Title II Contracts (1305-1422)

Title II. - CONTRACTS CHAPTER 1 GENERAL PROVISIONS Art. 1305. A contract is a eetin! o" in#s $et%een t%o &ersons %'er %'ere$ e$( ( on one e $in# $in#s s 'is 'isel el") ") %it' %it' res& res&ec ectt to t'e t'e ot'e ot'er) r) to !i*e !i*e soet'in! or to ren#er soe ser*ice. +1,5a Art. 130/. T'e contractin! &arties a( esta$lis' sc' sti&lations) cla clase ses) s) ter ters s an# an# con# con#it itio ions ns as t'e( t'e( a( a( #ee #ee con* con*en enie ient nt)) &ro*i#e# t'e( are not contrar( to la%) orals) !oo# cstos) &$lic or#er) or &$lic &olic(. +1,55a Art. 130. Inn Innoinate contra tracts s'a s'all $e re!late# te# $( t'e sti&lations o" t'e &arties) $( t'e &ro*isions o" Titles I an# II o" t'is 2oo 2o o)) $( t'e t'e rle rles s !o*er o*erni nin! n! t'e t'e ost ost anal analo! o!o os s noin oinat ate e contracts) an# $( t'e cstos o" t'e &lace. Art. Art. 1304 1304.. T'e T'e cont contra ract ct st st $in# $in# $ot' $ot' cont contra ract ctin in! ! &art &artie ies s its its *ali# *ali#it( it( or co& co&lia lianc nce e cann cannot ot $e le"t le"t to t'e t'e %ill %ill o" on one e o" t'e t'e.. +1,5/a Art. 1306. T'e #eterination o" t'e &er"orance a( $e le"t to a t'ir# &erson) %'ose #ecision s'all not $e $in#in! ntil it 'as $een a#e no%n to $ot' contractin! &arties. Art. 1310. T'e #eterination s'all not $e o$li!ator( i" it is e*i#entl( ine7ita$le. In sc' case) t'e corts s'all #eci#e %'at is e7ita$le n#er t'e circstances. Art. Art. 1311 1311.. Co Cont ntra ract cts s tae tae e""ec e""ectt on onl( l( $et% $et%ee een n t'e t'e &art &artie ies) s) t'ei t'eir r assi!ns an# 'eirs) e8ce&t in case %'ere t'e ri!'ts an# o$li!ations arisin! "ro t'e contract are not transissi$le $( t'eir natre) or $( sti&lation or $( &ro*ision o" la%. T'e 'eir is not lia$le $e(on# t'e *ale o" t'e &ro&ert( 'e recei*e# "ro t'e t 'e #ece#ent. I" a cont contrac ractt s'o s'ol# l# cont contai ain n so soe e sti& sti&l lati ation on in "a*or "a*or o" a t'ir t'ir# # &erson) 'e a( #ean# its "l"illent &ro*i#e# 'e conicate# 'is acce&tance to t'e o$li!or $e"ore its re*ocation. A ere inci#ental $ene $ene"i "itt or inte intere rest st o" a &erso &erson n is no nott s""i s""icie cient nt.. T'e T'e cont contra racti ctin! n! &arties st 'a*e clearl( an# #eli$eratel( con"erre# a "a*or &on a t'ir# &erson. +1,5a

Art. 131,. In contracts creatin! real ri!'ts) t'ir# &ersons %'o coe into &ossession o" t'e o$9ect o" t'e contract are $on# t'ere$() s$9ect to t'e &ro*isions o" t'e :ort!a!e La% an# t'e Lan# Re!istration La%s. Art. 1313. Cre#itors are &rotecte# in cases o" contracts inten#e# to #e"ra# t'e. Art. 131. An( t'ir# &erson %'o in#ces anot'er to *iolate 'is contract s'all $e lia$le "or #aa!es to t'e ot'er contractin! &art(. Art. 1315. Contracts are &er"ecte# $( ere consent) an# "ro t'at oent t'e &arties are $on# not onl( to t'e "l"illent o" %'at 'as $een e8&ressl( sti&late# $t also to all t'e conse7ences %'ic') accor#in! to t'eir natre) a( $e in ee&in! %it' !oo# "ait') sa!e an# la%. +1,54 Art. 131/. Real contracts) sc' as #e&osit) &le#!e an# Coo#at) are not &er"ecte# ntil t'e #eli*er( o" t'e o$9ect o" t'e o$li!ation. Art. 131. No one a( contract in t'e nae o" anot'er %it'ot $ein! at'ori;e# $( t'e latter) or nless 'e 'as $( la% a ri!'t to re&resent 'i. A contract entere# into in t'e nae o" anot'er $( one %'o 'as no at'orit( or le!al re&resentation) or %'o 'as acte# $e(on# 'is &o%ers) s'all $e nen"orcea$le) nless it is rati"ie#) e8&ressl( or i&lie#l() $( t'e &erson on %'ose $e'al" it 'as $een e8ecte#) $e"ore it is re*oe# $( t'e ot'er contractin! &art(. +1,56a

CHAPTER , ESSENTIAL RE<=ISITES O> CONTRACTS GENERAL PROVISIONS Art. 1314. T'ere is no contract nless t'e "ollo%in! re7isites concr? +1 Consent o" t'e contractin! &arties +, O$9ect certain %'ic' is t'e s$9ect atter o" t'e contract +3 Case o" t'e o$li!ation %'ic' is esta$lis'e#. +1,/1

