Article 1260

Article 1260

                Once the consignation has been duly made, the debtor may ask the judge to order the cancellation of the obligation.

                Before the creditor has accepted the consignation, or before the judicial declaration that the consignation has been properly made, the debtor may withdraw the thing or the sum deposited, allowing the obligation to remain in force.

Kapag ang pagkakatiwala ay naisagawa na, ang may utang ay maaaring hilingin sa hukom na ipag-utos na kanselahin ang obligasyon.

Bago pa man tanggapin ng nagpautang ang pagkakatiwala, o bago pa man ipahayag ng hukuman na nagawa na ang kasunduan sa pagkakatiwala, ang nangutang ay maaaring bawiin ang bagay o kabuuan ng kanyang naideposito, pumapayag na ang obligasyon ay manatili pa rin.

Effect of valid consignation. When the consignation is properly effected, the court will order the cancellation of the obligation upon motion duly filed by the debtor. When the validity of the consignation has been affirmed by the court, the consignation shall have a retroactive effect. The obligation is deemed paid from the moment the amount or the thing due has been actually placed at the disposal of the court. The running of interest if stipulated is also deemed suspended at the same time.

Effect of improper consignation. If the consignation is not properly made the obligation stays as the attempted consignation did not amount to payment.

Effect of dismissal of the consignation case. If the case has been dismissed by the court for any valid reason the attempted consignation will have no favorable effect upon the debtor.

Withdrawal of the thong or sum deposited, when available. The debtor who made the deposit may still withdraw the thing or sum of money he had deposited in court provided that:

A.      The creditor has not yet accepted the thing or sum deposited;

B.      That the court had not yet made a judicial declaration that the consignation had been properly made.

The reason why debtor may still withdraw the thing deposited is that he still owns the money or thing deposited at the precise time.

Judicial approval is necessary to render consignation effective and valid. Without judicial approval, the amount deposited continues to be under the disposition of the debtor. After the consignation has been approved, the debtor may ask for the cancellation of the obligation.