G.R. No. 210634 - Montierro vs. Rickmers Marine Agency Phils., Inc.

On February 26, 2010, respondent Rickmers Marine Agency Phils., Inc., on behalf of its foreign principal Global Management Limited, hired petitioner Noriel R. Montierro as an ordinary seaman with a basic monthly salary of USD420.
Montierro was assigned to work on board the vessel M/V CSAV Maresias.

In May 2010, while disembarking using a crane ladder, Montierro lost his balance and twisted his right knee, sustaining an injury.
On May 31, 2010, he was examined in Livorno, Spain by Dr. Roberto Santini, who recommended surgical treatment at home and declared him unfit for duty.
Montierro was repatriated to the Philippines on June 2, 2010, for further medical treatment.

Upon repatriation, on June 4, 2010, Montierro reported to the company-designated physician, Dr. Natalio G. Alegre II, and underwent a magnetic resonance imaging (MRI) scan which revealed multiple knee injuries including an ameniscal tear and minimal joint fluid accumulation.
Based on Dr. Alegre’s recommendation, Montierro underwent an arthroscopic partial medial meniscectomy of his right knee on July 29, 2010 at St. Luke’s Medical Center.
A follow-up check-up on August 20, 2010 noted healing of surgical wounds but persistent pain and limited range of motion, prompting recommendations for continued rehabilitation and physical therapy.
On September 3, 2010, during the 91st day of treatment, Dr. Alegre issued an interim disability grade of 10 for a stretching injury to the knee ligaments resulting in joint instability.
Montierro continued treatment and evaluation through several sessions until December 28, 2010.
On January 3, 2011, the 213th day of his treatment, Dr. Alegre issued a final disability assessment, maintaining a disability Grade 10, indicating persistent limitations such as the inability to flex the knee fully and reduced range of motion.

On December 3, 2010—one month prior to the final assessment—Montierro filed a complaint before the labor arbiter seeking permanent disability compensation amounting to USD89,000, along with USD2,100 for sickness allowance, and claims for moral and exemplary damages and attorney’s fees.
The complaint was supported by a Medical Certificate from his personal physician, Dr. Manuel C. Jacinto, which recommended a total permanent disability grading and cited continuous pain and limited mobility.

The Labor Arbiter (LA), in a decision dated June 29, 2011, granted Montierro permanent total disability benefits under the POEA Standard Employment Contract, relying on the 120-day rule as established in Crystal Shipping, Inc. v. Natividad (2005). It also awarded one-month sickness allowance and attorney’s fees.
The National Labor Relations Commission (NLRC) affirmed this decision on June 5, 2012, despite a Motion for Reconsideration by Rickmers, which was ultimately denied.
Dissatisfied, Rickmers filed a Rule 65 Petition with the Court of Appeals (CA), which on August 8, 2013, partially granted the petition by downgrading Montierro’s award to a Grade 10 permanent partial disability benefit and dropping the attorney’s fees, basing its decision on the application of the 240-day rule from Vergara v. Hammonia Maritime Services, Inc. (2008) and the primacy of the company-designated physician’s assessment.

Whether the 120-day rule (Crystal Shipping doctrine) or the 240-day rule (as extended by Vergara) should apply, given the timing of Montierro’s complaint and subsequent medical assessments.

Whether the medical assessment and final disability grading of the company-designated physician should prevail over the assessment of Montierro’s personal physician of choice.

Whether Montierro is entitled to attorney’s fees based on his assertion that he was compelled to litigate due to Rickmers’ conduct, in the absence of a showing of bad faith or unlawful withholding of benefits.