OBLICON Case Digests II

OBLICON

a")ance" age, DB& ea$ang %a" the outstan"ng 0a$ance o! the *ortgage $oan wth N4MFC, the ntenton o! %ettoners to renege on ther o0$gaton s utter$y c$ear.

6he !act that %ettoners ten"ere" a Manager2s Chec+ to res%on"ents#s%ouses >a$ang n the a*ount o!  &78,9'7.(( se)en *onths a!ter the !$ng o! ths case s o! no *o*ent. 6en"er o! %ay*ent "oes not 0y tse$! %ro"uce $ega$ %ay*ent, un$ess t s co*%$ete" 0y consgnaton. ( 6her !a$ure to !u$!$$ ther o0$gaton ga)e the res%on"ents#s%ouses >a$ang the rght to rescsson. 6her re$ance on rtc$e 1383 s *s%$ace".

6he 6C ren"ere" "ecson n !a)our o! the res%on"ents. 6he su0s"ary character o! the acton !or rescsson a%%$es to contracts enu*erate" n rtc$es 13818 o! the C)$ Co"e. 6he contract n)o$)e" n the case 0e!ore us s not one o! those *entone" theren. 6he %ro)son that a%%$es n the case at 0ar s rtc$e 1191 . Issue: hether C erre" when t he$" that the %ettoners ha" 0reache" ther o0$gaton.

4e$": On the !rst assgne" error, %ettoners argue that the Court erre" when t ru$e" that ther 0reach o! the o0$gaton was su0stanta$.

5ett$e" s the ru$e that rescsson or, *ore accurate$y, reso$uton, 33 o! a %arty to an o0$gaton un"er rtc$e 11913s %re"cate" on a 0reach o! !ath 0y the other %arty that )o$ates the rec%rocty 0etween the*.3' rtc$e 1191 rea"s: rt. 1191. 6he %ower to rescn" o0$gatons s *%$e" n rec%roca$ ones, n case one o! the o0$gors shou$" not co*%$y wth what s ncu*0ent u%on h*. 6he nHure" %arty *ay choose 0etween the !u$!$$*ent an" the rescsson o! the o0$gaton, wth the %ay*ent o! "a*ages n ether case. 4e *ay a$so see+ rescsson, e)en a!ter he has chosen !u$!$$*ent, ! the $atter shou$" 0eco*e *%oss0$e. 6he court sha$$ "ecree the rescsson c$a*e", un$ess there 0e Hust cause author@ng the !