law on obligation and contracts, Lecture notes of Law of Obligations

Download law on obligation and contracts and more Lecture notes Law of Obligations in PDF only on Docsity! Lecture Alternative Obligations Article 1199. A person alternatively bound by different prestations shall completely perform one of them. The creditor cannot be compelled to receive part of one and part of the other undertaking. (1131) Article 1200. The right of choice belongs to the debtor, unless it has been expressly granted to the creditor. The debtor shall have no right to choose those prestations which are impossible, unlawful or which could not have been the object of the obligation. (1132) Article 1201. The choice shall produce no effect except from the time it has been communicated. (1133) Article 1202. The debtor shall lose the right of choice when among the prestations whereby he is alternatively bound, only one is practicable. (1134) Article 1203. If through the creditor's acts the debtor cannot make a choice according to the terms of the obligation, the latter may rescind the contract with damages. (n) Article 1204. The creditor shall have a right to indemnity for damages when, through the fault of the debtor, all the things which are alternatively the object of the obligation have been lost, or the compliance of the obligation has become impossible. The indemnity shall be fixed taking as a basis the value of the last thing which disappeared, or that of the service which last became impossible. Damages other than the value of the last thing or service may also be awarded. (1135a) Article 1205. When the choice has been expressly given to the creditor, the obligation shall cease to be alternative from the day when the selection has been communicated to the debtor. Until then the responsibility of the debtor shall be governed by the following rules: (1) If one of the things is lost through a fortuitous event, he shall perform the obligation by delivering that which the creditor should choose from among the remainder, or that which remains if only one subsists; (2) If the loss of one of the things occurs through the fault of the debtor, the creditor may claim any of those subsisting, or the price of that which, through the fault of the former, has disappeared, with a right to damages; (3) If all the things are lost through the fault of the debtor, the choice by the creditor shall fall upon the price of any one of them, also with indemnity for damages. The same rules shall be applied to obligations to do or not to do in case one, some or all of the prestations should become impossible. (1136a) Article 1206. When only one prestation has been agreed upon, but the obligor may render another in substitution, the obligation is called facultative. The loss or deterioration of the thing intended as a substitute, through the negligence of the obligor, does not render him liable. But once the substitution has been made, the obligor is liable for the loss of the substitute on account of his delay, negligence or fraud. (n) Discussion This section deals with multiple obligations that may be caused by one source. Several sources may of course occur at or near the same time, causing multiple obligations. In that case, the obligations are conjunctive, since there are several independent sources. This means that the obligor must perform them all. When the source is but one, as when there is one contract that enumerates several prestations, the performance of one or all of them depends on how the source of obligation intends. It may be conjunctive, too, or the enumeration may actually be choices, in which case the obligation is alternative. It is different if the obligation has only one prestation but the debtor is granted the right to choose another – not listed – prestation. This is a facultative obligation, according to Article 1206. Here, the debtor can change the prestation in accordance with the right granted, and will not be liable even if the original prestation is lost through his fault or negligence. The loss of the substitute through his fault of negligence will also not render him liable for as long as he can still perform the original prestation. It is only when he has made the substitution and lost it through his fault or negligence that he is liable (Article 1206). In case the obligation presents alternative prestations that are expressly enumerated, the debtor can choose any one of them and perform it completely to the exclusion of the others, and with this single prestation extinguish the entire list or the entire obligation. He may not choose to perform half of one obligation and half of another, even if that is more convenient than performing just one completely, unless the creditor agrees (Art. 1199). Meanwhile, the creditor cannot interfere in the debtor’s choice, unless the obligation source expressly states that the choice belongs to the creditor. If the creditor insists, or through machinations leads the debtor to one choice to the exclusion of others, the debtor may rescind the obligation and even hold the creditor liable for damages (Art. 1203). Be that as it may, the choice of the debtor is not absolute. It is limited by Art. 1200 and Art. 1202. Under those articles, the debtor cannot choose something illegal, impossible, or something other than what was intended. He cannot also choose those which are not practicable. But when does choose something that is possible, lawful, intended, and practicable, he must tell the creditor his choice, because it only becomes a valid choice when it reaches the creditor (Art. 1201). Of course, if the debtor maliciously impairs the obligation by losing or rendering impossible all prestations, the creditor can collect damages, and the basis for the award is the value of the last prestation that was lost or rendered impossible. The courts are not limited to that, and may choose to add exemplary, nominal, or other damages (Art. 1204). If the choice was expressly given to the creditor under Art. 1200, he must also communicate his choice. Obviously, the debtor will not know which prestation to perform otherwise. Prior to this communication, Art. 1205 provides rules: (1) If one prestation is lost through a fortuitous event, the creditor can choose from the remainder;