Case Digest

A. FACTS:

The People's Car acquired a contract with Commando Security under a Guard Service
Contract to safeguard and protect the business premises of the plaintiff from theft,
pilferage, robbery, vandalism, and all other unlawful acts of any person/s prejudicial to
the interest of the plaintiff.

Whilst the defendant took the car on April 5, 1970, around 1:00 am without any authority,
consent, approval, or orders of the plaintiff the guard lost control and damage the car
amounting to ₱8,489.10.

The plaintiff claims that the defendant should acknowledge the sole responsibility for an
act done during their watch hours base on paragraph 5 of the contract they made. The
defendant contradicted that the liability shall not exceed ₱1,000.00 per guard post for
any loss and damage through the negligence of the guard as written under paragraph 4
of the contract.

B. ISSUE/S:

Whether the defendant is the sole responsible for the damages on the incident.

C. SUPREME COURT DECISION ON THE ISSUE/S CITED:

The court miscalculated the events and made the plaintiff pay P8,489.10 for the
damages that the defendant made on the car that led the defendant to spend P1,000
only because of paragraph 4 in the contract that says “shall not exceed one thousand
(P1,000.00) pesos per guard post”.