1) Why Articles 1156–1170 matter
Articles 1156 to 1170 of the Civil Code of the Philippines form the “front door” of the law on obligations and contracts. They define what an obligation is, identify where obligations come from, and set the baseline rules for how obligations must be performed and what happens when performance is defective—through fraud, negligence, delay, or violation of the obligation’s terms.
These provisions are foundational: they apply to everyday transactions (sales, leases, loans, services), business arrangements, and even obligations arising from wrongful acts. They also function as default rules—meaning they fill gaps unless the parties validly stipulate otherwise or a special law provides a different rule.
2) Article 1156 — What is an obligation?
Text idea: An obligation is a juridical necessity to give, to do, or not to do.
A. “Juridical necessity”
This phrase distinguishes a legal duty from a moral duty. A moral promise may be binding in conscience, but a juridical duty is enforceable by law—courts can compel performance or award damages for breach.
B. The three basic prestations (what is owed)
An obligation always involves a prestation, which may be:
To give (deliver a thing or transfer ownership/possession)
- Example: Delivering a specific car sold to a buyer; paying money due.
To do (render a service or perform an act)
- Example: A contractor must build a house; a professional must provide agreed services.
Not to do (refrain from an act)
- Example: A non-compete clause; a covenant not to build beyond a certain height.
C. Core parties
- Creditor/obligee: the one entitled to demand performance.
- Debtor/obligor: the one bound to perform.
3) Article 1157 — Sources of obligations
Text idea: Obligations arise from (1) law, (2) contracts, (3) quasi-contracts, (4) acts or omissions punished by law, and (5) quasi-delicts.
Think of Article 1157 as a classification of enforceable duties. In Philippine practice, it helps determine:
- the governing rules,
- the burden of proof,
- available remedies,
- and prescriptive periods (often found in other provisions/special laws).
1. Law
Obligations imposed directly by statute.
- Example: Legal support obligations among family members; duties under labor laws; tax obligations.
Key point: A legal obligation exists even without consent. Parties cannot stipulate against mandatory law.
2. Contracts
Obligations created by agreement.
- Example: Sale, lease, loan, partnership agreements.
Key point: Contracts are a primary engine of obligations in commerce, but they operate within the boundaries of law, morals, good customs, public order, and public policy.
3. Quasi-contracts
Obligations created not by agreement, but by law to prevent unjust enrichment. Common examples (developed elsewhere in the Code):
- Solutio indebiti: payment by mistake must be returned.
- Negotiorum gestio: a person voluntarily manages another’s affairs without authority; the law imposes duties to reimburse or account under certain conditions.
Key point: The focus is equity—no one should unjustly benefit at another’s expense.
4. Acts or omissions punished by law (delicts/crimes)
Civil liability may arise from a criminal act (e.g., theft, estafa, physical injuries).
- The wrongful act creates not only penal consequences but may also create civil obligations: restitution, reparation, indemnification.
Key point: The civil aspect can be pursued subject to procedural rules on civil actions arising from crimes.
5. Quasi-delicts (torts)
Obligations arising from fault or negligence causing damage, independent of contract.
- Example: Reckless driving injuring a pedestrian.
Key point: Quasi-delict is distinct from breach of contract. A single act can sometimes implicate both theories depending on the relationship and duty breached.
4) Article 1158 — Obligations from law: not presumed
Text idea: Obligations derived from law are not presumed; only those expressly determined in the Civil Code or special laws are demandable.
A. “Not presumed”
You cannot invent a legal obligation by analogy or moral reasoning alone. Courts require a clear legal basis.
B. Practical consequence
When claiming an obligation “because the law says so,” a litigant must point to:
- a specific Civil Code provision, or
- a special law, ordinance, or valid regulation that imposes the duty.
5) Article 1159 — Obligations from contracts: force of law between parties
Text idea: Obligations arising from contracts have the force of law between the contracting parties and should be complied with in good faith.
A. “Force of law”
This reflects the principle pacta sunt servanda: agreements must be honored. Courts generally enforce valid contracts as written.
