G.R. No. 242328 - UCPB General Insurance, Co., Inc. vs. Pascual Liner, Inc.

On September 21, 2005, UCPB General Insurance Co., Inc. (petitioner) issued Comprehensive Car Insurance Policy No. DLS05MD-MNP111436 to its assured, Rommel B. Lojo, covering a 1997 BMW A/T 2000 four-door sedan (insured vehicle, plate JMU-777).
On December 9, 2005 at around 3:30 p.m., the insured vehicle was cruising northbound on the South Luzon Expressway (SLEX) in front of Concepcion Bldg., Sucat, Parañaque City, when it was struck on the rear by a Pascual Liner, Inc. bus (plate PWN-447) driven by Leopoldo L. Cadavido. The impact pushed the BMW forward into an aluminum van (plate TNR-217) driven by Nilo L. Nuñez.

Traffic Management and Security Department of PNCC Skyway Corporation prepared a Traffic Accident Sketch (Solomon Tatlonghari).
Philippine National Police (PO3 Joselito Quila) prepared a Traffic Accident Report describing the collision sequence.
Lojo’s BMW was declared beyond economical repair; petitioner paid Lojo ₱520,000 and received a Release of Claim and waiver of rights over the vehicle.

November 12, 2009: Petitioner filed a complaint for sum of money before RTC (later MeTC) for ₱350,000 (amount paid minus salvage value), alleging subrogation under Art. 2207, NCC.
MeTC Branch 63 initially dismissed for non-compliance with summons service on Cadavido; on reconsideration, it held respondent liable for ₱350,000 plus interest, attorney’s fees and costs, applying res ipsa loquitur.
RTC Branch 66 (September 22, 2016) affirmed the MeTC decision in toto; denied petitioner’s motion for reconsideration (January 5, 2017).
Court of Appeals (CA) in CA-G.R. SP No. 149281 (June 13, 2018; Resolution September 28, 2018) reversed the RTC, dismissed the complaint, ruling that the Traffic Accident Sketch and Report were inadmissible hearsay not falling under “Entries in Official Records.”
Petitioner filed a petition for review on certiorari under Rule 45 before the Supreme Court.

Whether the CA erred in ruling that under Rule 130, Sec. 40 of the Rules on Evidence (Entries in Official Records), the Traffic Accident Report was inadmissible for lack of personal knowledge by the reporting officer.
Whether the CA erred in not applying the doctrine of res ipsa loquitur to establish negligence despite the hearsay nature of the Traffic Accident Report and Sketch.