Page 30 - Obligations & Contracts Module 1-2

*Requisites for Valid Payment/Performance

B. With respect to parties - must be made by proper party to proper party

(1) Payor

(a) Payor - the one performing, he can be the debtor himself or his heirs or assigns or his

agent, or anyone interested in the fulfillment of the obligation; can be anyone as long

as it is with the creditor's consent

(b) 3RD person pays/performs - only the creditor's consent; If performance is done also

with debtor's consent - he takes the place of the debtor. There is subrogation except if

the 3rd person intended it to be a donation

(c) 3rd person pays/performs with consent of creditor but not with debtor's consent,

the repayment is only to the extent that the payment has been beneficial to debtor

(2) Payee

(a) payee - creditor or obligee or successor in interest of transferee, or agent

(b) 3rd person - if any of the following concur:

i. it must have redounded to the obligee's benefit and only to the extent of such benefit

ii. it falls under art 1241, par 1,2,3 - the benefit is total so, performance is total

(c) anyone in possession of the credit - will apply only if debt has not been previously

garnished