Republic of the Philippines
CAMARINES SUR POLYTECHNIC COLLEGES
                                Nabua, Camarines Sur
                            COLLEGE OF HEALTH SCIENCES
                                    S/Y 2024-2025
          WHAT IS A CONTRACT?                    Example: obligation to pay taxes and
                                                 obligation to support one’s family
- Article 1305 gives the general definition of
                                                 (2) Contracts; when they arise from the
contracts: "A contract is a meeting of minds
                                                 stipulations of the parties.
between two persons whereby one binds
                                                 Example: obligation to repay a loan by
himself, with respect to the other, to give
                                                 virtue of an agreement
something or to render some service." In
                                                 (3) Quasi-contracts; when they arise from
addition to these general rules on contracts,
                                                 lawful, voluntary and unilateral acts which
specific provisions are laid down regarding
                                                 are enforceable to the end that no one shall
trusts (art. 1440), sales (art. 1458), lease
                                                 be unjustly enriched or benefited at the
(art. 1642).
                                                 expense of another.
- It requires three elements namely:
                                                 Example: obligation to return money paid
      Parties          must          manifest
                                                 by mistake or which is not due
         their consent to be bound by the
                                                 (4) Acts or omissions punished by law;
         contract by making and accepting an
                                                 when they arise from civil liability which is
         offer.
                                                 the consequences of a criminal offense.
      The product or service which is
                                                 Example: obligation of the thief to return
         the object of the contract must be
                                                 the car stolen by him/her.
         within the commerce of man and is
                                                 (5) Quasi-delicts. when they arise from
         not contrary to law, morals, good
                                                 damage caused to another through an act
         customs, public order, and public
                                                 or omission, there being fault or negligence,
         policy.
                                                 but no contractual relation exists between
      There        must     be     a cause or
                                                 the parties.
         consideration, which the Philippine
                                                 Example: obligation of the possessor of an
         Supreme Court defines as “the
                                                 animal to pay for the damages which it may
         essential reason which moves the
                                                 have caused.
         contracting parties to enter into the
         contract.”
                                                 “Article 1158. Obligations derived from law
         WHAT IS AN OBLIGATION?                  are not presumed. Only those expressly
                                                 determined in this Code or in special laws
- According to Article 1156, an obligation is
                                                 are demandable, and shall be regulated by
a juridical necessity to give, to do or not to
                                                 the precepts of the law which establishes
do. (n) Article 1157. Obligations arise from:
                                                 them; and as to what has not been
(1) Law; wherein they are imposed by law         foreseen, by the provisions of this Book.
itself.                                          (1090).”
                        NCM 119: NURSING JURISPRUDENCE
                           Carl Andre S. Reyes BSN-4C
                               Republic of the Philippines
                        CAMARINES SUR POLYTECHNIC COLLEGES
                                Nabua, Camarines Sur
                            COLLEGE OF HEALTH SCIENCES
                                    S/Y 2024-2025
“Article 1159. Obligations arising from          2. Statutory Rights: These are rights
contracts have the force of law between the      established by specific laws passed by the
contracting parties and should be complied       legislative body, such as labor rights,
with in good faith. (1091a) “                    consumer rights, and privacy rights.
“Article 1160. Obligations derived from          3. Natural Rights: These are inherent rights
quasi-contracts shall be subject to the          believed to be based on human nature or
provisions of Chapter 1, Title XVII, of this     moral principles, and are often cited as
Book. (n) “                                      universal or inalienable rights, like the right
“Article 1161. Civil obligations arising from    to dignity and equality.
criminal offenses shall be governed by the
                                                  WHAT IS A CONTRACT AND AGREEMENT
penal laws, subject to the provisions of
                                                             DISTINGUISHED?
article 2177, and of the pertinent provisions
of Chapter 2, Preliminary Title, on Human        CONTRACT:
Relations, and of Title XVIII of this Book,         A contract is a formal, legally binding
regulating damages. (1092a) “                         agreement made between two
“Article 1162. Obligations derived from               parties with a common interest in
quasi-delicts shall be governed by the                mind. This creates “mutual
provisions of Chapter 2, Title XVII of this           obligations that are enforceable by
Book, and by special laws. (1093a)”                   law.”
                                                    In nearly all cases when a contract is
             WHAT IS A RIGHT?
