Prohibited Donations in Civil Law (Philippines)

Under the Civil Code of the Philippines, the law sets forth specific provisions regulating donations, including clear restrictions on certain types of donations. These prohibitions aim to safeguard public interest, morality, fairness, and protect parties from undue influence or impropriety. Below is a comprehensive breakdown of the legal framework on prohibited donations:

1. Basis in Law

The primary source of law on prohibited donations in the Philippines is Articles 739 to 752 of the Civil Code.

2. Categories of Prohibited Donations

A. Donations Void Due to Public Policy or Illegality

Under Article 739, the following donations are deemed void:

Donations Made Between Persons Guilty of Adultery or Concubinage
- Both the donor and donee must have committed the act knowingly.
- Proof of guilt is required, either by judicial declaration or conclusive evidence.
- Donations made to third parties (e.g., in favor of children born out of adulterous relationships) may still be subject to this prohibition if intended to circumvent the law.
Donations Made Between Persons Guilty of the Same Criminal Offense
- The criminal offense must be proven, and the donation must be connected to the crime.
- This includes bribery and corrupt acts intended to consummate or reward criminal activity.
Donations Made to Defraud Creditors
- Donations with the intent to prejudice creditors by reducing the donor's assets are void.
- Creditors may challenge such donations through an accion pauliana (revocatory action).
Donations Made to Public Officials or Employees in Violation of Anti-Graft Laws
- Donations intended to secure a favor or undue advantage in public office are prohibited.

B. Donations Void Due to Lack of Capacity

Under Articles 738 and 1027, the following individuals are prohibited from receiving donations:

Persons Incapacitated to Inherit Due to Grounds of Unworthiness
- Examples include persons who:
  - Are guilty of acts enumerated in Article 1032, such as attempting to kill the donor or committing acts of fraud against them.
Persons Convicted of Crimes Against the Donor’s Honor
- Acts of libel, slander, or moral turpitude may render the donee incapable of receiving a donation.

C. Prohibited Donations Under Special Laws

Certain statutes supplement the Civil Code’s prohibitions:

Anti-Graft and Corrupt Practices Act (RA 3019)
- Public officials are prohibited from receiving gifts or donations related to their office.
- Violations may lead to criminal liability.
Code of Conduct and Ethical Standards for Public Officials (RA 6713)
- Prohibits the acceptance of donations by public officials and employees, particularly from entities seeking government contracts or permits.
Family Code of the Philippines
- Donations between spouses during the marriage are void except for moderate gifts on special occasions (Article 87).
- The prohibition aims to prevent undue influence and protect family property.

3. Form and Capacity

To be valid, donations must comply with formalities and requirements set out in the law:

Article 748: Donations of movable property exceeding PHP 5,000 require a written form.
Article 749: Donations of immovable property must be in a public instrument.

If formalities are not observed, even donations that do not fall under the prohibited categories may be invalidated.

4. Remedies Against Prohibited Donations

Declaration of Nullity
- Donations falling under the prohibited categories are considered void ab initio.
- Legal action may be initiated to have such donations declared null and void.
Accion Pauliana
- Creditors may annul donations intended to defraud them by proving the following:
  - Prior right of the creditor.
  - Prejudice caused by the donation.
  - Fraudulent intent.
Forfeiture of Donations
- Under anti-corruption laws, improperly received donations may be subject to forfeiture in favor of the government.

5. Exceptions to Prohibitions

Moderate Gifts on Special Occasions
- The law permits reasonable donations between spouses or to public officials, provided these do not contravene existing anti-corruption laws.
Donations for Humanitarian Purposes
- Donations that are made without any corrupt intent or undue influence may be exempted from certain prohibitions under a good faith doctrine.

6. Legal and Practical Implications

Individuals entering into donation agreements should assess the legality of the donation and the capacity of the parties involved.
Public officials, spouses, and individuals with criminal or fraudulent history must exercise caution as their capacity to receive donations is legally restricted.

This meticulous framework ensures that donations are conducted lawfully, equitably, and in compliance with both public and private interests. For specific cases, consultation with a legal expert is advised to navigate the nuances of donation law effectively.