271. Sabena Belgian Airlines vs.

CA
Facts: Mrs. Fule purchased three round trip tickets for herself and two children from Sabena
with the route: Manila-Brussels-Barcelona-Madrid. During the trip, they encountered
inconveniences, such as, walking under the drizzle after disembarking; delayed connecting
flight to Barcelona; and a missing luggage. They allegedly incurred medical and hotel
expenses. Thus, Mrs. Fule made a letter-complaint to Sabena office. The Madrid Office
offered to pay about half of what she was asking, that the rest would be paid by the Manila
Office. A certain Yancha made her sign a document in French language which she did not
understand. It turned out that the document was a quitclaim. The trial court awarded them
actual, moral and exemplary damages.

Issue: Whether Sabena is liable to the Fules for damages arising from breach of contract of
carriage.

Held: Yes.
Misconduct on the part of the carriers employees toward a passenger gives the latter an
action for damages against the carrier.

In the imposition of moral damages, the defendants act must be wrongful or wanton or
done in bad faith.

Here, there is no finding that the carriers delay in delivering Mrs. Fules luggage was
wrongful or due to bad faith. While there is failure on the part of the carrier in protecting
Mrs. Fule et al from the rain, its neglect was not so gross as to amount to bad faith or
wantoness. What is involved in this case is simple negligence, considering that the rain
through which Mrs. Fule et al had to walk was a slight drizzle.

Nonetheless, there is still bad faith in making Mrs. Fule sign a quitclaim without informing
her of its contents.

With respect to moral damages, the rule is that the same are recoverable in a damage suit
predicated upon a breach of contract of carriage only where (1) the mishap results in the
death a of passenger and (2) it is proved that the carrier was guilty of fraud and bad faith,
even if death does not result.

As the appellate court found the petitioner guilty of bad faith in letting the respondent sign a
quitclaim without her knowledge or understanding and contrary to what she was planning to
do, the reduced award of moral and exemplary damages is proper and legal.