When is an obligation demandable

However, there is no postponement or suspension of the contract and all rights and obligations come into existence immediately upon conclusion of an agreement between the parties. For instance, You have a car note over the next 10 years. Once you pay the last payment at the end of 10 years, the obligation ends. What is the effect of the fulfillment of the condition in a conditional obligation? The suspensive condition is when the parties agree that the duty to perform is postponed until a determined or determinable date due to the pending event, and that this event is certain to happen.

However, the exact date is unknown. The obligation will arises when the said condition is already fulfilled. While in the resolutory condition, when the parties agree that the obligations in the contract will be terminated upon a certain future time.

This exact time is certain to happen, but the exact date is unkown. Give two 2 cases when the conditional obligation is valid although the condition depends entirely upon the will of the debtor.

First case is when the debtor promises to pay when his means permit him to do so. In this case, what depends upon the will of the debtor is the duration of the period when he is capable on paying his debt and not whether he should comply or not. For example, Mr. G binds himself to pay Ms.

This obligation is valid and it shall be deemed to be one with a period of time. Next case is when the debtor is capable of doing the said obligation. For example, Marie borrowed 5, to Rose payable on September Due to the review of financial reverses, Marie now is not capable on paying the debt to Rose but Marie is willing to pay the said debt.

The remedies of Rose will arise 3. May an obligor be liable under an obligation subject to a suspensive condition although the condition has not yet been fulfilled? Under the suspensive condition, the obligation will arises when the said condition is already fulfilled.

Therefore, under this type of condition, the obligor or the debtor is not yet liable. The debtor would be liable if the condition is already fulfilled. In obligation to give a parcel of land subject to a suspensive condition, who is entitled to the fruits that accrued during the pendency of the condition once said condition is fulfilled? Upon the fulfillment of the obligation, the seller has the right to keep to himself all the fruits and interests he may have received during the pendency of the condition, unless a contrary intention by the seller that he shall render an accounting of fruits received during its pendency.

If the delivery lost without the fault of the debtor, the debtor is not liable for any obligation or the obligation shall be extinguished. We are not liable for the fortuitous event or any event that beyond our powers. As a creditor, you only have to choose one of the remedies that are given. If it deteriorates without the fault of the debtor, the value of thing that delivered will be depreciated and the value will be reduced due to the deterioration of the thing.

Problems Explain or state briefly the rule or reason for your answer. D debtor borrowed 20, from C creditor payable on or before August Before the arrival of the due date, C agreed to the promise of B to pay C if B wants. Can C insist that B pay not later than August 30? In case of the loss, deterioration or improvement of the thing, the provisions which, with respect to the debtor , are laid down to the preceding article shall be applied to the party who is bound to return.

As for obligations to do or not to do, the provisions of the second paragraph of article shall be observed as regards the effect of the extinguishment of the obligation. Effects when resolutory condition is fulfilled 1. The obligation is extinguished. The fruits and interests thereon should also be returned after deducting of course the expenses made for the production, gathering and preservation, if any.

The rules given in Art. The courts are given power to determine the retroactivity of the fulfillment of a resolutory conditions. B did not pass the CPA Exams. The obligation is extinguished and therefore, it is as if there was never an obligation at all. B will therefore have to return both the land and the fruits he had received there from the moment A has given him the land.

The power to rescind obligatios is implied in reciprocal ones, in case one of the obligors should not comply with what is incumbent upon him. The injured party may choose between the fulfillment and the rescission of the obligation, with the payment of damages in either case. He may also seek rescission, even after he has chosen fulfillment, if the later should become impossible. The court shall decree the rescission claimed, unless there be just cause authorizing the fixing of a period.

This is understood to be without prejudice to the rights of third persons who have acquired the thing, in accordance with articles and and the Mortgage Law. Right to rescind: The right to rescind means the right to cancel or to resolve in case of reciprocal obligation in case of nonfulfillment on the part of one.

