Cabatan v. Southeast Asia Shipping
REITERATIONFacts
The Antecedents: Petitioner Reynaldo P. Cabatan was employed as an oiler by Southeast Asia Shipping Corp. (SEASCORP) from 2006 to 2010. He underwent Pre-Employment Medical Examination (PEME) and was certified fit for sea duty. On January 30, 2010, he boarded M/V BP Pioneer. On March 29, 2010, while performing his duties, he experienced excruciating pain in his scrotal/inguinal area and numbness in his left leg due to the vessel swaying while he was carrying heavy spare parts. The ship's doctor advised rest, ruling out hernia and trauma. Upon contract expiration on May 25, 2010, Cabatan was repatriated. He rested for a month. Subsequently, during a PEME for possible deployment, he informed the company-accredited clinic, Merita Diagnostic Clinic, about his injury. Merita's examination revealed perineal pain and findings related to the lumbo-sacral spine, including retrolesthesis L2 over L3, osteodegenerative changes, and sacralization of L5, with an assessment of nerve root compression. Further MRI and EMG NCV confirmed findings compatible with mild chronic lumbar radiculopathy. Dr. Detabali advised L4-S1 Laminectomy and L4-L5 Instrumented Posterolateral Fusion, but Cabatan could not afford it and sought assistance from SEASCORP, which was unheeded. Dr. David M. Cabatan, Jr. diagnosed spinal stenosis L4-L5 and L5-S1, Grade 1 spondylolisthesis L4-L5, and recommended surgical decompression, estimating the cost at P473,000.00. Procedural History: On March 1, 2011, Cabatan filed a complaint for permanent and total disability benefits. Respondents argued that Cabatan was PEME-certified fit, did not report for a mandatory post-employment medical examination within three days of arrival, and filed the complaint almost a year after contract termination. The Labor Arbiter (LA) ruled in favor of Cabatan, awarding disability compensation and attorney's fees, finding the injury work-related and the three-day reporting requirement inapplicable as repatriation was due to contract expiration. The National Labor Relations Commission (NLRC) reversed the LA's decision, dismissing Cabatan's claim for lack of merit, holding that he failed to prove a work-related injury and that his failure to report within the mandatory period resulted in forfeiture of his rights. The Court of Appeals (CA) affirmed the NLRC's decision, denying Cabatan's petition and reiterating that non-compliance with the mandatory reporting requirement led to the forfeiture of benefits. The Petition: Cabatan filed a petition for review on certiorari, arguing that the CA erred in not considering the Report of Illness indicating his condition was contracted during employment, in ruling the three-day reporting requirement as absolute, and in denying his entitlement to permanent total disability benefits.
Issue(s)
Whether the Court of Appeals erred in failing to consider the "REPORT OF ILLNESS" of the Ship's doctor indicating that petitioner's illness of "Spondylolisthesis" was contracted during the petitioner's term of employment with respondents. Whether the Court of Appeals erred in ruling that the 3-day reporting requirement under Section 20 (B) paragraph 3 of the 2000 POEA-SEC is an absolute rule. Whether petitioner is entitled to disability compensation for the injury/illness suffered during the term of his employment with respondents pursuant to Section 20 (B) paragraph 6 of the 2000 POEA-SEC, thus, he is entitled to permanent total disability under the Labor Code concept of permanent total disability consistently applied by the Honorable Supreme Court to Filipino seamen on-board ocean-going vessels. Likewise, petitioner is entitled to 10% of the award for and as attorney's fees.
Ruling
The petition is denied for lack of merit. The January 23, 2015 Decision and July 20, 2015 Resolution of the Court of Appeals in CA-G.R. SP No. 126155 are affirmed.
Ratio Decidendi
On the issue of the "REPORT OF ILLNESS" and the "Spondylolisthesis" diagnosis: The Court found that while Cabatan complained of scrotal/inguinal pain while on board, which was initially diagnosed as epididymorchitis by the ship doctor, there was no evidence on record that he felt pain or numbness in his lower extremities while on board or that the ship doctor concluded he contracted spondylolisthesis. The diagnosis of spondylolisthesis and related lumbar issues was made by other physicians in July 2010, well beyond the three-day mandatory reporting period. Therefore, the "Report of Illness" did not sufficiently establish that the specific condition for which disability benefits were claimed was contracted during employment and reported promptly. On the absolute nature of the 3-day reporting requirement: The Court reiterated that the three-day mandatory reporting requirement under Section 20(B)(3) of the 2000 POEA-SEC is crucial for the company-designated physician to ascertain if an injury or illness is work-related. While acknowledging that the rule is not absolute, exceptions are limited to cases where the seafarer is physically incapacitated to report, in which case a written notice to the agency within the same period is deemed compliance. Cabatan's repatriation was due to contract expiration, not medical incapacitation, and he did not provide written notice of his condition within the prescribed period. Thus, the exception did not apply to his situation. On entitlement to disability compensation and attorney's fees: The Court held that to claim compensability, a seafarer must have suffered a work-related illness or injury during the contract term AND submitted to a mandatory post-employment medical examination within three working days upon return, unless physically incapacitated. Cabatan failed to meet the second requirement. His failure to comply with the mandatory reporting requirement, without a valid excuse, resulted in the forfeiture of his right to claim disability benefits. Consequently, his claim for permanent total disability benefits and attorney's fees was denied.
Main Doctrine
A seafarer's failure to submit to a mandatory post-employment medical examination by a company-designated physician within three working days upon return, without a valid justification such as physical incapacitation, results in the forfeiture of their right to claim disability benefits under the POEA SEC.