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Article 1286

RA 386 · Civil Code of the Philippines

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Compensation takes place by operation of law, even though the debts may be payable at different places, but there shall be an indemnity for expenses of exchange or transportation to the place of payment.

Official text — RA 386

Compensation takes place by operation of law, even though the debts may be payable at different places, but there shall be an indemnity for expenses of exchange or transportation to the place of payment. (1199a)

Source: lawphil.net (RA 386 as amended)

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