*&$e! +a*ant) t%e #e!!&r $a !et t%e initia# rent 6&r t%e net #e!!ee. 8. N& #e!!&r $a ,e$an, $&re t%an 5 $&nt% a,+an*e rent. Neit%er *an %e ,e$an, $&re t%an 8 $&nt%! ,e0&!it 7%i*% !%a## /e 1e0t in a /an1 -n,er t%e #e!!&rK! a**&-nt na$e ,-rin( t%e entire ,-rati&n &6 t%e #ea!e a(ree$ent. An an, a## intere!t t%at !%a## a**r-e t%erein !%a## /e ret-rne, t& t%e #e!!ee at t%e e0irati&n &6 t%e #ea!e *&ntra*t. =. N& #e!!&r &r %i! !-**e!!&rinintere!t !%a## /e entit#e, t& ee*t t%e #e!!ee -0&n t%e (r&-n, t%at t%e #ea!e, 0re$i!e! %a+e /een !&#, &r $&rt(a(e, t& a t%ir, 0er!&n re(ar,#e!! &6 7%et%er t%e #ea!e &r $&rt(a(e i! re(i!tere, &r n&t.
3r$!nds :$r !dicia% E4ecmen =SEC- ?; 5. A!!i(n$ent &6 #ea!e &r !-/#ea!in( &6 re!i,entia# -nit! in 7%&#e &r 0art) in*#-,in( t%e a**e0tan*e &6 /&ar,er! &r /e,!0a*er!) 7it%&-t t%e 7ritten *&n!ent &6 t%e &n7er#e!!&r. 8. Arrear! in 0a$ent &6 rent 6&r a t&ta# &6 = $&nt%!" Pro"ided& T%at in t%e *a!e &6 re6-!a# / t%e #e!!&r t& a**e0t 0a$ent &6 t%e renta# a(ree, -0&n) t%e #e!!ee $a eit%er ,e0&!it / 7a &6 *&n!i(nati&n) t%e a$&-nt in *&-rt) &r 7it% t%e *it &r $-ni*i0a# trea!-rer) a! t%e *a!e $a /e) &r in a /an1 in t%e na$e &6 t%e #e!!&r an, 7it% n&ti*e t& t%e #atter) 7it%in 5 $&nt% a6ter t%e re6-!a# &6 t%e #atter t& a**e0t 0a$ent. • T%e #e!!ee !%a## t%erea6ter ,e0&!it t%e renta# 7it%in 5 ,a! &6 e+er *-rrent $&nt%. Fai#-re t& ,e0&!it t%e renta# &r = $&nt%! !%a## *&n!tit-te a (r&-n, 6&r ee*t$ent. • T%e #e!!&r) -0&n a-t%&rit &6 t%e *&-rt in *a!e &6 *&n!i(nati&n &r -0&n &int a66i,a+it / %i$ an, t%e #e!!ee t& /e !-/$itte, t& t%e *it &r $-ni*i0a# trea!-rer an, t& t%e /an1 7%ere t%e ,e0&!it 7a! $a,e) !%a## /e a##&7e, t& 7it%,ra7 t%e ,e0&!it. =. Le(iti$ate ne e, &6 t %e &7 ner#e!!&r t& re0&!!e!! %i! %er 0r&0ert 6&r %i!%er &7n -!e &r &6 an i$$e,iate $e$/er &6 %i!%er 6a$i# a! a re!i,entia# -nit. @. Nee, &6 t %e #e !!&r t& $ a1e ne *e!!ar re0air! &6 t%e #ea!e, 0re$i!e! 7%i*% i! t%e !-/e*t &6 an ei!tin( &r,er &6 *&n,e$nati&n / a00r&0riate a-t%&ritie! *&n*erne, in &r,er t& $a1e t%e !ai, 0re$i!e! !a6e an, %a/ita/#e. 4. E0irati&n &6 t%e 0eri&, &6 t%e #ea!e *&ntra*t.
IV- PARTNERSHIP 7777777777777777777777777 77777777 TOPICS UNDER THE S,LLABUS A- CONTRACT O: PARTNERSHIP B- RI3HTS AND OBLI3ATIONS O: PARTNERSHIP C- RI3HTS AND OBLI3ATIONS O: PARTNERS AMON3 THEMSELVES D- OBLI3ATIONS O: PARTNERSHIPPARTNERSHIP TO THIRD PERSONS
!e*re* ,ire*te, n&t t& t%ir, 0er!&n! /-t t& !&$e &6 t%e 0artner! *. T%i! d$es n$ mean t%at t%ere *&-#, /e n$ c$nrac!a% re%ai$ns a$&n(!t t%e 0artie!" t%ere i! $n%" n$ arnersi &r a!!&*iati&n 7it% ,i!tin*t %e'a% ers$na%i" /.
CHARACTERISTICS8 5. E!!entia## *&ntra*t-a# in nat-re ? Ar- 1?+?5 1?) 8. Se0arate -ri,i*a# 0er!&na#it ? Ar- 1?+ .% !electus personae @. M-t-a# A(en* ? Ar- 10(
E- DISSOLUTION :- LIMITED PARTNERSHIP 7777777777777777777777777 77777777
4. Per!&na# #ia/i#it &6 0artner! 6&r 0art ner!%i0 ,e/t!
CHAPTER 18 3ENERAL PROVISIONS
3ENERAL RULE8 Per!&n! 7%& are NOT 0artner! a! /et7een t%e$!e#+e!) CANNOT /e 0artner! a! t& t%ir, 0er!&n!. ?Art. 5>?5 EFCEPTION8 Partner!%i0 / E!t&00e# -n,er Ar12*
A- CONTRACT O: PARTNERSHIP 1- DE:INITION PARTNERSHIP a *&ntra*t 7%erein t7& &r $&re 0er!&n! /in, t%e$!e#+e! t& *&ntri/-te $&ne) 0r&0ert) &r in,-!tr t& a *&$$&n 6-n,) 7it% t%e intenti&n &6 ,i+i,in( t%e 0r&6it! a$&n( t%e$!e#+e!. 2- ELEMENTS ELEMENTS O: A PARTNERSHIP8 T%ere !%a## /e a 0artner!%i0 7%ene+er: 5. i! aa *&$$&n $eetin( &6 t%e $in,!" 8. T%ere T& 6&r$ 6-n," =. ;it% intenti&n t%at 0r&6it! ?an, #&! !e! 7i## /e ,i+i,e, a$&n( t%e *&ntra*tin( 0artie!.
ESSENTIAL :EATURES8 5. T%ere $-!t /e a VALID CONTRACT. 8. T%e 0artie! $-!t %a+e %e'a% caaci" t& enter int& t%e *&ntra*t. =. T%ere $-!t /e a $- t-a# *&ntri/-ti&n &6 m$ne") r$er") $r ind!sr" t& a c$mm$n &!nd@. T%ere $-!t /e a %a/&!% OBECT. 4. T%e 0-r0&!e &r 0ri$ar 0-r0&!e $-!t /e t& $#ain r$&is an, di.ide t%e !a$e a$&n( t%e 0artie!. ADDITIONAL REUIREMENT :OR URICICAL PERSONALIT, a. It i! a#!& re2-ire, t%at t%e $-!t NOT /e
( - RULES TO DETERMINE EFISTENCE
Oer R!%es $ Deermine /eer a arnersi e6iss8 ?Ar- 1?+9 T%e 6&##&7in() a#&ne) ,& n&t e!ta/#i!% 0artner!%i0 5. C&&7ner!%i0 &r *&0&!!e!!i&n 8. S%arin( &6 (r& !! ret-rn!) 7%et%er &r n&t t% e 0er!&n! !%arin( t%e$ %a+e a &int &r *&$$&n ri(%t &r intere!t in an 0r&0ert 6r&$ 7%i*% t%e ret-rn! are ,eri+e," Re*ei0t / a 0er!&n &6 a !%are &6 t%e 0r&6it! &6 a /-!ine!! i! pri&% %ci e+i,en*e t%at %e i! a 0artner in t%e /-!ine!!) UNLESS !-*% 7ere re*ei+e, in 0a$ent: 5. De/t / in!ta##$ent! &r &t%er7i!e" 8. ;a(e! &r rent" =. Ann-it" @. Intere!t &n #&an" 4. C&n!i,erati&n 6&r !a#e &6 (&&,7i## &6 /-!ine!!&t%er 0r&0ert / in!ta##$ent! A 0artner!%i0 $-!t %a+e a #a76-# &/e*t &r 0-r0&!e) an, $-!t /e e!ta/#i!%e, 6&r t%e *&$$&n /ene6it &r intere!t &6 t%e 0artner!. ;%en an -n#a76-# 0artner!%i0 i! ,i!!&#+e, / a -,i*ia# ,e*ree) t%e 0r&6it! !%a## /e *&n6i!*ate, in 6a+&r &6 t%e State) 7it%&-t 0re-,i*e t& t%e 0r&+i!i&n! &6 t%e Pena# C&,e (&+ernin( t%e *&n6i!*ati&n &6 t%e in!tr-$ent! an, e66e*t! &6 a *ri$e.
E::ECTS O: AN UNLAW:UL PARTNERSHIP8 5. V&i, ab initio ne+er ei!te, in t%e ee! &6 t%e #a7. ?Ar- 1)09=1;
8. Pr&6it! !%a## /e *&n6i!*ate, in 6a+&r &6 t%e (&+ern$ent. ?Ar- 1??0 =. In!tr-$ent! &r t&&#! an, 0r&*ee,! &6 t%e *ri$e !%a## a#!& /e 6&r6eite, in 6a+&r &6 t%e (&+ern$ent. ?Ar- 1??0) Ar- )*>RPC @. T%e *&ntri/-ti&n! &6 t%e 0artner! !%a## n&t /e *&n6i!*ate, -n#e!! t%e 6a## -n,er n&. =. ?/ee Ars- 1)11 an, 1)12 J-,i*ia# ,e*ree i! n&t ne*e!!ar t& ,i!!&#+e an -n#a76-# 0artner!%i0. T%at t%ere i! n& #e(a## *&n!tit-te, 0artner!%i0 DOES NOT $ean t%at t%ere are n& *&ntra*t-a# &r #e(a# re#ati&n! a$&n( t%e 0artie!.
E::ECT O: PARTIAL ILLE3ALIT,8 ;%ere a 0art &6 t%e /-!ine!! &6 a 0artner!%i0 i! #e(a# an, a 0art i##e(a#) an a**&-nt &6 t%at 7%i*% i! #e(a# $a /e %a,. ;%ere) 7it%&-t t%e 1n&7#e,(e &r 0arti*i0ati&n &6 t%e 0artner!) t%e 6ir$! 0r&6it! in a #a76-# /-!ine!! %a+e /een in*rea!e, / 7r&n(6-# a*t!) t%e inn&*ent 0artner! are n&t 0re*#-,e, a! a(ain!t t%e (-i#t 0artner! 6r&$ re*&+erin( t%eir !%are &6 t%e 0r&6it!.
)- H OW PARTNERSHIP :ORMED 3ENERAL RULE8 N& !0e*ia# 6&r$ i! re2-ire, 6&r t%e +a#i,it &6 a *&ntra*t. =Ar- 1(*+; BURDEN O: PROO: AND P RESUMPTION 5. M-!t /e 0r&+en) n&t 0re!-$e,. 8. Per!&n! a*tin( a! 0artner! 0re!-$e, t& %a+e entere, int& *&ntra*t &6 0artner!%i0. B-r,en &6 0r&&6 !%i6te, t& 0art ,enin( it! ei!ten*e. (- Etant Parnter!%i0 0re!-$e, t& ei!t -nti# 0r&+en ter$inate,@. U!e &6 t%e ter$ 0artner ,&e! n&t ne*e!!ari# !%&7 ei!ten*e &6 0artner!%i0. N&n-!e &6 t%e ter$! 0arnter!%i0 &r 0artner! n&t *&n*#-!i+e a! t& n&nei!ten*e &r 0artner!%i0) /-t entit#e, t& 7ei(%t. *- PARTNERSHIP TERM PARTNERSHIP AT WILL W &ne in 7%i*% n& 6ie, ter$ i! !0e*i6ie, an, i! n&t 6&r$e, 6&r a 0arti*-#ar -n,erta1in( &r +ent-re 7%i*% $a /e ter$inate, anti$e / $-t-a# a(ree$ent PARTNERSHIP WITH A :IFED TERM W t%e ter$ 6&r 7%i*% t%e 0artner!%i0 i! t& ei!t i! 6ie, &r a(ree, -0&n &r &ne 6&r$e, 6&r a 0arti*-#ar -n,erta1in(
+- UNIVERSAL VS- PARTICULAR 3ENERAL VS- LIMITED UNIVERSAL VS- PARTICULAR UNIVERSAL PARTNERSHIP O: ALL PRESENT PROPERT, *&$0ri!e! t%e 6&##&7in(: 5. Pr&0ert 7%i*% /e#&n(e, t& ea*% &6 t%e 0artner! at t%e ti$e &6 t%e *&n!tit-ti&n &6 t%e 0artner!%i0 8. Pr&6it! 7%i*% t%e $a a*2-ire 6r&$ a## 0r&0ert *&ntri/-te, UNIVERSAL PARTNERSHIP O: PRO:ITS *&$0ri!e! a## t%at t%e 0artner! $a a*2-ire / t%eir in,-!tr &r 7&r1 ,-rin( t%e ei!ten*e &6 t%e 0artner!%i0 N$e8 Persons who are prohibited from gi"ing donations or ad"antage to each other cannot enter into a uni"ersal partnership% ?Ar- 1?2 PARTICULAR PARTNERSHIPas $#4ecs8 5. Deter$inate t%in(! 8. T%eir -!e &r 6r-it! =. S0e*i6i* -n,erta1in( @. Eer*i!e &6 0r&6e!!i&n &r +&*ati&n
&$r
is
3ENERAL VS- LIMITED 3ENERAL PARTNERSHIP W*&n!i!t! &6 (enera# 0artner! 7%& are #ia/#e 0r& rata an, !-/!i,iari# an, !&$eti$e! !&#i,ari# 7it% t%eir !e0arate 0r&0ert 6&r 0artner!%i0 ,e/t!. LIMITED PARTNERSHIPW&ne 6&r$e, / 8 &r $&re 0er!&n! %a+in( a! $e$/er! &ne &r $&re (enera# 0artner! an, &ne &r $&re #i$ite, 0artner!) t%e #atter n&t /ein( 0er!&na## #ia/#e 6&r t%e &/#i(ati&n! &6 t%e 0artner!%i0 ?- PARTNERSHIP B, ESTOPPEL PARTNER B, ESTOPPEL / 7&r,! &r *&n,-*t) %e ,&e! an &6 t%e 66.: Dire*t# re0re!ent! %i$!e#6 t& an&ne a! a 0artner in an ei!tin( 0artner!%i0 &r in a n&n ei!tin( 0artner!%i0 In,ire*t# re0re!ent! %i$!e#6 / *&n!entin( t& an&t%er re0re!entin( %i$ a! a 0artner in an ei!tin( 0artner!%i0 &r in a n&nei!tin( 0artner!%i0 E#e$ent! t& e!ta/#i!% #ia/i#it a! a 0artner &n (r&-n, &6 e!t&00e#:re0re!ente, De6en,ant %i$!e#6 a! 0artnerre0re!ente, / &t%er! a! !-*% an, n&t ,enie,re6-te, / ,e6en,ant P#ainti66 re#ie, &n !-*% re0re!entati&n State$ent &6 ,e6en,ant n&t re6-te,
LIABILITIES IN ESTOPPEL A## 0artner! Partner!%i0 i! #ia/#e *&n!ente, t& re0re!entati&n N& ei!tin( Per!&n 7%& re0re!ente, 0artner!%i0 a## %i$!e#6 a## t%&!e 7%& t%&!e re0re!ente, $a,e re0re!entati&n #ia/#e *&n!ente," 0r&rata&int# N&t a## 0artner! &6 ei!tin( 0artner!%i0 *&n!ent! t& re0re!entati&n N& ei!tin( Per!&n 7%& re0re!ente, 0artner!%i0 n&t %i$!e#6 #ia/#e t%&!e 7%& a## re0re!ente, *&n!ente," N&ne &6 0artner! in ei!tin( 0artner!%i0 *&n!ente,
$a,e*&n!ente, t& re0re!entati&n !e0arate# #ia/#e
- PARTNERSHIP VS- OINT VENTURE Paric!%ar arnersi disin'!ised &r$m 4$in .en!re8 3eirs of Tan Eng Lee "% 0A& 8%1% No% ')5(('& October .& )222 A 0arti*-#ar 0artner!%i0 i! ,i!tin(-i!%e, 6r&$ &int +ent-re) t& 7it: 5. A &int +ent-re ?an A$eri*an *&n*e0t !i$i#ar t& &-r &int a**&-nt i! a !&rt &6 in6&r$a# 0artner!%i0) 7it% n& 6ir$ na$e an, n& #e(a# 0er!&na#it. In a &int a**&-nt) t%e 0arti*i0atin( $er*%ant! *an tran!a*t /-!ine!! -n,er t%eir &7n na$e) an, *an /e 8.
in,i+i,-a## #ia/#e t%ere6&re" an, U!-a##) /-t n&t ne*e!!ari# a &int +ent-re i! #i$ite, t& a !in(#e tran!a*ti&n) a#t%&-(% t%e /-!ine!! &6 0-r!-in( t& a !-**e!!6-# ter$inati&n $a *&ntin-e 6&r a n-$/er &6 ear!" a 0artner!%i0 (enera## re#ate! t& a *&ntin-in( /-!ine!! &6 +ari&-! tran!a*ti&n! &6 a *ertain 1in,.
It 7&-#, !ee$ t%at -n,er P%i#i00ine #a7) a &int :ORM $& PARTNERSHIP ) +ent-re i! a !0e*i6i*a## a 0arti*-#ar 0artner!%i0 7%i*% %a! 6&r it! &/e*t !0e*i6i* -n,erta1in(. T%e S-0re$e C&-rt %a!) %&7e+er) re*&(nie, a ,i!tin*ti&n /et7een t%e!e t7& /-!ine!! 6&r$! an, %a! %e#, t%at a#t%&-(% a *&r0&rati&n *ann&t enter int& a 0artner!%i0) it $a) %&7e+er) en(a(e in a &int +ent-re 7it% &t%er!. Aur%c" v. %ni!%r6 $%rs, 180 CRA 130 (18)
9- PRO:ESSIONAL PARTNERSHIP 3enera% Pr$&essi$na% Parnersi ?Ar1?+?5 Par- 2; : T7& &r $&re 0er!&n! $a a#!&
6&r$ a 0artner!%i0 6&r t%e eer*i!e &6 a 0r&6e!!i&n.
Te Arciec!re Ac $& 200) =R-A- 92++; (rant! t%at a 6ir$) *&$0an) 0artner!%i0) *&r0&rati&n &r a!!&*iati&n $a /e re(i!tere, &r #i*en!e, a! !-*% 6&r t%e 0ra*ti*e &6 ar*%ite*t-re -n,er t%e 6&##&7in( *&n,iti&n!: a. On# Fi#i0in& *itien! 0r&0er# re(i!tere, an, #i*en!e, a! ar*%ite*t! -n,er t%i! A*t $a) a$&n( t%e$!e#+e!) &r t&(et%er 7it% a##ie, te*%ni*a# 0r&6e!!i&na#!) 6&r$ an, &/tain re(i!trati&n a! a 6ir$) *&$0an) 0artner!%i0) a!!&*iati&n &r *&r0&rati&n 6&r 0ra*ti*ean, &6 ar*%ite*t-re" /. t%e Re(i!tere, #i*en!e, ar*%ite*t! !%a## *&$0&!e at #ea!t !e+ent6i+e 0er*ent ?>4 &6 t%e &7ner!) !%are%&#,er!) $e$/er! in*&r0&rat&r!) ,ire*t&r!) ee*-ti+e &66i*er!) a! t%e *a!e $a /e" *. In,i+i,-a# $e$/er! &6 !-*% 6ir$) 0artner!%i0 a!!&*iati&n &r *&r0&rati&n !%a## /e re!0&n!i/#e 6&r t%eir in,i+i,-a# an, *&## e*ti+e a*t! a! an entit an, a! 0r&+i,e, / #a7" ,. S-*% 6ir$) 0artner!%i0) a!!&*iati&n &r *&r0&rati&n !%a## /e re(i!tere, 7it% t%e Se*-ritie! an, E*%an(e C&$$i!!i&n an, B&ar,.
10 - MANA3EMENT See Ri's and O#%i'ai$ns $& Parners Am$n' Temse%.es B- RI3HTS AND OBLI3ATIONS O: PARTNERSHIP 3enera% R!%e – A 0artner!%i0 /e(in! 6r&$ t%e $&$ent &6 t%e ee*-ti&n &6 t%e *&ntra*t) -n#e!! it i! &t%er7i!e !ti0-#ate,. E6cei$n – 5. Were imm$.a#%e r$er"rea% ri's are c$nri#!ed ?Ar- 1??1 P-/#i* in!tr-$ent i! ne*e!!ar In+ent&r &6 t%e 0r&0ert *&ntri/-te, $-!t /e $a,e) !i(ne, / t%e 0artie! an, atta*%e, t& t%e 0-/#i* in!tr-$ent &t%er7i!e it i! VOID 8. Wen e c$nrac &a%%s !nder e c$.era'e $& e Sa! e $& :ra!ds ?Ar1)09 =. Were caia% is P(5000 $r m$re5 in m$ne" $r r$er" ?Ar- 1??2 P-/#i* in!tr-$ent i! ne*e!!ar M-!t /e re(i!tere, 7it% SEC B-t 6ai# -re t& *&$0# !%a## n&t a66e* t t%e #ia/i#it &6 t%e 0artner!%i0 an, t%e $e$/er! t%ere&6 t& t%ir, 0er!&n! A .$id arnersi -n,er Arti*#e 5>>=) in re#ati&n t& Arti*#e 5>>5) ma" !ti## #e c$nsidered
a arnersi de &ac$ &r / es$e% +i!]+i! ird ers$ns" an, $a /e *&n!i,ere, / t%e *&-rt! a! an &r,inar *&ntra*t ?t%&-(% n&t ea*t# an Art. 5>> 0artner!%i0 6r&$ 7%i*% ri(%t! an, &/#i(ati&n! $a #e(a## !te$. :orrs v. CA, 320 CRA +28 (1)
/-!ine!! &r 6r&$ tran!a*tin( /-!ine!! 7it% t%e 0artner!%i0 a! i6 %e 7ere a !tran(er ? Ar- 1++5 in re%ai$n $ Ars- 1?95 105 and 1*) .
SEC Oini $n5 1 !ne 19+08 F&r 0-r0&!e! &6 *&n+enien*e in ,ea#in( 7it% (&+ern$ent &66i*e! an, 6inan*ia# in!tit-ti&n!) re(i!trati&n &6 0artner!%i0 %a+in( a *a0ita# &6 #e!! t%an P%0 =) i! re*&$$en,e,.
Un#e!! &t%er7i!e !tate,) a## 0artner! are *&n!i,ere, a(ent! an, 7%ate+er an &ne &6 t%e$ $a ,& a#&ne !%a## /in, t%e 0artner !%i0 =Ars10(=1;5 11;
SEPARATE URIDICAL PERSONALIT, T%e 0artner!%i0 %a! a -ri,i*a# 0er!&na#it !e0arate an, ,i!tin*t 6r&$ t%at &6 ea*% &6 t%e 0artner!) e+en in *a!e &6 6ai#-re t& *&$0# 7it% t%e re2-ire$ent! &6 Arti*#e 5>>8) 6ir!t 0ara(ra0% ?Re(i!trati&n 7it% SEC. A! a JURIDICAL PERSON) a 0artner!%i0 $a: 5. A*2-ire an, 0&!!e!! 0r&0ert &6 a## 1in,!" 8. In*-r &/#i(ati&n!" an, =. Brin( !-it) in *&n 6&r$it 7it% t%e #a 7! an, re(-#ati&n! &6 t%eir &r(aniati&n. ?/ee Ar)+
DELECTUS PERSONAE > T%e !e#e*ti&n &r *%&i*e &6 t%e 0er!&n. Im%icai$ns8 ?Dean Vi##an-e+a T%e a!!i(n$ent &6 a 0artner &6 %i! !%are ,&e! n&t $a1e a!!i(nee a 0artner ?Ar- 10) an, 11( T%e ei!ten*e &6 t%e0arti*-#ar 0artner!%i0*&ntra*t-a# i! *#&!e# tie,-0 t& t%e re#ati&n!%i0 &6 t%e 0artner! ?see instances of dissolution of the partnership upon change of contractual relationship%
PARTNERSHIP RELATIONSHIP IS :IDUCIAR, IN NATURE 5. Ri(%t t& *% &&!e *& 0artner! N& &n e *an /e*&$e $e$/er &6 0artner!%i0 7it%&-t t%e *&n!ent &6 a## &t%er 0artner! 8. P&7er t& ,i! !&#+e 0artner!%i0 A##&7e, t%e 0&7er) n&t ne*e!!ari# t%e ri(%t) t& ,i!!&#+e 0artner!%i0. Di!!&#-ti&n $-!t /e in (&&, 6ait%. Ba, 6ait% 7i## n&t 0re+ent ,i!!&#-ti&n /-t $a re!-#t in #ia/i#it 6&r ,a$a(e!. D$crine $& De%ec!s Pers$nae8 Partner!%i0 at 7i## i! 0re,i*ate, &n t%e $-t-a# ,e!ire an, *&n!ent &6 t%e 0artner!. T%e ri(%t t& *%&&!e 7it% 7%&$ t& a!!&*iate %i$!e#6 i! t%e +er 6&-n,ati&n an, e!!en*e &6 t%at 0artner!%i0. 4r!% v. CA, G.R. o. 102+8, ul6 3, 15
Delectus personarum" ,&e! n&t a00# t& a #i$ite, 0artner 7%& $ere# *&ntri/-te! %i! intere!t an, i! n&t /arre, 6r&$ en(a(in( in *&$0etiti+e
MUTUAL A3ENC, =Acc$rdin' $ Dean Vi%%an!e.a;
Partner! *an ,i!0&!e &6 0artner!%i0 0r&0ert e+en 7%en in 0artner!%i0 na$e =Ar- 119; A,$i!!i&n &r re0re!entati&n $a,e / an 0artner *&n*ernin( 0artner!%i0 a66air! i! e+i,en*e a(ain!t t%e 0artner!%i0 =Ar- 120; N&ti*e t& an 0artner &6 an $atter re#atin( t& 0artner!%i0 a66air! i! n&ti*e t& t%e 0artner!%i0 =Ar- 121; ;r&n(6-# a*t &r &$i!!i&n &6 an 0artner a*tin( 6&r 0artner!%i0 a66air! $a1e! t%e 0artner!%i0 #ia/#e =Ar- 122; Partner!%i0 /&-n, t& $a1e (&&, #&!!e! 6&r a*t! &r $i!a00#i*ati&n! &6 0artner! =Ar- 12(;
UNLIMITED LIABILIT, =Acc$rdin' $ Dean Vi%%an!e.a; A## 0artner! are #ia/#e 0r& rata 7it% a## t%eir 0r&0ertie! an, a6ter a!!et!,e/t! %a+e /een e%a-!te,) 6&r0artner!%i0 a## 0artner!%i0 ?Ar- 11+ An !ti0-#ati&n a(ain!t 0er!&na# #ia/i#it &6 0artner! 6&r 0artner!%i0 ,e/t! i! +&i,) e*e0t a! a$&n( t%e$ ?Ar- 11? Partner! are #ia/#e !&#i,ari# 7it% t%e 0artner!%i0 6&r e+ert%in( *%ar(ea/#e t& t%e 0artner!%i0 7%en *a-!e, / t%e 7r&n(6-# a*t &r &$i!!i&n &6 an 0artner a*tin( in t%e &r,inar *&-r!e &6 /-!ine!! &6 t%e 0artner!%i0 &r 7it% a-t%&rit 6r&$ t%e &t%er 0artner! an, 6&r 0artner! a*t &r $i!a00#i*ati&n &6 0r&0ertie! ?Ar- 12) A ne7# a,$itte, 0artner int& an ei!tin( 0artner!%i0 i! #ia/#e 6&r a## t%e &/#i(ati&n! &6 t%e 0artner!%i0 ari!in( /e6&re %i! a,$i!!i&n /-t &-t 12+ &6 0artner!%i0 0r&0ert !%are! ? ArPartner!%i0 *re,it&r! are 0re6erre, t& t%&!e &6 ea*% &6 t%e 0artner! a! re(ar,! t%e 0artner!%i0 0r&0ert ?Ar- 12?
U0&n ,i!!&#-ti&n &6 t%e 0artner!%i0) t%e 0artner! !%a## *&ntri/-te t%e a$&-nt! ne*e!!ar t& !ati!6 t%e 0artner!%i0 #ia/i#itie! ?Ar- 1(9=);5 =?;
act with .rd persons
&6 !ti0-#ati&n t& *&ntrar) a 0artner $a /in, 0artner!%i0 ?ea*% 0artner i! a(ent &6 0artner!%i0 E&&ec $& Deat% &6 d 0artner e re!-#t! in
*ann&t re0re!ent t%e *& &7ner!%i 0
nt i! +e!te, 7it% t%e B&ar, &6 Dire*t&r!
Deat% &6 *&&7ner ,&e! n&t
Deat% &6 !t&*1%&#,e r ,&e! n&t
a ,i!!&#-ti&n &6 0artner!%i0
ne*e!!ari # ,i!!&#+e *& &7ner!%i 0 Ma /e ,i!!&#+e, anti$e / t%e 7i## &6 an &r a## &6 t%e *& &7ner! Mini$-$ &6 8 0er!&n!
,i!!&#+e *&r0&rati& n
PARTNERSHIP DISTIN3UISHED :ROM CO> OWNERSHIP AND CORPORATION BASIS Creai$n
uridical personali ty
PARTNERS HIP Create, / a *&ntra*t) / $ere a(ree$ent &6 t%e 0artie! Ha! a -ri,i*a# 0er!&na#it !e0arate an, ,i!tin*t 6r&$ t%at &6 ea*% 0artner
P!r$se
Rea#iati&n &6 0r&6it!
!uration Term of existence
N& #i$itati&n
CO> OWNER SHIP Create, / #a7
N&ne
C&$$&n en&$en t &6 a t%in( &r ri(%t 5 ear! $ai$$
!isposal Transfera bility of interest
Partner $a n&t ,i!0&!e &6 %i! in,i+i,-a# intere!t -n#e!! a(ree, -0&n / a## 0artner!
C&&7ner $a 6ree# ,& !&
Power to
In a/!en*e
C&&7ner
CORP Create, / #a7
Ha!a -ri,i*a# 0er!&na#it !e0arate an, ,i!tin*t 6r&$ t%at &6 ea*% !t&*1%&#,e r De0en,! &n AOI
4 ear! $ai$-$) eten,i/#e t& n&t $&re t%an 4 ear! in an &ne in!tan*e St&*1%&#,e r %a! a ri(%t t& tran!6er !%are! 7it%&-t 0ri&r *&n!ent &6 &t%er !t&*1%&#,e r! Mana(e$e
Diss$%!i Ma /e $ ,i!!&#+e, n at an ti$e / t%e 7i## &6 an &r a## &6 t%e 0artner! M of incorpora tors
Mini$-$ &6 8 0er!&n!
0ommen cement
Fr&$ t%e $&$ent &6
of juridical personali ty
ee*-ti&n &6 *&ntra*t &6 0artner!%i0
N&ne
Can &n# /e ,i!!&#+e, 7it% t%e *&n!ent &6 t%e !tate Mini$-$ &6 4 in*&r0&rat &r! Fr&$ ,ate &6 i!!-an*e &6 *erti6i*ate &6 in*&r0&rati &n / t%e SEC
WHO MA, BE PARTNERS 3ENERAL RULE8 An 0er!&n *a0a*itate, t& *&ntra*t $a enter int& a *&ntra*t &6 0artner!%i0. EFCEPTIONS Per!&n! 7%& are 0r&%i/ite, 6r&$ (i+in( ea*% &t%er an ,&nati&n &r a,+anta(e *ann&t enter int& a -ni+er!a# 0artner!%i0. =Ar1?2; Per!&n! !-66erin( 6r&$ *i+i# inter,i*ti&n. Per!&n! 7%& *ann&t (i+e *&n!ent t& a *&ntra*t: Min&r! in!ane 0er!&n! ,ea6$-te! 7%& ,& n&t 1n&7 %&7 t& 7rite ?on# T%ere i! n& 0r&%i/iti&n 6&r 0artner!%i0! t& /e 0artner!) BUT THIS IS DOUBTFUL AND
IMPRACTICAL &n a**&-nt &6 Art. 5>9 ?t%at a partnership has a juridical personality separate from that of each of the partners* an, &6 t%e e!!entia# attri/-te *a##e, delectus personae%
•
MA, CORPORATIONS ENTER INTO PARTNERSHIP
•
Pi%iine C$r$rae La/ =2001; #" %n 'ill%nuv% =- 902; citing "arious /E0 Opinions8 C&r0&rati&n! $a enter int& 0artner!%i0 a(ree$ent! &n t%e 6&##&7in( *&n,iti&n!: A-t%&rit t& enter int& a 0artner!%i0 re#ati&n i! e0re!!# *&n6erre, / t%e *%arter &r t%e arti*#e! &6 in*&r0&rati&n ?A&I) an, t%e nat-re &6 t%e /-!ine!! +ent-re t& /e -n,erta1en / t%e 0artner!%i0 i! in #ine 7it% t%e /-!ine!! a-t%&rie, / t%e *%arter &r A&I. I6 it i! a 6&rei(n *&r0&rati&n) it $-!t &/tain a #i*en!e t& tran!a*t /-!ine!! in t%e *&-ntr in a**&r,an*e 7it% t%e C&r0&rati&n C&,e &6 t%e P%i#i00ine!.
NOTE8 H&7 ta #a7 treat! t%e $atter: N&ti&n &6 0artner!%i0 n& $atter %&7 *reate, &r &r(anie,: a 0&&# &6 in!-ran*e *&$0anie! 7a! *&n!i,ere, a 0artner!%i0 -n,er a00#i*a/#e ta #a7. Aisco v. CA, G.R. o. 112*75, %nu%r6 25, 1 ;it%&-t 0re-,i*e t& t%e 6&r$ati&n &6 a &int +ent-re. .9. :u%on v. =ol%nos, 5 ;"il. 10* (15+)M Aur%c" v. %ni!%r6 $%rs 9%nu%c!urin, 180 CRA 130 (18)
WHAT MA, BE CONTRIBUTED #ust be in e;ual shares unless otherwise stipulated =Ar- 1?90;-
M$ne" 6ai#-re t& *&ntri/-te 0r&$i!e, $&ne $a1e! t%e 0r&$i!!&r0artner #ia/#e 6&r t%e a$&-nt 0r&$i!e,) an, a#!& 6&r intere!t ,-e an, ,a$a(e! ari!in( 6r&$ t%e ti$e t%e 6&r$er !%&-#, %a+e *&$0#ie, 7it% %i! &r %er -n,erta1in( =Ar- 1?+5 X 1; ?-0&n 0er6e*ti&n &6 *&ntra*t) -n#e!! *&ntrar !ti0-#ati&n I6 t%ere i! 6ra-, &r $i!re0re!entati&n) a*ti&n 6&r re!*i!!i&n $a /e 6i#e, an, t%e 0art entit#e, t& re!*in,) 7it%&-t 0re-,i*e t& an &t%er ri(%t) %a! t%e ri(%t t&: • #ien &n) &r ri(%t &6 retenti&n &+er) t%e !-r0#-! &6 0artner!%i0 0r&0ert a6ter !ati!6in( 0artner!%i0 #ia/i#itie! t& t%ir, 0er!&n! ?6&r an !-$ 0ai, / t%e in-re, 0artner 6&r t%e 0-r*%a!e &6 an intere!t in t%e 0artner!%i0 an, 6&r an *a0ita# &r a,+an*e! *&ntri/-te, / t%e #atter
!tan, in 0#a*e &6 *re,it&r! &6 t%e 0artner!%i0 6&r an 0a$ent! $a,e / t%e in-re, 0artner in re!0e*t &6 0artner!%i0 #ia/i#itie!) a6ter a## #ia/i#itie! t& t%ir, 0er!&n! %a+e /een !ati!6ie, in,e$nit / t%e (-i#t 0artner a(ain!t a## 0artner!%i0 ,e/t! an, #ia/i#itie! ? Ar1(" re#ate t& Art. 59=5: 7it% &r 7it%&-t 6ra-, &r $i!re0re!entati&n) in-re, 0artner $a !ee1 -,i*ia# ,i!!&#-ti&n
Pr$er"
$a in*#-,e intan(i/#e &r in*&r0&rea#) e.(. *re,it ?i& :on ?i& v. ;"il.
Ar- 1?+5 XX 1 and 2 a00#ie!: #ia/#e 6&r 6r-it! 6r&$ t%e ti$e 0r&0ert !%&-#, %a+e /een ,e#i+ere, 7it%&-t nee, &6 ,e$an," a#!& in*#-,e &/#i(ati&n t& 0re!er+e t%e 0r&$i!e, 0r&0ert 7it% t%e ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# 0en,in( ,e#i+er. Ind!sr" $a *&n*-r 7it% an &r /&t% &6 t%e 6ir!t t7& &r in t%e a/!en*e &6 an &ne &r /&t% &6 t%e$" $an-a# an,&r inte##e*t-a# in *&n!i,erati&n &6 !%are in t%e 0r&6it!" %en*e) a! (enera##) 0artner! are n&t entit#e, t& *%ar(e ea*% &t%er. 9%rs"Ds App%l, * ;%. !. 30 E+er 0artner i! /&-n, t& 7&r1 t& t%e etent &6 %i! a/i#it 6&r t%e /ene6it &6 t%e 7%&# e) 7it%&-t re(ar, t& t%e !er+i*e! &6 %i! *& 0artner!) an, 7it%&-t *&$0ari!&n &6 +a#-e" 6&r !er+i*e! t& t%e 6ir$ *ann&t) 6r&$ t%eir +er nat-re) /e e!ti$ate, an, e2-a#ie, / *&$0en!ati&n &6 ,i66eren*e!. =%!!6 v. $r%6, 7 B%rris 51 BUT: a 0artner 7%& %a! a(ree, t& ren,er !0e*ia# !er+i*e t& t%e 0artner!%i0) 6&r t%e 0er6&r$an*e &6 7%i*% %e i! 2-a#i6ie,) an, which is one of the inducements for the other members t& enter t%e 0artner!%i0) 7a! 6&-n, #ia/#e *i+i## t& a**&-nt 6&r t%e +a#-e &6 !-*% !er+i*e -0&n a 6in,in( t%at %e 7r&n(6-## re6-!e, t& 0er6&r$ !-*% !er+i*e. BUT THEN AGAIN) !0e*i6i* 0er6&r$an*e n&t a+ai#a/#e ,-e t& *&n!tit-ti&na# 0r&%i/iti&n +!. in+&#-ntar !er+it-,e A #i$ite, 0artner i! n&t a##&7e, t& *&ntri/-te !er+i*e!) &n# *a!% &r &t%er 0r&0ert =Ar1)*;" &t%er7i!e) %e i! *&n!i,ere, an in,-!tria# an, (enera# 0artner an, t%-!) n&t ee$0te, 6r&$ 0er!&na# #ia/i#it.
WHEN IMMOVABLES OR REAL RI3HTS CONTRIBUTED 3ENERAL RULE8 Fai#-re t& *&$0# 7it% t%e re2-ire$ent &6 a00earan*e in 0-/#i* in!tr-$ent an, SEC Re(i!trati&n 7i## n&t a66e*t t%e #ia/i#it &6 t%e 0artner!%i0 an, t%e $e$/er! t%ere&6 t& t%ir, 0er!&n!. ? Ar1??25 X 2 EFCEPTION8 ;%en IMMOVABLE PROPERT, REAL RI3HTS are *&ntri/-te,) Y!#%ic insr!men Q i n.en$r"Y $a,e an, !i(ne, / t%e 0artie! an, atta*%e, t& t%e 0-/#i* in!tr-$ent ? Ars- 1??1 an, 1??( i! re2-ire, 6&r t%e /ene6it &6 t%ir, 0er!&n!.
E::ECT O: ABSENCE O: REUIREMENTS UNDER ARTICLES 1??1 AND 1??( C$ndii$n $& Parnersi /ere Rea% Pr$er" is C$nri#!ed
De Le$n
VOID
VOID
;it% P-/#i* In!tr-$ent) N& In+ent&r
VOID
VOID
A!!6. 'ill%r%l# T%e !a6er +ie7 i! De Le&nK! ,-e t& %i! !i$0#i6ie, +ie7 &6 !tat-te.
NOTE8 Partner!%i0! +&i, -n,er Art.5>>=) in re#ati&n Art. 5>>5 $a !ti## /e *&n!i,ere, eit%er ,e 6a*t& &r e!t&00e# 0artner!%i0! +i!]+i! t%ir, 0er!&n!" $a e+en /e treate, a! an &r,inar *&ntra*t 6r&$ 7%i*% ri(%t! an, &/#i(ati&n! $a +a#i,# ari!e) a#t%&-(% n&t ea*t# a 0artner!%i0 -n,er t%e Ci+i# C&,e. :orrs v. CA, 320 CRA +28 (1)
Fai#-re t& 0re0are an in+ent&r &6 t%e i$$&+a/#e 0r&0ert *&ntri/-te,) in !0ite &6 arti*#e 5>>= ,e*#arin( t%e 0artner!%i0 +&i, 7&-#, n&t ren,er t%e 0artner!%i0 +&i, 7%en: NO THIRD PARTY INVOLVED ?!in*e Art. 5>>= 7a! inten,e, 6&r t%e 0r&te*ti&n &6 =r, 0artie!" Partner! %a+e MADE A CLAIM ON THE PARTNERSHIP AGREEMENT.
OTHER CLASSI:ICATIONS O: PARTNERSHIP
DE URE PARTNERSHIP W&ne 7%i*% %a! *&$0#ie, 7it% a## t%e #e(a# re2-ire$ent! 6&r it! e!ta/#i!%$ent DE :ACTOW&ne 7%i*% %a! 6ai#e, t& *&$0# 7it% a## t%e #e(a# re2-ire$ent! 6&r it! e!ta/#i!%$ent As $ !r$se
VALID B-t eit%er 0art $a *&$0e# ee*-ti&n &6 0-/#i* in!tr-$ent !& it $a /e re(i!tere, in t%e re(i!tr &6 0r&0ert" n&net%e#e!!) 0artner!%i0
VALID
COMMERCIAL OR TRADIN3 PARTNERSHIPW&ne 6&r$e, 6&r t%e tran!a*ti&n &6 /-!ine!! PRO:ESSIONAL OR NON TRADIN3 PARTNERSHIPW&ne 6&r$e, 6&r t%e eer*i!e &6 a 0r&6e!!i&n INDS O: PARTNERS
VOID
a(ree$ent $a /e en6&r*e, ?*6. Ars- 1(*+ $ 1(* ;it% P-/#i* In!tr-$ent) ;it%
/ource# =%r Rvi o!s or ;%r!nrs"ip ?% by Atty% @illareal*
As $ %e'a%i" $& e6isence Ba!isa5 E-
N& 0-/#i* In!tr-$ent) N& In+ent&r
N& P-/#i* In!tr-$ent) ;it% In+ent&r
In+ent&r
VALID
CAPITALISTW*&ntri/-te! $&ne &r 0r&0ert INDUSTRIALW*&ntri/-te! &n# in,-!tr &r 0er!&na# !er+i*e 3ENERALW#ia/i#it t& = r, 0er!&n! eten,! t& !e0arate 0r&0ert LIMITEDW#ia/i#it t& = r, 0er!&n! #i$ite, t& *a0ita# *&ntri/-ti&n MANA3IN3W$ana(e! t%e a66air!/-!ine!! &6 t%e 0artner!%i0 LIUIDATIN3Wta1e! *%ar(e &6 t%e 7in,in( -0 &6 0artner!%i0 a66air! -0&n ,i!!&#-ti&n
PARTNERS B, ESTOPPELWn&t rea## a 0artner /-t #ia/#e a! a 0artner 6&r t%e 0r&te*ti&n &6 inn&*ent =r, 0er!&n! CONTINUIN3 PARTNER W*&ntin-e! t%e /-!ine!! &6 a 0artner!%i0 a6ter ,i!!&#-ti&n / rea!&n &6 t%e a,$i!!i&n &6 a ne7 0artner) retire$ent) ,eat% &r e0-#!i&n &6 &ne &6 t%e 0artner! SURVIVIN3 PARTNERWa6ter a 0artner!%i0 %a! /een ,i!!&#+e, / ,eat% &6 an 0artner SUBPARTNERWn&t a $e$/er &6 t%e 0artner!%i0 7%& *&ntra*t! 7it% a 0artner 7it% re6eren*e t& t%e #atter! !%are in t%e 0artner!%i0 OSTENSIBLEWta1e! a*ti+e 0art an, 1n&7n t&
Re$e, &6 t%e &t%er 0artner i! n&t re!*i!!i&n /-t !0e*i6i* 0er6&r$an*e 7it% ,a$a(e! 6r&$ ,e6a-#tin( 0artner ?Ar- 1?
t%e 0-/#i* a! 0artner in 0art t%e /-!ine!! SECRET Wta1e! a*ti+e in t%e /-!ine!! /-t i! n&t 1n&7n t& /e a 0artner / &-t!i,e 0artie! SILENTW,&e! n&t ta1e an a*ti+e 0art in t%e /-!ine!! a#t%&-(% %e $a /e 1n&7n t& /e a 0artner DORMANTW,&e! n&t ta1e a*ti+e 0art in t%e /-!ine!! an, i! n&t 1n&7n &r %e#, &-t a! a 0artner
6ai#! t& 0a %i!a$&-nt *&ntri/-ti&n &n ti$e &r in *a!e %e ta1e! an 6r&$ t%e *&$$&n 6-n, an, *&n+ert! it t& %i! &7n -!e @. T& in,e$ni6 t%e 0artner!%i0 6&r t%e ,a$a(e! *a-!e, t& it / ,e#a in t%e *&ntri/-ti&n &r *&n+er!i&n &6 an !-$ 6&r %i! 0er!&na# /ene6it! ?/ee Ar- 1?
O#%i'ai$ns /i resec $ c$nri#!i$n $& m$ne" and m$ne" c$n.ered $ ers$na% !se8 5. T& *&n tri/-te &n t%e ,at e 6ie, t%e a$& -nt %e %a! -n,erta1en t& *&ntri/-te t& t%e 0artner!%i0 8. T& rei$/-r!e an a$&-nt %e $a %a+e ta1en 6r&$ t%e 0artner!%i0 *&66er! an, *&n+erte, t& %i! &7n -!e =. T& 0a 6&r t%e a(ree, &r #e(a# intere!t) i6 %e
:IDUCIAR, DUT, C- RI3HTS AND OBLI3ATIONS O: PARTNERS AMON3 THEMSELVES 1; OBLI3ATIONS O: THE PARTNERS AMON3 THEMSELVES
A 0artner!%i0 i! a 6i,-*iar re#ati&nW&ne entere, int& an, t& /e $aintaine, &n t%e /a!i! &6 tr-!t an, *&n6i,en*e. ;it% t%at) a 0artner $-!t &/!er+e t%e -t$&!t (&&, 6ait%) 6airne!!) an, inte(rit in %i! ,ea#in(! 7it% t%e &t%er!:
PROMISED CONTRIBUTION 4li%!ions i!" rspc! !o con!riu!ion o propr!6#
5. t& *&ntri/-te t%e !ti0-#ate, /e(innin( ti$e &6 t%e 0artner!%i0 &r at at t%e t%e $&ne) 0r&0ert &r in,-!tr 7%i*% %e $a %a+e 0r&$i!e, t& *&ntri/-te ?Ar- 1?+ T& an!7er 6&r e+i*ti&n in *a!e t%e 0artner!%i0 i! ,e0ri+e, &6 t%e ,eter$inate 0r&0ert *&ntri/-te, ?Ar- 1?+ 8. T& an!7er t& t%e 0 artner!%i0 6&r t%e 6r-it! &6 t%e 0r&0ert t%e *&ntri/-ti&n &6 7%i*% %e ,e#ae,) 6r&$ t%e ,ate t%e !%&-#, %a+e /een *&ntri/-te, -0 t& t%e ti$e &6 a*t-a# ,e#i+er ?Ar- 1?+ =. T& 0re!er+e !ai, 0r&0ert 7it% t% e ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# 0en,in( ,e#i+er t& 0artner!%i0 ?Ar- 11+( @. T& in,e$ni6 0artner!%i0 6&r an ,a$a(e *a-!e, t& it / t%e retenti&n &6 t%e !a$e &r / t%e ,e#a in it! *&ntri/-ti&n ? Ars- 1?5 11?0
E&&er$mised8 c $& &ai%!re $ c$nri#!e r$er" Partner! /e*&$e! ipso jure a ,e/t&r &6 t%e 0artner!%i0 e+en in t%e a/!en*e &6 an ,e$an, ?See Ar- 11+9K1
He *ann&t ,ire*t# &r in,ire*t# -!e 0artner!%i0 a!!et! 6&r %i! &7n /ene6it" He *ann&t *arr &n a /-!ine!! &6 t%e 0artner!%i0 6&r %i! 0ri+ate a,+anta(e" He *ann&t) in *&n,-*tin( t%e /-!ine!! &6 t%e 0artner!%i0) ta1e an 0r&6it *#an,e!tine#" He *ann&t &/tain 6&r %i$!e#6 t%at %e !%&-#, %a+e &/taine, 6&r t%e 0artner!%i0 ?e.(. /-!ine!! &00&rt-nit He *ann&t *arr &n an&t%er *&$0etiti&n 7it% t%e 0artner!%i0"
/-!ine!!
in
He *ann&t a+ai# %i$!e#6 &6 1n&7#e,(e &r in6&r$ati&n 7%i*% $a /e 0r&0er# re(ar,e, a! t%e 0r&0ert &6 t%e 0artner!%i0"
PROHIBITION A3AINST EN3A3IN3 IN COMPETITIVE BUSINESS INDUSTRIAL PARTNER *ann&t en(a(e in /-!ine!! ?7n !a$e #ine &6 /-!ine!! 7it% t%e 0artner!%i0 -n#e!!
CAPITALIST PARTNER *ann&t en(a(e in /-!ine!! ?7it% !a$e 1in, &6 /-!ine!! 7it% t%e
0artner!%i0 e0re!!# 0er$it! %i$ t& ,& !&. ?Ar- 1?9
0artner!%i0 6&r %i! &7n a**&-nt) -n#e!! t%ere i! a !ti0-#ati&n t& t%e *&ntrar. ? Ar- 10
CONSEUENCES I: AN /:R/A? ;AR:ER EN3A3ES IN AN, BUSINESS8 ?Ar- 1?9 %e *an /e e*#-,e, 6r&$ t%e 0artner!%i0" &r t%e *a0ita#i!t 0artner! *an a+ai# &6 t%e /ene6it %e &/taine, 6r&$ t%e /-!ine!!) &r t%e *a0ita#i!t 0artner! %a+e t%e ri(%t t& 6i#e an a*ti&n 6&r ,a$a(e! a(ain!t t%e in,-!tria# 0artner) in eit%er *a!e. CONSEUENCES I: THE CAPITALIST PARTNER EN3A3ES IN A BUSINESS ?7%i*% *&$0ete! 7it% t%e /-!ine!! &6 t%e 0artner!%i0: 5. %e $a /e re2 -ire, t& /ri n( t& t% e *&$$&n 6-n, t%e 0r&6it! %e ,eri+e, 6r&$ t%e &t%er /-!ine!!" ?Ar- 10; 8. %e !%a ## 0er !&na## /ear t%e #&!!e!" ? Ar10 =. %e $a /e &-!te, 6&r$ t%e 0artner!%i0) e!0e*ia## i6 t%ere 7a! a 7arnin(. 4li%!ions i!" rspc! !o con!riu!ion !o p%r!nrs"ip c%pi!%l# 5. Partner! $-!t *&ntri/-te e2-a# !%are! t& t%e *a0ita# &6 t%e 0artner!%i0 -n#e!! t%ere i! !ti0-#ati&n t& *&ntrar ?Ar- 1?90
8. Partner! ?*a0ita#i!t $-!t *&ntri/-te a,,iti&na# *a0ita# in *a!e &6 i$$inent #&!! t& t%e /-!ine!! &6 t%e 0artner!%i0 an, t%ere i! n& !ti0-#ati&n &t%er7i!e" re6-!a# t& ,& !& !%a## *reate an &/#i(ati&n &n %i! 0art t& !e## %i! intere!t t& t%e &t%er 0artner! ? Ar- 1?90
Re@!isies8 5. T%ere i! an i$ $inent #&!! &6 t%e /-!ine!! &6 t%e 0artner!%i0 8. T%e $a&rit &6 t% e *a0ita#i!t 0artner! are &6 t%e &0ini&n t%at an a,,iti&na# *&ntri/-ti&n t& t%e *&$$&n 6-n, 7&-#, !a+e t%e /-!ine!! =. T%e *a0ita#i!t 0artner re6-!e! ,e#i/erate# t& *&ntri/-te ?n&t ,-e t& 6inan*ia# ina/i#it @. T%ere i! n& a(ree$ent t& t%e *&ntrar 4li%!ion o &%n%in p%r!nrs "o collc!s ! ro& prson "o %lso o !" p%r!nrs"ip ?Ar- 1?92 5. A00# !-$ *&##e*te, t& 8 *re,it! in 0r&0&rti&n t& t%eir a$&-nt! 8. I6 %e re*ei+e, it 6&r t%e a**&-nt &6 0artner!%i0) t%e 7%&#e !-$ !%a## /e a00#ie, t& 0artner!%i0 *re,it
Re@!isies8 5. T%ere ei!t at #ea! t 8 ,e/t!) &ne 7% ere t%e *&##e*tin( 0artner i! *re,it&r an, t%e &t%er) 7%ere t%e 0artner!%i0 i! t%e *re,it&r 8. B&t% ,e/t! are ,e$an,a/#e T%e 0artner 7%& *&##e*t! i! a-t%&rie, t& $ana(e an, a*t-a## $ana(e! t%e 0artner!%i0 4li%!ion o p%r!nr "o rcivs s"%r o p%r!nrs"ip cri! O/#i(e, t& /rin( t& t%e 0artner!%i0 *a0ita# 7%at %e %a! re*ei+e, e+en t%&-(% %e $a %a+e (i+en re*ei0t 6&r %i! !%are &n# ? Ar- 1?9(
Re@!isies8 5. A 0artner %a! re*ei+e, in 7%&#e &r in 0art) %i! !%are &6 t%e 0artner!%i0 *re,it 8. T%e &t%er 0artner! %a+e n&t *&##e*te, t%eir !%are! =. T%e 0artner!%i0 ,e/t&r %a! /e*&$e in!&#+ent
TO MANA3EMENT BEARIN3 THE RIS O: LOSS O: THIN3S CONTRIBUTED ?Ar- 1?9* S0e*i6i* an, ,eter$inate t%in(! 7%i*% are n&t 6-n(i/#e 7%ere &n# t%e -!e i! *&ntri/-te, S0e*i6i* an, ,eter$inate t%in(! t%e &7ner!%i0 &6 7%i*% i! tran!6erre, t& t%e 0artner!%i0 F-n(i/#e t%in(! ?*&n!-$a/#e
Ri!1 i! /&rne / 0artner
Ri!1 i! /&rne / 0artner!%i0 Ri!1 i! /& rne / 0artner!%i0 T%in(! *&ntri/-te, t& /e !&#, Ri!1 i! /&rne / 0artner!%i0 T%in(! /r&-(%t an, a00rai!e, in Ri!1 i! /&rne t%e in+ent&r / 0artner!%i0 S0e*i6i* an, ,eter$inate t%in(! Ri!1 i! /&rne 7%i*% are n&t 6-n(i/#e 7%ere / 0artner &n# t%e -!e i! *&ntri/-te,
RULES :OR DISTRIBUTION O: PRO:ITS AND LOSSES PRO:ITS LOSSES $i!" A**&r,in( t& A**&r,in( t& %r& a(ree$ent a(ree$ent n! Githout agreeme nt
S%are &6 *a0ita#i!t 0artner i! in 0r&0&rti&n t& %i! *a0ita# *&ntri/-ti&n S%are &6 in,-!tria# 0artner i! n&t 6ie, a! $a /e -!t an, e2-ita/#e -n,er t%e *ir*-$!tan*e!
I6 !%arin( &6 0r&6it! i! !ti0-#ate, a00# t& !%arin( &6 #&!!e! I6 n& 0r&6it !%arin( !ti0-#ate, #&!!e! !%a## /e /&rne a**&r,in( t& *a0ita# *&ntri/-ti&n P-re# in,-!tria# 0artner n&t #ia/#e 6&r #&!!e!
A !ti0-#ati&n 7%i*% e*#-,e! &ne &r $&re 0artner! 6r&$ an !%are in t%e 0r&6it! an, #&!!e! i! +&i,.
NOTE8 Sti0-#ati&n ee$0tin( a 0artner 6r&$ #&!!e! !%&-#, /e a##&7e,. I6 a 0er!&n *an $a1e a (i6t t& an&t%er) t%ere i! n& !&-n, rea!&n 7% a 0er!&n *ann&t a#!& a(ree t& /ear a## t%e #&!!e!. O6 *&-r!e) a! 6ar a! THIRD PERSONS are *&n*erne,) an !-*% !ti0-#ati&n $a /e 0r&0er# ,e*#are, +&i,. ?De Le&n) 00. 58@584) *itin( E!0irit- an, Si/a# RI3HTS AND OBLI3ATIONS WITH RESPECT
Partner is appointed manager in the articles of partnership
Partner is appointed manager after constitution of partnership ) or more persons entrusted with management of partnership without specification of dutiesstipulation that each shall not act wo the others consent
P&7er &6 $ana(in( 0artner i! irre+&*a/#e 7it%&-t -!t#a76-# *a-!e" Re+&*a/#e &n# 7%en in /a, 6ait% P&7er i! re+&*a/#e an ti$e 6&r an *a-!e
V&te &6 0artner! re0re!entin( *&ntr&##in( intere!t ne*e!!ar t& re+&1e 0&7er
Ea*% $a ee*-te a## a*t! &6 a,$ini!trati& n
In *a!e &6 &00&!iti&n) ,e*i!i&n &6 $a&rit !%a## 0re+ai#" In *a!e &6 tie) ,e*i!i&n &6 0artner! &7nin( *&ntr&##in( intere!t !%a## 0re+ai# A/!en*e &r ,i!a/i#it &6 an &ne *ann&t /e a##e(e, -n#e!! t%ere i! i$$inent ,an(er &6 (ra+e &r irre0ara/#e in-r t& 0artner!%i0 I6 re6-!a# &6 0artner i! $ani6e!t# 0re-,i*ia# t& intere!t &6 0artner!%i0) *&-rt! inter+enti&n $a /e !&-(%t
/tipulated that none of the managing partners shall act wo the consent of others
C&n*-rren*e &6 a## ne*e!!ar 6&r t%e +a#i,it &6 a*t!
#anner of management not agreed upon
A## 0artner! are a(ent! &6 t%e 0artner!%i0 Unani$&-! *&n!ent re2-ire, 6&r a#terati&n &6 i$$&+a/#e 0r&0ert
Oer ri's and $#%i'ai$ns $& arners8 5. Ri(%t t& a!!&*iate an&t%er 0er!&n 7it% %i$ in %i! !%are 7it%&-t *&n!ent &6 &t%er 0artner! ?!-/0artner!%i0 8. Ri(%t t& in!0e*t an, *& 0 0artner!%i0 /&&1! at an rea!&na/#e %&-r =. Ri(%t t& a 6&r$a# a** &-nt a! t& 0artner!%i0 a66air! ?e+en ,-rin( ei!ten*e &6 0artner!%i0:
@. I6 %e i! 7r&n (6-## e*#-,e, 6r&$ 0ar tner!%i0 /-!ine!! &r 0&!!e!!i&n &6 it! 0r&0ert / %i! *&0artner! 4. I6 ri(%t ei!t! -n,er t%e ter$! &6 an a(ree$ent A! 0r&+i,e, / art. 59> ;%ene+er &t%er *ir*-$!tan*e! ren,er it -!t an, rea!&na/#e D-t t& ren,er &n ,e$an, tr-e an, 6-## in6&r$ati&n a66e*tin( 0artner!%i0 t& an 0artner &r #e(a# re0re!entati+e &6 an ,e*ea!e, 0artner &r &6 an 0artner -n,er #e(a# ,i!a/i#it D-t t& a**&-nt t& t%e 0artner!%i0 a! 6i,-*iar
Partner! an, t%e 0artner!%i0 are !&#i,ar #ia/#e t& = r, 0er!&n! 6&r t%e 0artner! t&rt &r /rea*% &6 tr-!t Lia/i#it &6 in*&$in( 0artner i! #i$ite, t&: Hi! !%are in t%e 0artner!%i0 0r&0ert 6&r ei!tin( &/#i(ati&n! Hi! !e0arate 0r&0ert 6&r !-/!e2-ent &/#i(ati&n! Cre,it&r! &6 0artner!%i0 0re6erre, in 0artner!%i0 0r&0ert $a atta*% 0artner! !%are in 0artner!%i0 a!!et! E+er 0artner i! an a(ent &6 t%e 0artner!%i0
2; PROPERT, RI3HTS O: PARTNER Hi! ri(%t! in seAci& ic arnersi r$er" Hi! ineres in t%e 0artner!%i0 Hi! ri(%t t& ariciae in e mana'emen ?Ar- 110
POWER O: PARTNER AS A3ENT O: PARTNERSHIP
Na!re $& arners ri' in seci&ic arnersi r$er"Wa 0artner %a! an e2-a# ri(%t t& 0&!!e!!i&n 7%i*% i! n&t a!!i(na/#e an, !-*% ri(%t i! #i$ite, t& t%e !%are &6 7%at re$ain! a6ter 0artner!%i0 ,e/t! %a+e /een 0ai, Na!re $& arners ri' in e arnersi Wa !%are in t%e 0r&6it! an, !-r0#-! (- OBLI3ATION O: PARTNERS WITH RE3ARD TO THIRD PERSONS E+er 0artner!%i0 !%a## &0erate -n,er a 6ir$ na$e. Per!&n! 7%& in*#-,e na$e! in t%e 0artner!%i0 na$e e+en t%eir i6 t%e are n&t $e$/er! !%a## /e #ia/#e a! a 0artner A## 0artner! !%a## /e #ia/#e 6&r *&ntra*t-a# &/#i(ati&n! &6 t%e 0artner!%i0 7it% t%eir 0r&0ert) a6ter a## 0artner!%i0 a!!et! %a+e /een e%a-!te,: Pr& rata S-/!i,iar A,$i!!i&n &r re0re!entati&n $a,e / an 0artner *&n*ernin( 0artner!%i0 a66air! 7it%in !*&0e &6 %i! a-t%&rit i! e+i,en*e a(ain!t t%e 0artner!%i0 N&ti*e t& 0artner &6 an $atter re#atin( t& 0artner!%i0 a66air! &0erate! a! n&ti*e t& 0artner!%i0) e*e0t in *a!e &6 6ra-,: 'n&7#e,(e) &6 0artner a*tin( in t%e 0arti*-#ar $atter) a*2-ire, 7%i#e a 0artner 'n&7#e,(e &6 t%e 0artner a*tin( in t%e 0arti*-#ar $atter t%en 0re!ent t& %i! $in, 'n&7#e,(e &6 an &t%er 0artner 7%& rea!&na/# *&-#, an, !%&-#, %a+e *&$$-ni*ate, it t& t%e a*tin( 0artner
A*t! 6&r *arrin( &n in t%e -!-a# 7a t%e /-!ine!! &6 t%e 0artner!%i0
A*t 7* i! n&t a00arent# 6&r t%e *arrin( &6 /-!ine!! in t%e -!-a# 7a A*t! &6 !tri*t ,&$ini&n &r &7ner!%i0: A!!i(n 0artner!%i0 0r&0ert in tr-!t 6&r *re,it&r! Di!0&!e &6 (&&, 7i## &6 /-!ine!! D& an a*t 7* 7&-#, $a1e it i$0&!!i/#e t& *arr &n &r,inar /-!ine!! &6 0artner!%i0 C&n6e!! a -,($ent Enter int& *&$0r&$i!e *&n*ernin( a 0artner!%i0 *#ai$ &r #ia/i#it S-/$it 0artner!%i0 *#ai$ &r #ia/i#it t& ar/itrati&n Ren&-n*e *#ai$ &6 0artner!%i0 A*t! in *&ntra+enti&n &6 a re!tri*ti&n &n a-t%&rit
E+er 0artner i! an a(ent an, $a ee*-te a*t! 7it% /in,in( e66e*t e+en i6 %e %a! n& a-t%&rit Except: 7%en = r, 0er!&n %a! 1n&7#e,(e &6 #a*1 &6 a-t%&rit D&e! n&t /in, 0artner!%i0 -n#e!! a-t%&rie, / &t%er 0artner!
Partner!%i0 n&t #ia/#e t& = r, 0er!&n! %a+in( a*t-a# &r 0re!-$0ti+e 1n&7#e,(e &6 t%e
re!tri*ti&n!
E::ECTS O: CONVE,ANCE O: REAL PROPERT, BELON3IN3 TO PARTNERSHIP Tit#e in 0artner!%i0 na$e) C&n+ean*e in 0artner!%i0 na$e
Tit#e in 0artner!%i0 na$e) C&n+ean*e in 0artner! na$e
Tit#e in na$e &6 5 $&re 0artner!) C&n+ean*e in na$e i6 0artner0artner! in 7%&!e na$e tit#e !tan,!
Tit#e in na$e &6 5$&rea## 0artner! &r = r, 0er!&n in tr-!t 6&r 0artner!%i0) C&n+ean*e ee*-te, in 0artner!%i0 na$e i6 in na$e &6 0artner! Tit#e in na$e &6 a## 0artner!) C&n+ean*e in na$e &6 a## 0artner!
C&n+ean*e 0a!!e! tit#e /-t 0artner!%i0 *an re*&+er i6: C&n+ean*e 7a! n&t in t%e -!-a# 7a &6 /-!ine!!) &r B-er %a, 1n&7#e,(e &6 #a*1 &6 a-t%&rit C&n+ean*e ,&e! n&t 0a!! tit#e /-t &n# e2-ita/#e intere!t) -n#e!!: C&n+ean*e 7a! n&t in t%e -!-a# 7a &6 /-!ine!!) &r 8. B-er %a, 1n&7#e,(e &6 #a*1 &6 a-t%&rit C&n+ean*e 0a!!e! tit#e /-t 0artner!%i0 *an re*&+er i6: C&n+ean*e 7a! n&t in t%e -!-a# 7a &6 /-!ine!!) &r B-er %a, 1n&7#e,(e &6 #a*1 &6 a-t%&rit C&n+ean*e 7i## &n# 0a!! e2-ita/#e intere!t
C&n+ean*e 0a!! tit#e
7i##
ASSI3NMENT O: INTEREST IN PARTNERSHIP Assi'nmen is s!#4ec $ ree =(; c$ndii$ns8 $a,e in (&&, 6ait% 6&r 6air *&n!i,erati&n a6ter a 6air an, *&$0# ete ,i!*#&!-re &6 a## i$0&rtant in6&r$ati&n a! t& it! +a#-e RI3HTS O: AN ASSI3NEE8 Get 7%ate+er a!!i(n&r0artner 7&-#, %a+e &/taine, A+ai# -!-a# re$e,ie! in *a!e &6 6ra-, in t%e $ana(e$ent
A!1 6&r ann-#$ent &6 *&ntra*t &6 a!!i(n$ent i6 %e 7a! in,-*e, t& &in t%r&-(% an &6 t%e +i*e! &6 *&n!ent De$an, an a**&-ntin( ?&n# in *a!e &6 ,i!!&#-ti&n
); RESPONSIBILIT, O: PARTNERSHIP TO PARTNERS T& re6-n, t%e a$&-nt! ,i!/-r!e, / 0artner in /e%a#6 &6 t%e 0artner!%i0 *&rre!0&n,in( intere!t 6r&$ t%e ti$e t%e e0en!e! are $a,e ?#&an! an, a,+an*e! $a,e / a 0artner t& t%e 0artner!%i0 a!i,e 6r&$ *a0ita# *&ntri/-ti&n T& an!7er 6&r &/#i(ati&n! 0artner $a %a+e *&ntra*te, (&&, 6ait% in t%e intere!t &6 t%e 0artner!%i0 in /-!ine!! T& an!7er 6&r ri!1! in *&n!e2-en*e &6 it! $ana(e$ent
E- DISSOLUTION AND WINDIN3 UP DISSOLUTIONW*%an(e in t%e re#ati&n &6 t%e 0artner! *a-!e, / an 0artn er *ea!in( t& /e a!!&*iate, in t%e *arrin( &n &6 t%e /-!ine!!" 0artner!%i0 i! n&t ter$inate, /-t *&ntin-e! -nti# t%e 7in,in( -0 &6 0artner!%i0 a66air! i! *&$0#ete, WINDIN3 UP W0r&*e!! &6 !ett#in( t%e /-!ine!! &r 0artner!%i0 a66air! a6ter ,i!!&#-ti&n TERMINATIONWt%at 0&int 7%en a## 0artner!%i0 a66air! are *&$0#ete# 7&-n, -0 an, 6ina## !ett#e,. It !i(ni6ie! t%e en, &6 t%e 0a rtner!%i0 #i6e. CAUSES O: DISSOLUTION8 1; ;it%&-t +i&#ati&n &6 t%e a(ree$ent /et7een t%e 0artner! • B ter$inati&n &6 t%e ,e6inite ter$ 0arti*-#ar -n,erta1in( !0e*i6ie, in t%e a(ree$ent • B t%e e0re!! 7i## &6 an 0artner) 7%& $-!t a*t in (&&, 6ait%) 7%en n& ,e6inite ter$ &r 0arti*-#ar -n,erta1in( i! !0e*i6ie, • B t%e e0re!! 7i## &6 a## t%e 0artner! 7%& %a+e n&t a!!i(ne, t%eir intere!t *%ar(e, t%e$ 6&r t%eir !e0arate ,e/t!) eit%er /e6&re &r a6ter t%e ter$i nati&n &6 an !0e*i6ie, ter$ &r 0arti*-#ar -n,erta1in( • B t%e /&na 6i,e e0-#!i&n &6 an 0artner 6r&$ t%e /-!ine!! in a**&r,an*e 7it% 0&7er *&n6erre, / t%e a(ree$ent B; In *&ntra+enti&n &6 t%e a(ree$ent /et7een t%e 0artner!) 7%ere t%e *ir*-$!tan*e! ,& n&t 0er$it a ,i!!&#-ti&n -n,er an &t%er 0r&+i!i&n &6 t%i! arti*#e) / t%e e0re!! 7i## &6 an 0artner at an ti$e
C; B an e+en t 7%i*% $a1e! it -n#a76-# 6&r /-!ine!! t& /e *arrie, &n6&r t%e $e$/er! t& *arr it &n 6&r t%e 0artner!%i0 L&!! &6 !0e*i6i* t%in( 0r&$i!e, / 0artner /e6&re it! ,e#i+er
I6 *a-!e i! ACT &6 0artner) a*tin( 0artner $-!t %a+e 1n&7#e,(e &6 !-*% ,i!!&#-ti&n I6 *a-!e i! DEATH &r INSOLVENCY) a*tin( 0artner $-!t %a+e 1n&7#e,(e n&ti*e
D; Deat% &6 an 0artner Wi resec $ ers$ns n$ arners =Ar1(); Partner *&ntin-e! t& /in, 0artner!%i0 e+en a6ter ,i!!&#-ti&n in 66. *a!e!: Tran!a*ti&n! in *&nne*ti&n t& 7in,in( -0 0artner!%i0 a66air!*&$0#etin( tran!a*ti&n! -n6ini!%e,
E; In!&#+en* &6 a 0artner0artner!%i0 :; Ci+i# inter,i*ti&n &6 an 0artner 3; De*ree &6 *&-rt -n,er art. 59=5 3ROUNDS :OR DISSOLUTION B, DECREE O: COURT (Ar!. 1831) • Partner ,e*#are, in!ane in an -,i*ia# 0r&*ee,in( &r !%&7n t& /e &6 -n!&-n, $in, • In*a0a*it &6 0artner t& 0er6&r$ %i! 0art &6 t%e 0artner!%i0 *&ntra*t • Partner (-i#t &6 *&n,-*t 0re-,i*ia# t& /-!ine!! &6 0artner!%i0 • ;i##6-# &r 0er!i!tent /rea*% &6 0artner!%i0 a(ree$ent &r *&n,-*t 7%i*% $a1e! it rea!&na/# i$0ra*ti*a/#e t& *arr &n 0artner!%i0 7it% %i$ • B-!ine!! *an &n# /e *arrie, &n at a #&!! • Ot%er *ir*-$!tan*e! 7%i*% ren,er ,i!!&#-ti&n e2-ita/#e • U0&n a00#i*ati&n / 0-r*%a!er &6 0artner! intere!t: o A6ter ter$inati&n &6 !0e*i6ie,
Tran!a*ti&n! 7%i*% /in, 0artner!%i0 i6 n&t ,i!!&#+e,) 7%en t%e 7&-#, &t%er 0art&/#i(ee: Sit-ati&n 5 Ha, eten,e, *re,it t& 0artner!%i0 0ri&r t& ,i!!&#-ti&n Ha, n& 1n&7#e,(en&ti*e &6 ,i!!&#-ti&n) &r Sit-ati&n 8 i. Di, n&t eten, *re,it t& 0artner!%i0 Ha, 1n&7n 0artner!%i0 0ri&r t& ,i!!&#-ti&n Ha, n& 1n&7#e,(en&ti*e &6 ,i!!&#-ti&n6a*t &6 ,i!!&#-ti&n n&t a,+erti!e, in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e 0#a*e 7%ere 0artner!%i0 i! re(-#ar# *arrie, &n Partner *ann&t /in, t%e 0artner!%i0 an$&re a6ter ,i!!&#-ti&n: ;%ere ,i!!&#-ti&n i! ,-e t& -n#a76-#ne!! t& *arr &n 7it% /-!ine!! ?e*e0t: 7in,in( -0 &6 0artner!%i0 a66air! ;%ere 0artner %a! /e*&$e in!&#+ent
ter$0arti*-#ar -n,erta1in(at 7i## Anti$e i6 0artner!%i0 7%en intere!t 7a! a!!i(ne,*%ar(in( &r,er i!!-e,
;%ere 0artner t& 7in, 7it% -0 0artner!%i0 a66air!)-na-t%&rie, e*e0t / tran!a*ti&n &ne 7%&: Sit-ati&n 5 i. Ha, eten,e, *re,it t& 0artner!%i0 0ri&r t& ,i!!&#-ti&n ii. Ha, n& 1n&7#e,(en&ti*e &6 ,i!!&#-ti&n) &r Sit-ati&n 8 Di, n&t eten, *re,it t& 0artner!%i0 0ri&r t& ,i!!&#-ti&n Ha, 1n&7n 0artner!%i0 0ri&r t& ,i!!&#-ti&n Ha, n& 1n&7#e,(en&ti*e &6 ,i!!&#-ti&n6a*t &6 ,i!!&#-ti&n n&t a,+erti!e, in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e 0#a*e 7%ere 0artner!%i0 i! re(-#ar# *arrie, &n
o
1; E::ECTS O: DISSOLUTION AUTHORIT, O: PARTNER BIND PARTNERSHIP
TO
3ENERAL RULE8 A-t%&rit &6 0artner! t& /in, 0artner!%i0 i! ter$inate, EFCEPTIONS 5. T& 7in, -0 0artner!%i0 a66air! 8. C&$0#ete tran!a*ti&n! n&t 6ini!%e, !a%i&icai$ns8 Wi resec $ arners A-t%&rit &6 0artner! t& /in, 0artner!%i0 / ne7 *&ntra*t i! i! i$$e,iate# ,i!!&#-ti&n n&t ,-e t& ter$inate, ACT) DEATH7%en &r INSOLVENCY ?ADI &6 a 0artner ?art 59==" I6 ,-e t& ADI) 0artner! are #ia/#e a! i6 0artner!%i0 n&t ,i!!&#+e,) 7%en t%e 66. *&n*-r:
2; DISCHAR3E O: LIABILIT, Di!!&#-ti&n ,&e! n&t ,i!*%ar(e ei!tin( #ia/i#it &6 0artner) e*e0t / a(ree$ent /et7een: Partner an, %i$!e#6 0er!&n0artner!%i0 *&ntin-in( t%e /-!ine!! 0artner!%i0 *re,it&r!
Ri's $& arner /ere diss$%!i$n n$ in c$nra.eni$n $& a 'reemen8 A00# 0artner!%i0 0r&0ert t& ,i!*%ar(e #ia/i#itie! &6 0artner!%i0
A00# !-r0#-!) i6 an t& 0a in *a!% t%e net a$&-nt &7e, t& 0artner!
Ri's $& arner /ere diss$%!i$n in c$nra.eni$n $& a'reemen8 Partner 7%& ,i, n&t *a-!e ,i!!&#-ti&n 7r&n(6-##: A00# 0artner!%i0 0r&0ert t& ,i!*%ar(e #ia/i#itie! &6 0artner!%i0 A00# !-r0#-!) i6 an t& 0a in *a!% t%e net a$&-nt &7e, t& 0artner! In,e$nit 6&r ,a$a(e! *a-!e, / 0artner (-i#t &6 7r&n(6-# ,i!!&#-ti&n C&ntin-e /-!ine!! in !a$e na$e ,-rin( a(ree, ter$ P&!!e! 0artner!%i0 *&ntin-e,
0r&0ert
i6
/-!ine!!
i!
Partner 7%& 7r&n(# *a-!e, ,i!!&#-ti&n: I6 /-!ine!! n&t *&ntin-e, / &t%er! a00# 0artner!%i0 0r&0ert t& ,i!*%ar(e #ia/i#itie! &6 0artner!%i0 re*ei+e in *a!% %i! !%are &6 !-r0#-! #e!! ,a$a(e! *a-!e, / %i! 7r&n(6-# ,i!!&#-ti&n I6 /-!ine!! *&ntin-e, / &t%er! %a+e t%e +a#-e &6 %i! intere!t at ti$e &6 ,i!!&#-ti&n a!*ertaine, an, 0ai, in *a!%!e*-re, / /&n, /e re#ea!e, 6r&$ a## ei!tin(6-t-re 0artner!%i0 #ia/i#itie!
retirin(,e*ea!e, 0artner !&#, %i! intere!t 7& 6ina# !ett#e$ent 7it% *re,it&r! Ri(%t! i6 retirin(e!tate &6 ,e*ea!e, 0artner: T& %a+e t%e +a#-e &6 %i! intere!t a!*ertaine, a! &6 t%e ,ate &6 ,i!!&#-ti&n T& re*ei+e a! &r,inar *re,it&r t%e +a#-e &6 %i! !%are in t%e ,i!! &#+e, 0artner!%i0 7it% intere!t &r 0r&6it! attri/-ta/#e t& -!e &6 %i! ri(%t) at %i! &0ti&n
Pers$ns A!$riJed $ Wind U Partner! ,e!i(nate, / t%ea## a(ree$ent In a/!en*e &6 a(ree$ent) 0artner! 7%& %a+e n&t 7r&n(6-## ,i!!&#+e, t%e 0artner!%i0 Le(a# re0re!entati+e &6 #a!t !-r+i+in( 0artner A 0artnerK! !%are *ann&t /e ret-rne, 7it%&-t 6ir!t ,i!!&#+in( an, #i2-i,atin( t%e /-!ine!! 6&r t%e 0artner!%i0K! &-t!i,e *re,it&r! %a+e 0re6eren*e &+er t%e enter0ri!eK! a!!et!. T%e 6ir$K! 0r&0ert *ann&t /e ,i$ini!%e, t& t%eir 0re-,i*e. 9%us% v. Al%r%n, 115 ;"il. 511 (1*2)
Ri's $& in4!red arner /ere arnersi c$nrac is rescinded $n 'r$!nd $& &ra!dmisreresenai$n #" 1 ar"8 5. Ri(%t t& #ien &n !-r0#-! &6 0artner!%i0 0r&0ert a6ter !ati!6in( 0artner!%i0 #ia/i#itie! 8. Ri(%t t& !-/r&(ati&n in 0#a*e &6 *re,it&r! a6ter 0a$ent &6 0artner!%i0 #ia/i#itie!
D-e t& it! !e0arate -ri,i*a# 0er!&na#it 6r&$ t%e in,i+i,-a# 0artner!) it i! t%-! t%e 0artner!%i0 %a+in( /een t%e re*i0ient &6 t%e *a0ita# *&ntri/-ti&n! 7%i*% $-!t re6-n, t%e e2-it &6 retirin( 0artner!. S-*% ,-t ,&e! n&t 0ertain t& 0artner! 7%& $ana(e, t%e /-!ine!!. T%e a$&-nt t& /e re6-n,e,) !-0ra)
=. Ri(%t / (-i#t 0artner a(ain!t&6a##in,e$ni6i*ati&n 0artner!%i0 ,e/t! #ia/i#itie!
*&n!i!tent 7it% t%e entit) 0artner!%i0 /ein( a !e0arate an, ,i!tin*t $-!t ne*e!!ari# /e #i$ite, t& 7%at t& t%e 6ir$K! t&ta# re!&-r*e!. It *an &n# 0a &-t 7%at it %a! 6&r it! t&ta# a!!et!. B-t t%i! i! !-/ e*t t& t%e 0ri&rit en&e, / &-t!i,e *re,it&r!. A6ter a## t%e ?!ai, *re,it&r! %a+e /een 0ai,) 7%ate+er i! #e6t &6 t%e 0artner!%i0 a!!et! /e*&$e! a+ai#a/#e 6&r t%e 0a$ent &6 0artner!K !%are!. 'ill%r%l v. R%&ir, +0* CRA 1+5
(; SETTLEMENT O: ACCOUNTS BETWEEN PARTNERS Asses $& e arnersi8 Partner!%i0 0r&0ert ?in*#-,in( (&&,7i## C&ntri/-ti&n! &6 t%e 0artner! Order $& A%icai$n $& Asses8 Parnersi credi$rs Parners as credi$rs Parners as in.es$rs Wret-rn &6 *a0ita# *&ntri/-ti&n Parners as in.es$rs W!%are &6 0r&6it! i6 an ); WH E N BUSINESS O: DISSOLVED PARTNERSHIP IS CONTINUED Cre,it&r! &6 &#, 0artner!%i0 are a#!& *re,it&r! &6 t%e ne7 0artner!%i0 7%i*% *&ntin-e! t%e /-!ine!! &6 t%e &#, &ne 7& #i2-i,ati&n &6 t%e 0artner!%i0 a66air! Cre,it&r! %a+e an e2-ita/#e #ien &n t%e *&n!i,erati&n 0ai, t& t%e retirin( ,e*ea!e, 0artner / t%e 0-r*%a!er 7%en
: - LIMITED PARTNERSHIP Caracerisics8 5. F&r$e, / *&$0#ian*e 7it% !tat-t&r re2-ire$ent! 8. One &r $&re (enera# 0artner! *&ntr&# t%e /-!ine!! =. One &r $&r e (enera# 0artner! *&n tri/-te t& t%e *a0ita# an, t%e 0r&6it! /-t&6,& t%e n&t 0arti*i0ate in !%are t%e in $ana(e$ent /-!ine!! an, are n&t 0er!&na## #ia/#e 6&r 0artner!%i0 &/#i(ati&n! /e&n, t%eir *a0ita# *&ntri/-ti&n!
@. Ma a!1 6&r t%e ret-rn &6 t%eir *a0ita# *&ntri/-ti&n! -n,er *&n,iti&n! 0re!*ri/e, / #a7 4. Partner!%i0 ,e/t! are 0ai, &-t &6 *&$ $&n 6-n, an, t%e in,i+i,-a# 0r&0ertie! &6 (enera# 0artner!
Ri(%t &6 re$ainin( (en 0artner! ?i6 (i+en &r *&ntin-e /-!ine!! in *a!e &6 ,eat%) in!anit) retire$ent) *i+i# inter,i*ti&n) in!&#+en* Ri(%t &6 #i$ite, 0artner ?i6 (i+en t& ,e$an,re*ei+e 0r&0ert*a!% in ret-rn 6&r *&ntri/-ti&n
Ceri&icae m!s #e &i%ed /i e SEC DI::ERENCES BETWEEN 3ENERAL AND LIMITED PARTNERPARTNERSHIP 3ENERAL Per!&na## #ia/#e 6&r 0artner!%i0 &/#i(ati&n! ;%en $anner &6 $(t. n&t a(ree, -0&n) a## (enera# 0artner! %a+e an e2-a# ri(%t in t%e $(t. &6 t%e /-!ine!! C&ntri/-te *a!%) 0r&0ert &r in,-!tr Pr&0er 0art t& 0r&*ee,in(! /a(ain!t 0artner!%i0 Intere!t n&t a!!i(na/#e 7& *&n!ent &6 &t%er 0artner! Na$e $a a00ear in 6ir$ na$e Pr&%i/iti&n a(ain!t en(a(in( in /-!ine!! Retire$ent) ,eat%) in!&#+en*) in!anit &6 (enera# 0artner ,i!!&#+e! 0artner!%i0
LIMITED Lia/i#it eten,! &n# t& %i! *a0ita#
T& +a#i,# 6&r$ a #i$ite, 0artner!%i0) a## t%at i! re2-ire, i! SUBSTANTIAL COMPLIANCE IN GOOD FAITH 7it% a## t%e re2-ire$ent! -n,er Ar- 1)) ?i.e. !i(nin( an, !7earin( t& a *erti6i*ate) a66iin( t%e 7&r, Li$ite, t& t%e 0artner!%i0 na$e)
*&ntri/-ti&n! N& 0arti*i0ati&n in $ana(e$ent
et*.. I6 n&a !-/!tantia# *&$0#ian*e) t%en0er!&n! t%e 6ir$ /e*&$e! (enera# 0artner!%i0 t& t%ir, ?/-t a! a$&n(!t t%e 0artner!) !ti## #i$ite,.
C&ntri/-te *a!% &r 0r&0ert &n#) n&t in,-!tr N&t 0r&0er 0art t& 0r&*ee,in(! /a(ain!t 0artner!%i0 Intere!t i! 6ree# a!!i(na/#e Na$e $-!t a00ear in 6ir$ na$e N& 0r&%i/iti&n a(ain!t en(a(in( in /-!ine!! D&e! n&t %a+e !a$e e66e*t" ri(%t! tran!6erre, t& #e(a# re0re!entati+e
REUIREMENTS :OR :ORMATION O: LIMITED PARTNERSHIP8 Ceri&icae $& aric%es $& e %imied arnersi m!s sae e &&- maers8 5. Na$e &6 0artner!%i0 7&r, #t,. 8. C%ara*ter &6 /-!ine!! =. L&*ati&n &6 0rin*i0a# 0#a*e &6 /-!ine!! @. Na$e0#a*e &6 re!i,en*e &6 $e$/er! 4. Ter$ 6&r 0artner!%i0 i! t& ei!t . A$&-nt &6 *a!%+a#-e &6 0r&0ert *&ntri/-te, >. A,,iti&na# *&ntri/-ti&n! 9. Ti$e a(r ee, -0&n t& ret-rn *&n tri/-ti&n &6 #i$ite, 0artner . S%arin( &6 0r&6it!&t%er *&$0en!ati&n Ri(%t &6 #i$ite, 0artner ?i6 (i+en t& !-/!tit-te an a!!i(nee Ri(%t t& a,$it a,,iti&na# 0artner! Ri(%t &6 #i$ite, 0artner ! ?i6 (i+en t& 0ri&rit 6&r *&ntri/-ti&n!
WHEN 3ENERAL PARTNER NEEDS CONSENTRATI:ICATION O: ALL LIMITED PARTNERS8 5. D& an a*t in *&ntra+enti&n &6 t%e *erti6i*ate 8. D& an a*t 7%i*% 7&-#, $a1e it i$0&!!i/#e t& *arr &n t%e &r,inar /-!ine!! &6 t%e 0artner!%i0 =. C&n6e!! -,($ent a(ain!t 0artner!%i0 @. P&!!e!! 0artner!%i0 0r&0erta!!i(n ri(%t! in !0e*i6i* 0artner!%i0 0r&0ert &t%er t%an 6&r 0artner!%i0 0-r0&!e! 4. A,$it 0er!&n a! (enera# 0artner . A,$it 0er!&n a! #i$ite, 0artner -n#e!! a-t%&rie, in *erti6i*ate >. C&ntin-e /-!ine!! 7it% 0artner!%i0 0r&0ert &n ,eat%) retire$ent) *i+i# inter,i*ti&n) in!anit &r in in!&#+en* a-t%&rie, *erti6i*ate&6 (en 0artner -n#e!!
SPECI:IC RI3HTS O: LIMITED PARTNERS8 5. Ri(%t t& %a+e 0artner!%i0 /&&1! 1e0t at 0rin*i0a# 0#a*e &6 /-!ine!! 8. Ri(%t t& in! 0e*t*&0 /&&1! at rea!&na/#e %&-r =. Ri(%t t& %a+e &n ,e$an, tr-e an, 6-## in6& &6 a## t%in(! a66e*tin( 0artner!%i0 @. Ri(%t t& %a+e 6&r$a# a**&-nt &6 0artner!%i0 a66air! 7%ene+er *ir*-$!tan*e! ren,er it -!t an, rea!&na/#e 4. Ri(%t t& a!1 6&r ,i!!&#-ti&n an, 7in,in( -0 / ,e*ree &6 *&-rt . Ri(%t t& re*ei+e !%are &6 0r&6it!&t%er *&$0en!ati&n / 7a &6 in*&$e >. Ri(%t t& re*ei+e ret-rn &6 *&ntri/-ti&n! 0r&+i,e, t%e 0artner!%i0 a!!et! are in e*e!! &6 a## it! #ia/i#itie! REUISITES :OR RETURN O: CONTRIBUTION O: LIMITED PARTNER8 5. A## #ia/i#itie! &6 0ar tner!%i0 %a+e /een 0ai ,i6 n&t et 0ai,) at #ea!t !-66i*ient t& *&+er t%e$ 8. C&n!ent &6 a## $e$/er! %a! /een &/taine,
=. Certi6i*ate i! *an*e##e,a$en,e, a! t& !et 6&rt% 7it%,ra7a# re,-*ti&n &6 *&ntri/-ti&n LIABILITIES O: A LIMITED PARTNER
T$ e arnersi F&r t%e ,i66eren*e /et7een %i! *&ntri/-ti&n a! a*t-a## $a,e an, t%at !tate, in t%e *erti6i*ate a! %a+in( /een $a,e) an, F&r an -n0ai, *&ntri/-ti&n 7%i*% %e a(ree, in t%e *erti6i*ate t& $a1e in t%e 6-t-re ti$e As a r!see &$r e arnersi F&r t%e !0e*i6i* 0r&0ert !tate, in t%e *erti6i*ate a! *&ntri/-te, / %i$ /-t 7%i*% %e *&ntri/-te," F&r%a, t%en&t !0e*i6i* 0r&0ert &6 t%e 0artner!%i0 7%i*% %a, /een 7r&n(6-## ret-rne, t& %i$" an, M&ne &r &t%er 0r&0ert 7r&n(6-## 0ai, &r *&n+ee, t& %i$ &n a**&-nt &6 %i! *&ntri/-ti&n.
DISSOLUTION O: LIMITED PARTNERSHIP =Pri$ri" in Disri#!i$n $& Asses;8 T%&!e ,-e t& *re,it&r!) in*#-,in( #i$ite, 0artner! T%&!e ,-e t& #i$ite, 0artner! in re!0e*t &6 t%eir !%are in 0r&6it!*&$0en!ati&n T%&!e ,-e t& #i$ite, 0artner! &6 ret-rn &6 *a0ita# *&ntri/-te, T%&!e ,-e t& (enera# 0artner &t%er t%an *a0ita# 0r&6it! T%&!e ,-e t& (enera# 0artner in re!0e*t t& 0r&6it! T%&!e ,-e t& (enera# 0artner 6&r ret-rn &6 *a0ita# *&ntri/-te, AMENDMENT O: CERTI:ICATE O: PARTNERSHIP 5. In *a!e an &6 t%e ten en-$erate, *%an(e! an, *ir*- $!tan*e! in Art. 59@) 0ar. 8 are 0re!ent. 8. It $-!t /e !i(ne, an, !7&rn t& / a## t%e $e$/er! in*#-,in( t%e ne7 $e$/er! i6 !&$e are a,,e," in *a!e &6 !-/!tit-ti&n) t%e a!!i(nin( #i$ite, 0artner $-!t a#!& !i(n. =. T%e *an*e##ati&n &r a$en,$ent $-!t /e re*&r,e, in t%e SEC. An 0er!&n 7%& !-66er! #&!! / re#ian*e &n 6a#!e !tate$ent in *erti6i*ate $a %&#, #ia/#e 6&r ,a$a(e! an 0art t& t%e *erti6i*ate 7%& 1ne7 t%e !tate$ent t& /e 6a#!e at t%e ti$e t%e #atter !i(ne, t%e *erti6i*ate &r *a$e t& 1n&7 !-*% 6a#!it !-/!e2-ent# /-t 7it%in !-66i*ient ti$e /e6&re re#ian*e t& ena/#e !-*% 0artt%e t& *an*e# &r a$en,6&r t%e!-*% *erti6i*ate &r 6i#e 0r&0er 0etiti&n 0-r0&!e ?-n,er Ar- 1+* . =Ar- 1)? $%lr%vn v. R%&s%6, 55 .$. 853;. A (enera# 0artnerK! DIIC ?death& insol"ency& insanity& or ci"il interdiction ,i!!&#+e! t%e
0artner!%i0 -n#e!! t%e /-!ine!! i! *&ntin-e, / t%e !-r+i+in( (enera# 0artner! -n,er a ri(%t !tate, in t%e *erti6i*ate &r 7it% t%eir *&$$&n ?i.e. a## *&n!ent ? Ar- 1+0 . Sti##) e+en i6 a##&7e, -n,er t%e *erti6i*ate &r *&n!ente, t& / a##) t%ere $-!t /e an a$en,$ent 6-rt%er t& Art!. 59@ an, 594 ?c&- Ba!isa. Ot%er7i!e) #i$ite, 0artner! 7i## n&t /e a/#e t& a+ai# &6 t%e 0r&te*ti&n &6 t%e #a7 a! re(ar,! #ia/i#it. T%e 0artner!%i0 7i## /e *&n!i,ere, (enera# ?o v. Arion% ;or > ?i"! Co., +27 ;. . 3** A #i$ite, 0artner !%a## n&t /e*&$e #ia/#e a! a (enera# -n#e!! a,,iti&n t%e eer*i!e 0artner) &6 %i! ri(%t! an, in 0&7er! a! a t& #i$ite, &ne) e a
V- A3ENC, 7777777777777777777777777 77777777 TOPICS UNDER THE S,LLABUS A- DE:INITION O: A3ENC, B- POWERS =ARTS- 1??>1? C- EFPRESS V- IMPLIED A3ENC, D- A3ENC, B, ESTOPPEL E- 3ENERAL VS- SPECIAL A3ENC, :- A3ENC, COUCHED IN 3ENERAL TERMS 3- A3ENC, REUIRIN3 SPECIAL POWER O: ATTORNE, H- A3ENC, B, OPERATION O: LAW I- RI3HTS AND OBLI3ATIONS O: PRINCIPAL - MODES O: EFTIN3UISHMENT 7777777777777777777777777 77777777 A- DE:INITION O: A3ENC, CONTRACT O: A3ENC, i! a *&ntra*t 7%ere/ a 0er!&n /in,! %i$!e#6 t& ren,er !&$e !er+i*e &r t& ,& !&$et%in( in representation &r on behalf of another) 7it% t%e *&n!ent &r a-t%&rit &6 t%e #atter.
it! representati"e character i t! authority%
deri"ati"e
;urpos# Eten, t%e 0er!&na#it &6 t%e 0rin*i0a# t%r&-(% t%e 6a*i#it &6 t%e a(ent
Caaci" $& e Paries8 Princia% He $a /e a nat-ra# &r a -ri,i*a# 0er!&n He $-!t /e *a0a*itate,. Gnr%l R?E: I6 a 0er!&n i! *a0a*itate, t& a*t 6&r %i$!e#6 &r %i! &7n ri(%t) %e *an a*t t%r&-(% an a(ent. T%e a(ent i! n&t #ia/#e 7%ere %e 7a! i(n&rant &6 t%e 0rin*i0a#K! in*a0a*it
A'en In!&6ar a! t%ir, 0er!&n! are *&n*erne,) it i! en&-(% t%at t%e 0rin*i0a# i! *a0a*itate,. In!&6ar a! %i! &/#i(ati&n! t& %i! 0rin*i0a# are *&n*erne,) t%e a(ent $-!t /e a/#e t& /in, %i$!e#6. A! an a(ent) !&$e $enta# *a0a*it i! ne*e!!ar) t%ere6&re) t%&!e 7%& are a/!&#-te# in*a0a*itate, ?ex% Insane persons *ann&t /e a(ent!.