Example: In a contract of sale, the buyer can rescind if the seller does not deliver or the seller can rescind if the buyer does not pay. Demand rescission of the obligation plus damages. In case both parties have committed a breach of the obligation, the liability of the first infractor shall be equitably tempered by the courts. If it cannot be determined which of the parties first violated the contract, the same shall be deemed extinguished, and each shall bear his own damages. The first one is fair to both parties because the second infract or, though they would derive some advantage by his own act or neglect.

The second rule is likewise just, because it is presumed that both parties at about the same time tried to reap some benefits. Report of the Code Commission Total views , On Slideshare 0. From embeds 0. Number of embeds 9. Downloads Shares 0. Comments 0. Likes You just clipped your first slide! Clipping is a handy way to collect important slides you want to go back to later. Now customize the name of a clipboard to store your clips.

Algy Riguer, the amount of ten thousand pesos 10, on January 30, A conditional obligation is one the fulfillment of which is a subject to a certain condition which may be an event, which may or may not happen.

It could be suspensive or resolutory. A suspensive condition is a future or uncertain event, the happening of which give birth to the obligation. Algy Reguir Promises to give Miss Capio a condo unit if she pass the bar exam.

The obligation cannot be demanded at once bur becomes demandable only upon Miss Capio passing the Bar. Resolutory condition is an event the passing of which extinguishes the obligation.

A promises to pension B in the amount of five thousand per month until such time that she gets married. The obligation to give monthly pension starts immediately. But the moment B is married the obligation stops. Marriage is the resolutory condition as it extinguishes the obligation. Kung ang nangutang ay nangako sa kanyang sarili na bayaran ang kanyang utang kapag ang kanyang pamamaraan o kakayahan ay pinahihintulutan na gawin ito, ang pananagutan ay itinuturing bilang isa na may nakatakdang panahon, dapat may nakatakdang panahon, na naayon sa probisyon ng Artikulo Leaving the discretion to either of the creditor or debtor would be unjust, therefore, Article should be applied, where the Court is obliged to fix the duration of the period.

General Rule: The creditor must ask the court first for the fixing of the term, and it is only when that term set arrives that he can demand fulfillment.

Levy Hermanos Vs. Pedro Paterno. Facts: Pedro Paterno defendant executed a document in favor of Levy Hermanos plaintiff , indicating that a balance of P6, The defendant made several payments and later claimed to establish the installment of P The plaintiff disagreed and brought suit and asked that he should be paid the sum of P5, During the trial, it was agreed by the parties that the sum which the defendant owed the plaintiff was P5, In view of the evidence adduced during the trial, a monthly payment of P would be reasonable compliance with the agreement to pay the debt in installment.

The payment will be rendered on or before the 15 th of each month. The defendant appealed that: The obligation is one of payment by installment, its fulfillment cannot be required immediately; No fixed day was specified for its fulfillment, and Payment is undetermined or was not fixed by parties when they executed the contract.

Whether or not the defendant should pay the plaintiff according to the period fixed by the court. The trial court acted in accordance with the law in exercising said power by fixing the duration of the period on the basis that the payment of the debt should be made at the rate of P There was no abuse of judicial discretion in fixing such a rate, considering the importance of the obligation and the absence of any stipulation of the interest in favor of the creditor.

Sa kondisyong obligasyon, ang pagkuha ng mga karapatan, pati na ang pagpatay o pagkawala ng mga natamo ay dapat na depende sa nangyayari sa kaganapan na bumubuo sa kondisyon. Example: I promise to give Bryan Php 5, Example: I promise to support Bryan Php 3, September 30, Facts: Baluran and Paraiso ancestor of Obedencio entered into a contract which they called barter, but in fact stipulated that they would only transfer the material possession of their respective properties to each other.

Thus, Baluran will be allowed to construct a residential house on the land of Paraiso while Paraiso is entitled to reap the fruits of the riceland of Baluran. The contract prohibited them from alienating the properties of the other and contained a stipulation that should the heirs of Paraiso desire to re-possess the residential lot, Baluran is obliged to return the lot.

