Requisites of Negotiorum Gestio:

1. The gestor must voluntarily assume the agency or management of the business or
property of another.

2. The business or property must be either neglected or abandoned.

3. The agency or management must not be authorized by the owner either expressly or
impliedly.

4. The assumption of the the agency or management must be made in good faith.

Requistes of Solutio Indebiti:

1. Something has been received when there was no right to demand it

2. The same was unduly delivered through mistake.

The officious manager (Gestor) shall be liable for any fortuitous event:

a.) if he undertakes risky operations which the owner was not accustomed to embark
upon

b.) if he has preferred his own interest to that of the owner

c.) if he fails to return the property or business after demand by the owner

d.) if he assumed the management in bad faith (Art 2147)

e.) Except when the management was assumed to save the property or business from
imminent danger- i. if he is manifestly unfit to carry the management ii. if by his
intervention, he prevented a more competent person from taking up the management
(Art 2148)

Modes of Extinguishment of Negotiorium Gestio:

Art 2153. The management is extinguished:

1. When the owner repudiates it or puts an end thereto;

2. When the officious manager withdraws from the management, subect to the
provisions of Art 2144;
3. By the death, civil interdiction, insanity, or insolvency of the owner or the officious
manager.

Who are the persons liable for the negligence of others?

Art. 2180. The obligation imposed by Article 2176 is demandable not only for one’s own
acts or omissions, but also for those of persons for whom one is responsible.

The father and, in case of his death or incapacity, the mother, are responsible for the
damages caused by the minor children who live in their company.

Guardians are liable for damages caused by the minors or incapacitated persons who are
under their authority and live in their company.

The owners and managers of an establishment or enterprise are likewise responsible for
damages caused by their employees in the service of the branches in which the latter
are employed or on the occasion of their functions.

Employers shall be liable for the damages caused by their employees and household
helpers acting within the scope of their assigned tasks, even though the former are not
engaged in any business or industry.

The State is responsible in like manner when it acts through a special agent; but not
when the damage has been caused by the official to whom the task done properly
pertains, in which case what is provided in Article 2176 shall be applicable.

Lastly, teachers or heads of establishments of arts and trades shall be liable for damages
caused by their pupils and students or apprentices, so long as they remain in their
custody.

The responsibility treated of in this article shall cease when the persons herein
mentioned prove that they observed all the diligence of a good father of a family to
prevent damage. (1903a)

When may moral damages be awarded?

Moral damages include the “physical suffering, mental anguish, fright, serious anxiety,
besmirched reputation, wounded feelings, moral shock, social humiliation, and similar
injury.”

[1] While they cannot be specifically known as to the amount or

compensation/recompense, moral damages may be recovered in a case once it is shown
that they are the “proximate result” of the defendant’s wrongful act or omission.
 Also [Moral damages may be recovered in the following and analogous cases: (1) A
criminal offense resulting in physical injuries; (2) Quasi-delicts causing physical injuries;
(3) Seduction, abduction, rape, or other lascivious acts; (4) Adultery or concubinage; (5)
Illegal or arbitrary detention or arrest; (6) Illegal search; (7) Libel, slander or any other
form of defamation; (8) Malicious prosecution; (9) Acts mentioned in Article 309; (10)
Acts and actions referred to in Articles 21, 26, 27, 28, 29, 30, 32, 34, and 35 (Article
2219, Ibid.).

EXTENT OF LIQUIDATED DAMAGES:

Art. 2226: Those agreed upon by the parties in a contract, to be paid in case of breach
thereof.

Art. 2227: Liquidated damages, whether intended as an indemnity or a penalty, shall

equitably reduced if they are iniquitous or unconscionable.

Art. 2228. When the breach of the contract committed by the defendant is not the one
contemplated by the parties in agreeing upon the liquidated damages, the law shall
determine the measure of damages, and not the stipulation.

Characteristics of liquidated damages:

1. agreed upon by the parties in a contract

2. its essence is a genuine covenanted pre-estimate of damages
3. the injured party need not prove his damages in order that the sum stipulated may be
demanded
4. should the principal obligation be void, the stipulation on liquidated damages shall
also be void
5. purpose is to prevent breach of obligations between the contracting parties
6. can be reduced if they are inequitably iniquitous or unconscionable

What are the requisites of quasi-delict?

(a) there must be an act or omission;

(b) such act or omission causes damage to another;

(c) such act or omission is caused by fault or negligence; and

(d) there is no pre-existing contractual relation between the parties. (Chan, Jr. v. Iglesia
Ni Cristo, Inc., G.R. No. 160283, October 14, 2005)
Definitions:

Res ipsa loquitur is a rule of necessity and it applies where evidence is absent or not
readily available, provided the following requisites are present:
(1) the accident was of a kind which does not ordinarily occur unless someone is
negligent;

(2) the instrumentality or agency which caused the injury was under the exclusive
control of the person charged with negligence; and

(3) the injury suffered must not have been due to any voluntary action or contribution
on the part of the person injured. x x x. (D. M. CONSUNJI, INC. vs. CA)

Proximate Cause - The cause, which, in natural and continuous sequence, unbroken by
any efficient intervening cause, produces the injury, and without which the result would
not have occurred.

Contributory Negligence - Conduct on the part of the injured party, contributing as a

legal cause to the harm he has suffered, which falls below the standard, which he is
required to conform for his own protection. Thus there is contributory negligence when
the party's act showed lack of ordinary care and foresight that such act could cause him
harm or put his life in danger.

Imputed Negligence - Negligence is imputed if the actor is different from the person
who is being made liable. Examples of imputed negligence: 1. Employers who are made
liable for the negligent acts of their agents or employees and 2. Parents who are made
liable for the negligent acts of their children.

Doctrine of Discovered Peril - The doctrine [holding] that where both parties are
negligent, but the negligent act of one is appreciably later in time than that of the other,
or when it is impossible to determine whose fault or negligence should be attributed to
the incident, the one who had the last clear opportunity to avoid the impending harm
and failed to do so is chargeable with the consequences thereof. [See Picart v. Smith, 37
Phil. 809].