C"%r%c!ris!ics# C&n!en!-a#: 0er6e*te, / $ere *&n!ent" N&$inate: it %a! it! &7n na$e"
ESSENTIAL ELEMENTS C$nsen &6 t%e 0artie! t& e!ta/#i!% t%e re#ati&n!%i0" O/e*t &6 t%e *&ntra*t i! t%e e6ec!i$n $& a 4!ridica% ac in re#ati&n t& t%ir, 0er!&n!" A(ent a*t! a! a reresenai.e an, n&t 6&r %i$!e#6" an,
Pre0arat&r: entere, int& a! $ean! t& enter int& &t%er *&ntra*t! Prin*i0a#: ,&e! n&t ,e0en, &n an&t%er *&ntra*t 6&r it! ei!ten*e an, +a#i,it" Uni#atera#Bi#ateria#: ,nilateral: i6 *&ntra*t i! (rat-it&-! &r it *reate! &/#i(ati&n! 6&r &n# &ne 0art ?i.e. t%e a(ent +ilateral: i6 *&ntra*t i! 6&r *&$0en!ati&n &r (i+e! ri!e t& re*i0r&*a# ri(%t! an, &/#i(ati&n!
A(ent a*t! /iin e sc$e $& is a!$ri"% An i##e(a# ter$inati&n &6 a(en* ,&e! n&t -!ti6 rein!tate$ent &6 t%e a(ent a! !-*%. T%e a(en* *ann&t /e *&$0e##e, / t%e *&-rt! t& /e rein!tate, /e*a-!e !-*% re#ati&n!%i0 *an &n# /e (i+en e66e*t 7it% t%e *&n!ent &6 t%e 0rin*i0a#. 4rin! Air rvics v. CA, G.R. o. 7*31, 9%6 2, 11
%!ur# Sin*e it i! a *&ntra*t) t%ere $-!t /e a $eetin( &6 t%e $in,! a! t& *&n!ent) &/e*t) an, *a-!e.
Ac!s :"%! C%nno! = An!# Personal Acts F ex% maDing of a will 0riminal or Illegal Acts
E6cei$n $ c$nrac!a% na!re8 ;%en t%e a(en* i! *reate, 6 opr%!ion o l%
Ex: Agency by Estoppel =%sis# Reresenai$n
T%e a*t! &6 t%e a(ent &n /e%a#6 &6 t%e 0rin*i0a# 7it%in t%e !*&0e &6 %i! a-t%&rit 0r&,-*e t%e !a$e #e(a# an, /in,in( e66e*t! a! i6 t%e 7ere 0er!&na## ,&ne / t%e 0rin*i0a#. Hen*e) t%e ,i!tin(-i!%in( 6eat-re! &6 a(en* are
on
=6
Na!re $& Re%ai$nsi #e/een Princia% and A'en8 :id!ciar" /a!e, &n tr-!t *&n6i,en*e A(ent i! e!t&00e, 6r&$ a!!ertin( intere!t a,+er!e t& %i! 0rin*i0a#K! A(ent $-!t $-!t n&t n&t a*t a*t for as an A(ent an a,+er!e a,+er!e 0art 0art A(ent $-!t n&t -!e &r ,i!*#&!e in6&r$ati&n A(ent $-!t (i+e n&ti*e &6 $ateria# 6a*t!
!e*ret
3ENERAL RULE8 'n&7#e,(e &6 t%e a(ent i!
i$0-te, t& t%e 0rin*i0a# e+en t%&-(% t%e a(ent ne+er *&$$-ni*ate, it t& %i! 0rin*i0a#
EFCEPTIONS8 ;%ere t%e intere!t! &6 t%e a(ent are a,+er!e t& t%&!e &6 t%e 0rin*i0a#" A(ent A*t! in Ba, Fait% &r ;%ere t%e 0er!&n *#ai$in( t%e /ene6it &6 t%e r-#e *&##-,e! 7it% t%e a(ent t& ,e6ra-, t%e 0rin*i0a#. B- POWERS =ARTS- 1??>1?; Secia% $/ers $& a$rne" are necessar" in e &$%%$/in' cases : =PECWAM>LLB> BOCARO; T& $a1e !-*% a$ent! a! are n&t -!-a## *&n!i,ere, a! a*t! &6 a,$ini!trati&n" T& e66e*t n&+ati&n! 7%i*% 0-t an en, t& &/#i(ati&n! a#rea, in ei!ten*e at t%e ti$e t%e a(en* 7a! *&n!tit-te," T& c&$0r&$i!e) t& !-/$it 2-e!ti&n! t& ar/itrati&n) t& ren&-n*e t%e ri(%t t& a00ea# 6r&$ a -,($ent) t& 7ai+e &/e*ti&n! t& t%e +en-e &6 an a*ti&n &r t& a/an,&n a 0re!*ri0ti&n a#rea, a*2-ire," T& / ai+e an &/#i(ati&n (rat-it&-!#" T& enter int& an *&ntra*t / 7%i*% t%e &7ner!%i0 &6 an i$$&+a/#e i! tran!$itte, &r a*2-ire, eit%er (rat-it&-!# &r 6&r a +a#-a/#e *&n!i,erati&n" T& ma1e (i6t!) e*e0t *-!t&$ar &ne! 6&r *%arit &r t%&!e $a,e t& e$0#&ee! in t%e /-!ine!! $ana(e, / t%e a(ent" T& %&an &r /&rr&7 $&ne) -n#e!! t%e #atter a*t /e -r(ent an, in,i!0en!a/#e 6&r t%e 0re!er+ati&n &6 t%e t%in(! 7%i*% are -n,er a,$ini!trati&n" T& %ea!e an rea# 0r&0ert t& an&t%er 0er!&n 6&r $&re t%an &ne ear" T& # in, t%e 0rin*i0a# t& ren,er !&$e !er+i*e 7it%&-t *&$0en!ati&n" T& # in, t%e 0rin*i0a# in a*&ntra*t &6 0artner!%i0" T& $ /#i(ate t%e 0rin*i0a# a! a (-arant&r &r !-ret" T& c reate &r *&n+e rea# ri(%t! &+er i$$&+a/#e 0r&0ert" T& a **e0t &r re0-,iate an in%eritan*e" T& r ati6 &r re*&(nie &/#i(ati&n! *&ntra*te, /e6&re t%e a(en*" An $t%er a*t &6 !tri*t ,&$ini& n. A !0e*ia# 0&7er t& !e## e*#-,e! t%e 0&7er t& $&rt(a(e" an, a !0e*ia# 0&7er t& $&rt(a(e ,&e! n&t in*#-,e t%e 0&7er t& !e##.
Secia% P$/er $& A$rne" an in!tr-$ent in 7ritin( / 7%i*% &ne 0er!&n) a! 0rin*i0a#) a00&int! an&t%er a! %i! a(ent an, *&n6er! -0&n %i$ t%e a-t%&rit t& 0er6&r$ *ertain !0e*i6ie, a*t! &r 1in,! &6 a*t! &n /e%a#6 &6 t%e 0rin*i0a#.
T%e !0e*ia# 0&7er &6 att&rne *an /e in*#-,e, in t%e (enera# 0&7er 7%en it !0e*i6ie! t%erein t%e a*t &r tran!a*ti&n 6&r 7%i*% t%e !0e*ia# 0&7er i! re2-ire,.
P$/ers N$ Inc%!ded in e P$/er $ M$r'a'e T& !e## T& ee*-te a !e*&n, $&rt(a(e T& $&rt(a(e 6&r t%e a(entK! &r an = r, 0er!&n!K /ene6it) UNLESS *#ear# in,i*ate, P$ /ers N$ Inc%!ded in e P$/er $ C$mr$mise S-/$i!!i&n t& Ar/itrati&n 1ationale: A 0rin*i0a# $a a-t%&rie %i! a(ent t& *&$0r&$i!e /e*a-!e &6 a/!&#-te *&n6i,en*e in t%e #atterK! -,($ent an, ,i!*reti&n t& 0r&te*t t%e 6&r$erK! ri(%t! an, &/tain 6&r %i$ t%e /e!t /ar(ain in t%e tran!a*ti&n. I6 t%e tran!a*ti&n 7&-#, /e #e6t in t%e %an,! &6 an ar/itrat&r) !ai, ar/itrat&r $a n&t en& t%e tr-!t &6 t%e 0rin*i0a#. T%e a(ent $-!t a*t 7it%in t%e !*&0e &6 %i! a-t%&rit. He $a ,& !-*% a*t! a! $a /e *&n,-*i+e t& t%e a**&$0#i!%$ent &6 t%e 0-r0&!e &6 t%e a(en*.
Re@!isies &$r Princia% $ #e B$!nd #" Ac $& A'en8 T%e /e%a#6 t%e 0rin*i0a# T%e a(ent a(ent $-!t $-!t a*t a*t in 7it%in t%e&6!*&0e &6 %i! a-t%&rit
Wen a rincia% NOT BOUND #" ac $& a'en8 T%e #atter a*t! 7it%&-t &r /e&n, t%e !*&0e &6 %i! a-t%&rit in t%e 6&r$erK! na$e Excp!ions# ;%ere t%e a*t! &6 t%e 0rin*i0a# %a+e *&ntri/-te, t& ,e*ei+e a = r, 0er!&n in (&&, 6ait%" ;%ere t%e #i$itati&n! -0&n t%e 0&7er *reate, / t%e 0rin*i0a# *&-#, n&t %a+e /een 1n&7n / t%e = r, 0er!&n" ;%ere t%e 0rin*i0a# %a! 0#a*e, in t%e %an,! &6 t%e a(ent in!tr-$ent! !i(ne, / %i$ in /#an1" ;%ere t%e 0rin*i0a# %a! rati6ie, t%e a*t! &6 t%e a(ent
T%e #atter a*t! 7it%in t%e !*&0e &6 %i! a-t%&rit /-t in %i! &7n na$e) ECEPT 7%en t%e tran!a*ti&n in+&#+e! t%in(! /e#&n(in( t& t%e 0rin*i0a#
NOTE8 T%e a(ent i! n&t ,ee$e, t& %a+e
e*ee,e, t%e #i$it! &6 %i! a-t%&rit !%&-#, %e 0er6&r$ t%e a(en* in a $anner $&re a,+anta(e&-! t& t%e 0rin*i0a# t%an t%at in,i*ate, / %i$) !in*e %e i! a-t%&rie, t& ,& !-*% a*t! a! $a /e *&n,-*i+e t& t%e a**&$0#i!%$ent &6 t%e 0-r0&!e &6 t%e a(en*. T%e 0&7er! &6 an a(ent are 0arti*-#ar# /r&a, in t%e *a!e &6 &ne a*tin( a! a (enera# a(ent &r $ana(er" !-*% a 0&!iti&n 0re!-00&!e! a ,e(ree &6 *&n6i,en*e re0&!e, an, in+e!tit-re 7it% #i/era# 0&7er! 6&r t%e eer*i!e &6 -,($ent an, ,i!*reti&n in tran!a*ti&n! an, *&n*ern! 7%i*% are in*i,enta# &r a00-rtenant t& t%e /-!i ne!! Inentr-!te, t& %i! *are $ana(e$ent. t%e a/!en*e &6 an, an a(ree$ent t& t%e *&ntrar) a $ana(in( a(ent $a enter int& *&ntra*t! t%at %e ,ee$! rea!&na/# ne*e!!ar &r re2-i!ite 6&r t%e 0r&te*ti&n &6 t%e intere!t! &6 %i! 0rin*i0a# entr-!te, t& %i! $ana(e$ent. Euro!c" v. Cuion, G.R. o. 1*7552, April 23, 2007
Disinci$n #e/een A'enc" Lease $& W$r<Ser.ice A3ENC, LEASEO: WORSERVICE Re0re!entati&n E$0#&$ent
0rin*i0a#.
7ar,/-t $-!ta*t6&r t%e /ene6it &6 t%e #atter
A(ent *an $a1e t%e 0rin*i0a# 0er!&na## #ia/#e.
G-ar,ian %a! n& 0&7er t& i$0&!e 0er!&na# #ia/i#it &n t%e 7ar,.
Disinci$n #e/een A'enc" Lease $& Pr$er" A3ENC,
LEASE O: PROPERT,
A(ent i! *&ntr&##e, / t%e 0rin*i0a#.
Le!!ee i! n&t *&ntr&##e, / t%e #e!!&r.
A(en* $a in+&#+e t%in(! &t%er t%an 0r&0ert.
Lea!e &6 0r&0ert in+&#+e! 0r&0ert.
A(ent *an /in, t%e 0rin*i0a#.
Le!!ee *ann&t /in, t%e #e!!&r.
Disinci$n #e/een A'enc" $ Se%% Sa%e A3ENC,TOSELL
SALE
A(ent eer*i!e! discrei$nar" $/ers
Le!!&r &r,inari# 0er6&r$! &n# miniseria% &!nci$ns
A(ent re*ei+e! t%e (&&,! a! t%e 0rin*i0a#K! (&&,!
B-er re*ei+e! t%e (&&,! a! &7ner
= 0er!&n! are in+&#+e,: 0rin*i0a#) a(ent an, t%e =r, 0er!&n 7it% 7%&$ t%e a(ent *&ntra*t!
8 0er!&n! are in+&#+e,: #e!!&r an, #e!!ee
A(ent ,e#i+er! 0r&*ee,! &6 t%et%e !a#e
B-er 0a! t%e 0ri*e
Re#ate! t& c$mmercia% $r #!siness ransaci$ns
Re#ate! $&re t& t%e $atter! &6 $ere man!a% $r mecanica% e6ec!i$n
A(ent *an ret-rn t%e &/e*t in *a!e %e i! -na/#e t& !e## t%e !a$e t& a t%ir, 0er!&n
B-er) a! a (enera# r-#e) *ann&t ret-rn t%e &/e*t !&#,
Disinci$n #e/een A'enc" 3!ardiansi A3ENC, 3UARDIANSHIP A(ent re0re!ent! a caaciaed 0er!&n
A (-ar,ian re0re!ent! an incaaciaed 0er!&n.
A(ent i! a$ined #" e rincia% an, *an /e re$&+e, / t%e #atter.
G-ar,ian i! a$ined #" e c$!r an, !tan,! in loco parentis.
A(ent i! !-/e*t t& t%e ,ire*ti&n! &6 t%e
G-ar,ian i! n&t !-/e*t t& t%e ,ire*ti&n! &6 t%e
A(ent in ,ea#in( 7it% B-er *an ,ea# 7it% t%e t%e t%in( re*ei+e, i! t%in( a! %e 0#ea!e!) /&-n, t& a*t a**&r,in( /ein( t%e &7ner t& t%e in!tr-*ti&n! &6 %i! 0rin*i0a# Disinci$n #e/een A'en C$nrac$r
A3ENT
INDEPENDENT CONTRACTOR
Re0re!ent! %i!
E$0#&e, / t%e
0rin*i0a#
e$0#&er
A*t! -n,er t%e 0rin*i0a#K! *&ntr&# an, in!tr-*ti&n
A*t! a**&r,in( t& %i! &7n $et%&,
Prin*i0a# i! #ia/#e 6&r E$0#&er n&t #ia/#e 6&r t&rt! *&$$itte, / t&rt! *&$$itte, / t%e t%e a(ent 7it%in t%e in,e0en,ent *&ntra*t&r. !*&0e &6 %i! a-t%&rit Disinci$n #e/een A'enc" and Parnersi A3ENC, PARTNERSHIP An a(ent $-!t !-/$it t& t%e 0rin*i0a#K! ri(%t t& *&ntr&#
A *&0artner i! n&t !-/e*t t& *&0artnerK! ri(%t t& *&ntr&#) -n#e!! t%ere i! an a(ree$ent t& t%at e66e*t
T%e a(ent a!!-$e! n& 0er!&na# #ia/i#it 7%ere %e a*t! 7it%in t%e !*&0e &6 %i! a-t%&rit
T%e 0artner /in,! n&t &n# t%e 6ir$ $e$/er! /-t %i$!e#6 a! 7e##
T%e a(ent ta1e! %i! a(ree, !%are &6 0r&6it! n&t a! &7ner /-t a! an a(ree, $ea!-re &6 *&$0en!ati&n 6&r %i! !er+i*e!
T%e 0r&6it! /e#&n( t& a## t%e 0artner! a! *&$$&n 0r&0riet&r! in a(ree, 0r&0&rti&n!
C- EFPRESS VS- IMPLIED A3ENC, E6ress a(ent %a! /een a*t-a## a-t%&rie, / t%e 0rin*i0a#) eit%er &ra## &r in 7ritin( Im%ied a(en* i! i$0#ie, 6r&$ t%e a*t! &6 t%e 0rin*i0a#) 6r&$ %i! !i#en*e) &r #a*1 &6 a*ti&n) &r %i! 6ai#-re t& re0-,iate t%e a(en* 1n&7in( t%at an&t%er 0er!&n i! a*tin( &n %i! /e%a#6 7it%&- t a-t%&rit) &r 6r&$ t%e a*t! &6 t%e a(ent 7%i*% *arr &-t t%e a(en*) OTHER CLASSI:ICATIONS O: A3ENC, As $ caracer 3ra!i$!s a(ent re*ei+e! n& *&$0en!ati&n 6&r %i! !er+i*e! Oner$!s a(ent re*ei+e! *&$0en!ati&n 6&r %i! !er+i*e! As $ e6en $& #!siness $& e rincia% 3enera% a(en* *&$0ri!e! a## t%e /-!ine!! &6 t%e 0rin*i0a# Secia% a(en* *&$0ri!e! &ne &r $&re !0e*i6i* tran!a*ti&n! As $ a!$ri" c$n&erred C$!ced in 'enera% erms &n# a*t! &6 a,$ini!trati&n C$!ced in seci&ic erms &n# t%e 0er6&r$an*e &6 a !0e*i6i* a*t!
As $ na!re and e&&ecs Osensi#%e $r Reresenai.e a(ent a*t!
in t%e na$e an, re0re!entati&n &6 t%e 0rin*i0a# Sim%e $r C$mmissi$n a(ent a*t! in %i! &7n na$e /-t 6&r t%e a**&-nt &6 t%e 0rin*i0a#.
:$rms $& A'enc" 3ENERAL RULE: A00&int$ent &6 an a(ent $a /e &ra# &r 7ritten" n& 6&r$a# re2-ire$ent! EFCEPTION: ;%en t%e #a7 re2-ire! a !0e*i6i* 6&r$ ?ex% agents sale of real property or any interest therein* A(en* i! 0re!-$e, t& /e 6&r *&$0en!ati&n) -n#e!! t%ere,&e! i! 0r&&6 t%e *&ntrar. T%e a(ent n&t t& %a+e t& 0r&+e t%at t%e a(en* i! 6&r *&$0en!ati&n. B-t t%e prima facie 0re!-$0ti&n t%at t%e a(en* i! 6&r a *&$0en!ati&n $a /e *&ntra,i*te, / *&ntrar e+i,en*e
Br$
E&&icien r$c!rin' ca!se8 7%en t%ere i! a *#&!e 0r&i$ate an, *a-!a# *&nne*ti&n /et7een t%e e66&rt! an, #a/&r &6 t%e a(ent an, t%e 0rin*i0a#K! !a#e &6 0r&0ert. 9%no!oc =ro!"rs v. CA, 221 CRA 22+ (13)
LAW ON DOUBLE A3ENC, Di!a00r&+e, / #a7 6&r /ein( a(ain!t 0-/#i* 0&#i* an, !&-n, $&ra#it E?0EPT 7%ere t%e a(ent a*te, 7it% 6-## 1n&7#e,(e an, *&n!ent &6 t%e 0rin*i0a#! Ri"! o %n! !o co&pns %!ion in c%s o oul %nc6# Wi
t%e a(ent *an re*&+er 6r&$rincia% neit%er Wi
ACCEPTANCE B, A3ENT :$rms $& Acceance #" A'en8 E6ress 7%en it i! &ra# &r 7ritten Im%ied 7%en it *an /e in6erre, 6r&$ t%e a*t! &6 t%e a(ent 7%i*% *arr &-t t%e a(en*) &r 6r&$ %i! !i#en*e &r ina*ti&n a**&r,in( t& t%e *ir*-$!tan*e! Be/een ers$ns /$ are resen i$0#ie, a**e0tan*e i6 t%e 0rin*i0a# ,e#i+er! %i! 0&7er &6 att&rne t& t%e a(ent an, t%e #atter re*ei+e! it 7it%&-t an &/e*ti&n Be/een ers$ns /$ are a#sen a**e0tan*e &6 t%e a(ent.n&t ,ee$e, i$0#ie, 6r&$ t%e !i#en*e
EFCEPTIONS: ;%en t%e 0rin*i0a# tran!$it! %i! 0&7er &6 att&rne t& t%e a(ent 7%& re*ei+e! it 7it%&-t an &/e*ti&n ;%en t%e 0rin*i0a# entr-!t! t& %i$ / #etter &r te#e(ra$ a 0&7er &6 att&rne 7it% re!0e*t t& t%e /-!ine!! in 7%i*% %e i! %a/it-a## en(a(e, a! an a(ent) an, %e ,i, n&t re0# t& t%e #etter &r te#e(ra$
0r&+i,e, it *an /e 0r&+en t%at = 2-e!ti&n rea, t%e re+&*ati&n
Disinci$n #e/een A'enc" #" Es$e% Im%ied A'enc" BASIS
Existence of actual agency
1eliance by .rd persons
Wa"s $& 3i.in' N$ice $& A'enc" Is E&&ec8 B" secia% in&$rmai$n t%e 0er!&n a00&inte, a! a(ent i! *&n!i,ere, a! !-*% 7it% re!0e*t t& t%e 0er!&n t& 7%&$ it 7a! (i+en. B" !#%ic ad.erisemen t%e a(ent i! *&n!i,ere, a! !-*% 7it% re(ar, t& an 0er!&n
A3ENC, B, ESTOPPEL
IMPLIED A3ENC,
N& a(en* at a##
T%ere i! an a*t-a# a(en*
Can /e in+&1e, &n# / a =r, 0er!&n 7%& in (&&, 6ait% re#ie, &n t%e *&n,-*t &6 t%e 0rin*i0a# in %&#,in( t%e a(ent &-t a! /ein( a-t%&rie,
S-*% re#ian*e i! n&t nee,e,) !in*e t%e a(ent i! a rea# a(ent
An a(ent / e!t&00e# %a! n&ne &6 t%e ri(%t! &6 an a(ent) e6ce
P$/er $& A$r ne" > In!tr-$ent in 7ritin( / 7%i*% &ne 0er!&n) a! 0rin*i0a#) a00&int! an&t%er
C$nsr!ci$n $& P$/er $& A$rne"8 3ENERAL RULE8 Stri*t# *&n!tr-e, an, !tri*t# 0-r!-e," %e#, t& (rant &n# t%&!e !0e*i6ie, 0&7er! EFCEPTION: 7%en !tri*t *&n!tr-*ti&n 7i## ,e!tr& t%e +er 0-r0&!e &6 t%e 0&7er
0er!&n! in
D- A3ENC, B, ESTOPPEL T%ere i! rea## n& a(en* at a##) /-t t%e a##e(e, a(ent !ee$e, t& %a+e a00arent &r &!ten!i/#e) a#t%&-(% n&t rea#) a-t%&rit t& re0re!ent an&t%er-
Wa is mean #" resen Genera##) 6a*e t& 6a*e) /-t in*#-,e! 0e&0#e *&n+er!in( ,ire*t# t%r&-(% te*%n&#&( ?ex% o"er the telephone.
a! %i! a(ent*ertain an, *&n6er! -0&n %i$ a-t%&rit t& 0er6&r$ !0e*i6ie, a*t! &r t%e 1in,! &6 a*t! &n /e%a#6 &6 t%e 0rin*i0a#" 0ri$ar 0-r0&!e i! t& e+i,en*e a(entK! a-t%&rit t& t%ir, 0artie! 7it%in 7%&$ t%e a(ent ,ea#!
r,
Nature of Authority
7%ere t%e 0rin*i0a#K! *&n,-*t are !-*% t%at t%e a(ent rea!&na/# /e#ie+e, t%at t%e 0rin*i0a# inten,e, %i$ t& a*t a! an a(ent
An a(ent / i$0#ie, a00&int$ent %a! a## t%e ri(%t! an, #ia/i#itie! &6 an a(ent) i%e% %a! a*t-a# a-t%&rit t& a*t &n /e%a#6 &6 t%e 0rin*i0a#
An a(en* *&-*%e, in (enera# ter$! *&$0ri!e! only acts of administration) e+en i6 t%e 0rin*i0a# !%&-#, !tate t%at %e 7it%%&#,! n& 0&7er &r t%at t%e a(ent $a ee*-te !-*% a*t! a! %e $a *&n!i,er a00r&0riate) &r e+en t%&-(% t%e a(en* !%&-#, a-t%&rie a (enera# an, -n#i$ite, $ana(e$ent. $ill %n %u!"ori!6 &oi in % l!!r suicin!N
Ye!. imene$ "% 1abot& .( Phil .(7 '6'(* Bo o 6ou rvo %n %nc6N In t%e !a$e $anner a! it 7a! *&n!tit-te,. H&7e+er) *&n!tit-ti&n / S0e*ia# In6&r$ati&n $a /e re+&1e, / n&ti*e in a ,ai# ne7!0a0er)
A$rne">In>:ac One 7%& i! (i+en a-t%&rit / %i! 0rin*i0a# t& ,& a 0arti*-#ar a*t n&t &6 a #e(a# *%ara*ter T%e ter$ i!) in #&&!e #an(-a(e) -!e, t&
in*#-,e a(ent! &6 a## 1in,!) /-t in it! !tri*t !en!e) it $ean! an a(ent %a+in( a !0e*ia# a-t%&rit *reate, / a ,ee,.
Instruction s
a(entK! a-t%&rit
E- A3ENC, COUCHED IN 3ENERAL TERMS V- 3ENERAL VS- SPECIAL A3ENC, 3 E N E R A L A
BASIS
SPECIAL A3ENT
3 E N C T A## a*t! / *&nne*te, 7it% t%e /-!ine!! &r e$0#&$ent in 7%i*% %e i! en(a(e,
N
Extent to Ghich Agent #ay +ind the Principal
Terminatio n of Authority
0onstructi on of Principals
In+&#+e! *&ntin-it &6 !er+i*e Ma /in, %i! 0rin*i0a# / an a*t 7it%in t%e !*&0e &6 %i! a-t%&rit a#t%&-(% it $a /e *&ntrar t& t%e #atterK! !0e*ia# in!tr-*ti&n! A00arent a-t%&rit ,&e! n&t ter$inate / t%e $ere re+&*ati&n &6 %i! a-t%&rit 7it%&-t n&ti*e t& t%e t%ir, 0art
Mere# a,+i!&r in nat-re
A'enc" C$!ced in 3enera% Terms8 C&+er! &n# MERE ACTS OF ADMINISTRATION e"en if: T%e 0rin*i0a# !%&-#, !tate t%at %e 7it%%&#,! n& 0&7er T%e a(ent $a ee*-te !-*% a*t! a! %e $a *&n!i,er a00r&0riate T%e a(en* !%&-#, a-t%&rie a (enera# an, -n#i$ite, $ana(e$ent Bo %r con!r%c!s o %nc6 cons!ruN C&ntra*t! &6 a(en*) a! 7e## a! (enera# 0&7er! &6 att&rne) $-!t /e inter0rete, in a**&r,an*e 7it% t%e #an(-a(e -!e, / t%e 0artie!.
S0e*i6i* a*t! in 0-r!-an*e &6 0arti*-#ar in!tr-*ti&n! &r 7it% re!tri*ti&n! ne*e!!ari# i$0#ie, 6r&$ t%e a*t t& /e ,&ne N& *&ntin-it &6 !er+i*e Can n&t /in, %i! 0rin*i0a# in a $anner /e&n, &r &-t!i,e t%e !0e*i6i* a*t! 7%i*% %e i! a-t%&rie, t& 0er6&r$
T%e rea# intenti&n &6 t%e 0artie! i! 0ri$ari# ,eter$ine, 6r&$ t%e #an(-a(e -!e, an, (at%ere, 6r&$ t%e 7%&#e in!tr-$ent. In *a!e &6 ,&-/t) re!&rt $-!t /e %a, t& t%e !it-ati&n) !-rr&-n,in(! an, re#ati&n! &6 t%e 0artie!. T%e intenti&n &6 t%e 0artie! $-!t /e !-!taine, rat%er t%an ,e6eate,. I6 t%e *&ntra*t i! &0en t& 8 *&n!tr-*ti&n!) &ne &6 7%i*% 7&-#, -0%&#, t%e intenti&n 7%i#e t%e &t%er 7&-#, &+ert%r&7 it) t%e 6&r$er i! t& /e *%&!en.
:- A3ENC, REUIRIN3 SPECIAL POWER O: ATTORNE, Secia% $/ers $& a$rne" are necessar" in e &$%%$/in' cases : =PECWAM>LLB> BOCARO;
D-t i$0&!e, -0&n t%e t%ir, 0art t& in2-ire $a1e! ter$inati&n &6 t%e re#ati&n!%i0 a! /et7een t%e 0rin*i0a# an, a(ent e66e*ti+e a! t& !-*% t%ir, 0art -n#e!! t%e a(en* %a! /een entr-!te, 6&r t%e 0-r0&!e &6
T& $a1e !-*% a$ent! a! are n&t -!-a## *&n!i,ere, a! a*t! &6 a,$ini!trati&n" T& e66e*t n&+ati&n! 7%i*% 0-t an en, t& &/#i(ati&n! a#rea, in ei!ten*e at t%e ti$e t%e a(en* 7a! *&n!tit-te," T& c&$0r&$i!e) t& !-/$it 2-e!ti&n! t& ar/itrati&n) t& ren&-n*e t%e ri(%t t& a00ea# 6r&$ a -,($ent) t& 7ai+e &/e*ti&n! t& t%e +en-e &6 an a*ti&n &r t& a/an,&n a 0re!*ri0ti&n a#rea, a*2-ire," T& / ai+e an &/#i(ati&n (rat-it&-!#" T& enter int& an *&ntra*t / 7%i*% t%e &7ner!%i0 &6 an i$$&+a/#e i! tran!$itte, &r a*2-ire, eit%er (rat-it&-!# &r 6&r a +a#-a/#e
*&ntra*tin( 7it% !-*% t%ir, 0art
*&n!i,erati&n" T& m a1e (i6t!) e*e0t *-!t&$ar &ne! 6&r *%arit &r t%&!e $a,e t& e$0#&ee! in t%e /-!ine!! $ana(e, / t%e a(ent" T& %&an &r /&rr&7 $&ne) -n#e!! t%e #atter a*t /e -r(ent an, in,i!0en!a/#e 6&r t%e 0re!er+ati&n &6 t%e t%in(! 7%i*% are -n,er a,$ini!trati&n"
Stri*t# *&n!tr-e, a! t%e #i$it t%e
T& %ea!e an rea# 0r&0ert t& an&t%er 0er!&n 6&r $&re t%an &ne ear" T& # in, t%e 0rin*i0a# t& ren,er !&$e !er+i*e 7it%&-t *&$0en!ati&n" T& # in, t%e 0rin*i0a# in a*&ntra*t &6 0artner!%i0" T& $ /#i(ate t%e 0rin*i0a# a! a (-arant&r &r !-ret" T& c reate &r *&n+e rea# ri(%t! &+er i$$&+a/#e 0r&0ert" T& a **e0t &r re0-,iate an in%eritan*e" T& r ati6 &r re*&(nie &/#i(ati&n! *&ntra*te, /e6&re t%e a(en*" An $t%er a*t &6 !tri*t ,&$ini& n. A !0e*ia# 0&7er !e## e*#-,e! t%e 0&7er t& $&rt(a(e" an, at& !0e*ia# 0&7er t& $&rt(a(e ,&e! n&t in*#-,e t%e 0&7er t& !e##.
Secia% P$/er $& A$rne" an in!tr-$ent in 7ritin( / 7%i*% &ne 0er!&n) a! 0rin*i0a#) a00&int! an&t%er a! %i! a(ent an, *&n6er! -0&n %i$ t%e a-t%&rit t& 0er6&r$ *ertain !0e*i6ie, a*t! &r 1in,! &6 a*t! &n /e%a#6 &6 t%e 0rin*i0a#. T%e !0e*ia# 0&7er &6 att&rne *an /e in*#-,e, in t%e (enera# 0&7er 7%en it !0e*i6ie! t%erein t%e a*t &r tran!a*ti&n 6&r 7%i*% t%e !0e*ia# 0&7er i! re2-ire,.
P$/ers N$ Inc%!ded in e P$/er $ M$r'a'e T& !e## T& ee*-te a !e*&n, $&rt(a(e T& $&rt(a(e 6&r t%e a(entK! &r an = r, 0er!&n!K in,i*ate,
/ene6it)
UNLESS
*#ear#
P$/ers N$ Inc%!ded in e P$/er $ C$mr$mise S-/$i!!i&n t& Ar/itrati&n 1ationale: A 0rin*i0a# $a a-t%&rie %i! a(ent t& *&$0r&$i!e /e*a-!e &6 a/!&#-te *&n6i,en*e in t%e #atterK! -,($ent an, ,i!*reti&n t& 0r&te*t t%e 6&r$erK! ri(%t! an, &/tain 6&r %i$ t%e /e!t /ar(ain in t%e tran!a*ti&n. I6 t%e tran!a*ti&n 7&-#, /e #e6t in t%e %an,! &6 an ar/itrat&r) !ai, ar/itrat&r $a n&t en& t%e tr-!t &6 t%e 0rin*i0a#.
Wen a rincia% NOT BOUND #" ac $& a'en8 T%e #atter a*t! 7it%&-t &r /e&n, t%e !*&0e &6 %i! a-t%&rit in t%e 6&r$erK! na$e Excp!ions# ;%ere t%e a*t! &6 t%e 0rin*i0a# %a+e *&ntri/-te, t& ,e*ei+e a = r, 0er!&n in (&&, 6ait%" ;%ere t%e #i$itati&n! -0&n t%e 0&7er *reate, / t%e 0rin*i0a# *&-#, n&t %a+e /een 1n&7n / t%e = r, 0er!&n" ;%ere t%e 0rin*i0a# %a! 0#a*e, in t%e %an,! &6 t%e a(ent in!tr-$ent! !i(ne, / %i$ in /#an1"
;%ere t%e 0rin*i0a# %a! rati6ie, t%e a*t! &6 t%e a(ent T%e #atter a*t! 7it%in t%e !*&0e &6 %i! a-t%&rit /-t in %i! &7n na$e) ECEPT 7%en t%e tran!a*ti&n in+&#+e! t%in(! /e#&n(in( t& t%e 0rin*i0a#
NOTE8 T%e a(ent i! n&t ,ee$e, t& %a+e e*ee,e, t%e #i$it! &6 %i! a-t%&rit !%&-#, %e 0er6&r$ t%e a(en* in a $anner $&re a,+anta(e&-! t& t%e 0rin*i0a# t%an t%at in,i*ate, / %i$) !in*e %e i! a-t%&rie, t& ,& !-*% a*t! a! $a /e *&n,-*i+e t& t%e a**&$0#i!%$ent &6 t%e 0-r0&!e &6 t%e a(en*. T%e 0&7er! &6 an a(ent are 0arti*-#ar# /r&a, in t%e *a!e &6 &ne a*tin( a! a (enera# a(ent &r $ana(er" !-*% a 0&!iti&n 0re!-00&!e! a ,e(ree &6 *&n6i,en*e re0&!e, an, in+e!tit-re 7it% #i/era# 6&r int%e eer*i!e an, &6 -,($ent an,0&7er! ,i!*reti&n tran!a*ti&n! *&n*ern! 7%i*% are in*i,enta# &r a00-rtenant t& t%e /-!in e!! entr- !te, t& %i! *are an, $ana(e$ent. In t%e a/!en*e &6 an a(ree$ent t& t%e *&ntrar) a $ana(in( a(ent $a enter int& *&ntra*t! t%at %e ,ee$! rea!&na/# ne*e!!ar &r re2-i!ite 6&r t%e 0r&te*ti&n &6 t%e intere!t! &6 %i! 0rin*i0a# entr-!te, t& %i! $ana(e$ent. Euro!c" v. Cuion, G.R. o. 1*7552, April 23, 2007
3- RI3HTS AND OBLI3ATIONS O: PRINCIPAL OBLI3ATIONS O: THE PRINCIPAL
T%e a(ent $-!t a*t 7it%in t%e !*&0e &6 %i! a-t%&rit. He $a ,& !-*% a*t! a! $a /e *&n,-*i+e t& t%e a**&$0#i!%$ent &6 t%e 0-r0&!e &6 t%e a(en*.
O#%i'ai$ns $& e Princia% $ e A'en8 =CARIP; C&$0# 7it% a## t%e &/#i(ati&n! a(ent *&ntra*te, in re0re!entati&n &6 t%e 0rin*i0a#
Re@!isies &$r Princia% $ #e B$!nd #" Ac $& A'en8 T%e a(ent $-!t a*t in /e%a#6 &6 t%e 0rin*i0a# T%e a(ent $-!t a*t 7it%in t%e !*&0e &6 %i! a-t%&rit
!-$! ne*e!!ar 6&r re2-e!t!" t%e ee*-ti&n t%e A ,+an*e a(en*) 7%en a(ent !& #ia/#e&66&r rei$/-r!e$ent re(ar,#e!! &6 t%e -n,erta1in(K! !-**e!! 7%ene+er a(ent %a, a,+an*e, %a! n& 6a-#t" in*#-,e! intere!t Rei$/-r!e t%e a(ent 6&r a## a,+an*e! $a,e / %i$ 0r&+i,e, t%e a(ent i! 6ree 6r&$ 6a-#t
In,e$ni6 t%e a(ent 6&r a## t%e ,a$a(e! 7%i*% t%e ee*-ti&n &6 t%e a(en* $a %a+e *a-!e, t%e #atter 7it%&-t 6a-#t &r ne(#i(en*e &n %i! 0art Pa t%e a(ent t%e *&$0en!ati&n a(ree, -0&n &r t%e rea!&na/#e +a#-e &6 t%e #atterK! !er+i*e! Lia#i%i" $& (rd ers$ns $ e Princia% In C$nrac a =r, 0er!&n i! #ia/#e t& t%e 0rin*i0a# -0&n *&ntra*t! entere, int& / %i! a(ent) a! i6 t%e *&ntra*t %a! /een entere, int& / t%e 0rin*i0a#. In T$r t%e = r, 0er!&nK! t&rt #ia/i#it t& t%e 0rin*i0a#) in!&6ar a! t%e a(ent i! in+&#+e, in t%e t&rt)t%e ari!e! = !it-ati&n!: ;%ere = r,in0er!&n ,a$a( e! &r in-re! 0r&0ert &r intere!t &6 t%e 0rin*i0a# in t%e 0&!!e!!i&n &6 t%e a(ent ;%ere t%e =r, 0er!&n *&##-,e! 7it% t%e a(ent t& in-re,e6ra-, t%e 0rin*i0a# ;%ere t%e = r, 0er!&n in,-*e! t%e a(ent t& +i&#ate %i! *&ntra*t 7it% t%e 0rin*i0a# t& /etra t%e tr-!t re0&!e, -0&n %i$ / t%e 0rin*i0a#.
Re@!isies &$r s$%idar" %ia#i%i" $& rincia%s T%ere are 8 &r $&re 0rin*i0a#! T%e 0rin*i0a#! %a+e a## *&n*-rre, in t%e a00&int$ent &6 t%e !a$e a(ent T%e a(ent i! a00&inte, 6&r a *&$$&n tran!a*ti&n &r -n,erta1in( NOTE8 T%e r-#e in Art. 554 a00#ie! e+en 7%en t%e a00&int$ent! 7ere $a,e / t%e 0rin*i0a#! in !e0arate a*t!) 0r&+i,e, t%at t%e are 6r&$ 6&r t%e !a$e tran!a*ti&n. T%e !&#i,arit ari!e! t%e *&$$&n intere!t &6 t%e 0rin*i0a#! an, n&t 6r&$ t%e a*t &6 *&n!tit-tin( t%e a(en*.
R!%e /ere 2 ers$ns c$nrac searae%" /i a'en and rincia% T7& 0er!&n! $a *&ntra*t !e0arate# 7it% t%e a(ent an, t%e 0rin*i0a# 7it% re(ar, t& t%e !a$e t%in(. I6 t%e t7& *&ntra*t! are inc$mai#%e 7it% ea*% &t%er) t%e &ne &6 0ri&r ,ate !%a## /e 0re6erre,. T%i! i! !-/e*t) %&7e+er) t& t%e r-#e! &n D&-/#e Sa#e! -n,er Arti*#e 54@@ &6 t%e Ci+i# C&,e ?i.e. 6&r $&+a/#e!: 6ir!t in 0&!!e!!i&n) 6ir!t in ri(%t" 6&r i$$&+a/#e!: 6ir!t t& re(i!ter in (&&, 6ait%) 6ir!t in ri(%t" a/!ent an in!*ri0ti&n: 6ir!t in 0&!!e!!i&n &r 0art 7%& 0re!ent! &#,e!t tit#e a*2-ire! &7ner!%i0.
A'ens Ri' $&6&r Reeni$n8 S0e*i6i* ?&n# t%&!e (&&,! *&nne*te, 7it% t%e a(en* an, Unti# t%e 0rin*i0a# e66e*t! t%e rei$/-r!e$ent an, 0a! t%e in,e$nit PRINCIPALS LIABILITIES :OR EFPENSES
3ENERAL RULE8 Prin*i0a# i! #ia/#e 6&r t%e e0en!e! in*-rre, / t%e a(ent EFCEPTIONS8 =A:US; I6 t% e a(ent a*te, in *&ntra+enti&n &6 t%e 0rin*i0a#! in!tr-*ti&n!) -n#e!! t%e #atter !%&-#, 7i!% t& a+ai# %i$!e#6 &6 t%e /ene6it! ,eri+e, 6r&$ t%e *&ntra*t ;%en t%e e0en!e! 7ere ,-e t& t%e & a-#t &6 t%e a(ent ;%en t%e a(ent in*-rre, t%e$ 7it% 1n&7#e,(e t%at an !n6a+&ra/#e re!-#t 7&-#, en!-e) i6 t%e 0rin*i0a# 7a! n&t a7are t%ere&6 ;%en it 7a t%e&re0en!e! sti0-#ate, 7&-#, /e! /&rne / t%et%at a(ent) t%at t%e #atter 7&-#, /e a##&7e, &n# a *ertain !-$
W$ can #e es$ed $ den" a'enc" Es$e% $& A'en &ne 0r&6e!!in( t& a*t a! a(ent i! e!t&00e, t& ,en %i! a(en* /&t% a! a(ain!t %i! a!!erte, 0rin*i0a# an, t%e t%ir, 0er!&n! intere!te, in t%e tran!a*ti&n in 7%i*% %e i! en(a(e, Es$e% #" e Princia% As !o %n! &ne 1n&7in( an&t%er i! a*tin( a! %i! a(en t an, 6ai# ! t& re0-,iate %i! a*t!) &r a**e0t t%e /ene6it! &6 t%e$) 7i## /e e!t&00e, t& ,en t%e a(en* a! a(ain!t !-*% &t%er As !o su-%n! 6&r t%e 0rin*i0a# t& /e e!t&00e, 6r&$ ,enin( %i! #ia/i#it t& a t%ir, 0er!&n) %e $-!t %a+e 1n&7n &r /e *%ar(e, tran!a*ti&n 7it% an, 1n&7#e,(e t%e ter$! &6 &6 t%e t%e a(ree$ent /et7een t%e a(ent an, !-/ a(ent As !o !"ir prsons &ne 7%& 1n&7! t%at an&t%er i! a*tin( a! %i! a(ent &r 0er$itte, an&t%er t& a00ear a! %i! a(ent) t& t%e in-r &6 t%ir, 0er!&n! 7%& %a+e ,ea#t 7it% t%e a00arent a(ent a! !-*% in (&&, 6ait% an, in t%e eer*i!e &6 rea!&na/#e 0r-,en*e) i! e!t&00e, t& ,en t%e a(en* Es$e% $& Tird Pers$ns a t%ir, 0er!&n) %a+in( ,ea#t 7it% &ne a! an a(ent $a /e e!t&00e, t& ,en t%e a(en* a! a(ain!t t%e 0rin*i0a#) a(ent &r = r, 0er!&n! in intere!t Es$e% $& e 3$.ernmen - (&+ern$ent neit%er e!t&00e, / t%e $i!ta1eerr&r &6 it! a(ent!" $a /e e!t&00e, t%r&-(% a66ir$ati+e a*t! &6&6t%eir it! a-t%&rit &66i*er! a*tin( 7it%in t%e !*&0e
Disinci$n #e/een Rai&icai$n and Es$e% RATI:ICATION ESTOPPEL
Re!t! &n intenti&n
Re!t! &n 0re-,i*e
A66e*t! t%e entire tran!a*ti&n 6r&$ t%e /e(innin(
A66e*t! &n# re#e+ant 0art! &6 t%e tran!a*ti&n
S-/!tan*e &6 rati6i*ati&n i! *&n6ir$ati&n &6 an a-t%&rie, a*t &r *&n,-*t a6ter it %a! /een ,&ne
S-/!tan*e &6 e!t&00e# i! t%e 0rin*i0a#K! in,-*e$ent t& an&t%er t& a*t t& %i! 0re-,i*e
Disinci$n #e/een Aaren A!$ri" A!$ri" #" Es$e% APPARENT AUTHORIT, T%&-(% n&t a*t-a## (rante,) 0rin*i0a# 1n&7in(# 0er$it!%&#,! &-t t%e a(ent a! 0&!!e!!in( t%e ne*e!!ar 0&7er! t& a*t in a *ertain 7a
AUTHORIT, B, ESTOPPEL ;%ere t%e 0rin*i0a#) / %i! ne(#i(en*e) 0er$it! %i! a(ent t& eer*i!e 0&7er! n&t (rante, t& %i$) e+en t%&-(% t%e 0rin*i0a# $a %a+e n& n&ti*e &r 1n&7#e,(e &6 t%e *&n,-*t &6 t%e a(ent
OBLI3ATIONS O: THE A3ENT OBLIGATIONS OF THE AGENT TO THE PRINCIPAL
3enera%8 =3OC; A*t 7it% -t$&!t ' &&, 6ait% #&a#t 6&r t%e 6-rt%eran*e &6 0rin*i0a#K! intere!t! O /e 0rin*i0a#K! in!tr-*ti&n! Eer*i!e rea!&na/#e c are Seci&ic8 =:ADI CALAMARI; Carr &-t t%e a(en* An!7er 6&r ,a$a(e! 7%i*% t%r&-(% %i! n&n 0er6&r$an*e t%e 0rin*i0a# $a !-66er :ini!% t%e /-!ine!! a#rea, /e(-n &n t%e ,eat% &6 t%e 0rin*i0a# !%&-#, ,e#a entai# an ,an(er ?exception t& t%e r-#e t%at ,eat% etin(-i!%e! a(en* O/!er+e t%e di#i(en*e &6 a (&&, 6at%er &6 a 6a$i# in t%e *-!t&, an, 0re!er+ati&n &6 t%e (&&,! 6&r7ar,e, t& %i$ / t%e &7ner in *a!e %e ,e*#ine! an a(en*) -nti# an a(ent i! a00&inte, A,+an*e ne*e!!ar 6-n,! i6 t%ere /e a !ti0-#ati&n t& ,& !& ? except 7%en t%e 0rin*i0a# i! in!&#+ent A*t in a**&r,an*e 7it% t%e in!tr-*ti&n! &6 t%e 0rin*i0a#) an, in ,e6a-#t t%ere&6) t& ,& a## t%at a (&&, 6at%er &6 a 6a$i# 7&-#, ,& E6cei$ns to the rule that the agent must
not depart from the instructions of principal*# =SAI; T%ereK! a s-,,en e$er(en* I6 t%e in!tr-*ti&n! are a$/i(-&-! I6 t%e ,e0art-re i! !& in!-/!tantia# t%at it ,&e! n&t a66e *t t%e re!-#t an, t%e 0rin*i0a# !-66er! n& ,a$a(e t%ere/ N&t t& *arr &-t t%e a(en* i6 it 7&-#, mani6e!t# re!-#t in #&!! &r ,a$a(e t& t%e 0rin*i0a# An!7er 6&r ,a$a(e! i6 t%ere /ein( a *&n6#i*t /et7een %i! %i! 0rin*i0a#K! intere!t!) %e 0re6er! %i! &7n N&t t& %i$!e#6 i6 %e %a! /een a-t%&rie, %&an t& t& #&an $&ne at intere!t Ren,er an a**&-nt &6 %i! tran!a*ti&n! an, ,e#i+er t& t%e 0rin*i0a# 7%ate+er %e $a %a+e re*ei+e, / +irt-e &6 t%e a(en* ?I6 t%e a(ent 6ai#! t& ,e#i+er an, in!tea, *&n+ert! &r a00r&0riate! 6&r %i! &7n -!e t%e $&ne &r 0r&0ert /e#&n(in( t& %i! 0rin*i0a#) %e $a /e *%ar(e, 7it% E/TAA. Be re!0&n!i/#e in *ertain *a!e! 6&r t%e a*t &6 t%e !-/!tit-te a00&inte, / %i$ Pa intere!t &n 6-n,! %e %a! a00#ie, t& %i! &7n -!e
Disinci$ns #e/een A!$ri" and e Princia%s Insr!ci$ns AUTHO INSTRU RIT, CTIONS S-$ t&ta# &6 t%e C&nte$0#ate! &n# a 0&7er! *&$$itte, t& 0ri+ate r-#e &6 (-i,an*e t%e a(ent / t%e 0rin*i0a#
Re#ate! t& t%e !-/e*t/-!ine!! 7it% 7%i*% t%e a(ent i! e$0&7ere, t& ,ea# &r a*t Li$itati&n! &6 a-t%&rit are &0erati+e a! a(ain!t t%&!e 7%& %a+e*%ar(e, 7it% 1n&7#e,(e &6 t%e$ C&nte$0#ate, t& /e $a,e 1n&7n t& t%ir, 0er!&n! ,ea#in( 7it% t%e a(ent
t& t%e a(ent" an, in,e0en,ent ,i!tin*t in *%ara*ter Re6er! t& t%e $anner &r $&,e &6 a(entK! a*ti&n
;it%&-t !i(ni6i*an*e a! a(ain!t t%&!e 7it% neit%er 1n&7#e,(e n&r n&ti*e &6 t%e$ N&t e0e*te, t& /e $a,e 1n&7n t& t%&!e 7it% 7%&$ t%e a(ent ,ea#!
Wen a'en as a ri' $ dis$#e" e rincia%s insr!ci$ns8 ;%en t%e in!tr-*ti&n *a##! 6&r t%e 0er6&r$an*e &6 i##e(a# a*t! ;%ere %e i! 0ri+i#e(e, t& ,& !& t& 0r&te*t %i! !e*-rit in t%e !-/e*t $atter &6 t%e a(en*
Wen $#%i'ai$n $ acc$!n n$ a%ica#%e8 I6 t%e a(ent a*te, &n# a! a $i,,#e$an 7it% t%e ta!1 &6 $ere# /rin(in( t&(et%er t%e +en,&r an, t%e +en,ee!. I6 t%e a(ent %a, in6&r$e, t%e 0rin*i0a# &6 t%e (i6t/&n-!0r&6it %e re*ei+e, 6r&$ t%e 0-r*%a!er an, %i! 0rin*i0a# ,i, n&t &/e*t t%eret&. ;%ere a ri(%t &6 #ien ei!t! in 6a+&r &6 t%e a(ent. Wen a'en ma" inc!r ers$na% %ia#i%i" ;%en t%e a(ent e0re!!# /in,! %i$!e#6 ;%en t%e a(ent e*ee,! %i! a-t%&rit ;%en an a(ent / &6 %i!t%ea*t 0re+ent! 0er6&r$an*e &n t%e 0art 0rin*i0a# ;%en a 0er!&n a*t! a! an a(ent 7it%&-t a-t%&rit &r 7it%&-t a 0rin*i0a# A 0er!&n 7%& 0-r0&rt! t& a*t a! a(ent &6 an in*a0a*itate, 0rin*i0a#
A$inmen $& S!#>a'en8 I6 t%e 0rin*i0a# %a! n&t 0r&%i/ite, t%e a(ent 6r&$ a00&intin( a !-/!tit-te) %e 7i## /e %ia#%e $ (rd er s$ns 6&r t%e a*t! &6 t%e !-/a (ent 7it%in t%e !*&0e &6 %i! a-t%&rit I6 t%ere i! a 0r&%i/iti&n /-t ne+er t%e#e!! t%e a(ent a00&int! a !-/a(ent) a## t%e !-/ a(entK! a*t! are .$id as $ e rincia% . I6 t%ere i! a-t%&rit t& a00&int an, !-/a(ent i! n&t ,e!i(nate, / t%e 0rin*i0a#) t%e a(ent 7i## /e #ia/#e 6&r a## t%e a*t! &6 t%e !-/a(ent i6 t%e !-/a(ent i! n&t&ri&-!# in*&$0etent &r in!&#+ent. I6 t%ere i! a-t%&rit an, t%e !-/a(ent ,e!i(nate, / t& t%ea00&int 0rin*i0a#) a(ent i!i! re#ea!e, 6r&$ an #ia/i#it 6r&$ t%e a*t! &6 t%e !-/a(ent. I6 t%e a00&int$ent &6 a !-/a(ent i! n&t a-t%&rie, /-t n&t 0r&%i/ite,) it !%a## /e +a#i, i6 it i! /ene6i*ia# t& t%e 0rin*i0a#. B-t) !%&-#, t%e 0rin*i0a# in*-r ,a$a(e ,-e t& !-*% a00&int$ent) t%e a(ent !%a## /e 0ri$ari# re!0&n!i/#e 6&r t%e a*t! &6 t%e !-/a(ent.
Res$nsi#i%i" $& 2 $r M$re A'ens A$ined Sim!%ane$!s%"8 3ENERAL RULE8 Lia/#e &int# EFCEPTION8 ;%en !&#i,arit %a! /een e0re!!# !ti0-#ate,) in 7%i*% *a!e) ea*% &6 t%e a(ent! /e*&$e! !&#i,ari# #ia/#e 6&r ?5 t%e n&n 6-#6i##$ent &6 t%e a(en*" an, 6&r ?8 t%e 6a-#t &r ne(#i(en*e &6 %i! 6e##&7 a(ent?! EFCEPTION TO THE EFCEPTION8 7%en &ne &6 t%e &t%er a(ent! a*t! /e&n, t%e !*&0e &6 %i! a-t%&rit inn&*ent a(ent i! NOT #ia/#e E&&ec /ere ( rd ers$n a/are $& %imis $& a'ens $/er8 I6 t%e a(ent e*ee,! %i!
a-t%&rit) it !%a## /e VOID -n#e!! t%e 0rin*i0a# rati6ie! it.
DOCTRINE O: A3ENC, B, NECESSIT, An a(en* *an ne+er /e *reate, / ne*e!!it" 7%at i! a*t-a## *reate, i! a,,iti&na# a-t%&rit in an a(ent a00&inte, an, a-t%&rie, /e6&re t%e e$er(en* ar&!e. T%e ei!ten*e &6 e$er(en* &r &t%er -n-!-a# *&n,iti&n! $a &0erate t& in+e!t in an a(ent a-t%&rit t& $eet t%e e$er(en*) 0r&+i,e,: =PURE; T%e a(entK! en#ar(e, a-t%&rit i! eer*i!e, 6&r t%e 0rin*i0a#K! r&te*ti&n T%e a(ent i! !na/#e t& *&$$-ni*ate 7it% 0rin*i0a#" T%e $ean! a,&0te, are rea!&na/#e -n,er t%e *ir*-$!tan*e!" T%e e$er(en* rea## e i!t!"
Wen (rd ers$ns can re!diae e c$nrac Be6&re a*t-a# rati6i*ati&n / t%e 0rin*i0a#) &r /e6&re t%e 0rin*i0a# %a! !i(ni6ie, %i! 7i##in(ne!! t& rati6 t%e a(entK! a*t!. E&&ec $& e rincia% recei.in' e #ene&is $& e ransaci$n He i! ,ee$e, t& %a+e rati6ie, it. A 0rin*i0a# $a n&t a**e0t t%e /ene6it! &6 a tran!a*ti&n an, at t%e !a$e ti$e re0-,iate it! /-r,en! Coni!ions or R%!iic%!ion# T%e 0rin*i0a# $-!t %a+e *a0a*it an, 0&7er t&
rati6%a+e %a, 1n&7#e,(e &6 $ateria# 6a*t! He $-!t He $-!t rati6 t%e a*t! in it! entiret T%e a*t $-!t /e *a0a/#e &6 rati6i*ati&n T%e a*t $-!t /e ,&ne in /e%a#6 &6 t%e 0rin*i0a# T& /e e66e*ti+e) rati6i*ati&n nee, n&t /e *&$$-ni*ate, &r $a,e 1n&7n t& t%e a(ent &r t%e t%ir, 0art. T%e a*t &r *&n,-*t &6 t%e 0rin*i0a# rat%er t%an %i! *&$$-ni*ati&n i! t%e 1e. B-t /e6&re rati6i*ati&n) t%e t%ir, 0art i! 6ree t& re+&1e t%e -na-t%&rie, *&ntra*t. Ec!s o R%!iic%!ion
Wi resec $ a'en re#ie+e! t%e a(ent 6r&$ #ia/i#it t& t%e t%ir, 0art 6&r t%e -na-t%&rie, tran!a*ti&n) an, t& %i! 0rin*i0a# 6&r a*tin( 7it%&-t a-t%&rit" $a re*&+er *&$0en!ati&n Wi resec $ rincia% a!!-$e! re!0&n!i/i#it 6&r t%e -na-t%&rie, a*t) a! i6 t%e a(ent %a, 6&r a*te, &ri(ina# a-t%&rit /-t n&t #ia/#e a*t!-n,er &-t!i,e t%e a-t%&rit a00r&+e, / %i! rati6i*ati&n rd Wi resec $ ( ers$ns /&-n, / rati6i*ati&n t& t%e !a$e etent a! i6 t%e rati6ie, a*t %a, /een a-t%&rie," *ann&t rai!e t%e 2-e!ti&n &6 t%e a(entK! a-t%&rit t& ,&
t%e rati6ie, a*t
#e!! ri(&r / t%e *&-rt!) a**&r,in( t& 7%et%er t%e a(en* 7a! &r 7a! n&t 6&r *&$0en!ati&n.
Rati6i*ati&n i! !0e##e, &-t 7%en t%e 0rin*i0a# /rin(! #e(a# 0r&*ee,in(! t& en6&r*e t%e *&ntra*t entere, int& / t%e -na-t%&rie, a(ent) !-/e*t t& 2-a#i6i*ati&n) %&7e+er) t%at t%e /rin(in( &6 #e(a# 0r&*ee,in(! i! n&t ,ee$e, rati6i*ati&n 7%ere t%e 0rin*i0a#K! a*ti&n i! -n,erta1en t& a+ert a (reater #&!! rat%er t%an t& a!!er t a (ain. R$#ins$n .B$rse
NOTE8 A(ent a#7a! #ia/#e for fraud /-t n&t for negligence) 7%i*% !%a## /e -,(e, 7it% $&re &r
#ismanageme nt of the business by the agent Tort committed by the agent Agent in good faith but prejudices .rd parties Agent in bad faith and prejudices .rd persons
Prin*i0a# !ti## re!0&n!i/#e 6&r t%e a*t! *&ntra*te, / t%e a(ent 7it% re!0e*t t& =r, 0er!&n!" Prin*i0a#) %&7e+er) $a !ee1 re*&-r!e 6r&$ t%e a(ent Prin*i0a# *i+i## #ia/#e !& #&n( a! t%e t&rt i! *&$$itte, / t%e a(ent 7%i#e 0er6&r$in( %i! ,-tie! in 6-rt%eran*e &6 t%e 0rin*i0a#K! /-!ine!! Prin*i0a# i! #ia/#e 6&r ,a$a(e!
On# t%e a(ent i! #ia/#e 6&r ,a$a(e!
ACTS O: THE A3ENT In behalf of the principal& within the scope of authority
Githout or beyond scope of authority
Githin the scope of authority but in the agents name
Githin the scope of the written power of attorney but agent has actually exceeded his authority according to an understanding between him 4 the principal Gith improper moti"es
E::ECT Bin,! 0rin*i0a#" A(ent n&t 0er!&na## #ia/#e
C&ntra*t i! -nen6&r*ea/#e a! a(ain!t t%et&0rin*i0a# /in,! t%e a(ent t%e t%ir,#! 0er!&n N&t /in,in( &n t%e 0rin*i0a#" Prin*i0a# %a! n& *a-!e &6 a*ti&n a(ain!t t%e = r, 0artie! an, +i*e +er!a
EFCEPTION=S; A(ent #ia/#e i6 %e: E0re!!# $a1e! %i$!e#6 #ia/#e E*ee,! t%e #i$it! &6 %i! a-t%&rit 7it%&-t (i+in( t%e 0artie! !-66i*ient n&ti*e &6 %i! 0&7er! Bin,in( &n t%e 0rin*i0a# 7%en: Rati6ie, &r T%ea*t 0rin*i0a# a##&7e, t%e 6-## a(ent t& a! t%&-(% %e %a, 0&7er! ;%en t%e tran!a*ti&n in+&#+e! t%in(! /e#&n(in( t& t%e 0rin*i0a#: Re$e, &6 t%e 0rin*i0a# ,a$a(e! 6&r a(entK! 6ai#-re t& *&$0# 7it% t%e a(en* Re$e,ie! &6 t%e t%ir, 0er!&n I6 t%e *a!e 6a##! -n,er t%e (enera# r-#e) %e *an !-e t%e a(ent. B-t 7%en t%e *&ntra*t in+&#+e! t%in(! /e#&n(in( t& t%e 0rin*i0a#) %e *an !-e t%e 0rin*i0a#. B-t i6 it *ann&t /e ,eter$ine, 7it%&-t #iti(ati&n 7%& i! #ia/#e) %e *an !-e /&t%.
In!&6ar a! = r, 0er!&n! are *&n*erne, ?n&t re2-ire, t& in2-ire t%e ter$! &66-rt%er t%e t%an 7ritten 0&7er) a(ent a*te, 7it%in !*&0e &6 %i! a-t%&rit" Prin*i0a# e!t&00e, M&ti+e i! i$$ateria#" a! #&n( a! 7it%in t%e !*&0e &6 a-t%&rit) +a#i,
A-t%&rie, 0rin*i0a# !ti## #ia/#e Be&n, t%e !*&0e &6 t%e a(entK! a-t%&rit GR# Prin*i0a# n&t #ia/#e Excp!ion: 0rin*i0a# ta1e! a,+anta(e &6 a *&ntra*t &r re*ei+e! /ene6it! $a,e -n,er 6a#!e re0re!entati&n &6 %i! a(ent =. F&r t%e a(entK! &7n /ene6it 0rin*i0a# !ti## #ia/#e" a(entK! $&ti+e i$$ateria#
T%ir, 0er!&n 1ne7 a(ent 7a! a*tin( 6&r %i! &7n /ene6it: 0rin*i0a# i! n&t #ia/#e t& =r, t%ir, 0er!&n O7ner i! !ee1in( re*&+er &6 0er!&na# 0r&0ert &6 7%i*% %e %a! /een -n#a76-## ,e0ri+e,
C$mmissi$n A'en > &ne 7%&!e /-!ine!! i! t& re*ei+e an, !e## (&&,! 6&r a *&$$i!!i&n an, 7%& i! entr-!te, / t%e 0rin*i0a# 7it% t%e 0&!!e!!i&n &6 (&&,! t& /e !&#,) an, -!-a## !e##in( in %i! &7n na$e. Disinci$n #e/een C$mmissi$n A'en Br$
N& *-!t&, &r 0&!!e!!i&n &6 t%e t%in( %e ,i!0&!e!" $ere# a (&/et7een) an inter$e,iar /et7een t%e !e##er an, t%e /-er
Ha! a re#ati&n 7it% 0rin*i0a#) /-er &r !e##er) an, 0r&0ert 7%i*% i! t%e &/e* t &6 t%e tran!a*ti&n
Maintain! n& re#ati&n 7it% t%e t%in( 7%i*% %e 0-r*%a!e! &r !e##!
Disinci$n #e/een Ordinar" A'en C$mmissi$n A'en ORDINAR, A 3ENT COMMISSION A 3ENT A*t! 6&r an, in /e%a# 6 Ma a*t in %i! &7n &6 %i! 0rin*i0a# na$e &r in t%at &6 t%e 0rin*i0a# Nee, n&t %a+e 0&!!e!!i&n &6 t%e 0rin*i0a#K! (&&,!
M-!t /e in 0&!!e!!i&n &6 t%e t%in( %e ,i!0&!e!
O#%i'ai$ns $& a C$mmissi$n A'en8 =RMCB; Re!0&n!i/#e 6&r t%e (&&,! re*ei+e, / %i$) a! ,e!*ri/e, in t%e *&n!i(n$ent) ,N=E// -0&n re*ei+in( t%e$ %e !%&-#, $a1e a 7ritten !tate$ent &6 t%e ,a$a(e an, ,eteri&rati&n !-66ere, / t%e !a$e I6 (&&, ! are &6 t%e !a$e 1in, an, $ar1 /-t /e#&n(in( t& ,i66erent &7ner!) $a1e a ,i!tin*ti&n / *&-nter mar1! an, ,e!i(nate t%e $er*%an,i!e re!0e*ti+e# /e#&n(in( t& ea*% 0rin*i0a# He *ann&t) 7it%&-t *&n!en t &6 t%e 0rin*i0a#) !e## &n cre,it" !%&-#, %e ,&) 0rin*i0a# $a ,e$an, 0a$ent in *a!%) /-t t%e *&$$i!!i&n a(ent entit#e, t& an intere!t/ene6it 7%i*% $a re!-#t 6r&$ !-*% !a#e I6 an a(ent re*ei+e! (-arantee *&$$i!!i&n ?a del credere a(ent) %e !%a## #ear t%e ri!1 &6 *&##e*ti&n an, !%a## 0a t%e 0rin*i0a# t%e
0r&*ee,! &6 t%e !a#e &n t%e !a$e ter$! a(ree, -0&n 7it% t%e 0-r*%a!er. T%e a(ent !%a## /e #ia/#e 6&r ,a$a (e! i6 %e ,&e! n&t *&##e*t t%e *re,it! &6 %i! 0rin*i0a# at t%e ti$e 7%en t%e /e*&$e ,-e an, ,e$an,a/#e) UNLESS %e 0r&+e!) t%at %e eer*i!e, ,-e ,i#i(en*e 6&r t%at 0-r0&!e.
- MODES O: EFTIN3UISHMENT A'enc" is E6in'!ised8 =EDWARD; B t%e e 0irati&n &6 t%e 0eri&, 6&r 7%i*% t%e a(en* 7a! *&n!tit-te,. B t%e deat%) *i+i# inter,i*ti&n) in!anit &r in!&#+en* &6 t%e 0rin*i0a# B t%e / it%,ra7a# &6 t%e a(ent"&r &6 t%e a(ent" B t%e a **&$0#i!%$ent &6 t%e &/e*t &r 0-r0&!e &6 t%e a(en*" B it! r e+&*ati&n " B t%e d i!!&#-ti&n &6 t%e 6ir$ &r *&r0&rati&n 7%i*% entr-!te, &r a**e0te, t%e a(en* =Ar- 1919; T%e #i!t n&t e*#-!i+e" *a-!e! particular &n# t& a(en*" $a /e etin(-i!%e, / t%e $&,e! &6 etin(-i!%$ent &6 &/#i(ati&n! in (enera# 7%ene+er t%e are a00#i*a/#e) #i1e #&!! &6 t%e t%in( an, n&+ati&n A(en* i! TERMINATED) a! a $atter &6 #a7) -0&n t%e &-t/rea1 &6 7ar.
Pres!mi$n $& C$nin!ance $& A'enc" 7%en &n*e !%&7n t& %a+e ei!te,) an a(en* re#ati&n 7i## /e 0re!-$e, t& %a+e *&ntin-e,) in t%e a/!en*e &6 ant%in( t& !%&7 it! ter$inati&n. C$nin!ance $& A'enc" Partie! $-!t /e Pre!ent) Ca0a*itate, an, S&#+ent
M$des $& e6in'!isin' an a'enc"5 'enera%%"8 =ASO; A(ree$ent S-/!e2-ent a*t! &6 t%e 0artie! 7%i*% $a /e eit%er: B t%e a*t &6 /&t% 0artie! &r / $-t-a# *&n!ent B t%e -ni#atera# a*t &6 &ne &6 t%e$ NOTE8 E+en i6 t%e rea!&n 6&r etin(-i!%in( t%e a(en* i! n&t tr-e ) t%e a(ent *ann &t in!i!t &n rein!tate$ent. T%e a(ent *an &n # ,e$an, ,a$a(e!. $"%! "%ppns i !" sujc! &%!!r o !" %nc6 is los! or s!ro6N In t%e a/!en*e &6 an a(ree$ent / t%e 0artie! t& t%e *&nt rar) t%e #&!! &r ,e!tr-*ti&n &6 t%e !-/e*t $atter &6 t%e a(en* ter$inate! t%e
a(ent^! a-t%&rit t& ,ea# 7it% re6eren*e t& it
EFCEPTIONS8 I6 it i! 0&!!i/#e t& !-/!tit-te &t%er $ateria# 6&r t%at 7%i*% 7a! ,e!tr&e, 7it%&-t !-/!tantia# ,etri$ent t& eit%er 0art I6 t%e ,e!tr&e, !-/e*t $atter 7a! n&t in 6a*t e!!entia# t& t%e *&ntra*t A 0artia# #&!! &r ,e!tr-*ti&n
&t%er 0r&0ert n&t a66e*te, I6 t%e #&!! /r&-(%t a/&-t / t%e 0rin*i0a# ?ex%% principal sells subject matter to another party e"en if an agent has been constituted in reference to it ) 0rin*i0a# #ia/#e 6&r ,a$a(e! 6&r %i! 7r&n(6-# ter$inatin( a*t" i6 !-/e*t $atter i! #&!t 7it%&-t 0rin*i0a#K! 6a-#t) n& #ia/i#it a!!-$e, / %i$
:$rm $& ren!nciai$n It i! n&t a#7a! ne*e!!ar 6&r t%e a(ent t& ren&-n*e t%e a(en* e0re!!#. He *an ,& !&
Can'e $& Circ!msance8 3ENERAL RULE8 7%en t%ere i! a /a!i* *%an(e in t%e *ir*-$!tan*e! !-rr&-n,in( t%e tran!a*ti&n) 7%i*% 7a! n&t *&nte$0#ate, / t%e
i$0#ie,#) !-*%*&n,-*te, a!: ;%ere %e %a! %i$!e#6 in a $anner in*&$0ati/#e 7it% %i! ,-tie! a! a(ent ;%en %e a/an,&n! t%e &/e*t &6 %i! a(en* an, a*t! 6&r %i$!e#6 in *&$$ittin( a 6ra-, -0&n %i! 0rin*i0a#! ;%en %e 6i#e! a *&$0#aint a(ain!t t%e 0rin*i0a# an, a,&0t! an anta(&ni!ti* attit-,e t&7ar,! %i$
E6cei$ns $ E6in'!ismen #" Dea =CID; I6 t%e a(en* i! *&-0#e, 7it% an intere!t I6 t%e a*t &6 t%e a(ent 7a! ee*-te, 7it%&-t t%e
0artie! 7%i*%t%at 7&-#, #ea, n&t t%e a(ent t&an, /e#ie+e t%e rea!&na/# 0rin*i0a# 7&-#, ,e!ire %i$ t& a*t) t%e a-t%&rit &6 t%e a(ent i! ter$inate, EFCEPTIONS8 I6 t%e &ri(ina# *ir*-$!tan*e! are re!t&re, 7it%in a rea!&na/#e 0eri&, &6 ti$e) t%e a(ent! a-t%&rit $a /e re+i+e, ;%ere t%e a(ent %a! rea!& na/#e ,&-/t! a! t& 7%et%er t%e 0rin*i0a# 7&-#, ,e!ire %i$ t& a*t) %i! a-t%&rit 7i## n&t /e ter$inate, i6 %e a*t! rea!&na/# ;%ere t%e 0rin*i0a# an, a(ent are in *#&!e ,ai# *&nta*t) t%e a(ent! a-t%&rit t& a*t 7i## n&t ter$inate -0&n a *%an(e &6 *ir*-$!tan*e! i6 t%e a(ent 1n&7! t%e 0rin*i0a# i! a7are &6 t%e *%an(e an, ,&e! n&t (i+e %i$ ne7 in!tr-*ti&n!
Re.$cai$n > ter$inati&n &6 t%e a(en* / t%e !-/!e2-ent a*t &6 t%e 0rin*i0a# Ren!nciai$nWidra/a% ter$inati&n &6 t%e a(en* / t%e !-/!e2-ent a*t &6 t%e a(ent
E6cei$ns $ E6in'!ismen U$n L$ss $r Desr!ci$n $& S!#4ec Maer I6 it i! 0&!!i/#e t& !-/!tit-te &t%er $ateria# 6&r t%at 7%i*% 7a! ,e!tr&e, 7it%&-t !-/!tantia# ,etri$ent t& eit%er 0art &r i6 t%e ,e!tr&e,
Ma" e a'enc" #e e6in'!ised a /i%% A3ENT $a ,& !& /-t !-/e*t t& t%e *&ntra*t-a# &/#i(ati&n! &7in( t& t%e 0rin*i0a# ? i%e% 6ie, 0eri&, &6 ti$e 6&r t%e a(en* &r 0-r0&!e n&t et a**&$0#i!%e," E6ress%" $r im%ied%" *&n,-*te, %i$!e#6 in a $anner in*&$0ati/#e 7it% %i! ,-tie!" a/an,&n! t%e &/e*t &6 a(en* an, a*t! 6&r %i$!e#6 in *&$$ittin( a 6ra-, -0&n %i! 0rin*i0a#" %e 6i#e! a *&$0#aint a(ain!t t%e 0rin*i0a# an, a,&0t! an anta(&ni!ti* attit-,e t&7ar,! %i$ with just cause (i+e ,-e n&ti*e
!-/e*t $atter 7a! n&t in 6a*t e!!entia# t& t%e *&ntra*t" A 0artia# #&!! &r ,e!tr-*ti&n ,&e! n&t a#7a! re!-#t in a *&$0#ete ter$inati&n &6 t%e a(en*) an, -n,er !-*% *ir*-$!tan*e!) 7%i#e t%e a(en* $a /e en,e, in !& 6ar a! t%e ,e!tr&e, 0r&0ert i! *&n*erne,) it $a *&ntin-e in ei!ten*e a! t&
without just cause #ia/#e 6&r ,a$a(e! i6 t%e 0rin*i0a# !-66er! ,a$a(e! t%ere/ UNLESS t%e a(ent !%&-#, /a!e %i! 7it%,ra7a# -0&n t%e i$0&!!i/i#it &6 *&ntin-in( t%e 0er6&r$an*e &6 t%e a(en* 7it%&-t (ra+e ,etri$ent t& %i$!e#6 T%e $ere 6a*t t%at t%e a(ent +i&#ate! %i!
EFCEPTIONS8 A(en* / &0erati&n &6 #a7) &r a 0re!-$e, &r ta*it a(en* A(en* i! *&-0#e, 7it% an intere!t in t%e !-/e*t $atter &6 t%e a(en* ?ex% power of sale in a mortgage.
in!tr-*ti&n! ,&e! n&t a$&-nt t& ren-n*iati&n) an, a#t%&-(% %e $a t%-! ren,er %i$!e#6 #ia/#e t& t%e 0rin*i0a#) %e ,&e! n&t *ea!e t& /e*&$e an a(ent.
PRINCIPAL $a a#!& re+&1e t%e a(en* at 7i## EFCEPTION8 a(en* *&-0#e, 7it% intere!t ;%en a /i#atera# *&ntra*t ,e0en,! -0&n t%e a(en* ;%en t%e a(en* i! t%e $ean! &6 6-#6i##in( an &/#i(ati&n a#rea, *&ntra*te, ;%en a 0artner i! a00&inte, a! $ana(er &6 a 0artner!%i0 in t%e *&ntra*t &6 0artner!%i0 an, %i! re$&+a# 6r&$ t%e $ana(e$ent i! -n-!ti6ia/#e. E6cei$n $ e e6cei$n8 7%en t%e a(ent a*t! t& ,e6ra-, t%e 0rin*i0a# /&pli Rvoc%!ion o Anc6 Prin*i0a# a00&int! a ne7 a(ent 6&r t%e !a$e /-!ine!! &r tran!a*ti&n ?&n# i6 t%ere i! in*&$0ati/i#it" e66e*ti+e a! /et7een t%e 0rin*i0a# an, t%e a(ent &n# i6 *&$$-ni*ate, t& t%e a(ent " ,&e! n&t 0re- ,i*e ri(%t! &6 t%ir, 0er!&n! a*tin( in (&&, 6ait% 7it%&-t 1n&7#e,(e &6 t%e re+&*ati&n Prin*i0a# ,ire*t# $ana(e! t%e /-!ine!! entr-!te, t& t%e a(ent) &r ,ea#! ,ire*t# 7it% =r, 0er!&n!
E&&ec $& Iss!ance $& a Secia% P$/er $& A$rne"8 T%e (enera# 0&7er i! i$0#ie,# re+&1e, a! t& $atter! *&+ere, / t%e !0e*ia# 0&7er /e*a-!e a !0e*ia# 0&7er. 0&7er nat-ra## 0re+ai#! &+er a (enera#
Princia%s Lia#i%i" &$r Dama'es desie Re.$cai$n I6 t%e a(en* 7a! *&n!tit-te, 6&r a 6ie, 0eri&,) t%e 0rin*i0a# !%a## /e #ia/#e 6&r ,a$a(e! &**a!i&ne, / t%e 7r&n(6-# ,i!*%ar(e &6 t%e a(ent /e6&re t%e e0irati&n &6 t%e 0eri&, 6ie, E+en i6 t%ere 7a! n& ti$e 6ie, 6&r t%e *&ntin-an*e &6 t%e a(en*) /-t t%e a(ent *an 0r&+e t%at t%e 0rin*i0a# a*te, in /a, 6ait% / re+&1in( t%e a(en* in &r,er t& a+&i, t%e 0a$ent &6 *&$$i!!i&n a/&-t t& /e earne,) t%e 0rin*i0a# *an /e %e#, #ia/#e 6&r ,a$a(e! Necessi" $& N$ice $& Re.$cai$n As $ e a'en e0re!! n&ti*e a#7a! ne*e!!ar" !-66i*ient n&ti*e&ri6 %a! t%e 0art t& /e n&ti6ie, a*t-a## 1n&7!) rea!&n t& 1n&7) a 6a*t in,i*atin( t%at %i! a-t%&rit %a! /een ter$inate,!-!0en,e," re+&*ati&n 7it%&-t n&ti*e t& t%e a(ent 7i## n&t ren,er in+a#i, an a*t ,&ne in 0-r!-an*e &6 t%e a-t%&rit
As $ (rd ers$ns e0re!! n&ti*e ne*e!!ar As $ &$rmer c!s$mers a*t-a# n&ti*e $-!t /e (i+en t& t%e$ /e*a-!e t%e a#7a! a!!-$e t%e *&ntin-an*e &6 t%e a(en* re#ati&n!%i0 As $ $er ers$ns n&ti*e / 0-/#i*ati&n i! en&-(% E&&ec $& E6in'!ismen /i$! N$ice A*t &6 a(ent ,ee$e, +a#i, in!&6ar a! = r, 0artie! a*tin( in (&&, 6ait% an, 7it%&-t 1n&7#e,(e &6 re+&*ati&n
VI- CREDIT TRANSACTIONS 7777777777777777777777777777 77777
TOPIC UNDER THE S,LLABUS8 A- L$an 1- C$mm$da!m .s- M!!!m 2- O#%i'ai$ns $& #ai%$r and #ai%ee (- Ineres and e s!sensi$n $& !s!r" %a/ 777777777777777777777777777 77777777777 CREDIT TRANSACTIONS in*#-,e a## tran!a*ti&n! in+&#+in( t%e 0-r*%a!e &r #&an &6 (&&,!) !er+i*e! &r $&ne in t%e 0re!ent 7it% a 0r&$i!e t& 0a &r ,e#i+er in t%e 6-t-re ?*&ntra*t &6 !e*-rit 2 T"es $& Credi Transaci$ns8 5. Sec!red ransaci$ns t%&!e !-00&rte, / a *&##atera# &r an en*-$/ran*e &6 0r&0ert 8. Unsec!red ransaci$ns t%&!e !-00&rte, &n# / a 0r&$i!e t& 0a &r t%e 0er!&na# *&$$it$ent &6 an&t%er !-*% a! a (-arant&r &r !-ret SECURIT, i! !&$et%in( (i+en) ,e0&!ite, &r !er+in( a! a $ean! t& en!-re t%e 6-#6i##$ent &r en6&r*e$ent &6 an &/#i(ati&n &r &6 0r&te*tin( !&$e intere!t in t%e 0r&0ert 2 T"es $& Sec!ri"8 1- Pers$na% 7%en an in,i+i,-a# /e*&$e! a !-ret &r a (-arant&r 2- Rea% $r Pr$er" 7%en an en*-$/ran*e i! $a,e &n 0r&0ert ?e.(. $&rt(a(e &r 0#e,(e
BAILMENT i! t%e ,e#i+er &6 0r&0ert &6 &ne 0er!&n t& an&t%er in tr-!t 6&r a !0e*i6i* 0-r0&!e) 7it% a *&ntra*t) e0re!! &r i$0#ie,) t%at t%e tr-!t !%a## /e 6ait%6-## ee*-te, an, t%e 0r&0ert ret-rne, &r ,-# a**&-nte, 6&r 7%en a !0e*ia# 0-r0&!e i! a**&$0#i!%e, &r 1e0t -nti# t%e /ai#&r re*#ai$! it. Genera##) it i! *&ntra*t-a#) /-t $a a#!& /e *reate, / &0erati&n &6 #a7. PARTIES IN BAILMENT 5. BAILOR T%e #en,er(i+er" t%e 0art 7%& ,e#i+er! 0&!!e!!i&n*-!t&, &6 t%e t%in( /ai#e, 8. BAILEE T%e re*i0ient" t%e 0art 7%& re*ei+e! t%e 0&!!e!!i&n*-!t&, &6 t%e t%in( ,e#i+ere, LOAN
CHARACTERISTICS 5. Rea% C$nrac ,e#i+er i! e!!entia# 6&r 0er6e*ti&n &6 t%e #&an ?BUT a 0r&$i!e t& #en,) /ein( *&n!en!-a#) i! /in,in( -0&n t%e 0artie! 8. Uni%aera% C$nrac &n# t%e /&rr&7er %a! t%e &/#i(ati&n
1- COMMODATUM VS- MUTUUM INDS 5. COMMODATUM /ai#&r ,e#i+er! t& /ai#ee a n&n*&n!-$a/#e t%in( !& t%at t%e #atter $a -!e it 6&r a *ertain ti$e an, ret-rn t%e i,enti*a# t%in( Linds of commodatum: a. Or,inar *&$$&,at-$ /ai#ee -!e! t%e t%in( 6&r a *ertain 0eri&, &6 ti$e /. Pre*ari-$ /ai#&r $a ,e$an, t%e t%in( #&ane, at 7i##" ei!t! in *a!e! 7%ere: i. T%ere i! n& !ti0-#ati&n a! t& t%e ,-rati&n &6 t%e *&ntra*t &r -!e &6 t%e t%in( #&ane, ii. U!e &6 t%e t%in( i! $ere# t&#erate, / t%e &7ner 8. MUTUUM OR SIMPLE LOAN #en,er ,e#i+er! t& t%e /&rr&7er $&ne &r &t%er *&n!-$a/#e t%in( -0&n t%e *&n,iti&n t%at t%e #atter 7i## 0a t%e !a$e a$&-nt &6 t%e !a$e 1in, an, 2-a#it LOAN 5. De#i+er / &ne 0art an, t%e re*ei0t / t%e &t%er 0art &6 a (i+en !-$ &6 $&ne &r &t%er *&n!-$a/#e t%in( -0&n an a(ree$ent) e0re!! &r i$0#ie, 8. T& re0a t%e !a$e a$&-nt &6 t%e !a$e 1in, an, 2-a#it) 7 &r 7& intere!t
CREDIT A/i#it &6 an in,i+i,-a# t& /&rr&7 $&ne &r t%in(! / +irt-e &6 t%e *&n6i,en*e &r tr-!t re0&!e, / a #en,er t%at %e 7i## 0a 7%at %e $a 0r&$i!e 7in a !0e*i6ie, 0eri&,
COMMODATUM =Aric%es 19(*>19*2; CHARACTERISTICS AND CERTAIN RULES TO REMEMBER: 5. 3ra!i$!s: I6 t%ere i! *&$0en!ati&n) t%en itK! n&t *&$$&,at-$. It $a /e a #ea!e. 8. Pers$na%: Deat% &6 #en,er/&rr&7er ETINGUISHES t%e *&ntra*t
a. B&rr&7er *anKt #en, &r #ea!e t%e t%in( t& t%ir, 0er!&n! i. ECEPTION: 7%e n !ti0-#ate, t%at %e *an ii. ECEPTION: t%e $e$/er! &6 t%e /&rr&7erK! %&-!e%&#, $a $a1e -!e &6 t%e t%in( iii. ECEPTION TO ECEPTION: 7%en !ti0-#ate, t%at $e$/er! &6 t%e %&-!e%&-#, *ann&t -!e &r i6 t%e nat-re &6 t%e t%in( 6&r/i,! !-*% -!e =. S-/e*t Matter: a. Genera## n&n*&n!-$a/#e! ?*an /e rea# &r 0er!&na# 0r&0ert /. I6 *&n!-$a/#e) it $-!t /e 6&r e%i/iti&n ?5= @. O7ner!%i0 a. Len,er ,&e! n&t %a+e t& /e t%e &7ner &6 t%e t%in( #&ane, in *&$$&,at-$ 4. Ri(%t &6 retenti&n: a. B&rr&7er *anKt retain t%e t%in( #&ane, -!t /e*a-!e %e %a! *#ai$! a(ain!t #en,er /. B&rr&7 *an retain i6 %e !-66er! ,a$a(e! / rea!&n &6 %i,,en 6#a7! in t%e t%in( #ent ?545 . Pre!-$0ti&n &6 !&#i,ar #ia/i#it &6 /&rr&7er! a. I6 t%ere are t 7& &r $& re /&rr&7er!) t%e 0re!-$0ti&n i! t%at t%e are !&#i,ari# #ia/#e >. Fr-it!: a !ti0-#ati&n t& $a1e -!e &6 6r -it! i! +a#i,) /-t it i! ne+er 0re!-$e,. T%e en&$ent &6 t%e 6r-it! $-!t &n# /e in*i,enta# t& t%e -!e &6 t%e t%in( it!e#6 i6 en&$ent &6 6r-it! i! 0ri$ar rea!&n) it i! a -!-6r-*t.
LENDS THE SUBJECT MATTER TO A =RD PERSON %e #en,! &r #ea!e! t%e t%in( t& a t%ir, 0er!&n 7%& i! n&t a $e$/er &6 %i! %&-!e%&#, INGRATITUDE /ein( e. a/#e t& !a+e t%e t%in( /&rr&7e, &r %i! &7n t%in() %e *%&!e t& !a+e t%e #atter ,.
2- OBLI3ATIONS O: BAILOR AND BAILEE OBLI3ATIONS O: BAILEE =#$rr$/er; 1- T$ a< e care $& e in' /i $r dinar" di%i'ence 2- T$ a" &$r $rdinar" e6enses (- T$ #e %ia#%e &$ r %$ss d!e $ &$r!i$!s e.en i& si!%aed a e is s!c OBLI3ATIONS O: THE BAILOR =%ender; =AD> READ>HA; 5. Pri$ar &/#i(ati&n &6 t%e /ai#&r: 3enera% R!%e: T& a ##&7 t%e /ai#ee t%e -!e &6 t%e t%in( #&ane, 6&r t%e ,-rati&n &6 t%e 0eri&, !ti0-#ate, &r -nti# t%e a**&$0#i!%$ent &6 t%e 0-r0&!e 6&r 7* t%e *&$$&,at-$ 7a! *&n!tit-te,E6cei$ns8 Bai#&r $a ,e$an, t%e ret-rn &6 t%e t%in( &r it! te$0&rar -!e 7%en: a. Bai#&r %a! an -r(ent nee, 6&r t%e t%in( ?Art% '6C5 t%e *&ntra*t i! !-!0en,e, /. Bai#ee *&$$it! an a*t &6 in(ratit-,e ? Art% '6C( •
•
;%en /&rr&7er i! #ia/#e 6&r #&!! &6 t%e t%in( ?ADLIB
BAD FAITH i6 t%e /ai#ee ,e+&te! t%e t%in( t& an 0-r0&!e ,i66erent 6r&$ t%at 6&r 7%i*% it %a! /een #&ane, DELAY %e 1ee0! it /. #&n(er t%an t%e 0eri&, !ti0-#ate, &r a6ter t%e a**&$0#i!%$ent &6 t%e -!e 6&r 7%i*% t%e *&$$&,at-$ %a! /een *&n!tit-te, a.
*.
HAS BEEN DELIVERED ; APPRAISAL t%e t%in( #&ane, %a! /een ,e#i+ere, 7it% a00rai!a# &6 it! +a#-e) UNLESS t%ere i! a !ti0-#ati&n ee$0tin( t%e /ai#ee 6r&$ re!0&n!i/i#it in *a!e &6 a 6&rt-it&-! e+ent
•
I6 t%e /ai#ee !%&-#, *&$$i t an &66en!e a(ain!t t%e 0er!&n) t%e honor or the property &6 t%e /ai#&r) &r &6 t%e 7i6e &r *%i#,ren -n,er %i! 0arenta# a-t%&rit I6 t%e /ai#ee i$0-te! t& t%e /ai#&r an criminal offense) &r an a*t in+&#+in( $&ra# t-r0it-,e) e+en t%&-(% %e !%&-#, 0r&+e it) UNLESS t%e *ri$e &r t%e a*t %a! /een *&$$itte, a(ain!t t%e /ai#ee %i$!e#6) %i! 7i6e) &r *%i#,ren -n,er %i! a-t%&rit I6 t%e /ai#ee -n,-# re6-!e! t%e /ai#&r support 7%en t%e /ai#ee i! #e(a## &r $&ra## /&-n, t& (i+e !-00&rt t& t%e /ai#&r
8. Ma de$an, t%e t%in( at 7i## 7%en t%e *&ntra*t i! a precarium
PRECARIUM a 1in, &6 *&$$&,at-$ 7%ere t%e /ai#&r $a ,e$an, t%e t%in( at 7i##. It i! a *&ntra*t / 7%i*% t%e &7ner &6 a t%in() at t%e re2-e!t &6 an&t%er 0er!&n) (i+e! t%e #atter t%e t%in( 6&r -!e a! #&n( a! t%e &7ner !%a## t&#erate =. T& re6-n, t%e etra&r,inar e0en!e! =Ar19)9;
3enera% R!%e N&ti*e !%&-#, /e (i+en / t%e /ai#ee t& t%e /ai#&r re(ar,in( !-*% etra&r,inar e0en!e! an, *&n!ent !%&-#, /e &/taine, E6cei$n ;%ere t%e etra&r,inar e0en!e! are !& -r(ent t%at t%e re0# t& t%e n&ti6i*ati&n *ann&t /e a7aite, 7& ,an(er @. I6 t%e etra&r,inar e0en!e! ari!e 6r&$ t%e a*t-a# -!e &6 t%e t%in( an, e+en t%&-(% /ai#ee a*te, 7& 6a-#t) t%e e0en!e! 7i## /e /&rne e2-a## / /&t% t%e /ai#&r an, t%e /ai#ee ?44 =Ar- 19)95 ar- 2; REASONS: a. Bai#ee 0a ! /e*a-!e &6 t%e /ene6it ,eri+e, 6r&$ t%e -!e &6 t%e t%in( /. Bai#&r 0a! t%e &t%e r /e*a-!e %e i! t%e &7ner an, t%e t%in( 7i## /e ret-rne, t& %i$
E6cei$n F Sti0-#ati&n t& t%e *&ntrar ?e.(. ,i66erent a00&rti&n$ent &r !&#e /-r,en / /ai#ee &r /ai#&r
*. *. *. *. T%e /ai#&r i! aware t%ere&6 ,. Bai#&r ,&e! not ad"ise the bailee &6 t%e !a$e e. T%e /ai#ee !-66er! damages / rea!&n &6 t%e 6#a7 &r ,e6e*t T%e /ai#&r %a! n& ri(%t &6 a/an,&n$ent 6&r e0en!e! an, ,a$a(e! =Ar- 19*2; REASON: e0en!e! an,&r ,a$a(e! $a e*ee, t%e +a#-e &6 t%e t%in( #&ane,
9.