Indeed, years after, Obedencio grandchild of Paraiso acquired the ownership of the residential lot from his mother and demanded that Baluran, who was in possession, vacate. Issue: Whether or not the contract was a barter or usufruct. First, the contract is what the law defines it to be and not what the parties call it. It is very clear that what the parties exchanged was not ownership, but merely material possession or the right to enjoy the thing. Now, because it is usufruct, the law allows the parties to stipulate the conditions including the manner of its extinguishment.

In this case, it was subject to a resolutory condition which is in case the heir of Paraiso aa third party desires to repossess the property. Upon the happening of the condition, the contract is extinguished. Therefore, Baluran must return the land to Obedencia.

But since Art. One last point. At the time of this case, the Obedencias were also in possession of the riceland of Baluran. Although it was not proper to decide the issue of possession in this case, the Court nevertheless decided on the matter and order the Obedencias to vacate the property inasmuch as there was an extinguishment of a reciprocal obligations and rights.

Kung ang pag ganap ng isang kundisyon ay nakadepende lamang sa may pagkakautang, ang kondisyonal na obligasyon ay walang bisa. Kung ito naman ay nakasalalay sa pagkakataon o di kaya sa kalooban ng ikatlong persona, ang obligasyon ay magkakabisa ng naayon sa probisyon ng pamantayang ito. Kinds of Conditions:.

An obligation dependent upon the will of a third person is valid. Nazario Trillana vs Quezon College, Inc. June 27, Damasa Crisostomo subscribed to a shares of capital stock with a par value of P Included in her letter to the to the Board of Trustees of the Quezon College was the initial payment and statement that she will pay the balance after she has harvested some fish. On October 26, , Damasa Crisostomo passed away. No payment appears to have been paid, hence the claim before the CFI of Bulacan in her testate proceeding, for the collection of the sum of P20,, representing the value of the subscription to the capital stock of the Quezon College, Inc.

Whether or not the condition entered into by both parties is valid. Article Impossible conditions, those contrary to good customs or public policy and those prohibited by law shall annul the obligation which depends upon them. Mutual error as to the legal effect of an agreement when the real purpose of the parties is frustrated, may vitiate consent.

There is violence when in order to wrest consent, serious or irresistible force is employed. There is intimidation when one of the contracting parties is compelled by a reasonable and wellgrounded fear of an imminent and grave evil upon his person or property, or upon the person or property of his spouse, descendants or ascendants, to give his consent.

To determine the degree of intimidation, the age, sex and condition of the person shall be borne in mind. A threat to enforce one's claim through competent authority, if the claim is just or legal, does not vitiate consent. Violence or intimidation shall annul the obligation, although it may have been employed by a third person who did not take part in the contract. There is undue influence when a person takes improper advantage of his power over the will of another, depriving the latter of a reasonable freedom of choice.

The following circumstances shall be considered: the confidential, family, spiritual and other relations between the parties, or the fact that the person alleged to have been unduly influenced was suffering from mental weakness, or was ignorant or in financial distress. There is fraud when, through insidious words or machinations of one of the contracting parties, the other is induced to enter into a contract which, without them, he would not have agreed to. Failure to disclose facts, when there is a duty to reveal them, as when the parties are bound by confidential relations, constitutes fraud.

The usual exaggerations in trade, when the other party had an opportunity to know the facts, are not in themselves fraudulent. A mere expression of an opinion does not signify fraud, unless made by an expert and the other party has relied on the former's special knowledge.

Misrepresentation by a third person does not vitiate consent, unless such misrepresentation has created substantial mistake and the same is mutual. Misrepresentation made in good faith is not fraudulent but may constitute error. In order that fraud may make a contract voidable, it should be serious and should not have been employed by both contracting parties. Incidental fraud only obliges the person employing it to pay damages. Simulation of a contract may be absolute or relative.

