Abella v. Abosta Shipmanagement

G.R. No. 249358 · 2021-04-28 · J. CAGUIOA, J.: · Primary: Labor; Secondary: Remedial
REITERATION

Facts

The Antecedents: Petitioner Gregorio F. Abella (Abella) was employed as an oiler by respondent Abosta Shipmanagement Corporation (Abosta) for its foreign principal, Panstar Shipping Co., Ltd. (Panstar). On June 23, 2016, while carrying a sack of rice, Abella experienced a sudden snap and sharp pain in his left lower back. He reported the incident and was given pain relievers. His condition did not improve, leading to diagnoses of "Lumbar spondylosis with discopathy at L4L5L5S1" in Singapore and "Herniated Nucleus Pulpos L3-L4, Disc Protrusion L5-S1 and L-4 Radiculopathy" by the company-designated physician upon his repatriation on August 6, 2016. Abella claimed treatment ceased on February 16, 2017. Respondents offered Grade 8 disability benefits (US$16,795.00), which Abella rejected. Procedural History: Abella consulted an independent physician, Dr. Cesar H. Garcia, who diagnosed "Disc Protrusion L5S1 & Radiculopathy" and declared him permanently unfit for sea duty. Abella filed a complaint for total and permanent disability benefits. The Labor Arbiter (LA) dismissed the complaint but ordered respondents to pay Grade 8 disability benefits. The National Labor Relations Commission (NLRC) affirmed the LA's decision, giving more weight to the company-designated physician's November 22, 2016 assessment. The Court of Appeals (CA) denied Abella's petition for certiorari, holding that substantial evidence was lacking and that the company-designated physician's assessment should prevail in the absence of a third doctor's opinion. The CA also noted that Abella failed to present evidence of seeking re-employment and being refused due to his injury. The Petition: Abella filed a Petition for Review on Certiorari, insisting on total and permanent disability benefits, alleging respondents' bad faith in refusing to complete the conflict-resolution procedure and arguing that the company-designated physician failed to issue a conclusive assessment. He also prayed for damages and attorney's fees.

Issue(s)

Whether Abella is entitled to total and permanent disability benefits under the POEA-SEC. Whether Abella is entitled to moral and exemplary damages and attorney's fees.

Ruling

The Petition is partly meritorious. The Court granted Abella total and permanent disability benefits and attorney's fees, but denied claims for moral and exemplary damages.

Ratio Decidendi

On the entitlement to total and permanent disability benefits: The Court found that the respondents and the company-designated physician failed to furnish Abella with a copy of the November 22, 2016 Medical Assessment within the periods mandated by law. The assessment was only provided to Abella's counsel during a mandatory conference before the LA, which was 396 days after Abella's repatriation. A verbal notice of the disability rating is insufficient; the seafarer must be furnished a copy of the final medical assessment to allow them to evaluate it and seek a second opinion if necessary. Failure to provide proper notice violates due process. Consequently, Abella is deemed totally and permanently disabled by operation of law, entitling him to the corresponding disability benefits under the Philippine Overseas Employment Administration Standard Employment Contract (POEA-SEC). The medical assessment of Dr. Garcia and the absence of a third doctor's opinion became immaterial due to this procedural defect. On the entitlement to moral and exemplary damages and attorney's fees: The Court found no basis to award moral and exemplary damages, as Abella's allegations of sleepless nights, anxiety, wounded feelings, and financial difficulties, as well as respondents' alleged bad faith, were unsubstantiated. However, Abella is entitled to attorney's fees equivalent to ten percent (10%) of the total judgment award, pursuant to Article 2208 of the Civil Code. A legal interest of six percent (6%) per annum shall also be imposed on the total monetary award.

Main Doctrine

The failure of the company-designated physician to furnish the seafarer a copy of the final medical assessment within the periods mandated by law, specifically within 120 or 240 days from repatriation, results in the seafarer being deemed totally and permanently disabled by operation of law, entitling them to the corresponding disability benefits.

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