GR 28512; (February, 1973) (Digest)
G.R. No. L-28512 February 28, 1973
PEDRO R. DAVILA and PRECIOSA C. TIRO, plaintiffs-appellants, vs. PHILIPPINE AIR LINES, defendant-appellant.
FACTS
The case arose from the crash of Philippine Air Lines (PAL) Flight PI-C133 on November 23, 1960, which killed all aboard, including the plaintiffs’ son, Pedro T. Davila, Jr. The aircraft, a DC-3, deviated 32 miles west from its prescribed Iloilo-Romblon-Manila route and crashed into Mt. Baco. The plaintiffs, the deceased’s parents, filed an action for damages against PAL for breach of contract of carriage. The trial court awarded damages totaling P101,000. Both parties appealed directly to the Supreme Court, with the plaintiffs seeking an increase in the award and PAL seeking exoneration or mitigation of liability.
ISSUE
The primary issue is whether PAL is liable for breach of its contract of carriage and, if so, the proper computation of damages.
RULING
The Supreme Court affirmed PAL’s liability but modified the damages awarded. Applying the Civil Code provisions on common carriers, the Court held that PAL failed to overcome the presumption of negligence under Article 1756. The evidence showed the aircraft deviated significantly from its compulsory route. PAL’s explanation—attributing the deviation to cross-winds and possible instrument malfunction—was insufficient. The Court reasoned that the described wind velocity could not account for a 32-mile drift over the short flight segment, and the carrier failed to prove the pilot made necessary navigational corrections. This failure constituted a lack of the “extraordinary diligence” required by Articles 1733 and 1755.
On damages, the Court recalculated the award for loss of earning capacity. The deceased, a lawyer and businessman, had an annual gross income of P15,000. Following jurisprudence, the Court deducted necessary business and living expenses (P7,200 annually), yielding a net annual income of P7,800. Using a life expectancy of 25 years, the indemnity was set at P195,000. The Court sustained the trial court’s awards for actual damages (P5,000), moral damages (P10,000 for the parents’ anguish), and attorney’s fees (P10,000). However, it deleted the P10,000 award for exemplary damages, finding no wanton, fraudulent, or oppressive conduct under Article 2232, as mere lack of extraordinary diligence does not equate to such malevolence. The total modified award was P232,000.