Special Payments and Obligation Breaches in Law

Special Payment Methods

Allocation of Payments

When multiple obligations exist, the debtor can specify which debt the payment covers. However, interest must be covered before principal. If the debtor doesn’t specify, the law prioritizes interest payments.

Payment in Kind

Instead of the original benefit, the debtor and creditor can agree on a different form of payment.

Payment by Transfer of Property

The debtor can transfer property to creditors to settle debts.

Provision

The debtor deposits the due item with judicial authorities for creditor disposal.

Alleged Breach of Obligations

If the debtor fails to perform accurately, the law provides remedies. Intentional breach (fraud) occurs when the debtor knowingly violates the obligation. Guilt arises from negligence, varying from gross negligence to slight fault.

Non-Attributable Failure

Acts of God and Force Majeure

The debtor is not liable if external events prevent fulfillment.

Inaccurate Implementation

If the fulfillment deviates from the agreement (e.g., wrong place or item), the creditor can refuse it.

Delay (Mora)

Claimed Mora

Delay starts after the creditor demands fulfillment.

Automatic Mora

Delay occurs automatically upon missing the deadline.

Delay in Reciprocal Obligations

In bilateral obligations, delay for one party begins when the other fulfills their part.

Consequences of Attributable Failure

Attributable failure leads to debtor liability and potential manslaughter charges if applicable.