Legal Aspects in Tourism and Hospitality Review

Comprehensive vocabulary flashcards covering Torts, Foreign Investment, Negotiable Instruments, and Insurance Law based on the Philippine New Civil Code and relevant Republic Acts.

Tort

A legal wrong committed upon a person or property independent of the contract, derived from the word 'torque' meaning 'to twist'.

Article 2176 of the New Civil Code (NCC)

Provides that whoever by act or omission causes damage to another, there being fault or negligence, is obliged to pay for the damage done, provided there is no pre-existing contractual relation.

Culpa Aquiliana

Also known as culpa extra contractual, it is a substantive and independent fault that serves as a source of obligation independent of a contract.

Culpa Contractual

Contractual fault that exists as an incident in the performance of an existing obligation, where the foundation of liability is the breach of contract.

Vicarious Liability

Under Article 2180 of the NCC, the obligation to be responsible for the damages caused by persons for whom one is responsible, such as children, employees, or students.

Diligence of a good father of a family

The standard of care required when the law or contract does not state the specific diligence to be observed in the performance of an obligation.

Doctrine of Proximate Cause

The cause which, in a natural and continuous sequence, unbroken by any efficient intervening cause, produces the injury and without which the result would not have occurred.

Contributory Negligence

Negligence by the plaintiff that contributes to their injury but is not the proximate cause; it does not bar recovery but results in the mitigation of the amount recoverable.

Doctrine of Last Clear Chance

A doctrine used when both parties are negligent, stating that the party who had the last clear opportunity to avoid the accident by using proper care is responsible for the consequences.

Doctrine of Res Ipsa Loquitor

A rule of evidence where the accident itself affords reasonable evidence of a want of care because it is a type of event that doesn't usually occur without negligence.

Doctrine of Attractive Nuisance

Liability imposed on a property owner who maintains dangerous conditions likely to attract children, even if the child is technically a trespasser.

Emergency Rule

States that a person suddenly facing danger and required to act without time to consider the best means is not guilty of negligence if they fail to adopt the best subsequent method.

Injunctive Relief

A preventive legal remedy that restrains a party from doing certain acts or requires a party to act in a certain way.

Actual or Compensatory Damages

Adequate compensation for pecuniary loss suffered and proved, including the value of the loss and the profits the obligee failed to obtain.

Moral Damages

Compensation for physical suffering, mental anguish, fright, serious anxiety, and besmirched reputation, even though incapable of pecuniary computation.

Nominal Damages

Damages adjudicated so that a right of the plaintiff which has been violated may be vindicated or recognized, not to indemnify for loss.

Temperate or Moderate Damages

Damages recovered when some pecuniary loss has been suffered but its amount cannot be proved with certainty.

Liquidated Damages

Damages agreed upon by parties to a contract to be paid in case of a breach.

Exemplary or Corrective Damages

Damages imposed by way of example or correction for the public good, in addition to other forms of damages.

Philippine National

A citizen of the Philippines, or a domestic entity/corporation where at least $60\%$ of the capital stock entitled to vote is owned by Filipino citizens.

Doing Business

Includes soliciting orders, opening liaison offices, appointing representatives staying for $180$ days or more, or participating in the management of a domestic business for commercial gain.

Domestic Market Enterprise

An enterprise that produces goods or renders services for the domestic market or fails to consistently export at least $60\%$ of its output.

Export Enterprise

An enterprise that exports $60\%$ or more of its output or purchases products domestically and exports $60\%$ or more of those purchases.

Public Utility foreign ownership limit

Under the 1987 Constitution, foreign participation is limited to $40\%$ of capital, and all executive officers must be Filipino citizens.

Promissory Note

A written promise committing the maker to pay the payee a specified sum of money on demand or at a fixed future date.

Check

A bill of exchange drawn on a bank and payable on demand.

Crossed Check

A check with two parallel lines diagonally on the left top portion, meaning it must be deposited and not en-cashed directly.

Bill of Lading

A written document issued by a carrier that specifies contractual terms for delivery and serves as a receipt for goods.

Legal Tender in the Philippines

The Philippine peso and all notes and coins issued by the Bangko Sentral ng Pilipinas.

Access Device

Any card, code, or account number that can be used to obtain money, goods, or services, as defined by RA No. 8484.

Contract of Insurance

An agreement whereby one undertakes for a consideration to indemnify another against loss, damage, or liability arising from an unknown or contingent event.

Aleatory contract

A contract where the obligations depend upon the occurrence of an uncertain event or a certain event at an indeterminate time.

Insurable Interest in Property

An interest that must exist both when the insurance takes effect and when the loss occurs.

Perils of the Sea

Casualties due to unusual violence or extraordinary action of wind and wave, excluding the natural action of the sea or ordinary wear and tear.

Third Party Liability Insurance (TPL)

Compulsory motor vehicle liability insurance required before registration to indemnify for death, injury, or property damage to third parties or passengers.