WHAT HAPPENED? CHOOSE YOUR NEXT STEP
• You need to know if a contract binds — Run the seven-step checklist to identify issues and records to review.
• The other party has not performed — Identify the breach, proof and possible remedy. Start with the breach guide.
• You suspect the agreement is defective — Distinguish the defect and its legal effect. Compare contract defects.
• You want to offer property for a debt — Clarify the proposed credit and release. Prepare the dation worksheet.
Use this hub to determine whether an agreement binds, what happens when a party fails to perform, how an obligation is paid or extinguished, and which remedy fits the dispute.
Start here: Is This Contract Binding? Checklist · Valid Contract · Breach, Proof and Remedies · Void vs Voidable vs Unenforceable · Breach of Contract vs Quasi-Delict
If the other party does not perform: Can I Cancel for Non-Performance? · What Counts as a Substantial Breach? · Article 1191 Resolution · Specific Performance vs Resolution · Can I Cancel Without Going to Court? · Do I Need a Demand Letter? · Mutual Restitution · Can I Recover My Down Payment? · Can I Recover Attorney’s Fees? · How Long Do I Have to File?
Lease and rental disputes: Lease problems are contract disputes with special Civil Code and ejectment rules. Start with Lease Law in the Philippines and the Lease and Rental Disputes hub. For breach and termination, see landlord early termination and tenant early departure. For payment and deposit issues, see nonpayment of rent, security-deposit deductions, and deposit return.
Advanced breach questions: Both Parties Breach — Article 1192 · Seller Forfeiture After Buyer Breach · Delay as Substantial Breach · Contractual Cure Periods · Interest on Refund After Resolution · Use of Property After Resolution · Remedies When Performance Becomes Impossible
Sales and buyer-seller disputes: Start with the Sales and Property Purchases hub. Quick links: Buyer Fails to Pay · Seller Fails to Deliver · Earnest vs Down Payment vs Option Money · Buyer Refund After Cancelled Sale · Late Payment and Cancellation · Force Seller to Deliver · Sale vs Contract to Sell · Cash vs Installment Sale · Contract to Sell Cancellation
Sales special rules: Article 1482 Earnest Money · Missed Installments · Maceda Law · Recto Law · Developer Refunds · Resale After Cancellation · Seller Sells Same Property Twice · Article 1544 Double Sale · Land Area Discrepancies · Risk of Loss Before Delivery
Breach, demand and default: Demand Letter · Delay or Default · Unpaid Debt · Force Majeure
EVIDENCE OF THE DEBT
• No written loan agreement? — Review verbal-loan evidence.
• Have a promissory note? — Check the note’s terms and supporting records.
FACING CREDIT-CARD COLLECTION
• Facing credit-card collection? — Start with the guide to checking the balance, demands, court papers and repayment options.
Payment: Valid Payment · Wrong Recipient · Application of Payments · Third-Party Payment · Tender and Consignation
Other ways obligations change or end: Dation in Payment · Compensation or Setoff · Novation · Remission · Joint vs Solidary
Interest and penalties: Legal Interest · Excessive Interest · Penalty Clauses
Contract remedies and damages: Choose a Remedy · Specific Performance · Article 1191 Resolution · Actual Damages · Temperate Damages · How Damages Are Calculated · Liquidated Damages · Mitigation · Attorney’s Fees · Prescription
Ending or challenging a contract: Rescission vs Resolution · Cancelling After Signing · Oral Agreements
Statutory basis: Civil Code, Book IV (Articles 1156–2141), read with applicable special laws. See Book IV — Obligations and Contracts.Property contracts: For title, ownership and due-diligence questions that sit behind a sale or contract dispute, use the Property and Ownership hub, How to Verify a Land Title, and the Deed of Sale Checklist.
Quick answers: See the Obligations and Contracts FAQ for short, cited answers to the most common questions in this hub.
No. A Philippine landlord cannot lawfully force out a tenant who refuses to leave without going to court. Article 536 of the Civil Code says a person who believes they have a right to take a thing from its holder “must invoke the aid of the competent court” if the holder refuses to give it…
Quick answer: The landlord is generally responsible for necessary repairs that keep the leased property suitable for its intended use, unless the lease validly provides otherwise. The tenant is responsible for using the property with proper care and may be liable for damage caused by misuse or negligence. Gather the lease, photos and repair records…
Generally, no. While a lease is running, the tenant is the lawful possessor of the unit, and the landlord must “maintain the lessee in the peaceful and adequate enjoyment of the lease for the entire duration of the contract” (Civil Code, Art. 1654(3)). A landlord may enter with the tenant’s consent, as the lease allows,…
Quick answer: Generally, no. In the Philippines, a landlord cannot raise the rent in the middle of a lease on their own unless the lease itself allows it, because a contract “has the force of law between the contracting parties” and its compliance “cannot be left to the will of one of them” (Civil Code,…
When must a security deposit be returned and what can a landlord deduct? Philippine rules on RA 9653 limits, wear and tear, interest and refund disputes.
Quick answer: Nonpayment of rent can support termination and judicial ejectment, but the landlord should document the arrears, make the required demand, and use the proper legal process. The exact rules depend on the lease and whether the residential unit is covered by current rent-control regulation. Nonpayment is a recognized ground for ejectment Article 1673…
A tenant can physically leave before a fixed-term lease ends, but leaving does not automatically erase the tenant’s contractual obligations. Whether rent remains due, the deposit may be applied, or damages may be claimed depends on the lease, the reason for leaving, and whether the landlord also breached the lease. Who is ending the lease?…
A landlord cannot normally end a fixed-term lease early just because the landlord changes their mind. Early termination usually needs a contractual termination ground, a material breach by the tenant, or another legal ground. The exact answer depends on the lease wording and whether special residential rent-control rules apply. Who is ending the lease? I…
Direct answer: If the thing sold is lost or damaged after the sale is perfected but before delivery, Philippine law usually puts the loss on the seller unless the contract allocates the risk differently, the buyer was already in delay, or (for goods) ownership had already passed to the buyer. For a determinate thing lost…
When the same seller sells the same property to two buyers, Article 1544 decides who owns it: for land, the buyer who first registers in good faith; then the first possessor in good faith; then the oldest title in good faith.