4/9/2020 E-Library - Information At Your Fingertips: Printer Friendly there is no perfected employment contract between the parties, it is the RTC and not the POEA, whose jurisdiction pertains only to claims arising from contracts involving Filipino seamen, which has jurisdiction over the instant case. Despite the finding that no contract was perfected between the parties, the Court of Appeals adjudged C.F. Sharp and Rocha liable for damages, to wit: WHEREFORE, the Appeal of C.F. Sharp Co Inc. and John J. Rocha is PARTIALLY GRANTED only insofar as We declare that there is no breach of contract because no contract of employment was perfected. However, We find appellants C.F. Sharp Co. Inc. and John J. Rocha liable to plaintiffappellees for damages pursuant to Article 21 of the Civil Code and award each plaintiff-appellees temperate damages amounting to P100,000.00, and moral damages in the increased amount of P100,000.00. The award of exemplary damages and attorney’s fees amounting to P50,000.00, respectively, is hereby affirmed.[3] The Court of Appeals limited the liability of Pioneer Insurance to the amount of P150,000.00 pursuant to the Contract of Suretyship between C.F. Sharp and Pioneer Insurance. Rocha filed the instant petition on the submission that there is no basis to hold him liable for damages under Article 21 of the Civil Code because C.F. Sharp has signified its intention to return the documents and had in fact informed respondents that they may, at any time of the business day, withdraw their documents. Further, respondents failed to establish the basis for which they are entitled to moral damages. Rocha refuted the award of exemplary damages because the act of requiring respondents to sign a quitclaim prior to the release of their documents could not be considered bad faith. Rocha also questions the award of temperate damages on the ground that the act of withholding respondents’ documents could not be considered “chronic and continuing.”[4] Right off, insofar as Pioneer Insurance is concerned, the petition should be dismissed against it because the ruling of the Court of Appeals limited its liability to P150,000.00 was not assailed by Rocha, hence the same has now attained finality. Before us, respondents maintain that they are entitled to damages under Article 21 of the Civil Code for C.F. Sharp’s unjustified refusal to release the documents to them and for requiring them to sign a quitclaim which would effectively bar them from seeking redress against petitioners. Respondents justify the award of other damages as they suffered pecuniary losses attributable to petitioner’s malice and bad faith. In his Reply, Rocha introduced a new argument, i.e., that he should not be held jointly liable with C.F. Sharp considering that the company has a separate personality. Rocha argues that there is no showing in the Complaint that he had participated in the malicious act complained. He adds that his liability only stems from the Indemnity Agreement with Pioneer Insurance and does not extend to respondents. elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/21758 3/11

Select target paragraph3