Career Philippines v. Silvestre

G.R. No. 213465 · 2018-01-08 · J. PERALTA, J.: · Primary: Labor; Secondary: Civil
REITERATION

Facts

The Antecedents: Respondent Donard P. Silvestre (Silvestre), an ordinary seaman, was hired by petitioners Career Philippines Shipmanagement, Inc. and Columbia Shipmanagement Ltd. Liberia. On May 6, 2011, while performing his duties, Silvestre was hit by a closing hatch cover, sustaining an avulsed wound on his right forehead and blurred vision. He was treated at a hospital in Congo and repatriated to the Philippines on May 19, 2011. Upon arrival, he was seen by a company-designated physician, Dr. Nicomedes Cruz, who conducted a CT scan and advised revision of the scar. Despite subsequent procedures, Silvestre continued to experience pain and headaches. Procedural History: Silvestre filed a complaint for disability benefits and damages. The Labor Arbiter (LA) initially dismissed the case but reopened it upon motion. Silvestre claimed permanent total disability, citing his inability to work for more than 120 days and presenting medical evaluations from private physicians assessing him as unfit for sea duty. Petitioners denied liability, asserting that Silvestre was declared fit to work by the company-designated physician. The LA dismissed the complaint, finding that Silvestre's injury resulted from his willful non-observance of safety procedures. The National Labor Relations Commission (NLRC) affirmed the LA's decision. The Court of Appeals (CA) reversed the NLRC ruling, granting Silvestre permanent disability benefits, sickness allowance, and attorney's fees, finding that the accident was not a result of willful or criminal act and that Silvestre was deemed permanently disabled due to his inability to work for more than 120 days. The Petition: Petitioners filed a petition for review on certiorari, assailing the CA's decision. They argued that the CA erred in its findings of fact, that Silvestre's condition was curable and did not cause total permanent disability, that a fit-to-work assessment was made within the 240-day period, and that Silvestre's failure to secure the safety pin constituted gross negligence and willful breach of duty. They also questioned the award of attorney's fees.

Issue(s)

Whether the injury sustained by respondent Silvestre was a result of his willful or criminal act or intentional breach of duties. Whether respondent Silvestre is entitled to permanent total disability benefits, considering the medical assessments and the periods for evaluation by the company-designated physician. Whether the award of sickness allowance and attorney's fees is proper.

Ruling

The petition is DENIED. The Decision and Resolution of the Court of Appeals are AFFIRMED with MODIFICATIONS. Petitioners are ORDERED TO PAY Silvestre sickness allowance in the amount of US$186.34 or its Peso equivalent, and to pay interest at the rate of six percent (6%) per annum from the date of finality of the Decision until full satisfaction.

Ratio Decidendi

On the issue of willful or criminal act or intentional breach of duties: The Supreme Court disagreed with the LA and NLRC, holding that the petitioners failed to discharge their burden of proving that Silvestre's injury was directly attributable to his willful or criminal act or intentional breach of duty. The Court emphasized that a willful act differs from a negligent act, and Silvestre's act of forgetting to put the safety pin was merely inadvertence or negligence, not a deliberate or intentional breach. The Court quoted the CA's reasoning that Silvestre's use of the word "forgot" meant he "failed to remember," which was far from being intentional and deliberate. The Court reiterated that the employer must prove such willful act with substantial evidence, which was lacking in this case. The Court found that Silvestre suffered a work-related injury during his employment contract, making it compensable. On the entitlement to permanent total disability benefits: The Court clarified the application of the 120-day and 240-day periods for medical assessment by the company-designated physician. It reiterated that the company-designated physician must issue a final medical assessment within 120 days. This period can be extended to 240 days only with sufficient justification, which the employer must prove. Failure to issue a timely assessment, regardless of justification, results in the seafarer being deemed totally and permanently disabled. In this case, the company-designated physician's assessment declaring Silvestre fit to work was issued on November 23, 2011, or 188 days after repatriation. The petitioners failed to provide substantial evidence justifying the extension beyond 120 days. Therefore, Silvestre was deemed totally and permanently disabled due to the lack of a timely medical assessment. The Court also noted that even a partial permanent disability can be considered total and permanent if it incapacitates a seafarer from performing his usual sea duties for more than the prescribed periods. On the award of sickness allowance and attorney's fees: The Court modified the award for sickness allowance. While the CA awarded US$1,720.00, the Court noted that petitioners presented vouchers proving payment of US$1,533.66. Therefore, Silvestre was only entitled to the remaining US$186.34. The Court affirmed the award of attorney's fees, citing Article 2208, paragraph 8 of the Civil Code, which allows recovery of attorney's fees in actions for indemnity under workmen's compensation and employer's liability laws. The Court also imposed a six percent (6%) per annum interest on the monetary award from the date of finality of the judgment until full satisfaction.

Main Doctrine

The employer bears the burden of proving that a seafarer's injury was directly attributable to his willful or criminal act or intentional breach of duty. Furthermore, the company-designated physician must issue a final medical assessment within 120 days, or within 240 days with sufficient justification; failure to do so renders the seafarer's disability permanent and total.

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