Title
Williams vs. Yangco
Case
G.R. No. 8325
Decision Date
Mar 10, 1914
In 1911, *Subic* and *Euclid* collided in Manila Bay; both found negligent. Supreme Court ruled under Article 827 of the Code of Commerce: each bears own loss, dismissing claims.

Case Digest (G.R. No. 8325)
Expanded Legal Reasoning Model

Facts:

  • Collision Incident
    • The incident occurred in the Bay of Manila at an early hour on January 9, 1911.
    • Two vessels were involved: the plaintiff’s launch Euclid and the defendant’s steamer Subic.
    • Shortly after the collision, the Euclid sank within five minutes.
  • Vessel Ownership and Valuation
    • The plaintiff, C. B. Williams, owned the launch Euclid, while the defendant, Teodoro R. Yangco, owned the steamer Subic.
    • The Euclid was appraised at a fair valuation of P10,000 as determined by the evidence presented at trial.
  • Negligence and Fault
    • Evidence showed that both vessels were negligent: the officers of the Euclid and the steamer Subic were both found to be at fault.
    • The trial judge’s careful summary of the evidence emphasized that both patrons (including the named patron Hilarion Millonario on the steamer) were distracted and negligent in fulfilling their duties.
    • Testimonies indicated that with even a little more diligence either vessel could have avoided the disaster.
  • Trial Court’s Findings
    • The lower court found that both parties were responsible for the collision and ruled that the loss should be equally divided.
    • Consequently, damages were allocated equally: the plaintiff was awarded P5,000 while the plaintiff also bore P5,000 of the loss himself.
  • Legislative Framework Considered
    • The trial judge referred to section 3, title 4, Book III of the Code of Commerce, particularly Article 827.
    • Article 827 stipulates that if both vessels are at fault, “each one shall be liable for its own damages,” meant primarily for losses related to cargoes.

Issues:

  • Applicability of Article 827 of the Code of Commerce
    • Whether the statutory provision obligates each vessel owner to bear their own damages when both are found negligent.
    • The distinction between damages to the vessel versus those to cargo, as Article 827 specifically addresses cargo loss.
  • Evaluation of the "Last Clear Chance" Doctrine
    • Whether the defendant’s alleged opportunity to avoid the collision by a simple maneuver renders him solely liable.
    • If the doctrine could be invoked to shift full responsibility despite evidence of mutual negligence.
  • Adequacy of the Trial Court’s Joint Liability Award
    • Whether the trial court properly divided the loss equally between the plaintiff and the defendant.
    • If assigning joint liability is consistent with the plain language of the Code of Commerce when only vessel loss (and not cargo loss) is at stake.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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