SECTION 1. - Consent Art. 1316. Consent is ani"este# $( t'e eetin! o" t'e o""er an# t'e acce&tance &on t'e t'in! an# t'e case %'ic' are to constitte t'e contract. T'e o""er st $e certain an# t'e acce&tance a$solte. A 7ali"ie# acce&tance constittes a conter-o""er. Acce&tance a#e $( letter or tele!ra #oes not $in# t'e o""erer e8ce&t "ro t'e tie it cae to 'is no%le#!e. T'e contract) in sc' a case) is &rese# to 'a*e $een entere# into in t'e &lace %'ere t'e o""er %as a#e. +1,/,a Art. 13,0. An acce&tance a( $e e8&ress or i&lie#. Art. 13,1. T'e &erson ain! t'e o""er a( "i8 t'e tie) &lace) an# anner o" acce&tance) all o" %'ic' st $e co&lie# %it'. Art. 13,,. An o""er a#e t'ro!' an a!ent is acce&te# "ro t'e tie acce&tance is conicate# to 'i. Art. 13,3. An o""er $ecoes ine""ecti*e &on t'e #eat') ci*il inter#iction) insanit() or insol*enc( o" eit'er &art( $e"ore acce&tance is con*e(e#. Art. 13,. @'en t'e o""erer 'as allo%e# t'e o""eree a certain &erio# to acce&t) t'e o""er a( $e %it'#ra%n at an( tie $e"ore acce&tance $( conicatin! sc' %it'#ra%al) e8ce&t %'en t'e o&tion is "on#e# &on a consi#eration) as soet'in! &ai# or &roise#. Art. 13,5. =nless it a&&ears ot'er%ise) $siness a#*ertiseents o"  t'in!s "or sale are not #e"inite o""ers) $t ere in*itations to ae an o""er. Art. 13,/. A#*ertiseents "or $i##ers are si&l( in*itations to ae &ro&osals) an# t'e a#*ertiser is not $on# to acce&t t'e 'i!'est or lo%est $i##er) nless t'e contrar( a&&ears. Art. 13,. T'e "ollo%in! cannot !i*e consent to a contract? +1 =neanci&ate# inors +, Insane or #eente# &ersons) an# #ea"-tes %'o #o not no% 'o% to %rite. +1,/3a

Art. 13,4. Contracts entere# into #rin! a lci# inter*al are *ali#. Contracts a!ree# to in a state o" #rnenness or #rin! a '(¬ic s&ell are *oi#a$le. Art. 13,6. T'e inca&acit( #eclare# in Article 13, is s$9ect to t'e o#i"ications #eterine# $( la%) an# is n#erstoo# to $e %it'ot &re9#ice to s&ecial #is7ali"ications esta$lis'e# in t'e la%s. +1,/ Art. 1330. A contract %'ere consent is !i*en t'ro!' istae) *iolence) intii#ation) n#e in"lence) or "ra# is *oi#a$le. +1,/5a Art. 1331. In or#er t'at istae a( in*ali#ate consent) it s'ol# re"er to t'e s$stance o" t'e t'in! %'ic' is t'e o$9ect o" t'e contract) or to t'ose con#itions %'ic' 'a*e &rinci&all( o*e# one or $ot' &arties to enter into t'e contract. :istae as to t'e i#entit( or 7ali"ications o" one o" t'e &arties %ill *itiate consent onl( %'en sc' i#entit( or 7ali"ications 'a*e $een t'e &rinci&al case o" t'e contract. A si&le istae o" accont s'all !i*e rise to its correction. +1,//a Art. 133,. @'en one o" t'e &arties is na$le to rea#) or i" t'e contract is in a lan!a!e not n#erstoo# $( 'i) an# istae or "ra# is alle!e#) t'e &erson en"orcin! t'e contract st s'o% t'at t'e ters t'ereo" 'a*e $een "ll( e8&laine# to t'e "orer. Art. 1333. T'ere is no istae i" t'e &art( alle!in! it ne% t'e #o$t) contin!enc( or ris a""ectin! t'e o$9ect o" t'e contract. Art. 133. :tal error as to t'e le!al e""ect o" an a!reeent %'en t'e real &r&ose o" t'e &arties is "rstrate#) a( *itiate consent. Art. 1335. T'ere is *iolence %'en in or#er to %rest consent) serios or irresisti$le "orce is e&lo(e#. T'ere is intii#ation %'en one o" t'e contractin! &arties is co&elle# $( a reasona$le an# %ell-!ron#e# "ear o" an iinent an# !ra*e e*il &on 'is &erson or &ro&ert() or &on t'e &erson or &ro&ert( o" 'is s&ose) #escen#ants or ascen#ants) to !i*e 'is consent. To #eterine t'e #e!ree o" intii#ation) t'e a!e) se8 an# con#ition o" t'e &erson s'all $e $orne in in#.

