Alternative v Facultative Obligations. Article 1199 to 1206. Obligations and Contracts.

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Summary

This video discusses alternative and facultative obligations in the context of Philippine Law, specifically Articles 1199 to 1206. It explains the differences, rules, and effects of loss or impossibility regarding these types of obligations, determining who holds the right of choice (debtor or creditor) and the resulting liabilities.

Highlights

Introduction to Alternative Obligations (Art. 1199)
00:00:00

The video begins by explaining alternative obligations as per Article 1199, where a person is bound by different prestations but only needs to perform one completely. The creditor cannot be forced to accept parts of different undertakings. It contrasts this with simple and compound (conjunctive or distributive) obligations.

Right of Choice and Limitations (Art. 1200)
00:03:44

Article 1200 is discussed, stating that the right of choice generally belongs to the debtor, unless expressly granted to the creditor. The debtor cannot choose impossible, unlawful, or non-object prestations. An example illustrates how the debtor's choice is limited if some options become impossible.

Effect of Communication of Choice (Art. 1201)
00:07:39

This section covers Article 1201, which establishes that the choice only takes effect from the moment it is communicated. Once communicated, the alternative obligation becomes a simple obligation, and the choice is irrevocable, binding both parties to the selected prestation.

Loss of Right of Choice for Debtor (Art. 1202)
00:10:36

Article 1202 explains when the debtor loses the right of choice: if only one prestation remains practicable. The obligation then converts into a simple one to perform the remaining practicable prestation. An example demonstrates how natural disasters or illegal options narrow down the choices.

Creditor's Act Preventing Debtor's Choice (Art. 1203)
00:11:58

If the creditor's actions prevent the debtor from making a choice, Article 1203 allows the debtor to rescind the contract and claim damages. It is clarified that rescission is not automatic, and the debtor may choose to continue with the remaining possible options.

Effects of Loss Through Debtor's Fault (Art. 1204)
00:14:24

Article 1204 discusses the creditor's right to indemnity for damages if all alternative items are lost or become impossible due to the debtor's fault. The indemnity is based on the value of the last item lost or the last service that became impossible. Various scenarios of loss due to default or fortuitous events are explained.

Creditor's Right of Choice and Effects of Loss (Art. 1205)
00:21:40

This section focuses on Article 1205, where the right of choice is expressly given to the creditor. The obligation ceases to be alternative once the selection is communicated to the debtor. Rules are provided for when items are lost due to fortuitous events or the debtor's fault, impacting the creditor's options and claims for damages.

Facultative Obligations and Comparison (Art. 1206)
00:27:23

The video concludes by explaining Article 1206 on facultative obligations, where only one prestation is agreed upon, but the obligor can substitute it. A key distinction is that the loss of the intended substitute through the obligor's negligence does not make him liable before substitution. Once substituted, the obligor becomes liable for its loss due to delay, negligence, or fraud.

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