Article 1191
ELI5— what this means for you
If one party fails to comply with their obligation, the other party may (1) ask the court to compel performance, or (2) rescind (cancel) the contract — plus damages in either case.
Key point
If your contractor abandons the project, you can sue to compel completion OR cancel the contract and claim damages.
Official text — RA 386
The power to rescind obligations is implied in reciprocal ones, in case one of the obligors should not comply with what is incumbent upon him.
The injured party may choose between the fulfillment and the rescission of the obligation, with the payment of damages in either case. He may also seek rescission, even after he has chosen fulfillment, if the latter should become impossible.
The court shall decree the rescission claimed, unless there be just cause authorizing the fixing of a period.
This is understood to be without prejudice to the rights of third persons who have acquired the thing, in accordance with articles 1385 and 1388 and the Mortgage Law. (1124)
Source: lawphil.net (RA 386 as amended)
Related
RELATED RIGHTS
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