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Damage- the lost, hurt or harm, which results

from injury => illegal invasion of a legal right


Damages- is the sum of money which the law
awards or imposes as pecuniary compensation,
recompense or satisfaction for an injury done.
When there is damage, do you expect
damages? All the time?
No, there can be damage without injury
(damnum absque injuria) and if there is no
injury then no basis for damages. It is not
enough to show suffering or prejudice. What is
needed is a showing of invasion of right or
legal duty.
Example
1. Right to litigate- as long as it is only an
exercise of a right and no attendance
of abuse is present
2. 2013 Bar Question:
A
collision
occurred
at
an
intersection involving a bicycle and a
taxicab. Both the bicycle rider (a
businessman then doing his morning
exercise) and the taxi driver claimed
that the other was at fault. Based on
the police report, the bicycle crossed
the intersection first but the taxicab,
crossing at a fast clip from the bicycle's
left, could not brake in time and hit the
bicycle's rear wheel, toppling it and
throwing the bicycle rider into the
sidewalk 5 meters away.
The bicycle rider suffered a
fractured right knee, sustained when
he fell on his right side on the concrete
side walk. He was hospitalized and was
subsequently operated on, rendering
him immobile for 3 weeks and requiring
physical rehabilitation for another 3
months. In his complaint for damages,
the rider prayed for the award
ofP1,000,000
actual
damages,P200,000
moral
damages, P200,000
exemplary
damages, P1 00,000 nominal damages
and P50,000 attorney's fees.
Assuming the police report to be
correct and as the lawyer for the
bicycle
rider,
what
evidence
(documentary and testimonial) and

legal arguments will you present in


court to justify the damages that your
client claims?
What is needed to prove/claim for damages?
1. There is a loss or injury- injury can
either be special or general; difference
is important because a special injury
needs to be plead specifically in the
pleading to be granted.
2. Legal duty or right violated
3. Know the specific requirements for the
damages youre asking
4. Know what are the damages that can
or cannot co-exist
KINDS OF DAMAGES:
ACTUAL DAMAGES- are those recoverable
because of pecuniary loss- in business, trade,
property, profession, job or occupation.
What
is
meant
to
compensate is money or
monetary loss; there must
be an actual loss and such
loss must be duly proven
-

Full
adequate
compensation for that loss
show
documentary evidence;
the courts as a matter
of preference would
prefer
documentary
evidence
over
testimonial because of
the bias nature of the
latter.

Breach of Contract- damages recoverable


would depend on how the contract was
breached
If in bad faith- obligor shall be
responsible for all damages which may
be reasonably attributed to the nonperformance of the obligation
If in good faith- obligor shall be
responsible for damages which are
natural and probable consequence of
the breach; which the parties have
foreseen or
could have reasonably
foreseen at the time the obligation was
constituted
Crime or Quasi-Delict foreseeability does not
matter
Responsible for all that
results from the crime or
quasi-delict

Will pay not only indemnity


for fact of death nut also
loss of earning capacity

bad faith in refusing to


satisfy the plaintiff's plainly
valid, just and demandable
claim;

Interest 6% legal rate (July 1, 2013)


There are two kinds:
1. Interest for use of money
2. Interest as an item for damages
3 Scenarios contemplated in Eastern Shipping
Case:
1. Loan
Example: A borrowed money from B in
the amount of 100,000 with 10%
interest to be paid in October 2015.
On October 2015, what will
be owed is 110,000
the 10,000 interest will
earn interest from the time it is
judicially demanded
2. Owe money to another person but not
because of a loan
Example: Liquidated Damages- interest
due will earn interest from the time it is
judicially demanded
3. Owe an amount but at the time of filing
it is not yet determined or established
with reasonable certainty
Example: Case for defamation- interest
will be imposed at the time the amount
can be established with reasonable
certainty
case file on 2013, Judgment
on 2020 => interest runs starting this
date

(6) In actions
support;

(8) In actions for indemnity


under
workmen's
compensation
and
employer's liability laws;
(9) In a separate civil
action to recover civil
liability arising from a
crime;
(10) When at least double
judicial costs are awarded;
(11) In any other case
where the court deems it
just and equitable that
attorney's
fees
and
expenses
of
litigation
should be recovered.
-

