Short answer. Yes. Article 1965 of the Civil Code provides that a deposit is gratuitous — but carves out an explicit exception for those engaged in the business of storing goods. If warehousing is your business, compensation is part of the arrangement by operation of law, not just by contract.
What the law says
unless the depositary is engaged in the business of storing goods
Civil Code, Article 1965 — Deposit Generally Gratuitous. Read the full provision →
The general rule and the warehousing exception
Article 1965 of the Civil Code begins with the general rule that a deposit is a gratuitous contract — meaning that when someone entrusts goods to another for safekeeping, the depositary ordinarily keeps them without expecting payment. But the article immediately states two exceptions: when the parties have agreed otherwise, or unless the depositary is engaged in the business of storing goods. For a commercial warehousing operation, the second exception applies automatically. Warehousing is a business, and storage fees are part of what that business does. A client who brings goods to a warehouse cannot later argue that the arrangement was free simply because no specific fee was written down.
Why the exception exists for warehousing businesses
The gratuitous rule makes sense for ordinary deposits — a friend storing your belongings as a favor, for instance. It does not make sense for a commercial warehouse that exists precisely to store goods for others. When a business holds itself out as a professional depositary, both parties understand that storage comes at a cost. The law reflects this commercial reality by exempting professional warehousers from the gratuitous default. The exception means the depositary's right to compensation arises from the nature of the business relationship itself, not from a separately negotiated clause.
What counts as a reasonable fee when none is agreed
When no specific fee was agreed, you are entitled to reasonable compensation for the storage services rendered. Reasonable compensation is determined by what is customary or standard in the industry for the type of goods, the duration of storage, and the conditions provided. The absence of a written rate does not mean the client owes nothing; it means you and the client may need to establish what the going rate is. A written warehousing contract specifying the fee schedule avoids this uncertainty entirely and is strongly advisable for any ongoing commercial arrangement.
Protecting yourself going forward
Even though the law supports your right to charge for storage as a business depositary, relying on that legal default creates practical problems. Without a written agreement, disputes over the amount of the fee, what services were included, and when payment is due become harder to resolve. A well-drafted warehousing contract — specifying the storage rate, the billing period, the conditions for storing particular types of goods, and your right to a lien for unpaid fees — puts you in a much stronger position if a client refuses to pay. A lawyer familiar with commercial contracts can help you prepare an agreement that fits your business and protects your right to compensation.
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.
- Delfina Vda. De Rigonan, et al. vs. Zoroaster Derecho, et al, G.R. No. 159571, July 15, 2005 — read the decision on LawPhil →