Title
National Power Corp. vs. Court of Appeals
Case
G.R. No. 96410
Decision Date
Jul 3, 1992
Typhoon "Kading" caused a flood near Angat Dam; NPC's negligence in water release and ineffective warnings led to damages, making them liable despite force majeure.

Case Digest (G.R. No. 96410)

Facts:

  • Parties and Background
    • Petitioners:
      • National Power Corporation (NPC)
      • Benjamin Chavez, Plant Superintendent of NPC
    • Respondents:
      • Several private parties (Ricardo Cruz, Domingo Cruz, Fernando Cruz, Leopoldo Cruz, Maria Cruz, Maura Marcial, Juan Palad, Nicanor Palad, Zosimo Palad, Nicasio San Pedro, Felimon Santos, Isaias Santos, Jeremias Santos) who suffered damages as a result of the incident.
    • Nature of the Case:
      • A petition for review on certiorari was filed by the petitioners challenging the decision of the Court of Appeals which affirmed the lower court’s ruling awarding substantial damages along with interest, attorney’s fees, litigation expenses, and costs against them.
  • Timeline and Circumstances of the Incident
    • Date and Weather Event:
      • In the early morning hours of October 27, 1978, during Typhoon “Kading,” a massive flood engulfed towns near the Angat Dam, particularly affecting Norzagaray.
    • Impact of the Flood:
      • Numerous casualties, destruction of houses, farms, plants, and the loss of livestock and other properties were reported.
    • Alleged Cause:
      • Respondents contended that the unannounced and simultaneous opening of all three spillways of the Angat Dam caused the sudden flood, as the water came in swiftly and with great force.
  • Dam Management and Actions Taken
    • Petitioners’ Position:
      • Claimed that the water level in the dam had been maintained at a safe level.
      • Argued that the spillways were opened gradually and that all precautionary measures were taken.
      • Asserted that they had issued written warnings in advance to alert the municipalities about the potential danger.
    • Contradictory Evidence and Events:
      • Evidence and testimonies showed that from October 21 until midnight of October 26, the dam was kept at its maximum capacity.
      • At 2100 hours on October 26, NPC began to open the floodgates, and within a few hours (from 1 meter to a full-scale opening of 14 to 14.5 meters), the dam released massive amounts of water.
      • The notices of warning, although sent, were inadequately delivered to responsible municipal officials, rendering them ineffective.
  • Award of Damages and Additional Orders
    • Award Details by the RT Court:
      • The trial court ruled in favor of the respondents by awarding specific amounts in damages, interest (12% per annum), attorney’s fees, and litigation expenses.
    • Appellate Review:
      • The Court of Appeals affirmed the trial court’s decision, which the petitioners sought to review on certiorari.

Issues:

  • Applicability of Force Majeure as a Defense
    • Can the petitioners invoke the typhoon (“act of God”) to escape liability for the flood damage?
    • Does the occurrence of a fortuitous event absolve the operators from the consequences of their actions?
  • Adequacy and Effectiveness of the Warning
    • Was the written notice of warning given by the petitioners sufficient to meet their duty of care?
    • Did the manner of delivery (addressed to non-responsible municipal employees or police personnel) relieve the petitioners of their liability?
  • Nature of the Damage Incurred
    • Does the damage suffered by the respondents qualify as damnum absque injuria, implying that although there was physical damage no legal injury occurred?
    • Is the damage legally attributable to the negligence of the petitioners rather than to an unavoidable act of nature?
  • Concurrent Liability and Negligence
    • Does the doctrine set forth in Juan F. Nakpil & Sons apply, holding an obligor liable even when a fortuitous event (typhoon) has occurred concurrently with negligent conduct?
    • Is there sufficient evidence to prove that the negligence in handling the dam’s operations contributed directly to the damages?
  • Entitlement to Counterclaim
    • Should the petitioners be allowed to counterclaim for attorney’s fees and litigation expenses given their alleged compliance with the duty to warn?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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