(2) When the defendant's


act
or
omission
has
compelled the plaintiff to
litigate with third persons
or to incur expenses to
protect his interest;
(3) In criminal cases of
malicious
prosecution
against the plaintiff;

(5) Where the defendant


acted in gross and evident

legal

(7) In actions for the


recovery of
wages of
household helpers, laborers
and skilled workers;

ATTORNEYS FEES
General Rule: cannot be
recovered
Exception: Article 2208
(1)
When
exemplary
damages are awarded;

(4) In case of a clearly


unfounded civil action or
proceeding
against
the
plaintiff;

for

Two kinds of Attorneys


fees:
1. Ordinary- payment for
services by the client to
the attorney
2. Extraordinary- amount
to be given to the
winning party
Is an item of
damages
Paid
to
the
client not to the
attorney
UNLESS
the
parties
stipulate
that
the attorneys
fees granted by
the
court
should be given
to the attorney
Reason: No premium on the
right to litigate
Parties
can
stipulate
attorneys fees and only in
the absence of stipulation
will you use article 2208

Requirements for court to


validly award attys fees:
a. Check the body of the
ruling- must contain
justification
for
the
award
It must contain
the
LEGAL
BASIS and THE
FACTS
IN
SUPPORT
OF
THE
LEGAL
BASIS
b. And it must be found in
the dispositive portion

REQUIREMENTS FOR AN AWARD OF MORAL


DAMAGES:
1.
2.
3.

4.

Evidence of besmirched reputation or


physical, mental or psychological
suffering suffered by the claimant
A culpable act or omission factually
established
Proof that the wrongful act or omission
of the defendant is the proximate
cause of the damages sustained by the
claimant
The case is predicated on any of the
instances expressed or envisioned by
Article 2219 and Article 2220 of the
Civil Code

ARTICLE 2219

MORAL DAMAGES
What kind of injury does it seek to address?

Physical suffering, mental anguish,


fright, serious anxiety, besmirched
reputation, wounded feelings, moral
shock, social humiliation and similar
injury

It does not cover pecuniary loss unlike actual


damages but there is still a need to prove loss
for both actual and moral damages. The
difference is that for actual damages, it must
be proven with certainty through receipts, etc
while for moral damages there is a need to
prove loss but not in the same degree of
exactness as that needed for actual damages.
You need to understand the kind of loss it is
meant address and since it deals with
besmirched reputation, wounded feelings, etc.,
you cannot determine those with exactitude so
there is still proof of loss required but unlike
actual damages, the proof of loss need not be
established with such degree of exactitude.
The purpose for actual damages is for full
compensation while the purpose for moral
damages is to compensate one for manifold
injuries or for the injury suffered. It is still for
compensation but not for monetary loss. The
purpose is to give the injured some means in
order to obtain diversion or recreation. Court
said to restore him to his spiritual status quo

Moral damages may be recovered in the


following and analogous cases:
(1) A criminal offense resulting in
physical injuries;
(2) Quasi-delicts causing physical
injuries;
(3) Seduction, abduction, rape, or other
lascivious acts;
(4) Adultery or concubinage;
(5) Illegal or arbitrary detention or
arrest;
(6) Illegal search;
(7) Libel, slander or any other form of
defamation;
(8) Malicious prosecution;
(9) Acts mentioned in Article 309;
(10) Acts and actions referred to in
Articles 21, 26, 27, 28, 29, 30, 32, 34,
and 35.
The parents of the female seduced, abducted,
raped, or abused, referred to in No. 3 of this
article, may also recover moral damages.
The spouse, descendants, ascendants, and
brothers and sisters may bring the action
mentioned in No. 9 of this article, in the order
named.
ARTICLE 2220
Willful injury to property may be a legal
ground for awarding moral damages if
the court should find that, under the
circumstances, such damages are justly
due. The same rule applies to breaches of
contract where the defendant acted
fraudulently or in bad faith.
Moral damages seeks to address all sorts of ill
feelings but not just that. Its not enough to
show the court that youve suffered mental
anguish or sleepless nights. You have to
pinpoint that these are circumstances covered

under the law. And the law applicable is the


one you find in Articles 2219 and 2220.

to prove that you made


that
defamatory
implication. Such as
when
one
says
kawatan gyud kaayo
ni siyang tawhana, the
other party just has to
prove
that
the
statement was made
and
malice
already
attaches to it.

