FILIPINAS BROADCASTING NETWORK, INC.

, petitioner,
vs.
AGO MEDICAL AND EDUCATIONAL CENTER-BICOL CHRISTIAN COLLEGE OF
MEDICINE, (AMEC-BCCM) and ANGELITA F. AGO, respondents January 17, 2005

NATURE:
Petition for review which assails the Decision Resolution of the Court of Appeals.
DOCTRINE:
A corporation can be an offended party in a defamation case and can recover moral damages
under Article 2219(7) of the Civil Code. This provision expressly authorizes the recovery of
moral damages in cases of libel, slander or any other form of defamation. Article 2219(7) does
not qualify whether the plaintiff is a natural or juridical person. Therefore, a juridical person such
as a corporation can validly complain for libel or any other form of defamation and claim for
moral damages.
FACTS:
"Exposé" is a radio documentary program hosted by Carmelo ‘Mel’ Rima ("Rima") and
Hermogenes ‘Jun’ Alegre ("Alegre").Exposé is aired every morning over DZRC-AM which is
owned by Filipinas Broadcasting Network, Inc. ("FBNI"). "Exposé" is heard over Legazpi City,
the Albay municipalities and other Bicol areas.
In the morning of 14 and 15 December 1989, Rima and Alegre exposed various alleged
complaints from students, teachers and parents against Ago Medical and Educational Center-
Bicol Christian College of Medicine ("AMEC") and its administrators. Claiming that the
broadcasts were defamatory, AMEC and Angelita Ago ("Ago"), as Dean of AMEC’s College of
Medicine, filed a complaint for damages against FBNI, Rima and Alegre on 27 February 1990.
The complaint further alleged that AMEC is a reputable learning institution. With the supposed
exposés, FBNI, Rima and Alegre "transmitted malicious imputations, and as such, destroyed
plaintiffs’ (AMEC and Ago) reputation." AMEC and Ago included FBNI as defendant for
allegedly failing to exercise due diligence in the selection and supervision of its employees,
particularly Rima and Alegre.
On 14 December 1992, the trial court rendered a Decision finding FBNI and Alegre liable for
libel except Rima. The trial court held that the broadcasts are libelous per se.
Both parties, namely, FBNI, Rima and Alegre, on one hand, and AMEC and Ago, on the other,
appealed the decision to the Court of Appeals. The Court of Appeals affirmed the trial court’s
judgment with modification. The Court of Appeals denied Ago’s claim for damages and
attorney’s fees because the libelous remarks were directed against AMEC, and not against her.
The Court of Appeals adjudged FBNI, Rima and Alegre solidarily liable to pay AMEC moral
damages, attorney’s fees and costs of suit.
FBNI contends that AMEC is not entitled to moral damages because it is a corporation.
ISSUE:
Whether or not AMEC is entitled to moral damages. (YES)
RULING:
AMEC’s claim for moral damages falls under item 7 of Article 2219 of the Civil Code. This
provision expressly authorizes the recovery of moral damages in cases of libel, slander or any
other form of defamation. Article 2219(7) does not qualify whether the plaintiff is a natural or
juridical person. Therefore, a juridical person such as a corporation can validly complain for libel
or any other form of defamation and claim for moral damages.
Moreover, where the broadcast is libelous per se, the law implies damages. In such a case,
evidence of an honest mistake or the want of character or reputation of the party libeled goes
only in mitigation of damages. Neither in such a case is the plaintiff required to introduce
evidence of actual damages as a condition precedent to the recovery of some damages. In this
case, the broadcasts are libelous per se. Thus, AMEC is entitled to moral damages.
However, we find the award of ₱300,000 moral damages unreasonable. The record shows that
even though the broadcasts were libelous per se, AMEC has not suffered any substantial or
material damage to its reputation. Therefore, we reduce the award of moral damages from
₱300,000 to ₱150,000.