A t'reat to en"orce ones clai t'ro!' co&etent at'orit() i" t'e clai is 9st or le!al) #oes not *itiate consent. +1,/a Art. 133/. Violence or intii#ation s'all annl t'e o$li!ation) alt'o!' it a( 'a*e $een e&lo(e# $( a t'ir# &erson %'o #i# not tae &art in t'e contract. +1,/4 Art. 133. T'ere is n#e in"lence %'en a &erson taes i&ro&er a#*anta!e o" 'is &o%er o*er t'e %ill o" anot'er) #e&ri*in! t'e latter o" a reasona$le "ree#o o" c'oice. T'e "ollo%in! circstances s'all $e consi#ere#? t'e con"i#ential) "ail() s&irital an# ot'er relations $et%een t'e &arties) or t'e "act t'at t'e &erson alle!e# to 'a*e $een n#l( in"lence# %as s""erin! "ro ental %eaness) or %as i!norant or in "inancial #istress. Art. 1334. T'ere is "ra# %'en) t'ro!' insi#ios %or#s or ac'inations o" one o" t'e contractin! &arties) t'e ot'er is in#ce# to enter into a contract %'ic') %it'ot t'e) 'e %ol# not 'a*e a!ree# to. +1,/6 Art. 1336. >ailre to #isclose "acts) %'en t'ere is a #t( to re*eal t'e) as %'en t'e &arties are $on# $( con"i#ential relations) constittes "ra#. Art. 130. T'e sal e8a!!erations in tra#e) %'en t'e ot'er &art( 'a# an o&&ortnit( to no% t'e "acts) are not in t'esel*es "ra#lent. Art. 131. A ere e8&ression o" an o&inion #oes not si!ni"( "ra#) nless a#e $( an e8&ert an# t'e ot'er &art( 'as relie# on t'e "orers s&ecial no%le#!e. Art. 13,. :isre&resentation $( a t'ir# &erson #oes not *itiate consent) nless sc' isre&resentation 'as create# s$stantial istae an# t'e sae is tal. Art. 133. :isre&resentation a#e in !oo# "ait' is not "ra#lent $t a( constitte error. Art. 13. In or#er t'at "ra# a( ae a contract *oi#a$le) it s'ol# $e serios an# s'ol# not 'a*e $een e&lo(e# $( $ot' contractin! &arties.

Inci#ental "ra# onl( o$li!es t'e &erson e&lo(in! it to &a( #aa!es. +1,0 Art. 135. Silation o" a contract a( $e a$solte or relati*e. T'e "orer taes &lace %'en t'e &arties #o not inten# to $e $on# at all t'e latter) %'en t'e &arties conceal t'eir tre a!reeent. Art. 13/. An a$soltel( silate# or "ictitios contract is *oi#. A relati*e silation) %'en it #oes not &re9#ice a t'ir# &erson an# is not inten#e# "or an( &r&ose contrar( to la%) orals) !oo# cstos) &$lic or#er or &$lic &olic( $in#s t'e &arties to t'eir real a!reeent.

SECTION ,. - O$9ect o" Contracts Art. 13. All t'in!s %'ic' are not otsi#e t'e coerce o" en) incl#in! "tre t'in!s) a( $e t'e o$9ect o" a contract. All ri!'ts %'ic' are not intransissi$le a( also $e t'e o$9ect o" contracts. No contract a( $e entere# into &on "tre in'eritance e8ce&t in cases e8&ressl( at'ori;e# $( la%. All ser*ices %'ic' are not contrar( to la%) orals) !oo# cstos) &$lic or#er or &$lic &olic( a( lie%ise $e t'e o$9ect o" a contract. +1,1a Art. 134. I&ossi$le t'in!s or ser*ices cannot $e t'e o$9ect o"  contracts. +1,, Art. 136. T'e o$9ect o" e*er( contract st $e #eterinate as to its in#. T'e "act t'at t'e 7antit( is not #eterinate s'all not $e an o$stacle to t'e e8istence o" t'e contract) &ro*i#e# it is &ossi$le to #eterine t'e sae) %it'ot t'e nee# o" a ne% contract $et%een t'e &arties. +1,3

SECTION 3. - Case o" Contracts Art. 1350. In oneros contracts t'e case is n#erstoo# to $e) "or eac' contractin! &art() t'e &restation or &roise o" a t'in! or ser*ice $( t'e ot'er in renerator( ones) t'e ser*ice or $ene"it %'ic' is renerate# an# in contracts o" &re $ene"icence) t'e ere li$eralit( o" t'e $ene"actor. +1,

Art. 1351. T'e &articlar oti*es o" t'e &arties in enterin! into a contract are #i""erent "ro t'e case t'ereo". Art. 135,. Contracts %it'ot case) or %it' nla%"l case) &ro#ce no e""ect %'ate*er. T'e case is nla%"l i" it is contrar( to la%) orals) !oo# cstos) &$lic or#er or &$lic &olic(. +1,5a Art. 1353. T'e stateent o" a "alse case in contracts s'all ren#er t'e *oi#) i" it s'ol# not $e &ro*e# t'at t'e( %ere "on#e# &on anot'er case %'ic' is tre an# la%"l. +1,/ Art. 135. Alt'o!' t'e case is not state# in t'e contract) it is &rese# t'at it e8ists an# is la%"l) nless t'e #e$tor &ro*es t'e contrar(. +1, Art. 1355. E8ce&t in cases s&eci"ie# $( la%) lesion or ina#e7ac( o"  case s'all not in*ali#ate a contract) nless t'ere 'as $een "ra#) istae or n#e in"lence.