SIMPLE LOAN OR MUTUUM =Ars- 19((>19+1; SIMPLE LOAN OR MUTUUM i! a *&ntra*t 7%ere/ &ne &6 t%e 0artie! ,e#i+er! t& an&t%er $&ne &r &t%er 6-n(i/#e t%in( 7 t%e -n,er!tan,in( t%at t%e !a$e a$&-nt &6 t%e !a$e 1in, an, 2-a#it !%a## /e 0ai,. Na!re $& M!!!m a. Bi%aera% /&rr&7erK! 0r&$i!e t& 0a i! t%e *&n!i,erati&n 6&r t%e #en,erK! &/#i(ati&n t& 6-rni!% t%e #&an #- N$ crimina% %ia#i%i" !$n &ai%!re $ a" S!#4ec Maer a. :!n'i#%e $r c$ns!ma#%e ,e0en,in( &n t%e intent &6 t%e 0artie!" t%at t%e ret-rn &6 t%e t%in( i! e2-i+a#ent &n# an, n&t t%e i,enti*a# t%in(
4. A## &t%er e0en!e! 7%i*% are n&t ne*e!!ar 6&r t%e -!e an, 0re!er+ati&n &6 t%e t%in ( $-!t /e !%&-#,ere, / t%e /&rr&7er ?/ai#ee
ungible things t%&!e 7%i*% are -!-a## ,ea#t 7it% / n-$/er) 7ei(%t) &r $ea!-re !& t%at an (i+en 0&rti&n i! treate, a! t%e e2-i+a#ent &6 an &t%er -nit &r 0&rti&n. ,e0en,! -0&n t%e intenti&n &6 t%e 0artie! ?a! &00&!e, t& *&n!-$a/#e &r n&n *&n!-$a/#e 7%i*% ,e0en,! -0&n it! nat-re A 6-n(i/#e 6r&$ t%e +ie70&int &6 t%e 0artie! i! ea!i# re0#a*ea/#e
. T%e de0re*iati&n *a-!e, / t%e rea!&na/#e an, nat-ra# -!e &6 t%e t%in( i! /&rne / t%e /ai#&r =Ar- 19)(; REASON: 0artie! t& t%e *&ntra*t 1n&7 t%at t%e t%in( /&rr&7e, *ann&t /e -!e, 7it%&-t ,eteri&rati&n ,-e t& &r,inar 7ear an, tear.
E6cei$ns: a. ;%en t%ere i! a stipulation t& t%e *&ntrar /. ;%en t%e /ai#ee i! (-i#t &6 fault or negligence *. I6 %e ,e+&te! t%e t%in( t& an purpose different 6r&$ t%at 6&r 7% i*% %a! /een #&ane, >.
T& 0a ,a$a(e! 6&r 1n&7n i,,en 6#a7! =Ar- 19*1;
Re@!isies8 ?t%e 6&##&7in( $-!t *&n*-r a. T%ere i! a flaw or defect in t%e t%in( #&ane, /. T%e 6#a7 &r ,e6e*t i! hidden
#•
M$ne" I6 t%e tran!6er &6 &7ner!%i0 i! &n a n&n 6-n(i/#e t%in() 7it% t%e &/#i(ati&n &6 t%e &t%er t& (i+e t%in(! &6 t%e !a$e 1in,) 2-antit an, 2-a#it) it i! a /arter
:ORM O: PA,MENT 5. I6 t%e t%in( #&ane, i! $&ne *-rren* !ti0-#ate,) &t%er7i!e t%at 7%i*% i! #e(a# ten,er in t%e P%i#i00ine!. In *a!e &6 etra&r,inar in6#ati&n &r ,e6#ati&n) 0a$ent
!%a## /e in t%e +a#-e &6 t%e *-rren* at t%e ti$e &6 t%e *reati&n &6 t%e &/#i(ati&n. 8. I6 &t%er t%an $&ne an&t%er t%in( &6 t%e !a$e 1in,) 2-a#it an, 2-antit. I6 i$0&!!i/#e t& ,& !&) 0a$ent $-!t /e it! +a#-e at t%e ti$e &6 0er6e*ti&n &6 t%e #&an.
(- INTEREST AND THE SUSPENSION O: USUR, LAW
E6cei$ns: 5. Indemni" &$r dama'es t%e ,e/t&r in ,e#a i! #ia/#e t& 0a #e(a# intere!t ?58 a! in,e$nit 6&r ,a$a(e! e+en in t%e a/!en*e &6 a !ti0-#ati&n 6&r t%e 0a$ent &6 intere!t. Intere!t a! in,e$nit 6&r ,a$a(e! i! 0aa/#e &n# in *a!e &6 ,e6a-#t &r n&n0er6&r$an*e &6 *&ntra*t. •
INTEREST 3enera% R!%e Intere!t $-!t /e e6ress%" si!%aed in /riin') an, i t $-! t /e %a/&!% ?Ar- 19*+ 5. ;%en an &/#i (ati&n) re(ar,#e!! &6 it! !&- r*e) i! /rea*%e,) t%e *&ntra+en&r *an /e %e#, #ia/#e 6&r ,a$a(e!. 8. I6 &/#i(ati&n *&n!i!t! in t%e 0a$ent &6 a !-$ &6 $&ne ?#&an) 6&r/earan*e &6 $&ne) -,($ent $&ne a. Intere!t ,-e i! 7%at %a! /een !ti0-#ate, / t%e 0artie! /. T%e intere!t !%a ## ear n #e(a# intere!t 6r&$ t%e ti$e &6 -,i*ia# ,e$an, *. I6 t%e reK! n& !ti0-#ati&n) t%e rat e i! 58 6r&$ ,e6a-#t ?-,i*ia# &r etra-,i*ia# ,e$an, 8. I6 &/#i(ati&n i! n&t a #&an &r 6&r /earan*e &6 $&ne a. Intere!t &n t%e a$&-nt &6 ,a$a(e! a7ar,e, $a /e i$0&!e, at t%e ,i!*reti&n &6 t%e *&-rt at /. N& intere!t !%a## /e a,-,(e, &n -n#i2-i,ate, *#ai$! &r ,a$a(e!) e*e0t 7%en &r -nti# t%e a$&-nt *an /e e!ta/#i!%e, 7it% rea!&na/#e *ertaint *. ;%ere t%e a$&-nt i! e!ta/#i!%e, 7it% rea!&na/#e *ertaint) t%e intere!t !%a## /e(in 6r&$ t%e ti$e t%e *#ai$ i! $a,e -,i*ia## &r etra-,i*ia## ,. B-t 7%en !-*% *ertaint *ann&t /e !& rea!&na/# e!ta/#i!%e, t%e ti$e t%e ,e$an, i! $a,e) t%e intere!t !%a## /e(in t& r-n &n# 6r&$ t%e ,ate t%e -,($ent &6 t%e *&-rt i! $a,e e. T%e a*t-a# /a!e ?0rin*i0a# 6&r t%e *&$0-tati&n &6 t%e #e(a# intere!t !%a##) in an *a!e) /e &n t%e a$&-nt 6ina## a,-,(e,. ;%en -,($ent &6 *&-rt a7ar,in( a !-$ &6 $&ne /e*&$e! 6ina# an, ee*-t&r) 58 intere!t 6r&$ !-*% -nti# it! 0a$ent Easern Ass!rance and S!re" C$r$rai$n .- CA K(22 SCRA ?(5 an- 15 2000 =.
Basis &$r c$m!ai$n &$r indemni"8 a. Centra# Ban1 Cir*-#ar @5 58 0.a. in *a!e! &68 • =oans • orbearance &6 $&ne) (&&,! &r *re,it! • udgments in+&#+in( !-*% #&an! &r 6&r/earan*e) in t%e a/!en*e &6 t%e e0re!! a(ree$ent a! t& !-*% rate &6 intere!t • D-rin( t%e interim 0eri&, 6r&$ t%e ,ate -,($ent -nti# a*t-a# 0a$ent /. Art. 88 &6 t%e Ci+i# C&,e 0.a. in *a!e! &6: • Other !&-r*e! ?e.(. !a#e • !amages ari!in( 6r&$ in-r t& 0er!&n! • =oss &6 0r&0ert 7%i*% ,&e! n&t in+&#+e a #&an
8. Ineres accr!in' &r$m !naid ineres intere!t ,-e !%a## earn intere!t 6r&$ t%e ti$e it i! -,i*ia## ,e$an,e, a#t%&-(% t%e &/#i(ati&n $a /e !i#ent -0&n t%i! 0&int.
Deerminai$n $& ineres a"a#%e in
E6cei$ns: • ;%en judicially demandede%g% when case is filed to collect* • ;%en t%ere i! an express stipulation $a,e / t%e 0artie!: t%at t%e intere!t ,-e an, -n0ai, !%a## /e a,,e, t& t%e 0rin*i0a# &/#i(ati&n an, t%e re!-#tin( t&ta# a$&-nt !%a## earn intere!t USUR, USUR, i! t%e *&ntra*tin( 6&r &r re*ei+in( !&$et%in( in e*e!! &6 t%e a$&-nt a##&7e, / #a7 6&r t%e #&an &r 6&r/earan*e &6 $&ne) (&&,! &r *%atte#!. ELEMENTS O: USUR,8 =LUIT; 5. L&an &r 6&r/earan*e 8. Un,er!tan,in( /et7een t%e 0artie! t%at %e #&an !%a## /e 0ai,. =. Un#a76-# intent t& ta1e $&re t%an t%e #e(a# rate. @. T a1in( &r a(reein( t& ta1e 6&r t%e -!e &6 t%e #&an &6 !&$et%in( in e*e!! &6 7%at i! a##&7e, / #a7. NOTE: U!-r n&7 i! %e'a%%" ine6isen. In Art. 5= &6 NCC) *&ntra*tin( 0artie! $a e!ta/#i!% !-*% !ti0-#ati&n!) *#a-!e!) ter$! an, *&n,iti&n! a! t%e $a ,ee$ *&n+enient) 0r&+i,e, t%e are n&t *&ntrar t& #a7) $&ra#!) (&&, *-!t&$!) 0-/#i* &r,er) &r 0-/#i* 0&#i*. T%i! $a /e in+&1e, t& ann-# t%e e*e!!i+e !ti0-#ate, intere!t. H&7e+er) U!-r #a7 %a! NOT /een re0ea#e, •
Sin*e t%e $&rt(a(e *&ntra*t ,eri+e! it! +ita#it 6r&$ t%e +a#i,it &6 t%e 0rin*i0a# &/#i(ati&n) t%e in+a#i, !ti0-#ati&n &n intere!t rate i! !i$i#ar# in!-66i*ient t& ren,er +&i, t%e an*i##ar $&rt(a(e *&ntra*t. Ss- Car$ .C!a5 K3-R- N$- 1*0??( 1*(*995 Seem#er 205 200*
BARTER A *&ntra*t 7%ere/ &ne 0er!&n tran!6er! t%e &7ner!%i0 &6 n&n6-n(i/#e t%in(! t& an&t%er 7it% t%e &/#i(ati&n &n t%e 0art &6 t%e #atter t& (i+e t%in(! &6 t%e !a$e 1in,) 2-antit an, 2-a#it) !%a## /e *&n!i,ere, a /arter.
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 B- De$si 1- V$%!nar" De$si
2- Necessar" De$si (- !dicia% De$si 777777777777777777777777 77777777777777 DEPOSIT =Ars- 19+2>2009; DEPOSIT is *&n!tit-te, 6r&$ t%e $&$ent a 0er!&n re*ei+e! a t%in( /e#&n(in( t& an&t%er) 7it% t%e &/#i(ati&n &6 !a6e# 1ee0in( it an, &6 ret-rnin( t%e !a$e. Sa&e
Creai$n $& de$si =Ar- 19+); 5. B +irt-e &6 a *&-rt &r,er &r 8. B #a7 =. N&t / t%e 7i## &6 t%e 0artie! @. De0&!itar $-!t n&t /e t%e &7ner &6 t%e 0r&0ert ,e0&!ite, ?Ar- 19+2 inds $& De$si 5. !dicia% 7%en an atta*%$ent &r !ei-re &6 0r&0ert in #iti(ati&n i! &r,ere, 8. E6ra4!dicia% ?Ar- 19+? V$%!nar" ,e#i+er i! $a,e / a. t%e 7i## &6 t%e ,e0&!it&r &r / t7& &r $&re 0er!&n! ea*% &6 7%&$ /e#ie+e! %i$!e#6 entit#e, t& t%e t%in( ,e0&!ite, Necessar" $a,e in *&$0#ian*e /. 7it% a #e(a# &/#i(ati&n) &r &n t%e &**a!i&n &6 an *a#a$it) &r / tra+e#er! in %&te#! an, inn! &r / tra+e#er! 7it% *&$$&n *arrier!. T%ere i! #a*1 &6 6ree *%&i*e in t%e ,e0&!it&r. BASIS 0reati on
UDICIAL ;i## &6 t%e *&-rt
Purpos
Se*-rit
e
en!-re t%e ri(%t &6 a 0art t& t%e 0r&0ert &r t& re*&+er in *a!e &6 6a+&ra/#e -,($ent
&r
EFTRAUDICIAL ;i## &6 t%e *&ntra*tin( 0artie! t& C-!t&, an, !a6e1ee0in(
/ubjec t #atter 0ause
1eturn of thing In whose behalf it is held
Genera## i$$&+a/#e!
M&+a/#e! &n#
A#7a!&ner&-!
Ma /e *&$0en!ate, /-t (enera## (rat-iti&-! U0&n &r,er &6 t%e U0&n ,e$an, &6 *&-rt en, &6 ,e0&!it&r #iti(ati&n Per!&n 7%& %a! a De0&!it&r &r =r, ri(%t 0er!&n ,e!i(nate,
De$si is 'enera%%" 'ra!i$!s8 =Ar- 19+*; 3enera% R!%e A ,e0&!it i! (enera## (rat-it&-!. E6cei$ns: =SBS; a. ;%en t%ere i! a *&ntrar s ti0-#ati&n /. ;%ere ,e0&!itar i! en(a(e, in t%e # -!ine!! &6 !t&rin( (&&,! *. ;%ere 0 r&0ert i ! s a+e, 7it%&-t 1n&7#e,(e &6 t%e &7ner ,. -,i*ia# ,e0&!it S!#4ec Maer $& De$si =Ar- 19++; 3enera% R!%e8 On# $&+a/#e &r 0er!&na# 0r&0ert $a /e t%e &/e*t &6 ,e0&!it ?7%et%er +&#-ntar &r ne*e!!ar E6cei$n8 In -,i*ia# ,e0&!it) it $a *&+er /&t% $&+a/#e an, i$$&+a/#e 0r&0ert De$si$r need n$ #e e $/ner $& e in' 3enera% R!%e: T%e ,e0&!it&r $-!t /e t%e &7ner &6 t%e t%in( ,e0&!ite, E6cei$ns: It $a /e#&n ( t& an&t%er 0er!&n t%an t%e ,e0&!it&r a. ;%en t7& &r $&re 0er!&n! *#ai$in( t& /e entit#e, t& a t%in( $a ,e0&!it t%e !a$e 7it% a t%ir, 0er!&n. In !-*% *a!e) t%e t%ir, 0er!&n a!!-$e! t%e &/#i(ati&n t& ,e#i+er t& t%e &ne t& 7%&$ it /e#&n(!. /. Inter0#ea,er t%e a*ti&n t& *&$ 0e# t%e ,e0&!it&r! t& !ett#e t%eir *&n6#i*tin( *#ai$!. Here &ne &6 t%e ,e0&!it&r! i! n&t t%e &7ner. :$rm $& c$nrac $& de$si 3enera% R!%e8 A *&ntra*t &6 ,e0&!it $a /e entere, int& ?/-t n&t 0er6e*te, &ra## &r in 7ritin( =Ar- 19+9; E6cei$n# De#i+er &6 t%e t%in( ,e0&!ite, i! nee,e, 6&r 0er6e*ti&n.
DEPOSITAR, CAPACITATED DEPOSITOR INCAPACITATED De0&!itar i! !-/e*t t& ALL t%e &/#i(ati&n! &6 a ,e0&!itar
DEPOSITAR, INCAPACITATED DEPOSITOR CAPACITATED De0&!itar ,&e! n&t in*-r t%e &/#i(ati&n! &6 a ,e0&!itar
De0&!itar $-!t ret-rn t%e 0r&0ert eit%er t&:
De0&!itar) %&7e+er) i! #ia/#e t&: a Ret-rn t%e t%in( ,e0&!ite, 7%i#e !ti## in %i! 0&!!e!!i&n" AND / Pa t%e ,e0&!it&r t%e a$&-nt / 7* %e $a %a+e /ene6ite, %i$!e#6 7 t%e t%in( &r it! 0ri*e !-/e*t t& t%e ri(%t &6 an = r, 0er!&n 7%& a*2-ire! t%e t%in( in (&&, 6ait%
a T%e #e(a# re0re!entati+e &6 t%e in*a0a*itate,) OR / T%e ,e0&!it&r %i$!e#6 i6 %e !%&-#, a*2-ire *a0a*it
BASIS
IRRE3UL AR DEPOSIT De$an,a/#e at 7i## &6 t%e
!emandabi lity
irre(-#ar ,e0&!it&r 6&r 7%&!e /ene6it t%e ,e0&!it %a! /een *&n!tit-te,
+enefit
Bene6it a**r-e! t& t%e ,e0&!it&r De0&!it&r %a! 0re6eren*e &+er &t%er *re,it&r! 7it% re!0e*t t& t%in( ,e0&!ite,
Preference of credit
MUTUUM Len,er i! /&-n, / t%e 0r&+i!i&n! t%e *&ntra*t &6 an, *ann&t !ee1 re!tit-ti&n -nti# t%e ti$e &6 0a$ent a! 0r&+i,e, in t%e *&ntra*t %a! ari!en Ne*e!!it &6 t%e /&rr&7er En& n& 0re6eren*e in t%e ,i!tri/-ti&n &6 t%e ,e/t&rK! 0r&0ert
OBLI3ATIONS O: THE DEPOSITAR, =SRT>CCC>ULC>RITT>RPPT>TL>HR; 5. T/$ rimar" $#%i'ai$ns =Ar- 19?2; a. Sa6e1ee0in( &6 t%e &/e*t De(ree &6 Care !a$e ,i#i(en*e a! %e 7&-#, eer*i!e &+er %i! 0r&0ert
• REASONS: i. E!!entia# re2-i!ite &6 -,i*ia# re#ati&n 7%i*% in+&#+e! t%e ,e0&!it&rK! *&n6i,en*e in %i! (&&, 6ait% an, tr-!t7&rt%ine!! ii. T%e 0re!-$0ti&n t%at t%e ,e0&!it&r t&&1 int& a**&-nt t%e ,i#i(en*e 7%i*% t%e ,e0&!itar i! a**-!t&$e, 7it% re!0e*t t& %i! &7n 0r&0ert /. R et-rn &6 t%e t%in( 7%en re2-ire, E+en t%&-(% a !0e*i6ie, ter$ &r ti$e 6&r !-*% $a %a+e /een !ti0-#ate, in t%e *&ntra*t
T%e ,e0&!itar *ann&t e*-!e %i$!e#6 6r&$ #ia/i#it) in t%e e+ent &6 #&!!) / *#ai$in( t%at %e eer*i!e, t%e !a$e a$&-nt &6 *are t&7ar, t%e t%in( ,e0&!ite, a! %e 7&-#, t&7ar,! %i! &7n i6 !-*% *are i! #e!! t%an t%at re2-ire, / t%e *ir*-$!tan*e! 8. O#%i'ai$n n$ $ Trans&er de$si =Ar19?(;
3enera% R!%e: T%e ,e0&!itar i! n&t a##&7e, t& ,e0&!it t%e t%in( 7it% a t%ir, 0er!&n REASON: A ,e0&!it i! 6&-n,e, &n tr-!t an, *&n6i,en*e an, it *an /e !-00&!e, t%at t%e ,e0&!it&r) in *%&&!in( t%e ,e0&!itar) %a! ta1en int& *&n!i,erati&n t%e #atterK! 2-a#i6i*ati&n E6cei$n: T%e ,e0&!itar i! a-t%&rie, / e0re!! !ti0-#ati&n LIABILITIES: De0&!itar i! #ia/#e 6&r #&!! &6 t%e t%in( ,e0&!ite, 7%en: a. He tran!6er! t%e ,e0&!it 7it% a t%ir, 0er!&n 7it%&-t a-t%&rit a#t%&-(% t%ere i! n& ne(#i(en*e &n %i! 0art an, t%e t%ir, 0er!&n" /. He ,e0&!it! t%e t%in( 7it% a t%ir, 0er!&n 7%& i! $ani6e!t# *are#e!! &r -n6it a#t%&-(% a-t%&rie,) e+en in t%e a/!en*e &6 ne(#i(en*e" &r *. T%e t%in( i! #&! t t%r&-(% t%e ne( #i(en*e &6 %i! e$0#&ee! 7%et%er t%e #atter are $ani6e!t# *are#e!! &r n&t. •
Ee$0ti&n 6r&$ #ia/i#it: T%e t%in( i! #&!t 7it%&-t t%e ne(#i(en*e &6 t%e t%ir, 0er!&n 7it% 7%&$ %e 7a! a##& 7e, t& ,e0&!it t%e t%in( i6 !-*% t%ir, 0er!&n i! n&t $ani6e!t# *are#e!! &r -n6it. ?i.e.) $in&r
=. O#%i'ai$n n$ $ Can'e e /a" $& de$si =Ar- 19?);
3enera% R!%e: De0&!itar $a n&t *%an(e t%e 7a &6 t%e ,e0&!it E6cei$n8 I6 t%ere are *ir*-$!tan*e! in,i*atin( t%at t%e ,e0&!it&r 7&-#, *&n!ent t& t%e *%an(e. T%i! i! a !it-ati&n 7%erein t%e ,e0&!itar 7&-#, rea!&na/# 0re!-$e t%at t%e ,e0&!it&r 7&-#, a(ree t& t%e *%an(e i6 %e 1n&7! &6 t%e 6a*t! &6 t%e !it-ati&n. Re@!isies: a. T%e ,e0&!itar $-!t n&ti6 t%e ,e0 &!it&r &6 !-*% *%an(e" an, /. M-!t 7ait 6&r t%e re0# &6 t%e ,e0&!it&r t& !-*% *%an(e. • T%e!e re2-i!ite! $a n&t /e ,i!0en!e, 7it% -n#e!! ,e#a 7&-#, *a-!e ,an(er. @. O#%i'ai$n $ C$%%ec $n e c$se s in aci$n de$sied =Ar- 19?*; • I6 t%e t%in( ,e0&!ite, !%&-#, earn intere!t) t%e ,e0&!itar i! -n,er t%e &/#i(ati&n t&: a. C&##e*t t%e intere!t a! it /e*&$e! ,-e /. Ta1e !-*% !te0! a! $a /e ne*e!!ar t& 0re!er+e it! +a#-e an, t%e ri(%t *&rre!0&n,in( t& it • T%e ,e0&!itar i! /&-n, t& *&##e*t t%e *a0ita#) a! 7e## a! t%e intere!t) 7%en ,-e
C$nrac $& ren $& sa&e" de$si #$6es =Ar- 19?*; A *&ntra*t 6&r t%e rent &6 !a6et ,e0&!it /&e! i! n&t an &r,inar *&ntra*t &6 #ea!e &6 t%in(!) /-t a !0e*ia# 1in, &6 ,e0&!it" %en*e) it i! n&t t& /e !tri*t# (&+erne, / t%e 0r&+i!i&n! &n ,e0&!it. T%e 0re+ai#in( r-#e in t%e US i! t%at t%e re#ati&n /et7een a /an1 rentin( &-t !a6et ,e0&!it /&e! an, it! *-!t&$er 7it% re!0e*t t& t%e *&ntent! &6 t%e /& i! t%at &6 /ai#&r an, /ai#ee. 4. O#%i'ai$n n$ $ C$mmin'%e in's i& s$ si!%aed =Ar- 19?+;
3enera% R!%e: T%e ,e0&!itar i! 0er$itte, t& *&$$in(#e (rain &r &t%er arti*#e! &6 t%e !a$e 1in, an, 2-a#it E66e*t!: a. T%e +ari&-! ,e0&!it&r! &6 t%e $in(#e, (&&,! !%a## &7n t%e entire $a!! in *&$$&n /. Ea*% ,e0 &!it&r !%a# # /e ent it#e, t& !-* % 0&rti&n &6 t%e entire $a!! a! t%e a$&-nt ,e0&!ite, / %i$ /ear! t%e 7%&#e
E6cei$n: ;%en t%ere i! a !ti0-#ati&n t& t%e *&ntrar
Re%ai$n #e/een #an< and de$si$r =Ar- 190;
. O#%i'ai$n n$ $ ma
•
• •
E66e*t &6 -na-t%&rie, -!e: Lia/i#it 6&r ,a$a(e! E66e*t! &6 a-t%&rie, -!e: =Ar- 19?; a. I6 t%e t%in( consumable:
,e0&!ite,
i!
non<
3enera% R!%e: T%e *&ntra*t #&!e! t%e *%ara*ter &6 a ,e0&!it an, a*2-ire! t%at &6 a *&$$&,at-$) ,e!0ite t%e 6a*t t%at t%e 0artie! $a %a+e ,en&$inate, it a! a ,e0&!it E6cei$n: Sa6e1ee0in( i! !ti## t%e 0rin*i0a# 0-r0&!e &6 t%e *&ntra*t /. I6 t%e t%in( ,e0&!ite, i! other consumable thing:
money or
3enera% R!%e: C&n+ert! t%e *&ntra*t int& a !i$0#e #&an &r $-t--$ E6cei$n: Sa6e1ee0in( i! !ti## t%e 0rin*i0a# 0-r0&!e &6 t%e *&ntra*t) /-t it /e*&$e! an irr e(-#ar ,e0 &!it. Ban1 ,e0&!it! are in t%e nat-r e &6 irre(-#ar ,e0&!it! /-t t%e are rea## #&an! (&+erne, / t%e #a7 &n #&an!. >. Lia#i%i" &$r L$ss e.en =Ar- 19?9;
r$!' &$r!i$!s
3enera% R!%e : De0&!itar i! n&t #ia/#e 6&r #&!! t%r&-(% 6&rt-it&-! e+ent 7it%&-t %i! 6a-#t E6cei$ns: =SUDA; a. I6 it i! !& s ti0-#ate, /. I6 %e !!e! t%e t%in( 7it%&-t t%e ,e0&!it&rK! 0er$i!!i&n *. I6 %e d e#a! in it!ret-rn ,. I6 %e a##&7! &t%er! t& -!e it) e+en t%&-(% %e %i$!e#6 $a %a+e /een a-t%&rie, t& -!e t%e !a$e NOTE8 Lia/i#it 6&r #&!! 7it%&-t 6&rt-it&-! e+ent: De0&!itar 0re!-$e, at 6a-#t !in*e %e i! in 0&!!e!!i&n =Ar- 12+*;
Fie,) !a+in(!) an, *-rrent ,e0&!it! &6 $&ne in /an1! an, !i$i#ar in!tit- ti&n! !%a## /e (&+erne, / t%e 0r&+i!i&n! *&n*ernin( !i$0#e #&an a. C$nrac $& %$an ,e0&!it! in /an1! are rea## #&an! /e*a-!e t%e /an1 *an -!e t%e !a$e 6&r it! &r,inar tran!a*ti&n! /. Re%ai$n $& credi$r and de#$r t%e re#ati&n /et7een a ,e0&!it&r an, a /an1 i! t%a t &6 a *re,it&r an, a ,e/t&r.
9. O#%i'ai$n /en e in' de$sied is C%$sed and Sea%ed =Ar- 191; T%e ,e0&!itar %a! t%e &/#i(ati&n • t&: a. Ret-rn t%e t%in( ,e0&!ite, 7%en ,e#i+ere, *#&!e, an, !ea#e, in t%e !a$e *&n,iti&n /. Pa 6&r ,a$a(e! !%&-#, t% e !ea# &r #&*1 /e /r&1en t%r&-(% %i! 6a-#t) 7%i*% i! 0re!-$e, -n#e!! 0r&+en &t%er7i!e *. 'ee0 t%e !e*ret &6 t%e , e0&!it 7%en t%e !ea# &r #&*1 i! /r&1en) 7it% &r 7it%&-t %i! 6a-#t
Wen de$siar" 4!si&ied in $enin' c%$sed and sea%ed s!#4ec maer =Ar192;8 a. T%e ,e0&!itar i! 0re!-$e, a-t%&rie, t& ,& !& i6 t%e 1e %a! /een ,e#i+ere, t& %i$ /. ;%en t%e in!tr-*ti&n! &6 t%e ,e0&!it&r a! re(ar,! t%e ,e0&!it *ann&t /e ee*-te, 7it%&-t &0enin( t%e /& &r re*e0ta*#e ?Ne*e!!it . O#%i'ai$n $ Re!rn r$d!cs5 access$ries and accessi$ns =Ar- 19(; 5. O#%i'ai$n $ a" Ineres $n s!ms c$n.ered &$r ers$na% !se =Ar- 19(; 55. Te de$siar" /$ recei.es e in' in de$si cann$ re@!ire a e de$si$r Pr$.e is $/nersi $.er e
in' =Ar- 19);
58.
Were Tird ers$n aears $ #e e $/ner =Ar- 19); • T%e ,e0&!itar $a /e re#ie+e, 6r&$ #ia/i#it 7%en: a. He a,+i!e, t%e tr-e &7ner &6 t%e t%in( &6 t%e ,e0&!it /. I6 t%e &7ner) in !0ite &6 !-*% in6&r$ati&n) ,&e! n&t *#ai$ it 7it%in t%e 0eri&, &6 &ne $&nt% ?= ,a! 5=. O#%i'ai$n $& e de$siar" /en ere are T/$ $r m$re de$si$rs =Ar- 19*; a. Di+i!i/#e t%in( an, &int ,e0&!it&r! ea*% &ne &6 t%e ,e0&!it&r! *an ,e$an, &n# %i! !%are 0r&0&rti&nate t%eret& /. In,i+i!i/#e t%in( &r !&# i,ar ,e0&!it&r! r-#e! &n a*ti+e !&#i,arit
3enera% R!%e: Ea*% &ne &6 t%e ,e0&!it&r! $a ,& 7%ate+er $a /e -!e6-# t& t%e &t%er! =Ar- 1212; E6cei$n8 Ant%in( 7* $a /e 0re-,i*ia# t& t%e &t%er ,e0&!it&r! 3enera% R!%e: T%e ,e0&!itar $a ret-rn t%e t%in( t& an &ne &6 t%e !&#i,ar ,e0&!it&r! E6cei$n: ;%en a ,e$an,) -,i*ia# &r etra-,i*ia#) 6&r it! ret-rn %a! /een $a,e / &ne &6 t%e$ in 7%i*% *a!e ,e#i+er !%&-#, /e $a,e t& %i$ *.
Ret-rn t& &ne &6 t%e ,e0&!it&r! !ti0-#ate, I6 / !ti0-#ati&n) t%e t%in( !%&-#, /e ret-rne, t& &ne &6 t%e ,e0&!it&r!) t%e ,e0&!itar i! /&-n, t& ret-rn it &n# t& t%e 0er!&n ,e!i(nate,) a#t%&-(% %e %a! n&t $a,e an ,e$an, 6&r it! ret-rn
5@. O#%i'ai$n $ Re!rn $ e ers$ n $ /$m re!rn m!s #e made =Ar- 19+; a. T%e ,e0&!itar i! &/#i(e, t& ret-rn t%e t%in( ,e0&!ite,) 7%en re2-ire,) t&: • T%e ,e0&!it&r" • T& %i! %eir! &r !-**e!!&r!" &r • T& t%e 0er!&n 7%& $a %a+e /een ,e!i(nate, in t%e *&ntra*t. /. I6 t%e ,e0 &!it&r 7a! in* a0a*itate, at t%e ti$e &6 $a1in( t%e ,e0&!it) t%e 0r&0ert $-!t /e ret-rne, t&: • Hi! (-ar,ian &r a,$ini!trat&r • T& t%e 0er!&n 7%& $a,e t%e ,e0&!it
T& t%e ,e0&!it&r %i$!e#6 !%&-#, %e a*2-ire *a0a*it E+en i6 t% e ,e0&!it&r %a, *a 0a*it at t%e ti$e &6 $a1in( t%e ,e0&!it) /-t %e !-/!e2-ent# #&!e! %i! *a0a*it ,-rin( t%e ,e0&!it) t%e t%in( $-!t /e ret-rne, t& %i! #e(a# re0re!entati+e •
*.
54. O#%i'ai$n $ re!rn a e P%ace $& re!rn =Ar- 19?; !a$e a! t%e (enera# r-#e &6 #a7 re(ar,in( t%e 0#a*e &6 0a$ent ?Art. 5845
3ENERAL RULE : At t%e 0#a*e a(ree, -0&n / t%e 0artie!) tran!0&rtati&n e0en!e! !%a## /e /&rne / t%e ,e0&!it&r EFCEPTION8 In t%e a/!en*e &6 !ti0-#ati&n) at t%e 0#a*e 7%ere t%e t%in( ,e0&!ite, $i(%t /e e+en i6 it !%&-#, n&t /e t%e !a$e 0#a*e 7%ere t%e &ri(ina# ,e0&!it 7a! $a,e 5. O#%i'ai$n $ re!rn !$n e Time $& re!rn =Ar- 19;
3enera% R!%e: T%e t%in( ,e0&!ite, $-!t /e ret-rne, t& t%e ,e0&!it&r -0&n ,e$an,) e+en t%&-(% a !0e*i6ie, 0eri&, &r ti$e 6&r !-*% ret-rn $a %a+e /een 6ie, E6cei$ns8 a. ;%en t%e t%in( i! -,i*ia## atta*%e, 7%i#e in t%e ,e0&!itarK! 0&!!e!!i&n /. ;%en n&t i6ie, &6 t%e &00&!iti&n &6 a t%ir, 0er!&n t& t%e ret-rn &r t%e re$&+a# &6 t%e t%in( ,e0&!ite, 5>. Ri' $& e de$s iar" $ re!rn e Tin' de$sied =Ar- 199; NOTE8 In t%i! *a!e) it i! t%e ,e0&!itar 7%& i! ret-rnin( t%e ,e0&!it WITH OR WITHOUT THE DEMAND &6 t%e ,e0&!it&r.
3enera% R!%e: T%e ,e0&!itar $a ret-r n t%e t%in( ,e0&!ite,) n&t7it%!tan,in( t%at a 0eri&, %a! /een 6ie, 6&r t%e ,e0&!it) i6: a. T%e ,e0&!it i! ( rat-it&-! /. T%e rea!&n i! -!ti6ia/#e • Re$e, i6 ,e0&!it&r re6-!e! t& re*ei+e t%e t%in(: T%e ,e0&!itar $a ,e0&!it t%e t%in ( at t%e ,i!0&!a# &6 t%e -,i*ia# a-t%&rit E6cei$n8 ;%en t%e ,e0&!it i! 6&r a +a#-a/#e *&n!i,erati&n) t%e ,e0&!itar %a! n& ri(%t t& ret-rn t%e t%in( /e6&re t%e e0irati&n &6 t%e ti$e ,e!i(nate, e+en i6 %e !%&-#, !-66er in*&n+enien*e a! a *&n!e2-en*e
59.
De$siar"s %ia#i%i" in case $& L$ss #" &$rce ma4e!re $r '$.ernmen $rder =Ar1990; •
A00#ie! &n# 7%en t%e ,e0&!it i! (rat-it&-!
O#%i'ai$n $ a" %$sses inc!rred d!e $ caracer $& in' de$sied =Ar-
De0&!itar i! n&t #ia/#e in *a!e! &6 #&!! / 6&r*e $ae-re &r / (&+ern$ent &r,er. H&7e+er) %e %a! t%e ,-t t& ,e#i+er t& t%e ,e0&!it&r $&ne &r an&t%er t%in( %e re*ei+e! in 0#a*e &6 t%e t%in(.
3enera% R!%e : T%e ,e0&!itar $-!t /e rei$/-r!e, 6&r #&!! !-66ere, / %i$ /e*a-!e &6 t%e *%ara*ter &6 t%e t%in( ,e0&!ite,. E6cei$ns: a. De0&!it&r 7a! n&t a7are &6 t%e ,an(er /. De0&!it&r 7a! n&t e0 e*te, t& 1n&7 t%e ,an(er&-! *%ara*ter &6 t%e t%in( *. De0&!it&r n&ti6ie, t%e ,e0&!itar &6 !-*% ,an(er&-! *%ara*ter ,. De0&!itar 7a! a7are &6 t%e ,an(er 7it%&-t a,+i*e 6r&$ t%e ,e0&!it&r
5. Lia#i%i" in case $& a%ienai$n #" e de$siar"s Heir =Ar- 1991; •
•
;%en a#ienati&n i! ,&ne in GOOD FAITH: a. Ret-rn t%e +a#-e &6 t%e t%in( ,e0&!ite, /. A!!i(n t% e ri(%t t& *&# #e*t 6r& $ t%e /-er • T%e %eir ,&e! n&t nee, t& 0a t%e a*t-a# 0ri*e &6 t%e t%in( ,e0&!ite, ;%en a#ienati&n i! ,&ne in BAD FAITH: a. Lia/#e 6&r ,a$a(e! /. Pa t%e a*t-a# 0ri*e &6 t%e t%in( ,e0&!ite,
8. De$siar" ma" Reain e in' in %ed'e !ni% e &!%% a"men $& /a ma" #e d!e im #" reas$n $& e de$si =Ar- 199); •
T%e t%in( retaine, !er+e! a! !e*-rit 6&r t%e 0a$ent &6 7%at $a /e ,-e t& t%e ,e0&!itar / rea!&n &6 t%e ,e0&!it ? see Art!. 54) 58 5= NOTE: T%e ,e/t $-!t /e 0ri&r t& t%e ,e0&!it
IRRE3ULAR DEPOSIT Ma /e ,e$an,e, at 7i## / t%e irre(-#ar ,e0&!it&r 6&r 7%&!e /ene6it t%e ,e0&!it %a! /een *&n!tit-te, On# /ene6it i! t%at 7%i*% a**r-e! t& t%e ,e0&!it&r De0&!it&r %a!
MUTUUM Len,er i! /&-n, / t%e 0r&+i!i&n &6 t%e *&ntra*t an, *ann&t !ee1 re!tit-ti&n -nti# t%e ti$e 6&r 0a$ent) a! 0r&+i,e, in t%e *&ntra*t) %a! ari!en I6 7it% intere!t) /ene6it i6 /&t% 0artie! N& 0re6eren*e
0re6eren*e &+er &t%er *re,it&r!
O#%i'ai$ns $& e De$si$r8 =PLD; O#%i'ai$n $ a" e6enses reser.ai$n =Ar- 1992;
E&&ec $& dea $& de$si$r $r de$siar" =Ar- 199*; a. De0&!it (rat-it&-! ,eat% &6 eit%er &6 t%e ,e0&!it&r &r ,e0&!itar etin(-i!%e! t%e ,e0&!it ?0er!&na# in nat-re. B t%e 7&r, etin(-i!%e,) t%e #a7 rea## $ean! t%at t%e ,e0&!itar i! n&t &/#i(e, t& *&ntin-e 7it% t%e *&ntra*t &6 ,e0&!it. /. De0&!it 6&r *&$0en!ati&n n&t etin(-i!%e, / t%e ,eat% &6 eit%er 0art E6in'!ismen $& De$si a. U0&n t%e #&!! &r ,eteri&rati&n &6 t%e t%in( ,e0&!ite," /. U0&n t%e ,eat% &6 t%e ,e0&!itar) ONLY in (rat-it&-! ,e0&!it!" *. Ot%er 0r&+i!i&n! in t%e Ci+i# C&,e ?n&+ati&n) $er(er) et*. NECESSAR, DEPOSIT A ,e0&!it i! ne*e!!ar 7%en: ?LCCT 1. It i! $a,e in *&$0#ian*e 7it% a &/#i(ati&n 2.
It ta1e! 0#a*e &n t%e &**a!i&n &6 an c a#a$it) !-*% a! 6ire) !t&r$) 6#&&,) 0i##a(e) !%i07re*1) &r &t%er !i$i#ar e+ent! • T%ere $-!t /e a *a-!a# re#ati&n /et7een t%e *a#a$it an, t%e *&n!tit-ti&n &6 t%e ,e0&!it
3.
Ma,e / 0a!!en(er! 7it% c&$$&n *arrier! •
$&
%e(a%
A! t& /a((a(e! t%e 0a!!en(er! &r t%eir a(ent! *arr
4.
Ma,e / ra+e#er! in %&te#! &r inn!=Ar- 199; • Be6&re 1ee0er! &6 %&te#! &r inn! $a /e %e#, re!0&n!i/#e a! ,e0&!itarie! 7it% re(ar, t& t%e e66e*t! &6 t%eir (-e!t!) t%e 6&##&7in( $-!t *&n*-r: E%emens8 a. T%e %a+ e /een 0re +i&-!# in6&r$e, a/&-t t%e e66e*t! /r&-(%t / t%e (-e!t!" an, /. T%e #atter %a+e ta1en t%e 0re*a-ti&n! 0re!*ri/e, re(ar,in( t%eir !a6e1ee0in(.
T%e %&te#1ee0er *ann&t 6ree %i$!e#6 6r&$ re!0&n!i/i#it / 0&!tin( n&ti*e! t& t%e e66e*t t%at %e i! n&t #ia/#e 6&r t%e arti*#e! /r&-(%t / t%e (-e!t ?Art. 8= E66e*t: An !ti0-#ati&n /et7een t%e %&te# 1ee0er an, t%e (-e!t 7%ere/ t%e re!0&n!i/i#it &6 t%e 6&r$er ?a! !et 6&rt% in Art. 5985 i! !-00re!!e, &r ,i$ini!%e, !%a## /e VOID. •
E6en $& %ia#i%i"8 a. Lia/i#it in %&te# r&&$! 7%i*% *&$e -n,er t%e ter$ /a((a(e &r arti*#e! !-*% a! *#&t%in( a! are &r,inari# -!e, / tra+e#er! /. In*#-,e t%&!e #&!t &r ,a$a(e! in %&te# annee! !-*% a! +e%i*#e! in t%e %&te#K! (ara(e. •
Wen $e%>
•
Wen $e%>
•
E6emi$n $r dimin!i$n $& %ia#i%i"8
H$e%>
•
In *&$0#ian*e 7it% a #e(a# &/#i(ati&n ?(&+erne, / t%e #a7 e!ta/#i!%in( it) an, in *a!e &6 ,e6i*ien*) t%e r-#e! &n +&#-ntar ,e0&! it e%g% Art!. 4=9) 49 an, 85@
•
Ma,e &n t%e &**a!i&n &6 an *a#a$ it ?(&+erne, / t%e r-#e! &n +&#-ntar ,e0&!it an, Art. 859
SEUESTRATION OR UDICIAL DEPOSIT Wen 4!dicia% de$si a
/.
He $a n&t /e re#ie+e, &6 %i! re!0&n!i/i#it -nti# t%e #iti(ati&n i! en,e, &r t%e *&-rt !& &r,er!. ?Art. 8> A00#i*a/#e #a7: T%e #a7 &n -,i*ia# ,e0&!it i! re$e,ia# &r 0r&*e,-ra# in nat-re. Hen*e) t%e R-#e! &6 C&-rt are a00#i*a/#e. ?Art. 8
BASIS 0ause srcin
or
Purpose
/ubject #atter
1emunerati on
In whose behalf it is held
UDICIAL DEPOSIT B 7i## &6 t%e *&-rt! Se*-rit" Se*-re t%e ri(%t &6 a 0art t& re*&+er in *a!e &6 6a+&ra/#e -,($ent. Eit%er $&+a/#e &r i$$&+a/#e 0r&0ert /-t (enera##) i$$&+a/#e A#7a! re$-nerate, ?&ner&-! In /e%a#6 &6 t%e 0er!&n 7%&) / t%e -,($ent) %a! a ri(%t
EFTRAUDIC IAL DEPOSIT B 7i## &6 t%e 0artie!. Hen*e) t%ere i! a *&ntra*t C-!t&," Sa6e1ee0in( &6 t%e t%in(
CHARACTERISTICS O: THE CONTRACT 5. Access$r" ,e0en,ent 6&r it! ei!ten*e -0&n t%e 0rin*i0a# &/#i(ati&n (-arantee, / it %en*e i6 0rin*i0a# *&ntra*t i! +&i,) t%en (-arant i! a#!& +&i, 8. S!#sidiar" and C$ndii$na% ta1e! e66e*t &n# 7%en t%e 0rin*i0a# ,e/t& r 6ai#! in %i! &/#i(ati&n !-/e*t t& #i$itati&n =. Uni%aera% a. It (i+e! ri!e &n# t& a ,- t &n t %e 0art &6 t%e (-arant&r in re#ati&n t& t%e *re,it&r an, n&t +i*e +er!a /. It $a /e ent ere, int& e+en 7it%&-t t%e inter+enti&n &6 t%e 0rin*i0a# ,e/t&r. @. Disinc Pers$n a 0er!&n *ann&t /e t%e 0er!&na# (-arant&r &6 %i$!e#6
On# $&+a/#e 0r&0ert
Genera## (rat-it&-!) /-t $a /e *&$0en!ate, In /e%a#6 &6 t%e ,e0&!it&r &r t%ir, 0er!&n ,e!i(nate,
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 C- 3!aran" and S!re"si 1- Na!re and e6en $& '!aran" 2- E&&ecs $& '!aran" (- E6in'!ismen $& '!aran" )- Le'a% and 4!dicia% #$nds 777777777777777777777777 77777777777777 3UARANT, AND SURET,SHIP =Ars- 20)?>20); 3UARANT, B (-arant) a 0er!&n *a##e, t%e (-arant&r) /in,! %i$!e#6 t& t%e *re,it&r) t& 6-#6i## t%e &/#i(ati&n &6 t%e 0rin*i0a# ,e/t&r in *a!e t%e #atter !%&-#, 6ai# t& ,& !&. It i! a *&ntra*t /et7een t%e (-arant&r an, t%e *re,it&r.
Ca!se $& c$nrac $& '!aran" 5. Presence $& ca!se /ic s!$rs rincia% $#%i'ai$n8 Ca-!e &6 t%e *&ntra*t i! t%e !a$e *a-!e 7%i*% !-00&rt! t%e &/#i(ati&n a! t& t%e 0rin*i0a# ,e/t&r. T%e *&n!i,erati&n 7%i*% !-00&rt! t%e &/#i(ati&n a! t& t%e 0rin*i0a# ,e/t&r i! a !-66i*ient *&n!i,erati&n t& !-00&rt t%e &/#i(ati&n &6 a (-arant&r &r !-ret. 8. A#sence $& direc c$nsiderai$n $r #ene&i $ '!aran$r8 G-arant &r !-ret a(ree$ent i! re(ar,e, +a#i, ,e!0ite t%e a/!en*e &6 an ,ire*t *&n!i,erati&n re*ei+e, / t%e (-arant&r &r !-ret) !-*% *&n!i,erati&n nee, n&t 0a!! ,ire*t# t& t%e (-arant&r &r !-ret" a *&n!i,erati&n $&+in( t& t%e 0rin*i0a# 7i## !-66i*e.
MARRIED WOMAN AS 3UARANTOR =Ar20)9; 3enera% R!%e8 Marrie, 7&$an /in,! &n# %er !e0arate 0r&0ert E6cei$ns8 5. ;it% %er !s#ands c$nsen) /in,! t%e *&$$-nit &r *&n-(a# 0artner!%i0 0r&0ert cases 8. ;it%&-t %-!/an,K! *&n!ent) in r$.ided #" %a/ ) !-*% a! 7%en t%e (-arant %a! re,&-n,e, t& t%e /ene6it &6 t%e 6a$i# 3UARANT, UNDERTAEN WITHOUT NOWLED3E O: DEBTOR =Ar- 20*0;
a. T
Ri's $& ird ers$ns /$ a"8 1- Pa"men /i$! e
D$!#%e $r s!#>'!aran" =Ar- 20*1=2;; One *&n!tit-te, t& (-arantee t%e &/#i(ati&n &6 a (-arant&r. It !%&-#, n&t /e *&n6&-n,e, 7it% (-arant 7%erein !e+era# (-arant&r! *&n*-r. 3UARANT, O: VOIDABLE5 UNEN:ORCEABLE5 AND NATURAL OBLI3ATIONS =Ar- 20*2=2;; A (-arant $a !e*-re t%e 0er6&r$an*e &6 a: 5. V$ida#%e c$nrac !-*% *&ntra*t i! /in,in() -n#e!! it i! ann-##e, / a 0r&0er *&-rt a*ti&n 8. Unen&$rcea#%e c$nrac /e*a-!e !-*% *&ntra*t i! n&t +&i, =. Na!ra% $#%i'ai$n t%e *re,it&r $a 0r&*ee, a(ain!t t%e (-arant&r a#t%&-(% %e %a! n& ri(%t &6 a*ti&n a(ain!t t%e 0rin*i0a# ,e/t&r 6&r t%e rea!&n t%at t%e #atterK! &/#i(ati&n i! n&t *i+i## en6&r*ea/#e. • Ghen the debtor himself offers a guaranty for his natural obligation& he impliedly recogni$es his liability& thereby transforming the obligation from a natural into a ci"il one%
3UARANT, O: :UTURE DEBTS =Ar- 20*(; C$nin!in' 3!aran" $r S!re"si8 5. N&t #i$ite, t& a !in (#e tran!a*ti&n /-t 7% i*% *&nte$0#ate! a 6-t-re *&-r!e &6 ,ea#in(!) *&+erin( a !erie! &6 tran!a*ti&n! (enera## 6&r an in,e6inite ti$e &r -nti# re+&1e,. 8. It i! 0r&!0e*ti+e in it! &0erati&n an, i! (enera## inten,e, t& 0r&+i,e !e*-rit 7it% re!0e*t t& 6-t-re tran!a*ti&n!. =. F-t-re ,e/t!) e+en i6 t%e a$&- nt i! n&t et 1n&7n) $a /e (-arantee, /-t t%ere *an /e n& *#ai$ a(ain!t t%e (-arant&r -nti# t%e a$&-nt &6 t%e ,e/t i! a!*ertaine, &r 6ie, an, ,e$an,a/#e. Ea$0#e!:
$ sec!re e a"men $& a %$an a ma!ri" (-arantee &6 t%e 0-n*t-a# 0a$ent &6 a #&an at $at-rit an, a## &t%er &/#i(ati&n! &6 in,e/te,ne!! /. T$ sec!re a"men i& an" de# $ #e s!#se@!en%" inc!rred *&n!tr-e, a! *&ntin-in( 7%en it i! e+i,ent 6r&$ t%e ter$! t%at t%e &/e*t i! t& (i+e a !tan,in( *re,it t& t%e 0rin*i0a# ,e/t&r t& /e -!e, 6r&$ ti$e t& ti$e eit%er in,e6inite# &r -nti# a *ertain 0eri&,) e!0e*ia## i6 t%e ri(%t t& re*a## t%e (-arant i! e0re!!# re!er+e,.
3!aran" $& c$ndii$na% $#%i'ai$ns8 A (-arant $a !e*-re a## 1in,! &6 &/#i(ati&n!) /e t%e 0-re &r !-/e*t t& a !-!0en!i+e &r re!&#-t&r *&n,iti&n. 5. Princia% $#%i'ai$n s!#4ec $ a s!sensi.e c$ndii$n t%e (-arant&r i! #ia/#e &n# a6ter t%e 6-#6i##$ent &6 t%e *&n,iti&n. $#%i'ai$n s!#4ec $ a 8. Princia% res$%!$r" c$ndi i$n t%e %a00enin( &6 t%e *&n,iti&n etin(-i!%e! /&t% t%e 0rin*i0a# &/#i(ati&n an, t%e (-arant 3UARANTORS LIABILIT, CANNOT EFCEED PRINCIPAL OBLI3ATION =Ar- 20*); 3enera% R!%e8 3!aran" is a s!#sidiar" and access$r" c$nrac (-arant&r *ann&t /in, %i$!e#6 6&r $&re t%an t%e 0rin*i0a# ,e/t&r • I6 %e ,&e!) %i! #ia/i#it !%a## /e re,-*e, t& t%e #i$it! &6 t%at &6 t%e ,e/t&r. • B-t t%e (-arant&r $a /in, %i$!e#6 6&r #e!! t%an t%at &6 t%e 0rin*i0a#.
E6cei$ns8 5. Ineres5 4!dicia% c$ss5 and a$rne"s &ees as ar $& dama'es ma" #e rec$.ered *re,it&r! $a re*&+er 6r&$ t%e !-ret a! 0art &6 t%eir ,a$a(e! t%e a/&+e$enti&ne, 6ee! e+en 7it%&-t !ti0-#ati&n an, e+en i6 t%e !-ret 7&-#, t%ere/ /e*&$e #ia/#e t& 0a $&re t%an t%e t&ta# a$&-nt !ti0-#ate, in t%e /&n,. REASON: S-ret i! $a,e t& 0a) n&t / rea!&n &6 t%e *&ntra*t) /-t / rea!&n &6 %i! 6ai#-re t& 0a 7%en ,e$an,e, an, 6&r %a+in( *&$0e##e, t%e *re,it&r t& re!&rt t& t%e *&-rt! t& &/tain 0a$ent-
Ineres r!ns &r$m8 =demand; a. Fi#in( &6 t%e *&$0#aint ?-0&n -,i*ia# ,e$an," &r
/.
T%e ti$e ,e$an, 7a! $a,e -0&n t%e !-ret -nti# t%e 0rin*i0a# &/#i(ati&n i! 6-## 0ai, ?-0&n etra-,i*ia# ,e$an,
8. Pena%" ma" #e r$.ided !-ret $a /e %e#, #ia/#e 6&r t%e 0ena#t 0r&+i,e, 6&r in a /&n, 6&r +i&#ati&n &6 t%e *&n,iti&n t%erein.
Princia%s %ia#i%i" ma" e6ceed '!aran$rs $#%i'ai$ns T%e a$&-nt !0e*i6ie, in a !-ret /&n, a! t%e !-retK! &/#i(ati&n ,&e! n&t #i$it t%e etent &6 t%e ,a$a(e! t%at $a /e re*&+ere, 6r&$ t%e 0rin*i0a#) t%e #atterK! #ia/i#it /ein( (&+erne, / t%e &/#i(ati&n! %e a!!-$e, -n,er %i! *&ntra*t.
3UARANT, NOT PRESUMED =Ar- 20**; G-arant re2-ire! t%e e0re!!i&n &6 *&n!ent &n t%e 0art &6 t%e (-arant&r t& /e /&-n,. It *ann&t /e 0re!-$e, /e*a-!e &6 t%e ei!ten*e &6 a *&ntra*t &r 0rin*i0a# &/#i(ati&n. 3!aran" C$.ered #" e Sa!e $& :ra!ds • G-arant $-!t n&t &n# /e e0re!!e, /-t $-!t !& /e re,-*e, int& 7ritin(•
•
Hen*e) it !%a## /e -nen6&r*ea/#e / a*ti&n) -n#e!! t%e !a$e &r !&$e n&te &r $e$&ran,-$ t%ere&6 /e in 7ritin() an, !-/!*ri/e, / t%e 0art *%ar(e,) &r / %i! a(ent" e+i,en*e) t%ere6&re) &6 t%e a(ree$ent *ann&t /e re*ei+e, 7it%&-t t%e 7ritin() &r a !e*&n,ar e+i,en*e &6 it! *&ntent!. It nee, n&t a00ear in a 0-/#i* ,&*-$ent.
3!aran" Sric%" C$nsr!ed Stri*t# *&n!tr-e, a(ain!t t%e *re,it&r in 6a+&r &6 t%e (-arant&r an, i! n&t /e eten,e, /e&n, it! ter$! &r !0e*i6ie, #i$it!. D&-/t in t%e ter$! an, *&n,iti&n! &6 t%e (-arant &r !-ret!%i0 a(ree$ent !%&-#, /e re!&#+e, in 6a+&r &6 t%e (-arant&r &r !-ret. 5. Lia#i%i" &$r $#%i'ai$n si!%aed (-arant&r i! n&t #ia/#e t& &/#i(ati&n! a!!-$e, 0re+i&-! t& t%e ee*-ti&n &6 t%e (-arant -n#e!! an intent t& /e !& #ia/#e i! *#ear# in,i*ate, 8. Lia#i%i" $& s!re" %imied $ a &i6ed eri$d t%e !-ret $-!t &n# /e /&-n, in t%e $anner an, t& t%e etent) an, -n,er t%e *ir*-$!tan*e! 7%i*% are !et 6&rt% &r 7%i*% $a /e in6erre, 6r&$ t%e *&ntra*t &6 (-arant &r !-ret!%i0) an, n& 6-rt%er. =. Lia#i%i" $& s!re" $ e6ire $n ma!ri" $& rincia% $#%i'ai$n !-*% !ti0-#ati&n i! -n6air an, -nrea!&na/#e 6&r it 0ra*ti*a##
n-##i6ie! t%e nat-re &6 t%e -n,erta1in( it %a, a!!-$e,.
Remed" $& s!re"8 F&re*#&!e t%e *&-nter/&n, 0-t -0 / t%e 0rin*i0a# ,e/t&r ?i6 t%ere i! an 3UARANT, DISTIN3UISHED :ROM SURET,SHIP 3UARANT, SURET,SHIP Lia/i#it ,e0en,! -0&n A!!-$e! #ia/i#it a! a an in,e0en,ent re'!%ar ar" t& t% e a(ree$ent t& 0a t%e -n,erta1in( i& &/#i(ati&n t%e rimar" de#$r &ai%s t& ,& !& En(a(e$ent i! a C%ar(e, a! an &ri(ina# *&##atera# -n,erta1in( 0r&$i!&r Sec$ndari%" %ia#%e Primari%" %ia#%e %e *&ntra*t! t& 0a i6) -n,erta1e! ,ire*t# 6&r / t%e -!e &6 ,-e t%e 0a$ent 7it%&-t ,i#i(en*e) t%e ,e/t re6eren*e t& t%e *ann&t /e 0ai, !&#+en* &6 t%e 0rin*i0a#) an, i! !& re!0&n!i/#e at &n*e t%e #atter $a1e! ,e6a-#t) 7it%&-t an ,e$an, / t%e *re,it&r -0&n t%e 0rin*i0a# 7%at!&e+er &r an n&ti*e &6 ,e6a-#t On# /in,! %i$!e#6 t& Un,erta1e! t& 0a i& t%e 0a i& t%e 0rin*i0a# 0rin*i0a# d$es n$ 0a) cann$ &r i! -na/#e t& 7it%&-t re(ar, t& %i! 0a a/i#it t& ,& !& In!-rer &6 t%e In!-rer &6 t%e de# s$%.enc" &6 t%e ,e/t&r D&e! n&t *&ntra*t Pa t%e *re,it&r a t%e rincia% /i$! @!a%i&icai$n 7i## 0a) /-t !i$0# i6 t%e 0rin*i0a# ,e/t&r t%at %e is a#%e t& ,& ,&e! n&t 0a. Hen*e) t%e !& re!0&n!i/i#it &r &/#i(ati&n a!!-$e, / t%e !-ret i! (reater &r $&re &ner&-! t%an t%at &6 a (-arant&r UALI:ICATIONS O: 3UARANTOR =Ars20*+>20*?; =SIC; 5. He 0&!!e!!e! inte(rit 8. He %a! t%e ca0a*it t& /in, %i$!e#6 =. He %a! s-66i*ient 0r&0ert t& an!7er 6&r t%e &/#i(ati&n 7%i*% %e (-arantee! E6cei$n8 T%e *re,it&r 7ai+e! t%e re2-ire$ent! E&&ec $& S!#se@!en L$ss $& Re@!ired !a%i&icai$ns8 T%e 2-a#i6i*ati&n! nee, &n# /e
0re!ent at t%e ti$e &6 t%e 0er6e*ti&n &6 t%e *&ntra*tT%e !-/!e2-ent #&!! &6 t%e 2-a#i6i*ati&n! 7&-#, n&t etin(-i!% t%e #ia/i#it &6 t%e (-arant&r) n&r 7i## it etin(-i!% t%e *&ntra*t &6 (-arant. Remed" $& credi$r8 De$an, an&t%er (-arant&r 7it% t%e 0r&0er 2-a#i6i*ati&n! E6cei$n8 Cre,it&r $a 7ai+e it i6 %e *%&&!e! an, %&#, t%e (-arant&r t& %i! /ar(ain.
NOTE8 Art. 849 i! n&t a00#i*a/#e t& a *&ntra*t &6 !-ret!%i0.
Aric%e 20*?8
E6cei$n8 T%e *re,it&r $a) 0ri&r t%eret&)
5. Re2-ire! *&n+i*ti&n in t%e 6ir!t in!tan*e &6 a *ri$e in+&#+in( ,i!%&ne!t t& %a+e t%e ri(%t t& ,e$an, an&t%er. 8. J-,i*ia# ,e*#arati&n &6 in!&#+en* i! n&t ne*e!!ar in &r,er 6&r t%e *re,it&r t& %a+e a ri(%t t& ,e$an, an&t%er (-arant&r.
!e*-re a -,($ent a(ain!t t%e (-arant&r) 7%& !%a## /e entit#e,) %&7e+er) t& a ,e6er$ent &6 t%e ee*-ti&n &6 !ai, -,($ent a(ain!t %i$) -nti# a6ter t%e 0r&0ertie! &6 t%e 0rin*i0a# ,e/t&r !%a## %a+e /een e%a-!te,) t& !ati!6 t%e #atterK! &/#i(ati&n.
Esae $& Hemad" .- L!J$n S!re" Te s!er.enin' incaaci" $& a '!aran$r DOES NOT erminae e '!aran" &$r i mere%" 'i.es e credi$r e OPTION $ demand an$er '!aran$r- He is n$ #$!nd $ s!#si!e e '!aran$r-
EFCEPTIONS TO THE EFCUSSION =Ar- 20*9;
Ri' $& Credi$r $ Sec!re !d'men a'ains 3!aran$r ri$r $ E6a!si$n 3enera% R!%e8 An &r,inar 0er!&na# (-arant&r ?NOT a 0#e,(&r &r $&rt(a(&r) $a ,e$an, e%a-!ti&n &6 a## t%e 0r&0ert &6 t%e ,e/t&r /e6&re %e *an /e *&$0e##e, t& 0a.
BENE:IT
O:
Te '!aran$r is n$ eni%ed $ e #ene&i $& e6c!ssi$n8 5. As r$.ided in Ar- 20*98 =I>SAW>U;
Se%eci$n $& 3!aran$r8 5. Seci&ied ers$n si!%aed as '!aran$r8 S-/!tit-ti&n &6 (-arant&r $a n&t /e ,e$an,e, REASON: T%e !e#e*ti&n &6 t%e (-arant&r i!: a. A ter$ &6 t%e a(ree$ent"
a. I6 t%e (-arant&r %a! e0re!!# /ai.ed it ;ai+er • Gai"er is "alid but it must be made in express terms%
/. A! a 0art) t%e *re,it&r i!) t%ere6&re) /&-n, t%ere/. 8. 3!aran$r se%eced #" e rincia% de#$r8 De/t&r an!7er! 6&r t%e inte(rit) *a0a*it) an, !&#+en* &6 t%e (-arant&r. =. 3!aran$r ers$na%%" desi'na ed #" e credi$r8 Re!0&n!i/i#it &6 t%e !e#e*ti&n !%&-#, 6a## -0&n t%e *re,it&r /e*a-!e %e *&n!i,ere, t%e (-arant&r t& %a+e t%e 2-a#i6i*ati&n! 6&r t%e 0-r0&!e.
,e/t&r #ia/i#it a!!-$e, t%at &6 a !-ret • 8uarantor becomes primarily liable as a solidary co
RI3HT O: 3UARANTOR TO BENE:IT O: EFCUSSION OR EFHAUSTION =Ar- 20*; 5. 3!aran$r $n%" sec$ndari%" %ia#%e (-arant&r /in,! %i$!e#6 &n# in *a!e t%e 0rin*i0a# ,e/t&r !%&-#, 6ai# t& ,& !&. I6 t%e 0rin*i0a# ,e/t&r 6-#6i##! t%e &/#i(ati&n (-arantee,) t%e (-arant&r i! ,i!*%ar(e, 6r&$ an re!0&n!i/i#it. 8. A%% %e'a% remedies a'ains e de#$r $ #e &irs e6a!sed t& 7arrant re*&-r!e a(ain!t t%e (-arant&r 6&r 0a$ent) it $a n&t /e !-66i*ient t%at t%e ,e/t&r a00ear! in!&#+ent. S-*% in!&#+en* $a /e !i$-#ate,.
/. I6 %e %a! /&-n, %i$!e#6 s&#i,ari# 7it% t%e
*. In *a!e &6 in!&#+en* &6 t%e ,e/t&r (-arant&r (-arantee! t%e !&#+en* &6 t%e ,e/t&r • If the debtor becomes insol"ent& the liability of the guarantor as the debtor cannot fulfill his obligation ,. ;%en %e ?,e/t&r %a! a/!*&n,e,) &r *ann&t /e !-e, 7it%in t%e P%i#i00ine! t%e *re,it&r i! n&t re2-ire, t& (& a6ter a ,e/t&r 7%& i! %i,in( &r *ann&t /e !-e, in &-r *&-rt!
E6cei$n8 De/t&r %a! #e6t a $ana(er &r re0re!entati+e e. I6 it $a /e 0re!-$e, t%at a -,i*ia# a*ti&n in*#-,in( ee*-ti&n &n t%e 0r&0ert &6 t%e 0rin*i0a# ,e/t&r 7&-#, n&t re!-#t in t%e !ati!6a*ti&n &6 t%e &/#i(ati&n i6 !-*% i!
t%e *a!e) t%e (-arant&r *an n& #&n(er re2-ire t%e *re,it&r t& re!&rt t& a## !-*% re$e,ie! a(ain!t t%e ,e/t&r a! t%e !a$e 7&-#, /e /-t a ! !e#e!! 6&r$a#it. It i! n&t ne*e!!ar t%at t%e ,e/t&r /e -,i*ia## ,e*#are, in!&#+ent. 8. I& e d$es n$ c$m%" /i Ar- 20+08 In &r,er t%at t%e (-arant&r $a $a1e -!e &6 t%e /ene6it &6 e*-!!i&n) %e $-!t: a. Set it -0 a(a in!t t% e *re,it&r -0& n t%e #atterK! ,e$an, 6&r 0a$ent 6r&$ %i$" /. P&int &-t t& t%e *re,it&r: i. A+ai#a/#e 0r&0ert &6 t %e ,e/t&r t%e (-arant&r !%&-#, 6a*i#itate t%e rea#iati&n &6 t%e e*-!!i&n !in*e %e i! t%e $&!t intere!te, in it! /ene6it. ii. ;it%in t%e P%i#i00ine territ&r e*-!!i&n &6 0r&0ert #&*ate, a/r&a, 7&-#, /e a #en(t% an, etre$e# ,i66i*-#t 0r&*ee,in( an, 7&-#, n&t *&n6&r$ 7it% t%e 0-r0&!e &6 t%e (-arant t& 0r&+i,e t%e *re,it&r 7it% t%e $ean! &6 &/tainin( t%e 6-#6i##$ent &6 t%e &/#i(ati&n. iii. S-66i*ient t& *&+er t%e a$&-nt &6 t%e ,e/t. =. I6 % e i ! a 4!dicia% #$n dsman an, s!#> s!re" =Ar- 20); /e*a-!e %e i! !&#i,ari# #ia/#e @. ;%ere a %ed'e &r m$r'a'e %a! /een 'i.en #" im as a secia% sec!ri" 4. I6 % e &ai%s $ in er$se it a! a de&ense #e&$re 4!d'men is rendered a(ain!t %i$
DUT, O: CREDITOR TO MAE PRIOR DEMAND :OR PA,MENT :ROM 3UARANTOR =Ar- 20+0; 5. Wen de mand $ #e mad e &n# a6ter -,($ent &n t%e ,e/t 6&r &/+i&-!# t%e e%a-!ti&n &6 t%e 0rin*i0a#K! 0r&0ert *ann&t e+en /e(in t& ta1e 0#a*e /e6&re -,($ent %a! /een &/taine,. 8. Ac!a% demand $ #e made &inin( t%e (-arant&r in t%e !-it a(ain!t t%e 0rin*i0a# ,e/t&r i! n&t t%e ,e$an, inten,e, / #a7. T%ere $-!t /e an a*t-a# ,e$an, an, n&t -,i*ia# ,e$an,.
DUT, O: THE 3UARANTOR TO SET UP BENE:IT O: EFCUSSION =Ar- 20+0; A! !&&n a! %e i! re2-ire, t& 0a) (-arant&r $-!t a#!& 0&int &-t t& t%e *re,it&r a+ai#a/#e 0r&0ert
?n&t in #iti(ati&n &r en*-$/ere, &6 t%e ,e/t&r 7it%in t%e P%i#i00ine!.
DUT, O: THE CREDITOR TO RESORT TO ALL LE3AL REMEDIES =Ar- 20+1; A6ter t%e (-arant&r %a! 6-#6i##e, t%e *&n,iti&n! re2-ire, 6&r $a1in( -!e &6 t%e /ene6it &6 e%a-!ti&n) it /e*&$e! t%e ,-t &6 t%e *re,it&r t&: E%a-!t a## t%e 0r&0ert &6 t%e ,e/t&r 0&inte, &-t / t%e (-arant&r I6 %e 6ai#! t& ,& !&) %e !%a## !-66er t%e #&!! /-t &n# t& t%e etent &6 t%e +a#-e &6 t%e !ai, 0r&0ert) 6&r t%e in!&#+en* &6 t%e ,e/t&r. Re!&rt t& a## #e(a# re$e,ie! in*#-,e! pauliana) a$&n( &t%er!.
accion
$inder $& 3!aran$r and Princia% as Paries De&endan 3enera% R!%e: T%e (-arant&r) n&t /ein( a &int *&ntra*t&r 7it% %i! 0rin*i0a#) *ann&t /e !-e, 7it% %i! 0rin*i0a#. E6cei$n8 ;%ere it 7&-#, !er+e $ere# t& ,e#a t%e -#ti$ate a**&-ntin( &6 t%e (-arant&r &r i6 n& ,i66erent re!-# t 7&-#, /e attaine, i6 t%e 0#ainti66 7ere 6&r*e, t& in!tit-te !e0arate a*ti&n! a(ain!t t%e 0rin*i0a# an, t%e (-arant&r!. PROCEDURE WHEN CREDITOR SUES =Ar20+2; 5. Sen a'ains e rincia% T%e (-arant&r *ann&t /e !-e, 7it% %i! 0rin*i0a#) $-*% #e!! a#&ne) e*e0t in t%e *a!e! $enti& ne, in Art. 84 7%ere t%e (-arant&r i! n&t entit#e, t& t%e /ene6it &6 e*-!!i&n. • As a rule& the creditor may hold the guarantor only after judgment has been obtained against the principal debtor and the latter is unable to pay%
8. N$ice $ '!aran$r $& e aci$n (-arant&r $-!t /e n&ti6ie, !& t%at %e $a a00ear) i6 %e !& ,e!ire!) an, !et -0 ,e6en!e! %e $a 7ant t& &66er a. 3!aran" aears +&#-ntar a00earan*e ,&e! n&t *&n!tit-te a ren-n*iati&n &6 %i! ri(%t t& e*-!!i&n. /. 3!aran" d$es n$ aear i. He *ann&t !et -0 t%e ,e6en!e! 7%i*%) / a00earin( are a##&7e, t& %i$ / #a7" an,
ii. It $a n& #& n(er /e 0& !!i/#e 6&r %i$ t& 2-e!ti&n t%e +a#i,it &6 t%e -,($ent ren,ere, a(ain!t t%e ,e/t&r =. Hearin' #e&$re e6ec!i$n can #e iss!ed a'ains e '!aran$r a (-arant&r i! entit#e, t& /e %ear, /e6&re an ee*-ti&n *an /e i!!-e, a(ain!t %i$ 7%ere %e i! n&t a 0art in t%e *a!e in+&#+in( %i! 0rin*i0a#.
(- E6en $& %ia#i%i" $& se.era% '!aran$rs 4$in $#%i'ai$n8 t%e &/#i(ati&n t& an!7er 6&r t%e ,e/t i! ,i+i,e, a$&n( a## &6 t%e$. T%e (-arant&r! are n&t #ia/#e t& t%e *re,it&r /e&n, t%e !%are! 7%i*% t%e are re!0e*ti+e# /&-n, t& 0a. E6cei$n: S&#i,arit %a! /een e0re!!# !ti0-#ate,
E::ECTS O: COMPROMISE =Ar- 20+(;
Bene&i
C$mr$mise a *&ntra*t 7%ere/ t%e 0artie!) / $a1in( re*i0r&*a# *&n*e!!i&n!) a+&i, a #iti(ati&n &r 0-t an en, t& &ne a#rea, *&$$en*e,.
3!aran$rs8
5. C&$0r&$i!e /et7een *re,it&r an, 0ri n*i0a# ,e/t&r /ene6it! t%e (-arant&r /-t ,&e! n&t 0re-,i*e %i$. 8. C&$0r&$i!e /et7een (-arant&r an, t%e *re,it&r /ene6it! /-t ,&e! n&t 0re-,i*e t%e 0rin*i0a# ,e/t&r. REASON: A *&$0r&$i!e /in,! &n# t%e 0artie! t%eret& an, n&t t%ir, 0er!&n!. T%-!) it *ann&t 0re-,i*e t%e (-arant&r &r ,e/t&r 7%& 7a! n&t 0art t& t%e *&$0r&$i!e. B-t i6 it /ene6it! a t%ir, 0er!&n) t%en t%e *&$0r&$i!e $a /in, t%at t%ir, 0er!&n.
SUB>3UARANTORS RI3HT TO EFCUSSION =Ar- 20+); S-/(-arant&r en&! t%e /ene6it &6 e*-!!i&n 7it% re!0e*t t&: 5. Prin*i0a# ,e/t&r" an, 8. G-arant&r REASON: He !tan,! 7it% re!0e*t t& t%e (-arant&r &n t%e !a$e 6&&tin( a! t%e #atter ,&e! 7it% re!0e*t t& t%e 0rin*i0a# ,e/t&r.
BENE:IT O: DIVISION AMON3 SEVERAL 3UARANTORS =Ar- 20+*; 5. In /$se &a.$r a%ica#%e !%&-#, t%ere /e !e+era# (-arant&r! &6 &n# &ne ,e/t&r an, 6&r t%e !a$e ,e/t) t%e &/#i(ati&n t& an!7er 6&r t%e !a$e i! ,i+i,e, a$&n( a##. 8- Cann&t /e a+ai#e, &6 i6 t%ere are: α. T7& &r $&re ,e/t&r! &6 &ne ,e/t) e+en i6 t%e /e /&-n, !&#i,ari#) ea*% 7it% ,i66erent (-arant&r!" &r β. χ.
T7& &r $&re (-arant&r! &6 t%e !a$e ,e/t&r /-t 6&r ,i66erent ,e/t! I6 an &6 t%e *ir*-$!tan*e! en-$erate, in Art. 84 !%&-#, ta1e 0#a*e) a! 7&-#, t%e /ene6it &6 e%a-!ti&n &6 t%e ,e/t&rK! 0r&0ert.
$&
E6c!ssi$n
am$n'
Se.era%
In &r,er t%at t%e (-arant&r $a /e entit#e, t& t%e /ene6it &6 ,i+i!i&n) it i! n&t re2-ire, t%at %e 0&int &-t t%e 0r&0ert &6 %i! *&(-arant&r!. REASON: O/#i(ati&n &6 t%e (-arant&r 7it% re!0e*t t& %i! *&(-arant&r! i! n&t !-/!i,iar /-t ,ire*t an, ,&e! n&t ,e0en, a! t& it! &ri(in &n t%e !&#+en* &r in!&#+en* &6 t%e #atter.
RI3HT TO INDEMNIT, OR REIMBURSEMENT =Ar- 20++; =DELT; 5. T$a% am$!n $& e de# > T%e (-arant&r %a! n& ri(%t t& ,e$an, rei$/-r!e$ent -nti# %e %a! a*t-a## 0ai, t%e ,e/t) -n#e!! / t%e ter$! &6 t%e *&ntra*t) %e i! (i+en t%e ri(%t /e6&re $a1in( 0a$ent. 8. Le'a% ineres > It i! i$$ateria# t%at t%e ,e/t ,i, n&t earn intere!t 6&r t%e *re,it&r) /e*a-!e t%e (-arant&rK! ri(%t t& #e(a# intere!t i! (rante, / #a7 / +irt-e &6 t%e 0a$ent %e %a! $a,e) an, i! in,e0en,ent &6 t%e *re,it&rK! ri(%t t& *#ai$ intere!t 7%i*% 7a! ne*e!!ari# re(-#ate, / t%e !ti0-#ati&n! /et7een %i$ an, t%e ,e/t&r. =. E6enses inc!rre d #" e '!aran$r > T%e e0en!e! re6erre, t& are &n# t%&!e t%at t%e (-arant&r %a! t& !ati!6 in a**&r,an*e 7it% #a7 a! a *&n!e2-en*e &6 t%e (-arant. T%e!e e0en!e! are #i$ite, t& t%&!e in*-rre, / t%e (-arant&r a6ter %a+in( n&ti6ie, t%e ,e/t&r t%at 0a$ent %a! /een ,e$an,e, &6 %i$ / t%e *re,it&r. E6cei$n8 T%e (-arant&r *ann&t ,e$an, 6&r rei$/-r!e$ent 6&r #iti(ati&n e0en!e!) 7%en !-*% e0en !e! are ,-e t& it! 6ai#-re t& 6-#6i## it! &/#i(ati&n t& 0a -0&n ,e$an,. (:u%son vs. 9%c"uc%, GR o. ?-22177, c&r 2, 12+) @. Dama'es 5 i6 t%e are ,-e.
E6cei$ns $ Ri' Reim#!rsemen
$
Indemni"
$r
5.
;%ere t%e (-arant i! *&n!tit-te, 7it%&-t t%e 1n&7#e,(e &r a(ain!t t%e 7i## &6 t%e 0rin*i0a# ,e/t&r) t%e (-arant&r *an re*&+er &n# in!&6ar a! t%e 0a$ent %a, /een /ene6i*ia# t& t%e ,e/t&r 8. Pa$ent / a t%ir, 0er!&n 7%& ,&e! n&t inten, t& /e rei$/-r!e, / t%e ,e/t&r i! ,ee$e, t& /e a ,&nati&n) 7%i*%) %&7e+er) re2-ire! t%e ,e/t&rK! *&n!ent. B-t t%e 0a$ent i! in an *a!e +a#i, a! t& t%e *re,it&r 7%& %a! a**e0te, it =Ar- 12(;
NOTE: In *a!e &6 an -nen6&r*ea/#e *&ntra*t 5 i6 t%e ,e/t&r *&n!ent! t& t%e (-arant&r 0ain() t%e (-arant&r *an !ee1 rei$/-r!e$ent 6r&$ t%e ,e/t&r. I6 t%e ,e/t&r ,i, n&t *&n!ent t& t%e (-arant&r 0ain() t%e (-arant&r *ann&t !ee1 rei$/-r!e$ent 6r&$ t%e (-arant&r. E::ECT O: PA,MENT B, 3UARANTOR BE:ORE MATURIT, =Ar- 20+9;
=. ;ai+er
5. T%e (-arant&r 7%& 0a! /e6 &re $at-rit i! n&t entit#e, t& rei$/-r!e$ent !in*e t%ere i! n& ne*e!!it 6&r a**e#eratin( 0a$ent. 8. A *&ntra*t &6 (-arant /ei n( !-/ !i,iar in *%ara*ter) t%e (-arant&r i! n&t #ia/#e 6&r t%e ,e/t /e6&re it /e*&$e! ,-e. E6cei$n8 T%e ,e/t&r 7i## /e #ia/#e i6 t%e 0a$ent 7a! $a,e: a. ;it% %i! *&n!ent" &r /. S-/!e2-ent# rati6ie, ?e0re!! &r i$0#ie, / %i$
3UARANTORS =Ar- 20+?;
RI3HT
TO
SUBRO3ATION
SUBRO3ATION tran!6er! t& t%e 0er!&n !-/r&(ate,) t%e *re,it 7it% a## t%e ri(%t! t%eret& a00ertainin( eit%er a(ain!t t%e ,e/t&r &r a(ain!t t%ir, 0er!&n!) /e t%e (-arant&r! &r 0&!!e!!&r! &6 $&rt(a(e!) !-/e*t t& !ti0-#ati&n in *&n+enti&na# !-/r&(ati&n. 5. Accr!a%5 #asis5 and na!re $& ri' ri(%t &6 !-/r&(ati&n i! ne*e!!ar t& ena/#e t%e (-arant&r t& en6&r*e t%e in,e$nit (i+en in Art. 8 a. Ari!e! / &0erati&n &6 #a7 -0&n 0a$ent / t%e (-arant&r /. It i! n&t a *&ntra*t-a# ri(%t *. T%e (-arant&r i! !-/r&(ate,) / +irt-e &6 t%e 0a$ent) t& t%e ri(%t &6 t%e *re,it&r) n&t t%&!e &6 t%e ,e/t&r. 8. Wen ri' n$ a.ai%a#%e !in*e !-/r&(ati&n i! t%e $ean! &6 e66e*t-atin( t%e ri(%t &6 t%e (-arant&r t& /e rei$/-r!e, 5 it *ann&t t%ere6&re /e in+&1e, in t%&!e *a!e! 7%ere t%e (-arant&r %a! n& ri(%t t& /e rei$/-r!e,-
E::ECT O: PA,MENT B, 3UARANTOR WITHOUT NOTICE TO DEBTOR =Ar- 20+; ;%en t%e (-arant&r 0a! t%e *re,it&r) /-t ,e/t&r %a! a#rea, 0ai, t%e #atter) t%en ,e/t&r *an !et -0 a(ain!t t%e (-arant&r ,e6en!e &6 0re+i&-! etin(-i!%$ent! &6 &/#i(ati&n / 0a$ent.
t%e t%e t%e t%e
Hen*e) (-arant&r $-!t n&ti6 t%e ,e/t&r /e6&re $a1in( 0a$ent. REASON: T%e (-arant&r *ann&t /e a##&7e,) t%r&-(% %i! &7n 6a-#t &r ne(#i(en*e t& 0re-,i*e &r i$0air t%e ri(%t! &r intere!t! &6 t%e ,e/t&r.
De#$rs $#%i'ai$n /i a eri$d ,e$an,a/#e &n# 7%en t%e ,a 6ie, *&$e!.
E::ECT O: REPEAT PA,MENT B, THE DEBTOR =Ar- 20?0; 3enera% R!%e8 Be6&re t%e (-arant&r 0a! t%e *re,it&r) %e $-!t 6ir!t n&ti6 t%e ,e/t&r. • I6 %e 6ai#! t& (i+e n&ti*e an, t%e ,e/t&r re0eat! 0a$ent: 3!aran$rs Remed" : *&##e*t 6r&$ t%e *re,it&r • N$ *a-!e &6 a*ti&n a(ain!t t%e ,e/t&r 6&r t%e ret-rn &6 t%e a$&-nt 0ai, / %i$. • In a (rat-it&-! (-arant i6 (-arant&r 7a! 0re+ente, t& n&ti6 /e*a-!e &6 a 6&rt-it&-! e+ent) an, *re,it&r /e*&$e! in!&#+ent) ,e/t&r !%a## rei$/-r!e (-arant&r. E6cei$n8 T%e (-arant&r $a !ti## *#ai$ rei$/-r!e$ent 6r&$ t%e ,e/t&r in !0ite &6 #a*1 &6 n&ti*e i6 t%e 6&##&7in( *&n,iti&n! are 0re!ent: a. T%e *re,it&r /e*&$e! in!&#+ent /. T%at ( -arant&r 7 a! 0re+ente, / a 6&rt-it&-! e+ent t& a,+i!e t%e ,e/t&r &6 t%e 0a$ent *. T%e (-arant i! (rat-it&-! RI3HT O: 3UARANTOR TO PROCEED A3AINST DEBTOR BE:ORE PA,MENT =Ar20?1; 3enera% R!%e8 G-arant&r %a! n& *a-!e &6 a*ti&n a(ain!t t%e ,e/t&r -nti# a6ter t%e 6&r$er %a! 0ai, t%e &/#i(ati&n. E6cei$ns8 Art. 8>5 en-$erate! in!tan*e! 7%en t%e (-arant&r $a 0r&*ee, a(ain!t t%e ,e/t&r e+en /e6&re t%e 0a$ent. =PAID>SIT;
5. ;%en %e i! s -e, 6&r t%e 0a$ent" 8. In * a!e & 6 in!&#+en* &6 t%e 0rin*i0a# ,e/t&r" =. ;%en t%e ,e/ t&r %a! /&-n, %i$!e#6 t& re#ie+e %i$ 6r&$ t%e (-arant 7it%in a !0e*i6ie, 0eri&,) an, t%i! eri&, %a! e0ire," @. ;%en t%e ,e/t %a! /e*&$e d e$an,a/#e ) / rea!&n &6 t%e e0irati&n &6 t%e 0eri&, 6&r 0a$ent" 4. A6ter t%e #a0!e &6 en ear!) 7%en t%e 0rin*i0a# &/#i(ati&n %a! n& 6ie, 0eri&, 6&r it! $at-rit) -n#e!! it /e &6 !-*% nat-re t%at it *ann&t /e etin(-i!%e, e*e0t 7it%in a 0eri&, #&n(er t%an ten ear!" . I6 t%ere are rea!&na/#e (r& -n,! t& 6ea r t%at t%e 0rin*i0a# ,e/t&r inten,! t& a /!*&n, " >. I6 t%e 0rin*i0a# ,e/t&r i! in i$$inent ,an(er &6 /e*&$in( in!&#+ent .
P!r$se8 T& ena/#e t%e (-arant&r t& ta1e $ea!-re! 6&r t%e 0r&te*ti&n &6 %i! intere!t in +ie7 &6 t%e 0r&/a/i#it t%at %e 7&-#, /e *a##e, -0&n t& 0a t%e ,e/t. Remed" $ /ic e 3!aran$r Eni%ed T%e (-arant&r *ann&t ,e$an, rei$/-r!e$ent 6&r in,e$nit 7%en %e %a! n&t 0ai, t%e &/#i(ati&n. REMEDIES AVAILABLE8 5. T& &/tain re#ea!e 6r&$ t%e (-arant" &r 8. T& ,e$an, !e*-rit t%at !%a## 0r&te*t %i$ 6r&$: a. An 0r&*ee,in(! / t%e *re,it&r" an, /. A(ain!t t%e in!&#+en* &6 t%e ,e/t&r. G-arant&rK! re$e,ie! are a#ternati+e. He %a! t%e ri(%t t& *%&&!e t%e a*ti&n t& /rin(.
S!i #" 3!aran$r a'ains Credi$r #e&$re Pa"men T%e (-arant&rK! &r !-retK! a*ti&n 6&r re#ea!e *an &n# /e eer*i!e, a(ain!t t%e 0rin*i0a# de#$r an, n&t a(ain!t t%e *re,it&r. REASON: T%e *re,it&r *ann&t /e *&$0e##e, t& re#ea!e t%e (-arant&r /e6&re 0a$ent &6 %i! *re,it. Re#ea!e &6 t%e (-arant&r i$0&rt! an etin*ti&n &6 %i! &/#i(ati&n t& t%e *re,it&r) *&nn&tin( re$i!!i&n &r a n&+ati&n / !-/r&(ati&n 7%i*% re2-ire! t%e *re,it&rK! a!!ent.
ARTS- 20++ and 20?1 Disin'!ised ART- 20++ ART- 20?1 =RI3HT O: =RI3HT O: 3UARANTOR TO 3UARANTOR TO REIMBURSEMENT PROCEED A3AINST
A:TER PA,MENT; Pr&+i,e! 6&r t%e en&$rcemen &6 t% e ri(%t! &6 t%e (-arant&r a(ain!t t%e ,e/t&r a6ter %e %a! 0ai, t%e ,e/t (i+e! a ri(%t &6 a*ti&n a6ter 0a$ent S!#sani.e ri(%t Gi+e! a ri(%t &6 a*ti&n) 7%i*%) 7it%&-t t%e 0r&+i!i&n! &6 t%e &t%er $i(%t /e 7&rt%#e!!
DEBTOR EVEN BE:ORE PA,MENT; Pr&+i,e! 6&r t%e r$eci$n /e6&re %e %a! 0ai, /-t a6ter %e %a! /e*&$e #ia/#e (i+e! a 0r&te*ti+e re$e, /e6&re 0a$ent
Pre%iminar" re$e, Re$e, (i+en !ee1! t& &/tain 6r&$ t%e (-arant&r re#ea!e 6r&$ t%e (-arant &r t& ,e$an, a !e*-rit t%at !%a## 0r&te*t %i$ 6r&$ an 0r&*ee,in(! / t%e *re,it&r an, 6r&$ t%e ,an(er &6 in!&#+en* &6 t%e ,e/t&r. Rec$.er" $& S!re" a'ains Indemni$r e.en #e&$re Pa"men 5. Indemni" a'reemen &$r e #ene&i $& s!re" n&t 6&r t%e /ene6it &6 t%e *re,it&r 8. Indemni" a'reemen ma" #e a'ains ac!a% %$ss as /e%% as %ia#i%i" !-*% a(ree$ent i! en6&r*ea/#e an, n&t +i&#ati+e &6 an 0-/#i* 0&#i* a. Indemni" a'ains %$ss in,e$nit&r 7i## n&t /e #ia/#e -nti# t%e 0er!&n t& /e in,e$ni6ie, $a1e! 0a$ent &r !-!tain! #&!! a'ains %ia#i%i" /. Indemni" in,e$nit&rK! #ia/i#it ari!e! a! !&&n a! t%e #ia/i#it &6 t%e 0er!&n t& /e in,e$ni6ie, %a! ari!en 7it%&-t re(ar, t& 7%et%er &r n&t %e %a! !-66ere, a*t-a# #&!! *. S!c a'reemen .a%id A !ti0-#ati&n in an in,e$nit a(ree$ent 0r&+i,in( t%at t%e in,e$ nit&r !%a## 0a t%e !-ret a! !&&n a! t%e #atter /e*&$e! #ia/#e t& $a1e 0a$ent t& t%e *re,it&r -n,er t%e ter$! &6 t%e /&n,) re(ar,#e!! &6 7%et%er t%e !-ret %a! $a,e 0a$ent a*t-a## &r n&t) i! +a#i, an, en6&r*ea/#e) an, in a**&r,an*e t%ere7it%) t%e !-ret $a ,e$an, 6r&$ t%e in,e$nit&r e+en /e6&re t%e *re,it&r %a! 0ai,. ;%ere t%e 0rin*i0a# ,e/t&r! are !i$-#tane&-!# t%e !a$e 0er!&n! 7%& ee*-te, t%e in,e$nit a(ree$ent) t%e 0&!iti&n &**- 0ie, / t%e$ i! t%at &6 a 0rin*i0a# ,e/t&r an, in,e$nit&r at t%e
!a$e) an, t%eir #ia/i#it /ein( &int an, !e+era#.
T%e ri(%t &6 rei$/-r!e$ent i! a*2-ire, i0!& -re 7it%&-t nee, &6 an 0ri&r *e!!i&n 6r&$ t%e *re,it&r / t%e (-arant&r.
3UARANTOR O: A THIRD PERSON AT REUEST O: ANOTHER =Ar- 20?2; T%e (-arant&r 7%& (-arantee! t%e ,e/t &6 an a/!entee at t%e re2-e!t &6 an&t%er %a! a ri(%t t& *#ai$ rei$/-r!e$ent) a6ter !ati!6in( t%e ,e/t 6r&$: 5. T%e 0er!&n 7%& re2-e!te, %i$ t& /e a
DE:ENSES AVAILABLE TO CO>3UARANTORS =Ar- 20?);
(-arant&r" 8. T%e ,e/t&r
6&r /ein( 0-re# 0er!&na# t& t%e ,e/t&r.
RI3HTS O: THE 3UARANTOR A3AINST THE DEBTOR =BRIB; 5. In,e$ni6i*ati&n 8. Bene6it &6 S-/r&(ati&n =. Bene6it &6 C&$0r&$i!e @. Ri(%t t& &/tain &r ,e$an, a !e*-rit -n,er Art. 8>5
LIABILIT, O: SUB>3UARANTOR IN CASE O: INSOLVENC, O: 3UARANTOR =Ar- 20?*;
BETWEEN CO>3UARANTORS RI3HT TO CONTRIBUTION O: 3UARANTOR WHO PA,S =Ar- 20?(; Pres!mi$n $& 4$in %ia#i%i" $& se.era% '!aran$rs /en ere are8 5. T7& &r $&re (-arant&r! 8. Sa$e ,e/t&r =. Sa$e ,e/t
E&&ec8 Ea*% i! /&-n, 0r&0&rti&nate !%are.
t&
0a
&n#
%i!
Wen Ar- 20?( A%ica#%e8 5. ;%en &ne (-arant&r %a! 0ai, t%e ,e/t t& t%e *re,it&r" 8. Pa$ent / !-* % (-arant&r $-!t %a+e /een $a,e: a. B +irt-e &6 a -,i*ia# ,e$an, ?/ene6it &6 ,i+i!i&n $-!t %a+e *ea!e," &r /. Be*a-!e t%e 0rin*i0a# ,e/t&r i! in!&#+ent" =. G-arant&r 7%& 0ai, i! !ee1in( rei$/-r!e$ent 6r&$ ea*% &6 %i! *& (-arant&r! t%e !%are 7%i*% i! 0r&0&rti&nate# &7in( %i$. E&&ec $& Ins$%.enc" $& An" 3!aran$r8 :$%%$/s e r!%e $n s$%idar" $#%i'ai$ns8 T%e !%are &6 t%e in!&#+ent (-arant&r !%a## /e /&rne / t%e &t%er! in*#-,in( t%e 0ain( (-arant&r in t%e !a$e &int 0r&0&rti&n. Accr!a% and Basis $& Ri'8
3enera% R!%e8 A## ,e6en!e! 7%i*% t%e ,e/t&r 7&-#, %a+e inter0&!e, a(ain!t t%e *re,it&r ?i.e. 6ra-,) 0re!*ri0ti&n) re$i!!i&n) i##e(a#it) et*.. E6cei$n8 T%&!e 7%i*% *ann&t /e tran!$itte,
S-/(-arant&r i! #ia/#e t& t%e *&(-arant&r! in t%e !a$e $anner a! t%e (-ar ant&r 7%&$ %e (-arantee, in *a!e &6 t%e in!&#+en* &6 t%e (-arant&r 6&r 7%&$ %e /&-n, %i$!e#6 a! !-/ (-arant&r.
