FGU Insurance v. Sarmiento,
386 SCRA 312, G.R. No. 141910, August 6, 2002
Subject: Transportation Law
FACTS
G.P. Sarmiento Trucking
Corporation (GPS) undertook to deliver on 18 June 1994 thirty (30) units of
Condura S.D. white refrigerators aboard one of its Isuzu truck, driven by
Lambert Eroles, from the plant site of Concepcion Industries, Inc., along South
Superhighway in Alabang, Metro Manila, to the Central Luzon Appliances in
Dagupan City. While the truck was traversing the north diversion road along
McArthur highway in Barangay Anupol, Bamban, Tarlac, it collided with an
unidentified truck, causing it to fall into a deep canal, resulting in damage
to the cargoes.
FGU Insurance Corporation
(FGU), an insurer of the shipment, paid to Concepcion Industries, Inc., the
value of the covered cargoes, being the subrogee of the rights and interests of
Concepcion Industries, Inc., sought reimbursement of the amount it had paid to
the latter from GPS. Since the trucking company failed to heed the claim, FGU
filed a complaint for damages and breach of contract of carriage against GPS
and its driver Lambert Eroles. In its answer, respondents asserted that GPS was
the exclusive hauler only of Concepcion Industries, Inc., since 1988, and it
was not so engaged in business as a common carrier. Respondents further claimed
that the cause of damage was purely accidental.
The lower court granted the
motion, ruling that plaintiff FGU failed to prove that GPS was a common
carrier. The CA affirmed the trial court’s order.
ISSUE
Whether or not GPS is
considered a common carrier and may be presumed negligent and therefore liable
for damages.
RULING
No. GPS is not a common
carrier.
Under the law, common carriers
are persons, corporations, firms or associations engaged in the business of
carrying or transporting passengers or goods or both, by land, water, or air,
for hire or compensation, offering their services to the public, whether to the
public in general or to a limited clientele in particular, but never on an
exclusive basis.
In this case, SC finds the
conclusion of the trial court and the Court of Appeals to be amply justified.
GPS, being an exclusive contractor and hauler of Concepcion Industries, Inc.,
rendering or offering its services to no other individual or entity, cannot be
considered a common carrier. The true test of a common carrier is the carriage
of passengers or goods, providing space for those who opt to avail themselves
of its transportation service for a fee. Given accepted standards, GPS scarcely
falls within the term "common carrier."
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