Professional Documents
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erred in reversing and setting aside the decision of the trial court
based on its finding that petitioner is liable for the damage to the
cargo as a common carrier. What petitioner is ascribing is an
error of judgment, not of jurisdiction, which is properly the
subject of an ordinary appeal.
Same; Same; Where the issue or question involves or affects
VOL. 447, DECEMBER 21, 2004 427 the wisdom or legal soundness of the decision—not the jurisdiction
of the court to render said decision—the same is beyond the
A.F. Sanchez Brokerage, Inc. vs. Court of Appeals
province of a petition for certiorari.—Where the issue or question
* involves or affects the wisdom or legal soundness of the decision—
G.R. No. 147079. December 21, 2004. not the jurisdiction of the court to render said decision—the same
is beyond the province of a petition for certiorari. The supervisory
A.F. SANCHEZ BROKERAGE, INC., petitioner, vs. THE jurisdiction of this Court to issue a cert writ cannot be exercised in
HON. COURT OF APPEALS and FGU INSURANCE order to review the judgment of lower courts as to its intrinsic
CORPORATION, respondents. correctness, either upon the law or the facts of the case.
Civil Law; Common Carriers; Appellate court did not err in
Remedial Law; Certiorari; Appeals; The filing by petitioner of finding petitioner, a customs broker, to be also a common carrier,
a petition for certiorari on March 6, 2001 cannot serve as a as defined under Article 1732 of the Civil Code.—The appellate
substitute for the lost remedy of appeal.—The Resolution of the court did not err in finding petitioner, a customs broker, to be also
Court of Appeals dated December 8, 2000 denying the motion for a common carrier, as defined under Article 1732 of the Civil Code,
reconsideration of its Decision of August 10, 2000 was received by to wit: Art. 1732. Common carriers are persons, corporations,
petitioner on January 5, 2001. Since petitioner failed to appeal firms or associations engaged in the business of carrying or
within 15 days or on or before January 20, 2001, the appellate transporting passengers or goods or both, by land, water, or air,
court’s decision had become final and executory. The filing by for compensation, offering their services to the public.
petitioner of a petition for certiorari on March 6, 2001 cannot Same; Same; Article 1732 does not distinguish between one
serve as a substitute for the lost remedy of appeal. whose principal business activity is the carrying of goods and one
who does such carrying only as an ancillary activity.—Article
_______________ 1732 does not distinguish between one whose principal business
activity is the carrying of goods and one who does such carrying
* THIRD DIVISION. only as an
429
428
diligence in the vigilance over the goods it transports according to Manila in favor 2
of the consignee, Wyeth-Suaco
all the circumstances of each case.—Petitioner as a common Laboratories, Inc. The Femenal tablets were placed in 124
carrier is mandated to observe, under Article 1733 of the Civil cartons and the Nordiol tablets were placed in 20 cartons
Code, extraordinary diligence in the vigilance over the goods it which were packed together in one (1) LD3 aluminum
transports according to all the circumstances of each case. In the container, while the Trinordial tablets were3
packed in two
event that the goods are lost, destroyed or deteriorated, it is pallets, each of which contained 30 cartons.
presumed to have been at fault or to have acted negligently, Wyeth-Suaco insured the shipment against all risks
unless it proves that it observed extraordinary diligence. with FGU Insurance which issued Marine Risk 4
Note No.
Same; Same; The rule is that if the improper packing is 4995 pursuant to Marine Open Policy No. 138.
known to the carrier or his employees or is apparent upon ordinary Upon arrival of the shipment on July 11, 1992 5
at the
observation, but he nevertheless accepts the same without protest Ninoy Aquino International Airport6
(NAIA), it was
or exception notwithstanding such condition, he is not relieved of discharged “without exception” and delivered to the
liability for the resulting damage.—While paragraph No. 4 of warehouse of the Philippine Skylanders,
7
Inc. (PSI) located
Article 1734 of the Civil Code exempts a common carrier from also at the NAIA for safekeeping.
liability if the loss or damage is due to the character of the goods
or defects in the packing or in the containers, the rule is that if _______________
the improper packing is known to the carrier or his employees or
1 Rollo at pp. 22-43.
is apparent upon ordinary observation, but he nevertheless
2 Records of the Regional Trial Court at pp. 92, 94-95.
accepts the same without protest or exception notwithstanding
3 Id.,at p. 93.
such condition, he is not relieved of liability for the resulting
4 Id.,at pp. 96-99.
damage.
