Cap. 16 Art. 1698Redemption of land annuity, etc.

(1) The redemption is effected by the reimbursement of the sum resulting on capitalizing the annuity at the rate of three per cent, in case of a land annuity, or, at the rate of four per cent, in each of the following cases:

(a) in the case of a simple annuity constituted in consideration of movable things the value of which has not been stated in the contract;

(b) if the annuity has been created by a will, donation or other instrument which does not clearly show what was given for the constitution of the annuity.

(2) Nevertheless, if the annuity has been constituted for the purpose of creating an ecclesiastical benefice or a sacred patrimony, or of being employed for pious uses, or for the relief of the poor, or in reward for virtue or merit, or for any other purpose of public utility, the redemption is, in every case, effected by the reimbursement of the sum resulting on capitalizing the annuity at the rate of two per cent. Furthermore, but subject to any contrary agreement pursuant to the provisions of article 1696(4), the same rule shall apply if the annuity has been constituted for the benefit of a social purpose foundation or of a charitable trust.