The former takes place when the parties do not intend to be bound at all; the latter, when the parties conceal their true agreement. An absolutely simulated or fictitious contract is void. A relative simulation, when it does not prejudice a third person and is not intended for any purpose contrary to law, morals, good customs, public order or public policy binds the parties to their real agreement.

All things which are not outside the commerce of men, including future things, may be the object of a contract. All rights which are not intransmissible may also be the object of contracts. No contract may be entered into upon future inheritance except in cases expressly authorized by law.

All services which are not contrary to law, morals, good customs, public order or public policy may likewise be the object of a contract.

Impossible things or services cannot be the object of contracts. The object of every contract must be determinate as to its kind. The fact that the quantity is not determinate shall not be an obstacle to the existence of the contract, provided it is possible to determine the same, without the need of a new contract between the parties. In onerous contracts the cause is understood to be, for each contracting party, the prestation or promise of a thing or service by the other; in remuneratory ones, the service or benefit which is remunerated; and in contracts of pure beneficence, the mere liberality of the benefactor.

The particular motives of the parties in entering into a contract are different from the cause thereof. Contracts without cause, or with unlawful cause, produce no effect whatever. The cause is unlawful if it is contrary to law, morals, good customs, public order or public policy. The statement of a false cause in contracts shall render them void, if it should not be proved that they were founded upon another cause which is true and lawful.

Although the cause is not stated in the contract, it is presumed that it exists and is lawful, unless the debtor proves the contrary. Except in cases specified by law, lesion or inadequacy of cause shall not invalidate a contract, unless there has been fraud, mistake or undue influence. Contracts shall be obligatory, in whatever form they may have been entered into, provided all the essential requisites for their validity are present.

However, when the law requires that a contract be in some form in order that it may be valid or enforceable, or that a contract be proved in a certain way, that requirement is absolute and indispensable. In such cases, the right of the parties stated in the following article cannot be exercised. If the law requires a document or other special form, as in the acts and contracts enumerated in the following article, the contracting parties may compel each other to observe that form, once the contract has been perfected.

This right may be exercised simultaneously with the action upon the contract. The following must appear in a public document: 1 Acts and contracts which have for their object the creation, transmission, modification or extinguishment of real rights over immovable property; sales of real property or of an interest therein are governed by articles , No.

All other contracts where the amount involved exceeds five hundred pesos must appear in writing, even a private one. But sales of goods, chattels or things in action are governed by articles, , No. When, there having been a meeting of the minds of the parties to a contract, their true intention is not expressed in the instrument purporting to embody the agreement, by reason of mistake, fraud, inequitable conduct or accident, one of the parties may ask for the reformation of the instrument to the end that such true intention may be expressed.

If mistake, fraud, inequitable conduct, or accident has prevented a meeting of the minds of the parties, the proper remedy is not reformation of the instrument but annulment of the contract. Article The principles of the general law on the reformation of instruments are hereby adopted insofar as they are not in conflict with the provisions of this Code.

When a mutual mistake of the parties causes the failure of the instrument to disclose their real agreement, said instrument may be reformed. If one party was mistaken and the other acted fraudulently or inequitably in such a way that the instrument does not show their true intention, the former may ask for the reformation of the instrument.

When one party was mistaken and the other knew or believed that the instrument did not state their real agreement, but concealed that fact from the former, the instrument may be reformed. When through the ignorance, lack of skill, negligence or bad faith on the part of the person drafting the instrument or of the clerk or typist, the instrument does not express the true intention of the parties, the courts may order that the instrument be reformed.

If two parties agree upon the mortgage or pledge of real or personal property, but the instrument states that the property is sold absolutely or with a right of repurchase, reformation of the instrument is proper. There shall be no reformation in the following cases: 1 Simple donations inter vivos wherein no condition is imposed; 2 Wills; 3 When the real agreement is void. When one of the parties has brought an action to enforce the instrument, he cannot subsequently ask for its reformation.

Reformation may be ordered at the instance of either party or his successors in interest, if the mistake was mutual; otherwise, upon petition of the injured party, or his heirs and assigns. The procedure for the reformation of instrument shall be governed by rules of court to be promulgated by the Supreme Court. If the terms of a contract are clear and leave no doubt upon the intention of the contracting parties, the literal meaning of its stipulations shall control.