CAUSES O: EFTIN3UISHMENT 3UARANT, =Ar- 20?+; =PL(CN>AR:P;
O:
3enera% R!%e8 G-arant /ein( a**e!!&r) it i! etin(-i!%e, 7%en 0rin*i0a# &/#i(ati&n i! etin(-i!%e,) t%e *a-!e! &6 7%i*% are: 5. Pa$ent &r 0er6&r$an*e" 8. L&!! &6 t%e t%in( ,-e" =. C &n,&nati&n &r re$i!!i&n &6 t%e ,e/t" @. C&n6-!i&n &r $er(er &6 t%e ri(%t! &6 t%e *re,it&r an, ,e/t&r" 4. C&$0en!ati&n " an, . N &+ati&n >. Ot%er *a-!e!: a. Ann-#$ent " /. R e!*i!!i&n " *. : -#6i##$ent &6 are!&#-t&r *&n,iti&n" ,. P re!*ri0ti&n
E6cei$n8 T%e (-arant it!e#6 $a /e ,ire*t# etin(-i!%e, a#t%&-(% t%e 0rin*i0a# &/#i(ati&n !ti## re$ain! !-*% a! in t%e *a!e &6 t%e re%ease $& e '!aran$r made #" e credi$rMaeria% A%erai$n $& Princia% C$nrac an a(ree$ent /et7een t%e *re,it&r an, t%e 0rin*i0a# ,e/t&r 7%i*% e!!entia## +arie! t%e ter$! &6 t%e 0rin*i0a# *&ntra*t 7it%&-t t%e *&n!ent &6 t%e !-ret) 7i## re#ea!e t%e !-ret 6r&$ #ia/i#it. S-*% $ateria# a#terati&n 7&-#, *&n!tit-te a n&+ati&n &r *%an(e &6 t%e 0rin*i0a# *&ntra*t 5 7%i*% i! *&n!e2-ent# etin(-i!%e,. U0&n !-*%
etin(-i!%$ent!) t%e a**e!!&r *&ntra*t t& (-arant i! a#!& ter$inate, an, t%e (-arant&r *ann&t /e %e#, #ia/#e &n t%e ne7 *&nt ra*t t& 7%i*% %e %a! n&t (i+en %i! *&n!ent.
Wen A%erai$n Maeria% 7%ere !-*% *%an(e 7i## %a+e t%e e66e*t &6 $a1in( t%e &/#i(ati&n $&re &ner&-!. 5. I$0&!e! a ne7 &/# i(ati&n &r a,, e, /-r,en &n t%e 0art 0r&$i!in(" &r 8. Ta1e! a7a !&$e &/#i(ati&n a#rea, i$0&!e,) *%an(in( t%e #e(a# e66e*t &6 t%e &ri(ina# *&ntra*t an, n&t $ere# t%e 6&r$ t%ere&6.
RELEASE B, CONVE,ANCE O: PROPERT, =Ar- 20??;
T%e ,e/t&r $a /e*&$e in!&#+ent ,-rin( t%e eten!i&n) t%-! ,e0ri+in( t%e (-arant&r &6 %i! ri(%t t& rei$/-r!e$ent. It ,&e!nKt $atter i6 t%e eten!i&n i!: a. Pre-,i*ia# &r n&t &r /. F&r a #&n( &r !%&rt 0eri&, &6 ti$e C&n!ent &6 t%e (-arant&r i! a $-!t_ Eten!i&n
1.
3enera% R!%e8 Pa$ent i! $a,e in $&ne. E6cei$n# An !-/!tit-te 0ai, in #ie- &6 $&ne 7%i*% i! a**e0te, / t%e *re,it&r etin(-i!%e! t%e &/#i(ati&n an, in *&n!e2-en*e) t%e (-arant. •
I6 t%e *re,it&r a**e0t! 0r&0ert in 0a$ent &6 a ,e/t 6r&$ t%e ,e/t&r) t%e (-arant&r i! re#ie+e, 6r&$ re!0&n!i/i#it. T%i! i! a#!& tr-e e+en in *a!e t%e *re,it&r i! !-/!e2-ent# e+i*te, 6r&$ t%e 0r&0ert.
$-!t
/e
/a!e,
&n
!&$e
ne7
a(ree$ent /et7een t%e *re,it&r an, t%e 0rin*i0a# ,e/t&r / +irt-e &6 7%i*% t%e *re,it&r ,e0ri+e! %i$ &6 %i! *#ai$.
Were $#%i'ai$n a"a#%e in insa%%mens8 7%ere a (-arant&r i! #ia/#e 6&r ,i66erent 0a$ent!: 3enera% R!%e8 An eten!i&n &6 ti$e t& &ne &r $&re 7i## n&t a66e *t t%e #ia/ i#it &6 t%e !-ret 6&r t%e &t%er!. E6cei$n8 ;%en t%e -n0ai, /a#an*e %a! /e*&$e a-t&$ati*a## ,-e / +irt-e &6 an a**e#erati&n *#a-!e 6&r 6ai#-re t& 0a an in!ta##$ent.
In case $& e.ici$n8 E+i*ti&n re+i+e! t%e 0rin*i0a# &/#i(ati&n /-t n&t t%e (-arant.
E&&ec $& e6cei$n8 T%e a*t &6 t%e *re,it&r eten,in( t%e 0a$ent &6 !ai, in!ta##$ent) 7it%&-t t%e (-arant&rK! *&n!ent) ,i!*%ar(e! t%e (-arant&r.
REASON: T%e *re,it&rK! a*ti&n a(ain!t t%e ,e/t&r i! 6&r e+i*ti&n an, t%i! i! ,i66erent 6r&$ 7%at t%e (-arant&r (-arantee,.
REASON: T%e eten!i&n *&n!tit-te! an eten!i&n &6 t%e 0a$ent &6 t%e 7%&#e a$&-nt &6 t%e in,e/te,ne!!
RELEASE O: 3UARANTOR WITHOUT CONSENT O: OTHERS =Ar- 20?; EFFECT: T%e re#ea!e /ene6it! a## t& t%e etent &6 t%e !%are &6 t%e (-arant&r re#ea!e,. REASON: A re#ea!e $a,e / t%e *re,it&r in 6a+&r &6 &ne &6 t%e (-arant&r! 7it%&-t t%e *&n!ent &6 t%e &t%er! $a 0re- ,i*e t%e &t%er! !%&-#, a (-arant&r /e*&$e in!&#+ent.
RELEASE B, EFTENSION O: TERM 3RANTED B, CREDITOR TO DEBTOR =Ar- 20?9; Re%ease Wi$! C$nsen $& 3!aran$r8 Cre,it&r (rant! an eten!i&n &6 ti$e t& t%e ,e/t&r 7it%&-t t%e *&n!ent &6 t%e (-arant&r. EFFECT: G-arant&r -n,erta1in(.
i!
,i!*%ar(e,
6r&$
REASON: T& a+&i, 0re-,i*e t& t%e (-arant&r
%i!
2.
Were c$nsen $ an e6ensi$n is /ai.ed in ad.ance #" e '!ara n$r8 S-*% 7ai+er i! n&t *&ntrar t& #a7) n&r t& 0-/#i* 0&#i*
E&&ec8 A$&-nt! t& t%e !-retK! *&n!ent t& a## t%e eten!i&n! (rante,. NOTE: T%e $ere 6ai#-re &r ne(#e*t &n t%e 0art &6 t%e *re,it&r t& en6&r*e 0a$ent &r t& /rin( an a*ti&n -0&n a *re,it) a! !&&n a! t%e !a$e &r an 0art &6 it $at-re!) ,&e! n&t *&n!tit-te an eten!i&n &6 t%e ter$ &6 t%e &/#i(ati&n) an, t%ere6&re) t%e #ia/i#it &6 t%e (-arant&r i! n&t etin(-i!%e,. In $rder $ c$nsi!e an e6ensi$n discar'in' a s!re"5 i s$!%d aear a e e6ensi$n /as8 =DEW; 5. F&r a De&inie eri$d
8.
P-r!-ant t& an En&$rcea#%e a'reemen /et7een t%e 0rin*i0a# an, t%e *re,it&r =. Ma,e Wi$! e c$nsen &6 t%e !-ret &r 7it% a re!er+ati&n &6 ri(%t! 7it% re!0e*t t& %i$. •
T%e *&ntra*t $-!t /e &ne 7%i*% 0re*#-,e! t%e *re,it&r 6r&$) &r at #ea!t %in,er! %i$ in) en6&r*in( t%e 0rin*i0a# *&ntra*t 7it%in t%e 0eri&, ,-rin( 7%i*% %e *&-#, &t%er7i!e %a+e en6&r*e, it) an, 0re*#-,e! t%e !-ret 6r&$ 0ain( t%e ,e/t.
•
T%e #a7 ,&e! n&t e+en (rant t%e !-ret t%e ri(%t t& !-e t%e *re,it&r 6&r ,e#a) a! 0r&te*ti&n a(ain!t t%e ri!1! &6 0&!!i/#e in!&#+en* &6 t%e ,e/t&r" /-t in +ie7 &6 t%e e66i*a* &6 t%e a*ti&n &n t%e *&ntra*t a(ain!t t%e !-ret) /e(innin( 7it% t%e ,ate t%e &/#i(ati&n /e*&$e! ,-e) %i! +i(i#an*e $-!t /e eer*i!e, rat%er a(ain!t t%e 0rin*i0a# ,e/t&r.
RELEASE WHEN 3UARANTOR CANNOT BE SUBRO3ATED =Ar- 200; •
•
I6 t%ere *an /e n& !-/r&(ati&n /e*a-!e &6 t%e 6a-#t &6 t%e *re,it&r) t%e (-arant&r! are t%ere/ re#ea!e,) e+en i6 t%e (-arant&r! are !&#i,ar. I6 t%e *re,it&r %a! a*2-ire , a #ien -0&n t%e 0r&0ert &6 a 0rin*i0a#) t%e *re,it&r at &n*e /e*&$e! *%ar(e, 7it% t%e ,-t &6 retainin( !-*% !e*-rit) &r $aintainin( !-*% #ien in t%e intere!t &6 t%e !-ret) an, an re#ea!e &r i$0air$ent &6 t%i! !e*-rit a! a 0ri$ar re!&-r*e &6 0a$ent &6 a ,e/t) 7i## ,i!*%ar(e t%e !-ret t& t%e etent &6 t%e +a#-e &6 t%e 0r&0ert &r #ien re#ea!e, 6&r t%ere i$$e,iate# ari!e! a tr-!t re#ati&n /et7een t%e 0arti e!) an, t%e *re,it&r a! tr-!tee i! /&-n, t& a**&-nt t& t%e !-ret 6&r t%e +a#-e &6 t%e !e*-rit in %i! %an,!.
REASON: T%e a*t &6 &ne *ann&t 0re-,i*e an&t%er. It a#!& a+&i,! *&##-!i&n /et7een t%e *re,it&r an, t%e ,e/t&r &r a t%ir, 0er!&n.
DE:ENSES AVAILABLE TO 3UARANTOR A3AINST CREDITOR =Ar- 201; 3enera% R!%e8 A## ,e6en!e!) 7%i*% 0ertain t& t%e 0rin*i0a# ,e/t&r an, are in%erent in t%e ,e/t. E6cei$n8 T%&!e 7%i*% are 0-re# 0er!&na# t& t%e ,e/t&r. NOTE8 Art 895 ,&e! n&t *&+er a !-ret.
SURET,SHIP SURET,SHIP i! a re#ati&n 7%i*% ei!t! 7%ere &ne 0er!&n ?0rin*i0a# %a! -n,erta1en an &/#i(ati&n an, an&t%er 0er!&n ?!-ret i! a#!& -n,er a ,ire*t an, 0ri$ar &/#i(a ti&n &r &t%er ,-t t& t%e &/#i(ee) 7%& i! entit#e, t& /-t &ne 0er6&r$an*e) an, a! /et7een t%e t7& 7%& are /&-n,) t%e !e*&n,) rat%er t%an t%e 6ir!t !%&-#, 0er6&r$. • I6 a 0er!&n /in,! %i$!e#6 !&#i,ari# 7it% t%e 0rin*i0a# ,e/t&r) t%e *&ntra*t i! *a##e, s!re"si an, t%e (-arant&r i! *a##e, a s!re". NATURE O: SURET,S UNDERTAIN3 5. Lia/i#it i! c$nrac!a% an, access$r" /-t direc8 8. Lia/i#it i! %imied #" erms $& c$nrac =. Lia/i#it arises $n%" i& rincia% de# $r i! e%d %ia#%e a. In t%e a/!en*e &6 *&##-!i&n) t%e !-ret i! /&-n, / a -,($ent a(ain!t t%e 0rin*i0a# e+ent t%&-(% %e 7a! n&t a 0art t& t%e 0r&*ee,in(!" /. T%e *re,it&r $a !-e) !e0arate# &r t&(et%er) t%e 0rin*i0a# ,e/t&r an, t%e !-ret" *. A ,e$an, &r n&ti*e &6 ,e6a-#t i! n&t re2-ire, t& 6i t%e !-retK! #ia/i#it EFCEPTION8 ;%ere re2-ire, / t%e 0r&+i!i&n! &6 t%e *&ntra*t &6 !-ret!%i0 ,. A !-ret /&n, i! .$id 7%ere t%ere i! n& 0rin*i0a# ,e/t&r /e*a-!e !-*% an -n,erta1in( 0re!-00&!e! t%at t%e &/#i(ati&n i! t& /e en6&r*ea/#e a(ain!t !&$e&ne e#!e /e!i,e! t%e !-ret) an, t%e #atter *an a#7a! *#ai$ t%at it 7a! ne+er %i! intenti&n t& /e t%e !&#e 0er!&n &/#i(ate, t%ere/. NOTE8 S-ret i! n&t entit#e, t& e%a-!ti&n @. Undera
A
e&nerate, / ne(#e*t &6 *re,it&r t& !-e 0rin*i0a#
-,i*ia# /&n,!$an an, t%e !-/!-ret are n&t entit#e, t& t%e /ene6it &6 e*-!!i&n.
Sricissimi !ris R!%e A%ica#%e On%" $ Acc$mm$dai$n S!re" REASON: An acc$mm$dai$n s!re" a*t! 7it%&-t $&ti+e &6 0e*-niar (ain an, %en*e) !%&-#, /e r$eced a(ain!t -n-!t 0e*-niar i$0&+eri!%$ent / i$0&!in( &n t%e 0rin*i0a#) ,-tie! a1in t& t%&!e &6 a 6i,-*iar.
REASON: T%e are n&t $ere (-arant&r!) /-t !-retie! 7%&!e #ia/i#it i! 0ri$ar an, !&#i,ar.
T%i! r-#e 7i## a00# &n# a6ter it %a! /een ,e6inite# a!*ertaine, t%at t%e *&ntra*t i! &ne &6 !-ret!%i0 &r (-arant.
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 D- P%ed'e 1- De&inii$n 2- inds (- Essenia% re@!iremens )- O#%i'ai$n $& %ed'e *- Ri's $& %ed'$r +- Per&eci$n =Ars- 209(5 209+; ?- :$rec%$s!re =Ars- 21125 211*; - P%ed'e #" $erai$n $& %a/ =Ar2121>2122; 9- Disin'!ised &r$m cae% m$r'a'e =Ars- 21)05 1)); 777777777777777777777777 77777777777777
Sricissimi !ris R!%e N$ A%ica#%e $ C$mensaed S!reies REASONS8 5. C&$0en!ate, *&r0&rate !-retie! are /-!ine!! a!!&*iati&n &r(anie, 6&r t%e 0-r0&!e &6 a!!-$in( *#a!!i6ie, ri!1! in #ar(e n-$/er!) 6&r 0r&6it an, &n an i$0er!&na# /a!i!. 8. T%e are !e* -re, 6r& $ a## 0&!!i/#e #&!! / a,e2-ate *&-nter/&n,! &r in,e$nit a(ree$ent!. =. S-*% *&r0&rati&n! are in 6a*t in !-rer! an, in ,eter$inin( t%eir ri(%t! an, #ia/i#itie!) t%e r-#e! 0e*-#iar t& !-ret!%i0 ,& n&t a00#. LE3AL AND UDICIAL BONDS
E&&ec $& ne'%i'ence $& credi$r8 Mere ne(#i(en*e &n t%e 0art &6 t%e *re,it&r in *&##e*tin( 6r&$ t%e ,e/t&r 7i## n&t re#ie+e t%e !-ret 6r&$ #ia/i#it.
PROVISIONS COMMON TO PLED3E AND MORT3A3E =Ars- 20*>212(;
MEANIN3 AND :ORM O: BOND =Ar- 202; B$nd an -n,erta1in( t%at i! !-66i*ient# !e*-re,) an, n&t *a!% &r *-rren* B$ndsman a !-ret &66ere, in +irt-e &6 a 0r&+i!i&n &6 #a7 &r a -,i*ia# &r,er. !a%i&icai$ns $& ers$na% #$ndsman8 =SIC; 5. He 0&!!e!!e! inte(rit " 8. He %a! t%e c a0a*it t& /in, %i$!e#6 " =. He % a! s-66i*ient 0r&0ert t& an!7er 6&r t%e &/#i(ati&n 7%i*% %e (-arantee!. PLED3E OR MORT3A3E IN LIEU O: BOND =Ar- 20(; G-arant &r !-ret!%i0 i! a 0er!&na# !e*-rit. P#e,(e &r $&rt(a(e i! a 0r&0ert &r rea# !e*-rit. I6 t%e 0er!&n re2-ire, t& (i+e a #e(a# &r -,i*ia# /&n, !%&-#, n&t /e a/#e t& ,& !&) a 0#e,(e &r $&rt(a(e !-66i*ient t& *&+er t%e &/#i(ati&n !%a## /e a,$itte, in #ie- t%ere&6. BONDSMAN NOT ENTITLED TO EFCUSSION =Ar- 20);
5. 8. =.
@. 4. .
Essenia% Re@!isies $ C$nracs $& P%ed'e and M$r'a'e8 =:ARCAS; C&n!tit-te, t& sec!re t%e 6-#6i##$ent &6 a 0rin*i0a# &/#i(ati&n a#s$%!e P#e,(&r &r $&rt(a(&r /e t%e $/ner &6 t%e t%in( 0#e,(e, &r $&rt(a(e, T%e 0er!&n! *&n!tit-tin( t%e 0#e,(e &r $&rt(a(e %a+e t%e &ree dis$sa% &6 t%eir 0r&0ert) an, in t%e a/!en*e t%ere&6) t%at t%e /e #e(a## a-t%&rie, 6&r t%e 0-r0&!e Cann$ e6is /i$! a +a#i, &/#i(ati&n De/t&r reains t%e &7ne r!%i0 &6 t%e t%in( (i+en a! a !e*-rit ;%en t%e 0r in*i0a# &/#i(ati&n /e*&$e! ,-e) t%e t%in( in 7%i*% t%e 0#e,(e &r $&rt(a(e a%ienaed &$r e *&n!i!t! $a /e
a"men t& t%e *re,it&r. Im$ran P$ins 5. F-t-re 0r&0ert *ann&t /e 0#e,(e, &r $&rt(a(e, 8. P#e,(e$&rt(a(e ee*-te, / &ne 7%& i! n& t t%e &7ner &6 t%e 0r&0ert 0#e,(e, &r
•
$&rt(a(e, i! 7it%&-t #e(a# ei!ten*e an, re(i!trati&n *ann&t +a#i,ate it. =. M&rt(a(e &6 a *&n-(a# 0r& 0ert / &ne &6 t%e !0&-!e! i! +a#i, &n# a! t& &6 t%e entire 0r&0ert @. In *a!e &6 0r&0ert *&+ere, / T&rren! tit#e) a $&rt(a(ee %a! t%e ri(%t t& re# -0&n 7%at a00ear! in t%e *erti6i*ate &6 tit#e an, ,&e! n&t %a+e t& in2-ire 6-rt%er. 4. P#e,(&r &r $&rt(a(&r %a! 6ree ,i!0&!a# &6 0r&0ert . T%in( 0# e,(e, &r $& rt(a(e, $a /e a#ienate,. >. Cre,it&r n&t re2 -ire, t& !-e t& en6 &r*e %i! *re,it 9. P#e,(&r &r $&rt(a(&r $a /e t%ir, 0er!&n . T%e #ia/i#it &6 an a**&$$&,ati&n 0#e,(&r &r $&rt(a(&r eten,! &n# t& t%e 0r&0ert 0#e,(e, &r $&rt(a(e,.
PLED3E C&n!tit-te, &n $&+a/#e! Pr&0ert i! ,e#i+ere, t& t%e 0#e,(ee) &r / *&$$&n *&n!ent t& a =r, 0er!&n N&t +a#i, a(ain!t = r, 0er!&n! -n#e!! a ,e!*ri0ti&n &6 t%e t%in( 0#e,(e, an, t%e ,ate &6 t%e 0#e,(e a00ear in a 0-/#i* in!tr-$ent
MORT3A3E C&n!tit-te, &n i$$&+a/#e! De#i+er n&t ne*e!!ar
N&t +a#i, a(ain!t =r, 0er!&n! i6 n&t re(i!tere,
Ri' $& Credi$r /ere De#$r &ai%s $ C$m%" /i is O#%i'ai$n 5. Cre,it&r i! $ere # entit#e, t& $&+ e 6&r t%e !a#e &6 t%e t%in( 0#e,(e, &r $&rt(a(e, 7it% t%e 6&r$a#itie! re2-ire, / #a7 in &r,er t& *&##e*t 8. Cre,it&r *ann&t a00r&0riate t& %i$!e#6 t%e t%in( n&r *an %e ,i!0&!e &6 t%e !a$e a! &7ner. Pr$i#ii$n a'ains p%c!u& co&&issoriu& • Si!%ai$n is n!%% and .$id !ti0-#ati&n 7%ere t%in( 0#e,(e, &r $&rt(a(e, !%a## a-t&$ati*a## /e*&$e t%e 0r&0ert &6 t%e *re,it&r in t%e e+ent &6 n&n0a$ent &6 t%e ,e/t 7it%in t%e ter$ 6ie, •
Re@!isies $& p%c!u& co&&issoriu&# a. T%ere !%&-#, /e a 0#e,(e &r $&rt(a(e /. T%ere !%&-#, /e a !ti0-#ati&n 6&r an a-t&$ati* a00r&0riati&n / t%e *re,it&r &6 t%e 0r&0ert in t%e e+ent &6 n&n0a$ent
E&&ec $n Sec!ri" C$nrac N-##it &6 t%e !ti0-#ati&n ,&e! n&t a66e*t +a#i,it an, e66i*a* &6 t%e 0rin*i0a# *&ntra*t /&por!%n! ;oin!s 5. De/t&r &7 ner /ear! t%e ri!1 &6 # &!! &6 t%e 0r&0ert 8. P#e,(e &r $&rt(a(e i! in,i+i!i/#e Excp!ions !o !" rul o inivisiili!6# a. ;%ere ea*% &ne &6 !e+era# t%in(! (-arantee! ,eter$inate 0&rti&n &6 *re,it
/.
*.
;%ere & n# 0 &rti&n & 6 # &an 7 a! re#ea!e, Ea$0#e: /&rr&7e, 91 6r&$ t%e /an1 an, %e $&rt(a(e, %i! 5 %a. 0r&0ert. Len,er 7a! &n# a/#e t& re#ea!e @1 ,-e t& CB re!tri*ti&n!. T%e C&-rt %e#, t%at t%e /an1 *an &n# 6&re *#&!e &n 4 &6 t%e $&rt(a(e, #an, ?4 %a. Cenra% Ban< .- CA5 K1(9 SCRA )+ ;%ere t%ere 7a! 6ai#-re &6 *&n!i,erati&n
=. T%e r-#e t%at rea# 0r&0ert) *&n!i!tin( &6 !e+era# #&t! !%&-#, /e !&#, !e0arate#) a00#ie! t& !a#e! in ee*-ti&n) an, n&t t& 6&re*#&!-re &6 $&rt(a(e! @. T%e $ere e$/&,i$ent &6 a rea# e!tate $&rt(a(e an, a *%atte# $&rt(a(e in &ne ,&*-$ent ,&e! n&t %a+e t%e e66e*t &6 6-!in( /&t% !e*-ritie! int& an in,i+i!i/#e 7%&#e 4. C&ntra*t &6 0#e,(e &r $&rt(a(e $a !e*-re a## 1in,! &6 &/#i(ati&n) /e t%e 0-re &r !-/e*t t& a !-!0en!i+e &r re!&#-t&r *&n,iti&n . A 0r&$i!e t& *&n!tit-te 0#e,(e &r $&rt (a(e (i+e! ri!e &n# t& a 0er!&na# ri(%t /in,in( -0&n t%e 0artie! an, *reate! n& rea# ri(%t in t%e 0r&0ert. ;%at ei!t! i! &n# a ri(%t &6 a*ti&n t& *&$0e# t%e 6-#6i##$ent &6 t%e 0r&$i!e) /-t t%ere i! n& 0#e,(e &r $&rt(a(e et. >. Un,er RPC) e!ta6a i! *&$$itte, / a 0er!&n 7%&) 0reten,in( t& /e t%e &7ner &6 an rea# 0r&0ert) !%a## *&n+e) !e##) en*-$/er &r $&rt(a(e t%e !a$e 1n&7in( t%at t%e rea# 0r&0ert i! en*-$/ere, !%a## ,i!0&!e &6 t%e !a$e a! -nen*-$/ere,. It i! e!!entia# t%at 6ra-, &r ,e*eit /e 0ra*ti*e, -0&n t%e +en,ee at t%e ti$e &6 t%e !a#e.
PLED3E =Ars- 209(>212(; PLED3E i! a *&ntra*t / +irt-e &6 7%i*% t%e ,e/t&r ,e#i+er! t& t%e *re,it&r &r t& a t%ir, 0er!&n a $&+a/#e &r ,&*-$ent e+i,en*in( in*&r0&rea# ri(%t! 6&r t%e 0-r0&!e &6 !e*-rin( t%e 6-#6i##$ent &6 a 0rin*i0a# &/#i(ati&n 7it% t%e
-n,er!tan,in( t%at 7%en t%e &/#i(ati&n i! 6-#6i##e,) t%e t%in( ,e#i+ere, !%a## /e ret-rne, 7it% a## it! 6r-it! an, a**e!!i&n!.
inds $& P%ed'e8 5. V$%!nar" $r c$n.eni$na% > *reate, / a(ree$ent &6 t%e 0artie! 8. Le'a% > *reate, / &0erati&n &6 #a7 Caracerisics $& P%ed'e8 5. Rea% 0er6e*te, / ,e#i+er 8. Access$r" > %a! n& in,e0en,ent ei!ten*e &6 it! &7n =. Uni%aera% *reate! &/#i(ati&n !&#e# &n t%e 0art &6 t%e *re,it&r t& ret-rn t%e t%in( !-/e*t -0&n t%e 6-#6i##$ent &6 t%e 0rin*i0a# &/#i(ati&n @. S!#sidiar" &/#i(ati&n in*-rre, ,&e! n&t ari!e -nti# t%e 6-#6i##$ent &6 t%e 0rin*i0a# &/#i(ati&n
Ca!se $r C$nsiderai$n in P%ed'e 5. Princia% $#%i'ai$n in !& 6ar a! t%e 0#e,(&r i! *&n*erne, 8. C$mensai$n si!%aed &$r e %ed'e $r mere %i#era%i" $& e %ed'$r i6 0#e,(&r i! n&t t%e ,e/t&r PROVISIONS APPLICABLE ONL, TO PLED3E 5. Tran!6er &6 0&! !e!!i&n t& t%e *re,it&r &r t& t%ir, 0er!&n / *&$$&n a(ree$ent i! e!!entia# in 0#e,(e a. ACTUAL DELIVERY i! i$0&rtant /. CONSTRUCTIVE ,e#i+er &r !$/&#i* ,e#i+er &6 t%e 1e t& t%e 7are%&-!e i! !-66i*ient t& !%&7 t%at t%e ,e0&!itar a00&inte, / *&$$&n *&n!ent &6 t%e 0artie! 7a! #e(a## 0#a*e, in 0&!!e!!i&n. 8. A## $&+a/#e! 7it%in *&$$er*e &6 $en $a /e 0#e,(e, a! #&n( a! !-!*e0ti/#e &6 0&!!e!!i&n =. In*&r0&rea# ri(%t $a /e 0#e,(e,. T%e in!tr-$ent! 0#e,(e, !%a## /e ,e#i+ere, t& t%e *re,it&r an, i6 ne(&tia/#e) $-!t /e in,&r!e,. @. P#e,(e !%a## ta1e e66e*t a(ain!t =r, 0e r!&n! &n# i6 t%e 66 a00ear! in a 0-/#i* in!tr-$ent: a. De!*ri0ti&n &6 t%e t%in( 0#e,(e, /. Date &6 t%e 0#e,(e 4. T%in( 0#e,(e, $a /e a#ienate, / t%e 0#e,(&r &r &7ner &n# i6 7it% t%e *&n!ent &6 t%e 0#e,(ee. O7ner!%i0 &6 t%e t%in( 0#e,(e, i! tran!$itte, t& t%e +en,ee &r tran!6eree a! !&&n a! t%e 0#e,(ee *&n!ent! t& t%e
a#ienati&n) /-t t%e #atter !%a## *&ntin-e in 0&!!e!!i&n . C&ntra*t &6 0#e,(e (i+e! t%e *re,it&r t%e ri(%t t& retain t%e t%in( in %i! 0&!!e!!i&n &r in t%at &6 a t%ir, 0er!&n t& 7%&$ it %a! /een ,e#i+ere,) -nti# t%e ,e/t i! 0ai,
?- Credi$r 8 a. S%a## ta1e *are &6 t%e t%in( 0#e,(e, 7it% t%e ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# /. Ha! t%e ri(%t t& t%e rei$/-r!e$ent &6 t%e e0en!e! $a,e 6&r it! 0re!er+ati&n an, i! #ia/#e 6&r it! #&!! &r ,e teri&rati&n / rea!&n &6 6ra-,) ne(#i(en*e) ,e#a &r +i&#ati&n &6 t%e ter$! &6 t%e *&ntra*t) an, n&t ,-e t& 6&rt-it&-! e+ent *. Ma /rin( t%e a*ti&n! 7%i*% 0ertain t& t%e &7ner &6 t%e t%in( in &r,er t& re*&+er it 6r&$) &r ,e6en, it a(ain!t a =r, 0er!&n ,. Cann&t -!e t%e t%in( 7it%&-t t%e a-t%&rit &6 t%e &7ner) an, i6 %e !%&-#, ,& !&) &r $i!-!e t%e t%in() t%e &7ner $a a!1 t%at it /e -,i*ia## &r etra-,i*ia## ,e0&!ite, e. Ma -!e t%e t%in( i6 it i! ne*e!!ar 6&r t%e 0re!er+ati&n &6 t%e t%in( ?e.(. *ar %a! t& /e ,ri+en &n*e in a 7%i#e 6.
Ma eit%er *#ai$ an&t%er t%in( in 0# e,(e &r ,e$an, i$$e,iate 0a$ent &6 t%e 0rin*i0a# &/#i(ati&n i6 %e i! ,e*ei+e, &n t%e !-/!tan*e &r 2-a#it &6 t%e t%in(
- P%ed'ee8 a. Ta1e *are &6 t%e t%in( 7it% ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i#. /. Cann&t ,e0 &!it t%e t%i n( 0#e,(e, 7it % a t%ir, 0er!&n) -n#e!! t%ere i! a !ti0-#ati&n a-t%&riin( %i$ t& ,& !& *. I! re!0&n!i/#e 6&r t%e a*t! &6 %i! a(ent! &r e$0#&ee! 7it% re!0e*t t& t%e t%in( 0#e,(e, ,. Ha! n& ri(%t t& -!e t%e t%in( &r t& a00r&0riate t%e 6r-it! 7it%&-t t%e a-t%&rit &6 t%e &7ner e. Ma *a-!e 0-/#i* !a#e &6 t%e t%in( 0#e,(e, i6) 7it%&-t 6a-#t &n %i! 0art) t%ere i! ,an(er &6 ,e!tr-*ti&n) i$0air$ent &r
@.
,i$in-ti&n in +a#-e &6 t%e t%in(. T%e 0r&*ee,! &6 t%e a-*ti&n !%a## /e a !e*-rit 6&r t%e 0rin*i0a# &/#i(ati&n.
9- P%ed'$r8 a. Ha! t%e re!0&n!i/i#it 6&r 6#a7! &6 t%e t%in( 0#e,(e,. /. Cann&t a! 1 6&r t%e ret-rn &6 t%e t% in( a(ain!t t%e 7i## &6 t%e *re,it&r) -n#e!! an, -nti# %e %a! 0ai, t%e ,e/t an, it! intere!t) 7it% e0en!e! in a 0r&0er *a!e *.
I! a##&7e, t& !-/!tit-te t%e t%in( 7%i*% i! in ,an(er &6 ,e!tr-*ti&n &r i$0air$ent 7it%&-t an 6a-#t &n t%e 0art &6 t%e 0#e,(ee) 7it% an&t%er t%in( &6 t%e !a$e 1in, an, 2-a#it
,. Ma re2-ire t%at t%e t%in( /e ,e0&!ite, 7it% a = r, 0er!&n i6 t%r&-(% t%e ne(#i(en*e &r 7i##6-# a*t &6 t%e 0#e,(ee t%e t%in( i! in ,an(er &6 /ein( #&!t &r i$0aire,
EFTIN3UISHMENT O: PLED3E =R2P2(A; 5. I6 t%e t%in( 0#e,(e, i! ret-rne, / t%e 0#e,(ee t& t%e 0#e,(&r &r &7ner) 0#e,(e i! etin(-i!%e,. 8. A !tate$ent in 7ritin( / t%e 0#e,(ee t%at %e en&-n*e! &r a/an,&n! t%e 0#e,(e i! r !-66i*ient t& etin(-i!% it. F&r t%i! 0-r0&!e) neit%er t%e a**e0tan*e / t%e 0#e,(&r &r &7ner) n&r t%e ret-rn &6 t%e t%in( 0#e,(e, i! ne*e!!ar) t%e 0#e,(ee /e*&$in( a ,e0&!itar. =. I6 !-/!e2-ent t& t%e 0er6e*ti&n &6 t%e 0#e,(e) t%e t%in( i! in t%e 0&!!e!!i&n &6 t%e 0#e,(&r &r &7n er) t%ere i! prima facie re!-$0ti&n t%at t%e t%in( %a! /een ret-rne, / t%e 0#e,(ee. @. I6 t%e t%in( i! in t%e 0&!!e!!i&n &6 (r, 0er!&n 7%& %a! re*ei+e, it 6r&$ t%e 0#e,(&r &r &7ner a6ter t%e *&n!tit-ti&n &6 t%e 0#e,(e) t%ere i! prima facie 0re!-$0ti&n t%at t%e t%in( %a! /een ret-rne, / t%e 0#e,(ee *- Pa$ent &6 t%e ,e/t . Sa#e &6 t%e t%in( 0#e,(e, at 0-/#i* a-*ti&n
:$rma%iies re@!ired in sa%e #" a credi$r i& credi n$ aid in d!e ime8 5. T%e ,e/t i! ,-e an, -n0ai, 8. T%e !a#e $-!t /e at a 0-/#i* a-*ti&n =. T%ere $-!t /e n&ti*e t& t%e 0#e,(&r an, &7ner) !tatin( t%e a$&-nt ,-e) an,
T%e !a#e $-!t /e $a,e 7it% t%e inter+enti&n &6 a n&tar 0-/#i*
E::ECT O: THE SALE O: THE THIN3 PLED3ED 5. E6in'!ises t%e 0rin*i0a# &/#i(ati&n 7%et%er t%e 0ri*e &6 t%e !a#e i! $&re &r #e!! t%an t%e a$&-nt ,-e 8. I6 t%e 0ri*e i! $&re t%an a$&-nt ,-e) t%e ,e/t&r i! n$ eni%ed t& t%e e*e!! -n#e!! t%e *&ntrar i! 0r&+i,e, =. I6 t%e 0ri*e &6 t% e !a#e i! #e! !) nei t%er i! t% e *re,it&r entit#e, t& re*&+er t%e de&icienc"C&ntrar !ti0-#ati&n i! +&i,.
Le'a% P%ed'es 5. Ne*e!!ar e0en!e! !%a## /e re6 -n,e, t& e+er 0&!!e!!&r) /-t &n# 0&!!e!!&r in (&&, 6ait% $a retain t%e t%in( -nti# %e %a! /een rei$/-r!e, U!e6-# e0en!e! !%a## /e re6-n,e, &n# t& t%e 0&!!e!!&r in (&&, 6ait% 7it% t%e !a$e ri(%t &6 retenti&n) t%e 0er!&n 7%& %a! ,e6eate, %i$ in t%e 0&!!e!!i&n %a+in( t%e &0ti&n &6 re6-n,in( t%e a$&-nt &6 t%e e0en!e! &r &6 0ain( t%e in*rea!e in +a#-e 7%i*% t%e t%in( $a %a+e a*2-ire, an, / rea!&n t%ere&6. ?Art. 4@ 8. He 7%& %a! e e*-te, 7&r1 -0&n a $&+ a/#e %a! a ri(%t t& retain it / 7a &6 0#e,(e -nti# %e i! 0ai,. ?Art. 5>=5 =. T%e a(ent $a ret ain t%e t%in(! 7%i*% are t%e &/e*t! &6 a(en* -nti# t%e 0rin*i0a# e66e*t! t%e rei$/-r!e$ent an, 0a! t%e in,e$nit. ?Art. 55@ @. T%e #a/&rerK! 7a(e! !%a## /e a #ien &n t%e (&&,! $an-6a*t-re, &r t%e 7&r1 ,&ne. ?Art. 5>>
S0e*ia# La7! a00# t& 0a7n!%&0! an, e!ta/#i!%$ent! 7%i*% are en(a(e, in $a1in( #&an! !e*-re, / 0#e,(e!. Pr&+i!i&n! &6 t%e Ci+i# C&,e !%a## a00# !-/!i,iari#.
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 E- Rea% M$r'a'e 1- De&inii$n and caracerisics 2- Essenia% re@!isies (- :$rec%$s!re
777777777777777777777777 77777777777777 MORT3A3E REAL MORT3A3E ?Art!. 858@85=5 i! a *&ntra*t 7%ere/ t%e ,e/t&r !e*-re! t& t%e *re,it&r t%e 6-#6i##$ent &6 a 0rin*i0a# &/#i(ati&n) !0e*ia## !-/e*tin( t& !-*% !e*-rit i$$&+a/#e 0r&0ert &r rea# ri(%t! &+er i$$&+a/#e 0r&0ert in *a!e t%e 0rin*i0a# &/#i(ati&n i! n&t *&$0#ie, 7it% at t%e ti$e !ti0-#ate,. OBECTS O: REAL MORT3A3E8 5. I$$&+a/#e! 8. A#iena/#e rea# ri(%t! in a**& r,an*e 7it% t% e #a7!) i$0&!e, -0&n i$$&+a/#e!. 3enera% R!%e8 F-t-re 0r&0ert *ann&t /e &/e*t &6 $&rt(a(e E6cei$n8 =A:TER>ACUIRED PROPERTIES; A !ti0-#ati&n !-/e*tin( t& t%e $&rt(a(e #ien) i$0r&+e$ent! 7%i*% t%e $&rt(a(&r $a !-/!e2-ent# a*2-ire) in!ta##) &r -!e in *&nne*ti&n 7it% t%e rea# 0r&0ert a#rea, $&rt(a(e, /e#&n(in( t& t%e $&rt(a(&r i! +a#i, Pe$%es Ban< and Tr!s C$- .- Daican L!m#er C$-5 K20 SCRA ) =19+?; Ea$0#e: &7n! a 6a*t&r. In t%at 6a*t&r) %e in!ta##e, a $a*%ine an, !-/!e2-ent# $&rt(a(e, it. T%e 0artie! $a +a#i,# !ti0-#ate t%at i6 t%e &ri(ina# $a*%ine i! re0#a*e,) t%e re0#a*e$ent !%a## /e !-/e*t t& t%e $&rt(a(e. T%e rea!&n 6&r t%i! i! t%at a6tera*2-ire, 0r&0ertie! are -n,er!t&&, t& /e re0#a*e$ent!) a! t%e &ri(ina# $a*%ine $a /e !-/e*t t& 7ear an, tear. /&por!%n! ;oin!s 5. A! a (enera# r-#e) t%e $&rt(a(&r retain! 0&!!e!!i&n &6 t%e 0r&0ert. He $a ,e#i+er !ai, 0r&0ert t& t%e $&rt(a(ee 7it%&-t a#terin( t%e nat-re &6 t%e *&ntra*t &6 $&rt(a(e. 8. It i! n&t an e!!entia# re2-i!ite t%at t%e 0rin*i0a# &6 t%e $&rt(a(e *re,it /ear! intere!t) &r t%at t%e intere!t a! *&$0en!ati&n 6&r t%e -!e &6 t%e 0rin*i0a# an, t%e en&$ent &6 it! 6r-it! /e in t%e 6&r$ &6 a *ertain 0er*ent t%ere&6.
inds $& M$r'a'e8 5. V&#-ntar 8. Le(a#
=. E2 -it a/ #e &ne 7%i*%) a#t%&-(% it #a*1! t%e 0r&0er 6&r$a#itie! &6 a $&rt(a(e !%&7! t%e intenti&n &6 t%e 0artie! t& $a1e t%e 0r&0ert a! a !e*-rit 6&r a ,e/t ?(&+erne, / Art!. 5=4) 5@4) 5@4@) 58) 5=) 5@ an, 5>
ESSENTIAL REUISITES O: MORT3A3E8 =:ADVAP; 5. C&n!tit-te, t& !e*-re t%e &-#6i##$ent &6 a 0rin*i0a# &/#i(ati&n 8. M&rt(a(&r t%e a/!&#-te &7ner &6 t%e t%in( 0#e,(e, &r /e $&rt(a(e, =. M&rt(a(&r %a! 6ree di!0&!a# &6 t%e 0r&0ert) an, in t%e a/!en*e t%ere&6) t%at %e /e #e(a## a-t%&rie, 6&r t%e 0-r0&!e @. Cann&t ei!t 7it%&-t a .a#i, &/#i(ati&n 4. ;%en t%e 0r in*i0a# &/#i(ati&n /e*&$e! ,-e) t%e t%in( in 7%i*% t%e $&rt(a(e *&n!i!t! $a /e a#ienate, 6&r t%e 0a$ent t& t%e *re,it&r. . A00ear! i n a -/#i* ,&*-$ent ,-# re*&r,e, in t%e Re(i!tr &6 Pr&0ert t& /e +a#i,# *&n!tit-te, • I6 t%e in!tr-$ent i! n&t re*&r,e,) t%e $&rt(a(e i! ne+ert%e#e!! /in,in( /et7een t%e 0artie!. LE3AL MORT3A3E8 t%e 0er!&n! in 7%&!e 6a+&r t%e #a7 e!ta/#i!%e! a $&rt(a(e %a+e n& &t%er ri(%t t%an t& ,e$an, t%e ee*-ti&n an, t%e re*&r,in( &6 t%e ,&*-$ent in 7%i*% t%e $&rt(a(e i! 6&r$a#ie,.
5. 8. =. @. 4.
INCIDENTS O: RE3ISTRATION O: MORT3A3E M&rt(a(ee entit#e, t& re(i!trati&n &6 $&rt(a(e a! a $atter &6 ri(%t Pr&*ee,in(! 6&r re(i!trati&n ,& n&t ,eter$ine +a#i,it &6 $&rt(a(e &r it! e66e*t Re(i!trati&n i! 7it%&-t 0re-,i*e t& /etter ri(%t &6 t%ir, 0artie! M&rt(a(e ,ee, &n*e ,-# re(i!tere, 6&r$! 0art &6 t%e re*&r,! 6&r t%e re(i!trati&n &6 t%e 0r&0ert $&rt(a(e, M&rt(a(e / !-r+i+in( !0&-!e &6 %i!%er -n,i+i,e, !%are &6 *&n-(a# 0r&0ert *an /e re(i!tere,
E&&ec $& In.a%idi" $& M$r'a'e $n rincia% $#%i'ai$n 5. Prin*i0a# &/#i(ati&n re$ain! +a#i, 8. M&rt(a(e ,ee, re$ain! a! e+i ,en*e &6 a 0er!&na# &/#i(ati&n E&&ec $& M$r'a'e 5. Creaes ri' in r& $r rea% ri's- A #ien in!e0ara/#e 6r&$ t%e 0r&0ert $&rt(a(e,) en6&r*ea/#e a(ain!t t%e 7%&#e 7&r#, as %$n'
as i is re' isered- I6 n&t re(i!tere, t%e t%ir, 0art $-!t 1n&7 &6 t%e $&rt(a(e% 8. Creaes mere%" an enc!m#rance . T%e #a7 *&n!i,er! +&i, an !ti0-#ati&n 6&r/i,,in( t%e &7ner 6r&$ a#ienatin( t%e i$$&+a/#e $&rt(a(e, ?Art. 85=. • T%e $&rt(a(&rK! ,e6a-#t ,&e! n&t &0erate t& +e!t in t%e $&rt(a(ee t%e &7ner!%i0 &6 t%e en*-$/ere, 0r&0ert. • Hi! 6ai#-re t& re,ee$ t%e 0r&0ert ,&e! n&t a-t&$ati*a## +e!t &7ner!%i0 &6 t%e 0r&0ert t& t%e $&rt(a(ee. EFTENT O: MORT3A3E =AI3RiPE; A rea# e!tate $&rt(a(e *&n!tit-te, &n i$$&+a/#e 0r&0ert i! n&t #i$ite, t& t%e 0r&0ert it!e#6 /-t a#!& eten,! t& it!: 5. A**e!!i&n! 8. I$0r&+e$ent! =. Gr&7in( 6r-it! @. Rent! &r in*&$e 4. Pr&*ee,! &6 in!-ran*e !%&-#, t%e 0r&0ert /e ,e!tr&e, .E0r&0riati&n +a#-e &6 t%e 0r&0ert !%&-#, it /e e0r&0riate,.
$&rt(a(e) -nti# t%e a,+an*e$ent! i! 0ai,.
3enera% R!%e # T%ere $-!t /e a !ti0-#ati&n 6&r t%e in*#-!i&n &6 6-t-re a,+an*e$ent!. M&rt(a(e 7it% a ,ra(net *#a-!e ena/#e t%e 0artie! t& 0r&+i,e *&ntin-&-! ,ea#in(!) t%e nat-re &r etent &6 7%i*% $a n&t /e 1n&7n &r anti*i0ate, at t%e ti$e) an, t%e a+&i, t%e e0en!e an, in*&n+enien*e &6 ee*-tin( a ne7 !e*-rit &n ea*% ne7 tran!a*ti&n. A $&rt(a(e (i+en t& !e*-re 6-t-re a,+an*e$ent! i! a c$nin!in' sec!ri" an, i! n&t ,i!*%ar(e, / t%e re0a$ent &6 t%e a$&-nt na$e, in t%e
a$&-nt
&6
t%e
ALIENATION OR ASSI3NMENT O: MORT3A3E CREDIT T%e $&rt(a(e *re,it i! a rea# ri(%t 7%i*% $a /e a#ienate, / t%e $&rt(a(ee 7it%&-t nee, t& &/tain t%e *&n!ent &6 t%e ,e/t&r. A#ienati&n &6 t%e $&rt(a(e *re,it i! +a#i, e+en i6 it i! n&t re(i!tere,. 1egistration is necessary only to affect third persons% La/s 3$.ernin' M$r'a'e 5. Ne7 Ci+i# C&,e 8. P.D. 548 =. Re+i!e, A,$ini!trati+e C&,e @. R.A. @998) a! re(ar,! a#ien! /e*&$in( $&rt(a(e! :$rec%$s!re $& M$r'a'e i! t%e re$e, a+ai#a/#e t& t%e $&rt(a(ee / 7%i*% %e !-/e*t! t%e $&rt(a(e, 0r&0ert t& t%e !ati!6a*ti&n &6 t%e &/#i(ati&n t& !e*-re 7%i*% t%e $&rt(a(e 7a! (i+en. •
T$ e6c%!de em5 it i! ne*e!!ar t%at t%ere /e an e0re!! !ti0-#ati&n t& t%at e66e*t. B-t i6 t%e $&rt(a(e, e!tate 0a!!e! int& t%e %an,! &6 a ird ers$n) t%e $&rt(a(e ,&e! n&t eten, t& an $a*%iner) &/e*t) *%atte# &r *&n!tr-*ti&n 7%i*% %e $a %a+e /r&-(%t &r 0#a*e, t%ere an, 7%i*% !-*% t%ir, 0er!&n $a re$&+e 7%ene+er it i! *&n+enient 6&r %i$ t& ,& !&. MORT3A3E TO SECURE :UTURE ADVANCEMENTS =BLANET OR DRA3NET CLAUSE; B#an1etDra(net C#a-!e &ne 7%i*% i! !0e*i6i*a## 0%ra!e, t& !-/!-$e a## ,e/t! &6 0a!t &r 6-t-re &ri(in.
6-##
•
•
A 6&re*#&!-re !a#e retr&a*t! t& t%e ,ate &6 re(i!trati&n &6 t%e $&rt(a(e an, t%at a 0er!&n 7%& ta1e! a $&rt(a(e in (&&, 6ait% an, 6&r +a#-a/#e *&n!i,erati&n) t%e re*&r, !%&7in( *#ear tit#e t& t%e $&rt(a(&r) 7i## /e 0r&te*te, a(ain!t e2-ita/#e *#ai$! &n t%e tit#e in 6a+&r &6 t%ir, 0er!&n! &6 7%i*% %e %a, n& a*t-a# &r *&n!tr-*ti+e n&ti*e !. o&inic Corpor%!ion v. /AC, 151 CRA 577 (187) Mere ina,e2-a* &6 t%e 0ri*e &/taine, at t%e !%eri66K! !a#e 7i## n&t /e !-66i*ient t& !et a!i,e t%e !a#e -n#e!! t%e 0ri*e i! !& ina,e2-ate a! t& !%&*1 t%e *&n!*ien*e &6 t%e *&-rt ta1in( int& *&n!i,erati&n t%e 0e*-#iar *ir*-$!tan*e! atten,ant t%eret&. S!%i .- CA5 2+ SCRA ))1 =199?; T%e a*ti&n t& re*&+er a ,e6i*ien* a6ter 6&re*#&!-re 0re!*ri/e! a6ter 5 ear! 6r&$ t%e ti$e t%e ri(%t &6 a*ti&n a**r-e! ?Art!. 55@8 55@@
UDICIAL :ORECLOSURE ?(&+erne, / R-#e 9 &6 R-#e! &6 C&-rt: =>PACE>PC; 5. -,i*ia# a*ti&n 6&r t%e 0-r0&!e in t%e 0r&0er *&-rt 7%i*% %a! -ri!,i*ti&n &+er t%e area 7%erein t%e rea# 0r&0ert in+&#+e, &r a 0&rti&n t%ere&6 i! !it-ate, 8. C&-rt &r ,er t& $&rt(a(&r t& a $&rt(a(e ,e/t 7it% intere!t an, &t%er *%ar(e! 7it%in a 0eri&, &6 n&t #e!! t%an ,a! n&r $&re t%an 58 ,a! 6r&$ t%e entr &6 -,($ent
=.
Sa#e t& t%e %i(%e!t /i,,er at 0-/#i* a -*ti&n ) !%&-#, t%e $&rt(a(&r 6ai# t& 0a at t%e ti$e ,ire*te,.
C&n6ir$ati&n &6 !a#e) 7%i*% &0erate! t& ,i+e!t t%e ri(%t! &6 a## 0artie! in t%e a*ti&n an, t& +e!t t%eir ri(%t! t& t%e 0-r*%a!e) !-/e*t t& t%e ri(%t &6 re,e$0ti&n a##&7e, / #a7 @. Ee*-ti&n &6 -,($ent 4. A00#i*ati&n &6 r&*ee,! &6 !a#e t&: a. C&!t! &6 t%e !a#e" /. A$&-nt ,-e t%e $&rt(a(ee" *. C#ai$! &6 -ni&r en*-$/ran*er! &r 0er!&n! %&#,in( !-/!e2-ent $&rt(a(e! in t%e &r,er &6 t%eir 0ri&rit" an, ,. T%e /a#an*e) i6 an !%a## /e 0ai, t& t%e $&rt(a(&r
c . S%eri66K! erti6i*ate i! ee*-te,) a*1n&7#e,(e, an, re*&r,e, t& *&$0#ete t%e 6&re*#&!-re Na!re $& !dicia% :$rec%$s!re Pr$ceedin's 5. <-a!i in rem a*ti&n 8. F&re*#&!-re i! &n# t%e re! -#t &r in* i,ent &6 t%e 6ai#-re t& 0a ,e/t =. S-r+i+e! ,eat% &6 $&rt(a(&r EFTRAUDICIAL :ORECLOSURE ?(&+erne, / A*t N&. =5=4) a! a$en,e, 5. E0re!! a-t%&rit t& !e## i! (i+en t& t%e $&rt(a(ee 8. A-t%&rit i! n&t etin(-i!%e, / ,eat% &6 $&rt(a(&r &r $&rt(a(ee =. P-/#i* !a#e !%&-#, /e $a,e a6ter 0r&0er n&ti*e ?0&!tin( an, 0-/#i*ati&n @. S-r0#-! 0r&*ee,! &6 6&re* #&!-re !a#e /e#&n( t& t%e $&rt(a(&r &r %i! a!!i(n! 4. De/t&r %a! t%e ri(%t t& re,ee$ t%e 0r&0ert !&#, 7it%in 5 ear 6r&$ an, a6ter t%e ,ate &6 !a#e . Re$e, &6 0art a((rie+e, / 6&re*#&!-re i! a 0etiti&n t& !et a!i,e !a#e an, *an*e##ati&n &6 7rit &6 0&!!e!!i&n >. Re0-/#i*ati&n i! ne*e!!ar 6&r t% e +a#i,it &6 a 0&!t0&ne, 6&re*#&!-re !a#e ?0artie! %a+e n& ri(%t t& 7ai+e t%e 0-/#i*ati&n re2-ire$ent Pr$ced!re &$r E6ra4!dicia% :$rec%$s!re $& Rea% Esae M$r'a'e =Ac N$- (1(* ; Cae% M$r'a'e =Ac N$- 1*05 A-M- N0- 99>10>0*>0 an!ar" 1*5 2000; =ARC>DIN>REA;
5. Fi# in( &6 a00#i*ati&n /e6&re t%e Ee*-ti+e J-,(e t%r&-(% t%e C#er1 &6 C&-rt 8. C#er1 &6 C&-rt 7i## ea$ine 7%et%er t%e re2-ire$ent! &6 t%e #a7 %a+e /een *&$0#ie, 7it%) t%at i!) 7%et%er t%e n&ti*e &6 !a#e %a! /een 0&!te, 6&r n&t #e!! t%an 8 ,a! in at #ea!t = 0-/#i* 0#a*e! &6 t%e $-ni*i0a#it &r *it 7%ere t%e 0r&0ert i! !it-ate,) an, i6 t%e !a$e i! 7&rt% $&re t%an P@. ) t%at !-*% n&ti*e %a! /een 0-/#i!%e, &n*e a 7ee1 6&r at #ea!t = *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e *it &r $-ni*i0a#it =. T%e certi6i*ate &6 !a#e $-!t /e a00r&+e, / t%e Ee*-ti+e J-,(e @. In etra-,i*ia# 6&re*#&!-re &6 rea# $&r t(a(e! d in i66erent #&*ati&n! *&+erin( &ne in,e/te,ne!!) &n# &ne 6i#in( 6ee *&rre!0&n,in( t& !-*% ,e/t !%a## /e *&##e*te, 4. T%e C# er1 &6 C& -rt ! %a## i!!-e *erti6i*ate &6 0a$ent in,i*atin( t%e a$&-nt &6 in,e/te,ne!!) t%e 6i#in( 6ee! *&##e*te,) t%e $&rt(a(e! !&-(%t t& /e 6&re*#&!e,) t%e ,e!*ri0ti&n &6 t%e rea# e!tate! an, t%eir re!0e*ti+e #&*ati&n! . T%e n&ti*e &6 !a#e !%a## /e 0-/#i!%e, in a ne7!0a0er &6 (enera# *ir*-#ati&n >. T%e a00#i*ati&n !% a## /e ra66#e, a$&n( a## !%eri66! 9. A6ter t%e re ,e$0ti&n 0eri&, %a! e0ire,) t%e C#er1 &6 C&-rt !%a## ar*%i+e t%e re*&r,! . N& a -*ti&n !a#e !%a## /e %e#, -n#e!! t%ere are at #ea!t 8 0arti*i0atin( /i,,er!) &t%er7i!e t%e !a#e !%a## /e 0&!t0&ne, t& an&t%er ,ate. I6 &n t%e ne7 ,ate t%ere !%a## n&t /e at #ea!t 8 /i,,er!) t%e !a#e !%a## t%en 0r&*ee,. T%e na$e! &6 t%e /i,,er! !%a## /e re0&rte, / t%e S%eri66 &r t%e N&tar P-/#i* 7%& *&n,-*te, t%e !a#e t& t%e C#er1 &6 C&-rt /e6&re t%e i!!-an*e &6 t%e *erti6i*ate &6 !a#e
Ri' $& m$r'a'ee $ rec$.er de&icienc" 5. M&rt(a(ee i! entit#e, t& re*&+er ,e6i*ien* 8. I6 ,e6i*ien* i! e$/&,ie, in a -,($ent) it i! t%e re6erre, t& a! deficiency judgment =. A*ti&n 6&r re*&+er &6 ,e6i*ien* $a /e 6i#e, e+en ,-rin( re,e$0ti&n 0eri&, @. A*ti&n t& re*&+er 0re!*ri/e! a6t er 5 ear! 6r&$ t%e ti$e t%e ri(%t &6 a*ti&n a**r-e!
Na!re $& $/er $& &$rec%$s!re #" e6ra4!dicia% sa%e 5. C&n6erre, 6&r $&rt(a(eeK! 0r&te*ti&n 8. An an*i##ar !ti0-#ati&n !-00&rte, / t%e !a$e *a-!e &r *&n!i,erati&n 6&r t%e $&rt(a(e =. A 0rer&(ati+e &6 t%e $&rt(a(ee Si!%ai$n $& Use Price $r i$ A !ti0-#ati&n &6 $ini$-$ 0ri*e at 7%i*% t%e 0r&0ert !%a## /e !&#, t& /e*&$e &0erati+e in t%e e+ent &6 a 6&re*#&!-re !a#e at 0-/#i* a-*ti&n i! N,== and @OI!
E&&ec $& inade@!ac" $& rice in &$rec%$s!re sa%e 5. ;%ere t%ere i! ri(%t t& re,ee$ 3enera% R!%e : Ina,e2-a* &6 0ri*e i! i$$ateria# /e*a-!e t%e -,($ent ,e/t&r $a re,ee$ t%e 0r&0ert E6cei$n: T%e 0ri*e i! !& ina,e2-ate a! t& !%&*1 t%e *&n!*ien*e &6 t%e *&-rt ta1in( int& *&n!i,erati&n t%e 0e*-#iar *ir*-$!tan*e! 8. Pr&0ert $a /e !&#, 6&r #e !! t% an it ! 6air $ar1et +a#-e -0&n t%e t%e&r t%at t%e #e!!er t%e 0ri*e t%e ea!ier 6&r t%e &7ner t& re,ee$ =. T%e +a#-e &6 t%e $& rt(a(e, 0r&0ert %a! n& /earin( &n t%e /i, 0ri*e at t%e 0-/#i* a-*ti&n) 0r&+i,e, t%at t%e 0-/#i* a-*ti&n 7a! re(-#ar# an, %&ne!t# *&n,-*te,
Wai.er $& sec!ri" #" credi$r 5. M&rt(a(ee $a 7ai+e ri(%t t& 6&r e*#&!e %i! $&rt(a(e an, $aintain a 0er!&na# a*ti&n 6&r re*&+er &6 t%e in,e/te,ne!! 8. Re$e,ie! are a#ternati+e) n&t *-$-#ati+e. =. O0ti&n! in *a!e t%e ,e/t&r ,ie!: a. T& 7ai+e $&rt(a(e an, *#ai$ entire ,e/t 6r&$ t%e $&rt(a(&rK! e!tate a! an &r,inar *#ai$ b. T& -,i*ia## 6&re*#&!e $&rt(a(e an, 0r&+e an ,e6i*ien* c. T& re# &n t%e $&rt(a(e e*#-!i+e# 7it%&-t 6i#in( a *#ai$ 6&r ,e6i*ien* NOTE8 F&re*#&!-re retr&a*t! t& t%e ,ate &6 re(i!trati&n &6 $&rt(a(e REDEMPTION i! a tran!a*ti&n / 7%i*% t%e $&rt(a(&r rea*2-ire! &r /-! /a*1 t%e 0r&0ert 7%i*% $a %a+e 0a!!e, -n,er t%e $&rt(a(e &r ,i+e!t! t%e 0r&0ert &6 t%e #ien 7%i*% t%e $&rt(a(e $a %a+e *reate,. INDS O: REDEMPTION
5. E ui!6 o r&p!ion : ri(%t &6 t%e $&rt(a(&r t& re,ee$ t%e $&rt(a(e, 0r&0ert a6ter %i! ,e6a-#t in t%e 0er6&r$an*e &6 t%e *&n,iti&n! &6 t%e $&rt(a(e /-t /e6&re *&n6ir$ati&n &6 t%e !a#e. a. A00#ie! t & -,i*ia# 6 &re*#&!-re & 6 rea# $&rt(a(e an, *%atte# $&rt(a( e 6&re*#&!-re /. A !e*&n, $&rt(a(ee a*2-ire! &n# t%e e2-it &6 re,e$0ti&n +e!te, in t%e $&rt(a(&r) an, %i! ri(%t! are !tri*t# !-/&r,inate t& t%e !-0eri&r #ien &6 t%e 6ir!t $&rt(a(ee. NOTE# Re,e$0ti&n &6 t%e /an1in( in!tit-ti&n! i! a##&7e, 7it%in 5 ear 6r&$ *&n6ir$ati&n &6 !a#e 8. Ri"! o r&p!ion : ri(%t &6 t%e $&rt(a(&r t& re,ee$ t%e 0r&0ert 7it%in a *ertain 0eri&, a6ter it 7a! !&#, 6&r t%e !ati!6a*ti&n &6 t%e ,e/t a. A00#ie! &n# t& etra-,i*ia# 6&re*#&!-re &6 rea# $&rt(a(e
NOTE# T%e ri(%t &6 re,e$0ti&n) a! #&n( a! 7it%in t%e 0eri&, 0re!*ri/e,) $a /e eer*i!e, irre!0e*ti+e &6 7%et%er &r n&t t%e $&rt(a(ee %a! !-/!e2-ent# *&n+ee, t%e 0r&0ert t& !&$e &t%er 0art Sa- I'nacia R!ra% Ban<5 Inc- .CA5 2(0 SCRA *1( =199); A !a#e / t%e $&rt(a(&r t& a t%ir, 0art &6 t%e $&rt(a(e, 0r&0ert ,-rin( t%e 0eri&, &6 re,e$0ti&n tran!6er! &n# t%e ri(%t t& re,ee$ t%e 0r&0ert an, t%e ri(%t t& 0&!!e!!) -!e) an, en& t%e !a$e ,-rin( t%e 0eri&,. T%e -,($ent ,e/t&r re$ain! in 0&!!e!!i&n &6 t%e 0r&0ert 6&re*#&!e, an, !&#, ,-rin( t%e 0eri&, &6 re,e$0ti&n) /-t %e *ann&t $a1e a *&n+ean*e &6 t%e &7ner!%i0 &6 t%e 0r&0ert) !in*e it /e#&n(! t& t%e 0-r*%a!er at t%e 6&re*#&!-re !a#e ion v. G%orro, 83 CRA *88 (178)
PERIOD O: REDEMPTION Extra &6 Genera# Ban1in( La7
8. H udicial /e6&re *&n6ir$ati&n &6 t%e !a#e / t%e *&-rt Peri$ds $& redemi$n M&rt(a(e:
J-,i*ia# F&re*#&!-re BAN'S
In,i+i,-a# ,e/t&r!$&rt(a (&r!
5 ear 6r&$ re(i!trati &n &6
J-ri,i*a# 0er!&n! a! ,e/t&r!$&rt(a (&r!
!a#e 5 ear 6r&$ re(i!trati &n &6 !a#e
NON BAN' S
Etra-,i*ia# F&re*#&!-re BAN'S
NON BAN'S
5 ear 6r&$ re(i!trati &n &6
5 ear 6r&$ re(i!trati &n &6
!a#e Unti# re(i!trati &n &6 *erti6i*at e &6 !a#e &r = $&nt%! 6r&$ !a#e 7%i*%e+ er i! ear#ier
!a#e 5 ear 6r&$ re(i!trati &n &6 !a#e
NOTE8 A##&7in( re,e$0ti&n a6ter t%e #a0!e &6 t%e !tat-t&r 0eri&, 7%en t%e /-er at t%e 6&re*#&!-re !a#e ,&e! n&t &/e*t /-t e+en *&n!ent! t& t%e re,e$0ti&n) 7i## -0%&#, t%e 0&#i* &6 t%e #a7 7%i*% i! t& ai, rat%er t%an ,e6eat t%e ri(%t &6 re,e$0ti&n R%&ir v. CA, 21 CRA 58 (13)
AMOUNT O: THE REDEMPTION PRICE8 5. M&rt(a(ee i! n&t a /an1 ?A*t N&. =5=4 in re#ati&n t& Se*. 89) R-#e = &6 R-#e! &6 C&-rt a. P-r*%a!e 0ri*e &6 t%e 0r&0ert /. 5 intere!t 0er $&nt% &n t%e 0-r*%a!e 0ri*e *. Tae! 0ai, an, a$&-nt &6 0-r*%a!erK! 0ri&r #ien) i6 an) 7it% t%e !a$e rate &6 intere!t *&$0-te, 6r&$ t%e ,ate &6 re(i!trati&n &6 !a#e) -0 t& t%e ti$e &6 re,e$0ti&n 8. M&rt(a(ee i! a /an1 ?GBL 8 a. A$&-nt ,-e -n,er t%e $&rt(a(e ,ee, /. Intere!t *. C&!t an, e0en!e!
NOTE8 Re,e$0ti&n 0ri*e in t%i! *a!e i! re,-*e, / t%e in*&$e re*ei+e, 6r&$ t%e 0r&0ert !ni$r M$r'a'ees 5. 6&re*#&!-re !a#e) t%ere re$ain! A6ter in t%e !e*&n, t%e $&rt(a(ee a $ere ri(%t &6 re,e$0ti&n. Hi! re$e, i! #i$ite, t& t%e ri(%t t& re,ee$ / 0ain( &66 t%e ,e/t !e*-re, / t%e 6ir!t $&rt(a(e.
e i! entit#e, t& t%e 0a$ent &6 %i! *re,it t%e e*e!! &6 t%e 0r&*ee,! &6 t%e a-*ti&n !a#e. =. In *a!e t%e *re,it &6 t%e 6ir !t $&r t(a(ee %a! a/!&r/e, t%e entire 0r&*ee,! &6 t%e !a#e) t%e !e*&n, $&rt(a(e i! etin(-i!%e,) !in*e t%e $&rt(a(e *ann&t /e en6&r*e, /e&n, t%e t&ta# +a#-e &6 t%e $&rt(a(e, 0r&0ert.
M$r'a'ee in P$ssessi$n &ne 7%& %a! #a76-## a*2-ire, a*t-a# &r *&n!tr-*ti+e 0&!!e!!i&n &6 t%e 0re$i!e! $&rt(a( e, t& %i$) !tan,in( -0&n %i! ri(%t! a! $&rt(a(ee an, n&t *#ai$in( -n,er an&t%er tit#e) 6&r t%e 0-r0&!e &6 en6&r*in( %i! !e*-rit -0&n !-*% 0r&0ert &r $a1in( it! in*&$e %e#0 t& 0a %i! ,e/t
RI3HTS AND OBLI3ATIONS O: MORT3A3EE IN POSSESSION 5. Si$i#ar t& an anti*%re!i! *re,it&r entit#e, t& retain !-*% 0&!!e!!i&n -nti# t%e in,e/te,ne!! i! !ati!6ie, an, t%e 0r&0ert re,ee$e,. 8. ;it%&-t ri(%t t& rei$/-r!e$ent 6&r -!e6-# e0en!e! RI3HT O: PURCHASER TO WRIT O: POSSESSION Wri $& P$ssessi$n &r,er 7%ere/ t%e !%eri66 i! *&$$an,e, t& 0#a*e in 0&!!e!!i&n &6 rea# &r 0er!&na# 0r&0ert t%e 0er!&n entit#e, t%eret& !-*% a! 7%en a 0r&0ert i! etra-,i*ia## 6&re*#&!e,. T%e i!!-an*e &6 t%e 7rit &6 0&!!e!!i&n in an etra-,i*ia# 6&re*#&!- re i! $ere# a $ini!teria# 6-n*ti&n. T%e 0-r*%a!er at t%e 6&re*#&!-re !a#e i! entit#e, a! &6 ri(%t t& a 7rit &6 0&!!e!!i&n. Be&$re %ase $& redemi $n eri$d 6i#e an e 0arte a00#i*ati&n an, 6i#e a /&n,
A&er %ase $& redemi$n eri$d 6i#e an e 0arte a00#i*ati&n an, n& nee, 6&r a /&n,
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 :- Anicresis 1- De&inii$n and Caracerisics 2O#%i'ai$ns $& Anicreic Credi$r 777777777777777777777777 77777777777777 ANTICHRESIS =Ars- 21(2>21(9;
ANTICHRESIS i! a *&ntra*t 7%ere/ t%e *re,it&r a*2-ire! t%e ri(%t t& recei"e the fruits &6 an i$$&+a/#e &6 t%e ,e/t&r) 7it% t%e &/#i(ati&n t& a00# t%e$ t& t%e 0a$ent &6 t%e inter e!t) i6 &7in() an, t%ere a6ter t& t%e 0rin* i0a# &6 t%e *re,it. CBARAC:ER/:/C 5. A**e!!&r *&ntra*t it !e*-re! t%e 0er6&r$an*e &6 a 0rin*i0a# &/#i(ati&n F&r$a# *&ntra*t it $-!t /e in a !0e*i6ie, 6&r$
t& /e +a#i, ?Art. 85=@
SPECIAL REUISITES8 5. On# t%e 6r-it! &6 an i$$&+a/#e 0r&0ert 8. De#i+er &6 t%e i$$&+a/#e i! ne* e!!ar 6&r t%e *re,it&r t& re*ei+e t%e 6r-it! an, n&t t%at t%e *&ntra*t !%a## /e /in,in( =. A$&-nt &6 0rin*i0a# an, intere!t $-!t /e !0e*i6ie, in 7ritin( ?&t%er7i!e) +&i, @. E0re!! a(ree$ent t%at ,e/t&r 7i## (i+e 0&!!e!!i&n &6 t%e 0r&0ert t& *re,it&r an, t%at t%e #att er 7i## a00# t%e 6r-it! t& t%e intere!t) i6 an) t%en t& t%e 0rin*i0a# &6 %i! *re,it NOTE8 T%e &/#i(ati&n t& 0a intere!t i! n&t e!!entia# in a *&ntra*t &6 anti*%re!i!) t%ere /ein( n&t%in( in t%e C&,e t& !%&7 t%at anti*%re!i! i! &n# a00#i*a/#e t& !e*-rin( t%e 0a$ent &6 intere!t/earin( #&an!. On t%e *&ntrar) anti*%re!i! i! !-!*e0ti/#e &6 (-aranteein( a## 1in,! &6 &/#i(ati&n!) 0-re &r *&n,iti&na#
OBLI3ATIONS O: ANTICHRETIC CREDITOR8 =:AT>P; 5. T& 0 a ae! an, *%ar(e! &n t%e e!tate) in*#-,in( ne*e!!ar e0en!e! NOTE8 Cre,it&r $a a+&i, !ai, &/#i(ati&n /: a. C&$0e##in( ,e/t&r t& rea*2-ire en&$ent &6 t%e 0r&0ert /. B !ti0-#ati&n t& t%e *&ntrar 8. T& a00# a## t%e & r-it!) a6ter re*ei+in( t%e$) t& t%e 0a$ent &6 intere!t) i6 &7in() an, t%erea6ter t& t%e 0rin*i0a# =. T& ren ,er an a**&-nt &6 t% e 6r-it! t& t% e ,e/t&r @. T& /ear t%e e0en!e! ne*e!!ar 6&r it! re!er+ati&n an, re0air REMEDIES O: CREDITOR IN CASE O: NON> PA,MENT O: DEBT 5. A*ti&n 6&r !0e*i6i* 0er6&r$an*e 8. Petiti&n 6&r t%e !a#e &6 t%e rea# 0r&0ert a! in a 6&re*#&!-re &6 $&rt(a(e! -n,er R-#e 9 &6 t%e R-#e! &6 C&-rt
NOTE8 T%e 0artie!) %&7e+er) $a a(ree &n an etra-,i*ia# 6&re*#&!-re in t%e !a$e $anner a! t%e are a##&7e, in *&ntra*t! &6 $&rt(a(e an, 0#e,(e% Ta.era .- E% H$'ar :i%iin$5 Inc- K+ Pi% ?12 A !ti0-#ati&n a-t%&riin( t%e anti*%reti* *re,it&r t& a00r&0riate t%e 0r&0ert -0&n t%e n&n 0a$ent &6 t%e ,e/t 7it%in t%e a(ree, 0eri&, i! +&i, ?Art. 899
777777777777777777777777 77777777777777 TOPIC UNDER THE S,LLABUS8 3- Cae% M$r'a'e 1- De&inii$n and caracerisics 2- Re'israi$n 777777777777777777777777 77777777777777 CHATTEL MORT3A3E CHATTEL MORT3A3E ?Art!. 85@85@5 i! a *&ntra*t / +irt-e &6 7%i*% a 0er!&na# 0r&0ert i! re*&r,e, in t%e C%atte# M&rt(a(e Re(i!ter a! !e*-rit 6&r t%e 0er6&r$an*e &6 an &/#i(ati&n. NOTE8 I6 t%e $&+a/#e) in!tea, &6 /ein( re*&r,e, i! ,e#i+ere, t& t%e *re,it&r) it i! a 0#e,(e an, n&t a *%atte# $&rt(a(e. CHATTEL MORT3A3E
PLED3E
In+&#+e! $&+a/#e 0r&0ert De#i+er &6 t%e 0er!&na# 0r&0ert i! NOT ne*e!!ar Re(i!trati&n i! ne*e!!ar 6&r +a#i,it Pr&*e,-re: Se* 5@ &6 A*t n& 549) a! a$en,e, I6 t%e 0r&0ert i! 6&re*#&!e,) t%e e*e!! &+er t%e a$&-nt ,-e (&e! t& t%e ,e/t&r
In+&#+e! $&+a/#e 0r&0ert De#i+er &6 t%e 0er!&na# 0r&0ert i! ne*e!!ar Re(i!trati&n i! NOT ne*e!!ar 6&r +a#i,it Pr&*e,-re: Art 8558 &6 Ci+i# C&,e
Cre,it&r i! entit#e, t& re*&+er ,e6i*ien* 6r&$ t%e ,e/t&r ECEPT i6 it i! a !e*-rit 6&r t%e 0-r*%a!e &6 0er!&na# 0r&0ert in in!ta##$ent!
I6 t%e 0r&0ert i! !&#,) t%e ,e/t&r i! n&t entit#e, t& t%e t& t%e e*e!! UNLESS it i! &t%er7i!e a(ree, &r in *a!e &6 #e(a# 0#e,(e Cre,it&r i! n&t entit#e, t& re*&+er ,e6i*ien* n&t7it%!tan,in( an !ti0-#ati&n t& t%e *&ntrar
La/s 3$.ernin' Cae% M$r'a'e 5. C%atte# M&rt(a(e La7) A*t N&. 549) a! a$en,e, 8. Ci+i# C&,e =. Re+i!e, A,$ini!trati+e C&,e @. Re+i!e, Pena# C&,e 4. S%i0 M&r t(a(e De*ree &6 5> 9 ?P.D. 5485 (&+ern! $&rt(a(e &6 +e!!e#! &6 ,&$e!ti* &7ner!%i0 A&&ida.i $& 3$$d :ai > An &at% in a *&ntra*t &6 *%atte# $&rt(a(e 7%erein t%e 0artie! !e+era## !7ear t%at t%e $&rt(a(e i! $a,e 6&r t%e 0-r0&!e &6 !e*-rin( t%e &/#i(ati&n !0e*i6ie, in t%e *&n,iti&n! t%ere&6 an, 6&r n& &t%er 0-r0&!e! an, t%at t%e !a$e i! a -!t an, +a#i, &/#i(ati&n an, &ne n&t entere, int& 6&r t%e 0-r0&!e &6 6ra-,. • N&t e!!entia# t& t%e +a#i,it &6 t%e $&rt(a(e /-t &n# tran!6&r$! a +a#i, &ne int& a 0re6erre, &ne • A/!en*e +itiate! a $&rt(a(e &n# a! a(ain!t t%ir, 0er!&n! 7it%&-t n&ti*e NOTE8 A *%atte# $&rt(a(e *an &n# *&+er &/#i(ati&n! ei!tin( at t%e ti$e t%e $&rt(a(e i! *&n!tit-te,. A $&rt(a(e t%at *&ntain! a !ti0-#ati&n in re(ar, t& 6-t-re a,+an*e! in t%e *re,it 7i## ta1e e66e*t &n# 6r&$ t%e ,ate t%e !a$e are $a,e an, n&t 6r&$ t%e ,ate &6 t%e $&rt(a(e %c% v. %v%o ?u&r Co., 113 CRA 107 (182)
E::ECT O: RE3ISTRATION 5. Create! rea# ri(%t! /in,in( n&ti*e an, !$/&#i*a# 0&!!e!!i&n 8. A,,! n&t%in( t& $&rt(a(e NOTE8 Re(i!trati&n &6 a!!i(n$ent &6 $&rt(a(e i! n&t re2-ire, •
RI3HT O: REDEMPTION ;%en t%e *&n,iti&n &6 a *%atte# $&rt(a(e i! /r&1en) t%e 66 $a re,ee$: a. M&rt(a(&r" /. Per!&n %&#,in( a !-/!e2-ent $&rt(a(e" *. S-/!e2-ent atta*%in( *re,it&r.
Re,e$0ti&n *an /e ,&ne 7it%in = ,a! 6r&$ t%e ti$e t%e *&n,iti&n i! /r&1en. •
•
An atta*%in( *re,it&r 7%& !& re,ee$! !%a## /e !-/r&(ate, t& t%e ri(%t! &6 t%e $&rt(a(ee an, entit#e, t& 6&re*#&!e t%e $&rt(a(e in t%e !a$e $anner t%at t%e $&rt(a(ee *&-#, 6&re*#&!e it T%e re,e$0ti&n i! $a,e / 0ain( &r ,e#i+erin( & t%e $&rt(a(ee t%e a$&-nt ,-e
&n !-*% $&rt(a(e an, t%e e0en!e! in*-rre, / !-*% *&n,iti&n /e6&re t%e !a#e
*&!t! an, /rea*% &6
Ri' $& M$r'a'ee $ P$ssessi$n 5. Be6&re ,e6a-#t) $&rt(a(ee i! n&t en tit#e, t& t%e 0&!!e!!i&n &6 t%e 0r&0ert ?&t%er7i!e) it 7i## /e*&$e a 0#e,(e 8. ;%en ,e6a-#t &**-r! an, t% e *re,it&r ,e!ire! t& 6&re*#&!e) %e %a! t%e ri(%t t& ta1e t%e 0r&0ert. =. I6 t%e ,e/t&r re6-!e! t& !-rren,er t%e 0r&0ert) t%e *re,it&rK! re$e, i! t& in!tit-te an a*ti&n t& e66e*t -,i*ia# 6&re*#&!-re &r t& !e*-re 0&!!e!!i&n 0re#i$inar t& !a#e. • T%e *re,it&r *ann&t ta1e t%e 0r&0ert / 6&r*e n&r *an t%e !%eri66 !eie t%e 0r&0ert.
:ORECLOSURE O: CHATTEL MORT3A3E 5. P-/#i* !a#e 8. Pri+ate !a#e t%ere i! n&t%in( i##e(a#) i$$&ra# &r a(ain!t 0-/#i* &r,er in an a(ree$ent 6&r t%e 0ri+ate !a#e &6 t%e 0er!&na# 0r&0ertie! *&+ere, / *%atte# $&rt(a(e Peri$d $ :$rec%$se 5. A6ter = ,a! 6r&$ t%e ti$e t%e *&n,iti&n 7a! /r&1en 8. T%e =,a 0eri&, i! t%e $ini$-$ 0eri&, a6ter +i&#ati&n &6 t%e $&rt(a(e *&n,iti&n 6&r t%e *re,it&r t& *a-!e t%e !a#e at 0-/#i* a-*ti&n 7it% at #ea!t 5 ,a! n&ti*e t& t%e $&rt(a(&r an, 0&!tin( &6 0-/#i* n&ti*e &6 ti$e) 0#a*e) an, 0-r0&!e &6 !-*% !a#e) an, i! a 0eri&, &6 (ra*e 6&r t%e $&rt(a(&r) t& ,i!*%ar(e t%e &/#i(ati&n. =. A6ter t%e !a#e at 0-/ #i* a-*ti&n) t%e ri (%t &6 re,e$0ti&n i! n& #&n(er a+ai#a/#e t& t%e $&rt(a(&r. Ci.i% Aci$n $ Rec$.er Credi 5. In,e0en,ent a*ti&n n&t re2-ire, 8. M&rt(a(e #ien ,ee$e, a/an,&ne, / &/tainin( a 0er!&na# -,($ent ?*i+i# a*ti&n t& re*&+er a$&-nt &6 #&an Ri' $& M$r'a'ee $ Rec$.er De&icienc" 5. Were m$r'a'e &$rec%$sed: *re,it&r $a $aintain a*ti&n 6&r ,e6i*ien* a#t%&-(% C%atte# M&rt(a(e La7 i! !i#ent &n t%i! 0&int. Rea!&n i! *%atte# $&rt(a(e i! &n# (i+en a! a !e*-rit an, n&t a! 0a$ent &6 t%e ,e/t. 8. Were m$r'a'e c$nsi!ed as sec!ri" &$r !rcase $& ers$na% r$er" a"a#%e in insa%%mens : n& ,e6i*ien* -,($ent *an /e a!1e, an, an *&ntrar a(ree$ent !%a## /e +&i,
=.
Were m$r'a'ed r$er" s!#se@!en%" aaced and s$%d8 $&rt(a(ee i! entit#e t& ,e6i*ien* -,($ent in an a*ti&n 6&r !0e*i6i* 0er6&r$an*e
Ne(&ti&ri-$ Ge!ti& ?Art 85@@ •
A%icai$n $& Pr$ceeds $& Sa%e 5. C&!t! an, e0en!e! &6 1ee0in( an, !a#e 8. Pa$ent &6 t%e &/#i(ati&n =. C#ai$! &6 0er!&n! %&#,in( !-/!e2-ent $&rt(a(e! in t%eir &r,er @. Ba#an*e) i6 an) !%a## /e 0ai, t& t%e $&rt(a(&r) &r 0er!&n %&#,in( -n,er %i$
7777777777777777777777777 7777777777777 TOPIC UNDER THE S,LLABUS8 H- C$nc!rrence and Pre&erence $& Credis 1- S$%!i$ Inde#ii 2- Ne'$i$r!m 3esi$ 7777777777777777777777777 7777777777777 S&#-ti& In,e/iti an, Ne(&ti&ri-$ Ge!ti& S&#-ti& In,e/iti ?Art 854@ •
•
•
T%e 0rin*i0#e &6 !&#-ti&n in,e/iti 0r&+i,e! t%at i6 !&$et%in( i! re*ei+e, 7%en t%ere i! n& ri(%t t& ,e$an, it) an, it 7a! t%e -n,-# ,e#i+ere, t%r&-(% $i!ta1e) &/#i(ati&n t& ret-rn it ari!e!. In !-*% a *a!e) a *re,it&r,e/t&r re#ati&n!%i0 i! *reate, -n,er a 2-a!i *&ntra*t 7%ere/ t%e 0a&r /e*&$e! t%e *re,it&r 7%& t%en %a! t%e ri(%t t& ,e$an, t%e ret-rn &6 0a$ent $a,e / $i!ta1e) an, t%e 0er!&n 7%& %a! n& ri(%t t& re*ei+e !-*% 0a$ent /e*&$e! &/#i(ate, t& ret-rn t%e !a$e T%e 0rin*i0#e &6solutio indebiti a00#ie! 7%ere ?5 a 0a$ent i! $a,e 7%en t%ere ei!t! n& /in,in( re#ati&n /et7een t%e 0a&r) 7%& %a! n& ,-t t& 0a) an, t%e 0er!&n 7%& re*ei+e, t%e 0a$ent" and ?8 t%e 0a$ent i! $a,e t%r&-(% $i!ta1e) an, n&t t%r&-(% #i/era#it &r !&$e &t%er *a-!e ?i%-An v. 'ill%nuv%, GR 173227 %nu%r6 200)
•
One 7%& +&#-ntari# ta1e! *%ar(e &6 t%e a(en*$ana(e$ent &6 t%e /-!ine!! &r 0r&0ert &6 an&t%er ?7it%&-t an 0&7er 6r&$ t%e #atter) i! &/#i(e, t& *&ntin-e !-*% a(en* &r $ana(e$ent -nti#: o T%e ter$inati&n &6 t%e a66air &r it! in*i,ent! or o He %a! re2-ire, t%e 0er!&n *&n*erne, t& !-/!tit-te %i$ ?i6 t%e &7ner i! in a 0&!iti&n t& ,& !& H&7e+er) t%i! -ri,i*a# re#ati&n ,&e! n&t ari!e in t%e 6&##&7in(: o ;%en t%e 0r&0ert &r /-!ine!! i! NOT ne(#e*te, &r a/an,&ne, o I6 t%e $ana(er %a! /een i$0#ie,# a-t%&rie, / t%e &7ner
7777777777777777777777777 7777777777777 TOPIC UNDER THE S,LLABUS8 I- C$nc!rrence and Pre&erence $& Credis 1- Meanin' $& C$nc!rrence and Pre&erence 2- Pre&erred Credis $n Seci&ic M$.a#%es (- E6em Pr$er" )- C%assi&icai$n $& Credis 7777777777777777777777777 7777777777777 CONCURRENCE AND PRE:ERENCE O: CREDITS =Ars- 22(+>22*1; CONCURRENCE O: CREDIT i$0#ie! 0&!!e!!i&n / t7& &r $&re *re,it&r! &6 e2-a# ri(%t! &r 0ri+i#e(e! &+er t%e !a$e 0r&0ert &r a## &6 t%e 0r&0ert &6 a ,e/t&r. PRE:ERENCE O: CREDIT i! t%e ri(%t %e#, / a *re,it&r t& /e 0re6erre, in t%e 0a$ent &6 %i! *#ai$ a/&+e &t%er! &-t &6 t%e ,e/t&rK! a!!et!. • Pre6eren*e *reate! n& intere!t &r #ien &n t%e 0r&0ert) /-t $ere# a 0re6eren*e t& t%e a00#i*ati&n &6 t%e 0r&*ee,!. • T%e ri(%t &6 0re6eren*e *an /e $a,e e66e*ti+e &n# / /ein( an, $aintaine,. Ot%er7i!e) it i!a!!erte, #&!t.
3enera% Pr$.isi$ns8 5. T%e ,e/t&r i! #ia/ #e 7it% a## %i! 0r&0ert) 0re!ent an, 6-t-re) 6&r t%e 6-#6i##$ent &6
%i! &/#i(ati&n!) !-/e*t! t& ee$0ti&n! 0r&+i,e, / #a7 - Ee$0t 0r&0ert: a. Pre!ent0r&0ert 5. Fa$i# %&$e ?Art! 548) 54= an, 544) NCC 8. Ri(%t t& re*ei+e !-00&rt a! 7e## a! $&ne &r 0r&0ert &/taine, / !-*% !-00&rt !%a## n& t /e #e +ie, -0&n &n atta*%$ent &r ee*-ti&n ?Art 84) =.
a. C&n!i,ere, a! $&rt(a(e! &r 0#e,(e! &6 rea# &r 0er!&na# 0r&0ert &r #ien! 7it%in t%e 0-r+ie7 &6 #e(a# 0r&+i!i&n! (&+ernin( in!&#+en* /. Tae! ,-e t& t%e State !%a## 6ir!t /e !ati!6ie, 8. Ordinary preferred credits ?Art 88@ @ 0re6erre, in t%e &r,er (i+en / #a7 =. 0ommon credits ?Art 88@4 *re,it! &6 an &t%er 1in, &r *#a!!) &r / an &t%er ri(%t &r tit#e n&t *&$0ri!e, in Art! 88@5
NCC
Se* 5=) R-#e =) R-#e! &6 C&-rt ?Or,inar t&&#!) #ettere, (ra+e!t&ne!) ne*e!!ar *#&t%in() et*. @. Se*559)t%eP-/#i* Lan, A*t)? CA N&. 5@5) a! a$en,e, /. F-t-re0r&0ert • A ,e/t&r 7%& &/tain! a ,i!*%ar(e 6r&$ %i! ,e/t! &n a**&-nt &6 in!&#+en*) i! n&t #ia/#e 6&r t%e -n!ati!6ie, *#ai$! &6 %i! *re,it&r! 7it% !ai, 0r&0ert ?Se*!. 9 an, ) In!&#+en* La7) A*t N&. 54 *. Pr&0ert in *-!t&,ia #e(i! an, &6 0-/#i* ,&$ain 8. In!&#+en* !%a## /e (&+erne, / t%e In!&#+en* La7 ?A*t N&. 54) a!
88@@ !%a## en& n& 0re6eren*e
Order $& Pre&erence $& Credi 5. Cre,it! 7%i*% en& 0re6eren*e 7it% re!0e*t t& !0e*i6i* $&+a/#e!) e*#-,e a## &t%er! t& t%e etent &6 t%e +a#-e &6 t%e 0er!&na# 0r&0ert t& 7%i*% t%e 0re6eren*e re6er!. 8. I6 t%ere are 8 &r $& re *re,it! 7it% re!0e*t t& t%e !a$e !0e*i6i* $&+a/#e 0r&0ert) t%e !%a## /e !ati!6ie, pro rata) a6ter t%e 0a$ent &6 ,-tie!) tae! an, 6ee! ,-e t%e State &r an !-/,i+i!i&n t%ere&6 =. T%&!e *re,it! 7%i*% en& 0re6eren*e in re#ati&n t& !0e*i6i* rea# 0r&0ert &r rea# ri(%t!) e*#-,e a## &t%er! t& t%e etent &6 t%e +a#-e &6 t%e i$$&+a/#e &r rea# ri(%t t& 7%i*% t%e 0re6eren*e re6er!.
a$en,e, =. Ee$0ti&n &6 *&n-(a# 0r&0ert &r a/!&#-te *&$$-nit &r 0r&0ert 0r&+i,e, t%at: a. Partner!%i0 &r *&$$-nit !-/!i!t! /. O/#i(ati&n! &6 t%e in!&#+ent !0&-!e %a+e n&t re,&-n,e, t& t%e /ene6it &6 t%e 6a$i# @. I6 t%ere i! *&&7ner!%i0) an, &ne &6 t%e *&&7ner! i! t%e in!&#+ent ,e/t&r) %i! -n,i+i,e, !%are &r intere!t in t%e 0r&0ert !%a## /e 0&!!e!!e, / t%e a!!i(nee in in!&#+en* 0r&*ee,in(! /e*a-!e it i! 0art &6 %i! a!!et! 4. Pr&0ert %e#, / t%e in!&#+ent ,e/t&r a! a tr-!tee &6 an e0re!! &r i$0#ie, tr-!t) !%a## /e e*#-,e, 6r&$ t%e in!&#+en*
@.
I6 t%ere are 8 &r $&re *re,it! 7it% re!0e*t t& t%e !a$e !0e*i6i* rea# 0r&0ert &r rea# ri(%t!) t%e !%a## /e !ati!6ie, pro rata) a6ter t%e 0a$ent &6 t%e tae! an, a!!e!!$ent &6 t%e tae! an, a!!e!!$ent! -0&n t%e i$$&+a/#e 0r&0ert &r rea# ri(%t.
4.
T%ee*e!!)i6an)a6ter t%e 0a$ent &6 t%e *re,it! 7%i*% en& 0re6eren*e 7it% re!0e*t t& !0e*i6i* 0r&0ert) rea# &r 0er!&na#) !%a## /e a,,e, t& t%e 6ree 0r&0ert 7%i*% t%e ,e/t&r $a %a+e) 6&r t%e 0a$ent &6 &t%er *re,it!.
.
T%&!e *re,it! 7%i*% ,& n&t en& an 0re6eren*e 7it% re!0e*t t& !0e*i6i* 0r&0ert) an, t%&!e 7%i*% en& 0re6eren*e) a! t& t%e a$&-nt n&t 0ai,) !%a## /e !ati!6ie, a**&r,in( t& t%e 6&##&7in( r-#e!:
0r&*ee,in(!
CLASSI:ICATION O: CREDITS 5. /pecial preferred credits ?Art! 88@5 an, 88@8 &6 NCC
• •
Or,er e!ta/#i!%e, / Art. 88@@ C&$$&n *re,it! re6err e, t& in Art. 88@4 !%a## /e 0ai, pro rata re(ar,#e!! &6 ,ate!.
NOTE8 Pre6eren*e &6 $&rt(a(e *re,it! i! ,eter$ine, / t%e 0ri&rit &6 re(i!trati&n) 6&##&7in( t%e $ai$ prior tempore potior jure ?He 7%& i! 6ir!t in ti$e i! 0re6erre, in ri(%t.
7777777777777777777777777 7777777777777 TOPIC UNDER THE S,LLABUS8 - Ins$%.enc" La/ 1- De&inii$n $& ins$%.enc" 2$& a"mens (- S!sensi$n V$%!nar" ins$%.enc" )- In.$%!nar" ins$%.enc" 7777777777777777777777777 7777777777777 INSOLVENC, LAW :RIA :RIA DE:INITION O: INSOLVENC, Finan*ia# *&n,iti&n &6 a ,e/t&r t%at i! (enera## -na/#e t& 0a it! &r %i! #ia/i#itie! a! t%e (a## ,-e in t%e &r,inar *&-r!e &6 /-!ine!! &r %a! #ia/i#itie! t%at are (reater t%an it! &r %i! a!!et! F&r FRIA t& /e a00#i*a/#e) t%ere $-!t /e in!&#+en* 0r&*ee,in(! in t%e *&-rt! ,e!i(nate, / t%e S-0re$e C&-rt t& %ear an, re!&#+e *a!e! /r&-(%t -n,er t%i! a*t PURPOSES O: :RIA 5. T& e66e*t e2-ita/#e ,i!tri/-ti&n &6 t%e in!&#+entK! 0r&0ert a$&n( it! &r %i! *re,it&r! 8. T& /ene6it t%e ,e/t&r in ,i!*%ar(in( %i$ 6r&$ %i! #ia/i#itie! an, ena/#in( %i$ t& !tart a6re!% 7it% t%e 0r&0ert !et a0art t& %i$ a! ee$0t
J-ri!,i*ti&n i! a*2-ire, -0&n 0-/#i*ati&n &6 n&ti*e &6 t%e *&$$en*e$ent &6 0r&*ee,in(! in an ne7!0a0er &6 (enera# *ir*-#ati&n
MODES O: REHABILITATION • C&-rt!-0er+i!e, re%a/i#itati&n •
Prene(&tiate, re%a/i#itati&n
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O-t &6 *&-rt &r in6&r$a# re!tr-*t-rin( a(ree$ent! &r re%a/i#itati&n 0#an!