Article 2219 is not exclusive because it


mentions of analogous causes but it is not all
encompassing because analogous causes limit
you to the instances that are analogous to
those enumerated.
Ex: Kidnapping is akin to serious illegal
detention and so moral damages may be
awarded;

EXC: MALICE IN FACT

Loss of boyfriend not enumerated in the law


and no causal connection between the loss of
boyfriend and the accident suffered by the girl
(for all you know the boyfriend will still leave
you even without the injuries suffered)
therefore no award of moral damages

LIBEL
ARTICLE 353, RPC
Definition of libel. A libel is public and
malicious imputation of a crime, or of a
vice or defect, real or imaginary, or any
act, omission, condition, status, or
circumstance tending to cause the
dishonor, discredit, or contempt of a
natural or juridical person, or to blacken
the memory of one who is dead.

Art. 354. Requirement for


publicity.
Every
defamatory
imputation is presumed to
be malicious, even if it be
true, if no good intention and
justifiable motive for making it
is shown, except in the
following cases:

May be committed against natural


(living and the dead) or juridical
persons (corporations)
What the law on libel seeks to address
is relational interest. So there has to be
a third person who must know of the
defamatory imputation because what it
wants to protect is your reputation. And
your reputation is not your high regard
of yourself but the high regard that
others have of you. You always need a
third person for it to be libel.

1. A private communication
made by any person to another
in the performance of any
legal, moral or social duty; and
2. A fair and true report, made
in good faith, without any
comments or remarks, of any
judicial, legislative or other
official proceedings which are
not of confidential nature, or of
any
statement,
report
or
speech
delivered
in
said
proceedings, or of any other
act
performed
by
public
officers in the exercise of their
functions.

Ex: A defaming B. For it to be libel, C must


have seen the defamatory article or comment.

Public and malicious


crime, vice or defect
o MALICE

imputation

of

GR: Malice is presumed in every


defamatory imputation MALICE IN
LAW

from the mere fact


that
you
made
a
defamatory imputation,
the other party just has

There are instances


where even if the
statement
is
defamatory, malice is
not presumed
There is a need to
prove
that
malice
actually existed. This is
in the case of ART 354,
RPC

Ex:
1.

Writing a letter to USC President, Fr.


Miranda that Dean Largo is just about
the worst dean you could think of. That
is at the very least an imputation of a
defect. Fr. Miranda has the power to

remove the dean or refuse to reappoint


her. So it is done by him in the
performance of any legal, moral or
social duty. There is a need to prove
that there is malice and the way to
prove it is to say that there is no
justifiable motive.
If that same letter is sent to the Lex
Circle which has no power to remove or
dismiss dean, it is libel.

without any comments or remarks


takes
away
from
the
coverage
comments
and
opinions
of
commentators and columnists. But SC
in the case of BORJA v CA said that the
enumeration
of
privileged
communications found in ART 354 is in
not exclusive.
There is another brand of privileged
communication not based on 354 but
based on freedom of expression. If you
make a fair comment on matters of
public concern and even if it is later
found
erroneous,
malice
is
not
presumed. In order to convict you of
libel, there has to be proof of malice.
The only key is in proving that it is a
fair comment on matters of public
concern, SC elucidated this in two
other cases (Christy Fermin and Tulfo
case)
when is it fair comment?

Borja: It is a fair comment when it


is based on established facts. It
may even be later found erroneous.

