SECTION 1: Pure and Conditional Obligations (Arts. 1179–1192

Art. 1179

(Pure vs. Resolutory): Pure obligations and obligations subject to a resolutory condition are demandable at once.

• A condition is a future and uncertain event, or a past event unknown to the parties. If the event is certain to happen, it is a period, not a condition.

Art. 1180

(Pay when means permit): Deemed an obligation with a period (must ask court to fix period under Art. 1197 before suing for collection).

• The creditor cannot sue immediately for collection or payment without first obtaining a court order fixing the period.

Art. 1181 (

Suspensive vs. Resolutory):

• Suspensive: Birth of obligation is delayed until event happens.

  • Before the suspensive condition is fulfilled, the creditor only has a mere expectancy of right, not a demandable right.

• Resolutory: Obligation takes effect immediately, but is extinguished when event happens.

  • Upon the happening of a resolutory condition, parties are bound to return whatever they received from each other (mutual restitution).

Art. 1182 (Potestative Condition):

• Suspensive + Sole Will of Debtor = VOID (both obligation & condition).

  • Example: "I will pay you P10,000 if I want to" is completely void because performance depends entirely on the debtor's whim.

• Suspensive + Sole Will of Creditor = VALID.

  • Example: "I will sell you my car if you decide to buy it" is valid because it does not leave performance to the sole discretion of the obligor.

• Resolutory + Sole Will of Debtor = VALID.

  • Example: "You can live in my apartment until I return to Manila" is valid because the obligation exists immediately and the debtor's act merely ends it.

• Casual / Mixed = VALID.

  • If the condition depends on chance, a third person, or a combination, the obligation remains fully effective.

• Art. 1183

• (Impossible / Illegal Conditions):

  • Impossible condition to do something = Obligation is VOID.

    • Physical impossibility (e.g., fly to the moon without equipment) or legal impossibility (e.g., sell prohibited drugs) voids the dependent obligation.

  • Condition not to do an impossible thing = Condition ignored, obligation is PURE & VALID.

    • Example: "I will give you P5,000 if you do not touch the sky" is treated as a simple pure obligation demandable at once.

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Art. 1186 (Constructive Fulfillment):

• Condition is deemed fulfilled if debtor voluntarily prevents its fulfillment in bad faith.

  • Intentional blocking of condition fulfillment by the debtor causes the law to treat it as fully satisfied.

Art. 1187 (Retroactivity)

: Fulfillment retroacts to the day obligation was constituted. (In reciprocal contracts, fruits and interests are deemed mutually offset).

• For unilateral obligations, fruits and interests produced pending the condition generally belong to the debtor unless stipulated otherwise.

Art. 1188 (Preservation

): Creditor may take legal actions to preserve his right before condition happens (e.g., registering notice of attachment).

• The debtor may also recover whatever was paid by mistake before the suspensive condition actually happened.

(Art. 1189)

loss, Deterioration & Improvement Rules

Situation	Without Debtor's Fault	With Debtor's Fault
Loss	Obligation extinguished	Debtor pays Damages
Deterioration	Impairment borne by Creditor	Creditor chooses: Rescission OR Fulfillment (both + damages)
Improvement	Inures to Creditor	Debtor has rights of a Usufructuary (can remove improvements, no reimbursement)

Art. 1191

(Implied Power to Rescind):

• Injured party has alternative remedies: Fulfillment OR Rescission (cancellation), both with damages.

  • The choice is alternative—if you choose fulfillment and it becomes impossible, you can still ask for rescission later; but if you choose rescission first, you cannot switch back to fulfillment.

• Court may grant debtor a reasonable period to perform if there is a just cause.

  • Rescission will NOT be granted for slight or casual breaches; the breach must be substantial and fundamental to defeat the object of the parties.