1- COURT>SUPERVISED REHABILITATION • O7ner) 0artner!%i0 &r *&r0&rati&n $a initiate 0r&*ee,in(! 6&r re%a/i#itati&n) 7%i*% t%e 0r&0er *&-rt &+er!ee! an, ,e#i+er a 6ina# -,($ent re(ar,in( t%e re%a/i#itati&n 0#an •
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Re!t&rati&n &6 t%e ,e/t&r t& a *&n,iti&n &6 !-**e!!6-# &0erati&n an, !&#+en*
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T%e ,e/t&r i! e*&n&$i*a## 6ea!i/#e an, it! *re,it&r! *an re*&+er / 7a &6 0re!ent +a#-e &6 0a$ent! 0r&e*te, in t%e 0#an
REHABILITATION PLAN o
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P#an / 7%i*% t%e 6inan*ia# 7e## /ein( an, +ia/i#it &6 t%e in!&#+ent ,e/t&r *an /e re!t&re, -!in( +ari&-! $ean!
REHABILITATION RECEIVER o
:RIA DE:INTION O: DEBTOR • S&#e 0r&0riet&r!%i0 ?-ri,i*a# ,e/t&r
Per!&n! &r 0er!&n!) nat-ra# &r -ri,i*a#) a00&inte, a! !-*% / t%e *&-rt entr-!te, 7it% 0&7er! an, ,-tie! !et 6&rt% in t%e FRIA
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Partner!%i0 ?-ri,i*a# ,e/t&r
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INDS
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C&r0&rati&n ?-ri,i*a# ,e/t&r
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V&#-ntar 0r&*ee,in(!
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In,i+i,-a# ,e/t&r 7%& %a! /e*&$e in!&#+ent ?nat-ra# ,e/t&r
NATURE O: PROCEEDIN3S In!&#+en* 0r&*ee,in(! in FRIA are 0r&*ee,in(! in re$ HOW URISDICTION IS ACUIRED
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Fi#in( a 0etiti&n 6&r re%a/i#itati&n 7it% t%e *&-rt ,&ne / t%e in!&#+ent ,e/t&r
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In+&#-ntar 0r&*ee,in(! o
Fi#e, / a *re,it&r &r (r&-0 &6 *re,it&r!
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C#ai$ &r a((re(ate *#ai$ i! at #ea!t P5M &r at #ea!t 84 &6 *a0ita# !t&*1 &r 0artnerK! *&ntri/-ti&n) 7%i*%e+er i! %i(%er
4. Na$e! &6 at #ea!t = n&$inee! 6&r re%a/i#itati&n re*ei+er 0&!iti&n . Ot%er in6&r$ati&n re2-ire, ,e0en,in( &n re#ie6 re2-e!te,
T,PES O: PROCEEDIN3S
>. Ot%er ,&*-$ent! re2-ire, / t%e a*t &r r-#e! 0r&$-#(ate, / t%e SC
Iniiai$n r$ceedin's o
Atta*%$ent! in t%e 0etiti&n 6&r re%a/i#itati&n: V$%!nar"
Pr$ceedin's 5. I,enti6i*ati&n &6 ,e /t&r) 0rin*i0a# a*ti+itie! an, a,,re!!e!
GROUNDS TO INITIATE INVOLUNTARY PROCEEDINGS •
N& (en-ine i!!-e &6 6a*t &n #a7 &n t%e *#ai$! &6 t%e 0etiti&ner! ?*re,it&r! an, ,e$an,a/#e 0a$ent! ,-e %a+e n&t /een $a,e 6&r at #ea!t ,a! &r ,e/t&r 6ai#e, in $eetin( &/#i(ati&n!
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A t%ir,0er!&n *re,it&r &t%er t%an 0etiti&ner! %a! initiate, 6&re*#&!-re a(ain!t ,e/t&r) 0re+entin( ,e/t&r t& 0a ,e/t! ,-e &r 7i## ren,er %i$ in!&#+ent
8. State 6a*t &6 an, *a-!e &6 ,e/t&rK! in!&#+en* &r ina/i#it t& 0a ,e/t =. S0e*i6i* re#ie6 !&-(%t 0-r!-ant t& t%e A*t @. Gr&-n,! 7%i*% 0etiti&n i! /a!e, 4. Ot%er in6&r$ati&n re2-ire, / t%e a*t) ,e0en,in( &n t%e 1in, &6 re#ie6 re2-e!te, . Li!t &6 ,e/t&r!) #ia/i#itie! an, *re,it&r! 7it% a,,re!!e!) a$&-nt! &6 *#ai$! an, *&##atera#! >. In+ent&r &6 a!!et!) in*#-,e! re*ei+a/#e! an, *#ai$! a(ain!t = r, 0artie!
Aci$n $n e Peii$n and C$mmencemen $& Pr$ceedin's •
!%a## 4 7&r1in( ,a! 6r&$ 6i#in() i!!-e7it%in a C&$$en*e$ent Or,er. •
9. Re%a/i#itati&n 0#an . Na$e! &6 at #ea!t = n&$inee! 6&r re%a/i#itati&n re*ei+er 0&!iti&n
Atta*%$ent! in t%e 0etiti&n 6&r re%a/i#itati&n: In.$%!nar" Pr$ceedin's 5. I,enti6i*ati&n &6 ,e /t&r) 0rin*i0a# a*ti+itie! an, a,,re!!e!
I6 in t%e !a$e 0eri&, t%e *&-rt 6in,! t%e 0etiti&n ,e6i*ient) *&-rt $a (i+e 0etiti&ner ti$e t& a$en, &r !-00#e$ent 0etiti&n) &r t& !-/$it ,&*-$ent! ne*e!!ar t& 6i !ai, 0etiti&n. -
5. Ot%er ,&*-$ent! re2-ire, / t%e A*t &r r-#e! 0r&$-#(ate, / t%e SC o
I6 *&-rt 6in,! t%e 0etiti&n 6&r re%a/i#itati&n t& /e !-66i*ient in 6&r$ an, !-/!tan*e) it
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C&$$en*e$ent &r,er: -
8. Cir*-$!tan*e! !-66i*ient 6&r a 0etiti&n t& initiate re%a/i#itati&n 0r&*ee,in(!
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@. Re%a/i#itati&n 0#an
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I,enti6ie! t%e ,e/t&r S-$$arie! t%e (r&-n,! 6&r initiatin( t%e 0r&*ee,in(! State! t%e re#ie6 State! t%e #e(a# e66e*t! &6 t%e CO De*#are! t%at t%e ,e/t&r i! -n,er re%a/ Dire*t! 0-/#i*ati&n in ne7!0a0er &6 (enera# *ir*-#ati&n in t%e P%i#i00ine!
A00&int! a re%a/i#itati&n re*ei+er S-$$arie! t%e re2-ire$ent! an, ,ea,#ine! 6&r *re,it&r! t& e!ta/#i!% t%eir *#ai$! a(ain!t t%e ,e/t&r ?4 ,a! /e6&re t%e initia# %earin( Set! t%e *a!e 6&r initia# %earin( S-!0en!i&nSta Or,er ?e66e*t! S-!0en, a## a*ti&n! &r 0r&*ee,in(! 6&r en6&r*e$ent &6 *#ai$! a(ain!t t%e ,e/t&r S-!0en, a## a*ti&n! t& en6&r*e an -,($ent) atta*%$ent &r &t%er 0r&+i!i&na# re$e,ie! a(ain!t t%e ,e/t&r Pr&%i/it t%e ,e/t&r 6r&$ !e##in() en*-$/erin() tran!6errin( &r ,i!0&!in( in an $anner an &6 it! 0r&0ertie! e*e0t in t%e &r,inar *&-r!e &6 /-!ine!! Pr&%i/it t%e ,e/t&r 6r&$ $a1in( an 0a$ent &6 it! &-t!tan,in( #ia/i#itie! a! &6 t%e *&$$en*e$ent ,ate • N&te: Sta &r,er a00#ie! t& (&+ern$ent 6inan*ia# in!tit-ti&n! ?Se* 8 E*e0ti&n! t& t%e Sta an, S-!0en!i&n Or,er • Ca!e! a#rea, 0en,in ( a00ea# in t%e SC a! &6 t%e *&$$en*e$ent -
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,ate. Pr&+i,e, t%at a00ea# an 6ina# -,($ent &n t%e /e re6erre, t& t%e *&-rt 6&r a00r&0riate a*ti&n Ca!e! 0en,in( in !0e*ia#ie, *&-rt &r 2-a!i-,i*ia# a(en*) &n t%e *&-rtK! ,i!*reti&n En6&r*e$ent &6 *#ai$! a(ain!t !-retie! an, &t%er 0er!&n! !&#i,ari# #ia/#e 7it% ,e/t&r an, = r, 0art a**&$$&,ati&n $&rt(a(&r! e+en i!!-er! &6 #etter! &6 *re,it UNLESS t%e 0r&0ert !-/e* t &6 t%e = r, 0arta**&$$&,ati&n $&rt(a(e i! necessar" &$r e rea#i%iai$n &6 t %e de#$r a! ,eter$ine, / t%e *&-rt in other words& secured creditors can enforce their claimsforeclose if the security theyre holding is not necessary for rehabilitation* T& an" &$rm $& aci$n $& c!s$mers $& a sec!ri" mar
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t& t%e #atter in t%e &r,inar *&-r!e &6 t%e #atterK! /-!ine!! T& t%e a*ti&n! &6 a #i*en!e, /r&1er &r ,ea#er t& !e## 0#e,(e, !e*-ritie! &6 a ,e/t&r 0-r!-ant t& a !e*-ritie! 0#e,(e &r $ar(in a(ree$ent T& t%e *#earin( an, !ett#e$ent &6 6inan*ia# tran!a*ti&n! t%r&-(% t%e 6a*i#itie! &6 a *#earin( a(en* T& an *ri$ina# a*ti&n a(ain!t t%e ,e/t&r&7ner E&&eci.i" and D!rai$n $& C$mmencemen Order Un#e!! #i6te, / t%e *&-rt) CO !%a## /e e66e*ti+e 6&r t%e ,-rati&n &6 t%e re%a/i#itati&n 0r&*ee,in(!. Mini$-$ re2-ire$ent! $-!t /e $et: Re%a/i#itati&n 0#an *&$0#ie! 7it% $ini$-$ *&ntent! 0re!*ri/e, / t%e a*t S-66i*ient $&nit&rin( / re%a/i#itati&n re*ei+er De/t&r %a! $et 7it% *re,it&r! in atte$0t! 6&r *&n!en!-! 0r&0&!e, / re%a/i#itati&n 0#an Re%a/i#itati&n re*ei+er !-/$it! a re0&rt) a 0re#i$inar e+a#-ati&n &6 %&7 rea#i!ti* t%e (&a#! &6
re%a/i#itati&n are !-**e!! an, %&7 rea!&na/#e an,0#an rea#i!ti* i! /a!e, &n S-66i*ient a!!et! t& re%a/i#itate ,e/t&r S-66i*ient *a!% 6#&7 t& $aintain &0erati&n! &6 ,e/t&r Petiti&n i! n&t a 6i#in( inten,e, t& ,e6ra-, *re,it&r! an, ,e#a *#ai$! De/t&r!) 0artner!) !t&*1%&#,er!) ,ire*t&r! an, &66i*er! a*tin( in (&&, 6ait% an, ,-e ,i#i(en*e De/t&r #i1e# t& /e a/#e t& 0-r!-e +ia/#e re%a/i#itati&n 0#an Atta*%$ent! &n 0etiti&n 6&r re%a/i#itati&n are n&t $ateria## 6a#!e I6 0etiti&ner i! t%e ,e/t &r) %e %a! $et 7it% *re,it&r! re0re!entin( ` &6 t&ta# &/#i(ati&n $a,e in (&&, 6ait%. I6 0etiti&ner i! a *re,it&r) %e %a! $et 7it% t%e ,e/t&r) $a,e a (&&, 6ait% e66&rt t& rea*% *&n!en!-! E66e*t &6 Fai#-re t& Fi#e N&ti*e &6 C#ai$ In!tea, &6 6i#in( a n&ti*e &6 *#ai$) t%e *re,it&r 6i#e! a !-/!e2-ent /e#ate, *#ai$
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S-*% *#ai$ !%a## n&t /e entit#e, t& 0arti*i0ate in re%a/i#itati&n 0r&*ee,in(! Cre,it&r i! !ti## entit#e, t& re*ei+e ,i!tri/-ti&n! ari!in( 6r&$ re%a/i#itati&n Re%a/i#itati&n Re*ei+er ;it%in @ ,a! 6r&$ initia# %earin() t%e re%a/i#itati&n re*ei+er !%a## !-/$it a re0&rt t& *&-rt !tatin( 0re#i$inar 6in,in(! an, re*&$$en,ati&n! &n 7%et%er: • De/t&r i! in!&#+ent) *a-!e! &6 in!&#+en* in*#-,in( an -n#a76-# a*t! ,&ne / &7ener! 7%i*% $a %a+e *&ntri/-te, t& t%e in!&#+en* • I6 t%e re%a/ 0#an i! in,ee, 6ea!i/#e an, rea!&na/#e in re#ati&n t& (&a#! an, -n,er#in( a!!-$0ti&n! • S-/!tantia# #i1e#i%&&, ei!t! &r n&t • Petiti&n !%&-#, /e ,i!$i!!e, &r n&t • De/t&r !%&-#, /e #i2-i,ate, an,&r ,i!!&#+e, &r n&t Gi+in( ,-e *&-r!e t& &r ,i$i!!a# &6 0etiti&n &r *&n+er!i&n &6 0r&*ee,in(! ;it%in 5 ,a! 6r&$ re*ei0t &6 re%a/i#itati&n re*ei+er re0&rt $enti&ne, in !e*ti&n8 8@) *&-rt $a • Gi+e ,-e *&-r!e t& 0etiti&n -0&n
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6in,in( De/t&r i! in!&#+ent S-/!tantia# #i1e#i%&&, 6&r !-**e!! ei!t! De/t&r !%a## *&$0# 7it% 0r&+i!i&n! &6 t%e Re%a/ P#an an, ta1e a*ti&n t& *arr &-t t%e 0#an Pa$ent! $a,e t& *re,it&r! a**&r,in( t& t%e Re%a/ P#an C&ntra*t! 7it% *re,it&r! inter0rete, a! *&ntin-in( t& t%e etent t%at t%e ,& n&t *&n6#i*t 7it% t%e Re%a/ P#an C&$0r&$i!e! &n a$&-nt! &r re!*%e,-#in( &6 ti$in( &6 0a$ent! / ,e/t&r !%a## /e /in,in( t& *re,it&r re(ar,#e!! 7%et%er 0#an in! a !-**e!! &r n&t C#ai$! a6ter a00r&+a# &6 0#an n&t
treate, t%e 0#an are n&t !-/e*t t&/ !-!0en!i&n &r,er Peri$d &$r c$n&irmai$n $& rea#i%iai$n %an C&-rt %a! a $ai$-$ 0eri&, &6 5 ear 6r&$ ,ate &6 6i#in( &6 0etiti&n
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t& *&n6ir$ re%a/i#itati&n 0#an. I6 n& 0#an i! *&n6ir$e, 7it%in !ai, 0eri&, 0r&*ee,in(! $a -0&n a $&ti&n &r $&t- 0r&0ri& /e *&n+erte, t& &ne 6&r #i2-i,ati&n &6 t%e ,e/t&r Acc$!nin' discar'e $& Rea#i%iai$n Recei.er U0&n *&n6ir$ati&n &6 re%a/i#itati&n 0#an) re%a/i#itati&n re*ei+er !%a## 0r&+i,e a 6ina# re0&rt an, a**&-ntin( t& t%e *&-rt. Un#e!! t%e 0#an re2-ire! &r ,e!*ri/e! t%e r&#e &6 t%e re%a/i#itati&n re*ei+er a6ter a00r&+a# &6 t%e 0#an) *-rt !%a## ,i!*%ar(e re%a/i#itati&n re*ei+er &6 ,-tie!. Terminai$n Pr$ceedin's U0&n $&ti&n &6 an !ta1e%&#,er &r re%a/i#itati&n re*ei+er) t%e re%a/i#itati&n 0#an $a /e ter$inate, / &r,er &6 *&-rt. :ai%!re $& rea#i%iai$n8 • Di!$i!!a# &6 0etiti&n / *&-rt • De/t&r 6ai#! t& !-/$it a re%a/i#itati&n 0#an re%a/i#itati&n 0#an • Un,er !-/$itte, / ,e/t&r) t%ere i! n& !-/!tantia# #i1e#i%&&, 6&r re%a/i#itati&n T%&-(% a$en,e, an, a00r&+e,) ,e/t&r 6ai#! t& i$0#e$ent t%e re%a/i#itati&n 0#an) 6ai#-re t& rea#ie &/e*ti+e! • C&$$i!!i&n &6 6ra-, in !e*-rin( t%e a00r&+a# 6&r t%e 0#an • Ana#&(&-! *ir*-$!tan*e! a! $a /e ,e6ine, / r-#e! &6 0r&*e,-re C$!r aci$n !$n #rea< $& $r &ai%!re $& rea#i%iai$n %an =!$n m$i$n $& an a&&eced ar"; • I!!-e an &r,er ,ire*tin( /rea*% /e *-re, 7it%in !0e*i6ie, 0eri&,) 6ai#in( 7%i*%) 0r&*ee,in( $a /e *&n+erte, t& #i2-i,ati&n • I!!-e an, &r,er *&n+ertin( 0r&*ee,in(! t& #i2-i,ati&n • A##&7 ,e/t&r t& !-/$it a$en,$ent! t& 0#an !-/e*t t& a00r&+a# -n,er !a$e re2-ire$ent! 6&r a00r&+a# -n,er 0r&+i!i&n! • I!!-e an &t%er &r,er t& re$e, /rea*% *&n!i!tent 7it% 0re!ent re(-#ati&n •
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En6&r*e a00#i*a/#e 0r&+i!i&n &6 re%a/i#itati&n 0#an t%r&-(% 7rit &6 ee*-ti&n E&&ecs $& erminai$n T%e ,i!*%ar(e &6 t%e re%a/i#itati&n re*ei+er !-/e*t t& %i! !-/$i!!i&n &6 a 6ina# a**&-ntin( T%e #i6tin( &6 t%e Sta Or,er an, an &t%er *&-rt &r,er %&#,in( in a/ean*e an a*ti&n 6&r t%e en6&r*e$ent &6 a *#ai$ a(ain!t t%e ,e/t&r PROVIDED) t%at i6 t%e ter$inati&n i! ,-e t& 6ai#-re &6 re%a/i#itati&n &r ,i!$i!!a# &6 0etiti&n 6&r rea!&n! &t%er t%an te*%ni*a# (r&-n,!) 0r&*ee,in(! 7i## a-t&$ati*a## /e *&n+erte, t& LI
2- PRE>NE3OTIATED REHABILITATION Paries $ &i%e a eii$n &$r ne'$iaed rea#i%iai$n %an • In!&#+ent ,e/t&r / it!e#6" &r • J&int# 7it% an &6 it! *re,it&r!
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An in!&#+ent ,e/t&r / it!e#6 &r &int# 7it% an &6 it! *re,it&r! ;it% t%e *&-rt T%e 0rene(&tiate, re%a/i#itati&n 0#an $-!t /e en,&r!e, &r a00r&+e, / *re,it&r! %&#,in( at #ea!t 8= &6 t%e t&ta# #ia/i#itie! &6 t%e ,e/t&r) in*#-,in( !e*-re, *#ai$! &6 t%e ,e/t&r an, -n!e*-re, *re,it&r! %&#,in( $&re t%an 4 &6 t%e t&ta# -n!e*-re, *#ai$! &6 t%e ,e/t&r o
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D$c!mens a m!s acc$man" e eii$n as a minim!m • S*%e,-#e &6 ,e/t&rK! ,e/t! an, #ia/i#itie! • In+ent&r &6 ,e/t&rK! a!!et! • T%e 0rene(&tiate, Re%a/i#itati&n P#an) in*#-,in( t%e na$e! &6 at #ea!t = 2-a#i6ie, n&$inee! 6&r re%a/i#itati&n re*ei+er • S-$$ar &6 ,i!0-te, *#ai$! a(ain!t ,e/t&r) an, 0r&+i!i&nin( &6 re6-n,! t& re0&rt a**&-nt&n 6&r a00r&0riate 0a$ent!
Pr$ced!re &$r re>ne'$iaed rea#i%iai$n • Fi#in( &6 t%e 0etiti&n
• •
• • •
I!!-an*e &6 C&-rt Or,er P-/#i*ati&n &6 t%e &r,er in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e P%i#i00ine! &n*e a 7ee1 6&r at #ea!t t7& *&n!e*-ti+e 7ee1! O/e*ti&n t& t%e 0etiti&n &r re%a/i#itati&n 0#an i6 an Hearin( &n t%e &/e*ti&n! i6 ne*e!!ar A00r&+a# &6 t%e 0#an
Ca!se &$r eii$n $r/ic %an $#4eci$n ma" #e made $ • T%e a##e(ati&n in t%e 0etiti&n &r t%e Re%a/i#itati&n P#an &r t%e atta*%$ent! t%eret& are $ateria## 6a#!e &r $i!#ea,in( • T%e $a&rit &6 an *#a!! &6 *re,it&r! ,& n&t in 6a*t !-00&rt t%e Re%a/i#itati&n P#an • T%e Re%a/i#itati&n P#an 6ai#! t& a**-rate# a**&-nt 6&r a *#ai$ a(ain!t t%e ,e/t&r an, t%e *#ai$ i! n&t *ate(&ri*a## ,e*#are, a! *&nte!te, *#ai$" &r • T%e !-00&rt &6 t%e *re,it&r!) &r an &6 t%e$ 7a! in,-*e, / 6ra-, • N&te: i6 &/e*ti&n i! $erit&ri&-!) t%e ,e/t&r i! ,ire*te, t& *-re t%e ,e6e*t 7it%in a rea!&na/#e 0eri&, • N&te: i6 t%e ,e/t&r!*re,it&r! !-00&rtin( t%e 0#an a*te, in /a, 6ait% &r t%e &/e*ti&n i! n&n*-ra/#e) t%e C&-rt $a &r,er *&n+er!i&n &6 0r&*ee,in(! int& #i2-i,ati&n • N&te: i6 t%e &/e*ti&n i! n&t $erit&ri&-! &r t%e &/e*ti&n i! *-re,) t%e re%a/i#itati&n 0#an i! ,ee$e, a00r&+e, E&&ec $& Ar$.a% $& P%an Sa$e e66e*t a! *&n6ir$ati&n &6 P#an -n,er C&-rtS-0er+i!e, Re%a/i#itati&n (OUT>O:>COURT OR IN:ORMAL RESTRUCTIN3 A3REEMENTS OR REHABILITATION PLANS In&$rma% resr!c!rin'/$r<$! a'reemen $r rea#i%iai$n %an de&ined D&ne &-t!i,e &r 7it%&-t t%e inter+enti&n &6 *&-rt 0r&+i,e, it $eet! t%e $ini$-$ re2-ire$ent! !et 6&r t%e in t%e A*t Re@!isies &$r an O!>$&>c$!r $r in&$rma% resr!c!rin'/$r<$! a'reemen $r rea#i%iai$n %an • T%e ,e/t&r $-!t a(ree t& t%e &-t&6*&-rt &r in6&r$a# re!tr-*t-rin(7&r1&-t a(ree$ent &r Re%a/i#itati&n P#an
•
•
•
It $-!t /e a00r&+e, / *re,it&r! re0re!entin( at #ea!t > &6 t%e SECURED &/#i(ati&n! &6 t%e ,e/t&r It $-!t /e a00r&+e, / *re,it&r! re0re!entin( at #ea!t >4 &6 t%e UNSECURED &/#i(ati&n! &6 t%e ,e/t&r It $-!t /e a00r&+e, / *re,it&r! %&#,in( at #ea!t 94 &6 t%e TOTAL LIABILITIES) SECURED an, UNSECURED) &6 t%e ,e/t&r
Ι.
V$%!nar" Li@!idai$n: α.
Sandsi%% Peri$d It i! a 0eri&, t%at $a /e a(ree, -0&n / t%e 0artie! 0en,in( ne(&tiati&n6ina#iati&n &6 t%e &-t&6*&-rt a(ree$ent &r Re%a/ P#an ?similar to a stay order*
Pr$ced!re8 ι. Fi#in( &6 Petiti&n ?Se* ιι. I6 *&-rt 6in,! 0etiti&n !-66i*ient in 6&r$ an, !-/!tan*e) it !%a## i!!-e t%e Li2-i,ati&n Or,er ?Se* 5@ ιιι. P-/#i*ati&n &6 t%e 0etiti&n &r $&ti&n in a ne7!0a0er &6 (enera# *ir*-#ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! Se* 558 ?, ιϖ. Hearin( 6&r e#e*ti&n an, a00&int$ent &6 #i2-i,at&r Se* 558 ? ϖ. Dire*t 0a$ent! &6 an *#ai$! an, *&n+ean*e &6 an 0r&0ert ,-e t%e ,e/t&r t& t%e #i2-i,at&r Se* 558 ?e ϖι. Li2-i,ati&n &6 t%e ,e/t&rK! a!!et! an, 0a$ent &6 %i! ,e/t! / t%e Li2-i,at&r ?Se* 55 ϖιι. Di!*%ar(e &6 Li2-i,at&r ?Se* 588 ϖιιι. A00ea# i6 0r&0er
Re@!iremens &$r e sandsi%% eri$d $ #e en&$rcea#%e a'ains (rd aries •
•
•
A(ree$ent i! a00r&+e, / *re,it&r! re0re!entin( 4 &6 t%e t&ta# #ia/i#itie! &6 t%e ,e/t&r N&ti*e i! 0-/#i!%e, o M-!t in+ite *re,it&r! t& 0arti*i0ate in t%e ne(&tiati&n o A## *re,it&r! $-!t /e (i+en ,-e n&ti*e Peri&, ,&e! n&t e*ee, 58 ,a!
E&&ec $& Sandsi%% Peri$d An *&-rt a*ti&n !%a## t%e n&t re#e+ant !ta t%e0art 0#anK!i! i$0#e$entati&n UNLESS a/#e t& !e*-re a TRO &r in-n*ti+e re#ie+e 6r&$ t%e C&-rt &6 A00ea#! t& !ta t%e i$0#e$entati&n &6 0r&*ee,in(! T%e e66e*t &6 t%e a00r&+a# &6 t%e 0#an i! t%e !a$e t& t%at &6 *&n6ir$ati&n &6 P#an -n,er C&-rt S-0er+i!e, Re%a/i#itati&n
N$ice $& O!>$&>C$!r rea#i%iai$n %an is re@!ired P-/#i!%e, &n*e a 7ee1 6&r at #ea!t = *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n in t%e P%i#i00ine!. It !%a## ta1e e66e*t a6ter 54 ,a! 6r&$ t%e ,ate &6 t%e #a!t 0-/#i*ati&n &6 t%e n&ti*e t%ere&6 Amendmens $r m$di&icai$n $ e %an A$en,$ent! &r $&,i6i*ati&n $-!t /e $a,e in a**&r,an*e 7it%&n t%e &6 t%e a(ree$ent an, 7it% ,-e n&ti*e a##ter$! *re,it&r!
LIUIDATION O: INSOLVENT URIDICAL DEBTORS
An in!&#+ent ,e/t&r $a a00# 6&r #i2-i,ati&n / 6i#in( a +eri6ie, 0etiti&n 6&r #i2-i,ati&n 7it% t%e *&-rt ι. C&ntent!: 5. S*%e,-#e &6 ,e/t&rK! #ia/i#itie! 7it% a #i!t &6 *re,it&r! 8. An in+ent&r &6 a## it! a!!et! =. Na$e! &6 at #ea!t = n&$inee! t& t%e 0&!iti&n &6 #i2-i,at&r
In.$%!nar" Li@!idai$n8 α.
A +eri6ie, 0etiti&n $a /e 6i#e, in *&-rt / = &r $&re *re,it&r! 7it% t%e a((re(ate *#ai$! &6 at #ea!t 5M &r at #ea!t 84 &6 t%e !-/!*ri/e, *a0ita# !t&*1 &r 0artnerK! *&ntri/-ti&n! &6 t%e ,e/t&r) 7%i*%e+er i! %i(%er. ι. C&ntent!: 5. M-!t !%&7 t%at t%ereK! n& (en-ine i!!-e &6 6a*t &r #a7 &n t%e *#ai$! &6 t%e 0etiti&ner!) an, t%at t%e ,-e 0a$ent! an, ,e$an,a/#e t%ere&n %a+e n&t /een $a,e 6&r at #ea!t 59 ,a! &r t%e ,e/t&r %a! 6ai#e, (enera## t&
$eet it! #ia/i#itie! a! t%e 6a## ,-e 8. M-!t !%&7 t%at n& !-/!tantia# #i1e#i%&&, t%at t%e ,e/t&r $a /e re%a/i#itate,
Pr$ced!re8 ι. Fi#in( &6 t%e 0etiti&n &6 = &r $&re *re,it&r! ?Se* 5 ιι. I!!-an*e &6 &r,er: 5. Dire*tin( 0-/#i*ati&n &6 0etiti&n &r $&ti&n in a ne7!0a0er &6 (enera# *ir*-#ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! 8. Dire*tin( t%e ,e/t&r an, a## *re,it&r! t& 6i#e t%eir *&$$ent &n t%e 0etiti&n ιιι. Fi#in( &6 *&$$ent! ιϖ. C&n!i,erati&n &6 *&$$ent! 6i#e, / t%e *&-rt ϖ. I!!-an*e &6 t%e #i2-i,ati&n &r,er ϖι. P-/#i*ati&n &6 t%e 0etiti&n &r $&ti&n in a ne7!0a0er &6 (enera# *ir*-#ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! Se* 558 ?, ϖιι. Hearin( 6&r e#e*ti&n an, a00&int$ent &6 t%e #i2-i,at&r Se* 558 ? ϖιιι. Dire*t 0a$ent! &6 an *#ai$! an, *&n+ean*e &6 an 0r&0ert ,-e t%e ,e/t&r t& t%e #i2-i,at&r Se* 558 ?e ιξ. Li2-i,ati&n &6 t%e ,e/t&rK! a!!et! an, 0a$ent %i! ,e/t! / t%e Li2-i,at&r ?Se* 55 ξ. Di!*%ar(e &6 Li2-i,at&r ?Se* 588 ξι. A00ea# i6 0r&0er
N$e8 Un,er /&t% +&#-ntar an, in+&#-ntar #i2-i,ati&n) t%e ,e/t&r &r t%e = &r $&re *re,it&r! $a initiate #i2-i,ati&n 0r&*ee,in(! / 6i#in( a $&ti&n in *&-rt at an ti$e ,-rin( t%e 0en,en* &6 t%e *&-rt!-0er+i!e, &r 0rene(&tiate, re%a/i#itati&n 0r&*ee,in(!. Cin' .s- Land#an< $& e Pi%iines K201 SCRA 190 =1991;8 SC %e#, t%at t%e SEC %a! -ri!,i*ti&n &n# 7it% re(ar, t& 0etiti&n! &6 -ri,i*a# ,e/t&r! t& /e ,e*#are, in t%e !tate &6
!-!0en!i&n &6 0a$ent!. PD. 8A *ann&t /e !tret*%e, t& in*#-,e 0etiti&n! 6&r in!&#+en*. Petiti&n! 6&r ,e*#arati&n &6 in!&#+en* &6 0ri+ate *&r0&rati&n! are 7it%in t%e &ri(ina# an, e*#-!i+e -ri!,i*ti&n &6 re(-#ar *&-rt!. SEC $a entertain !-*% 0etiti&n! &n# a! an in*i,ent &6 an, in *&ntin-ati&n &6 it! a#rea, a*2-ire, -ri!,i*ti&n &+er 0etiti&n! t& /e ,e*#are, in t%e !tate &6 !-!0en!i&n 0a$ent!.
INSOLVENC, O: INDIVIDUAL DEBTORS
I.
S!sensi$n $& Pa"mens : 0&!t0&ne$ent) / *&-rt &r,er) &6 t%e 0a$ent &6 ,e/t! &6 &ne 7%& 0&!!e!!e! !-66i*ient 0r&0ert t& *&+er a## %i! ,e/t! /-t 6&re!ee! t%e i$0&!!i/i#it &6 $eetin( t%e$ 7%en t%e re!0e*ti+e# 6a## ,-e ?Se* @ a. P!r$se: t& !-!0en, &r ,e#a t%e 0a$ent &6 ,e/t!" ,e/t&rK! ina/i#it t& $eet %i! &/#i(ati&n! 7%en t%e re!0e*ti+e# 6a## ,-e) ,e!0ite t%e 6a*t t%at %e %a! !-66i*ient a!!et! t& *&+er %i! #ia/i#itie! ?De Le&n /. A ,e/t&r $a 6i#e a +eri6ie, 0et iti&n 6&r !-!0en!i&n &6 0a$ent! i6: i. In,i+i,-a# ,e/t&r 0&!!e!!e! !-66i*ient 0r&0ert t& *&+er a## %i! ,e/t! ii. B-t %e 6&re!ee! t%e i$0&!!i/i#it &6 $eetin( t%e$ 7%en t%e re!0e*ti+e# 6a## ,-e iii. C&ntent!: 5. He %a! t& !tate %i! re!i,en*e $&nt%! /e6&re 6i#in( &6 %i! 0etiti&n ?an, 6i#e in t%e *&-rt 7%ere %e re!i,e, $&nt%! 0ri&r t& t%e 6i#in( 8. S*%e,-#e &6 ,e/t!#ia/i#itie! =. In+ent&r &6 a!!et! @. Pr&0&!e, a(ree$ent 7it% *re,it&r! *.
Pr$ced!re8 i. Fi#in( &6 0etiti&n / ,e/t&r ?Se* @ ii. I!!-an*e / t%e *&-rt &6 an &r,er *a##in( a $eetin( &6 *re,it&r ?Se* 4
iii. P-/#i*ati&n &6 !ai, &r,er an, !er+i*e &6 !-$$&n! i+. Meetin( &6 t%e *re,it&r! 6&r t%e *&n!i,erati&n &6 t%e ,e/t&rK! 0r&0&!iti&n ?Se* > +. A00r&+a# &6 t%e *re,it&r! &6 t%e ,e/t&rK! 0r&0&!iti&n +i. O/e*ti&n!) i6 an) t& t%e ,e*i!i&n 7%i*% $-!t /e $a,e 7it%in 5 ,a! 6r&$ t%e ,ate &6 t%e #a!t *re,it&r!K $eetin( ?Se* 5 +ii. I!!-an*e &6 &r ,er / t%e *& -rt ,ire*tin( t%at t%e a(ree$ent /e *arrie, &-t in *a!e t%e ,e*i!i&n i! ,e*#are, +a#i, &r 7%en n& &/e*ti&n t& !ai, ,e*i!i&n %a! /een 0re!ente, ?Se* 55
an, 6-nera# &6 7i6e &r *%i#,ren &6 t%e ,e/t&r) in*-rre, ,a! /e6&re 0etiti&n i! 6i#e,. 8. Se*-re, ,e/t&r!. e. Credi$rs meein' ?On# *re,it&r in*#-,e, in t%e !*%e,-#e! 6i#e, / t%e ,e/t&r !%a## /e *ite, t& a00ear an, ta1e 0art in t%e $eetin( i. T& 6& r$ a $a&rit ?R-#e &6
,. E&&ec $& &i%in' a eii$n &$r s!sensi$n $& a"mens8 i. N& ,i!0&!iti&n in an $anner &6 %i! 0r&0ert $a /e $a,e / t%e in,i+i,-a# ,e/t&r) e*e0t t%&!e -!e, in t%e &r,inar &0erati&n &6 *&$$er*e &r &6 in,-!tr in 7%i*% %e i! en(a(e, Se* 4 ?e. ii. N& 0a$ent! $a /e $a,e /
D&-/#e Ma&rit: 5. 8= &6 t%e *re,it&r! +&tin( -nite &n t%e !a$e 0r&0&!iti&n) an, 8. T%at t%e *#ai$! re0re!ente, / !ai, $a&rit +&te a$&-nt t& at #ea!t =4 &6 t%e t&ta# #ia/i#itie! &6 t%e ,e/t&r Se* > ?, ii. I6 t%e $a&rit a(ree!) t%e *&-rt 7i## a00r&+e &n t%e a(ree$ent &6 t%e *re,it&r!,e/t&r! a! re(ar,! t%e 0a$ent iii. B-t 0etiti&n i! ,ee$e, ree*te, 7%en: 5. t%e n-$/er &6 *re,it&r! re0re!entin( at #ea!t =4 &6 t%e
t%e in,i+i,-a# ,e/t&r &-t!i,e &6 t%e ne*e!!ar an, #e(iti$ate e0en!e! &6 %i! /-!ine!! &r in,-!tr Se* 4 ?6. iii. S!sensi$n Order8 U0&n $&ti&n / t%e ,e/t&r) t%e *&-rt $a i!!-e an &r,er !-!0en,in( an 0en,in( ee*-ti&n a(ain!t t%e in,i+i,-a# ,e/t&r 0r&+i,e, t%at 0r&0ertie! %e#, a! !e*-rit / !e*-re, *re,it&r! !%a## n&t /e !-/e*t &6 !-*% !-!0en!i&n &r,er ?Se* ) 0ar. 5. i+. N& *re,it&r !%a## !-e &r in!tit-te 0r&*ee,in(! t& *&##e*t %i! *#ai$ 6r&$ t%e ,e/t&r 6r&$ t%e ti$e &6 6i#in( &6 0etiti&n a!
#ia/i#itie! &6 t%e in,i+i,-a# ,e/t&r ,& n&t atten,) &r 8. i6 t% e ,&- /#e $a &rit r-#e are n&t in 6a+&r &6 t%e 0r&0&!e, a(ree$ent ?Se* i+. E66e*t &6 ,i!a00r&+a# &6 0etiti&n: C&-rt !%a## ,e*#are t%e 0r&*ee,in(! ter$inate, an, t%e *re,it&r! !%a## /e at #i/ert t& eer*i!e t%e ri(%t! 7%i*% $a *&rre!0&n, t& t%e$ ?Se* 5) 0ar. 8 +. Ca-!e! 6&r 7%i*% &/e*ti&n $a /e $a,e t& t%e ,e*i!i&n &6 t%e $eetin(: 5. De6e*t! in t% e *a## 6&r t%e $eetin() in t%e %&#,in( t%ere&6 an, in
#&n( a! 0r&*ee,in(! re$ain 0en,in() e*e0t: 5. T%&!e *re,it&r! 7it% *#ai$! 6&r 0er!&na# #a/&r) $aintenan*e) e0en!e! &6 #a!t i##ne!!
t%e ,e#i/erati&n!) 7%i*% 0re-,i*e t%e ri(%t &6 t%e *re,it&r!"
8. Fra-,-#ent *&nni+an*e /et7een &ne &r $&re *re,it&r! an, t%e in,i+i,-a# ,e/t&r &t +&te in 6a+&r &6 t%e 0r&0&!e, a(ree$ent" =. Fra-,-#ent *&nni+an*e &6 *#ai$! 6&r t%e 0-r0&!e &6 &/tainin( a $a&rit. +i. E66e*t &6 6ai#-re &r in,i+i,-a#
7%i*% %e %a! re!i,e, $&nt%! 0ri&r t& 6i#in( t%e 0etiti&n. i. C&ntent!: 5. S*%e,-#e &6 , e/t! an, #ia/i#itie! 8. In+ent&r &6 A!!et! =. Pr&0&!e, A(ree$ent 7it% *re,it&r!
#- Pr$ced!re8 i. Fi#in( &6 t% e 0etiti&n / t%e
,e/t&r t& 0er6&r$ a(ree$ent: I6 t%e ,e/t&r 6ai#!) 7%&## &r in 0art) t& 0er6&r$ t%e a(ree$ent ,e*i,e, -0&n t%e $eetin( &6 t%e *re,it&r!) a## ri(%t! 7%i*% t%e *re,it&r! %a, a(ain!t t%e ,e/t&r /e6&re t%e a(ree$ent !%a## re+e!t in t%e$ ?Se* 58. Disinci$ns #e/een S!sensi$n $& Pa"mens and Ins$%.enc"8
P-r0&!e
Pr&0ert
A$&-nt &6 In,e/te,ne!!
SUSPENSION O: PA,MENTS S-!0en,&r ,e#a t%e 0a$ent &6 ,e/t! De/t&r %a! !-66i*ient 0r&0ert A$&-nt &6 in,e/te,ne!! i! n&t a66e*te,
iii.
INSOVENC,
i+.
Di!*%ar(e t%e ,e/t&r 6r&$ t%e 0a$ent &6 ,e/t! De/t&r ,&e!
+.
n&t %a+e !-66i*ient 0r&0ert Cre,it&r! re*ei+e #e!! t%an t%eir *re,it!) an, in *a!e t%ere are 0re6eren*e!) !&$e *re,it&r! $a n&t re*ei+e an a$&-nt at a##
LIUIDATION O: INDIVIDUAL INSOLVENT DEBTORS
I-
ii.
V$%!nar" Li@!idai$n a. A +eri6ie, 0etiti&n $a /e 6i#e, / an in!&#+ent ,e/t&r ?&7in( ,e/t! e*ee,in( t%e a$&-nt &6 P4) in t%e *&-rt &6 t%e 0r&+in*e &r *it in
+i.
,e/t&r 0rain( 6&r t%e ,e*#arati&n &6 in!&#+en* ?Se* 5= I6 t%e *&-rt 6in,! t%e 0e titi&n !-66i*ient in 6&r$ an, !-/!tan*e) it !%a## i!!-e t%e Li2-i,ati&n Or,er ?Se* 5@ P-/#i*ati&n &6 t%e 0etiti&n &r $&ti&n in a ne7!0a0er &6 (enera# *ir*-#ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! Se* 558 ?, Hearin( 6&r e#e*ti&n an, a00&int$ent &6 t%e #i2-i,at&r Se* 558 ? Dire*t 0a$ent! &6 an *#ai$! an, *&n+ean*e &6 an 0r&0ert ,-e t%e ,e/t&r t& t%e #i2-i,at&r Se* 558 ?e Li2-i,ati&n &6 t%e ,e/t&rK!
a!!et! an, 0a$ent &6 %i! ,e/t! / t%e Li2-i,at&r ?Se* 55 +ii. Di!*%ar(e &6 Li2-i,at&r ?Se* 588 +iii. A00ea# i6 0r&0er *.
E66e*t &6 6i#in( &6 0etiti&n: T%e 6i#in( &6 t%e 0etiti&n !%a## /e an act of insol"ency ?Se* 5=. On*e t%e 0etiti&n i! 6i#e,) it i0!& 6a*t& ta1e! a7a an, ,e0ri+e! t%e ,e/t&r &6 t%e ri(%t t& ,& &r *&$$it an a*t &6 0re6eren*e a! t& *re,it&r!) 0en,in( t%e 6ina# a,-,i*ati&n.
,. E66e*t! &6 err&r! in ,e!*ri0ti&n &r &$i!!i&n &6 0r&0ert in in+ent&r: i. T%e err&ne&-! &r a$/i(-&-! ,e!*ri0ti&n &6 t%e in!&#+entK! 0r&0ert in in+ent&r ,&e! n&t a66e*t t%e tit#e &6 0-r*%a!er! in t%e in!&#+en* 0r&*ee,in(!. Le(a# tit#e &6 t%e 0r&0ert &6 t%e in!&#+ent 0a!!e! t& t%e #i2-i,at&r an, i! a,$ini!tere,
in t%e in!&#+en* 0r&*ee,in(! re(ar,#e!! &6 err&r! in t%e in+ent&r. ii. I6 t%e in!&#+ent &$it! 0r&0ert 6r&$ %i! in+ent&r) it i! t%e ,-t &6 t%e #i2-i,at&r t& re*&+er an 0r&0ert &r it! +a#-e) 6ra-,-#ent# *&n+ee, / t%e ,e/t&r Se* 55 ?6. iii. E+en 0r&0ert ee$0t 6r&$ ee*-ti&n $-!t /e in*#-,e, in &r,er t& 0re*#-,e 0&!!i/#e 6ra-,-#ent &$i!!i&n -n,er t%e 0retet t%at !-*% 0r&0ert i! ee$0t. e. I6 t%e ,e/t e*ee,! t%e !e*-re, 0r&0ert: i. T& t%e etent &6 t%e -n!e*-re, 0&rti&n) t%e *re,it&r *an &in t%e 0r&*ee,in(!. ii. I6 t%e *re,it&r 7ant! t& 0arti*i0ate a! an &r,inar *re,it&r) %e %a! t& #et (& &6 t%e $&rt(a(e.
II-
In.$%!nar" Li@!idai$n a. P!r$se: It i! n&t a $ere 0er!&na# a*ti&n a(ain!t t%e in!&#+ent 6&r t%e *&##e*ti&n &6 ,e/t!) /-t it! 0-r0&!e i! t& i$0&-n, a## &6 %i! n&nee$0t 0r&0ert) t& ,i!tri/-te it e2-ita/# a$&n( %i! *re,it&r!) an, re#ea!e %i$ 6r&$ 6-rt%er #ia/i#it. /. An *re,it&r &r (r&-0 &6 *re,it&r!) 7it% a *#ai$ &6 &r 7it% *#ai$! a((re(atin( at #ea!t P4)) $a 6i#e a +eri6ie, 0etiti&n in t%e *&-rt &6 t%e 0r&+in*e &r *it in 7%i*% t%e in,i+i,-a# ,e/t&r re!i,e!. i. Petiti&nin( *re,it&r $-!t 0&!t a /&n,. ii. Petiti&n $-!t a##e(e at #ea!t &ne a*t &6 in!&#+en*. 5. An ,e/t&r 7%& *&$$it! an a*t &6 in!&#+en* $a a,-,(e, in!&#+ent. T%e ,ate &6 a,-,i*ati&n &6 in!&#+en* retr&a*t! t& t%e ,ate &6 t%e 6i#in( &6 t%e 0etiti&n 6&r in!&#+en*.
c- Acs $& Ins$%.enc"8 i. T%at !- *% 0er!&n i! a/ &-t t& ,e0art &r %a! ,e0arte, 6r&$ t%e Re0-/#i* &6 t%e P%i#i00ine!) 7it% intent t& ,e6ra-, %i! *re,it&r!" ii. T%at /ein( a/!ent 6r&$ t%e Re0-/#i* &6 t%e P%i#i00ine!) 7it% intent t& ,e6ra-, %i! *re,it&r!) %e re$ain! a/!ent" iii. T%at %e *&n*ea#! %i$ !e#6 t& a+&i, t%e !er+i*e &6 #e(a# 0r&*e!! 6&r t%e 0-r0&!e &6 %in,erin( &r ,e#ain( t%e #i2-i,ati&n &r &6 ,e6ra-,in( %i! *re,it&r!" i+. T%at %e *&n*ea#!) &r i! re$&+in() an &6 %i! 0r&0ert t& a+&i, it! /ein( atta*%e, &r ta1en &n #e(a# 0r&*e!!" +. T%at %e %a! !-66ere, %i! 0r&0ert t& re$ain -n,er atta*%$ent &r #e(a# 0r&*e!! 6&r t%ree ?= ,a! 6&r t%e 0-r0&!e &6 %in,erin( &r ,e#ain( t%e #i2-i,ati&n &r &6 ,e6ra-,in( %i! *re,it&r!" +i. T%at %e %a! *&n6e!!e, &r &66ere, t& a##&7 -,($ent in 6a+&r &6 an *re,it&r &r *#ai$ant 6&r t%e 0-r0&!e &6 %in,erin( &r ,e#ain( t%e #i2-i,ati&n &r &6 ,e6ra-,in( an *re,it&r! &r *#ai$ant" +ii. T%at %e %a! 7i# #6-## !-6 6ere, -,($ent t& /e ta1en a(ain!t %i$ / ,e6a-#t 6&r t%e 0-r0&!e &6 %in,erin( &r ,e#ain( t%e #i2-i,ati&n &r &6 ,e6ra-,in( %i! *re,it&r!" +iii. T%at %e %a! !-66ere, &r 0r&*-re, %i! 0r&0ert t& /e ta1en &n #e(a# 0r&*e!! 7it% intent t& (i+e a 0re6eren*e t& &ne &r $&re &6 %i! *re,it&r! an, t%ere/ %in,er &r ,e#a t%e #i2-i,ati&n &r ,e6ra-, an &ne &6 %i! *re,it&r!" i. T%at %e %a! $a,e an a!!i(n$ent) (i6t) !a#e) *&n+ean*e &r tran!6er &6 %i! e!tate) 0r&0ert) ri(%t! &r *re,it! 7it% intent t& %in,er &r ,e#a t%e #i2-i,ati&n &r ,e6ra-, %i! *re,it&r!"
. T%at %e %a !) in *& nte$0#ati&n &6 in!&#+en*) $a,e an 0a$ent) (i6t) (rant) !a#e) *&n+ean*e &r tran!6er &6 %i! e!tate) 0r&0ert) ri(%t! &r *re,it!" i. T%at /ein( a $er*%ant &r tra,e!$an) %e %a! (enera## ,e6a-#te, in t%e 0a$ent &6 %i! *-rrent &/#i(ati&n! 6&r a 0eri&, &6 t%irt ?= ,a!"
i+. Fi#in( &6 an! 7er &r $& ti&n t& ,i!$i!! / in,i+i,-a# ,e/t&r +. Hearin( &6 t%e *a!e ?Se* 5> +i. I!!-an*e &6 t%e Li2-i,ati&n Or,er +ii. P-/#i*ati&n &6 t%e 0etiti&n &r $&ti&n in a ne7!0a0er &6 (enera# *ir*-#ati&n &n*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! Se* 558 ?, +iii. Hearin( 6&r e#e*ti&n an,
ii.
a00&int$ent &6 #i2-i,at&r Se* 558 ? i. Dire*t 0a$ent! &6 an *#ai$! an, *&n+ean*e &6 an 0r&0ert ,-e t%e ,e/t&r t& t%e #i2-i,at&r Se* 558 ?e . Li2-i,ati&n &6 t%e ,e/t&rK! a!!et! an, 0a$ent &6 %i! ,e/t! / t%e Li2-i,at&r ?Se* 55 i. Di!*%ar(e &6 Li2-i,at&r ?Se* 588 ii. A00ea# i6 0r&0er
T%at 6&r a 0eri&, &6 t%irt ?= ,a!) %e %a! 6ai#e,) a6ter ,e$an,) t& 0a an $&ne! ,e0&!ite, 7it% %i$ &r re*ei+e, / %i$ in a 6i,-*iar" an, iii. T%at an ee*-ti&n %a+in( /een i!!-e, a(ain!t %i$ &n 6ina# -,($ent 6&r $&ne) %e !%a## %a+e /een 6&-n, t& /e 7it%&-t !-66i*ient 0r&0ert !-/e*t t& ee*-ti&n t& !ati!6 t%e -,($ent. d- Pr$ced!re8 i. Fi#in( &6 t% e 0etiti&n / an *re,it&r &r (r&-0 &6 *re,it&r! an, 0&!tin( &6 re2-ire, /&n, ?Se* 54 ii. I!!-an*e &6 Order $ S$/ Ca!se ?Se* 5: *&-rt 7i## &r,er t%e in,i+i,-a# ,e/t&r t& ,e6en, %i$!e#6 an, !tate 7% %e i! n&t an in!&#+ent. 5. N&t%in( in t%e &r,er !%a## i$0air t%e ri(%t! &6 a !e*-re, *re,it&r t& en6&r*e %i! #ien in a**&r,an*e 7it% it! ter$! ?!e*-re, *re,it&r $a 6&re*#&!e n&t7it%!tan,in( an &r,er 6&r/i,,in( t%e ,e/t&r t& a#ienateen*-$/er an &6 %i! 0r&0ert 8. I6 t%e ,e/t&r *ann&t /e 6&-n,) t%e *re,it&r! $a a!1 t%e *&-rt t& i!!-e an &r,er ,ire*tin( t%e !%eri66 t& ta1e 0&!!e!!i&n &6 t%e ,e/t&rK! 0r&0ert in &r,er 6&r it t& /e !&#, at a 0-/#i* !a#e ?!a#e -n,er ee*-ti&n iii. Ser+i*e &6 &r,er t& !%&7 *a-!e
e. T%e 0etiti&ner! !%a## 0a t%e ,e/t&r a## *&!t!) e0en!e!) ,a$a(e! ,-e t& t%e 0r&*ee,in(! i6 t%e *a!e i! ,i!$i!!e,) 7it%,ra7n / t%e$ &r i6 t%e ,e/t&r i! n&t in!&#+ent. 6.
A/!ent In,i+i,-a# ,e/t&r: i. Re!i,e! &-t!i,e t%e P%i#i00ine!" ii. De0arte, 6r&$ t%e P%i#i00ine!" iii. Cann&t /e 6&-n, 7it% ,-e ,i#i(en*e" &r i+. Hi,e! t& a+ &i, !er+i*e &6 t% e &r,er t& !%&7 *a-!e ?Se* 59
(. Li2-i,ati&n Pr&*e!! i6 t%e in,i+i,-a# ,e/t&r i! a/!ent: i. Cre,it&r! $-!t 6i#e t%e 0etiti&n ii. Petiti&nin( *re,it&r! $-!t: 5. S-/$it t%e re2-ire, a66i,a+it! 6&r t%e Or,er &6 0-/#i*ati&n 8. Pre!ent t%e /&n,! e2-i+a#ent t& t7i*e t%e a$&-nt &6 t%eir *#ai$! a(ain!t t%e ,e/t&r iii. C&-rt !%a## i!!-e an, Or,er ,ire*tin( t%e !%eri66 t& ta1e a !-66i*ient a$&-nt &6 t%e ,e/t&rK! 0r&0ert n&t ee$0t 6r&$ ee*-ti&n t& !ati!6 t%e *#ai$"
i+. T%e !%eri66 !%a## t%en: 5. Ta1e !ai, 0r&0ert 8. Pre0are a *&$0#ete in+ent&r &6 t%e 0r&0ert 7it%in = ,a! 6r&$ !ai, ta1in( an, $a /e eten,e, 6&r (&&, *a-!e" =. Gi+e !-*% t& t %e *&-rt a! !&&n a! *&$0#ete," @. Pre0are a !*%e,-#e &6
/ Or,er t%e #i2-i,ati&n &6 t%e ,e/t&r) &r in *a!e &6 a -ri,i*a# ,e/t&r) ,e*#are it a! ,i!!&#+e, * Or,er t%e !%e ri66 t& ta 1e t%e 0r&0ert &6 t%e ,e/t&r , Or,er t%e 0-/#i*ati&n &6 t%e 0e titi&n in a ne7!0a0er &6 (enera# *ir*-#ati&n e Dire*t 0a$ent! &6 an *#ai$! an, *&n+ean*e &6 an 0r&0ert ,-e t& t%e ,e/t&r t& t%e #i2-i,at&r 6 Pr&%i/it t%e tran!6er &6 0r&0ert an,
t%e na$e! an, re!i,en*e! &6 t%e *re,it&r! an, t%e a$&-nt! ,-e t& t%e$.
0a$ent / t%e ,e/t&r ( Dire*t a## *re,it&r! t& 6i#e t%eir *#ai$! 7it% t%e #i2-i,at&r 7it%in t%e 0eri&, !et / t%e r-#e! % A-t%&rie t%e 0a$ent &6 a,$in e0en!e! a, t%e /e*&$e ,-e
Disinci$n #e/een V$%!nar" and In.$%!nar" Li@!idai$n8 VOLUNTAR, N-$/er &6 *re,it&r!
One
Fi#e, /:
In!&#+ent ,e/t&r
A*t! &6 in!&#+en*
M-!t n&t /e (-i#t
A$&-nt! &6 in,e/te,ne!! B&n, Or,er &6 A,-,i*ati&n
M-!t e*ee, P4) N&tRe2-ire, Ma /e (rante, e 0arte Pr&+in*e &r *it in 7%i*% ,e/t&r %a! re!i,e, 6&r $&nt%! 0ri&r t& 0etiti&n U0&n 6i#in( &6 t%e +&#-ntar 0etiti&n
Len(t% &6 re!i,en*e ?6&r RTC
;%en ,&e! t%e *&-rt &r,er t%e a,-,i*ati&nX
INVOLUNTAR , An*re,it&r&r (r&-0 &6 *re,it&r! = &r $&re *re,it&r! 7it% 2-a#i6i*ati&n! !et / #a7! M-!t %a+e *&$$itte, &ne &r $&re N&t #e!! t%an P4) Re2-ire, Grante, &n# a6ter %earin( I$$ateria#
On# -nti# a6ter %earin( t%e *a!e
PROVISIONS COMMON TO LIUIDATION IN INSOLVENC, O: INDIVIDUAL AND URIDICAL DEBTORS Wa is a %i@!idai$n $rder The li;uidation order shall: a ,e*#are t%e ,e/t&r in!&#+ent
E&&ecs $& e Li@!idai$n Order a T%e -ri,i*a# ,e/t&r i! ,i! !&#+e, an, it! -ri,i*a# ei!ten*e ter$inate, / Le(a# tit#e &6 a## t%e a!!et! &6 t%e ,e/t&r !%a## /e +e!te, in t%e #i2-i,at&r*&-rt * A## *&ntra*t! &6 t%e ,e/t&r !%a## /e ,ee$e, ter$inate, -n#e!! t%e #i2-i,at&r) 7in ,a! 6r&$ t%e ,ate &6 %i! a!!-$0ti&n &6 &66i*e) ,e*#are! &t%er7i!e an, t%e *&ntra*tin( 0art a(ree , N& !e0arate a*ti&n 6&r t%e *&##e*ti&n &6 an -n!e*-re, *#ai$ !%a## /e a##&7e, ?,ire*t *#ai$! t& #i2-i,at&r e N& 6&re*#&!-re 0r&*ee,in( a##&7e, 6&r 59 ,a!
!%a##
/e
Ri's $& Sec!red Credi$rs: T%e Li2-i,ati&n Or,er !%a## NOT a66e*t t%e ri(%t &6 a !e*-re, *re,it&r t& en6&r*e %i! #ien. He $a: a ;ai+e %i! ri(%t -n,er t%e !e*-rit) 0r&+e %i! *#ai$ in t%e #i2-i,ati&n 0r&*ee,in(! an, !%are in t%e ,i!tri/-ti&n &6 a!!et! / Maintain %i! ri(%t! -n,er t%e !e*-rit a. I6 %e *%&&!e! t& $aintain: i. I6 t%e +a#-e &6 t%e 0r&0ert -!e, a! !e*-rit i! LESS t%an t%e *#ai$ it !e*-re!) t%e #i2-i,at&r $a *&n+e t%e 0r&0ert t& t%e !e*-re, *re,it&r an, t%e *re,it&r 7i## /e a,$itte, in t%e #i2-i,ati&n 0r&*ee,in(! a! a *re,it&r 6&r t%e /a#an*e ? basically& he can reco"er deficiency* ii. I6 it i! MORE) t%e #i2-i,at&r $a *&n+e t%e 0r&0ert t& t%e *re,it&r an, 7ai+e t%e ,e/t&rK! ri(%t &6
re,e$0ti&n -0&n re*ei+in( t%e e*e!! 6r&$ t%e *re,it&r /. T%e #i2-i,at&r $a !e## t%e 0r&0ert an, !ati!6 t%e !e*-re, *re,it&rK! entire *#ai$ 6r&$ t%e 0r&*ee,! *. T%e !e*-re, *re,it&r $a 6&re*#&!een6&r*e %i! #ien
:!nci$ns $& Li@!ida$r T%e #i2-i,at&r !%a## /e ,ee$e, an &66i*er &6 t%e *&-rt 7it% t%e 0rin*i0a# ,-# &6reser.in' and ma6imiJin' e .a%!e and rec$.erin' e asses $& e de#$ r) 7it% t%e end $& %i@!idain' em and discar'in' $ e e6en $ssi#%e a%% e c%aims a'ains e de#$r. T%e 0&7er!) ,-tie! an, re!0&n!i/i#itie! &6 t%e #i2-i,at&r !%a## in*#-,e) /-t n&t #i$ite, t&: a. t& s!e and rec$.er a%% e asses ) ,e/t! an, *#ai$!) /e#&n(in( &r ,-e t& t%e ,e/t&r" /. t& a
/ %a! t%e +a#-e &6 t%e 0r&0ert !-/e*t &6 %i! !e*-rit &r #ien 6ie, / a(ree$ent 7it% t%e #i2-i,at&r) an, i! a,$itte, 6&r t%e /a#an*e &6 %i! *#ai$. NOTE: The creditors entitled to "ote will elect the li;uidator in open court% The nominee recei"ing the highest number of "otes cast in terms of amount of claims and who is ;ualified shall be appointed as the li;uidator% $"n c%n !" cour! %ppoin! !" liui%!orN
a &n t%e ,ate !et 6&r t%e e#e*ti&n &6 t%e #i2-i,at&r) t%e *re,it&r! ,& n&t atten," / t%e *re,it&r! 7%& atten,) 6ai# &r re6-!e t& e#e*t a #i2-i,at&r" * a6ter /ein( e#e*te,) t%e #i2-i,at&r 6ai#! t& 2-a#i6" &r , a +a*an* &**-r! 6&r an rea!&n 7%at!&e+er) In an &6 t%e *a!e! 0r&+i,e, %erein) t%e *&-rt $a in!tea, !et an&t%er %earin( &6 t%e e#e*ti&n &6 t%e #i2-i,at&r. $"%! %r !" u%liic%!ions o !" ?iui%!orN a A *itien &6 t%e P%i#i00ine! &r a re!i,ent &6 t%e P%i#i00ine! in t%e !i ? $&nt%! i$$e,iate# 0re*e,in( %i! n&$inati&n" / O6 (&&, $&ra# *%ara*ter an, 7it% a*1n&7#e,(e, inte(rit) i$0artia#it an, in,e0en,en*e" * Ha! t%e re2-i!ite 1n&7#e,(e &6 in!&#+en*
an, &t%er re#e+ant *&$$er*ia# #a7!) r-#e! an, 0r&*e,-re!) a! 7e## a! t%e re#e+ant trainin( an,&r e0erien*e t%at $a /e ne*e!!ar t& ena/#e %i$ t& 0r&0er# ,i!*%ar(e t%e ,-tie! an, &/#i(ati&n! &6 a re%a/i#itati&n re*ei+er" an, , Ha! n& *&n6#i*t &6 intere!t: Pr&+i,e,) T%at !-*% *&n6#i*t &6 intere!t $a /e 7ai+e,) e0re!!# &r i$0#ie,#) / a 0art 7%& $a /e 0re-,i*e, t%ere/.
Pre%iminar" Re'isr" $& Sec!red and Unsec!red Credi$rs8 T%e #i2-i,at&r !%a## 0re0are a 0re#i$inar re(i!tr &6 *#ai$! 7it%in t7ent ?8 ,a! 6r&$ %i! a!!-$0ti&n int& &66i*e. Unsec!red Credi$rs de&ined T%e are Se*-re, Cre,it&r! 7%& %a+e: a ;ai+e, t%eir !e*-rit &r #ien" &r / ;%& %a! 6ie, t%e +a#-e &6 t%e 0r&0ert !-/e*t &6 t%eir !e*-rit &r #ien / a(ree$ent 7it% t%e #i2-i,at&r an, i! a,$itte, a! a *re,it&r 6&r t%e /a#an*e) !%a## /e *&n!i,ere, a! -n!e*-re, *re,it&r!.
T%e #i2-i,at&r !%a## $a1e t%e re(i!tr a+ai#a/#e 6&r 0-/#i* in!0e*ti&n an, 0r&+i,e 0-/#i*ati&n n&ti*e ?&n 7%ere an, 7%en t%e $a in!0e*t it t&: a Cre,it&r!) / In,i+i,-a# ,e/t&r! &7ner! &6 t%e !&#e 0r&0riet&r!%i0,e/t&r) * Partner! &6 t%e 0artner!%i0 ,e/t&r" an, , S%are%&#,er! &r $e$/er! &6 t%e *&r0&rati&n,e/t&r.
T%e Li2-i,at&r !%a## !-/$it a Li2-i,ati&n P#an t& t%e *&-rt 7it%in t%ree ?= $&nt%! 6r&$ %i! a!!-$0ti&n int& &66i*e) T%e Li2-i,ati&n P#an !%a##) a! a $ini$-$ en-$erate: a A## t%e a!!et! &6 t%e ,e/t&r" an, / A !*%e,-#e &6 #i2-i,ati&n &6 t%e a!!et! an, 0a$ent &6 t%e *#ai$!. 4:E# u!6 o !" Cour! !o x&p! %n s! %p%r! or !" us %n ni! o !" s%i insolvn! suc" r%l %n prson%l propr!6
Ri' $& Se>$&& De/t&r an, Cre,it&r are MUTUALLY De/t&r an, Cre,it&r &6 ea*% &t%er: One De/t !%a## /e SET OFF a(ain!t t%e &t%er) T%e Ba#an*e) i6 an !%a## /e a##&7e, in t%e #i2-i,ati&n 0r&*ee,in(!.
%s is 6 l% x&p! ro& xcu!ion.
O$sii$n $r Ca%%en'e $ C%aims A Ca%%en'e $ C%aim $r C%aims $a /e !-/$itte, t& t%e *&-rt / !er+in( a *erti6ie, *&0 &n t%e #i2-i,at&r an, t%e *re,it&r %&#,in( t%e *%a##en(e, *#ai$" 7it%in t%irt ?= ,a! 6r&$ t%e e0irati&n &6 t%e 0eri&, 6&r 6i#in( &6 a00#i*ati&n! 6&r re*&(niti&n &6 *#ai$!) *re,it&r!) in,i+i,-a# ,e/t&r!) &7ner! &6 t%e !&#e 0r&0riet&r!%i0 ,e/t&r. W$ ma" s!#mi a Ca%%en'e $ C%aim $r C%aims8 a Partner! &6 t%e 0ar tner!%i0,e/t&r" / S%are%&#,er! &r $e$/er! &6 t%e *&r0&rati&n,e/t&r" an, * Ot%er intere!te, 0artie!
Transaci$ns a ma" #e rescinded $r n!%%i&ied T%e F&##&7in( Tran!a*ti&n! $a /e Re!*in,e, &r N-##i6ie,: a An tran!a*ti&n &**-rrin( 0ri&r t& t%e i!!-an*e &6 t%e Li2-i,ati&n Or,er" &r / A tran!a*ti&n entere, int& / t%e ,e/t&r &r in+&#+in( it! a!!et!" in *a!e &6 t%e *&n+er!i&n &6 t%e re%a/i#itati&n 0r&*ee,in(! 0ri&r t& t%e *&$$en*e$ent ,ate. 3r$!nds &$r rescissi$n $r n!%%i&icai$n8 a It 7a! ee*-te, 7it% intent t& ,e6ra-, a *re,it&r &r *re,it&r!" &r / It *&n!tit-te! -n,-e 0re6eren*e &6 *re,it&r!.
Te Li@!idai$n P%an-
LIUIDATION REHABILITATION COURT SUPERVISED PRE> NE3OTIATED
H$/ Made
P!r$se
V$%!nar" In.$%!nar Pr$ceedin' " s Pr$ceedin' s +eri6ie, +eri6ie, +eri6ie, 0etiti&n 0etiti&n 0etiti&n
E!ta/#i!% in!&#+en* an, t%e +ia/i#it &6 re%a/i#itati& n in *&-rt
E!ta/#i!% in!&#+en* an, t%e +ia/i#it &6 re%a/i#itati& n in *&-rt
t%e a00r&+a# &6 t%e Re%a/i#itati&n 0#an in *&-rt
IN:ORMAL RESTRUCTU RIN3 A3REEMENT
INSOLVENT URIDICAL DEBTORS
V $% ! n a r "
V$%!nar I n . $ %! n a " r" Li@!idai $n 5 +eri6ie, Veri6ie, 0etiti&n 0etiti&n 6&r *&-rt &6 #i2-i,ati&n t%e in *&-rt *it0r&+in 8 +eri6ie, *e 7%ere $&ti&n t& ,e/t&r %a!
In.$%!na r" Li@!idai $n Veri6ie, 0etiti&n in t%e *&-rt &6 t%e 0r&+in*e &r *it in 7%i*% t%e
Veri6ie, 0etiti&n /e6&re *it0r&+in *e 7%ere ,e/t&r %a! re!i,e,
in,i+i,-a# ,e/t&r re!i,e!
$&nt%! 0ri&r t& 6i#in(
t& i$0&-n, a## &6 ,e/t&rK! n&n ee$0t 0r&0ert) t& ,i!tri/-te it e2-ita/# a$&n( %i! *re,it&r! an, t& re#ea!e
t& /e ,e*#are, in a !tate &6 !-!0en!i&n &6 0a$ent
D&ne 7it%&-t *&-rt inter+enti&n pro"ided t%at it $eet! t%e $ini$-$
5 +eri6ie, 0etiti&n 6&r #i2-i,ati&n in *&-rt 8 +eri6ie, $&ti&n t& *&n+ert
re2-ire$ent &6 FRIA
0en,in( re%a/i#itati&n 0r&*ee,in( int& a #i2-i,ati&n 0r&*ee,in(
*&n+ert 0en,in( re%a/i#itati &n 0r&*ee,in ( int& a #i2-i,ati&n 0r&*ee,in (
T& e!ta/#i!% t%e in!&#+en* &6 ,e/t&r 6&r 0-r0&!e! &6 #i2-i,ati&n
T& e!ta/#i!% t%e in!&#+en* &6 ,e/t&r 6&r 0-r0&!e! &6 #i2-i,ati&n
T& ne(&tiate ter$! &6 t%e re%a/i#itati&n 0#an 7it%&-t *&-rt inter+enti&n
INDIVIDUAL INSOLVENT DEBTORS
re!i,e, $&nt%! 0ri&r t& 6i#in( 6i#in( &6 !-*% 0etiti&na *t &6 in!&#+en* t& a00# 6&r ,i!*%ar(e &6 ,e/t! an, #ia/i#itie!
S!sensi $n $& Pa"mens
%i$ 6r&$ 6-rt%er #ia/i#it
Paries
Fi#e, / In!&#+ent De/t&r !&#e 0r&0riet&r!% i0: &7ner 0artner!%i0: 0artner! *&r0&rati&n: $a&rit +&te &6 B&D &r tr-!tee! 8= +&te &6 SH re0re!entin( &-t!tan,in( *a0ita# !t&*1 &r 8= +&te &6 $e$/er!
Fi#e, / Cre,it&r &r (r&-0 &6 *re,it&r! 7it% a((re(ate *#ai$ &6 at #ea!t 5M or at #ea!t 8@ &6 !-/!*ri/e, *a0ita# !t&*1 &r 0artnerK! *&ntri/-ti&n !) whiche"er is higher
Fi#e, / In!&#+ent ,e/t&r / it!e#6 &r &int# 7it% &t%er *re,it&r!
Re%a/i#itati&n P#an $-!t /e a00r&+e, /: 5 ,e/t&r 8 *re,it&r! re0re!entin( at #ea!t > &6 t%e SECURED &/#i(ati&n! &6 t%e ,e/t&r = *re,it&r! re0re!entin( at #ea!t >4 &6 t%e UNSECURED &/#i(ati&n! &6 t%e ,e/t&r @ *re,it&r! %&#,in( at #ea!t 94 &6 t%e TOTAL LIABILITIES) SECURED an, UNSECURED) &6 t%e ,e/t&r
Fi#e, / t%e In!&#+ent ,e/t&r
= &r $&re *re,it&r! 7it% t%e a((re(ate *#ai$! &6 at #ea!t 5M &r at #ea!t 84 &6 t%e !-/!*ri/e, *a0ita# !t&*1 &r 0artnerK! *&ntri/-ti& n! &6 t%e ,e/t&r) whiche"er is higher
In,i+i,-a# ,e/t&r
Cre,it&r &r (r&-0 &6 *re,it&r! 7it% a *#ai$ &r a((re(ate *#ai$ &6 at #ea!t 4'
In,i+i,-a# ,e/t&r
3r$!nds
De/t&rK! in!&#+en* &r ina/i#it t& 0a it! &/#i(ati&n! a! t%e /e*&$e ,-e
5 n& (en-ine i!!-e &6 6a*t &r #a7 &n t%e *#ai$! &6 t%e 0etiti&ner! an, t%at t%e ,-e an, ,e$an,a/#e 0a$ent! %a+e n&t /een $a,e 6&r at #ea!t
Prene(&tiate, Re%a/i#itati&n 0#an 7%i*% $-!t a00r&+e, / *re,it&r! %&#,in( at #ea!t 8= &6 t&ta# #ia/i#itie! in*#-,in(: a secured creditors %&#,in( $&re t%an 4 &6 t%e t&ta#
C&n!ent &6 t%e 0artie! in+&#+e, t& t%e in6&r$a# re!tr-*t-rin( a(ree$ent
Re%a/i#itati& n i! n& #&n(er 0&!!i/#e
5 n& (en-ine i!!-e &6 6a*t &r #a7 &n t%e *#ai$! &6 t%e 0etiti&ner !) an, t%at t%e ,-e an, ,e$an,a/ #e 0a$ent!
De/t&r ,&e!nKt %a+e !-66i*ient 0r&0ertie! t& *&+er %i! #ia/i#itie! an, t%e ,e/t! 7%i*% %e &7e! e*ee,! 41
A*t! &6 In!&#+en* 7%i*% ten,! t& ,e#a t%e #i2-i,ati&n &r t& ,e6ra-, an *re,it&r! #i1e: 5,e/t&r %a! ,e0arte,
De/t&r %a! !-66i*ient 0r&0ert t& *&+er a## %i! ,e/t! BUT 6&re!ee! t%e i$0&!!i/i#i t &6 $eetin( ,e/t! 7%en t%e /e*&$e
6r&$ t%e
+0 ,a! &r t%at t%e ,e/t&r %a! (enera## 6ai#e, t& $eet it! #ia/i#itie! a! t%e 6a## ,-e
Minim! m re@!ire mens $& e eii$n
5 !*%e,-#e &6 ,e/t&rK! #ia/i#itie! 7it% #i!t &6 *re,it&r! 8an in+ent&r &6 a## it! a!!et! =Re%a/i#ita ti&n P#an @ na$e! &6 at #ea!t = n&$inee! t& t%e 0&!iti&n &6 re*ei+er
8*re,it&r) other than the petitioner ! %a! initiate, 6&re*#&!-re 0r&*ee,in(! a(ain!t t%e ,e/t&r t%at 7i## 0re+ent t%e ,e/t&r 6r&$ 0ain( it! ,e/t! a! t%e /e*&$e ,-e &r 7i## ren,er it in!&#+ent 5 *ir*-$!tan* e! !-66i*ient t& !-00&rt 0etiti&n 8!0e*i6i* re#ie6 !&-(%t =Re%a/i#ita ti&n P#an @ na$e! &6 at #ea!t = n&$inee! t& t%e 0&!iti&n &6 re*ei+er
!e*-re, *#ai$! &6 t%e ,e/t&r an, / unsecured creditors %&#,in( $&re t%an 4 &6 t%e t&ta# -n!e*-re, *#ai$! &6 t%e ,e/t&r
t%ere&n %a+e n&t /een $a,e 6&r at #ea!t 10 days &r t%e ,e/t&r %a! 6ai#e, (enera## t& $eet it! #ia/i#itie! a! t%e 6a## ,-e
P%i#i00ine! ) 7it% intent t& ,e6ra-, %i! *re,it&r!" 8 %e *&n*ea#! %i$!e#6 t& a+&i, t%e !er+i*e &6 #e(a# 0r&*e!! 6&r t%e 0-r0&!e &6 %in,erin( &r ,e#ain( t%e #i2-i,ati&n
8 n& !-/!tantia # #i1e#i%&&, t%at t%e ,e/t&r $a /e re%a/i#itat e,
5 !*%e,-#e &6 ,e/t&rK! #ia/i#itie! 7it% #i!t &6 *re,it&r! 8an in+ent&r &6 a## it! a!!et! = 0re ne(&tiate, Re%a/i#itati&n 0#an an, na$e! &6 at #ea!t = n&$inee! t& t%e 0&!iti&n &6 re*ei+er
NA
5!*%e,-#e &6 ,e/t&rK! #ia/i#itie! 7it% #i!t &6 *re,it&r! 8an in+ent&r &6 a## it! a!!et! = na$e! &6 at #ea!t = n&$inee! t& t%e 0&!iti&n &6 #i2-i,at&r
n&ne
,-e
5!*%e,-# e &6 ,e/t! an, #ia/i#itie! 8 in+ent&r &6 a!!et!
P&!tin( &6 /&n, in t%e a$&-nt ,eter$ine , / t%e *&-rt
5!*%e,-#e &6 ,e/t! an, #ia/i#itie! 8in+ent&r &6 a!!et! =0r&0&!e , a(ree$ent 7it% *re,it&r!
C$!r Aci$n =i& s!&&icien in &$rm and s!#sanc e;
COMMENCEMENT ORDER !%a## a00&int a re%a/i#itati&n re*ei+er !-$$arie re2-ire$ent! an, ,ea,#ine! 6&r *re,it&r! t& e!ta/#i!% t%eir *#ai$ in*#-,e a STAY &r SUSPENSION ORDER
P!#%icai n&ne $n
@ !-$$ar &6 ,i!0-te, *#ai$! a(ain!t ,e/t&r an, re0&rt &n t%e 0r&+i!i&nin( &6 6-n,! C&-rt &r,er !%a## a00&int a re%a/i#itati&n re*ei+er) i6 0r&+i,e, in t%e 0#an !er+i*e &6 0etiti&n t& ea*% *re,it&r 7%& i! n&t a 0etiti&ner %&#,in( at #ea!t 5 &6 t&ta# #ia/i#itie! &6 ,e/t&r
On*e 7ee1 a 6&r 8 *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n" 7it% 6ir!t 0-/#i*ati&n $a,e 7it%in > ,a! 6r&$ i!!-an*e &6 Or,er
In!&#+ent ,e/t&r &r *re,it&r $a !ee1 *&-rt a!!i!tan*e 6&r t%e ee*-ti&n &r i$0#e$entati& n &6 t%e a(ree, Re%a/i#itati&n P#an
Li2-i,ati&n Or,er
N&ti*e &6 Re%a/i#itati&n 0#an: 0-/#i!%e, &n*e a 7ee1 6&r = *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n
Petiti&n &r $&ti&n: On*e a 7ee1 6&r 8 *&n!e*-ti+e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n
C&-rt Or,er: 50-/#i*ati &n 8,ire*tin( ,e/t&r! an, *re,it&r! t& 6i#e *&$$ent
Li2-i,ati& n &r,er
5 !%&7 *a-!e &r,er 8 #i2-i,ati&n &r,er
n&ne
n&ne
Li2-i,ati& n &r,er
Petiti&n &r $&ti&n: On*e a 7ee1 6&r 8 *&n!e*-ti+ e 7ee1! in a ne7!0a0e r &6 (enera# *ir*-#ati&n
C&-rt Or,er: 5 *a##in( &6 *re,it&rK! $eetin( 80-/#i*ati &n &6 !ai, &r,er an, !er+i*e &6 !-*% &r,er t& a## *re,it&r! =!-!0en, an 0en,in( ee*-ti&n a(ain!t ,e/t&r !$n $&ti&n Or,er: On*e a 7ee1 6&r 8 *&n!e*-ti+ e 7ee1! in a ne7!0a0er &6 (enera# *ir*-#ati&n" 7it% 6ir!t 0-/#i*ati&n $a,e 7it%in > ,a! 6r&$
i!!-an*e &6 Or,er
Hearin'
E&&ec
5 6&r t%e ,eter$inati&n &6 t%e *re,it&r! 8 ,eter$ine an &/e*ti&n! t& t%e a00&int$ent &6 re*ei+er = ,ire*t *re,it&r! t& *&$$ent &n t%e Re%a/i#itati&n P#an @ ,ire*t t%e re%a/i#itati&n re*ei+er t& e+a#-ate t%e 6inan*ia# *&n,iti&n &6 t%e ,e/t&r an, !-/$it re0&rt 7it%in @ ,a! t%ere !%a## /e a 7ai+er &6 tae! an, 6ee! ,-e t& t%e Nati&na# G&+ern$ent an, t& LGU! 6r&$ t%e i!!-an*e &6 t%e *&$$en*e$ent &r,er -nti# a00r&+a# &6 t%e Re%a/i#itati&n 0#an &r t%e ,i!$i!!a# &6 0etiti&n) whiche"er is earlier CONFIRMATION OF REHABILITATION PLAN 5 Re%a/i#itati&n 0#an an, it! 0r&+i!i&n! !%a## /e binding upon the debtor and all creditors 7%et%er &r n&t !-*% 0er!&n! %a+e 0arti*i0ate, in t%e 0r&*ee,in( 8 ,e/t&r !%a## *&$0# 7it% t%e 0r&+i!i&n! =0a$ent! !%a## /e $a,e t& *re,it&r! in a**&r,an*e 7it% t%e 0#an @*&ntra*t! /et. De/t&r an, *re,it&r! !%a## /e inter0rete, a! *&ntin-in( t& a00# t& t%e etent t%at t%e ,&nKt *&n6#i*t 7it% t%e
F&r t%e ,eter$inati&n &6 t%e &/e*ti&n! t& t%e Re%a/i#itati&n 0#an
NA
F&rt%e e#e*ti&n an, a00&int$ent &6 #i2-i,at&r
A00r&+a# &6 t%e Re%a/i#itati&n 0#an !%a## %a+e t%e #e(a# e66e*t a! 0onfirmation of Plan
CRAM DO;N EFFECT: t%e Re%a/i#itati&n P#an !%a## %a+e t%e !a$e #e(a# e66e*t a! 0onfirmation of a Plan
LI
*&-rt %a! 58 ,a! 6r&$ ,ate &6 6i#in( t& a00r&+e t%e P#an. Fai#in( t& ,& !&) t%e Re%a/ P#an !%a## /e ,ee$e, a00r&+e,.
F&r t%e e#e*ti&n an, a00&int$e nt &6 #i2-i,at&r
F&r t%e e#e*ti&n an, a00&int$e nt &6 #i2-i,at&r
F&r t%e e#e*ti&n an, a00&int$e nt &6 #i2-i,at&r
SUSPENSI ON ORDER: N& *re,it&r !%a## !-e &r in!tit-te 0r&*ee,in (! t& *&##e*t %i! *#ai$ 6r&$ t%e ,e/t&r 6r&$ t%e ti$e &6 6i#in( &6 t%e 0etiti&n an, 6&r !& #&n( a! t%e 0r&*ee,in (! re$ain 0en,in( E6ce8 at%&!e *re,it&r! %a+in( *#ai$! 6&r 0er!&na#
0#an 4 an *&$0r&$i!e!re!*%e,-#e &6 ti$in( &6 0a$ent! / ,e/t&r !%a## /e /in,in( &n t%e *re,it&r re(ar,#e!! 7%et%er t%e 0#an i! !-**e!!6-## i$0#e$ente, *#ai$! ari!in( a6ter t%e a00r&+a# &6 t%e 0#an t%at are &t%er7i!e n&t treate, / t%e P#an are NOT !-/e*t t& S-!0en!i&n Or,er
#a/&r) $aintenan *e) e0en!e &6 #a!t i##ne!! &6 ,e/t&r ,a! 0ri&r 6i#in( / !e*-re, *re,it&r!
COMMODATUM O#4ec
P!r$se
O#%i'ai$n
Sa!s $& O/nersi A#i%i" $ demand re!rn
N&n *&n!-$a/#e
E6ce: *&n!-$a/#e i6 -!e, 6&r e%i/iti&n 0-r0&!e! &n# Te$0&rar -!e &6 t%e t%in( Ta1e *are &6 t%e t%in( 7it% ,-e ,i#i(en*e Ret-rn t%e t%in( -0&n e0irati&n &6 0eri&, &r 0-r0&!e Retaine, / /ai#&r Anti$e) i6 n& 0eri&, &r 0-r0&!e %a! /een a(ree, -0&n &r i6 / $ere t&#eran*e &n# ?0re*ari-$
MUTUUM
DEPOSIT
F-n(i/#e *&n!-$a/#e ?i.e. $&ne
M&+a/#e0er!&n a# 0r&0ert
N&n *&n!-$a/#e
C&n!-$0ti&n
Sa6e1ee0in(
U!e &r *&n!-$0ti&n
Ret-rn a t%in( &6 t%e !a$e 1in, an, 2-a#it
Pa!!e! t& /ai#ee On# a6ter t%e e0irati&n &6 t%e 0eri&,
Ta1e *are &6 t%e t%in( D& n&t -!e t%e t%in( ,e0&!ite, unless a-t%&rie, &r i! re2-ire, 6&r it! 0re!er+ati&n Retaine, / t%e ,e0&!it&r Anti$e
C$mensai$ n
E*%an(e ?!a#e E*%an(e a t%in( &6 t%e !a$e 1in,) 2-a#it an, 2-antit
Grat-it&-! &r &ner&-!
Grat-it&-! &r &ner&-!
WAREHOUSE RECEIPTS ACT G&&,! ?*%atte#!) $er*%an,i!e
St&re 6&r 0r&6it
Ta1e *are &6 t%e (&&,! D& n&t *&$$in(#e 7it% &t%er (&&,! I!!-e a re*ei0t 6&r t%e (&&,!
Pa!!e! t& t%e &t%er 0art ?$-t-a# e*%an(e Cann&t ,e$an, ret-rn /e*a-!e *&ntra*t i! a#rea, etin(-i!%e, Re!*i!!i&n &n# i6 (r&-n,! ei!t
I6 t%ere i! an -r(ent ne*e!!it A*t! &6 in(ratit-,e / t%e /ai#ee E!!entia## (rat-it&-!
BARTER
&ner&-!
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VIII- LAND TITLES AND DEEDS 7777777777777777777777777 77777777 TOPIC UNDER THE S,LLABUS8 A- T$rrens S"sem 1- C$nce and #ac<'r$!nd 2- Ceri&icae $& i%e B- Re'a%ian D$crine 1- C$nce 2- E&&ecs (- C$nce $& nai.e i%e5 ime immem$ria% $ssessi$n C- CiiJen Re@!iremens D- N$n>Re'isra#%e Pr$eries E- Ori'ina% Re'israi$n 1Re'israi$n r$cess and re@!iremens 2W$ma"a%" a- Under P-D- 1*29 #- Under C-A- 1)1 (- Remedies )- Cadasra% re'israi$n :- S!#se@!en Re'israi$n 1- V$%!nar" Dea%in's 2- In.$%!nar" Dea%in's 3- Dea%in's Wi Unre'isered Land 7777777777777777777777777 77777777 1.
CONCEPT AND BAC3ROUND
LAND TITLE i! e+i,en*e &6 t%e &7nerK! ri(%t &r etent &6 intere!t) / 7%i*% %e *an $aintain *&ntr&# an, a! a r-#e a!!ert ri(%t t& e*#-!i+e 0&!!e!!i&n an, en&$ent &6 0r&0ert DEED i! an in!tr-$ent in 7ritin( / 7%i*% an rea# e!tate &r intere!t t%erein i! *reate,) a#ienate,) $&rt(a(e,) &r a!!i(ne,) &r / 7%i*% tit#e t& an rea# e!tate $a /e a66e*te, in #a7 &r e2-it LAND RE3ISTRATION i! a -,i*ia# &r a,$ini!trati+e 0r&*ee,in( 7%ere/ a 0er!&nK! *#ai$ &+er a 0arti*-#ar #an, i! ,eter$ine, an, *&n6ir$e, &r re*&(nie, !& t%at !-*% #an, an, t%e &7ner!%i0 t%ere&6 $a /e re*&r,e, in a 0-/#i* re(i!tr TORRENS S,STEM is a !!te$ 6&r re(i!trati&n &6 #an, -n,er 7%i*%) -0&n t%e #an,&7nerK! a00#i*ati&n) t%e *&-rt $a) a6ter a00r&0riate 0r&*ee,in(!) ,ire*t t%e i!!-an*e &6 a *erti6i*ate &6 tit#e
;R;4E# (J/;-CC) 5. T& @-iet tit#e t& t%e #an, an, t& !t&0 6&re+er an 2-e!ti&n a! t& t%e #e(a#it &6 !ai, tit#e 8. T& re#ie+e t%e #an, &6 !n1n&7n *#ai$! =. T& (-arantee t%e inte(rit &6 #an, tit#e! an, t& 0r&te*t t%eir in,e6ea!i/i#it &n*e t%e *#ai$ &6 &7ner!%i0 i! e!ta/#i!%e, an, re*&(nie, @. T& (i+e e+er re(i!tere, &7ner *&$0#ete ea*e &6 $in, 4. T& i!!-e a c erti6i*ate &6 tit#e t& t%e &7ner 7%i*% !%a## /e t%e /e!t e+i,en*e &6 %i! &7ner!%i0 &6 t%e #an, . T& a +&i, c&n6#i*t! &6 tit#e in an, t& rea# e!tate
an, t& 6a*i#itate tran!a*ti&n!. Sa%ee#" K(1 Pi% *905 191*
La'arda .-
T%e re(i!trati&n &6 0r&0ert i! t&: ?5 a+&i, 0&!!i/#e *&n6#i*t! &6 tit#e) an, ?8 6a*i#itate tran!a*ti&n! re#ati+e t& rea# 0r&0ert / (i+in( t%e 0-/#i* t%e ri(%t t& re# -0&n t%e 6a*e &6 t%e T&rren! *erti6i*ate &6 tit#e an, t& ,i!0en!e 7it% t%e nee, &6 in2-irin( 6-rt%er) ECEPT 7%en t%e 0art *&n*erne, %a! a*t-a# 1n&7#e,(e &6 6a*t! an, *ir*-$!tan*e! t%at !%&-#, i$0e# a rea!&na/# *a-ti&-! $an t& $a1e !-*% 6-rt%er in2-ir. Cai$% S!#di.isi$n .Pr$.ince $& Ne'r$s5 K? SCRA +0 519+(;
NATURE O: TORRENS S,STEM • •
J-,i*ia# in *%ara*ter an, n&t $ere# a,$ini!trati+e Pr&*ee,in( i! in rem ?/in,in( -0&n t%e 7%&#e 7&r#,
In a re(i!trati&n 0r&*ee,in() t%e -,($ent &6 t%e *&-rt *&n6ir$in( t%e tit#e) an, &r,erin( it! re(i!trati&n in &neK! na$e *&n!tit-te!) 7%en 6ina#) re! -,i*ata a(ain!t t%e 7%&#e 7&r#,. R$na%d Tin' .- Heirs $& Liri$5 K3-R- N$- 1+91(5 Marc 1)5 200?
TORRENS TITLE i! a *erti6i*ate &6 &7ner!%i0 i!!-e, -n,er t%e T&rren! S!te$) t%r&-(% t%e Re(i!ter &6 Dee,!) na$in( an, ,e*#arin( t%e &7ner &6 t%e rea# 0r&0ert ,e!*ri/e, t%erein) 6ree 6r&$ a## #ien! an, en*-$/ran*e! e*e0t !-*% a! $a /e e0re!!# n&te, t%ere &r &t%er7i!e re!er+e, / #a7. /ee /ection CC& P! '9)6* 3enera% R!%e A tit#e &n*e re(i!tere, *ann&t /e i$0-(ne,) a#tere,) *%an(e,) $&,i6ie,) en#ar(e,) &r ,i$ini!%e, E6cei$n Dire*t 0r&*ee,in( 0er$itte, / #a7) -!-a## 6&r t%e 0r&te*ti&n &6 inn&*ent t%ir, 0er!&n!
2- CERTI:ICATE O: TITLE
PROBATIVE VALUE O: THE TORRENS TITLE T&rren! Tit#e $a /e re*ei+e, in e+i,en*e in a## P%i#i00ine *&-rt! ) an, !%a## /e *&n*#-!i+e a! t& a## $atter! *&ntaine, t%erein) 0rin*i0a## a! t& t%e i,entit &6 t%e #an, &7ner e*e0t !& 6ar a! 0r&+i,e, in t%e Lan, Re(i!trati&n A*t. •
=. A**reti&n
A! &00&!e, t& an -nre(i!tere, ,ee, &6 !a#e) t%e *erti6i*ate &6 tit#e *ertain# ,e!er+e! $&re 0r&/ati+e +a#-e. In,ee,) a T&rren! Certi6i*ate i! e+i,en*e &6 in,e6ea!i/#e tit#e &6 0r&0ert in 6a+&r &6 t%e 0er!&n in 7%&!e na$e a00ear! t%ereinW!-*% %&#,er i! entit#e, t& t%e 0&!!e!!i&n &6 t%e 0r&0ert -nti# %i! tit#e i! n-##i6ie,. Pasc!a% .- C$r$ne%5 K*2? SCRA )?)5 200?
&n# a(ain!t t%e re(i!tere, &7ner) /-t a#!& a(ain!t %i! %ere,itar !-**e!!&r! 1e;uisites: GCA 5. T%e ,e0&!it &6 !&i# &r !e,i$ent /e (ra,-a# an, i$0er*e0ti/#e) 8. It i! t%e re!-#t &6 t%e *-rrent &6 t%e 7ater! ?ri+er!ea) an, =. T%e #an, 7%ere a**reti&n ta1e! 0#a*e i! a,a*ent t& t%e /an1! &6 ri+er! &r t%e !ea *&a!t A**reti&n t& re(i!tere, #an,! nee,! ne7 re(i!trati&n
T,PES O: TORRENS CERTI:ICATES O: TITLE 5. ORI3INAL CERTI:ICATE O: TITLE > t%e 6ir!t tit#e i!!-e, in t%e na$e &6 t%e re(i!tere, &7ner / t%e Re(i!ter &6 Dee,! ?ROD *&+erin( a 0ar*e# &6 #an, 7%i*% %a, /een re(i!tere, / +irt-e &6 a -,i*ia# &r a,$ini!trati+e 0r&*ee,in(. 8. TRANS:ER CERTI:ICATE O: TITLE > t%e tit#e i!!-e, / t%e ROD in 6a+&r &6 t%e tran!6eree t& 7%&$ t%e &7ner!%i0 &6 t%e a#rea, re(i!tere, #an, %a, /een tran!6erre, / +irt-e &6 a !a#e &r &t%er $&,e! &6 *&n+ean*e.