It must be based on established


fact on a matter of public concern
o When is it a matter of public
concern?

it delves with public


funds,

Public conduct,

Public official or Private


Person but in the
category of a private
figure
You make a comment against a public
official but later on found out that it
was wrong. If based on some
established fact, that wrong comment
is privileged and such cannot give rise
to a presumption of malice.
If covered by the doctrine of fair
comment, malice is not presumed. How
do you prove malice?
o Show that it was done in
complete
and
reckless
disregard of the truth

For mere error, malice will not


automatically attach
Court has liberalized the prosecution of
the crime of malice. Libel can be
committed against juridical persons.
o

Early jurisprudence shows that moral


damages cannot be awarded to juridical
persons because they are incapable of
feelings or have no nervous system (DL:
use more finesse when explaining this)
However, in a case involving medical
students who went to a radio station
complaining that their school failed them,
SC said that libel may be committed
against corporations and libel is one of the
situations enumerated in ART 2219. The
Court awarded moral damages to the
school that was lambasted in the radio by
the commentators. It is therefore one of
the instances when moral damages may be
awarded.
Libel is one of the instances when you
grant moral damages and libel can be
committed against a corporation.

Can moral damages be awarded to a


corporation?

Only if it is premised on the


commission of defamatory acts
against the corporation because
libel is one of the acknowledged
instance where you grant moral
damages.

If the grant of MD is not premised


on libel or a defamatory action
against the corporation, it is
without basis. General rule is that
corporations do not have feelings.

MALICIOUS PROSECUTION

An action for damages brought by one


against whom a criminal prosecution,
civil suit or other legal proceeding has
been instituted maliciously and without
probable cause, after the termination
of such prosecution, suit or other
proceeding in favor of the defendant
therein.
Not limited to criminal and civil cases.
Moral damages may even be awarded
to Disbarment cases ( Sui generis; it is
neither a criminal nor civil case)
Ponce vs Legaspi: The foundation of an
action for malicious prosecution is an
original
proceeding,
judicial
in
character. A disbarment proceeding
being judicial in character may

therefore be the basis for a subsequent


action for malicious prosecution.
Who can be held liable?
o The one who instigated the
commencement
or
the
prosecutor
For as long as the case is baseless,
there may be a case for malicious
prosecution.

Breach of promise to marry

WRIT OF KALIKASAN
o
o
o

SLAPP Strategic Lawsuit


Against Public Prosecution.
AM 09-6-8 Section 4
Exclusive only to enforcement
of environmental laws

Ex: A case was filed by A against Mayor Rama


in order to enforce the Solid Waste
Management Law. Mayor Rama then filed a
case against A for damages alleging that the
case filed against him was just meant to vex
and harass him. In the answer in the case for
damages, it may be alleged that the case filed
by Mayor Rama is in the nature of a SLAPP.
Allege that it is a strategic lawsuit filed to stifle
public participation in the enforcement of a
particular environmental law. Once the judge
sees this in the answer, he is mandated by the
rules promulgated by the SC to hold a
summary hearing to determine if indeed that
case filed was really in the nature of a SLAPP. If
found to be SLAPP, the judge will dismiss the
case and award you damages. It is deemed
malicious prosecution meant to prevent public
participation.

In Article 2220 of the Civil Code, it says that


moral damages may be recoverable for breach
of contract if the defendant acted in bad faith
or fraudulently.
It is not enough to show breach. In addition, it
must be shown that the breach was done
fraudulently or in bad faith.

When is it a ground to grant moral


damages?
Breach of promise to marry is generally
not an actionable wrong
BAKSH v CA - where a mans promise
to marry in fact the proximate cause of
the acceptance of his love by a woman
and his representation to fulfill that
promise
thereafter
becomes
the
proximate cause of the giving of herself
unto him in sexual congress, proof that
he had, in reality, no intention of
marrying her and that the promise was
only subtle scheme or deceptive device
to entice or inveigle her to accept him
and obtain her consent to sexual act
could justify the award of damages
pursuant to Article 21 not because of
such breach of promise of marriage but
because of the fraud and deceit behind
it, and the willful injury to her honor
and
reputation
which
followed
thereafter. It is essential however, that
such
injury
should
have
been
committed in a manner contrary to
morals, good customs, or public policy.

