Case Digest (G.R. No. 80447)
Facts:
Baliwag Transit, Inc. v. Hon. Court of Appeals and Sps. Sotero Cailipan, Jr. and Zenaida Lopez and George L. Cailipan, G.R. No. 80447, January 31, 1989, Supreme Court Second Division, Melencio-Herrera, J., writing for the Court.
On December 17, 1984, George L. Cailipan, a paying passenger on a Baliwag Transit, Inc. bus, allegedly was thrown from the vehicle and suffered multiple serious injuries. On April 10, 1985 the Spouses Sotero Cailipan, Jr. and Zenaida Lopez and their son George filed a Complaint for damages against Baliwag for breach of the contract of carriage, alleging medical expenses of about P200,000 and other incidental expenses.
Baliwag filed an Answer on April 26, 1985 denying negligence and asserting that George voluntarily jumped from the moving bus. Baliwag impleaded Fortune Insurance & Surety Company, Inc. by Third-Party Complaint (the insurer of the bus) for its P50,000 third‑party liability coverage. Fortune and Baliwag later moved to dismiss on the ground that George had executed a Release of Claims dated May 16, 1985 for P8,020.50; the trial court denied those motions as belated on January 13, 1986.
On February 5, 1986 Baliwag was allowed to file an Amended Answer asserting the May 16, 1985 Release as an affirmative defense and offered the notarized release (signed by George and witnessed by his brother) into evidence. At the preliminary hearing, George’s father testified that George was then a student, dependent on his parents, that the parents had paid the hospital bills, and that they did not sign the Release.
By Order dated August 29, 1986, the Regional Trial Court, Bulacan, Branch 20, granted Baliwag’s affirmative defense and dismissed the Complaint and Third‑Party Complaint, holding that George, being of legal age, could execute the Release which discharged Baliwag and Fortune. The Spouses appealed to the Court of Appeals.
On October 22, 1987 the Court of Appeals (Fifteenth Division) set aside the RTC order, ruled the Release could not operate as a valid bar because it lacked the conformity of all persons ...(Pro-only)
Issues:
- Whether the Release of Claims executed by George during the pendency of this case is valid and binding as against Baliwag Transit, Inc. and Fortune Insurance.
- Whether George’s parents, having paid his medical expenses and being financially affected, are real parties in interest whose consent was necessary to rend...(Pro-only)
Ruling:
- (Pro-only)
Ratio:
- (Pro-only)
Doctrine:
- (Pro-only)