Who enjoys the Right of Retention? (1%)
(A) Depositary until full payment of what may be due him in deposit.
(B) Lessee if he advances the expenses for the repair of the leased premises.
(C) Bailee if bailor owes him something.
(D) Builder in bad faith for the recovery of necessary and useful expenses.
Suggested answer only. Not an official answer and not legal advice.
(A) The depositary enjoys the right of retention until full payment of what may be due him in deposit. Under Article 1994 of the Civil Code, the depositary may retain the thing in pledge
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Quick check
Under Article 1994 of the Civil Code, who among the following is expressly granted the legal right of retention over property?
Article 1994 explicitly grants the depositary the right to retain the deposited thing until full payment of amounts due.
Under Article 1944 of the Civil Code, why is a bailee in commodatum denied the right of retention?
Article 1944 explicitly provides that the bailee cannot retain the thing loaned on the ground of debt or expenses.
What is the legal status of a builder in bad faith regarding the right of retention under Article 546 of the Civil Code?
A builder in bad faith is denied any right of retention under Article 546 of the Civil Code.
Does a lessee enjoy a legal right of retention over leased property if he advances repair expenses?
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What type of security right does Article 1994 of the Civil Code create in favor of a depositary?
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Learn more about these topics
1. Depositary Retention Right
Under Article 1994 of the Civil Code, the depositary may retain the thing pledged until full payment of what may be due him by reason of the deposit. This right of retention operates as a statutory lien created by law to protect the depositary for indemnity, expenses, or unpaid deposit fees incurred in preserving the deposited property. Until the depositor satisfies these legal obligations in full, the depositary cannot be compelled to surrender possession of the property.
2. Bailee Retention Limitation
Under Article 1944 of the Civil Code, the bailee in a commodatum cannot retain the thing loaned on the ground that the bailor owes him something, even if it be for expenses. The law strictly limits the bailee's remedy to a personal action for recovery of debt or reimbursement. Because commodatum is essentially gratuitous and founded on personal trust, the bailee is legally denied any right of retention over the movable or immovable property.
3. Builder Lessee Exclusions
Under Article 546 and Article 1678 of the Civil Code, neither a builder in bad faith nor a lessee enjoys a right of retention over property. A builder in bad faith forfeits improvements without indemnity or retention rights. Similarly, a lessee who makes useful improvements or repairs has no right to retain the leased premises upon lease expiration, being entitled only to reimbursement or removal under specific statutory conditions.