What is a resolutory condition?
Article 1181 of the Civil Code of the Philippines provides:
A resolutory condition (condition subsequent) extinguishes the obligation upon its fulfillment. The obligation is
demandable at once, without prejudice to the
effects of the happening of the event.[1] Before the fulfillment of a resolutory condition, the preservation of creditor's rights applies.[2] After the fulfillment of a resolutory condition, Whatever may have
been paid or delivered by
one or both of the parties
upon the constitution of
the obligation shall have
to be returned upon the
fulfillment of the condition
[3].
There is no return to the
status quo. However,
when the condition is not
fulfilled, rights are
consolidated and they
become absolute in
character.
ART. 1181. In conditional obligations, the acquisition of rights, as well as the extinguishment or loss of those already acquired, shall depend upon the happening of the event which constitutes the condition. (1114)
A resolutory condition (condition subsequent) extinguishes the obligation upon its fulfillment. The obligation is
demandable at once, without prejudice to the
effects of the happening of the event.[1] Before the fulfillment of a resolutory condition, the preservation of creditor's rights applies.[2] After the fulfillment of a resolutory condition, Whatever may have
been paid or delivered by
one or both of the parties
upon the constitution of
the obligation shall have
to be returned upon the
fulfillment of the condition
[3].
There is no return to the
status quo. However,
when the condition is not
fulfilled, rights are
consolidated and they
become absolute in
character.[1] Paragraph 2, Article 1179, Civil Code.
[2] Paragraph 1, Article 1188, Civil Code.
[3] Paragraph 1, Article 1190, Civil Code.
