Career Philippines Ship Management v. Acub
REITERATIONFacts
The Antecedents: Respondent Nathaniel M. Acub was hired as an Ordinary Seaman on board the vessel CMC GM America. On November 25, 2010, while inspecting cargo lashings in Rotterdam, Netherlands, he slipped due to rain and snow and fell on the deck, injuring his right knee. He underwent surgery and confinement in Hamburg, Germany, and was repatriated to the Philippines on December 5, 2010. He was diagnosed with Fractured Right Patella and underwent physical therapy. The company-designated physician assessed his disability as Grade 10. Respondent claimed persistent pain and sought an independent physician's opinion, who concluded he was unfit for sea duty. Respondent asserted entitlement to Grade 1 disability benefits under the International Transport Workers' Federation Collective Bargaining Agreement (ITF CBA). Procedural History: The Labor Arbiter ordered petitioners to pay respondent the peso equivalent of US$10,075.00 based on the Philippine Overseas Employment Agency Standard Employment Contract (POEA SEC), ruling that exceeding 120 days of treatment does not automatically grant permanent total disability benefits and that the company-based physician's assessment prevails. The National Labor Relations Commission (NLRC) reversed this, finding the company doctor's certification inconclusive as treatment was ongoing, and awarded US$125,000.00 for Grade 1 disability, considering the potential for further surgery. The Court of Appeals (CA) affirmed the NLRC's finding of permanent total disability but reduced the compensation to US$89,100.00, citing a different CBA (IBF-AMOSUP/IMEC TCC), and disallowed moral and exemplary damages. The CA ruled that inability to work for more than 120 days determines entitlement to permanent disability benefits. The Petition: Petitioners seek to reverse the CA decision, arguing that the CA erred in ruling that the mere lapse of 120 days from repatriation automatically entitles a seafarer to Grade 1 disability compensation and in upholding the assessment of the respondent's physician of choice over the company-designated physician's findings.
Issue(s)
Whether the Court of Appeals erred in ruling that the mere lapse of 120 days from repatriation automatically entitles a seafarer to Grade 1 disability compensation. Whether the Court of Appeals erred in upholding the assessment of the respondent's physician of choice over the findings of the company-designated physician.
Ruling
The petition is denied. The Decision of the Court of Appeals is affirmed.
Ratio Decidendi
On the issue of automatic entitlement to Grade 1 disability compensation based on the lapse of 120 days: The Court reiterated the guidelines established in Elburg Shipmanagement Phils., Inc. v. Quiogue, Jr. regarding the company-designated physician's assessment period. The company-designated physician must issue a final medical assessment within 120 days. Failure to do so without justifiable reason renders the seafarer's disability permanent and total. While the period can be extended to 240 days with sufficient justification, failure to assess within this extended period also results in permanent and total disability. In this case, the company-designated physician issued a Grade 10 assessment only after more than six months, exceeding the 120-day period without justifiable reason, thus entitling the respondent to permanent and total disability benefits. On the issue of upholding the assessment of the respondent's physician of choice over the company-designated physician's findings: The Court affirmed that if serious doubt exists regarding the company-designated physician's declaration, the prognosis of other competent medical professionals should be considered. The NLRC evaluated the findings of the respondent's private doctor and found them more appropriate. The Court reiterated that the right of a seafarer to consult a physician of his choice is sensible when the findings are duly evaluated by labor tribunals. In this case, the respondent's physician declared him unfit for sea duty, which was considered by the NLRC and subsequently affirmed by the CA, especially given the company physician's delayed assessment.
Main Doctrine
The company-designated physician must issue a final medical assessment on the seafarer's disability grading within a period of 120 days from the time the seafarer reported to him. If the company-designated physician fails to give his assessment within this period without justifiable reason, the seafarer's disability becomes permanent and total. The period may be extended to 240 days with sufficient justification, but failure to assess within the extended period also results in permanent and total disability.