5 TSN, November 10, 1994 at p. 16.
PETITION for review on certiorari of a decision of the 6 Records at p. 35.
Court of Appeals. 7 Rollo at p. 18.
431
The facts are stated in the opinion of the Court.
Bonifacio Aranjuez for petitioner.
Astorga and Repol Law Office for respondent. VOL. 447, DECEMBER 21, 2004 431
430 A.F. Sanchez Brokerage, Inc. vs. Court of Appeals
430 SUPREME COURT REPORTS ANNOTATED In order to secure the release of the cargoes from the PSI
and the Bureau of Customs, Wyeth-Suaco engaged the
A.F. Sanchez Brokerage, Inc. vs. Court of Appeals services of Sanchez Brokerage which had been its licensed
8
broker since 1984. As its customs broker, Sanchez
CARPIO-MORALES, J.: Brokerage calculates and pays the customs duties, taxes
and storage fees for the cargo and thereafter delivers it to
Before this Court on a 1 petition for Certiorari is the Wyeth-Suaco.
9
appellate court’s Decision of August 10, 2000 reversing On July 29, 1992, Mitzi Morales and Ernesto Mendoza,
and setting aside the judgment of Branch 133, Regional representatives of Sanchez Brokerage, paid PSI storage fee
Trial Court of Makati City, in Civil Case No. 93-76B which amounting to10P8,572.35 a receipt for which, Official Receipt
dismissed the complaint of respondent FGU Insurance No. 016992, was issued. On the receipt, another
Corporation (FGU Insurance) against petitioner A.F. representative of Sanchez Brokerage, M. Sison,
11
Sanchez Brokerage, Inc. (Sanchez Brokerage). acknowledged that he received12 the cargoes consisting of
On July 8, 1992, Wyeth-Pharma GMBH shipped on three pieces in good condition.
board an aircraft of KLM Royal Dutch Airlines at Wyeth-Suaco being a regular importer, the customs
Dusseldorf, Germany oral contraceptives consisting of 13
examiner did not inspect the cargoes which 14 were
86,800 Blisters Femenal tablets, 14,000 Blisters Nordiol thereupon stripped from the aluminum containers and
tablets and 42,000 Blisters Trinordiol tablets for delivery to
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loaded inside
15
two transport vehicles hired by Sanchez The Elite 23Surveyors later issued Certificate No. CS-
Brokerage. 0731-1538/92 attached to which was an “Annexed
Among those who witnessed the release of the cargoes Schedule” whereon it was indicated that prior to the
from 16the PSI warehouse were Ruben Alonso and Tony loading of the cargoes to the broker’s trucks at the NAIA,
Akas, employees of Elite Adjusters and Surveyors Inc. they were 24inspected and found to be in “apparent good
(Elite Surveyors), a marine and cargo surveyor and condition.” Also noted was that at the time of delivery to
insurance claim adjusters firm engaged by Wyeth-Suaco on the warehouse of Hizon Laboratories Inc., slight to heavy
behalf of FGU Insurance. rains fell, which could account for the25 wetting of the 44
Upon instructions of Wyeth-Suaco, the cargoes were cartons of Femenal and Nordiol tablets.