B. Limits
Even if a contract is binding, it cannot defeat:
- mandatory statutes,
- public policy,
- morals or good customs,
- or rights of third persons protected by law.
C. Good faith in performance
Good faith is not just “honesty.” It includes fair dealing and faithfulness to the agreed purpose. Bad-faith performance may increase liability.
6) Article 1160 — Quasi-contracts: governed by the relevant Code provisions
Text idea: Obligations derived from quasi-contracts shall be subject to the provisions of Chapter 1, Title XVII of this Book.
A. Meaning
This is a routing provision: it tells you that quasi-contract obligations are treated under their specific rules elsewhere in the Code.
B. Unjust enrichment theme
While details are elsewhere, the unifying idea remains:
- one party benefits,
- at another’s expense,
- without legal justification,
- so the law imposes restitutionary duties.
7) Article 1161 — Civil liability from crimes: governed by the Penal Code and special laws
Text idea: Civil obligations arising from criminal offenses shall be governed by the penal laws, subject to the provisions of Article 2177 and other relevant Civil Code provisions.
A. Civil liability from crime
Penal laws define and structure the civil consequences: restitution, reparation, indemnification.
B. Interaction with quasi-delict (important concept)
The Civil Code recognizes that liability can be approached differently depending on the source of the duty breached. Where applicable, rules prevent double recovery while allowing appropriate remedies.
8) Article 1162 — Quasi-delicts: governed by the Civil Code provisions on quasi-delict
Text idea: Obligations derived from quasi-delicts shall be governed by the provisions of Chapter 2, Title XVII of this Book, and by special laws.
A. Tort framework
This points to the Civil Code tort provisions (on fault/negligence causing damage). Special laws (e.g., traffic regulations, consumer-related statutes) may also shape duties and standards of care.
9) Article 1163 — Duty to give: diligence of a good father of a family
Text idea: Every person obliged to give something is also obliged to take care of it with the proper diligence of a good father of a family, unless law or stipulation requires another standard.
A. What this adds
If you must deliver a thing, you also must preserve it pending delivery.
B. “Good father of a family” = ordinary diligence
This is the default standard: what a reasonably prudent person would do in similar circumstances.
C. Higher or lower standards
- Higher: parties may stipulate extraordinary diligence; the law may require it for certain relationships (e.g., common carriers have heightened duties under other provisions/special rules).
- Lower: parties may sometimes stipulate a reduced standard, but not if it effectively excuses fraud/bad faith or violates mandatory law/public policy.
D. Practical examples
- Seller of a specific item must store and protect it from damage before delivery.
- Debtor who must return a borrowed unique item must keep it safe.
10) Article 1164 — Right to the fruits of the thing
Text idea: The creditor has a right to the fruits of the thing from the time the obligation to deliver it arises. However, he acquires no real right over it until delivery.
A. “Fruits” explained
- Natural fruits: produce of soil/animals (crops, offspring).
- Industrial fruits: produced by labor/cultivation (harvest).
- Civil fruits: rentals, interest, income.
B. Key distinction: personal right vs real right
- From the time the obligation arises: the creditor may claim entitlement to fruits as between the parties (a personal right).
- Until delivery: creditor generally does not have a real right enforceable against the whole world (e.g., third parties) because ownership/possession rights typically shift upon delivery (depending on the contract and nature of the thing).
C. Why this matters
In disputes involving third parties (e.g., attachment, subsequent sale), whether delivery occurred can determine whose right prevails.
11) Articles 1165–1170 — Breach and liability: fraud, negligence, delay, and contravention
These provisions form a coherent set. They answer:
- When is a debtor considered in breach?
- What kinds of wrongful performance trigger liability?
- Can the debtor limit liability by agreement?
- What is the scope of damages?
Article 1165 — Liability for delay; obligation to deliver a determinate thing
Text idea: When what is to be delivered is a determinate thing, the creditor may compel specific performance. If the obligor delays, or has promised to deliver to two or more persons the same thing, he is responsible for any fortuitous event until he has effected delivery.