CHAPTER 3 >OR: O> CONTRACTS Art. 135/. Contracts s'all $e o$li!ator() in %'ate*er "or t'e( a( 'a*e $een entere# into) &ro*i#e# all t'e essential re7isites "or t'eir *ali#it( are &resent. Ho%e*er) %'en t'e la% re7ires t'at a contract $e in soe "or in or#er t'at it a( $e *ali# or en"orcea$le) or t'at a contract $e &ro*e# in a certain %a() t'at re7ireent is a$solte an# in#is&ensa$le. In sc' cases) t'e ri!'t o" t'e &arties state# in t'e "ollo%in! article cannot $e e8ercise#. +1,4a Art. 135. I" t'e la% re7ires a #ocent or ot'er s&ecial "or) as in t'e acts an# contracts enerate# in t'e "ollo%in! article) t'e contractin! &arties a( co&el eac' ot'er to o$ser*e t'at "or) once t'e contract 'as $een &er"ecte#. T'is ri!'t a( $e e8ercise# siltaneosl( %it' t'e action &on t'e contract. +1,6a Art. 1354. T'e "ollo%in! st a&&ear in a &$lic #ocent? +1 Acts an# contracts %'ic' 'a*e "or t'eir o$9ect t'e creation) transission) o#i"ication or e8tin!is'ent o" real ri!'ts o*er io*a$le &ro&ert( sales o" real &ro&ert( or o" an interest t'erein a !o*erne# $( Articles 103) No. ,) an# 105

+, T'e cession) re&#iation or rennciation o" 'ere#itar( ri!'ts or o" t'ose o" t'e con9!al &artners'i& o" !ains +3 T'e &o%er to a#inister &ro&ert() or an( ot'er &o%er %'ic' 'as "or its o$9ect an act a&&earin! or %'ic' s'ol# a&&ear in a &$lic #ocent) or s'ol# &re9#ice a t'ir# &erson + T'e cession o" actions or ri!'ts &rocee#in! "ro an act a&&earin! in a &$lic #ocent. All ot'er contracts %'ere t'e aont in*ol*e# e8cee#s "i*e 'n#re# &esos st a&&ear in %ritin!) e*en a &ri*ate one. 2t sales o" !oo#s) c'attels or t'in!s in action are !o*erne# $( Articles) 103) No. , an# 105. +1,40a CHAPTER  RE>OR:ATION O> INSTR=:ENTS Art. 1356. @'en) t'ere 'a*in! $een a eetin! o" t'e in#s o" t'e &arties to a contract) t'eir tre intention is not e8&resse# in t'e instrent &r&ortin! to e$o#( t'e a!reeent) $( reason o"  istae) "ra#) ine7ita$le con#ct or acci#ent) one o" t'e &arties a( as "or t'e re"oration o" t'e instrent to t'e en# t'at sc' tre intention a( $e e8&resse#. I" istae) "ra#) ine7ita$le con#ct) or acci#ent 'as &re*ente# a eetin! o" t'e in#s o" t'e &arties) t'e &ro&er ree#( is not re"oration o" t'e instrent $t annlent o" t'e contract. Art. 13/0. T'e &rinci&les o" t'e !eneral la% on t'e re"oration o"  instrents are 'ere$( a#o&te# inso"ar as t'e( are not in con"lict %it' t'e &ro*isions o" t'is Co#e. Art. 13/1. @'en a tal istae o" t'e &arties cases t'e "ailre o"  t'e instrent to #isclose t'eir real a!reeent) sai# instrent a( $e re"ore#. Art. 13/,. I" one &art( %as istaen an# t'e ot'er acte# "ra#lentl( or ine7ita$l( in sc' a %a( t'at t'e instrent #oes not s'o% t'eir tre intention) t'e "orer a( as "or t'e re"oration o" t'e instrent.

Art. 13/3. @'en one &art( %as istaen an# t'e ot'er ne% or $elie*e# t'at t'e instrent #i# not state t'eir real a!reeent) $t conceale# t'at "act "ro t'e "orer) t'e instrent a( $e re"ore#. Art. 13/. @'en t'ro!' t'e i!norance) lac o" sill) ne!li!ence or $a# "ait' on t'e &art o" t'e &erson #ra"tin! t'e instrent or o" t'e cler or t(&ist) t'e instrent #oes not e8&ress t'e tre intention o"  t'e &arties) t'e corts a( or#er t'at t'e instrent $e re"ore#. Art. 13/5. I" t%o &arties a!ree &on t'e ort!a!e or &le#!e o" real or &ersonal &ro&ert() $t t'e instrent states t'at t'e &ro&ert( is sol# a$soltel( or %it' a ri!'t o" re&rc'ase) re"oration o" t'e instrent is &ro&er. Art. 13//. T'ere s'all $e no re"oration in t'e "ollo%in! cases? +1 Si&le #onations inter *i*os %'erein no con#ition is i&ose# +, @ills +3 @'en t'e real a!reeent is *oi#. Art. 13/. @'en one o" t'e &arties 'as $ro!'t an action to en"orce t'e instrent) 'e cannot s$se7entl( as "or its re"oration. Art. 13/4. Re"oration a( $e or#ere# at t'e instance o" eit'er &art( or 'is sccessors in interest) i" t'e istae %as tal ot'er%ise) &on &etition o" t'e in9re# &art() or 'is 'eirs an# assi!ns. Art. 13/6. T'e &roce#re "or t'e re"oration o" instrent s'all $e !o*erne# $( rles o" cort to $e &rol!ate# $( t'e S&ree Cort.