delivered to Hizon Laboratories Inc. in Antipolo City for
quality _______________
17 Id.,at p. 17.
_______________
18 Records at p. 32.
8 TSN, November 10, 1994 at p. 10. 19 TSN, March 24, 1994 at pp. 26-27.
9 Id.,at p. 9. 20 Records at p. 33.
10 Records at p. 132. 21 Ibid.
11 Rolloat p. 23. 22 Ibid.
12 Records at p. 132. 23 Id.,at pp. 34-36.
13 TSN, January 10, 1995 at p. 5. 24 Id.,at p. 36.
14 TSN, November 10, 1994 at p. 15, T.S.N. January 10, 1995 at pp. 6-7. 25 Id.,at pp. 35-36.
15 Rolloat p. 23.
16 TSN, March 24, 1994 at p. 12. 433
432
VOL. 447, DECEMBER 21, 2004 433
A.F. Sanchez Brokerage, Inc. vs. Court of Appeals
432 SUPREME COURT REPORTS ANNOTATED
A.F. Sanchez Brokerage, Inc. vs. Court of Appeals
On August 4, 1992, 26
the Hizon Laboratories Inc. issued a
17 Destruction Report confirming that 38 x 700 blister packs
control check. The delivery receipt, bearing No. 07037 of Femenal tablets, 3 x 700 blister packs of Femenal tablets
dated July 29, 1992, indicated that the delivery consisted of and 3 x 700 blister packs of Nordiol tablets were heavily
one container with 144 cartons18 of Femenal and Nordiol and damaged with water and emitted foul smell.
1 pallet containing Trinordiol. On August 5, 1992, Wyeth-Suaco issued a Notice of
On July 31, 1992, Ronnie Likas, a representative of 27
Materials Rejection of 38 cartons of Femenal and 3
Wyeth-Suaco, acknowledged the delivery of the cargoes19
by cartons of Nordiol on the ground that they were “delivered
affixing his signature on the delivery receipt. Upon to Hizon Laboratories with heavy water damaged (sic)
inspection, however, he, together with Ruben Alonzo of causing the cartons to sagged (sic) emitting a foul order
Elite Surveyors, discovered that 44 cartons containing
20 and easily attracted flies.”
28
damages before the Regional Trial Court of Makati City 3. The counterclaims of the Appellee are DISMISSED.”
against the Sanchez Brokerage. 34
The trial court, by Decision of July 29, 1996, dismissed Sanchez Brokerage’s Motion for Reconsideration having
the complaint, holding that the Survey Report prepared by been denied by the appellate court’s Resolution of
the Elite Surveyors is bereft of any35evidentiary support and December 8, 2000 which was received by petitioner on
a mere product of pure guesswork. January 5, 2001, it comes to this Court on petition for
On appeal, the appellate court reversed the decision of certiorari filed on March 6, 2001.
the trial court, it holding that the Sanchez Brokerage In the main, petitioner asserts that the appellate court
engaged not only in the business of customs brokerage but committed grave and reversible error tantamount to abuse
also in the transportation and delivery of the cargo of its of discretion when it found petitioner a “common carrier”
clients, hence, a common carrier36 within the context of within the context of Article 1732 of the New Civil Code.
Article 1732 of the New Civil Code. Respondent FGU Insurance avers in its Comment that
Noting that Wyeth-Suaco adduced evidence that the the proper course of action which petitioner should have
cargoes were delivered to petitioner in good order and taken was to file a petition for review on certiorari since
condition but were in a damaged state when delivered to the sole office of a writ of certiorari is the correction of
Wyeth-Suaco, the appellate court held that Sanchez errors of jurisdiction including the commission of grave
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41
abuse of discretion amounting to lack or excess of is beyond the province of a petition for certiorari. The
jurisdiction and does not include correction of the appellate supervisory jurisdiction of this Court to issue a cert writ
court’s evaluation of the evidence and factual findings cannot be exercised in order
thereon.
On the merits, respondent FGU Insurance contends that _______________
petitioner, as a common carrier, failed to overcome the
presumption of negligence, it being documented that 40 Heirs of Marcelino Pagobo v. Court of Appeals, 280 SCRA 870, 883
petitioner withdrew from the warehouse of PSI 39
the subject (1997).
shipment entirely in good order and condition. 41 Land Bank of the Philippines v. Court of Appeals, 409 SCRA 455, 482
(2003).