If the words appear to be contrary to the evident intention of the parties, the latter shall prevail over the former. In order to judge the intention of the contracting parties, their contemporaneous and subsequent acts shall be principally considered.

However general the terms of a contract may be, they shall not be understood to comprehend things that are distinct and cases that are different from those upon which the parties intended to agree.

If some stipulation of any contract should admit of several meanings, it shall be understood as bearing that import which is most adequate to render it effectual. The various stipulations of a contract shall be interpreted together, attributing to the doubtful ones that sense which may result from all of them taken jointly. Words which may have different significations shall be understood in that which is most in keeping with the nature and object of the contract.

The usage or custom of the place shall be borne in mind in the interpretation of the ambiguities of a contract, and shall fill the omission of stipulations which are ordinarily established.

The interpretation of obscure words or stipulations in a contract shall not favor the party who caused the obscurity. When it is absolutely impossible to settle doubts by the rules established in the preceding articles, and the doubts refer to incidental circumstances of a gratuitous contract, the least transmission of rights and interests shall prevail.

If the contract is onerous, the doubt shall be settled in favor of the greatest reciprocity of interests. If the doubts are cast upon the principal object of the contract in such a way that it cannot be known what may have been the intention or will of the parties, the contract shall be null and void. The principles of interpretation stated in Rule of the Rules of Court shall likewise be observed in the construction of contracts.

Contracts validly agreed upon may be rescinded in the cases established by law. The following contracts are rescissible: 1 Those which are entered into by guardians whenever the wards whom they represent suffer lesion by more than one-fourth of the value of the things which are the object thereof; 2 Those agreed upon in representation of absentees, if the latter suffer the lesion stated in the preceding number; 3 Those undertaken in fraud of creditors when the latter cannot in any other manner collect the claims due them; 4 Those which refer to things under litigation if they have been entered into by the defendant without the knowledge and approval of the litigants or of competent judicial authority; 5 All other contracts specially declared by law to be subject to rescission.

Payments made in a state of insolvency for obligations to whose fulfillment the debtor could not be compelled at the time they were effected, are also rescissible. The action for rescission is subsidiary; it cannot be instituted except when the party suffering damage has no other legal means to obtain reparation for the same.

Rescission shall be only to the extent necessary to cover the damages caused. Rescission creates the obligation to return the things which were the object of the contract, together with their fruits, and the price with its interest; consequently, it can be carried out only when he who demands rescission can return whatever he may be obliged to restore.

Neither shall rescission take place when the things which are the object of the contract are legally in the possession of third persons who did not act in bad faith. In this case, indemnity for damages may be demanded from the person causing the loss.

Rescission referred to in Nos. All contracts by virtue of which the debtor alienates property by gratuitous title are presumed to have been entered into in fraud of creditors, when the donor did not reserve sufficient property to pay all debts contracted before the donation.

Alienations by onerous title are also presumed fraudulent when made by persons against whom some judgment has been rendered in any instance or some writ of attachment has been issued. The decision or attachment need not refer to the property alienated, and need not have been obtained by the party seeking the rescission.

In addition to these presumptions, the design to defraud creditors may be proved in any other manner recognized by the law of evidence. Whoever acquires in bad faith the things alienated in fraud of creditors, shall indemnify the latter for damages suffered by them on account of the alienation, whenever, due to any cause, it should be impossible for him to return them.

If there are two or more alienations, the first acquirer shall be liable first, and so on successively. The action to claim rescission must be commenced within four years. For persons under guardianship and for absentees, the period of four years shall not begin until the termination of the former's incapacity, or until the domicile of the latter is known. The following contracts are voidable or annullable, even though there may have been no damage to the contracting parties: 1 Those where one of the parties is incapable of giving consent to a contract; 2 Those where the consent is vitiated by mistake, violence, intimidation, undue influence or fraud.