MODES O: ACUIRIN3 TITLE 5. P-/#i* Grant A *&n+ean*e &6 0-/#i* #an, / (&+ern$ent t& a 0ri+ate in,i+i,-a# 8. A*2-i!iti+e 1e;uisites: ONCE O 0en ) Pre!*ri0ti&n C &ntin-&-! ) E *#-!i+e ) an, N&t&ri&-! 0&!!e!!i&n I6 in (&&, 6ait% 7it% -!t tit#e8 5 r!. -ninterr-0te, 0&!!e!!i&n i! re2-ire, I6 in /a, 6ait% 7it%&-t -!t tit#e8 = r!. *&ntin-&-! 0&!!e!!i&n i! re2-ire, On# a+ai#a/#e i6 t%e #an, 0&!!e!!e, i! 0-/#i*) a#iena/#e an, ,i!0&!a/#e A 0r&0ert re(i!tere, -n,er t%e T&rren! S!te$ i! n&t !-/e*t t& 0re!*ri0ti&n Pre!*ri0ti&n i! -na+ai#in( n&t
@. Re*#a$ati&n
4. V&#-ntar Tran!6er
. In+&#-ntar A#ienati&n
>. De!*ent &r De+i!e 9. E$an*i0ati&n PatentGrant ?Certi6i*ate &6 Lan, O7ner!%i0 A7ar,
T%ere $-!t /e N& %-$an inter+enti&n) • T%e *-rrent *a-!in( t%e a##-+ia# ,e0&!it $-!t /e 6r&$ a ri+er. I6 it i! 6r&$ t%e !ea) t%e ,e0&!it 7i## 0ertain t& t%e !tate. (Govrn&n! o !" ;"ils. v. C%%nis 53 ;"il. 112 (12)) Fi##in( &6 !-/$er(e, #an, / ,e#i/erate a*t an, re*#ai$in( tit#e t%eret& • M-!t /e initia## &7ne, / t%e (&+ern$ent • Ma /e !-/!e2-ent# tran!6erre, t& 0ri+ate &7ner! 5. Pri+ate (rant 8. V&#-ntar ee*-ti&n &6 ,ee, &6 *&n+ean*e • C&ntra*t-a# re#ati&n!%i0 /et7een t%e 0artie! • C&n!en!-a# • N& *&n!ent 6r&$ t%e &7ner &6 #an, • F&r*i/#e a*2-i!iti&n / t%e State Here,itar !-**e!!i&n t& t%e e!tate &6 ,e*ea!e, &7ner T& a$e#i&rate t%e !a, 0#i(%t &6 tenant6ar$er! ?t& an!7er t%eir 0r&/#e$! S-*% (rant i! n&t tran!6era/#e e*e0t / %ere,itar !-**e!!i&n
LAWS IMPLEMENTIN3 LAND RE3ISTRATION 5. Pr&0ert Re(i!trati&n De*ree ?P.D. 548) a!
8. =. @. 4.
a$en,e, Ca,a!tra# A*t ?A*t 884) a! a$en,e, P-/#i* Lan, A*t ?C&$$&n7ea#t% A*t 5@5) a! a$en,e, E$an*i0ati&n De*ree ?P.D. 8>) a! a$e n,e, C&$0re%en!i+e A(rarian Re6&r$ La7 &6 59 9 ?R.A. 4>) a! a$en,e,
ADMINISTRATION O: THE TORRENS S,STEM 1Land Re'israi$n A!$ri" =LRA; A(en* *%ar(e, 7it% t%e e66i*ient ee*-ti&n &6 t%e #a7! re#ati+e t& t%e re(i!trati&n &6 #an,!) -n,er t%e ee*-ti+e !-0er+i!i&n &6 t%e DOJ 0omposition: a. A,$ini!trat&r /. 8 De0-t A,$ini!trat&r! ?a! a!!i!tant!
Te :!nci$ns $& e LRA are8 =SAC; 2. Eten, s0ee, an, e66e*ti+e a!!i!tan*e t& t%e De0t . &6 A(rarian Re6&r$) t%e Lan, Ban1) an, &t%er a(en*ie! in t%e i$0#e$entati&n &6 t%e #an, re6&r$ 0r&(ra$ &6 t%e (&+ern$ent 8. Eten, a!!i!tan*e t& *&-rt! in &r,inar an, *a,a!tra# #an, re(i!trati&n 0r&*ee,in(! =. Be t%e centra# re0&!it&r &6 re*&r,! re#ati+e t& &ri(ina# re(i!trati&n &6 #an,! tit#e, -n,er t%e T&rren! !!te$) in*#-,in( t%e !-/,i+i!i&n an, *&n!&#i,ati&n 0#an! &6 tit#e, #an,! 2Re'iser O& Deeds =ROD; It i! t% e 0-/#i* re0& !it&r &6 re* &r,! an, in!tr-$ent! a66e*tin( re(i!tere, &r -nre(i!tere, #an,! an, *%atte# $&rt(a(e! in t%e 0r&+in*e &r *it 7%erein !-*% &66i*e i! !it-ate, 0omposition: a. Re(i!ter &6 Dee,! /. De0-t ?a! a!!i!tant
Te &!nci$ns $& e ROD8 =PIDI; I$$e,iate# re(i!ter an in!tr-$ent 5. 0re!ente, 6&r re(i!trati&n ,ea#in( 7it% rea# &r 0er!&na# 0r&0ert 7%i*% *&$0#ie! 7it% t%e re2-i!ite! 6&r re(i!trati&n 8. S%a## !ee t& it t%at !ai, in!tr-$ent /ear! t%e r&0er ,&*-$entar an, !*ien*e !ta$0! an, t%at t%e !a$e are r&0er# *an*e##e, =. I6 t%e in!tr-$ent i! n&t re(i!tera/#e) %e !%a## d en t%e re(i!trati&n t%ere&6 an, in6&r$ t%e 0re!ent&r &6 !-*% ,enia# in 7ritin() !tatin( t%e (r&-n, &r rea!&n t%ere6&re) an, a,+i!in( %i$ &6 %i! ri(%t t& a00ea# / consulta in a**&r,an*e 7it% Se*. 55> &6 PD 548
@. Pr e0are an, 1ee0 an in,e !!te$ 7%i*% *&ntain! t%e na$e! &6 a## re(i!tere, &7ner! an, #an,! re(i!tere, T%e 6-n*ti&n &6 t%e ROD 7it% re6eren*e t& re(i!trati&n &6 ,ee,!) en*-$/ran*e!) in!tr-$ent!) an, t%e #i1e i! $ini!teria# in nat-re) 0r&+i,e , t%e a00#i*ant *&$0#ie! 7it% a## t%e re2-i!ite!. Baranda .- 3!si%$5 K1+* SCRA ?*?5 19 It i! en&-(% t%at in t%e RODK! &0ini&n an in!tr-$ent i! re(i!tra/#e 6&r %i$ t& re(i!ter it. T%e a*t /ein( an a,$ini!trati+e a*t &6 ,&e! n&t *&nte$0#ate n&ti*e t& an, %earin( intere!te, 0artie!. Ledesma .- Vi%%asen$r5 K1( SCRA )9)5 19+* T%e ,eter$inati&n &6 7%et%er a ,&*-$ent i! +a#i, &r n&t i! a 6-n*ti&n t%at /e#&n(! t& a *&-rt &6 *&$0etent -ri!,i*ti&n) an, n&t t& t%e ROD. A%mir$% .- ROD $& A'!san5 K3-R- N$- L>22)+5 Marc 205 19+
Insances /en e ROD ma" .a%id%" den" re'israi$n $& a .$%!nar" insr!men8 5. ;%ere t% ere are $& re t% an 5 *&0 &6 t% e &7nerK! ,-0#i*ate *erti6i*ate &6 tit#e an, n&t a## !-*% *&0ie! are 0re!ente, t& t%e ROD 8. ;%ere t%e +&#-ntar in!tr-$ent /ear ! &n it! 6a*e an in6ir$it =. ;%ere t%e +a #i,it &6 t%e in !tr-$ent !&-(%t t& /e re(i!tere, i! in i!!-e in a 0en,in( *&-rt !-it) &6 7%i*% $-!t/e/e!-!0en,e, (i+en t& 0artie! @. n&ti*e Re(i!trati&n $a Ba%#in .ROD5 K2 SCRA 12519+9 T%e ROD $a a#!& re6-!e t& re(i!ter a 0ri+ate ,&*-$ent !in*e Se*ti&n 558 &6 PD 548 0r&+i,e, t%at ,ee,! &6 *&n+ean*e! a66e*tin( #an,! !%&-#, /e +eri6ie, an, a*1n&7#e,(e, /e6&re a n&tar 0-/#i* &r &t%er 0-/#i* &66i*er a-t%&rie, / #a7 t& ta1e a*1n&7#e,(e$ent. 3a%%ard$ .- IAC5 K1** SCRA 2)5 19?
NOTE8 ;%en t%e ROD i! in ,&-/t a! t& t%e 0r&0er a*ti&n t& ta1e &n an in!tr-$ent &r ,ee, 0re!ente, t& %i$ 6&r re(i!trati&n) %e !%&-#, !-/$it t%e 2-e!ti&n t& t%e A,$ini!trat&r &6 t%e LRA en consulta ?Se*ti&n 55>) PD 548 -
B- RE3ALIAN DOCTRINE 1- CONCEPT Un,er t%e Re(a#ian ,&*trine 7%i*% i! e$/&,ie, in Se*ti&n 8) Arti*#e II &6 t%e 59> C&n!tit-ti&n) a## #an,! &6 t%e 0-/#i* ,&$ain /e#&n ( t& t%e Stat e) 7%i*% i! t%e !&-r*e &6 an a!!erte, ri(%t t&
&7ner!%i0 &6 #an,. ## #an,! &6 t%e 0-/#i* ,&$ai n) 7ater!) $inera#!) *&a#) 0etr&#e-$ an, &t%er $inera# &i#!) a## 6&r*e! &6 0&tentia# ener() 6i!%erie!) 6&re!t!) &r ti$/er) 7i#,#i6e) 6#&ra an, 6a-na) an, nat-ra# re!&-r*e! /e#&n( t& t%e !tate. Git% t%e e*e0ti&n &6 a(ri*-#t-ra# #an,!) a## &t%er nat-ra# re!&-r*e! !%a## n&t /e a#ienate,
NON>RE3ISTRABLE PROPERTIES Arti*#e @8 5. T%&!e inten,e, 6&r 0-/#i* NCC -!e) !-*% a! r&a,!) ri+er!) t&rrent!) 0&rt! an, /ri,(e! *&n!tr-*te, / t%e State) /an1!) !%&re!) r&a,!tea,!) an, &t%er! &6 !i$i#ar *%ara*ter
2- E::ECTS A## #an,! n&t a00earin( t& /e *#ear# 7it%in 0ri+ate &7ner!%i0 are 0re!-$e, t& /e#&n( t& t%e State. Un#e!! 0-/#i* #an, i! !%&7n t& %a+e /een re*#a!!i6ie, &r a#ienate, t& a 0ri+ate 0er!&n / t%e State) it re$ain! 0art &6 t%e ina#iena/#e 0-/#i* ,&$ain. T& &+er*&$e t%i! 0re!-$0ti&n) in*&ntr&+erti/#e e+i,en*e $-!t /e e!ta/#i!%e, t%at t%e #an, !-/e*t &6 t%e a00#i*ati&n i! a#iena/#e &r ,i!0&!a/#e.
8. T%&!e 7%i*% /e#&n( t& t%e State) 7it%&-t /ein( 6&r 0-/#i* -!e) an, are inten,e, 6&r !&$e 0-/#i* !er+i*e &r 6&r t%e ,e+e#&0$ent &6 t%e nati&na# 7ea#t%. Art!. 4 ) ;ater C&,e ?PD 5>
T& 0r&+e t%at t%e #an, !-/e*t &6 an a00#i*ati&n 6&r re(i!trati&n i! a#iena/#e) an a00#i*ant $-!t e!ta/#i!% t%e ei!ten*e &6 a 0&!iti+e a*t &6 t%e (&+ern$ent !-*% a! a 0re!i,entia# 0r&*#a$ati&n &r an ee*-ti+e &r,er" an a,$ini!trati+e a*ti&n" in+e!ti(ati&n re0&rt! &6 B-rea- &6 Lan,! in+e!ti(at&r!" an, a #e(i!#ati+e a*t &r a !tat-te. T%e a00#i*ant $a a#!& !e*-re a *erti6i*ati&n 6r&$ t%e G&+ern$ent t%at t%e #an,! a00#ie, 6&r are a#iena/#e an, ,i!0&!a/#e.
(- CONCEPT
O:
NATIVE
TITLE5
TIME IMMEMORIAL
>. Sea7ater"
NATIVE TITLE re6er! t& 0re*&n2-e!t ri(%t! t& #an,! an, ,&$ain! 7%i*%) a! 6ar /a*1 a! $e$&r rea*%e!) %a+e /een %e#, -n,er a *#ai$ &6 0ri+ate &7ner!%i0 / ICC!IP!) %a+ene+er /een 0-/#i* #an,! an, are t%-! in,i!0-ta/# 0re!-$e, t& %a+e /een %e#, t%at 7a !in*e/e6&re t%e S0ani!% C&n2-e!
C- CITIGEN REUIREMENTS 1- INDIVIDUALS AND CORPORATIONS A#iena/#e #an,! &6 t%e 0-/#i* ,&$ain: On# Fi#i0in& *itien! $a a*2-ire n&t $&re t%an 58 %e*tare! / 0-r*%a!e) %&$e!tea, &r (rant) &r #ea!e n&t $&re t%an 4 %e*tare!. Pri+ate *&r0&rati&n! $a #ea!e n&t $&re t%an 5) %e*tare! 6&r 84 ear! rene7a/#e 6&r an&t%er 84 ear!
D- NON>RE3ISTRABLE PROPERTIES
5. Ri+er! an, t%eir nat-ra# /e,!" 8. C&ntin-&-! &r inter$ittent 7ater! &6 !0rin(! an, /r&&1! r-nnin( in t%eir nat-ra# /e,! an, t%e /e,! t%e$!e#+e!" =. Nat-ra# #a1e! an, #a(&&n!" @. A## &t%er *ate(&rie! &6 !-r6a*e 7ater! !-*% a! 7ater 6#&7in( &+er #an,!) 7ater 6r&$ rain6a## 7%et%er nat-ra# &r arti6i*ia#) an, 7ater 6r&$ a(ri*-#t-re r-n&66) !ee0a(e an, ,raina(e" 4. At$&!0%eri* 7ater" . S-/terranean &r (r&-n, 7ater"
Re(a#ian D&*trine -n,er t%e 5=4) 5>=) an, 59> C&n!tit-ti&n
ound in pri"ate lands: 9. C&ntin-&-! &r inter$ittent 7ater! ri!in( &n !-*% #an,!" . La1e! an, #a (&&n! nat-ra## &**-rin( &n !-*% #an,!" 5. Rain 7ater an, 6a##in( &n !-*% #an,!" 55. S-/terranean &r (r&-n, 7ater!" an, 58. ;ater! in !7a$0! an, $ar!%e! F&re!t &r ti$/er#an,) 0-/#i* 6&re!t) 6&re!t re!er+e! #an,!) $inera# #an,!
It i! n&t t%e *&-rt 7%i*% ,eter$ine! t%e *#a!!i6i*ati&n &6 #an,! &6 t%e 0-/#i* ,&$ain int& a(ri*-#t-ra#) 6&re!t &r $inera# /-t t%e Ee*-ti+e Bran*% &6 t%e (&+ern$ent) t%r&-(% t%e O66i*e &6 t%e Pre!i,ent- B!rea! $& :$resr" .- CA5 K1*( SCRA (*15 19?
T%e State %a! an i$0re!*ri0ti/#e ri(%t t& *a-!e t%e re+er!i&n &6 a 0ie*e &6 0r&0ert /e#&n(in( t& t%e 0-/#i* ,&$ain i6 tit#e %a! /een a*2-ire, t%r&-(% 6ra-,-#ent $ean!. Re!#%ic .- Heirs $& A%e4a'a5 K(9( SCRA (+15 2002 A #an, *#a!!i6ie, a! a $i#itar re!er+ati&n &ne) -nti# re*#a!!i6ie, &r re#ea!e, 6r&$ t%e !ai, *#a!!i6i*ati&n re$ain! ina#iena/#e 0-/#i* #an,. Re!#%ic .- S$!side5 K3-R- N$- 1*+9*15 Se- 225 200+
E- ORI3INAL RE3ISTRATION T"es O& Re'israi$n8 5. Ori(ina# Re(i!trati&n 8. S-/!e2-ent Re(i!trati&n ORI3INAL RE3ISTRATION UNDER P-D- 1*29 i! a 0r&*ee,in( /r&-(%t /e6&re t%e RTC ?a! a #an, re(i!trati&n *&-rt t& ,eter$ine tit#e &r &7ner!%i0 &6 #an, &n t%e /a!i! &6 an a00#i*ati&n 6&r re(i!trati&n &r an!7er / a *#ai$ant in a *a,a!tra# re(i!trati&n.
1- RE3ISTRATION REUIREMENTS
PROCESS
A ND
inds O& !dicia% Re'israi$n8 5. !dicia%V$%!nar"Ordinar" / 6i#in( 7it% t%e 0r&0er *&-rt" a00#i*ati&n / t%e 0ri+ate in,i+i,-a# %i$!e#6 8. Adminisrai.eIn.$%!nar"Cadasra% *&$0-#!&r re(i!trati&n initiate, / t%e (&+ern$ent Pr$ced!re In Ordinar" Land Re'israi$n =S!r:>D>TraPS>AH>DECT; 5. SUR+e &6 #an, / t%e B-rea- &6 Lan,! &r a ,-# #i*en!e, 0ri+ate !-r+e&r - S-r+e 0#an $-!t /e ,-# a00r&+e, / t%e Dire*t&r &6 Lan,!. 8. :i#in( &6 a00#i*ati&n 6&r re(i!trati&n / t%e a00#i*ant a. ;it% a## $-ni$ent! &6 tit#e! an, *&0ie! t%ere&6 7it% !-r+e 0#an a00r&+e, / B-rea- &6 Lan,! MUNIMENTS O: TITLE are in!tr-$ent! &r 7ritten e+i,en*e 7%i*% a00#i*ant %&#, &r 0&!!e!! t& ena/#e %i$ t& !-/!tantiate an, 0r&+e tit#e t& %i! e!tate. Ta ,e*#arati&n! &r rea#t ta 0a$ent &6 0r&0ert are n&t *&n*#-!i+e e+i,en*e &6 &7ner!%i0. At $&!t) t%e !er+e a! a (&&, in,i*i-$ &6 0&!!e!!i&n in t%e *&n*e0t &6 an &7ner. S-*% an a*t !tren(t%en! &neK! /&na 6i,e
*#ai$ &6 a*2-i!iti&n &6 &7ner!%i0. Re!#%ic .- SaAna>B!r'$s5 K*2( SCRA (095 200? /. A#7a! 6i #e, 7it% t% e RTC &6 t% e 0#a*e 7%ere #an, i! !it-ate, *. In,&r!e, t& t%e MTC i6 t%ere i! n& *&ntr&+er! &+er t%e #an, &r i6 it! +a#-e i! #e!! t%an 5) ,. In *a! e! &6 ,e#e(ate, -ri!,i*ti&n t& t%e MTC) a00ea# i! ,ire*te, t& t%e CA e. I6 #an, i! !it-ate, /et7een /&-n,arie! &6 8 0r&+in*e!) a00#i*ati&n $-!t /e 6i#e,: • ;%en /&-n,arie! are n&t ,e6ine,: 7it% t%e RTC &6 t%e 0#a*e 7%ere it i! ,e*#are, 6&r taati&n 0-r0&!e!" • ;%en /&-n,arie! are ,e6ine,: a !e0arate 0#an 6&r ea*% 0&rti&n $-!t /e $a,e / a !-r+e&r an, a !e0arate a00#i*ati&n 6&r ea*% #&t $-!t /e 6i#e, 7it% t%e a00r&0riate RTC =. Settin( &6 t%e Date &6 initia# %earin( &6 a00#i*ati&n / t%e RTC - ;it%in 4 ,a!) !et %earin( @4 ,a! 6r&$ ,ate &6 &r,er @. Tra n!$itta# &6 t%e a00#i*ati&n an, t%e ,ate &6 t%e initia# %earin() 7it% a## t%e ,&*-$ent! &r &t%er e+i,en*e atta*%e, t%eret&) / t%e C#er1 &6 C&-rt t& t%e LRA 4. P-/#i*ati&n &6 n&ti*e &6 t%e 6i#in( &6 t%e a00#i*ati&n an, t%e ,ate an, 0#a*e &6 t%e %earin( in t%e O66i*ia# Gaette . T%e n&ti*e! re2-ire, are $an,at&r. a. P-/#i*ati&n &6 n&ti*e &6 initia# %earin( i. On*e in t%e O66i*ia# Gaette ?t%i! *&n6er! -ri!,i*ti&n -0&n t%e *&-rt ii. On*e in a ne7!0a0er &6 (enera# *ir*-#ati&n
P!r$se $& !#%icai$n : 5. T& * &n6er -ri!,i*ti&n &+er t%e #an, a00#ie, 6&r -0&n t%e *&-rt 8. T& *%ar(e t%e 7%&#e 7&r#, 7it% 1n&7#e,(e &6 t%e a00#i*ati&n &6 t%e #an, in+&#+e,) an, in+i te t%e$ t& ta1e 0art in t%e *a!e an, a!!ert an, 0r&+e t%eir ri(%t! &+er t%e !-/e*t #an, /. Mai#in( • ;it%in > ,a! a6ter 0-/#i*ati&n &6 !ai, n&ti*e in t%e OG) $ai#in( &6 n&ti*e t&: i. Per!&n! na$e, in t%e n&ti*e ii. Se*. &6 P-/#i* Hi(%7a!) Pr&+in*ia# G&+ern&r) an, Ma&r) i6 t%e a00#i*ant re2-e!t! t& %a+e t%e #ine &6 a 0-/#i* 7a &r r&a, ,eter$ine, iii. Se*. &6 A(rarian Re6&r$) S&#i*it&r Genera#) Dire*t&r &6 Lan,!) Dire*t&r &6 Fi!%erie!) an, Dire*t&r &6 Mine!) i6 t%e
i+.
#an, /&r,er! &n a ri+er) na+i(a/#e !trea$) &r !%&re) &r &n an ar$ &6 t%e !ea 7%ere a ri+er &r %ar/&r #ie! Ot%er 0er!&n! a! t%e *&-rt $a ,ee$ 0r&0er
*. P&!tin( P&!tin( in *&n!0i*-&-! 0#a*e &n !-/e*t #an, an, &n /-##etin /&ar, &6 $-ni*i0a# /-i#,in( at #ea!t 5@ ,a! /e6&re initia# %earin( . Ser+i*e &6 n&ti*e / t%e !%eri66 -0&n *&nti(-&-! &7ner!) &**-0ant! an, t%&!e 1n&7n t& %a+e intere!t! in t%e 0r&0ert >. Fi#in( &6 an!7er t& t%e a00#i*ati&n / an 0er!&n 7%et%er na$e, in t%e n&ti*e &r n&t 9. H earin( / t%e *&-rt . Pr&$-#(ati&n &6 4-,($ent / t%e C&-rt 5. I!!-an*e &6 t%e de*ree ,e*#arin( t%e ,e*i!i&n 6ina# an, in!tr-*tin( t%e LRA t& i!!-e a ,e*ree &6 *&n6ir$ati&n an, re(i!trati&n
Decree i!!-e, / LRA a6ter 6ina#it &6 -,($ent" *&ntain! te*%ni*a# ,e!*ri0ti&n &6 #an,. i. De*ree! ,i!$i!!in( a00#i*ati&n ii. De*ree! &6 *&n6ir$ati&n an, re(i!trati&n . S-/e*t &n# t& a00ea# 55. Entr &6 t%e ,e*ree &6 re(i!trati&n in t%e LRA 5 ear a6ter t%e ,ate &6 entr) it /e*&$e! in*&ntr&+erti/#e an, a$en,$ent! 7i## n&t /e a##&7e, e*e0t *#eri*a# err&r!. It i! ,ee$e, *&n*#-!i+e a! t& t%e 7%&#e 7&r#,. - P-t! an en, t& #iti(ati&n - P-r0&!e &6 T&rren! !!te$ i! 0r&te*te, 58. Sen,in( a c &0 &6 t%e ,e*ree &6 re(i!trati&n t& t%e *&rre!0&n,in( ROD 5=. Tran!*ri0ti&n &6 t%e ,e*ree &6 re(i!trati&n in t%e re(i!trati&n /&&1 an, i!!-an*e &6 t%e &7nerK! ,-0#i*ate &ri(ina# *erti6i*ate &6 tit#e t& t%e a00#i*ant / t%e ROD -0&n 0a$ent &6 t%e 0re!*ri/e, 6ee!
$0en) *&ntin-&-!) e*#-!i+e) n&t&ri&-! 0&!!e!!i&n an, &**-0ati&n &6 a#iena/#e an, ,i!0&!a/#e #an,! &6 t%e 0-/#i* ,&$ain -n,er a bona fide *#ai$ &6 &7ner!%i0 !in*e J-ne 58) 5@4 &r ear#ier 8. T%&!e 7%& a*2-ire, &7ner!%i0 &6 0ri+ate #an, / re!*ri0ti&n -n,er t%e 0r&+i!i&n! &6 ei!tin( #a7! =. T%&!e 7%& a*2-ire, &7ner!%i0 &6 0ri+ate #an,! &r a/an,&ne, ri+er /e,! / ri(%t &6 a**e!!i&n &r a**reti&n -n,er t%e ei!tin( #a7! @. T%&!e 7%& %a+e a*2-ire, &7ner!%i0 &6 #an, in an $anner 0r&+i,e, 6&r / %a7 NOTE8 A## t%e!e 0er!&n! $-!t /e nat-ra#/&rn Fi#i0in& *itien!. B 7a &6 e*e0ti&n -ri,i*a# 0er!&n! $a a00# 6&r re(i!trati&n &6 #ea!e, a(ri*-#t-ra# an, ,i!0&!a/#e #an,! n&t e*ee,in( 5) %e*tare! in area 6&r a 0eri&, &6 84 ear! an, rene7a/#e 6&r n&t $&re t%an 84 ear! (c. 3, Ar!icl L//, 187 Cons!i!u!ion)) an, e*e0t 7%en t%e #an, %a! /een 0re+i&-!# a*2-ire, / 0re!*ri0ti&n / a nat-ra# 0er!&n an, !-/!e2-ent# tran!6erre, t& a -ri,i*a# entit. In t%i! *a!e) a *&r0&rati&n $a a00# 6&r -,i*ia# *&n6ir$ati&n &6 tit#e. Dir- $& Lands .- IAC and ACME5 K1)+ SCRA 1*9 =19+ Limiai$n T$ O/nersi O& Land B" C$r$rai$n8 5. Pri+ate Lan,! a. At # ea!t Fi #i0in& /ec% 7& Article ?II& '6(7 0onstitution* /. Re!tri*te, a! t& etent rea!&na/# ne*e!!ar t& ena/#e it t& *arr &-t 0-r0&!e 6&r 7%i*% it 7a! *reate, *. I6 en( a(e, in a(ri*-#t-re) it i! re!t ri*te, t& 5)8@ %e*tare! 8. Patri$&nia# Pr&0ert &6 t%e State /ec% .& Article ?II& '6(7 0onstitution* a. Ma &n# Lea!e ?CANNOT &7n #an, &6 t%e 0-/#i* ,&$ain 6&r 84 ear! rene7a/#e /. Li$ite, t& 5) %e*tare! *. A00# t& /&t% Fi#i0in&! 6&rei(n *&r0&rati&n!
NOTE8 N&n*&$0#ian*e 7it% t%e re2-i!ite! 7i## $a1e t%e Certi6i*ate &6 Tit#e ?CT i!!-e, in+a#i, an, *an*e##a/#e / t%e *&-rt!.
Deter$inati+e &6 t%i! i!!-e i! t%e *%ara*ter &6 t%e 0ar*e#! &6 #an, 7%et%er t%e 7ere !ti## 0-/#i* &r a#rea, 0ri+ate 7%en t%e re(i!trati&n 0r&*ee,in(! 7ere *&$$en*e,. I6 t%e are a#rea, 0ri+ate #an,!) t%e *&n!tit-ti&na# 0r&%i/iti&n a(ain!t
2 -WHO MA, APPL,
a*2-i!iti&n! / a 0ri+ate *&r0&rati&n 7&-#, n&t a00#. Nai.idad .- CA5 K202 SCRA )(95 1991
a- UNDER PD 1*29 =OPAL; 5. T%&!e 7%& / t%e$!e#+e! &r t%r &-(% t%eir 0re,e*e!!&r!inintere!t %a+e /een in
:ORM O: THE APPLICATION (c. 15, ; 152)# =WSS; 5.
Written
8. Si (ne, / t%e a00#i*ant &r 0er!&n ,-# a-t%&rie, in %i! /e%a#6 - I6 t%ere i! $&re t%an 5 a00#i*ant) t%e a00#i*ati&n !%a## /e !i(ne, an, !7&rn t& / an, in /e%a#6 &6 ea*%. 8. S7&rn t& /e6&re an &66i*er a-t%&rie, t& a,$ini!ter &at% 6&r t%e 0r&+in*e &r *it 7%ere t%e a00#i*ati&n 7a! a*t-a## !i(ne,
CONTENTS O: APPLICATION (c. 15, ;.. 152)8 =MAD:ARCE; 5. M anner &6 a*2-i!iti&n &6 #an, 8. A !!e!!e, &6 t%e #an,/a!e, an, t%e an, &t%er +a#-e i$0r&+e$ent! &n /-i#,in(! t%e #a!t a!!e!!$ent 6&r taati&n 0-r0&!e! =. De!*ri0ti&n &6 t%e #an, a00#ie, 6&r t&(et%er 7it% t%e /-i#,in(! an, i$0r&+e$ent!" t%e 0#an a00r&+e, / Dire*t&r &6 Lan,! an, t%e te*%ni*a# ,e!*ri0ti&n! $-!t /e atta*%e, @. T%e *&-rt $a re2-ire :a*t! t& /e !tate, in t%e a00#i*ati&n in a,,iti&n t& t%&!e 0re!*ri/e, / t%e De*ree n&t in*&n!i!tent t%ere7it% an, $a re2-ire t%e 6i#in( &6 a,,iti&na# 0a0er! 4. F-## na$e! an, a,,re!!e! &6 A## &**-0ant! &6 t%e #an, an, t%&!e &6 t%e A ,&inin( &7ner! ) i6 1n&7n" an, i6 n&t 1n&7n) t%e a00#i*ant !%a## !tate t%e etent &6 t%e !ear*% $a,e t& 6in, t%e$ . I6 t%e a00#i*ati&n ,e!*ri/e! t%e #an, a! /&-n,e, / a 0-/#i* &r 0ri+ate 7a &r R &a, ) it !%a## !tate 7%et%er &r n&t t%e a00#i*ant *#ai$! &6 t%e #an, 7it%int%e t%e #i$it! &6an t%e 0&rti&n 7a &r r&a,) an, 7%et%er a00#i*ant ,e!ire! t& %a+e t%e #ine &6 7a &r r&a, ,eter$ine, (c. 20, ; 152) >. C itien!%i0 an, C i+i# !tat-! &6 t%e a00#i*ant • i6 $arrie,) na$e &6 !0&-!e) an, • i6 t%e $arria(e %a! /een #e(a## ,i!!&#+e,) 7%en an, %&7 t%e $arria(e re#ati&n 7a! ter$inate, 9. M&rt(a(e &r En*-$/ran*e a66e*tin( t%e #an, &r na$e! &6 &t%er 0er!&n! 7%& $a %a+e an intere!t t%erein) #e(a# &r e2-ita/#e . I6 t%e a00#i*ant i! a n&nre!i,ent &6 t%e P%i#i00ine!) %e !%a## 6i#e an in!tr-$ent a00&intin( an a(ent re!i,in( in t%e P%i#!. an, !%a## a(ree t%at !er+i*e &6 an #e(a# 0r&*e!! !%a## /e &6 t%e !a$e #e(a# e66e*t a! i6 $a,e -0&n t%e a00#i*ant 7it%in t%e P%i#i00ine! (c. 1*, ; 152 *
Were T$ :i%e A%icai$n 3enera% R!%e RTC &6 t%e 0r&+in*e &r *it 7%ere t%e #an, i! !it-ate, Fi#e
t&(et%er
7it%
a00#i*ati&n
a##
&ri(ina#
$-ni$ent! &6 tit#e! &r *&0ie! t%ere&6 an, a !-r+e 0#an &6 t%e #an, a! a00r&+e, / t%e B-rea- &6 Lan,! P.D. 548 %a! e#i$inate, t%e ,i!tin*ti&n /et7een t%e (enera# -ri!, i*ti&n +e!te, in t%e RTC an, t%e #i$ite, -ri!,i*ti&n *&n6erre, -0&n it / t%e 6&r$er #a7 7%en a*tin( $ere# a! #an, re(i!trati&n *&-rt. Ai$e, at a+&i,in( $-#ti0#i*it &6 !-it!) t%e *%an(e %a! !i$0#i6ie, re(i!trati&n 0r&*ee,in(! / *&n6errin( -0&n t%e RTC! t%e a-t%&rit t& a*t n&t &n# &n &ri(ina# a00#i*ati&n! /-t a#!& t%&!e 6i#e, a6ter &ri(ina# re(i!trati&n) 7it% 0&7er t& %ear an, ,eter$ine a## 2-e!ti&n! ari!in( -0&n !-*% a00#i*ati&n! &r 0etiti&n!. A.eria .- Ca'!i$a5 K1)+ SCRA )*95 19+ I6 t%ere are !e+era# 0ar*e#! &6 #an, !it-ate, in ,i66erent 0r&+in*e!*itie! /-t /e#&n( t& &ne &7ner) %e $-!t 6i#e in RTC &6 ea*% 0r&+in*e*it 7%ere t%e ,i66erent 0ar*e#! &6 #an, are #&*ate, 6&r re(i!trati&n 0-r0&!e!
E6cei$n De#e(ate, -ri!,i*ti&n &6 t%e MTC t& %ear an, ,eter$ine *a,a!tra# &r #an, re(i!trati&n *a!e! *&+erin( #&t! 7%ere: − t%ere i! n& *&ntr&+er! &r &00&!iti&n) &r − *&nte!te, #&t!) t%e +a#-e &6 7%i*% ,&e! n&t e*ee, 5) AMENDMENTS IN ORDINAR, RE3ISTRATION PROCEEDIN3S 5. Stri1in( &-t &ne &r T%e *&-rt $a !tri1e $&re &6 t%e 0ar*e#! &6 &-t at an ti$e #an, a00#ie, 6&r &r / a !e+eran*e &6 t%e a00#i*ati&n 8. S-/!tantia# *%an(e in Ne7 te*%ni*a# /&-n,arie!) in*rea!e in ,e!*ri0ti&n an, ne7 area) in*#-!i&n &6 0-/#i*ati&n an, n&ti*e a,,iti&na# #an, are ne*e!!ar =. J&in,er) !-/!tit-ti&n) Fi#e $&ti&n 7it% *&-rt &r ,i!*&ntin-an*e &6 an &6 t%e 0artie! @. De*rea!e in area Fi#e $&ti&n 7it% *&-rt" n& nee, 6&r ne7 0-/#i*ati&n &r n&ti*e I6 t%e a$en,$ent *&n!i!t! in t%e in*#-!i&n in t%e a00#i*ati&n 6&r re(i!trati&n an area &r 0ar*e# &6 #an, n&t 0re+i&-!# in*#-,e, in t%e &ri(ina# a00#i*ati&n) a! 0-/#i!%e,) a ne7 0-/#i*ati&n &6 t%e a$en,e, a00#i*ati&n $-!t /e $a,e. T%e 0-r0&!e &6 t%e ne7 0-/#i*ati&n i! t& (i+e n&ti*e t& a## 0er!&n! *&n*erne, re(ar,in( t%e a$en,e, a00#i*ati&n. ;it%&-t a ne7 0-/#i*ati&n) t%e re(i!trati&n *&-rt *ann&t a*2-ire -ri!,i*ti&n &+er t%e area &r 0ar*e# &6 #an, t%at i! a,,e, t& t%e area *&+ere, / t%e &ri(ina# a00#i*ati&n) an, t%e
,e*i!i&n &6 t%e re(i!trati&n *&-rt 7&-#, /e a n-##it in!&6ar a! t%e ,e*i!i&n *&n*ern! t%e ne7# in*#-,e, #an,. B-t i6 t%e a$en,$ent *&n!i!t! in t%e e*#-!i&n &6 a 0&rti&n &6 t%e area *&+ere, / t%e &ri(ina# a00#i*ati&n an, t%e &ri(ina# 0#an a! 0re+i&-!# 0-/#i!%e,) a ne7 0-/#i*ati&n i! n&t ne*e!!ar. In t%e #atter *a!e) t%e -ri!,i*ti&n &6 t%e *&-rt i! n&t a66e*te, / t%e 6ai#-re &6 a ne7 a00#i*ati&n. Benin .- T!as$n5 K*? SCRA *(15 19?)
Re@!isies $& O$sii$n8 an $$sii$n ma" #e &i%ed #" an" ers$n c%aimin' an ineres 5. Set 6&rt% &/e*ti&n! t& t%e a00#i*ati&n 8. State intere!t *#ai$e, / &00&!it&r =. A00# 6&r t%e re$e, ,e!ire, @. Si(ne, an , !7&rn t& / %i$ &r / !& $e &t%er ,-# a-t%&rie, 0er!&n 4. Fi#e, &n &r /e6&re t%e ,ate &6 initia# %earin( . I6 &n# a 0&r ti&n &6 t% e #an, a00#ie, 6&r i! *&nte!te, an, !-*% 0&rti&n i! n&t 0r&0er# ,e#i$ite,) *&-rt $a re2-ire !-/$i!!i&n &6 a ,i+i!i&n 0#an a00r&+e, / t%e Dire*t&r &6 Lan,! 3ENERAL DE:AULT T%&!e 0er!&n! 7%& ,i, n&t a00ear an, an!7er 7it%in t%e ti$e 0re!*ri/e,
SPECIAL DE:AULT ;%en a 0art a00ear! at initia# %earin( 7it%&-t %a+in( 6i#e, an an!7er an, a!1! *&-rt 6&r ti$e t& 6i#e an!7er /-t 6ai#e, t& ,& !& 7it%in 0eri&, a##&7e,
#- UNDER C-A- 1)1 !dicia% C$n&irmai$n $& Imer&ec $r Inc$m%ee Ti%e !nder e P!#%ic Land Ac • In rem) -,i*ia# 0r&*ee,in(! • T%e ,e*ree &6 re(i!trati&n i!!-e, i! *&n*#-!i+e an, 6ina# • G&+erne, / *&-rt 0r&*e,-re an, #a7 &6 e+i,en*e
NOTE8 F&r$) C&ntent!) N&ti*e) Mai#in() P&!tin( Re2-ire$ent! are t%e !a$e a! t%&!e re2-ire, in &ri(ina# re(i!trati&n -n,er PD 548. A -,i*ia# ,e*#arati&n t%at a 0ar*e# &6 #an, i! 0-/#i*) ,&e! n&t 0re*#-,e e+en t%e !a$e a00#i*ant 6r&$ !-/!e2-ent# !ee1in( a -,i*ia# *&n6ir$ati&n &6 %i! tit#e t& t%e !a$e #an,) 0r&+i,e, %e t%erea6ter *&$0#ie! 7it% t%e 0r&+i!i&n! &6 Se*. @9 &6 C.A. 5@5) a! a$en,e, an, a! #&n( a! !ai, 0-/#i* #an, re$ain! a#iena/#e an, ,i!0&!a/#e. Direc$r $& Lands .- CA5 K10+ SCRA )2+5 191
Pr$$& $& Pri.ae O/nersi =STOP; 5. S0ani!% tit#e ?ina,$i!!i/#e an, ine66e*ti+e 0r&&6 &6 &7ner!%i0 in #an, re(i!trati&n 0r&*ee,in(! 6i#e, a6ter A-(. 5) 5> 8. Ta ,e*#arati&n! an, ta 0a$ent! ?n&t *&n*#-!i+e e+i,en*e &6 &7ner!%i0) $-!t /e *&-0#e, 7it% 0r&&6 &6 a*t-a# 0&!!e!!i&n 6&r t%e 0eri&, re2-ire, / #a7 =. O t%er 1in,! &6 0r&&6 ?e. testimonial e"idence to pro"e accretion& deeds of sale @. Pre!i,entia# i!!-an*e! an, #e(i!#ati+e a*t! ?*&n!tit-ti+e &6 a 6ee !i$0#e tit#e &r a/!&#-te tit#e in 6a+&r &6 t%e (rantee) a #a7 *e,in( 6-## &7ner!%i0 t& a (&+ern$ent in!tit-ti&n T%e %&#,er &6 a S0ani!% tit#e $a !ti## #&!e %i! &7ner!%i0 &6 t%e rea# 0r&0ert t& t%e &**-0ant 7%& a*t-a## 0&!!e!!e! t%e !a$e 6&r t%e re2-ire, 0re!*ri0ti+e 0eri&,. Ta1in( t%e #a7 a! a 7%&# e) it %a! *#ear# !et a ,ea,#ine 6&r t%e 6i#in( &6 a00#i*ati&n! 6&r re(i!trati&n &6 ALL S0ani!% tit#e! -n,er t%e T&rren! !!te$ ?i.e.) $&nt%! 6r&$ it! e66e*ti+it &r &n 5@ A-(-!t 5>) a6ter 7%i*%) t%e S0ani!% tit#e! $a n& #&n(er /e 0re!ente, t& 0r&+e &7ner!%i0. S0ani!% tit#e! *an n& #&n(er /e *&-ntenan*e, a! in,-/ita/#e e+i,en*e &6 #an, &7ner!%i0. Sania'$ .- SBMA5 K3-R- N$1*+5 N$.em#er 205 200+
UD3MENT i! a ,e*i!i&n &6 *&-rt *&n!tit-tin( it! &0ini&n a6ter ta1in( int& *&n!i,erati&n t%e e+i,en*e !-/$itte,.
Wen T$ :i%e Eten,e, -0 t& De*e$/er =5) 88) a! 0r&+i,e, in Se*. 8 &6 RA 5>
It /e*&$e! 6ina# -0&n t%e #a0!e &6 54 ,a! *&-nte, 6r&$ t%e re*ei0t &6 n&ti*e &6 t%e -,($ent.
Limiai$n T$ Area A%ied :$r Mai$-$ &6 58 %e*tare! (c. 3, RA *+0)
H&7e+er) n&t7it%!tan,in( t%e #a0!e &6 t%e 54,a 0eri&, 6r&$ re*ei0t &6 -,($ent / t%e 0artie!) t%e *&-rt *&ntin-e! t& retain *&ntr&# &+er t%e *a!e -nti#
Wa A%ican M!s Pr$.e • T%e #an, i! a#iena/#e an, ,i!0&!a/#e #an, &6 t%e 0-/#i* ,&$ain) an, • Hi! 0&!!e!!i&n 7a! 6&r t%e #en(t% &6 ti$e an, in t%e $anner an, *&n*e0t re2-ire, / #a7
t%e e0irati&n &6 5 ear a6ter t%e entr &6 ,e*ree &6 re(i!trati&n / t%e LRA. Re!#%ic .- Ass$saci$n Bene.$%a de Ce#! K1? SCRA +925 199 In !0e*ia# 0r&*ee,in(! t%e 0-r0&!e &6 ee*-ti&n &6 -,($ent i! t& e!ta/#i!% a !tat-!) *&n,iti&n &r 6a*t"
in #an, re(i!trati&n 0r&*ee,in(!) t%e &7ner!%i0 / a 0er!&n &6 a 0ar*e# &6 #an, i! !&-(%t t& /e e!ta/#i!%e,. A6ter t%e &7ner!%i0 %a! /een 0r&+e, an, *&n6ir$e, / -,i*ia# ,e*#arati&n) n& 6-rt%er 0r&*ee,in( t& en6&r*e !ai, &7ner!%i0 i! ne*e!!ar) e*e0t 7%en t%e a,+er!e &r #&!in( 0art %a, /een in 0&!!e!!i&n &6 t%e #an, an, t%e 7innin( 0art ,e!ire! t& &-!t %i$ t%ere6r&$. R$na%d Tin' .- Lir$5 K3-R- N$- 1+91(5 Marc 1)5 200?
P$s>!d'men Incidens 1- Wri $& P$s sessi$n8 &r,er t& !%eri66 t& ,e#i+er t%e #an, t& t%e !-**e!!6-# 0art #iti(ant" no prescription against: ?5 t%e #&!er an, ?8 an&ne -n#a76-## an, a,+er!e# &**-0in( Wen /ri ma" n$ iss!e8 ;%en a 0art entere, int& 0r&0ert a6ter i!!-an*e &6 6ina# ,e*ree) i! n&t an &00&!it&r in re(i!trati&n 0r&*ee,in() an, i! in 0&!!e!!i&n &6 #an, 6&r at #ea!t 5 ear! 2- Wri $& De m$%ii$n8 t%e *&$0#e$ent &6 7rit &6 0&!!e!!i&n" t& ,e$&#i!% i$0r&+e$ent! intr&,-*e, / &00&!it&r &r %i! !-**e!!&r in intere!t Means $ Rec$.er P$ssessi$n 5. F&r*i/#e entr 8. Un#a76-# ,etainer .% Accion publiciana C% Accion rei "indicatoria
Decree $& Re'israi$n • T%e ,e*ree i!!-e, / t%e LRA 0-r!-ant t& t%e &r,er &6 t%e *&-rt. • Bin,! t%e #an,) 2-iet! tit#e t%eret&) !-/e*t &n# t& !-*% e*e0ti&n! &r #ien! a! $a /e 0r&+i,e, / #a7 • C&n*#-!i+e -0&n a## 0er!&n! in*#-,in( t%e (&+ern$ent C$nens $& Te Decree =DMD>DO; 5. D ate) %&-r an, $in-te &6 it! entr 8. ;%et%er t%e &7ner i! marrie, &r -n$arrie,) an, i6 $arrie,) t%e na$e &6 t%e !0&-!e" 0r&+i,e, t%at i6 t%e #an, i! *&n-(a# 0r&0ert) t%e ,e*ree !%a## /e i!!-e, in t%e na$e &6 /&t% !0&-!e! =. I6 t%e &7 ner i! -n,er d i!a/i#it) t%e nat-re &6 !-*% ,i!a/i#it) an, i6 a $in&r) %i! a(e @. De!*ri0ti&n &6 t%e #an, an, !%a## !et 6&rt% t%e e!tate &6 t%e &7ner) an, a#!& !%&7 t%eir re#ati+e ea!e$ent!) #ien!) atta*%$ent!) an, &t%er en*-$/ran*e! 4. O t%er $atter! t& /e ,eter$ine, in 0-r!-an*e &6 t%e #a7
Pr$cess $& Iss!in' Te OCT 5. ;it%in 54 ,a! 6r&$ 6ina#it &6 &r,er &6 -,($ent ,ire*tin( re(i!trati&n &6 tit#e *&-rt &r,er! t%e LRA t& i!!-e ,e*ree &6 re(i!trati&n an, *erti6i*ate &6 tit#e 8. C#er1 &6 *& -rt 7i## !e n, &r, er &6 *&-rt an, *&0ie! &6 -,($ent =. ;rit &6 De$&#iti&n $a /e i!!-e,. T%e *&-rt %a! a-t%&rit t& &r,er) a! a *&n!e2-en*e &6 t%e 7rit &6 0&!!e!!i&n i!!-e, / it) t%e ,e$&#iti&n &6 i$0r&+e$ent! intr&,-*e, / t%e ,e6eate, &00&!it&r &r %i! !-**e!!&rin intere!t @. A,$ini!trat&r 7i## i!!-e a ,e*ree &6 re(i!trati&n an, &ri(ina# an, ,-0#i*ate &6 OCT t%at i! !i(ne, / t%e A,$ini!trat&r) enter an, 6i#e ,e*ree &6 re(i!trati&n in LRA 4. Sen, t& ROD t%e &ri(ina# an, ,-0#i*ate &6 tit#e an, *erti6i*ate 6&r entr in %i! re(i!trati&n /&&1 . Enter in re*&r, /&&1) ,ate,) !i(ne,) n-$/ere, an, !ea#e , t& ta1e e66e*t -0&n ,ate &6 entr >. ROD t& !en, n&ti*e t& re(i!tere, &7ner rea, 6&r ,e#i+er a6ter 0a$ent &6 6ee! 9. ROD !%a## !en, ,-0#i*ate an, n& te &n ea* % *erti6i*ate &6 tit#e t& 7%&$ it i! i!!-e, . Ori(ina# *&0 t& /e 6i#e, in ROD 5. B&-n, in *&n!e*-ti+e &r,er Ari#!es and Limiai$ns $n Ceri&icaes $& Ti%e and Re'isered Lands 5. :ree &r$m %iens and enc!m#rances 3enera% R!%e C#ai$! an, #ien! &6 7%ate+er *%ara*ter ei!tin( a(ain!t t%e #an, 0ri&r t& t%e i!!-an*e &6 t%e *erti6i*ate &6 tit#e are *-t &66 / !-*% *erti6i*ate an, t%e *erti6i*ate !& i!!-e, /in,! t%e 7%&#e 7&r#,) in*#-,in( t%e (&+ern$ent. E6cei$ns8 =CNT>PD; i. T%&!e n&te, &n t%e c erti6i*ate ii. Lien!) *#ai$!) &r ri(%t! ari!in( &r ei!tin( -n,er t%e #a7! an, t%e C&n!tit-ti&n) 7%i*% are n &t / #a7 re2-ire, t& a00ear &n re*&r, in t%e Re(i!ter &6 Dee,! in &r,er t& /e +a#i, iii. Un0ai, r ea# e !tate ae! #e+ie, an, a!!e!!e, 7it%in 8 ear! i$$e,iate# 0re*e,in( t%e a*2-i!iti&n &6 an ri(%t &+er t%e #an, / an inn&*ent 0-r*%a!er 6&r +a#-e i+. An -/#i* %i(%7a) &r 0ri+ate 7a e!ta/#i!%e, &r re*&(nie, / #a7) &r an (&+ern$ent irri(ati&n) *ana# &r #atera# t%ere&6) i6 t%e *erti6i*ate &6 tit#e ,&e! n&t !tate t%e /&-n,arie! &6 !-*% %i(%7a &r irri(ati&n *ana# &r #atera# t%ere&6 %a+e /een ,eter$ine, +. An d i!0&!iti&n &6 t%e0r&0ert &r #i$itati&n &n t%e i!!-e t%ere&6 0-r!-ant t& PD 8> &r
an &t%er #a7 &r re(-#ati&n! &n a(rarian re6&r$
Inc$nr$.eri#%e and inde&easi#%e 3enera% R!%e U0&n e0irati&n &6 5 ear 6r&$ an, a6ter t%e entr &6 t%e ,e*ree &6 re(i!trati&n in t%e LRA) t%e ,e*ree an, t%e *&rre!0&n,in( *erti6i*ate &6 tit#e /e*&$e! in*&ntr&+erti/#e an, in,e6ea!i/#e.
8.
E6cei$ns8 =PN:; a. I6 re+i&-! +a#i, tit#e &6 t%e !a$e #an, ei!t! /. ;%en#an, *&+ere, i! n&t *a0a/#e &6 re(i!trati&n *. ;%en a*2-i!iti&n &6 *erti6i*ate i! atten,e, / & ra-,
*erti6i*ate &6 tit#e !%a## n&t /e !-/e*t t& *&##atera# atta*1. It *ann&t /e a#tere,) $&,i6ie,) &r *an*e##e, e*e0t in a ,ire*t 0r&*ee,in( in a**&r,an*e 7it% t%e #a7. T&rren! tit#e *ann&t /e *&##atera## atta*1e,. T%e 2-e!ti&n &n t%e +a#i,it &6 a T&rren! tit#e) 7%et%er 6ra-,-#ent# i!!-e, &r n&t) *an /e rai!e, &n# in an a*ti&n e0re!!# in!tit-te, 6&r t%at 0-r0&!e. T%e a*ti&n 6&r t%e ,e*#arati&n &6 n-##it &6 ,ee, &6 !a#e *&$$en*e, / t%e 0etiti&ner! in t%e RTC i! n&t t%e ,ire*t 0r&*ee,in( re2-ire, / #a7 t& atta*1 a T&rren! *erti6i*ate &6 tit#e. :%puroc v. ?oull%no 9n, 512 CRA 7 (2007
@.
T%e r-#e &n t%e in*&ntr&+erti/#e nat-re &6 a *erti6i*ate &6 tit#e a00#ie! 7%en 7%at i! in+&#+e, i! t%e +a#i,it &6 t%e OCT) n&t 7%en it *&n *ern! t%at &6 t%e TCT. Ar'!e%%es .Tim#anca"a5 K?2 SCRA 19(5 19?+ 8.
Re'isered %and n$ s!#4ec $ rescrii$n a. E+en a,+er!e) n&t&ri&-! an, *& ntin-&-! 0&!!e!!i&n -n,er *#ai$ &6 &7ner!%i0 6&r t%e 0eri&, 6ie, / #a7 i! ine66e*ti+e a(ain!t a T&rren! tit#e. M T!as$n and C$- Inc- .- CA5 K9( SCRA 1)+5 19?9 /. T%e 6a*t t%at t%e ti t#e t& t%e #a n, 7a!
*.
#&!t ,&e! n&t $ean t%at t%e #an, *ea!e, t& /e re(i!tere, #an, /e6&re t%e re*&n!tit-ti&n &6 it! tit#e. It *ann&t 0er6&r*e /e a*2-ire, / 0re!*ri0ti&n. R!iJ .- CA5 K?9 SCRA *2* 5 19?? La*%e! $a /e in+&1e, t& /ar re*&n+ean*e &6 #an, t& t%e re(i!tere, &7ner &n# i6 t%ere are inter+enin( ri(%t! &6 t%ir, 0er!& n! 7%i*% $a /e a66e*te, &r 0re-,i*e, i6 !-*% #an, i! ret-rne, t& t%e re(i!tere, &7ner. De L!cas .- 3am$nia5 K100 Pi% 2?? 5 19*+
;it% re!0e*t t& a *#ai$ &6 a*2-i!iti+e 0re!*ri0ti&n) it i! /a!e#e!! 7%en t%e #an, in+&#+e, i! a re(i!tere, #an, !in*e n& tit#e t& re(i!tere, #an, in ,er&(ati&n &6 t%at &6 t%e re(i!tere, &7ner !%a## /e a*2-ire, / a,+er!e 0&!!e!!i&n. :e%ician$ .- Ga%di.ar5 K3-R- N$-
1+2*9(5 Se- 2+5 200+ =.
Ceri&icae $& i%e n$ s!#4ec $ c$%%aera% aac<
c.
+8
o
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152 0r&+i,e!
t%at
a
T$rrens Ceri&icae res!med .a%id and de.$id $& &%a/s 3enera% R!%e T&rren! Certi6i*ate &6 Tit#e i! 0re!-$e, t& %a+e /een re(-#ar# i!!-e,) +a#i,) an, 7it%&-t ,e6e*t!. T%e /-er %a! t%e ri(%t t& re# -0&n t%e 6a*e &6 t%e T&rren! tit#e an, ,i!0en!e 7it% t%e tr&-/#e &6 in2-irin( 6-rt%er. E6cei$n ;%en %e %a! a*t-a# 1n&7#e,(e &6 6a*t! an, *ir*-$!tan*e! t%at 7&-#, i$0e# a rea!&na/# *a-ti&-! $an t& $a1e in2-ir.
;%i#e) it i! a 6a$i#iar ,&*trine t%at a 6&r(e, &r 6ra-,-#ent ,&*-$ent $a /e*&$ e t%e r&&t &6 a +a#i, tit#e) i6 tit#e t& t%e 0r&0ert %a! /een tran!6erre, 6r&$ t%e 6&r(er t& an inn&*ent 0-r*%a!er in (&&, 6ait%) t%e !a$e ,&e! n&t a00# in *a!e &6 /an1in( in!tit-ti&n! &r t%&!e en(a(e, in rea# e!tate 6&r t%e are e0e*te, e0e*te, t& eer*i!e $&re *are an, 0r-,en*e t%an 0ri+ate in,i+i,-a#! in t%eir ,ea#in( 7it% re(i!tere, #an,!. In t%e a/!en*e &6 in2-ir) t%e re!0&n,ent Ban1 *ann&t an, !%&-#, n&t /e re(ar,e, a! a $&rt(a(ee0-r*%a!er in (&&, 6ait%. Eras!sa .CA5 K3-R- N$- 1)92(15 !%" 1?5 200+ 4.
3enera% incidens $& re'isered %and
Re(i!tere, #an, &r t%e &7ner! t%ere&6 are n&t re#ie+e, 6r&$ t%e 6&##&7in(: a. Fr&$ an ri(%t! in*i,ent t& t%e re #ati&n &6 %-!/an, an, 7i6e) #an,#&r, an, tenant /. Fr&$ #ia /i#it t& atta *%$ent &r #e+ &n ee*-ti&n *. Fr&$ #ia/i#it t& an #ien &6 an ,e!*ri0ti&n e!ta/#i!%e, / #a7 &n t%e #an, an, /-i#,in(! t%ere&n) &r in t%e intere!t &6 t%e &7ner in !-*% #an, &r /-i#,in(! ,. Fr&$ an ri(%t &r #ia/i#it t%at $a ari!e ,-e t& *%an(e &6 t%e #a7 &n ,e!*ent e. Fr&$ t%e ri(%t! &6 0art iti&n /et7een *& &7ner! 6. Fr&$ t%e ri(%t &6 t% e (&+ern$ent t& ta 1e
t%e #an, / e$inent ,&$ain (. Fr&$ #i a/i#it t& /e re*&+ere, / an a!!i(nee in in!&#+en* &r tr-!tee in /an1r-0t* -n,er t%e #a7! re#ati+e t& 0re6eren*e! %. Fr&$ an &t%er ri(%t! &r #ia/i#itie! *reate, / #a7 an, a00#i*a/#e t& -nre(i!tere, #an,
A,,iti&na##) 7%i#e t%e *&-rt %a! n& -ri!,i*ti&n t& a,-,i*ate #an,! a#rea, *&+ere, / a Certi6i*ate &6 Tit#e) it i! n&net%e#e!! tr-e t%at t%i! r-#e &n# a00#ie! 7%ere t%ere ei!t! n& !eri&-! *&ntr&+er! a! t& t%e *erti6i*ateK! a-t%enti*it "is
BASIS .
Were ceri&icae $& i%e is $#ained #" a r!see a. Tr-!tee 7%& &/t ain! a T&rren! tit#e in %i! na$e) &+er 0r&0ert %e#, in tr-!t / %i$ 6&r an&t%er *ann&t re0-,iate t%e tr-!t re#in( &n t%e re(i!trati&n!) !-*% /ein( &ne &6 t%e #i$itati&n! -0&n t%e 6ina#it &6 tit#e /. Tr-!tee *&-#, n&t 0er6&r*e #e(a## *&n+e &7ner!%i0 &6 t%e re(i!tere, 0r&0ert in %er 7i## 6&r !%e i! n&t t%e a/!&#-te &7ner t%ere&6
%!ur Applic%n! ?%ns covr
(- CADASTRAL RE3ISTRATION CADASTRAL RE3ISTRATION i! a 0r&*ee,in( in rem initiate, / t%e 6i#in( &6 a 0etiti&n 6&r re(i!trati&n / t%e (&+ern$ent) n&t / t%e 0er!&n! *#ai$in( &7ner!%i0 &6 t%e #an, !-/e*t t%ere&6) an, t%e #atter are) &n t%e 0ain &6 #&!in( t%eir *#ai$ t%eret&) in e66e*t) *&$0e##e, t& (& t& *&-rt t& $a1e 1n&7n t%eir *#ai$ &r intere!t t%erein an, t& !-/!tantiate !-*% *#ai$ &r intere!t Pr$ced!re8 =NN>CP>PAHD>DI; 5. N&ti*e &6 *a,a!tra# !-r+e 0-/#i!%e, &n*e in OG an, 0&!te, in *&n!0i*-&-! 0#a*e 7it% a *&0 6-rni!%e, t& t%e $a&r an, barangay *a0tain 8. N&ti*e &6 ,ate &6 !-r+e / t%e B-rea- &6 Lan, Mana(e$ent an, 0&!tin( in /-##etin /&ar, &6 t%e $-ni*i0a# /-i#,in( &6 t%e $-ni*i0a#it &r barrio) an, %e !%a## $ar1 t%e /&-n,arie! &6 t%e #an,! / $&n-$ent! !et-0 in 0r&0er 0#a*e! t%ere&n =. Ca,a!tra# !-r+e @. Fi#in( &6 etiti&n 4. P-/#i*ati&n ?t7i*e in !-**e!!i+e i!!-e! &6 OG) $ai#in() 0&!tin( . Fi#in( &6 a n!7er >. H earin( &6 t%e *a!e 9. D e*i!i&n . I!!-an*e &6 t%e ,e*ree an, *erti6i*ate &6 tit#e NOTE8 T%e *a,a!tra# *&-rt i! n&t #i$ite, t& a $ere a,-,i*ati&n &6 &7ner!%i0 in 6a+&r &6 &ne &r $&re *#a i$ant!. I6 t%e re are n& !-* *e!!6-# *#ai$ant!) t%e 0r&0ert i! ,e*#are, 0-/#i* #an,.
;%r!is
;urpos
;rson "o rus!s !" surv6 Ec! o ju&n!
PD1*29 V$%!nar" Lan,&7ner -!-a## in+&#+e! 0ri+ate #an, it $a a#!& re6er t& 0-/#i* a(ri*-#t-ra# #an,! i6 t%e &/e*t &6 t%e a*ti&n i! *&n6ir$ati&n &6 an i$0er6e*t tit#e A00#i*ant an, &00&nent
Petiti&ner *&$e! t& *&-rt t& *&n6ir$ %i! tit#e an, !ee1! t%e re(i!trati&n &6 t%e #an, in %i! na$e Lan,&7ner n& a,+er!e *#ai$ i6 t%e a00#i*ant 6ai#! t& 0r&+e %i! tit#e) %i! a00#i*ati&n $a /e ,i!$i!!e, 7it%&-t 0re-,i*e ?n& res judicata
CADASTRAL C$m!%s$r" Dire*t&r &6 Lan,! a## *#a!!e! &6 #an,! are in*#-,e,
G&+ern$ent) Lan,&7ner! $-!t *&$e t& *&-rt a! *#ai$ant! &6 t%eir &7n #an,! G&+ern$ent a!1! t%e *&-rt t& !ett#e an, a,-,i*ate t%e tit#e &6 t%e #an, G&+ern$ent i6 n&ne &6 t%e a00#i*ant! *an 0r&+e t%at %e i! entit#e, t& t%e #an,) t%e !a$e !%a## /e ,e*#are, 0-/#i* ?res judicata
PATENTS C%assi&icai$n $& Land $& P!#%ic D$main8 T%e *#a!!i6i*ati&n i! t%e e*#-!i+e 0rer&(ati+e &6 ee*-ti+e an, n&t &6 t%e -,i*iar
An&ne 7%& a00#ie! 6&r *&n6ir$ati&n &6 i$0er6e*t tit#e %a! t%e /-r,en &6 0r&&6 t& &+er*&$e t%e 0re!-$0ti&n t%at t%e #an, !&-(%t t& /e re(i!tere, 6&r$! 0art &6 0-/#i* ,&$ain ?Re(a#ian ,&*trine
Under e C$nsi!i$n: 5. A(ri*-#t-ra# t%e &n# !-/e*t t& a#ienati&n 8. F&re!t &r ti$/er =. Minera# #an,! @. Nati&na# 0ar1
*#a!!i6i*ati&n
Under e P!#%ic Land Ac8 5. A#iena/#e,i!0&!a/#e: a. A(ri*-#t-ra# /. Re!i,entia#) *&$$er*ia#) in,-!tria# *. E,-*ati&na#) *%arita/#e ,. T&7n !ite! an, 6&r 0- /#i* an, 2-a!i 0-/#i* -!e! 8. Ti$/er #an,!: ina#iena/#e =. Minera# #an,!: ina#iena/#e • I6 0atent &r tit#e i! i!!-e,) it i! +&i, ab initio 6&r #a*1 &6 -ri!,i*ti&n 3enera% R!%e It i! n&t !-/e*t t& a*2-i!iti+e 0re!*ri0ti&n e+en i6 in 0&!!e!!i&n 6&r #&n( ti$e) it 7i## n&t ri0en int& &7ner!%i0
Ti%e Iss!ed P!rs!an $ Re'israi$n $& Paen8 5. In,e6ea!i/#e 7%en re(i!tere,) an, ,ee $e, in*&r0&rate, 7it% T&rren! !!te$ 5 ear a6ter t%e i!!-an*e &6 0atent 8. 3R8 Ma n&t /e &0ene, 5 ear a6ter entr / LRA ?&t%er7i!e) *&n6-!i&n an, -n*ertaint &n t%e (&+ern$ent !!te$ &6 t%e ,i!tri/-ti&n &6 0-/#i* #an,! $a ari!e an, t%i! $-!t /e a+&i,e, E6cei$n8 i6 it i! ann-##a/#e &n (r&-n, &6 6ra-,) t%en it $a /e re&0ene, e+en a6ter 5 ear /e*a-!e re(i!trati&n ,&e! n&t !%ie#, /a, 6ait% • T%e *&-rt) in t%e eer*i!e &6 it! e2-it -ri!,i*ti&n) $a ,ire*t re*&n+ean*e e+en 7it%&-t &r,erin( *an*e##ati&n &6 tit#e
E6cei$n F Minera# #an,! an, 6&re! t #an,! a*2-ire, /e6&re ina-(-rati&n &6 C&$$&n7ea#t% in N&+e$/er 54) 5=4 /e*a-!e t%ere are +e!te, ri(%t! 7%i*% are 0r&te*te,
H$mesead Resrici$ns8 5. Lan, *ann&t /e a#ienate, 7it%in 4 ear! a6ter a00r&+a# &6 a00#i*ati&n 6&r 0atent 8. It *ann&t /e #ia/#e 6&r !ati!6a*ti&n &6 ,e/t 7it%in 4 ear! a6ter a00r&+a# &6 0atent a00#i*ati&n =. S-/e*t t& re0 -r*%a!e &6 %eir ! 7it%in 4 ear ! a6ter a#ienati&n 7%en a##&7e, a#rea, @. N& 0ri+ate *&r0&rati&n) 0artner!%i0) a!!&*iati&n $a #ea!e #an, -n#e!! it i! !&#e# 6&r *&$$er*ia#) in,-!tria#) e,-*ati&na#) re#i(i&-! &r *%arita/#e 0-r0&!e) &r ri(%t &6 7a ?!-/e*t t& *&n!ent &6 (rantee an, a00r&+a# &6 Se*retar &6 En+ir&n$ent Nat-ra# Re!&-r*e!
:ISHPONDS Be&$re8 It 7a! in*#-,e, in t%e ,e6initi&n &6 a(ri*-#t-re) t%ere6&re t%e *&n+er!i&n &6 a(ri*-#t-ra# #an, t& 6i!%0&n,! ,i, n&t *%an(e *%ara*ter &6 #an,
E6cei$ns8 5. A*ti&n 6 &r arii$n /e*a-!e it i! n&t a *&n+ean*e 8. A#ienati&n! &r en*-$/ran*e! $a,e in &a.$r $& e '$.ernmen
N$/8 It %a! a re!tri*te, $eanin(" Fi!%0&n,! are &6 a ,i!tin*t *ate(&r an, *ann&t /e a#ienate, /-t $a /e #ea!e, 6r&$ (&+ern$ent
Errin' H$meseader n$ Barred #" Pari De#i*t& - Pari delicto r-#e ,&e! n&t a00# in +&i, *&ntra*t! - Vi&#ati&n &6 0r&%i/iti&n re!-#t! in +&i, *&ntra*t - A*ti&n t& re*&+er ,&e! n&t 0re!*ri/e
Wen 3$.ernmen 3ran Deemed Ac@!ired #" Oerai$n $& La/8 5. Dee, &6 *&n+ean*e i!!-e, / (&+ern$ent 0atent(rant 8. Re(i!trati&n 7it% t%e ROD: $a n,at&r) it i! t%e &0erati+e a*t t& *&n+e an, tran!6er tit#e =. A*t-a# 0%!i*a# 0&!!e!!i&n) &0en an, *&ntin-&-! • Lan, *ea!e, t& /e 0art &6 0-/#i* ,&$ain n&7 &7ner!%i0 +e!t! t& t%e (rantee • An 6-rt%er (rant / G&+ern$ent &n !a$e #an, i! n-## an, +&i, • U0&n re(i!trati&n) tit#e i! in,e6ea!i/#e
IND S
H$me > sead Paen
TO WHOM 3RANTE D
OTHER REUIREMENTS
T& an
Grantee ,&e! n&t &7n $&re t%an 58 %e*tare! &6 #an, in t%e
Fi#i0in& *itien &+er t%e a(e &6 59 ear! &r %ea, &6 a 6a$i#
P%i#i00ine! &r %a! n&t %a, t%e /ene6it &6 an (rat-it&-! a##&t$ent &6 $&re t%an 58 %e*tare! $-!t %a+e re!i,e, *&ntin-&-!# 6&r at #ea!t 5 ear in t%e $-ni*i0a#it 7%ere t%e
:ree Paen
Sa%es Paen
T& an nat-ra# /&rn *itien &6 t%e P%i#i00ine ! ?6i#in( en,e, De*. =5) 8
Citien! &6 t%e P%i#i00ine ! &6 #a76-# a(e &r %ea, &6 t%e 6a$i# $a 0-r*%a!e 0-/#i* a(ri*-#t-r a# #an, &6 n&t $&re t%an 58 %e*tare!
T& an *itien &6 #e(a# a(e 6&r re!i,entia# 0-r0&!e!
Seci a% Paen
T& N&n C%ri!tian Fi#i0in&! -n,er t%e P-/#i* Lan, A*t
#an, i! !it-ate, $-!t %a+e *-#ti+ate, at #ea!t 54 &6 t%e #an, a00#ie, 6&r Grantee ,&e! n&t &7n $&re t%an 58 %e*tare! &6 #an, %a! *&ntin-&-!# &**-0ie, an, *-#ti+ate,) eit%er / %i$!e#6 &r %i! 0re,e*e!!&r!in intere!t) tra*t! &6 ,i!0&!a/#e a(ri*-#t-ra# 0-/#i* #an, 6&r at #ea!t = ear! 0ri&r t& Mar*% 89)5 %a! 0ai, rea# 0r&0ert tae! &n t%e 0r&0ert 7%i#e t%e !a$e %a! n&t /een &**-0ie, / an 0er!&n (rant 7i## /e #i$ite, t& 58 %e*tare! &n# t& %a+e at #ea!t 54 &6 t%e #an, /r&1en an, *-#ti+ate, 7it%in 4 ear! 6r&$ t%e ,ate &6 t%e a7ar, ?0-/#i* a-*ti&n !%a## %a+e e!ta/#i!%e, a*t-a# &**-0an*) *-#ti+ati&n) an, i$0r&+e$ent &6 at #ea!t 54 &6 t%e #an, -nti# t%e ,ate &6 !-*% 6ina# 0a$ent 6&r a(ri*-#t-ra# #an,! !-ita/#e 6&r re!i,entia#) *&$$er*ia# &r in,-!tria# 0-r0&!e!) 0atent i! i!!-e, &n# a6ter: 5. 6-## 0a$ent &6 0-r*%a!e 0ri*e) an, 8. *&$0#eti&n &6 t%e *&n!tr-*ti&n &6 0er$anent i$0r&+e$ent! a00r&0riate 6&r 0-r0&!e 6&r 7%i*% t%e #an, i! 0-r*%a!e, ?$-!t /e *&$0#ete, 7it%in 59 $&nt%! 6r&$ ,ate &6 a7ar, ,&e! n&t &7n a %&$e #&t in t%e $-ni*i0a#it in 7%i*% %e re!i,e! in (&&, 6ait%) e!ta/#i!%e, %i! re!i,en*e &n a 0ar*e# &6 #an, &6 0-/#i* ,&$ain n&t nee,e, 6&r 0-/#i* !er+i*e n&t $&re t%an 5 !2. $. &**-0ant $-!t %a+e *&n!tr-*te, %i! %&-!e &n t%e #an, an, a*t-a## re!i,e, t%erein n& 0-/#i* a-*ti&n re2-ire, n&t !-/e*t t& an re!tri*ti&n a(ain!t en*-$/ran*e &r a#ienati&n Se*retar &6 t%e DILG !%a## *erti6 t%at t%e $a&rit &6 t%e n&nC%ri!tian in%a/itant! &6 an (i+en re!er+ati&n %a+e a,+an*e, !-66i*ient# in *i+i#iati&n
Pr$ced!re &$r Re'israi$n $& P!#%ic Lands8 =I:E:I; 5. O66i*ia# i!!-e! an in!tr-$ent &6 *&n+ean*e 8. :i#e t%e in!tr-$ent 7it% ROD =. In!tr-$ent i! t& /e entere, in /&&1! an, &7nerK! ,-0#i*ate t& /e i!!-e, • In!tr-$ent i! &n# a *&ntra*t /et7een G&+ern$ent an, 0ri+ate 0er!&n an, ,&e! n&t ta1e e66e*t a! *&n+ean*e i6 -nre(i!tere,) it i! re(i!trati&n 7%i*% i! &0erati+e a*t &6 *&n+ein( #an," e+i,en*e &6 a-t%&rit 6&r ROD t& re(i!ter @. :ee! t& /e 0ai, / (rantee 4. A6ter i!!-an*e &6 *erti6i*ate &6 tit#e) #an, i! ,ee$e, re(i!tere, #an, 7it%in t%e 0-r+ie7 &6 t%e T&rren! !!te$ RESTRICTION ON ALIENATION ENCUMBRANCE O: LANDS TITLED PURSUANT TO PATENTS8 5. Lan,! -n,er 6ree 0atent &r %&$e!tea, 0atent i! 0r&%i/ite, 6r&$ /ein( a#ienate,en*-$/ere,) e*e0t i6 in 6a+&r &6 t%e (&+ern$ent) 7it%in 4 ear! 6r&$ an, a6ter t%e i!!-an*e &6 t%e 0aten t &r (rant. ;%en #an,! are *&n+ee, 7it%in t%at 0eri&,) t%e &7ner+en,&r) %i! 7i,&7 &r %eir!) $a re0-r*%a!e t%e !a$e 7it%in 6i+e ear! 6r&$ *&n+ean*e) !-*% ri(%t *ann&t /e 7ai+e,. Rpulic v. Birs o <lip Alj% %, r., 33 CRA 3*1 (2002) 8. Tran!6er &r *&n+ean*e &6 an
%&$e!tea, a6ter 4 ear! /-t /e6&re 84 ear! a6ter t%e i!!-an*e &6 t%e tit# e 7it%&-t t%e a00r&+a# &6 t%e DENR Se*retar =. Lan,! a *2-ire, - n,er e $an*i0ati&n 0atent! i!!-e, t& #an,#e!! tenant! an, 6ar$er! $-!t n&t /e a#ienate, &r en*-$/ere, 7it%in 5 ear! 6r&$ i!!-an*e &6 t%e tit#e @. C&n+ean*e! an, en*-$/ran*e! $a,e / 0er!&n! /e#&n(in( t& t%e n&n C%ri!tian tri/e! $a /e $a,e &n# 7%en t%e 0er!&n $a1in( t%e *&n+ean*e &r en*-$/ran*e i! a/#e t& rea, an, -n,er!tan, t%e #an(-a(e in 7%i*% t%e in!tr-$ent &r ,ee, i! 7ritten. I6 i##iterate) $-!t /e a00r&+e, / t%e t%en C&$$i!!i&ner &6 Min,ana& an, S-#-
NATURE O: TITLE TO PUBLIC LANDS CONVE,ED8 1- Inde&easi#%e And C$nc%!si.e T%e *erti6i*ate &6 tit#e /e*&$e! in,e6ea!i/#e an, in*&ntr&+erti/#e -0&n t%e e0irati&n &6 &ne ear 6r&$ t%e ,ate &6 t%e i!!-an*e &6 t%e &r,er 6&r t%e i!!-an*e &6 t%e 0atent. A! !-*%) t%e #an, *ann&t /e t%e !-/e*t &6 a *a,a!tra# 0r&*ee,in( n&r ,e*ree,
t& an&t%er 0er!&n In a#sence $& re'israi$n ) tit#e t& 0-/#i* #an, n$ er&eced an, t%ere6&re n$ i! inde&easi#%e In *a!e &6 2 i%es $#ained $n same dae ) t%e &ne 0r&*-re, t%r&-(% a ,e*ree &6 re(i!trati&n i! !-0eri&r t%an 0atent i!!-e, / ,ire*t&r &6 #an,!
2 i%es r$c!red #" $ne ers$n : &ne 6r&$ %&$e!tea, 0atent) an, &ne 6r&$ -,i*ia# ,e*ree an, !&#, t& 8 ,i66erent 0er! &n!) t%e &ne 7%& /&-(%t it 6&r +a#-e an, in (&&, 6ait% an, 7%& re(i!tere, 6ir!t !%a## %a+e 0re6eren*e A &ree aen $#ain ed r$!' &ra!d $r misreresenai$n is .$id. F-rt%er$&re) t%e &neear 0re!*ri0ti+e 0eri&, 0r&+i,e, in t%e P-/#i* Lan, A*t ,&e! n&t /ar t%e State 6r&$ a!1in( 6&r t%e re+er!i&n &6 0r&0ert a*2-ire, t%r&-(% !-*% $ean!. On*e a 0atent i! re(i!tere, an, t%e *&rre!0&n,in( *erti6i*ate &6 tit#e i!!-e,) t%e #an, *&+ere, / t%e$ *ea!e! t& /e 0art &6 t%e 0-/#i* ,&$ain an, /e*&$e! 0ri+ate 0r&0ert. in,e6ea!i/i#it &6 a tit#e ,&e! n&t atta*% t& tit#e! !e*-re, / 6ra-, an, $i!re0re!entati&n. ;e## !ett#e, i! t%e ,&*trine t%at t%e re(i!trati&n &6 a 0atent -n,er t%e T&rren! S!te$ ,&e! n&t / it!e#6 +e!t tit#e" it $ere# *&n6ir$! t%e re(i!trantK! a#rea, ei!tin( &ne. Veri#) re(i!trati&n -n,er t%e T&rren! S!te$ i! n&t a $&,e &6 a*2-irin( &7ner!%i0. T%ere6&re) -n,er Se*ti&n 55 &6 C&$$&n7ea#t% A*t N&. 5@5) t%e State e+en a6ter t%e #a0!e &6 &ne ear $a !ti## /rin( an a*ti&n 6&r t%e re+er!i&n t& t%e 0-/#i* ,&$ain &6 #an, t%at %a! /een 6ra-,-#ent# (rante, t& 0ri+ate in,i+i,-a#!. F-rt%er) t%i! in,e6ea!i/i#it *ann&t /e a /ar t& an in+e!ti(ati&n / t%e State a! t& %&7 t%e tit#e %a! /een a*2-ire,) i6 t%e 0-r0&!e &6 t%e in+e!ti(ati&n i! t& ,eter$ine 7%et%er 6ra-, %a! in 6a*t /een *&$$itte, in !e*-rin( t%e tit#e. Re!#%ic .- Heirs $& A%e4a'a5 K(9( SCRA (+15 2002
)- REMEDIES REMEDIES AVAILABLE TO A33RIEVED PART, IN RE3ISTRATION PROCEEDIN3S M$i$n $ Li&Se Aside $rder $& de&a!% ?R-#e b = B ,e6a-#te, &00&!it&r Be6&re -,($ent :ra-,) a**i,ent) mi!ta1e) e*-!a/#e ne(#i(en*e =:AME; an, 7it% +a#i, ,e6en!e) -n,er &at% M$i$n &$r Ne/ Tria% ?R-#e => B a((rie+e, 0art ;it%in 54 ,a! 6r&$ re*ei0t &6 -,($ent
3r$!nds =:AMINE;8 a- :AME /. Ne7# ,i!*&+ere, e+i,en*e: Di!*&+ere, a6ter tria# n&t ,i!*&+ere, ear#ier e+en 7it% eer*i!e &6 ,i#i(en*e 7i## 0r&/a/# a#ter -,($ent *. A7ar, &6 e*e!!i+e ,a$a(e!) &r in!-66i*ien* &6 e+i,en*e t& -!ti6 ,e*i!i&n) &r t%at t%e ,e*i!i&n i! a(ain!t t%e #a7 Aea% / a((rie+e, 0art ;it%in 54 ,a! 6r&$ n&ti*e &6 -,($ent T& t%e CA / &r,inar a00ea#" t%en*e t& SC / 0etiti&n 6&r re+ie7 Re%ie& &r$m !d'men ?R-#e =9 b 8 B a((rie+e, 0art ;it%in ,a! 6r&$ 1n&7#e,(e &6) an, $&nt%! 6r&$) -,($ent n& ne7 tria# -0&n 6ina#it &6 -,($ent Re@!isies8 a. FAME) 7it% a66i,a+it &6 $erit" in *a!e &6 etrin!i* 6ra-,) !tate t%at ,e0ri+e, &6 %earin( &r 0re+ente, 6r&$ a00ea#in( /. A6ter -,($ent *. Per!&n ,e0ri+e, &6 ri(%t i! 0art t& *a!e ?a00#i*ant &r &00&!it&r Peii$n &$r Re.ie/ $& Re'israi$n Decree ?b =8 PD548 B a((rie+e, 0art) in*#-,in( 0er!&n ,e0ri+e, &6 &00&rt-nit t& /e %ear, T& /e 6i#e, in !a$e re(i!trati&n *a!e ;it%in 5 ear a6ter entr &6 ,e*ree &6 re(i!trati&n it 7i## n&t 0r&!0er i6 tran!6erre, t& inn&*ent 0-r*%a!er 6&r +a#-e 3r$!nds8 a. a*t-a# &r etrin!i* 6ra-,) *&$$itte, &-t!i,e tria#) 0re+entin( 0etiti&ner 6r&$ 0re!entin( %i! !i,e /. 6ata# in6ir$it in t%e ,e*i!i&n 6&r 7ant &6 ,-e 0r&*e!! *. #a*1 &6 -ri!,i*ti&n &6 t%e *&-rt Re@!isies8 a. Petiti&ner %a! a re a# an, ,&$ini*a# ri(%t /. He %a! /een ,e0ri+e, &6 !-*% ri(%t *. T%r&-(% a*t-a# &r etrin!i* 6ra-, ,. T%e 0etiti&n i! 6i#e, 7it%in 5 ear 6r&$ t%e i!!-an*e &6 t%e ,e*ree e. T%e 0r&0ert %a! n&t /een 0a!!e, &n t& an inn&*ent 0-r*%a!er 6&r +a#-e ?IPV Aci$n &$r Rec$n.e"ance ?b PD 548 b58 A*t @ B a((rie+e, 0art) 7%&!e #an, 7a! re(i!tere,
7r&n(# t& an&t%er 0er!&n Be6&re i!!-an*e &6 ,e*ree) &r 7it%ina6ter 5 ear 6r&$ entr A+ai#a/#e !& #&n( a! 0r&0ert n&t et 0a!!e, t& IPV a*ti&n in personam i6 /a!e, &n &ra!d) it $-!t /e in!tit-te, 7it%in @ ear! 6r&$ t%e ,i!*&+er &6 t%e 6ra-, i6 /a!e, &n im%ied r!s: it $-!t /e 6i#e, 7it%in 5 ear! 6r&$ i!!-an*e &6 OCT) i6 a*ti&n /r&-(%t / re'isered $/ner &r %i! ci%dren) c$>eir) &r %aini&& in $ssessi$n: imrescrii#%e i6 /a!e, &n e6ressed r!s: imrescrii#%e i6 /a!e, &n .$id c$nrac: imrescrii#%e
Aci$n &$r Dama'es B a((rie+e, 0art A6ter 5 ear 6r&$ ,e*ree an, n& re*&n+ean*e 0&!!i/#e ,-e t& IPV ;it%in @ ear! 6r&$ ,i!*&+er &6 6ra-, ?a*t-a# &r *&n!tr-*ti+e A(ain!t 0er!&n re!0&n!i/#e 6&r 6ra-,
Re@!isies8 a. Per!&n i! 7r&n(6-## ,e0ri+e, &6 %i! #an, / re(i!trati&n in na$e &6 an&t%er /. N& ne(#i(en*e &n %i! 0art *. Barre, 0re*#-,e, 6r&$ /rin(in( an a*ti&n ?a6ter 5 ear 6r&$ ,e*ree ,. A*ti&n 6&r *&$0en!ati&n %a! n&t 0re!*ri/e, Aci$n &$r C$mensai$n &r$m e Ass!rance :!nd B 0er!& n ,e0ri+e, &6 %i! #an, / rea!& n &6 &0erati&n &6 T&rren! S!te$) 0r&+i,e,: n& ne(#i(en*e &n %i! 0art an, /arre, 6r&$ re*&+erin( #an, A(ain!t 0er!&n re!0&n!i/#e 6&r 6ra-,) an, ROD an, Nati&na# Trea!-rer
C$mensai$n: 6air $ar1et +a#-e &6 #an, at ti$e &6 #&!!. A$&-nt t& /e re*&+ere, n&t #i$ite, t& 4) 7%i*% i! $aintaine, a! !tan,in( 6-n,. I6 6-n, i! n&t !-66i*ient) Nati&na# Trea!-rer i! a-t%&rie, t& $a1e -0 6&r ,e6i*ien* 6r&$ &t%er 6-n,! a+ai#a/#e t& Trea!-r e+en i6 n&t a00r&0riate,. Ee*-ti&n 6ir!t a(ain!t 0er!&n re!0&n!i/#e 6&r 6ra-," i6 in!&#+ent) a(ain!t nati&na# trea!-r. T%erea6ter) t%e G&+ern$ent !%a## /e !-/r&(ate, t& t%e ri(%t! &6 0#ainti66 t& (& a(ain!t &t%er 0artie! &r !e*-ritie! An *&-rt &6 *&$0etent -ri!,i*ti&n: RTC in *it 7%ere 0r&0ert #ie! &r re!i,ent &6 0#ainti66
Re@!isies8
a. T %e a((rie+e, 0art !-!taine, #&!! &r ,a$a(e) &r i! ,e0ri+e, #an, &r an e!tate &r intere!t t%erein /. S-*% #&!!) ,a$a(e &r ,e0ri+ati&n 7a! &**a!i&ne, / t%e /rin(in( &6 t%e #an, -n,er t%e &0erati&n &6 t%e T&rren! !!te$ &r ar&!e a6ter t%e &ri(ina# re(i!trati&n &6 t%e #an, *. T%e #&!!) ,a$a(e &r ,e0ri+ati&n 7a! ,-e t&: 6ra-,) &r an err&r) &$i!!i&n) $i!ta1e) &r $i!,e!*ri0ti&n in an *erti6i*ate &6 tit#e &r in an entr &r $e$&ran,-$ in t%e re(i!trati&n /&&1. ?L&!! &r ,a$a(e !%&-#, n&t /e ,-e t& /rea*% &6in tr-!t &r $i!ta1e in re!-r+e re!-#tin( e0an!i&n &6 area in *erti6i*ate &6 tit#e. ,. T%e a((rie+e, 0art 7a! n&t ne(#i(ent. e. He i! /arre, -n,er t%e 0r&+i!i&n! &6 PD 548 &r -n,er t%e 0r&+i!i&n! &6 an #a7 6r&$ re*&+erin( !-*% #an," 6. T%e a*ti&n %a! n&t 0re!*ri/e,: $-!t /e in!tit-te, 7it%in ear! 6r&$ t%e i!!-an*e &6 t%e *erti6i*ate &6 tit#e ?I6 0#ainti66 i! $in&r) in!ane &r i$0ri!&ne,) %e %a! a,,iti&na# 8 ear! a6ter ,i!a/i#it i! re$&+e, t& 6i#e t%e a*ti&n. Cance%%ai$n S!is B a((rie+e, 0art &r t%e (&+ern$ent In *a!e &6 d$!#%e i%e: ear#ier tit#e 0re+ai#!) -n#e!! 0r&*-re, / 6ra-, &r i! -ri!,i*ti&na## 6#a7e,. T%e #ater tit#e i! +&i, e+en i6 IPV ,eri+e! tit#e t%ere6r&$ In *a!e &6 n$n>re'isered %and: t& /e 6i#e, / t%e S&#Gen 6&r *an*e##ati&n &6 tit#e &r re+er!i&n t& State V&i,in( &r *an*e##ati&n &6 OCT ,&e! n&t a66e*t ,eri+ati+e TCT! i6 t%eir %&#,er! n&t (i+en &00&rt-nit t& /e %ear, an, ,e6en, t%eir tit#e Ann!%men $& !d'men Ma &n# /e a+ai#e, &6 7%en t%e &r,inar re$e,ie! &6 ne7 tria#) 0etiti&n 6&r re#ie6) &r &t%er a00r&0riate re$e,ie! are n& #&n(er a+ai#a/#e t%r&-(% n& 6a-#t &6 t%e 0etiti&ner. LinJa' .- CA5 K291 SCRA (0) 5 199 Re.ersi$n S!i T%e &/e*ti+e i! t%e *an*e##ati&n &6 t%e tit#e an, t%e *&n!e2-entia# re+er!i&n &6 t%e #an, t& t%e State 3r$!nds8 a. Vi&#ati&n &6 Se*ti&n! 559) 58) 585 an, 588 &6 t%e P-/#i* Lan, A*t ex% alienation or sale of homestead executed within the 9 year prohibitory period* /. ;%en t%e 0atente, an, tit#e, i! n&t *a0a/#e &6#an, re(i!trati&n *. Fai#-re &6 t%e (rantee t& *&$0# 7it% *&n,iti&n! i$0&!e, / #a7 t& entit#e %i$ t& a 0atent &r (rant ,. ;%en area i! an e0an,e, area e. ;%en t%e #an, i! a*2-ire, in +i&#ati&n &6
t%e C&n!tit-ti&n ?e.(. #an, a*2-ire, / an a#ien In,e6ea!i/i#it &6 tit#e) 0re!*ri0ti&n) #a*%e!) an, e!t&00e# ,& n&t /ar re+er!i&n !-it! !iein' $& Ti%e ?Arti*#e @> &6 t%e ne7 *i+i# *&,e B re(i!tere, &7ner &r 0er!&n 7it% an e2-ita/#e ri(%t &r intere!t in t%e 0r&0ert. Mamads!% .M$s$n5 K190 SCRA 25 1990 An &r,inar *i+i# *a!e /r&-(%t t& re$&+e *#&-,! &n t%e tit#e t& rea# 0r&0ert &r an intere!t t%erein) / rea!&n &6 an *&ntra*t) re*&r,) *#ai$) en*-$/ran*e) &r 0r&*ee,in( t%at i! +&i,) +&i,a/#e &r -nen6&r*ea/#e) an, $a /e 0re-,i*ia# t& !ai, tit#e Buasi
MORE ON THE ASSURANCE :UND U0&n entr &6 *erti6i*ate in na$e &6 &7ner &r TCT) \ &6 5 /a!e, &n a!!e!!e, +a#-e &6 #an, !%a## /e 0ai, t& t%e ROD a! a *&ntri/-ti&n t& t%e a!!-ran*e 6-n,. In *a!e t%ere i! n& a!!e!!$ent et) a !7&rn ,e*#arati&n &6 8 ,i!intere!te, 0er!&n! &n t%e +a#-e &6 t%e #an,) !-/e*t t& *&-rt a00r&+a#) i! re2-ire,. T%i! !%a## /e in t%e *-!t&, &6 t%e Nati&na# Trea!-rer. It !%a## /e in+e!te, -nti# t%e 0rin*i0a# 0#-! intere!t a((re(ate! t& 4). T%e e*e!! !%a## /e 0ai, t& t%e A!!-ran*e F-n, an, /e in*#-,e, in t%e ann-a# re0&rt &6 Trea!-rer t& Se*retar &6 B-,(et.
PETITIONS AND MOTIONS A:TER ORI3INAL RE3ISTRATION8 1- L$s D!%icae Ceri&icae a. Per!&n in intere!t $a1e! a !7&rn !tate$ent re(ar,in( t%e #&!! &r ,e!tr-*ti&n &6 t%e &7nerK! ,-0#i*ate *erti6i*ate &6 tit#e t& /e 6i#e, 7it% ROD. I6 !tate$ent i! 6a#!e) %e *an /e *%ar(e, 7it% t%e *&$0#e *ri$e &6 e!ta6a t%r&-(% 6a#!i6i*ati&n &6 0-/#i* ,&*-$ent /. Fi#e a 0etiti&n 6&r re0#a*e$ent &6 #&!t &r ,e!tr&e, &7nerK! ,-0#i*ate &6 OCT TCT in *&-rt 6&r t%e i!!-an*e &6 ne7 tit#e
*. *. A6ter n&ti*e an, %ear in() t%e *&-rt i! t& &r,er i!!-an*e &6 ne7 tit#e 7it% a $e$&ran,-$ t%at it i! i!!-e, in 0#a*e &6 #&!t *erti6i*ate ?,-0#i*ate
2- Ad.erse c%aim in re'isered %and Di66erent 6r&$ lis pendens: =is pendens %a! n& e0irati&n 0eri&, /-t a,+er!e *#ai$ i! &n# 6&r = ,a!. =is pendens i! a n&ti*e a r$er" is in %ii'ai$n 7%i#e a,+er!e *#ai$ !i(ni6ie! t%at
s$me#$d" is c%aimin' #eer ri' Recen R!%in': a,+er!e *#ai$ *an &n# /e re$&+e, -0&n *&-rt &r,er) t%ere6&re) it i! *&n!i,ere, t& /e t%e $&re 0er$anent an, !ta/#e &ne a! *&$0are, t& lis pendens (- Peii$n See
)- Amendmen and A%erai$n $& Ceri&icae $& Ti%e A *erti6i*ate &6 tit#e entere, in a re(i!trati&n /&&1 *ann&t /e a#tere,) a$en,e, e*e0t in direc r$ceedin' in *&-rt ?!-$$ar 0r&*ee,in(. A *&-rt &r,er i! ne*e!!ar t& a#ter entrie! &6 !-*% re(i!trati&n /&&1!. A 0etiti&n 6&r !-*% 0-r0&!e $a /e 6i#e, / t%e ?a re(i!tere, &7ner) &r ?/ &t%er 0er!&n %a+in( an intere!t in t%e re(i!tere, 0r&0ert) &r ?* in 0r&0er *a!e!) t%e ROD 7it% t%e a00r&+a# &6 t%e LRA A,$ini!trat&r
3r$!nds =CRIMENN;8 5. Ne/ ineres t%at ,&e! n&t a00ear &n t%e in!tr-$ent %a+e /een *reate, 8. Ineres %a+e /een ter$inate, &r *ea!e, =. O$i!!i&n &r err$r 7a! $a,e in enterin( *erti6i*ate @. Name &6 0er!&n &n *erti6i*ate %a! /een *%an(e,
married &r 4. Re(i!tere, &7ner %a! re(i!tere, a! $arrie, an, t%e $arria(e %a! ter$inate, . C$r$rai$n) 7%i*% &7ne, re(i!tere, #an,) %a! ,i!!&#+e, an, %a! n&t *&n+ee, t%e 0r&0ert 7it%in = ear! a6ter it! ,i!!&#-ti&n >. ;%en t %ere i ! reas$na#%e 'r$!nd 6&r t%e a$en,$ent &r a#terati&n. ;%at *&rre*ti&n! are 0er$itte, in tit#e ?7%i*% ,&e! n&t in*#-,e #an,! in*#-,e, in &ri(ina#" te*%ni*a# ,e!*ri0ti&n a! #&n( a! &ri(ina# ,e*ree &6 re(i!trati&n 7i## n&t /e re&0ene, an, ri(%t! &r intere!t &6 0er!&n! n&t i$0aire," &#, !-r+e 7a! in*&rre*t" !-/!tit-ti&n &6 na$e &6 re(i!tere, &7ner a. A#terati&n! 7%i*% ,& n&t i$0air ri(%t! an, /. A#terati&n! 7%i*% i$0air ri(%t!: 7it% *&n!ent &6 a## 0artie! *. A#terati&n! t& *&rre*t &/+i&-! $i!ta1e!