CHAPTER 5 INTERPRETATION O> CONTRACTS Art. 130. I" t'e ters o" a contract are clear an# lea*e no #o$t &on t'e intention o" t'e contractin! &arties) t'e literal eanin! o"  its sti&lations s'all control.

I" t'e %or#s a&&ear to $e contrar( to t'e e*i#ent intention o" t'e &arties) t'e latter s'all &re*ail o*er t'e "orer. +1,41 Art. 131. In or#er to 9#!e t'e intention o" t'e contractin! &arties) t'eir conte&oraneos an# s$se7ent acts s'all $e &rinci&all( consi#ere#. +1,4, Art. 13,. Ho%e*er !eneral t'e ters o" a contract a( $e) t'e( s'all not $e n#erstoo# to co&re'en# t'in!s t'at are #istinct an# cases t'at are #i""erent "ro t'ose &on %'ic' t'e &arties inten#e# to a!ree. +1,43 Art. 133. I" soe sti&lation o" an( contract s'ol# a#it o" se*eral eanin!s) it s'all $e n#erstoo# as $earin! t'at i&ort %'ic' is ost a#e7ate to ren#er it e""ectal. +1,4 Art. 13. T'e *arios sti&lations o" a contract s'all $e inter&rete# to!et'er) attri$tin! to t'e #o$t"l ones t'at sense %'ic' a( reslt "ro all o" t'e taen 9ointl(. +1,45 Art. 135. @or#s %'ic' a( 'a*e #i""erent si!ni"ications s'all $e n#erstoo# in t'at %'ic' is ost in ee&in! %it' t'e natre an# o$9ect o" t'e contract. +1,4/ Art. 13/. T'e sa!e or csto o" t'e &lace s'all $e $orne in in# in t'e inter&retation o" t'e a$i!ities o" a contract) an# s'all "ill t'e oission o" sti&lations %'ic' are or#inaril( esta$lis'e#. +1,4 Art. 13. T'e inter&retation o" o$scre %or#s or sti&lations in a contract s'all not "a*or t'e &art( %'o case# t'e o$scrit(. +1,44 Art. 134. @'en it is a$soltel( i&ossi$le to settle #o$ts $( t'e rles esta$lis'e# in t'e &rece#in! articles) an# t'e #o$ts re"er to inci#ental circstances o" a !ratitos contract) t'e least transission o" ri!'ts an# interests s'all &re*ail. I" t'e contract is oneros) t'e #o$t s'all $e settle# in "a*or o" t'e !reatest reci&rocit( o" interests. I" t'e #o$ts are cast &on t'e &rinci&al o$9ect o" t'e contract in sc' a %a( t'at it cannot $e no%n %'at a( 'a*e $een t'e intention or %ill o" t'e &arties) t'e contract s'all $e nll an# *oi#. +1,46

Art. 136. T'e &rinci&les o" inter&retation state# in Rle 1,3 o" t'e Rles o" Cort s'all lie%ise $e o$ser*e# in t'e constrction o"  contracts.

CHAPTER / RESCISSI2LE CONTRACTS Art. 1340. Contracts *ali#l( a!ree# &on a( $e rescin#e# in t'e cases esta$lis'e# $( la%. +1,60 Art. 1341. T'e "ollo%in! contracts are rescissi$le? +1 T'ose %'ic' are entere# into $( !ar#ians %'ene*er t'e %ar#s %'o t'e( re&resent s""er lesion $( ore t'an one"ort' o" t'e *ale o" t'e t'in!s %'ic' are t'e o$9ect t'ereo" +, T'ose a!ree# &on in re&resentation o" a$sentees) i" t'e latter s""er t'e lesion state# in t'e &rece#in! n$er +3 T'ose n#ertaen in "ra# o" cre#itors %'en t'e latter cannot in an( ot'er anner collect t'e clais #e t'e + T'ose %'ic' re"er to t'in!s n#er liti!ation i" t'e( 'a*e $een entere# into $( t'e #e"en#ant %it'ot t'e no%le#!e an# a&&ro*al o" t'e liti!ants or o" co&etent 9#icial at'orit( +5 All ot'er contracts s&eciall( #eclare# $( la% to $e s$9ect to rescission. +1,61a Art. 134,. Pa(ents a#e in a state o" insol*enc( "or o$li!ations to %'ose "l"illent t'e #e$tor col# not $e co&elle# at t'e tie t'e( %ere e""ecte#) are also rescissi$le. +1,6, Art. 1343. T'e action "or rescission is s$si#iar( it cannot $e institte# e8ce&t %'en t'e &art( s""erin! #aa!e 'as no ot'er le!al eans to o$tain re&aration "or t'e sae. +1,6 Art. 134. Rescission s'all $e onl( to t'e e8tent necessar( to co*er t'e #aa!es case#. Art. 1345. Rescission creates t'e o$li!ation to retrn t'e t'in!s %'ic' %ere t'e o$9ect o" t'e contract) to!et'er %it' t'eir "rits) an# t'e &rice %it' its interest conse7entl() it can $e carrie# ot onl(

