Subrogation in the law of obligations

Abstract

The very first topic our law deals with under the title of the modes of extinction of obligations is payment. This is no surprise for payment is the basic mode of extinction. The other modes of extinction, such as novation or merger, although equally capable of extinguishing the obligation, are, to a great extent, extraordinary modes of extinction. Payment is the way an obligation is extinguished in the natural course of events, for it is precisely the fulfilment of that which has been promised. Our law uses the word 'payment' in a very wide sense, and does not restrict it to the fulfilment of pecuniary obligations as can be seen from the definition given in section 1189 of the Civil Code: "Payment means the performance of an obligation, whether the subject matter of the obligation is to give or to do."