*- Rec$nsi!i$n $& Ori'ina% Ceri&icae $& Ti%e T%e re!t&rati&n &6 t%e in!tr-$ent 7%i*% i! !-00&!e, t& %a+e /een #&!t &r ,e!tr&e, in it! &ri(ina# 6&r$ an, *&n,iti&n) -n,er t%e *-!t&, &6 ROD
0etiti&n) it !%a## i!!-e a *&rre!0&n,in( &r,er t& ROD.
S$!rces8 1. a.
b.
c.
d.
e.
f.
a.
b.
P!r$se: t& %a+e t%e !a$e re0r&,-*e,) a6ter 0r&0er 0r&*ee,in(!) in t%e !a$e 6&r$ t%e 7ere 7%en t%e #&!! &r ,e!tr-*ti&n &**-rre, - Heirs $& Pedr$ Pin$e .- D!%a"5 K1? SCRA 125 1990
Te a%ican s$!%d r$.e 8 5. T%e #&!! &r t%e ,e !tr-*ti&n &6 t%e tit#e !&-(%t t& /e re*&n!tit-te, an, 8. At t%e ti$e t%e ! ai, tit#e 7a! # &!t &r ,e!tr&e,) %e 7a! t%e re(i!tere, &7ner t%ere&6 a. ;%en re* &n!tit-te,) t%e ne7 tit#e %a! t%e !a$e +a#i,it a! &#, &ne /. inds $& Rec$nsi!i$n : a. !dicia% /. Adminisrai.e
UDICIAL RECONSTITUTION Pr$cess8 1. Fi#e a 0etiti&n 7it% t%e RTC ?In rem 0r&*ee,in( T%e *&-rt !%a## *a-!e a NOTICE t& /e PUBLISHED) POSTED an, MAILED. N&n *&$0#ian*e +&i,! t%e 0r&*ee,in( a! !-*% re2-ire$ent! are -ri!,i*ti&na# 3. ;%en t%e *&-rt (rant! t%e 2.
c.
:OR OCT ?in t%i! &r,er: O7nerK! ,-0#i*ate &6 t%e *erti6i*ate &6 tit#e C&&7nerK!) $&rt(a(eeK! &r #e!!eeK! ,-0#i*ate &6 !ai, *erti6i*ate Certi6ie, *&0 &6 !-*% *erti6i*ate) 0re+i&-!# i!!-e, / t%e ROD A-t%enti*ate, *&0 &6 t%e ,e*ree &6 re(i!trati&n &r 0atent) a! t%e *a!e $a /e) 7%i*% 7a! t%e /a!i! &6 t%e *erti6i*ate &6 tit#e) Dee, &6 $&rt(a(e) #ea!e) &r en*-$/ran*e *&ntainin( ,e!*ri0ti&n &6 0r&0ert *&+ere, / t%e *erti6i*ate &6 tit#e an, &n 6i# e 7it% t%e ROD) &r an a-t%enti*ate, *&0 t%ere&6 in,i*atin( t%at it! &ri(ina# %a, /een re(i!tere, An &t%er ,&*-$ent 7%i*%) in t%e -,($ent &6 t%e *&-rt) i! !-66i*ient an, 0r&0er /a!i! 6&r re*&n!tit-ti&n. :OR TCT Sa$e a! !&-r*e! ?a) ?/) an, ?* 6&r re*&n!tit-ti&n &6 OCT Dee, &6 tran!6er &r &t%er ,&*-$ent *&ntainin( ,e!*ri0ti&n &6 0r&0ert *&+ere, / TCT an, &n 6i#e 7it% t%ein,i*atin( ROD) &r anit!a-t%enti*ate, *&0 t%ere&6 &ri(ina# %a, /een re(i!tere, an, 0-r!-ant t& 7%i*% t%e #&!t &r ,e!tr&e, *erti6i*ate &6 tit#e 7a! i!!-e, Sa$e a! !&-r*e! ?e an, ?6 6&r re*&n!tit-ti&n &6 OCT
ADMINISTRATIVE RECONSTITUTION Ma" #e a.ai%ed $& $n%" in case $&8 5. S-/!tantia# #&!! &r ,e!tr-*ti&n &6 t%e &ri(ina# #an, tit#e! ,-e t& 6ire) 6#&&,) &r &t %er force majeure a! ,eter$ine, / t%e A,$ini!trat&r &6 t%e LRA 8. T%e n-$/er &6 *erti6i*ate! &6 tit#e #&!t &r ,a$a(e, !%&-#, /e at #ea!t 5 &6 t%e t&ta# n-$/er in t%e 0&!!e!!i&n &6 t%e O66i*e &6 t%e ROD =. T%e!e #&!t &r ,a$a(e, tit#e! !%&-#, n&t /ePetiti&ner #e!! t%an 4) @. $-!tan,%a+e t%e ,-0#i*ate *&0 &6 t%e *erti6i*ate &6 tit#e =RA +?(2;
S$!rces8 1. O7nerK! ,-0#i*ate &6 t%e *erti6i*ate &6
tit#e 2. C&&7nerK!) $&rt(a(eeK!) &r #e!!eeK! ,-0#i*ate &6 !ai, *erti6i*ate
C$nens a. T%at t %e & 7nerK! , -0#i*ate &6 t%e *erti6i*ate &6 tit#e %a, /een #&!t &r ,e!tr&e, /. T%at n& *&&7nerK!) $&rt(a(&rK!) &r #e!!eeK! ,-0#i*ate %a, /een i!!-e, *. T%e #&*ati&n) area an, /&-n,arie! &6 t%e 0r&0ert ,. T%e n at-re a n, ,e!*ri0ti&n &6 t%e /-i#,in(! &r i$0r&+e$ent!) i6 an) 7%i*% ,& n&t /e#&n( t& t%e &7ner &6 t%e #an,) an, t%e na$e! an, a,,re!!e! &6 t%e &7ner! &6 !-*% /-i#,in(! &r i$0r&+e$ent! e. T%e na$e! an, a,,re!!e! &6 t%e ?a &**-0ant! &r 0er!&n! in 0&!!e!!i&n &6 t%e 0r&0ert) ?/ &6 t%e &7ner! &6 t%e a,&inin( 0r&0ertie! an, ?* &6 a## 0er!&n! 7%& $a %a+e an intere!t in t%e 0r&0ert 6. A ,etai#e, ,e!*ri0ti&n &6 t%e en*-$/ran*e) i6 an) a66e*tin( t%e 0r&0ert (. A !tate$ent t%at n& ,ee,! &r &t%er in!tr-$ent! a66e*tin( t%e 0r&0ert %a+e /een 0re!ente, 6&r re(i!trati&n) &r) i6 t%ere /e an) t%e re(i!trati&n t%ere&6 %a! n&t /een a**&$0#i!%e,) a! et
&**-0ant! an, a,a*ent &7ner!. PUBLICATION) POSTING AND SENDING BY MAIL !%&-#, /e ,&ne at #ea!t = ,a! 0ri&r t& ,ate &6 %earin(. T%e!e n&ti*e re2-ire$ent! are $an,at&r an, -ri!,i*ti&na#. N&n*&$0#ian*e +&i,! t%e 0r&*ee,in(. T%e 0-/#i*ati&n &6 t%e 0etiti&n )t%e !er+i*e &6 t%e n&ti*e &6 %earin( t& t%e a,&inin( &7ner! an, a*t-a# &**-0ant! &6 t%e #an,) a! 7e## a! 0&!tin( &6 t%e n&ti*e! are $an,at&r an, -ri!,i*ti&na# re2-i!ite!3 I6 an &r,er &6 re*&n!tit-ti&n i! i!!-e, 7it%&-t an 0re+i&-! 0-/#i*ati&n) !-*% &r,er &6 re*&n!tit-ti&n i! n-## an, +&i,. E+en t%e 0-/#i*ati&n &6 t%e n&ti*e &6 %earin( in a ne7!0a0er &6 (enera# *ir*-#ati&n #i1e t%e Mani#a Dai# B-##etin) i! n&t a !-/!tantia# *&$0#ian*e 7it% t%e #a7 /e*a-!e Se*ti&n 5= !0e*i6ie! 0-/#i*ati&n in t%e OG an, ,&e! n&t 0r&+i,e 6&r an a#ternati+e $e,i-$ &r $anner &6 0-/#i*ati&n. MWSS .- Sis$n5 K12) SCRA (9)5 19( N&ti*e $-!t /e a*t-a## !ent &r ,e#i+ere, t& 0artie! a66e*te, / t%e 0etiti&n 6&r re*&n!tit-ti&n. T%e &r,er &6 re*&n!tit-ti&n i!!-e, 7it%&-t *&$0#ian*e 7it% t%e !ai, re2-ire$ent ne+er /e*&$e! 6ina# it 7a! n-## an, +&i,. Mani%a Rai%r$ad .- M$"a5 K21* Pi% *9(5 19) Ser+i*e &6 n&ti*e &6 t%e 0etiti&n 6&r re*&n!tit-ti&n 6i#e, -n,er RA 8 t& t%e &**-0ant! &6 t%e 0r&0ert) &7ner! &6 t%e a,&inin( 0r&0ertie!) an, a## 0er!&n! 7%& $a %a+e an intere!t in t%e 0r&0ert i! NOT
N&ti*e !%a## /e PUBLISHED t7i*e in !-**e!!i+e i!!-e! &6 t%e O66i*ia# Gaette)
RE
M-!t /e POSTED &n t%e $ain entran*e &6 t%e 0r&+in*ia# /-i#,in( an, &6 t%e $-ni*i0a# /-i#,in(
T%e 6ai#-re t& $eet an &6 t%e ne*e!!ar 0-/#i*ati&n) n&ti*e &6 %earin( an, $ai#in(
&6 t%e $-ni*i0a#it &r *it 7%ere t%e #an, i! !it-ate,) an,
re2-ire$ent! ,i, n&t +e!t -ri!,i*ti&n &6 t%e *a!e t& t%e *&-rt. T%-!) t%e -,($ent ren,ere, / t%e RTC re(ar,in( t%e re*&n!tit-ti&n &6 tit#e i! +&i,. Re!#%ic .- SanceJ K3-R- N$- 1)+015 !%" 1?5 200+
NOTE8 T%e #a7 0r&+i,e! 6&r retr&a*ti+e a00#i*ati&n t%ere&6 t& *a!e! 54 ear! i$$e,iate# 0re*e,in( 59 ;%en t%e ,-0#i*ate tit#e &6 t%e #an,&7ner i! #&!t) t%e 0r&0er 0etiti&n i! n&t re*&n!tit-ti&n &6 tit#e) /-t &ne 6i#e, 7it% t%e *&-rt 6&r i!!-an*e &6 ne7 tit#e in #ie- &6 t%e #&!t *&0
PUBLICATION5 MAILIN3 AND POSTIN3 IN PETITIONS :OR RECONSTITUTION O: TITLE8
M-!t /e SENT B, RE3ISTERED MAIL &r &t%er7i!e) at t%e e0en!e &6 t%e 0etiti&ner) t& e+er 0er!&n na$e, in !ai, n&ti*e ?a*t-a#
;%en t%e &7nerK! ,-0#i*ate *erti6i*ate &6 tit#e %a! n&t /een #&!t) /-t i! in 6a*t in t%e 0&!!e!!i&n &6 an&t%er 0er!&n) t%en t%e re*&n!tit-te, *erti6i*ate i! +&i,) /e*a-!e t%e *&-rt t%at ren,ere, t%e ,e*i!i&n %a, n& -ri!,i*ti&n. C&n!e2-ent#) t%e i!!-an*e &6 TCT N&. T5>= i! a#!& +&i,) a! it e$anate, 6r&$ t%e +&i, in Za#,i+arK! na$e. T%e in,e6ea!i/i#it &6 a T&rren! tit#e ,&e! n&t a00# 7%ere 6ra-, atten,e, t%e i!!-an*e &6 t%e tit#e) !-*% a! 7%en it 7a! /a!e, &n +&i, ,&*-$ent!. :e%ician$ .- Ga%di.ar5 K3-R- N$- 1+2*9(5 Seem#er 2+5 200+
+- Re'israi$n $& Transaci$n e.idenced #" %$s d$c!men ROD i! 6&r/i,,en t& e66e*t re(i!trati&n &6 #&!t &r ,e!tr&e, ,&*-$ent! Ses #" ineresed aries8 5. Pr&*-re an a-t %enti*ate, *&0 &6 #&! t &r ,e!tr&e, in!tr-$ent 8. Se*-re an &r,er 6r&$ *&-rt O::ENSES IN LAND RE3ISTRATION8 5. Lar*en 8. Per-r: 6a#!e !tate$ent -n,er &at% =. Fra-,-#ent 0r&*-re$ent &6 *erti6i*ate @. F&r(er a. F&r(in( &6 !ea# in ROD) na$e) !i(nat-re &r %an,7ritin( &6 an &66i*er &6 *&-rt &6 ROD /. Fra-,-#ent !ta$0in( &r a!!i!tan*e in !ta$0in( *. F&r(in( &6 %an,7ritin() !i(nat-re &6 0er!&n! a-t%&rie, t& !i(n ,. U!e &6 an ,&*-$ent 7%i*% an i$0re!!i&n &6 t%e !ea# &6 t%e ROD i! 6&r(e, 4. Fra-,-#ent !a#e: !a#e &6 $&rt(a(e, 0r&0ert -n,er t%e $i!re0re!entati&n t%at it i! n&t en*-$/ere," ,e*eit6-# ,i!0&!iti&n &6 0r&0ert a! 6ree 6r&$ en*-$/ran*e
:- SUBSEUENT RE3ISTRATION SUBSEUENT RE3ISTRATION ;%ere in*i,enta# $atter! a&er &ri(ina# re(i!trati&n $a /e /r&-(%t /e6&re t%e #an, re(i!trati&n *&-rt / 7a &6 $&ti&n &r 0etiti&n 6i#e, / t%e re(i!tere, &7ner &r a 0art in intere!t. R!%es as $ e necessi" and e&&ecs $& re'israi$n in 'enera% 5. E*e0t a 7i## t%at 0-r0&rt! t& *&n+e &r a66e*t a re(i!tere, #an,) t%e $ere ee*-ti&n &6 t%e ,ee,! &6 !a#e) $&rt(a(e) &r #ea!e &r &t%er +&#-ntar ,&*-$ent! !er+e &n# 8 0-r0&!e!:
a. a! a *&ntra*t /et7een t%e 0artie! t%eret&) an, /. a! e+i,en*e &6 a-t%&rit t& t%e ROD t& re(i!ter !-*% ,&*-$ent! 8. It i! &n# t%e a*t &6 re(i!terin( t%e in!tr-$ent in t%e ROD &6 t%e 0r&+in*e &r *it 7%ere t%e #an, #ie! 7%i*% i! t%e &0erati+e a*t t%at *&n+e! &7ner!%i0 &r a66e*t! t%e #an, in!&6ar a! t%ir, 0er!&n! are *&n*erne,. =. T%e a*t &6 re(i!trati&n *reate! a *&n!tr-*ti+e n&ti*e t& t%e 7%&#e 7&r#, &6 !-*% +&#-ntar &r in+&#-ntar in!tr-$ent &r *&-rt 7rit &r 0r&*e!!.
VOLUNTAR, DEALIN3S Re6er t& ,ee,!) in!tr-$ent!) &r ,&*-$ent! 7%i*% are re!-#t! &6 t%e 6ree an, +&#-ntar a*t! &6 t%e 0artie! t%eret&
Sa#e Rea# 0r&0ert $&rt(a(e Lea!e Pa*t& ,e retr& !a#e Etra-,i*ia# !ett#e$ent Free 0atent%&$e!tea, P&7er! &6 att&rne Tr-!t! An inn&*ent 0-r*%a!er 6&r +a#-e &6 re(i!tere, #an, /e*&$e! t%e re(i!tere, &7ner t%e $&$ent %e 0re!ent! an, 6i#e! a ,-# n&tarie, an, +a#i, ,ee, &6 !a#e an, t%e !a$e i! entere, in t%e ,a /&&1 an, at t%e !a$e ti$e %e !-rren,er! &r 0re!ent! t%e &7nerK! ,-0#i*ate *erti6i*ate &6 tit#e *&+erin( t%e #an, !&#, an, 0a!
INVOLUNTAR, DEALIN3S Re6er t& !-*% 7rit &r &r,er &r 0r&*e!! i!!-e, / a *&-rt &6 re*&r, a66e*tin( re(i!tere, #an, 7%i*% / #a7 !%&-#, /e re(i!tere, t& /e e66e*ti+e) an, a#!& t& !-*% in!tr-$ent! 7%i*% are n&t t%e 7i##6-# a*t! &6 t%e re(i!tere, &7ner an, 7%i*% $a %a+e /een ee*-te, e+en 7it%&-t %i! 1n&7#e,(e &r a(ain!t %i! *&n!ent Atta*%$ent In-n*ti&n Man,a$-! Sa#e &n ee*-ti&n &6 -,($ent &r !a#e! 6&r tae! A,+er!e *#ai$! N&ti*e &6 lis pendens
Entr t%ere&6 in t%e ,a /&&1 &6 t%e ROD i! !-66i*ient n&ti*e t& a## 0er!&n! e+en i6 t%e &7nerK! ,-0#i*ate *erti6i*ate &6 tit#e i! n&t 0re!ente, t& t%e ROD
t%e re(i!trati&n 6ee! Nee, t& 0re!ent tit#e t& re*&r, t%e ,ee, in re(i!tr t& $a1e $e$&ran,-$ &n tit#e
N& 0re!entati&n re2-ire," ann&tati&n in entr /&&1 i! !-66i*ient
1- VOLUNTAR, DEALIN3S Oerai.e Ac8 re(i!trati&n / &7ner) i6 ,ee, i! n&t re(i!tere,) i! /in,in( &n# /et7een 0artie! 3enera% R!%e MIRROR DOCTRINE8 ;%ere t%ere i! n&t%in( &n t%e *erti6i*ate &6 tit#e t& in,i*ate an *#&-, &r +i*e in t%e &7ner!%i0 &6 t%e 0r&0ert) &r an en*-$/ran*e t%ere&n) t%e 0-r*%a!er i! n&t re2-ire, t& e0#&re 6-rt%er t%an 7%at t%e T&rren! tit#e -0&n it! 6a*e in,i*ate! in 2-e!t 6&r an %i,,en ,e6e*t &r in*%&ate ri(%t t%at $a ,e6eat %i! ri(%t t%eret&. :!%e .- Le'are5K ? SCRA (*15 19+( E+er 0er!&n ,ea#in( 7it% re(i!tere, #an, $a !a6e# re# &n t%e *&rre*tne!! &6 t%e *erti6i*ate &6 tit#e i!!-e, t%ere6&re E+en i6 a ,e*ree in a re(i!trati&n 0r&*ee,in( i! in6e*te, 7it% n-##it) !ti##) an inn&*ent 0-r*%a!er 6&r +a#-e re#in( &n a T&rren! tit#e i!!-e, in 0-r!-an*e t%ere&6 i! 0r&te*te,. Cr!J .- CA S!Jara5 K21 SCRA )915 199? A#t%&-(% (enera## a 6&r(e, &r 6ra-,-#ent ,ee, i! a n-##it an, *&n+e! n& tit#e) %&7e+er) t%ere are in!tan*e! 7%ere !-*% a 6ra-,-#ent ,&*-$ent $a /e*&$e t%e r&&t &6 a +a#i, tit#e. One !-*% in!tan*e i! 7%ere t%e *erti6i*ate &6 tit#e 7a! a#rea, tran!6erre, 6r&$ t%e na$e &6 t%e tr-e &7ner t& t%e 6&r(er) an, 7%i#e it re$aine, t%at 7a) t%e #an, 7a! !-/!e2-ent# !&#, t& an inn&*ent 0-r*%a!er. :!%e .- Le'are5 K? SCRA (*15 19+(
E6cei$ns ?BOB>MIL; 5. ;%ere t%e 0-r*%a!er &r $&rt(a(ee i! a #an16inan*in( in!tit-ti&n) t%e (enera# r-#e t%at a 0-r*%a!er &r $&rt(a(ee &6 t%e #an, i! n&t re2-ire, t& #&&1 6-rt%er t%an 7%at a00ear! &n t%e 6a*e &6 t%e tit#e ,&e! n&t a00#. De%a Merced .- 3SIS5 K(+* SCRA 15 2001 8. T%e r-#in( in ule "% =egare *ann&t /e a00#ie, 7%ere t%e $ 7ner !ti## %&#,! a +a#i, an, ei!tin( *erti6i*ate &6 tit#e *&+erin( t%e !a$e 0r&0ert /e*a-!e t%e #a7 0r&te*t! t%e #a76-# %&#,er &6 a re(i!tere, tit#e &+er t%e tran!6er &6 a +en,&r /ere6t &6 an tran!$i!!i/#e ri(%t. T$mas .- T$mas5 K9 SCRA 205 190
=. =. P-r*%a!er in #a, 6ait%. E'e$ .- CA5 K1?) SCRA ))5 199 @. ;%ere a 0er!&n /-! #an, n&t 6r&$ t%e re(i!tere, &7ner /-t 6r&$ &ne 7%&!e ri(%t! t& t%e #an, %a! /e en mere# ann&tate, &n t%e *erti6i*ate &6 tit#e. !inian$ .- CA5 K(9 SCRA 2215 19?1 4. S-66i*ient# !tr&n( in,i*ati&n! t& i$0e# *#&!er in2-ir int& t%e #&*ati&n) /&-n,arie!) an, *&n,iti&n &6 t%e #&t. :rancisc$ .- CA5 K1*( SCRA ((05 19? Per!&nK! #e(a# intere!t *ann&t rai!e t%i! e*e0ti&n Prin*i0#e &6 *a+eat e$0t&r !i$0# re2-ire! t%e 0-r*%a!er &6 rea# 0r&0ert t& /e a7are &6 t%e a##e(e, tit#e &6 t%e +en,&r !-*% t%at &ne 7%& /-! 7it%&-t *%e*1in( t%e +en,&r! tit#e ta1e! a## t%e ri!1! an, #&!!e! *&n!e2-ent t& !-*% 6ai#-re. ;%i#e a /-er &6 re(i!tere, #an, nee, n&t (& /e&n, it! *erti6i*ate &6 tit#e) t%e /-er i! &/#i(e, t& in+e!ti(ate &r in!0e*t t%e 0r&0ert !&#, t& %i$ 7%en t%ere are *ir*-$!tan*e! t%at 7&-#, 0-t %i$ &n (-ar,) !-*% a! t%e 0re!en*e &6 &**-0ant! &t%er t%an t%e re(i!tere, &7ner. T%i! ,&e! n&t a00# in t%i! *a!e. DOr$ Land .- C%a!nan5K *1+ SCRA +15 200? . P-r*%a!e! #an, 7it% a *erti6i*ate &6 tit#e *&ntainin( a n&ti*e &6 lis pendens >. P-r*%a!er %a, 6-##
SCRA *195 19 Pr$cess $& Re'israi$n8 =3enera%%"; 5. Fi#e t%e in!tr-$ent *reatin( &r tran!6errin( t%e intere!t an, t%e *erti6i*ate &6 tit#e 7it% ROD) in*#-,in(: a. O7nerK! ,-0#i*ate /. Pa$ent &6 6ee! an, ,&*-$entar !ta$0 ta *. E+i,en*e &6 6-# # 0a$ent &6 rea # e!tate ta ,. D&*-$ent &6 tran!6er: 5 a,,iti&na# *&0 6&r *it0r&+in*ia# a!!e!!&r 8. ROD !%a## $a1e a $e$&ran,-$ &n t%e *erti6i*ate &6 tit#e) !i(ne, / %i$ =. I!!-an*e &6 t%e TCT Re'israi$n $& Rea% Pr$er" M$r'a'e 5. Ee*-ti&n &6 ,ee, in a 6&r$ !-6 6i*ient in #a7 ?0-/#i* in!tr-$ent 8. Re(i!trati&n 7it% ROD 7%ere t%e #an, #ie! a. Pre!ent ,ee, &6 $&rt(a(e t&(et%er 7it% /. O7nerK! D-0#i*ate an, a66i,a+it &6 (&&, 6ait% *. Pa$ent &6 6ee! ,. ROD !%a## enter -0&n &ri(ina# *erti6i*ate &6 tit#e an, -0&n ,-0#i*ate a $e$&ran,-$
?,ate) ti$e &6 6i#in() !i(nat-re) 6i#e n-$/er a!!i(ne, t& ,ee, e. ROD t& n& te &n t %e ,ee, t%e ,ate an, ti$e &6 6i#in() an, re6eren*e t& +&#-$e an, 0a(e &6 t%e re(i!trati&n /&&1 in 7%i*% it 7a! re(i!tere, =. N& ,-0#i*ate nee, /e i!!-e,
Re'israi$n $& Cae% M$r'a'e 5. Ee*-ti&n &6 ,&*-$ent 8. Pre!ent t%e ,&*- $ent t&(et%er 7it% a66i,a+it &6 (&&, 6ait% =. Pa$ent &6 6ee! @. ROD enter! in Da B&&1 in !tri*t &r,er &6 t%eir 0re!entati&n *%atte# $&rt(a(e! an, &t%er in!tr-$ent! re#atin( t%eret& ?0ri$ar 0r&*e!! 4. ROD t%erea6ter enter! in a $&re ,etai#e, 6&r$ t%e e!!entia# *&ntent! &6 t%e in!tr-$ent in t%e C%atte# M&rt(a(e Re(i!ter ?*&$0#e$entar 0r&*e!! E&&ecs $& Re'israi$n 5. Create! a #ien t%at atta*%e! t& t%e 0r&0ert in 6a+&r &6 t%e $&rt(a(ee 8. C&n!tr-*ti+e n&ti*e &6 %i! intere!t in t%e 0r&0ert t& t%e 7%&#e 7&r#,
=. =. N& ne7 *erti6i*ate !%a## /e i!!-e,
NOTE8 ;%en t%ere i! 0r&%i/iti&n in $&rt(a(e, 0r&0ert a! re(ar,! !-/!e2-ent *&n+ean*e!) et*.) #ea!e%&#, *ann&t /e re(i!tere, in t%e tit#e t%ere&6 E&&ecs $& Re'israi$n 5. Create! a rea# ri( %t /-t 7it %&-t 0re -,i*e t& ri(%t! &6 =r, 0er!&n! 8. I6 it i! n& t re(i!tere,) it i! +a#i, a! /e t7een 0artie! /-t n&t t& = r, 0er!&n! 7it%&-t n&ti*e Ma" A%iens Re'iser Lease ri(%t! ,es 6&r re!i,entia# 5. Ma /e (rante, te$0&rar 0-r0&!e! 8. Li$it: 84 ear!) rene7a/#e 6&r an&t%er 84 ear! $"o Els 9%6 Ris!rN B-i#,er in G&&, Fait% Re'israi$n $& Tr!s 5. I$0#ie, Tr-!t: 0re!ent a !7&rn !tate$ent *#ai$in( intere!t / rea!&n &6 an i$0#ie, tr-!t 7it% ,e!*ri0ti&n &6 #an,) t%e na$e &6 t%e re(i!tere, &7ner an, a re6eren*e t& t%e n-$/er &6 t%e *erti6i*ate &6 tit#e !%a## /e re(i!tere, in ROD 8. E0re!! Tr-!t: in!tr-$ent *reatin( t%e tr-!t ,&e! n&t 0r&%i/it re(i!trati&n
E&&ecs $& :ai%!re $ Re'iser 5. Va#i, /et7een 0artie! /-t +&i, a(ain!t = r, 0er!&n! 8. I6 in!tea, &6 re(i!trati&n) it i! ,e#i+ere,) it !%a## /e a 0#e,(e an, n&t a *%atte# $&rt(a(e
Re'israi$n $& A$ined Tr!see #" C$!r >. Certi6ie, *&0 &6 ,e*ree !%a## /e 0re!ente, t& ROD an, !-rren,er ,-0#i*ate *erti6i*ate 9. Can*e# ,-0#i*ate ne7 *erti6i*ate !%a## /e
?i6 n& *%atte# $&rt(a(e ,ee, ee*-te, =. A*t-a# 1n&7#e,(e i! !a$e e66e*t re(i!trati&n
2- INVOLUNTAR, DEALIN3S
a!
An A&&ida.i $& 3$$d :ai saes a8 5. M&rt(a(e i! $a,e t& !e*-re &/#i(ati&n !0e*i6ie, 8. T%at it i! a +a#i, an, -!t &/#i(ati&n =. T%at it i! n& t entere, int& 6&r 0- r0&!e! &6 6ra-, E&&ec $& A#sence $& A&&ida.i $& 3$$d :ai @. Vitiate! $&rt(a(e a! a(ain!t *re,it&r! an, !-/!e2-ent en*-$/ran*er! 4. M&rt(a(e i! n&t +a#i, a! /et7een 0artie! . N& nee, t& /e in 0-/#i* ,&*-$ent Re'israi$n $& Lease It i! t%e #e!!ee) n&t t%e #e!!&r) 7%& i! re2-ire, t& initiate t%e re(i!trati&n. 5.
Fi#e 7i t% RO D t%e in!tr-$ent *re atin( #ea!e t&(et%er 7it% &7nerK! ,-0#i*ate &6 *erti6i*ate &6 tit#e 8. ROD t& re(i!ter / 7a &6 $e$&ran,-$ -0&n *erti6i*ate &6 tit#e
entere, / ROD
Tran!a*ti&n! a66e*tin( #an, in 7%i*% *&&0erati&n &6 re(i!tere, &7ner i! n&t nee,e,) &r e+en a(ain!t %i! 7i##
Aacmen A 7rit i!!-e, at t%e in!tit-ti&n &r ,-rin( 0r&(re!! &6 an a*ti&n *&$$an,in( t%e !%eri66 t& atta*% t%e 0r&0ert) ri(%t!) *re,it!) &r e66e*t! &6 t%e ,e6en,ant t& !ati!6 ,e$an,! &6 t%e 0#ainti66 'in,!: /. *. ,.
Pre#i$inar Garni!%$ent Le+&nee*-ti&n
Re'israi$n $& AacmenOer Liens 5. C&0 in &r,er t& 0r e!er+e an #i #an, en) ri(%t) &6&r 7rit atta*%$ent -0&n re(i!tere, $a /e 6i#e, 7it% ROD 7%ere #an, #ie!) *&ntainin( n-$/er &6 *erti6i*ate &6 tit#e &6 #an, t& /e a66e*te, &r ,e!*ri0ti&n &6 #an, 8. ROD t& in,e atta*%$ent in na$ e! &6 /&t % 0#ainti66 an, ,e6en,ant &r na$e &6 0er!&n 6&r
7%&$ 0r&0ert i! %e#, &r in 7%&!e na$e !tan,! in t%e re*&r,! =. I6 ,-0 #i*ate &6 *er ti6i*ate &6 tit #e i! n&t 0re!ente,: a. ROD !%a##) 7it%in = %&-r!) !en, n&ti*e t& re(i!tere, &7ner / $ai# !tatin( t%at t%ere %a! /een re(i!trati&n an, re2-e!t %i$ t& 0r&,-*e ,-0#i*ate !& t%at $e$&ran,-$ $a /e $a,e /. I6 t%e &7ner ne(#e*t! &r re6-!e! t& *&$0#) t%e ROD !%a## re0&rt t%e $atter t& t%e *&-rt *. T%e *&-rt) a6ter n&ti*e) !%a ## enter an @.
&r,er t& &7ner t& !-rren,er *erti6i*ate at t%e ti$e an, 0#a*e na$e, t%erein A#t%&-(% n&ti*e &6 atta*%$ent i! n&t n&te, in ,-0#i*ate) n&tati&n in /&&1 &6 entr &6 ROD 0r&,-*e! t%e e66e*t &6 re(i!trati&n a#rea,.
E&&ecs $& Re'israi$n $& Aacmen =REEA; 5. Create! rea# ri(%t 8. Ha! 0ri&rit &+er ee*-ti&n !a#e =. B-t /et7een 8 atta*%$ent!) &ne t%at i! re(i!tere, ear#ier i! 0re6erre, @. I6 it i! n&t re(i!tere,) a*t-a# 1n&7#e,(e i! t%e !a$e a! re(i!trati&n E6ec!i$n Sa%e T& en6&r*e a #ien &6 an ,e!*ri0ti&n &n re(i!tere, #an,) an ee*-ti&n &r a66i,a+it t& en6&r*e !-*% #ien !%a## /e 6i#e, 7it% ROD 7%ere #an, #ie! Re(i!ter in re(i!trati&n /&&1 $e$&ran,-$ -0&n 0r&0er *erti6i*ate &6 tit#e a! a,+er!e *#ai$ &r a! an en*-$/ran*e T& ,eter$ine 0re6erentia# ri(%t! /et7een 8 #ien!: 0ri&rit &6 re(i!trati&n &6 atta*%$ent
Ta6 Sa%e Sa#e &6 #an, 6&r *&##e*ti&n &6 ,e#in2-ent tae! an, 0ena#tie! ,-e t%e (&+ern$ent a. In personam ?a## 0er!&n! intere!te, !%a## /e n&ti6ie, !& t%at t%e $a /e (i+en an &00&rt-nit t& /e %ear, /. N&ti*e t & /e ( i+en t& ,e#in2-ent ta 0aer at %i! #a!t 1n&7n a,,re!! *. P-/#i*ati&n &6 n&ti*e $ -!t a#!& /e $a,e in En(#i!%) S0ani!%) an, #&*a# ,ia#e*t) 0&!te, in a 0-/#i* an, *&n!0i*-&-! 0#a*e in t%e 0#a*e 7%ere t%e 0r&0ert i! !it-ate, an, at t%e $ain entran*e &6 t%e 0r&+in*ia# /-i#,in( ,. Sa#e *ann&t a66e*t ri(%t! &6 &t%er #ien %&#,er! -n#e!! (i+en t%e ri(%t t& ,e6en, t%eir ri(%t!: ,-e 0r&*e!! $-!t /e
!tri*t# &/!er+e, e.
Ta #ien i! !-0eri&r t& an atta*%$ent
6.
T%ere i! n& nee, t& re(i!ter a ta #ien /e*a-!e it i! a-t&$ati*a## re(i!tere, &n*e t%e ta a**r-e! (. B-t t%e !a#e &6 re(i!tere, #an, t& 6&re*#&!e a ta #ien nee,! t& /e re(i!tere, Pr$ced!re $& Re'israi$n $& Ta6 Sa%e 5. O66i*erK! re t-rn !% a## /e !- /$itte, t& t% e ROD t&(et%er 7it% t%e &7nerK! ,-0#i*ate tit#e 8. Re(i!ter in t%e re(i!trati&n /&&1 =. Me$&ran,-$ !%a## /e entere, in t%e *erti6i*ate a! an a,+er!e *#ai$ &r en*-$/ran*e A6ter t%e 0eri&, &6 re,e$0ti&n %a! e0ire, an, n& re,e$0ti&n 7a! $a,e ?8 ear! 6r&$ re(i!trati&n &6 a-*ti&n !a#e) tit#e $-!t /e *an*e##e, an, a ne7 tit#e 7i## /e i!!-e, 4. Be6&re t%e *an*e##ati&n) n&ti*e !%a## /e !ent t& re(i!tere, &7ner) 7it% t%e ,ire*ti+e t%at %e !-rren,er tit#e an, !%&7 *a-!e 7% it !%&-#, n&t /e *an*e##e, @.
Ad.erse C%aim A n&ti*e t& t%ir, 0er!&n! t%at !&$e&ne i! *#ai$in( an intere!t &n t%e 0r&0ert &r %a! a /etter ri(%t t%an t%e re(i!tere, &7ner t%ere&6. T%e ,i!0-te, #an, i! !-/e*t t& t%e &-t*&$e &6 t%e ,i!0-te. Sa4$nas .- CA5 K2* SCRA ?95 199+ C%aim is ad.erse /en8 5. A *#ai$antK! ri(%t &r intere!t in t%e re(i!tere, #an, i! a,+er!e t& t%e re(i!tere, &7ner" 8. S-*% ri(%t ar&!e !-/!e2-ent t& ,ate &6 &ri(ina# re(i!trati&n =. N& &t%er 0r&+i!i&n i! $a,e in t%e De*ree 6&r t%e re(i!trati&n &6 !-*% ri(%t &r *#ai$ /ec% 72& P! '9)6* A $ere $&ne *#ai$ *ann&t /e re(i!tere, a! an a,+er!e *#ai$% SanceJ .- CA5 K+9 SCRA (2?5 19?+ A*t-a# 1n&7#e,(e i! e2-i+a#ent t& re(i!trati&n &6 a,+er!e *#ai$. N& 8n, a,+er!e *#ai$ /a!e, &n t%e !a$e (r&-n, $a /e re(i!tere, / t%e !a$e *#ai$ant.
:$rma% Re@!isies $& an Ad.erse C%aim &$r P!r$ses $& Re'israi$n =WNR; a. t%e 6&##&7in( A,+er!e * #ai$ant $ -!t ! tate in 7ritin(: 5. Hi! a##e(e, ri(%t &r intere!t 8. H&7 an, -n, er 7%&$ !-*% a##e(e, ri(%t &r intere!t i! a*2-ire, =. T%e ,e!*ri0ti&n &6 t%e #an , in 7%i *% t%e ri(%t &r intere!t i! *#ai$e,
/. *.
@. T%e *erti6i*ate &6 tit#e n-$/er S-*% ! tate$ent $ -!t / e !i(ne, an, !7&rn t& /e6&re a n&tar 0-/#i* C#ai$ant !%a## !tate %i! re!i,en*e &r 0#a*e t& 7%i*% a## n&ti*e! $a /e !er+e, -0&n %i$
NOTE: N&n*&$0#ian*e 7it% !ai, 6&r$a# re2-i!ite! ren,er! !-*% a,+er!e *#ai$ n&nre(i!tra/#e an, ine66e*ti+e.
PERIOD O: E::ECTIVIT, WHEN CANCELLED T%e a,+er!e *#ai$ !%a## /e e66e*ti+e 6&r a 0eri&, &6 = ,a! 6r&$ t%e ,ate &6 re(i!trati&n an, it $a /e *an*e##e,: a. A6ter t%e #a0!e &6 = ,a!) -0&n t%e 6i#in( / t%e 0artinintere!t &6 a +eri6ie, 0etiti&n 6&r !-*% 0-r0&!e /. Be6&re t%e #a0!e &6 !ai , = ,a !) -0&n t%e 6i#i n( / t%e *#ai$ant &6 a !7&rn 0etiti&n 7it%,ra7in( %i! a,+er!e *#ai$ *. Be6&re t%e #a0!e &6 t%e = ,a 0eri&,) 7%en a 0artinintere!t 6i#e! a 0etiti&n in t%e 0r&0er RTC 6&r t%e *an*e##ati&n &6 t%e a,+er!e *#ai$ an,) a6ter n&ti*e an, %earin() t%e *&-rt 6in,! t%at t%e *#ai$ i! in+a#i,. I6 t%e *&-rt a#!& 6in,! t%e *#ai$ t& /e 6ri+&#&-!) it $a 6ine t%e *#ai$ant t%e a$&-nt &6 n&t #e!! t%an 5) 0e!&! n&r $&re t%an 4) 0e!&!) in it! ,i!*reti&n F&r t%i! 0-r0&!e) t%e intere!te, 0art $-!t 6i#e 7it% t%e 0r&0er *&-rt a 0etiti&n 6&r *an*e##ati&n &6 a,+er!e *#ai$) an, a %earin( $-!t a#!& 6ir!t /e *&n,-*te,. T%e Re(i!ter &6 Dee,! *ann&t &n it! &7n a-t&$ati*a## *an*e# t%e a,+er!e *#ai$. DiaJ>D!are .- On'5 K29 SCRA (5 199] An a,+er!e *#ai$ $a ei!t *&n*-rrent# 7it% a !-/!e2-ent ann&tati&n &6 a n&ti*e &6 lis pendens. T" Sin Tei .- D" Pia$5 K10( Pi% *5 19* ;%en an a,+er!e *#ai$ ei!t! *&n*-rrent# 7it% a n&ti*e &6 lis pendens) t%e n&ti*e &6 a,+er!e *#ai$ $a /e +a#i,# *an*e##e, a6ter t%e re(i!trati&n &6 !-*% n&ti*e) !in*e t%e n&ti*e &6 lis pendens a#!& !er+e! t%e 0-r0&!e &6 t%e a,+er!e *#ai$. Vi%%a&%$r .- !eJan5 K1) SCRA (1*5 1990
NOTICE O: ?/ ;EE It $ere# *reate! a *&ntin(en* an, n&t a #ien T%e 0-r0&!e &6 t%e n&ti*e &6 lis pendens i! t& *&n!tr-*ti+e# a,+i!e) &r 7arn a## 0e&0#e 7%& ,ea# 7it% t%e 0r&0ert t%at t%e !& ,ea# 7it% it at t%eir &7n ri!1) an, 7%ate+er ri(%t! t%e $a a*2-ire in t%e 0r&0ert in an +&#-ntar tran!a*ti&n are !-/e*t t& t%e re!-#t! &6 t%e
a*ti&n) an, $a 7e## /e in6eri&r an, !-/&r,inate t& t%&!e 7%i*% $a /e 6ina## ,eter$ine, an, #ai, ,&7n t%erein. Heirs $& Marasi'an .- IAC5 K1*2 SCRA 2*(5 19?
Wen N$ice $& Lis Pendeds is Pr$er8 =RCPO; 5. T& r e*&+er 0&!!e!!i&n &6 rea# e!tate 8. T& @-iet tit#e t%eret& =. T& re$&+e c #&-,! -0&n t%e tit#e t%ere&6 @. F&r artiti&n ) an, 4. An $t%er 0r&*ee,in( &6 an 1in, in *&-rt ,ire*t# a66e*tin( t%e tit#e t& t%e #an, &r t%e -!e &6 &**-0ati&n t%ere&6 &r t%e /-i#,in( t%ere&n. E&&ec $& Re'israi$n8 5. I$0&!!i/i#it &6 a#ienatin( t% e 0r& 0ert in ,i!0-te ,-rin( t%e 0en,en* &6 t%e !-it 8. It $a !ti## /e a#ienate, /-t t%e 0-r*%a!er i! !-/e*t t& t%e 6ina# &-t*&$e &6 0en,in( !-it =. ROD i ! ,- t/&-n, t& *a rr &+ er n &ti*e & 6 lis pendens &n a## ne7 tit#e! t& /e i!!-e, Cance%%ai$n $& ?is ;nns# =M>NUVD; • Be6&re 6ina# -,($ent) t%e *&-rt $a &r,er t%e *an*e##ati&n: 5. A6ter !%&7in( t%at n&ti*e i! &n# 6&r 0-r0&!e &6 m&#e!tin( an a,+er!e 0art 8. ;%en it i! !%&7n t%at it i! n &t ne*e!!ar t& 0r&te*t t%e ri(%t &6 t%e 0art 7%& *a-!e, t%e re(i!trati&n t%ere&6 =. ;%en t%e *&n!e2-en*e! &6 t%e tria# are !nne*e!!ari# ,e#ain( t%e ,eter$inati&n &6 t%e *a!e t& t%e 0re-,i*e &6 t%e &t%er 0art @. ROD $a a#!& *an*e# / .eri6ie, 0etiti&n &6 0art 7%& *a-!e, !-*% re(i!trati&n 4. Dee$e, *an*e##e, 7%en *erti6i*ate i!!-e, / *#er1 &6 *&-rt !tat in( $anner &6 di!0&!a# &6 0r&*ee,in( i! re(i!tere, Wen Lis Pendedns as n$ A%icai$n8 =P2LAR; P re#i$inar atta*%$ent 5. 8. Pr&*ee,in(!6&r t%e r&/ate &6 7i##! =. Le+ie!&nee*-ti&n @. Pr&*ee,in(! 6&r a,$ini!trati&n &6 e!tate &6 ,e*ea!e, 0er!&n! an, 4. Pr&*ee,in(! in 7%i*% t%e &n# &/e*t i! t%e r e*&+er &6 a $&ne -,($ent Oer Paries Re@!ired $ Re'iser8 1- Assi'nee in In.$%!nar" Pr$ceedin' &$r Ins$%.enc" It i! t%e ,-t &6 t%e &66i*er !er+in( t%e n&ti*e t& 6i#e a *&0 &6 !-*% n&ti*e t& ROD 7%ere t%e 0r&0ert &6 t%e ,e/t&r i! #&*ate, A!!i(nee e#e*te, &r a00&inte, / *&-rt !%a## /e
entit#e, t& entr &6 a ne7 *erti6i*ate &6 re(i!tere, #an, -0&n 0re!ent$ent &6 *&0 &6 a!!i(n$ent 7it% t%e /an1r-0tK! ,-0#i*ate *erti6i*ate &6 tit#e Ne7 *erti6i*ate !%a## n&t !tate t%at it i! entere, int& / %i$ a! a!!i(nee &r tr-!tee in in!&#+en* 0r&*ee,in(!
!d'menOrder Vacain' Ins$%.enc" Pr$ceedin's a. &r,er !%a## a#!& /e re(i!tere, /. S-rren,er tit#e i!!-e, in na$e &6 a!!i(nee ,e/t&r !%a## /e entit#e, t& entr &6 ne7 *erti6i*ate 2- 3$.ernmen in Eminen D$main a. C&0 & 6 -,($ent 6 i#e, i n R OD 7%i*% !tate! ,e!*ri0ti&n &6 0r&0ert) *erti6i*ate n-$/er) intere!t e0r&0riate,) nat-re &6 0-/#i* -!e /. Me$&ran,-$ ! %a## / e $ a,e & r ne7 *erti6i*ate &6 tit#e !%a## /e i!!-e, *. T%e ( &+ern$ent , &e! n &t ! ee1 re(i!trati&n &6 t%e #an, in it! &7n na$e ,. T%e &/e*ti+e &6 t%e 0r&*ee,in( i! t%e a,-,i*ati&n &6 tit#e t& t%e #an,! in+&#+e, in t%e 0r&*ee,in(
3- DEALIN3S WITH UNRE3ISTERED LAND S,STEM O: RE3ISTRATION :OR UNRE3ISTERED LANDS a. S!te$ &6 re(i!trati&n 6&r -nre(i!tere, #an, -n,er t%e T&rren! S!te$ ?A*t ==@@ /. Be6&re5 it &n# *&+ere, +&#-ntar ,ea#in(!. N&7) it in*#-,e! in+&#-ntar ,ea#in(! *. E66e*t: i6 0r &!0e*ti+e) it /i n,! = r, 0er!&n! a6ter re(i!trati&n /-t ie#,! t& /etter ri(%t! &6 =r, 0er!&n 0ri&r t& re(i!trati&n ?#i$ite, e66e*t t& = r, 0artie! ,. Rea!&n: n& !tri*t in+e!ti(ati&n in+&#+e, e. S-/!e2-ent ,ea#in(! are a#!& +a#i, i6 re*&r,e, 6. ROD 1ee0! ,a /&&1 an, a re(i!ter) an, an in,e !!te$ i! a#!& 1e0t (. Pr&*e,-re: 1. Pre!ent$ent &6 in!tr-$ent ,ea#in( in -nre(i!tere, #an, I6 6&-n, in &r,er) re(i!ter 2. =. I6 6&-n, ,e6e*ti+e) t%en re(i!trati&n i! re6-!e, 7ritin( %i! rea!&n 6&r re6-!a#
:ILIN3 $& APPLICATION /ur"ey plan a00r&+e, / B-rea- &6 Lan,! #uniments &6 tit#e
ANNEF A8 ORDINAR, LAND RE3ISTRATION PROCEEDIN3S
SETTIN3 O: DATE $& Iniia% Hearin' #" c$!r $rder Set @4 ,a! 6r&$ &r,er
Tran!$itta# &6 ,&*-$ent! an, e+i,en*e t& LRA
NOTICE $& Iniia% Hearin' Publication 5 in OG 5 in ne7!0a0er #ailing t& na$e, 0artie! 7in ?> ,a! 6r&$ OG Posting ?5@ ,a! at #ea!t /e6&re initia# %earin(
INITIAL HEARIN3 UD3MENT
A00ea#
TRIAL !a$e &r,er a! &r,inar *i+i# 0r&*ee,in(!
Order $& De&a!%+!. a## 7%& ,i, n&t &00&!e
?54 ,a!
:INALIT, O: UD3MENT De*ree &6 6ina#it In!tr-*ti&n t& LRA t& i!!-e ,e*ree &6 re(i!trati&n
Enr" $& DECREE O: RE3ISTRATIONin LRA C&0 !ent t& Re(i!trar &6 Dee,!
OCT Tran!*ri0ti&n &6 t%e ,e*ree an, i!!-an*e &6 t%e OCT
:i%in' $& OPPOSITION B any party *#ai$in( intere!t On /e6&re %earin( OR ti$e a##&7e, / *&-rt
CADASTRAL SURVE,
Presiden $rders Dir- O& Lands t& *a-!e *a,a!tra# !-r+e
NOTICE $& S!r.e" t& 0er!&n! a00earin( t& *#ai$ intere!t P-/#i*ati&n 5 in OG Mai#in( P&!tin(
3e$deic En'ineer em%$"ees $& B!rea! $& Lands in6&r$ &**-0ant! 0er!&n! *#ai$in( intere!t
STATE :ILES PETITION
Insi!ed #" Dir$& Lands ?re0re!ente, / S&#Gen C&ntainin(: te*%ni*a# ,e!*ri0ti&n !-r+e 0#an
HEARIN3
UD3MENT
ANSWER $ Peii$n
Sa$e a! &r,inar #an, re(. 0r&*ee,in(!
An *#ai$ant 6i#e! an!7er ?0arta1e! &6 an a*ti&n t& re*&+er &n /e6&re %earin( OR ti$e a##&7e, / *&-rt
Per!&n! *#ai$in( intere!t *&&0erate 7 En(ineer re: /&-n,arie!
NOTICE $& Iniia% Hearin' t& 0artie! a00earin( t& %a+e intere!t an, a,&inin( &7ner! P-/#i*ati&n 8 in OG ?!-**e!!i+e i!!-e! Mai#in( P&!tin(
DECREE
MOTION TO DISMISS I6 #an, *&+ere, 0ri&r OCT 0-r!-ant t& #an, 0atent i6 /arre, / res judicata
Aea% C&-rt $a i!!-e 7rit &6 0&!!e!!i&n &r &r,er ,e$&#iti&n
ANNEF B8 CADASTRAL RE3ISTRATION PROCEEDIN3S
O- TORTS
•
=================================
TOPICS UNDER THE S,LLABUS I- Princi%es A- A#!se $& ri' e%emens B- Un4!s enricmen C- Lia#i%i" /i$! &a!% D- Acs c$nrar" $ %a/ E- Acs c$nrar" $ m$ra%s II- C%assi&icai$n $& T$rs A- Acc$rdin' $ manner $& c$mmissi$n8 ineni$na%5 ne'%i'en and sric %ia#i%i" B- Acc$rdin' $ sc$e8 'enera% $r seci&ic =================================
/. ;R/C/;?E Ar- 21?+. ;%&e+er / a*t &r &$i!!i&n *a-!e! ,a$a(e t& an&t%er) t%ere /ein( 6a-#t &r ne(#i(en*e) i! &/#i(e, t& 0a 6&r t%e ,a$a(e ,&ne. S-*% 6a-#t &r ne(#i(en*e) i6 t%ere i! n& 0re ei!tin( *&ntra*t-a# re#ati&n /et7een t%e 0artie!) i! *a##e, a 2-a!i,e#i*t an, i! (&+erne, / t%e 0r&+i!i&n! &6 t%i! C%a0ter. ?58a
ELEMENTS O: UASI DELICTTORTS8 5. A*t &r &$i!!i&n 8. Da$a(e &r in-r i! *a-!e, t& an&t%er =. Fa-#t &r ne(#i(en*e i! 0re!ent @. T%ere i! n& 0reei!tin( *&ntra*t-a# re#ati&n! /et7een t%e 0artie! 4. Ca-!a# *&nne*ti&n /et7een ,a$a(e ,&ne an, a*t&$i!!i&n NE3LI3ENCE T%e &$i!!i&n &6 t%at ,e(ree &6 ,i#i(en*e 7%i*% i! re2-ire, / t%e nat-re &6 t%e &/#i(ati&n an, *&rre!0&n,in( t& t%e *ir*-$!tan*e! &6 t%e 0er!&n!) ti$e an, 0#a*e. ?Art. 55>=) NCC INDS O: NE3LI3ENCE 5. <-a!i ,e#i*t ?Art. 85> NCC 8. Cri$ina# ne(#i(en*e ?Art. =4 RPC =. C&ntra*t-a# ne(#i(en*e ?NCC 0r&+i!i&n! &n *&ntra*t! 0arti*-#ar# Art!. 55> t& 55>@ ABUSE O: RI3HTS =ART 19; 5. T%ere i! a #e(a# ri(%t &r ,-t 8. T%e ri(%t &r ,-t i! eer*i!e, in /a, 6ait% =. F&r t%e !&#e intent &6 0re-,i*in( &r in-rin( an&t%er • C&$$&n e#e$ent -n,er Arti*#e! 5 an, 85: t%e a*t $-!t /e intenti&na#
CIVIL LAW REVIEWER
•
An a*ti&n *an &n# 0r&!0er 7%en ,a$a(e) $ateria# &r &t%er7i!e) 7a! !-66ere, / t%e 0#ainti66. An a*ti&n /a!e, &n Arti*#e! 585 7i## /e ,i!$i!!e, i6 t%e 0#ainti66 $ere# !ee1! re*&(niti&n A ,e6en,ant $a #i1e 7i!e /e (-i#t &6 t&rt -n,er Arti*#e! 585 e+en i6 %e a*te, in (&&, 6ait%. Here) #ia/i#it t& 0a $&ra# ,a$a(e! $a n&t /e i$0&!e, &n t%e ,e6en,ant 7%& a*te, in (&&, 6ait%.
3ENERAL SANCTION =ART- 20; • F&r a## &t%er 0r&+i!i&n! &6 #a7 7%i*% ,& n&t e!0e*ia## 0r&+i,e t%eir &7n !an*ti&n • In t%e eer*i!e &6 %i! #e(a# ri(%t &r ,-t • ;i##6-## &r ne(#i(ent# *a-!e! ,a$a(e t& an&t%er • Arti*#e 8 ,&e! n&t ,i!tin(-i!%) t%e a*t $a /e ,&ne eit%er 7i##6-## &r ne(#i(ent# CONTRA BONUS MORES =ART 21 5. T%ere i! an a*t 7%i*% i! #e(a# 8. B-t 7%i* % i! *&ntrar t& $&ra#!) (&&, *-!t&$) 0-/#i* &r,er &r 0-/#i* 0&#i* =. An, it i! ,&ne 7it% intent t& in-re Da$a(e! are re*&+era/#e e+en i6 n& 0&!iti+e #a7 %a! /een +i&#ate, UNUST ENRICHMENT ELEMENTS8 a. T%at a 0er!&n i! /ene6ite, +a#i, /a!i! &r -!ti6i*ati&n) /. 7it%&-t aT%at ! -*% / ene6it i ! , eri+e,an, at an&t%erK! e0en!e &r ,a$a(e.
CONCEPT O: VICARIOUS LIABILIT, A 0er!&n 7%& %i$!e#6 i! n&t (-i#t &6 ne(#i(en*e i! $a,e #ia/#e 6&r t%e *&n,-*t &6 an&t%er II.
CLASSIFICATION OF TORTS
COMISSION O: TORTS 5. INTENTIONAL =DELICT;8 E+er 0er!&n *ri$ina## #ia/#e 6&r a 6e#&n i! a#!& *i+i## #ia/#e. NOTE8
Pa'e *2 $& )01
=.
STRICT LIABILIT,8 Per!&n! E0re!!# Ma,e Lia/#e B La7 E+en 7it%&-t Fa-#t ACCORDIN3 TO SCOPE 3ENERAL TORTS: C&+ere, / Art. 85> &n <-a!iDe#i*t SPECI:IC TORTS8 T%e!e are t%&! e 6&-n, in !0e*i6i* 0r&+i!i&n! &6 #a7) in*#-,in( t%e C%a0ter &n H-$an Re#ati&n!) C&$$&n Carrier!) et*. =================================
TOPICS UNDER THE S,LLABUS III- Te T$r&eas$r A- Te direc $r&eas$r =1; Na!ra% ers$ns =2; !ridica% ers$ns B- Pers$ns made res$nsi#%e &$r $ers =1; In 3enera% =a; !asi>de%ics !nder Aric%e 2105 $/ inerreed :ami%" C$de5 Ars- 21>2195 221 =#; Indirec %ia#i%i" &$r ineni$na% acs =c; Pres!mi$n $& ne'%i'ence $n ers$ns indirec%" res$nsi#%e =d; Na!re $& %ia#i%i" 4$in $r s$%idar" =2; In Paric!%ar =a; Parens =#; 3!ardian =c; O/ners and mana'ers $& esa#%ismens and enerrises =d; Em%$"ers =e; Sae =&; Teacers and eads $& esa#%ismens $& ars and rades C- $in $r&eas$rs =Ar- 219)5 Ci.i% C$de; =================================
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CORPORATE TORT:EASOR A *&r0&rati&n i! *i+i## #ia/#e in t%e !a$e $anner a! nat-ra# 0er!&n! 6&r t&rt!) /e*a-!e (enera##
CIVIL LAW REVIEWER
!0ea1in() t%e r-#e! (&+ernin( t%e #ia/i#it &6 a 0rin*i0a# &r $a!ter 6&r a t&rt *&$$itte, / an a(ent &r !er+ant are t%e !a$e 7%et%er t%e 0rin*i0a# &r $a!ter /e a nat-ra# 0er!&n &r a *&r0&rati&n) an, 7%et%er t%e !er+ant &r a(ent /e a nat-ra# &r arti6i*ia# 0er!&n. A## &6 t%e a-t%&ritie! a(ree t%at a 0rin*i0a# &r $a!ter i! #ia/#e 6&r e+er t&rt 7%i*% %e e0re!!# ,ire*t! &r a-t%&rie!) an, t%i! i! -!t a! tr-e &6 a *&r0&rati&n a! &6 a nat-ra# 0er!&n) A *&r0&rati&n i! #ia/#e) t%ere6& re) 7%ene+er a t&rti&-! a*t i! *&$$itte, / an &66i*er &r a(ent -n,er e0re!! ,ire*ti&n &r a-t%&rit 6r&$ t%e !t&*1%&#,er! &r $e$/er! a*tin( a! a /&,) &r) (enera##) 6r&$ t%e ,ire*t&r! a! t%e (&+ernin( /&,.
PERSONS VICARIOUSL, LIABLE t%e &/#i(ati&n i$0&!e, in 85> i! ,e$an,a/#e n&t &n# 6&r &neK! &7n a*t &r &$i!!i&n /-t a#!& 6&r t%&!e 0er!&n! 6&r 7%&$ &ne i! re!0&n!i/#e ?art 859. VICARIOUS LIABILIT, A 0er!&n 7%& %i$!e#6 i! n&t (-i#t &6 ne(#i(en*e i! $a,e #ia/#e 6&r t%e *&n,-*t &6 an&t%er NOTE8 Vi*ari&-! #ia/i#it i! n&t (&+erne, / t%e ,&*trine &6 respondeat superior. E$0#&er! &r 0arent! are $a,e #ia/#e n&t &n# /e*a-!e &6 t%e ne(#i(ent &r 7r&n(6-# a*t &6 t%e 0er!&n 6&r 7%&$ t%e are re!0&n!i/#e /-t a#!& /e*a-!e &6 t%eir &7n ne(#i(en*e ?i.e. #ia/i#it i! i$0&!e, &n t%e e$0#&er /e*a-!e %e 6ai#e, t& eer*i!e ,-e ,i#i(en*e in t%e !e#e*ti&n an, !-0er+i!i&n &6 %i! e$0#&ee! ;%ene+er an e$0#&eeK! ne(#i(en*e *a-!e! ,a$a(e &r in-r t& an&t%er) t%ere in!tant# ari!e! a 0re!-$0ti&n -ri! tant-$ t%at t%e e$0#&er 6ai#e, t& eer*i!e ,i#i(enti!!i$i 0atri! 6a$i#ie! in t%e !e#e*ti&n ?*-#0a in e#i(ien,& &r !-0er+i!i&n ?*-#0a in +i(i#an,& &6 it! e$0#&ee!. T& a+&i, #ia/i#it 6&r a 2-a!i,e#i*t *&$$itte, / it! e$0#&ee) an e$0#&er $-!t &+er*&$e t%e 0re!-$0ti&n / 0re!entin( *&n+in*in( 0r&&6 t%at %e eer*i!e, t%e *are an, ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# in t%e !e#e*ti&n an, !-0er+i!i&n &6 %i! e$0#&ee
EFCEPTION: T%e ,&*trine &6 respondeat superior i! a00#i*a/#e in: a. Lia/i#it &6 e$0# &er! -n,er Arti*#e 5= &6 t%e RPC /. Lia/i#it &6 a 0artner!%i0 6&r t%e t&rt *&$$itte, / a 0artner
WHO ARE LIABLE8
THE
PERSONS
VICARIOUSL,
Pa'e *( $& )01
PARENTS 5. T%e 6at%er) an, in *a!e &6 %i! ,eat% &r in*a0a*it) t%e $&t%er are re!0&n!i/#e 6&r ,a$a(e *a-!e, / $in&r *%i#,ren 7%& #i+e in t%eir *&$0an. ather and #other shall jointly exercise parental authority o"er common children% In case of disagreement& fathers decision shall pre"ail Art% )''*% NOTE: Per!&n! #ia/#e 6&r t%e a*t &6 $in&r! &t%er t%an 0arent!: a. T%&!e eer*i!in( !-/!tit-te 0arenta# a-t%&rit /. S-r+i+in( (ran,0arent! *. O#,e!t !i/#in() &+er 85 ear! &#, -n#e!! -n6it &r -n2-a#i6ie, ,. C%i#,K! a*t-a# *-!t&,ian) &+er 85 ear! &#, -n#e!! -n6it &r ,i!2-a#i6ie,
3UARDIANS > 8. G-ar,ian! are #ia/#e 6&r ,a$a(e! *a-!e, / t%e $in&r &r in*a0a*itate, 0er!&n! 7%& are under their authority an, 7%& li"e in their company. =. OWNERS MANA3ERS O: ESTABLISHMENT ENTERPRISE O7ner! $ana(er! &6 e!ta/#i!%$ent &r enter0ri!e are re!0&n!i/#e 6&r ,a$a(e! *a-!e, / t%eir e$0#&ee! 7%& are: o in t%e !er+i*e &6 t%e /ran*%e! in 7%i*% o
t%e #atter are e$0#&e, OR in &**a!i&n &6 t%eir 6-n*ti&n
@. EMPLO,ERS E$0#&er! !%a## /e #ia/#e 6&r ,a$a(e! *a-!e, / t%eir: o e$0#&ee! an, o %&-!e%&#, %e#0er! 7%& are a*tin( 7in t%e !*&0e &6 t%eir a!!i(ne, ta!1 e+en t%&-(% t%e 6&r$er are n&t en(a(e, in an /-!ine!! &r in,-!tr ?-n#i1e in RPC !-/!i,iar #ia/i#it &6 e$0#&er atta*%e! in *a!e &6 in!&#+en* &6 e$0#&er 6&r a! #&n( a! t%e e$0#&er i! en(a(e, in /-!ine!!in,-!tr
DE:ENSES AVAILABLE TO EMPLO,ERS8 o eer*i!e &6 ,-e ,i#i(en*e in! e#e*ti&n an, !-0er+i!i&n &6 e$0#&ee! o a*t&$i!!i&n 7a! $a,e &-t!i,e 7&r1in( %&-r! an, in +i&#ati&n &6 *&$0an r-#e! STATE T%e !tate i! 4. re!0&n!i/#e 7%en it a*t! t%r&-(% a !0e*ia# a(ent) /-t n&t 7%en t%e !a$e i! *a-!e, /
CIVIL LAW REVIEWER
an &66i*ia# t& 7%&$ ta!1 ,&ne 0r&0er# 0ertain! in 7%i*% *a!e Art 85> i! a00#i*a/#e
SCHOOL . ADMINISTRATOR5 TEACHER Tea*%er! &r %ea,! &6 e!ta/#i!%$ent! &6 art! tra,e! !%a## /e #ia/#e 6&r ,a$a(e! *a-!e, / t%eir 0-0i#!) !t-,ent! a00renti*e! a! #&n( a! t%e re$ain in t%eir *-!t&, e+en i6 t%e are /e&n, t%e a(e &6 $a&rit NOTE8 Art. 859 a00#ie! t& a## in*# -,in( a*a,e$i* in!tit-ti&n 0er 7ei(%t &6 -ri!0r-,en*e /a!e, &n &/iter &6 J-!ti*e JBL Ree! in t%e Exconde *a!e. E6c$nde .Ca!n$5 K3-R- N$- L>101()5 !ne 295 19*? TEACHERS LIABILIT,8 T%e /a!i! &6 t%e tea*%erK! #ia/i#it i! t%e 0rin*i0#e &6 loco parentis ?!tan, in 0#a*e &6 0arent!. S& #&n( a! t%e !t-,ent! re$ain in t%e 0r&te*ti+e an, !-0er+i!&r *a0a*it &6 tea*%er!) t%e #atter !%a## /e ,ee$e, t& %a+e *-!t&, &+er t%e !t-,ent!. ItK! n&t ne*e!!ar 6&r t%e !t-,ent! t& /&ar, an, #i+e 7it% t%e tea*%er! !& t%at t%ere *an /e *-!t&, &+er t%e$. SCHOOLS LIABILIT,8 3ENERAL RULE : T%e S*%&&# it! e#6 i! NOT #ia/#e a! 0art ,e6en,ant! EFCEPTIONS8 Art. 859 &6 Fa$i# C&,e !*%&&#! are e0re!!# $a,e #ia/#e • S*%&&# i! #ia/#e a! an e$0#&er) a! in t%e *a!e 7%ere t%e t&rt6ea!&r i! a tea*%er) an e$0#&ee &6 t%e !*%&&#. S- :rancis Hi' .s- CA5 K19) SCRA ()1 • S*%&&# %a! a *&ntra*t 7it% t%e !t-,ent) an, t%-!) i6 t%e t&rt6ea!&r i! a !tran(er) t%e !*%&&# i! #ia/#e 6&r t%e /rea*% &6 t%e *&ntra*t. PSBA cs- CA5 K20* SCRA ?29
:AMIL, CODE PROVISIONS8 :ami%" C$de5 Ar 21 T%e !*%&&#) a. it! a,$ini!trati&n tea*%er! &r t%e in,i+i,-a#) entit &r in!tit-ti&n en(a(e, in *%i#, *are !%a## %a+e !0e*ia# 0arenta# a-t%&rit re!0&n!i/i#it &+er t%e $in&r *%i#, -n,er t%eir !-0er+i!i&n) in!tr-*ti&n &r *-!t&, ?a-t%&rit re!0&n!i/i#it !%a## a00# t& a## a-t%&rie, a*ti+itie! 7%et%er in!i,e &r &-t!i,e t%e 0re$i!e! &r t%e !*%&&#) entit &r in!tit-ti&n. /. :ami%" C$de5 Ar 219 T%&!e (i+en t%e a-t%&rit re!0&n!i/i#it !%a## /e !&#i,ari#
Pa'e *) $& )01
0rin*i0a## #ia/#e 6&r ,a$a(e! *a-!e, / a*t&$i!!i&n &6 t%e -ne$an*i0ate, $in&r" 0arent!) -,i*ia# (-ar,ian &r 0er!&n eer*i!in( !-/!tit-te 0arenta# a-t%&rit &+er !ai, $in&r !%a## /e !-/!i,iari# #ia/#e.
OINT TORT:EASORS J&int t&rt6ea!&r! are a## t%e 0er!&n! 7%& *&$$an,) in!ti(ate) 0r&$&te) en*&-ra(e) a,+i!e) *&-ntenan*e) *&&0erate in) ai, &r a/et t%e *&$$i!!i&n &6 a t&rt) &r 7%& a00r&+e &6 it a6ter it i! ,&ne) i6 ,&ne 6&r t%eir /ene6it. T%e re!0&n!i/i#it &6 t7& &r $&re 0er!&n! 7%& are #ia/#e 6&r 2-a!i,e#i*t i! !&#i,ar
)- NATURE O: ACTIVIT, T%ere are a*ti+itie! 7%i*% / nat-re i$0&!e ,-tie! t& eer*i!e a i'er de'ree $& di%i'ence ?e. Ban1!) C&$$&n Carrier! *- INTOFICATION 3ENERAL RULE8 Mere int&i*ati&n i! n&t ne(#i(en*e n&r e!ta/#i!%e! 7ant &6 &r,inar *are. B-t it $a /e *&n!i,ere, t& 0r&+e ne(#i(en*e. EFCEPTION8 Un,er Art. 8594 &6 t%e NCC it i! 0re!-$e, t%at a 0er!&n ,ri+in( a $&t&r +e%i*#e %a! /een ne(#i(ent i6 at t%e ti$e &6 t%e $i!%a0) %e 7a! +i&#atin( an tra66i* re(-#ati&n
SPECIAL RULES 1- CHILDREN T%e a*ti&n &6 t%e *%i#, 7i## n&t ne*e!!ari# /e -,(e, a**&r,in( t& t%e !tan,ar, &6 an a,-#t. B-t i6 t%e $in&r i! $at-re en&-(% t& -n,er!tan, an, a00re*iate t%e nat-re an, *&n!e2-en*e! &6 %i! a*ti&n!) %e 7i## /e *&n!i,ere, ne(#i(ent i6 %e 6ai#! t& eer*i!e ,-e *are an, 0re*a-ti&n in t%e *&$$i!!i&n &6 !-*% a*t!. NOTE8 A00#in( t%e 0r&+i!i&n! &6 t%e RPC) J-,(e San(*& ta1e! t%e +ie7 t%at a *%i#, 7%& i! &r /e#&7 i! *&n*#-!i+e# 0re!-$e, t& /e in*a0a/#e &6 ne(#i(en*e. On t%e &t%er %an,) i6 t%e *%i#, i! a/&+e ear! /-t /e#&7 54) t%ere i! a ,i!0-ta/#e 0re!-$0ti&n &6 a/!en*e &r ne(#i(en*e. • A/!en*e &6 ne(#i(en*e ,&e! n&t ne*e!!ari# $ean a/!en*e &6 #ia/i#it. A *%i#, -n,er ear! *an !ti## /e !-/!i,iari# #ia/#e 7it% %i! 0r&0ert ?Art. 5 RPC •
A/!en*e &6 ne(#i(en*e &6 t%e *%i#, $a n&t e*-!e t%e 0arent! 6r&$ t%eir +i*ari&-! #ia/i#it -n,er Art. 859 NCC &r Art. 885 FC.
2- PH,SICAL DI SABILIT, 3ENERAL RULE: a 7ea1 &r a**i,ent 0r&ne 0er!&n $-!t *&$e -0 t& t%e !tan,ar, &6 a rea!&na/#e $an) &t%er7i!e) %e 7i## /e *&n!i,ere, a! ne(#i(ent EFCEPTION: I6 t%e ,e6e*t a$&-nt! t& a rea# ,i!a/i#it) t%e !tan,ar, &6 *&n,-*t i! t%at &6 a rea!&na/#e 0er!&n -n,er #i1e ,i!a/i#it.
+- INSANIT, An in!ane 0er!&n i! ee$0t 6r&$ #ia/i#it. H&7e+er) / e0re!! 0r&+i!i&n &6 #a7) t%ere $a /e *i+i# #ia/i#it e+en 7%en t%e 0er0etrat&r i! %e#, t& /e ee$0t 6r&$ *ri$ina# #ia/i#it. T%e in!anit &6 a 0er!&n ,&e! n&t e*-!e %i$ &r %i! (-ar,ian 6r&$ #ia/i#it /a!e, &n 2-a!i ,e#i*t ?Art. 859 an, 8598 NCC =================================
TOPICS UNDER THE S,LLABUS V- Pr$6imae Ca!se A- C$nce =1; De&inii$n =2; Tes =(; Disin'!ised &r$m immediae ca!se =); Disin'!ised &r$m iner.enin' ca!se =*; Disin'!ised &r$m rem$e and c$nc!rren B- Ca!se in &ac =1; S!#sania% &ac$r es =2; C$nc!rren ca!ses C- Le'a% ca!se =1; Na!ra% and r$#a#%e c$nse@!ences =2; :$reseea#i%i" D- E&&icien iner.enin' ca!se E- Ca!se .s- C$ndii$n :- Las c%ear cance =================================
(- EFPERTS AND PRO:ESSIONALS T%e !%&-#, e%i/it t%e *a!e an, !1i## &6 &ne 7%& i! &r,inari# !1i##e, in t%e 0arti*-#ar 6ie#, t%at %e i! in" t%e r-#e re(ar,in( e0ert! i! a00#i*a/#e n&t &n# t& 0r&6e!!i&na#! 7%& %a+e -n,er(&ne 6&r$a# e,-*ati&n. ?ernando "% 0A*
CIVIL LAW REVIEWER
'. ;R4L/9A:E CAE
A- CONCEPT O: PROFIMATE CAUSE PROFIMATE CAUSE i! ,e6ine, a! t%at *a-!e 7%i*%) in nat-ra# an, *&ntin-&-! !e2-en*e) -n/r&1en / an e66i*ient inter+enin( *a-!e)
Pa'e ** $& )01
0r&,-*e! t%e in-r) an, 7it%&-t 7%i*% t%e re!-#t 7&-#, n&t %a+e &**-rre,. M&re *&$0re%en!i+e#) r$6imae ca!se i! t%at *a-!e a*tin( 6ir!t an, 0r&,-*in( t%e in-r) eit%er i$$e,iate# &r / !ettin( &t%er e+ent! in $&ti&n) a## *&n!tit-tin( a nat-ra# an, *&ntin-&-! *%ain &6 e+ent!) ea*% %a+in( a *#&!e *a-!a# *&nne*ti&n 7it% it! i$$e,iate 0re,e*e!!&r) t%e 6ina# e+ent in t%e *%ain i$$e,iate# e66e*tin( t%e in-r a! nat-ra# an, 0r&/a/#e re!-#t &6 t%e *a-!e 7%i*% 6ir!t a*te,) -n,er !-*% *ir*-$!tan*e! t%at t%e 0er!&n re!0&n!i/#e 6&r t%e 6ir!t e+ent !%&-#,) a! an &r,inari# 0r-,ent an, inte##i(ent 0er!&n) %a+e rea!&na/#e (r&-n, t& e0e*t at t%e $&$ent &6 %i! a*t &r ,e6a-#t t%at an in-r t& !&$e 0er!&n $i(%t 0r&/a/# re!-#t t%ere6r&$.
NECESSAR, LIN
Vda- de Baac%an .- Medina5 K3-R- N$- L> 1012+5 Oc$#er 225 19*? It $a /e t%at &r,inari#) 7%en a 0a!!en(er /-! &+ert-rn!) an, 0in! ,&7n a 0a!!en(er) $ere# *a-!in( %i$ 0%!i*a# in-rie!) i6 t%r&-(% !&$e e+ent) -ne0e*te, an, etra&r,inar) t%e &+ert-rne, /-! i! !et &n 6ire) !a) / #i(%tnin() &r i6 !&$e %i(%7a$en a6ter #&&tin( t%e +e%i*#e !et! it &n 6ire) an, t%e 0a!!en(er i! /-rne, t& ,eat%) &ne $i(%t !ti## *&nten, t%at t%e 0r&i$ate *a-!e &6 %i! ,eat% 7a! t%e 6ire an, n&t t%e &+ert-rnin( &6 t%e +e%i*#e. B-t in t%e 0re!ent *a!e an, -n,er t%e *ir*-$!tan*e! &/tainin( in t%e !a$e) 7e ,& n&t %e!itate t& %&#, t%at t%e 0r&i$ate *a-!e &6 t%e ,eat% &6 Bata*#an 7a! t%e &+ert-rnin( &6 t%e /-!) t%i! 6&r t%e rea!&n t%at 7%en t%e +e%i*#e t-rne, n&t &n# &n it! !i,e /-t *&$0#ete# &n it! /a*1) t%e #ea1in( &6 t%e (a!&#ine 6r&$ t%e tan1 7a! n&t -nnat-ra# &r -ne0e*te," t%at t%e *&$in( &6 t%e $en 7it% aBrinas #i(%te,.-t&r*% 7a!$&ine re!0&n!e t& t%e *a## Pe$%e Pi%iines5 3-R-6&r L> %e#0) $a,e n&t &n#2*5 / 19(t%e 0a!!en(er!) /-t (0(095 N$.em#er $&!t 0r&/a/#) *a-!e / t%e an, i!t%e T%e 0r&i$ate &6 ,ri+er t%e in-r n&t *&n,-*t&r an, *a-!e t%at /e*a-!e it ne*e!!ari#t%e$!e#+e!) t%e i$$e,iate &6) &r t%e 7a! +er ,ar1 ?a/&-t in t%e $&rnin() t%e *a-!e neare!t in ti$e8:= t&) t%e in-r. It i! &n# re!*-er! %a, t& *arr 7it% t%e$" 7%en t%e *a-!e! area #i(%t in,e0en,ent &6 an, ea*% *&$in( a! t%e t%e ,i, 6r&$ r-ra# area 7%ere &t%er t%at neare!t i! t&a /e *%ar(e, 7it% t%e #antern! 6#a!%#i(%t! n&t a+ai#a/#e) ,i!a!ter. an, S& #&n( a! t%ere7ere i! a nat-ra#) ,ire*t t%e t& -!e a t&r*%) t%e $&!t %an, an, an, %a, *&ntin-&-! !e2-en*e /et7een t%e a+ai#a/#e" 7a! $&re ne(#i(ent an, a*t 7%at t%e in-r ?!i* nat-ra# t%at it t%an *an t%at !ai, re!*-er! !%&-#, a00r&a*% rea!&na/# /e !ai, t%at inn&*ent# /-t 6&r t%e a*t t%e t%e &+ert-rne, t& eten,!-*% t%e ai, an, in-r *&-#, n&t+e%i*#e %a+e &**-rre,) ne(#i(ent e66e*t a*t i! t%e t%e 0r&i$ate re!*-e re2-e!te, *a-!e &6 6r&$ t%e in-r) t%e$.an, In &t%er 7&r,!) t%e *&$in( t%ere6&re &6 t%e $eni! 7it% t%e6&r 7%&e+er i! re!0&n!i/#e #ia/#e t&r*% 7a! t& /e e0e*te, an, 7a! nat-ra# ,a$a(e! re!-#tin( t%ere6r&$. One 7%& !e2-en*e &+ert-rnin( &6 t%e /-!) t%e ne(#i(ent#&6 t%e *reate! a ,an(er&-! *&n,iti&n tra00in( &6 !&$e#ia/i#it &6 it! 0a!!en(er!K /-!) t%e *ann&t e!*a0e 6&r t%e nat-ra# an, tra00in( !&$e &6 it! 0a!!e n(er! an, t%e 0r&/a/#e &6*&n!e2-en*e! t%ere&6) a#t%&-(% t%e *a## 6&r &-t!i,e %e#0 a*t &6 a t%ir, 0er!&n) &r an a*t &6 G&, 6&r 7%i*% %e i! n&t re!0&n!i/#e inter+ene! t& 0re*i0itate t%e #&!!.
NOTE8 I6 0#ainti66! ne(#i(en*e i! &n# c$nri#!$r") %e i! *&n!i,ere, 0art# re!0&n!i/#e &n#. P#ainti66 $a !ti## re*&+er 6r&$ ,e6en,ant /-t t%e a7ar, $a /e re,-*e, / t%e *&-rt! in 0r&0&rti&n t& %i! &7n ne(#i(en*e IMMEDIATE CAUSE T%e *a-!e neare!t in ti$e t&) t%e in-r. INTERVENIN3 CAUSE
CIVIL LAW REVIEWER
Pa'e *+ $& )01
P$eni6 C$nsr!ci$n .- IAC5 K3-R- L> +*29*5 Marc 105 19? I6 t%e inter+enin( *a-!e i! &ne 7%i*% in &r,inar %-$an e0erien*e i! rea!&na/# t& /e anti*i0ate, &r &ne 7%i*% t%e ,e6en,ant %a! rea!&n t& anti*i0ate -n,er t%e 0arti*-#ar *ir*-$!tan*e!) t%e ,e6en,ant $a /e ne(#i(en*e a$&n( &t%er rea!&n!) /e*a-!e &6 6ai#-re t& (-ar, a(ain!t it" &r t%e ,e6en,ant $a /e ne(#i(ent &n# 6&r t%at rea!&n. T%-! &ne 7%& !et! a 6ire $a /e re2-ire, t& 6&re!ee t%at an &r,inar) -!-a# an, *-!t&$ar 7in, ari!in( #ater 7i( !0rea, it /e&n, t%e ,e6en,ant! &7n 0r&0ert) an, t%ere6&re t& ta1e 0re*a-ti&n! t& 0re+ent t%at e+ent. T%e 0er!&n 7%& #ea+e! t%e *&$/-!ti/#e &r e0#&!i+e $ateria# e0&!e, in a 0-/#i* 0#a*e $a 6&re!ee t%e ri!1 &6 6ire 6r&$ !&$e in,e0en,ent !&-r*e. ... In a## &6 t%e!e *a!e! t%ere i! an inter+enin( *a-!e *&$/inin( 7it% t%e ,e6en,ant! *&n,-*t t& 0r&,-*e t%e re!-#t an, in ea*% *a!e t%e ,e6en,ant! ne(#i(en*e *&n!i!t! in 6ai#-re t& 0r&te*t t%e 0#ainti66 a(ain!t t%at +er ri!1.
ne(#i(en*e &6 &t%er a*t&r!. Ea*% 7r&n(,&er i! re!0&n!i/#e 6&r t%e entire re!-#t an, i! #ia/#e a! t%&-(% %i! a*t! 7ere t%e !&#e *a-!e &6 t%e in-r.
REMOTE CAUSE
SUBSTANTIAL :ACTOR It i! t%e r-#e -n,er t%e s!#sania% &ac$r es t%at i6 t%e a*t&r! *&n,-*t i! a s!#sania% &ac$r in /rin(in( a/&-t %ar$ t& an&t%er) t%e 6a*t t%at t%e a*t&r neit%er 6&re!a7 n&r !%&-#, %a+e 6&re!een t%e etent &6 t%e %ar$ &r t%e $anner in 7%i*% it &**-rre, ,&e! n&t 0re+ent %i$ 6r&$ /ein( #ia/#e . Pi%iine Ra##i B!s Lines .- IAC5 K3-R- ++1025 A!'!s (05 1990
Mani%a E%ecric C$- .- Rem$@!i%%$5 K3-R- N$L>25 Ma" 15 19*+ A 0ri&r an, re$&te *a-!e *ann&t /e $a,e t%e /e &6 an a*ti&n i6 !-*% re$&te *a-!e ,i, n&t%in( $&re t%an 6-rni!% t%e *&n,iti&n &r (i+e ri!e t& t%e &**a!i&n / 7%i*% t%e in-r 7a! $a,e 0&!!i/#e) i6 t%ere 0ri&r &r re$&te *a-!einter+ene, an, t%e /et7een in-r a !-*% ,i!tin*t) !-**e!!i+e) -nre#ate,) an, e66i*ient *a-!e &6 t%e in-r) e+en t%&-(% !-*% in-r 7&-#, n&t %a+e %a00ene, /-t 6&r !-*% *&n,iti&n &r &**a!i&n. I6 n& ,an(er ei!te, in t%e *&n,iti&n e*e0t /e*a-!e &6 t%e in,e0en,ent *a-!e) !-*% *&n,iti&n 7a! n&t t%e 0r&i$ate *a-!e. An, i6 an in,e0en,ent ne(#i(ent a*t &r ,e6e*ti+e *&n,iti&n !et! int& &0erati&n t%e in!tan*e!) 7%i*% re!-#t in in-r /e*a-!e &6 t%e 0ri&r ,e6e*ti+e *&n,iti&n) !-*% !-/!e2-ent a*t &r *&n,iti&n i! t%e 0r&i$ate *a-!e.
B- CAUSE IN :ACT ZBUT :OR TEST T%e ?/-t 6&r te!t re2-ire! a 0#ainti66 t& e!ta/#i!% t%at t%e a*t *&$0#aine, &6 0r&/a/# *a-!e, t%e !-/!e2-ent ,i!a/i#it. NELSON V:IBREBOARD CORPORATION5 K912 :-2d )+9 T%e te!t a00#ie, t& ,eter$ine 7%et%er ne(#i(ent *&n,-*t 7a! t%e e66i*ient) &r 0r&i$ate *a-!e &6 t%e in- r &r #&!! !-66ere, / t%e *#ai $ant i! 7%et%er !-*% *&n,-*t i! a *a-!e 7it%&-t 7%i*% t%e in-r 7&-#, n&t %a+e ta1en 0#a*e ?7%i*% te!t i! 6re2-ent# re6erre, t& a! t%e !ine 2-a n&n r-#e) &r i! t%e e66i*ient *a-!e 7%i*% !et in $&ti&n t%e *%ain &6 *ir*-$!tan*e! #ea,in( t& t%e in-r. O%nco, ;"ilippin ?% on :or!s %n %&%s, 1+)
CONCURRENT CAUSES I6 &ne !-66er! ,a$a(e a! t%e 0r&i$ate re!-#t &6 t%e ne(#i(en*e &6 t7& &t%er!) an, t%e ,a$a(e 7&-#, n&t %a+e &**-rre, /-t 6&r t%e ne(#i(en*e &6 ea*% &6 !-*% 0artie!) /&t% are #ia/#e t& t%e 0er!&n !& in-re,. MENNE .- CELOTEF CORPORATION5 K +1 :-2d 1)*(
C- LE3AL CAUSE TEST O: :ORSEEABILIT,
CONCURRENT CAUSE ;%ere !e+era# *a-!e! 0r&,-*in( an in-r are *&n*-rrent an, ea*% i! an e66i*ient *a-!e 7it%&-t 7%i*% t%e in-r 7&-#, n&t %a+e %a00ene,) t%e in-r $a /e attri/-te, t& a## &r an &6 t%e *a-! e! an, re*&+er $a /e %a,
;%ere t%e 0arti*-#ar %ar$ 7a! rea!&na/# 6&re!eea/#e at t%e ti$e &6 t%e ,e6en,antK! $i!*&n,-*t) %i! a*t &r &$i!!i&n i! t%e #e(a# *a-!e t%ere&6. F&re!eea/i#it i! t%e 6-n,a$enta# te!t &6 t%e #a7 &6 ne(#i(en*e. T& /e ne(#i(ent) t%e ,e6en,ant $-!t %a+e a*te, &r 6ai#e, t& a*t
a(ain!t an &r t%e a## *ir*-$!tan*e! &6 t%e re!0&n!i/#e a#t%&-(% -n,er &6 t%e0er!&n! *a!e) it $a a00ear t%at &ne &6 t%e$ 7a! $&re *-#0a/#e) an, t%at t%e ,-t &7e, / t%e$ t& t%e in-re, 0er!&n 7a! n&t t%e !a$e. N& a*t&r! ne(#i(en*e *ea!e! t& /e a 0r&i$ate *a-!e $ere# /e*a-!e it ,&e! n&t e*ee, t%e
in !-*% a 7a t%at an &r,inar rea!&na/#e $an 7&-#, %a+e rea#ie, t%at *ertain intere!t! &6 *ertain 0er!&n! 7ere -nrea!&na/# !-/e*te, t& a (enera# /-t ,e6inite *#a!! &6 ri!1 7%i*% $a,e t%e a*t&rK! *&n,-*t ne(#i(ent) it i! &/+i&-!# t%e *&n!e2-en*e 6&r t%e a*t&r $-!t /e %e#, #e(a##
CIVIL LAW REVIEWER
Pa'e *? $& )01
re!0&n!i/#e. Ot%er7i!e) t%e #e(a# ,-t i! entire# ,e6eate,. A**&r,in(#) t%e (enera#iati&n $a /e 6&r$-#ate, t%at a## 0arti*-#ar *&n!e2-en*e!) t%at i!) *&n!e2-en*e! 7%i*% &**-r in a $anner 7%i*% 7a! rea!&na/# 6&re!eea/#e / t%e ,e6en,ant at t%e ti$e &6 %i! $i!*&n,-*t are #e(a## *a-!e, / %i! /rea*% &6 ,-t.
TEST O: NATURAL AND P ROBABLE CAUSES A nat-ra# *&n!e2-en*e &6 an a*t i! t%e *&n!e2-en*e 7%i*% &r,inari# 6&##&7! it. A 0r&/a/#e *&n!e2-en*e i! &ne t%at i! $&re #i1e# t& 6&##&7 t%an 6ai# t& 6&##&7 it! !-00&!e, *a-!e /-t it i! nee, &ne /e &ne 7%i*% ne*e!!ari# 6&##&7 !-*% *a-!e. (%nco, ;"ilippin ?% on :or!s %n %&%s, 1+)
HINDSI3HT TEST A 0art (-i#t &6 ne(#i(en*e &r &$i!!i&n i! re!0&n!i/#e 6&r a## t%e *&n!e2-en*e! 7%i*% a 0r-,ent an, e0erien*e, 0art) 6-## a*2-ainte, 7it% a## t%e *ir*-$!tan*e! 7%i*% in 6a*t ei!t) 7%et%er t%e *&-#, %a+e /een a!*ertaine, / rea!&na/#e ,i#i(en*e) &r n&t) 7&-#, %a+e t%&-(%t at t%e ti$e &6 t%e ne(#i(ent a*t a! rea!&na/# 0&!!i/#e t& 6&##&7) i6 t%e %a, /een !-((e!te, t& %i! $in,. ORBIT TEST I6 t%e 6&re!eea/#e ri!1 t& 0#ainti66 *reate, a ,-t 7%i*% t%e ,e6en,ant /rea*%e,) #ia/i#it i! i$0&!e, 6&r an re!-#tin( in-r 7it%in t%e &r/it &r !*&0e &6 !-*% in-r) it i! n&t t%e -n-!-a# nat-re &6 t%e a*t re!-#tin( in in-r t%at i! t%e te!t &6 6&re!eea/i#it) /-t 7%et%er t%e re!-#t &6 t%e a*t i! 7it%in t%e a$/it &6 t%e %aar,! *&+ere, / t%e ,-t i$0&!e, -0&n ,e6en,ant.
D- E::ICIENT INTERVENIN3 CAUSE An in,e0en,ent inter+enin( *a-!e a! &ne 7%i*% i! !& ,i!tin*t a! t& !e+er t%e *&nne*ti&n &6 *a-!e an, e66e*t /et7een t%e ne(#i(ent a*t an, t%e in-r BARTELS .- CIT, $& WILLISTON5 K+29 :-2d *09 I6 an in,e0en,ent *a-!e inter+ene!) 7%i*% i! &6 it!e#6 !-66i*ient t& 0r&,-*e t%e re!-#t) it i! re(ar,e, a! 0r&i$ate *a-!e) an, t%e &ri(inat&r &6 t%e 6ir!t *a-!e i! re#ie+e, 6r&$ #ia/i#it MICHAEL .- U-S-5 K(( :-2d 219
E- CAUSECONDITION
CIVIL LAW REVIEWER
P$eni6 C$nsr!ci$n .- IAC5 3-R- L>+*29*5 KMarc 105 19? Man *&-rt! %a+e !&-(%t t& ,i!tin(-i!% /et7een t%e a*ti+e *a-!e &6 t%e %ar$ an, t%e ei!tin( *&n,iti&n! -0&n 7%i*% t%at *a-!e &0erate,. I6 t%e ,e6en,ant %a! *reate, &n# a 0a!!i+e !tati* *&n,iti&n) 7%i*% $a,e t%e ,a$a(e 0&!!i/#e) t%e ,e6en,ant i! !ai, n&t t& /e #ia/#e. B-t !& 6ar a! t%e 6a*t &6 *a-!ati&n i! *&n*erne,) in t%e !en!e &6 ne*e!!ar ante*e,ent! 7%i*% %a+e 0#ae, an i$0&rtant 0art in 0r&,-*in( t%e re!-#t it i! 2-ite i$0&!!i/#e t& ,i!tin(-i!% /et7een a*ti+e 6&r*e! an, 0a!!i+e !it-ati&n!) 0arti*-#ar# !in*e) a! i! in+aria/# t%e *a!e) t%e #atter are t%e re!-#t &6 &t%er a*ti+e 6&r*e! 7%i*% %a+e (&ne /e6&re. T%e ,e6en,ant 7%& !0i##! (a!&#ine a/&-t t%e 0re$i!e! *reate! a *&n,iti&n) /-t t%e a*t $a /e *-#0a/#e /e*a-!e &6 t%e ,an(er &6 6ire. ;%en a !0ar1 i(nite! t%e (a!&#ine) t%e *&n,iti&n %a! ,&ne 2-ite a! $-*% t& /rin( a/&-t t%e 6ire a! t%e !0ar1" an, !in*e t%at i! t%e +er ri!1) 7%i*% t%e ,e6en,ant %a! *reate,) t%e ,e6en,ant 7i## n&t e!*a0e re!0&n!i/i#it. E+en t%e #a0!e &6 a *&n!i,era/#e ti$e ,-rin( 7%i*% t%e *&n,iti&n re$ain! !tati* 7i## n&t ne*e!!ari# a66e*t #ia/i#it" &ne 7%& ,i(! a tren*% in t%e %i(% 7a $a !ti## /e #ia/#e t& an&t%er 7%& 6an! int& it a $&nt% a6ter7ar,. Ca-!e an, *&n,iti&n !ti## 6in, &**a!i&na# $enti&n in t%e ,e*i!i&n!" /-t t%e ,i!tin*ti&n i! n&7 a#$&!t entire# ,i!*re,ite,. S& 6ar a! it %a! an +a#i,it at a##) it $-!t re6er t& t%e t0e &6 *a!e 7%ere t%e 6&r*e! !et in &0erati&n / t%e ,e6en,ant %a+e *&$e t& re!t in a 0&!iti&n &6 a00arent !a6et) an, !&$e ne7 6&r*e inter+ene!. B-t e+en in !-*% *a!e!) it i! n&t t%e ,i!tin*ti&n /et7een *a-!e an, *&n,iti&n 7%i*% i! i$0&rtant /-t t%e nat-re &6 t%e ri!1 an, t%e *%ara*ter &6 t%e inter+enin( *a-!e.