Buenaventura Case someone filed a case for


nullity of marriage based on Article 36
(psychological incapacity). The plaintiff asked
for moral damages against the defendant.
Court said that psychological incapacity is not
founded on intent and defendant shouldnt be
asked to pay moral damages because this isnt
of the defendants own doing. No moral
damages if the ground for nullity is
psychological incapacity.
10/09
ACTUAL DAMAGES
- prove monetary loss

- purpose is for compensation

MORAL DAMAGES
- prove that a loss was suffe
and that it falls under what
enumerated by law
-purpose is to provide divers
or recreation

Ex: Contract of carriage

breach of contract resulting to death


will allow the grant of moral damages
(ART 1764, NCC)
Somebody must die in order to justify
an award for moral damages. If nobody
died, allege bad faith, fraud or gross
negligence in order to be awarded with
moral damges. Gross negligence may
be taken to amount to bad faith.

TEMPERATE DAMAGES
ART 2224, NCC
Temperate or moderate damages, which
are more than nominal but less than
compensatory
damages,
may
be
recovered when the court finds that some
pecuniary loss has been suffered but its
amount can not, from the nature of the
case, be provided with certainty.

Similar to ACTUAL DAMAGES since


there is monetary loss involved
and the purpose is the same.
less
than
compensatory
damages there is monetary loss
but definite proof of such cannot
be adduced. The monetary loss is
such, that by its nature, it cannot
be established with certainty.
The law says that from the nature
of the case, it cannot be proved
with certainty. So dispel the idea
that you have monetary loss and
for some reason you failed to
present receipts when there are
receipts available. The court will
not say because you were not
able to establish how much it is
that you really lost, we will just
award
you
with
temperate
damages. The monetary loss that
is
being
contemplated
in
temperate damage is that it is loss
in the form of money but the
nature of the monetary loss is
such that you cannot put an exact
figure to it. The one thing that
immediately comes into mind is
injury to commercial standing. You
know that it involves monetary
loss but the exact price for that
injury cannot be proved with
exactitude. This is an example
when the court may grant
temperate damages.
You cannot award actual damages
because those are reserved for
monetary loss that can be proven
with certainty. Precisely, the
purpose for AD is to provide
adequate and full compensation.
But in TD, there is compensation
for the monetary loss but it cannot
be full and adequate because you
cannot determine really exactly
how much is it that you lost. So it
is compensation but not the
adequate compensation.
When you think of funeral
expenses, it is a monetary loss
that you can exactly show how
much you spent by way of
receipts. But when you fail to
present receipts, such cannot be
cured by asking for temperate
damages instead. However, there
are several cases where the court
awarded temperate damages for
failure to present receipts. Those
are of course stray decisions
because if you look at the bare

letters of the law, it will tell you


that temperate damages are to be
granted only when the nature of
the monetary loss prevents you
from determining exactly how
much
was
lost.
Temperate
damages is not meant to be a
substitute for actual damages.

Is it then possible to temperate


damages and actual damages to
stand together?

GR: They cannot co-exist

EXC: RAMOS v CA SC allowed


both actual and temperate
damages to exist because the
injury
was
chronic
and
continuing.
The
court
acknowledged that even after
the case will be resolved, the
injured party will continue to
incur expenses and they cannot
have him come to court every
time to ask for reimbursement.
So actual damages for past
expenses
and
temperate
damages for future expenses.

more than nominal because


the
purpose
is
still
for
compensation and not just to
recognize or vindicate a right
NOMINAL DAMAGES
ART 2221, NCC
Nominal damages are adjudicated in order that
a right of the plaintiff, which has been violated
or invaded by the defendant, may be
vindicated or recognized, and not for the
purpose of indemnifying the plaintiff for any
loss suffered by him.

