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A.L.
Ammen
Transportation
Co.,
Inc.
is
a
corporation
engaged
in
the
business
of
transporting
passengers
by
land
for
compensation
in
the
Bicol
provinces
and
one
of
the
lines
it
operates
is
the
one
connecting
Legaspi
City,
Albay
with
Naga
City,
CamSur.
May
31,
1951
–
plaintiff
boarded
Bus
No.
31
of
defendant
as
a
passenger
paying
the
required
fare
from
Ligao,
albay
bound
for
Pili,
CamSur,
but
before
reaching
his
destination,
the
bus
collided
with
a
motor
vehicle
of
the
pick-‐up
type
coming
from
the
opposite
direction.
Plaintiff’s
left
arm
was
completely
severed
and
the
severed
portion
fell
inside
the
bus.
Plaintiff
was
rushed
to
a
hospital
in
Iriga,
CamSur
where
he
was
givben
blood
transfusion.
After
four
days,
he
was
transferred
to
another
hospital
in
Tabaco,
Albay
where
he
underwent
treatment
for
three
months.
He
was
moved
later
to
the
Orthopedic
Hospital
where
he
was
operated
on
and
stayed
there
for
2
months.
Plaintiff
alleged
that
the
collision
which
resulted
in
the
loss
of
his
left
arm
was
manily
due
to
the
gross
incompetence
and
recklessness
of
the
driver
of
the
bus
operated
by
defendant
and
that
the
defendant
incurred
in
culpa
contractual.
Defendant
set
up
as
a
special
defense
that
the
injury
suffered
by
plaintiff
was
due
entirely
to
the
fault
or
negligence
of
the
driver
of
the
pick-‐up
car
which
collided
with
bus.
He
further
claims
that
the
accident
is
one
which
defendant
could
not
foresee
or,
though
foreseen,
was
inevitab;e.
TC
–
collision
occurred
due
to
the
negligence
of
the
driver
of
the
pick-‐up
car
and
not
to
that
of
the
driver
of
the
bus
it
appearing
that
the
latter
did
everything
he
could
to
avoid
the
same.
ISSUE:
won
defendant
observed
extraordinary
diligence
HELD:
From
Articles
1733,
1755
and
1756
of
the
CC,
we
can
make
the
following
restatement:\
1.
The
liability
of
a
carrier
is
contractual
and
arises
upon
breach
of
its
obligation.
There
is
breach
if
it
fails
to
exert
extraordinary
diligence
according
to
all
the
circumstances
of
each
case;
2.
A
carrier
is
obliged
to
carry
its
passenger
with
the
utmost
diligence
of
a
very
cautious
person,
having
due
regard
for
all
the
circumstances;
3.
A
carrier
is
presumed
to
be
at
fault
or
to
have
acted
negligently
in
case
of
death
of,
or
injury
to,
passengers,
it
being
its
duty
to
prove
that
it
exercised
extraordinary
diligence;
and
4. 4. The carrier is not an insurer against all risks of travel.
Bus
No.
31,
immediately
prior
to
the
collision,
was
running
at
a
moderate
speed
because
it
had
just
stopped
at
a
school
zone.
The
pick-‐up
car
was
at
full
speed
and
was
running
outside
of
its
proper
lane.
The
driver
of
the
bus,
upon
seeing
the
manner
in
which
the
pick-‐up
was
the
running,
swerved
the
bus
to
the
very
extreme
right
of
the
road
until
its
front
and
rear
wheels
have
rampart
of
the
road.
Notwithstanding
all
theses
efforts,
the
rear
left
side
of
the
bus
was
hit
by
the
pick=up
car.
While
the
position
taken
by
appellant
appeals
more
to
the
sense
of
caution
that
one
should
observe
in
a
given
situation
to
avoid
an
accident
or
mishap,
such
however
can
not
always
be
expected
from
one
who
is
placed
suddenly
in
a
predicament
where
he
is
not
given
enough
time
to
take
the
proper
course
of
action
as
he
should
under
ordinary
circumstances.
One
who
is
placed
in
such
a
preduicament
cannot
exercise
such
coolness
or
accuaracy
of
judgment
as
is
required
of
him
under
ordinary
circumstances
and
he
cannot
therefore
be
expected
to
observe
the
same
judgment,
care
and
precaution
as
in
the
latter.
Where
failure
to
observe
the
same
degree
of
care
that
as
ordinary
prudent
man
would
exercise
under
ordinary
circumstances
when
confronted
with
a
sudden
meregency
was
held
to
be
warranted
and
a
justification
to
exempt
the
carrier
from
liability.
