Text of the provision

Art. 1242. Payment made in good faith to any person in possession of the credit shall release the debtor.

(1164)

Civil Code of the Philippines, Republic Act No. 386, approved June 18, 1949, effective August 30, 1950. Reproduced in full; verified verbatim against the LawPhil and ChanRobles official-text renderings.

What this article means

Payment made in good faith to a person in possession of the credit releases the debtor — even if that person turns out not to be the true creditor. Good faith and possession of the credit protect the paying debtor.

Related provisions

Cases interpreting this article

Note. The text of the provision above is reproduced in full from the official enactment (Republic Act No. 386), verified against the LawPhil and ChanRobles renderings. The annotation and commentary around it are the work of Vivas & Nobles Law Office and are general legal information, not legal advice. How a provision applies to a particular situation depends on facts that only a lawyer reviewing your case can assess.