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GR No. L-10986 March 31, 1917

On June 17, 1914, the defendant chartered and hired unto the plaintiff the
steamship or vessel called the Sambia for the purpose of carrying a full cargo of
rice, rice bran and cargo meal from the port of Saigon to the port of Dunkirk and
Hamburg. The plaintiff loaded and shipped on board the Sambia at the said port
of Saigon , destined for said ports of Dunkirk and Hamburg. On August 12, 1914,
the said steamship Sambia sailed from the port of Saigon, but without the
consent or approval of plaintiff as the character of said vessel and the owner of
said cargo, and against the protest of the plaintiff, the said vessel wholly failed,
omitted and refused to sail unto said destinations, but wilfully abandoned the said
stipulated voyage and has remained at Manila continuously until the present day.
On September 10, 1914, the defendant and in the absence of plaintiff, sought
and obtained by means of petition filed the authority of this court to discharge the
said cargo of the plaintiff from the said vessel and to sell the same at private
sale, which they did.
Under and by virtue of said failure, refusal, and neglect of the defendant to safely
carry the said merchandise and cargo as in said charter party and bills of lading
provided, the plaintiff instituted a complaint to the

ISSUE: Whether the court has jurisdiction to the case

RULING: Yes. In the court below defendant not only appeared and answered
without objecting to the court's jurisdiction, but sought affirmative relief; and it is
very clear that defendant cannot be permitted to submit the issues raised by the
pleadings for adjudication, without objection, and then, when unsuccessful, assail
the court's jurisdiction in reliance upon a stipulation in the charter party which the
parties were at entire liberty to waive if they so desired. We do not stop therefore
to rule upon the contention of opposing counsel, that a contractual stipulation, for
a general arbitration cannot be invoked to oust our courts of their jurisdiction,
under the doctrine announced in the cases of Wahl and Wahl vs. Donaldson,
Sims & Co., and Cordoba vs. Conde; and that this doctrine should be applied in
the case at bar, notwithstanding the fact that the contract was executed in
England, in the absence of averment and proof that under the law of England
compliance with, or an offer to comply with such a stipulation constitutes a
condition precedent to the institution of judicial proceeding for the enforcement of
the contract.