TSM Shipping (Phils.), Inc. v. De Chavez

G.R. No. 198225 · 2017-09-27 · J. DEL CASTILLO, J.: · Primary: Labor; Secondary: Civil
REITERATION

Facts

The Antecedents: On August 23, 2005, TSM Shipping (Phils.), Inc., and MST Marine Services Phils., Inc. (petitioners) hired Ryan Pableo De Chavez as chief cook aboard the oil tanker vessel Haruna Express for a nine-month period. On February 26, 2006, Ryan was discovered deceased in his cabin bathroom, found hanging by the shower cord. His surviving spouse, Shirley De Chavez (respondent), subsequently filed a complaint seeking death benefits. Procedural History: The Labor Arbiter (LA) dismissed Shirley's complaint, finding that the evidence indicated Ryan's death was self-inflicted. The National Labor Relations Commission (NLRC) affirmed the LA's decision, concluding that the petitioners had sufficiently proven suicide. However, the Court of Appeals (CA) granted Shirley's petition for certiorari, reversing the NLRC's ruling. The CA found insufficient evidence of suicide and remanded the case for computation of death benefits. The CA's decision was later denied reconsideration. The Petition: Petitioners seek review on certiorari of the CA's decision, arguing that the CA committed a serious error of law by awarding death benefits despite undisputed evidence of suicide. They contend that the CA disregarded the factual findings of the LA and NLRC, which were based on substantial evidence, including a Medical Certificate of Death from Ulsan City Hospital and an Investigation Report from INTECO. Petitioners assert that the CA's findings were speculative and that the evidence clearly shows Ryan's death was self-inflicted, thus precluding compensation under Section 20(D) of the POEA contract.

Issue(s)

Whether the Court of Appeals committed serious error of law in awarding death compensation benefits under Section 20(A) of the POEA contract despite undisputed evidence which clearly show that the seafarer died by his own hand. Whether the award of death compensation benefits is unjustified under the facts and evidence of the case and plainly contrary to Section 20(D) of the governing POEA contract, considering the authority and credibility of the INTECO Report and the absence of an official police autopsy report.

Ruling

The Supreme Court granted the Petition, annulled and set aside the Court of Appeals' Decision and Resolution, and reinstated and affirmed the Decision of the National Labor Relations Commission. The Court held that the seafarer's death was due to his own deliberate act and deed, and thus, his heirs are not entitled to death benefits.

Ratio Decidendi

On the issue of whether the seafarer's death was compensable: The Supreme Court held that the employer bears the burden of proving by substantial evidence that the seafarer's death was due to his own willful or criminal act or intentional breach of duties to be exempt from paying death benefits. In this case, the Court found that the Medical Certificate of Death from Ulsan City Hospital, which stated the cause of death as "Intentional Self-Harm by Hanging, Strangulation and Suffocation," and the INTECO Report, which concluded suicide based on its findings including excessive bleeding from a cut wrist, constituted substantial evidence that Ryan took his own life. The Court emphasized that the employer successfully discharged its burden of proof. The Supreme Court also addressed the alleged contradiction between the Medical Certificate and the INTECO Report, finding that the CA erred in considering them contradictory, clarifying that "Intentional Self-Harm by Hanging, Strangulation and Suffocation" is the necessary equivalent of suicide. The Court characterized the CA's view as "petty nitpicking" and stated that any difference between the two documents regarding the suicidal death had "hardly any distinction." On the issue of whether the award of death compensation benefits is unjustified: The Supreme Court addressed the CA's questioning of the INTECO's authority and the official recognition of its findings, reiterating that quasi-judicial agencies like the LA and NLRC are not bound by the technical rules of evidence. The Court dismissed the CA's concern regarding the lack of an official autopsy report from the Ulsan Maritime Police, pointing out that the INTECO Report explicitly stated that the Ulsan Maritime Police were present during the autopsy and were satisfied that there was no foul play. The Court reiterated that a petition for certiorari addresses only the issue of grave abuse of discretion, finding no such abuse on the part of the LA and NLRC, as their decisions were grounded on substantial evidence.

Main Doctrine

The employer bears the burden of proving by substantial evidence that a seafarer's death was due to his own willful or criminal act or intentional breach of duties to be exempt from paying death benefits. The conflicting findings between a medical certificate and an investigation report regarding the cause of death do not negate the possibility of suicide if both ultimately conclude it as such, especially when the employer presents substantial evidence supporting this conclusion.

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