Short answer. Yes. Article 1169 of the Civil Code provides that in reciprocal obligations, neither party is in delay while the other has not complied, but "from the moment one of the parties fulfills his obligation, delay by the other begins." Since you've finished your part, the other side is now in delay if they fail to perform.
What the law says
In reciprocal obligations, neither party incurs in delay if the other does not comply or is not ready to comply in a proper manner with what is incumbent upon him
Civil Code, Article 1169 — Delay (Mora). Read the full provision →
What the law says
From the moment one of the parties fulfills his obligation, delay by the other begins
Civil Code, Article 1169 — Delay (Mora). Read the full provision →
The rule for reciprocal obligations
Article 1169 of the Civil Code addresses two-way contracts directly, in its closing lines: "In reciprocal obligations, neither party incurs in delay if the other does not comply or is not ready to comply in a proper manner with what is incumbent upon him. From the moment one of the parties fulfills his obligation, delay by the other begins." Once you performed your part, that second sentence is what determines when the other side's delay starts.
Why this differs from the general rule requiring demand
For most obligations, Article 1169 requires the obligee to demand performance, judicially or extrajudicially, before delay begins, subject to a few named exceptions. Reciprocal obligations work differently: the article does not require you to make a separate demand once you have completed your own performance. The trigger is your own fulfillment, not a formal demand on the other party, which is a meaningfully different starting point from the general rule the same article opens with.
What this means now that you've finished your part
Applying the text directly: because you fulfilled your obligation, delay by the other side begins from that moment if they do not comply, or are not ready to comply in a proper manner, with what is incumbent on them. You do not need to send a separate demand first for their delay to begin — your own completed performance is what the article treats as sufficient to start the clock on their delay.
What 'finished your part' actually has to mean
The rule depends on your own performance having been proper, not merely attempted. The article ties the other party's freedom from delay to whether they are ready to comply "in a proper manner," which implies the same standard matters for your side: performance that was incomplete, defective, or not genuinely rendered in the manner the contract called for would not necessarily be the kind of fulfillment this sentence is describing. Whether your specific performance was proper enough to trigger the other side's delay is a factual question about what you actually did.
Cases citing this provision
These Supreme Court decisions cite the provision above. We list them so you can read them yourself; the summaries of what each decided are not ours to give.
- Lara’s Gifts & Decors, Inc. vs. Midtown Industrial Sales, Inc, G.R. No. 225433, August 28, 2019 — read the decision on LawPhil →
- Goldland Tower Condominium Corporation vs. Edward L. Lim and Hsieh Hsiu-Ping, G.R. No. 268143, August 12, 2024 — read the decision on LawPhil →
- Gilat Satellite Networks Ltd., vs. United Coconut Planters Bank General Insurance Co., Inc, G.R. No. 189563, April 7, 2014 — read the decision on LawPhil →
- Polo S. Panteleon vs. American Express International, Inc, G.R. No. 174269, August 25, 2010 — read the decision on LawPhil →