Title
Philippine National Construction Corp. vs. Court of Appeals
Case
G.R. No. 159270
Decision Date
Aug 22, 2005
A 1993 accident on NLEX involving scattered sugarcane led to injuries and vehicle damage. PASUDECO and PNCC were held jointly liable for negligence in road maintenance and hazard clearance, despite contributory negligence by the driver.

Case Summary (G.R. No. 159270)

Background Facts

PASUDECO was granted permission by the Toll Regulatory Board (TRB) to use NLEX for transporting sugarcane due to the damage of alternative routes caused by the Mount Pinatubo eruption. The resulting Memorandum of Agreement (MOA) established terms for PASUDECO’s use of NLEX, including provisions for highway safety and the responsibility for any damages incurred. On January 23, 1993, after PASUDECO workers cleared a significant amount of sugarcane from the road, some flattened stalks remained, leading to a vehicle accident involving Arnaiz, Latagan, and Generalao.

Legal Proceedings

The victims subsequently filed a complaint for damages in the Regional Trial Court (RTC) against both PASUDECO and PNCC. They alleged negligence on part of both parties: PNCC for failing to maintain a safe roadway and PASUDECO for carelessly spilling sugarcane on the highway. The RTC found PASUDECO liable but dismissed the complaints against PNCC. Both parties appealed to the Court of Appeals, which modified the RTC decision, holding both defendants jointly liable while recognizing Arnaiz's contributory negligence.

Arguments and Tribunal Decisions

In appealing to the Supreme Court, PNCC contended that the trial court was correct in determining PASUDECO's liability and disputed any claim of negligence on their part. They cited the MOA's responsibility clause, asserting that PASUDECO bore the liability for damages. However, the Supreme Court identified that PNCC, as the entity responsible for maintaining safe conditions on the expressway, failed to exhibit necessary diligence in ensuring safety measures were adequately implemented after PASUDECO's activities.

Determination of Negligence and Liability

The Court elaborated on the standards for negligence under Philippine law, noting that both damaged caused and the operator's fault must be connected. It reiterated the definition of negligence and the requisite standard of care expected from entities responsible for public safety. The Court concluded that the remnants of sugarcane, combined with the premature removal of warning signs, constituted negligence on the

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