Page 23 - Obligations & Contracts Module 1-2

When Debtor “Loses Right” to Obligation with a Period:

a. insolvency of debtor, unless security provided

b. did not deliver security

c. impaired security- thru fault or fortuitous event

d. violate undertaking in consideration of extension of period

e. attempts to abscond/ escape

(4). Facultative –only one prestation has been agreed upon but another may be

given in substitution

Effects of loss or deterioration thru negligence, delay or fraud of Obligor:

a) of thing intended as substitute - no liability

b) of the substitute after substitution is made – with liability

(5). Alternative – bound by different prestation but only one is due

Right of choice: General rule: right of choice belongs to debtor

A. The Choice Is With Debtor

(1) if only 1 prestation is left, either because of fortuitous events or due to debtor's acts, perform

what is left. The effect is that the debtor loses the right of choice.

(2) if the choice is limited because of the creditor's acts, the debtor has the right of resolution

and damages

(3) if all are lost due to debtor, the creditor is entitled to damages

(4) if some are lost, the debtor can choose from the remaining