GR 210289; (March, 2017) (Digest)
G.R. No. 210289 , March 20, 2017
TSM SHIPPING PHILS., INC., et al., Petitioners vs. LOUIE L. PATIÑO, Respondent
FACTS
Respondent Louie L. Patiño was employed as an ordinary seaman by petitioners. On May 20, 2010, he sustained a fracture to his right hand while working. After initial treatment abroad, he was repatriated and placed under the care of the company-designated physician, Dr. Nicomedes Cruz. Following surgery and physical therapy, Dr. Cruz issued an interim assessment on August 17, 2010, and later a final disability rating of Grade 10 (loss of grasping power) under the POEA-SEC on September 29, 2010, declaring he had reached maximum medical cure.
Subsequently, Patiño consulted his own physician, Dr. Nicanor Escutin, who assessed him as permanently unfit for sea duty. Patiño filed a complaint for total and permanent disability benefits. The Labor Arbiter ruled in his favor, awarding benefits under a Collective Bargaining Agreement (CBA). The NLRC modified this, awarding US$60,000 as permanent total disability benefits under the POEA-SEC, a decision affirmed by the Court of Appeals.
ISSUE
Whether respondent is entitled to total and permanent disability benefits under the POEA-SEC or the CBA.
RULING
The Supreme Court granted the petition, ruling that Patiño was only entitled to a Grade 10 partial permanent disability benefit under the POEA-SEC. The Court emphasized that the company-designated physician issued a final assessment within the 120/240-day period prescribed by law. Dr. Cruz’s final Grade 10 rating, rendered 128 days from repatriation, was issued within the 240-day extended period for treatment and was therefore binding.
The Court rejected the application of the “120-day rule” to automatically classify the disability as total and permanent. It held that the controlling factor is the timely assessment by the company-designated physician, not merely the lapse of 120 days. Since a final assessment was issued within the legal period, the disability grading under the POEA-SEC Schedule must govern. The Court found no evidence that Patiño was a member of the union covered by the CBA he invoked. Consequently, he was entitled only to the compensation corresponding to a Grade 10 disability, calculated at 20.15% of US$50,000, or US$10,075. The awards for moral and exemplary damages were also deleted for lack of basis.