A.

(40 pts) Pedro and his brother Juan, both paying passengers, were on
their way to their province. Pedro while waiting for the bus to depart was
able to read the conditions at the back of the bus ticket stating that the
liability of the bus company is limited to Php1,500.00 in case of injuries
to its passengers, Php35,000.00 in case of death of passengers, and to
Php500.00 in case of loss or damage to baggage caused by the negligence
or willful acts of its employees. Upon arrival at their destination, Juan
while alighting had an altercation with the bus conductor after the latter
threw on the road their baggage. The bus conductor pulled out a knife
and stabbed Juan which caused the latter’s death. On the other hand,
Pedro, who saw what happened, ran and tried to help his brother, but
the driver prevented him and blocked his way which caused him to
stumble and sustained injuries.

It was discovered that the reason why Juan got mad to the conductor
was because their baggage contained fragile items and in fact, the horse
figurine made of glass amounting to Php10,000.00 was broken. Both
Pedro and Juan were brought to the hospital, but Juan was pronounced
Dead on Arrival while Pedro was treated for the injuries he sustained.
For the funeral of Juan, Pedro spent a total amount of Php250,000.00,
while for his injuries he spent a total amount of Php3,000.00 including
the drugs needed for his immediate recovery. The bus company refused
to pay as it was Juan who started the incident, which prompted Pedro to
file a case.

1. In case of death of passenger, discuss the three basic kinds of damages that may
be awarded by the Court. (6 pts)
2. In trying to recover payment for Juan’s loss of earnings, Pedro testified that his
brother worked as a carpenter earning an amount of Php450.00 per day. Discuss
the rules when documentary evidence may be dispensed with in claims for loss of
earnings. (4pts)

3. The bus company invoked the stipulations printed on the ticket, hence their
liability should be limited only to Php35,000.00 for the death of Juan and
Php1,500.00 for the injuries sustained by Pedro. Is the bus company correct?
Explain your answer. (10pts)

4. Relative to Pedro’s claim for reimbursement of the broken figurine, the bus
company also contended that their liability is limited only to Php500.00. Is the
bus company correct? Explain your answer. (10 pts)
 5. Will your answer be the same (with No. 4) if the phrase “unless the passenger
declared a greater value and pay an additional amount” was added as a
condition on the ticket? Explain your answer. (10 pts)

B. (40 pts) Petra and Juana, both paying passengers, were both holders of
round trip plane tickets. Petra will be flying from Cebu to Manila and
back on board an aircraft operated by A & B Co., a Hongkong air carrier
but duly authorized to operate here in the Philippines, while Juana will
be flying from Cebu to Hongkong and back. The plane was supposed to
leave at 3:30 in the afternoon, but the flight attendant made an
announcement that the flight will be delayed as their personnel was still
inspecting all the luggage. The plane left at exactly 4:30 pm,
consequently, Petra was not able to sign the contract needed for her
business deal. Petra arrived in Manila at 5:15 pm, then the plane also
departed bound to Hongkong. While the plane was about to land in
Hongkong, it suddenly exploded causing the death of all persons on
board. Upon investigation, it was found out that the explosion was due to
an explosive device contained in a suitcase of one of the passengers.

6. Petra filed a case for damages because she failed to sign the contract due to flight
delay, hence she lost by way of profit an amount of more or less Php1,000,000.00.
A & B Co. denied any liability. How will you rule? Discuss. (10 pts)

7. The sister of Juana, a resident of Hongkong filed a case for damages in

Hongkong. Will the suit filed in Hongkong prosper? Discuss. (10 pts)

8. Supposed the case was dismissed in Hongkong, and the heirs of Juana filed a
case in Cebu, can A & B Co. invoke the limit of liability under the Montreal
Convention? Discuss. (10 pts)

9. Discuss when air carriage is deemed international. (5 pts)

10. What are the incidents covered by the Montreal Convention? (5)

C. Discuss the following: (5 pts each)

11. When stipulations limiting the carrier’s liability cannot be invoked.

12. Can the parties agree to reduce the diligence that may be observed
by the carrier?
13. Can there be breach of contract of carriage even though there was
no negligence or bad faith on the part of the carrier?

14. The distinction between contract to carry at some future time

and the contract of carriage and which of the two may be breached.

GOODLUCK and THANK YOU FOR THE SEMESTER.

KEEP SAFE.