G.R. No. 197205 ; September 26, 2012.
Jessie V. David, represented by his wife, Ma. Theresa S. David, and children, Katherine and Kristina David, Petitioners, vs. OSG Ship Management Manila, Inc., and/or Michaelmar Shipping Services, Respondents.

FACTS

Petitioner Jessie David entered into a six-month Contract of Employment on May 10, 2006, with respondent OSG Shipmanagement Manila, Inc., as a Third Officer on the crude tanker M/T Raphael. He underwent a pre-employment medical examination and was declared “fit for further sea duty.” In November 2006, while on board, he complained of intolerable pain in his left foot. A doctor in Rotterdam diagnosed him with “lipoma on the left upper leg” and a possible “calcaneus spur of the left foot,” advising further treatment upon repatriation. After his return on December 4, 2006, the company-designated physician diagnosed him with “Malignant fibrous histiocytoma, myxoid type” following an MRI and pathology report. On February 27, 2007, OSG Manila certified David’s entitlement to sickness allowance. On June 28, 2007, OSG Manila issued a Certification stating David had been given a “permanent disability Grade One (1)” by Marine Medical Services. David underwent chemotherapy, but respondents refused to shoulder the expenses. David filed a complaint for disability benefits. The Labor Arbiter ruled in David’s favor, a decision affirmed by the NLRC. The Court of Appeals reversed the NLRC, ruling that David failed to prove his illness was work-related. David died on April 9, 2011, and was substituted by his wife and children.

ISSUE

Whether petitioner Jessie David is entitled to total and permanent disability benefits for his illness, Malignant Fibrous Histiocytoma, on the grounds that it is work-related.

RULING

Yes. The Supreme Court granted the petition, reversed the Court of Appeals Decision, and reinstated the NLRC Resolutions awarding disability benefits. The Court ruled that David’s illness is compensable. Malignant Fibrous Histiocytoma, a type of soft tissue sarcoma, is not listed as an occupational disease under the POEA-SEC. Therefore, pursuant to Section 20(B)(4) of the POEA-SEC, it is disputably presumed to be work-related. The burden to overcome this presumption shifts to the employer. Respondents failed to present substantial evidence to rebut this presumption. The company-designated physician’s letters were non-conclusive, stating the etiology was “multifactorial” and “difficult to determine” if work-related, which did not constitute a categorical declaration that the illness was not work-connected. Furthermore, the Court found a reasonable causal connection between David’s work as a Third Officer on a crude oil tanker, which exposed him to known carcinogens like benzene and other hydrocarbons present in crude oil, and the development of his soft tissue sarcoma. The Certification issued by OSG Manila’s President acknowledging a Grade 1 disability also supported the claim. David’s compliance with the three-day reportorial requirement and his treatment by the company-designated physician were also noted. Thus, David, and subsequently his heirs, are entitled to total and permanent disability benefits.