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NORTHWEST AIRLINES vs.

CHIONG Calvo remained at the (PCG) while Chiong proceeded to queue at the
Northwest (NW) check-in counter. When it was Chiongs turn, the NW
J. Nachura | January 31, 2008 personnel informed him that his name did not appear in the computer.
Chiong was then directed to speak to a man in barong standing
outside from whom he could get a boarding pass for $100. Without
TOPIC: Courts Discretion, NCC 2216: $100, Chiong continued to queue at the check-in counter. However, the
same personnel told him to wait and that he was being a pest.

[NCC 2216, CH3, Other Kinds of Damages] No proof of pecuniary loss is Frustrated, Chiong went back to Calvo. Calvo, who already saw that
necessary in order that moral, nominal, temperate, liquidated or exemplary something was amiss, insisted that Chiongs plane ticket was confirmed.
damages may be adjudicated. The assessment of such damages, except
liquidated ones, is left to the discretion of the court, according to the
Ultimately, Chiong was not allowed to board the plane and
circumstances of each case.
consequently, was unable to work at the MV Elbia by April 1.]

o It appears that Chiongs name was crossed out and substituted


with W. Costine in NWs Air Passenger Manifest.
FACTS

The RTC ruled in favor of Chiong and held NW liable for breach of
contract of carriage. The RTC held that the evidence supported the
On March 14, 1989, Philmare Shipping hired respondent Chiong as 3 rd conclusion that Chiong was deliberately prevented from checking-in and
Engineer of TransOceans vessel MV Elbia at the San Diego, Cal. Port. his boarding pass unjustifiably withheld to accommodate an American
Chiong was guaranteed a monthly salary of $440 and a monthly passenger by the name of W. Costine.
overtime pay of $220 or a total of $7920 for one year.

o The CA affirmed in toto the ruling of the RTC.


After 13 days, Philmare dispatched a Letter of Guarantee confirming
Chiongs arrival to board MV Elbia which was set to sail on April 1, 1989.
For this purpose, Philmare purchased Chiong a Northwest plane ticket ISSUE
for San Diego, California with a departure date of April 1 from Manila.

On April 1, 29189, Chiong arrived at MIA 3 hours before his scheduled (1) WHETHER Chiong was bumped-off by NW from Flight NW 24 or whether
departure. Marilyn Calvo, Philmares Officer, met Chiong at the he no-showed for said flight. CHIONG WAS BUMPED-OFF
departure gate and they proceeded to the Phil. Coast Guard (PCG) to
present Chiongs seamans book for clearance. Thereafter, Chiongs (2) If NW is found guilty of having breached its contract of carriage with
passport was duly stamped. Chiong, what damages are awardable to plaintiff and how much SEE
RATIO
o MORAL DAMAGES: Under NCC 2220, an award of moral damages, in
breaches of contract, is in order upon a showing that defendant
acted in bad faith. Here, the SC upheld the showing of bad faith
when NW crossed-out Chiongs name in favor of an American
RATIO
citizen.

(1) The records reveal the Chiong satisfied the burden of proof required in o EXEMPLARY DAMAGES: The award of exemplary damages is correct
civil cases, i.e., preponderance of evidence. given the evidence that NW acted in an oppressive manner towards
Chiong.

In addition to his testimony, his evidence consisted of a NW ticket, his


passport and seamans book duly stamped at PCG, and the testimonies o ATTORNEYS FEES: Attorneys fees may be awarded when a party is
of Calvo and a POEA personnel. compelled to litigate or where the defendant acted in gross and
evident bad faith in refusing to satisfy the plaintiffs valid claim.

In stark contrast is NWs bare-faced claim that Chiong was a no-show


passenger. The records belie this assertion.

DISPOSITIVE: CA RULING AFFIRMED.


(2) From the foregoing discussion, it is reasonable to conclude that NW RMLPablo
breached its contract of carriage with Chiong.

DOCTRINE: Time and again, we have declared that a contract of


carriage, in this case, air transport, is primarily intended to serve the
traveling public and thus, imbued with public interest. The law governing
common carriers consequently imposes an exacting standard of
conduct. As the aggrieved party, Chiong only had to prove the existence
of the contract and the fact of its non-performance by Northwest, as
carrier, in order to be awarded compensatory and actual damages.

ACTUAL DAMAGES: NW failed to prove its claim that Chiong was able to
work on MV Elbia. Hence, the SC affirms Chiongs entitlement to actual
damages.

OTHER DAMAGES: The SC upholds NWs liability for moral and


exemplary damages, and attorneys fees.

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