These contracts are binding, unless they are annulled by a proper action in court. They are susceptible of ratification. The action for annulment shall be brought within four years.

This period shall begin: In cases of intimidation, violence or undue influence, from the time the defect of the consent ceases. In case of mistake or fraud, from the time of the discovery of the same. And when the action refers to contracts entered into by minors or other incapacitated persons, from the time the guardianship ceases.

Ratification extinguishes the action to annul a voidable contract. Ratification may be effected expressly or tacitly.

It is understood that there is a tacit ratification if, with knowledge of the reason which renders the contract voidable and such reason having ceased, the person who has a right to invoke it should execute an act which necessarily implies an intention to waive his right.

Ratification may be effected by the guardian of the incapacitated person. Ratification does not require the conformity of the contracting party who has no right to bring the action for annulment. Ratification cleanses the contract from all its defects from the moment it was constituted. The action for the annulment of contracts may be instituted by all who are thereby obliged principally or subsidiarily.

However, persons who are capable cannot allege the incapacity of those with whom they contracted; nor can those who exerted intimidation, violence, or undue influence, or employed fraud, or caused mistake base their action upon these flaws of the contract. An obligation having been annulled, the contracting parties shall restore to each other the things which have been the subject matter of the contract, with their fruits, and the price with its interest, except in cases provided by law.

In obligations to render service, the value thereof shall be the basis for damages. When the defect of the contract consists in the incapacity of one of the parties, the incapacitated person is not obliged to make any restitution except insofar as he has been benefited by the thing or price received by him. Whenever the person obliged by the decree of annulment to return the thing can not do so because it has been lost through his fault, he shall return the fruits received and the value of the thing at the time of the loss, with interest from the same date.

The action for annulment of contracts shall be extinguished when the thing which is the object thereof is lost through the fraud or fault of the person who has a right to institute the proceedings.

If the right of action is based upon the incapacity of any one of the contracting parties, the loss of the thing shall not be an obstacle to the success of the action, unless said loss took place through the fraud or fault of the plaintiff.

As long as one of the contracting parties does not restore what in virtue of the decree of annulment he is bound to return, the other cannot be compelled to comply with what is incumbent upon him. The following contracts are unenforceable, unless they are ratified: 1 Those entered into in the name of another person by one who has been given no authority or legal representation, or who has acted beyond his powers; 2 Those that do not comply with the Statute of Frauds as set forth in this number.

Unauthorized contracts are governed by article and the principles of agency in Title X of this Book. Contracts infringing the Statute of Frauds, referred to in No. When a contract is enforceable under the Statute of Frauds, and a public document is necessary for its registration in the Registry of Deeds, the parties may avail themselves of the right under Article In a contract where both parties are incapable of giving consent, express or implied ratification by the parent, or guardian, as the case may be, of one of the contracting parties shall give the contract the same effect as if only one of them were incapacitated.

If ratification is made by the parents or guardians, as the case may be, of both contracting parties, the contract shall be validated from the inception. Unenforceable contracts cannot be assailed by third persons. The following contracts are inexistent and void from the beginning: 1 Those whose cause, object or purpose is contrary to law, morals, good customs, public order or public policy; 2 Those which are absolutely simulated or fictitious; 3 Those whose cause or object did not exist at the time of the transaction; 4 Those whose object is outside the commerce of men; 5 Those which contemplate an impossible service; 6 Those where the intention of the parties relative to the principal object of the contract cannot be ascertained; 7 Those expressly prohibited or declared void by law.

These contracts cannot be ratified. Neither can the right to set up the defense of illegality be waived. The action or defense for the declaration of the inexistence of a contract does not prescribe. When the nullity proceeds from the illegality of the cause or object of the contract, and the act constitutes a criminal offense, both parties being in pari delicto, they shall have no action against each other, and both shall be prosecuted.

