Page 21 - Obligations & Contracts Module 1-2

IRREGULARITY OF PERFORMANCE/BREACH

Kinds of Conditional Obligations:

i. Suspensive Condition – the happening of a condition gives rise to an obligation.

ii. Resolutory – happening of condition extinguishes obligation

Effects:

1. no retroactive effect

2. obligation extinguished

3. restore to each other what was received plus interest/fruits

iii. Potestative – dependent on sole will of 1 party;

if on part of debtor & suspensive - void

iv. Casual – dependent on chance or hazard

v. Mixed – chance, or any of parties

vi. With term -

a) Positive – extinguished if time expires or indubitable of condition to happen

b) Negative – effective from moment of time elapsed or evident it can't happen

vii. Impossible and illegal –

1. To do - both the condition and the obligation are void

2. Not to do –disregard the condition, the obligation is still valid

“Impossible condition” – physically not feasible

“Illegal condition” – prohibited by law, good custom, public policy and morals