The purpose is not for compensation


but rather the purpose is for
VINDICATION or RECOGNITION of a
right.
Nominal damages in labor cases may
be
claimed
from
a
private
person/employer because violation of
statutory due process. This is to
recognize ones right to procedural due
process.
o Dismissal based on just cause
Php 30, 0000
o Dismissal based on authorized
cause Php 50, 000
Can nominal damages co-exist with
other damages? Yes. But it is an
established rule that nominal damages
CANNOT co-exist with actual damages.
Nominal damages are awarded not to

indemnify one for loss but to recognize


a right while actual damages are
awarded precisely to indemnify. They
rest on different foundations.
ART 2223, NCC
The adjudication of nominal damages
shall preclude further contest upon the
right
involved
and
all
accessory
questions, as between the parties to the
suit, or their respective heirs and
assigns.

In quasi-delicts, exemplary damages may


be granted if the defendant acted with
gross negligence.
ART 2232, NCC
In contracts and quasi-contracts, the
court may award exemplary damages if
the defendant acted in a wanton,
fraudulent,
reckless,
oppressive,
or
malevolent manner.
-

LIQUIDATED DAMAGES
-

The only kind of damage that


dispenses with proof of loss
It is advised to stipulate in the contract
provisions providing for liquidated
damages.
However, the court may
equitably reduce the amount if it is
found
to
be
inequitable
or
unconscionable.

EXEMPLARY DAMAGES
-

Exemplary damages vs Moral damages


point of distinction is the purpose.
Purpose for moral damages is to
provide recreation or diversion while
for exemplary damages it is to punish
the defendant (punitive kind of ED) or
to set an example for the public good
or to vindicate the rights of the plaintiff
(vindictive damages).
One form of damages that CANNOT
stand alone because the law says that
to be entitled to exemplary damages
you must prove entitlement to
compensatory, moral or temperate
damages.
It is not a matter of right. It is always
subject to the discretion of the court.
If it is prayed for, make sure that the
factual and legal basis for asking ED is
stated.

When you file a claim for beach of


contract and you pray for ED, you must
allege in the complaint that the breach
was done in a wanton, fraudulent,
reckless, oppressive or malevolent
manner. You cannot just say that it is
claimed to set an example for public
good.
When a claim for quasi-delict is filed,
you must allege gross negligence in
order to be entitled to ED.
In crimes, it may be awarded when
there is one or more aggravating
circumstances.
So it is not enough to say that it is
asked for to set an example for public
good. The legal basis must be stated.
Asked in a bar exam, the contract
stipulates that parties renounce in
advance an award for ED. You cannot
renounce in advance an award for ED
but if you already have a judgment in
your favor awarding you of ED and
then you later on settle with the other
party, you may renounce it.

ASSESSMENT OF DAMAGES
Doctrine of Contributory Negligence (DCN)
when CN is pleaded, liability is admitted
except that you are asking the court to
mitigate the liability. This may be used to
lessen the award of damages.
Doctrine of Avoidable Consequences (DAC)

ART 2230, NCC

ART 2203, NCC

In criminal offenses, exemplary damages


as a part of the civil liability may be
imposed when the crime was committed
with
one
or
more
aggravating
circumstances.
Such
damages
are
separate and distinct from fines and shall
be paid to the offended party.

The party suffering loss or injury must


exercise the diligence of a good father of
a family to minimize the damages
resulting from the act or omission in
question.

ART 2231, NCC

DCN and DAC are both ways of


minimizing damages that may be
awarded
by
the
court.
The
distinction is that in DCN, the
negligence concurs or happens at
the time of the incident but in

DAC, the negligence happens after


the loss or the damage.
In DAC, when once you suffer a
loss/damage you must exercise
diligence
to
lessen
that
loss/damage.

MAMARIL
v
PHILIPPINES
-

BOY

SCOUT

OF

THE

About Sps. Mamaril parking their


car in the space owned by BSP for
twenty years at ten pesos a day.
The vehicle was stolen while still in
the parking area. Mamaril asks
BSP for damages and BSP points
out a stipulation in the parking
ticket stating that management
shall not be responsible for loss of
vehicle. Mamaril argues that the
stipulation in the parking ticket is
in the nature of a contract of
adhesion and therefore void. It is
well settled that contracts of

adhesion are not void. Further,


court said that you cannot expect
BSP to pay for the full value of the
car especially considering the fact
that they only pay ten pesos per
day. This case highlights the
nature of contracts of adhesion.