Case Digest (G.R. No. 157917)
Facts:
In Spouses Teodoro and Nanette Perena v. Spouses Nicolas and Teresita L. Zarate, Philippine National Railways, and the Court of Appeals (G.R. No. 157917, August 29, 2012), petitioners Teodoro (also styled Teodorico) and Nanette Perena operated a paid school‐bus service in Parañaque City. They employed Clemente Alfaro as driver of their KIA Ceres van (Plate No. PYA 896), designed to carry 14 students to Don Bosco Technical Institute in Makati. On August 22, 1996 at about 6:45 a.m., Alfaro, to beat heavy traffic on the South Superhighway, diverted the van onto a narrow, unofficial shortcut under the Magallanes Interchange. The unguarded railroad crossing there lacked warning signs or barriers. Following closely behind a passenger bus and with loud music playing, Alfaro failed to stop or look, misjudged approach of PNR Commuter No. 302 (driven by Jhonny Alano), and the train struck the rear of the van. Fifteen‐year‐old Aaron John L. Zarate, the van’s passenger, was thrown onto theCase Digest (G.R. No. 157917)
Facts:
- Parties and Contract of Carriage
- Petitioners Teodoro and Nanette Perenas operated a school bus service from Parañaque City to Don Bosco Technical Institute in Makati City, using a 14-passenger KIA Ceres van driven by their employee Clemente Alfaro.
- Respondents Spouses Nicolas and Teresita Zarate engaged the Perenas in June 1996 to transport their 15-year-old son Aaron John L. Zarate to and from school for a fixed fee.
- Accident Circumstances
- On August 22, 1996 at about 6:45 a.m., with 14 students aboard, the van detoured under the Magallanes Interchange—a narrow shortcut marked by construction materials, parked jeepneys, and an ungated railroad crossing without warning signs or personnel.
- Alfaro followed a passenger bus across the tracks with the van’s air-conditioning on and stereo playing loudly; his view of an oncoming PNR Commuter No. 302 train was blocked, and despite horn warnings and emergency braking by the train operator, the train struck the van’s rear, ejecting and fatally injuring Aaron.
- Procedural History
- The Zarates sued Alfaro (driver), the Perenas (breach of contract of carriage), and Philippine National Railways (PNR) (quasi-delict). Alfaro was not served; the Perenas and PNR filed answers and cross-claims.
- The Regional Trial Court (RTC) found both the Perenas and PNR negligent and jointly and severally liable, awarding over ₱7 million in various damages. The Court of Appeals (CA) affirmed with modification (reduced actual and moral damages, deleted attorney’s fees, retained loss of earning capacity). Petitioners sought certiorari review before the Supreme Court.
Issues:
- Liability
- Are the Perenas and PNR jointly and severally liable for negligence causing Aaron’s death?
- Loss of Earning Capacity
- May indemnity for a deceased minor’s loss of earning capacity be awarded absent any prior earnings?
- Quantum of Damages
- Are the awarded moral (₱2.5 million) and exemplary (₱1 million) damages excessive and subject to reduction?
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)