Page 3 - Obligations & Contracts Module 1-2

I N T R O D U C T I O N

The Law on Obligations and Contracts deals with the nature and

sources of obligations as well as the rights and duties arising from

agreements in contracts. It is important to know that in every obligation,

one must always observe the general principles on human relations, to wit:

―ART. 19. Every person must, in the exercise of his rights and in the

performance of his duties, act with justice, give everyone his due, and

observe honesty and good faith.

Failure to observe the above principle makes a person civilly liable.

Basic provisions on Law on Obligations and Contracts based on the Civil

Code of the Philippines will be discussed in this module. Cases and

applications related to business will also be talk over.