Article 463. A thing which is valid as the price in a contract of sale may be the rent in a contract of hire. On the other hand, a thing which is not valid as the price in a contract of sale may nevertheless be valid as the rent in a contract of hire.
A garden may be taken on hire in exchange for an animal, or in exchange for the right of dwelling in a house.
Article 464. If the rent is cash, the amount thereof must be clearly ascertained, as in the case of the price of a thing sold.
Article 465. If the rent consists of merchandise, or things estimated by measure of capacity, or by measure of weight, or things estimated by enumeration and which closely resemble each other, such rent must be made known by stating both the amount and description thereof. In the case of things which require loading and entail expense on account of transport such things must be delivered at the place agreed upon for delivery. If no place has been designated for delivery and the thing hired consists of real property, delivery of such real property must be given at the place where such real property is situated, and if it consists of labor, delivery thereof must be given at the place where the person hired performs his work; if it consists of loading, delivery thereof must be given in the place where the hire becomes payable. In the case of things which do not require loading and do not entail expense on account of transport, however, delivery thereof must be given at any place that may be required.
Necessity for rent: right of the person giving on hire to take rent.
Article 466. Rent does not become payable irrevocably by the conclusion of an unconditional contract: that is to say, there is no necessity to hand over the rent immediately, owing to the mere conclusion of a contract of hire.
Article 467. Rent which is payable immediately is irrevocable: that is to say, if the person taking the thing on hire pays the rent in advance, the person letting the thing on hire becomes the owner thereof, and the person taking the thing on hire cannot demand the return thereof.
Article 468. Rent with a condition for immediate payment is irrevocable; that is to say, if it is stipulated that rent must be paid in advance, the person taking the thing on hire is bound in any case and first of all to hand over the rent, whether the contract of hire is for the use of some specific thing, or for the performance of any piece of work. In the first case, the person letting the thing on hire may refuse to hand over the thing hired until the rent has been paid. In the second case, the person giving his services on hire may refuse to perform the work until his wages have been paid. In both cases, if the person letting the thing on hire demands payment of the rent in advance and the person taking the thing on hire refuses, the contract of hire may be cancelled.
Article 469. Rent becomes payable when the thing is put to the use for which it is hired.
Example:- A the owner of a horse, lets such horse on hire to B in order that he may ride it to a certain place. Upon arrival at that place, A is entitled to the amount of the hire.
Article 470. In a valid contract of hire, the rent is also payable when there is ability to put the thing to the use for which it was hired.
Example:- A takes possession of a house which he has taken on hire by means of a valid contract of hire. A is obliged to pay the rent, even though he does not inhabit-such house.
Article 471. In a voidable contract of hire, mere ability to put the thing to the use for which it was hired is not enough. The rent is not payable unless the thing is actually put to the use for which it was hired.
Article 472. If a person uses the property of another person without the conclusion of a contract and without such person’s permission, and if it is property prepared for hire, an estimated rent must be paid, but not otherwise. But if the owner of the property has previously demanded payment of rent, and such person uses such property, rent is payable, even though no benefit can be derived from such property. The reason for this is that by using the property, such person is deemed to have agreed to pay the rent.
Article 473. Effect is given to any condition agreed upon by the two contracting parties regarding immediate or deferred payment of the rent.
Article 474. If a stipulation is made for a deferred payment of the price of the hire, the person giving the thing on hire must first of all deliver such thing; and a person giving his services on hire, must perform his work. The price of the contract of hire is not payable until after the expiration of the period agreed upon.
Article 475. If an unconditional contract of hire is concluded for the use of some specific object, or for the performance of any piece of work, and no stipulation is made as to immediate or deferred payment, the person giving the thing on hire must in any case first of all give delivery of the thing hired, and the person giving his services on hire must perform the work.
Article 476. If the rent is payable by some specified period, such as monthly or yearly, such rent must be paid at the expiration of that period.
Example:- Rent payable monthly must be paid at the end of the month. Rent payable yearly must be paid at the end of the year.
Article 477. When the rent falls due, delivery must be given of the thing hired; that is to say, rent falls due as from the time of delivery. Thus, the person giving the thing on hire is not entitled to rent in respect to the period expiring prior to delivery. If the period of hire terminates prior to delivery, no part of the rent is payable.
Article 478. If the benefit to be obtained from the thing hired is entirely lost, no rent is payable.
(1) A bath is in need of repairs. If it cannot be used during that period, the portion of the rent corresponding to such period is deducted.
(2) The water of a mill is cut off and the mill remains idle. No rent is payable from the time at which the water was cut off. But if the person hiring the mill uses it for any purpose other than that of grinding corn, such person is bound to pay a portion of the rent corresponding thereto.
Article 479. If a person takes a shop on hire and is given delivery thereof and alleges that on account of slackness of business his trade has stopped and his shop has been shut, such person cannot refuse to pay rent for that period.
Article 480. If a boat is taken on hire for a certain period, and the period of such hire expires while on the journey, the period of hire is extended until the shore is reached. The person taking the boat on hire must pay an estimated rent in respect to such excess period.
Article 481. If one person gives his house to another person in order that the latter may repair it and live in it rent free, and such person does in fact effect such repairs himself and dwells in such house for a certain period, the expenses occasioned by such repairs fall upon such person, since the giving of the house is in the nature of a loan for use. The owner of the house cannot claim anything from him by way of rent in respect to such period.
Right of lien of a person to whom a thing has been entrusted to work upon.
Article 482. A person hired to do work, and whose work causes a change in the thing given to him to work upon, such as a tailor, a dyer, or a cleaner, and who has made no contract whereby his work is to be done on a credit basis, has a right of retention over the thing entrusted to him to work upon, for payment of his wage. If he exercises such right of retention and the property is destroyed while in his possession, he cannot be called upon to make god the loss. He cannot, however, claim his wages in addition.
Article 483. A person hired to do work, and whose work causes no change in the thing upon which he works, such as a porter or a sailor, has no right of retention over the thing upon which he is working, for payment of his wage. Thus, if he exercises a right of retention and the property is destroyed while in his possession, he is liable to make good the value thereof. The owner of the property has an option either of claiming compensation on the basis of the value of the thing destroyed, plus cost of transport and of paying the wages, or of merely claiming the value of the thing destroyed, without paying the wages.