Pioneer Ceramics v. Samia

G.R. No. L-28819 · 1970-06-23 · J. MAKALINTAL, J.: · Primary: Labor; Secondary: Remedial
REITERATION

Facts

The Antecedents: Eliseo O. Samia, employed as a plant mechanic (foreman) by Pioneer Ceramics, Inc. since 1956, failed to report for work on October 8, 1965. He filed a notice of injury or sickness and claim for compensation on June 10, 1966, alleging he contracted pulmonary tuberculosis due to the nature of his work and that he notified the general manager on October 8, 1965. The company received blank forms from the Regional Office No. 4 on July 20, 1966, but did not accomplish or return them. Instead, on July 7, 1966, the company wrote to the Regional Office controverting any claim on the ground that the illness was not work-connected. The company claimed this letter was sent due to a rumor and that Samia personally claimed compensation on July 27, 1966, after which they filed an Employer's Report on July 29, 1966. Procedural History: The Acting Chief Referee of Regional Office No. 4 issued a compensation award on September 7, 1966, considering the claim uncontroverted due to the late controversion letter. The award was based on a physician's report stating the illness was directly caused by the nature of the employment due to probable exposure to dust. The company moved for reconsideration, and the claimant opposed. A hearing was set for July 25, 1967, for additional evidence. The company's counsel received notice the day before but failed to appear on time. The claimant testified about his work involving physical effort and exposure to heat and dust. On August 3, 1967, the Commissioner affirmed the award. The company's petition for review with the Commission en banc, seeking reinstatement of the right to controvert, was denied. The Petition: Pioneer Ceramics, Inc. filed a petition for review before the Supreme Court, raising issues regarding the timeliness of the controversion, the timeliness of the notice and claim, and the admissibility of the physician's report and additional testimony.

Issue(s)

Whether the petitioner filed a timely controversion of the respondent's claim for compensation. Whether the respondent's notice of injury or sickness and claim for compensation were filed out of time. Whether the physician's report and the claimant's testimony constitute admissible evidence for the award.

Ruling

The decision of the Workmen's Compensation Commissioner is affirmed. The award in favor of Eliseo O. Samia is upheld.

Ratio Decidendi

On the timeliness of the controversion: The Court held that the petitioner failed to file a timely controversion. Section 45 of the Workmen's Compensation Act requires the employer to file a notice of controversion within fourteen days of disability or ten days after knowledge of the alleged accident. The petitioner had knowledge of the respondent's illness as early as December 3, 1965, when the Social Security System informed them about the claimant's application for sickness allowances. The company even advanced these allowances. Therefore, their letter of controversion dated July 7, 1966, was significantly beyond the statutory period. The Court rejected the petitioner's argument that Section 45 applies only to accidents and not sickness, citing Section 39(c) of the Act which explicitly includes sickness within the definition of 'injury or personal injuries'. The failure to controvert timely constitutes a renunciation of the right to do so, unless reasonable grounds for the delay are presented and accepted by the Commissioner, which was not the case here. On the timeliness of the notice and claim: The Court found that the notice of injury or sickness and claim for compensation, filed on June 10, 1966, was not out of time. Even if it were considered late, the Court reiterated its settled ruling that the failure to file the notice and claim within the prescribed time under Section 24 of the Act is non-jurisdictional and does not bar the claim if the employer fails to controvert the claim. In this case, the employer's failure to controvert timely rendered the issue of the timeliness of the notice and claim moot, as the claim was deemed uncontroverted. On the admissibility of evidence: The Court affirmed the admissibility of the physician's report, even if it were hearsay under common law rules. Citing the case of National Development Co. vs. WCC, the Court stated that such reports are admissible under Section 49 of the Workmen's Compensation Act and can be considered along with sworn testimony. Furthermore, the claimant's own testimony regarding the nature of his work, which involved exposure to dust and physical effort, constituted substantial evidence supporting the award. The Court also found no error in allowing the presentation of additional evidence, specifically the claimant's testimony, during the motion for reconsideration phase, as this is permitted under the sixth paragraph of Section 49 of the Act, which allows the Commissioner, in his discretion, to take or order the taking of additional testimony.

Main Doctrine

The failure of an employer to timely controvert a claim for compensation, as required by Section 45 of the Workmen's Compensation Act, constitutes a renunciation of the right to controvert, unless reasonable grounds for the delay are shown and accepted by the Commissioner. Such failure is not cured by a belated controversion or by the employer's participation in subsequent proceedings without asserting this right from the outset.

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