Case Digest (G.R. No. L-35146)
Facts:
In Durban Apartments Corporation v. Pioneer Insurance and Surety Corporation, G.R. No. 179419, decided on January 12, 2011 under the 1987 Constitution, Pioneer Insurance, by subrogation, sued Durban Apartments (operator of City Garden Hotel) and its valet attendant Vicente Justimbaste before the Regional Trial Court (RTC) of Makati City for recovery of P1,163,250 as indemnity for the carnapping of insured Jeffrey S. See’s 2001 Suzuki Grand Vitara. See arrived at City Garden Hotel on April 30, 2002, entrusted his vehicle key to Justimbaste for valet parking, and received a claim stub. The hotel parking overflow arrangement placed the Vitara at Equitable PCI Bank lot. At 1:00 a.m. on May 1, 2002, See was informed that the Vitara had been stolen. He reported the incident to the Makati Anti-Carnapping Unit and to PNP Traffic Management Group, but the vehicle remained unrecovered. Pioneer paid See and mortgagee ABN AMRO Bank P1,163,250 and sought subrogation from Durban. Durban and JCase Digest (G.R. No. L-35146)
Facts:
- Parties and Policy
- Pioneer Insurance and Surety Corporation (respondent) issued Policy No. MC-CV-HO-01-0003846-00-D covering Jeffrey See’s 2001 Suzuki Grand Vitara for ₱1,175,000.00.
- See’s vehicle was insured against loss and damage; respondent paid See ₱1,163,250.00 as full indemnity and was subrogated to his rights.
- Carnapping Incident and Deposit
- On April 30, 2002, See arrived at City Garden Hotel (petitioner Durban Apartments Corporation) and entrusted the Vitara ignition key to valet attendant Vicente Justimbaste in exchange for a valet claim stub.
- Justimbaste parked the Vitara at Equitable PCI Bank parking (annex of the hotel after hours) and placed the key in the hotel’s safety box. Between midnight and 1:00 a.m. on May 1, 2002, the Vitara was carnapped; hotel security and police were notified; no recovery to date.
- Pre-trial Default and Lower Court Proceedings
- Pioneer filed a Complaint for Recovery of Damages on July 22, 2003, impleading petitioner and Justimbaste. Petitioner denied liability and asserted limited custodial responsibility.
- Petitioner’s counsel failed to appear at the November 28, 2003 pre-trial conference and did not file a pre-trial brief; trial court declared petitioner in default and allowed respondent to present evidence ex parte.
- Trial court rendered judgment on January 27, 2006 ordering petitioner to pay ₱1,163,250.00 plus interest and ₱120,000.00 attorney’s fees. Court of Appeals affirmed.
Issues:
- Whether petitioner was correctly declared in default for failure to appear at pre-trial and file a pre-trial brief.
- Whether the trial court properly allowed respondent to present evidence ex parte.
- Whether petitioner is liable for attorney’s fees in the amount awarded.
- Whether petitioner is liable for the loss of See’s vehicle under a contract of deposit.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)