Case Digest: PAL vs. Court of Appeals, 255 SCRA 48 / 257 SCRA 33

 

PAL vs. Court of Appeals, 255 SCRA 48 / 257 SCRA 33

Subject: Transportation Law

FACTS

On January 27, 1990, plaintiff Gilda C. Mejia shipped thru defendant, Philippine Airlines, one (1) unit microwave oven, with a gross weight of 33 kilograms from San Francisco, U.S.A. to Manila, Philippines. Upon arrival, however, of said article in Manila, Philippines, plaintiff discovered that its front glass door was broken and the damage rendered it unserviceable. Demands both oral and written were made by plaintiff against the defendant for the reimbursement of the value of the damaged microwave oven, and transportation charges paid by plaintiff to defendant company. But these demands fell on deaf ears.

On September 25, 1990, plaintiff Gilda C. Mejia filed the instant action for damages against defendant in the lower court.

In its answer, defendant Airlines alleged inter alia, by way of special and affirmative defenses, that the court has no jurisdiction over the case; that plaintiff has no valid cause of action against defendant since it acted only in good faith and in compliance with the requirements of the law, regulations, conventions and contractual commitments; and that defendant had always exercised the required diligence in the selection, hiring and supervision of its employees.

After trial, the Lower Court rendered decision in favor of Gilda C. Mejia. Upon appeal, the Appellate Cour affirmed the lower court decision.

ISSUE

Whether or not PAL is liable for the damaged cargo. 

RULING

Yes, PAL is liable for the damaged cargo. 

Under the Warsaw Convention, carrier is liable for damage sustained in the event of destruction or loss of or of damage to any registered luggage or nay goods, if the occurrence which caused the damage so sustained took place during the carriage by air.

In this case, the damaged oven of Mejia took place during the carriage of PAL. Although the airway bill is binding between the parties, the liability of Pal is not limited on the provisions of the airway bill. Thus, PAL is liable for the damaged cargo.