Moreover, the provisions of the Penal Code relative to the disposal of effects or instruments of a crime shall be applicable to the things or the price of the contract. This rule shall be applicable when only one of the parties is guilty; but the innocent one may claim what he has given, and shall not be bound to comply with his promise. If the act in which the unlawful or forbidden cause consists does not constitute a criminal offense, the following rules shall be observed: 1 When the fault is on the part of both contracting parties, neither may recover what he has given by virtue of the contract, or demand the performance of the other's undertaking; 2 When only one of the contracting parties is at fault, he cannot recover what he has given by reason of the contract, or ask for the fulfillment of what has been promised him.

The other, who is not at fault, may demand the return of what he has given without any obligation to comply his promise. Interest paid in excess of the interest allowed by the usury laws may be recovered by the debtor, with interest thereon from the date of the payment.

When money is paid or property delivered for an illegal purpose, the contract may be repudiated by one of the parties before the purpose has been accomplished, or before any damage has been caused to a third person.

In such case, the courts may, if the public interest will thus be subserved, allow the party repudiating the contract to recover the money or property. Where one of the parties to an illegal contract is incapable of giving consent, the courts may, if the interest of justice so demands allow recovery of money or property delivered by the incapacitated person.

When the agreement is not illegal per se but is merely prohibited, and the prohibition by the law is designed for the protection of the plaintiff, he may, if public policy is thereby enhanced, recover what he has paid or delivered. When the price of any article or commodity is determined by statute, or by authority of law, any person paying any amount in excess of the maximum price allowed may recover such excess. When the law fixes, or authorizes the fixing of the maximum number of hours of labor, and a contract is entered into whereby a laborer undertakes to work longer than the maximum thus fixed, he may demand additional compensation for service rendered beyond the time limit.

When the law sets, or authorizes the setting of a minimum wage for laborers, and a contract is agreed upon by which a laborer accepts a lower wage, he shall be entitled to recover the deficiency. In case of a divisible contract, if the illegal terms can be separated from the legal ones, the latter may be enforced. The defense of illegality of contract is not available to third persons whose interests are not directly affected.

A contract which is the direct result of a previous illegal contract, is also void and inexistent. Obligations are civil or natural. Civil obligations give a right of action to compel their performance. Natural obligations, not being based on positive law but on equity and natural law, do not grant a right of action to enforce their performance, but after voluntary fulfillment by the obligor, they authorize the retention of what has been delivered or rendered by reason thereof.

Some natural obligations are set forth in the following articles. When a right to sue upon a civil obligation has lapsed by extinctive prescription, the obligor who voluntarily performs the contract cannot recover what he has delivered or the value of the service he has rendered. When without the knowledge or against the will of the debtor, a third person pays a debt which the obligor is not legally bound to pay because the action thereon has prescribed, but the debtor later voluntarily reimburses the third person, the obligor cannot recover what he has paid.

When a minor between eighteen and twenty-one years of age who has entered into a contract without the consent of the parent or guardian, after the annulment of the contract voluntarily returns the whole thing or price received, notwithstanding the fact that he has not been benefited thereby, there is no right to demand the thing or price thus returned.

When a minor between eighteen and twenty-one years of age, who has entered into a contract without the consent of the parent or guardian, voluntarily pays a sum of money or delivers a fungible thing in fulfillment of the obligation, there shall be no right to recover the same from the obligee who has spent or consumed it in good faith.

When, after an action to enforce a civil obligation has failed the defendant voluntarily performs the obligation, he cannot demand the return of what he has delivered or the payment of the value of the service he has rendered. When a testate or intestate heir voluntarily pays a debt of the decedent exceeding the value of the property which he received by will or by the law of intestacy from the estate of the deceased, the payment is valid and cannot be rescinded by the payer.

When a will is declared void because it has not been executed in accordance with the formalities required by law, but one of the intestate heirs, after the settlement of the debts of the deceased, pays a legacy in compliance with a clause in the defective will, the payment is effective and irrevocable. Through estoppel an admission or representation is rendered conclusive upon the person making it, and cannot be denied or disproved as against the person relying thereon.