Art. 1245.

Dation in payment, whereby property is alienated to the

creditor in satisfaction of a debt in money, shall be governed by the law of
sales. (n)
This is one of the special forms of payment.
Dation in payment (dacion en pago) - it is the mode of extinguishing an
obligation whereby the debtor alienates in favor of the creditor, property for
the satisfaction of monetary debt.
Ex. Sky owes Ivy P50,000.00. to fulfill his obligation, Sky with the consent of
Ivy, delivers a piano. If the piano, however, is worth less than P50,000.00, the
conveyance must be deemed to extinguish the obligation to the extent only
of the value agreed upon unless it is stipulated in their contract that the
piano is considered full payment.

Art. 1246. When the obligation consists in the delivery of an indeterminate

or generic thing, whose quality and circumstances have not been stated,
the creditor cannot demand a thing of superior quality. Neither can the
debtor deliver a thing of inferior quality. The purpose of the obligation and
other circumstances shall be taken into consideration. (1167a)
It is a principle of equity in that it supplies justice in cases where there is lack
of precise declaration in the obligation. It is always hard to find one thing that
is exactly similar to another. If there is disagreement between the parties, the
law steps in and determines whether the contract has been complied with or
not according to the circumstances. (8 Manresa 280-281).
The benefit is that it may be waived by the creditor or by accepting a thing of
inferior quality, and by the debtor by delivering a thing of superior quality.
Ex. If Tonix promised to deliver to Lance a horse. Lance cannot compel
Tonix to deliver a price-winning race horse. Neither can Tonix require
Lance to accept an old sickly horse.

a) Rigid or Flexible. A rigid Constitution is one that can be amended only by a formal and usually difficult
process; while a flexible Constitution is one that can be changed by ordinary legislation [Cruz, ibid., p. 5].
1 Constitution defined. That body of rules and maxims in accordance with which the powers of
sovereignty are habitually exercised [Cooley, Constitutional Limitations, p. 4]. With particular reference to
the Constitution of the Philippines: That written instrument enacted by direct action of the people by which
the fundamental powers of the government are established, limited and defined, and by which those powers
are distributed among the several departments for their safe and useful exercise for the benefit of the body
politic [Malcolm, Philippine Constitutional Law, p. 6].

a)

Written or unwritten. Awritten constitution is one whose precepts are

embodied in one document or set of documents; while an unwritten
constitution consists of rules which have not been integrated into a single,

concrete form but are scattered in various sources, such as statutes of a

fundamental character, judicial decisions, commentaries of publicists,
customs and traditions, and certain common law principles [Cruz,
Constitutional Law, pp. 4-5].

b)

Rigid or Flexible. A rigid Constitution is one that can be amended only by a

formal and usually difficult process; while a flexible Constitution is one that
can be changed by ordinary legislation [Cruz, ibid., p. 5].