Application of Payments: Which Debt Does Your Payment Cover?
When several debts exist, learn who chooses which debt is paid and how Articles 1252–1254 allocate an undesignated payment.
When several debts exist, learn who chooses which debt is paid and how Articles 1252–1254 allocate an undesignated payment.
Understand when payment to someone other than the creditor is valid, when it benefits the creditor, and what the debtor must prove.
Learn when payment legally extinguishes an obligation, what counts as complete performance, and which records protect both debtor and creditor.
Learn when an unforeseen event may excuse contractual nonperformance, the required elements, exceptions, proof and practical response steps.
What a creditor must prove to collect an unpaid debt in the Philippines: evidence checklist, demand, interest and penalty computation, and the defenses that can defeat or reduce the claim.
Learn when a signed contract may be cancelled, resolved or annulled, when mutual consent is needed, and what happens to payments and property.
Learn when oral contracts are binding, how the Statute of Frauds applies to executory agreements, and what evidence can prove the deal.
Compare void, voidable and unenforceable contracts, who may challenge or ratify them, and what evidence and deadlines matter.
Learn the difference between resolution for substantial breach under Article 1191 and rescission for lesion or prejudice under Articles 1380–1389.
Understand when legal delay begins under Article 1169, when demand is unnecessary, and what consequences and evidence matter.