Obligation
1. Introduction
In simple terms, obligation refers to a duty or commitment that individuals or entities are
bound to fulfill. In the legal world, obligations form the backbone of societal order. These
are not just random duties; they are established by laws and regulations to maintain
harmony and justice in a community.
The word originally derives from the Latin term “obligare” which comes from the root “lig”
which suggests being bound.
2. Definition
Salmond defines obligations as “the vinculum juris, or bound of legal necessity which binds
together two or more determinate individuals”.
According to Savigny, an obligation is “the control over another person, yet not over his
person in all respects, but over a single act of his which must be conceived of subtracted
from his free will and subjected to our will”.
3. Elements of Obligation
1. Obligee/Active Subject
The ACTIVE SUBJECT is the person who has the authority to demand that the obligation be
performed or paid. He is also known as the creditor or the obligee.
2. Oligor/ Passive Subject
The PASSIVE SUBJECT is the person who is obligated to perform or pay something. He is the
one who can be held responsible for the debt. He’s also known as the obligor or debtor.
3. Prestation
The contract’s object is the PRESTATION. It is the behaviour that the debtor or obligor is
expected to follow. It could be a legal obligation to give, do, or not do something.
4. Legal bound
For obligation it is required that the legal enforceability must be attached to it. It’s the legal
relationship that exists between the debtor and the creditor (or obligor and obligee).
Example: Under a contract of sale, D agreed to deliver a book to C for Rs 1000.
C is the active subject
D is the passive subject
The delivery of the book is the prestation
The contract of sale is the juridical tie(legal bound) that binds D and C.
4. Sources of Obligations
A. Contractual obligation (obligations ex contractu)
Contracts are legally binding agreements. These are the obligations that result from a
contract between two people. One of the most common sources of obligation is a contract.
When parties willingly agree to certain terms and conditions, they become obligated to
fulfill their promises.
B. Delictual obligation (Obligationes ex delicto)
These are the obligations that arise as a result of torts. As Salmond says “A Tort may be
defined as a civil wrong for which the remedy is a damages action and which is not solely a
breach of contract, breach of trust, or other merely equitable obligations,”
Obligations can also emerge from civil wrongs, known as torts. If someone harms another
person or their property, the legal system imposes an obligation to compensate for the
damage.
C. Quasi-contract obligation (Obligationes quasi-ex-contractu)
These are the obligations created by quasi-contracts. A quasi-contract is one in which the
parties do not intend to enter into a real contract. It is similar to a contract, in which the law
requires a person to perform an obligation on the basis of equity.
Even without explicit agreements, obligations can arise through quasi-contracts, where one
party benefits at the expense of another, creating a moral obligation to compensate.
For example, “X” accidentally leaves his bag at Y’s house. “Y” is obligated to return it to “X”
under the terms of a quasi-contract.
D. Innominate obligation
“Innominate obligation is a type of residuary obligation” according to Salmond,
Innominate obligations are not purely Non-contractual, delictual, and quasi-contractual
obligations . This means they haven’t been given a name or a label.
For example. With regard to the beneficiary, the trustee has a fiduciary obligation.
Infringement of a trustee’s obligation on a beneficiary’s property is directly responsible to
the trustee.
E. Statutory Law
Governments create laws to regulate behavior. Violating these laws results in
obligations – the duty to face legal consequences.
5. Types of Obligation:
Obligations come in different shapes and sizes. Two fundamental categories include:
a. Perfect and Imperfect Obligations:
Perfect obligations involve a specific and definite performance, like delivering a
product. Imperfect obligations, on the other hand, demand a general course of
conduct, such as acting in good faith.
b. Primary and Secondary Obligations: Primary obligations are the main duties arising
from a legal relationship, while secondary obligations come into play when the
primary obligations are breached, leading to consequences like compensation.
Conclusion
Understanding obligations is crucial for maintaining a fair and orderly society. Whether they
arise from contracts, laws, or moral principles, obligations play a fundamental role in
shaping our behavior and interactions with others. By fulfilling our obligations, we
contribute to a harmonious and just community.