E- LAST CLEAR CHANCE Can%as .- C$!r $& Aea%s5 K3-R- 1121+05 :e#r!ar" 25 2000 In e!!en*e) t%e ,&*trine &6 #a!t *#ear *%an*e i! t& t%e e66e*t t%at 7%ere /&t% 0artie! are ne(#i(ent /-t t%e ne(#i(ent a*t &6 &ne i! a00re*ia/# #ater in 0&int &6 ti$e t%an t%at &6 t%e &t%er) &r 7%ere it i! i$0&!!i/#e t& ,eter$ine 7%&!e 6a-#t &r ne(#i(en*e /r&-(%t a/&-t t%e &**-rren*e &6 t%e in*i,ent) t%e &ne 7%& %a, t%e #a!t *#ear &00&rt-nit t& a+&i, t%e i$0e n,in( %ar$ /-t 6ai#e, t& ,& !&) i! *%ar(ea/#e 7it% t%e *&n!e2-en*e! ari!in( t%ere6r&$.
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State, ,i66erent#) t%e r-#e i! t%at t%e ante*e,ent ne(#i(en*e &6 a 0er!&n ,&e! n&t 0re*#-,e re*&+er &6 ,a$a(e! *a-!e, / t%e !-0er+enin( ne(#i(en*e &6 t%e #atter) 7%& %a, t%e #a!t 6air *%an*e t& 0re+ent t%e i$0en,in( %ar$ / t%e eer*i!e &6 ,-e ,i#i(en*e=================================
TOPICS UNDER THE S,LLABUS VI- Le'a% In4!r" A- C$nce B- E%emens $& ri' C$&in4!r" ri' $r %e'a% in4!r" D- Vi$%ai$n C%asses $& =1; In4!r" $ ers$ns =2; In4!r" $ r$er" =(; In4!r" $ re%ai$ns =================================
'/. ?EGA? /RF DAMA3E t%e ,etri$ent) in-r &r #&!! 7%i*% i! &**a!i&ne, / rea!&n &6 6a-#t &6 an&t%er in t%e 0r&0ert &r 0er!&n DAMA3ES t%e 0e*-niar *&$0en!ati&n) re*&$0en!e &r !ati!6a*ti&n 6&r an in-r !-!taine,) &r a! &t%er7i!e e0re!!e,) t%e 0e*-niar *&n!e2-en*e! 7%i*% t%e #a7 i$0&!e! 6&r t%e /rea*% &6 !&$e ,-t &r t%e +i&#ati&n &6 !&$e ri(%t! DAMNUM ABSUE INURIA $r Dama'e /i$! In4!r" a 0er!&n $a %a+e !-66ere, 0%!i*a# %-rt &r in-r) /-t 6&r a! #&n( a! n& #e(a# in-r &r 7r&n( %a! /een ,&ne) t%ere i! n& #ia/i#it INUR, DAMA3E D AM A3 E S Le(a# L&!!) %-rt &r T%e in+a!i&n &6 a %ar$ 7%i*% re*&$0en!e #e(a# ri(%t re!-#t! 6r&$ &r t%e in-r *&$0en!ati& n a7ar,e, 6&r t%e ,a$a(e !-66ere,
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TOPICS UNDER THE S,LLABUS VII- Ineni$na% T$rs A- 3enera% =1; C$nce =2; C%asses =a; Iner&erence /i ers$ns and r$er"
CIVIL LAW REVIEWER
=#; Iner&erence /i re%ai$ns B- Iner&erence /i ri's $ ers$ns and r$er" =1; Ineni$na% "sica% arms =a; 3enera% =#; Vi$%ai$n $& ers$ns sec!ri"5 "sica% in4!ries =Ar- ((5 Ci.i% C$de; =c; :a%se imris$nmen =i%%e'a% deeni$n; =d; Tresass $ %and =e; Iner&erence /i ers$na% r$er" =2; Ineni$na% n$n>"sica% arms =a; 3enera% =#; Vi$%ai$n $& ers$na% di'ni" =c; In&%ici$n $& em$i$na% disress =d; Vi$%ai$n $& ri.ac" =e; Dis!r#ance $& eace $& mind =&; Ma%ici$!s r$sec!i$n ='; De&amai$n =; :ra!d $r misreresenai$n =&$rmer%" decei; =i; Sed!ci$n =4; Un4!s dismissa% C- Iner&erence /i re%ai$ns =1; 3enera% =a; C$nce =#;:ami%" inds re%ai$ns =2; =a; A%ienai$n $& a&&eci$n =#; L$ss $& c$ns$ri!m =c; Crimina% c$n.ersai$n =ad!%er"; =(; S$cia% re%ai$ns =a; Medd%in' /i $r dis!r#in' &ami%" re%ai$ns =#; Inri'!in' $ ca!se an$er $ #e a%ienaed &r$m is &riends =); Ec$n$mic re%ai$ns =a; Iner&erence /i c$nrac!a% re%ai$ns =#; Un&air c$meii$n =*; P$%iica% re%ai$ns =a; Vi$%ai$n $& ri' $ s!&&ra'e =NCC5 Ar- (2; =#; Vi$%ai$n $& $er $%iica% ri's =&reed$m $& seec5 ress5 assem#%" and eii$n5 ec-; =+; De&enses
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=a; A#sence $& e%emen =#; Pri.i%e'e =c; Prescrii$n =d; Wai.er =e;
'/. /:ERA:/4A? :4R: 1- BREACH O: A PROMISE TO MARR, 3ENERAL RULE: Brea*% &6 a 0r&$i!e t& $arr / it!e#6 i! n&t a*ti&na/#e. EFCEPTION: In *a!e! 7%ere t%ere i! an&t%er a*t in,e0en,ent &6 t%e /rea*% &6 a 0r&$i!e t& $arr 7%i*% (i+e! ri!e t& #ia/i#it a. Ca!e! 7%ere t%ere 7a! 6inan*ia# ,a$a(e /. S&*ia# %-$ i#iati&n *a- !e, t& &ne &6 t%e 0artie! *. ;%ere t%ere 7a! $&ra# !e,-*ti&n ,. I6 t%e /rea*% 7a! ,&ne in a $ anner t%at i! *#ear# *&ntrar t& (&&, $&ra#! •
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M&ra# !e,-*ti&n *&nn&te! t%e i,ea &6 ,e*eit) enti*e$ent) !-0eri&r 0&7er &r a/-!e &6 *&n6i,en*e &n t%e 0art &6 t%e !e,-*er t& 7%i*% t%e 7&$an %a! ie#,e, 6&r 7%i*% t%e !e,-*er *an /e %e#, #ia/#e 6&r ,a$a(e!. 3asem S$$
2- SEDUCTION WITHOUT BREACH O: PROMISE TO MARR, • Se,-*ti&n / it!e#6) i! a#!& an a*t *&ntrar t& $&ra#!) (&&, *-!t&$! an, 0-/#i* 0&#i* • T%e ,e6en,ant i! #ia/#e i6 %e e$0#&e, ,e*eit) enti*e$ent) !-0eri&r 0&7er &r a/-!e &6 *&n6i,en*e in !-**e!!6-## %a+in( !e-a# inter*&-r!e 7it% an&t%er e+en i6 %e !ati!6ie, %i! #-!t 7it%&-t 0r&$i!in( t& $arr t%e &66en,e, 0art • It $a n&t e+en $atter t%at t%e 0#ainti66 an, t%e ,e6en,ant are &6 t%e !a$e (en,er
(- SEFUAL ASSAULT • De6en,ant i! #ia/#e 6&r a## 6&r$! &6 !e-a# a!!a-#t
CIVIL LAW REVIEWER
)- DESERTION B, A SPOUSE • A !0&-!e %a! t%e #e(a# &/#i(ati&n t& #i+e 7it% %i!%er !0&-!e. I6 a !0&-!e ,&e! n&t 0er6&r$ %i!%er ,-t t& t%e &t%er) %e $a /e #ia/#e 6&r ,a$a(e! 6&r !-*% &$i!!i&n /e*a-!e t%e !a$e i! *&ntrar t& #a7) $&ra#!) (&&, *-!t&$! an, 0-/#i* 0&#i*. *-
TRESPASSES AND DEPRIVATION O: PROPERT, 2 INDS8 ATRESPASS TO ANDOR DEPRIVATION O: REAL PROPERT, • Lia/i#it 6&r ,a$a(e! -n,er t%e RPC an, Art. @45 &6 t%e Ci+i# C&,e re2-ire! intent &r /a, 6ait% • A /-i#,er in (&&, 6ait% 7%& a*te, ne(#i(ent# $a /e %e#, #ia/#e -n,er Art. 85> NCC • Art. @@9 &6 t%e Ci+i# C&,e in re#ati&n t& Art. @4 ,&e! n&t 0er$it a*ti&n 6&r ,a$a(e! 7%ere t%e /-i#,er) 0#anter &r !&7er a*te, in (&&, 6ait%. T%e #an,&7ner i! #i$ite, t& t%e &0ti&n! (i+en t& %i$ -n,er arti*#e @@9 B- TRESPASS TO AN DOR DEPR IVATION O: PRIVATE PROPERT, • In t&rt) tre!0a!! eten,! t& a## *a!e! 7%ere a 0er!&n i! ,e0ri+e, &6 %i! • •
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0er!&na# e+en in t%e a/!en*e &6 0r&0ert *ri$ina# #ia/i#it Ea$0#e!: t%e6t) r&//er It $a *&+er *a!e! 7%ere t%e ,e6en,ant 7a! ,e0ri+e, &6 0er!&na# 0r&0ert 6&r t%e 0-r0&!e &6 &/tainin( 0&!!e!!i&n &6 rea# 0r&0ert. T%e ,e6en,ant 7%& 7a! #an,#&r,) 7a! %e#, #ia/#e /e*a-!e %e ,e0ri+e, t%e 0#ainti66!) %i! tenant! &6 7ater in &r,er t& 6&r*e t%e$ t& +a*ate t%e #&t t%e 7ere *-#ti+atin(. Ma'#an!a .IAC5 K1(? SCRA (*2 T%e ri(%t t& ,i!*&nne*t an, ,e0ri+e t%e *-!t&$er) 7%& -nrea!&na/# 6ai#! t& 0a %i! /i##! &6 e#e*tri*it !%&-#, /e eer*i!e, in a**&r,an*e 7it% t%e #a7 an, r-#e!. Ea$0#e: I6 a *&$0an ,i!*&nne*t! t%e e#e*tri*it !er+i*e 7it%&-t 0ri&r n&ti*e a! re2-ire, / t%e r-#e!) t%e *&$0an *&$$it! a t&rt -n,er Art. 85 NCC) Mani%a E%ecric C$- .- CA5 K3-R- N$1(2*(95 !%" 115 2001
+- ABORTION AND WRON3:UL DEATH
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Da$a(e! $a /e re*&+ere, / /&t% !0&-!e! i6: a.T%e a/&rti&n 7a! *a-!e t%r&-(% t%e 0%!i*ianK! ne(#i(en*e &r /. D&ne intenti&na## 7it%&-t t%eir *&n!ent
NOTE8 A ,&*t&r 7%& 0er6&r$! an i##e(a# a/&rti&n i! *ri$ina## #ia/#e -n,er Art. 84 RPC H-!/an, &6 a 7&$an 7%& +&#-ntari# 0r&*-re, %er a/&rti&n $a re*&+er ,a$a(e! 6r&$ t%e 0%!i*ian 7%& *a-!e t%e !a$e &n a**&-nt &6 ,i!tre!! an, $enta# an(-i!% atten,ant t& t%e #&!! &6 t%e -n/&rn *%i#, an, t%e ,i!a00&int$ent &6 %i! 0aren ta# e0e*tati&n. K3e%!J .CA5 2 SCRA 0
?- ILLE3AL DISMISSAL • T%e ri(%t &6 t%e e$0#&er t& ,i!$i!! an e$0#&ee !%&-#, n&t /e *&n6-!e, 7it% t%e $anner in 7%i*% t%e ri(%t i! eer*i!e, an, it! e66e*t!. • I6 t%e ,i!$i!!a# 7a! ,&ne anti!&*ia## an, &00re!!i+e#) t%e e$0#&er !%&-#, /e ,ee$e, t& %a+e +i&#ate, Art. 5>5 &6 t%e NCC ?7%i*% 0r&%i/it! a*t! &6 &00re!!i&n / eit%er *a0ita# &r #a/&r a(ain!t t%e &t%er an, Art. 85 • An e$0#&er $a /e %e#, #ia/#e 6&r ,a$a(e! i6 t%e $anner &6 ,i!$i!!in( i! *&ntrar t& $&ra#! (&&, *-!t&$! an, 0-/#i* 0&#i*.
- MALICIOUS PROSECUTION • An a*ti&n 6&r ,a$a(e! /r&-(%t / &ne a(ain!t an&t%er 7%&$ a *ri$ina# 0r&!e*-ti&n) *i+i# !-it) &r &t%er #e(a# 0r&*ee,in( %a! /een in!tit-te, $a#i*i&-!# an, 7it%&-t 0r&/a/#e *a-!e) a6ter ter$inati&n &6 !-*% 0r&!e*-ti&n) !-it &r 0r&*ee,in( in 6a+&r &6 t%e ,e6en,ant t%erein. • T%e a*ti&n 7%i*% i! ter$inate, !%&-#, /e &ne /e(-n in $a#i*e) 7it%&-t 0r&/a/# e *a-!e t& /e#ie+e t%at t%e *%ar(e! *an /e !-!taine, • STATUTOR, BASIS: Art. 585) 8) =8) ==) =4) 885>) 885?9 NCC ELEMENTS8 a. T%e 6a*t &6 t%e 0r&!e*-ti&n an, t%e 6-rt%er 6a*t t%at t%e ,e6en,ant 7a! %i$!e#6 t%e 0r&!e*-t&r" an, t%at t%e a*ti&n 7a! 6ina## ter$inate, 7it% an a*2-itta#
CIVIL LAW REVIEWER
/. T%at in /rin(in( t%e a*ti&n) t%e 0r&!e*-t&r a*te, 7it%&-t 0r&/a/#e *a-!e *. T%e 0r&!e*-t&r 7a! a*t-ate, &r i$0e##e, / #e(a# $a#i*e NOTE8 Pre!en*e &6 0r&/a/#e *a-!e !i(ni6ie! a/!en*e &6 $a#i*e. • A/!en*e &6 $a#i*e !i(ni6ie! (&&, 6ait% &n t%e 0art &6 t%e ,e6en,ant. G&&, 6ait% $a e+en /e /a!e, &n $i!ta1e &6 #a7. A*2-itta# 0re!-00&!e! t%at *ri$ina# in6&r$ati&n i! 6i#e, in *&-rt an, 6ina# -,($ent ren,erin( ,i!$i!!in( t%e *a!e. Ne+ert%e#e!!) 0ri&r a*2-itta# $a in*#-,e ,i!$i!!a# / t%e 0r&!e*-t&r a6ter 3%$#e 0re#i$inar in+e!ti(ati&n. Mac
9- PUBLIC HUMILIATION • S-*% a*t! a#!& *&n!tit-te an &66en!e -n,er Art. =4) RPC ?S#an,er / Dee, • A 0er!&n *an /e %e#, #ia/#e 6&r ,a$a(e! 6&r !#a00in( an&t%er in 0-/#i*. Parici$ .- H$n- Oscar Le.ise5 K3-R- N$- L> *1(25 Ari% 2+5 199 • A ,e6en,ant $a #i1e7i!e /e (-i#t &6 a t&rt e+en i6 %e a*te, in (&&, 6ait% i6 t%e a*ti&n %a! *a-!e, %-$i#iati&n t& an&t%er. 3rand Uni$n S!ermar)2*05 Decem#er 25 19?9 10- UNUST ENRICHMENT ELEMENTS8 a. T%at a 0er!&n i! /ene6ite, 7it%&-t a +a#i, /a!i! &r -!ti6i*ati&n) an, /. T%at !-*% /ene6it i! ,eri+e, at an&t%erK! e0en!e &r ,a$a(e. 11- OSTENTATIOUS DISPLA, O: WEALTH • T%&-(%t#e!! etra+a(an*e 6&r 0#ea!-re &r ,i!0#a ,-rin( a 0eri&, &6 0-/#i* 7ant &r e$er(en* 12- VIOLATION O: RI3HT O: PRIVAC, AND :AMIL, RELATIONS • T%e 6&##&7in( a*t! t%&-(% t%e $a n&t *&n!tit-te a *ri$ina# &66en!e) !%a## 0r&,-*e a *a-!e &6 a*ti&n 6&r ,a$a(e!) 0re+enti&n an, &t%er re#ie6: a. Pr"in' int& t%e 0ri+a* &6 an&t%er! re!i,en*e /. 0ri+ate &r ,i!t-r/in( Medd%in' #i6e &r7it% 6a$i# re#ati&n! t%e &6 an&t%er Inri'!in' t& *a-!e an&t%er t& *. /e a#ienate, 6r&$ %i! 6rien,! Ve6in' $r !mi%iain' an&t%er ,. &n a**&-nt &6 %i! re#i(i&-! /e#ie6!)
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#&7# !tati&n in #i6e. P#a*e &6 /irt%) 0%!i*a# ,e6e*t) &r &t%er 0er!&na# *&n,iti&n
1(- DERELICTION O: O::ICIAL DUT, O: PUBLIC O::ICERS • Ma /e /r&-(%t / an 0er!&n !-66erin( 6r&$ $ateria# &r $&ra# #&!! /e*a-!e a 0-/#i* !er+ant re6-!e! &r ne(#e*t!) 7it%&-t -!t *a-!e t& 0er6&r$ %i! &66i*ia# ,-t ?art 8>. REUISITES8 De&endan is a !#%ic $&&icer a. *%ar(e, 7it% t%e 0er6&r$an*e &6 a ,-t in 6a+&r &6 t%e 0#ainti66 /. =0er6&r$ !-*% ,-t ?$ini!teria# *. P#ainti66 s!sained maeria% $r m$ra% %$ss a! *&n!e2-en*e &6 !-*% n&n0er6&r$an*e ,. T%e am$!n &6 !-*% ,a$a(e!) i6 $ateria# 1)-ECONOMIC RELATIONS A- UN:AIR CO MPETITION Un6air *&$0etiti&n in a(ri*-#t-ra#) *&$$er*ia# &r in,-!tria# enter0ri!e! &r in #a/&r t%r&-(% t%e -!e &6 6&r*e) inti$i,ati&n) ,e*eit. Ma*%inati&n &r &t%er -n-!t) &00re!!i+e &r %i(%%an,e, $et%&, ?Art 89 B. INTER:ERENCE One /e*&$e! #ia/#e in an a*ti&n 6&r ,a$a(e! 6&r a n&ntre!0a!!&r in+a!i&n &6 an&t%er! intere!t in t%e 0ri+ate -!e an, en&$ent &6 a!!et i6 ?a t%e &t%er %a! 0r&0e rt ri(%t! an, 0ri+i#e(e! 7it% re!0e*t t& t%e -!e &r en&$ent inter6ere, 7it%) ?/ t%e in+a!i&n i! !-/!tantia#) ?* t%e ,e6en,ant! *&n,-*t i! a #e(a# *a-!e &6 t%e in+a!i&n) an, ?, t%e in+a!i&n i! eit%er intenti&na# an, -nrea!&na/#e &r -nintenti&na# an, a*ti&na/#e -n,er (enera# ne(#i(en*e r-#e!. ? ELEMENTS O: TORT INTER:ERENCE : ?5 ei!ten*e &6 a +a#i, *&ntra*t" ?8 1n&7#e,(e &n t%e 0art &6 t%e t%ir, 0er!&n &6 t%e ei!ten*e &6 *&ntra*t" an, ?= inter6eren*e &6 t%e t%ir, 0er!&n i! 7it%&-t #e(a# -!ti6i*ati&n &r e*-!e. S$ Pin' B!n .- CA5 K3-R- 120**)5 Seem#er 215 1999 1*- MALICIOUS PROSECUTION ELEMENTS
CIVIL LAW REVIEWER
a. T%at t%e ,e6en,ant 7a! %i$!e#6 t%e 0r&!e*-t&r %e in!ti(ate, it! *&$$en*e$ent /. T%at it 6ina## ter$inate! in %i! a*2-itta# *. T%at in /rin(in( it t%e 0r&!e*-t&r a*te, 7it%&-t 0r&/a/#e *a-!e) an, ,. T%at %e 7a! a*t-ate, / #e(a# $a#i*e) t%at i!) / i$0r&0er an, !ini!ter $&ti+e
1+- VIOLATION O: RI3HTS AND LIBERTIES O: ANOTHER PERSON • An 0-/#i* &66i*er &r e$0#&ee) &r an 0ri+ate in,i+i,-a#) 7%& ,ire*t# &r in,ire*t# &/!tr-*t!) ,e6eat!) +i&#ate! &r in an $anner i$0e,e! &r i$0air! an &6 t%e ri(%t! an, #i/ertie! ?-n,er Arti* #e =8 &6 t%e NCC &6 an&t%er 0er!&n !%a## /e #ia/#e t& t%e #atter 6&r ,a$a(e!. 1?- NUISANCE ELEMENTS a. An a*t) &$i!!i&n) e!ta/#i!%$ent) *&n,iti&n &6 0r&0ert) &r ant%in( e#!e /. ;%i*%: • In-re! &r en,an(er! t%e %ea#t% &r !a6et t& &t%er!) &r • Ann&! &r &66en,! t%e !en!e!) &r • S%&*1!) ,e6ie!) &r ,i!re(ar,! ,e*en* &r $&ra#it) &r • O/!tr-*t! &r &6inter6ere! t%e 6ree 0a!!a(e an 0-/#i*7it% %i(%7a &r !treet!) &r an /&, &6 7ater) &r • Hin,er! &r i$0air! -!e &6 0r&0ert
INDS • N!isance Per Se ,en&-n*e, a! n-i!an*e / *&$$&n #a7 &r / !tat-te • N!isance Per Accidens t%&!e 7%i*% are in t%eir nat-re n&t n-i!an*e!) /-t $a /e*&$e !& / rea!&n &6 t%eir #&*a#it) !-rr&-n,in(!) &r t%e $anner in 7%i*% t%e $a /e *&n,-*te,) $ana(e,) et*. • P!#%ic a66e*t! a *&$$-nit &r nei(%/&r%&&, &r an *&n!i,era/#e n-$/er &6 0er!&n! • Pri.ae &ne t%at i! n&t in*#-,e, in t%e 6&re(&in( ,e6initi&n" a66e*t an in,i+i,-a# &r a #i$ite, n-$/er &6 in,i+i,-a#! &n# REMEDIES A3AINST PUBLIC NUISANCES • Pr&!e*-ti&n -n,er t%e RPC &r an #&*a# &r,inan*e • Ci+i# a*ti&n 7it%&-t -,i*ia# • A/ate$ent) 0r&*ee,in(
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REMEDIES A3AINST PRIVATE NUISANCES 5. Ci+i# A*ti&n 8. A/ate$ent) 7it%&-t -,i*ia# 0r&*ee,in(! WHO MA, AVAIL O: REMEDIES • P-/#i* &66i*er! • Pri+ate 0er!&n! i6 n-i!an*e i! !0e*ia## in-ri&-! t& %i$!e#6" t%e 66. $-!t /e $a,e: a. De$an, /e 6ir!t $a,e -0&n &7ner &r 0&!!e!!&r &6 t%e 0r&0ert t& a/ate n-i!an*e /. T%at !-*% ,e$an, %a! /een ree*te, *. T%at t%e a/ate$ent /e a0 0r&+e, / t%e ,i!tri*t %ea#t% &66i*er an, ee*-te, 7it% t%e a!!i!tan*e &6 #&*a# 0&#i*e ,. T%at t%e +a#-e &6 ,e! tr-*ti&n ,&e! n&t e*ee, P=) DOCTRINE O: ATTRACTIVE NUISANCE Ca!e! 7it%in t%e (enera# r-#e t%at $ne is %ia#%e &$r e in4!r" res!% in' $ an$er &r$m &ai%!re t& eer*i!e t%e ,e(ree &6 *are *&$$en!-rate 7it% t%e *ir*-$!tan*e! t%e araci.eness $& e remises &r &6 t% e ,an(er&-! in!tr-$enta#it $ ci%dren $& ender "ears i! t& /e *&n!i,ere, a! an i$0#ie, in+itati&n) 7%i*% ta1e! t%e *%i#,ren 7%& a**e0te, it &-t &6 t%e *ate(&r &6 a tre!0a!!er an, 0-t! t%e$ in t%e *ate(&r &6 in+itee!) t&7ar,! 7%&$ t%e &7ner &6 t%e 0re$i!e! &r in!tr-$enta#it &7e! t%e ,-t &6 &r,inar..
CIVIL LAW REVIEWER
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TOPICS UNDER THE S,LLABUS VII- Ne'%i'ence A- C$nce B- 3$$d &aer $& a &ami%" $r reas$na#%" r!den man C- Sandard $& care =1; Ci.i% C$de5 Ar- 11?( =2; Emer'enc" R!%e DUnreas$na#%e ris< $& arm E- E.idence :- Pres!mi$n $& ne'%i'ence =1; Le'a% r$.isi$ns =2; Rs ips% loui!ur 3- De&enses =1; C$m%ee =a; A#sence $& e%emen =#; Acciden $r &$r!i$!s e.en =c; %&nu& %su injuri% =d; A!$ri" $& %a/ =e; Ass!mi$n $& ris< =&; Las c%ear cance ='; Prescrii$n =Ci.i% C$de5 Ars11))5 11)+5 and 11*0; =; Wai.er =i; D$!#%e rec$.er" =Ci.i% C$de5
=. C&ntra*t-a# ne(#i(en*e ?NCC 0r& +i!i&n! &n *&ntra*t! 0arti*-#ar# Art!. 55> t& 55>@
NOTE8 • Fai#-re &6 t%e *&-rt t& $a1e an 0r&n&-n*e$ent) 6a+&ra/#e &r -n6a+&ra/#e) a! t& t%e *i+i# #ia/i#it &6 t%e a**-!e, a$&-nt! t& a re!er+ati&n &6 t%e ri(%t t& %a+e t%e *i+i# #ia/i#it #iti(ate, an, ,eter$ine, in a !e0arate a*ti&n. T%e r-#e! n&7%ere 0r&+i,e t%at i6 t%e *&-rt 6ai#! t& ,eter$ine t%e *i+i# #ia/i#it it /e*&$e! n& #&n(er en6&r*ea/#e. arani%%a .- CA5 K1?1 SCRA )2 A 2-a!i,e#i*t i! a !e0arate #e(a# • in!tit-ti&n -n,er t%e Ci+i# C&,e an, i! entire# a0art an, in,e0en,ent 6r&$ a ,e#i*t &r *ri$e a ,i!tin*ti&n ei!t! /et7een t%e *i+i# #ia/i#it ari!in( 6r&$ a *ri$e an, t%e re!0&n!i/i#it 6&r 2-a!i,e#i*t! &r *-#0a etra *&ntra*t-a#. Casi%%$ .- CA5 K1?+ SCRA *91 TESTS O: NE3LI3ENCE Di, t%e ,e6en,ant in ,&in( t%e a##e(e, • ne(#i(ent a*t -!e t%e rea!&na/#e *are an,
Ar- 21??; ================================= '//. EG?/GECE ELEMENTS O: UASI DELICTTORTS8 5. 8. =. @.
A*t &r &$i!!i&n Da$a(e &r in-r i! *a-!e, t& an&t%er Fa-#t &r ne(#i(en*e i! 0re!ent T%ere i! n& 0reei!tin( *&ntra*t-a# re#ati&n! /et7een t%e 0artie! 4. Ca-!a# *&nne*ti&n /et7een ,a$a(e ,&ne an, a*t&$i!!i&n
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*a-ti&n 7%i*% an &r,inar 0r-,ent 0er!&n 7&-#, %a+e -!e, in t%e !a$e !it-ati&nX I& n$5 en e is '!i%" $& ne'%i'ence C&-#, a 0r-,ent $an) in t%e *a!e -n,er *&n!i,erati&n) 6&re!ee %ar$ a! a re!-#t &6 t%e *&-r!e 0-r!-e,X I& s$5 i as e d!" $& e ac$r $ a
NE3LI3ENCE > T%e &$i!!i&n &6 t%at ,e(ree &6 ,i#i(en*e 7%i*% i! re2-ire, / t%e nat-re &6 t%e &/#i(ati&n an, *&rre!0&n,in( t& t%e *ir*-$!tan*e! &6 t%e 0er!&n!) ti$e an, 0#a*e INDS O: NE3LI3ENCE 5. <-a!i ,e#i*t ?Art. 85> NCC 8. Cri$ina# ne(#i(en*e ?Art. =4 RPC
CIVIL LAW REVIEWER
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DISTIN3UISHED :ROM OTHER SOURCES O: OBLI3ATION8 Vinc!%!m !ris Pr$$& Needed De&ense a.ai%a#%e Pre>e6isin' c$nrac B!rden $& r$$&
CONTRACT C&ntra*t
UASD I ELICT Ne(#i(ent a*t &$i!!i&n ?*-#0a) i$0r-,en*e Pre0&n,eran*e &6 e+i,en*e Pre0&n,eran*e &6 e+i,en*e Eer*i!e &6 etra&r,inar ,i#i(en*e Eer*i!e &6 ,i#i(en*e &6 a (&&, 6at%er &6 a ?in *&ntra*t &6 *arria(e) F&r*e 6a$i# in t%e !e#e*ti&n an, !-0er+i!i&n &6 Mae-re e$0#&ee! T%ere i! a 0reei!tin( *&ntra*t N& 0reei!tin( *&ntra*t C&ntra*t-a# 0art. Vi*ti$. Pr&+e t%e 66.: Pr&+e t%e 66.: 5. ei!ten*e &6 a *&ntra*t 5.,a$a(e 8. /rea*% 8. ne(#i(en*e =.*a-!a# *&nne*ti&n /et7een ne(#i(en*e an, ,a$a(e ,&ne
CONTRACT Vinc!%!m !ris
C&ntra*t
Pr$$& Needed
Pre0&n,eran*e &6 e+i,en*e Eer*i!e &6 etra&r,inar ,i#i(en*e ?in *&ntra*t &6 *arria(e) F&r*e
De&ense a.ai%a#%e
Pre>e6isin' c$nrac B!rden $& r$$&
Lia#i%i" $& Em%$"er Reser.ai$n Re@!iremen
E&&ec $& 4!d'men $& ac@!ia% in a crimina% case in.$%.in' same ac$missi$n
CIVIL LAW REVIEWER
Mae-re T%ere i! a 0reei!tin( *&ntra*t C&ntra*t-a# 0art. Pr&+e t%e 66.: 5. ei!ten*e &6 a *&ntra*t 8. /rea*% S&#i,ar Ci+i# a!0e*t &6 t%e 2-a!i,e#i*t i! i$0#ie,# in!tit-te, 7it% *ri$ina# a*ti&n) /-t -n,er 8 Cri$0r& R-#e! it i! in,e0en,ent an, !e0arate N&t a /ar t& re*&+er *i+i# ,a$a(e! ECEPT 7%en -,($ent 0r&n&-n*e! t%at t%e ne(#i(en*e 6r&$ 7%i*% ,a$a(e ari!e i!
DELICT A*t & $i!!i&n * &$$itte, / $ ean! & 6 , &#& ?,e#i/erate) $a#i*i&-!) in /a, 6ait% Pr&&6 /e&n, rea!&na/#e ,&-/t
N& 0reei!tin( *&ntra*t Pr&!e*-ti&n. A**-!e, i! 0re!-$e, inn&*ent -nti# t%e *&ntrar i! 0r&+e,.
S-/!i,iar Ci+i# a!0e*t i! I$0#ie,# in!tit-te, 7it% *ri$ina# a*ti&n
N&t a /ar t& re*&+er *i+i# ,a$a(e!
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n&nei!tent
CIVIL LAW REVIEWER
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CIRCUMSTANCES TO CONSIDER 5. Ti$e 8. P#a*e =. Per!&na# *ir*-$!tan*e! &6 t%e A* t&r! 3OOD :ATHER O: A :AMIL, = p%!r %&ili%s; T%e &n# !tan,ar, &6 *&n,-*t -!e, in t%e • P%i#i00ine! ?Art. 55>= NCC
M$ra%es5 K3-R- 1+9)+?5 :e#r!ar" 2*5 2010 EVIDENCE NE3LI3ENCE 0#ainti66 $-!t 0r&+e ne(#i(en*e &6 ,e6en,ant E6cei$ns: a. In *a!e! 7%ere ne(#i(en*e i! 0re!-$e, &r i$0-te, / #a7 t%i! i! &n# re/-tta/#e0re!-$0ti&n juris tantum /. Prin*i0#e & 6 res ipsa lo;uitur ?t%e t%in( !0ea1! 6&r it!e#6 (r&-n,e, &n t%e ,i66i*-#t in 0r&+in( t%r- *&$0etent e+i,en*e) 0-/#i* 0&#i* *&n!i,erati&n! 5.
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A rea!&na/#e $an i! ,ee$e, t& %a+e 1n&7#e,(e &6 t%e 6a*t! t%at a $an !%&-#, /e e0e*te, t& 1n&7 /a!e, &n &r,inar %-$an e0erien*e.
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T%e #a7 0re!-$e! &r re2-ire! a $an t& 0&!!e!! &r,inar *a0a*it t& a+&i, %ar$in( %i! nei(%/&r! -n#e!! a *#ear an, $ani6e!t in*a0a*it i! !%&7n an, t%e #a7 ,&e! n&t %&#, %i$ #ia/#e 6&r -nintenti&na# in-r -n#e!!) 0&!!e!!in( !-*% *a0a*it) %e $i(%t an, &-(%t t& %a+e 6&re!een t%e ,an(er. 0orliss "% #anila 1ailroad
2- DAMA3E INUR,
T%e #a7 6ie! n& ar/itrar a(e at 7%i*% a $in&r *an /e !ai, t& %a+e t%e ne*e!!ar *a0a*it t& -n,er!tan, an, a00re*iate t%e nat-re an, *&n!e2-en*e! &6 %i! a*t!. Ta"%$r .- Mera%c$5 K1+ Pi%
NOTE8 I6 0#ainti66! ne(#i(en*e i! &n# c$nri#!$r") %e i! *&n!i,ere, 0art# re!0&n!i/#e &n#. P#ainti66 $a !ti## re*&+er 6r&$ ,e6en,ant /-t t%e a7ar, $a /e re,-*e, / t%e *&-rt! in 0r&0&rti&n t& %i! &7n ne(#i(en*e
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=. CAUSAL CONNECTION BETWEEN NE3LI3ENCE AND DAMA3E De6en,antK! ne(#i(en*e $-!t /e t%e 0r&i$ate *a-!e &6 t%e in-r !-!taine, / t%e 0#ainti66 t& ena/#e 0#ainti66 t& re*&+er. T%-!) i6 0#ainti66K! &7n *&n,-*t i! t%e *a-!e &6 t%e in-r t%ere *an /e n& re*&+er.
EMER3ENC, RULE
Pr$6imae Ca!se > t%e a,e2-ate an, e66i*ient
Un,er t%i! r-#e) &ne 7%& !-,,en# 6in,! %i$!e#6 in a 0#a*e &6 ,an(er) an, i! re2-ire, t& a*t 7it%&-t ti$e t& *&n!i,er t%e /e!t $ean! t%at $a /e a,&0te, t& a+&i, t%e i$0en,in( ,an(er) i! n&t (-i#t &6 ne(#i(en*e) i6 %e 6ai#! t& a,&0t 7%at !-/!e2-ent# an, -0&n re6#e*ti&n $a a00ear t& %a+e /een a /etter $et%&,) -n#e!! t%e ,an(er in 7%i*% %e 6in,! %i$!e#6 i! /r&-(%t a/&-t / %i! &7n ne(#i(en*e DELSAN Trans$r .CA C$nsr!ci$n5 K3-R- 1*+0()5 Oc$#er 15 200(
*a-!e 7%i*% in t%e nat-ra# &r,er &6 e+ent! an, -n,er t%e 0arti*-#ar *ir*-$!tan*e! !-rr&-n,in( t%e *a!e) 7&-#, nat-ra## 0r&,-*e t%e e+ent
UNREASONABLE RIS O: HARM In,ee,) a %i(%er ,e(ree &6 *are i! re2-ire, &6 !&$e&ne 7%& %a! in %i! 0&!!e!!i&n &r -n,er %i! *&ntr&# an in!tr-$enta#it etre$e# ,an(er&-! in *%ara*ter) !-*% a! ,an(er&-! 7ea0&n! &r !-/!tan*e!. S-*% 0er!&n in 0&!!e!!i&n &r *&ntr&# &6 ,an(er&-! in!tr-$enta#itie! %a! t%e ,-t t& ta1e e*e0ti&na# 0re*a-ti&n! t& 0re+ent an in-r /ein( ,&ne t%ere/. Un#i1e t%e &r,inar a66air! &6 #i6e &r /-!ine!! 7%i* % in+&#+e #itt#e &r n& ri!1) a /-!ine!! ,ea#in( 7it% ,an(er&-! 7ea0&n! re2-ire! t%e eer*i!e &6 a %i(%er ,e(ree &6 *are. Pacis .-
A 0er!&n *#ai$in( ,a$a(e! 6&r t%e ne(#i(en*e &6 an&t%er %a! t%e /-r,en &6 0r&+in( t%e ei!ten*e &6 !-*% 6a-#t &r ne(#i(en*e *a-!ati+e t%ere&6. T%e 6a*t! *&n!tit-ti+e &6 ne(#i(en*e $-!t /e a66ir$ati+e# e!ta/#i!%e, / *&$0etent e+i,en*e. ;%&!&e+er re#ie! &n ne(#i(en*e 6&r %i! *a-!e &6 a*ti&n %a! t%e /-r,en in t%e 6ir!t in!tan*e &6 0r&+in( t%e ei!ten*e &6 t%e !a$e i6 *&nte!te,) &t%er7i!e %i! a*ti&n $-!t 6ai# . PLDT .- CA5 3-RL>*?0?95 KSeem#er 295 199
PRESUMPTION O: NE3LI3ENCE 1- DRIVER PRESUMED NE3LI3ENT B, LAW I:8 a. He %a, /een 6&-n, (-i#t &r re*1#e!! or 7it%i ,ri+in( +i&#atin( re(-#ati&n!t7& at #ea!t t7i*e n t%etra66i* net 0re*e,in( $&nt%!. /. at t%e ti$e &6 t%e $i!%a0) %e 7a! +i&#atin( an tra66i* re(-#ati&n.
2- COMMON CARRIERS Arti*#e 5>== &6 t%e Ne7 Ci+i# C&,e $an,ate! t%at *&$$&n *arrier!) / rea!&n &6 t%e nat-re &6 t%eir /-!ine!!) !%&-#, &/!er+e etra&r,inar ,i#i(en*e in t%e +i(i#an*e &+er t%e (&&,! t%e *arr. In *a!e &6 #&!! &6 t%e (&&,!) t%e *&$$&n *arrier i! 0re!-$e, t& %a+e /een at 6a-#t &r t& %a+e a*te, ne(#i(ent#. In *a!e &6 ,eat% &6 &r in-rie! t& 0a!!en(er!) *&$$&n *arri er! are 0re!-$e, t& %a+e /een at 6a-#t &r t& %a+e a*te, ne(#i(ent#
(DE:ENDANT IN POSSESSION O: DAN3EROUS WEAPONS OR SUBSTANCES5 SUCH AS :IREARMS AND POISON •T%ere i! 0ri$a 6a*ie 0re!-$0ti&n &6 ne(#i(en*e &n t%e 0art &6 ,e6en,ant i6 ,eat% &r in-r re!-#t! 6r&$ !-*% 0&!!e!!i&n EFCEPTION: T%e 0&!!e!!i&n &r -!e t%ere&6 i! in,i!0en!a/#e in %i! &**-0ati&n &r /-!ine!! )- RES IPSA LOUITOR ?T%e t%in( !0ea1 ! 6&r it!e#6 Gr&-n,e, &n t%e ,i66i*-#t in 0r&+in( t%r- *&$0etent e+i,en*e) 0-/#i* 0&#i* *&n!i,erati&n!. ;%ere t%e t%in( 7%i*% *a-!e! in-r i! !%&7n t& /e -n,er t%e $ana(e$ent &6 t%e ,e6en,ant) an, t%e a**i,ent i! !-*% a! in t%e &r,inar *&-r!e &6 t%in(! ,&e! n&t %a00en i6 t%&!e 7%& %a+e t%e
,e6en,ant t%r- t%e eer*i!e &6 rea!&na/#e *are an, 0r-,en*e $i(%t %a+e a+&i,e, in-ri&-! *&n!e2-en*e! t& t%e 0#ainti66. T%i! ,e6en!e i! a+ai#a/#e &n# in an a*ti&n / t%e ,ri+er &r &7ner &6 &ne +e%i *#e a(ain!t t%e ,ri+er &r &7ner &6 t%e &t%er +e%i*#e in+&#+e,.
REUISITES8 a. P#ainti66 7 a! i n a 0 &!iti&n & 6 ,an(er / %i! &7n ne(#i(en*e /. De6en,ant 1ne7 &6 !-*% 0&!iti&n &6 t%e 0#ainti66 *. De6en,ant % a, t %e # a!t * #ear *%an*e t& a+&i, t%e a**i,ent / eer*i!e &6 &r,inar *are /-t 6ai#e, t& eer*i!e !-*% #a!t *#ear *%an*e an, ,. A**i,ent & **-rre, a ! 0 r&i$ate *a-!e &6 !-*% 6ai#-re W$ ma" in.$
$ana(e$ent -!e 0r&0er *are) it a66&r,! rea!&na/#e e+i,en*e) in t%e a/!en*e &6 an e0#anati&n / t%e ,e6en,ant) t%at t%e a**i,ent ar&!e 6r&$ 7ant &6 *are. La"!'an .- IAC5 K3-R- ?(995 N$.em#er 1)5 199 •
G. E e+en t%&-(% a 0er!&nK! &7n a*t! $a %a+e 0#a*e, %i$ in a 0&!iti&n &6 0eri# an, an in-r re!-#t!) t%e in-re, i! entit#e, t& re*&+er i6 t%e
ne(#i(en*e) i& e &ai%s $ ad$ /a s!#se@!en%" and !$n re&%eci$n $a a00ear t& %a+e /een a /etter $et%&,) -n#e!! t%e e$er(en* in 7%i*% %e 6in,! %i$!e#6 i! /r&-(%t a/&-t / %i! &7n ne(#i(en*e. An in,i+i,-a# 7i## ne+ert%e#e!! /e !-/e*t t& #ia/i#it i6 t%e e$er(en* 7a! /r&-(%t a/&-t / %i! &7n ne(#i(en*e. Va%enJ!e%a .- CA5 K2*( SCRA (0(
NOTE8 A00#i*a/#e &n# t& !it-ati&n! t%at are !-,,en an, -ne0e*te, !-*% a! t& ,e0ri+e a*t&r &6 a## &00&rt-nit 6&r ,e#i/erati&n ?a/!en*e &6 6&re!eea/i#it" t%e a*ti&n !%a## !ti## /e -,(e, / t%e !tan,ar, &6 t%e &r,inar 0r-,ent $an :ACTORS TO CONSIDER8 a. 3ra.i" $& e Harm t& /e a+&i,e, /. A%ernai.e c$!rses $& aci$n I6 t%e a#ternati+e 0re!ente, t& t%e a*t&r i! t&& *&!t#) t%e %ar$ t%at $a re!-#t $a !ti##
/e *&n!i,ere, -n6&re!eea/#e t& a rea!&na/#e $an *. S$cia% Va%!e and Ui%i" $& e Aci$n T%e a*t 7%i*% !-/e*t! an inn&*ent 0er!&n t& an -nne*e!!ar ri!1 i! a ne(#i(ent a*t i6 t%e ri!1 &-t7ei(%! t%e a,+anta(e a**r-in( t& t%e a*t&r an, e+en t& t%e inn&*ent 0er!&n %i$!e#6. ,. Pers$n e6$ sed $ e ris< > A %i(%er ,e(ree &6 ,i#i(en*e i! re2-ire, i6 t%e 0er!&n in+&#+e, i! a *%i#,. 4. DOCTRINE O: ASSUMPTION O: RIS @olenti non fit injuria T%at t& 7%i*% a 0er!&n a!!e nt! i! n&t ,ee$ e, in #a7 an in-r.
REUISITES8 a. Ineni$na% e6$s!re t& a 1n&7n ,an(er /. One 7%& .$%!nari%" ass!med t%e ri!1 &6 an in-r 6r&$ a 1n&7n ,an(er *ann&t re*&+er in an a*ti&n 6&r ne(#i(en*e &r an in-r i! in*-rre, *. P#ainti66K! acceance $& ris< ?/ #a7*&ntra*tnat-re &6 &/#i(ati&n %a! erased de&endans d!" !& t%at %i! ne(#i(en*e i! n&t a #e(a# 7r&n( ,. A00#ie! $ a%% . :ORTUITOUS EVENT n& 0er!&n !%a## /e re!0&n!i/#e 6&r t%&!e e+ent! 7%i*% *ann&t /e 6&re!een) &r 7%i*% t%&-(% 6&re!een 7ere ine+ita/#e
REUISITES8 a. T%e *a-!e &6 t%e !n&$reseen and !ne6eced &**-rren*e) &r &6 t%e 6ai#-re &6 t%e ,e/t&r t& *&$0# 7it% %i! &/#i(ati&n) $-!t /e in,e0en,ent &6 t%e %-$an 7i##" /. It $-!t /e im$ssi#%e $ &$resee t%e e+ent 7%i*% *&n!tit-te! caso fortuito &r i6 it *an /e 6&re!een it $-!t /e i$0&!!i/#e t& a+&i, *. T%e &**-rren*e $-!t /e !-*% a! t& ren,er it im$ssi#%e &$r e de#$r $ &!%&i%% is &/#i(ati&n in a n&r$a# $anner ,. T%e &/#i(&r $-!t #e &ree &r$m an" ariciai$n in t%e a((ra+ati&n &6 t%e in-r re!-#tin( t& t%e *re,it&r.
3ENERAL RULE8 F&rt-it&-! E+ent i! a c$m%ee de&ense an, a 0er!&n i! n&t #ia/#e i6 t%e *a-!e &6 t%e ,a$a(e i! a 6&rt-it&-! e+ent. EFCEPTION8 It i! $ere# a aria% de&ense an, t%e *&-rt! $a $iti(ate t%e ,a$a(e! i t%e #&!! 7&-#, %a+e re!-#te, in an e+ent Art. 8854?@ NCC NOTE8 A 0er!&n $a !ti## /e #ia/#e 6&r a 6&rt-it&-! e+ent i6 !-*% 0er!&n $a,e an ASSUMPTION O: RIS. 9. DAMNUM ABSUE INURIA a 0rin*i0#e t%at in+&#+e! ,a$a(e 7it%&-t in-r) t%ere6&re n& #ia/i#it i! in*-rre," t%ere i! n& #e(a# in-r . LAW !0e*i6i* 0r&+i!i&n &6 #a7
EAMPLES • T%e &7ner &r #a76-# 0&!!e!!&r &6 a t%in( %a! t%e ri(%t t& e*#-,e an 0er!&n 6r&$ t%e en&$ent an, ,i!0&!a# t%ere&6. F&r t%i! 0-r0&!e) %e $a -!e !-*% 6&r*e a! $a /e rea!&na/# ne*e!!ar t& re0e# &r 0re+ent an a*t-a# &r t%reatene, -n#a76-# 0%!i*a# in+a!i&n &r -!-r0ati&n &6 %i! •
0r&0ert ?Art. @8 NCC Arti*#e 55 &6 t%e Re+i!e, Pena# C&,e ?A*t =954: i. Se#6De6en!e ii. De6en!e &6 Pr&0ert iii. O/e,ien*e t& La76-# Or,er i+. La76-# Eer*i!e &6 a ri(%t &r ,-t
10-EF ERCISE O: THE DILI3ENCE O: A 3OOD :ATHER O: A :AMIL, IN THE SELECTION AND SUPERVISION O: EMPLO,EES 11-PRESCRIPTION a. In-r t& ri(%t &6 0#ainti662-a!i ,e#i*t @ ear! /. De6a$ati&n 5 ear *. ;%en n& !0e*i6i* 0r&+i!i&n) $-!t /e *&-nte, 6r&$ t%e ,a t%e $a /e /r&-(%t
A3AINST DOUBLE 58. PROSCRIPTION RECOVER, Re!0&n!i/i#it 6&r 6a-#t &r ne(#i(en*e -n,er 2-a!i,e#i*t i! entire# !e0arate an, ,i!tin*t 6r&$ *i+i# a*ti&n ari!in( 6r&$ t%e RPC /-t 0#ainti66 *ann&t re*&+er ,a$a(e! t7i*e 6&r !a$e a*t &r &$i!!i&n &6 t%e ,e6en,ant 1(-WAIVER CONSENT 5@. ACT OR OMISSION IS NOT THE PROFIMATE CAUSE O: THE DAMA3E 54. OTHER 3ROUNDS M&ti&n T& Di!$i!!: a. La*1 &6 -r i!,i*ti&n &+er 0e r!&n &6 ,e6en,ant /. La*1 &6 -ri!,i*ti&n &+er !-/e*t $atter *. Ven-e i$0r&0er# #ai, ,. P#ainti66 %a! n& #e(a# *a0a*it t& !-e e. T%ere i! an&t%er a*ti&n 0en,in( /et7een !a$e 0artie! 6&r !a$e *a-!e 6. Ca-!e &6 a* ti&n i! /a rre, / 0ri&r -,($ent !tat-te &6 #i$itati&n! (. P#ea,in( a!! ertin( *#a i$ !ta te! n& *a-!e &6 a*ti&n %. C#ai$ !et 6&rt% in 0#ea,in( %a! /een 0ai,) 7ai+e,) a/an,&ne,) etin(-i!%e, i. C#ai$ i! -nen6&r*ea/#e -n,er t%e 0r&+i!i&n &6 !tat-te &6 6ra-, . 0re*e,ent 6&r 6i#in( *#ai$ %a! C&n,iti&n n&t /een *&$0#ie, 7it%
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TOPICS UNDER THE S,LLABUS IF- Secia% Lia#i%i" in Paric!%ar Aci.iies A- 3enera% =1; C$nce B- Pr$d!cs Lia#i%i" =1; Man!&ac!rers $r r$cess$rs a- E%emens #- C$ns!mer Ac KRA ?(9)5 Sec92>10?5 =C- 1; C- N!isance =Ci.i% C$de5 Ars- +9)> ?0?; =1; er N!isance accidenceer se and n!isance =2; P!#%ic n!isance and ri.ae n!isance =(; Araci.e n!isance D- Vi$%ai$n $& c$nsi!i$na% ri's
=1; Vi$%ai$n $& ci.i% %i#eries E- Vi$%ai$n $& ri's c$mmied #" !#%ic $&&icers :- Pr$.inces5 ciies and m!nicia%iies 3- O/ner $& m$$r .eic%e H- Pr$rie$r $& #!i%din' $r sr!c!re $r in' I- Head $& &ami%" F- Sric Lia#i%i" a- Anima%s =1; P$ssess$r and !ser $& an anima% #- N!isance =s!ra; =1; C%asses8 Per se $r er accidens P!#%ic $r Pri.ae =2; Easemen a'ains n!isance c- Pr$d!cs Lia#i%i" =s!ra; =1; C$ns!mer Ac ===============================
/L. ;EC/A? ?/A=/?/:F STRICT LIAB ILIT,8 PERSONS EPRESSLY MADE LIABLE BY LA; EVEN ;ITHOUT FAULT 1- POSSESSOR O: AN A NIMAL
3ENERAL RULE8 T%e 0&!!e!!&r &6 an ani$a# &r 7%&e+er $a $a1e -!e &6 t%e !a$e i! re!0&n!i/#e 6&r t%e ,a$a(e 7%i*% it $a *a-!e EFCEPTIONS8 a. F&r*e $ae-re /. Fa-#t &6 t%e in-re,,a$a(e, 0er!&n 2- OWNER O: MOTOR VEHICLE • In $&t&r +e%i*#e $i!%a0) t%e &7ner i! !&#i,ari# #ia/#e 7it% t%e ,ri+er i6: a. %e 7a! in t%e +e%i*#e) an, /. *&-#, %a+e) t%r&-(% ,-e ,i#i(en*e) 0re+ente, t%e $i!6&rt-ne • A Dri+er i! Pre!-$e, Ne(#i(ent / #a7 I6: *. He %a , /een 6&- n, (- i#t &r re*1#e!! ,ri+in( &r +i&#atin( tra66i* re(-#ati&n! at #ea!t t7i*e 7it%in t%e net 0re*e,in( t7& $&nt%!. ,. at t%e ti$e &6 t%e $i!%a0) %e 7a! +i&#atin( an tra66i* re(-#ati&n.
NOTE8 E+er &7ner &6 a $&t&r +e%i*#e !%a## 6i#e 7it% t%e 0r&0er (&+ern$ent &66i*e a /&n, ee*-te, / a (&+ern$ent*&ntr&##e, *&r0&rati&n &r &66i*e) t& an!7er 6&r ,a$a(e! t& t%ir, 0er!&n!. (- MANU:ACTURERS PROCESSORS O: :OODSTU::S5 DRINS5 TOILET ARTICLES SIMILAR 3OODS
• T%e are #ia/#e 6&r ,eat% an, in-rie! *a-!e, / an %ar$6-# !-/!tan*e! -!e, a#t%&-(% n& *&ntra*t-a# re#ati&n ei!t! /et7een t%e$ an, t%e *&n!-$er!
CONSUMER ACT R-A- ?(9) NOTE ON STIPULATIONS8 T%e !ti0-#ati&n in a *&ntra*t &6 a *#a-!e 0re+entin() e&neratin( &r re,-*in( t%e &/#i(ati&n t& in,e$ni6 6&r ,a$a(e! e66e*te,) a! 0r&+i,e, 6&r in t%i! an, in t%e 0re*e,in( Arti*#e!) i! %ere/ 0r&%i/ite,) i6 t%ere i! $&re t%an &ne 0er!&n re!0&n!i/#e 6&r t%e *a-!e &6 t%e ,a$a(e) t%e !%a## /e &int# #ia/#e 6&r t%e re,re!! e!ta/#i!%e, in t%e 0ertinent 0r&+i!i&n! &6 t%i! A*t. H&7e+er) i6 t%e ,a$a(e i! *a-!e, / a *&$0&nent &r 0art in*&r0&rate, in t%e 0r&,-*t &r !er+i*e) it! $an-6a*t-rer) /-i#,er &r i$0&rter an, t%e 0er!&n 7%& in*&r0&rate, t%e *&$0&nent &r 0art are &int# #ia/#e.
are ,e!i(ne, &r ,e*rea!e t%eir +a#-e) an, 6&r t%&!e re!-#tin( 6r&$ in*&n!i!ten* 7it% t%e in6&r$ati&n 0r&+i,e, &n t%e *&ntainer) 0a*1a(in() #a/e#! &r 0-/#i*it $e!!a(e!a,+erti!e$ent) 7it% ,-e re(ar, t& t%e +ariati&n! re!-#tin( 6r&$ t%eir nat-re) t%e *&n!-$er /ein( a/#e t& ,e$an, re0#a*e$ent t& t%e i$0er6e*t 0art!. @. S-00#ier! are &in t# #ia/#e 6&r i$0er6e*ti&n! in t%e 2-antit &6 t%e 0r&,-*t 7%en) in ,-e re(ar, 6&r +ariati&n! in%erent t%eret&) t%eir net *&ntent i! #e!! t%an t%at in,i*ate, &n t%e *&ntainer) 0a*1a(in() #a/e#in( &r a,+erti!e$ent. 4. T%e !er+i*e !-00#ier i! #ia/#e 6&r an 2-a#it i$0er6e*ti&n! t%at ren,er t%e !er+i*e! i$0r&0er 6&r *&n!-$0ti&n &r ,e*rea!e t%eir +a#-e) an, 6&r t%&!e re!-#tin( 6r&$ in*&n!i!ten* 7it% t%e in6&r$ati&n *&ntaine, in t%e &66er &r a,+erti!e$ent.
SUMMAR, O: LIABILITIES8 5. An Fi#i0in& &r 6&rei(n $an-6a*t-rer) 0r&,-*er) an, an i$0&rter) !%a## /e #ia/#e 6&r re,re!!) in,e0en,ent# &6 6a-#t) ,e!i(n) $an-6a*t-re) *&n!tr-*ti&n) a!!e$/# an, ere*ti&n) 6&r$-#a! an, %an,#in( an, $a1in( -0) 0re!entati&n &r 0a*1in( &6 t%eir 0r&,-*t !) a! 7e## a! 6&r t%e in!-66i*ient &r ina,e2-ate in6&r$ati&n &n t%e -!e an, %aar,! t%ere&6.
. ;%en !er+i*e! are 0r &+i,e, 6&r t%e re0 air &6 an 0r&,-*t) t%e !-00#ier !%a## /e *&n!i,ere, i$0#i*it# /&-n, t& -!e a,e2-ate) ne7) &ri(ina# re0#a*e$ent 0art!) &r t%&!e t%at $aintain t%e $an-6a*t-rer! te*%ni*a# !0e*i6i*ati&n! -n#e!!) &t%er7i!e a-t%&rie,) a! re(ar,! t& t%e #atter / t%e *&n!-$er.
/-i#,er) &r NOTE8 T%e i$0&rter !%a##$an-6a*t-rer) n&t /e %e#, #ia/#e 7%en 0r&,-*er it e+i,en*e!: a t%at it ,i, n&t 0#a*e t%e 0r&,-*t &n t%e $ar1et" / t%at a#t%&-(% it ,i, 0#a*e t%e 0r&,-*t &n t%e $ar1et !-*% 0r&,-*t %a! n& ,e6e*t" * t%at t%e *&n!-$er &r a t%ir, 0art i! !&#e# at 6a-#t.
an, !er+i*e! ,&e! n&t ee$0t %i$ 6r&$ an #ia/i#it. )- PROVINCES5 CI TIES MUNICIPALITIES • S%a## /e #ia/#e 6&r ,a$a(e! 6&r t%e ,eat% &r in-rie! !-66ere, / an 0er!&n / rea!&n &6 t%e ,e6e*ti+e *&n,iti&n &6 r&a,!) !treet!) /ri,(e!) 0-/#i* /-i#,in(!) an, &t%er 0-/#i* 7&r1! -n,er t%eir *&ntr&# &r !-0er+i!i&n
NOTE8 T%i! #ia/i#it a00#ie! t& tra,e!$an!e##er 7%en t%e 0er!&n! na$e, a/&+e *ann&t /e) &r are n&t i,enti6ie,) &r 7%en t%e tra,e!$an ,i, n&t 0re!er+e t%e (&&,! a,e2-ate#. 8. T%e !er+i*e !-00#ier i! #ia/#e 6&r re,re!!) in,e0en,ent# &6 6a-#t) 6&r ,a$a(e! *a-!e, t& *&n!-$er! / ,e6e*t! re#atin( t& t%e ren,erin( &6 t%e !er+i*e!) a! 7e## a! 6&r in!-66i*ient &r ina,e2-ate in6&r$ati&n &n t%e 6r-iti&n an, %aar,! t%ere&6. =. T%e !-00#ier! &6 ,-ra/#e &r n&n,-ra/#e *&n!-$er 0r&,-*t! are &int# #ia/#e 6&r i$0er6e*ti&n! in 2-a#it t%at ren,er t%e 0r&,-*t! -n6it &r ina,e2-ate 6&r *&n!-$0ti&n 6&r 7%i*% t%e
NOTE8 T%e !-00#ier! i(n&ran*e &6 t%e 2-a#it i$0er6e*ti&n! ,-e t& ina,e2-a* &6 t%e 0r&,-*t!
*- PROPRIETOR O: BUIL DIN3 OR STR UCTURE • Re!0&n!i/#e 6&r t%e ,a$a(e! re!-#tin( 6r&$ an &6 t%e 66.: 5. T&ta# &r 0artia# *&##a0!e &6 /-i#,in( &r !tr-*t-re i6 ,-e t& #a*1 &6 ne*e!!ar re0air! 8. E0#&!i&n &6 $ a*%iner 7% i*% % a! n& t /een ta1en *are, &6 7it% ,-e ,i#i(en*e) an, t%e in6#a$$ati&n &6 e0#&!i+e !-/!tan*e! 7%i*% %a+e n&t /een 1e0t in a !a6e an, a,e2-ate 0#a*e =. B e*e!!i+e !$&1e) 7%i*% $a /e %ar$6-# t& 0er!&n! &r 0r&0ert
@.
B 6 a##in( & 6 t ree! ! it-ate, a t &r n ear %i(%7a! &r #ane!) i6 n&t *a-!e, / 6&r*e $ae-re 4. B e$anati&n! 6r&$ t-/e!) *ana#!) !e7er! &r ,e0&!it! &6 in6e*ti&-! $atter) *&n!tr-*te, 7it%&-t 0re*a-ti&n! !-ita/#e t& t%e 0#a*e
+- EN3INEER5 ARC HITECT OR CONT RACTOR • I6 ,a$a(e &6 /-i#,in( &r !tr-*t-re i! *a-!e, / ,e6e*t in *&n!tr-*ti&n 7%i*% %a00en! 7it%in 54 ear! 6r&$ *&n!tr-*ti&n" a*ti&n $-!t /e /r&-(%t 7it%in 5 ear! 6r&$ *&##a0!e
?- HEAD O: :AMIL, THAT LIVES IN A BUILDIN3 OR PART THEREO: • Lia/#e 6&r ,a$a(e! *a-!e, / t%in(! t%r&7n &r 6a##in( 6r&$ t%e !a$e -
NUISANCES ELEMENTS a. An a*t) &$i!!i&n) e!ta/#i!%$ent) *&n,iti&n &6 0r&0ert) &r ant%in( e#!e /. ;%i*%: • In-re! &r en,an(er! t%e %ea#t% &r !a6et t& &t%er!) &r • Ann&! &r &66en,! t%e !en!e!) &r • S%&*1!) ,e6ie!) &r ,i!re(ar,! ,e*en* &r • $&ra#it) O/!tr-*t!&r&r inter6ere! 7it% t%e 6ree 0a!!a(e &6 an 0-/#i* %i(%7a &r !treet!) &r an /&, &6 7ater) &r • Hin,er! &r i$0air! -!e &6 0r&0ert
INDS • N!isance Per Se ,en&-n*e, a! n-i!an*e / *&$$&n #a7 &r / !tat-te • N!isance Per Accidens t%&!e 7%i*% are in t%eir nat-re n&t n-i!an*e!) /-t $a /e*&$e !& / rea!&n &6 t%eir #&*a#it) !-rr&-n,in(!) &r t%e $anner in 7%i*% t%e $a /e *&n,-*te,) $ana(e,) et*. a66e*t! a *&$$-nit &r • P!#%ic nei(%/&r%&&, &r an *&n!i,era/#e n-$/er &6 0er!&n! • Pri.ae &ne t%at i! n&t an in*#-,e, in t%e 6&re(&in( ,e6initi&n" a66e*t in,i+i,-a# &r a #i$ite, n-$/er &6 in,i+i,-a#! &n#
REMEDIES A3AINST PUBLIC NUISANCES
• Pr&!e*-ti&n -n,er t%e RPC &r an #&*a# &r,inan*e • Ci+i# a*ti&n • A/ate$ent) 7it%&-t -,i*ia# 0r&*ee,in(
REMEDIES A3AINST PRIVATE NUISANCES • Ci+i# A*ti&n • A/ate$ent) 7it%&-t -,i*ia# 0r&*ee,in(! WHO MA, AVAIL O: REMEDIES • P-/#i* &66i*er! • Pri+ate 0er!&n! i6 n-i!an*e i! !0e*ia## in-ri&-! t& %i$!e#6" t%e 66. $-!t /e $a,e: a. De$an, /e 6ir!t $a,e -0&n &7ner &r 0&!!e!!&r &6 t%e 0r&0ert t& a/ate n-i!an*e /. T%at !-*% ,e$an, %a! /een ree*te, *. T%at t%e a/ate$ent /e a0 0r&+e, / t%e ,i!tri*t %ea#t% &66i*er an, ee*-te, 7it% t%e a!!i!tan*e &6 #&*a# 0&#i*e ,. T%at t%e +a#-e &6 ,e!tr-*ti&n ,&e! n&t e*ee, P=)
DOCTRINE O: ATTRACTIVE NUISANCE Ca!e! 7it%in t%e (enera# r-#e t%at $ne is %ia#%e &$r e in4!r" res!%in' $ an$er &r$m &ai%!re t& eer*i!e t%e ,e(ree &6 *are *&$$en!-rate 7it% t%e *ir*-$!tan*e! t%e araci.eness $& e remises &r &6 t%e ,an(er&-! in!tr-$enta#it $ ci%dren $& ender "ears i! t& /e *&n!i,ere, a! an i$0#ie, in+itati&n) 7%i*% ta1e! t%e *%i#,ren 7%& a**e0te, it &-t &6 t%e *ate(&r &6 a tre!0a!!er an, 0-t! t%e$ in t%e *ate(&r &6 in+itee!) t&7ar,! 7%&$ t%e &7ner &6 t%e 0re$i!e! &r in!tr-$enta#it &7e! t%e ,-t &6 &r,inar. 9- PUBLIC O::ICERS Art. =8 An 0-/# i* &66i*er &r e$0#&ee) &r an 0ri+ate in,i+i,-a#) 7%& ,ire*t# &r in,ire*t# &/!tr-*t!) ,e6eat!) +i&#ate! &r in an $anner i$0e,e! &r i$0air! an &6 t%e 6&##&7in( ri(%t! an, #i/ertie! &6 an&t%er 0er!&n !%a## /e #ia/#e t& t%e #atter 6&r ,a$a(e!: ?5 Free,&$ &6 re#i(i&n" ?8 Free,&$ &6 !0ee*%" ?= Free,&$ t& 7rite 6&r t%e 0re!! &r t& $aintain a 0eri&,i*a# 0-/#i*ati&n" ?@ Free,&$ 6r&$ ar/itrar &r i##e(a# ,etenti&n" ?4 Free,&$ &6 !-66ra(e" ? T%e ri(%t a(ain!t ,e0ri+ati&n &6 0r&0ert
7it%&-t ,-e 0r&*e!! &6 #a7" ?> T%e ri(% t t& a -!t *&$0en!ati&n 7%en 0ri+ate 0r&0ert i! ta1en 6&r 0-/#i* -!e" ?9 T%e ri(%t t& t%e e2-a# 0r&te*ti&n &6 t%e #a7!" ? T%e ri(%t t& /e !e*-r e in &ne! 0er! &n) %&-!e) 0a0er!) an, e66e*t! a(ain!t -nrea!&na/#e !ear*%e! an, !ei-re!" ?5 T%e #i/ert &6 a/&,e an, &6 *%an(in( t%e !a$e" ?55 T%e 0ri+a* &6 *&$$-ni*ati&n an, *&rre!0&n,en*e" ?58 T%e ri(%t t& /e*&$e a $e$/er &6 a!!&*iati&n! &r !&*ietie! 6&r 0-r0&!e! n&t *&ntrar t& #a7" ?5= T%e ri(%t t& ta1e 0art in a 0ea*ea/#e a!!e$/# t& 0etiti&n t%e G&+ern$ent 6&r re,re!! &6 (rie+an*e!" ?5@ T%e ri(%t t& /e a 6ree 6r&$ in+&#-ntar !er+it-,e in an 6&r$" ?54 T%e ri(%t &6 t%e a**-!e, a(ain!t e*e!!i+e /ai#" ?5 T%e ri(%t &6 t%e a**-!e, t& /e %ear, / %i$!e#6 an, *&-n !e#) t& /e in6&r$e, &6 t%e nat-re an, *a-!e &6 t%e a**-!ati&n a(ain!t %i$) t& %a+e a !0ee, an, 0-/#i* tria#) t& $eet t%e 7itne!!e! 6a*e t& 6a*e) an, t& %a+e *&$0-#!&r 0r&*e!! t& !e*-re t%e atten,an*e &6 7itne!! in %i! /e%a#6" ?5> Free,&$ 6r&$ /ein( *&$0e##e, t& /e a 7itne!! a(ain!t &ne! !e#6) &r 6r&$ /ein( 6&r*e, t& *&n6e!! (-i#t) &r 6r&$ /ein( in,-*e, / a 0r&$i!e &6 i$$-nit &r re7ar, t& $a1e !-*% *&n6e!!i&n) e*e0t 7%en t%e 0er!&n *&n6e!!in( /e*&$e! a State 7itne!!" ?59 Free,&$ 6r&$ e*e!!i+e 6ine!) &r *r-e# an, -n-!-a# 0-ni!%$ent) -n#e!! t%e !a$e i! i$0&!e, &r in6#i*te, in a**&r,an*e 7it% a !tat-te 7%i*% %a! n&t /een -,i*ia## ,e*#are, -n*&n!tit-ti&na#" an, ?5 Free,&$ &6 a**e!! t& t%e *&-rt!. Art. =@ ;%en a $e$/er &6 a *it &r $-ni*i0a# 0&#i*e 6&r*e re6-!e! &r 6ai#! t& ren,er ai, &r 0r&te*ti&n t& an 0er!&n in *a!e &6 ,an(er t& #i6e &r 0r&0ert) !-*% 0ea*e &66i*er !%a## /e 0ri$ari# #ia/#e 6&r ,a$a(e!) an, t%e *it &r $-ni*i0a#it !%a## /e !-/!i,iari# re!0&n!i/#e t%ere6&r. T%e *i+i# a*ti&n %erein0r&*ee,in(!) re*&(nie, !%a## in,e0en,ent &6 an *ri$ina# an, a/e 0re0&n,eran*e &6 e+i,en*e !%a## !-66i*e t& !-00&rt !-*% a*ti&n. ===============================
TOPICS UNDER THE S,LLABUS
DAMA3ES>BOO II I- 3enera% C$nsiderai$ns A- C%assi&icai$n =1; Under Ar- 219? $& e Ci.i% C$de =2; Acc$rdin' $ !r$se =(; Acc$rdin' $ manner $& deerminai$n =); Secia% and $rdinar" II- Ac!a% and C$mensa$r" Dama'es A- C$nce B- Re@!isies =1; A%%e'ed and r$.ed /i cerain" =2; N$ sec!%ai.e C- C$m$nen E%emens =1; Va%!e $& %$ss !nrea%iJed r$&i =2; A$rne"s &ees and e6enses $& %ii'ai$n =(; Ineres D- E6en $r sc$e $& ac!a% dama'es =1; In c$nracs and @!asi>c$nracs =2; In crimes and @!asi>de%ics ===============================
F- DAMA3ES A- 3ENERALL, DAMA3ES MA, BE8 =MENTAL; 5. A*t-a# &r *&$0en!at&r" 8. M&ra#" =. N&$ina#" @. Te$0erate &r $&,erate" 4. Li2-i,ate," &r . Ee$0#ar &r *&rre*ti+e. NOTE8 • A *&$0#aint 6&r ,a$a(e! i! a 0er!&na# a*ti&n • Pr&&6 &6 0e*-niar #&!! i! ne*e!!ar t& !-**e!!6-## re*&+er a*t-a# ,a$a(e! 6r&$ t%e ,e6en,ant. N& 0r&&6 &6 0e*-niar #&!! i! ne*e!!ar in *a!e &6 $&ra#) n&$ina#) te$0erate) #i2-i,ate, &r ee$0#ar ,a$a(e!. • T%e a!!e!!$ent &6 ,a$a(e!) e*e0t #i2-i,ate, &ne!) i! #e6t t& t%e ,i!*reti&n &6 t%e *&-rt a**&r,in( t& t%e *ir*-$!tan*e! &6 ea*% *a!e.
•
B- ACTUAL A,e2-ate *&$0en!ati&n 6&r t%e +a#-e &6 #&!! !-66ere, &r 0r&6it! 7%i*% &/#i(ee 6ai#e, t& &/tain
EFCEPTIONS: 5. La7 8. Sti0-#ati&n
INDS O: ACTUAL OR COMPENSATOR, DAMA3ES 3enera% Dama'e nat-ra#) a. ne*e!!ar an, #&(i*a# *&n!e2-en*e! &6 a 0arti*-#ar 7r&n(6-# a*t 7%i*% re!-#t in in-r" nee, n&t /e !0e*i6i*a## 0#ea,e, /e*a-!e t%e #a7 it!e#6 i$0#ie! &r 0re!-$e! t%at t%e re!-#te, 6r&$ t%e 7r&n(6-# a*t /. Secia% Dama'es ,a$a(e! 7%i*% are t%e nat-ra#) /-t n&t t%e ne*e!!ar an, ine+ita/#e re!-#t &6 t%e 7r&n(6-# a*t. ?i.e.) att&rneK! 6ee!
VALUE O: LOSS SU::ERED • De!tr-*ti&n &6 t%in(!) 6ine! &r 0ena#tie!) $e,i*a# %&!0ita# /i##!) att&rne! 6ee!) intere!t!) *&!t &6 #iti(ati&n
REUIREMENTS8 i. Nee, t& /e 0#ea,e, ii. Pra 6&r t%e re#ie6 t%at *#ai$ 6&r #&!! /e (rante, iii. Pr&+e t%e #&!!
:$rm!%a8 A$eri*an E0e*tan* Ta/#e &6 M&rta#it &r t%e A*t-aria# &6 C&$/ine, E0erien*e Ta/#e &6 M&rta#it ). x (2 F age at the time of death*K x monthly earnings x ') R 81O// EA1NIN8/ 8E < Approximate Expen ses 92S of 8E* R Net Earnings
WHEN LOSS NEED NOT BE PROVED8 a. Li2-i,ate, ,a$a(e! 0re+i&-!# a(ree, -0&n" #i2-i,ate, ,a$a(e! ta1e t%e 0#a*e &6 a*t-a# ,a$a(e! e*e0t 7%en a,,iti&na# ,a$a(e! in*-rre, /. I6 , a$a(e! & t%er t %an a *t-a# a re !&-(%t *. L&!! i! 0re!-$e, ?e: #&!! i6 a *%i#, &r !0&-!e ,. F&r6eit-re & 6 / &n,! i n 6 a+&r & 6 t %e (&+ern$ent 6&r t%e 0-r0&!e &6 0r&$&tin( 0-/#i* intere!t &r 0&#i* ?e: /&n, 6&r te$0&rar !ta &6 a#ien
CONTRACTS AND UASI>CONTRACTS a. Da$a(e! in *a!e &6 G&&, Fait% i. Nat-ra# an, 0r&/a/#e *&n!e2-en*e! &6 /rea*% &6 &/#i(ati&n! ii. Partie! %a+e 6&re!een &r *&-#, %a+e rea!&na/# 6&re!een at t%e ti$e t%e &/#i(ati&n 7a! *reate, /. Da$a(e! in *a!e &6 Ba, Fait% i. It i! !-66i*ient t%at ,a$a(e! $a /e rea!&na/# attri/-te, t& t%e n&n 0er6&r$an*e &6 t%e &/#i(ati&n. CRIMES AND UASI>CRIMES a. De6en,ant i! #ia/#e 6&r a ## ,a$a(e! t%at are nat-ra# an, 0r&/a/#e *&n!e2-en*e! &6 t%e a*t *&$0#aine, &6" /. N&t ne*e!!ar t%at ,a$a(e! %a+e /een 6&re!een &r *&-#, %a+e /een rea!&na/# 6&re!een.
LOSS O: EARNIN3 CAPACIT,8 • Varia/#e! t& *&n!i,er are: a. #i6e e0e*tan* /. net in*&$eearnin(! t&ta# &6 t% e earnin(! #e!! e0en!e! ne*e!!ar 6&r t%e *reati&n &6 !-*% earnin(! an, #e!! #i+in( &r &t%er in*i,enta# e0en!e!
LOSS O: PRO:ITS =ucrum 0essans* • Ma /e ,eter$ine, / *&n!i,erin( t%e a+era(e 0r&6it 6&r t%e 0re*e,in( ear! $-#ti0#ie, / t%e n-$/er &6 ear! ,-rin( 7%i*% t%e /-!ine!! 7a! a66e*te, / t%e 7r&n(6-# a*t &r /rea*% ATTORNE,S :EES • T%e are a*t-a# ,a$a(e!. It i! ,-e t& t%e •
0#ainti66 an, n&t t& *&-n!e# P#ainti66 $-!t a##e(e t%e /a!i! &6 %i! *#ai$ 6&r att&rneK! 6ee! in t%e *&$0#aint" t%e /a!i! !%&-#, / &ne &6 t%e *a!e! -n,er Art. 889
WHEN ARE ATTORNE,S :EES RECOVERABLE8 • In t%e a/!en*e &6 !ti0-#ati&n) att&rne! 6ee! an, e0en!e! &6 #iti(ati&n) &t%er t%an -,i*ia# *&!t!) *ann&t /e re*&+ere,) e*e0t: a. ;%en ee$0#ar ,a$a(e! are a7ar,e," /. ;%en t%e ,e6en,ant! a*t &r &$i!!i&n %a! *&$0e##e, t%e 0#ainti66 t& #iti(ate 7it% t%ir, 0er!&n! &r t& in*-r e0en!e! t& 0r&te*t %i! intere!t" *. In *ri$ina# *a!e! &6 $a#i*i&-! 0r&!e*-ti&n a(ain!t t%e 0#ainti66" ,. In *a!e &6 a *#ear# -n6&-n,e, *i+i# a*ti&n &r 0r&*ee,in( a(ain!t t%e 0#ainti66" e. ;%ere t%e ,e6en,ant a*te, in (r&!! an, e+i,ent /a, 6ait% in re6-!in( t&
!ati!6 t%e 0#ainti66! 0#ain# +a#i,) -!t an, ,e$an,a/#e *#ai$" 6. In a*ti&n! 6&r #e(a# !-00&rt" (. In a*ti&n! 6&r t%e re*&+er &6 7a(e! &6 %&-!e%&#, %e#0er!) #a/&rer! an, !1i##e, 7&r1er!" %. In a*ti&n! 6&r in,e$nit -n,er 7&r1$en! *&$0en!ati&n an, e$0#&er! #ia/i#it #a7!" i. In a !e0arate *i+i# a*ti&n t& re*&+er *i+i# #ia/i#it ari!in( 6r&$ a *ri$e" . ;%en at #ea!t ,&-/#e -,i*ia# *&!t! are a7ar,e,"
WHEN IS ACTUAL DAMA3ES MITI3ATED8 a. C&ntri/-t&r ne( #i(en*e /. In *&ntra*t!. <-a!i*&ntra*t! an, 2-a!i ,e#i*t i. P#ainti66 % a! * &ntra+ene, t %e t er$! &6 *&ntra*t ii. P#ainti66 ,eri+e, !&$e /ene6it a! re!-#t &6 *&ntra*t iii. In *a!e 7%ere ee$0#ar ,a$a(e! are t& /e a7ar,e,) t%at t%e ,e6en,an t a*te, -0&n t%e a,+i*e &6 *&-n!e# i+. T%at t%e #&!! 7&-#, %a+e re!-#te, in an e+ent +. T%at ! in*e t %e 6 i#in( & 6 t %e a *ti&n) t%e ,e6en,ant %a! ,&ne %i! /e!t t& #e!!en t%e 0#ainti66! #&!! &r in-r ===============================
TOPICS UNDER THE S,LLABUS III- M$ra% Dama'es A- C$nce =Ars- 221?>221; B- Wen rec$.era#%e =Ars- 2219> 2220; =1; In sed!ci$n5 a#d!ci$n5 rae and $er %asci.i$!s acs =2; In acs re&erred $ in Ars- 215 2+5 2?5 25 295 (25 () (*5 Ci.i% C$de =(; In cases $& ma%ici$!s r$sec!i$n IV- N$mina% Dama'es A- C$nce B- Wen a/arded V- Temerae $r M$derae Dama'es A- C$nce B- Wen a/arded VI- Li@!idaed Dama'es A- C$nce =Ci.i% C$de5 Ar- 222+; B- R!%es '$.ernin' in case $& #reac
$& c$nrac VII- E6em%ar" $r C$rreci.e Dama'es A- C$nce =Ci.i% C$de5 Ar- 2229; B- Wen rec$.ered =1; In crimina% $&&enses =Ci.i% C$de5 Ar- 22(0; =2; In @!asi>de%ics =Ci.i% C$de5 Ar22(1; =(; In c$nracs and @!asi>c$nracs =Ci.i% C$de5 Ar- 22(2; C- Re@!isies =1; Ars- 22((5 22() ===============================
C- MORAL MORAL DAMA3ES Inc%!de8 ?PBM:>MWSS a. P%!i*a# !-66erin( /. Be!$ir*%e, re0-tati&n *. Menta# an(-i!% ,. :ri(%t e. M&ra# !%&*1 6. W&-n,e, 6ee#in(! (. S&*ia# %-$i#iati&n %. Seri&-! aniet i. Senti$enta# +a#-e &6 rea# &r 0er!&na# 0r&0ert $a /e *&n!i,ere, in a,-,i*atin( $&ra# ,a$a(e! . T%e !&*ia# an, e*&n&$i*6inan*ia# stan,in( &6 t%e &66en,er an, t%e &66en,e, 0art !%&-#, /e ta1en int& *&n!i,erati&n in t%e *&$0-tati&n &6 $&ra# ,a$a(e! 1. M&ra# ,a$a(e! i! a7a r,e, &n# t& ena/#e t%e in-re, 0art t& &/tain $ean!) ,i+er!i&n! &r a$-!e$ent! t%at 7i## !er+e t& a##e+iate t%e $&ra# !-66erin( %e %a! -n,er(&ne) / rea!&n &6 ,e6en,ant! *-#0a/#e a*ti&n an, n&t inten,e, t& enri*% a *&$0#ainant at t%e e0en!e &6 ,e6en,ant IN WHAT CASES MA, MORAL DAMA3ES BE RECOVERED Enumeration Not Exclusi"e*: a. Cri$ina# &66en!e re!-#tin( in 0%!i*a# in-rie! /. <-a!i,e#i*t! *a-!in( 0%!i*a# in-rie! *. Se,-*ti&n) a/,-*ti&n) ra0e &r &t%er a*t! &6 #a!*i+i&-!ne!! ,. e. 6. (. %.
A,-#ter an, *&n*-/ina(e I##e(a# &r ar/itrar ,etenti&n &r arre!t I##e(a# !ear*% Li/e#) !#an,er &r &t%er 6&r$ &6 ,e6a$ati&n Ma#i*i&-! 0r&!e*-ti&n
i.
A*t! $enti&ne, in art = &6 t%e RPC re#atin( t& ,i!re!0e*t &6 t%e ,ea, an, inter6eren*e 7it% 6-nera# . A*t! an, a*ti&n! re6erre, t& in art! 85) 8) 8>) 89) 8) =) =8) =@ an, =4 1. T%e 0arent! &6 t%e 6e$a#e !e,-*e,) a/,-*te,) ra0e,) &r a/-!e, #. S0&-!e) ,e!*en,ant!) a!*en,ant! an, /r&t%er an, !i!ter! 6&r a*t! $enti&ne, in art = $. Art 888 in *a!e! &6 7i##6-# in-r t& 0r&0ert &r /rea*%e! &6 *&ntra*t 7%ere ,e6en,ant a*te, 6ra-,-#ent# &r in /a, 6ait%
3ENERAL RULE8 T%e 0#ainti66 $-!t a##e(e an, 0r&+e t%e 6a*t-a# /a!i! 6&r $&ra# ,a$a(e! an, it! *a-!a# re#ati&n t& t%e ,e6en,antK! a*t EFCEPTION8 M&ra# ,a$a(e! $a /e a7ar,e, t& t%e +i*ti$ in *ri$ina# 0r&*ee,in(! 7it%&-t t%e nee, 6&r 0#ea,in( 0r&&6 &6 t%e /a!i! %ere&6. D- NOMINAL DAMA3ES • A,-,i*ate, in &r,er t%at a ri(%t &6 t%e 0#ainti66) 7%i*% %a! /een +i&#ate, &r in+a,e, / t%e ,e6en,ant) $a /e +in,i*ate, &r re*&(nie,) an, n&t 6&r t%e 0-r0&!e &6 in,e$ni6in( t%e 0#ainti66 6&r an #&!! !-66ere, / %i$
&**-r are ,i66i*-#t t& 0re,i*t) te$0erate ,a$a(e! *an an, !%&-#, /e a7ar,e, &n t&0 &6 a*t-a# &r *&$0en!at&r ,a$a(e!" in !-*% *a!e! t%ere i! n& in*&$0ati/i#it /et7een a*t-a# an, te$0erate ,a$a(e!.
REUISITES8 a. S&$e 0e*-niar #&!! /. L&!! i! in*a0a/#e &6 0e*-niar e!ti$ati&n *. M-!t /e rea!&na/#e :- LIUIDATED DAMA3ES • T%&!e a(ree, -0&n / t%e 0artie! t& a *&ntra*t) t& /e 0ai, in *a!e &6 /rea*% t%ere&6
WHEN LIUIDATED DAMA3ES MA, EUITABL, REDUCED8 a. Ini2-it&-! &r -n*&n!*i&na/#e /. Partia# &r irre(-#ar 0er6&r$an*e
BE
3- EFEMPLAR,
EFEMPLAR, OR CORRECTIVE DAMA3E • I$0&!e, / 7a ea$0#e &r *&rre*ti&n 6&r t%e 0-/#i* (&&,) in a,,iti&n t& t%e $&ra#) te$0erate) #i2-i,ate, t& *&$0en!at&r ,a$a(e!
ELEMENTS8
NOTE8 Ee$0#ar
a. P#ainti66 %a! a ri(%t /. Ri(%t &6 0#ainti66 i! +i&#ate, *. P-r0&!e i! n&t t& i,enti6 /-t +i n,i*ate &r re*&(nie ri(%t +i&#ate,
re*&+ere, a! a $atter &6 ri(%t" t%e *&-rt 7i## ,e*i,e 7%et%er &r n&t t%e !%&-#, /e a,-,i*ate,.
NOTE8 T%e La7 0re!-$e! ,a$a(e a#t%&-(% a*t-a# &r *&$0en!at&r ,a$a(e! are n&t 0r&+en • T%e are ,a$a(e! in t%e na$e &n# an, are a##&7e, !i$0# in re*&(niti&n &6 a te*%ni*a# in-r /a!e, &n a +i&#ati&n &6 a #e(a# ri(%t N&$ina# ,a$a(e! *ann&t *&ei!t 7it% • a*t-a# &r *&$0en!at&r ,a$a(e! •
E- TEMPERATE OR MODERATE DAMA3ES • M&re t%an n&$ina# /-t #e!! t%an *&$0en!at&r 7%ere !&$e 0e*-niar #&!! %a! /een !-66ere,
/-t it! a$&-nt *ant /e 0r&+e, 7it% *ertaint ,-e t& t%e nat-re &6 t%e *a!e • In *a!e! 7%ere t%e re!-#tin( in-r $i(%t /e *&ntin-in( an, 0&!!i/#e 6-t-re *&$0#i*ati&n! ,ire*t# ari!in( 6r&$ t%e in-r) 7%i#e *ertain t&
,a$a(e!
*ann&t
/e
WHEN IMPOSABLE8 Crimina% $&&enses ee$0#ar ,a$ a(e! a! a 0art &6 t%e *i+i# #ia/i#it $a /e i$0&!e, 7%en t%e *ri$e 7a! *&$$itte, 7it% &ne &r $&re a((ra+atin( *ir*-$!tan*e!. S-*% ,a$a(e! are !e0arate 6r&$ 6ine! an, !%a## /e 0ai, t& t%e &66en,e, 0art. !asi>de%ics ee$0#ar ,a$a(e! $a /e (rante, i6 t%e ,e6en,ant a*te, 7it% (r&!! ne(#i(en*e. C$nracs and @!asi>c$nracs t%e *&-rt $a a7ar, ee$0#ar ,a$a(e! i6 t%e ,e6en,ant a*te, in a 7ant&n) 6ra-,-#ent) re*1#e!!) &00re!!i +e) &r $a#e+&#ent $anner.
WHAT MUST BE PROVED8 a. ;%i#e t%e a$&-nt &6 ee$ 0#ar ,a$a(e! nee, n&t /e 0r&+e,) t%e 0#ainti66 $-!t !%&7 t%at %e i! eni%ed t& $&ra#) te$0erate &r
*&$0en!at&r ,a$a(e! /e6&re t%e *&-rt $a *&n!i,er t%e 2-e!ti&n &6 7%et%er &r n&t ee$0#ar ,a$a(e! !%&-#, /e a7ar,e,. /. In *a!e #i2-i,ate, ,a$a(e! %a+e /een a(ree, -0&n) a#t%&-(% n& 0r&&6 &6 #&!! i! ne*e!!ar in &r,er t%at !-*% #i2-i,ate, ,a$a(e! $a /e re*&+ere,) ne+ert%e#e!!) /e6&re t%e *&-rt $a *&n!i,er t%e 2-e!ti&n &6 (rantin( ee$0#ar in a,,iti&n t& t%e #i2-i,ate, ,a$a(e!) t%e 0#ainti66 $-!t !%&7 t%at %e 7&-#, /e entit#e, t& $&ra#) te$0erate &r *&$0en!at&r ,a$a(e! 7ere it n&t 6&r t%e !ti0-#ati&n 6&r #i2-i,ate, ,a$a(e!.
8. Da$a(e! 6&r ,eat% i. Mini$-$ a$&-nt: P4) ii. L&!! &6 earnin( *a0a*it -n#e!! ,e*ea!e, %a, 0er$anent 0%!i*a# ,i!a/i#it n&t *a-!e, / ,e6en,ant !& t%at ,e*ea!e, %a, n& earnin( *a0a*it at ti$e &6 ,eat% iii. S-00&rt) i6 ,e*ea!e, 7a! &/#i(e, t& (i+e !-00&rt ?6&r 0eri&, n&t $&re t%an 4 ear! i+. M&ra# ,a$a(e!
IN CASES O: COMMON CARRIER Arti*#e 88 !%a## a#!& a00# t& t%e ,eat% &6 a 0a!!en(er *a-!e, / t%e /rea*% &6 *&ntra*t / a *&$$&n *arrier. ?See Pre*e,in( %ea,in(
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TOPICS UNDER THE S,LLABUS FIII- Dama'es in Case $& Dea A- In crimes and @!asi>de%ics ca!sin' dea =1; In dea ca!sed #" #reac $& c$nd!c #" a c$mm$n crime IF- 3rad!ai$n $& Dama'es A- D!" $& in4!red ar" =1; Ar- 220( B- R!%es =1; In crimes =2; In @!asi>de%ic =Ci.i% C$de5 Ar221); =(; In c$nracs5 @!asi>c$nracs and @!asi>de%ics =Ci.i% C$de5 Ar- 221*; =); Li@!idaed dama'es =Ci.i% C$de5 Ar- 222?; =*; C$mr$mise F- Misce%%ane$!s R!%es A- Dama'es a cann$ c$>e6iss =1; N$mina% /i $er dama'es =Ar- 222(; =2; Ac!a% and Li@!idaed =Ar222+; B- Dama'es a m!s c$>e6is =1; E6em%ar" /i m$ra%5 emerae5 %i@!idaed $r c$mensa$r" C- Dama'es a m!s sand a%$ne =1; N$mina% Dama'es =Ar- 222(; ===============================
H- DAMA3ES IN CASE O: DEATH B, CRIMES AND UASI>DELICT 5. Me,i*a# H&!0ita# Bi##!
I -3RADUATION DUT, O: INURED PART,T%e 0art !-66erin( #&!! &r in-r $-!t eer*i!e t%e ,i#i(en*e &6 a (&&, 6at%er &6 a 6a$i# t& $ini$ie t%e ,a$a(e! re!-#tin( 6r&$ t%e a*t &r &$i!!i&n in 2-e!ti&n. RULES 5. Re!0&n!i/i#it 6&r 6a-#t &r ne(#i(en*e -n,er t%e 0re*e,in( arti*#e i! entire# !e0arate an, ,i!tin*t 6r&$ t%e *i+i# #ia/i#it ari!in( 6r&$ ne(#i(en*e -n,er t%e Pena# C&,e. B-t t%e 0#ainti66 *ann&t re*&+er ,a$a(e! t7i*e 6&r t%e !a$e a*t &r &$i!!i&n &6 t%e ,e6en,ant. 8. In 2-a!i,e#i*t!) t%e *&ntri/-t&r ne(#i(en*e &6 t%e 0#ainti66 !%a## re,-*e t%e ,a$a(e! t%at %e $a re*&+er. =. In *& ntra*t!) 2-a!i*&ntra*t!) an, 2-a!i,e#i*t!) t%e *&-rt $a e2-ita/# $iti(ate t%e ,a$a(e! -n,er *ir*-$!tan*e! &t%er t%an t%e *a!e re6erre, t& in t%e 0re*e,in( arti*#e) a! in t%e 6&##&7in( in!tan*e!: ?5 T%at t%e 0#ainti66 %i$!e#6 %a! *&ntra+ene, t%e ter$! &6 t%e *&ntra*t" ?8 T%at t%e 0#ainti66 %a! ,eri+e, !&$e /ene6it a! a re!-#t &6 t%e *&ntra*t" ?= In *a!e! 7%ere ee$0#ar ,a$a(e! are t& /e a7ar,e,) t%at t%e ,e6en ,ant a*te, -0&n t%e a,+i*e &6 *&-n!e#" ?@ T%at t%e #&!! 7&-#, %a+e re!-#te, in an e+ent"
?4 T%at !in*e t%e 6i#in( &6 t%e a*ti&n) t%e ,e6en,ant %a! ,&ne %i! /e!t t& #e!!en t%e 0#ainti66! #&!! &r in-r. @. Li2-i,ate, ,a$a(e!) 7%et%er inten,e, a! an in,e$nit &r a 0ena#t) !%a## /e e2-ita/# re,-*e, i6 t%e are ini2-it&-! &r -n*&n!*i&na/#e. 4. T%ere $ a / e a * &$0r&$i!e - 0&n t%e *i+i# #ia/i#i t ari!in( 6r&$ an &66en!e" /-t !-*% *&$0r&$i!e !%a## n&t etin(-i!% t%e 0-/#i* a*ti&n 6&r t%e i$0&!iti&n &6 t%e #e(a# 0ena#t.
- MISCELLANEOUS RULES Dama'es a cann$ c$>e6iss 5. A*t-a# an, Li2-i,ate, ,a$a(e! 8. N&$ina# 7it% A*t-a#) M&ra# &r Te$0erate ,a$a(e! Dama'es a m!s c$>e6is 5. Ee$0#ar 7it% $&ra#) te$0erate) #i2-i,ate, &r *&$0en!at&r ,a$a(e! a. One $-!t 0r&+e t%at %e i! entit#e, t& $&ra#) te$0erate &r *&$0en!at&r ,a$a(e! /e6&re t%e *&-rt $a *&n!i,er i6 t%e a7ar, 6&r ee$0#ar ,a$a(e!. /. N& 0r&&6 &6 #&!! i! ne*e!!ar in &r,er t%at #i2-i,ate, ,a$a(e! $a /e re*&+ere,. H&7e+er) /e6&re t%e *&-rt $a *&n!i,er t%e 2-e!ti&n &6 (rantin( ee$0#ar in a,,iti&n t& t%e #i2-i,ate, ,a$a(e!) t%e 0#ainti66 $-!t !%&7 t%at %e 7&-#, /e entit#e, t& $&ra#) te$0erate &r *&$0en!at&r ,a$a(e! 7ere i6 n&t 6&r t%e !ti0-#ati&n 6&r #i2-i,ate, ,a$a(e!