_______________
437
38 Id.,at p. 42.
39 Id.,at p. 51. VOL. 447, DECEMBER 21, 2004 437
436 A.F. Sanchez Brokerage, Inc. vs. Court of Appeals
_______________ have acted negligently, unless they prove that they observed
extraordinary diligence as required on Article 1733.
42 Id.,atpp.482-483. 47 164 SCRA 685 (1988).
43 TSN, November 10, 1994 at p. 9. 48 Id., at p. 692.
44 De Guzman v. Court of Appeals, 168 SCRA 612, 617 (1988).
439
438
55 Art. 1734. Common carriers are responsible for the loss, destruction, _______________
or deterioration of the goods, unless the same is due to any of the following
57 Rollo at p. 34.
causes only:
58 Id.,at p. 36.
xxx 59 Ibid.
(4) The character of the goods or defects in the packing or in the containers; 60 TSN, December 2, 1994 at p. 25.
56 Calvo v. UCPB General Insurance Co., Inc., 379 SCRA 510, 520 441
(2002).
A.F. Sanchez Brokerage, Inc. vs. Court of Appeals The 4-page weather data furnished by PAGASA on
request of Sanchez Brokerage hardly impresses, no witness
having identified it and interpreted the technical terms
If the claim of petitioner that some of the cartons were
thereof.
already damaged upon delivery to it were true, then it
The possibility on the other hand that, as found by
should naturally have received the cargo under protest or
Hizon Laboratories, Inc., the oral contraceptives were
with reservations duly noted on the receipt issued by PSI.
57 damaged by rainwater while in transit to Antipolo City is
But it made no such protest or reservation.
more likely then. Sanchez himself testified that in the past,
Moreover, as observed by the appellate court, if indeed
there was a similar instance when the shipment of Wyeth-
petitioner’s employees only examined the cargoes outside
Suaco was also found to be wet by rain.
the PSI warehouse and found some to be wet, they would
certainly have gone back to PSI, showed to the ATTY. FLORES:
warehouseman the damage, and demanded then and there
for Bad 58
Order documents or a certification confirming the Q: Was there any instance that a shipment of this nature,
oral contraceptives, that arrived at the NAIA were
damage. Or, petitioner would have presented, as witness,
damaged and claimed by the Wyeth-Suaco without any
the employees of the PSI from whom Morales and Domingo
question?
took delivery of the cargo to prove that, indeed, part of the
cargoes was already damaged when 59 the container was WITNESS:
allegedly opened outside the warehouse. A: Yes sir, there was an instance that one cartoon (sic)
Petitioner goes on to posit that contrary to the report of were wetted (sic) but Wyeth-Suaco did not claim
Elite Surveyors, no rain fell that day. Instead, it asserts anything against us.
that some of the cargoes were already wet on delivery by
ATTY. FLORES:
PSI outside the PSI warehouse but such notwithstanding
Calicdan directed Morales to proceed with the delivery to Q: HOW IS IT?
Hizon Laboratories, Inc. WITNESS:
While Calicdan testified that he received the purported
A: We experienced, there was a time that we experienced
telephone call of Morales on July 29, 1992, he failed to
that there was a cartoon (sic) wetted (sic) up to the
specifically declare what time he received the call. As to 62
bottom are wet specially during rainy season.
whether the call was made at the PSI warehouse when the
shipment was stripped from the airport containers, or
when the cargoes were already in transit to Antipolo, it is Since petitioner received all the cargoes in good order and
not determinable. Aside from that phone call, petitioner condition at the time they were turned over by the PSI
admitted that it had no documentary evidence to prove that warehouseman, and upon their delivery to Hizon
at the time it received the cargoes, a part of it was wet, Laboratories, Inc. a portion thereof was found to be in bad
damaged or in bad condition.
60
order, it was incumbent on petitioner to prove that it
exercised extraordinary diligence in the carriage of the
goods. It did not, however.
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_______________
442
Judgment affirmed.
——o0o——
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