Title
Southeastern Shipping vs. Navarra, Jr.
Case
G.R. No. 167678
Decision Date
Jun 22, 2010
Seafarer's death from Hodgkin's Disease post-contract; claim not prescribed but denied due to lack of work-related causation and contract expiration.

Case Summary (G.R. No. 167678)

Factual Antecedents

Federico U. Navarra, Jr. was employed by Southeastern Shipping to work on the vessel "George McLeod" under ten successive employment contracts from October 5, 1995, to March 30, 1998. His final contract was approved by the Philippine Overseas Employment Administration (POEA) on January 21, 1998, allowing for a duration of 56 days, extendable for an additional 56 days. While onboard, he experienced health issues starting March 6, 1998, culminating in a diagnosis of Hodgkin's Lymphoma on June 4, 1998. Federico filed a complaint for disability benefits on September 6, 1999, but passed away on April 29, 2000. His widow Evelyn subsequently pursued death benefits.

Ruling of the Labor Arbiter

The Labor Arbiter dismissed Evelyn's complaint on May 10, 2000, asserting that Hodgkin's Lymphoma was not classified as an occupational disease and that the claim lacked merit.

Ruling of the National Labor Relations Commission (NLRC)

The NLRC reversed the Labor Arbiter's decision on May 7, 2003, ruling that petitioners were liable to pay Evelyn death compensation of $50,000, allowances for minor children, and burial expenses, totaling $72,000 plus attorney's fees.

Ruling of the Court of Appeals

The Court of Appeals upheld the NLRC's decision, finding that the claim for death benefits had not prescribed and that the cause of Federico’s death, which was related to the illness incurred during employment, necessitated compensation despite the expiration of his contract.

Issues Raised by Petitioners

Petitioners contended that the appeals court erred in:

  1. Ruling that the prescription period for the complaint had not expired.
  2. Classifying Hodgkin's Disease as a compensable illness under the employment contract.
  3. Concluding that they were liable for benefits since Federico's death occurred after the termination of his contract.

Petitioners' Arguments

Petitioners maintained that the Court of Appeals' determinations lacked evidentiary support, arguing that Federico was treated for an acute respiratory tract infection rather than Hodgkin's Disease while onboard. They also emphasized that the claim had prescribed due to its filing 17 months post-contract and that comprehensive evidence substantiated that the cause of death was unconnected to his employment.

Respondents' Arguments

In response, respondents argued that the claims were timely as the prescriptive period extends three years from when the cause of action arises. They asserted that Hodgkin's Disease stemmed from conditions experienced while onboard, thus making it compensable.

Our Ruling

The petition was partially granted, affirming the finding that the death benefits claim had not yet prescribed. Nonetheless, the court ruled that petitioners were not liable for deat

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