                                                      formed, the arrangement begins
- generally defined as a legal, moral, or             with an offer and then several other
natural entitlement that a person has to              key elements must be satisfied to
perform certain actions, enjoy certain                codify the contract.
benefits, or be protected against certain           Is only legally enforceable
harms. It establishes a just claim that can be      Has to create some legal obligation
enforced by law and often corresponds with          All contracts are also agreements
duties or obligations on the part of others to
                                                 AGREEMENT:
respect or uphold that right.
                                                    a similarly engineered deal between
Rights are classified into categories                 parties with a common interest, but
including:                                            it does not rise to the same level of
1. Constitutional Rights: These are rights            legal enforceability that a contract
guaranteed by the Philippine Constitution,            does. As such, an agreement is
such as the right to life, liberty, and               simply the “manifestation of mutual
property, as well as freedoms of speech,              assent by two or more persons to
religion, and assembly.                               one another.” This “meeting of the
                       NCM 119: NURSING JURISPRUDENCE
                          Carl Andre S. Reyes BSN-4C
                              Republic of the Philippines
                       CAMARINES SUR POLYTECHNIC COLLEGES
                               Nabua, Camarines Sur
                           COLLEGE OF HEALTH SCIENCES
                                   S/Y 2024-2025
     minds” indicates common intentions           Limitations by law - Stipulations in a
     and is expressed through an offer             contract must not be in violation of
     and an acceptance.                            mandatory and prohibitory laws,
    Socially accepted agreements may              unless the law itself authorizes the
     not be legally enforceable                    validity of such acts. A rule, an
    Does not create any legal obligations         existing law enters and into and
    An agreement may or may not be a              forms part of a valid contract
     contract.                                     without the need for the parties
                                                   expressly making reference to it.
      WHAT IS A WORK CONTRACT?
                                                  Limitations by Morals - Morals refer
- also called as an “Employment Contract”,         to norms of conduct universally
an agreement whereby an employee would             accepted as rules not based on law
                                                   but on principles of morality.
render      services  in    exchange     for
                                                   Morality in turn is based on man’s
compensation to be paid by the employer.
                                                   faculty of knowing how to
- An employment contract is consensual and         distinguish between what is right
voluntary. It only requires mutuality of           from what is wrong.
consent between the parties. Generally,           Limitations by Good Customs -
employment contracts do not need to be in          Good customs refer to the generally
writing, except when the law or rules              accepted principles of morality
                                                   which have received some social and
require. For instance, an employment
                                                   practical     recognition      in   the
contract between a contactor/subcontractor         community for a long period of time.
and its employees must be in writing               Thus, contracts which have immoral
pursuant to an administrative rule currently       aims are contrary to good customs.
in force.                                         Limitations by Public Order - Public
                                                   order refers to public safety of the
   WHAT IS A FREEDOM OF CONTRACT?                  people       which     includes     the
                                                   maintenance of peace and order
- The freedom of contract is both a
                                                   both in the entire country and in a
constitutional and statutory right. Article        particular community.
1306 states that the contracting parties may      Limitations by Public Policy - Public
establish such stipulations, clauses, terms        policy is the express will of the State.
and conditions as they may deem                    A contract is contrary to public
convenient, provided they are not contrary         policy if it has a tendency to injure
to law, morals, good customs, public order,        the public, is against the public
                                                   good,      or    contravene       some
or public policy.
                                                   established interest of society, or
Limitations of which Parties may establish         tends clearly to undermine the
Stipulations of the Contract:
                      NCM 119: NURSING JURISPRUDENCE
                         Carl Andre S. Reyes BSN-4C
                                Republic of the Philippines
                         CAMARINES SUR POLYTECHNIC COLLEGES
                                 Nabua, Camarines Sur
                             COLLEGE OF HEALTH SCIENCES
                                     S/Y 2024-2025
       security of the individuals (Gabriel vs   Civil Code of the Philippines, specifically
       Monte de Piedad 71 Phil 500).             Title II, which defines their nature,
                                                 requisites, and classifications.
 WHAT ARE THE STAGES OF A CONTRACT?
                                                 1. Unilateral and Bilateral Contracts: A
- A contract has three distinct stages:
                                                 unilateral contract is where only one party
1. Preparation or negotiation                    has an obligation to perform, while a
- begins when the prospective contracting        bilateral contract obligates both parties to
parties manifest their interest in the           perform certain duties.
contract and ends at the moment of their
                                                 2. Onerous and Gratuitous Contracts: In
agreement.