%'en 'e %'o #ean#s rescission can retrn %'ate*er 'e a( $e o$li!e# to restore. Neit'er s'all rescission tae &lace %'en t'e t'in!s %'ic' are t'e o$9ect o" t'e contract are le!all( in t'e &ossession o" t'ir# &ersons %'o #i# not act in $a# "ait'. In t'is case) in#enit( "or #aa!es a( $e #ean#e# "ro t'e &erson casin! t'e loss. +1,65 Art. 134/. Rescission re"erre# to in Nos. 1 an# , o" Article 1341 s'all not tae &lace %it' res&ect to contracts a&&ro*e# $( t'e corts. +1,6/a Art. 134. All contracts $( *irte o" %'ic' t'e #e$tor alienates &ro&ert( $( !ratitos title are &rese# to 'a*e $een entere# into in "ra# o" cre#itors) %'en t'e #onor #i# not reser*e s""icient &ro&ert( to &a( all #e$ts contracte# $e"ore t'e #onation. Alienations $( oneros title are also &rese# "ra#lent %'en a#e $( &ersons a!ainst %'o soe 9#!ent 'as $een isse#. T'e #ecision or attac'ent nee# not re"er to t'e &ro&ert( alienate#) an# nee# not 'a*e $een o$taine# $( t'e &art( seein! t'e rescission. In a##ition to t'ese &res&tions) t'e #esi!n to #e"ra# cre#itors a( $e &ro*e# in an( ot'er anner reco!ni;e# $( t'e la% o"  e*i#ence. +1,6a Art. 1344. @'oe*er ac7ires in $a# "ait' t'e t'in!s alienate# in "ra# o" cre#itors) s'all in#eni"( t'e latter "or #aa!es s""ere# $( t'e on accont o" t'e alienation) %'ene*er) #e to an( case) it s'ol# $e i&ossi$le "or 'i to retrn t'e. I" t'ere are t%o or ore alienations) t'e "irst ac7irer s'all $e lia$le "irst) an# so on sccessi*el(. +1,64a Art. 1346. T'e action to clai rescission st $e coence# %it'in "or (ears. >or &ersons n#er !ar#ians'i& an# "or a$sentees) t'e &erio# o" "or (ears s'all not $e!in ntil t'e terination o" t'e "orers inca&acit() or ntil t'e #oicile o" t'e latter is no%n. +1,66

CHAPTER  VOIBA2LE CONTRACTS Art. 1360. T'e "ollo%in! contracts are *oi#a$le or annlla$le) e*en t'o!' t'ere a( 'a*e $een no #aa!e to t'e contractin! &arties? +1 T'ose %'ere one o" t'e &arties is inca&a$le o" !i*in! consent to a contract +, T'ose %'ere t'e consent is *itiate# $( istae) *iolence) intii#ation) n#e in"lence or "ra#. T'ese contracts are $in#in!) nless t'e( are annlle# $( a &ro&er action in cort. T'e( are ssce&ti$le o" rati"ication. Art. 1361. T'e action "or annlent s'all $e $ro!'t %it'in "or (ears. T'is &erio# s'all $e!in? In cases o" intii#ation) *iolence or n#e in"lence) "ro t'e tie t'e #e"ect o" t'e consent ceases. In case o" istae or "ra#) "ro t'e tie o" t'e #isco*er( o"  t'e sae. An# %'en t'e action re"ers to contracts entere# into $( inors or ot'er inca&acitate# &ersons) "ro t'e tie t'e !ar#ians'i& ceases. +1301a Art. 136,. Rati"ication e8tin!is'es t'e action to annl a *oi#a$le contract. +1306a Art. 1363. Rati"ication a( $e e""ecte# e8&ressl( or tacitl(. It is n#erstoo# t'at t'ere is a tacit rati"ication i") %it' no%le#!e o" t'e reason %'ic' ren#ers t'e contract *oi#a$le an# sc' reason 'a*in! cease#) t'e &erson %'o 'as a ri!'t to in*oe it s'ol# e8ecte an act %'ic' necessaril( i&lies an intention to %ai*e 'is ri!'t. +1311a Art. 136. Rati"ication a( $e e""ecte# $( t'e !ar#ian o" t'e inca&acitate# &erson.

Art. 1365. Rati"ication #oes not re7ire t'e con"orit( o" t'e contractin! &art( %'o 'as no ri!'t to $rin! t'e action "or annlent. +131, Art. 136/. Rati"ication cleanses t'e contract "ro all its #e"ects "ro t'e oent it %as constitte#. +1313 Art. 136. T'e action "or t'e annlent o" contracts a( $e institte# $( all %'o are t'ere$( o$li!e# &rinci&all( or s$si#iaril(. Ho%e*er) &ersons %'o are ca&a$le cannot alle!e t'e inca&acit( o"  t'ose %it' %'o t'e( contracte# nor can t'ose %'o e8erte# intii#ation) *iolence) or n#e in"lence) or e&lo(e# "ra#) or case# istae $ase t'eir action &on t'ese "la%s o" t'e contract. +130,a Art. 1364. An o$li!ation 'a*in! $een annlle#) t'e contractin! &arties s'all restore to eac' ot'er t'e t'in!s %'ic' 'a*e $een t'e s$9ect atter o" t'e contract) %it' t'eir "rits) an# t'e &rice %it' its interest) e8ce&t in cases &ro*i#e# $( la%. In o$li!ations to ren#er ser*ice) t'e *ale t'ereo" s'all $e t'e $asis "or #aa!es. +1303a Art. 1366. @'en t'e #e"ect o" t'e contract consists in t'e inca&acit( o" one o" t'e &arties) t'e inca&acitate# &erson is not o$li!e# to ae an( restittion e8ce&t inso"ar as 'e 'as $een $ene"ite# $( t'e t'in! or &rice recei*e# $( 'i. +130 Art. 100. @'ene*er t'e &erson o$li!e# $( t'e #ecree o" annlent to retrn t'e t'in! can not #o so $ecase it 'as $een lost t'ro!' 'is "alt) 'e s'all retrn t'e "rits recei*e# an# t'e *ale o" t'e t'in! at t'e tie o" t'e loss) %it' interest "ro t'e sae #ate. +130a Art. 101. T'e action "or annlent o" contracts s'all $e e8tin!is'e# %'en t'e t'in! %'ic' is t'e o$9ect t'ereo" is lost t'ro!' t'e "ra# or "alt o" t'e &erson %'o 'as a ri!'t to institte t'e &rocee#in!s. I" t'e ri!'t o" action is $ase# &on t'e inca&acit( o" an( one o" t'e contractin! &arties) t'e loss o" t'e t'in! s'all not $e an o$stacle to t'e sccess o" t'e action) nless sai# loss too &lace t'ro!' t'e "ra# or "alt o" t'e &lainti"". +131a

