Dear Atty. Duran-Schulze,
I am liable to pay 40,000 pesos to a friend, and I cannot fulfill that obligation yet. She is already asking me for it, and I am well aware that I am past the period we had agreed upon. Can I get imprisoned for breaching a contract? I need legal advice.
Dear Karen,
Answering your query with regard to Breach of Contract, we should define it first for better understanding.
Article 1170 of the Civil Code states that those guilty of fraud, delay, or negligence, in the performance of their obligations, or those who, in any way, contravene the tenor of their obligations can be held liable for damages.
In the case of Cathay Pacific Airways Ltd. v. Spouses Vazquez, G.R. No. 150843, breach of contract is the inability to fulfill the specifications of the contract without any legal reason. It can also be defined as the failure to perform any promise forming part or whole of the contract without legal excuse.
Those who are guilty of a breach of contract CAN NOT be imprisoned as it is a civil case, and not a crime. They can, however, be held liable for damages, as previously mentioned.
In the case of RCPI v. Verchez, the aggrieved party has a right of relief following the proof of existence of a contract and failure of the other party in complying with its terms. On the other hand, to escape from liability, the defendant must show proof that he/she has exercised due diligence, or that his/her performance is due to a fortuitous event.
Need further information and assistance? Talk to our Legal team at Duran & Duran-Schulze Law. Call us today at (+632) 478 5826 or send an email to info@duranschulze.com for more information.