Articles 37,38 and 39

By : Rossville “Aeron” B. Violanta

CIVIL PERSONALITY

Art. 37. Juridical capacity, which is the fitness to be the subject of legal relations, is inherent in every natural person and is lost only through death. Capacity to act, which is the power to do acts with legal effect, is acquired and may be lost.

Kinds of Capacity. – Capacity may be (1) juridical capacity, and (2) capacity to act. The union of these two forms the full civil capacity.

*Juridical capacity is synonymous to legal capacity and to personality. These terms are, therefore, used interchangeably in the law. They all refer to the aptitude for the holding and enjoyment of rights. Juridical capacity is indivisible, irreducible, and essentially the same for all men; it is an inherent and ineffaceable attribute of man, and attaches to him by the mere fact of his being a man. It is acquired upon birth and there are some cases that even the child is still unborn he is already given provisional personality and it is terminated upon death.

* Capacity to act is the aptitude for the exercise of rights, and is often referred to merely as “capacity.” In this sense, it is broadly defined as “the ability, power, qualification, or competency of persons, natural or artificial, for the performance of civil acts depending on their state or condition (status) as defined or fixed by law”. Capacity to act is conditional and variable. It is acquired and may be lost. The mere existence of a man is not sufficient to confer capacity to act, because this capacity requires both intelligence and will; and since these are not always present in all men, nor are they always of the same degree, the law in some cases denies this capacity and in others limits it.

            Juridical capacity can exist without the capacity to act, but the existence of the latter implies that of the former. They do not always coincide.

Art. 38. Minority,insanity or imbecility, the state of being a deaf-mute, prodigality and civil interdiction are mere restrictions on capacity to act, and do not exempt the incapacitated person from certain obligations, as when the latter arise from his acts or from property relations, such as easements.

Case Digest

 The causes of incapacity enumerated in this article are minority, insanity or imbecility, the state of being a deaf-mute, prodigality, and civil interdiction. However, these are not the only causes of incapacity. Some of them are mentioned in the next article, such as family relations, alienage, absence, insolvency, and trusteeship. Others are to be found in the Rules of Court and other legal provisions.

*Minority. – The age of majority commences upon the attainment of the age of 18 years (R.A. 6809); a person bellow such age is a minor, and has a limited capacity to act. The unemancipated minor cannot enter into contracts; but he may be estopped from disavowing his contract if he has misled the other party as to his age.

The mere fact that one month after the execution of the contract, the minor informed the other contracting party of his minority, does not affect the case; such subsequent information is of no moment, because his previous misrepresentation has already estopped him from disavowing the contract.

*Insanity or Imbecility. – Insanity includes the various forms of mental disease, either inherited or acquired, in which there is a perversion of the mentality, as when the person is suffering from illusions, hallucinations, or delusions, unnatural exaltation or depression, or insane ideas of persecution or power. Various phases of insanity are known as dementia praecox, paranoia, schizophrenia, mania, melancholia, etc. It is a manifestation, in language or conduct, of disease or defect of the brain, or a more or less permanently diseased or disordered condition of the mentality, functional or organic, characterized by perversion, inhibition, or disordered function of the sensory or of the intellective faculties, or by impaired or disordered volition.

An insane person cannot make a valid will or testament and he cannot validly give consent to contracts.

*Deaf-Mutism. – The old rule that a deaf-mute was presumed to be an idiot no longer prevails; such persons are now considered as capable of entering into contracts if shown to have sufficient mental capacity. A deaf-mute can make a valid will, so long as its contents have been communicated or made known to him in some practicable manner. But when the deaf-mute does not know how to read and write, he cannot give consent to contracts and he cannot personally accept or repudiate an inheritance.

*Civil Interdiction. – is the legal restrain upon a person incapable of managing his, estate because of mental incapacity from signing any deed. Civil interdiction is an accessory penalty imposed upon persons who are sentenced to a principal penalty not lower than reclusion temporal (article 41, Revised Penal Code), which is a penalty ranging from twelve years and one day to twenty years.

Article 34 of the Revised Penal Code provides: “Civil interdiction shall deprive the offender during the time of his sentence of the rights of parental authority, or guardianship, either as to the person or property of any ward, of marital authority, of the right to manage his property, and of the right to dispose of such property by any act or any conveyance inter vivos.”

*Prodigality. – A spendthrift or prodigal is a “person who, by excessive drinking, gambling, idleness or debauchery of any kind shall so spend, waste or lessen his estate as to expose himself or his family to want or suffering” . The acts of prodigality must show a morbid state of mind and disposition to spend, waste and lessen the estate to such an extent as is likely to expose the family to want of support, or to deprive the compulsory heirs of their legitime.

