Title
Olaybal vs. OSG Shipmanagement Manila, Inc.
Case
G.R. No. 211872
Decision Date
Jun 22, 2015
A seafarer's claim for total permanent disability benefits is denied as he failed to comply with the proper procedure, but he is awarded partial permanent disability benefits and attorney's fees in the case against his employer.
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Case Digest (G.R. No. 211872)

Facts:

  • Romil T. Olaybal worked as a seafarer for OSG Shipmanagement from August 18, 2002, to October 1, 2010.
  • His final contract was from June 7, 2010, to October 1, 2010, for the vessel Overseas Sakura, governed by a collective bargaining agreement (CBA).
  • He was declared "Fit to Work" following a Pre-Employment Medical Examination (PEME).
  • Olaybal suffered an eye injury from SAF acid while repairing a fresh water generator.
  • Despite worsening symptoms, he continued to work until he reported the injury to the Chief Engineer in Qingdao, China.
  • He was diagnosed with retinal detachment and cataract, necessitating immediate surgery in Tianjin.
  • Due to visa complications, he remained on the vessel until his repatriation to Manila on October 7, 2010.
  • After multiple medical evaluations and surgery, he applied for permanent disability benefits on March 24, 2011.
  • The Labor Arbiter awarded him full disability benefits, but the NLRC and Court of Appeals modified this to partial benefits and denied full disability and moral damages.

Issue:

  • (Unlock)

Ruling:

  • The Supreme Court denied Olaybal's petition and upheld the Court of Appeals' Amended Decision dated March 24, 2014.
  • Olaybal was entitled only to partial permanent disability benefits equivalent to Grade 7.
  • The removal of moral an...(Unlock)

Ratio:

  • Olaybal's claim for total and permanent disability benefits was premature due to unfulfilled procedural requirements of the POEA-SEC and the CBA.
  • The assessment of Grade 7 by the company-designated physician was essential for determining benefits.
  • A temporary total disability does not automatically transition to permanent disability without a definitive declaration from the physician...continue reading

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