Art. 10,. As lon! as one o" t'e contractin! &arties #oes not restore %'at in *irte o" t'e #ecree o" annlent 'e is $on# to retrn) t'e ot'er cannot $e co&elle# to co&l( %it' %'at is inc$ent &on 'i. +1304

CHAPTER 4 =NEN>ORCEA2LE CONTRACTS Art. 103. T'e "ollo%in! contracts are nen"orcea$le) nless t'e( are rati"ie#? +1 T'ose entere# into in t'e nae o" anot'er &erson $( one %'o 'as $een !i*en no at'orit( or le!al re&resentation) or %'o 'as acte# $e(on# 'is &o%ers +, T'ose t'at #o not co&l( %it' t'e Statte o" >ra#s as set "ort' in t'is n$er. In t'e "ollo%in! cases an a!reeent 'erea"ter a#e s'all $e nen"orcea$le $( action) nless t'e sae) or soe note or eoran#) t'ereo") $e in %ritin!) an# s$scri$e# $( t'e &art( c'ar!e#) or $( 'is a!ent e*i#ence) t'ere"ore) o" t'e a!reeent cannot $e recei*e# %it'ot t'e %ritin!) or a secon#ar( e*i#ence o" its contents? +a An a!reeent t'at $( its ters is not to $e &er"ore# %it'in a (ear "ro t'e ain! t'ereo" +$ A s&ecial &roise to ans%er "or t'e #e$t) #e"alt) or iscarria!e o" anot'er +c An a!reeent a#e in consi#eration o" arria!e) ot'er t'an a tal &roise to arr( +# An a!reeent "or t'e sale o" !oo#s) c'attels or t'in!s in action) at a &rice not less t'an "i*e 'n#re# &esos) nless t'e $(er acce&t an# recei*e &art o" sc' !oo#s an# c'attels) or t'e e*i#ences) or soe o" t'e) o" sc' t'in!s in action or &a( at t'e tie soe &art o" t'e &rc'ase one( $t %'en a sale is a#e $( action an# entr( is a#e $( t'e actioneer in 'is sales $oo) at t'e tie o" t'e sale) o" t'e aont an# in# o" &ro&ert( sol#) ters o" sale) &rice) naes o" t'e &rc'asers an# &erson on %'ose accont t'e sale is a#e) it is a s""icient eoran#

+e An a!reeent o" t'e leasin! "or a lon!er &erio# t'an one (ear) or "or t'e sale o" real &ro&ert( or o" an interest t'erein +" A re&resentation as to t'e cre#it o" a t'ir# &erson. +3 T'ose %'ere $ot' &arties are inca&a$le o" !i*in! consent to a contract. Art. 10. =nat'ori;e# contracts are !o*erne# $( Article 131 an# t'e &rinci&les o" a!enc( in Title  o" t'is 2oo. Art. 105. Contracts in"rin!in! t'e Statte o" >ra#s) re"erre# to in No. , o" Article 103) are rati"ie# $( t'e "ailre to o$9ect to t'e &resentation o" oral e*i#ence to &ro*e t'e sae) or $( t'e acce&tance o" $ene"it n#er t'e. Art. 10/. @'en a contract is en"orcea$le n#er t'e Statte o"  >ra#s) an# a &$lic #ocent is necessar( "or its re!istration in t'e Re!istr( o" Bee#s) t'e &arties a( a*ail t'esel*es o" t'e ri!'t n#er Article 135. Art. 10. In a contract %'ere $ot' &arties are inca&a$le o" !i*in! consent) e8&ress or i&lie# rati"ication $( t'e &arent) or !ar#ian) as t'e case a( $e) o" one o" t'e contractin! &arties s'all !i*e t'e contract t'e sae e""ect as i" onl( one o" t'e %ere inca&acitate#. I" rati"ication is a#e $( t'e &arents or !ar#ians) as t'e case a( $e) o" $ot' contractin! &arties) t'e contract s'all $e *ali#ate# "ro t'e ince&tion. Art. 104. =nen"orcea$le contracts cannot $e assaile# $( t'ir# &ersons.

