G.R. No. 241674 - Razonable vs. Maersk-Filipinas Crewing, Inc.

Respondents, Maersk-Filipinas Crewing, Inc. and A.P. Moller A/S, are corporations engaged in the maritime industry, with Maersk acting as the manning agency.
On March 24, 2015, Zaldy C. Razonable entered into a Contract of Employment with A.P. Moller through Maersk to work as an Ordinary Seaman aboard the vessel MN Maren Maersk.
His employment was governed by the Collective Bargaining Agreement (CBA) of the Associated Marine Officers’ and Seamen’s Union of the Philippines PTGWO-ITF and the Danish Shipowners’ Association, and was for a six-month term with a basic monthly salary of US$450.00.

On May 6, 2015, while working on board, Razonable experienced a sudden click in his back accompanied by mild to moderate pain during heavy physical exertion.
He was given first aid and confined to his cabin.
On June 11, 2015, he was admitted to a hospital and diagnosed with “Prolapse Lumbar Disc L4-L5 and L5-S1, back pain with Sciatica,” with recommendations for further treatment and possible surgery.

After repatriation on June 17, 2015, Razonable was examined by company-designated physicians at Marine Medical Services in Manila.
He was referred to an orthopedic surgeon, Dr. Rodolfo P. Bergonio, who recommended and performed Laminectomy L4-L5 and Discectomy L5 on July 27, 2015, followed by the provision of a lumbar corset and scheduled physical therapy and rehabilitation until October 9, 2015.
Dr. Mylene Cruz-Balbon provided a follow-up report, and Dr. Bergonio later issued a “final” disability assessment indicating Disability Grade 11, equating to a 1/3 loss of lifting power of the trunk, thereby declaring him unfit for work.
Disagreeing with the offered disability benefits based on a partial disability assessment, Razonable sought a second opinion from Dr. Manuel Fidel Magtira, whose December 14, 2015 Medical Report concluded that Razonable was permanently unfit to resume his sea duties.

In a letter dated February 2, 2016, Razonable’s counsel communicated his client’s willingness to undergo a third medical evaluation to confirm the disability and his claim for total and permanent disability benefits under the law and the CBA.
The respondents failed to initiate the process for a third opinion as required by law.
Consequently, Razonable filed a complaint with the National Conciliation and Mediation Board (NCMB), claiming total and permanent disability benefits amounting to US$80,000.00, plus moral damages and attorney’s fees.

On August 19, 2016, the NCMB ruled in favor of Razonable, ordering respondents to pay permanent, total disability benefits of US$80,000.00 (or its peso equivalent) along with attorney’s fees amounting to 10% of the award.
The respondents’ Motion for Reconsideration was denied.
The respondents then petitioned for review under Rule 43 with the Court of Appeals (CA).
On May 4, 2018, the CA set aside the NCMB ruling, holding that Razonable was only entitled to Disability Grade 11 benefits—amounting to approximately US$7,465.00—and that his claim for attorney’s fees lacked legal basis.
Razonable’s subsequent Motion for Reconsideration before the CA was also denied, leading him to file a petition under Rule 45.

Examination of the company-designated physicians’ reports revealed that the so-called “final” disability grading was not definitive; one report still anticipated further medical evaluation, while another presented a conflicting assessment declaring him unfit for work.
Such conflicting and incomplete assessments undermined the validity of the “final” medical determination required to limit the claim to partial disability benefits.

Whether Razonable is entitled to total and permanent disability benefits under the applicable CBA and relevant employment law.

Whether the company-designated physicians issued a valid and final medical assessment within the prescribed periods mandated by the POEA-SEC.
Whether the conflicting and incomplete medical reports effectively render Razonable totally and permanently disabled.
Whether the correct CBA applicable to Razonable is that for Filipino crew members (“ratings”)—entitling him to a maximum of US$60,000.00—rather than the one for officers.
Whether Razonable is also entitled to recover ten percent (10%) attorney’s fees in addition to the disability benefits.