A creditor shall have the right to indemnity for losses and damages when, by the fault of the debtor, all the things which were alternatively the objects of the obligations should have disappeared, or it should have become impossible to fulfill the latter.
The indemnity shall be fixed, taking as a basis the value of the last thing which may have disappeared or of the last service which has become impossible.
History —Civil Code, 1930, § 1088.