CA Choy and San Leon are solidarily liable to Vallejos and
that Malayan, as insurer of Sio Choy and subrogee of Sio September 26, 1988 | Padilla, J. | Solidary obligation Choy as against San Leon, may be entitled to reimbursements from San Leon if Sio Choy is made to PETITIONER : Malayan Insurance Co., Inc. pay the entire obligation, RESPONDENTS : Court of Appeals, Martin C. Vallejos (passenger of the jeep), Sio Choy (owner of the insured DOCTRINE : In solidary obligation, the creditor may jeep), San Leon Rice Mill Inc. (employer of the driver) enforce the entire obligation against one of the and Pangasinan Transportation Co. (PANTRANCO) solidary debtors. On the other hand, insurance is defined as "a contract whereby one undertakes for a SUMMARY : Malayan issued to Sio Choy an insurance consideration to indemnify another against loss, damage, policy covering a Willys jeep, with the insurer being or liability arising from an unknown or contingent liable for Sio Choy’s “own damage” and “third-party” event." liability. The insured jeep driven by Campollo, employee of San Leon, collided with a PANTRANCO bus, causing damage to the insured jeep and injuries to the driver and Vallejos, who was riding the jeep. Vallejos filed for damages against Malayan, Sio Choy, San Leon and PANTRANCO. The trial court held them jointly and severally liable to Vallejos, with Malayan being liable only up to P20k. On appeal, CA affirmed the trial court’s decisions but ruled that San Leon has no obligation to reimburse Malayan for whatever amount it may pay since San Leon is not a party to the insurance contract. Malayan prays for the reversal of CA’s decision, or, in the alternative, to order San Leon to reimbursement of any amount in excess of 1⁄2 of damages it is order to pay jointly and severally with Sio Choy. SC affirmed the decision of the CA with modifications that only only Sio