CW2 Report in Novation.pptx

7/26/2019 CW2 Report in Novation.pptx

http://slidepdf.com/reader/full/cw2-report-in-novationpptx 1/9

Section 6

NOVATION

Presented by:

Dela Rea, KimmiNavales, Reihnier



Deinition o Terms

Novation ! the act of either, replacing an obligation toperform with a new obligation or replacing a party to anagreement with a new party.

Inc"rred ! To become liable or subject to through one’s ownaction.

#ne$"ivocal ! Expressed in a clear and certain way



Article %&'%

Obli(ations may be modiied by:

)%* +han(in( their obect or -rinci-al conditions.

)&* S"bstit"tin( the -erson o the debtor.

)/* S"bro(atin( a third -erson in the ri(hts o the

creditor0 )%&1/*



Article %&'&

In order that an obli(ation may be e2tin("ished by

another 3hich s"bstit"tes the same, it is im-erative that

it be so declared in "ne$"ivocal terms, or that the old

and the ne3 obli(ations be on every -oint incom-atible

3ith each other0 )%&14*



Article %&'/

Novation 3hich consists in s"bstit"tin( a ne3 debtor

in the -lace o the ori(inal one, may be made even

3itho"t the 5no3led(e or a(ainst the 3ill o the latter,

b"t not 3itho"t the consent o the creditor0 Payment by

the ne3 debtor (ives him the ri(hts mentioned in articles%&/6 and %&/0 )%&17a*



Article %&'4

I the s"bstit"tion is 3itho"t the 5no3led(e or a(ainst

the 3ill o the debtor, the ne3 debtor8s insolvency or non!

"lillment o the obli(ation shall not (ive rise to any

liability on the -art o the ori(inal debtor0



Problems

%0 T )third -erson* tells + )creditor* that T 3ill -ay the

debt o D )debtor*0 + a(rees0 Is D released rom his

obli(ation to +9

&0 S"--ose in the above -roblem, D -ro-osed to + that T3o"ld s"bstit"te D as the ne3 debtor to 3hich +

a(reed0 Is D still liable to + in case o insolvency o

T9

*Insolvency - the state of being unable to pay the money owed, by a person or

company, on time



Ans3er to Problem %



Ans3er to Problem &

Documents

CW2 Report in Novation.pptx