Title
Supreme Court
Tiu vs. Arriesgado
Case
G.R. No. 138060
Decision Date
Sep 1, 2004
A vehicular accident involving a bus and a stalled truck led to injuries and death. Courts ruled both drivers negligent, holding bus operator, truck owner, and insurer jointly liable for damages.

Case Digest (G.R. No. 138060)
Expanded Legal Reasoning Model

Facts:

  • Accident circumstances
    • On March 15–16, 1987, at Sitio Aggies, Poblacion, Compostela, Cebu, a cargo truck owned by Benjamin Condor and driven by Sergio Pedrano (plate GBP-675) blew a rear tire while en route from Bogo to Cebu City.
    • Pedrano parked the truck along the right side of the two-lane highway, removed the damaged tire for vulcanizing at a nearby shop, and placed a spare tire about six fathoms behind the stalled vehicle as a warning device; tail lights were left on.
    • At about 4:45 a.m. on March 16, Virgilio Te Laspiñas drove a Da Rough Riders passenger bus (plate PBP-724), owned by William Tiu, toward Cebu City. Spotting the stalled truck approximately 25 m ahead, he applied the brakes and swerved left but still collided with the truck’s left rear.
    • Several bus passengers were injured; Pedro A. Arriesgado sustained a right Colles fracture, and his wife Felisa later died of her injuries.
  • Procedural history
    • On May 27, 1987, Arriesgado sued Tiu and Laspiñas in RTC Cebu City, Branch 20, for breach of contract of carriage, damages, and attorney’s fees, alleging reckless driving and lack of utmost diligence.
    • Tiu and Laspiñas filed a third-party complaint against Condor, Pedrano, and their insurer Philippine Phoenix Surety and Insurance, Inc. (PPSII), claiming the truck was illegally parked without proper warning devices in violation of RA 4136, § 34(g).
    • The trial court found Laspiñas negligent, held Tiu strictly liable as common carrier, and awarded Arriesgado actual, moral, exemplary damages, attorney’s fees, and costs; PPSII was not held liable for lack of evidence.
    • The CA affirmed with modification—reducing moral and exemplary damages to ₱25,000 each—and the petitioners elevated the case to the Supreme Court via Rule 45 petition.

Issues:

  • Whether bus driver Virgilio Te Laspiñas was negligent in operating the vehicle.
  • Whether owner/operator William Tiu, as a common carrier, fulfilled his obligation of extraordinary diligence.
  • Whether Condor and Pedrano were negligent in parking the truck without adequate warning devices and thus jointly liable.
  • Whether the doctrine of last clear chance applies to relieve the carrier of liability.
  • Whether PPSII is directly liable under the compulsory motor vehicle liability insurance (CMVLI) contract.
  • Whether the awards for indemnity, actual, moral, exemplary damages, and attorney’s fees were proper.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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