GR 166869; (February, 2010) (Digest)
G.R. No. 166869 February 16, 2010
PHILIPPINE HAWK CORPORATION, Petitioner, vs. VIVIAN TAN LEE, Respondent.
FACTS
On March 17, 1991, in Barangay Buensoceso, Gumaca, Quezon, a vehicular accident occurred involving a motorcycle driven by Silvino Tan (with his wife, respondent Vivian Tan Lee, as a passenger), a passenger jeep parked on the roadside, and a bus (Body No. 119, Plate No. NXR-262) owned by petitioner Philippine Hawk Corporation and driven by its employee, Margarito Avila. The accident resulted in the death of Silvino Tan and physical injuries to Vivian Tan Lee. Respondent filed a complaint for damages based on quasi-delict against petitioner and Avila. The parties stipulated that the accident occurred, Silvino Tan died and Vivian Tan Lee was injured, and that Avila was an employee of Philippine Hawk. The key issues were whether the proximate cause of the accident was the negligence of Avila or of Silvino Tan, and whether petitioner exercised the diligence of a good father of a family in the selection and supervision of Avila. Respondent testified they were on a stop position at the highway’s side about to make a turn when she saw the bus running fast, hit a parked jeep, and then their motorcycle. The jeep driver testified his parked jeep was bumped by the bus after it dragged a motorcycle. Avila, the bus driver, testified he was driving at 60 kph when a motorcycle from his left crossed the highway’s path; he swerved right, heard a bang, saw the motorcycle overturn in his mirror, and did not stop out of fear. He admitted prior involvement in sideswiping incidents. Petitioner presented evidence on its procedures for driver selection and supervision. The trial court found Avila guilty of simple negligence, reasoning that if the bus were on the right side and swerved right to avoid the motorcycle, it would not have hit the jeep parked on the left; the fact it hit the jeep indicated the bus moved from the right to the left lane. It held petitioner liable for failing to exercise due diligence in supervision. The Court of Appeals affirmed with modification on damages.
ISSUE
1. Whether negligence may be attributed to petitioner’s driver, Margarito Avila, and whether such negligence was the proximate cause of the accident.
2. Whether petitioner Philippine Hawk Corporation is liable for damages.
3. Whether the damages awarded by the Court of Appeals are proper.
RULING
1. Yes, negligence is attributable to Margarito Avila and it was the proximate cause of the accident. The Supreme Court affirmed the factual findings of the trial court and the Court of Appeals, which are conclusive when supported by evidence. The trial court correctly found that Avila saw the motorcycle about 15 meters away but did not step on the brakes or slow down; he merely maintained speed and veered to the left, causing the collision with the motorcycle and the parked jeep. The Doctrine of Last Clear Chance applies, as Avila had the last clear opportunity to avoid the accident but failed to do so.
2. Yes, petitioner is liable for damages. Petitioner failed to prove it exercised the diligence of a good father of a family in the selection and supervision of its employee. The evidence showed Avila had been involved in previous sideswiping incidents, indicating a lack of effective supervision. An employer is presumed negligent in the selection and supervision of employees, and petitioner did not overcome this presumption.
3. The damages awarded by the Court of Appeals are proper with modification. The Supreme Court sustained the awards for: (a) Actual damages of ₱168,019.55 (hospitalization and funeral expenses supported by receipts); (b) Temperate damages of ₱10,000.00 (for other medical expenses not receipted); (c) Moral damages of ₱100,000.00 (for physical suffering and mental anguish due to quasi-delict); (d) Loss of earning capacity of ₱590,000.00 (computed based on the deceased’s annual net income from lease of a gasoline station and copra business, using the formula: Net Earning Capacity = [2/3 x (80 – age at death) x (gross annual income – reasonable living expenses)]); and (e) Civil indemnity of ₱50,000.00 (for death caused by quasi-delict). The awards are in accordance with jurisprudence and the Civil Code.