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Cause and Object in the Revised Louisiana Civil Code (Chap. 5) (Object:…
Cause and Object in the Revised Louisiana Civil Code (Chap. 5)
Cause:
The reason why a person holds a right (Broad definition)
A person (Book I) holds a right (Book II) because she acquired it (Book III)
Cause of an obligation is "the reason why a party obligates himself"
Objective Cause:
arises from the nature of the contract and need not have anything to do with the motive of either party to the other (p.280)
Onerous Contracts: other party's performance (cc. 1526)
Gratuitous Contracts: liberality (cc.1527)
Subjective Cause:
ulterior motive of the obligor, as well as any inner conviction or belief that forged the will of this particular obligor.
(1) Principle Cause- usually one, and the default is an objective;
Only a Subjective cause for 2 reason: (i) by clearly communicating it; or (ii) parties may jointly designate one and stipulate it as a condition on the contract (cc.1767)
Validity of Cause:
b. Veracity of Cause (cc. 1969-1970)
True Cause
False Cause
Simulation (cc. 2025)
Vices of Consent (cc. 1948)
c. Legality of Cause (cc.1968)
Lawful Principle Cause
Lawful Subsidiary Cause
a. Existence of contract (cc. 1966, 69)
Existent Cause
Inexistent Cause
Absence of Cause
Failure of cause
d. Enforceability
Civilian Theory of Cause (cc. 1966-1970)
Common Law Doctrine of Consideration (Rest. 2d
SS
71-72)
Object:
Must be determined as to its kind, but not its quantity
Article 1971: Parties are free to contract for any object that is lawful, possible, and determined or determinable
Article 1972: A contractual object is possible or impossible according to its own nature and not according to the parties ability to perform.
Article 1973: The object of a contract must be determined at least as to its kind.
Article 1974: If the determination of the quantity of the object has been left to the discretion of a third person, the quantity of an object is determinable. If the parties fail to name a person, or if the person named is unable or unwilling to make the determination, the quantity may be determined by the court.
Article 1975: The quantity of a contractual object may be determined by the output of one party or the requirements of the other. In such a case, output or requirements must be measured in good faith.
Article 1976: Future things may be the object of a contract. The succession of a living person may not be the object of a contract other than an antenuptial agreement. Such a succession may not be renounced.
Article 1977: The object of a contract may be that a third person will incur an obligation or render of a performance. The party who promised that obligation or performance is liable for damages if the third person does not bind himself or does not perform.
Illicit Cause (cc. 7, 1968, 1971, 1846, 1848, 2029-2030, 2033, 2983-2984)
McMahon v. Hardin (1929)
Cahn v. Baccich & De Montluzin (1919)
Lamy v. Will (1962)
Absence of Cause
(b) Impossibility of performance
(c) Preexisting obligation
(a) Destruction of the object
United States Fidelity & Guaranty Co. v. Crais (1930)
Promesse de Porte-Fort
A promise that a third person will pay a debt of the promissor is enforceable if there is an existing and lawful cause for this promise and the promise is in writing.
Citizens Bank & Trust Co. v. West Bank Agency, Inc. (1989)
Cause and Consideration
Cause- Civil Law
Consideration- Common law
Aaron & Turner LLC v. Peret and Continental Financial Group, Inc. (2009)
Mouton v. Noble (1846)
All other causes are subsidiary