Article 1178. Subject to the laws, all rights acquired in virtue of an obligation are transmissible, if there has been no stipulation to the contrary.
Artikulo 1178. Naaayon sa batas, lahat ng karapatang nakamtan sa pamamagitan ng isang obligasyon ang maaaring ilipat, kung walang nakasaad na taliwas dito.
General Rule:
All rights that are acquired by virtue of an obligation are transmissible.
Subject to such laws, all rights acquired by virtue of an obligation are transmissible. Heirs shall be liable only to the extent of what they stand to inherit.
Transmissibility is that character whereby an act, a deed or a title whereby it passes on to one’s heirs or assigns.
Intransmissible rights are rights that do not pass on to one’s heirs or assigns.
Exceptions:
(1) Prohibited by law. — When prohibited by law, like the rights in partnership, agency, and commodatum which are purely personal in character.
(a) By the contract of partnership, two or more persons bind themselves to contribute money, property or industry to a common fund, with the intention of dividing the profits among themselves. (Art. 1767.)
(b) By the contract of agency, a person binds himself to render some service or to do something in representation or on behalf of another, with the consent or authority of the latter. (Art. 1868.)
(c) By the contract of commodatum, one of the parties delivers to another something not consumable so that the latter may use the same for a certain time and return it.
(2) Prohibited by stipulation of parties. — When prohibited by stipulation of the parties, like the stipulation that upon the death of the creditor, the obligation shall be extinguished or that the creditor cannot assign his credit to another. The stipulation against transmission must not be contrary to public policy. Such stipulation, being contrary to the general rule, should not be easily implied, but must be clearly proved, or at the very least, clearly implied from the provisions of the contract itself.
OBLIGATIONS AND CONTRACTS 