Damages: Attorneys fees

NFD
INTERNATIONAL
MANNING
AGENTS,
ILLESCAS, Respondent.
G.R. No. 183054, September 29, 2010
PERALTA, J.:

INC

vs.ESMERALDO

C.

FACTS:
This case involves the propriety of the award of disability compensation under the
Collective Bargaining Agreement to respondent, who worked as a seaman in the
foreign vessel of petitioner Barber Ship Management Ltd. The petitioners allegedly
illegally withhold payment of a smaller disability and fied a case with the Labor
Arbiter and appealed in NLRC. The NLRC held that the injury sustained by
respondent was not the result of an accident, although it arose out of his work,
hence ordered the payment of smaller disability. However, NLRC deleted the
attorneys fees awarded to respondent on the ground that there was no unlawful
withholding of payment of benefits in view of petitioners compromise offer of
US$16,795.00, which the amount of disability benefit was awarded by the NLRC to
respondent.
ISSUE:
Is NLRC correct in not awarding attorneys fees?
HELD:
NO. The award of attorneys fees is justified under Article 2208 (2) of the Civil Code.
Even if petitioners did not withhold payment of a smaller disability benefit,
respondent was compelled to litigate to be entitled to a higher disability benefit.
Moreover, in HFS Philippines, Inc. v. Pilar and Iloreta v. Philippine Transmarine
Carriers, Inc., the Court sustained the NLRCs award of attorneys fees, in addition to
disability benefits to which the concerned seamen-claimants were entitled.