Title
Pentagon International Shipping Inc. vs. Adelantar
Case
G.R. No. 157373
Decision Date
Jul 27, 2004
Seafarer Adelantar's illegal dismissal case hinged on conflicting contracts; Supreme Court ruled POEA-approved 12-month contract governed, awarding unexpired salary plus attorney’s fees.

Case Digest (G.R. No. 157373)

Facts:

Pentagon International Shipping, Inc. v. William B. Adelantar, G.R. No. 157373, July 27, 2004, First Division, Ynares‑Santiago, J., writing for the Court.

On August 16, 1997, William B. Adelantar was employed by Dubai Ports Authority of Jebel Ali under a foreign contract (the first contract) providing for an unspecified (unlimited) period and, after probation, a monthly salary of Dhs 5,890.00 as Tug Master. On September 3, 1997, Adelantar and Pentagon International Shipping, Inc., acting for and on behalf of Dubai Ports Authority, executed a POEA Standard Employment Contract (the second contract) providing for a 12‑month term with a basic monthly salary of US$380.00 and fixed overtime of US$152.00.

After completing probation, Adelantar’s pay was increased effective April 1, 1998. On June 11, 1998, he was barred from the port, relieved of his health and employment card, and received a letter terminating him for allegedly assaulting a superior; he was later repatriated after nine months and seven days of service. After nearly a year without reemployment, Adelantar filed an illegal dismissal complaint with money claims before the NLRC (docketed NLRC NCR OFW (M) 99‑05‑0693).

The Labor Arbiter found the dismissal illegal and awarded Dhs 24,738.00 (three months’ salary inclusive of overtime), denying other claims. The NLRC affirmed illegality but limited the award to three months’ basic salary (excluding overtime), applying Section 10 of R.A. No. 8042 (the Migrant Workers and Overseas Filipinos Act of 1995). Adelantar sought further relief with the Court of Appeals by petition for certiorari.

In CA‑G.R. SP No. 62839, the Court of Appeals (decision dated September 26, 2002) modified the NLRC and awarded full backwages from dismissal until finality, holding that Section 10 of R.A. No. 8042 did not apply because Adelantar’s first contract was for an unlimited period and that Article 279 of the Labor Code should govern. Pentagon filed a petition for...(Pro-only)

Issues:

  • Did the Court of Appeals properly base the backwages award on the first (unsanctioned, unlimited) contract and apply Article 279 of the Labor Code instead of the POEA Standard Employment Contract and Section 10 of R.A. No. 8042?
  • Was the award of attorneys’ fees t...(Pro-only)

Ruling:

  • (Pro-only)

Ratio:

  • (Pro-only)

Doctrine:

  • (Pro-only)

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