                                                 onerous contracts, both parties exchange
2. Perfection or birth of the contract
                                                 valuable consideration. On the other hand,
- occurs when they agree upon the essential
                                                 a gratuitous contract is one where only one
elements thereof.
                                                 party, benefits, without a return obligation.
3. Consummation
- the last stage, occurs when the parties        3. Nominate and Innominate Contracts:
fulfill or perform the terms agreed upon in      Nominate       contracts  are     specifically
the      contract,   culminating    in  the      regulated by law, such as sales, lease, or
extinguishment thereof.                          agency contracts. Innominate contracts are
                                                 those that do not have a specific name
WHAT ARE THE ESSENTIAL REQUISITES OF
                                                 under the law, yet they can still be valid as
           A CONTRACT?
                                                 long as they comply with the essential
- Article 1318. There is no contract unless      requisites of a contract.
the following requisites concur:
                                                 1. As to Form
(1) Consent of the contracting parties;
                                                       Consensual Contracts: These are
(2) Object certain which is the subject
                                                        perfected by mere consent (e.g.,
matter of the contract;
                                                        contracts of sale or lease).
(3) Cause of the obligation which is
established.                                           Real Contracts: Require the delivery
                                                        of the object to be perfected (e.g.,
  https://jurisdoctor1a.wordpress.com/                  pledge, deposit, or commodatum).
2019/04/03/chapter-2-essential-requisites-
                                                       Formal or Solemn Contracts:
               of-contracts/
                                                        Require a specific form for validity
  WHAT ARE THE KINDS OF CONTRACTS?                      (e.g., donation of immovable
                                                        property, marriage contracts).
                        NCM 119: NURSING JURISPRUDENCE
                           Carl Andre S. Reyes BSN-4C
                               Republic of the Philippines
                        CAMARINES SUR POLYTECHNIC COLLEGES
                                Nabua, Camarines Sur
                            COLLEGE OF HEALTH SCIENCES
                                    S/Y 2024-2025
2. As to Cause or Purpose                            Preparatory Contracts: Entered into
                                                      as a preliminary step to facilitate the
      Onerous Contracts: Involves a
                                                      execution of another contract (e.g.,
       reciprocal obligation where both
                                                      agency).
       parties receive an equivalent benefit
       (e.g., a contract of sale).                   Principal Contracts: Independent
                                                      contracts that do not depend on
      Gratuitous Contracts: Only one
                                                      others for existence (e.g., sale).
       party benefits, and the other does
       not receive an equivalent return              Accessory Contracts: Dependent on
       (e.g., donation).                              a principal contract (e.g., mortgage,
                                                      pledge).
      Remuneratory Contracts: A benefit
       is given as compensation for a past     6. As to Enforcement
       service (e.g., contracts to reward a
                                                     Valid Contracts: Meet all the
       past act).
                                                      essential requisites for validity (e.g.,
3. As to Nature of Obligation                         consent, object, cause).
      Unilateral Contracts: Only one party          Voidable Contracts: Have a defect in
       is obligated to fulfill an obligation          consent, making them rescindable
       (e.g., donation).                              (e.g., contracts entered into by
                                                      minors).
      Bilateral Contracts: Both parties are
       bound by mutual obligations (e.g.,            Void Contracts: Lacks essential
       contracts of sale).                            requisites or involves an unlawful
                                                      object or cause (e.g., illegal
4. As to Parties' Relationship
                                                      agreements).
      Nominate Contracts: Specifically
                                                     Unenforceable Contracts: Cannot be
       named and regulated by law (e.g.,
                                                      enforced due to a defect in form or
       sale, lease, partnership).
                                                      representation (e.g., oral
      Innominate Contracts: Not                      agreements required to be in writing
       specifically named but are valid               under the Statute of Frauds).
       under the principle "The contract
                                                     Rescissible Contracts: Valid but may
       serves as the law between the
                                                      be rescinded due to prejudice to
       parties" (e.g., "do ut des" – I give
                                                      third parties or the contracting
       that you may give).
