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Transportation Law Digests
Transportation Law Digests
At the pre-trial, private respondent admitted its contract of With respect to private respondent's submission that the
carriage with the victims and the fact of the sinking of the total loss of the vessel extinguished its liability pursuant to
vessel. Private respondent alleged that the sinking of the Article 587 of the Code of Commerce as construed in Yangco
vessel was caused by force majeure and that its liability had vs. Laserna, 73 Phil. 330 [1941], suffice it to state that even in
been extinguished by total loss of the vessel. the cited case, it was held that the liability of a shipowner is
limited to the value of the vessel or to the insurance thereon.
According to the evidence on record, the vessel had a Despite the total loss of the vessel therefore, its insurance
passenger capacity of 322, including the crew; it was found to answers for the damages that a shipowner or agent may be
be without an emergency electrical power system; and it was held liable for by reason of the death of its passengers.
only authorized to carry 260 passengers due to the
deficiencies. A headcount of the passengers resulted in the
tallying of 168 adults and 20 minors.
It was also found that when the vessel left Manila, its officers
were already aware of the typhoon Klaring building up in
Mindanao, but there being no typhoon signal on the route
from manila to Cebu, and the vessel having been cleared by
the Custom authorities, it left on its voyage despite the
typhoon.
ISSUE:
RULING: