Title
PhilTranco Service Enterprises, Inc. vs. Court of Appeals
Case
G.R. No. 120553
Decision Date
Jun 17, 1997
Bus driver grossly negligent in jump-starting bus, causing fatal accident; employer solidarily liable. Damages awarded but reduced as excessive.
A

Case Digest (G.R. No. 114145)

Facts:

  • Background and Procedural History
    • The case involves petitioners Philtranco Service Enterprises, Inc. and its driver Rogaciones Manilhig, who were sued for damages arising from a vehicular accident.
    • The action was instituted by the heirs of the late Ramon A. Acuesta for the death and injuries resulting from the accident.
    • The petitioners initially lost in the Regional Trial Court, Calbayog City, in Civil Case No. 373, where the court ordered them to pay various damages, including actual, death indemnity, moral, exemplary damages, attorney’s fees, and costs of suit.
    • The Court of Appeals affirmed the trial court’s decision in its 31 January 1995 ruling.
    • The petitioners subsequently raised issues on appeal under Rule 45 of the Rules of Court before the Supreme Court.
  • Factual Background of the Incident
    • On the morning of 24 March 1990, Ramon A. Acuesta was riding his bicycle along Gomez Street in Calbayog City near Nijaga Park.
    • At the same time, a Philtranco bus (Bus No. 4025, plate No. EVA-725) driven by Manilhig was being push-started on Magsaysay Blvd., which runs perpendicular to Gomez Street.
    • As the bus’s engine started abruptly, its motion became enhanced suddenly, and the bus bumped into the victim who was directly in its path.
    • The victim, after being struck, fell and was subsequently run over by the bus.
    • Despite the collision, the bus did not immediately stop as it continued toward the Rosales Bridge.
    • A police officer, P/Sgt. Yabao, observed the occurrence while jogging along Gomez Street, signaled the driver to halt, and later assisted in securing the scene and initiating an investigation.
  • Evidence and Presentation at Trial
    • The private respondents (the heirs) presented eight witnesses to support their version of events, and there was an attempt to introduce a ninth witness which was eventually withdrawn.
    • The trial court summarized the evidence detailing the abrupt engine start of the bus, the act of being pushed, the resultant bump, and subsequent run over of the victim.
    • The petitioners, in their Answer, refuted the respondents’ version by alleging that the victim’s own negligence—specifically his abrupt maneuver while overtaking two tricycles—was the cause of the accident, not any inattention on the part of the bus driver.
  • Procedural and Evidentiary Issues
    • The petitioners did not present their evidence at the trial because their counsel failed to appear on the scheduled hearings (30 and 31 March 1992).
    • It was held that the absence of the petitioners’ counsel constituted a waiver of their right to present further evidence, especially since no motion for postponement was filed.
    • The trial court declared the case submitted for decision based solely on the private respondents’ evidence.
  • Damages Awarded and Subsequent Motions
    • The trial court awarded:
1) Actual damages of P55,615.72; 2) Death indemnity of P200,000; 3) Moral damages of P1,000,000; 4) Exemplary damages of P500,000; and 5) Attorney’s fees of P50,000, along with the costs of suit.
  • Petitioners appealed, raising errors in barring evidence presentation, assignment of fault to their driver instead of the victim, and in the award and computation of damages.
  • The Supreme Court, upon reviewing the case and the record, partially granted the petition by modifying the damages awarded, reducing the amounts for death indemnity, moral damages, exemplary damages, and attorney’s fees.

Issues:

  • Waiver of the Petitioners’ Right to Present Evidence
    • Whether the absence of the petitioners’ counsel at scheduled hearings constituted a waiver of their right to present evidence, and if due process was observed in the proceedings.
  • Attribution of Fault and Negligence
    • Whether the trial court and Court of Appeals correctly found that petitioner Manilhig’s actions, particularly in jump-starting the bus in a busy area, amounted to gross negligence and were the proximate cause of the accident.
    • Whether the doctrine of the “last clear chance” invoked by the petitioners was appropriately rejected, considering the victim’s inability to anticipate the danger presented by the abruptly accelerated bus.
  • Basis and Computation of Damages
    • Whether the award for death indemnity should be computed on the basis of loss of earning capacity (as argued by the respondents) or as a basic indemnity for death, considering there was no evidence provided regarding the victim’s earning capacity and life expectancy.
    • Whether the amounts awarded for moral damages and exemplary damages were excessive or unreasonable, and thus subject to modification.
    • Whether the award for attorney’s fees was appropriate under the circumstances, taking into account the general principle that such fees may not be recovered as part of damages except in specific instances enumerated by law.
  • Solidary Liability of the Employer
    • Whether petitioner Philtranco, as the employer, can be held solidarily liable for the acts of its driver despite the defendant claiming that it exercised due diligence in the selection and supervision of its employees.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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