Where
a
carrier’s
employee
is
confronted
with
a
sudden
emergency,
the
fact
that
he
is
obliged
to
act
quickly
and
without
chance
for
deliberation
must
be
taken
into
account,
and
ihe
is
not
held
to
the
same
degree
of
care
that
the
would
otherwise
be
required
to
exercise
in
the
ansence
of
such
emergency
but
must
exercise
only
such
casre
as
any
other
prudent
person
wouldexercise.
The
driver
of
the
bus
has
done
what
a
prudent
man
could
have
done
to
avoid
the
collision.
When
appellant
boarded
the
bus,
he
seated
himself
on
the
left
side
thereof,
resting
his
left
arm
on
the
window
sill
but
with
his
left
elbow
outside
thw
indow,
this
being
his
position
in
the
bus
when
the
collision
took
place.
The
appellant
is
guilty
of
contributory
negligence.
It
is
to
be
noted
that
appellant
was
the
only
victim
of
the
collision.
September
10,
1972
–
at
about
9pm,
Winfredo
Tupang,
husband
of
plaintiff
Rosario
Tupang
boarded
Train
NBo.
516
of
PNR
at
Libmanan,
CamSur,
as
a
paying
passenger
bound
for
Manila.
Due
to
some
mechanical
defect,
the
train
stopped
at
Sipocot,
CamSur,
for
repairs,
taking
some
2
hrs
before
th
train
could
resume
its
trip
to
Manila.
Upon
passing
Iyam
Bridge
at
Lucena
Quezon,
Winifredo
Tupang
fell
off
the
train
resulting
in
his
death.
The
train
did
not
stop
despite
the
alarm
raised
iby
the
other
passengers
that
somebody
feel
from
the
train.
The
train
conductor,
Perfecto
Abrazado,
called
the
station
agent
at
Candelaria
Quezon,
and
requested
for
verification
of
the
information.
Police
authorites
of
Lucena
were
dispatched
to
the
Iyam
Bridge
where
they
found
the
lifeless
body
of
Winifredo
Tupang.
Rosario
filed
a
complaint
at
then
CFI
of
Rizal.
CFI
held
petitioner
PNR
liable
for
damages
for
breach
of
contract
of
carriage.
CA
sustained
the
holding
of
the
TC
PNR
raised
for
the
1st
time,
as
a
defense,
the
doctrine
of
state
imnnituy
from
suit.
It
alleged
that
it
is
a
mere
agency
of
the
Phil
Govt.
without
distinct
or
separate
personality
of
itw
own
and
that
its
funds
are
governmental
in
character.
HELD:
Under
RA
3156,
Sec.
4,
the
PNR
has
all
the
powers,
the
characteristics
and
attributes
of
a
corporation
under
the
Corporation
Law.
There
can
no
be
question
then
that
the
PNR
may
sue
or
be
sued
and
may
be
subjected
to
court
processes
just
like
any
other
corporation.
When
the
government
enters
into
commercial
business,
it
abandons
its
sovereign
capacity
and
is
to
be
treated
like
any
other
corporation.
In
fine,
petitioner
PNR
cannot
legally
set
up
the
doctrine
of
non-‐suability
as
a
bar
to
the
plaintiff’s
suit
for
damages.
Petitioner
does
not
deny,
that
the
train
boarded
by
the
deceased
Winifredo
Tupang
was
so
overcrowded
that
the
had
and
many
other
passengers
had
no
choice
but
to
sit
on
the
open
platforms
between
the
coaches
of
the
train.
It
is
likewise
undisputed
that
the
train
did
not
even
slow
down
when
it
approached
the
Iyam
Bridge
which
was
under
repair
at
the
time.
Neither
did
the
train
stop,
despite
the
alarm
raised
by
other
passengers
that
a
person
had
fallen
off
the
train
at
Iyam
Bridge.
The
petitioner
failed
to
overthrow
the
presumption
of
negligence
with
clear
and
convincing
evidence.
But
while
petitioner
failed
to
exercise
extraordinary
diligence
as
required
by
law,
it
appears
that
the
deceased
was
chargeable
with
contributory
negligence.
Since
he
opted
to
sit
on
the
open
platform
between
the
coaches
of
the
train,
eh
should
have
held
tightly
and
tenaciously
on
the
upright
metal
bar
found
at
the
side
of
said
platform
to
avod
falling
off
from
the
speeding
train.
Such
contributory
negligence,
while
not
exempting
the
PNR
from
liability,
nevertheless
justified
the
deletion
of
the
amount
adjudicated
as
moral
damages.