Introduction to the Law on Obligations

State Law (Positive Law)

State Law—also known as Positive, Municipal, or Imperative Law—consists of the obligatory rules established to govern societal relations and enforced by the state through physical force. For a rule to be considered State Law, it must possess four essential characteristics:

1. It must be a rule of conduct (addressing external acts).
2. It must be obligatory (imposing a duty).
3. It must be promulgated by legitimate authority (such as Congress).
4. It must be of common observance and benefit.

The Sources of Philippine Law

In the Philippine legal system, certain sources provide the authority for what is considered "law".

1. The Constitution: The supreme law of the land. All other laws must conform to it.
2. Legislation: Statutes and legal rules enacted by competent authorities.
3. Administrative Orders/Regulations: Rules issued by officials to implement or clarify specific laws.
4. Judicial Decisions (Jurisprudence): Rulings by the courts, primarily the Supreme Court, that interpret the law. These follow the doctrine of stare decisis, meaning higher court rulings bind subordinate courts.
5. Custom: Long-standing societal practices that are acknowledged as binding, provided they do not contradict law or public policy.

Exam Tip: The Conclusive Presumption of Knowledge One of the most important principles in legal application is Ignorantia legis neminem excusat—Ignorance of the law excuses no one from compliance. Because the law's force requires uniform enforcement, everyone is conclusively presumed to know it.

Classifications of Law

Law is categorized by its purpose and its subject matter to help legal professionals determine how a rule should be applied.

By Purpose

• Substantive Law: This creates, defines, and regulates rights and duties. For example, the Law on Obligations tells you that if you sign a contract to sell a car, you have a legal duty to deliver it.
• Adjective Law (Procedural Law): This prescribes the methods or procedures for enforcing rights and redressing violations. While substantive law tells you what your rights are, adjective law (like the Rules of Court) tells you how to go to court to enforce them.

By Subject Matter

• Public Law: Regulates the relationship between the state and the people (e.g., Criminal Law or Constitutional Law).
• Private Law: Regulates the relations between individuals for private ends (e.g., Civil Law or Commercial Law).

Essential Principles of Application

When applying these laws, two major principles guide the judiciary:

• Duty to Render Judgment: A judge or court cannot decline to decide a case simply because the law is silent, obscure, or insufficient.
• Rule of Interpretation: If there is doubt regarding the meaning of a law, it is always presumed that the lawmaking body intended for right and justice to prevail.

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Summary Table: Comparison of Law Types