Tuesday, March 12, 2024

Case Digest: American Airlines vs. Court of Appeals, 327 SCRA 482

 

American Airlines vs. Court of Appeals, 327 SCRA 482

Subject: Transportation Law


FACTS

Democrito Mendoza purchased a conjunction ticket from Singapore Airlines for a multi-leg trip. In Geneva, Mendoza decided to skip Copenhagen and fly directly to New York. He exchanged the unused portion of his ticket for a one-way ticket from Geneva to New York with American Airlines.

Mendoza filed a lawsuit against American Airlines in the Regional Trial Court of Cebu for damages before the regional trial court of Cebu for the alleged embarrassment and mental anguish he suffered at the Geneva Airport.

The petitioner filed a motion to dismiss for lack of jurisdiction of Philippine courts to entertain the said proceedings under Art. 28 (1) of the Warsaw Convention. The trial court denied the motion. CA affirmed the ruling of the trial court.

The petitioner asserts that the Philippines is neither the domicile nor the principal place of business of the defendant airline; nor is it the place of destination. As regards the third option of the plaintiff, the petitioner contends that since the Philippines is not the place where the contract of carriage was made between the parties herein, Philippine courts do not have jurisdiction over this action for damages.

ISSUE

Whether or not RTC of Cebu has jurisdiction over the case against American Airlines given Art 28 (1) of the Warsaw Convention.

RULING

Yes, RTC of Cebu has jurisdiction over the case in view of Art 28 (1) of the Warsaw Convention.

Under Art 28 (1) of the Warsaw convention an action for damages must be brought at the option of the plaintiff either before the court of the 1) domicile of the carrier; 2) the carrier’s principal place of business; 3) the place where the carrier has a place of business through which the contract was made; 4) the place of destination.

In this case, there is no dispute that the petitioner issued the ticket in Geneva which was neither the domicile nor the principal place of business of the petitioner nor the respondent’s place of destination. However, SC held that the contract of carriage between the private respondent and Singapore Airlines although performed by different carriers under a series of airline tickets constitutes a single operation. The third option under Art 28 (1) of the Warsaw Convention e.g., to sue in the place of business of the carrier wherein the contract was made, is therefore, Manila, and Philippine courts are clothed with jurisdiction over this case. While this case was filed in Cebu and not in Manila the issue of venue is no longer an issue as the petitioner is deemed to have waived it when it presented evidence before the trial court.

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