CHAPTER 6 VOIB ANB INEISTENT CONTRACTS Art. 106. T'e "ollo%in! contracts are ine8istent an# *oi# "ro t'e $e!innin!? +1 T'ose %'ose case) o$9ect or &r&ose is contrar( to la%) orals) !oo# cstos) &$lic or#er or &$lic &olic( +, T'ose %'ic' are a$soltel( silate# or "ictitios

+3 T'ose %'ose case or o$9ect #i# not e8ist at t'e tie o" t'e transaction + T'ose %'ose o$9ect is otsi#e t'e coerce o" en +5 T'ose %'ic' conte&late an i&ossi$le ser*ice +/ T'ose %'ere t'e intention o" t'e &arties relati*e to t'e &rinci&al o$9ect o" t'e contract cannot $e ascertaine# + T'ose e8&ressl( &ro'i$ite# or #eclare# *oi# $( la%. T'ese contracts cannot $e rati"ie#. Neit'er can t'e ri!'t to set & t'e #e"ense o" ille!alit( $e %ai*e#. Art. 110. T'e action or #e"ense "or t'e ine8istence o" a contract #oes not &rescri$e.

#eclaration

o"

t'e

Art. 111. @'en t'e nllit( &rocee#s "ro t'e ille!alit( o" t'e case or o$9ect o" t'e contract) an# t'e act constittes a criinal o""ense) $ot' &arties $ein! in &ari #elicto) t'e( s'all 'a*e no action a!ainst eac' ot'er) an# $ot' s'all $e &rosecte#. :oreo*er) t'e &ro*isions o" t'e Penal Co#e relati*e to t'e #is&osal o" e""ects or instrents o"  a crie s'all $e a&&lica$le to t'e t'in!s or t'e &rice o" t'e contract. T'is rle s'all $e a&&lica$le %'en onl( one o" t'e &arties is !ilt( $t t'e innocent one a( clai %'at 'e 'as !i*en) an# s'all not $e $on# to co&l( %it' 'is &roise. +1305 Art. 11,. I" t'e act in %'ic' t'e nla%"l or "or$i##en case consists #oes not constitte a criinal o""ense) t'e "ollo%in! rles s'all $e o$ser*e#? +1 @'en t'e "alt is on t'e &art o" $ot' contractin! &arties) neit'er a( reco*er %'at 'e 'as !i*en $( *irte o" t'e contract) or #ean# t'e &er"orance o" t'e ot'ers n#ertain! +, @'en onl( one o" t'e contractin! &arties is at "alt) 'e cannot reco*er %'at 'e 'as !i*en $( reason o" t'e contract) or as "or t'e "l"illent o" %'at 'as $een &roise# 'i. T'e ot'er) %'o is not at "alt) a( #ean# t'e retrn o" %'at 'e 'as !i*en %it'ot an( o$li!ation to co&l( 'is &roise. +130/

Art. 113. Interest &ai# in e8cess o" t'e interest allo%e# $( t'e sr( la%s a( $e reco*ere# $( t'e #e$tor) %it' interest t'ereon "ro t'e #ate o" t'e &a(ent. Art. 11. @'en one( is &ai# or &ro&ert( #eli*ere# "or an ille!al &r&ose) t'e contract a( $e re&#iate# $( one o" t'e &arties $e"ore t'e &r&ose 'as $een acco&lis'e#) or $e"ore an( #aa!e 'as $een case# to a t'ir# &erson. In sc' case) t'e corts a() i" t'e &$lic interest %ill t's $e s$ser*e#) allo% t'e &art( re&#iatin! t'e contract to reco*er t'e one( or &ro&ert(. Art. 115. @'ere one o" t'e &arties to an ille!al contract is inca&a$le o" !i*in! consent) t'e corts a() i" t'e interest o" 9stice so #ean#s allo% reco*er( o" one( or &ro&ert( #eli*ere# $( t'e inca&acitate# &erson. Art. 11/. @'en t'e a!reeent is not ille!al &er se $t is erel( &ro'i$ite#) an# t'e &ro'i$ition $( t'e la% is #esi!nate# "or t'e &rotection o" t'e &lainti"") 'e a() i" &$lic &olic( is t'ere$( en'ance#) reco*er %'at 'e 'as &ai# or #eli*ere#. Art. 11. @'en t'e &rice o" an( article or coo#it( is #eterine# $( statte) or $( at'orit( o" la%) an( &erson &a(in! an( aont in e8cess o" t'e a8i &rice allo%e# a( reco*er sc' e8cess. Art. 114. @'en t'e la% "i8es) or at'ori;es t'e "i8in! o" t'e a8i n$er o" 'ors o" la$or) an# a contract is entere# into %'ere$( a la$orer n#ertaes to %or lon!er t'an t'e a8i t's "i8e#) 'e a( #ean# a##itional co&ensation "or ser*ice ren#ere# $e(on# t'e tie liit. Art. 116. @'en t'e la% sets) or at'ori;es t'e settin! o" a ini %a!e "or la$orers) an# a contract is a!ree# &on $( %'ic' a la$orer acce&ts a lo%er %a!e) 'e s'all $e entitle# to reco*er t'e #e"icienc(. Art. 1,0. In case o" a #i*isi$le contract) i" t'e ille!al ters can $e se&arate# "ro t'e le!al ones) t'e latter a( $e en"orce#. Art. 1,1. T'e #e"ense o" ille!alit( o" contract is not a*aila$le to t'ir# &ersons %'ose interests are not #irectl( a""ecte#.

Art. 1,,. A contract %'ic' is t'e #irect reslt o" a &re*ios ille!al contract) is also *oi# an# ine8istent.