Prodigality in itself does not limit the capacity of a person to act. He may enter into contracts and make wills disposing of his property. There is no specific provision which incapacitates him for any particular act. But he may be placed under guardianship as an incompetent under the provisions of Rule 93, section 2, of the Rules of Court. The moment he is under guardianship, his capacity to act is restricted, because he can only bind himself by contract through his guardian.

Art. 39. The following circumstances, among others, modify or limit capacity to act : age, insanity, imbecility, the state of being a deaf-mute, penalty, prodigality, family relations, alienage, absence insolvency and trusteeship. The consequences of these circumstances are governed in this Code, other codes, the Rules of Court, and in special laws. Capacity to act is not limited on account of religious belief or political opinion.

A married woman, eighteen years (previously twenty-one, as amended by R.A. 6809) of age or over, is qualified for all acts of civil life, except in cases specified by law.

Some of the circumstances mentioned in the present article as modifying or limiting capacity to act are already given in the preceding article.

*Family Relations. – Certain family relations limit the capacity of persons for some juridical acts. Ascendants and descendants, brothers and sisters, and collateral relatives within the fourth civil degree (as cousins), cannot validly marry; their marriage would be incestuous or against public policy and void. Husband and wife, during the marriage, cannot give donations to each other were limited by previous constitutions.

*Alienage or Citizenship. – Citizenship may affect the right of persons in matters where the State may validly discriminate between aliens and its citizens for reasons of public policy, without doing violence to the equal protection of the laws. Some of the limitations on the rights of aliens are imposed by the Constitution, and others by statute.

* Absence. – A person is absent when he disappears from his domicile, and his whereabouts are unknown. He cannot properly administer his properties, and so another person is appointed to administer them. Continued absence may even give rise to the presumption of his death (article 390). However, the absentee may be alive somewhere, and, if not otherwise incapacitated, his acts in such other place are perfectly valid. He can even alienate his properties without the knowledge of those who administer them in his domicile, and the alienation would be valid to confer title upon the grantee.

*Insolvency and Trusteeship. – When a person has been adjudicated as an insolvent, his capacity to dispose of his property becomes limited. He cannot dispose of his property existing at the time of the commencement of the insolvency proceedings; and no payments of property or credit can be made to him.

*Physical Condition. – In some cases, the physical condition of a person may limit capacity for certain acts. Thus, physical incapacity to enter into the married state, or impotence, is a ground for annulment of marriage, and a person who is blind, or deaf or dumb, cannot be a witness to the execution of a will.

Article 40, 41, 42 & 43

By Robinson Manaig

NATURAL PERSONS

Art. 40: Commencement of Civil personality

Case Digest Quimiguing vs Icao

Article 40: Birth determines personality; but the conceived child shall be considered born for all purposes that are favorable to it, provided it be born later with the conditions specified in the following article. (29a)

COMMENCEMENT OF CIVIL PERSONALITY. Article 5 of PD #603, “Child and youth welfare code,” amended article 40 of civil code

The civil personality of the child shall commence from the time of his conception (the beginning of pregnancy) for all purposes favorable to him, subject to the requirements of article 41 of the civil code.

Art. 41: conditions to determine when the child is considered conceived.

Case Digest GELUZ v COURT OF APPEALS

Article 41: for civil purposes, the foetus is considered born if it is alive at the time it is completely delivered from the mother’s womb. However, if the foetus had an intra-uterine life of less than seven months, it is not deemed born if it dies within twenty-four hours after its complete delivery from the maternal womb. (30a)

Art. 42: Civil personality extinguished at death

Case Digest ANGELA M. BUTTE vs. MANUEL UY

Article 42: Civil personality is extinguished by death. The effect of death upon the rights and obligations of the deceased is determined by law, by contract and by will. (32a)

  • Death puts an end to civil personality
  • Dead person continues to have personality only through contract, will, or as determined by law.
  • Creditors can still claim from the estate of the deceased any obligation due to them.

No human body shall be buried unless the proper death certificate has been presented and recorded however during an epidemic bodies may be buried provided that the death certificate be secured within 5 days after the burial.

 Art. 43: Doubt between the death of two or more persons

Case Digest JOAQUIN VS. NAVARRO

Article 43: if there is doubt, as between two or more persons who are called to succeed each other, as to which of them who died first, whoever alleges the death of one prior to the other, shall prove the same; in the absence of proof, it is presumed that they died at the same time and there be no transmission of rights from one to the other. (33)

  • Applies to persons who are called to succeed each other like mother and child. (Necessary to determine the amount of inheritance one is to receive, transmission of rights, etc.)
  • If there is no proof as to who died first, they are presumed to have died at the same time and thus no transmission of rights from one to the other.
  • Proof of death cannot be established from mere inference or presumptions. It must be established by clear positive evidence.

