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PHILIPPINES FIRST INSURANCE CO. v. WALLEM PHILS. SHIPPING

This case has been cited 4 times or more.

	GR No. 193986 2014-01-15	EASTERN SHIPPING LINES v. BPI VILLARAMA, JR., J.
Verily, it is settled in maritime law jurisprudence that cargoes while being unloaded generally remain under the custody of the carrier.[30] As herein before found by the RTC and affirmed by the CA based on the evidence presented, the goods were damaged even before they were turned over to ATI. Such damage was even compounded by the negligent acts of petitioner and ATI which both mishandled the goods during the discharging operations. Thus, it bears stressing unto petitioner that common carriers, from the nature of their business and for reasons of public policy, are bound to observe extraordinary diligence in the vigilance over the goods transported by them. Subject to certain exceptions enumerated under Article 1734[31] of the Civil Code, common carriers are responsible for the loss, destruction, or deterioration of the goods. The extraordinary responsibility of the common carrier lasts from the time the goods are unconditionally placed in the possession of, and received by the carrier for transportation until the same are delivered, actually or constructively, by the carrier to the consignee, or to the person who has a right to receive them.[32] Owing to this high degree of diligence required of them, common carriers, as a general rule, are presumed to have been at fault or negligent if the goods they transported deteriorated or got lost or destroyed. That is, unless they prove that they exercised extraordinary diligence in transporting the goods. In order to avoid responsibility for any loss or damage, therefore, they have the burden of proving that they observed such high level of diligence.[33] In this case, petitioner failed to hurdle such burden.
	GR No. 200289 2013-11-25	WESTWIND SHIPPING CORPORATION v. UCPB GENERAL INSURANCE CO. PERALTA, J.
While the CA sustained the RTC judgment that the claim against ATI already prescribed, it rendered a contrary view as regards the liability of Westwind and OFII. For the appellate court, Westwind, not ATI, is responsible for the six damaged containers/skids at the time of its unloading. In its rationale, which substantially followed Philippines First Insurance Co., Inc. v. Wallem Phils. Shipping, Inc.,[11] it concluded that the common carrier, not the arrastre operator, is responsible during the unloading of the cargoes from the vessel and that it is not relieved from liability and is still bound to exercise extraordinary diligence at the time in order to see to it that the cargoes under its possession remain in good order and condition. The CA also considered that OFII is liable for the additional nine damaged containers/skids, agreeing with UCPB's contention that OFII is a common carrier bound to observe extraordinary diligence and is presumed to be at fault or have acted negligently for such damage. Noting the testimony of OFII's own witness that the delivery of the shipment to the consignee is part of OFII's job as a cargo forwarder, the appellate court ruled that Article 1732 of the New Civil Code (NCC) does not distinguish between one whose principal business activity is the carrying of persons or goods or both and one who does so as an ancillary activity. The appellate court further ruled that OFII cannot excuse itself from liability by insisting that JBL undertook the delivery of the cargoes to SMC's warehouse. It opined that the delivery receipts signed by the inspector of SMC showed that the containers/skids were received from OFII, not JBL. At the most, the CA said, JBL was engaged by OFII to supply the trucks necessary to deliver the shipment, under its supervision, to SMC.
	GR No. 181163 2013-07-24	ASIAN TERMINALS v. PHILAM INSURANCE CO. VILLARAMA, JR., J.
Common carriers, from the nature of their business and for reasons of public policy, are bound to observe extraordinary diligence in the vigilance over the goods transported by them. Subject to certain exceptions enumerated under Article 1734[49] of the Civil Code, common carriers are responsible for the loss, destruction, or deterioration of the goods. The extraordinary responsibility of the common carrier lasts from the time the goods are unconditionally placed in the possession of, and received by the carrier for transportation until the same are delivered, actually or constructively, by the carrier to the consignee, or to the person who has a right to receive them.[50]
	GR No. 168151 2009-09-04	REGIONAL CONTAINER LINES OF SINGAPORE v. NETHERLANDS INSURANCE CO. BRION, J.
In the present case, RCL and EDSA Shipping failed to prove that they did exercise that degree of diligence required by law over the goods they transported. Indeed, there is sufficient evidence showing that the fluctuation of the temperature in the refrigerated container van, as recorded in the temperature chart, occurred after the cargo had been discharged from the vessel and was already under the custody of the arrastre operator, ICTSI. This evidence, however, does not disprove that the condenser fan - which caused the fluctuation of the temperature in the refrigerated container - was not damaged while the cargo was being unloaded from the ship. It is settled in maritime law jurisprudence that cargoes while being unloaded generally remain under the custody of the carrier;[11] RCL and EDSA Shipping failed to dispute this.