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1.

Exemplary damage
n. often called punitive damages, these are damages requested and/or
awarded in a lawsuit when the defendant's willful acts were malicious,
violent, oppressive, fraudulent, wanton, or grossly reckless. Examples of acts
warranting exemplary damages: publishing that someone had committed
murders when the publisher knew it was not true but hated the person; an
ex-husband trashes his former wife's auto and threatens further property
damage; a stockbroker buys and sells a widow's stocks to generate
commissions resulting in her losing all her capital (money). These damages
are awarded both as a punishment and to set a public example. They reward
the plaintif for the horrible nature of what she/he went through or sufered.
Although often requested, exemplary damages are seldom awarded. There
have been major awards in egregious (remarkable or outstanding) cases,
such as fraud schemes, sexual harassment, or other intentional and vicious
actions even when the provable actual damages were not extensive.
2. Moral Damage
Moral damages include the physical sufering, mental anguish, fright, serious
anxiety, besmirched reputation, wounded feelings, moral shock, social
humiliation, and similar injury.[1]
While they cannot be specifically known as to the amount or
compensation/recompense, moral damages may be recovered in a case once
it is shown that they are the proximate result of the defendants wrongful
act or omission.[2]
In the pecuniary computation, the sentimental value of the property (real or
personal) may be considered[3], especially if there is a finding of willful injury
to property.[4] Moral damages may also be awarded for breaches of contract
where the defendant acted fraudulently or in bad faith.[5]

CIVIL CODE. Article 2217.


[2] Ibid. Moral damages may be recovered in the following and analogous cases: (1) A criminal
offense resulting in physical injuries; (2) Quasi-delicts causing physical injuries; (3) Seduction,
abduction, rape, or other lascivious acts; (4) Adultery or concubinage; (5) Illegal or arbitrary
detention or arrest; (6) Illegal search; (7) Libel, slander or any other form of defamation; (8)
Malicious prosecution; (9) Acts mentioned in Article 309; (10) Acts and actions referred to in
Articles 21, 26, 27, 28, 29, 30, 32, 34, and 35 (Article 2219, Ibid.).
[3] Ibid. Article 2218.
[4] Ibid. Article 2220.

3. Attorneys Fees
ACTUAL/ COMPENSATORY DAMAGES
Purpose
Actual or compensatory damages simply make good or replace the loss
caused by the wrong.
Manner of Determination
Claimant must produce competent proof or the best evidence obtainable
such as receipts to justify an award therefore. Actual or compensatory
damages cannot be presumed but must be proved with reasonable certainty.
(People v. Ereno, Feb. 22, 2000)
Special/Ordinary
Ordinary
NOTE: Ordinary Damages are those generally inherent in a breach of a typical
contract
MORAL DAMAGES
Purpose
Awarded only to enable the injured party to obtain means, diversion or
amusement that will alleviate the moral sufering he has undergone, by
reason of defendants culpable action. (Robleza v. CA, 174 SCRA 354)
Manner of Determination
No proof of pecuniary loss is necessary. The assessment is left to the
discretion of the court according to the circumstances of each case. However,
there must be proof that the defendant caused physical sufering etc.
(Compania Maritima v. Allied Free Workers Union, G.R. No. L-31379, Aug. 29,
1988). GR: Factual basis must be alleged. Aside from the need for the
claimant to satisfactorily prove the existence of the factual basis of the
damages, it is also necessary to prove its causal relation to the defendants
act (Raagas v. Trava, G.R. No. L-20081, Feb. 27,1968; People v. Manero, G.R.
Nos. 86883-85, Jan. 29, 1993).
Exception: Criminal cases. Moral damages may be awarded to the victim in
criminal proceedings in such amount as the court deems just without need for
pleading or proof of the basis thereof (People v. Paredes, July 30, 1998).
Special/Ordinary
Special