Key ideas:
Determinate (specific) thing
- Example: “That particular car with plate number ___.”
- Remedy often includes specific performance (compel delivery), because the thing is unique.
Delay (default/mora) increases risk
- General rule: no liability for fortuitous events.
- But once in delay, the debtor can become liable even for loss caused by a fortuitous event, because the law treats the debtor’s delay as legally significant.
Double sale/competing promises
- If a debtor promises the same determinate thing to multiple persons, the debtor bears heightened responsibility.
Article 1166 — Obligation to give includes accessions and accessories
Text idea: The obligation to give a determinate thing includes that of delivering all its accessions and accessories, even though not mentioned.
Definitions:
- Accessories: things intended for the use/ornament/perfection of another thing (e.g., keys to a car, remote controls, standard attachments depending on context).
- Accessions: additions/increases to a thing (e.g., improvements, natural increases), treated by law as belonging to the principal under rules on accession.
Practical use:
- Prevents a debtor from delivering a “bare” principal thing while withholding integral complements that ordinarily go with it.
Article 1167 — Obligation to do: substitute performance at debtor’s expense
Text idea: If a person obliged to do something fails to do it, the same shall be executed at his cost. This same rule applies if he does it in contravention of the tenor of the obligation. However, the creditor cannot compel the debtor to perform the act in person.
Key consequences:
When the debtor does not perform
- Creditor may have the work done by another and charge the debtor (substitute performance).
When the debtor performs badly (contravention)
- If performance violates the contract’s specifications/tenor, creditor may also resort to substitute performance to correct/redo.
No forced personal service
- Courts generally will not force a person to render personal service (practicality and policy). Remedy shifts to substitute performance and damages.
Article 1168 — Obligation not to do: undoing what was done
Text idea: When the obligation consists in not doing, and the obligor does what has been forbidden, it shall also be undone at his expense.
Key consequences:
- If a party violates a negative obligation (e.g., builds a structure prohibited by contract), the remedy can include demolition/undoing, plus damages where appropriate.
Limits in practice:
- Undoing must be feasible and lawful; courts weigh equities and rights of third parties, but the baseline remedy favors restoration.
Article 1169 — Delay (mora): when it begins; demand; exceptions
Text idea: Those obliged to deliver or to do something incur in delay from the time the obligee judicially or extrajudicially demands fulfillment. No demand is needed when: (1) the obligation or law so declares; (2) time is of the essence; (3) demand would be useless. In reciprocal obligations, delay begins when one party performs or is ready to perform and the other does not.
This is one of the most tested concepts.
A. General rule: demand is needed
Delay does not automatically arise upon mere maturity unless demand is made, either:
- Judicial demand: filing suit or appropriate court action.
- Extrajudicial demand: written notice, letter, email, demand letter, etc., that clearly requires performance.
Practical note: Written demand is often crucial evidence.
B. Exceptions: no demand required
Law or obligation says so
- Example: stipulation that debtor is in default upon due date without need of demand.
Time is of the essence
- When the date is a controlling motive for the obligation.
- Example: Deliver wedding cake on the wedding date; supply goods for a fixed event.
Demand would be useless
- Example: debtor has rendered performance impossible (sold the unique item to someone else).
C. Reciprocal obligations
In reciprocal contracts (sale, lease, construction), neither party is in delay if the other has not performed or is not ready to perform. Delay is measured against tender of performance:
- One party must perform or be ready and willing to perform;
- the other fails to comply.
Article 1170 — Fraud, negligence, delay, or contravention: liability for damages
Text idea: Those who in the performance of their obligations are guilty of fraud, negligence, or delay, and those who in any manner contravene the tenor thereof, are liable for damages.
This is the umbrella liability rule. It captures four major grounds:
Fraud (dolo)
- Intentional evasion of the obligation; deliberate deception or bad faith in performance.
- Example: knowingly delivering counterfeit goods as genuine; hiding defects; intentionally refusing to deliver to force renegotiation.
Negligence (culpa)
- Failure to observe required diligence; lack of care resulting in breach or damage.