                                                      parties (e.g., contracts made during
5. As to Perfection                                   insolvency
                       NCM 119: NURSING JURISPRUDENCE
                          Carl Andre S. Reyes BSN-4C
                                Republic of the Philippines
                         CAMARINES SUR POLYTECHNIC COLLEGES
                                 Nabua, Camarines Sur
                             COLLEGE OF HEALTH SCIENCES
                                     S/Y 2024-2025
   WHAT ARE SPECIAL OF CONTRACTS?                 a movable property to a creditor as security
                                                  for the payment of an obligation. It is
- A contract that is signed and has the (wax)
                                                  governed by Articles 2085 to 2092 of the
seal of the signer attached to the special
                                                  Civil Code of the Philippines. The creditor
contract.
                                                  holds the pledged property as collateral and
1. Contract of Indemnity is an agreement          has the right to dispose of it if the debtor
where one party promises to compensate            fails to fulfill their obligation.
another for losses, damages, or liabilities
                                                  5. A marriage contract is a legal document
arising from a specified event or obligation.
                                                  and agreement between two parties,
The contract is founded on the principle of
                                                  solemnized in accordance with the Family
restoring the party suffering the loss to their
                                                  Code of the Philippines, which governs
original position as far as possible.
                                                  marriages. It signifies the lawful union of a
2. A Contract of Guarantee is an agreement        man and a woman, creating mutual rights
where a third party, known as the                 and obligations between them as spouses
guarantor, binds themselves to ensure the         and, if applicable, as parents to their
fulfillment of an obligation by the principal     children.
debtor. If the debtor fails to meet their
                                                              WHAT IS DU UT DES?
obligations, the guarantor becomes liable to
the creditor. This type of contract is            - Du ut des" is a Latin phrase meaning "I
governed by the Civil Code of the                 give so that you may give." In legal terms, it
Philippines under Articles 2047 to 2084.          refers to an agreement or contract where
                                                  one party gives something to another in
3. A contract of bailment refers to a
                                                  exchange for something else. This principle
contract of deposit or commodatum, which
                                                  underlies the idea of reciprocity and is
involves the delivery of an object by one
                                                  foundational to bilateral contracts in many
party (the bailor) to another (the bailee) for
                                                  legal systems, including Philippine law.
a specific purpose, under the condition that
                                                  In the context of Philippine law, the
the object will be returned or otherwise
                                                  principle of du ut des is implicitly applied in
dealt with as agreed. While the Civil Code of
                                                  contracts governed by the Civil Code of the
the Philippines does not explicitly use the
                                                  Philippines, particularly in onerous
term "bailment," it embodies its principles
                                                  contracts where both parties are expected
in Articles 1933 to 1954 under contracts of
                                                  to perform reciprocal obligations.
loan (commodatum) and Articles 1962 to
2009 under contracts of deposit.                            WHAT IS DU UT FACIAS?
4. A contract of pledge is a type of              - The phrase "Du ut facias" is a Latin term
accessory contract where a debtor delivers        meaning "I give so that you may do" and is
                        NCM 119: NURSING JURISPRUDENCE
                           Carl Andre S. Reyes BSN-4C
                               Republic of the Philippines
                        CAMARINES SUR POLYTECHNIC COLLEGES
                                Nabua, Camarines Sur
                            COLLEGE OF HEALTH SCIENCES
                                    S/Y 2024-2025
recognized in legal principles as a form of      obligations of both parties are reciprocal—
contractual relationship. It describes a         each party does something in exchange for
situation where one party provides               the other’s performance of an obligation.
something (e.g., money, goods) in exchange
for the performance of a service or an act
by the other party.
In Philippine law, the principle of du ut
facias applies to onerous contracts and is
particularly evident in contracts for services
under the Civil Code of the Philippines.
          WHAT IS FACIO UT DES?
- "Facio ut des" is a Latin phrase meaning "I
do so that you may give." It describes a
type of contractual relationship where one
party performs an act or service in exchange
for something given by the other party.
In Philippine law, the principle of facio ut
des applies to agreements and contracts
where the performance of an act (a service
or obligation) is exchanged for the delivery
of goods or payment. This principle is most
evident in contracts for hire of services and
other onerous bilateral contracts governed
by the Civil Code of the Philippines.
        WHAT IS FACIO UT FACIAS?
"Facio ut facias" is a Latin phrase meaning
"I do so that you may do". In legal terms, it
refers to a contractual relationship in which
one party performs an act or provides
something to the other party with the
expectation that the other party will
perform a similar act or service in return.
In Philippine law, this principle applies
primarily in bilateral contracts where the
                       NCM 119: NURSING JURISPRUDENCE
                          Carl Andre S. Reyes BSN-4C