Classification of contract as to cause

Cause is the essential and impelling reason why a party assumes an obligation. The following are the classification of contracts according to cause:

Onerous or one the cause of which is the undertaking or the promise of the thing or service by the other party.

Renumeratory or one the cause of which is the service or benefit which is remunerated.

Gratuitous or one the cause of which is the mere liberality of the benefactor.

Popular Posts