- Standard is often “good father of a family” unless elevated/reduced by law or stipulation consistent with public policy.
Delay (mora)
- Failure to perform on time after delay has legally begun (usually after demand, unless exception applies).
Contravention of the tenor
- Performance that violates the obligation’s terms/specifications—even if the debtor did “something.”
- Example: building with inferior materials than specified; delivering different model/grade.
Scope of damages
While the detailed rules on damages are in other Civil Code provisions, Article 1170 anchors the right to claim damages when these kinds of defective performance occur.
Waivers and limitations (important in contracts)
- Fraud / bad faith: As a rule of policy, liability for fraud cannot be validly waived in advance; stipulations that effectively license fraud are generally void.
- Negligence: Parties may sometimes allocate risk and limit liability, but not in a way that violates law, morals, good customs, public order, or public policy, and not to excuse intentional wrongdoing.
12) Putting it together: how to analyze a Civil Code obligation (1156–1170 framework)
A practical method (useful for exams and real disputes):
Identify the obligation (Art. 1156)
- Who is debtor/creditor?
- What is the prestation: give/do/not do?
Identify the source (Art. 1157)
- Law? Contract? Quasi-contract? Crime? Quasi-delict?
- This dictates governing rules and typical remedies.
If source is law or contract
- Law obligations must be express (Art. 1158).
- Contract obligations bind with force of law and good faith (Art. 1159).
Determine the standard of care and incidentals (Arts. 1163–1166)
- Duty to preserve the thing pending delivery (1163).
- Right to fruits vs real rights (1164).
- Heightened risk upon delay; issues in multiple promises (1165).
- Include accessions/accessories (1166).
If the prestation is to do / not to do
- Substitute performance and its cost (1167).
- Undoing prohibited acts (1168).
Check delay rules (1169)
- Was there demand?
- Does an exception apply?
- In reciprocal obligations: who performed or tendered performance first?
Determine liability for damages (1170)
- Fraud? Negligence? Delay? Contravention?
- Connect wrongful performance to injury/damage.
13) Common Philippine-law scenarios illustrated
A. Sale of a specific item (determinate thing)
- Seller must take care of the item before delivery (1163).
- Buyer is entitled to fruits from when the obligation arises (1164), but gains real rights upon delivery.
- If seller delays after demand, seller can be liable even for fortuitous loss (1165).
- Seller must deliver accessories/accessions (1166).
- Bad-faith substitution or concealment triggers damages (1170).
B. Construction contract (to do)
- Contractor builds contrary to plans/specs: contravention of tenor (1170).
- Owner may have defects corrected by another at contractor’s cost (1167), plus damages.
C. Non-compete / negative covenant (not to do)
- If violated, the act may be undone at violator’s expense (1168), subject to feasibility and lawful limits.
- Damages may also be claimed for losses (1170).
D. Reciprocal obligations (sale: deliver vs pay)
- Buyer who hasn’t paid (or isn’t ready to pay) cannot usually put seller in delay.
- Seller who hasn’t delivered (or isn’t ready to deliver) cannot usually put buyer in delay.
- Delay attaches when one performs or tenders performance and the other fails (1169).
14) Key takeaways (doctrinal essentials)
- Obligation (1156) is an enforceable duty to give, do, or not do.
- Sources (1157) determine the legal framework: law, contract, quasi-contract, crime, quasi-delict.
- Legal obligations (1158) must be expressly imposed by statute.
- Contracts (1159) bind like law between parties and must be performed in good faith.
- Preservation and incidents of delivery (1163–1166) protect the creditor’s expected benefit: diligence, fruits, risk in delay, and completeness of delivery.
- Remedies for doing/not doing (1167–1168) emphasize substitute performance and undoing prohibited acts.
- Delay (1169) usually requires demand, with recognized exceptions; in reciprocal obligations, readiness/performance matters.
- Liability (1170) attaches for fraud, negligence, delay, and contravention of the obligation’s tenor—opening the door to damages under the broader Civil Code rules.