Article 44, 45 & 46

ENGR. MARLO PJ ALIPON  REE,RMP,MPA

JURIDICAL PERSONS

Art. 44. The following are juridical persons:

  1. The State and its political subdivisions;
  2. Other corporations, institutions and entities fro public interest or purpose, created by law;their personality begins as soon as they have been constituted according to law;
  3. Corporations, partnerships and associations for private or public purpose to which the law grants a juridical personality, separate and distinct from that of each shareholder,partner or member.

Art 45. Juridical persons mentioned in nos. 1 and 2nof the preceeding article are governed by the laws creating or recognizing them.

Private corporations are regulated by laws of general application on the  subject.

Partnership and associations for private interest or purpose are governed by the provision of this code concerning partnerships.

Art 46. Juridical persons may acquire and possess proprty of all kinds, as  well as incur obligations and bring civil or criminal actions, in conformity with the laws and regulations of their organization.

STATE. It is the political organization of the society legally supreme within and independent of legal control from without. Under Article XVI, Section 2 of the 1987 Philippine Constitution, As a fundamental rule, the state cannot be sued without its consent.This consent will be given by the state if it enters into a contract with a private entity. More so, If the state exercising the power of eminent domain fails to give just compensation to a property belonging to a private individual or ordinary citizen, the latter are in cases of progression of the government which inevitably requires properties belonging to a Citizen.

Further it is not imperative upon suing the state that the State should be liable for its act which causes the State to be sued. Like any other Individual, the State has also the right to establish its rightful position if there is.

What are Political Subdivision? Basically they are the Municipal Corporation; In the Philippines they are the Provinces, Municipalities and Cities. The latter has two fold functions. In one it can function as Governmental and political act, and on the other hand their  Fucntion can be Private or propriety .

Case Digest

GR No. L-29993; October 23, 1978

TORIO v. FONTANILLA  

FACTS: On October 21, 1978, the Municipal Council of Malasiqui, Pangasinan passed Resolution No. 156 whereby it resolved to manage the 1959 Malasiqui town fiesta celebration on January 21, 22, and 23, 1959. Resolution No. 182 was also passed creating the town fiesta committee with Jose Macaraeg as Chairman. The amount of P100.00 was also appropriated for the construction of two stages, one for the zarzuela and the other for the cancionan. On January 22, while in the midst of the zarzuela, the stage collapsed, pinning Vicente Fontanilla who died thereafter. The heirs of Fontanilla filed a petition for recovery of damages. Defendant councilors contend that they are merely acting as agents of the municipality.

ISSUE: 1) Is the celebration of a town fiesta authorized by a municipal council a governmental or a corporate function of the municipality? 2) Are the councilors liable for the death of Fontanilla?

HELD: The holding of the town fiesta in 1959 by the municipality was an exercise of a private or proprietary function of municipality. The provision on Section 2282 of the Revised Administrative Code simply gives authority to the municipality to celebrate a yearly fiesta but it does not impose upon it a duty to observe one. It follows that under the doctrine of respondent-superior, the municipality is held liable for damages for the death of Fontanilla. Since it is established that the municipality was acting a proprietary function, it follows that it stands on the same footing as an ordinary private corporation where officers are not held liable for the negligence of the corporation merely because of their official relation to it. Thus, the municipal councilors are absolved from any criminal liability for they did not directly participated in the defective construction of the stage.

 

Article 47

By Christelle Amil

Art. 47

Upon the dissolution of corporations, institutions and other entities for public interest or purpose mentioned in No. 2 of Article 44, their property and other assets shall be disposed of in pursuance of law or the charter creating them. If nothing has been specified on this point, the property and other assets shall be applied to similar purposes for the benefit of the region, province, city or municipality which during the existence of the institution derived the principal benefits from the same. (39a)

Dissolution Defined

The dissolution of a corporation is the termination of its existence as a legal entity.

No. 2 of Article 44

Other corporations, institutions and entities for public interest or purpose, created by law; their personality begins as soon as they have been constituted according to law

Corporations, institutions and other entities for public interest or purpose

Examples of these are:

  • Bangko Sentral ng Pilipinas (BSP)
  • Development Bank of the Philippines (DBP)
  • Duty Free Philippines
  • Government Service Insurance System (GSIS)
  • Home Development Mutual Fund (Pag-IBIG)
  • Land Bank of the Philippines (LBP)
  • Light Rail Transit Authority (LTRA)
  • Philippine Charity Sweepstakes Office (PCSO), etc.

When do Corporations undergo dissolution?

  • voluntary filing of the dissolution because the corporation is incapable of continuing the business
  • involuntarily filing of the dissolution through government action as a result of failure to pay tax
  • surrender or expiration of its charter
  • legal proceedings

Dissolution for Private Corporations

According to Section 40 Title IV of the Corporation Code, a corporation may, by a majority vote of its board of directors sell, lease, exchange, mortgage, pledge, or dispose all its property and assets, including goodwill.