Text of the provision
Art. 1975. The depositary holding certificates, bonds, securities or instruments which earn interest shall be bound to collect the latter when it becomes due, and to take such steps as may be necessary in order that the securities may preserve their value and the rights corresponding to them according to law. The above provision shall not apply to contracts for the rent of safety deposit boxes.
(n)
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
A depositary holding interest-bearing certificates/bonds/securities must collect the interest when due and preserve their value — but this does not apply to safety-deposit-box rentals.
Related provisions
- Article 1974 — Change in the Manner of Deposit.
- Article 1976 — Commingling of Fungibles.
Cases interpreting this article
- Authorities on this article will be added here as each is verified against primary sources.