NOTE: Special Damages are those which exist because of special


circumstances and for which a debtor in good faith can be held liable if he
had been previously informed of such. circumstances.
NOMINAL DAMAGES
Purpose
Vindicating or recognizing the injured partys right to a property that has
been violated or invaded. (Tan v. Bantegui, 473 SCRA 663)
Manner of Determination
No proof of pecuniary loss is necessary. Proof that a legal right has been
violated is what is only required. Usually awarded in the absence of proof of
actual damages.
Special/Ordinary
Special
NOTE: Special Damages are those which exist because of special
circumstances and for which a debtor in good faith can be held liable if he
had been previously informed of such. circumstances.
TEMPERATE DAMAGES
Purpose
When the court is convinced that there has been such a loss, the judge is
empowered to calculate moderate damages rather than let the complainant
sufer without redress. (GSIS v. Labung-Deang, 365 SCRA 341)
Manner of Determination
May be recovered when the court finds that some pecuniary loss has been
sufered but its amount cannot, from the nature of the case, be proved with
certainty. No proof of pecuniary loss is necessary.
Special/Ordinary
Special
NOTE: Special Damages are those which exist because of special
circumstances and for which a debtor in good faith can be held liable if he
had been previously informed of such. circumstances.
LIQUIDATED DAMAGES
Purpose
Liquidated damages are frequently agreed upon by the parties, either by way
of penalty or in order to avoid controversy on the amount of damages.

Manner of Determination
If intended as a penalty in obligations with a penal cause, proof of actual
damages sufered by the creditor is not necessary in order that the penalty
may be demanded (Art. 1228, NCC). No proof of pecuniary loss is necessary.
Special/Ordinary
Special
NOTE: Special Damages are those which exist because of special
circumstances and for which a debtor in good faith can be held liable if he
had been previously informed of such. circumstances.
EXEMPLARY/CORRECTIVE DAMAGES
Purpose
Exemplary or corrective damages are intended to serve as a deterrent to
serious wrongdoings. (People v. Orilla, 422 SCRA 620)
Manner of Determination
1. That the claimant is entitled to moral, temperate or compensatory
damages; and
2. That the crime was committed with 1 or more aggravating circumstances,
or the quasi-delict was committed with gross negligence, or in contracts and
quasi-contracts the act must be accompanied by bad faith or done in wanton,
fraudulent, oppressive or malevolent manner. No proof of pecuniary loss is
necessary.
Special/Ordinary
Special
NOTE: Special Damages are those which exist because of special
circumstances and for which a debtor in good faith can be held liable if he
had been previously informed of such. circumstances.

DAMAGES
Kinds of Damages: (MENTAL)
MORAL
EXEMPLARY
NOMINAL
TEMPERATE
ACTUAL
LIQUIDATED

1. ACTUAL/COMPENSATORY
- adequate compensation for
a) the value of loss suffered
b) profits which obligee failed to obtain
Exception:
a. provided by law
b. by stipulation
WHAT MUST BE DONE TO COLLECT ACTUAL DAMAGES:
1.) Plead or allege the loss
GENERAL DAMAGE - natural, necessary and logical consequences of a particular wrongful act
which result in injury; need not be specifically pleaded because the law itself implies or
presumes that they resulted from the wrongful act
SPECIAL DAMAGES - damages which are the natural, but not the
necessary and inevitable result of the wrongful act; need to be pleaded
2.) Pray for the relief that claim for loss be granted
3.) Prove the loss
WHEN LOSS NEED NOT BE PROVED:
1.) Liquidated damages previously agreed upon; liquidated damages take the place of actual
damages except when additional damages incurred
2.) If damages other than actual are sought
3.) Loss is presumed (ex: loss if a child or spouse)
4.) Forfeiture of bonds in favor of the government for the purpose of promoting public interest or
policy (ex: bond for temporary stay of alien)
CONTRACTS & QUASI CONTRACTS
1. Damages in case of Good faith a. Natural and probable consequence of breach of obligation, and
b. Parties have forseen or could have reasonably forseen at time obligation was constituted
2. Damages in case of bad faith
a. it is sufficient that damages may be reasonably attributed to the non-performance of the
obligation
CRIMES & QUASI-CRIMES
defendant is liable for all damages that are natural and probable consequence of the
act/omission complained of
not necessary that damages have been forseen or could have been reasonably forseen
a) VALUE OF LOSS SUFFERED - Destruction of things, fines or penalties,
medical & hospital bills, attorney's fees, interests, cost of litigation
Damages recoverable:
1. Medical & Hospital Bills
2. Loss or impairment of earning capacity (in case of physical disability)
3. Damages for death

a) Minimum amount: P50,000


b) Loss of earning capacity unless deceased had permanent physical disability not caused by
defendant so that deceased had no earning capacity at time of death
c) Support, if deceased was obliged to give support (for period not more than 5 years)
d) Moral damages
4. Attorney's fees
- as a general rule, attorney's fees (other than judicial costs) are not recoverable, except:
a) stipulation between parties
b) when exemplary damages are awarded
c) when defendant's act/omission compelled plaintiff to litigate with 3rd persons or incur
expenses to protect his interest
d) malicious prosecution
e) clearly unfounded civil action or proceeding against plaintiff
f) defendant acted in gross & evident bad faith in refusing to satisfy plaintiff's just & demandable
claim
g) legal support actions
h) recovery of wages of household helpers, laborers & skilled workers
i) actions for indemnity under workmen's compensation and employer liability laws
j) separate civil action to recover civil liability arising from crime
k) when double judicial costs are awarded
5. Judicial costs
6. interest
- discretionary on part of the court
b) UNREALIZED PROFITS - future earnings
WHEN IS DAMAGES MITIGATED:
1. Contributory negligence
2. In contracts. Quasi-contracts and quasi-delict a. plaintiff has contravened the terms of contract
b. plaintiff derived some benefit as result of contract
c. in case where exemplary damages are to be awarded, that the defendant acted upon the advise
of counsel
d. that the loss would have resulted in any event
e. that since the filing of the action, the defendant has done his best to lessen the plaintiff's loss or
injury

2. MORAL DAMAGES - (PBMF-MWSS)


a. Physical suffering
b. Besmirched reputation
c. Mental anguish
d. Fright
e. Moral shock
f. Wounded feelings

g. Social humiliation
h. Serious anxiety
Notes:
Sentimental value of real or personal property may be considered in adjudicating moral
damages
The social and economic/financial standing of the offender and the offended party should be
taken into consideration in the computation of moral damages
Moral damages is awarded only to enable the injured party to obtain means, diversions or
amusements that will serve to alleviate the moral suffering he has undergone, by reason of
defendant's culpable action and not intended to enrich a complainant at the expense of defendant
IN WHAT CASES MAY MORAL DAMAGES BE RECOVERED (enumeration not exclusive):
a. Criminal offense resulting in physical injuries
b. Quasi-delicts causing physical injuries
c. Seduction, abduction, rape or other acts of lasciviousness
d. Adultery and concubinage
e. Illegal or arbitrary detention or arrest
f. Illegal search
g. Libel, slander or other form of defamation
h. Malicious prosecution
i. Acts mentioned in art 309 of the RPC relating to disrespect of the dead and interference with
funeral
j. Acts and actions referred to in arts 21, 26, 27, 28, 29, 30, 32, 34 and 35
k. The parents of the female seduced, abducted, raped, or abused
l. Spouse, descendants, ascendants and brother and sisters for acts mentioned in art 309
m. Art 2220 - in cases of willful injury to property or breaches of contract where defendant acted
fraudulently or in bad faith
Art. 2220. Willful injury to property may be a legal ground for awarding
moral damages if the court should find that, under the circumstances,
such damages are justly due. The same rule applies to breaches of
contract where the defendant acted fraudulently or in bad faith.

3. NOMINAL DAMAGES
- adjudicated in order that a right of the plaintiff, which has been violated or invaded by the
defendant, may be vindicated or recognized, and not for the purpose of indemnifying the plaintiff
for any loss suffered by him
ELEMENTS:
a. Plaintiff has a right
b. Right of plaintiff is violated
c. Purpose is not to identify but vindicate or recognize right violated

4. TEMPERATE OR MODERATE DAMAGES


- more than nominal but less than compensatory where some pecuniary loss has been suffered
but its amount can't be proved with certainty due to the nature of the case
REQUISITES:
a. Some pecuniary loss
b. Loss is incapable of pecuniary estimation
c. Must be reasonable
5. LIQUIDATED DAMAGES
- those agreed upon by the parties to a contract, to be paid in case of breach thereof
WHEN LIQUIDATED DAMAGES MAY BE EQUITABLY REDUCED:
a. iniquitous or unconscionable
b. partial or irregular performance
6. EXEMPLARY OR CORRECTIVE DAMAGE
- imposed by way example or correction for the public good, in addition to the moral, temperate,
liquidated to compensatory damages

Moral damages are not intended to enrich the complainant at the expense of the
defendant. Rather, these are awarded only to enable the injured party to obtain
means, diversions or amusements that will serve to alleviate the moral suffering
that resulted by reason of the defendants culpable action. The purpose of such
damages is essentially indemnity or reparation, not punishment or correction. In
other words, the award thereof is aimed at a restoration within the limits of the
possible, of the spiritual status quo ante;therefore, it must always reasonably
approximate the extent of injury and be proportional to the wrong committed.[17]